Culture has always been important to Oregonians and the movement to increase resources for cultural development in Oregon began in 1998 with the Oregon Arts and Culture Summit in Portland. Since then, two task forces, appointed by the Governor and jointly by the Governor and Legislature, have worked to develop priorities and policy recommendations. In 1999, the Governor and Legislature created the Cultural Trust Fund Investment Account, a mechanism through which funding for culture can flow, and appointed the Joint Interim Task Force on Cultural Development. This task force formed the current plan and designed it based on extensive statewide input, including public forums in 12 communities and a survey of close to 20,000 citizens.

The Oregon Cultural Trust is supported by progressive enabling legislation. Passed by the Oregon Legislature in the 2001 session, House Bill 2923 (HB 2923) provides funding for Oregon's Trust for Cultural Development. The bill is the culmination of more than two years work by statewide arts, humanities, heritage and historic preservation leaders to increase collaboration and funding for cultural initiatives. HB 2923 was sponsored by a bi-partisan group of legislators including cultural task force members Rep. Ben Westlund (R-Tumalo) and Sen. Lee Beyer (D-Springfield). It established a tax credit for direct contributions to the Oregon Trust for Cultural Development, a long-term public/private funding initiative designed to preserve and strengthen culture for all Oregonians. Funding for the Trust also comes from revenue derived for the sale of a new "cultural" license plate and from the sale of state-owned surplus assets.