“ If legislators have any goal other than to appease union donors … “
Saying the quiet part aloud, which needs to become more serious and frequent. A couple of times this past year Melissa Unger has been mentioned, which as head of Oregon’s most powerful union, SEIU, she should have been for years.
Public sector employees, per studies by the state itself, are paid above the private sector now, purportedly because of their greater education and experience. Their benefits at all levels are more than “generous.”
FDR was a great supporter of private sector unions and an opponent of public sector unions, because the intrinsic conflicts of interest cannot be overcome.
The steering wheel needs to be wrestled out of their hands and wrestled back to the center.
This is a really good point. Why hasn’t this been brought out into the open, discussed, and debated more publicly? This isn’t to criticize the unions or say that workers cannot unionize, but it should be a more open conversation given its significant influence in our government. I too am curious why this is not discussed more openly. Any institution that accumulates that much political power should be open to public debate and criticism, without the person criticizing it being accused of being anti-establishment. That is simply holding the institution accountable.
Everyone seems to avoid mentioning the sales tax provision in this bill. That will effect everyone depending on what items this new sales tax will be attached to.
Maybe the State of Oregon should go after the public employees that live off the backs of the taxpayer for their whole careers and then go retire in Vancouver to avoid paying taxes. Those are the rich people that deserve it.
And why is no one discussing the huge issue of inequality of property taxes? We have a newer parcel and pay 3-4x what our neighbor - who has more property and and a much nicer house. And we are retired and on a fixed income. In a few years we will have to sell because of the increasing taxes. I know we aren't alone in this. Change is needed.
I did my homework. We went to the county tax assessors and met with two of them. They clearly stated that it was a state issue and NOT a county issue. Their hands are tied.
There was a huge tax difference between older parcels due to the setback in the '90s. Newer parcels are taxed at a much higher rate and that is set by the state, not the county.
You state that bashing unions "ignores their role in real gains, like better roads and schools." Do you have a study that shows that states with strong public employee unions cause the schools and road to be better? I think not.
Mississippi has elevated itself to the very top tier, while Oregon has dragged itself down to #47. It’s almost unbelievable, but much written about in at least the last couple or few years.
I expect when he discovered, in regards to how many Oregonians are subject to Oregon’s estate tax, that his 1% figure was off by 600-700% he deleted the post.
I am a low-income senior. I got several thousands of dollars in refunds from the federal government. In contrast, I had to pay an additional $752 in taxes to Oregon over the amount that was withheld. Disconnecting from the federal tax code will make lower income people pay more, not less in taxes. Also, it will bring back taxes on tips that low income workers in the service industry relies on. The point of the disconnect is to extract more taxes, not to help low-income people.
He has to be a lobbyist for the Democrats or working for one of the unions. It'd be a shame to do that much shilling for free.
I've never voted Republican in Oregon but even I wouldn't lay blame on them for any of the last 20? 30? years the Democrats have had a supermajority here. They have been fairly powerless and ineffective this whole time.
You state that "The estate tax hits under 1% of filers." I purchased a home in 1993 and saved for retirement. Baby boomers had to save money in retirement accounts because the employer pensions common in previous generations were not there. Having an estate of over a million dollars is necessary for retirement today. I have always been low-income, but my estate would have to pay taxes when I die.
Of course, if you are a public employee, you don't have to save for retirement because you will get a generous pension.
I have no idea where he got that 1 percent number. According to the Federal Reserve, 18 percent of U.S. households have $1 million net worth, which is the threshold for application of the Oregon estate tax. Since you accumulate wealth as you age, that number has to be higher for retirees, though some people spend their wealth down after retirement. Bottom line: Even if Oregon has fewer wealthy households than the national average (it does), way more than 1 percent are subject to the estate tax. Even if some move before death to avoid the punitive tax (an increasing number do), the tax still is bad for the state.
Correct, a house and an IRA are almost certain to out your “estate” at $1M, thus subject to Oregon’s highest-in-the-US estate tax, kicking in at the lowest valuation.
Public employee compensation increases constantly outpace available revenues. That’s just a fact. They may be to your mind the most important humans in the world, but when they negotiated compensation packages that go go up 5-7% each year or more, and general fund goes up on average historically 4%, revenue never keeps up.
Where is all the student success from the student success act?
