Relating to diesel; declaring an emergency.

Adds grants and loans for replacements to permissible uses of moneys in Clean Diesel Engine Fund. Makes other modifications to provisions for grants and loans from fund for purpose of reducing emissions from diesel engines. Authorizes State of Oregon to receive moneys pursuant to Volkswagen Environmental Mitigation Trust Agreement, deposit agreement moneys in Clean Diesel Engine Fund and use moneys to award grants for reducing emissions from diesel engines. Specifies allocation of grants from agreement moneys. Requires Department of Environmental Quality to hire or contract with third-party organization to complete inventory of nonroad diesel engines used in Oregon. Sets forth required qualifications of third-party organization, requirements for inventory and required uses of inventory by department. Requires completion of inventory no later than July 1, 2019. Sunsets requirement to obtain inventory from third-party organization January 2, 2020. Requires department to make inventory publicly available in aggregate form. Appropriates moneys to department to cover costs of hiring or contracting with third-party organization for purposes of inventory. Declares emergency, effective July 1, 2017.