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See How This Year's Legislative Session Will Affect Schools in Our Region
Download a PDF of this legislative recap.
On Feb. 2, the legislature convened for a 35-day short session. The legislature came into the session with balancing the budget as a central priority as well as disconnecting from federal tax code, solving transportation funding needs, and addressing Immigration and Customs enforcement (ICE) activity in the state.
The session started with uncertainty on many fronts because of federal actions under H.R. 1, “the Big Beautiful Bill” creating constraints on Oregon’s state budget.
H.R. 1 added a handful of tax exemptions that automatically trickled down to Oregon because of “rolling reconnect” policy and reduced potential income tax revenues for the state. H.R. 1 increases program costs for the supplemental nutrition assistance program and Medicaid. Because of this the state budget committee co-chairs advised state agencies in the fall to produce potential cuts to their budget ranging from 2.5% to 5% as a starting point for the legislature this session. These exercises signal that programmatic impacts are inevitable over the next few biennia. Additionally, a transportation funding measure passed in the 2025 Special Session was referred to the ballot at the end of 2025, which could cause large budget holes in the Oregon Department of Transportation.
The legislature adjourned on the afternoon of March 6, 2026. This summary provides a snapshot of Northwest Regional Education Service District’s work during the 2026 session.
There were many legislative concepts considered by the legislature during the session that may not be part of this summary. If there are bills that are not on this list that you have questions about, or if you want a deeper dive into the details of any legislation profiled in this summary, please email Jenna Jones, NWRESD's director of government affairs.
Key
✅ Means the bill passed
❌ Means the bill failed
Outcomes for the State
✅ Transportation Fix. In the last week of session, the state passed a bill to move the referred transportation funding package to the May ballot instead of the November ballot.
✅ Immigration and Customs Enforcement Policies. The state has considered many proposals related to ICE -- many of which will pass, most notably on the education front is the codification of Supreme Court case Plyler v. Doe (Senate Bill 1538) that guarantees the right of students, regardless of immigration status, access to education. The state also passed House Bill 4079, a notification requirement for school districts when ICE is present on school campuses.
Other bills related to ICE that passed include:
- Senate Bill 1570, which establishes restrictions on when hospitals may share patient immigration status information.
- Senate Bill 1587, which prevents personal information from being sold or transferred to third-party data brokers for immigration enforcement purposes.
- Senate Bill 1594, which directs the Oregon Department of Justice to coordinate with the Office of Immigrant and Refugee Advancement when developing or revising sanctuary law policies.
- House Bill 4138, which requires officers to clearly display their name, agency, and badge number and limits the use of facial coverings during enforcement actions, with exceptions for undercover operations and safety.
✅ Balanced Budget. The state successfully passed a disconnect bill that adds back $311 million to the state budget that was paired with a more positive revenue forecast, which closed some of the anticipated budget impacts of H.R. 1. The legislature held open vacancies and eliminated most supply cost from all state agencies’ budgets so that they would only have to cut minimal programming to close the rest of the budget hole. While the state could have tapped into reserve funds, like the Rainy Day Fund or the Education Stability Fund, they chose not to utilize that resource.
Outcomes for Northwest Regional Education Service District
Northwest Regional ESD came into the legislative session focused on preventing cuts to the state education budget, defending programs suggested to be cut by state agencies and restoring funding that was cut in the 2025 session meant for outdoor school.
✅ Ensure no mid-biennium cuts to education. Although the legislature chose not to tap into the education stability fund (ESF) as much of the educational sector advocated for, it did not make any cuts to the adopted 2025-27 budget for education programs.
✅ Sustain Regional Educator Networks under the Education Advancement Council. The Education Advancement Council (EAC) oversees and provides grants to 10 regional educator networks (RENs) across the state that center teacher and community voices in designing regional, quality, culturally responsive professional learning that reflects local context and career stages. The agency proposed cuts included cuts to the EAC. The EAC will not be cut this session, but we will have to continue to advocate to protect RENs in the future.
❌ Restore Outdoor Funding. In 2025, the legislature cut outdoor school funding by 20%. HB 4112 was the most sponsored bill of the session and would have restored $6 million to outdoor school. While we were hopeful House Bill 4112 would pass this session or be included in end of session budget bills, it did not end up getting funding. Advocates of outdoor school will come back next session to ensure the state funds the program in accordance with Measure 99 levels (4% of lottery revenues).
Bills of General Interest
✅ Senate Bill 1596: Play-Based Learning
SB 1596 allows play-based learning to count as instructional time for grades K-5. The bill defines “free play,” “guided play,” and “play-based learning.” The bill also clarifies that play-based learning does not include participation in P.E. or recess.
