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About The Blue Mountain eagle. (John Day, Or.) 1972-current | View Entire Issue (Dec. 7, 2016)
State Blue Mountain Eagle Wednesday, December 7, 2016 A7 Brown proposes cuts, tax hikes in new budget Plan maintains spending for K-12, tuition assistance By Paris Achen Capital Bureau Gov. Kate Brown Thurs- day proposed a 2017-19 bud- get that cuts spending across most areas in state govern- ment, while keeping whole K-12 education and programs assisting low-income students with college tuition. The $20.8 billion budget plan uses a potpourri of cuts and tax increases to fi ll in a $1.7 billion state revenue hole, caused largely by in- creases in negotiated salaries and benefi ts and a loss of fed- eral funding for subsidizing health insurance for low-in- come residents. “I present this budget as a short-term solution,” Brown Pamplin Media Group Oregon Gov. Kate Brown released her 2017- 18 budget Thursday. Her plan generally cuts government across the board in the wake of a $1.7 billion shortfall, but spares K-12 education and tuition assistance for low-income college students. said. “It is the starting place for a broader conversation about how best to align our resources with our shared val- ues and vision to move Ore- gon forward.” She unveiled her bud- get proposal at an event Dec. 1 in her ceremonial Audit: Agencies still face IT security vulnerabilities office at the Capitol. Brown proposed funding to maintain existing services at the K-12 level, while boost- ing allocations for two college tuition assistance programs — the Oregon Opportunity Grant and Oregon Promise. Despite Brown’s claim that Capital Bureau Longstanding informa- tion technology security weaknesses continue at sev- eral state government agen- cies, according to a state au- dit released Nov. 30. The Secretary of State’s Offi ce, after spending a year auditing 13 state agencies for information technology security, warned in a report that the failure of the state to implement changes in- creased the risk of a “security incident.” “Overall, planning efforts were often perfunctory, se- curity staffi ng was general- ly insuffi cient, and critical security functions were not always performed,” the audit states. “These weaknesses collectively increase the risk of a security incident at one or more of the agencies.” Citing the “sensitive na- ture of security,” the offi ce sent confi dential letters de- tailing specifi c security con- cerns to each agency, accord- ing to the audit. The 13 agencies selected represent a cross-section of state government, according to the audit. They varied in size and type and include several agencies that main- tain sensitive personal data, such as the Oregon Health Authority and the Oregon State Police. All of the agencies the au- dit scrutinized fared poorly when it came to managing user accounts to ensure no unauthorized users had access to internal information, and all agencies had issues with “patching,” or fi xes to reme- dy the vulnerability of oper- ating systems and software to viruses or hacking. Anti-virus software was missing or out- dated at some agencies. The audit also found weaknesses in security awareness training and net- work security. Auditors also found that the state’s Chief Information Offi cer hasn’t given agen- cies adequate standards and oversight, and doesn’t have processes in place to ensure compliance with state stan- dards and federal security requirements. Alex Pettit, the chief in- formation offi cer, largely agreed with the audit’s fi nd- ings. Pettit, in a letter released with the audit Nov. 30, iden- tifi ed some ways the offi ce is trying to address the issues. For example, it is continu- ing to develop by mid-2017 a program to regularly scan most agencies and to provide new training on security is- sues for state employees. percent reductions in gener- al fund revenue, said George Naughton, chief fi nancial offi - cer at the Department of Ad- ministrative Services. Agencies are charged with fi nding specifi c reductions, such as attrition of nonessen- tial positions and reduction in travel, Brown said. Other cost-cutting mea- sures call for closing the state psychiatric hospital in Junction City and the youth correctional center in Clatsop County, slashing funding to a program that helps people with developmental disabili- ties and eliminating a program for families with children who have special needs. Brown moderated the cuts by proposing several increas- es in targeted taxes and as- sessments and closing two tax loopholes. Those measures bring in about $897 million in new revenue. The tobacco tax would in- crease by 85 cents per pack under her plan, and a liquor surcharge would climb from 50 cents to $1 a bottle. The plan also involves increasing assessments on hospitals and insurers to the tune of $530 million. Not