The Oregon Liquor and Cannabis Commission took advantage of Governor Tina Kotek’s directive to make state tax compliance a requirement for the agency, by proposing to raise the surcharge tax.

The May 18 meeting dealt with issues that arose over OLCC former employees gaining preferred access to rare liquor products by creating a series of new policies restricting employee access.

Republican leadership has called for an investigation into various activites of OLCC, including land purchased, and have requested Democrat leaders create a Joint Oversight and Accountability Committee. However, all such requests are going into a dark hole.

Now OLCC is proposing to double the current “temporary” surcharge of fifty cents first enacted in the 2009-2011 budget cycle and has continued ever since. The proposal would increase the current fifty cent surcharge on each bottle of distilled spirits to one dollar per bottle. On top of that surcharge, Governor Kotek's budget for 2023-25 includes a line item for an additional fifty-cent surcharge on distilled spirits which is estimated to raise $45.2 million for the general fund.

Restaurants are still recovering from the pandemic when inflation hit. Many have closed their doors permanently. Oregon restaurants support local distillers, and these cost increases trickle down to the consumer, which they can’t afford to lose. You can watch the Oregon Restaurant and Lodging Association (ORLA) testimony on how this tax increase will hurt small bars and restaurants the most at a time when the Governor and the OLCC Commission should be supporting them.

The increase is proposed to provide funds for mental health and addictions, but the funds go into the general fund and has no guarantee of use. If the funds are needed, shouldn’t the legislature make the proposal as they did with the current surcharge, ORLA asked.

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

“We are a very [substance] abusive state,” said OLCC Chair Marvin Révoal. “As we move forward your comments will be well received and accepted. We are not trying to convince one another as to what to do. We’re going to continue this [public] process because it’s very important.”

The Commissioners heard initial testimony at their April 20 and May 18 Commission meetings, and will accept written comments through June 5, 2023. To submit written comments; visit ORLA's Take Action page.


--Donna Bleiler

Post Date: 2023-05-19 14:32:55

Last Update: 2023-05-19 16:38:55