Proposed Changes to the Allocation of Federal Funding Will Have Devastating Effects on Oregonians

A proposed change in how federal funding is allocated is based on political priorities over the needs of communities or the merits of projects, says Oregon Governor Tina Kotek.

Kotek Calls for an Extended Public Comment Period

Kotek is appealing to the Trump Administration to withdraw the proposal and to extend the public comment period by at least 90 days “to allow states, local governments, and stakeholders enough time to fully evaluate the far-reaching changes.”

In a press statement, the Governor says the proposal will make it more difficult “for states like Oregon” to deliver the services on which its residents rely. This includes healthcare, public safety, education, and emergency preparedness.

The State is Concerned That Political Appointees Will Have Greater Power Over Federal Grant Allocations

In a letter to the Office of Management and Budget (OMB), the state outlined several concerns, including that political appointees would have greater authority over funding allocation, “based on vague and subjective standards.”

Oregon points out that the removal of fixed grants will create uncertainty for states, local governments, Tribes, nonprofits, hospitals, universities, and community organizations, with devastating consequences for residents.

Oregon received $21.5 billion during the 2025 financial year to deliver critical services, including wildfire preparedness, coastal resilience, improvements to the transportation network, disaster recovery, healthcare, housing, education, food assistance, and economic development.