✅ House Bill 4022: Oregon Imagination Library Program
HB 4022 codifies existing practice and establishes the statewide Oregon Imagination Library Program to provide free monthly books to young children to support early literacy development as part of the Dolly Parton Imagination Library Program. Currently, children in all four counties in Northwest Regional ESD's service area have access to Imagination Library programs. The Northwest Early Learning Hub in partnership with Columbia Pacific CCO is the local program sponsor for children and families in Clatsop, Columbia and Tillamook counties.
✅House Bill 4149: McKinney-Vento Protections
HB 4149 codifies federal protections for students experiencing homelessness into state law, including requirements related to immediate enrollment and access to services.
✅House Bill 4154: Chronic Absenteeism Reporting
HB 4154 requires quarterly reporting of chronic absenteeism data. ODE will use existing district data while providing districts with a 15-day review window prior to publication.
✅ House Bill 4160: Cardiac Emergency Response Plans
HB 4160 requires schools to adopt cardiac emergency response plans, including automated external defibrillator (AED) placement and cardiopulmonary resuscitation (CPR) training for staff and coaches.
❌ Senate Bill 1555: Quality Education Model Modernization
SB 1555 would have eliminated the current Quality Education Commission and Model and transferred that responsibility to the Legislative Policy and Research Office (LPRO). LPRO would then be directed to contract with a public or private entity to create and update the costing model. The bill did not advance out of the Senate Education Committee. There will be work done on this concept in the interim, and it will likely be reconsidered in a different iteration in the 2027 Legislative Session.
❌ Senate Bill 1572: Student Discipline and Essential Skills Requirements
SB 1572 was organized into three main sections: 1) student discipline 2) essential skills and 3) reading standards. In the student discipline section, the bill would have required school district boards to amend their policies and procedures relating to student behavior, discipline, safety, and support. In the essential skills section, the bill would have reinstated the essential skills requirements starting on January 1, 2027. On the reading standards, the bill would have updated the language arts standards to align with the science of reading and writing and issued requirements to retain students if they did not achieve third grade reading proficiency starting in the 2026-27 school year. The bill did not advance out of the Senate Education Committee.
❌ House Bill 4011: Class Size as a Mandatory Subject of Bargaining
HB 4011 would have expanded requirements to bargain over class size and caseload in all Oregon schools (it is currently a mandatory subject at Title I schools). The bill also included a new provision making student discipline related to staff safety a mandatory subject; lawmakers chose not to advance the bill out of the House Labor and Workforce Development Committee. There will likely be a work group on concepts from this bill following the legislative session. As history has shown, an iteration of this bill will likely be considered in the 2027 Legislative Session.
New or Amended Requirements for School Districts and Education Service Districts
Senate Bill 1504: Epinephrine Administration in Schools
Effective Date: January 1, 2027
SB 1504 allows schools to provide epinephrine in schools by methods other than injections, like intranasally. It also updates training requirements related to the administration of epinephrine to include any premeasured dose of epinephrine.
House Bill 4066: Education Omnibus
Effective Date: Upon Governor’s Signature
HB 4066 is an education omnibus bill that outlines a handful of narrow technical statutory changes. The K-12 education related fixes include:
- Amends current statutes to clarify that school districts are not required to include at least one member of the district equity advisory committee on the district’s budget committee if a member of the district equity committee is unwilling or unable to serve on the budget committee.
- Updates Oregon statute related to the Military Interstate Children’s Compact to align with model language used by other states so there is stronger coordination with districts and families to support military students.
- Provides an extension for education service districts in updating their fluorescent lightbulbs to January 2, 2030.
- Adds ESD boards to the statue allowing board members to receive a stipend of up to $500 per month.
House Bill 4079: Notification of Immigration and Customs Enforcement on Campus
Effective Date: September 30, 2026
Since the federal government reversed long-held directives not to engage in immigration enforcement actions at public schools, the state has decided to intervene. HB 4079 requires school districts boards to adopt policies outlining processes for responding to verified ICE actions on campus, including notifications to students, families, and staff. HB 4079 also requires school districts to create a process for community service providers to be notified if on campus when ICE is verified to be present. The bill requires school board policies to be adopted and in place by September 30, 2026.
House Bill 4154: Chronic Absenteeism Data and Reporting
Effective Date: Upon Governor’s Signature
Using student attendance data already collected and submitted by school districts, HB 4154 requires the Oregon Department of Education (ODE) to calculate: 1) the total number of students in average daily membership for school districts and public charter schools 2) the total number of students in average daily membership who are regular attenders -- and those who are chronically absent -- as well as 3) the percentage of students who are chronically absent after a student has been enrolled in a school district and public charter school for at least ten days during the reporting period.
The bill requires ODE to publish this data four times a year. Prior to making the data public, ODE shall provide each school district with at least 15 business days to review and validate the data. When the data is published, ODE shall describe the data requirements and any changes in methodology; the Department shall also provide guidance on how the data should be interpreted and used and note any limitations of the data when comparing districts, schools, and reporting periods. New reporting and data requirements will start in the 2026-27 school year.
