|
If you're having trouble viewing this message, please visit my legislative web page at http://www.oregonlegislature.gov/prozanski/, click "News and Information" on the left.
Dear friends,
I hope everyone enjoyed a safe and fun Fourth of July, and that you've been staying safe and cool in the extreme hot weather. Lane County has activated an operations center to coordinate activities with cities and human services agencies to open and maintain cooling centers, extend operating hours, and to provide other supports. The operations center also manages:
- Public communications about heat risk via social media in partnership with cities and local partners;
- Monitor epidemiological data for spikes in heat injury/illness observed by EMS and hospital emergency departments; and
- Coordinate with Trillium and PacificSource as they provide services and supports for eligible Oregon Health Plan households.
You can find information about cooling centers across Lane County at: https://www.lanecountyOR.gov/cooling. This list will be updated through the heat event.
Below you will find information on:
- Latest Revenue Forecast
- Session Accomplishments: Elections, General Government & Accountability
- Tax Season Processing Update
- Joint Committee on Transportation Eugene Public Hearing on July 17
- Take LTD to the Oregon Country Fair!
- Planning a Summer Road Trip? Learn About Highway Construction
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.
Latest Revenue Forecast
On May 29, the latest state revenue forecast was released during a joint meeting of the Senate and House Revenue Committees by the Oregon Office of Economic Analysis (OEA). While our economy remains robust, we must continue to be responsible stewards of tax dollars to maintain stability given uncertainty of future forecasts.
Revenue Outlook
2023-25 Net General Fund resources are up $532.4 million from the March 2024 forecast. The 2023-25 General Fund ending balance is now $1.17 billion versus March’s projected ending balance of $1.67 billion. Lottery revenue for the 2023-25 biennium is down $500,000 from the March 2024 forecast.
Reserve accounts are currently at $825 million (Education Stability Fund) and $1.67 billion (Rainy Day Fund). The projected ending balances for the 2023-25 biennium reserve account are as follows: Education Stability Fund ($1 million) and Rainy Day Fund ($1.87 billion). The Rainy Day Fund is projected to receive $329 million following the end of the 2023-2025 Biennium.
Kicker Outlook
A personal kicker of $582.2 million is projected for 2025. Corporate tax revenue of $588 million is projected to be dedicated to K-12 education spending in 2025-2027.
OEA Economic Outlook
Historically, Oregon's economy has grown at an above-average rate compared to the nation overall. Oregon is generally more volatile, with local recession deeper, and expansions stronger than those experienced in the typical state. The pandemic cycle has been different. The initial economic shock was about the same size in Oregon as it was nationally. Over the entire cycle to date, Oregon's economy in terms of jobs and income is in the middle of the pack across all states.
Over the past year, our state's payroll job growth has been among the lowest, with essentially no job growth in that time. This is nearly unheard of in the state's modern history. Oregon personal income growth is relatively stronger than that, ranking 16th fastest across all states, with wage gains ranking 27th fastest in the past year. Even so, it's clear that our macroeconomy is not outpacing the nation so far this cycle.
While Oregon's topline growth is slower than it usually has been, the economic outcomes for Oregonians has never been better. Our state's median household income is now higher than the medium household income in the rest of the United States. In terms of the labor market, the share of working-age Oregonians with a job is at a record high based on recent employment reports. Our state's labor force participation rate (LFPR) since the start of the pandemic has increased the second most across all states, with only Oklahoma seeing stronger gains. As of today, Oregon's labor market is at full employment, and on par with the economic boom seen in the 1990s.
OEA's Corporate Activity Tax (CAT) Projections
According to the June 2024 outlook, Oregon's CAT tax is expected to generate around $2.8 billion during the current 2023-25 biennium. Strong consumer spending and the inflationary environment have both played roles in the large amount of collections. The baseline outlook for tax liability is currently based on expected output growth across various industries as well as growth in consumer spending. So far, CAT tax collections have outpaced such measures of underlying economic activity. The outlook for CAT collections is further complicated by lags in filing and the processing of tax returns. Only earlier this year was return data for the 2021 tax year made available. All told, the CAT revenue forecast raised $4.6 million (+0.2 percent) in the current 2023-25 biennium, however it is lowered slightly, by 1-3 percent each biennium compared with the previous March 2024 forecast over the forecast horizon.
Session Accomplishments: Elections, General Government & Accountability
Following the 2024 short Legislative Session, I'm sharing in-depth summaries of bills passed by subject area. Below is a comprehensive listing of accomplishments related to elections, general government & accountability — by Senate/House bill and in numeric order:
Senate Bills
SB 1531 - America 250 Oregon Commission: This legislation creates the 27-member America 250 Oregon Commission charged with coordinating and providing guidance for Oregon's official observance of the 250th anniversary of the United States, as marked by the Declaration of Independence in 1776. In addition to coordination and planning, the commission may engage in and encourage fundraising efforts. The commission must solicit input from Oregon's nine federally recognized tribes and members of Oregon's Black, Asian American and Pacific Islander, and Hispanic communities. The bill directs the Oregon Historical Society to provide staff support to the commission and specifies that voting members of the commission are entitled to compensation and expenses.
