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State Capitol
Press Release
December 18, 2008
Governor Kulongoski Submits Legislation for 2009 Session
Legislation complements the Governor’s budget priorities
 
(Salem) – Governor Ted Kulongoski pre-session filed more than 30 bills for the 2009 legislative session. The bills complement his budget priorities focused on expanding access to education, health care, renewable energy and job creation.
 
“Next session presents a number of opportunities to ensure Oregon’s future remains bright, even as we face tough economic times. These bills will expand access to a college education, provide health care to every child in Oregon and build on our leadership in renewable energy that will create jobs and reduce greenhouse gas emissions,” Governor Kulongoski said. “There are also a number of other important bills that will help to protect seniors and homeowners, keep kids from smoking and better connect veterans to the benefits they have earned and deserve. All these represent ways to improve the services Oregonians expect state government to provide.”
 
Education
 
Expanding Access to Post-Secondary Education: This legislation raises the corporate minimum income tax from $10.00 to $25.00 on a sliding scale up to $5,000 for gross sales over $25 million per fiscal year. This change will generate $84 million more in revenue for the General Fund, which in the Governor’s budget is dedicated to expanding the Oregon Opportunity Grant Program to ensure all eligible Oregonians can afford a post-secondary education at a state community college or university. The last time the corporate minimum income tax was raised was 1929 – and the state actually lowered it from $25 to $10 in 1931. [HB 2119]
 
Health Care
 
Increasing Access to Health Care for Kids and Low-Income Adults: State law requires the renewal and federal law requires the restructure of the existing provider tax. These requirements present an opportunity to continue the tax in a way that provides a path to offer health care to all children and to continue and expand the number of Oregonians covered by the Oregon Health Plan. This bill will also allow Oregon to increase utilization of federal matching funds that are critical to financing the Oregon Health Plan. Without the tax, OHP would no longer exist as we know it beginning in October 2009. The restructuring the Governor recommends includes a 4% rate for hospitals and 1.5% for insurers. [HB 2116]
 
Covering all Kids:  The Healthy Kids Plan offers access to health care, both physical and behavioral, dental, vision, prescription drugs and medical equipment for uninsured children regardless of family income. The amount a child's family pays and whether or not a parent has insurance through work will determine in which of three programs the child will be enrolled. In general, the Oregon Health Plan will be available for children in families that earn less than 200% of the federal poverty level (FPL). Children in families earning up to 300% FPL and that have access to an employer-sponsored insurance plan will receive premium assistance through the state’s Family Health Insurance Assistance Program. Children in families at or above 200% FPL and without access to an employer-sponsored insurance plan will be eligible for KidsConnect, a state-selected private insurance option. Within KidsConnect, premium assistance will be based on income up to 300% FPL, but will be paid in full by families above 300% FPL. [HB 2117] 
 
Improving the Health of Oregonians by Increasing the Tobacco Tax: This legislation includes a cigarette tax increase of 60 cents per pack and a 25 percent increase on other tobacco products, generating $112 million for the biennium. Of this increase, $5 million is allocated for elderly and disabled transportation, $12 million for public health, tobacco cessation and health promotion, with the remaining $95 million allocated to the Oregon Health Plan. This will help recoup some of the costs to the state of tobacco-related illness. Every pack of cigarettes sold costs Oregonians $11.16 in health care costs and lost productivity. [HB 2122]
 
Transportation
 
Creating Jobs and Improving Infrastructure:  This bill raises more than $1 billion per biennium to modernize Oregon’s transportation system through a 2-cent increase in the gas tax and an increase in registration and title fees. The bill includes policies to reduce vehicle-miles-traveled in urban areas, a dedicated fund for non-highway transportation investments, a new transportation utility commission, and dollars for rural counties hit hardest by the scheduled sunset of the federal forest payments program. The bill also recommends a path to transition away from the gas tax as the central funding source for transportation. The projects funded with these investments will create and maintain 6,700 jobs per year across Oregon in the first five years. [HB 2120]
 
Children and Families
 
Addressing Disproportionality in Foster Care:  In Oregon, Native American and African American children are over-represented in foster care relative to their numbers in the state’s general population. This bill establishes a task force led by the Oregon Department of Human Services Children, Adults and Families Division (CAF) to research disproportionality in Oregon’s child welfare foster care system, make recommendations to address the issue and report to the Oregon Legislature on task force progress, findings and recommendations. [SB 153]
 