enough tax revenue Republican House Leader Mike McLane of Powell Butte said the state continues on “an unsustainable fi scal path.” “Despite record revenues and despite what has been described as a roaring state economy, we are being told we don’t have enough tax rev- enue to cover the tab,” Mc- Lane said. He said lawmakers need to reduce spending before ask- ing for more taxes. Much of the state’s short- fall stems from reductions in federal funds for the Afford- able Care Act and the unfund- ed liability of the Public Em- ployees Retirement System. And the business com- munity has signaled it wants PERS reforms before accept- ing any new business taxes. Pot testing poses regulatory quandaries By Mateusz Perkowski Capital Bureau By Claire Withycombe the plan would maintain K-12 funding, the Oregon School Boards Association issued a statement saying the proposal falls short by about $500 mil- lion “of what schools are tell- ing us they need just to main- tain current services.” The budget for higher edu- cation will remain fl at despite increases in costs for existing services, which could mean colleges and universities will have to consider program cuts or tuition hikes. Brown’s budget plan also preserves the number of clients who receive subsidies for health insurance under the Affordable Care Act. Proposed cuts are less se- vere than the 10 to 15 percent across-the-board reductions Brown had predicted before the Nov. 8 election. State agencies face cuts averaging 4.2 percent, but the cuts vary according to the agency. Education at the K-12 lev- el faces no cuts, while health care could sustain 16 to 25 Marijuana testing is cre- ating several quandaries for Oregon regulators at a time of overall uncertainty for the newly legalized crop, accord- ing to a state offi cial. Testing for pesticides pos- es one challenge, as the nec- essary instrumentation is ex- pensive and complicated, said Jeff Rhoades, senior adviser on marijuana policy for Gov. Kate Brown. While state regulators want to protect public health, testing is a large barrier to entry into the legal recreational marijua- na market, he said during the Oregon Board of Agriculture meeting in Wilsonville Nov. 30. An overly strict testing re- gime would be a disadvantage to small growers while favor- ing large out-of-state compa- nies, Rhoades said. “It’s a very delicate balance with testing here,” he said. One pesticide that’s com- monly used on grapes, for example, breaks down into hydrogen cyanide when set afl ame, he said. Meanwhile, marijuana is sold not just as a fl ower, but also in the form of various tinctures and extracts that re- quire specifi c testing methods, Rhoades said. “It can’t be just a one-size- fi ts-all approach,” he said. There are also no federally approved pesticides that are specifi c to the psychoactive crop, Rhoades said. Oregon has 18 laboratories accredited to test marijuana, but just four are able to test for pesticides. Other marijuana traits that are tested for include micro- bial contamination, solvents and potency. Potency testing has also encountered problems since it became mandatory on Oct. 1, said Rhoades. Mari- juana growers were receiving greatly variable results from different labs, and so were fl ocking to those providing the highest potency ratings, he said. “Lab shopping was hap- pening all over the place,” he said. Regulators are now trying to create a standardized testing protocol for potency so grow- ers can expect uniform results, Rhoades said. Taxes from marijuana sales in Oregon are expected to be a boon to state coffers, but fi rst the Oregon Liquor Control Commission must be repaid for its extensive work in creat- ing a regulatory system for the crop, he said. The Oregon Department of Agriculture has also been heavily involved in regulations involving pesticides, food safety and accurate scale sys- tems, Rhoades said. Exactly how the agency will harvest again. Don’t let knee or hip pain keep you from doing what you love. StCharlesHealthCare.org/Mako be repaid for these efforts is currently unclear, though the is- sue is being discussed and will likely surface during the 2017 legislative session, he said. Marijuana remains illegal under federal law, which has made banks leery of dealing with marijuana companies — a complication that raises ad- ditional issues, Rhoades said. “It’s an all-cash business at this point, which creates public safety concerns and tax collec- tion concerns,” he said. Regulators in Oregon and the seven other states where recreational marijuana is now legal were hoping for clarity from the federal government that would enable more bank- ing involvement, he said. Let our family of Pharmacists serve you! Give us a call today 541-676-9158 - Heppner 541-384-2801 - Condon We welcome the opportunity to visit with you about our services! Heppner & & Condon Heppner Condon