House Bill 4160: Cardiac Emergency Response Plans
Effective Date: July 1, 2027
Advocacy organizations like the American Heart Association have previously introduced measures that will require school districts to update safety plans, train more staff in cardiopulmonary resuscitation (CPR), and purchase more automated external defibrillators (AEDs). HB 4160 is a slimmed down version of legislation that did not move forward in 2025. The bill will require every public and private school in the state to have an updated cardiac emergency response plan for responding to medical emergencies and will require all athletic coaches and other key staff to be trained in cardiopulmonary resuscitation and the use of AEDs by July 1, 2027.
House Bill 4161: Reasonable Food and Beverage Accommodation
Effective Date: Upon Governor’s Signature
HB 4161 recognizes the realities that many school board members and other local public officials are volunteers who give up evenings and weekends to serve their communities. When meetings run through dinner, providing a simple meal helps people stay engaged and focused. HB 4161 restores a governing body’s ability to provide food and beverages to public officials during long public meetings without treating it as compensation.
House Bill 4177: Serial Communications
Effective Date: June 6, 2026
HB 4177 ensures that substantive deliberations happen during public meetings while allowing officials to gather information and communicate appropriately, by clarifying statute that discussing procedural matters, communicating with constituents and/or the media is not considered serial communications and does not violate public meetings law.
Bills by Topic Area
State Budget and Funding
✅ End of Session Budget Bills
The co-chairs of Ways and Means budget framework, which included House Bills 5203, 5703, 5204, and Senate Bill 1601. The co-chairs did not include program eliminations or direct service reductions to education programs. Instead, agencies will manage reductions through operational adjustments, including:
- Leaving vacant positions unfilled
- Reducing discretionary spending
- Utilizing reserves and interest earnings
- Limited fund shifts (“fund swaps”) from unspent or dedicated accounts
Importantly, there are no reductions to K-12 funds that go directly to school districts and education service districts, including:
- The State School Fund
- All Student Success Act programs
- State grant-in-aid programs
One notable inclusion in Senate Bill 1601 was that the state redirected $17 million of $27 million in unobligated Safe Routes to Schools to help fill the Oregon Department of Transportation budget deficit.
✅ Senate Bill 1507: Disconnection from Federal Tax Code
Effective Date: January 1, 2027; applies to 2026-2031 tax years
SB 1507 includes a disconnection from bonus depreciation and auto loan interest credit provision of the federal tax code. Additionally, SB 1507 increases the earned income tax credit (EITC) at the state level for Oregonians. The updated revenue impact for this bill adds $310 million back to the 2025-27 state budget. Rep. Ed Diehl (R-Stayton) has stated he will plan to refer the portions of the bill that add back revenue to the state to the voters. He will not refer the provisions around EITC to the ballot for repeal. Rep. Diehl is the legislator who helped refer the transportation tax increase passed by the legislature in a special session to the voters.
✅ House Bill 4075: Loan Guarantee to Bay Area Hospital from Common School Fund
Effective Date: Upon Governor’s Signature
While not impacting the current budget, K-12 advocates voiced concerns about the funding source in the Hospital Finance Bill (HB 4075). The bill directs the state treasurer to guarantee a loan to the Bay Area Hospital in Coos Bay of up to $44 million using funds from the Unclaimed Property and Estates Fund. These funds normally would go to the Common School Fund, earning interest and adding to the yearly distributions to school districts across Oregon. Aside from the estimated $22 million that will not be distributed to school districts over the next 20 years, there were concerns for setting a precedent of using funds that have been earmarked to help fund K-12 education in other sectors. Many hospitals and health systems in Oregon are in challenging financial positions that are exacerbated by the passage of H.R. 1 and may look to this type of funding mechanism in the future to protect the critical services they provide.
❌ Senate Bill 1555: QEM Modernization
SB 1555 would have eliminated the current Quality Education Commission and Model and transferred that responsibility to the Legislative Policy and Research Office (LPRO). LPRO would then be directed to contract with a public or private entity to create and update the costing model. The bill did not advance out of the Senate Education Committee. There will be work done on this concept in the interim and it will likely be reconsidered in a different iteration in the 2027 Legislative Session.
❌ Senate Joint Resolution 201: Kicker Revenues for K-12 and Wildfire Prevention
SJR 201 would have referred to the voters a constitutional amendment that would require a portion of the kicker revenue that would otherwise be returned to personal income taxpayers to be used for funding public K-12 education, community colleges and wildfire prevention and suppression, if the revenue exceeds $300 million.
❌ House Bill 4105: Timber Tax Sustainability
HB 4105 would have directed the state forester to establish and publish sustainable harvest levels on state forests, develop a modern timber inventory model to track forest conditions and guide responsible management, ensure timber sales support timber-dependent communities.
