Oregon Legislative Issues
Last updated March 12, 2026 by Eric Leaming, Oregon ITE Legislative Chair
2026 Legislative Session
The 2026 legislative session adjourned March 6. Here are the transportation-related bills of interest from the session. The governor has until April 17 to decide whether to sign bills that passed, veto bills, or let bills become law without her signature.
Transportation funding and ODOT’s budget continued to be a major theme in the short session. The legislature redirected existing transportation funds to avoid layoffs and deep service cuts at ODOT. These redirected funds are a short-term bandage and will have long-term impacts on Oregon’s transportation system through deferred preservation of bridges and pavements and delayed or reduced grant funding for programs like Safe Routes to School and Connect Oregon. Legislators will need to address long-term transportation funding stability in the 2027 long legislative session. More information on Oregon’s current transportation funding situation is available from ODOT here.
Last updated March 12, 2026 by Eric Leaming, Oregon ITE Legislative Chair
2026 Legislative Session
The 2026 legislative session adjourned March 6. Here are the transportation-related bills of interest from the session. The governor has until April 17 to decide whether to sign bills that passed, veto bills, or let bills become law without her signature.
Transportation funding and ODOT’s budget continued to be a major theme in the short session. The legislature redirected existing transportation funds to avoid layoffs and deep service cuts at ODOT. These redirected funds are a short-term bandage and will have long-term impacts on Oregon’s transportation system through deferred preservation of bridges and pavements and delayed or reduced grant funding for programs like Safe Routes to School and Connect Oregon. Legislators will need to address long-term transportation funding stability in the 2027 long legislative session. More information on Oregon’s current transportation funding situation is available from ODOT here.
- SB-1544 (PASSED) – This was the Senate’s transportation omnibus bill. This will change the “qualified entity” definition for public transportation service providers. Effective March 6, 2026. Earlier drafts of the bill that did not make it to the final version would have restructured parts ODOT and made other changes to how ODOT delivers training.
- SB-1585 (PASSED) – Sets maximum matching fund requirements for state grants to small incorporated cities for capital construction and municipal infrastructure.
- SB-1599 (PASSED) – Moves the election date for the transportation funding referral to the May 2026 ballot. Multiple lawsuits are challenging this move. The Oregon Capital Chronicle and OPB are reporting on the latest.
- SB-1601(PASSED) – Temporarily redirects $218 million from existing state transportation funds and programs to the State Highway Fund for operations and maintenance in the 2025-2027 budget cycle. ODOT has summarized the impacts to funds and programs.
- HB-4007 (PASSED) – This was the House’s transportation omnibus bill. Operative January 1, 2027.
- Defines “powered micromobility device” and allows them on bicycle lanes or paths. Allows regulation of powered micromobility devices by ordinance or rule and traffic control device on bicycle lanes, bicycle paths, sidewalks, and trails.
- Changes helmet requirements for bicycles and other micromobility devices.
- Lowers the minimum age requirement for Class 1 e-bikes from 16 to 14.
- Sets certification standards for vehicle batteries, including e-bikes and powered micromobility devices.
- Establishes a pilot program to allow heavier trucks carrying fluid milk products on select highways.
- Postpones the deadline for the Highway Cost Allocation Study (HCAS) from June 2026 to March 2028.
- HB-4020 (PASSED) – Requires certain agencies to specify the authority justifying the denial of a permit application and provide the applicant a guide on how to contest the denial. Earlier versions of the bill would have applied to ODOT; the final version does not apply to ODOT.
- HB-4035 (PASSED) – Expands eligibility for cities and Metro to amend their urban growth boundaries under a temporary program.
- HB-4084 (PASSED) – Establishes the Joint Permitting Council.
- HB-5204 (PASSED) – Reduces ODOT’s budget by $78 million in State Highway Fund resources for operations and maintenance functions.
- SB-1542 (DIED IN COMMITTEE) – Would have directed the Oregon Transportation Commission to create a 10-year capital investment plan. ODOT and the OTC are already working to create such a plan.
- SB-1543 (DIED IN COMMITTEE) – Would have modified membership of the Oregon Transportation Commission.
- SB-1552 (DIED IN COMMITTEE) – Would have required the county clerk to notify the owner of real property when an instrument affecting the title to the property is presented for recordation unless presented by a financial institution, an insurer or an attorney, or an employee or agent of the professional person.
- HB-4008 (DIED IN COMMITTEE) – Would have established a Transit Funding Task Force.
