PUBLIC HEARING: SB 511, SB 493, SB 847

 

PUBLIC HEARING AND WORK SESSION: SJR 13

 

TAPES 89-91, A-B

 

SENATE REVENUE COMMITTEE

April 10, 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:††††††††††† ††††††††††† Senator Peter Courtney, District 11

††††††††††††††††††††††† ††††††††††† ††††††††††† Bruce Warner, Department of Transportation

††††††††††††††††††††††† ††††††††††† ††††††††††† Jim Botwinis, Oregon State Police Officersí Association

††††††††††††††††††††††† ††††††††††† ††††††††††† Ron Ruecker, Superintendent, Oregon State Police

††††††††††††††††††††††† ††††††††††† ††††††††††† Chuck Hayes, Oregon State Police

††††††††††††††††††††††† ††††††††††† ††††††††††† John Ledger, Associated Oregon Industry

††††††††††††††††††††††† ††††††††††† ††††††††††† Andrea Fogue, League of Oregon Cities

††††††††††††††††††††††† ††††††††††† ††††††††††† Bill Pinhollow, Association of Oregon Counties

††††††††††††††††††††††† ††††††††††† ††††††††††† Senator Schrader, District 20

††††††††††††††††††††††† ††††††††††† ††††††††††† Representative Prozanski, District 8

††††††††††††††††††††††† ††††††††††† ††††††††††† Randy Tucker, 1000 Friends of Oregon

††††††††††††††††††††††† ††††††††††† ††††††††††† Barbara McAusland, Deschutes County

††††††††††††††††††††††† ††††††††††† ††††††††††† Jan Auxier, Deschutes County

††††††††††††††††††††††† ††††††††††† ††††††††††† Robb Reavill, Deschutes County

††††††††††††††††††††††† ††††††††††† ††††††††††† Bill Boyer, Friends of Deschutes County

††††††††††††††††††††††† ††††††††††† ††††††††††† Jim Long, Friends of North Plains

††††††††††††††††††††††† ††††††††††† ††††††††††† Don Ganer, Beaverton Citizens for School Support

††††††††††††††††††††††† ††††††††††† ††††††††††† Laurie Wimmer Whelan, Oregon Education Association

††††††††††††††††††††††† ††††††††††† ††††††††††† Ed Dennis, Chief of Staff, Superintendent of Public Instruction

††††††††††††††††††††††† ††††††††††† ††††††††††† Gary Conkling, Beaverton and Hillsboro School Districts

††††††††††††††††††††††† ††††††††††† ††††††††††† David Dodds, Mayor, West Linn

††††††††††††††††††††††† ††††††††††† ††††††††††† Chuck Adams, Resident of West Linn

††††††††††††††††††††††† ††††††††††† ††††††††††† Richard Reid, Alternatives to Growth Oregon

††††††††††††††††††††††† ††††††††††† ††††††††††† Jeff Winston, Washington County

††††††††††††††††††††††† ††††††††††† ††††††††††† Laura Weiss, Oregon Environmental Council

††††††††††††††††††††††† ††††††††††† ††††††††††† Dexter Johnson, Legislative Counsel

††††††††††††††††††††††† ††††††††††† ††††††††††† Will Newman, Oregon Sustainable Agriculture Land Trust

††††††††††††††††††††††† ††††††††††† ††††††††††† Bradley Witt, Oregon AFL-CIO

††††††††††††††††††††††† ††††††††††† ††††††††††† Paulette Pyle, Oregonian for Food and Shelter

††††††††††††††††††††††† ††††††††††† ††††††††††† Jean Wilkinson, Oregon Farm Bureau Association

††††††††††††††††††††††† ††††††††††† ††††††††††† Julie Brandis, Association of Oregon Industries

 

Staff Present:††† ††††††††††† ††††††††††† Paul Warner, Legislative Revenue Office

††††††††††††††††††††††† ††††††††††† ††††††††††† Mazen Malik, Legislative Revenue Office

††††††††††††††††††††††† ††††††††††† ††††††††††† Richard Yates, Legislative Revenue Office

††††††††††††††††††††††† ††††††††††† ††††††††††† Steve Meyer, Legislative Revenue Office

††††††††††††††††††††††† ††††††††††† ††††††††††† Tara Lantz, Committee Assistant

 

TAPE 89, SIDE A

 

004

Chair Deckert

Calls meeting to order at 1:16pm.