❌ House Bill 4112: Outdoor School Funding
In 2025, the legislature cut outdoor school funding by 20%. HB 4112 was the most sponsored bill of the session and would have restored $6 million to outdoor school. While we were hopeful HB 4112 would pass this session or be included in end of session budget bills, it did not end up getting funding. Advocates of outdoor school will come back next session to ensure the state funds the program in accordance with Measure 99 levels (4% of lottery revenues).
❌ House Bill 4125: Kicker Modernization
HB 4125 aims to reduce overly optimistic revenue forecasts that trigger the kicker by requiring the state to use more conservative estimates. If the forecast still ended up being higher than estimated revenue, the Department of Revenue would transfer the difference of revenue into a new “One-time Emergencies and Finance Fund.” Money in this fund could only be used for: reducing PERS liability, paying for capital projects or debt services, or covering emergency related costs.
Early Learning
✅ Senate Bill 1535: Liability Insurance Work Group for Childcare Organizations
Effective Date: June 6, 2026
SB 1535 directs the Department of Early Learning and Care to convene a work group to study the cost and availability of liability insurance and other liability issues for childcare providers. The work group may also study impacts to programs or entities that would typically be exempt from Department of Early Learning and Care regulation. The objective of the work group is to develop strategies for lowering insurance costs for these providers in this state.
✅ House Bill 4022: Oregon Imagination Library Program
Effective Date: January 1, 2027
HB 4022 codifies existing practice and establishes the statewide Oregon Imagination Library Program to provide free monthly books to young children to support early literacy development, this is part of the Dolly Parton Imagination Library Program. Currently, children in all four counties in Northwest Regional ESD service area have access to Imagination Library programs. The Northwest Early Learning Hub in partnership with Columbia Pacific Coordinated Care Organization (CCO is the local program sponsor for children and families in Clatsop, Columbia and Tillamook counties.
✅ House Bill 4039: Oregon Health Authority (OHA) Capitation Rate Process Adjustments
Effective Date: Upon Governor’s Signature
Health care rates are on the rise. In 2026, OHA saw a trend of 10.6% growth in cost for capitation rates (per-member-per-month) for coordinated care organization (CCO) payments, after a decade of growth averaging at 3.7%. HB 4039 directs OHA to modernize its capitation rate setting process by creating a data-driven, transparent process that reconciles data with OHA’s actuaries to ensure adequate and reasonable funding is achieved. CCOs provide a range of health services to their members, including physical, oral, and behavioral health care. Currently, 15 CCOs operate regionally across Oregon, serving more than $1.4 million of the state’s OHP members. CCOs receive a five-year contract from the state and a fixed-growth budget from which to coordinate services for their members. CCO capitation rates, the per-member-per-month payments paid by OHA, are set annually following federal and state regulations. Historically, CCO rates are developed using previous years’ experience, but in current years costs are inflating significantly from previous years.
✅ House Bill 4057: Employment Related Day Care Resources
Effective Date: Upon Governor’s Signature
Under current practice, families who apply for or are waitlisted for employment related day care are not consistently provided with clear, standardized information about other publicly funded early learning and care programs they may qualify for. HB 4057 aims to address this gap. It directs the Department of Early Learning and Care, in coordination with the Department of Human Services through interagency agreement, to ensure these families receive standardized information about available early learning programs and resources across our state. HB 4057 improves alignment and communication so families can better understand and access programs that already exist, including Preschool Promise, Oregon Prenatal to Kindergarten, Healthy Families Oregon, Early Learning Hubs, Relief Nurseries, and Head Start.
Equity, Belonging and Access
✅ Senate Bill 1538: Plyler v. Doe Codification
Effective Date: July 1, 2026
In 1982, the Supreme Court ruled in Plyler v. Doe that states cannot constitutionally deny students a free public education based on their immigration status. SB 1538 codifies the Plyler v. Doe decision, prohibiting discrimination in education related to immigration or citizenship status and requires districts to base these policies on models prepared by the attorney general.
✅ House Bill 4079: Notification of Immigration and Customs Enforcement on Campus
Effective Date: September 30, 2026
Since the federal government reversed long-held directives not to engage in immigration enforcement actions at public schools, the state has decided to intervene. HB 4079 requires school districts boards to adopt policies outlining processes for responding to verified ICE actions on campus, including notifications to students, families, and staff. HB 4079 also requires school districts to create a process for community service providers to be notified if on campus when ICE is verified to be present. The bill requires school board policies to be adopted and in place by September 30, 2026.
✅ House Bill 4149: McKinney-Vento Act Codification
Effective Date: January 1, 2027
HB 4149 codifies federal protections for students experiencing homelessness into state law, including requirements related to immediate enrollment and access to services. In the event that the federal government no longer funds McKinney-Vento Act programming the state of Oregon will pick up the bill.