Improving Mental Health Care for Children: This bill charges state agencies to work together to improve the delivery of mental health care for Oregon children. The bill requires state agencies to create a system that supports locally-delivered services that are family-driven, tailored to meet an individual child's needs, and that intervene early to improve mental health and welfare outcomes for the child and the family. The bill calls for pooling of resources, improved data sharing, and workforce development and training to transform children's behavioral health care delivery throughout Oregon. [HB 2144]
 
Closing Child Care Provider Loophole: Currently an individual may care for up to three unrelated children in addition to his/her own, or conduct a preschool for four hours or less a day, without a license. This ‘exempt care’ currently contains a loophole for those who have lost their ability to provide licensed care. This legislation closes this loophole. Any person who has had their license revoked or suspended or who has been removed from the criminal history registry will not be able to provide exempt care. [HB 2206]
 
Continuing Health Care System Reform Efforts: Some of the first steps toward comprehensive health care reform were recently recommended by the Oregon Health Fund Board and funded in the Governor’s recommended budget ($5 million). These bills implement those first steps: establishes an all-payer, all-claims data collection program; defines and sets standards for integrated health homes; develops a bulk-purchasing program for electronic health records; and continues the work of the Oregon Health Fund Board. [HB 2128, HB 2131, HB 2142]
 
Requiring Smoking Disclosures to Renters: This legislation requires landlords to disclose the smoking status of rental property as a standard part of the lease agreement. Renters should be apprised that they may be exposed to secondhand smoke if they are renting in a complex or house where smoking was or is allowed. [HB 2135]
 
Ending Easy Access to Tobacco: Currently tobacco vending machines are allowed in taverns, cocktail lounges, hotels and motels, providing easy access to tobacco products and increasing the likelihood children will begin smoking. This legislation prohibits the distribution of tobacco through vending machines as another way to keep tobacco products out of the hands of children. [HB 2136]
Protecting Seniors from Abuse: Current statute limits the state’s Adult and Protective Services (APS) department from sharing abuse investigation information with courts. This legislation provides APS the ability to share information to protect a senior citizens’ physical and mental well-being and financial and legal information when petitioning the court for guardianship. [SB 162]
 
Climate Change 
 
Establishing Cap and Trade: As part of a regional effort, this legislation will authorize Oregon’s participation in a regional cap and trade program and expand the state’s existing greenhouse gas reporting system. Specifically the bill requires application of a cap and trade system to large greenhouse gas emitters, requires reporting of greenhouse gas emissions statewide, and creates the Oregon Climate Initiative Task Force, a citizen led public process to assist the Department of Environmental Quality in developing the detailed administrative rules to implement the program. Those rules will be brought back to the 2011 Legislature for consideration and review, prior to the regional program going into effect in 2012. [SB 80]
 
Creating an Oregon Renewable Energy Fund: Oregon has been tremendously successful in incentivizing renewable energy development through the Business Energy Tax Credit (BETC) program. The Governor is committed to making state incentives even more effective by creating a Renewable Energy Fund that would create up-front funding options for smaller renewable energy projects. Citizens would be able to donate money into the fund and take a tax credit on the donation, much like the Cultural Trust program. [HB 2180]
 
Financing Energy Efficiency Projects: This legislation gives local governments, both municipal and county, bonding authority to finance energy efficiency projects. One goal is to make residential energy efficiency projects financially viable by allowing local governments to create one large-scale project. Participating homeowners will be able to pay for the energy efficiency upgrades over time. [HB 2181]
 
Requiring Energy Performance Certificates /Promoting Green Buildings: This bill creates energy performance certificates, which will function similar to miles per gallon ratings for vehicles. These certificates will be generated at little cost and at great benefit to potential home and building owners and tenants. The Oregon Department of Energy will create an energy efficiency rating system to be adopted and implemented for new and existing residential buildings by January 1, 2011 and for new and existing commercial buildings (non-residential) with an aggregate floor area of at least 20,000 square feet by January 1, 2012. This legislation also establishes a goal of net-zero emissions homes and buildings by 2030, with a first step of increasing energy efficiency in commercial and residential building codes by 30 percent and 15 percent respectively. [SB 79]
 