SB 1533 - Additional Languages on Voter Pamphlets: The Oregon voters' pamphlet is produced and distributed by the Secretary of State (SOS) Elections Division. This legislation increases the number of the most commonly spoken languages in each county, other than English, into which the Secretary of State is required to translate state and county voters' pamphlets from the top five to the top ten.
SB 1538 - Elections Omnibus: This legislation improves election administration by making several changes to current election laws. SB 1538 will make it easier to file translations of the Oregon voters' pamphlet and help ensure those translations meet county-by-county linguistic needs. It also adjusts certain campaign filing thresholds for inflation.
SB 1562 - Stabilizing the Rainy Day Fund: Oregon's Rainy Day Fund was created by the Legislature in 2007. Funding sources include the end of the biennium balance and the amount of corporation income/excise taxes attributable to any tax rate above 7.2 percent. This legislation increases the Rainy Day Fund cap and requires a transfer if monies in the fund are below 12.5 percent of the revenue collected during the prior biennium.
SB 1571 - Regulating Artificial Intelligence in Elections: As the use of Artificial Intelligence (AI) becomes more prevalent, this legislation requires campaigns to disclose the use of AI in campaign communications materials. Failing to disclose the use of AI can result in a fee of up to $10,000.
House Bills
HB 4024 – Campaign Finance Reform: This legislation sets campaign contribution limits for candidates running for non-federal office in Oregon. It also sets disclosure and reporting requirements for candidate campaign independent expenditures, establishes complaint investigation requirements and deadlines, creates civil penalties for contribution limit and disclosure requirement violations, and requires the Secretary of State's Office to create a campaign finance dashboard to promote accountability and transparency. HB 4024 further requires an incumbent to file for office at least seven days before the filing deadline.
HB 4153 – Task Force on Artificial Intelligence: AI is an emerging technology that continues to evolve and develop new practical applications. This legislation creates a task force to identify terms and definitions related to AI that may be used in future laws. The bill directs the task force to report its findings on or before December 1, 2024.
Tax Season Processing Update
The Oregon Department of Revenue (DOR) reports that the bulk of tax filing season is nearing completion. They shared the below status update with legislators on June 21:
- DOR has received more than two million tax returns;
- The agency has completed 95 percent of the tax returns (5 percent remain in review);
- The average time from receipt to refund is 11 days;
- 1.74 million tax refunds have been issued;
- $4.28 billion of the kicker has been issued; and
- DOR will receive a large number of tax returns at the extension deadline in October.
Joint Committee on Transportation Eugene Public Hearing on July 17
The Legislature's Joint Transportation Committee (JTC) will be visiting Eugene on July 17 for the fourth stop of its statewide Transportation Safety and Sustainability Outreach Tour. As part of the visit, there will be a public hearing from 5-7 p.m. at the Lane Events Center for the committee to listen to members of the community about local transportation needs and how the Legislature should support the long-term safety and maintenance of Oregon's transportation systems. The hearing will be available via livestream at: https://www.olis.oregonlegislature.gov.
Members of the public interested in testifying can register in person starting 30 minutes before the meeting begins. The committee will also hear remote testimony if time permits, which the public can register for on the committee's webpage at olis.oregonlegislature.gov. Additionally, written testimony can be submitted to the committee via e-mail to: JCT.exhibits@oregonlegislature.gov.
Perspectives and information gathered by the committee during its 12-stop tour will inform legislators as they develop a plan in the 2025 session to maintain critical infrastructure, complete work on major projects, and guarantee the safety and diversity of transportation systems across the state.
I hope to see you there!
WHAT: JTC public hearing
WHEN: July 17, 5-7 p.m.
WHERE: Lane Events Center (796 W. 13th Ave., Eugene)
Take LTD to the Oregon Country Fair!
Lane Transit District and the Oregon Country Fair (OCF) have partnered to provide ticketed fairgoers "fare-free" rides to the annual event in Veneta on July 12, 13, and 14. Attendees can cut down on traffic congestion, carbon emissions, and the time spent looking for parking by taking LTD.
OCF has purchased bus service for ticketed fairgoers traveling from both LTD's Valley River Center Park & Ride and Eugene Station to OCF's site, west of Veneta on Highway 126. OCF service begins at 10 a.m., with the last departing bus to the fair from Eugene at 5:30 p.m.
To board the bus to OCF, staff will verify passengers have a valid ticket to attend the event. Fairgoers without a ticket will not be allowed on the bus. No tickets are sold on-site.
For more information about OCF, please use the following links:
Complete LTD bus schedules are available, here.
Planning a Summer Road Trip? Learn About Highway Construction
ODOT crews are working to make improvements to Oregon highways across the Willamette Valley and along the north coast this summer. Projects include several work zones along the I-5 corridor.
Check out this interactive construction map or ODOT's 2024 construction online open house to:
- Find out what work is happening;
- Check out our interactive map to see what projects are planned this year throughout the state; and
- Sign up for email alerts for the projects you're interested in.
|
