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Dear friends,
From September 27-29, the Legislature held its first set of "Legislative Days" since adjournment of the 2023 session. Committees met for informational hearings and to preview concepts of possible bills for the 2024 "short" session. Agendas, meeting recordings and materials are available for review on the Legislature's website. The Senate also met to consider confirmations of the Governor's appointments to various boards and commissions. During September's Legislative Days, the Senate Judiciary Committee received an update on Ballot Measure 110 implementation and what steps are being taken to address the statewide fentanyl crisis that has swept the country. As chair of the committee, I asked law enforcement, state agency and county officials to provide the committee any updates, with the goal being to address the unintended consequences surrounding implementation of Measure 110 and the fentanyl epidemic. You can find a recording of this meeting, here. The committee will hold a follow-up informational hearing on these two topics in November. I was appointed to the newly created Joint Committee on Addiction and Community Safety Response. I look forward to serving on this committee to further the Senate Judiciary Committee's efforts to address issues around Measure 110 and the fentanyl epidemic. I expect the committee will introduce legislation on these two topics for the 2024 short session.
Below you will find information on:
- 2023 Session Accomplishments: Workforce & The Economy - Kicker Information from the Department of Revenue - Matching Grants for Recipients of Federal SBIR and STTR Program Awards - Halloween Traffic Safety Tips
I hope this information is helpful and informative for you or someone you know. As always, feel free to share your comments, questions or concerns with me by phone, mail or e-mail.
2023 Session Accomplishments: Workforce & The Economy
Following the 2023 Legislative Session, I'm sharing in-depth summaries of bills passed by subject area. Below is a comprehensive listing of accomplishments related to workforce & the economy — by Senate/House bill and in numerical order:
Senate Bills
SB 4 - Oregon Creating Helpful Incentives to Produce Semiconductors (CHIPS) Act: This legislation directs Business Oregon to develop a semiconductor financial assistance program. Appropriates $210 million from the General Fund ($190 million to support loans and grants from the Oregon CHIPS Fund; $10 million for the University Innovation Research Fund; and $10 million for the Industrial Lands Loan Fund). SB 4 allows the Governor to bring up to eight land sites, two above 500 acres and six to not exceed 500 acres, into an urban growth boundary for industrial uses by executive order. It also allows Business Oregon to provide financial assistance for industrial land development.
SB 31 - Paid Leave Oregon Solvency: This legislation requires the Oregon Employment Department to determine whether the Paid Leave Oregon fund is solvent by August 11, 2023, for benefits to be claimed and grants to be awarded on or after September 3, 2023. SB 31 allows the department to delay benefit payments and grant awards if the fund is determined insolvent. It also requires quarterly solvency assessments if the fund is determined insolvent until the sunset on September 3, 2026. In 2019, HB 2005 established Paid Leave Oregon. Employer contributions to the fund began on January 1, 2023.
SB 418 - Paid Time Off for Compensable Medical Services for Injured Workers: This legislation removes a requirement that an injured worker leave work for a minimum of four hours in order to receive temporary disability benefits for compensable medical services.
SB 571 - ABLE Accounts and Retirement Savings: ABLE Accounts help people with disabilities save for certain expenses to supplement their disability benefits from the federal government. This legislation requires the Oregon 529 Savings Board to provide information to designated beneficiaries of ABLE accounts about the potential impact to their benefits and services if contributions are made to a workplace retirement account, such as OregonSaves.
SB 582 - Electric Vehicle Charging Infrastructure and Workforce: This legislation requires contractors who install consumer-side electrical vehicle charging systems to hold all legally required licenses and have at least one electrician who holds Electric Vehicle Infrastructure Training Program certification or an equivalent training program certificate.
SB 592 - OSHA Comprehensive Inspections and Civil Penalty Increases: This legislation requires the Department of Consumer and Business Services, Oregon OSHA, to conduct a comprehensive inspection of a place of employment when a work-related fatality or three or more willful or repeated violations have occurred. Sets specific minimum and maximum civil penalty amounts.
SB 594 - Prevailing Wage for Demolition or Removal of Hazardous Waste: This legislation requires payment of prevailing wage for workers involved in the demolition or removal of hazardous waste in contracts that use $750,000 or more of public funds or that occur on state agency property.
SB 907 - Right to Refuse Dangerous Work: In Oregon, it's illegal to discriminate against any employee or prospective employee who exercises their rights protected under the Occupational Safety and Health Administration. This legislation furthers existing law by making it an unlawful employment practice for any person to bar or discharge from employment or discriminate against an employee or prospective employee because they refused to expose themselves to serious injury or death from a hazardous condition at a place of employment, with no reasonable alternatives and in good faith.
