LOC News
LOC Presents During September Legislative Days
The Legislature held Interim Legislative Days September 27-29 in Salem. It’s an opportunity for interim committees to receive informational presentations and updates on the implementation of new legislation, agency rulemaking and workgroup efforts. The Senate also confirmed a new round of executive appointments to various state boards and commissions. Congratulations to Springfield Mayor Sean Van Gordon for his appointment to the Construction Contractors Board!
During Legislative Days, the LOC provided five presentations on a range of issues important to cities, including two separate presentations on infrastructure needs, which remains the LOC’s top legislative priority going into the 2024 legislative session. Read on for more details and links to view the presentations.
Water Infrastructure Presentation
LOC staff joined individual cities and special districts in a presentation to the Interim House Agriculture, Land Use, Natural Resources, and Water Committee that described Oregon’s critical infrastructure needs for drinking water, sewer and stormwater systems. The LOC urges city leaders to stay actively engaged with their legislators to educate and advocate for their city's specific needs. Watch this committee hearing online.
Infrastructure and Housing Presentation
The LOC joined five cities in a presentation to the Senate Housing and Development Committee on the importance of infrastructure and the need for funding to unlock needed housing development and make progress on the state’s housing production goals. The LOC looks forward to continuing the conversation on infrastructure investment with Senator Dick Anderson, committee vice-chair and a former mayor, during the LOC Annual Conference next week. Watch this committee hearing online.
Climate Friendly and Equitable Communities (CFEC) Rules Presentation
The LOC continues to advocate for a fix to the CFEC rules, which despite additional rulemaking from the Oregon Department of Land Conservation and Development continue to pose major challenges for cities to implement. Thanks to the leadership of Representative John Lively, the Interim House Climate, Energy and Environment Committee held an informational hearing on CFEC that included testimony from the LOC and individual cities on the continued challenges and needed improvements. Watch this committee hearing online.
Property Tax Presentation
The LOC and the Association of Oregon Counties (AOC) were invited to present on Measures 5 and 50 and the impact of property tax revenue on local government services in the Interim House Economic Development and Small Business Committee. Property Tax Reform is an organizational priority for the LOC.
Wood Village Finance Director Seth Reeser provided an overview of Measures 5 and 50, citing an example of a new 176-unit housing development in Wood Village that is valued at $45 million but is taxed on only $15.8 million of that value. Reeser described the divergence between the market value of the development and the taxable assessed value:
“The question for cities becomes ‘Can you provide services to 180 units when you're collecting taxes on the value of 60 of those units?’... Even if we increase our rates or pass local option levies we can't actually provide services on the demand.”
Hermiston Mayor Dave Drotzmann, who also serves as LOC Vice President, shared the fiscal reality that many cities are facing from budget shortfalls, highlighting small and large, rural and urban cities. He noted that this issue is not specific to the Portland Metro region and is in fact a statewide problem.
Mayor Drotzmann also called attention to the impact of the housing crisis on city budgets, noting that 20% of public safety calls in Hermiston are related to homelessness. “We are taking on the cost of homeless services – something that cities were never supposed to be responsible for but are now on the frontlines to manage,” he said.
The LOC thanks Committee Chair Janelle Bynum and Vice Chair Daniel Nguyen for the opportunity to elevate this critical issue with state partners. Watch the committee hearing online. The presentation starts around 1:13:00.
Homeless Response and Shelter Funding Needs Presentation
Oregon’s broken property tax system and the need for reform has been a prominent focus in recent state policy discussions, including a presentation on homeless response and shelter funding. The LOC was pleased to support a panel of three mayors for a presentation to the Interim Senate Veterans, Emergency Management, Federal and World Affairs Committee. Eugene Mayor Lucy Vinis, Salem Mayor Chris Hoy, and Hillsboro Mayor Steve Callaway shared the front-line work taking place in their cities to address the needs of unhoused residents and advocate for specific gap funding needs to keep ARPA-funded shelters open through this biennium. Mayor Callaway also acted in his role as LOC President to speak for cities across the state and the importance of sustained, direct local funding to prevent and address homelessness. The LOC and OMA will continue to educate and impress upon the legislature and the Governor on the need for more direct funding to reach needs on the ground and fill critical gaps in the statewide response. Watch the committee hearing online.
Contact: Jim McCauley, Legislative Director - jmccauley@orcities.org
Last Updated 10/6/23