Governor Tina Kotek released her proposed budget for the 2023-2025 biennium. She calls it a “Mission Focused” budget to build more housing, reduce homelessness, increase access to mental health and addiction services, and improve education outcomes. She says it “provides a roadmap for how we are going to reach our state’s long-term goals.”

In response, Senate Republican Leader Tim Knopp (R-Bend) stated, “According to the most recent revenue forecast, Oregon families will receive an average of $5,200 back on their taxes in the form of a surplus credit known as the “Kicker.” I’m relieved to see that the Governor’s proposed budget doesn’t pull money from the Kicker – it’s the right thing to do.”

However, Senators Lew Frederick (D-Portland) and Kayse Jama (D-Portland) seem to be on a quest of their own. On the radar for Oregon taxpayers is SB 774, which would allow the State to keep the tax "kicker" of overpaid taxes beyond what the State budgeted to collect, if SJR 26 is passed by voters to amend the Constitution.

A D V E R T I S E M E N T

A D V E R T I S E M E N T

“The Republican Majority worked to enshrine the Kicker in Oregon’s Constitution in the 1990’s and we are still committed to protecting it today,” added Senator Kim Thatcher (R-Keizer).

The House Republican Caucus said they are optimistic the Governor’s budget does not call for tax increases, but remain concerned that Governor Kotek and her agencies will raise fees on hardworking Oregonians. While the Governor’s budget does not take the Kicker, they are committed to returning these hard earned dollars back to Oregon taxpayers.

Governor Kotek’s two-year budget proposal is a $32.1 billion request, which represents a 8.76% increase over the 2021-2023 legislatively approved budget.

Oregonians are experiencing an inflation rate over eight percent and economists are predicting a mild recession over the next year. The Governor’s budget reflects the financial vulnerability individuals are feeling on a daily basis. House Republicans believe the state budget should look more after Oregon families than our state bureaucracy, and are disappointed there was no initial mention of other crises impacting our state such as transportation backlogs, a severe drought impacting our agriculture industry, public safety in our communities, or Oregon’s severe public defender crisis.

Senator Daniel Bonham (R-The Dalles) agrees, “Oregonians across the state feel the impacts of inflation and other rising costs. They deserve to spend their hard-earned money how they see fit – to plan for emergencies and spur the economy.”

Even though both houses see value in the budget, the House Caucus wants to see reforms to the Oregon Department of Education. They also point towards the Governor’s proposed homelessness initiative as not reaching beyond the urban centers of our state. “If Governor Kotek is going to stay “Mission Focused” on being a Governor for all of Oregon, this must start now.”

To overcome the predicted shortfall, Governor Kotek has recommended keeping the existing $2 billion of reserve funds in place, and redirect $765 million that would have been automatically added to these reserves into targeted investments aimed at better serving Oregonians in her focused areas.

The Governor's budget reflects the work of the Racial Justice Council on the development of state agency budgets as a strong, ongoing partnership in her administration. Thus, her Mission Focus, and so begins the battle for our pocketbooks.


--Donna Bleiler

Post Date: 2023-01-31 16:52:56

Last Update: 2023-02-01 00:54:24