ODOT waves red flag about $350 million budget deficit

SALEM, Ore. (KGW/KTVZ) — The Oregon Department of Transportation is grappling with a looming financial crisis, as officials scramble to address a projected budget shortfall of more than $354 million over the next few years, KGW reports.

The agency, responsible for maintaining and improving the state's transportation infrastructure, has been under increasing pressure to find solutions amid rising costs and stagnant revenue streams.

Last year, ODOT narrowly avoided severe cutbacks in winter maintenance due to budget constraints. But the agency says the situation this year is even more dire, with lawmakers and transportation officials bracing for tough decisions ahead.

Governor Tina Kotek is expected to receive ODOT's proposed budget soon, which is likely to include requests for additional funding to bridge the shortfall. After reviewing it, Kotek will submit her own proposal to the Legislature. State lawmakers, in turn, are considering a package of measures that could include new taxes or fees to bolster transportation funding.

"We want to ensure that our roads and bridges remain safe and well-maintained," said ODOT communications director Kevin Glenn. "Less snow plowing and reduced maintenance could pose significant risks to public safety and economic activity across the state."

State Rep. Susan McLain, a Democrat, emphasized the need for a balanced approach to funding transportation infrastructure.

"We cannot afford to neglect critical investments in our transportation systems," she said.

State Sen. Chris Gorsek, also a Democrat, expressed cautious optimism about a potential fix being worked out during the 2025 legislative session, which is expected to focus heavily on transportation issues.

"It's a starting point," he said. "We need to find sustainable funding solutions that address both immediate needs and long-term infrastructure challenges."

ODOT's budget shortfall underscores broader concerns about funding stability for transportation projects across Oregon. The agency's ability to maintain essential services and infrastructure hinges on securing adequate financial support from state legislators.