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Oregon SB 1535: Directing the Department of Early Learning and Care to Study Child Care

Hey there, fellow Oregon landlords, property managers, and real estate investors. Christian Bryant here from the Portland Area Rental Owners Association (PAROA). The 2026 legislative session is just ramping up, and Senate Bill 1535 is one of those early, low-key introductions that might not grab headlines right away but could signal bigger conversations down the road. Titled "Relating to child care," this bill is short and straightforward—it's essentially a directive for the state to take a closer look at child care in Oregon.


Mr Portland Landlord reports this article

What the Bill Actually Says

Oregon child care study

As of late January 2026, SB 1535 is sitting at the Senate Desk, awaiting first reading. No sponsors are listed on the official page yet, no committee assignment, and no hearings scheduled—it's in the very earliest stage. The full introduced text is available as a PDF on the Oregon Legislative Information System (OLIS), linked below. The catchline and summary boil it down: the bill requires the Department of Early Learning and Care (DELC) to study child care.


Documents for Oregon child care study on table with state map.
Studying the issue: SB 1535 tasks DELC with an Oregon child care study.

That's it—no specific questions outlined, no mandated topics like costs, availability, quality, or workforce impacts. Just a broad directive to study the issue. These kinds of study bills often serve as placeholders or starting points, allowing the department to dig into data, gather stakeholder input, and perhaps recommend policy changes in a report to the legislature. Given Oregon's ongoing challenges with child care deserts, high costs, and provider shortages, this could cover a lot of ground.


Potential Impacts on Landlords and Property Managers


At this stage, SB 1535 has no direct effect—it's just calling for a study. If it passes, DELC would conduct research, possibly hold hearings or surveys, and deliver findings. That report could influence future legislation, and that's where things might touch our world indirectly.


For example, if the study highlights child care shortages as a barrier to workforce participation, future bills might push for zoning changes to allow more home-based or commercial child care facilities in residential areas. As landlords, you could see more tenants requesting to operate daycares from their units, raising questions about lease terms, insurance, liability, and neighbor complaints over noise or traffic.


In multifamily properties, recommendations might include incentives or requirements for on-site child care spaces in larger developments—similar to how some cities already encourage it through density bonuses. That could add amenities that attract families (a big renter demographic), boosting occupancy, but also construction costs or operational complexity for owners.


Impacts on Real Estate Investors and Developers


Child care access ties into housing demand, especially for family-sized units. If the study leads to expanded subsidies or provider supports, it could stabilize households—fewer evictions from job loss due to child care gaps, better rent payment consistency. Investors in suburban or growing areas like Hillsboro or Redmond might benefit from policies that make Oregon more family-friendly, drawing workers and renters.


Developers could face new mandates or incentives: imagine requirements for child care contributions in big projects, like impact fees or dedicated space. On the positive side, partnerships with providers for on-site facilities could qualify for grants or tax breaks, enhancing project appeal.


Common Scenarios and Pitfalls


Consider a tenant in your Eugene fourplex wanting to start a small in-home daycare to afford rent. Current rules allow licensed ones with limits on children, but a post-study bill might loosen or tighten those. Pitfall: Without clear lease language, disputes arise over "business use" or disturbances.


Or a developer planning a 100-unit complex in Beaverton—if future policy requires child care set-asides, budgets shift, timelines extend.


Biggest early pitfall with study bills? They fly under the radar until the report drops, potentially teeing up surprise proposals in 2027.


Oregon family considering child care options outside rental home.
Child care challenges: How an Oregon child care study could connect to housing stability.

Best-Practice Tips


Even with just a study on the horizon, stay proactive:

  • Review leases for home occupation clauses—allow licensed child care if it complies with state rules, or prohibit to avoid risks.

  • For multifamily, survey tenants on child care needs—it informs amenities and builds loyalty.

  • Track DELC reports and stakeholder meetings; public input often shapes studies.

  • If investing in family-oriented properties, highlight proximity to existing child care in marketing.

  • Partner with local providers: Some offer priority for residents, a nice perk.


Related Considerations


Child care shortages hit Oregon hard—waitlists, high costs (often rivaling rent or mortgage), and provider burnout from low wages and regulations. Families with kids are a core renter group; anything improving access could reduce turnover or late payments tied to work instability. On the flip side, more facilities mean more commercial tenants or home businesses, changing property dynamics.


These study bills remind us how interconnected housing is with workforce, education, and family supports. Who knows—recommendations might focus on subsidies (less direct impact on us) or facility expansion (more relevant). Either way, better child care supports a stable tenant base.


The bill remains early and could expand with specific study topics or funding in committee.


Call to Action


SB 1535 might seem small, but studies often plant seeds for bigger changes—get involved now.





Share thoughts on how child care issues affect rentals—availability driving family moves, or home daycares impacting properties. Your perspective helps ensure balanced outcomes.


We're all part of Oregon's housing ecosystem—stay informed, and PAROA is here for you.


Sources:

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Portland Area Rental Owners Association

12725 SW Millikan Way
Suite 300
Beaverton, OR 97005

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