Oregon Lawmakers Boost Wildfire Prevention with $267M in New Funding

SALEM, Ore. — Oregon lawmakers on June 23, 2025, passed House Bill 3940 with bipartisan support, even amid a House Republican boycott, securing $150 million over two years for wildfire disaster response and $117 million in dedicated funding for community prevention and resilience. Gov. Tina Kotek signed the bill into law in Beaverton, creating a State Forestry Department Large Wildfire Fund to ensure resources are available before catastrophic fires strike, reducing reliance on ad-hoc borrowing and delayed reimbursements. The funding draws from interest on the state's Rainy Day Fund and taxes on oral nicotine pouch products, marking the first permanent source for wildfire mitigation.

The measure builds on 2021 investments, including Senate Bill 762, which allocated nearly $200 million for wildfire response, recovery and mitigation, forming a Wildfire Programs Advisory Council and focusing on forest health, firefighter capacity and community preparedness. Rep. Pam Marsh, D-Southern Jackson County, championed early efforts, noting SB 762's role in coordinating state agencies, the State Fire Marshal and local communities to drive down costs through targeted restoration. HB 3940 complements budget bills like Senate Bill 5521 for the Oregon Department of Forestry and Senate Bill 5538 for the State Fire Marshal.

Lawmakers emphasized the statewide impact, with Rep. Bobby Levy, R-Echo, stating the bill unites urban and rural Oregonians against smoke-choked summers and timber town threats. Last fire season scorched 1.9 million acres, forcing a December special session to allocate $218 million in emergency funds after the state delayed payments to crucial contractors. Marsh called HB 3940 a 'crucial first step,' though not enough to fully address rising risks in fire-prone areas like Southern Jackson County and Eastern Oregon. Senate Democrats hailed it as a dual win for public health by taxing synthetic nicotine products while bolstering the Landscape Resiliency Fund and Community Risk Reduction Fund.