Yes, that is your prior year Oregon state tax return. TurboTax is attempting to help you reduce the interest penalty for under payment on your Oregon state tax return. One way to do that is by showing that in 2022 your Oregon tax liability was zero or you did not file in 2022.
You'll need to find your copy of your 2022 Oregon state return. The main resident Oregon return form is a form OR-40. Line 31 on that form should be your tax liability. If it shows zero you will enter that in the box on your 2023 return asking for your 2022 OR tax liability and the penalty interest on your OR return will be removed.
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