Legislative Update: February 9, 2026

The 2026 short legislative session is officially in full swing. As lawmakers enter the second week in Salem, the pace has accelerated quickly, with early deadlines already shaping which bills will advance. This update highlights the most important developments for the business community, including key revenue news, priority action alerts, and the status of several bills the Springfield Area Chamber of Commerce is actively tracking in coordination with state and regional partners.

Revenue Forecast: Stronger Than Expected, With Important Implications

On February 4, the Oregon Office of Economic Analysis released its first quarterly economic and revenue forecast of the session.

The forecast shows improved general fund revenues for the 2025–27 biennium, driven largely by stronger-than-expected corporate tax collections. As a result, the state’s ending fund balance is now projected at $197.9 million, an increase of more than $260 million from the previous forecast.

At the same time, Oregon’s broader economic outlook remains mixed. Private-sector job growth continues to lag national trends, manufacturing employment has declined, and population growth remains sluggish. These conditions reinforce the importance of policies that support business investment, workforce stability, and long-term economic competitiveness.

From a policy standpoint, the improved revenue picture significantly weakens the case for new taxes or increased tax burdens this session. Business organizations statewide are urging lawmakers to prioritize tax certainty and pro-growth policies, particularly given Oregon’s reliance on personal income taxes to fund state services.

Action Alerts: Bills Requiring Immediate Attention

Two high-impact bills had hearings today, February 9^th, and warrant engagement from the business community. Testimony can be submitted up to 48 hours after the hearing.

Transient Lodging Tax Diversion

• HB 4148 – Transient Lodging Tax Diversion
  This bill would weaken longstanding protections that ensure lodging tax revenues are reinvested in tourism promotion and visitor-driven economic activity.
  ➤ The Springfield Chamber opposes this bill

Recreational Liability Waivers

• SB 1593 – Recreational Liability Waivers
  Oregon’s current legal framework limits the enforceability of liability waivers for recreational activities, contributing to rising insurance costs and market exits for gyms, outdoor recreation providers, and ski areas. SB 1593 would restore enforceability for waivers related to simple negligence.
  ➤ The Springfield Chamber supports this bill

Bill Status Updates: What We’re Watching Closely

SB 1507 – Federal Tax Code Disconnect

As amended, this has been repurposed from a retail sales tax framework into a revenue-raising vehicle that disconnects Oregon from several federal tax provisions. Most notably, the bill would eliminate bonus depreciation for machinery and equipment placed into service beginning in tax year 2026, increasing the cost of capital and directly disincentivizing business investment and expansion. The bill also removes the exclusion for gains from qualified small business stock and limits deductions for interest on vehicle loans for U.S.-made autos.
➤ The Springfield Chamber will oppose this bill.

HB 4084 – Governor’s Bill Establishing the Joint Permitting Council

This bill would set up a Joint Permitting Council to run a fast track permit program, update requirements and thresholds for the enterprise zone program, and put $40M towards the Industrial Site Loan Fund.

➤ The Springfield Chamber supports this bill

HB 4134 – Statewide Transient Lodging Tax Increase
This bill would increase the statewide lodging tax, raising costs for visitors and potentially reducing demand for travel-dependent communities.

➤ Springfield Chamber opposed this bill

HB 4098 – Insurance and Private Rights of Action

This bill would allow private rights of action against insurance companies under Oregon’s Unlawful Trade Practices Act. Stakeholders warn this could significantly increase litigation, destabilize the insurance market, and drive up costs for employers and consumers.
➤ Springfield Chamber opposed this bill

Looking Ahead

With early deadlines already shaping the session, the next two weeks will be critical for business-related legislation. The Chamber will continue to focus on policies that affect economic competitiveness and impact the business climate.

Members can expect regular legislative updates, targeted action alerts, and opportunities to engage directly as key bills move through committee.

For the most up-to-date information on local, state, and federal advocacy efforts, visit the Chamber’s Business Advocacy webpage.

Springfield Area Chamber of Commerce Business Advocacy
The Springfield Area Chamber of Commerce is a trusted convener and provider of business resources. They recognize the systemic interdependencies of a healthy economy and provide an ear and a voice for local business at the confluence of government, commerce, and community. They advocate for business by increasing visibility, dialogue, and representation at local, state, and federal policy circles around issues of impact and interest to their members. Learn more about the Chamber’s Business Advocacy work.