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83rd OREGON LEGISLATIVE ASSEMBLY--2025 Regular Session
Enrolled
House Bill 3031
Introduced and printed pursuant to House Rule 12.00. Presession filed (at the request of Governor
Tina Kotek for Oregon Business Development Department)
CHAPTER .................................................
AN ACT
Relating to housing; and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
SECTION 1.
Sections 2 and 3 of this 2025 Act are added to and made a part of ORS
285B.410 to 285B.482.
SECTION 2. (1) The Oregon Infrastructure Finance Authority shall create a housing
infrastructure financing program through which the authority may provide financial assist-
ance, in the form of grants, loans or forgivable loans to a city, a county, a county service
district organized under ORS chapter 451, a district as defined in ORS 198.010, an intergov-
ernmental entity formed under ORS chapter 190 or a tribal council of a federally recognized
Indian tribe in this state, for a project that will primarily support a specified proposed
housing development. A project under this section may include:
(a) The development or improvement of transportation, water, wastewater or stormwater
infrastructure, including improvements to system capacity linked to a specified proposed
housing development; or
(b) Site development, including the development of privately owned sites, necessary for
the improvement of transportation, water, wastewater or stormwater infrastructure.
(2)(a) To be eligible for grants, loans or forgivable loans under this section, a proposed
housing development supported by the project must be:
(A) Located within an urban growth boundary, with priority given to projects with a
minimum density of:
(i) Seventeen dwelling units per net residential acre if sited within the Metro urban
growth boundary; or
(ii) For a proposed housing development within an urban growth boundary other than the
Metro urban growth boundary:
(I) Ten units per net residential acre if sited in a city, including territory to be annexed
by the city upon completion of the project, with a population of 25,000 or greater;
(II) Six units per net residential acre if sited in a city, including territory to be annexed
by the city upon completion of the project, with a population of at least 2,500 but less than
25,000; or
(III) Five units per net residential acre if sited in a city, including territory to be annexed
by the city upon completion of the project, with a population of less than 2,500; or
(B) Within an urban growth boundary and not within a city or must be on a reservation
of a federally recognized Indian tribe or on tribal trust land. A proposed housing development
Enrolled House Bill 3031 (HB 3031-A) Page 1
under this subparagraph must meet any density priority established by the Oregon Business
Development Department by rule.
(b) As used in this subsection, “net residential acre” means an acre of buildable land, not
including rights of way for streets, roads or utilities or areas not designated for development
due to natural resource protections or environmental constraints, that is zoned for residen-
tial use.
(3) To be eligible for a grant or forgivable loan under this section, the housing to be de-
veloped within the proposed housing development supported by the project must be subject
to an affordable housing covenant, as defined in ORS 456.270, under which:
(a) The recipient shall serve as, or designate, the covenant holder; and
(b) The housing will be made affordable to households with very low income, low income
or moderate income, as those terms are defined in ORS 458.610:
(A) For a period of no less than 10 years from the date on which the housing is first
available for occupancy as rental housing, with priority given to projects with a period of at
least 30 years; or
(B) For a length of time to be established by the department by rule from the date on
which the housing is first sold as owner-occupied housing.
(4) A housing authority as defined in ORS 456.005 or housing developer may partner with
an applicant to apply for and receive funding and to carry out projects under this section.
The housing authority or housing developer, as applicable, and the applicant may enter into
an agreement that enumerates the partners’ responsibilities, including financial responsibil-
ities, appropriate allocations of moneys and responsibility for loan repayment or grant per-
formance.
(5) In administering the program, the Oregon Infrastructure Finance Authority shall use
at least:
(a) Twenty-five percent of the funds to support cities or Indian tribes with populations
of less than 30,000; and
(b) Twenty-five percent of the funds to support cities or Indian tribes with populations
of 30,000 or greater and less than 100,000.
(6) The Housing Accountability and Production Office shall provide assistance in devel-
oping requirements and prioritizing funding under this section.
(7) In administering the program, the authority shall coordinate with:
(a) The office; and
(b) The Housing and Community Services Department with respect to its administering
of the Housing Project Revolving Loan Fund under section 35, chapter 110, Oregon Laws 2024.
(8) The Oregon Business Development Department may adopt rules to implement this
section.
SECTION 3.
(1) The Housing Infrastructure Project Fund is established in the State
Treasury, separate and distinct from the General Fund.
(2) The Oregon Business Development Department may accept grants, donations, con-
tributions or gifts from any source for deposit in the Housing Infrastructure Project Fund.
(3) Interest earned by the fund shall be credited to the fund.
(4) Moneys in the fund are continuously appropriated to the department to administer
the fund and to implement section 2 of this 2025 Act.
SECTION 4.
This 2025 Act being necessary for the immediate preservation of the public
peace, health and safety, an emergency is declared to exist, and this 2025 Act takes effect
July 1, 2025.
Enrolled House Bill 3031 (HB 3031-A) Page 2
Passed by House June 26, 2025
..................................................................................
Timothy G. Sekerak, Chief Clerk of House
..................................................................................
Julie Fahey, Speaker of House
Passed by Senate June 27, 2025
..................................................................................
Rob Wagner, President of Senate
Received by Governor:
........................M.,........................................................., 2025
Approved:
........................M.,........................................................., 2025
..................................................................................
Tina Kotek, Governor
Filed in Office of Secretary of State:
........................M.,........................................................., 2025
..................................................................................
Tobias Read, Secretary of State
Enrolled House Bill 3031 (HB 3031-A) Page 3