AGP Executive Report

Health Insurance Shake-Up: Providence Health Plan says it will shut down most of its insurance business starting in 2027, leaving about 420,000 Oregonians scrambling for new coverage. Local Safety Push: Eugene is ramping up traffic safety after five road deaths since the start of the year, using ODOT grant funding to target its most dangerous corridors. Energy & Utilities: PacificSource, backed by Legacy Health, will exit the ACA market and leave Montana entirely, while Puget Sound Energy signs a long-term deal for nearly 200 MW of Washington wind power. Housing Politics: Oregon voters rejected a gas-tax increase, and rent-control debate keeps heating up elsewhere as Massachusetts considers stricter limits. Oregon Policy/Environment: DEQ approved updates to Oregon’s responsible end markets verification process for packaging recycling. Business/Markets: Gas prices are still elevated heading into Memorial Day, with AAA reporting the highest national average in four years.

Affordability at the center of Oregon politics: Oregon voters overwhelmingly rejected a gas tax and vehicle fee measure meant to protect highway funding, with about 80% voting no—an outcome already shaping the November governor rematch between Gov. Tina Kotek and GOP nominee Christine Drazan, as both campaigns pivot to housing, homelessness, and the cost of living. Public safety: Salem police are investigating a shooting at the Cherriots transit center that sent a 17-year-old to the hospital in stable condition; the suspect remains at large. Childcare demand: Multnomah County’s tuition-free Preschool for All is seeing record interest, with about 6,000 applications for the next year. Coast culture: OSU’s Hatfield Marine Science Center is finishing a 70-foot blue whale skeleton display for the holiday weekend. Health insurance shake-up: Providence Health Plan says it’s sunsetting most of its coverage in 2027, leaving hundreds of thousands scrambling for new plans. Local business/industry: The Port of Umatilla is continuing redevelopment of the former chemical depot site, aiming to turn it into long-term industrial growth land.

Data Center Costs: Oregon’s energy regulator approved a new rate class for large data centers and crypto mining at 20MW+, pushing facilities to cover grid upgrade costs and sign long-term contracts to reduce stranded-asset risk. Rates take effect June 10, with 16 data centers immediately affected. Health Insurance Shake-Up: Providence Health Plan is ending most of its insurance business starting in 2027, leaving many members to find new coverage—Medicare Advantage may continue via a national carrier partnership. Politics—Oregon GOP: Rep. Ed Diehl conceded to Christine Drazan in the Oregon governor primary, setting up a November rematch with Gov. Tina Kotek. Legal/Policy: Oregon conservation groups are challenging a Mount Hood land swap involving Mount Hood Meadows, arguing it violates federal law and bypassed public input. Business & Consumer: Americans are buying less wine but spending more per bottle, with cheaper tiers losing ground while mid-to-premium prices hold up. Sports/Local Economy: The Portland Trail Blazers laid off dozens of business-side employees as part of a restructuring under new owner Tom Dundon.

Portland Trail Blazers Restructure: New owner Tom Dundon is cutting costs again, laying off more than 70 business-side employees in a reorganization, according to local reports, with team president Dewayne Hankins saying the changes “impacted talented people” as the club positions for the future. Education & Student Loans: Oregon and other states’ attorneys general are suing the U.S. Department of Education over a rule that limits federal student loans for professional degree programs, arguing it will worsen workforce shortages. Public Safety: Salem police are searching for a suspect after a 17-year-old was shot near High Street Southeast; the teen was taken to Salem Hospital and the suspect fled. Health & Crime: A Portland-area investigation highlights how illicit massage businesses can operate “in plain sight,” tied to a broader human trafficking network. Elections: Washington County Democratic primaries for Senate District 15 and House District 27 remain too close to call as late ballots shift leads. Local Economy: STCU is partnering with Associated Industries to offer business banking and services to member companies.

Metro Leadership: Juan Carlos Gonzalez was elected Metro Council president, becoming Metro’s youngest leader and first person of color in the role, with a projected landslide as he sets sights on jobs, working families, seniors, and major infrastructure. Oregon Jobs Watch: Oregon’s unemployment held steady at 5.2% in April for the fourth month, with health care adding jobs while professional/business services and retail slipped. Politics—Governor Race: Christine Drazan won the Oregon GOP governor primary, setting up a likely rematch with Gov. Tina Kotek in November. Blazers Business Shakeup: The Trail Blazers laid off about 70 staffers on the business side, described by one survivor as salary spreadsheet cuts. Local Ballot Result: Lane County voters rejected a “watersheds bill of rights” initiative that would have let residents sue alleged polluters. Business Support: Business Oregon launched a Global Trade Desk to help small firms expand internationally. Energy Pressure: Oregon’s economic forecast is being battered by higher oil prices tied to the Iran war.

