Oregon's Economic Outlook: Challenges and Opportunities Ahead in 2024

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Oregon's Economic Outlook: Challenges and Opportunities Ahead in 2024

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Oregon's economy is showing signs of improvement, but challenges remain as the state looks ahead to budget decisions. The Legislative Revenue Office released its December economic forecast showing net general fund and lottery resources are up 318.8 million dollars from September, though they remain down 635.9 million dollars since the close of session forecast in June. Education advocates are being urged to make a clear case for protecting K-12 programs from potential cuts in the 2025-27 budget, as other sectors including human services face significant pressure due to federal legislation changes affecting Medicaid and SNAP.

Governor Tina Kotek announced a new economic prosperity roadmap focused on permitting reform and global trade to address concerns about Oregon's business reputation. The state has faced criticism over job losses, with Oregon losing 25,000 jobs over the past year. Major employers including Intel and Nike have undergone repeated layoffs. However, the governor's office reports progress on housing, with 6,388 affordable housing units created since Kotek took office in 2023, positioning the state to build 250,000 additional units.

On the public health front, the Community Leaders for Health Organization is requesting 65.2 million dollars for local public health to prevent disease and equitably serve Oregonians. Federal pandemic funding has dried up, leaving public health understaffed with surveys predicting half of public health staff will retire or leave by the end of 2025.

Homelessness remains a pressing issue across Oregon. New data from Portland State University's Homelessness Research and Action Collaborative reveals that sheltered individuals on a single night in January reached approximately 8,840 people statewide, with numbers rising over the last two years despite significant local investments in addressing the crisis.

Weather conditions this week remain unseasonably warm with rain and high winds expected through next week across north-central Oregon and much of the Pacific Northwest. December will also bring the final supermoon of 2025, creating brighter skies and a second round of king tides along the Oregon Coast.

Looking ahead, legislators continue weighing hospice certificate of need reforms, while the state's insurance commissioner position has been filled with the appointment of TK Keen. Listeners should watch for continued economic policy developments as the state addresses its budget challenges and business climate concerns.

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