AUGUST 2007: CAPITOL GAINS, WHO'S WINNING AND LOSING IN SALEM
The session’s unfinished business
By Abraham
Hyatt
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Was it a good session for business? Yes, says Kari Chisholm, a
political consultant and an editor at blueoregon.com, one of
the most prominent left-leaning blogs in the state. He points,
as other Democrats do, to the major increase in funding for
higher education as one example.
No, says Ted Piccolo, the publisher of
nwrepublican.blogspot.com, one of the most prominent
right-leaning blogs in the state. He thinks the Legislature was
so union-friendly that it ignored “those folks working
their tails off to provide a strong private economy.
“If one believes that business enterprise is the engine
that drives the economy, this session added sawdust to the
oil.”
Lynn Lundquist, president of the Or-egon Business Association,
thinks the session as a whole went well. But he agrees that the
Legislature was very union-friendly.
He also was disturbed by the decision to punt Measure 37 to
voters (“This was a terrible thing for the state,”
he says), and the lack of action on a transportation bill that
had support from the business community.
Lundquist’s top item for February is environmental
enhancement tax credits (tax breaks for businesses that exceed
federal and state environmental requirements). Beyond that, he
thinks there’s just not enough time between now and the
special session for the Legislature to be ready to deal with
many of the business community’s unresolved issues, such
as further changes to the bottle bill, transportation and the
corporate minimum tax.
HERE COMES FEB. 4
It’s during the “vacation” time — those
months between legislative sessions — that the dirty work
on bills gets done: research, input from legislative counsel,
handshaking and deal making. And since the Democrats did little
or none of that legwork last summer (who would have guessed
they’d ever take dual majority?), what got taken care of
in the 2007 session was the “easy stuff, the low-hanging
fruit,” says Chisholm.
“It was good stuff, but manageable. Now comes the heavy
lifting.”
The state’s tax system, Measure 37, recycling extensions
for the bottle bill, paid family leave, medical marijuana in
the workplace: Senators and representatives will learn a lot
from voter initiatives, legislative committees and their own
work by the time they convene for the Feb. 4-29 special
session.
BUT WHAT WILL THEY DO?
Aside from responding to voter initiatives such as Measure 37,
nobody’s saying just what the Legislature will take on.
Some, like Piccolo, argue that the purpose of the special
session is to deal with budget issues alone. The challenge for
Republicans, he says, will be to limit or block policy bills
from being introduced.
One of the biggest complicating factors for any bipartisan
work is the 2008 November election. Politicos are already
revving up their electioneering rhetoric. Hot and heavy
campaigning will have undoubtedly started by February.
Will anyone in Salem really want to touch money-related
issues?
THE SCORECARD
THE COLOR GREEN: Bottle bill! Renewable energy! Tax breaks for
businesses that use green energy! Several of the many, many
green bills this session received mixed reviews from the
business community. Whatever compromises were made before the
governor signed his name, it’s the success of these
broad-ranging bills that will help maintain the Dems’
momentum in the next year.
DRUG-FREE WORKPLACE: A move to require medical marijuana
patients to be drug free in the workplace passed the Senate but
stalled in the House. Look for it to return at some point.
RESORT
INDUSTRY: The Senate passed a bill that would ban destination
resorts near the Metolius River. But the governor didn’t
like it (he argued that proposed resorts should be handled
through the regular land-use process) and the bill never made
it past the House.
CORPORATE TAX INCREASE: It looked like it could have had
enough support from the business community and House
Republicans. But like so many other tax increases this year
— which require a 60% majority in the House — it
never won enough support. Definitely not a dead issue.
CONSUMERS: Payday
and car-title lenders didn’t like it (and dozens of
stores have since closed their doors), but the Legislature
knocked down triple-digit interest rates on consumer loans.
Another win for consumers: restrictions on telemarketing calls.
What didn’t get passed was an extension of the amount of
time lawsuits can be filed against manufacturers of defective
products.
TAX BREAKS: The $22.4 million omnibus package of breaks
— including $5 million a year for Hollywood filmmakers
— is now law. So are another $19 million in tax hikes for
the wealthy. It almost perfectly equals out for the next
budget. But not for 2009-2011. By then, most of the breaks will
be in place, and the state will have an estimated $26 million
less in its pockets.
HIGHER ED: One of the biggest winners. Universities ended up
with an $870 million budget — a 23% increase from
2005-2007. That means as much as a 26% increase in funding for
some workforce programs. It also means more than $20 million
will go to Oregon Innovation Council programs such as ONAMI,
BEST and Ocean Wave Energy.
