Oregon Treasury Denies $60 Million Loan Request from Forestry Department Amid Wildfire Expenses
In a recent development, the Oregon State Treasury rejected a $60 million loan application from the Oregon Department of Forestry (ODF), as highlighted in email communications uncovered by Willamette Week through a public records request. Following a devastating wildfire season that consumed nearly two million acres and incurred costs exceeding $133 million—more than double the agency’s prior record—ODF sought financial assistance to address unpaid invoices and federal agency shortfalls.
The agency typically hires contractors for wildfire response, subsequently billing federal entities for reimbursement. However, ODF’s reliance on uncertain future state funding raised red flags at the Treasury. State Treasury director of finance Cora Parker expressed concerns, noting that any funding commitments made by one legislative session cannot bind future lawmakers. "Potential future legislative actions…don’t meet the ‘certainty of repayment provisions of the program,’” Parker stated, emphasizing the need for solid collateral for taxpayer protection.
After discussions, treasury officials concluded that the ODF could not adequately demonstrate feasible repayment without additional legislative support. Consequently, Parker formally denied the loan request on November 15, stating, "due to inability to demonstrate repayment without additional legislative action."
In response to the setback, ODF spokesperson Joy Krawczyk announced plans to approach lawmakers directly for financial assistance. The agency will seek an additional $83 million from the Legislature’s Emergency Board during the upcoming December sessions. This funding aims to cover the remaining state expenses from the recent wildfire season and support ongoing operational costs while awaiting federal reimbursements.
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