Oregon Governor Threatens to Tap $161 Million Rainy Day Fund as Wildfire Funding Talks Stall

As lawmakers wrestle with ideas to raise funds to fight wildfires, Oregon Governor Tina Kotek says she will allocate all the interest from the state’s reserve fund if legislators fail to reach consensus by the end of the session.

Kotek Proposes to Use $161 Million From the State’s Reserve Fund

Kotek says she will use $161 million in interest earned from the state’s reserve fund for wildfire prevention over the next two years.

Also known as the “rainy day” fund, the interest is estimated at $100 million per biennium.
Meanwhile, lawmakers have scrapped a previous suggestion to add a non-refundable fee to bottle deposits.

Three Avenues of Additional Income Under the Microscope

Instead, they are now looking at taxing Zyn and Rogue which are nicotine pouches placed between lips and gums for absorption into the bloodstream. Taxes of between 0.65 cents and three cents are expected to raise $30 million.

Another suggestion is to raise company tax on logging from 0.625 cents per 1,000 feet of harvested boards to $1.

Lawmakers are also considering raising the fee that property owners pay to help cover the cost of fighting wildfires from $18.75 to between $20 and $25.