PORTLAND, Ore. – Homeless services providers and tenant advocacy groups across Oregon are cutting staff and scaling back programs, citing steep reductions in state housing funds. The cuts stretch from Portland to Eugene and smaller communities like Monmouth and Redmond, raising fears that fewer Oregonians will get help just as evictions and homelessness are rising.
Cuts Ripple Across the State
The Springfield Eugene Tenant Association is one of the many nonprofits hit hard. Executive Director Tim Morris said the group was forced to reduce its full-time staff from six to two. That reduction means the organization can now support only about 2,200 households annually, down from 4,000 last year.
“We’re seeing the most vulnerable folks getting squeezed on both ends,” Morris said. “The cost of everything, including housing and food, is rising, while prevention dollars like rent assistance are being cut dramatically. We are approaching a future in which tenants are just alone and won’t have folks in their corner.”
The Community Alliance of Tenants in Portland suffered one of the most dramatic blows. The renter advocacy group laid off nearly its entire staff—28 people—after its state funding fell by more than $1.4 million, a 66% cut. The nonprofit’s website now carries a red banner warning of slow response times and urging donations to keep services afloat.
Other organizations report similar struggles:
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Oregon Law Center cut half the positions in its eviction defense program, which provides free legal services to tenants. The statewide program lost more than a third of its staff overall.
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Church at the Park, a nonprofit in Marion and Polk counties, eliminated 29 jobs, including 16 layoffs, after a 20% reduction in its state contract. The group operates five shelters and a safe parking program.
“These cuts impact every department and every level of leadership,” said DJ Vincent, the nonprofit’s founding pastor. “Each person leaving our team represents someone who has been creating value and encouragement with our unhoused neighbors.”
Housing Budget Slashed
The layoffs follow the Oregon Legislature’s passage of a housing budget that, while topping $2.6 billion, reduced funding for the state Housing and Community Services Department by roughly $1 billion over the next two years.
Lawmakers allocated nearly $205 million toward expanding homeless shelters under a new state initiative championed by Gov. Tina Kotek. But eviction prevention funds—which cover rental assistance and legal aid—were cut by about $100 million.
That gap between shelter funding and prevention dollars alarms tenant advocates. “We can still build or open shelters,” said Morris, “but without prevention services, more people are going to be pushed out of their homes and onto the streets in the first place.”
Sybil Hebb, director of legislative advocacy for the Oregon Law Center, warned that the cuts will hit vulnerable residents the hardest. “Families with children, domestic violence survivors, and seniors will be the most affected,” she said. Her organization helped more than 10,000 households last year.
Broader Budget Pressures
Oregon’s housing programs aren’t the only ones facing reductions. A May revenue forecast predicted hundreds of millions less in available funds for the state’s next budget, partly due to slow economic growth and trade tensions.
Democrats have pointed to the Trump administration’s federal budget cuts as a driver of the problem, citing reductions in social services spending nationwide. Republicans, meanwhile, argue that Democratic leaders in Salem approved housing policies requiring “vast amounts of money Oregonians can’t afford,” even as housing permits fell to their lowest level in more than a decade.
Gov. Kotek, who has made housing and homelessness her signature issue, had requested far more money for prevention programs. Her office did not return requests for comment. Nor did the state Housing and Community Services Department, which oversees distribution of much of the funding.
Nonprofits Brace for More Pain
As the funding picture becomes clearer, organizations across Oregon are preparing for further impacts. Some are freezing hiring. Others are consolidating services.
In Redmond, Pastor Rick Russell runs a safe parking program through Mountain View Fellowship. He said state money accounts for most of the program’s budget. While he has not yet received final word on funding levels, he expects cuts are inevitable.
“I expect it will be painful,” Russell said. “I hope it’s not brutal.”
Impact on Communities
For frontline staff, the cuts feel particularly cruel as demand continues to climb. Oregon’s homelessness crisis has intensified in recent years, with growing encampments in Portland and rising eviction filings statewide.
Advocates worry that reducing prevention programs like legal defense for tenants will create a ripple effect: more evictions, more people forced into shelters, and greater pressure on already stretched community services.
Hebb put it bluntly: “With fewer resources and very limited rental assistance, more people will be evicted and pushed onto the streets.”
A Shifting Safety Net
While Oregon is investing in shelter capacity, critics say the loss of prevention services leaves a gap in the housing safety net. Tenant hotlines, legal aid offices, and rental assistance programs once acted as lifelines for families in crisis. Without them, advocates fear more residents will face eviction hearings alone and lose housing they could have otherwise kept.
For Morris, the changes signal a troubling shift. “We are not just cutting programs—we’re cutting people’s chances to stay in their homes,” he said. “That has long-term consequences for families and for the state as a whole.”
Looking Ahead
Despite the reductions, many organizations say they will continue serving as many people as possible with the resources they have. Nonprofits are urging private donations, applying for grants, and looking for local partnerships to help fill the gaps.
But leaders acknowledge that philanthropy alone cannot replace the scale of state funding. As layoffs continue and waiting lists grow, Oregon’s homelessness crisis is likely to deepen.
For those on the frontlines, the message is clear: without sustained investment in prevention and tenant support, more Oregonians will lose their homes—and the human and financial cost will be felt across the state.
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