The A Better Oregon (IP 28) campaign has officially qualified for the November 2016 ballot. The union-based measure is aimed at funding schools, health care and senior services. If approved, the ballot measure would raise the corporate minimum tax on C Corporations with more than $25 million in sales.
Led by a group of more than 6,000 volunteers, the A Better Oregon campaign gathered more than 130,000 signatures and delivered them to the Secretary of State in May, more than a month before the July 8 deadline. More than 85,000 signatures were gathered by volunteers across the state. The campaign is now the first to qualify for the November ballot.
Economists say the so-called gross receipts tax has a cascading effect. Because the tax in Initiative Petition 28 would apply to all businesses with sales above $25 million, it could apply along multiple steps in a production line, potentially adding cost every step of the way that economists say will reach the consumer at the end.
The cascade effect also gives an advantage to companies that are vertically integrated and control multiple steps of production, and the measure threatens businesses with high sales but low margins, such as grocery stores, liquor stores and car dealers.
Representative Knute Buehler issued the following statement regarding Initiative Petition 28: “We learned from trusted, independent analysis that IP28 is a highly regressive, job killing tax increase. This ill-conceived and unnecessary $6 billion tax hike will cost middle income families more than $600 a year and will kill more than 38,000 private sector jobs. It’s a terrible idea for Oregon’s economy, families and businesses,” said Rep. Knute Buehler.
House Republican Leader Mike McLane (R-Powell Butte) added:”Not only would this $6 billion tax on Oregon sales result in tens of thousands of lost jobs, the regressive nature of the measure would result in working families all across Oregon experiencing significant increases in the prices of everyday goods like food and medicine.
“Come November, Oregonians will see IP 28 exactly for what it is: an ill-conceived, disingenuous measure that would have dramatic consequences for family budgets and the economic future of our state.”
“This measure will be a positive game-changer for Oregon’s critical services,” said Gary Cobb, one of three chief petitioners for IP 28. “Our kids will graduate from high school ready to succeed, Oregon kids and families will have access to affordable health care, and seniors will be able to retire with dignity. This is great news for all Oregonians.”