SB 913 - Parent Caregiver Compensation: This legislation directs the Department of Human Services to seek a waiver from the Centers for Medicare and Medicaid Services to compensate parents for providing attendant care services to their children who have very high medical or behavioral health needs. SB 913 includes a $7.1 million allocation for parent provider payments. Parent providers must be employed by an agency and be mandatory reporters. DHS is authorized to manage the cost, size, and growth rate of the program to protect eligibility for and levels of services.
SB 999 - OFLA and Paid Leave Oregon Technical Fixes: This legislation defines the one-year period for determining the amount of family leave an eligible employee may take under the Oregon Family Leave Act (OFLA). SB 999 redefines "family member" to allow consideration of whether there is a significant personal or affinity bond resembling family for both OFLA and Paid Leave Oregon (PLO). Employers are required to offer returning employees an equivalent position at a job site located within 50 miles of the original job site. OFLA must be taken concurrently with Family and Medical Leave Act (FMLA) and PLO, if the OFLA qualifies as protected under either program. Employees are required to continue contributing to health insurance premiums when on leave under PLO.
SB 1040 - Child Care Micro-Centers: This legislation defines child care micro-centers as child care programs that serve between 3 and 30 children for more than four hours a day. SB 1040 directs the Department of Early Learning and Care to create a pilot program to develop a sustainable model for child care micro-centers to provide affordable services in Oregon. The pilot project will include three child care facilities, and DELC will report to the legislature by September 15, 2025.
SB 1048 - ODOT Small Business Development Program: This legislation directs Oregon Department of Transportation (ODOT) to establish a small business development program to aid qualified small businesses with competing for ODOT public improvement contracts. SB 1048 also directs ODOT to evaluate bids and proposals from and award public improvement contracts to qualified small businesses based on the best value to Oregon. ODOT will establish an advisory committee and report to the legislature annually on the program.
House Bills
HB 2009 - Semiconductor Research & Development Tax Credit: While SB 4 focuses on creating financial assistance programs and finding land for industrial use, this legislation focuses on creating a research and development tax credit that is essential to the semiconductor industry. HB 2009 allows a maximum tax credit of $4 million per taxpayer with a sliding scale based on the size of the business for 2025-2029. It increases the eligibility threshold for Strategic Investment Programs to $150 million for urban areas and $40 million for rural areas and allows ports to enter into agreements, along with extending the Enterprise Zone and Long-Term Rural Enterprise Zone programs through June 30, 2023.
HB 2295 - Supporting Veteran-Owned Businesses: Prior to the 2023 legislative session, businesses owned by a service-disabled veteran would be certified for contract preferences with state, county, and city governments and special jurisdiction contracts. Additional qualifications limited the number of businesses that were eligible. This legislation extends eligibility for contracting preferences to all veteran-owned businesses.
HB 2294 - Firefighter Apprenticeships: This legislation appropriates $20 million to the Bureau of Labor and Industries to establish a grant program for local service districts and local joint committees to administer firefighter apprenticeship training pilot projects. It requires a report to the legislature by December 31, 2026.
HB 2649 - Increasing Apprenticeships and Community Outreach: This legislation increases apprentice utilization requirements for public improvement projects from 12 percent to 15 percent effective January 2, 2027. Requires contractors to implement outreach plans to recruit women, minority individuals, and veterans for projects. HB 2649 directs qualifying agencies to reduce payments to contractors that do not meet apprentice utilization requirements. Permits contractors to reduce payment to subcontractors if apprentice utilization requirements are not met. Removes ODOT exemption for apprenticeship utilization.
HB 2683 - Employment Related Day Care Subsidy Program: This legislation directs the Early Learning Council (ELC) to expand access to the Employment Related Day Care program, which provides subsidized access to child care for working parents. HB 2683 directs the ELC to establish eligibility criteria based on household income and employment status by July 1, 2027. ELC may include other criteria, such as child welfare and related services, use of homelessness or domestic violence services, or age of the parent.
HB 2759 - Liability for International Robocalls: Robocalls often originate outside the U.S. and use gateway providers and intermediate telemarketing providers to reach people. The use of intermediate providers can make it difficult to enforce the law when violations occur. This legislation establishes liability for knowing or avoiding knowing there is a violation and nonetheless supporting violations of telephone solicitations or the use of automatic dialing and announcing devices. It also punishes violations under the Unlawful Trade Practices Act.
