Legislative Argument in Support
MEASURE 72 WILL SAVE TAXPAYERS’ MONEY AND HELP CREATE JOBS
Everyone agrees that in these tough economic times, we need to find ways to reduce costs and make our tax dollars go further. Measure 72 does exactly that. If Measure 72 had been in place last year, the State would have saved $38 million in interest costs.
Each session, the Legislature authorizes a certain amount of borrowing to finance construction projects. The Oregon Constitution contains special provisions which allow many of these projects (such as roads or universities) to be funded by General Obligation bonds backed by the State’s promise to repay. By issuing this promise, the State is able to obtain lower interest rates, saving taxpayers money.
However, for many other projects, the State cannot use its excellent credit rating to get lower interest rates. Measure 72 fixes that problem.
Measure 72 expands the types of projects which can be funded with these lower interest bonds. It’s simple math: Oregon taxpayers save money when interest rates are lower. Measure 72 will also allow the State to refinance existing debt at lower interest rates, saving even more money.
The savings from adopting this measure could mean hundreds of jobs – building roads, improving our universities and community colleges, teaching students, or fixing hospitals. These investments in Oregon’s future will provide short-term jobs and long-term benefits to our state, at a lower cost than we currently pay.
Measure 72 earned bipartisan support in the Legislature because it makes financial sense, saves taxpayer money, and allows us to stretch our dollars further to create more jobs, and provide more services.
Please vote YES on MEASURE 72.
Committee Members: / Appointed by:
Senator Diane Rosenbaum / President of the Senate
Representative Chris Harker / Speaker of the House
Representative Bob Jenson / Speaker of the House
(This Joint Legislative Committee was appointed to provide the legislative argument in support of the ballot measure pursuant to ORS 251.245.)
Argument in Favor
Keep Oregon tax dollars for Oregon Construction Projects The National Electrical Contractors Association urges you to VOTE YES on MEASURE 72
Oregon is known for leading the way with innovative construction projects, especially with renewable energy and sustainability. Measure 72 will make it that much easier and cost effective for Oregon to fund these and other capital construction projects. Measure 72 will give Oregon the ability to finance construction projects using General Obligation bonds rather than the current more expensive process of using certificates of participation.
General Obligation bonds are the most cost effective way for Oregon to finance infrastructure development. Passing Measure 72 will stretch taxpayer dollars further, which will result in additional construction projects and additional Oregon jobs.
For every $100 million bonded, Measure 72 will save $5 million—savings that are better spent on job creation in Oregon, than going into the pockets of banks in the form of higher interest payments.
Measure 72 is prohibited from levying property tax to repay the bonds and it limits the number of outstanding bonds.
The money saved can help create jobs, especially within the construction industry on not just new construction but also major renovation projects throughout the state.
VOTE TO CREATE JOBS! Vote to keep Oregon tax dollars in Oregon!
VOTE YES ON MEASURE 72
Pat Maloney, Chairman of the Joint Legislative Committee National Electrical Contractors Association
(This information furnished by Pat Maloney, National Electrical Contractors Association.)
Argument in Favor
REDUCE OREGON STATE’S DEBT AND CREATE JOBS
The Oregon Building Trades Council urges you to VOTE YES on MEASURE 72
Oregon is known for having an outstanding credit rating and for repaying its debts on time, however, since many construction projects don’t carry a Constitutional guarantee to repay, creditors use that technicality as leverage to impose higher interest rates on lending to Oregon. Measure 72 will put our state’s excellent credit rating to work by lowering interest rates and fees associated with loans for infrastructure development.
Measure 72 will allow Oregon to refinance existing debt as General Obligation Bonds, which are the least expensive method to finance state projects.
Changing Oregon’s debt to General Obligation Bonds will result in lower interest rates, thus reducing the financial burden to repay these bonds. It is estimated Measure 72 will save $5 million for every $100 million in bonds issued and would prohibit levying property taxes to help repay the bonds.
The money that Oregon saves can be used to create jobs for working Oregonians rather than diverting Oregonian’s taxpayer dollars to pay needlessly exorbitant interest rates to multi-national banks.Vote to keep our tax dollars in Oregon. Vote for more Oregon Jobs! VOTE YES ON MEASURE 72!
Bob Shiprack, Executive Secretary
Oregon Building Trades Council
(This information furnished by Bob Shiprack, Oregon Building Trades Council.)
Argument in Favor
Oregon Educators Say Vote YES to Ballot Measure 72
Measure 72 saves taxpayer dollars.
The measure would allow the state of Oregon to issue general obligation bonds for construction, repair and other projects in excess of $50,000. Since a general obligation bond is the cheapest method of borrowing, Oregon taxpayers would save millions of dollars in interest payments.
Measure 72 frees up money for our schools.
By saving millions in interest payments, Oregon can invest that money in our classrooms. Due to the economic crisis, our schools already face a shortened school year, lost programs and increased class sizes. We need to make every dollar count. Measure 72 makes good sense for Oregon schools.
A Yes Vote on Measure 72 means we’ll pay less to the banks and invest more in jobs and the economy.
Measure 72 helps the state of Oregon borrow money in a more efficient way. Oregon will save an estimated $5 million in interest costs for each $100 million issued in bonds. That’s money we would have had to pay to banks. Instead, Measure 72 will allow us to grow our economy and create more jobs with the money we save.
Please join the 48,000 members of
The Oregon Education Association
Vote YES on Ballot Measure 72
(This information furnished by BethAnne Darby, The Oregon Education Association.)