Week one of Oregon’s 2026 legislative session

Today marks the beginning of the second week of what is shaping up to be an incredibly busy short session. As has been widely reported, there are several key themes that look to dominate the time and attention of legislators over the course of the next month.

Highlights from week one

  • Budget negotiations. As has been widely anticipated, Oregon is facing a steep budget deficit. While the most recent Oregon Economic and Revenue Forecast showed about a $100 million decrease in the projected deficit, deficit is still expected to be around $650 million this next biennium, and the Legislature will face difficult decisions on which programs to cut.
  • Decoupling from Federal Tax Code. One controversial method that several lawmakers are proposing to fill the budget hole is to partially decouple Oregon from the Federal Tax Code. While this is not being framed as a tax hike, it will inarguably result in a higher tax bill for some local Oregonians and their businesses, though will purportedly add nearly $300 million in tax revenue to help fill the budget hole.
  • Federal Response Legislation. The Oregon Legislature has also held hearings on and appears intent on enacting various laws in response to federal immigration policy. These bills cover a lot of ground, including significant impact to hospitals.

While we assume the best of intentions, Asante remains very concerned about the bill language in SB 1570-1 and echoes  the concerns set forth by the Hospital Association of Oregon in its February 4, 2026 testimony.

What’s coming this week
The Oregon Legislature has a busy week of hearings and work sessions ahead of them. The House Committee on Health Care is set to hold hearings or work sessions on a number of key bills.

Most notably to Asante, Tuesday afternoon’s public hearing will include HB 4074, which offers common sense but impactful changes to the hospital staffing law to help return the law to what the coalition originally negotiated, and provide significant financial and administrative relief.

Asante looks forward to testifying in support of this bill.

Other notable hearings and work sessions scheduled for next week include:

  • Integrity of Financial Assistance Laws (HB 4040) – this bill, among many other things, would help to preserve the integrity of Oregon’s presumptive financial assistance laws.
  • Bills to strengthen rural hospitals – work sessions are being held related to Rural Emergency Hospital licensing, tax credits for pharmacy services in rural communities and financial stabilization funding.
  • Cost Growth Target Relief (HB 4038) – this would delay penalties and corrective action plans under the Cost Growth Target Program until 2036.

We look forward to engaging with lawmakers on a number of important topics and will continue to advocate for health care and southern Oregonians!

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