HOUSE COMMITTEE ON

AGRICULTURE AND NATURAL RESOURCES

 

 

February 18, 2003   Hearing Room D

1:00 PM Tapes  27 - 28

 

MEMBERS PRESENT:            Rep. George Gilman, Vice-Chair

Rep. Kelley Wirth, Vice-Chair

Rep. Terry Beyer

Rep. Dave Hunt

Rep. Donna Nelson

Rep. Patti Smith

 

MEMBER EXCUSED:            Rep. Jeff Kropf, Chair

 

STAFF PRESENT:                  Ray Kelly, Committee Administrator

David Peffley, Committee Assistant

 

 

MEASURE/ISSUES HEARD:            HB 2372 – Public Hearing                      

                                                HB 2258 – Informational Meeting

                                                HB 2507 – Public Hearing

 

These minutes are in compliance with Senate and House Rules.  Only text enclosed in quotation marks reports a speaker’s exact words.  For complete contents, please refer to the tapes.

 

TAPE/#

Speaker

Comments

TAPE 27, A

003

Vice-Chair Gilman

Calls the meeting to order at 1:03 and opens a public hearing on        HB 2372

HB 2372 – PUBLIC HEARING

012

Rep. Tootie Smith

Sponsor of HB 2372.  Submits (EXHIBIT A) and introduces her bill, which is revenue-neutral for the state, and integral for logging interests. 

045

Rep. Patti Smith

Asks Rep. T. Smith to confirm revenue neutrality in HB 2372. 

052

Rep. Nelson

Confirms the language and intent within the bill. 

068

Rep. Alan Bates

Testifies in favor of HB 2372.  States the purpose of the tax credit and affirms that it should be made permanent and long-term.  States that a failure to pass this bill will be disadvantageous to the industry and the economy. 

120

Jim Geisinger

Executive Vice-President, Associated Oregon Loggers.  Submits (EXHIBIT B) in support of HB 2372.  Also submits (EXHIBIT C) for Gary Betts.  Asserts that the passage of this bill would be a strong catalyst to the logging industry. 

179

Bob Luoto

President of Cross & Crown, Inc.  Submits (EXHIBIT D) in support of his testimony in favor of HB 2372, which will make the 1999 trial tax exemption of logging equipment permanent.

224

Rep. Beyer

Asks how long the equipment will last.

229

Luoto

Replies that it would last about four to five years. 

242

Rep. Beyer

Asks if the tax depreciates over time.  

249

Luoto

Remarks that it will depreciate somewhat. 

256

Mary Betts

Cites a personal anecdote which illustrates the benefits of HB 2372. 

297

Rep. Nelson

Asks if this bill includes helicopters. 

301

Geisinger

Replies that he doesn’t believe that helicopters are addressed in this bill. 

309

Rep. Hunt

Asks Geisinger if he anticipates that this bill will go straight to the floor. 

313

Geisinger

Responds that he thinks that it should since it has no revenue impact. 

330

Rep. Beyer

Asks Geisinger believes that the sunset is putting a damper on the purchase of equipment.

333

Geisinger

Affirms his belief that it is.

334

Luoto

Adds that this bill is important for a long-term plan and that it offers security which can be passed on to the employees.

349

Betts

Affirms Luoto’s statements.

359

Gil Riddell

Association of Oregon Counties (AOC).  Submits (EXHIBIT E) and expresses the concerns which lead AOC to oppose HB 2372. 

TAPE 28, A

002

Riddell

Continues testimony, stating that we have until 2008 to readdress this issue and that the revenue questions are too much to overcome at this time. 

018

Rep. Hunt

Asks for a clarification regarding HB 2372 vis-à-vis ORS 306.350.

021

Riddell

Responds about the state policy of sharing the costs.

026

Rep. Hunt

Asks for precedents of the state sharing the costs.

030

Riddell

Responds that there is no precedent that he knows of.

039

Vice-Chair Gilman

Asks how logging equipment differs from the other equipment.

042

Riddell

Responds that it really doesn’t.  Reiterates that this is a specific revenue-related issue. 

053

Rep. Smith

Asks why counties diverge in value assessment. 

056

Riddell

Disagrees that Rep. Smith’s concern is pertinent. 

064

Rep. Smith

Asks how the counties are assessed.

068

Riddell

Responds that he doesn’t know off the top of his head.

072

Rep. Nelson

Asks if the program went into effect in 1999.

077

Riddell

Affirms that it did.

079

Rep. Nelson

Asks if Riddell testified last session.

081

Riddell

States that this bill was not brought before the legislature in 1999.

084

Rep. Nelson

Asks what Riddell’s concerns are. 

092

Riddell

Reiterates his concerns about revenue.

104

Rep. Nelson

Asks if the counties are concerned about environmental sensitivity.

108

Riddell

Responds that they want more evidence stating that the program is working properly.  States his concern that the program hasn’t been properly tested.

