Fake News

Last week state economists delivered their presentation on the state of Oregon economy and revenue projections for the next biennium to the Senate Finance-Revenue and House Revenue committees, of which I am a vice-chair on the latter. This forecast is vitally important because it sets the targeted amount of money for the state budgeting process. It also determines if the amount of revenue is available for the Kicker or not.

The news headlines from the economic and revenue forecast were quite grim.

“Oregon’s economic outlook sours, leaving state lawmakers with millions less to spend than previously expected.”
— The Oregonian

“Trump policies mean millions less for Oregon state budget.”
— Statesman Journal

“Federal chaos leaves Oregon’s economic outlook sluggish, uncertain, short hundreds of million.s”
— Oregon Capital Chronicle

However, these headlines are quite misleading and far from the truth. The real fact is the state economists predicted record revenues for the state’s general fund budget for the upcoming 2025-27 biennium. Moreover, looking back over the past 10 years the state’s General Fund revenue has more than doubled. Do these facts justify the discrepancy of doom and gloom in the headlines above?

The tactic being played here is the inflated expectation game. Suppose you estimated a raise of $10,000/year. Instead you got one of $8,000/year. The simple fact is next year you will earn $8,000 more. Similarly, Oregon’s revenue forecast is up as shown, but lower from previous expectations, however those estimated numbers were incorrectly inflated, not from real revenue.

Given this reality, why all the doom and gloom in the media headlines? The reason is that Democrats want to project this story. Furthermore, media is eager to spread news of doom and gloom because it sells. Democrats need a doom and gloom message so that they can justify their plans for tax increases. If the headlines had been “State to receive record revenues for upcoming biennium” do you think their new taxes message would be accepted by Oregonians? Of course not.

We ought to be asking Democrats, who have been solely in control of the state budget for 10 years, why the state is not improving, despite revenue that has doubled for over 10 years. Why aren’t Oregon schools better? Why does ODOT say they won’t be able to maintain and plow roads? Why is crime and public safety a growing concern statewide? Why is housing limited and expensive? Why is Oregon far less affordable than 10 years ago? 

The bottom line is that Oregonians, who say affordability in Oregon is their number one concern, should not accept the idea of one more dime in new taxes — whether at Federal, State or local levels. The problem with government budgets is not revenue, it is spending and priorities. Oregonians must demand better from their elected officials, instead of accepting more taxes, which never permanently fix the budget problems, but instead cover up the real issue of the cost of government growing faster than revenues. 

Rep. Reschke Bill Passes House, Helps Seniors & Disabled Stay in Their Homes

I was honored to introduce and carry HB 3712 on the House Floor, which expands a program to help Seniors and those disabled be able to stay in their homes. The bill had bi-partisan sponsorship. The Homestead Deferral Program allows qualified people to stop paying their property taxes and instead allow the state to pay the taxes to the county. Upon the sale or transfer of their home, the proceeds from the sale reimburse the state. My bill updated the current statute to allow more seniors and disabled to be able to qualify for the program. This is an important step in helping those who face financial distress of being kicked out of their home because of rising property taxes. The bill passed the House floor unanimously and now is onto the Senate for further consideration.

Important Election — This Tuesday!

This Tuesday, May 20th, ballots are due for the May election. Important school board races and local ballot measures will be decided. Make sure your voice is heard!  Get your ballot turned in. Find a ballot drop box location nearest you or mall your ballot by Tuesday, May 20th.

E.  WERNER RESCHKE
State Representative, HD 55
The Crater Lake District

Capitol Phone 
(503) 986-1455

Capitol Address 
900 Court St. NE, H-383
Salem, OR 97301

Email
Rep.EWernerReschke@oregonlegislature.gov

Website
www.oregonlegislature.gov/reschke