Oregon has become one of the most expensive, least business-friendly states in the country. In Episode 35 of Oregon D.O.G.E., Representative Shelly Boshart Davis sits down with Senator Christine Drazan and Representative Lucetta Elmer to unpack how Oregon got here — and what needs to happen before it’s too late.
This conversation reveals the structural failures driving Oregon’s affordability collapse, including runaway regulation, anti-business policymaking, collapsing housing production, and a government culture that refuses to take responsibility for the consequences of its decisions.
Housing: A Promise of 36,000 Homes, Delivery of Only 11,000
Governor Tina Kotek promised to build 36,000 new homes a year. Instead, Oregon just posted its lowest housing production in a decade — barely 11,000 units built statewide.
Oregon now ranks:
- 48th in housing costs
- 42nd in homeownership
- 45th in affordability overall
- 7th lowest homeownership rate in America
Meanwhile, homelessness in Portland has increased 67% in three years — even as billions in taxpayer dollars were spent.
Why?
According to Drazan:
- Rent control policies are killing multifamily construction
- The CAT tax and regulatory costs make Oregon uncompetitive
- Permitting delays stretch into years
- Private developers are fleeing to other states
Lucetta Elmer shares a real-world example: simply expanding an RV park took over 770 days for one DEQ sign-off.
In Oregon today, it takes longer to get permission to build housing than to build the housing itself.
Business Climate: “Oregon Is Now 80th Out of 81 in Urban Investment”
Portland — once a national economic hub — is now the 80th out of 81 major metros for investment attractiveness.
Businesses are leaving or relocating their expansion plans out of Oregon because:
- Oregon ranks 47th for economic freedom
- Regulatory burdens are among the highest in the nation
- Corporate taxes and fees continue to rise
- Public-sector employment grows while private-sector jobs shrink
- Quality-of-life issues (crime, open-air drug use, homelessness) are driving customers away
The panel makes the case that Oregon’s government has openly declared business to be a “dirty word.”
“Disconnect”: The Hidden Tax Hike on Working Oregonians
Democrats are pushing to disconnect Oregon from the federal tax code (HR 1).
This means:
- No tax cut on tips
- No tax cut on overtime
- No tax relief for small business depreciation
- Thousands of dollars in higher taxes for working families
Instead of letting Oregonians keep their federal tax savings, the state wants to absorb them.
As Drazan puts it:
“‘Disconnect’ is a nice word for ‘tax hike.’”
Government Growth Over Public Good
Oregon’s government continues expanding even as services decline:
- 6% increase in government employment since 2020
- Massive DEI spending inside agencies
- Public employee unions shaping policy priorities
- School outcomes stagnating while standards are lowered
Meanwhile, families and job creators struggle under the weight of regulation, taxes, and declining safety.
Public Outrage and the Gas Tax Referendum
When Democrats forced through a $4.3 billion transportation package — raising gas taxes, registration fees, and payroll taxes — voters revolted.
In the first three days alone, 43,000 Oregonians signed the petition to refer the tax to the ballot. Tens of thousands more signatures followed.
But Drazan warns:
Democrats may attempt to “game the system” by scheduling the vote during a special election instead of the November general election.
Still, she believes Oregonians are ready to hold their leaders accountable at the ballot box.
The Path Forward: It’s in Voters’ Hands
Lucetta Elmer states it plainly:
“We cannot fix this without a change in leadership.”
This episode ends with a call to action:
- Elect leaders who value job creation and affordability
- Support the gas tax referendum
- Demand accountability
- Reject policies that drive out families and employers
- Embrace a culture that celebrates work, responsibility, and opportunity
Oregon’s problems were created by Oregon’s leaders — and Oregonians can correct them.