SALEM, ORE. (FEB. 16, 2026) – The Oregon Revenue Coalition released the following statement about the passage of S.B.1507 in the Oregon Senate:

“The Oregon Revenue Coalition commends the Oregon Senate for passing S.B.1507, a bill that will save the state of Oregon an estimated $311 million in 2026 and help protect programs working families rely on. We also applaud the Working Families Caucus for holding their colleagues accountable to protecting Oregon families from Trump administration policies that overwhelmingly benefit corporations and the ultra-wealthy. 

This bill disconnects Oregon from some of the most egregious federal tax provisions in H.R. 1, joining the vast majority of states that either don’t automatically connect to federal tax code changes or have passed legislation to disconnect from these handouts to the ultra-wealthy. S.B. 1507A ensures that corporations and wealthy investors—who will still receive these tax breaks on their state and federal tax returns in the 2025 tax year—cannot double dip by claiming the same benefits on their Oregon taxes in 2026. By disconnecting from 100% bonus depreciation, the auto loan interest deduction, and the qualified small business stock (QSBS) exclusion in the 2026 tax year, Oregon protects revenue that would disproportionately flow to the top 1% of earners, while working families struggle to afford basic necessities. 

This is about fairness: those who benefit most from our economy should pay their fair share, especially when the Trump administration is championing tax policies in direct opposition to the values of the majority of Oregonians.

We particularly applaud the bill’s expansion of Oregon’s Earned Income Tax Credit, which will deliver meaningful relief to more than 200,000 low- and moderate-income taxpayers. The expanded EITC will generate approximately $41 million in economic activity, strengthening communities across Oregon.

While S.B. 1507 is a critical step forward, there is more work to do. We are hopeful the legislature will consider additional disconnections from H.R. 1 for the 2027 tax year to further protect Oregon families from federal policies designed to benefit the wealthy at the expense of everyone else. The $311 million protected by this bill helps stave off devastating cuts to housing assistance, healthcare, education, and social services that working families depend on—and the stakes will only get higher over the next four years as federal attacks on the social safety net intensify.

While the revenue forecast for 2026 was encouraging, the majority of federal program cuts are scheduled to take effect after the November 2026 general election, with an estimated $15 billion in cuts to safety-net programs over the next 10 years. We urge the House to pass S.B. 1507 immediately and send it to the Governor’s desk for final signature—without delay.”

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