After a turbulent 2025, Oregon politics aren’t slowing down in 2026. Democrats still hold power, but unresolved problems around housing, schools, transportation and the budget are all coming to a head in a high-stakes election year.
Topping the list is the governor’s race. Gov. Tina Kotek is seeking reelection, pitching herself as a counterweight to President Trump after a major court fight over National Guard deployment. But she faces criticism over high housing costs, weak school rankings and rising unemployment. Republicans see an opening, with Christine Drazan running again after narrowly losing in 2022, alongside other GOP hopefuls — even as Oregon remains a tough state for Republican governors.
Transportation funding is back in limbo. Lawmakers finally passed a road funding bill in 2025, but a successful signature drive has sent it to voters, freezing much of the law. Agencies like ODOT are again warning of layoffs and service cuts unless lawmakers act during the short 2026 session.
In Portland, the city’s newly overhauled government is moving from transition to test phase. Councilors are considering oversight hearings, streamlining meetings, and possible changes to Mayor Keith Wilson’s homelessness plan, all while several council seats are already up for election.
Meanwhile, the state budget faces an $890 million hole tied to federal tax changes under Trump. Lawmakers must choose between raising taxes, cutting services, or some mix of both, with agencies planning for possible 5% reductions.
All of this builds toward the 2026 midterms, with the governorship, every state House seat, half the state Senate, a U.S. Senate race, and all six congressional seats on the ballot — setting the stage for a pivotal year in Oregon politics.
The above summarizes the Oregon Public Broadcasting (OPB) Jan. 5, 2026 article “5 things to watch in Oregon politics in 2026” by Bryce Dole, Alex Zielinski, and Dirk VanderHart.