Bend, OR – Oregon Governor Tina Kotek delivered her first State of the State address on January 13, 2025, striking a balance between frustration with the state’s ongoing challenges and optimism for its future. Speaking to a joint session of the Oregon Legislature, Kotek laid out her administration’s priorities, including housing, homelessness, mental health, education, and climate resilience, while acknowledging the enormous obstacles facing the state.

The Governor began her speech by reflecting on the significant challenges Oregon has faced in recent years. She reminded lawmakers that five years ago, the state was grappling with the early stages of the COVID-19 pandemic, followed by the devastating Labor Day fires of 2020 that burned over 850,000 acres and destroyed thousands of homes. Despite these hardships, Kotek emphasized that Oregon has remained resilient.

“Despite everything, Oregon is still standing,” Kotek said. “Our faith in ourselves as Oregonians remains true, and we have developed new skills and insights to withstand the uncertainties of tomorrow.”

Kotek, a former high school track athlete, drew a parallel between the challenges the state faces and her experience running the 400-meter relay. She described how mistakes are inevitable but perseverance and teamwork lead to success. This, she argued, was the path forward for Oregon, with leaders working together to make positive changes for the state’s future.

The address focused heavily on the issue of housing, which Kotek has made a central theme of her administration. The Governor noted that the state had made progress in addressing homelessness through a state of emergency she declared on her first day in office. She highlighted the provision of 3,330 permanent homes, 24,000 families receiving aid to prevent homelessness, and the creation of 4,800 new shelter beds by June 2025. However, despite these efforts, the U.S. Department of Housing and Urban Development reported a 13% increase in homelessness from 2023 to 2024, with over 22,000 Oregonians homeless.

Kotek acknowledged the severity of the problem, expressing impatience with the pace of progress. She stressed the need for bold action and called for more housing to be built across the state. The Governor also shared a personal experience from a visit to Astoria, where she met a single father living in a shelter. Despite the improvements in Clatsop County, where 83 affordable homes are under construction, the father, like many Oregonians, wanted not just shelter but the opportunity to own a home.

“I am impatient about the pace of progress, and some days just pretty angry that we’re in this predicament at all,” Kotek said. “So please, my friends, let’s do more. Let’s be bolder. Let’s build more housing.”

In addition to housing, Kotek addressed Oregon’s mental health and addiction treatment systems, noting the significant challenges faced by residents in need of care. She acknowledged the efforts of community providers but stressed the need for more resources and better coordination, particularly between shelter services and mental health care providers. Her proposed budget includes $90 million for 363 additional treatment beds and $50 million for worker retention and recruitment in the mental health field.

The Governor also outlined plans for education reform, particularly in how the state allocates funding to schools. She emphasized that school districts must be held accountable for student outcomes, with increased oversight and support for struggling districts. She provided few details in her address but hinted at legislation aimed at improving accountability in the state’s education system.

Another key area of focus for Kotek was climate resilience. She pointed to the 2024 fire season, which saw more than 1.9 million acres burned, as a stark reminder of the impact of climate change. The Governor proposed setting aside $150 million from the state’s Rainy Day Fund to address wildfire-related costs, calling it “money for a Very Very Bad Smoky Day.” Her budget also included measures to improve state government efficiency, with progress in hiring and reducing staff vacancy rates at state agencies.

Kotek concluded her address by briefly touching on the transportation funding package that is expected to dominate the legislative agenda in 2025. She expressed her commitment to working with lawmakers to create a transportation package that will serve Oregon’s needs for years to come.

In response to Kotek’s address, Republican leaders voiced concerns about the direction of the state under her leadership. House Minority Leader Christine Drazan and Senate Minority Leader Daniel Bonham recorded a joint rebuttal, accusing Kotek of perpetuating failed policies that have led to rising costs for Oregonians. They criticized the Governor’s administration for contributing to the state’s housing crisis and driving residents to leave Oregon in search of more affordable living conditions.

Drazan referred to the speech as a “doubling down of the status quo,” while Bonham argued that Kotek’s leadership had failed to address the root causes of Oregon’s challenges.

Despite the partisan criticism, Kotek’s speech underscored her belief in Oregon’s potential for recovery and progress. She urged lawmakers to work together to meet the state’s challenges head-on, with a focus on improving the lives of all Oregonians.

“We do not always agree on what those choices are, but I encourage each and every one of us to rise above the maze of politics,” Kotek said, “and see the path forward, with one voice, speaking one unifying idea into existence: improve the everyday lives of Oregonians in every part of the state.”