Oregon Election Shock: Early results from Oregon’s May 19 primaries show Gov. Tina Kotek cruising to the Democratic nomination, while Republican Christine Drazan surged to win her party’s governor bid—setting up a November rematch. Gas Tax Rebuff: Oregonians also rejected Measure 120, turning down a package of higher gas, payroll, and vehicle fees meant to patch road funding gaps. Local Politics Watch: Salem’s mayoral race has Vanessa Nordyke leading in early counts, and Polk County commissioner races show Jeremy Gordon and John Swanson out front in initial tallies. Wildfire Preparedness: Oregon’s State Fire Marshal finalized a defensible space model code for communities to adopt. Central Oregon Development: OSU-Cascades cleared a major step to build a student health and recreation center on a former landfill and pumice mine, aiming for completion by summer 2028. Healthcare Loans Fight: Oregon Sen. Jeff Merkley joined a bipartisan push to restore federal student loan access for nursing degrees after a federal rule narrowed eligibility.

Wildfire Readiness: Oregon’s State Fire Marshal finalized a defensible space model code, giving communities a consistent, Oregon-specific playbook for reducing home ignitions—like a five-foot noncombustible zone and cutting “ladder fuels.” Housing & Homelessness: Deschutes County and Sisters reported fewer unhoused people in the Point-in-Time count, with Sisters down 20% and the county down 19%, though officials urged caution about treating it as a permanent trend. Energy & Climate Costs: Lawmakers are floating new ways to make oil companies help cover rising insurance bills tied to climate disasters, signaling a tougher fight over who pays as insurers pull back. Health Policy: CMS delayed the Medicare Part D rollout of the BALANCE obesity model until at least 2027, but extended a bridge path through 2027 for access to GLP-1s. Federal Education: Washington AG Nick Brown and allies sued the U.S. Department of Education over a rule that could narrow graduate/professional student loan eligibility. Local Business: Bob’s Red Mill rolled out a refreshed logo and packaging starting this fall.

Oregon Primary Countdown: With polls opening Tuesday, Oregon voters will decide Gov. Tina Kotek’s political future and a high-stakes referendum, Measure 120, that would repeal last fall’s gas tax and fee hikes meant to shore up road funding—while Democrats brace for a tough vote as Iran-war gas prices squeeze budgets. Campaign Trail: Republican gubernatorial candidate Christine Drazan made a final push in Medford, pitching lower taxes and costs, education improvements, and a shift away from “housing-first” homelessness policy. Housing Authority Reset: Home Forward’s new interim director, Michael Buonocore, promised transparency after controversy over vacancies, safety complaints, and former CEO Ivory Mathews’ travel spending. Higher Ed Pressure: The University of Oregon is freezing hiring and cutting nonessential travel to close a $65M budget gap tied to declining out-of-state enrollment. Business & Growth: Woodland Industrial Park got its first confirmed tenant—Consolidated Supply Co.—as developers deny plans for a data center there.

Retail & Food Safety: Straus Family Creamery issued a voluntary recall of select organic ice cream flavors in 17 states, including Oregon, after FDA flagged possible metal contamination—no injuries reported, but consumers are told not to eat or return the product. Health Care Oversight: Oregon Health Authority approved Compassus–Providence’s joint venture, clearing the way for Compassus to acquire 50% of Providence’s home health and hospice operations in Oregon with conditions tied to access and community benefit. Politics & Elections: State Rep. Christine Drazan is urging Oregonians to vote by May 19, framing the election around taxes, costs, and public safety. Energy & Courts: Oregon wildfire survivors are asking the state Supreme Court to take up their case against PacifiCorp. Business & Growth: Dutch Bros opened its first Chicagoland location this week, signaling a fast suburban expansion—an Oregon-born chain built for drive-thru speed. Local Economy: Milton-Freewater nonprofits and the city are sharing $881,500 in Sherwood Trust grants, including upgrades for parks and emergency food support.

Food Safety: The FDA issued warning letters to four food companies in California and Oregon after inspectors found ongoing Listeria problems, sanitation and HACCP failures, and time-temperature issues with ready-to-eat foods. Housing & Local Policy: With Oregon’s housing crunch still front and center, a new look at “right in your own backyard” spotlights how ADU rules can turn displacement pressure into more rental supply. Digital Divide: A Missouri firm, ProSat Networks, says it’s expanding Starlink installation and wireless networking services as the state reports hundreds of thousands of unserved or underserved locations. Nuclear Supply Chain: DOE funding includes an $8.8 million award for Framatome to expand uranium fuel production at its Richland plant. Oregon Spotlight: The Rhododendron Festival in Florence ended with a big weekend boost for local businesses. Sports: Oregon Ducks track teams completed a rare Big Ten triple crown, winning both men’s and women’s outdoor titles.

Federal Budget Clash: The Senate parliamentarian blocked funding for Trump’s proposed White House ballroom from moving through budget reconciliation, forcing lawmakers to find a tougher path for the money. Oregon Consumer Alert: Oregon stores are among 17 states affected by a voluntary recall of Straus Family Creamery organic ice cream flavors over possible metal fragments. Local Cost Pressure: New reporting highlights how public safety pensions can quietly weigh on households—Illinois examples show per-household burdens can vary dramatically by city. Data Center Backlash: In Hillsboro, residents rallied against data centers and tax breaks, arguing they’re driving up electricity bills and straining local resources. Housing Reality Check: A new analysis says most Americans can’t afford new homes, with Oregon among the hardest-hit states. Sports & Culture: Oregon baseball edged USC in a long, late comeback; meanwhile, a Kent coffee roaster story spotlights small-business momentum in the region.

