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About Portland observer. (Portland, Or.) 1970-current | View Entire Issue (June 8, 1983)
Rege 4 Portland Observer, June 8, 1963 EDITORIAL/OPINION Making democracy work When following the rules doesn’t get you what you want, change the rules. That seems to be the philosophy o f House Speaker Grattan Kerans and the House Democratic leadership. The House Revenue Committee, appointed by Kerans in January, refused to send the sales tax to the House floor for a vote — voting 5-4. This was not the highly publicized “ lack of consensus,” but an outright rejection. Kerans then took the sales tax from the Revenue Com mittee and appointed a special committee, the only function of which will be to send the sales tax to the floor. Strangely enough, Kerans* new committee is composed entirely of Representatives who favor referring the sales tax to the voters: Tom Throop, Revenue Committee Chairman, whose sole intent on that committee was getting the sales tax through; Peter Courtney and Tom Van Vliet, sponsors of sales tax measures; Hardy Myers, Vera Katz, Kip Lombard and Ted Calouri. The House vote to approve Kerans’ new committee was 40-13 and, strangely enough, Democrats were the supporters of this subver sion of the democratic process. Only five Demo crats— W ally Priestley, Ed Leek, Jim Scavera, Bob Shiprack, and Max Simpson — voted no. Republicans Burroughs, DeBoer, Hanneman, Eldon Johnson, D .E . Jones, M arkham, Parkin- by Walter F. Brown Stale Senator District 12 son and Trahern joined them. These Democrats acted in opposition to the Democratic Party’s state platform which opposes the sales tax. The common excuse is that these ’’representatives’’ oppose a sales tax as unjust but believe the voters should make that decision. This is nothing but an indication of lack o f courage and responsibility and an inability to stand up to the pressures exerted by some segments o f the business community. We are especially disappointed with some o f those who have sought and received the support of working people, the poor and minorities through a liberal or progressive line: Rick Bauman, Vera Katz, Shirley Gold, Dick Springer, Jim H ill, Larry H ill, Carl Hosticka, Barbara Roberts, Jane Cease and Kerans himself. We hope Kerans will put his ingenuity to work on behalf o f the voters and find a way to pass the two-parent welfare bill, the medically needy bill, the deadly force bill and other needed social legislation. If the Democratic Party is to have any credi- oility in Oregon it must condemn those represen tatives who blatantly disregarded their own plat form and voted contrary to the wishes and inter ests of the vast number o f Democrats. A search to find candidates who believe in and will carry out the philosophy o f the party is in order. Restore MHRC budget, staff A ground swell of support for restoration of the Metropolitan Human Relations Commis sion’s budget, staff and programs is developing among the organizations and the public. Without restoration, the reduction o f the M H R C staff and its ability to search out the facts, advocate for minorities and the poor, and provide information will be a severe blow to the non-profit agencies and religious bodies that now operate — with public contributions — to help mitigate the effects o f a poor economy and religious harassment and discrimination on indi viduals and groups. M H R C has been highly successful in dealing with racism in the Portland school district and in City and County government. The loss o f this agency would touch the lives o f the thousands of people who directly or indirectly benefit from its services. I f anyone believes Portland no longer needs education, mediation and intervention, they should note the recent press coverage o f by standers watching police officers being beaten and cheering as man jumped from the Burnside Bridge in a suicide attempt. Much remains to be done in Portland. This is no time to destroy the only official human rights/civil rights watchdog. Letters to the Editor Murder El Salvador's top health problem To'the Editor: President Reagan is again trying to fool the American public while he escalates the U .S. war against the Salvadoran people. M ore U .S . sol diers. in the form o f 25 "medical m ilitary advisors," are allegedly "hum an itarian " aid to treat "c iv il ian and military alike.” This 50% increase in U.S. troops in El Salvador will serve what Reagan labels a "freely elected, democratic govern ment.” tt mg a n<p<-a k aside, this Salvadoran regime has a gruesome "m edical” system. M urder by the military and allied death squads has replaced in fectious disease as the nation’s lead ing health problem. This brutal dic tatorship has assassinated, tortured and threatened doctors, nurses and