116

Rep. Nelson

Asks for further clarification.

124

Riddell

Responds that the reports state that it’s too soon to tell if it’s working properly. 

133

Joe Misek

Department of Forestry.  Submits (EXHIBIT F) in support of HB 2372, as it will encourage investment in environmentally sensitive harvesting of timber in the state.

171

Rep. Nelson

Asks who is able to ascertain what equipment is good for the environment.

180

Misek

States that the legislature makes the determination.

200

Rep. Wirth

Asks how environmentally sound this equipment is compared with that of the past.

204

Misek

States that the advances in logging equipment have been astounding.

213

Rep. Beyer

Asks about the aging of equipment.

223

Misek

Responds that much depends on the skill of the operator, rather than the age of the equipment.

250

Vice-Chair Gilman

Closes the public hearing on HB 2372 and opens the informational meeting on HB 2258.

HB 2258 – INFORMATIONAL MEETING

254

Ray Kelly

Summarizes HB 2258.

270

Eric Rickerson,

Oregon’s Access and Habitat Board. Submits (EXHIBIT G) and presents a power-point presentation introducing Oregon’s Access & Habitat Board and their primary objectives. 

365

Susan Barnes

Access and Habitat Coordinator.  Continues the power-point presentation, with an overview of current projects.

TAPE 27, B

048

Susan Barnes

Concludes power-point presentation summarizing the accomplishments over the past decade

076

Vice-Chair Gilman

Asks whether the board and the individual councils are paid or not.

081

Bob Lund

Replies that nobody involved gets paid.

086

Vice-Chair Gilman

Asks if the agency pays the farmers from the damage done by elk.

095

Dick Warner

Responds that the agency does pay.

108

Rep. Nelson

Asks about hunting license increases.

110

Rickerson

Answers that the increases don’t have to do with their agency.

113

Lund

States that the agency hopes to end the sunset to this program.

121

Vice-Chair Gilman

Comments on the forthcoming amendment.  Closes the informational meeting and opens a public hearing on HB 2507.

HB 2507 – PUBLIC HEARING

130

Ray Kelly

Explains HB 2507.

140

Doug Tindall

Oregon Department of Transportation (ODOT).  Submits (EXHIBIT H) and (EXHIBIT I) and testifies that while supporting some of the goals of the program, states a concern that HB 2507 takes away transportation revenue and directs that revenue to other projects.

173

Rep. Beyer

Asks how many registrations we have per year and how much revenue they generate.  

175

Tindall

Responds that the fiscal impact is about $500,000 per year.

180

Chris Neamtzu

President, Oregon Community Trees.  Submits (EXHIBIT J) and testifies in support of HB 2507 in order to preserve and protect trees which improves the quality of life for us all. States that Oregon Trees would welcome the opportunity to work with Ways and Means on this bill.  Submits two letters of support (EXHIBIT K) and (EXHIBIT L) into the record.  Speaks to the fiscal effects of HB 2507.

298

Rep. Beyer

Asks for clarification on the apparent budgetary discrepancy. 

333

Tindall

Clarifies the this apparent discrepancy.

347

Rep. Nelson

Asks why this is addressed to the state rather than a specific city.

357

Tindall

States that this issue is related to pollution and so it’s logical to address the issue with this bill.  

373

Rep. Nelson

Cites McMinnville as an example of a partnership.  Suggests that Oregon Trees look into partnerships with business.

390

Rep. Beyer

Asks if the League of Oregon Cities (LOC) have offered any input. 

400

Andrea Faux

Responds that the LOC is not supporting HB 2507 at this time. 

TAPE 28, B

003

Paul Ries

Department of Forestry.  Submits (EXHIBIT M) and while agreeing with the aim of HB 2507, opposes the bill due to their concern regarding the funding mechanism provided for in Section Two of the act.

040

Vice-Chair Gilman

Closes the public hearing on HB 2507 and adjourns the meeting at 2:33.

 

 

 

 

 

 

 

 

 

 

 

 

 

EXHIBIT SUMMARY

 

A – HB 2373, written testimony, Representative Tootie Smith, 1 p.

B – HB 2372, written testimony, Jim Geisinger, 7 pp.

C – HB 2372, written testimony, Jim Geisinger, 2 pp.

D – HB 2372, written testimony, Bob Luoto, 2 pp.

E – HB 2372, written testimony, Gil Riddell, 2 pp.

F – HB 2372, written testimony, Joe Misek, 3 pp.

G – HB 2258, written materials, Eric Rickerson, 8 pp.

H – HB 2507, written materials, Doug Tindall, 1 p.

I – HB 2507, written testimony, Doug Tindall, 2 pp.

J – HB 2507, written testimony, Chris Neamtzu, 2 pp.

K – HB 2507, written testimony, Chris Neamtzu, 1 p.

L – HB 2507, written testimony, Chris Neamtzu, 1 p.

M – HB 2507, written testimony, Paul Ries, 2 pp.