Salem, OR – Oregon Governor Tina Kotek and her natural resources adviser, Geoff Huntington, are placing water quality and availability at the forefront of the state’s legislative agenda for 2025. In separate interviews, both leaders emphasized the need for updated policies to address critical issues, such as overdrawn water basins, groundwater contamination, and the state’s evolving wildfire and energy challenges.
Oregon’s water management system, dating back to the late 1800s and early 1900s, is showing signs of strain. State officials have allocated all available surface water, overdrawn groundwater in several basins, and still lack a comprehensive accounting of remaining water supplies in others. Governor Kotek has made clear that modernizing water management laws is a priority this session, describing the proposed legislation as the result of “a long overdue conversation” between her office and the Legislature.
To address these challenges, the governor’s office is supporting a package of bills aimed at giving state agencies greater authority to manage water allocations and regulations. State Representatives Ken Helm (D-Beaverton) and Mark Owens (R-Crane), co-chairs of the House Agriculture and Water Committee, are sponsoring much of the legislation.
Geoff Huntington, who has been working closely on the issue, pointed out that the current system is inadequate for addressing today’s water demands. “We’ve been adjusting and tweaking, but I think we’ve run out of room,” he said.
A key part of the proposed changes is an update to Oregon’s Groundwater Quality Protection Act. Huntington stressed that such reforms would improve the state’s ability to monitor water quantity and distribution across the 20 basins under state oversight. Additionally, the Oregon Water Resources Department would gain greater authority to regulate water use, while the Department of Environmental Quality could better control pollution sources in critical groundwater areas.
One of the most pressing concerns is the contamination of groundwater, particularly in northeastern Oregon. The Lower Umatilla Basin Groundwater Management Area, plagued by high levels of nitrate contamination from farm fertilizers, animal waste, and industrial processes, remains a focal point for state intervention. Huntington highlighted the urgency of addressing these contamination issues, especially as the Oregon Department of Environmental Quality has reported worsening conditions in Morrow and Umatilla counties.
While Kotek’s administration has provided emergency measures, such as distributing bottled water and filters to affected residents, the state is also working to address the root causes of contamination. Huntington explained that ongoing efforts include assisting the Port of Morrow with securing federal funding to build infrastructure that would reduce nitrogen in wastewater. However, local officials are still seeking long-term funding solutions to connect households relying on well water to municipal water systems.
Another priority for Kotek this session is securing sustainable funding for wildfire prevention and recovery. Following a December emergency session to address outstanding wildfire bills, the governor has been closely monitoring the work of a legislative committee tasked with developing long-term wildfire funding strategies. Among the proposals being considered is an increase in the state’s lodging tax, with the revenues earmarked for wildfire-related expenses.
Despite these efforts, Kotek expressed concerns about the involvement of private utilities, such as PacifiCorp, in the state’s wildfire funding discussions. The company, which was found responsible for the 2020 Labor Day wildfires, has faced backlash over its role in the devastating fires. Kotek emphasized the importance of holding investor-owned utilities accountable for their role in fire prevention while avoiding placing the entire financial burden on ratepayers.
“We have to hold our big investor-owned utilities accountable for safety, for compensating folks, but also being part of the solution,” she said.
As Oregon continues to see significant growth in the tech industry, the state’s energy infrastructure is under increasing strain. The rapid expansion of data centers in areas like Hillsboro has led to sharp increases in electricity demand, contributing to rising energy costs for residents. Kotek and state lawmakers are calling for greater transparency from the Public Utilities Commission regarding electricity rate hikes, which have surged by 50% over the past five years.
Senate Bill 553, sponsored by Senator Janeen Sollman (D-Hillsboro), aims to address this issue by directing the Oregon Department of Energy to study the impact of data centers on the state’s energy grid. The bill would also propose policies designed to protect Oregonians from further rate increases, particularly as data centers continue to expand.
“We have to have a conversation about what kind of criteria we should have for local economic development as it relates to data centers,” Kotek stated. “The impact of the growth of data centers is at such a point where you have impacts on regional water supply, load on the grid, and all these other things that are really, really important.”
Governor Kotek’s legislative agenda reflects a comprehensive approach to Oregon’s pressing environmental and infrastructure challenges. From water management reform and addressing groundwater contamination to finding sustainable wildfire funding and managing the energy demands of a growing tech industry, Kotek’s administration is committed to tackling long-term issues facing the state. As the legislative session progresses, all eyes will be on how these proposals are shaped and implemented to ensure that Oregon’s resources are managed responsibly for future generations.
