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83rd OREGON LEGISLATIVE ASSEMBLY--2025 Regular Session
SENATE AMENDMENTS TO
SENATE BILL 829
By COMMITTEE ON HOUSING AND DEVELOPMENT
April 15
In line 2 of the printed bill, after “housing” insert “; creating new provisions; amending ORS
735.410; and declaring an emergency”.
Delete lines 4 through 8 and insert:
“SECTION 1. (1) As used in this section:
“(a) ‘Eligible entity’ means a public, private or nonprofit entity that pays insurance pre-
miums for property insurance that covers losses on eligible property the entity owns or op-
erates.
“(b) ‘Eligible property’ means:
“(A) Affordable housing, as defined in ORS 197A.445, that is subject to regulation under
the laws of this state;
“(B) A shelter facility;
“(C) A Project Turnkey site; and
“(D) A navigation center.
“(2) The Department of Consumer and Business Services shall establish a program to
assist eligible entities in paying the costs of property insurance or liability insurance premi-
ums for eligible property that the eligible entities own or operate. The program:
“(a) Must require an eligible entity to purchase and maintain property insurance and li-
ability insurance that covers a loss or liability on eligible property;
“(b) May make payments only for a portion of the premium that an eligible entity pays
for property insurance or liability insurance that covers a loss or liability on eligible prop-
erty;
“(c) Must operate in the form of an offset payable to an eligible entity after the eligible
entity pays the premium for the property insurance or liability insurance to an insurer,
which may include a surplus lines insurer; and
“(d) Must otherwise conform with rules adopted under subsection (3) of this section.
“(3) The Department of Consumer and Business Services, in consultation with the
Housing and Community Services Department, shall adopt rules necessary to carry out the
provisions of this section, which include, but are not limited to, rules that:
“(a) Specify criteria for becoming an eligible entity;
“(b) Establish an application process for participation in the program described in sub-
section (2) of this section;
“(c) Specify the amount, manner and frequency of payments to eligible entities;
“(d) Specify criteria for prioritizing payments among eligible entities;
“(e) Establish a wait list or other allocation method for eligible entities with lower pri-
ority; and
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“(f) Specify appropriate metrics for measuring the success of the program described in
subsection (2) of this section at increasing property and liability insurance coverage for eli-
gible property and the affordability of property and liability insurance for eligible entities.
“(4) The Department of Consumer and Business Services not later than December 15 of
each year shall submit a report in the manner provided in ORS 192.245 to an interim com-
mittee of the Legislative Assembly related to housing. The report must describe the success
of the program described in subsection (2) of this section, using the metrics described in
subsection (3)(f) of this section.
“SECTION 2. (1) The Affordable Housing Premium Assistance Fund is established within
the State Treasury, separate and distinct from the General Fund. Moneys in the Affordable
Housing Premium Assistance Fund may be invested in the same manner as other state
moneys and interest earned on the moneys must be credited to the fund. The Affordable
Housing Premium Assistance Fund consists of moneys appropriated or transferred to the
fund by the Legislative Assembly and all moneys otherwise credited to the fund. Moneys in
the fund are continuously appropriated to the Department of Consumer and Business Ser-
vices to carry out the purposes specified in section 1 of this 2025 Act.
“(2) The department shall keep a record of all moneys deposited in the Affordable Hous-
ing Premium Assistance Fund that shall indicate by separate account the source from which
the moneys are derived, the interest earned and the activity or program against which any
withdrawal is charged. The department may pay the department’s administrative expenses
for the program described in section 1 of this 2025 Act from moneys in the Affordable
Housing Premium Assistance Fund.
“(3) The state shall pay solely from the Affordable Housing Premium Assistance Fund
and not from any other fund or source all payments authorized under the program described
in section 1 of this 2025 Act and all other claims against the department for moneys due
under or in connection with the program. The state’s liability for payments or claims under
or in connection with the program is limited to the amount of the moneys in the Affordable
Housing Premium Assistance Fund.
“SECTION 3. (1) The Department of Consumer and Business Services shall study:
“(a) The feasibility of creating and operating a state reinsurance program or devising
another solution to support price stability in the market for insurance to cover affordable
housing, as defined in ORS 197A.445, multifamily housing and other residences in this state;
and
“(b) Known commercial, surplus lines and Oregon FAIR Plan Association coverages and
product offerings available for purchase in the insurance market.
“(2) The department not later than December 15 of each year shall submit a report in the
manner provided in ORS 192.245 to an interim committee of the Legislative Assembly related
to housing and homelessness. The report must describe and summarize the department’s
progress on, and the results or interim results of, the study described in subsection (1) of
thissection.
“SECTION 4. There is appropriated to the Department of Consumer and Business Ser-
vices, for the biennium beginning July 1, 2025, out of the General Fund, the amount of
$5,000,000 for deposit into the Affordable Housing Premium Assistance Fund established in
section 2 of this 2025 Act, for the purpose of carrying out the provisions of section 1 of this
2025 Act.
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“SECTION 5. ORS 735.410 is amended to read:
“735.410. (1) Insurance may be procured through a surplus lines licensee from a nonadmitted
insurerif:
“(a) The insurer is an eligible surplus lines insurer;
“(b) A diligent search has first been made among the insurers who are authorized to transact
and are actually writing the particular kind and class of insurance in this state, and it is determined
that the full amount or kind of insurance cannot be obtained from those insurers; and
“(c) All other requirements of ORS 735.400 to 735.495 are met.
“(2) Subsection (1)(b) of this section does not apply to a surplus lines licensee seeking to procure
or place nonadmitted insurance in this state for an exempt commercial purchaser if:
“(a) The surplus lines licensee procuring or placing the surplus lines insurance has disclosed to
the exempt commercial purchaser that such insurance may or may not be available from the ad-
mitted market that may provide greater protection with more regulatory oversight; and
“(b) The exempt commercial purchaser has subsequently requested in writing that the surplus
lines licensee procure or place such insurance from a nonadmitted insurer.
“(3) The Director of the Department of Consumer and Business Services by rule may establish
requirements applicable to the placement of surplus lines insurance on Oregon home state risks by
a nonresident surplus lines licensee. The rules may not interfere with or hinder implementation of
the federal Gramm-Leach-Bliley Act (P.L. 106-102) with respect to licensing reciprocity among the
states, or the Nonadmitted and Reinsurance Reform Act of 2010 (P.L. 111-203, Title V, Subtitle B).
“(4)(a) The director, in consultation with the Surplus Line Association of Oregon, or a
successor, may publish a list of insurance coverages that are generally unavailable in the
authorized insurance market for covering affordable housing in this state.
“(b) Notwithstanding the requirement for a diligent search described in subsection (1)(b)
of this section, an insurance producer or agent may place a coverage included on the list
described in paragraph (a) of this subsection directly with a surplus lines insurer without
first searching for an authorized insurer with which to place the coverage.
“SECTION 6. Sections 1, 2 and 3 of this 2025 Act are repealed on December 31, 2028.
“SECTION 7.This 2025 Act being necessary for the immediate preservation of the public
peace, health and safety, an emergency is declared to exist, and this 2025 Act takes effect
on its passage.”.
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