Oregon lawmakers are looking at an oncoming train – a huge budget deficit caused by a PERS malfunction, coupled with a shortfall in overall revenues. Many claim it’s largely due to Oregon’s business sector not paying its fair share of taxes. They point to numerous studies that show Oregon’s business tax rates among the lowest of all 50 states.
Meanwhile, Oregon’s schools, roads, health care and other vital services are suffering while underfunded PERS accounts go deeper and deeper into the red.
Something’s got to give. And many state lawmakers point to Oregon’s business sector because that’s where the money is. They say state and local government’s service levels could be cut to the bone and there still wouldn’t be enough revenue to keep Oregon running like it should. Therefore, democrats (mostly) appear to be planning an “end run” around the republicans in an effort to pass a business gross receipts tax (which many states across the country already have) to keep Oregon financially afloat.
Here’s the story in the Oregonian. Click here.