PUBLIC HEARING: SB 292, SB 415, SB 492, SB 798

 

WORK SESSION: SB 550, SB 819

 

TAPES 78-79, A-B

 

SENATE REVENUE COMMITTEE

April 2, 2003   1:00 PM   STATE CAPITOL BUILDING

 

Members Present:                        Senator Ryan Deckert, Chair

                                                Senator Ted Ferrioli, Vice Chair

                                                Senator Tony Corcoran

                                                Senator Lenn Hannon

                                                Senator Charlie Ringo

                                                Senator Bruce Starr

 

Witnesses Present:                        Bob Seward, Department of Education         

                                                Jim Craven, American Electronics Association

                                                Bob Dryden, Portland State University

                                                Ron Adams, Oregon State University

                                                Art Keil, Oregon Association of Naturopathic Physicians

                                                Chris Meletis, National College of Naturopathic Medicine

                                                Wayne Centrone, Oregon Association of Naturopathic Physicians

                                                Shawn Cleave, Senate Republican Office

                                                David Eaton, Bend Resident

                                                Marcia Kelley, Oregon Revenue Coalition           

 

Staff Present:                            Paul Warner, Legislative Revenue Office

                                                Lizbeth Martin-Mahar, Legislative Revenue Office

                                                Steve Meyer, Legislative Revenue Office

                                                Tara Lantz, Committee Assistant

 

TAPE 78, SIDE A

 

005

Chair Deckert

Calls meeting to order at 1:09pm.

 

OPENS WORK SESSION ON SB 550

 

011

Sen. Starr

MOTION: MOVES RULES BE SUSPENDED FOR THE PURPOSE OF RECONSIDERING THE VOTE ON SB 550.

 

 

 

020

Sen. Deckert

ORDER: ROLL CALL VOTE: MOTION PASSES: 4-1-1.

SENATORS ANSWERING AYE: CORCORAN, STARR, FERRIOLI, DECKERT. SENATORS ANSWERING NO: RINGO. SENATORS EXCUSED: HANNON.

 

 

 

027

Sen. Starr

MOTION: MOVES TO RECONSIDER THE VOTE BY WHICH THE COMMITTEE SENT SB 550 TO THE SENATE FLOOR WITH A DO PASS AS AMENDED RECOMMENDATION.

 

 

 

032

Sen. Deckert

ORDER: ROLL CALL VOTE: MOTION PASSES: 4-1-1.

SENATORS ANSWERING AYE: CORCORAN, STARR, FERRIOLI, DECKERT. SENATORS ANSWERING NO: RINGO. SENATORS EXCUSED: HANNON.

 

 

 

035

Sen. Starr

MOTION: MOVES TO RECONSIDER THE VOTE BY WHICH THE COMMITTEE ADPOPTED SB 550-3 AMENDMENTS.

 

 

 

040

Bob Seward

Explains that the initial fiscal impact was incorrect and that there is no fiscal impact on SB 550.

 

 

 

065

Sen. Deckert

ORDER: ROLL CALL VOTE: MOTION PASSES: 5-0-1. SENATORS ANSWERING AYE: CORCORAN, RINGO, STARR, FERRIOLI, DECKERT. SENATORS EXCUSED: HANNON.

 

 

 

080

Steve Meyer

Explains SB 550-4 amendments. Exhibit 4.

 

 

 

090

Sen. Ferrioli

MOTION: MOVES SB 550-4 AMENDMENTS DATED 3/20/03 BE ADOPTED.

 

 

 

094

Sen. Deckert

ORDER: HEARING NO OBJECTION, MOTION PASSES: 5-0-1. SENATORS EXCUSED: HANNON.

 

 

 

095

Sen. Ferrioli

MOTION: MOVES SB 550 TO THE SENATE FLOOR WITH A DO PASS AS AMENDED RECOMMENDATION.

 

 

 

105

Sen. Deckert

ORDER: ROLL CALL VOTE: MOTION PASSES: 4-0-2. SENATORS ANSWERING AYE: RINGO, STARR, FERRIOLI, DECKERT. SENATORS EXCUSED: CORCORAN, HANNON.

Sen. Deckert will carry the bill on the Senate Floor.

 

OPENS PUBLIC HEARING ON SB 292

 

118

Sen. Ferrioli

Testifies in support of SB 292 because it builds on work already done to allow companies to receive tax credits to donate equipment to engineering programs.

 

 

 

142

Lizbeth Martin-Mahar

Gives history of the tax credit for donating equipment and maintenance to engineering programs to universities. Exhibit 7. Discusses revenue and fiscal impact. Exhibits 8-9.

 

 

 

169

Jim Craven

Testifies in support of SB 292 because it helps colleges equip engineering facilities.