 

OPENS PUBLIC HEARING ON SB 863

 

016

Richard Yates

Explains SB 863 which authorizes common and Union high school districts, upon district elector approval, to impose real estate transfer tax on transfers of real property within the district. Exhibit 1.

 

CLOSES PUBLIC HEARING ON SB 863

 

OPENS PUBLIC HEARING ON SJR 13

 

030

Sen. Hannon

Discusses past legislation that has reduced funding for state police enforcement of highways and freeways. States that if this legislation passes a bill to raise speed limits, there needs to be a bill to adequately fund highway policing. Discusses a change in language he would like to see before passage of the bill.

 

 

 

096

Sen. Courtney

Discusses editorial which showed that Oregon has the lowest number of police per capita in the nation and states that the general fund will not be able support essential programs unless they find another source of revenue. Discusses differences in highway patrol and the state police force. Testifies in support of SJR 13 because it would take pressure off the general fund which needs to support K-12 education and other essential programs.

 

 

 

170

Sen. Hannon

States that it would be his desire to come back in the 2005 session if SJR 13 passes and find a specific funding source that would increase over its current level the money dedicated for this public service.

 

 

 

194

Sen. Ringo

Asks where they should get money for parks.

 

 

 

200

Sen. Hannon

Responds that lottery funds are dedicated to parks.

 

 

 

210

Sen. Ringo

Expresses support for SJR 13 but wanted to address parks.

 

 

 

214

Sen. Courtney

Responds that our parks are inadequate and that if this passes it could free up money from the general fund to support the parks.

 

 

 

229

Sen. Starr

States that registration fees from recreation vehicles goes to fund parks.

 

 

 

257

Bruce Warner

Testifies in support of SJR 13 because safety is one of the most important issues for the Department of Transportation including adequate policing of the state highway system. Discusses statistics of accidents. Refer to written testimony. Exhibit 4.

 

 

 

298

Jim Botwinis

Testifies in favor of SJR 13 with amendments to dedicate the funds to State policing because they have lost so many troopers since being pulled from ODOT funding. Refer to written testimony. Exhibit 5.

 

 

 

353

Sen. Starr

Asks how other states fund highway patrols.

 

 

 

355

Botwinis

Responds that most are funded through some sort of gas tax or some source other than the general fund.

 

 

 

390

Ron Ruecker

Testifies in support of SJR 13 because the Oregon State Police Department is in a desperate situation due to lack of funding.

 

TAPE 90, SIDE A

 

007

Chuck Hayes

Testifies in support of SJR 13 with amendments because there has been a significant increase in drivers and a significant decrease in troopers in Oregon. Refer to written testimony. Exhibit 6.

 

 

 

040

Sen. Deckert

Asks if Hayes is concerned that they have not had much success with putting measures on the ballot.

 

 

 

047

Ruecker

Responds that they have not referred a bill out to the voters that is this specific.

 

 

 

058

Hayes

Agrees with Ruecker and discusses positive public response that he has received.

 

 

 

067

Sen. Ferrioli

Expresses appreciation for both displaced troopers who have maintained professionalism and the agency which has kept its mission even during budget cuts.

 

 

 

107

John Ledger

Testifies in support of SJR 13 and the amendments because they believe the lack of police on state highways has reached a critical state and is a safety concern for tourism and employees.

 

 

 

133

Andrea Fogue

Testifies that SJR 13 is an inadequate source of funding and that it takes away from the highway fund. States that there is a significant amount of maintenance that needs to be done on roads and bridges to keep them open and accessible. Refer to written testimony. Exhibit 32.

 

 

 

165

Bill Pinhollow

Testifies that they need to narrow the scope of the bill to ensure that future legislatureís donít dig deep into the existing highway funds and that a gas tax relates directly to the maintenance of roads while a vehicle fee relates to the driver enforced by the state police.

 

CLOSES PUBLIC HEARING ON SJR 13

 

OPENS PUBLIC HEARING ON SB 511 AND SB 493

 

223

Sen. Ringo

Discusses growth of Beaverton and Washington County during the 1990ís and the costs associated with it. States that he views system development charges as giving communities more local control and local options and points out that they are optional.

 

 

 

273

Sen. Schrader

Testifies in support of SB 511 and SB 493 because it is a powerful optional tool for local school districts to fund services. Discusses affordable housing exemption.

