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OregonHB 40652026 Regular SessionHouseWALLET

Relating to seed contract payments; and declaring an emergency.

Sponsored By: Anna Scharf (Republican)

Signed by Governor

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 1 benefits, 1 costs, 1 mixed.

Stronger grower protections, stricter seed dealer payments

The law took effect on passage and covers agricultural, grass, and other seed production and purchase contracts. After a producer or grower reports nonpayment, Oregon's Department of Agriculture may check whether payment is overdue. If it finds nonpayment, it must send the dealer a written notice requiring payment within 30 days. Dealers must pay the overdue amount plus simple interest from the final payment date. The monthly interest rate is 1 percentage point above the bank prime rate in the latest Federal Reserve H.15 release. Dealers must also send the department written notice and proof of payment within those 30 days. If payment remains unpaid, the department must suspend the dealer's license until it verifies all producers and growers are paid up. Unpaid producers and growers gain permission to sell contract seed still in their possession in a commercially reasonable way. This permission does not replace other consent methods or terms, and growers keep their right to file liens. Contracts cannot change these payment remedies. Notices and suspensions follow state administrative review rules, but the suspension procedure in ORS 183.430(2) is barred.

Lower payment-check fees for other seed growers

For other seed production or purchase contracts, Oregon's payment-check fee cap falls from $200 to $100. This fee applies when the Department of Agriculture checks whether a producer or seed grower was paid. The department may charge less than $100 or nothing.

Higher payment enforcement fees for seed growers

Oregon's Department of Agriculture may charge producers or seed growers higher fees for seed payment enforcement. For agricultural or grass seed contracts, the payment-check fee cap rises from $50 to $100. The written payment-deadline notice fee cap rises from $200 to $400 for those contracts. For other seed contracts, the notice fee cap rises from $50 to $400. These are maximum fees per service; the department may charge less or nothing.

Sponsors & Cosponsors

Sponsor

  • Anna Scharf

    Republican • House

Cosponsors

  • Bobby Levy

    Republican • House

  • Janeen Sollman

    Democratic • Senate

Roll Call Votes

All Roll Calls

Yes: 93 • No: 0

Senate vote • 3/3/2026

Third reading. Carried by Nash. Passed.

Yes: 28 • No: 0

Senate vote • 2/26/2026

Natural Resources and Wildfire: Heard and Reported Out

Yes: 5 • No: 0

House vote • 2/17/2026

Third reading. Carried by Scharf. Passed.

Yes: 49 • No: 0

House vote • 2/11/2026

Agriculture, Land Use, Natural Resources, and Water: Heard and Reported Out with Amendments

Yes: 11 • No: 0

Actions Timeline

  1. Chapter 41, (2026 Laws): Effective date March 31, 2026.

    4/6/2026House

  2. Governor signed.

    3/31/2026House

  3. President signed.

    3/5/2026Senate

  4. Speaker signed.

    3/4/2026House

  5. Third reading. Carried by Nash. Passed.

    3/3/2026Senate

  6. Second reading.

    3/2/2026Senate

  7. Recommendation: Do pass the A-Eng. bill.

    3/2/2026Senate

  8. Public Hearing and Work Session held.

    2/26/2026Senate

  9. Referred to Natural Resources and Wildfire.

    2/19/2026Senate

  10. First reading. Referred to President's desk.

    2/19/2026Senate

  11. Third reading. Carried by Scharf. Passed.

    2/17/2026House

  12. Potential conflict(s) of interest declared by Scharf.

    2/17/2026House

  13. Second reading.

    2/16/2026House

  14. Recommendation: Do pass with amendments and be printed A-Engrossed.

    2/13/2026House

  15. Work Session held.

    2/11/2026House

  16. Public Hearing held.

    2/9/2026House

  17. Referred to Agriculture, Land Use, Natural Resources, and Water.

    2/2/2026House

  18. First reading. Referred to Speaker's desk.

    2/2/2026House

Bill Text

  • HALNRW Amendment -1 (Adopted)

    2/11/2026

    PDF

  • HALNRW Amendment -1 (Proposed)

    2/9/2026

    PDF

  • A-Engrossed

    PDF

  • Enrolled

    PDF

  • House Amendments to Introduced

    PDF

  • Introduced

    PDF

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