❌ Senate Bill 1581: School Meals for All
SB 1581 would have requires all school districts to offer free breakfast and lunch to all students with certain exceptions.
General Governance
✅ House Bill 4159: Oregon Government Ethics Commission Membership
Effective Date: January 1, 2027
Requires the governor’s appointee to the OGEC to represent the local government perspective, ensuring more balanced oversight of the public officials under the commission’s jurisdiction.
✅ House Bill 4161: Reasonable Food and Beverage Accommodation
Effective Date: Upon Governor’s Signature
HB 4161 recognizes the realities that many school board members and other local public officials are volunteers who give up evenings and weekends to serve their communities. When meetings run through dinner, providing a simple meal helps people stay engaged and focused. HB 4161 restores a governing body’s ability to provide food and beverages to public officials during long public meetings without treating it as compensation.
✅ House Bill 4177: Serial Communications
Effective Date: June 6, 2026
HB 4177 ensures that substantive deliberations happen during public meetings while allowing officials to gather information and communicate appropriately, by clarifying statutes that discussing procedural matters, communicating with constituents and/or the media is not considered serial communications and does not violate public meetings law.
Human Resources and Fiscal
✅ Senate Bill 1518: Companionship Services Covered by Wage and Hour Protections
Effective Date: January 1, 2027
SB 1518 ensures that homecare and domestic workers in Oregon will continue to receive minimum wage and overtime protections, regardless of changes to federal rules, by clarifying the definition for “companionship services” includes direct support professionals (DSPs) who work for a third-party provider agency are covered by state wage and hour protections.
✅ Senate Bill 1547: New Classification of Licensed Behavioral Health Practitioners
Effective Date: June 6, 2026
SB 1547, which establishes a new category of licensed behavioral health and wellness practitioners in Oregon, overseen by the Oregon Board of Psychology. These practitioners would be qualified to provide prevention-oriented services, including early identification of behavioral health concerns, psychoeducation, skills training, brief interventions, risk identification and referral, and collaboration with other providers. The goal of creating a new mid-level mental health professional is to improve access to care without placing patients at risk.
✅ House Bill 4013: Minors Work Requirements Protections
Effective Date: January 1, 2027
There are active, national campaigns seeking to dismantle the Fair Labor Standards Act (FLSA) and roll back child labor protections. Because of this uncertainty, the legislature wanted to preemptively act. HB 4013 requires those operating in the state comply with the federal Fair Labor Standards Act (FLSA) requirements that are in effect on January 1, 2026. It permits the Oregon Bureau of Labor and Industries (BOLI) to adopt rules to conform to changes in the FLSA or Oregon law that increase protections for minors.
✅ House Bill 4027: Prevailing Wage Fee Cap Increase
Effective Date: June 6, 2026
HB 4027 increases the prevailing wage project public work fee cap that public agencies pay to Oregon's Bureau of Labor & Industries (BOLI) from $7,500 to $12,500, generating additional revenue for wage surveys, investigations, and compliance activities.
✅ House Bill 4083: Behavior Health Credentialing
Effective Date: June 6, 2026
HB 4083 represents the first set of recommended actions from the Behavioral Health Talent Council, chaired by First Lady Aimee Kotek Wilson. It will require OHA to adopt a centralized credentialing process for behavioral health workers, allowing qualified workers to begin providing care sooner and reducing administrative burden on providers.
Additionally, HB 4083 will allow for master’s-level clinicians under Board of Licensed Social Workers and the Board of Licensed Professional Counselors and Therapists to be supervised by any qualified supervisor (as determined by the boards) regardless of license type. This goal of the bill is to expand access to clinical supervision and allow qualified clinicians to enter the workforce faster so they can start treating patients and advance in their career.
✅ House Bill 4115: Background Check Extension for Behavior Health Providers
Effective Date: June 6, 2026
Currently, many behavioral health providers and caregivers must complete a background recheck every two years. HB 4115 extends the recheck cycle from two years to three years. The bill also expands portability, so a caregiver with a valid background check can move between similar care settings without starting the process from scratch.
✅ House Bill 4161: Reasonable Food and Beverage Accommodation
Effective Date: Upon Governor’s Signature
HB 4161 recognizes the realities that many school board members and other local public officials are volunteers who give up evenings and weekends to serve their communities. When meetings run through dinner, providing a simple meal helps people stay engaged and focused. HB 4161 restores a governing body’s ability to provide food and beverages to public officials during long public meetings without treating it as compensation.
