{"id":574,"date":"2026-06-01T17:00:00","date_gmt":"2026-06-01T17:00:00","guid":{"rendered":"https:\/\/blogs.oregonstate.edu\/government\/?p=574"},"modified":"2026-06-02T15:01:43","modified_gmt":"2026-06-02T15:01:43","slug":"osu-government-relations-newsletter-3","status":"publish","type":"post","link":"https:\/\/blogs.oregonstate.edu\/government\/2026\/06\/01\/osu-government-relations-newsletter-3\/","title":{"rendered":"OSU Government Relations Newsletter"},"content":{"rendered":"
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June 2026<\/p>\n\n\n\n

This communication is an opportunity to learn more about the work conducted by the Office of Government Relations, state and federal policy actions, Tribal relations activities, and university engagements with elected officials. We encourage you to share it with your colleagues. They can also sign up to receive it using this link<\/a>.<\/p>\n\n\n\n

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Government Relations Update By: Katie Fast, Executive Director of Government Relations, and Katheryn Yetter, Policy & Government Relations<\/strong><\/p>\n\n\n\n

Revenue Up, Risks Remain: What Oregon\u2019s Latest Forecast Means<\/strong><\/p>\n\n\n\n

Oregon\u2019s May 20, 2026, Economic and Revenue Forecast<\/em> presented a cautiously optimistic outlook for the state budget, showing modest General Fund revenue gains from the last quarterly forecast ($345M or 1.9%) driven largely by stronger-than-expected corporate tax collections and consumer spending. The forecast suggested Oregon lawmakers would have somewhat more flexibility as they prepare for the 2027 legislative session, although economists emphasized that the state\u2019s financial position remains vulnerable to national economic uncertainty and uneven employment growth in the state. <\/p>\n\n\n\n

Despite the improved revenue picture, the forecast highlighted several warning signs in Oregon\u2019s broader economy: Employment growth has remained weak, with payroll gains flat or slightly negative even as national economic conditions improved. Economists noted that Oregon continues to lag behind the national economy in job creation, reflecting ongoing challenges in sectors sensitive to trade, manufacturing, and consumer demand. The state also remains exposed to federal policy shifts, including tariffs, tax policy changes, and interest rate movements, all of which could affect future revenue collections and economic growth. <\/p>\n\n\n\n

As we have reported previously, there continue to be state-level concerns regarding the impact of the federal H.R. 1 (Big Beautiful Bill), notably phased changes to SNAP and Medicaid that may reduce benefits for some Oregonians over time. During the 2027 legislative session, anticipated funding pressures resulting from these federal changes will be a significant issue for the legislature to tackle.<\/p>\n\n\n\n

Breakdown of the forecast<\/strong><\/p>\n\n\n\n