PUBLIC HEARING AND WORK SESSION: SB 220, SB 221

PUBLIC HEARING: SB 79

WORK SESSION: BILL INTRODUCTION

TAPES 30-31, A-B

SENATE REVENUE COMMITTEE

FEBRUARY 13, 2003 1:00 PM STATE CAPITOL BUILDING

Members Present: Senator Ryan Deckert, Chair

Senator Ted Ferrioli, Vice Chair

Senator Tony Corcoran

Senator Charlie Ringo

Senator Bruce Starr

Members Excused: Senator Lenn Hannon

Witness Present: Debra Buchanan, Department of Revenue

Veronica Rinard, Oregon Film and Video Office

Ron Mitchell, Oregon Film and Video Board

Charles Carlsen, International Alliance of Theatrical and Stage Employers

Dona Jennison, Oregon Media Production Association

Senator Rick Metsger, Senate District 26

Staff Present: Paul Warner, Legislative Revenue Office

Lizbeth Martin-Mahar, Legislative Revenue Office

Tara Lantz, Committee Assistant

TAPE 30, SIDE A

004

Chair Deckert

Calls meeting to order at 1:15 pm

OPENS PUBLIC HEARING ON SB 221

008	Lizbeth Martin-Mahar	Explains SB 221 which allows the Department of Revenue the discretion to extend the time period in which taxpayers must make tax payments to the state if there is a situation that impairs Oregon taxpayers’ ability to pay their taxes. Exhibit 1. States that it has no revenue impact. Exhibit 2.
026	Debra Buchanan	Testifies in support of SB 221 because it allows the Director of the Department of Revenue to extend the time period in which a taxpayer must pay taxes In appropriate situations. Exhibit 4.

CLOSES PUBLIC HEARING ON SB 221

OPENS WORK SESSION ON SB 221

037	Sen. Ferrioli	MOTION: MOVES SB 221 TO THE SENATE FLOOR WITH A DO PASS RECOMMENDATION.
040	Sen. Deckert	ORDER: HEARING NO OBJECTION, SO ORDERED SENATORS EXCUSED: HANNON, RINGO. Sen. Ferrioli will carry the bill on the Senate Floor.

CLOSES WORK SESSION ON SB 221

OPENS PUBLIC HEARING ON SB 220

054	Martin-Mahar	Explains SB 220 which establishes a definition of resident funeral trust, makes other minor changes to the estate and trust definitions, and directs the Department of Revenue to adopt simplified rules of reporting resident funeral trusts. Exhibit 5. States that there is no revenue impact. Exhibit 6.
065	Buchanan	Testifies in support of SB 220 because it adopts the uniformity proposal of Multistate Tax Commission relating to qualified funeral trusts. Exhibit 8.

CLOSES PUBLIC HEARING ON SB 220

OPENS WORK SESSION ON SB 220

084	Sen. Ferrioli	MOTION: MOVES SB 220 TO THE SENATE FLOOR WITH A DO PASS RECOMMENDATION.
088	Sen. Deckert	ORDER: HEARING NO OBJECTION, SO ORDERED. SENATORS EXCUSED: HANNON, RINGO Sen. Corcoran will carry the bill on the Senate Floor.

CLOSES WORK SESSION ON SB 220

OPENS PUBLIC HEARING ON SB 79

095	Paul Warner	Explains SB 79 which establishes Oregon Production Investment Fund and appropriates up to $2,000,000 in lottery funds to the Department of Economic Development to be used for reimbursement to film and television companies. Exhibit 9. States that there is a subsequent referral to the Ways and Means Committee.
128	Veronica Rinard	Testifies in support of SB 79 because it would create hundreds of jobs, bring in revenue for the state, and make Oregon a more competitive state for film and television production. Gives examples of other states and countries that have incentive programs, discusses study done by ECONorthwest on incentive programs, and presents a number of letters from companies supporting the bill. Exhibit 11.
351	Ron Mitchell	Testifies in support of SB 79 because it would create jobs and draw business to Oregon. Gives first-hand experience as a producer to stress the need for an incentive program.

TAPE 31, SIDE A

008	Sen. Deckert	Asks how Oregon was able to get past projects without these programs. Discussion follows.
034	Rinard	Responds that Oregon began to lose business in 1999 due to the fact that Canada put their incentives in place in 1998.
047	Sen. Ferrioli	Asks what production revenues brought in without an incentive program in the past few years and about Canada’s production revenue. Discussion follows.
083	Charles Carlsen	Testifies in support of SB 79 because it would allow skilled workers to stay and work throughout the state. Exhibit 12.
118	Dona Jennison	Testifies in support of SB 79 because it would create jobs and allow people stay and raise families in Oregon. Exhibit 13.
179	Sen. Ferrioli	Asks about production of lottery promotions in the state. Discussion follows.
236	Sen. Ringo	Asks if this is a tax expenditure.
239	Sen. Deckert	Responds that it is an allocation.
271	Sen. Metsger	Testifies in support of SB 79 because the spending from the film crews is immediate, provides revenue to the state, and provides free advertising for the state.

CLOSES PUBLIC HEARING ON SB 79

382

Sen. Deckert

Informs the witnesses for SB 79 that they will come back to the bill and allow them time to restructure it so that it doesn’t have to go to Ways and Means.

OPENS WORK SESSION

396	Sen. Starr	MOTION: INTRODUCTION, AS COMMITTEE BILLS, OF LC 2471, LC 2896, and LC 2897.
401	Sen. Deckert	ORDER: HEARING NO OBJECTION, SO ORDERED. SENATORS EXCUSED: HANNON, FERRIOLI
412	Sen. Deckert	Adjourns meeting at 2:10 pm.

Tape Log Submitted by,

Tara Lantz, Committee Assistant Reviewed by Kim Taylor James

Exhibit Summary:

1. SB 221, Lizbeth Martin-Mahar, Staff Measure Summary, 1p.

2. SB 221, Lizbeth Martin-Mahar, Revenue Impact Statement, 1p.

3. SB 221, Lizbeth Martin-Mahar, Fiscal Impact Statement, 1p.

4. SB 221, Debra Buchanan, Written Testimony, 1p.

5. SB 220, Lizbeth Martin-Mahar, Staff Measure Summary, 1p.

6. SB 220, Lizbeth Martin-Mahar, Revenue Impact Statement, 1p.

7. SB 220, Lizbeth Martin-Mahar, Fiscal Impact Statement, 1p.

8. SB 220, Debra Buchanan, Written Testimony, 1p.

9. SB 79, Paul Warner, Staff Measure Summary, 1p.

10. SB 79, Paul Warner, Revenue Impact Statement, 1p.

11. SB 79, Veronica Rinard, Written Testimony, 26pp.

12. SB 79, Charles Carlsen, Written Testimony, 1p.

13. SB 79, Dona Jennison, Written Testimony, 2p.

14. Sen. Deckert, LC 2471, 4pp.

15. Sen. Deckert, LC 2896, 9pp.

16. Sen. Deckert, LC 2897, 17pp.