FOR IMMEDIATE RELEASE

March 26, 2009

Contact: Michael Cox (503) 986-1904

 

Republican Leaders Cry Wolf Again – How Long Will Oregon Listen?

Republican Leadership Opposes Regular Review of Tax Giveaways

 

SALEM – House Republican leaders are crying wolf again.  House Bill 2067 does not raise taxes, it allows for an orderly review of certain tax breaks not required under federal law or the Oregon Constitution.  With a total of 380 tax expenditures on the books, House Democrats have called for a regular review of tax breaks and giveaways to make sure Oregonians are getting what we pay for. 

 

“Smart budgeting requires a regular examination of what Oregonians are paying for and what we are getting in return,” said Representative Jules Bailey (D-Portland), Vice-chair of the House Revenue Committee.  “We should ensure we are meeting our goals of making our tax system fairer for Oregon families and small businesses.”

 

The state of Oregon currently spends more on tax expenditures, over $30 billion per biennium, than it spends on education, healthcare and public safety combined.  House Democrats want to make sure that Oregon families are not asked to shoulder a bigger share of the burden just because corporations and wealthy individuals are taking advantage of tax loopholes.  House Republican leaders oppose even having the discussion.

 

“Republican leaders clearly believe that corporations and wealthy individuals should never have to justify the millions of dollars they receive in tax breaks and loopholes,” said Representative Phil Barnhart (D-Central Lane and Linn Counties), Chair of the House Revenue Committee.  “Republicans seem more interested in protecting these tax giveaways than basic programs that benefit most Oregonians.”

 

House Democrats are in favor of continuing or expanding those tax expenditures that help Oregon families, but say the state needs to look at ending tax breaks that are unfair.  For example, there are tax breaks that reward corporations for outsourcing jobs and locating their businesses overseas in tax havens.  Whether this policy is in the best interest of the state deserves a discussion, House Democrats say.

 

“The only conclusion we are left with is that Republicans blindly support tax credits like this,” said Representative Chuck Riley (D-Hillsboro).  “Take for example the ‘Pollution Control Tax Credit,’ which essentially rewarded corporations for not violating laws against polluting our state.  That tax break expired in 2007; if the Republicans had their way it’d still be on the books – even worse we would never have the discussion.”

 

“The truly unfortunate thing about the way the Republican leadership is conducting itself is that the pettiness of their tactics stands in such contrast to the severity of the economic crisis we are facing,” said House Majority Leader Mary Nolan (D-Portland).  “House Democrats intend to pursue a hard nosed audit of tax loopholes and make the responsible choices to move Oregon forward.”

 

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