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OregonSB 55302025 Regular SessionSenateWALLET

Relating to state financial administration; and declaring an emergency.

Sponsored By: Sponsor information unavailable

Signed by Governor

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Bill Overview

Analyzed Economic Effects

16 provisions identified: 11 benefits, 3 costs, 2 mixed.

Student and early learning funding set

For July 2025 through June 2027, the law sets three distributions from the Fund for Student Success. The Student Investment Account receives about $1.11 billion. The Statewide Education Initiatives Account receives about $559.44 million, and the Early Learning Account receives about $550.38 million. These fixed amounts replace percentage-based transfers for the two-year period.

Funding for addiction and mental healthcare

For July 2025 through June 2027, marijuana revenue provides about $192.33 million for the Drug Treatment and Recovery Services Fund. It also provides about $21.78 million for mental health and addiction services, plus $5.45 million for related addiction services. Tobacco settlement money provides about $15.31 million for community mental health programs. Lottery funds provide about $18.85 million for problem gambling treatment, replacing the usual percentage-based transfer for these two years. These allocations do not set individual payments or change eligibility.

Funding for schools and student programs

For July 2025 through June 2027, the State School Fund receives about $606.5 million from lottery funds. It also receives about $43.57 million from the Oregon Marijuana Account. Outdoor School receives about $48.06 million, replacing its usual capped, percentage-based transfer for these two years. The law also provides $3.1 million in tobacco settlement money for physical education grants authorized by state law. These are program allocations, not payments to families.

Funding for business and community development

For July 2025 through June 2027, lottery funds provide about $20.35 million for Business Development Department operations. They also provide about $75.38 million for business, innovation and trade, $5.87 million for infrastructure, and $1.54 million for the film office. The Governor’s Regional Solutions Program receives about $5.21 million. Counties receive about $59.78 million for economic development, replacing the usual percentage-based transfer for these two years. The law does not specify payments to individual businesses or households.

Lottery debt payments take funding priority

The law took effect immediately under an emergency clause. For July 2025 through June 2027, surplus lottery revenue stays in the Administrative Services Economic Development Fund after legally required distributions. Money held there on July 1, 2025, and afterward is reserved for the law’s specified commitments. The law allocates about $389.97 million for principal, interest, and any premium due on outstanding lottery bonds. When quarterly transfers fall short, bond payments come first and other covered allocations are reduced proportionately.

County fairs receive fixed lottery funding

For July 2025 through June 2027, lottery funds provide about $5.74 million to the County Fair Account. This fixed amount replaces the usual percentage-based transfer for these two years. The money supports county fairs, not direct household payments.

Funding for crime victims and children

For July 2025 through June 2027, criminal fine revenue provides about $10.7 million for crime victim compensation. It provides about $14.29 million for child abuse intervention and $959,151 for a statewide regional assessment center system. Another $811,868 funds services and administration for children eligible for compensation under ORS 147.390. Domestic violence services receive about $2.85 million for purposes authorized by ORS 409.292(1)(a)–(c), and the Sexual Assault Victims Fund receives $630,635. These allocations do not set individual award amounts or create new eligibility rules.

Funding for police training and court security

For July 2025 through June 2027, criminal fine revenue provides about $65.85 million for criminal justice training and standards. It also provides about $5.09 million for state court security and emergency preparedness. County court security accounts receive about $1.85 million. Separately, the State Police Account receives about $16.34 million from marijuana revenue. These allocations do not specify household payments or particular service changes.

Funding for veterans’ health and support

For July 2025 through June 2027, veterans’ lottery funding includes about $2.77 million for operations and $2.17 million for appeals and advocacy. It also includes about $15.25 million for partnerships and $3.6 million for aging veterans’ services. The Oregon Health Authority receives about $2.88 million for veterans’ behavioral health and $3.52 million for their dental program. The law provides $307,006 for veterans’ employment and apprenticeship outreach, plus $628,510 for veterans’ specialty courts. These allocations do not create individual payment amounts or new eligibility rules.

Sports programs receive fixed lottery funding

For July 2025 through June 2027, lottery funds provide about $18.85 million to the Sports Lottery Account. This fixed amount replaces the usual percentage-based transfer for these two years. The allocation does not set individual payments or eligibility rules.

