Ashland Democrat Proposes Redirecting “Kicker” Funds to Pay Wildfire Preparedness

Salem, Oregon- Oregon lawmakers are considering a proposal that would reshape the state’s unique “kicker” tax refund system to fund wildfire mitigation efforts, as the state continues to grapple with increasingly severe fire seasons.

Senate Bill 1177, introduced during the 2025 legislative session, proposes redirecting a portion of the personal income tax surplus—the so-called “kicker”—into a newly established Oregon Wildfire Mitigation and Adaptation Fund. Under the bill, interest generated from this fund would be used to support community resilience, forest management, and other fire-prevention initiatives.

The bill, sponsored by Sen. Jeff Golden (D-Ashland), seeks to adjust how the state calculates its projected General Fund revenues. If actual revenue exceeds $24 billion for the 2023–2025 biennium—the adjusted threshold set by the bill—the excess would be deposited into the wildfire fund rather than returned to taxpayers, unless the surplus exceeds the 2% constitutional trigger for kicker refunds.

SB 1177 — *Courtesy: Office of Senator Golden*

The measure is still under review in the Oregon Senate Committee on Finance and Revenue. It has not yet received a floor vote.

Supporters of the bill argue that Oregon’s current rebate structure—unique among states—does not reflect the growing need for long-term disaster resilience. Environmental organizations and public policy groups testified in favor of the proposal, citing rising firefighting costs and the increasing danger to communities in the wildland–urban interface.

Opponents, including business groups and taxpayer advocates, warned that altering the kicker could erode public trust and set a precedent for diverting funds away from taxpayers. They urged lawmakers to uphold the rebate system as a protection against over-taxation.

If eventually approved, the bill would take effect immediately due to an emergency clause included in the proposal.

Gov. Tina Kotek has expressed support for a previously similar idea of directing some kicker funds or other one-time revenue toward wildfire prevention efforts statewide.

As wildfire season begins in Oregon, debate around SB 1177 highlights the broader tension between fiscal policy and climate preparedness. The bill remains in committee as legislators weigh next steps.