Federal Funding Shortfall Looms for Rural Schools in Oregon and Beyond
Rural communities in Oregon and across several Western states are bracing for a reduction in federal funding, following the U.S. House of Representatives’ inaction on reauthorizing a critical bill. This legislation, known for providing up to $80 million annually to Oregon for schools, roads, and conservation efforts, failed to secure House approval, potentially affecting 30 of Oregon’s 36 counties in 2025.
According to the U.S. Forest Service, Montana’s 32 counties benefited from $16 million in 2023 alone. The bipartisan Secure Rural Schools and Community Self-Determination Act, initially passed in 2000, was reauthorized by the Senate. However, disagreements among House Republicans over funding resulted in the bill’s demise without a vote, as confirmed by Hank Stern, spokesperson for Senator Ron Wyden of Oregon.
“This sad state of affairs due to congressional Republican failings is pointless and regrettable,” Wyden expressed in an email, highlighting the impending uncertainty for Oregonians reliant on these funds. He emphasized the potential impacts on local schools, law enforcement, and infrastructure.
Senator Mike Crapo of Idaho, a Republican collaborator with Wyden, echoed the sentiment of frustration, stating, “Senator Wyden and I worked diligently to secure SRS funding for rural counties.”
The legislative stalemate was reportedly linked to a broader dispute over health care funding, which threatened the passage of a stop-gap spending bill designed to prevent a government shutdown.
The Secure Rural Schools Act has historically disbursed substantial funds to counties across 41 states and Puerto Rico that encompass federal lands. These funds support essential services in areas impacted by federal land use activities. In the past, the funds offset the revenue loss from decreased timber harvesting to protect endangered species, aligning payments with peak timber revenue years of the 1980s. Over 24 years, Oregon alone has garnered $4 billion through this program.
Current figures from Wyden’s office show that nearly $74 million was allocated to 30 Oregon counties this year. The U.S. Forest Service also reports that in 2023, Alaska’s 12 counties received $12.6 million, Idaho’s 34 counties got $25 million, Montana’s 32 counties secured $16 million, and Washington state’s 25 counties obtained approximately $18 million.
Traditionally, Wyden or an Idaho Republican senator have championed the bill. This year, Wyden relied on Crapo to push for its passage in the House. Crapo, poised to lead the Senate Finance Committee under Republican control, plans to continue advocating for the bill in the next legislative session.
“I will continue to advocate for this legislation during the upcoming Trump administration,” Crapo stated, while Wyden, soon-to-be ranking member of the Finance Committee, pledged to work toward reauthorization. “I am committed to working with anybody, anywhere at the start of the new year who’s serious about reauthorizing these vital investments ASAP for rural communities in Oregon and nationwide,” Wyden affirmed.
This story was originally produced by the Oregon Capital Chronicle, part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity.