Oregon has officially enacted HB2169, a landmark piece of legislation signed by Governor Tina Kotek on June 24, 2025, that establishes a state-led framework to advance water reuse across sectors. The bill passed with bipartisan legislative support—passing 41-0 in the House and 28-1 in the Senate.
HB2169 mandates the Oregon Department of Environmental Quality (DEQ) to lead an interagency water reuse team that includes participation from the Water Resources Department, Oregon Health Authority, State Department of Agriculture, and the Department of Fish and Wildlife. The goal is to address institutional and regulatory challenges, standardize policies, and accelerate the deployment of reuse technologies.
“This is a long-overdue shift in how we value and manage water,” said Rep. Ken Helm, one of the bill’s sponsors. “By fostering interagency coordination and stakeholder engagement, we’re paving the way for resilient and resource-efficient communities.”
For companies that design, build, or support water reuse systems, HB2169 presents a critical opportunity to expand their footprint in Oregon’s infrastructure and sustainability markets.
The bill’s emphasis on regulatory clarity and interagency coordination reduces permitting delays and improves client confidence—two major hurdles in scaling reuse projects. Technical assistance programs will further support project design and compliance, creating a more navigable pathway for solution deployment.
This is particularly beneficial for firms offering:
Additionally, the bill’s directive for public education will raise awareness around the value and safety of reuse solutions—generating more demand and acceptance across the state.
Early movers may find opportunities to participate in pilot projects, advise on state guidance, and shape emerging standards that could inform future markets across the western U.S.
Oregon’s move arrives as states across the western U.S. face increasing water scarcity and mounting pressure to adopt closed-loop water systems. According to a recent Pacific Institute report, water reuse in the United States has the potential to triple by 2040 if strategic policy and funding mechanisms are enacted. Oregon’s HB2169 could serve as a model for how state governments can structure multi-agency collaboration to tackle resource challenges with innovation and transparency.