- HB-4009 (DIED IN COMMITTEE) – Would have phased in a mandatory per-mile road usage charge for registered owners and lessees of electric and hybrid passenger vehicles and delivery vehicles engaged in e-commerce.
- HB-4010 (DIED IN COMMITTEE) – Would have required contracting agencies that procure public improvement contracts or contracts for public works to issue change orders for the additional work within a specific time or to pay interest for failing to do so.
- HB-4019 (DIED IN COMMITTEE) – Would have required certain agencies to base approval or denial of an application for a new permit on the rules and standards applicable at the time the agency determined the application was complete.
- HB-4023 (DIED IN COMMITTEE) – Would have restored the restrictions on methods of financing for certain mass transit districts.
- HB-4081 (DIED IN COMMITTEE) – Would have made changes to the highway worker photo radar laws. Would have required ODOT to establish a work zone photo radar program in coordination with Oregon State Police.
- HB-4085 (DIED IN COMMITTEE) – Would have allowed a person to operate an autonomous vehicle with the automated driving system engaged without a grant of driving privileges if certain conditions were met.
- HB-4126 (DIED IN COMMITTEE) – Would have required ODOT to submit a biennial report to the legislature recommending a rate for the per-mile road usage charge that would sustainably raise the revenue necessary to maintain Oregon highways.
Recap of Previous Legislative Sessions
2025 Legislative Session
There were 3466 bills, memorials, and resolutions introduced during the 2025 session and of those, the legislature passed 640.
2024 Legislative Session
There were 219 bills, memorials, and resolutions introduced during the 2024 session and of those, the legislature passed 135.
2023 Legislative Session
There were 2976 bills, memorials, and resolutions introduced during the 2023 session and of those, the legislature passed 653.
2022 Legislative Session
There were 275 bills, memorials, and resolutions introduced during the 2022 session and of those, the legislature passed 129.
2025 Legislative Session
There were 3466 bills, memorials, and resolutions introduced during the 2025 session and of those, the legislature passed 640.
2024 Legislative Session
There were 219 bills, memorials, and resolutions introduced during the 2024 session and of those, the legislature passed 135.
2023 Legislative Session
There were 2976 bills, memorials, and resolutions introduced during the 2023 session and of those, the legislature passed 653.
2022 Legislative Session
There were 275 bills, memorials, and resolutions introduced during the 2022 session and of those, the legislature passed 129.
Manual on Uniform Traffic Control Devices (MUTCD)
The Federal Highway Administration published the Final Rule for the 11th edition of the MUTCD on December 19, 2023. FHWA also issued a Final Rule on Revision 1 of the MUTCD 11th Edition on March 5, 2026 that addresses known errors and other technical corrections.
The Oregon Transportation Commission adopted the MUTCD 11th Edition with supplements in an update to OAR 734-020-0005, effective January 1, 2026.
Oregon MUTCD Implementation & Supporting Documents – ODOT’s page with supporting documents on Oregon adoption of the MUTCD 11th Edition and FHWA Interim Approvals in Oregon.
MUTCD Federal Register Notices- Information on Notices of Proposed Amendments (NPAs) and Final Rules (FRs) regarding the MUTCD.
Infrastructure Investment and Jobs Act (IIJA)
On November 15, 2021, President Biden signed into law the Infrastructure Investment and Jobs Act (IIJA). The wide-ranging infrastructure law provides funding for infrastructure projects and reauthorizes several surface transportation programs through fiscal year 2026. Notably, Section 11135 of the IIJA requires that USDOT update the MUTCD on a 4-year cycle.
The Federal Highway Administration published the Final Rule for the 11th edition of the MUTCD on December 19, 2023. FHWA also issued a Final Rule on Revision 1 of the MUTCD 11th Edition on March 5, 2026 that addresses known errors and other technical corrections.
The Oregon Transportation Commission adopted the MUTCD 11th Edition with supplements in an update to OAR 734-020-0005, effective January 1, 2026.
Oregon MUTCD Implementation & Supporting Documents – ODOT’s page with supporting documents on Oregon adoption of the MUTCD 11th Edition and FHWA Interim Approvals in Oregon.
MUTCD Federal Register Notices- Information on Notices of Proposed Amendments (NPAs) and Final Rules (FRs) regarding the MUTCD.
Infrastructure Investment and Jobs Act (IIJA)
On November 15, 2021, President Biden signed into law the Infrastructure Investment and Jobs Act (IIJA). The wide-ranging infrastructure law provides funding for infrastructure projects and reauthorizes several surface transportation programs through fiscal year 2026. Notably, Section 11135 of the IIJA requires that USDOT update the MUTCD on a 4-year cycle.