Oregon Code § ORS 396.305

Oregon Military Department; duties and functions
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(1) The Oregon Military Department is established. The department, under the direction of the Governor, shall be responsible as provided in this chapter and ORS chapters 398 and 399 for the supervision of the military affairs of the state.
(2) The military department shall prepare and promulgate necessary regulations for the organization, governance, armament, equipment, training and compensation of the militia of the state in conformity with the provisions of this chapter, ORS chapters 398 and 399 and the laws of the United States. Regulations so made shall be subject to the approval of the Governor.
(3) The military department shall make such changes in the military organization of the Oregon National Guard as are necessary from time to time to conform to the requirements of the laws of the United States and the directives of the National Guard Bureau.
(4) The military department shall fix the location of the units and headquarters of the Oregon National Guard, and shall, subject to the approval of the National Guard Bureau, transfer, attach, consolidate or inactivate any organization or unit when in its judgment the efficiency of the present organization will be increased thereby.
(5) The military department shall have the power to establish awards and decorations and to approve the design therefor.

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