Oregon State Victories
The following NFIB victories will make a real difference for your business.
Recent NFIB/Oregon victories:
Cut payroll tax by $230 million, saving some employers up to 20 percent in payroll taxes
NFIB/Oregon successfully lobbied the legislature for a massive $230 million unemployment payroll tax cut. Because of NFIB's efforts, small employers are saving an average of 12 percent on state unemployment payroll taxes. For employers with $3,000 or more in annual payroll taxes, the savings are up to 20 percent.
Cut energy costs for small business
NFIB spearheaded the "Utility Tax Fairness Act" in the legislature, prohibiting Oregon utilities from collecting tens of millions from customers in "taxes" that the utility giants never actually pay. According to several estimates, more than $150 million per year in "taxes" have been collected from customers. NFIB put an end to this multi-million dollar practice of the giant utilities inflating their rates and gouging customers by charging for taxes that are never paid.
Protected family businesses by increasing death tax exemption to $1 million
NFIB/Oregon has consistently led the effort to get death tax relief for Oregon small-business owners. Before NFIB passed much-needed death tax relief, Oregon was one of the few states taxing estates valued at as little as $600,000, threatening small businesses, and family-owned ranches and farms. But because of NFIB's work in the legislature, the exemption limit has increased from $600,000 to $1 million in 2006 and beyond.
Helped keep workers' comp costs low by defending attacks on reform
NFIB/Oregon has helped spearhead major workers' comp reforms. NFIB's aggressive defense of workers' comp reforms has made Oregon's the premier workers' comp system in the nation. NFIB also led the fight to defeat Ballot Measure 38, which would have abolished SAIF Corporation and increased rates by as much as 20 percent. As a result of NFIB's aggressive defense of this system, Oregon's workers' compensation pure premium rate has not increased in 16 years!
Largest tax increase in Oregon history defeated
Oregon's 2003 legislature caved in to demands for increased taxes and passed a $1.1 billion tax increase on businesses and individuals. NFIB, the first business group to oppose the tax, donated $5,500 to the campaign to collect the necessary signatures to put the issue on the ballot. Our efforts put a signature petition in over 10,000 businesses state wide and resulted in thousands of signatures. NFIB also filed a voter's pamphlet statement against the tax increase. While NFIB was successful in overturning this specific tax increase at the ballot box, there are over 33 new proposals to date, all targeting small-business tax increases.
Public Employees Retirement System reforms
In 2003, NFIB co-sponsored a series of reforms to confront the biggest problem facing the state government's budget. The PERS retirement system was a debt liability of over $15 billion. PERS costs made up an outrageous 25 percent of the government payroll. NFIB co-sponsored and passed a series of reform bills that cut the long-term debt liability by nearly $10 billion, saving over $1 billion for taxpayers in 2003-2005 alone. This also assured the system would be stable and solvent for the public employees.
Increase death tax exemption to $1 million
NFIB led the effort to get death tax relief to Oregon small-business owners during the 2003 legislative session. Before 2003, Oregon was one of the few states taxing estates valued and $600,000 and above. Threatening the small businesses, and family-owned ranches and farms. But as a result of NFIB's passage of HB 3072, the exemption limit will increase from $600,000 to $850,000 in 2004, to $950,000 in 2005, and $1 million in 2006.
VICTORY: 2002 -- Thanks to the voice of Oregon's NFIB members, it was the only state on the West Coast in which workers' comp pure premiums did not increase.
VICTORY: 2002 -- In addition, NFIB led the charge to defeat Oregon Ballot Measure 23, which would have increased taxes on businesses and individuals by $12 billion to pay for a government-run health care system.
2001 VICTORIES:
Two Percent "Kicker" set in stone! An NFIB-sponsored proposal to place Oregon's 2 percent "kicker" in the Oregon Constitution was widely approved by Oregon voters on election day. Measure 86, which ensures all future "kicker" tax refunds for individuals and businesses, was passed by an overwhelming 63 percent of Oregon voters. NFIB/Oregon worked overtime to forward this proposal to Oregon voters. Prior to passage of Measure 86, politicians could easily vote to suspend or ignore the "kicker" law. Since 1995, Oregon's individual and small business taxpayers have received over $1.1 billion in tax refunds as a result of the 2 percent "kicker" law.
Federal deduction expanded to $5000: Another NFIB-supported proposal passed muster with Oregon voters on election day. By a slim 51-49 margin, Oregon voters passed Measure 88. Measure 88 increased the amount of federal taxes which could be deducted from state income tax returns from $3000 to $5000. This has the effect of a modest tax cut for middle income taxpayers and small businesses.
1999:
NFIB fought to preserve the 1990 reforms to the state's workers' compensation system. These reforms have caused a reduction in the pure premium rate of over 52 percent since 1990, saving Oregon employers over $3.5 billion in premium costs. As the premiums decreased, maximum permanent disability benefits for injured workers are four times higher than they were in 1987. SB 460 was passed in the 1999 session to preserve 1990 reforms.
NFIB supported legislation to move the "Kicker" law to the constitution, increasing taxpayers' protection by requiring a two-thirds majority vote of both houses of the legislature to prevent an automatic return of the surplus to taxpayers.
NFIB supported SB 770, which would take former employers out of the UI base-year. This means that any unemployment benefits received by the former employee when discharged by a future employer will not be charged against the first employer's account.
NFIB supported legislation to limit employer liability. HB 2985 clarified that a small employer is not liable for their employee's intentional crimes when the employer did not know of the intent to commit the crime, or could not have acted to prevent the crime. The bill passed both the House and Senate but was vetoed by Gov. Kitzhaber.
NFIB helped pass HB 2525, which required that agencies use independent hearings officers from the Hearings Officer Panel within the Employment Department. Previous law allowed state agencies to act as police, jury and judge in contested case hearings with everyday citizens.
NFIB worked to stop SB 486, which required employers to grant "school activity leave" (35hrs/year) to employees in the same manner as provided for family leave. SB 486 failed in the Senate.
NFIB supported SB 1115, which strengthened the employment-at-will concept in Oregon that was threatened by an Appeals Court decision. The court's ruling essentially gave employment rights under collective bargaining agreements to employees who did not belong to a union. This measure passed both the Senate and House but was vetoed by the Governor.
NFIB helped pass SB 535, which went on the November 2000 ballot as Measure 88. The bill was the first income tax cut Oregon has seen in many years. Passing by a 51-49 margin, the measure cut Oregon income taxes by increasing the federal deduction from $3,000 to $5,000 on Oregon's state income tax return. Measure 88 will give individuals and small businesses who pay in excess of $3,000 in federal income taxes a $120 million annual tax cut.
1997:
NFIB helped win passage of HB 2893, which prohibits workers' compensation carriers from retroactively reclassifying employees.
NFIB stopped HB 3719, which expanded litigation under the anti-discrimination statutes and added "sexual orientation" as a protected class under employment law. The bill would have also increased the number of lawsuits against employers by adding a new protected class, and it did nothing to discourage frivolous lawsuits.
NFIB was the key business group that prevented Gov. Kitzhaber from spending the estimated $467 million in 2 percent kicker tax refunds on more government programs. The money was refunded to taxpayers.
NFIB supported legislation (SB 1205) that would prevent non-union employees from exercising union contract rights. The bill passed both the House and Senate but was vetoed by the Governor.
NFIB supported legislation (HB 2948) to create an independent office of administrative hearings to help ensure fairness when a business challenges an agency ruling. The bill was passed by the Legislature during the 1997 session, but was vetoed by Gov. Kitzhaber.