As I saw someone else post, we have the taxes of Norway and the public sector of Mexico. We get pitiful results for our dollars, and Oregon voters know it.
Go ahead and slice and dice this article. The fact remains that Oregonians are paying into PERS and for everything else in this State. Businesses AND people that aren't on the receiving end of all the largesse are leaving post haste. That fact doesn't lie, for one.
What a post. Re:kicker. Kicker happens when state takes in more than projected. Thus, your comment about impacting services is false. State budget establishes how much the various state departments can spend. When that in theory balance budget receives more then instead of just spending more, money refunded to taxpayers. You know The People who paid it. Without that, the democrats would just spend and spend. Which they will do anyway but the taxpayers get something back.
As for Unions. You are so far off base. Yes at one point that was true. State employees now make more than their private, you know, For Profit, counterparts. The Transportation Bill is prime example of pay back to the Unions. They added more employees to the budget, union employees. Pay back. More waste. More money lining union pockets. Not hard concept to understand.
And yes direct blame on Democrats. Prime example is PERS and of course the sweetheart deal state employees get. Oh yeah more union payback there. Millions of waste. Led by Dems. And recall Democrat oligarchs are the ones in power. Pass whatever they want without Republicans, so not “rich” but fact. Dems voted for a sales tax in Oregon even though we The People, repeatedly said no. But Dem oligarchs passed it anyway.
Any sound accountant can counter basically everything you posted. And lastly, not tying it to the Fed AGI, will make OR 40 more complicated.
“ If legislators have any goal other than to appease union donors … “
Saying the quiet part aloud, which needs to become more serious and frequent. A couple of times this past year Melissa Unger has been mentioned, which as head of Oregon’s most powerful union, SEIU, she should have been for years.
Public sector employees, per studies by the state itself, are paid above the private sector now, purportedly because of their greater education and experience. Their benefits at all levels are more than “generous.”
FDR was a great supporter of private sector unions and an opponent of public sector unions, because the intrinsic conflicts of interest cannot be overcome.
The steering wheel needs to be wrestled out of their hands and wrestled back to the center.
This is a really good point. Why hasn’t this been brought out into the open, discussed, and debated more publicly? This isn’t to criticize the unions or say that workers cannot unionize, but it should be a more open conversation given its significant influence in our government. I too am curious why this is not discussed more openly. Any institution that accumulates that much political power should be open to public debate and criticism, without the person criticizing it being accused of being anti-establishment. That is simply holding the institution accountable.
“Tinkering with the tax code is a risky exercise, one almost certainly beyond the expertise of Oregon Democrats.”
Truer words were never spoken
Everyone seems to avoid mentioning the sales tax provision in this bill. That will effect everyone depending on what items this new sales tax will be attached to.
Maybe the State of Oregon should go after the public employees that live off the backs of the taxpayer for their whole careers and then go retire in Vancouver to avoid paying taxes. Those are the rich people that deserve it.
And why is no one discussing the huge issue of inequality of property taxes? We have a newer parcel and pay 3-4x what our neighbor - who has more property and and a much nicer house. And we are retired and on a fixed income. In a few years we will have to sell because of the increasing taxes. I know we aren't alone in this. Change is needed.
Just FYI, this is a county, not a state, issue.
The property tax issue is indeed a STATE issue.
I did my homework. We went to the county tax assessors and met with two of them. They clearly stated that it was a state issue and NOT a county issue. Their hands are tied.
There are states that exempt seniors from property taxes. Rest assured Oregon is not on this horizon.
But property taxes are assessed and collected at the county level.
Seniors are only exempt below a certain income level. Which is low.
are the rates decided at the county level?
Yes.
There was a huge tax difference between older parcels due to the setback in the '90s. Newer parcels are taxed at a much higher rate and that is set by the state, not the county.
who set the maximum annual (3%???) valuation increase allowed?
Sally, the information you have and what I was told by the assessor's office are not the same.
They can't spend what they already have, and they want more? Give me a break!
Thank you Mr. Hester.
Democrats hate us and they are whores to public employee unions. Thanks for writing about this.
You state that bashing unions "ignores their role in real gains, like better roads and schools." Do you have a study that shows that states with strong public employee unions cause the schools and road to be better? I think not.
The schools are certainly no better and the education is pathetic.
