Oregon Faces Economic Challenges: Intel Layoffs, Transportation Taxes, and SNAP Benefits Battle Ahead
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In legislative action, the Oregon Legislature has crossed the halfway mark of its 2025 session and remains focused on a multi-billion-dollar transportation package designed to raise nearly $2 billion per biennium. This plan would dramatically increase the state’s gas tax, add new fees for electric and delivery vehicles, and introduce sales taxes on vehicles and tires. The proposal has sparked controversy, with the Oregon Farm Bureau now backing a referendum effort to push back against what it calls “record tax increases.” A Special Session resulted in the Senate passing a $4.3 billion, ten-year infrastructure investment, targeting roads, bridges, and transit services.
On the business front, Oregon’s largest private employer, Intel, is downsizing again. Oregon Public Broadcasting reports that an additional 669 layoffs are coming before year-end, bringing total cuts in 2025 to over 3,100 jobs. Statewide unemployment has inched up to 5 percent, and manufacturing is down 4.5 percent from last year. Economic experts, such as John Tapogna at the Lane County economic summit, have noted a slow economic outlook, pointing to declining birth rates, less mobility, and slow population growth as headwinds. However, city leaders in Eugene and Springfield hope upcoming redevelopment and airport expansion projects will provide a boost.
In education, some school districts are launching major modernization projects in Portland and Oregon City. Construction on new facilities and upgrades is underway, but declining student enrollment and budget constraints are putting pressure on urban school districts. According to OPB, the Corvallis area is even weighing possible school closures if funding continues to shrink. Meanwhile, the Bend-La Pine School District is piloting an affordable housing initiative for its school employees, aiming to retain staff in the high-cost area.
Infrastructure remains a focus statewide. The Oregon Department of Transportation is preparing to award over $30 million in contracts for improvements to Interstate 84 in Malheur County and Portland has earmarked funds for elevator modernization and high school campus upgrades. Notably, the Department of Environmental Quality announced nearly $11.5 million in grants toward clean diesel infrastructure and emissions reductions, with projects from Eugene to Portland slated to significantly improve air quality.
Oregon hasn’t seen major weather disruptions in recent days, though focus remains on transportation as the winter season approaches.
Looking ahead, listeners can expect continued debate on transportation taxes, more fallout from statewide employment shifts, and early impacts from school district budget decisions. The fate of the SNAP dispute and its legislative consequences also warrant close attention in coming weeks. Thank you for tuning in and don’t forget to subscribe. This has been a quiet please production, for more check out quiet please dot ai.
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