Oregon daily emerald., July 18, 1978, Page 4, Image 4

Tax limit may be in trouble
Don’t worry, it may
not even happen
By KEVIN HARDEN
Of the Emerald
Despite all the worry and the
panic, Oregon’s tax limitation
proposal just may turn out to be a
legal lead balloon. It might fly, then
again, it might not.
The past two weeks have been
busy for tax revolt supporters who
filed 200,000 signatures on the tax
limitation petition with the secret
ary of state s office June 30, rallied
on the Capitol steps in Salem and
then made an about-face on the
issue and said they might accept a
state legislative compromise on
the tax issue.
At the center of the 180 degree
turn is the originator of Oregon’s
tax revolt, Jim Whittenburg. It was
Whittenburg who brought a
Xeroxed copy of the controversial
Proposition 13 from California and
began the successful initiative pe
tition drive that made it clear that
state taxpayers were angry and
weren't going to take any more
abuse.
But Whittenburg, a Portland
lobbyist, made it plain last week
that if the supporters of the state's
tax limitation petition wanted to
use it to attack specific politicians
or programs they didn’t like, he
would campaign vigorously
against the measure during the
November general election.
In an effort to allow the state
legislature a chance to come up
with a compromise measure of its
own, Whittenburg is stalling a fi
Emerald graphic
nancial report that must be filed
with the secretary of state's office
before the measure can be placed
on the Nov. 7 ballot. That report
isn’t due until Aug. 4, which gives
state solons plenty of time to de
cide on a workable alternative to
the tax revolt, he says.
Whittenburg, speaking at a
Eugene news conference last
Monday, said that although his
petition is considered “a legisla
tive nightmare,” it is better than
anything offered to the taxpayer
so far.
But, as Whittenburg plays a
legal Cheshire cat, Secretary of
State Norma Paulus may be
planning to put the measure on
the November ballot without
Whittenburgs financial report.
If Whittenburg, the only one
who can file a financial report as
the originator of the petition, de
cides not to file the report, Paulus
will ask the state attorney general
to file criminal charges against
him.
By stalling his report, Whitten
burg says he is giving the legis
lators a chance to do something
— anything — about the impend
ing tax crisis. If they want a special
session to work out the problem,
Whittenburg says he can wait.
But that wait may be longer than
Whittenburg thinks. Senate Pres
ident Jason Boe (D-Reedsport)
says that the Legislature should
stay out of the emotional fight over
the proposal and stick to the facts.
A special session of the Legisla
ture is not likely in the face of the
upcoming campaign, Boe says.
Legislature to stay out—(con,inued,rompa^
“This limitation proposal is just
a mine field of legal problems,''
Frohnmayer says. “The state At
torney General has been given a
list of no less than 50 problems
that will need to be addressed if
the limitation becomes law."
Although there has been talk of
calling a special session of the
Legislature, Frohnmayer agrees
with Boe about staying out of the
fight.
“I have a lot of disquiet about
the measure, but we've got to
keep ourselves from getting into a
political fight over this.”
The tax limitation, a carbon
copy of Proposition 13, would
amend the Oregon constitution to
limit state property taxes to one
and one-half percent above the
1975 assessed value. That could
mean nearly $400 million lost from
the state budget in tax revenue.
4 Hour
Photofinishing
Kodak Kodacolor II
In by 10 am
Out by 2 pm
Have that roll of film
processed today.
126 size
110 size.
35mm size ...
*ppjs film developing
210
230
250
per print*
per print*
per print*
OREGON PHOTO
LAB
j
1231 Alder Street Phone 485-0661
2538 Willamette Phone 485-6898
The limit has been praised by its
supporters as liberation of the
middle income taxpayer who has
been hit with double digit inflation
over the past few years. But it
could cause more damage than
it's worth, say the limitation's op
ponents.
Oregon’s small cities could be
hit with a large cut in civic services
if the limitation goes into effect,
says Noel Klien of the League of
Oregon Cities. Because the aver
age city in Oregon draws about 30
percent of its operating budget
from local property taxes, small
cities around the state would be
hurt far more than large cities, he
says.
Closer to home, Frohnmayer
warns the University itself could
suffer from lost revenue if the limi
tation becomes law.
If the state loses a lot of money
because of the limitation, it could
mean large budget cuts for the
State System of Higher Education
budget.
“My own concerns are very
grave,” Frohnmayer says. “I don't
Complete Ice Cream Party .
Items for All Occasions
1365 Villard St. 495 Coburg Rd.
484-1031 342-3462
EMU Breezeway
31 Delirious Flavors
561 E. 13th Ave.
Across trom Max’s
485-4422
HAIR TODAY
Downstairs in the EMU
close to the recreation center
687-1347
NATURAL HAIR DESIGNS FOR WOMEN & MEN!
$6.50
Dry cut designed tor your hair and you, for those on a tight schedule.
$9.00
wet styip designed for you and your hair for easy care and the air-waved style. A
completed style to go anywhere.
$12.00
includes shampoo moisterizing conditioner, blow dry and a hair cut designed for
you. A completed easy care style.
Remember: we carry the finest of professional hair care products for you to use.
think there's any question that
some people would like to take a
meat axe to the higher education
budget.”
All the doomsayers may be full
of hot air, however, says Ed
Sparks, of Roseburg, one of four
leaders behind the successful in
itiative petition drive. He says the
state revenue surplus is probably
large enough to handle any real
budget problems that may arise.
“I have a lot of confidence in the
Legislature and our governor,”
Sparks says. “So if Jerry Brown s
people can do it so can our peo
ple."
Although Sparks says the
Oregon revenue surplus is com
parable to California's $6 billion
surplus, Boe disagrees. Oregon's
surplus right now is estimated at
around $65 million, which may not
be there next fiscal year, he says.
"There may be no surplus at
all.”
But, if there is a surplus, Boe
says, it won’t do the Legislature
any good to talk about how much
money it will lose if the limitation
goes into effects.
That’s where we think the
California Legislature made their
mistake,” he says. “All the time
they were crying doomsday and
they were sitting on $6 billion. That
just doesn't work and the people
weren't fooled.”
MCAT
GRE • DAT
GMAT
VAT • LSAT
OCAT• MCAT • SAT
NMBI.IL in
ECFMG • Fm • VQE
NAT’L DENT BDS • NURSING BDS
STANLEY H. KAPLAN
EDUCATIONAL CENTER
Test Preparation Specialists Since 1938
OPEN DAYS, EVENINGS, & WEEKENDS
For Information, Please Call:
343-2618
Summer Class in Eugene
begins August 5th.
reliable service
for your foreign car
Volkswagen • Mercedes • BMW • Toyota • Datsun
2025 Franklin Blvd. 746-1207