Oregon Gov. Kotek Signs $150M Wildfire Defense Bill into Law

SALEM, Ore. — Governor Tina Kotek on Tuesday signed House Bill 3940 into law in Beaverton, cementing a bipartisan push to arm Oregon against its worsening wildfire crisis. The legislation, paired with House Bill 5006 and budget bills Senate Bill 5521 and Senate Bill 5538, allocates $150 million over the next two years for wildfire response and $117 million in new dedicated funds for community prevention and resilience.[1] It establishes a State Forestry Department Large Wildfire Fund, fueled by interest from the state's Rainy Day Fund and taxes on oral nicotine products like Zyn pouches, projected to generate $43 million biennially for mitigation projects such as forest thinning.[1][7] Lawmakers advanced the bill in June 2025 despite a House Republican boycott, securing bipartisan backing from figures like Rep. Bobby Levy, R-Echo, who stressed its unity across urban and rural divides: "Whether you live in a small timber town or a city choked with smoke each summer, this is a statewide issue."[2] The measure dedicates funding to the Landscape Resiliency Fund and Community Risk Reduction Fund, marking Oregon's first permanent wildfire mitigation revenue stream and reducing reliance on emergency borrowing after 2024's payment delays to contractors.[2][3] Last season alone, over 1.9 million acres burned, prompting a December special session for $218 million in urgent aid.[2] The signing builds on 2021's $600 million wildfire investments via Senate Bill 762, which boosted firefighter capacity, youth training and a Wildfire Programs Advisory Council.[4] Additional 2025 reforms raised timber harvest taxes, landowner fees in forested zones and created an emergency loan process for the Oregon Department of Forestry.[7] While fire agencies sought more, the package triples the emergency wildfire fund and streamlines federal reimbursements, averting future special sessions.[1][7]