Providing Low-Income Support: This bill creates a new “Energy Matchmakers” account in the Department of Housing & Community Services to improve the energy efficiency of low-income housing. This fund will leverage federal and private sector investments. Because of this effort, 800 low-income homes in Oregon each year will become more energy efficient, saving families money on their energy costs. [SB 201]
 
Setting Emissions Performance Standard: As part of achieving Oregon’s long-term reduction goals, the state must ensure that no new high greenhouse gas emissions sources (particularly conventional coal) are added to our existing electricity production. This legislation will authorize the Public Utility Commission and the Department of Energy to develop an emissions standard that will require new energy production sources to be at least as clean as natural gas. [SB 101]
 
Expanding Solar Pilot Projects: To accelerate and expand the use of solar energy in Oregon, this legislation will create a production incentive pilot program that will pay for the electricity produced by a solar project, rather than for the capital investments. Known also as a feed-in tariff, this type of incentive program has led to the installation of more than 2,500 megawatts of solar electricity in Germany. The objective of Oregon’s pilot program is to determine if production payments make it more affordable for individuals and communities to invest in solar energy, which could lead to the acceleration and installation of renewable projects. [HB 2121]
 
Adopting Low Carbon Fuels Standard: This legislation authorizes the Environmental Quality Commission to develop a low-carbon fuel. This standard will require fuel providers to reduce the average carbon intensity of fuels sold by 10% over time. A low-carbon fuel standard will help reduce greenhouse gas emissions but also provide companies with flexibility to meet the standard through innovation and new technology. [HB 2186]
 
Increasing Renewable Energy in State Government: In 2006, the Governor established a goal of 100% renewable electricity use for state government. Already, state agencies and universities are developing innovative and ambitious projects to further this objective, such as the ODOT solar highways initiative and a geothermal campus for the Oregon Institute of Technology. This legislation clarifies the authority to develop renewable energy projects on state lands or in state buildings, including the university system, to help the state reach the 100% renewable energy goal. [SB 168]
 
Environment
 
Updating the Bottle Bill: This legislation was recommended by the Bottle Bill Task Force established in 2007, and builds on the bottle bill expansion enacted last session, which expanded the list of beverages to include water and flavored water containers beginning in 2009. This bill establishes an annual beverage container return rate goal of at least 80 percent beginning in 2015, adds sport drinks, juice and similar noncarbonated drinks, wine and distilled liquor beginning in 2013, and changes the container refund value to 10 cents beginning in 2011. [HB 2184]
 
Ending the Practice of Field Burning: This legislation phases out open field burning in the Willamette Valley from the current 65,000 acres down to zero. The plan calls for cutting field-burning acreage by half in 2010 and eliminating it entirely in 2011.  The Governor’s budget includes $200,000 for the Oregon Department of Environmental Quality to begin implementation, including working to develop the rule with the Environmental Quality Commission and identifying alternatives to field burning. The funding is also intended to support a long-term position at DEQ to serve as the facilitator for coordinated statewide smoke management – including working with state agencies and the grass seed industry. [HB 2183]
 
Ensuring a Clean, Abundant Water Supply: Demands for water continue to grow, and we face additional challenges associated with climate change and population growth. The Governor’s Recommended Budget for 2009-2011 includes resources ($3.3 million) to develop an integrated water resources management strategy for Oregon, and investments for water conservation and future water supply needs. This legislation provides state agencies the direction and funding needed to develop solutions to the critical water issues and future water needs in Oregon. [SB 193]
 
Restoring the Klamath River Basin: This bill advances the restoration of the Klamath River Basin by providing the financing mechanism for decommissioning and removing four major dams, while protecting electricity customers. The Public Utility Commission will be authorized to allow for the recovery of dam removal costs—rather than the expected higher cost of upgrading and relicensing the dams—in electricity rates and will include an overall cap on cost. [SB 76]
 
Consumer Protection
 
Strengthening Protections for Homeowners: The federal government has adopted new consumer protection standards to address many of the problems with adjustable rate mortgages and other nontraditional loans with low initial interest rates. However, there are still gaps in these federal actions, and some additional state-level protections are necessary. This bill addresses some of those protection gaps pertaining to negative amortization loans, lender advertisements, negotiations in languages other than English and good faith lawsuits against lenders. [HB 2188]
 
