2025 OEC Legislative Debrief
This session, OEC staff worked on more than 77 bills to advance environmental protections, ensure statewide access to clean water, cut toxic chemicals out of our communities, and elevate safe and healthy transportation options.
We delivered real wins for Oregonians, but not every policy took root. Here’s what we passed, where the Legislature fell short, and how we’ll keep pressing forward to serve Oregon’s people, places and environment.
CLIMATE | WATER | TRANSPORTATION | ENVIRONMENTAL HEALTH
OEC Legislative Debrief 7/9/25
A conversation with OEC Executive Director, Jana Gastellum and Lobbyist, Thomas Baker.
CLIMATE:
RECAP: This session, state legislators passed a number of bills to support energy affordability, upgrade Oregon’s electric grid and stabilize long-term utility rates. Sadly, at the same time, lawmakers failed to support policies to cut climate pollution, and also abandoned funding for life-saving programs that provided short- and long-term relief from extreme weather events. For more details, read our blog Mixed Results on Climate in 2025: Energy Affordability Advances While Climate Action Stalls.
POWER Act (HB 3546) — PASSED
Creates new tools for utility regulators to differentiate costs for large-scale energy users, like cryptocurrency shops and datacenters, whose energy demand will require more transmission infrastructure to be built. Now large-scale users will pay for a minimum amount of energy, even if they use less energy than expected, as well as an extra fee if they use too much – ensuring excess costs aren’t passed on to households.
FAIR Act (HB 3179) — PASSED
Centers customers in how Oregon regulates utilities by restricting how often utilities can raise their rates, moves the timing of those rate increases to non-winter months when energy usage is lower.
Oregon Energy Assistance Program (HB 3792) — PASSED
Doubles the funding assistance, from $20 million to $40 million per year, that is provided as financial assistance to seniors and low-income Oregonians to prevent electricity shut-offs in people’s homes.
Performance-Based Ratemaking (SB 688) — PASSED
Modernizes the ratemaking process for the Public Utility Commission to ensure that electric utilities invest in areas like reliability, energy efficiency and clean energy while keeping access reliable and rates affordable.
Grid Enhancing Technologies “GETs” (HB 3336) — PASSED
Improves Oregon’s electric grid by requiring utilities to use modern hardware and available software to increase the efficiency, capacity and reliability of our grid.
Two Microgrid bills (HB 2065 and HB 2066) — BOTH PASSED
Both bills support the development of microgrids which are local, self-contained energy systems that provide reliable electricity and foster community independence.
Energy Facility Siting Council (HB 3681) — PASSED
Streamlines the permitting process for renewable energy projects and electric transmission lines, which recently involved a contested case over a 17-year permit process.
Managing Climate Risk Investment Framework (HB 2081A) — PASSED
The single priority of Treasurer Steiner, this bill assesses and manages the risks of climate change to the Public Employees Retirement System.
Climate Education Curriculum (HB 3365) — PASSED
Adds climate education to Oregon school curriculum, laying the groundwork for a future of engaged and responsible Oregonians on the issues of climate change and mitigation.
Junk Out of Rates (SB 88) — DID NOT PASS
This bill would have required large utility companies to pay for expensive lawyers, lobbyists, marketing, and industry association from their company profits – and exclude them from household customer utility rates.
One Stop Shop 2.0 (HB 3081) — DID NOT PASS
This bill would have built on the state’s existing Energy Hub for Incentive Programs + Projects in Oregon (HIPPO) by providing support staff to help people navigate the process for applying and receiving rebates.
State Budget; Full Funding for Existing Climate Resilience Programs — DID NOT PASS
We’re incredibly disappointed there were no investments made this session in critical climate resilience programs, such as the community resilience hubs, heat pump, and natural and working lands rebates. With no funds allocated, these programs will now stall or shut down entirely.
- Rental Home Heat Pump Program, needed $30M
- Community Heat Pump Deployment Program, needed $15M
- Community Resilience Hubs, needed $10M
- Natural and Working Lands, needed $5M
WATER:
RECAP: Our successes this year in securing clean, plentiful water across the state are the culmination of OEC’s years-long legislative advocacy on the issues – in some cases our work spans the past 3-7 legislative sessions. These wins are a powerful reminder that long-term, substantive change often takes years to achieve. For more details, read our blog Deep Fixes for Oregon’s Groundwater (That Were Long Overdue).
Septic System Loan Program (SB 830) — PASSED
Expands the septic repair program provided by Oregon’s Department of Environmental Quality (DEQ) to now include grants as well as low-interest loans.
Groundwater Quality Management (SB 1154) — PASSED
Revises the state’s outdated Groundwater Quality Management Act to improve how Oregon both monitors and protects groundwater. This legislation is the culmination of nearly a decade of work to incorporate modern science and circumstances into how we address groundwater safety in our state and get ahead of problems before they become crises.
