Bus drivers at two Oregon transit districts are facing layoffs, and there could be more to come if the state legislature doesn’t provide additional funding.
Rogue Valley Transportation District (RVTD) was already suffering a cut in federal funding when the Oregon legislature failed to pass a transportation funding package in its regular 2025 session.
The district, which serves Jackson County, expects to lay off 44 of its 80 bus drivers Aug. 30. Drivers are represented by Amalgamated Transit Union (ATU) Local 757.
Three federal grants account for half of RVTD’s revenue. A Trump administration directive requires public transit districts to assist Immigration and Customs Enforcement (ICE) in order to continue receiving federal funds. But RVTD can’t agree to that new requirement because under Oregon’s 1987 sanctuary law, state and local governments can’t use public resources to assist federal immigration enforcement without a judicial warrant.
In a federal lawsuit challenging the Trump directive, a judge ordered a temporary injunction, and RVTD received a $4.68 million operating grant that had been frozen. Two other grants, which fund vehicle maintenance and services for disabled riders, are still frozen.
Meanwhile, the primary state funding system for public transportation hasn’t increased in recent years, despite operation costs rising more than 50%, RVTD said in a public notice about service cuts.
That state funding shortfall is contributing to layoffs at Oregon’s largest public transportation system too.
TriMet, which serves Multnomah, Clackamas, and Washington counties, plans to cut 140 operator jobs and additional maintenance and support positions between November 2025 and August 2027.
“It’s no secret that we face a looming fiscal cliff. We arrived at this point due to many factors,” TriMet general manager Sam Desue wrote in a July 23 email to workers. Desue wrote that TriMet has operated at a deficit since the pandemic, relying on reserves to cover costs. It has faced a 53% increase in per-hour operating costs since 2019. It had to triple spending on safety and security. Then it lost out on expected funding from a transportation revenue package the legislature failed to pass earlier this year.
As a result of all that, Desue says TriMet must cut service by 10%.
“We will need fewer operators, maintenance staff and support personnel. As feasible, we will work to allow operations staffing reductions to happen through normal attrition, due to actions like promotions, resignations and retirements,” Desue wrote. Layoffs are likely in administration too.
All told, Local 757 represents more than 5,000 bus and rail operators, mechanics, dispatchers, and others in 23 public transit systems and school districts.
Local 757 President Bruce Hansen said Local 757 hasn’t been notified of layoffs at other public transportation systems — at least not yet.
Governor Tina Kotek called a special session of the legislature Aug. 29 to try again to approve a transportation funding package. The package lawmakers discussed earlier this year included a tripling of the payroll tax that funds public transit.