Requiring Full Disclosure for Car Insurance Companies: After an accident, an insurer may declare a car “totaled” when it would cost more to repair than the car is worth. In these cases, the insurer may offer a cash settlement to the consumer, based on the car’s fair market value. The consumer and insurer frequently disagree over the amount of the settlement, and this is a common source of insurance complaints. This bill provides more information to owners so that they can better understand how their insurance company determines the value of totaled cars. The bill also would enhance owner protections when they disagree with their insurance company over the settlement amount. [HB 2190]
 
Strengthening Regulation of the Debt Management Industry: Increasingly, Oregonians are turning to consumer debt counseling and debt management services for assistance. Under current law, the state registers these service providers under two different regulatory structures (“credit service organizations” and “debt consolidation agencies”) that both overlap and leave gaps. Furthermore, a growing number of providers of debt management services do not fit into either category. This bill will create a new, single regulatory structure to cover both currently regulated and unregulated activities that requires all providers of debt management services to be registered with the state, limits up-front fees and gives debtors the means to cancel contracts with debt management service providers. [HB 2191]
 
Improving Survivor Benefits for On-the-Job Deaths: At the request of the Legislature, a committee studied the adequacy of death benefits in the workers’ compensation system and recommended burial benefits be increased, creates a category of benefits for surviving children who are attending college and clarifies that full disability awards be paid even if worker dies before award is paid in full. This bill directs the Legislature to consider these recommendations.  [SB 110]
 
Public Safety
 
Closing a Loophole for Failure to Register as a Sex Offender: This legislation clarifies the specific information that registered sex offenders are required to provide annually to law enforcement.  This bill will provide tighter requirements and close a loophole that prevented some offenders from being prosecuted for the crime of failure to register as a sex offender. [HB 2169]
 
Expanding Registration Requirement for Sex Offenders: This bill adds to the law already in place by requiring that individuals with an out of state sex offense who enter Oregon to work at or attend an institution of higher education must register as a sex offender in Oregon. [HB 2170]
 
Banning Toy Lighters: This bill will prohibit the sale of novelty lighters in Oregon.  Increasing numbers of lighters designed to look like toys are showing up in Oregon.  These lighters are attractive to children and therefore very dangerous. Several states have already banned novelty lighters. [SB 90]
 
Recovering Unpaid Federal Taxes: If similar federal legislation passes, this bill will allow the state to tap into the federal tax returns of offenders who owe unpaid criminal court fines and fees. This authority will greatly enhance the amounts collected in Oregon that are owed in criminal fines and fees. These dollars are distributed to crime victims for restitution, to the Criminal Fines and Assessments Account which funds law enforcement training, victim assistance programs and child abuse assessment programs state-wide.  A portion of these dollars also benefit Oregon counties and the Judicial Department. This proposal was recommended by the Governor’s Federal Forest Payments Task Force. [SB 93]
 
Funding Gang Intervention: This measure amends the law that allows the Oregon Youth Authority to pass through state dollars to local governments for gang intervention programs.  The current law only allows OYA to fund county programs. This measure will broaden the scope to include county and tribal gang intervention programs. [SB 106]
 
Veterans
 
Expanding the Veteran’s Service Officers Program: The Governor’s Task Force on Veterans’ Services just released a report highlighting a need for increasing the number of Veteran’s Service Officers (VSO) across Oregon. This legislation creates a Campus VSO Program in the Oregon Department of Veterans Affairs. These VSOs will be placed on Oregon community college and university campuses to help identify veterans and connect them with available veteran’s benefits. [HB 2178]
 
Ensuring In-State Tuition for Veterans: This legislation will help make post-secondary education more affordable for veterans by providing automatic residency to veterans who attend Oregon community colleges and universities. [HB 2179]
 
Establishing Task Force on Veterans’ Transportation: This legislation creates a Veterans Transportation Task Force to review, assess and make recommendations for fusion of existing community-based transportation systems with veterans’ access funds to create a statewide veterans transportation system. [SB 98]
 
Contact:
Anna Richter Taylor, 503-378-6169
Jillian Schoene, 503-378-5040
Rem Nivens, 503-378-6496

 
Page updated: December 19, 2008

Click here to go to the Oregon Dept. of Veterans' Affairs outreach contact form

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