Tobacco settlement money funds enforcement work

For July 2025 through June 2027, tobacco settlement money provides about $2.85 million to the Department of Justice. The money funds enforcement activities authorized by ORS 293.537. This allocation does not create a household payment or individual duty.

Oregon Health Plan receives settlement funding

For July 2025 through June 2027, tobacco settlement money provides about $98.07 million for Oregon Health Plan expenses. The allocation supports the health coverage program. This provision does not change members’ eligibility, coverage, or benefit amounts.

Earlier court security and technology funding cut

For July 2023 through June 2025, the law reduces two court allocations from criminal fine revenue. State court security and emergency preparedness funding falls from about $4.61 million to $3.82 million, a $792,500 cut. The State Court Technology Fund allocation falls from about $2.93 million to $0. These changes apply to that earlier two-year budget period.

Veterans’ funding faces revenue shortfall cuts

For July 2025 through June 2027, the state distributes Veterans’ Services Fund allocations quarterly. When lottery transfers cannot cover those allocations, the Department of Administrative Services must reduce them proportionately. The cuts must be large enough to cover the revenue shortfall.

Employer incentive fund loses lottery allocation

For July 2025 through June 2027, the Employer Incentive Fund receives no allocation from the Administrative Services Economic Development Fund. This removes that funding source for the two-year period. It does not permanently end the Employer Incentive Fund or prohibit funding from other sources.

Criminal fine funds protected but limited

The law bars specified General Fund transfers of Criminal Fine Account deposits from July 2023 through June 2027. For July 2025 through June 2027, criminal fine allocations are distributed monthly. When receipts cannot cover those allocations, the state must reduce them proportionately. The Department of Revenue receives $159,700 from the account for administrative costs during that two-year period.

Sponsors & Cosponsors

Sponsors

There is no primary sponsor on record.

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 96 • No: 3

House vote • 6/27/2025

Rules suspended. Third reading as Special Order of Business. Carried by Sanchez. Passed.

Yes: 50 • No: 0

Senate vote • 6/27/2025

Rules suspended. Third reading. Carried by Lieber. Passed.

Yes: 26 • No: 3

legislature vote • 6/24/2025

Ways and Means: Heard and Reported Out with Amendments

Yes: 20 • No: 0

Actions Timeline

  1. Effective date, August 7, 2025.

    8/13/2025Senate

  2. Chapter 632, 2025 Laws.

    8/13/2025Senate

  3. Governor signed.

    8/7/2025Senate

  4. Speaker signed.

    6/30/2025House

  5. President signed.

    6/30/2025Senate

  6. Rules suspended. Third reading as Special Order of Business. Carried by Sanchez. Passed.

    6/27/2025House

  7. Rules suspended. Made a Special Order of Business immediately.

    6/27/2025House

  8. Rules suspended. Second reading.

    6/27/2025House

  9. Recommendation: Do pass.

    6/27/2025House

  10. Referred to Ways and Means.

    6/27/2025House

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

    6/27/2025House

  12. Rules suspended. Third reading. Carried by Lieber. Passed.

    6/27/2025Senate

  13. Second reading.

    6/27/2025Senate

  14. (Amendments distributed.)

    6/27/2025Senate

  15. Recommendation: Do pass with amendments. (Printed A-Eng.)

    6/27/2025Senate

  16. Work Session held.

    6/24/2025Senate

  17. Returned to Full Committee.

    6/24/2025Senate

  18. Work Session held.

    6/24/2025Senate

  19. Assigned to Subcommittee On Capital Construction.

    1/18/2025Senate

  20. Referred to Ways and Means.

    1/17/2025Senate

  21. Introduction and first reading. Referred to President's desk.

    1/13/2025Senate

Bill Text

  • JWM Amendment -2 (Adopted)

    6/24/2025

    PDF

  • JWMCC Amendment -2 (Proposed)

    6/24/2025

    PDF

  • A-Engrossed

    PDF

  • Enrolled

    PDF

  • Introduced

    PDF

  • Senate Amendments to Introduced

    PDF

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