Last I heard Mississippi was doing a lot better than Oregon in education. Mississippi is a right to work state.
Mississippi has elevated itself to the very top tier, while Oregon has dragged itself down to #47. It’s almost unbelievable, but much written about in at least the last couple or few years.
Someone 🕺 deleted 🚫 his post. 🫣🫠
Not me. I’ve been enjoying the debate
I expect when he discovered, in regards to how many Oregonians are subject to Oregon’s estate tax, that his 1% figure was off by 600-700% he deleted the post.
I am a low-income senior. I got several thousands of dollars in refunds from the federal government. In contrast, I had to pay an additional $752 in taxes to Oregon over the amount that was withheld. Disconnecting from the federal tax code will make lower income people pay more, not less in taxes. Also, it will bring back taxes on tips that low income workers in the service industry relies on. The point of the disconnect is to extract more taxes, not to help low-income people.
Oregon is a one party state and, therefore, there is one party that deserves the blame for this mess.
Which branch of government do you work for?
He has to be a lobbyist for the Democrats or working for one of the unions. It'd be a shame to do that much shilling for free.
I've never voted Republican in Oregon but even I wouldn't lay blame on them for any of the last 20? 30? years the Democrats have had a supermajority here. They have been fairly powerless and ineffective this whole time.
This would be an especially good year to find a Republican to vote for in the gubernatorial race.
My thoughts exactly...people that use term "strawman" are definitely right leaning. I'm guessing he works for some public entity. 😂
You state that "The estate tax hits under 1% of filers." I purchased a home in 1993 and saved for retirement. Baby boomers had to save money in retirement accounts because the employer pensions common in previous generations were not there. Having an estate of over a million dollars is necessary for retirement today. I have always been low-income, but my estate would have to pay taxes when I die.
Of course, if you are a public employee, you don't have to save for retirement because you will get a generous pension.
I have no idea where he got that 1 percent number. According to the Federal Reserve, 18 percent of U.S. households have $1 million net worth, which is the threshold for application of the Oregon estate tax. Since you accumulate wealth as you age, that number has to be higher for retirees, though some people spend their wealth down after retirement. Bottom line: Even if Oregon has fewer wealthy households than the national average (it does), way more than 1 percent are subject to the estate tax. Even if some move before death to avoid the punitive tax (an increasing number do), the tax still is bad for the state.
Correct, a house and an IRA are almost certain to out your “estate” at $1M, thus subject to Oregon’s highest-in-the-US estate tax, kicking in at the lowest valuation.
Public employee compensation increases constantly outpace available revenues. That’s just a fact. They may be to your mind the most important humans in the world, but when they negotiated compensation packages that go go up 5-7% each year or more, and general fund goes up on average historically 4%, revenue never keeps up.
Where is all the student success from the student success act?
As I saw someone else post, we have the taxes of Norway and the public sector of Mexico. We get pitiful results for our dollars, and Oregon voters know it.
But SEIU and OEA run the state.
Go ahead and slice and dice this article. The fact remains that Oregonians are paying into PERS and for everything else in this State. Businesses AND people that aren't on the receiving end of all the largesse are leaving post haste. That fact doesn't lie, for one.
What a post. Re:kicker. Kicker happens when state takes in more than projected. Thus, your comment about impacting services is false. State budget establishes how much the various state departments can spend. When that in theory balance budget receives more then instead of just spending more, money refunded to taxpayers. You know The People who paid it. Without that, the democrats would just spend and spend. Which they will do anyway but the taxpayers get something back.
As for Unions. You are so far off base. Yes at one point that was true. State employees now make more than their private, you know, For Profit, counterparts. The Transportation Bill is prime example of pay back to the Unions. They added more employees to the budget, union employees. Pay back. More waste. More money lining union pockets. Not hard concept to understand.
And yes direct blame on Democrats. Prime example is PERS and of course the sweetheart deal state employees get. Oh yeah more union payback there. Millions of waste. Led by Dems. And recall Democrat oligarchs are the ones in power. Pass whatever they want without Republicans, so not “rich” but fact. Dems voted for a sales tax in Oregon even though we The People, repeatedly said no. But Dem oligarchs passed it anyway.
Any sound accountant can counter basically everything you posted. And lastly, not tying it to the Fed AGI, will make OR 40 more complicated.