 

 

 

356

Sen. Deckert

Asks how the exemption for affordable housing works.

 

 

 

376

Sen. Schrader

Responds that they worked with the affordable housing industry so that people with a certain income level would have their houses excluded from the levying of a system development charge.

 

 

 

399

Rep. Prozanski

Testifies in favor of SB 511 because it gives local communities the opportunity to decide if they want to impose these fees and discusses personal experience with the police department needing more options to provide services.

 

TAPE 89, SIDE B

 

015

Sen. Ringo

Asks if Eugene schools would use this opportunity.

 

 

 

016

Rep. Prozanski

Responds positively.

 

 

 

026

Randy Tucker

Testifies in support of allowing communities to recover costs associated with new development and discusses system development charges. Refer to information on system development charges. Exhibit 10.

 

 

 

069

Sen. Ringo

States that the law currently allows system development charges for other things such as transportation and asks why they are not allowed for schools.

 

 

 

076

Tucker

Responds that some things, such as transportation are needed to even begin development and are considered leading development.

 

 

 

104

Barbara McAusland

Testifies in support of SB 511 because Bend is in desperate need for more schools even with several bonds being passed in the last few years. Refer to written testimony.

 

 

 

142

Jan Auxier

Testifies in support of SB 511 on behalf of senior citizens on a fixed income who are forced to pay for the growth of communities. Refer to written testimony. Exhibit 12.

 

 

 

192

Robb Reavill

Testifies on behalf of James Clinton in support of SB 511 citing Bendís high growth grate and lack of funds to pay for construction of new facilities and expanded services. Refer to written testimony. Exhibit 13.

 

 

 

221

Bill Boyer

Testifies in support of SB 511 because areas of fast growth are especially in need, as development produces rapid expansion while school construction lags behind. Refer to written testimony. Exhibit 14.

 

 

 

296

Jim Long

Testifies in support of SB 511 because high growth has taken a toll on North Plains, which is has a lot of people on fixed incomes. Expresses concern about affordable housing.

 

 

 

316

Don Ganer

Testifies in support of SB 511 because there has been consistent support for bond measures in Beaverton but have had trouble passing them because of the double majority. States that this would be a great tool.

 

 

 

363

Laurie Wimmer

Whelan

Testifies in support of SB 511 and SB 493 because it is a fair way to provide funding for high growth areas of the state without negatively impacting other areas of the state.

 

 

 

420

Ed Dennis

Testifies in support of SB 511 and SB 493 on behalf of the Superintendent of Public Instruction.

 

 

 

446

Gary Conkling

Testifies in support of SB 493 because it is an additional financial tool for school districts. Discusses differences between school impact fees and system development charges. Refer to written testimony. Exhibit 15.

 

TAPE 90, SIDE B

 

058

Dodds

Testifies in support of SB 511. Discusses letter writing campaign in support of SDCís and positive responses. Exhibit 16.

 

 

 

089

Chuck Adams

Testifies in support of SB 511 because it is merely allowing communities to make choices. Refer to written testimony. Exhibit 20.

 

 

 

104

Richard Reid

Testifies in support of SB 511 because amortization of debt has grown larger and larger. Refer to written testimony. Exhibits 17-18.

 

 

 

131

Jeff Winston

Testifies in support of SB 511 because new developments need to take responsibility for the school messes they have created. Refer to written testimony. Exhibit 19.

 

CLOSES PUBLIC HEARING ON SB 511 AND SB 493

 

OPENS PUBLIC HEARING ON SB 847

 

170

Sen. Ringo

States that there are services, such as pesticide reporting, that should be funded by fees if there is not enough in the general fund.

 

 

 

179

Laura Weiss

Testifies in support of SB 847 with amendments because it would provide non general fund dollars to support the landmark pesticide use reporting system. Refer to written testimony. Exhibit 27.

 

 

 

236

Sen. Ferrioli

Points out that the relating clause of the bill indicates that the bill can not be introduced in the Senate.

 

 

 

241

Sen. Ringo

Responds that they are allowed to impose a tax if there is a reasonable nexus as to its use.

 

 

 

274

Dexter Johnson

Responds that you can have a public hearing and pass a bill that is required to originate in the house, but it would have a big defect.

 

 

 

301

Sen. Deckert

Points out that the -1 amendment might solve the problem.

 

 

 

305

Sen. Ferrioli

Responds that you cannot modify the relating clause.

