Oregon Governor Kotek Proposes $160M Rainy Day Fund Use for Wildfire Funding

Oregon Governor Tina Kotek is proposing a short-term solution to fund wildfire mitigation and response by using $161 million in interest income from the state’s nearly $1.9 billion 'rainy day' fund, due to the lack of a long-term funding mechanism from the legislature. With the 2025 fire season underway and recent devastating fires like the Rowena Fire, Kotek has urged lawmakers to allocate as much one-time funding as possible before the legislative session ends, while acknowledging that a sustainable funding source likely won't be established this session. Bipartisan support exists for using state reserves as a temporary fix, but efforts to redirect portions of the state's 'kicker' tax rebate for wildfire funding face steep political hurdles requiring a two-thirds legislative majority. Lawmakers remain divided, with Democrats pushing for new funding sources and Republicans favoring budget rearrangements, and a stakeholder group has recommended a $280 million biennial wildfire budget. Kotek has expressed frustration over the lack of progress on long-term wildfire funding, emphasizing the need for immediate action to maintain wildfire readiness and community safety. The Trump administration's push for states to bear more disaster response costs adds urgency to Oregon's funding challenges.