medical students. The Salvadoran military has flagrantly entered hos pitals and shot down patients and medical workers in cold blood ("Abuses o f Medical N eutrality,” Public Health Commission to El Salvador; American Public Health Assoc., et al. July 1980). In June, 1979 medical education was halted when government troops attacked the National University. Since then, official health supplies and services have been reserved entirely for the military and those close to the gov ernment. Contrast Reagan's "advisors" ind this deadly official medical sys Met ► tem with our nationwide pcople-to- people "Medical Aid for El Salvador" campaign. W e raise funds to send medical supplies and training for the unofficial, "popular clinics" main tained by the opposition movement, F M L N /F D R . The m ajority o f rural Salvadorans now rely on these clinics and mobile health teams which operate secretly, hidden from U.S.-supplied napalm, phosphorus bombs, and from government search-and-destroy missions. Refu gees from the official medical system (doctors, medical students, nurses) train paramedics and treat the sick and wounded — primarily civilians but guerrilla and govern ment combatants alike. Public health campaigns include innocula- tions, vitam inization, and sanita tion. A new Salvadoran healthcare system is arising in the 25-30% o f the country known as "zones of co n tro l." Here Salvadorans are creating not only a healthcare system, but schooling, land reform, and elected community govern ments. "M ed ica l Aid for El Salvador." through the Committee In Solidarity with the People of El Salvador (C1SPES), has raised nearly $150,000 in 1983. Portland alone contributed $7,700 through neigh borhood canvassing, concerts, sales, speakers, and donation boxes. Coming after M ultnom ah County’s 75% vote against more guns to the dictatorship, Portland's response to W hite House m edical/m ilitary maneuvering is clear: Stop the U.S. War; help build the new El Salvador. Marcia Hamlay Cathie Shlm abukuro Medical Aid for El Salvador. Portland Central America Solidarity Committee P.O. Boa 6443 Portland. OR «7228 Community Development To the Editor: Your M ay 18 issue contained an article about the Comm unity Devel opment Finance Corporation. HH 2002, sponsored by District 18 Democratic Representative Ed Leek. The article suggests that the idea for a C D F C began with the fall campaign o f the Citizen’s Party in District 40. It's important to set the record straight. A Com m unity Development Fi nance Corporation, as a tool for putting Oregonians back to work, was first proposed by Don Clark in his bid to become the Democratic nominee for Governor in the spring o f 1982. This proposal was based on the Massachusetts C D F C and work done for the campaign by Bill Street, then a Portland consultant. Portland Observer The Portland O hierver IU S PS 969 6801 is published «»ary Thuisdav by i«ia Publishing Company. Inc . 2201 North Killings worth. Portland. Oragon 97217. Post Office Boa 3137, Portland. Oregon 97208 Second class postage paid at Portland. Oregon Salem Update 0«n. - ' » I . uneu, ’ •> The Oregon Legislature is fast approaching a major fork on the road to property lax relief. During the next few weeks all Oregonians will have a unique opportunity to ask their state legislators to give needed property tax relief through a $20,000 homestead exemption from property taxes, funded by reforming Oregon's income tax law. and not to give property tax relief through a 4 % general sales tax. In late A pril the Revenue and School Finance Committee in the House of Representatives drafted two plans for property tax relief. The more progressive plan — H JR 32 — exempts the first $20,000 of taxable value from all local property taxes. The homestead exemption would be protected by the State Constitution from any repeal by the Legislature. Renters would also re ceive relief. Local control over local budgets would be preserved. The Homeowners And Renters Relief Program (H A R R P ) — a separate property tax relief program for low income Oregonians — would be continued. The House Revenue Committee is considering two options for funding this homestead property tax exemp tion. The better funding option raises the needed dollars by restor ing progressivity to Oregon's per sonal income tax law, outdated by inflation. Personal tax rates have not been changed since the early 1960’s. The first option, which re structures Oregon's personal in come tax law, will actually lower the income taxes paid by two-thirds of Oregonians. Thus the better option gives most taxpayers both property tax relief and income tax relief. The second option o f raising all income taxes by 17% is poor policy, in my view. It would permit the opponents o f a homestead exemption to adver tise: "W h