❌ House Bill 4011: Class Size Mandatory Subject of Bargaining
HB 4011 would have expanded requirements to bargain over class size and caseload in all Oregon schools (it is currently a mandatory subject at Title I schools). The bill also included a new provision (in the -1 amendment) making student discipline related to staff safety a mandatory subject; lawmakers chose not to advance the bill out of the House Labor and Workforce Development Committee. There will likely be a work group on concepts from this bill following the legislative session. As history has shown, an iteration of this bill will likely be considered in the 2027 Legislative Session.
❌ Senate Bill 1505: Home and Community-Based Services Workforce Standards Board
The state has approximately 48,000 direct care workers, many of whom provide care in home and community-based settings. This workforce provides vital care to children, older adults and people with disabilities, making it possible for them to live in dignity. SB 1505 would have created the Home and Community-Based Services Workforce Standards Board to bring workers, employers, individuals who receive care services, and government representatives together to collaborate and develop solutions. By studying the sector’s unique challenges, the board would have set reasonable standards on such things as staffing levels, training, compensation, and other workplace conditions.
❌ House Bill 4093: Physical Requirements and Reasonable Accommodation
HB 4093 would have expanded protections for workers with disabilities by:
- Directing the Oregon Bureau of Labor and Industries to create guidance and informational materials so employers understand their obligations and employees understand their rights;
- Prohibiting an employer from denying an employee’s request to have an authorized representative present in discussions about reasonable accommodation; and
- Preventing employers from using minimum physical requirements in job postings to screen out people with disabilities unless those requirements are connected to the essential functions of the job.
Special Education
✅ Senate Bill 1518: Companionship Services Covered by Wage and Hour Protections
Effective Date: January 1, 2027
SB 1518 ensures that homecare and domestic workers in Oregon will continue to receive minimum wage and overtime protections, regardless of changes to federal rules, by clarifying the definition for “companionship services” includes direct support professionals (DSPs) who work for a third-party provider agency are covered by state wage and hour protections.
✅ House Bill 4039: Oregon Health Authority Capitation Rate Process Adjustments
Effective Date: Upon Governor’s Signature
Health care rates are on the rise. In 2026, OHA saw a trend of 10.6% growth in cost for capitation rates (per-member-per-month) for coordinated care organization (CCO) payments, after a decade of growth averaging at 3.7%. HB 4039 directs OHA to modernize its capitation rate setting process by creating a data-driven, transparent process that reconciles data with OHA’s actuaries to ensure adequate and reasonable funding is achieved. CCOs provide a range of health services to their members, including physical, oral, and behavioral health care. Currently, 15 CCOs operate regionally across Oregon, serving more than 1.4 million of the state’s OHP members. CCOs receive a five-year contract from the state and a fixed-growth budget from which to coordinate services for their members. CCO capitation rates, the per-member-per-month payments paid by OHA, are set annually following federal and state regulations. Historically, CCO rates are developed using previous years’ experience, but in current years costs are inflating significantly from previous years.
✅ House Bill 4083: Behavior Health Credentialing
Effective Date: June 6, 2026
HB 4083 represents the first set of recommended actions from the Behavioral Health Talent Council, chaired by First Lady Aimee Kotek Wilson. It will require OHA to adopt a centralized credentialing process for behavioral health workers, allowing qualified workers to begin providing care sooner and reducing administrative burden on providers. Additionally, HB 4083 will allow for master’s-level clinicians under Board of Licensed Social Workers and the Board of Licensed Professional Counselors and Therapists to be supervised by any qualified supervisor (as determined by the boards) regardless of license type. This goal of the bill is to expand access to clinical supervision and allow qualified clinicians to enter the workforce faster so they can start treating patients and advance in their career.
✅ House Bill 4115: Background Check Extension for Behavior Health Providers
Effective Date: June 6, 2026
Currently, many behavioral health providers and caregivers must complete a background recheck every two years. HB 4115 extends the recheck cycle from two years to three years. The bill also expands portability, so a caregiver with a valid background check can move between similar care settings without starting the process from scratch.
❌ Senate Bill 1505: Home and Community-Based Services Workforce Standards Board
The state has approximately 48,000 direct care workers, many of whom provide care in home and community-based settings. This workforce provides vital care to children, older adults and people with disabilities, making it possible for them to live in dignity. SB 1505 would have created the Home and Community-Based Services Workforce Standards Board to bring workers, employers, individuals who receive care services, and government representatives together to collaborate and develop solutions. By studying the sector’s unique challenges, the board would have set reasonable standards on such things as staffing levels, training, compensation, and other workplace conditions.
❌ Senate Bill 1572: Student Discipline and Essential Skills Requirements
SB 1572 was organized into three main sections: 1) student discipline 2) essential skills and 3) reading standards. In the student discipline section, the bill would have required school district boards to amend their policies and procedures relating to student behavior, discipline, safety, and support. In the essential skills section, the bill would have reinstated the essential skills requirements starting on January 1, 2027. On the reading standards, the bill would have updated the language arts standards to align with the science of reading and writing and issued requirements to retain students if they did not achieve third grade reading proficiency starting in the 2026-27 school year. The bill did not advance out of the Senate Education Committee. Advocates across the education space, particularly those in special education cited concerns that this bill could disproportionately impact children with disabilities needing support rather than discipline. There were also concerns that this would exacerbate discipline disparities for children of color, because of implicit bias.