 

 

 

236

Ron Adams

Testifies in support of SB 292 because it would help Oregon State University increase both capacity and quality of the engineering program, making it one of the top programs in the nation. Refer to written testimony. Exhibit 11.

 

 

 

322

Bob Dryden

Testifies in support of SB 292. Discusses the need for continued funds to purchase engineering equipment.

 

 

 

419

Jim Craven

Refers members to written testimony from the University of Oregon.

 

TAPE 79, SIDE A

 

005

Sen. Hannon

Asks if there is more recent revenue data.

 

 

 

015

Martin-Mahar

Responds negatively.

 

 

 

035

Sen. Hannon

States that he understands the need for donations but that this is not a time to give away money. Asks if Craven would be willing to accept a modified version of the bill.

 

 

 

055

Craven

Responds that he is willing to look at any suggestions the committee has and points out that his industry pays more in taxes than receives in credits.

 

 

 

080

Sen. Ferrioli

Asks how much value the credit has produces since it was established.

 

 

 

085

Craven

 Responds that he doesn’t have a number for the value.

 

 

 

090

Sen. Ferrioli

Points out that all equipment has to be new, current technology and declares his support for the bill.

 

 

 

115

Sen. Hannon

Points out that there are over 200 tax credits and that he would be willing to vote for a new one if he knew that the Republicans would vote for raising new revenues.

 

 

 

125

Sen. Ferrioli

Agrees with Sen. Hannon.

 

 

 

135

Sen. Deckert

Asks about the Credence investment.

 

Discussion follows.

 

CLOSES PUBLIC HEARING ON SB 292

 

OPENS WORK SESSION ON SB 819

 

162

Sen. Hannon

MOTION: MOVES RULES BE SUSPENDED FOR THE PURPOSE OF RECONSIDERING THE VOTE ON SB 819.

 

 

 

165

Sen. Deckert

ORDER: ROLL CALL VOTE: MOTION PASSES: 4-0-2. SENATORS ANSWERING AYE: CORCORAN, HANNON, FERRIOLI, DECKERT. SENATORS EXCUSED: RINGO, STARR.

 

 

 

167

Sen. Hannon

MOTION: MOVES TO RECONSIDER THE VOTE BY WHICH THE COMMITTEE PASSES SB 819 TO THE SENATE FLOOR WITH A DO PASS AS AMENDED RECOMMENDATION.

 

 

 

175

Sen. Hannon

States that he does support SB 819, but was not supportive of it being rushed out of the committee without looking at the broader issue of rural schools.

 

 

 

200

Sen. Deckert

ORDER: ROLL CALL VOTE: MOTION PASSES: 4-0-2. SENATORS ANSWERING AYE: CORCORAN, HANNON, FERRIOLI, DECKERT. SENATORS EXCUSED: RINGO, STARR.

 

CLOSES WORK SESSION ON SB 819

 

OPENS PUBLIC HEARING ON SB 415

 

212

Martin-Mahar

Explains SB 415, which allows licensed naturopathic physicians to qualify for the rural physicians’ income tax credit. Exhibit 13. Discusses revenue impact. Exhibit 14.

 

 

 

256

Art Keil

Testifies in support of SB 415 because it encourages naturopathic physicians to practice in rural Oregon. Discusses possible amendments to lower the fiscal impact. Refer to written testimony. Exhibit 17.

 

 

 

313

Chris Meletis

Testifies in support of SB 415. Gives background on naturopathic medicine and discusses the training and practice involved. Refer to written testimony. Exhibit 19.

 

TAPE 78, SIDE B

 

005

Sen. Deckert

Asks why the credit is needed if there are already naturopathic physicians in rural areas.

 

 

 

012

Keil

Responds that the intent was to create an incentive so that a few people in each graduating class would go to a rural town and points out that this just gives them the same opportunities that MD’s have.

 

 

 

022

Wayne Centrone

Testifies in support of SB 415 because it creates incentives for naturopathic physicians to practice in underserved populations. Refer to written testimony. Exhibit 20.

 

 

 

035

Sen. Hannon

Appreciates what the physicians are trying to do but points out that tax credits for MD’s and optometrists have not succeeded in drawing more people into rural areas.

 

 

 

060

Keil

Responds that SB 415 is different in that it is only for licensed physicians.

 

Discussion follows.

 

 

 

075

Meletis

Responded that the motivation for the bill was patient care.

 

 

 

080

Sen. Deckert

Recommends that they write an amendment to lower the revenue impact to $50,000.

 

CLOSES PUBLIC HEARING ON SB 415

 

OPENS PUBLIC HEARING ON SB 492

 

096

Sen. Devlin

Introduces SB 492, which creates a personal income tax credit for taxpayers with outstanding principal on student loans. Testifies in support of SB 492 because it creates an incentive for students to pay off their loans in a timely manner.