HB 2793 - Orphan Highways / Jurisdictional Transfer Advisory Committee: Oregon has several highways that were developed for a different purpose than what they now serve. These are often referred to as 'orphan highways'. Transferring a highway's jurisdiction is complicated because it often requires significant and costly upgrades. This legislation establishes the Jurisdictional Transfer Advisory Committee with 11 members appointed by the Governor. The committee will solicit and review applications for potential transfer and will select three applications for the consideration of the Legislature's Joint Committee on Transportation each odd-numbered-year legislative session.
HB 2921- Hospital Workforce Demographics Data: The U.S. Equal Employment Opportunity Commission requires employers with over 100 employees to collect and report workforce data. This legislation requires hospitals to submit their reported workforce data showing demographics by race, ethnicity, sex, and job categories to the Oregon Bureau of Labor and Industries (BOLI) within 90 days after they submit the report to EEOC. It requires BOLI to post the information on a website and establishes civil penalties of $500 each day for noncompliance.
HB 2991 - Study on Barriers to Entering the Early Childhood Workforce: This legislation directs the Department of Early Learning and Care (DELC) to commission an independent study that identifies barriers to building a high-quality early childhood workforce and provides guidance for future professional development of early childhood workers. Reports are due to the legislature on September 15, 2024, and December 31, 2024.
HB 3201 - Expanding Access to Broadband: In 2021, the Federal Government passed the Infrastructure Investment and Jobs Act. This law included funding to address broadband access and is intended to target unserved, underserved, and tribal communities to improve digital equity in historically marginalized communities across the state. This legislation aligns Oregon statute with federal rules, guidance, and best practices related to federal broadband funds by eliminating restrictions.
HB 3235 - Child Tax Credit: This legislation creates a refundable personal income tax credit equal to $1,000 per qualifying dependent child under the age of 6 at the close of the tax year for up to five dependents. The tax credit phases out for all filer types with qualifying income between $25,000 to $30,000 and indexes to inflation and tax credit thresholds. Under HB 3235, the Department of Revenue is required to establish a program for making quarterly payments that taxpayers can opt-out of. The bill also directs the Department of Human Services to request a federal waiver to exclude distributions of advance credit payments in determining eligibility for the supplemental nutrition assistance program (SNAP). The credit applies to tax years 2023-2028.
HB 3306 - Workforce Program Training and Paid Work Experience: Oregon's Workforce Innovation and Opportunity Act (WIOA) helps job seekers in the labor market by providing them with access to employment opportunities, education and training, and support services to match skilled workers with employers. This legislation requires entities that receive WIOA funds to establish wage standards for any programs they administer that provide paid work experience. It requires entities to develop and share a training plan with individuals when they first begin participating in the program.
HB 3307 - Employment Civil Rights Protections for Apprenticeships and Job Training: This legislation extends workplace civil rights, discrimination, and harassment protections to individuals participating in registered apprenticeship programs or private sector training programs for necessary employment skills. HB 3307 exempts on-the-job training programs administered or operated by the Department of Corrections or Oregon Corrections Enterprises.
HB 3410 - Outdoor Economy Investments: This legislation directs the Higher Education Coordination Commission (HECC) to distribute $3 million to the Oregon State University Extension Service for the Outdoor Recreation Economy for workforce development and community engagement and $500,000 to Oregon State University - Cascades to create a maker space for prototyping new products for outdoor recreation entrepreneurship. HB 3410 also allocates $10 million for the Regional Rural Revitalization Strategies Consortium with a focus on supporting housing. The bill directs Business Oregon to develop a program for awarding grants directly to county fair operators for operation and maintenance of fairgrounds with up to $500,000 of lottery funds for matching grants through January 2, 2026, and $3 million for grants for funds lost due to the COVID-19 pandemic. It allocates $1,190,000 for the Oregon Coast Visitors Association. It allocates $9 million to the State Department of Agriculture for grants to establishments selling meat products, and $2 million to the HECC for workforce development in the maritime sector.
HB 3471 - Workers Compensation Settlement Agreements: This legislation makes it an unlawful employment practice to offer to negotiate a workers compensation settlement that is conditional upon a worker entering a no-rehire agreement, unless conditions of exception are met.
