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About Eugene weekly. (Eugene, Oregon) 1993-current | View Entire Issue (Jan. 15, 2004)
OPINION supporters say there’s little fat left to cut. The state Legislature already froze state salaries, cut pensions, eliminated 1,000 positions and still had to borrow $450 million to make ends meet. “There are only so many cuts that can be made,” Marshall says. The waste argu- ment “is a myth that has been perpetuated by the anti-government factions.” If the conservative Republican-controlled Legislature couldn’t come up with less painful cuts, it’s because there aren’t any, Bryant says. “We’re not talking about tax and spend liberals here.” Opponents complain Oregon taxes have already grown too high and need to be trimmed. But supporters say state taxes have fallen behind the needs of state population growth. Compared to other states, Oregon’s tax burden actually ranks 44th highest, according to state estimates. If Measure 30 passes it will increase to about 34th highest. While they say they have the facts on their side, politically, Measure 30 supporters know they have their work cut out for them. Measure 28 was trounced despite similar ar- guments. With the state hovering near the highest unemployment rate in the nation, Oregonians may not be in the mood for a tax increase. But Farkas says she hopes voters will look closely at what the state will lose by saving a few dollars in taxes. “I’m hoping that people will realize it’s not worth it.” Bryant and the other grassroots Tiggers say they’re not giving up the fight. “Not only can we do it, but it’s really important that we do.” ew To volunteer for Lane County Yes on 30 call 607-8031. 14 JANUARY 15, 2004 V i ew f r om t h e B o a rd r o om By Michael Rose, LCC Board Chair O regon’s anti-tax fever continues. Unfortunately, too high a fever can kill the patient. On Feb. 3, Oregon voters will make an important decision — let the fever run its course and gamble on the outcome or provide the medicine necessary for a healthy state. Tax myth says Oregon is a high tax state; but according to The Public Policy Institute of New York State, Oregon ranked 37 in 1998 for total state taxes per capita. Oregon has dropped further since then. Citizens demand services but don’t want to pay for them and blame public employees or “government waste” for the problem. With budgets being cut over the last 10 years, little “waste” exists, certainly not $800 million. What is waste to one person is a necessity to another. In considering Measure 30, voters should avoid automatic no tax responses and look at outcomes. The legislative tax package is more progressive than the current state tax. Individuals with higher incomes pay more and those with lower incomes pay little to no additional tax. If voters reject Measure 30¸they can expect higher fees for mandated services. Also, further reductions in state services will mean additional job losses and higher unemployment rates. Oregon needs tax reform, but that will not happen in time to address current state needs. Income taxes paid to the state are deductible from federal income taxes and keep more of the funds in the state to pro- vide services locally. According to the Oregon Department of Revenue, “in general, the federal tax cuts and Oregon taxes are not changed by Oregon’s disconnect bill.” An editorial in The Oregonian (Jan. 4) states, “$120 million in reduced federal income taxes, due to the deductibility of state income taxes on federal taxes, would be available for Oregon’s economy.” Oregon would also lose millions in federal matching funds and bond ratings would be lowered. Some citizens will pay more for necessary services with the defeat of the tax measure than they would with the approval of the measure. The Oregonian editorial Jan. 4 concludes “the small tax increase is much better for the Oregon economy than big reductions in spending.” Oregon’s infrastructure is breaking down — roads and bridges require repair; the criminal justice system can not fulfill mandates of Measure 11 and offenders are being released because of lack of space; some schools no longer provide full years or important programs like art, music, counseling and libraries; recent news stories say entire rural school districts may have to close rather than just eliminate days. According to the Oregon Center for Public Policy, the defeat of Measure 30 would draw $1.9 billion from the state economy whereas only $347 million if it succeeds. While I will not speak to the conditions of the K-12 districts or those of the university system, I do know how reduced state funding impacts Lane Community College. In the previous two years, Lane’s share of state funding has dropped $7.25 million even though enrollments remain stable. In response to loss in state support, the college eliminated programs and increased tuition by 27 percent in each of the last two years. In addition, the college has added fees. Students are finding education less affordable and the college is less flexible and less able to meet requests for programs from the community. If Measure 30 fails, LCC will lose another $900,000 this biennium and possibly more if the Legislature diverts more funds to rescue K-12. An educated workforce is the key to economic development in the community and state. Concerned with the negative impact upon education and the community college in particular, The Lane Community College Board of Education passed a resolution in support of the leg- islative tax package. We urge voters to look beyond anti-tax myth and vote “yes” on Measure 30 to help return Oregon to a healthy state. Youth in schools now cannot wait until the econo- my prospers or serious tax reform goes into effect. Oregon cannot afford not to pass Measure 30; the fever might kill the patient. Michael Rose is chair of the Lane Community College Board.