ile H J R 32 may lower your property taxes it will raise your income taxes." The first funding option lowers both property and in come taxes for the majority o f O re gonians. HJR 32 — the progressive proper ty tax relief plan — is based upon a proposal put together in a public meeting in the Capitol by a coalition which included the Oregon Demo cratic Party and a dozen statewide organizations speaking for the people who are carrying the heaviest burdens during the current reces sion. They include: • Family farmers (Oregon State Grange & Oregon-Washington Farmers Union) • Senior citizens (Gray Panthers o f Portland A Salem) • W orking people — Oregon A F L -C IO — Oregon State Industrial Union Council — Oregon State Building A Construction Trades Council — American Federation of State, County A Municipal Employees (A F S C M E ) • Mobile home tenants (Oregon State Tenants Association) • Consumers (Oregon Consumer League) • Women (W om en ’s Rights C o a lition A Oregon W omen's Political Caucus) • Middle and lower income city people (Oregon Fair Share) An earlier version o f H JR 32 is found in SB 737 which I introduced Following the defeat of C lark in the primary, Ed Leek, Bill Street and I began developing legislation based on the C lark campaign pro posals It was Leek's particular con cern (hat a C D F C provide financing for public works and small business. Meanwhile, the idea for a C D F C was picked up by the Citizen’ s Party candidate Laurel Paulson in her campaign against Eugene liberal Democrat Carl Hostika. H B 2002, which was a legislative priority of the Oregon Democratic 'ÆfeÇfGr' «•s»i»te The Portland O tnrrvrr was aatabUshad m 1970 MEMBER Subscriptions S10 00 pai year in the Tri County area Post m aster Sand address changes to the Pnrl/eed (M itarrrr. P 0 B ob 3137. Portland. Oregon 97206 A lfre d L Henderson. Editor/Publisher 4Z Wilhams, Advertising Manager A ssociation - fo u n d e d f8 8 S 283 2486 otOvaeeamg R . p , . . . n , . , i ¥. Am algam ated Publishers inc New Verb Congratulations Graduates in the Senate on M arch 10 at the re quest o f most o f these organiza tions. W hile many states have homestead property tax exemptions, SB 737 would have given Oregonians the most generous "hom estead" property tax relief plan in the United States. I f H JR 32 passes, it would put Oregon at the top with Florida. The regressive property tax relief plan — H JR 34 — is based upon a sales tax proposal put together on A p ril 13th in a private meeting by special interest lobbyists, as report ed by the Salem Statesman Journal: “ In a high-level pow-wow held away from the C apitol, business, education and local government lobbyists met with key legislators and agreed to support a 4 % sales tax dedicated to relieving property taxes. . . . Attending the meeting were representatives from school boards, teachers, community col leges, school administrators, cities, counties, utilities, banks, timber and electronics industries." (4-14-83) H JR 34 would saddle Oregonians with a 4 % general sales tax locked into the Oregon Constitution. It would only exempt food, pre scription drugs, medical care, utilities, housing, livestock, feed, seed, fertilizer, and pesticides. It would tax a ll other goods and serv ices. Oregonians who today are asking for tax relief would end up (under H JR 34) paying a 4 % sales tax on automobiles and auto re pairs, home appliances and ap pliance repairs, baby clothing, soap, toothpaste, blankets, wheelchairs, eye glasses, dental care, meals out, newspaper subscriptions, mobile homes, etc. Further, consumers will ultimate ly pay all the sales taxes paid by the producers o f good and the providers o f services. The sales taxes that farmers pay when buying needed machinery will be passed on to con sumers in the form o f higher food costs. The sales taxes that carpenters, plumbers, and electricians pay when buying needed tools w ill be passed on to consumers in the form o f higher housing costs. A recent study on the financial impact o f C alifornia's sales tax shows that even after food and drugs are exempted, consumers earning less than $10,000 per year spend 41 % o f their income on goods and services which were "sales taxed" but that those earning more than $75,000 a year spend only 17% o f their income on "sales taxed" goods and services. In short, the poorest pay the most heavily. Unlike H JR 32 which would give 100% o f the property tax relief (by homestead exemption) to homeowners and renters, H JR 34 would give homeowners and renters only 40% o f the property tax relief dearly bought by the sales tax. This means that thousands o f low and middle income Oregonians would be sales-taxed to help provide property tax relief to wealthy out-of-state owned corporations like Portland General Electric, Albertsons, Safe