Landlord Well Water Testing (HB 3525) — PASSED
Requires landlords of homes that rely on private wells for household use to test for water safety and share the results with tenants in properties within the state’s Groundwater Management Areas (GWMAs).
Biosolids Study of PFAS (HB 2947) — PASSED
Provides funding for Oregon State University to study the effects of PFAS, aka “forever chemicals”, in biosolids (which are fertilizers made from sewage) in the instances where the fertilizers are applied to agricultural soils.
Water Reuse Regulations (HB 2169) — PASSED
Establishes state policy to encourage and expand opportunities for water reuse. Creates joint water reuse development team between DEQ and the Water Resources Department to identify opportunities for water reuse, and provide education and training to other state agencies to enact reuse projects.
TRANSPORTATION:
RECAP: Despite the state’s goal to pass a bold transportation package this session, lawmakers ultimately failed to pass anything. The effects are already taking shape. The Oregon Department of Transportation announced staff layoffs – and key infrastructure upgrades (like expanding public transit services, programs for vehicle electrification, and improved safety for bicyclists and pedestrians) will now go unmet. As a possible special session begins to take shape, OEC is already working behind the scenes on a new funding bill. For more details, read our blog A 2025 Stalled Transportation Package Sets Power In Motion.
Privatization of Emissions Testing (HB 2642) — SUCCESSFULLY BLOCKED
This bill would have privatized emissions testing in Oregon by requiring the Department of Environmental Quality to contract with businesses to provide motor vehicle pollution testing.
Oregon Transportation Package (HB 2025) — DID NOT PASS
This year’s transportation package would have raised historic funding for safety and funding for public transportation that would have prevented service cuts. It also would have included studies for a transit youth pass, and planning standard to mitigate greenhouse gas emissions created by transportation projects.
- Transportation Package, skinny bill (HB 3402) — SUCCESSFULLY BLOCKED
Drafted in the final days of the session, this bill would have minimally raised gas tax revenue to avoid layoffs at the Oregon Department of Transportation while leaving out cities, counties, transit agencies, and the community priorities established within our partner coalition Move Oregon Forward.
E-School Bus Fund (HB 2945) — DID NOT PASS
This bill would have helped to create a healthy, pollution free environment for schoolchildren by helping districts transition to zero-emission school buses with $20 million in e-bus funding and $3 million in technical assistance training.
Multifamily Zoning Charging (HB 2961) — DID NOT PASS
This bill would have set the percentage of parking spaces in some newly constructed multifamily buildings, with 10 or more units, to require the necessary equipment to charge electric cars.
E-Bike-Subsidy (HB 2963) — DID NOT PASS
This bill would have directed the Environmental Quality Commission to establish a rebate voucher program to qualifying low-income individuals who purchase electric assisted bicycles.
E-Rides (HB 3626) — DID NOT PASS
The Act would have defined “powered micromobility device.” It also combined the laws for kids under 16, making it clear that they must wear helmets when riding bikes, e-bikes, e-scooters and some other vehicles. ODOT would have been required to tell the public about these new laws.
ENVIRONMENTAL HEALTH:
RECAP: OEC’s focus on toxic chemicals boosted awareness about “forever chemicals” – both across the state and in the statehouse. Our partnerships with labor, public health and environmental orgs helped secure key protections for firefighters against PFAS exposure and for schoolchildren from toxic pest control chemicals. For more details, read our blog Cuts to PFAS, Plastic Bags and Pesticides: 2025 Session Wins.
PFAS Firefighting Foam Phase-Out (SB 91) — PASSED
Protects firefighters and first responders, and cuts PFAS contamination in the environment by phasing-out the use of firefighting foams that contain PFAS and replacing them with safer foams.
PFAS-Free Protective Gear (HCR 2) — PASSED
Commits Oregon to using PFAS-free PPE (Personal Protective Equipment) and firefighter protective turnouts, when safe substitutes become proven.
Plastic Bag Ban (SB 551) — PASSED
Phases-out single-use plastic bags at retail and restaurant establishments across the state starting January 1, 2027.
Toxic-Free Schools (HB 2684) — PASSED
Requires Oregon schools to have an updated integrated pest management plan that considers pest control in the context of keeping schoolchildren safe.
PFAS Comprehensive Phase-Out (HB 3512) — DID NOT PASS
This bill would have phased out added PFAS from artificial turf, cleaning products, carpets and rugs, cookware, cosmetics, dental floss, fabric treatments, packaging, juvenile products, menstrual products, refrigerators, textiles, apparel, ski wax, and firefighting foam.
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