Data Center Backlash: Hillsboro residents rallied Saturday against new data centers and tax breaks, saying the boom is driving up electricity bills and straining water—“This is not okay,” one speaker said. Food Safety: Straus Family Creamery recalled select organic ice cream flavors in 17 states, including Oregon, after concerns about possible metal fragments; no injuries reported and shoppers are urged to discard affected “best by” lots. Higher Ed Stress: A new forecast warns 442 of 1,700 private nonprofit colleges could close or merge within 10 years, with Portland State and Southern Oregon University flagged among Oregon’s financial trouble spots. Local Business: A new men’s clothing store, Noble Disorder, opened on Main Street in Walla Walla, aiming to blend quality with affordable prices. Sports: Oregon baseball edged USC 4-3 in a key weekend series, keeping NCAA hosting hopes alive. Public Safety/Health: Providence Sacred Heart in Spokane plans changes to which staff handle ER mental health screenings starting mid-July.

Food Safety Recall: Straus Family Creamery is voluntarily recalling select organic ice cream flavors and sizes in 17 states—including Oregon—after the FDA flagged a “potential presence of foreign metal material,” with no injuries reported so far. EV Policy: Oregon’s popular Clean Vehicle Rebate program is shrinking again, with DEQ cutting rebate amounts and changing eligibility details as funding runs tight and rebates have been paused in recent years. Environment & Waste: DEQ is seeking public input on new rules for methane leak monitoring and fixes at Coffin Butte Landfill after repeated EPA findings of leaks above limits and a record $3.02 million state penalty. Local Business Watch: Black Rock Coffee Bar, an Oregon-born brand, is adding two new Phoenix-area locations this week. Health Spending Snapshot: New federal Medicaid billing data show Lake Oswego providers billed $393,485 for evaluation and management services in 2024.

Boeing-China Deal: President Trump says China will buy 200 Boeing jets—potentially up to 750—reopening a key market for the planemaker after nearly a decade. Public Health Watch: Straus Family Creamery recalled select organic ice cream flavors in 17 states, including Oregon, over possible metal fragments. Oregon Culture & Science: OSU crews have begun installing a restored 70-foot blue whale skeleton at Hatfield Marine Science Center, a project years in the making. Local Government: Medford is set to open a 19-court pickleball complex at Howard Memorial Sports Park next month, aiming to draw regional tournaments. Higher Ed Pressure: UO President Karl Scholz says the university needs about $65M in budget cuts, freezing hiring and pay increases. Environment & Courts: A federal judge halted a Southern Oregon logging plan near Yoncalla, ordering BLM to scrap the “Blue and Gold” project.

Energy & AI Data Centers: Gov. Josh Shapiro’s proposal is pitching power-hungry data centers as a growth engine, while Oregon-area leaders keep pushing for big connectivity bets like Cascadia high-speed rail as an economic strategy. Education & Workforce: Salem-Keizer educators won Crystal Apple Awards, and a BGSU roundtable highlighted how AI is reshaping manufacturing jobs—raising the question of how to train students for work that won’t be automated away. Public Safety & Health: Oregon’s overdose deaths dropped for a second straight year, and Keizer Fire District expects higher ambulance revenue after partnering with Salem Fire. Politics & Policy: Oregon’s sanctuary law is back in the spotlight with calls to repeal it, and Planned Parenthood funding remains a flashpoint after Gov. Kotek signed a permanent state backfill plan. Business & Courts: A federal opioid settlement is moving forward, while Oregon contractors are bracing for changes to the DBE program tied to federal rules. Markets & Costs: Gas prices are still elevated heading into Memorial Day, and Oregon’s budget cuts near $100M in a year.

PeaceHealth Shake-Up: PeaceHealth says Dr. Jim McGovern has been relieved as Oregon-region CEO effective immediately, following weeks of turmoil over his administrative leave and alleged attempts to influence patient care. Portland Community College Leadership: PCC’s board approved a separation agreement for President Adrien Bennings, with acting leadership stepping in as she exits on May 15. Wildfire Recovery Dollars: Oregon Housing and Community Services has committed nearly $1M in microgrants and loans to Jackson County small businesses still rebuilding after the 2020 Almeda Fire. Local Business Spotlight: Edward Jones in Hermiston welcomed Devin Bailey as a new financial advisor, and a North Portland multifamily project is moving ahead. Used Car Watch: Cadillac’s CT4-V Blackwing retirement is fueling collector chatter about scarcity-driven value gains. Sports: Oregon baseball fell to USC in an 11-inning pitchers’ duel. Health & Benefits: A KGW-driven VA reversal grants full service-connected compensation to an Oregon veteran with a rare muscle disease.