way, Meier A Frank, Fred Meyer, Boeing, some o f Oregon’s biggest banks, Southern Pacific and Union Pacific railroads. Weyerhaeuser. Publishers Paper, Crown Zeller- bach, Boise Cascade, and the big oil companies. But don't these big corporations need property tax relief too? In fact, they're doing better than you think. Party, passed the House 59-0. Rep. Leek was able to forge a broad coalition in support o f what the Oregonian has labeled, "th e center- piece o f economic development legislation this session." H B 3003, introduced this week and likewise a Democratic priority as a companion measure to H B 2002, will provide financing to small businesses and community projects, "w hich stabi lize and expand employment oppor tunities in the state." It has 39 co sponsors in the House and 16 spon sors in the Senate, where Sen. Jim Gardner is the co-chief sponsor, as he was o f H B 2002. It was no accident that the C D F C and H B 2002 and 3003 were devel oped in the Democratic Party and sponsored by Rep. Leek — both he and I were staff members on the Don Clark campaign. Credit where credit’s due. William B. Thomaa Chair. CPO Platform Commlttaa In The Oregonian. Leonard Curry, reporter for Newhouse News Serv ice, recently wrote: "President Reagan's income tax cuts for business resulted in the highest corporate after-tax profits in postwar history last year despite the long and deep recession." (2-6-83) The political pressure from the out-of-state owners o f many Oregon businesses helps explain the well financed campaign for a statewide general sales tax. As Oliver C . Larson, former Executive Vice President o f the Portland Chamber o f Commerce, has put it: " T h e sales tax is a favorite tax recommendation to Oregonians from absentee ownership. The cry for a sales tax accelerates in direct proportion to diminishing local business control in our state. "W h e n the Portland and Oregon business community was led by Oregonians, there was little pres sure for a sales tax. W ith accelera tion o f out-of-state ownership, the hue and cry for a sales tax picked up measurably. . . . O re gonians will not be fooled. They know it's a regressive tax aimed at small business and the working people." (The Oregon Indepen dent Grocer, A pr. ’83) In recent years there has been a dramatic shift o f the tax burden from big corporations and the wealthy to low and middle income taxpayers. In 1982-83, corporate in come taxes in Oregon will provide only an estimated 8.5 % o f the General Fund, a drop o f 40% since 1979-80. Similarly, on the national level, Citizens for Tax Justice re cently released a study in Washing ton, D .C ., reporting that: "President Reagan's tax changes have sharply shifted the nation's tax burden away from the wealthy and large corporation to average taxpayers___ ” (The Oregonian, 4-18-83) The C TJ report concluded: “ When the impacts o f infiation and rising Social Security taxes are factored in, the vast majority o f middle and lower-income tax payers now pay a higher share of their income, in taxes than they did in 1980." It seems clear that the concerns of special interest groups receive more attention in Salem and Washington, D .C . than do the concerns o f the people back home. The House Revenue Committee has also introduced H JR 33, which would impose a lim itation on expen ditures o f state and local govern ments. Based on a proposed form ula, expenditures could only increase for each budget period at the rate o f population and income growth. This measure could either be attached to H JR 32 or H J R 34. or be voted on separately. Oregonians who want to express their views or find out where their legislator stands on H JR 32 and H JR 34 can write them at the O re gon State Capitol, Salem, OR 97310, or phone the Capitol toll-free I-8OO-452-78I3. Here are the members o f the House Revenue Committee: Representatives Tom Throop, Bend (Chair); George Trahern, Grants Pass (Vice-Chair); Jane Cease, Portland; Carl Hosticka, Eugene; Bill M arkham , Riddle; Fred Parkinson, Silverton; W ally Priestley, Portland; Barbara Roberts, Portland; John Schoon, Rickreall. W ar and health (Continued fro m page I column J) U .S. government propping up the minority in El Salvador and its sup port o f rebels in Nicaragua? " I believe that the government o f the United States is carrying out actions which are far from being a friendly attitude towards these people. They are expressing an antagonistic atti tude. W e know that we must distin guish between the people o f the United States and the government. And we have faith that the people of the United States will halt the in creasingly aggressive policy o f Presi dent Reagan. W e want peace!" For more inform ation about the Salvadoran people call Ross Danielson at 281-8126. Register end vo tel