 

Discussion follows.

 

 

 

320

Johnson

States that a bill for raising revenue must originate in the house, but a relating clause to taxation does not mean that it must.

 

 

 

340

Sen. Ringo

Asks that if a bill imposes a charge and those funds are donated to a program with some sort of nexus is it permissible to originate in the Senate.

 

 

 

345

Johnson

Responds positively.

 

Discussion follows.

 

 

 

370

Will Newman

Testifies in support of SB 847 because there is no data on the question of pesticides and that there is no way to get the data without funding the program to obtain it. Refer to written testimony. Exhibit 28.

 

 

 

384

Brad Witt

Testifies in support of SB 847 because there is a need for the data that the pesticide use reporting system has been designed to produce in order to protect workers and endangered species. Refer to written testimony. Exhibit 29.

 

TAPE 91, SIDE A

 

015

Sen. Starr

Asks if the -1 amendment eliminate charging the fee to retailers such as home depot.

 

 

 

024

Weiss

Responds that there are some issues in the amendments that donít reflect the intent of the bill and discusses retailer fees.

 

Discussion follows.

 

 

 

052

Paulette Pyle

Testifies against SB 847 because individuals, businesses, corporations, and associations rely on the availability and economics of using pesticides. Expresses concern for amendments. Refer to written testimony. Exhibit 30.

 

 

 

076

Jean Wilkinson

Testifies against SB 847 because additional costs for farmers would be a great financial burden.

 

 

 

101

Julie Brandis

Testifies against SB 847 because they oppose all specialty product taxes which put retailers in the awkward position of collecting individual taxes.

 

 

 

119

Marcia Keith

Testifies in opposition to SB 847 because veterinarians use pesticides to treat animals, such as flea and tick medication.

 

CLOSES PUBLIC HEARING ON SB 847

 

133

Sen. Deckert

Adjourns meeting at 3:14pm

 

 

 

Tape Log Submitted by,

 

 

 

Tara Lantz, Committee Assistant

 

Exhibit Summary:

1.      SB 863, Richard Yates, Staff Measure Summary, 1p.

2.      SJR 13, Richard Yates, Staff Measure Summary, 1p.

3.      SJR 13, Richard Yates, Fiscal Impact Statement, 1p.

4.      SJR 13, Bruce Warner, Written Testimony, 1p.

5.      SJR 13, Jim Botwinis, Written Testimony, 4pp.

6.      SJR 13, Chuck Hayes, Written Testimony, 3pp.

7.      SB 511, Mazen Malik, Staff Measure Summary, 1p.

8.      SB 493, Steve Meyer, Staff Measure Summary, 1p.

9.      SB 511, Sharon Konopa, Written Testimony, 4pp.

10.  SB 511, Randy Tucker, System Development Charges Fact Sheet, 2pp.

11.  SB 511, Barbara McAusland, Written Testimony, 1p.

12.  SB 511, Jan Auxier, Written Testimony, 2pp.

13.  SB 511, Robb Reavill, Written Testimony from James Clinton, 1p.

14.  SB 511, Bill Boyer, Written Testimony, 2pp.

15.  SB 493, Gary Conkling, Written Testimony, 2pp.

16.  SB 511, David Dodds, Written Testimony, 3pp.

17.  SB 511, Written Testimony, 2pp.

18.  SB 511, Supplemental Testimony, 6pp.

19.  SB 493, Jeff Winston, 2pp.

20.  SB 511, Chuck Adams, Written Testimony, 2pp.

21.  SB 511, Jeff Boyer, Written Testimony, 2pp.

22.  SB 847, Richard Yates, Staff Measure Summary, 1p.

23.  SB 847, Richard Yates, Proposed SB 847-1 Amendments, 9pp.

24.  SB 847, Kirsten Jensen, Written Testimony, 1p.

25.  SB 847, Annie Hoy, Written Testimony, 2pp.

26.  SB 847, Lisa Hanson, Written Testimony, 1p.

27.  SB 847, Laura Weiss, Written Testimony, 3pp.

28.  SB 847, Will Newman, Written Testimony, 2pp.

29.  SB 847, Bradley Witt, Written Testimony, 6pp.

30.  SB 847, Paulette Pyle, Written Testimony, 2pp.

31.  SB 847, Andy Harris, Written Testimony, 1p.

32.  SJR 13, Andrea Fogue, Written Testimony, 2pp.