June 2, 2025 — The Community College Support Fund (CCSF) cleared a major hurdle today (June 2, 2025) with the passage of SB 5525 in the Joint Subcommittee on Education. SB 5525 is the Higher Education Coordinating Commission’s (HECC’s) agency budget bill, which includes the CCSF to support community colleges. The Joint Subcommittee on Education approved a budget allocation of $854.4 million for the CCSF in SB 5525 for the 2025–27 biennium. This is a 6.9% increase over the amount legislatively approved to the CCSF for the 2023-25 biennium. However, while this amount reflects the Governor’s Recommended Budget (GRB), it falls well short of the $920 million community colleges identified as essential to cover the rising costs of educating students and maintaining essential programs and services for the next biennium.
“We recognize that Oregon is facing difficult fiscal decisions, and we appreciate the Legislature’s continued investment in community colleges,” said Dr. Abby Lee, Executive Director of OCCA. “However, this funding level does not meet the realities our colleges are facing. It will force many colleges to make painful cuts that directly impact student success, from course offerings to support services.”
Colleges across Oregon are seeing rising enrollment and increased demand for career-connected programs in areas such as healthcare, advanced manufacturing, and behavioral health. With only GRB funding, many colleges will struggle to meet these demands, jeopardizing the very workforce pipelines the state is counting on to address its most pressing economic and social challenges. Many students will also likely see tuition increases as a result of this budget shortfall.
“Oregon’s community colleges are the solution to our state’s workforce and economic needs,” said Austin Folnagy, OCCA Board President. “But we need stronger support from the state to deliver on that promise.”
Several legislators in the Joint Subcommittee on Education did acknowledge that the bill’s investment in higher education isn’t enough but holds the line during a challenging financial time. Representative Zach Hudson urged his colleagues during the hearing to come back in future sessions with a stronger investment in higher education.
In addition, SB 5525 includes funding to continue supporting benefits navigators at each of the 17 community colleges. These navigators provide essential support and connections for students who need help with basic needs, social services, and other aid to support their path to an education.
“We appreciate that legislators recognize the essential role these benefits navigators have in our students’ success in funding this portion of the bill,” Lee said.
SB 5525 also maintains the Current Service Level (CSL) for the Oregon Opportunity Grant, the state’s primary need-based financial aid program, with an allocation to $329.4 million for the biennium. This also falls significantly short of the $450 million OCCA advocated for on behalf of students in need of financial support for their educations.
SB 5525 will now move on to the full Joint Ways and Means Committee for consideration. That session has not yet been scheduled for the bill. In the meantime, OCCA continues to advocate for HB 3635, which would increase the cap on Article XI-G bond funding from $8 million to $15 million for community college capital construction projects. This cap has not been raised since Article XI-G bonds were first approved by legislators 20 years ago. OCCA also continues to urge legislators to support HB 5505, which supports Article XI-G bond funding for five community college capital construction projects – the reauthorization of funds for Clatsop Community College and Southwestern Oregon Community College projects originally approved in prior biennia, and funding for new projects at Clackamas, Klamath and Mt. Hood community colleges.
OCCA remains committed to working with legislators, partners, and communities to ensure that Oregon’s 17 community colleges can continue providing high-quality, accessible education that strengthens the state’s future.
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