❌ House Bill 4011: Class Size Mandatory Subject of Bargaining
HB 4011 would have expanded requirements to bargain over class size and caseload in all Oregon schools (it is currently a mandatory subject at Title I schools). The bill also included a new provision (in the -1 amendment) making student discipline related to staff safety a mandatory subject; lawmakers chose not to advance the bill out of the House Labor and Workforce Development Committee. The new provisions around student discipline raised concerns around civil rights and access for all students to public education. There will likely be a work group on concepts from this bill following the legislative session. As history has shown, an iteration of this bill will likely be considered in the 2027 Legislative Session.
Student Health and Safety
✅ Senate Bill 1504: Epinephrine Administration in Schools
Effective Date: January 1, 2027
SB 1504 allows schools to provide epinephrine in schools by methods other than injections, like intranasally. It also updates training requirements related to the administration of epinephrine to include any premeasured dose of epinephrine.
✅ Senate Bill 1547: New Classification of Licensed Behavioral Health Practitioners
Effective Date: June 6, 2026
SB 1547, which establishes a new category of licensed behavioral health and wellness practitioners in Oregon, overseen by the Oregon Board of Psychology. These practitioners would be qualified to provide prevention-oriented services, including early identification of behavioral health concerns, psychoeducation, skills training, brief interventions, risk identification and referral, and collaboration with other providers. The goal of creating a new mid-level mental health professional is to improve access to care without placing patients at risk.
✅ Senate Bill 1571: Closing Loopholes on Nicotine Pouches
Effective Date: June 6, 2026
SB 1571 regulates nicotine products and making them part of Oregon tobacco law. Currently, nicotine pouches are not regulated just like other smokeless tobacco products, cigarettes, e-cigarettes and vapes, and cigars. Nicotine pouches come in a variety of flavors including berry, mint and citrus, and have become increasingly popular with children. After passage of SB 1571, a person must be 21 years and older to purchase nicotine products; nicotine products must be purchased in person at a licensed store, not online. Additionally, retailers selling nicotine products will receive annual compliance inspections to ensure they are not selling to youth or providing samples and sales promotions.
✅ Senate Bill 1598: Vaccination Coverage and Recommendations
Effective Date: Upon Governor’s Signature
SB 1598 requires state-regulated health plans to cover preventive health services, such as immunizations. It also authorizes the state Public Health Officer to make recommendations for immunizations and issue standing orders for providers to dispense drugs and devices. Any evidence-based immunizations recommended by the public health officer would be in addition to the federally required immunizations. With uncertainty at the federal level, other members of the West Coast Health Alliance, including California and Washington, have taken similar action to ensure Oregon families retain access to immunizations.
✅ House Bill 4039: Oregon Health Authority Capitation Rate Process Adjustments
Effective Date: Upon Governor’s Signature
Health care rates are on the rise. In 2026, OHA saw a trend of 10.6% growth in cost for capitation rates (per-member-per-month) for coordinated care organization (CCO) payments, after a decade of growth averaging at 3.7%. HB 4039 directs OHA to modernize its capitation rate setting process by creating a data-driven, transparent process that reconciles data with OHA’s actuaries to ensure adequate and reasonable funding is achieved. CCOs provide a range of health services to their members, including physical, oral, and behavioral health care. Currently, 15 CCOs operate regionally across Oregon, serving more than 1.4 million of the state’s OHP members. CCOs receive a five- year contract from the state and a fixed-growth budget from which to coordinate services for their members. CCO capitation rates, the per-member-per-month payments paid by OHA, are set annually following federal and state regulations. Historically, CCO rates are developed using previous years’ experience, but in current years costs are inflating significantly from previous years.
✅ House Bill 4083: Behavior Health Credentialing
Effective Date: June 6, 2026
HB 4083 represents the first set of recommended actions from the Behavioral Health Talent Council, chaired by First Lady Aimee Kotek Wilson. It will require OHA to adopt a centralized credentialing process for behavioral health workers, allowing qualified workers to begin providing care sooner and reducing administrative burden on providers. Additionally, HB 4083 will allow for master’s-level clinicians under Board of Licensed Social Workers and the Board of Licensed Professional Counselors and Therapists to be supervised by any qualified supervisor (as determined by the boards) regardless of license type. This goal of the bill is to expand access to clinical supervision and allow qualified clinicians to enter the workforce faster so they can start treating patients and advance in their career.
✅ House Bill 4160: Cardiac Emergency Response Plans
Effective Date: July 1, 2027
Advocacy organizations like the American Heart Association have previously introduced measures that will require school districts to update safety plans, train more staff in cardiopulmonary resuscitation (CPR), and purchase more automated external defibrillators (AEDs). HB 4160 is a slimmed down version of legislation that did not move forward in 2025. The bill will require every public and private school in the state to have an updated cardiac emergency response plan for responding to medical emergencies and will require all athletic coaches and other key staff to be trained in cardiopulmonary resuscitation and the use of AEDs by July 1, 2027.
✅ House Bill 4115: Background Check Extension for Behavior Health Providers
Effective Date: June 6, 2026
Currently, many behavioral health providers and caregivers must complete a background recheck every two years. HB 4115 extends the recheck cycle from two years to three years. The bill also expands portability, so a caregiver with a valid background check can move between similar care settings without starting the process from scratch.
Technology
✅ Senate Bill 1546: Artificial Intelligence Companions Notification
Effective Date: January 1, 2027
According to a Harvest Business Review survey, roughly a third of young adults reported turning to AI for help with their personal life, including “advice about relationships or life decisions,” 1 in 4 reported using chatbots “as a friend,” and 1 in 10 said they used an AI chatbot as a romantic partner. Legislatures in states including California, Illinois, Nevada, New York, and Utah have acted to regulate the use of AI in behavioral health treatment, to direct chatbots to detect instances of potential self-harm, and to refer users of AI chatbots to crisis hotlines. The Federal Trade Commission has issued orders to seven companies that provide consumer-facing AI-powered chatbots to understand how the operators measure, test, and monitor potentially negative impacts of AI companion chatbot technology on children and teens. SB 1546 establishes strong, common-sense consumer protections by requiring AI operators to clearly disclose when a user is interacting with AI rather than a human. It mandates the implementation of evidence-based safety protocols designed to prevent AI from encouraging or reinforcing suicidal or self-harm ideations, including requirements to interrupt conversations if that risk is detected. SB 1546 establishes clear, evidence-based crisis response protocols when risk is identified In addition, it requires special disclosures and safeguards for minors.
❌ House Bill 4055: Public Body Cyber Attack Reporting
HB 4055 would have required public bodies to report cyber attacks to the state chief information officer within 48 hours. Many public entities, including education organizations agreed that coordination with the state during attacks was a good policy, but the 48-hour time frame and lack of resources to help public bodies in need caused concerns. This bill will likely be back in 2027.
❌ House Bill 4103: State Commission on Artificial Intelligence
HB 4103 would have created the Senator Aaron Woods Commission on Artificial Intelligence. The commission would have been tasked to identify uses of artificial intelligence systems by the state that present or create high risk, conduct literature and policy reviews, assess alignment or conflict between federal and state artificial intelligence laws, and develop recommendations regarding state use of artificial intelligence to support or make decisions regarding employment and the mitigation of potentially discriminatory outcomes. The Oregon Department of Administrative Services would have employed, at the appointment of the state's chief information officer, a strategic artificial intelligence, data protection and privacy official to support the commission’s work.
Workforce, Career Technical Education
✅ Senate Bill 1512: Prosperity 10,000 Program Expansion
Effective Date: January 1, 2027
In 2022, the legislature enacted a $200 million package of workforce development investments known as Future Ready Oregon (SB 1545). Of that investment, $35 million was directed toward local workforce development boards under a program known as Prosperity 10,000. Among the purposes and goals of Prosperity 10,000 is providing paid work experience for individuals from priority populations and ensuring that services and benefits available through workforce programs are provided to them.
Future Ready Oregon included multiple grant programs that were directed to prioritize participation from priority populations, allow priority to be given to grant proposals that demonstrate effective strategies for engaging priority populations, or permit funds to be used for the recruitment of and outreach to priority populations. Priority populations include: Communities of color, women (with a goal of at least 50% participation), low-income individuals and families, rural and frontier residents, veterans, persons with disabilities, incarcerated and formerly incarcerated individuals, members of Oregon’s nine federally recognized tribes, LGBTQ+ individuals and disconnected youth. Prosperity 10,000 grants can go to educational institutions, nonprofit CBOs, labor organizations and other workforce service providers.
SB 1512 makes the following changes to the Prosperity 10,000 Program:
- Expands the population that Prosperity 10,000 can serve. More than 10,000 individuals now.
- Requires local workforce boards to align the administration of Prosperity 10,000 with critical workforce shortages and strategic workforce opportunities
- Requires local boards to consider how entities’ grant funding proposals demonstrate engagement with priority populations in targeted industry sectors, including collaboration with industry and education partners (K-12 was added here).
- Extends Prosperity 10,000 Program by permitting the Higher Education Coordinating Commission (HECC) to distribute additional funds appropriated by the legislature to local workforce development boards.
