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In Stunning Loss for Democrats, Lawmakers Fail to Pass Transportation Funding Package

MARION COUNTY, OREGON, JUN 28 – The failed $11.7 billion transportation bill leaves Oregon Department of Transportation facing a $350 million deficit and potential layoffs affecting 600-700 workers, officials said.

  • The 2025 Oregon legislative session concluded in Salem without passing any transportation funding package for ODOT as of June 29.
  • The failure followed Democratic leaders acknowledging they lacked the votes to pass House Bill 2025, despite controlling both chambers with supermajorities.
  • Lawmakers attempted a final push to approve a reduced transportation funding plan that featured a modest increase in the gas tax by three cents along with higher vehicle registration fees, but the effort was unsuccessful due to opposition from Republicans.
  • Governor Tina Kotek said layoffs would begin the week of July 1, affecting 600 to 700 ODOT workers who provide essential services and blaming Republican refusal to allow procedural motions.
  • ODOT faces a structural revenue shortfall that requires legislative funding or flexibility, or else the agency and Oregon drivers will experience deep cuts and reduced service reliability.
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The Victoria AdvocateThe Victoria Advocate
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Gov. Kotek blames transportation package failure on Republicans ‘who just wanted to go home’

Gov. Tina Kotek blamed Republicans for the state Legislature’s failure to pass a bill this session that would have provided enough funding for the Oregon Department of Transportation to avoid layoffs. At a news conference Saturday morning, following a late-Friday-night…

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Oregon Capital Chronicle broke the news in on Friday, June 27, 2025.
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