PUBLIC HEARING HJR 38, HB 3227, HB 3168

 

TAPE 103 A

 

HOUSE REVENUE COMMITTEE

APRIL 1, 2003   8:30 AM   STATE CAPITOL BUILDING

 

Members Present:                        Representative Lane Shetterly, Chair

                                                Representative Wayne Scott, Vice Chair

                                                Representative Joanne Verger, Vice Chair

                                                Representative Vicki Berger

                                                Representative Mark Hass

                                                Representative Elaine Hopson

                                                Representative Max Williams                                               

 

Members Excused:                      Representative Phil Barnhart

                                                Representative Pat Farr

 

Witness Present:                        Representative, Dennis Richardson, District 4

 

Staff Present:                            Paul Warner, Legislative Revenue Officer

                                                Richard Yates, Legislative Revenue Office

                                                Kathy Tooley, Committee Assistant

 

TAPE 103, SIDE A

 

004

Chair Shetterly

Calls meeting to order at 8:40 a.m.

 

 

PUBLIC HEARING HJR 38

 

032

Paul Warner

Provided description of HJR 38.  Discussed projected growth, Education Stability Fund.

 

052

Rep. Dennis

Richardson

Spoke in favor of HJR 38, described bill; education funding for the current and next biennia, discussed need for future funding requirements for education.

 

114

Rep. Berger

Why is this bill a House Joint Resolution?

 

116

Chair Shetterly

Because there will be a referral for constitutional amendment.

 

118

Rep. Hass

What would be done with the gap of paying for schools as we go that will be smaller since there will be less to draw from the Oregon Lottery?

 

122

Rep. Richardson

Implementation of this bill is delayed until economic recovery is in full swing is to make sure there is additional income taxation.  This is a plan for the future. Future legislatures will have to deal with current biennium.

 

144

Rep. Hass

Have to quarrel with the phrase that the legislature would have to find some new revenue for schools somewhere.  Schools had funding problem. Even during period of largest economic expansion there were funding problems.

 

149

Rep. Richardson

That is my point and will continue; that is an attitude.  The legislature is addicted to money.  There will always be discussions on how to raise more money, but focused on current needs when the recession is over. If action is not taken now, there will not be enough money in the stability fund to deal with the next recession.

 

160

Rep. Verger

The legislature is also addicted to lottery money.  If this money goes to this fund will it increase gambling because it is going to something gamblers believe in?  How is the perception of children that their education is on the back of gamblers?

 

182

Rep. Richardson

I don’t have the answer to these kinds of policy questions.  I am trying to put it on the table.  It is an issue that could be lost because of focus on current funding needs.  Must plan now, so when next recession occurs there will be money in the Educational Stability Fund.

 

187

Chair Shetterly

Under current law 18% of net lottery goes into the stability fund until it reaches 5% cap, then it is stepped down to 15% and goes into the capital matching sub account.  This bill would eliminate the cap on the stability fund and the provision for the transfer of 15% to the capital matching fund.  But the capital matching fund is retained.  How is the capital matching fund segregated from the stability fund?

 

205

Warner

Discusses Line 31, Page 3 of the bill.  Need to have some statutory language as to how that account would have transfers from the stability fund.

 

215

Chair Shetterly

This would pay into the stability fund and there would be no automatic transfer of funds into the capital matching account, it would take legislative action periodically to move money from the stability fund to the capital matching account?

 

222

Warner

Answered affirmatively.

 

233

Chair Shetterly

Close the Public Hearing on HJR 38

 

Committee will stand at ease at 8:50 a.m.

 

 

PUBLIC HEARING ON HB 3227

 

 

 

Reconvened at 9:00 a.m.

 

253

Yates

Provided description of HB 3227, (Exhibit 3); provides funding for establishment of enhanced regional 911 reporting system.

 

291

Chair Shetterly

Closed Public Hearing on HB 3227

 

 

 

Opened Public Hearing on HB3168

 

 

PUBLIC HEARING ON HB 3168

 

292

Yates

Provided description of HB 3227, (Exhibit 4); provides revenue to be used as debt service and issues of revenue bonds based on that revenue source for establishing and transition to a regional 911 reporting system.

 

305

Chair Shetterly

Closed Public Hearing on HB 3168

 

 

 

307

Chair Shetterly

Meeting adjourned at 9:05 a.m.

 

 

 

 

Tape Log Submitted by,

 

 

 

Kathy Tooley, Committee Assistant Reviewed by Kim Taylor James

 

Exhibit Summary:

1.       Warner, “Staff Measure Summary HB HJR 38”, 2 pages

2.       Rep. Richardson, “Testimony HJR 38”, 2 pages

3.       Yates, “Staff Measure Summary HB 3227”, 1 page

4.       Yates, “Staff Measure Summary HB 3168”, 1 page