'Need to see change': OR lawmakers propose $200M for homeless, housing

PORTLAND, Ore. (KOIN) – In late February, Gov. Tina Kotek urged lawmakers to pass a $155 million package to address Oregon's homeless crisis, as housing committee members are calling for more -- tacking on policies for a $200 million package.

On Feb. 28, Kotek testified during a hearing on HB 5019, under the Oregon House Committee on Housing and Homelessness, pushing lawmakers to pass the $155 million package for homelessness and housing.

“My recommended budget urges you to make significant, additional investments to rehouse and prevent homelessness for more Oregonians, build and preserve more housing units statewide, and increase homeownership. We can and must rise to meet the moment," Kotek said during the hearing.

That bill includes $85.2 million for rehousing 1,200 households and expanding shelter capacity in emergency areas by 600 beds. An additional $33.6 million would be invested to homelessness prevention throughout the state and another $200,000 to develop a proposal for a long-term rental assistance program.

During her testimony, Kotek noted her initial proposal of $130 million, but said after speaking with lawmakers, the package now totals $155 million -- saying more investments towards housing and homelessness will need to be made in the next biennium budget.

With a state senate that claims to be "ready to answer" Kotek's call, the governor and other democratic lawmakers say they want a homelessness and housing package passed by mid-March.

Oregon Senator Kayse Jama (D-Portland) and Representative Maxine Dexter (D-Northwest and Downtown Portland) announced the legislature's $200 million package on Feb. 22 -- which Dexter says funds Kotek's asks and includes additional policy.

“Every Oregonian deserves to have access to safe and affordable housing in the community of their choice,” Dexter said in a press release announcing the package. “Each of my colleagues, no matter their party affiliation or elected office, understands our communities need to see change and that we must work together to make it happen. We have answered this moment of intense need with a swift and collaborative response. I am proud to put forth this package that will deliver bold and effective relief to every corner of the state.”

The $200 million Affordable Housing and Emergency Homelessness Response Package would fund Governor Tina Kotek’s Homelessness State of Emergency, which requested $130 million.

The legislature's package would also help meet Kotek’s goal of building 36,000 affordable housing units by speeding up production and using Oregon mass timber. A $20 million investment would be allocated for building affordable modular homes, which lawmakers say can be built faster than traditional construction.

The legislation would also make affordable housing a priority, under HB 2001, with each jurisdiction creating its own Housing Production Strategy, officials said.

As the lawmakers call for more funding than Kotek proposed, Rep. Dexter says their $200 million package is a "yes, and."

“We funded the ask of Governor Kotek fully – her $130 million ask – and we added to it with policies that will address the whole spectrum of the crisis that we see from unsheltered homelessness to unaffordable housing across the state," Dexter said.

Jama noted their package was a bipartisan effort saying, "this issue requires a sense of urgency and quick response from all of us." The senator added Democrat and Republican lawmakers met over the last two months to discuss addiction issues, housing production and ensuring accountability.

As far as oversight, Dexter says she and Jama will receive ongoing updates on homeless and housing projects under their bill and noted Kotek has made agency accountability a priority under her leadership.

“I will be the first one to say that there is an enormous problem, and this is not going to solve all of it,” Dexter said. “We have to get funds moving and get support on the ground so that we can start building the framework for ongoing support that we will have to make sure that we sustain.”

At least 6,633 people were reportedly homeless across the metro area in late January, according to a 2022 Point in Time Count.

“This is not a point in time that’s suddenly going to go away, we have to make sure that we continue to protect our communities with safe and affordable housing,” Dexter said. The representative added this is exemplified in Kotek’s plan to build 36,000 housing units per year saying, “without sufficient housing, this is going to be a long-term issue.”

While lawmakers have not given a specific timeline of when Oregonians can see results from the package, Jama explains, “this has been an ongoing issue and we’ve been under production for many, many years -- decades now. It requires both short and long-term strategy.”

The senator said short-term strategy includes getting unhoused individuals into shelters and housing. For the long-term, he says strategy should focus on housing production and ensuring the state meets Kotek’s ask of building 36,000 units per year.

Jama says 580,000 homes need to be built within the next 20 years adding, “that’s not going to happen overnight, but it requires all of us working together to make sure that happens.”

Meanwhile, Dexter says Oregon is already seeing housing progress.

“We are already seeing this; this is not the beginning of the effort. I was touring in Beaverton with Mayor Beaty and have seen some incredible units that are already housing people,” Dexter said. “And this is happening with shovel-ready land across our state. We just need to build more.”