Chuck Slothower//March 14, 2025//
Oregon transportation officials on Wednesday wrangled with how to advance megaprojects while uncertainty surrounds federal funding.
Lindsay Baker, the Oregon Department of Transportation’s chief lobbyist, sought to assure transportation commissioners that federal funding will arrive.
“We are moving forward under the assumption that every grant award that we have received from the federal government is in fact coming to the state of Oregon, and we will be spending it as the feds have already committed to,” Baker told Oregon Transportation Commission members in a public meeting in Salem.
“The grant agreements have been executed,” she added. “That is why we are — at least I am — confident that we will be getting those funds at the end of the day.”
Federal funding is crucial to Oregon’s major transportation projects, including the Interstate 5 Rose Quarter Improvement Project, which is estimated to cost $1.5 billion to $1.9 billion, and the Interstate Bridge replacement project, which carried a $6 billion price tag, as determined in April 2023, that may now be higher.
Last year, ODOT won from the U.S. Department of Transportation (USDOT) a $450 million Reconnecting Communities grant for construction of I-5 covers that would reconnect the Lower Albina neighborhood. But the federal agency denied the request for a $750 million INFRA grant to pay for interstate improvements.
ODOT’s plans depend on funding arriving as expected, agency Director Kris Strickler said.
“We do have other plans in place,” he said. “Those plans are predicated on funding coming.”
The Trump administration has roiled state and local governments around the nation with scattered funding freezes. Few of those have focused on transportation to date, but other changes could disadvantage Oregon projects.
In February, U.S. Transportation Secretary Sean Duffy directed USDOT to prioritize “communities with marriage and birth rates higher than the national average” in allocating funding. Oregon ranks below average in both criteria.
The state Legislature has begun work on a major transportation funding package that will lay out priorities and how they will be funded for the next two years. Transportation issues have come to the political fore as legislators weigh changes to the weight-mile tax and the gas tax. There are efforts under way to simplify the weight-mile tax with fewer categories, while the gas tax has seen a steep revenue decline and could be tied to inflation.
Meanwhile, tolling has become a hot-button issue. One bill would ban ODOT from imposing tolls upon drivers.
ODOT is tracking 788 bills that could affect the agency’s mission, Baker said.
More bills than usual would provide specific funding for local transportation systems, including Powell Boulevard in Portland, as well as highways 30 and 101.
Another potential earmark would pay for graffiti, litter and camp cleanup.