Our letter has been at the Governor’s office for a week now. But there’s been no veto yet of SB 817, the misnamed ”Oregon Low Income Community Jobs Initiative.” We are continuing to work with the Treasurer’s Office, the Oregon business Development Department (OBDD), legislators, and the Governor’s office to encourage a veto. We’re in a lively conversation at Blue Oregon.
As you know, SB 817 requires no new job creation, or investments in deeply low-income areas as its backers claim it does. Rather, it’s an expensive and unneeded $78 million add-on by Oregon taxpayers to the existing Federal New Market Tax Credits (NMTC). It funnels millions of tax dollars to Wall Street banksters and big investors who skim off enormous fees for their profitable investments.
We understand that our legislators were eager to do whatever they could to promote job creation in this beleaguered economy. But as a courageous minority of them indicated with their “Nay” votes, there is simply no need for SB 817. Oregon’s share of federal NMTC dollars already places us 9th out of the 50 states!
As we just wrote in our thank you to the 18 reps and 5 senators who voted against SB 817:
“We hear some of you are getting some push back for your vote. Your response might include: As a state we know how to loan money to businesses, and already do so regularly, and far more efficiently than SB 817. In fact, this session we added an additional $16 million to the state’s loan program operated through the OBDD. The Department of Energy operates a loan fund as well. They’ve made loans of over $270 million since 2001. And for those of you in Portland, you could mention that the PDC has a loan portfolio of $104 million.” Again–the state knows how to loan money.
Now is the time for you to send an email or make a phone call to the Governor’s office urging a veto. If you choose to call, please call the Governor’s Jobs and Economic Policy Advisor, Scott Nelson, at 503 378-3132. Thank you for your help.
Tell Gov. Kitzhaber:
· Veto SB 817 and prevent a taxpayer-funded windfall for Wall Street
· Oregon doesn’t need a tax giveaway. Let’s use our limited tax revenue for essential services
· We need to support basic services, not financial investment firms
· Oregon doesn’t need to replicate the flawed New Markets Tax Measure
· Show the legislature how to be fiscally responsible and veto this misguided measure.
· We notice that this was not one of your economic development or jobs priorities, don’t buy into it now.