Kicker Information from the Department of Revenue
The Oregon Office of Economic Analysis (OEA) confirmed a revenue surplus of more than $5.5 billion in the 2021-2023 biennium, triggering a tax surplus credit, or "kicker," for the 2023 tax year. The surplus will be returned to taxpayers through a credit on their 2023 state personal income tax returns filed in 2024. The credit is based on tax liability for the 2022 tax year. Taxpayers who have not yet filed a 2022 tax return should file now so they can claim their kicker credit when they file their 2023 tax return.
DOR Kicker Calculator
Personal income taxpayers can determine the amount of their kicker using the "What’s My Kicker?" calculator available on DOR's website. To use the calculator, taxpayers will need to enter their name, Social Security Number, and filing status for 2022 and 2023.
Taxpayers may also hand-calculate the amount of their credit by multiplying their 2022 tax liability before any credits — line 22 on the 2022 Form OR-40 — by 44.28 percent. This percentage is determined and certified by OEA. Taxpayers who claimed a credit for tax paid to another state would need to subtract the credit amount from their liability before calculating the credit.
How is the kicker returned to taxpayers?
The kicker will be returned to taxpayers through a credit on their 2023 state personal income tax returns that may be filed starting in 2024. Taxpayers who have not yet filed a 2022 tax return — possibly making them eligible for a kicker — should do so, and pay any tax owed, so they can claim their kicker credit when they file their 2023 tax return.
Other important kicker information
The state may use all or part of a taxpayer's kicker to pay any state debt they owe, such as tax due for other years, child support, court fines, or school loans. Taxpayers may choose to donate their kicker to the Oregon State School Fund for K-12 public education using a checkbox on their return. The donation is for 100 percent of a taxpayer's kicker and may not be revoked if selected.
Taxpayers may also choose to donate all or part of their kicker to any or all of the 29 charities approved by the Charitable Checkoff Commission. Taxpayers use Form OR-DONATE to designate any amount, or all of their refund, to donate to charity.
2024 Tax Filing Season
The filing season for 2023 Oregon Income Tax returns will open in mid-January 2024. The department will begin making any refund payments owed to taxpayers in mid-February 2024. The timing of return processing and refund payments will depend on the date filed by a taxpayer, completeness of a return, volume of returns, refund amount, and other factors. We look forward to serving taxpayers in this historic season.
Matching Grants for Recipients of Federal SBIR and STTR Program Awards
Business Oregon, through the Oregon Innovation Council (Oregon InC), has opened applications to provide matching grants for Oregon companies who have been awarded a federal Small Business Innovation Research (SBIR) or Small Business Technology Transfer (STTR) award. For the 2021-2023 biennium, Business Oregon awarded more than $2.6 million in SBIR/STTR Matching Grants.
As part of Oregon InC's efforts to assist innovative companies and address gaps in the federal program, the SBIR/STTR Matching Grant program provides funding to help companies advance the technologies they developed using the federal funds and get their product into the marketplace. The matching grants can also help better position companies for future fundraising and growth after the federal grants have expired.
Eligibility is as follows:
- An Oregon company that has received a recent Phase I SBIR or STTR award may submit a project proposal for up to $50,000.
- An Oregon company with a recent Phase II or Fast-track award may submit a project proposal for up to $100,000.
The U.S. Small Business Administration (SBA) administers SBIR and STTR, which are often referred to as "America's largest seed fund." In 2022, Oregon companies were awarded nearly $36 million in SBIR and STTR awards through more than 70 grants. SBIR and STTR awards provide funding that does not dilute ownership, preserving control and flexibility for entrepreneurs.
Applications for matching grants are due by 8:00 a.m. PDT on Monday, October 30, 2023. To learn more about the SBIR/STTR Matching Grant program and apply, visit Business Oregon's website.
Halloween Traffic Safety Tips
The Oregon State Police (OSP) reminds you to watch for trick-or-treaters when driving in neighborhoods or going to a party on Halloween night, October 31. OSP encourages parents to:
- Dress children in bright costumes. Use reflective tape or stickers on dark costumes.
- Apply face paint or cosmetics appropriate for children directly to the face. It is safer than a loose-fitting mask that can obstruct a child's vision.
- If a mask is worn, cut the eyeholes large enough for full vision.
- Have children carry flashlights or glow sticks to improve their visibility.
- Secure hats so they will not slip over children's eyes.
- Remind children to cross streets only at intersections.
- Teach children to stop and look for cars, looking to the left, right and left again before crossing, and then to keep looking both ways for cars while they cross.
- Teach children to never dart into a street or cross a street from between parked cars.
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