74th OREGON LEGISLATIVE ASSEMBLY--2007 Regular Session
 
NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .
 
LC 1766
 
                         House Bill 2422
 
Sponsored by Representative BEYER (at the request of Oregon
  Transit Association) (Presession filed.)
 
 
                             SUMMARY
 
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
 
  Increases cigarette tax and continuously appropriates moneys
from increase to Department of Transportation for elderly and
disabled transportation services.
  Applies to cigarette tax reporting periods beginning on or
after effective date of Act.
  Takes effect on 91st day following adjournment sine die.
 
                        A BILL FOR AN ACT
Relating to cigarette taxation; creating new provisions; amending
  ORS 323.030 and 323.455; prescribing an effective date; and
  providing for revenue raising that requires approval by a
  three-fifths majority.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 323.030 is amended to read:
  323.030. (1) Every distributor shall pay a tax upon
distributions of cigarettes at the rate of   { - 29 - }  { +
35 + } mills for the distribution of each cigarette in this
state.
  (2) The taxes imposed by ORS 323.005 to 323.482 are in lieu of
all other state, county or municipal taxes on the sale or use of
cigarettes.
  (3) Any cigarette with respect to which a tax has been prepaid
under ORS 323.068 or has otherwise once been imposed under ORS
323.005 to 323.482 is not subject upon a subsequent distribution
to the taxes imposed by ORS 323.005 to 323.482.
  SECTION 2. ORS 323.455 is amended to read:
  323.455. (1) All moneys received by the Department of Revenue
from the tax imposed by ORS 323.030 (1) shall be paid over to the
State Treasurer to be held in a suspense account established
under ORS 293.445. Amounts necessary to pay the expenses incurred
by the Department of Revenue and to reimburse the Oregon State
Police and the Department of Justice for the administration and
enforcement of ORS 323.005 to 323.482 are continuously
appropriated to the Department of Revenue from the suspense
account. After the payment of administrative and enforcement
expenses and refunds,   { - 89.65 - }  { + 74.28 + } percent
shall be credited to the General Fund,   { - 3.45 - }
 { + 2.86 + } percent is appropriated to the cities of this
state,   { - 3.45 - }   { + 2.86 + } percent is appropriated to
the counties of this state and   { - 3.45 - }  { + 20 + } percent
is continuously appropriated to the Department of Transportation
for the purpose of financing and improving transportation
services for elderly and disabled individuals as provided in ORS
391.800 to 391.830.
  (2) The moneys so appropriated to cities and counties shall be
paid on a monthly basis within 35 days after the end of the month
for which a distribution is made. Each city shall receive such
share of the money appropriated to all cities as its population,
as determined under ORS 190.510 to 190.590 last preceding such
apportionment, bears to the total population of the cities of the
state, and each county shall receive such share of the money as
its population, determined under ORS 190.510 to 190.590 last
preceding such apportionment, bears to the total population of
the state.
  (3) The moneys appropriated to the Department of Transportation
under subsection (1) of this section shall be distributed and
transferred to the Elderly and Disabled Special Transportation
Fund established by ORS 391.800 at the same time as the cigarette
tax moneys are distributed to cities and counties under this
section.
  (4) Of the moneys credited to the General Fund under this
section 51.92 percent shall be dedicated to funding the
maintenance and expansion of the number of persons eligible for
medical assistance under the Oregon Health Plan, or to funding
the maintenance of the benefits available under the Oregon Health
Plan, or both, and 5.77 percent shall be credited to the Tobacco
Use Reduction Account established under ORS 431.832.
  SECTION 3. ORS 323.455, as amended by section 27b, chapter 804,
Oregon Laws 2003, is amended to read:
  323.455. (1) All moneys received by the Department of Revenue
from the tax imposed by ORS 323.030 (1) shall be paid over to the
State Treasurer to be held in a suspense account established
under ORS 293.445. After the payment of refunds,   { - 89.65 - }
 { +  74.28 + } percent shall be credited to the General Fund,
 { - 3.45 - }  { +  2.86 + } percent is appropriated to the
cities of this state,   { - 3.45 - }  { +  2.86 + } percent is
appropriated to the counties of this state and   { - 3.45 - }
 { +  20 + } percent is continuously appropriated to the
Department of Transportation for the purpose of financing and
improving transportation services for elderly and disabled
individuals as provided in ORS 391.800 to 391.830.
  (2) The moneys so appropriated to cities and counties shall be
paid on a monthly basis within 35 days after the end of the month
for which a distribution is made. Each city shall receive such
share of the money appropriated to all cities as its population,
as determined under ORS 190.510 to 190.590 last preceding such
apportionment, bears to the total population of the cities of the
state, and each county shall receive such share of the money as
its population, determined under ORS 190.510 to 190.590 last
preceding such apportionment, bears to the total population of
the state.
  (3) The moneys appropriated to the Department of Transportation
under subsection (1) of this section shall be distributed and
transferred to the Elderly and Disabled Special Transportation
Fund established by ORS 391.800 at the same time as the cigarette
tax moneys are distributed to cities and counties under this
section.
  (4) Of the moneys credited to the General Fund under this
section 51.92 percent shall be dedicated to funding the
maintenance and expansion of the number of persons eligible for
medical assistance under the Oregon Health Plan, or to funding
the maintenance of the benefits available under the Oregon Health
Plan, or both, and 5.77 percent shall be credited to the Tobacco
Use Reduction Account established under ORS 431.832.
  SECTION 4.  { + The amendments to ORS 323.030 and 323.455 by
sections 1 to 3 of this 2007 Act apply to cigarette tax reporting
periods beginning on or after the effective date of this 2007
Act. + }
  SECTION 5.  { + This 2007 Act takes effect on the 91st day
after the date on which the regular session of the Seventy-fourth
Legislative Assembly adjourns sine die. + }
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