 

 

 

188

Sen. Starr

Asks if the bill would cover family members paying for a loan.

 

 

 

190

Sen. Devlin

Responds positively.

 

 

 

200

Sen. Deckert

Challenges Sen. Devlin to make the bill revenue neutral.

 

CLOSES PUBLIC HEARING ON SB 492

 

OPENS PUBLIC HEARING ON SB 798

 

220

Martin-Mahar

Explains SB 798, which establishes a state income tax credit for teachers for any expenses incurred in the tax year for purchases of educational supplies. Discusses federal income tax credit. Exhibit 28.

 

 

 

271

Shawn Cleave

Testifies in support of SB 798 on behalf of Senator Clarno.

 

 

 

280

David Eaton

Testifies in support of SB 798 because teachers are very important in providing education to the student population. Expresses concern over excluding parochial schools. Refer to written testimony. Exhibit 29.

 

 

 

335

Cleave

Refers members to example of Arizona’s tax credit for teachers.

 

 

 

359

Sen. Deckert

States that to move the bill it would have to be revenue neutral.

 

 

 

364

Sen. Starr

Asks if would be possible to put a cap on the credit.

 

 

 

377

Martin-Mahar

Responds that the easiest way would be to set it at a certain level above what the federal credit level is.

 

Discussion follows.

 

 

 

421

Marcia Kelley

Testifies in opposition to SB 798 because schools should be properly funded so that teachers don’t have to pay for materials out of their pockets. Refer to written testimony. Exhibit 30.

 

TAPE 79, SIDE B

 

CLOSES PUBLIC HEARING ON SB 798

 

035

Sen. Hannon

Asks Warner to get information to the committee on cutting tax credits to raise revenue.

 

Discussion follows.

 

110

Sen. Deckert

Adjourns meeting at 2:41pm.   

 

 

 

Tape Log Submitted by,

 

 

 

Tara Lantz, Committee Assistant

 

Exhibit Summary:

1.      SB 550, Steve Meyer, Staff Measure Summary, 1p.

2.      SB 550, Steve Meyer, Revenue Impact Statement, 1p.

3.      SB 550, Steve Meyer, School Transportation Grant Estimates, 2pp.

4.      SB 550, Steve Meyer, Fiscal Impact Statement, 1p.

5.      SB 550, Steve Meyer, Proposed SB 550-3 Amendments, 22pp.

6.      SB 550, Steve Meyer, Proposed SB 550-4 Amendments, 22pp.

7.      SB 292, Lizbeth Martin-Mahar, Staff Measure Summary, 1p.

8.      SB 292, Lizbeth Martin-Mahar, Revenue Impact Statement, 1p.

9.      SB 292, Lizbeth Martin-Mahar, Fiscal Impact Statement, 1p.

10.  SB 292, Jim Craven, Written Testimony from University of Oregon, 1p.

11.  SB 292, Ron Adams, Written Testimony, 3pp.

12.  SB 292, Marcia Kelley, Written Testimony, 3pp.

13.  SB 415, Lizbeth Martin-Mahar, Staff Measure Summary, 1p.

14.  SB 415, Lizbeth Martin-Mahar, Revenue Impact Statement, 1p.

15.  SB 415, Lizbeth Martin-Mahar, Oregon Rural Hospitals, 1p.

16.  SB 415, Art Keil, Oregon Association of Naturopathic Physicians Brochure, 2pp.

17.  SB 415, Art Keil, Written Testimony, 3pp.

18.  SB 415, Art Keil, List of Naturopathic Products, 5pp.

19.  SB 415, Chris Meletis, Written Testimony, 3pp.

20.  SB 415, Wayne Centrone, Written Testimony, 4pp.

21.  SB 415, Art Keil, National College of Naturopathic Medicine Information Packet, 102pp.

22.  SB 819, Steve Meyer, Staff Measure Summary, 1p.

23.  SB 819, Steve Meyer, Revenue Impact Statement, 1p.

24.  SB 819, Steve Meyer, Proposed SB 819-1 Amendments, 4pp.

25.  SB 492, Lizbeth Martin-Mahar, Staff Measure Summary, 1p.

26.  SB 492, Lizbeth Martin-Mahar, Revenue Impact Statement, 1p.

27.  SB 492, Marcia Kelley, Written Testimony, 3pp.

28.  SB 798, Lizbeth Martin-Mahar, Staff Measure Summary, 1p.

29.  SB 798, David Eaton, Written Testimony, 2pp.

30.  SB 798, Marcia Kelley, Written Testimony, 3pp.