Gov. Tina Kotek speaks at Shepherd’s House Ministries in Redmond in August.

SALEM — The urban growth boundary expansion working its way through the Oregon Legislature is often billed as a “one-time” bypass of the state’s normal land use processes.

However, Gov. Tina Kotek doesn’t appear ready to take such options off the table in the future, at least until she sees how effectively the proposed changes will boost housing availability.

“I think we have to see how it works,” Kotek said during a Feb. 28 roundtable interview with reporters from the EO Media Group. “At this point, I don’t think we need another tool, but we’re going to continue to evaluate year after year.”

Under comprehensive legislation to reduce Oregon’s housing shortage, Senate Bill 1537, cities can add up to 100 acres to their urban growth boundaries without undertaking analyses legally required under the state’s land use system.

The Portland metropolitan area would also be able to circumvent those steps to increase its UGB by 300 acres, subject to certain constraints.

The proposal appears to be heading for a vote on the Senate floor after winning approval from the Joint Ways and Means Committee on Feb. 28, but it’s still drawing criticism from some land use advocates, who fear such work-arounds are becoming commonplace.

Critics of the “one-time” UGB expansion say such actions have already become normalized, as legislation passed last year allows the government to take similar steps to accommodate microchip manufacturing and residential development in Eastern Oregon.

During the interview, Kotek was twice asked if she was willing to commit to SB 1537 being the last “one-time” UGB expansion that she’ll support during her tenure as governor.

‘An evolving conversation’

Rather than make such a commitment, Kotek said only that “we have to see how it works” and that it’s “going to be an evolving conversation about housing production” that includes other factors beyond the land supply.

As the impacts are examined over time, “then we can engage in a thoughtful process about whether we need to tweak anything,” Kotek said. “Right now, I think it’s what we need and I think we’re going to have success with it, so I don’t know that we have to have any changes.”

Kotek’s answer wasn’t reassuring to farmland protection advocates who worry that lawmakers are repeatedly overriding UGB procedures meant to encourage in-fill and contain sprawl.

Comments ‘disturbing’

Aileen Kaye, a member of the Friends of Marion County nonprofit, called the governor’s comments “disturbing” and “very discouraging,” as they seem to undermine her earlier rhetoric of a “one-time” UGB expansion.

“Sounds like a false promise to me,” Kaye said.

The microchip manufacturing bill and the Eastern Oregon residential development bill “both violate UGB procedures,” and now SB 1537 “unnecessarily utilizes farmland for housing developments,” she said.

Kotek is joining with other proponents of weakening land use protections “to severely erode Oregon’s quality of life and our agricultural base,” Kaye said.

It’s concerning that Kotek advocates the UGB bypass regardless of the housing needs analysis required under another bill passed in 2023, which was meant to encourage middle-income housing, said Lauri Segel, legal analyst for the Landwatch Lane County nonprofit.

“Yet she continues to push for more of the same, each time with more loopholes for developers,” Segel said.

Defending the expedited UGB expansion, Kotek stressed it requires at least 30% affordable housing and won’t be available to cities unless they don’t have enough such homes or buildable land within their existing boundaries.

The bill also directs UGB expansions toward previously designated “urban reserves” and “non-resource lands,” which is meant to prevent development on prime farmland and forestland.

The expedited process is meant to speed the ability of cities to expand onto land they eventually could’ve added to their UGBs anyway, Kotek said.

‘A narrow tool’

“It’s a narrow tool. In fact, we got pushback that it’s too narrow,” she said. “Not every community can take advantage of it, not every community can use it.”

Some supporters of expedited UGB expansion, such as the city of Hillsboro, have complained they likely won’t be able to use the process because it sets such a high bar.

Specifically, the bill excludes cities that recently added to their UGBs and still have more than 20 acres available for residential development, unless they can prove insufficient access to affordable housing.

Emphasizing the need for ongoing assessments, Kotek said the UGB process may need tightening up if it’s not as protective as intended.

However, she also left open the possibility of future changes if the procedures prove too constrictive.

“I know there’s a lot of concern. We’re going to watch it, we’re going to see how it’s going. If it has to be adjusted because it’s being misused, I want to hear about it,” Kotek said. “If it’s not crafted in a way that’s having an effect, we need to talk about that, too.”

The governor rejected the suggestion that Oregon is now prioritizing housing production over farmland preservation, arguing the two goals aren’t mutually exclusive.

“I don’t think this is a competition. This is not an either/or conversation,” she said. “I think we can have our land use system protect our vibrant farms, our forestland, those things we all hold dear and still have additional housing that, frankly, is important for every community.”

Groundwater restrictions

Asked how proposed restrictions on groundwater pumping will square with the need to build more homes, Kotek acknowledged it’s a tough problem that must be confronted by the next director of the Oregon Water Resources Department, who is currently being recruited.

She said the state should be able to accommodate both needs, saying more information should be available in the next couple months.

“I don’t have a good answer, other than that this is a critical conversation,” Kotek said.

During the interview, Kotek touched on subjects related to housing, such as its importance in fighting homelessness, as well as a variety of other topics, such as improving the state’s abysmal educational rankings and building stronger drug abuse prevention and treatment programs.

Cap-and-trade stance

The governor was noncommittal about the prospect of adopting a cap-and-trade system to reduce carbon emissions, instead endorsing the Department of Environmental Quality’s existing Climate Protection Program to shift away from fossil fuels.

“Right now, that’s the program I’m supporting,” Kotek said.

The basic concept for cap-and-trade is to limit carbon emissions, then allow companies who exceed those thresholds to bid on allowances.

Kotek said she’s heard praise from unexpected quarters for a market-based approach for capping emissions and trading allowances, but isn’t sure if such a system is in Oregon’s future.

“I don’t have a position about where we’re going,” she said.