NEWS UPDATE FROM STATE REPRESENTSATIVE DAVID GOMBERG: One Week to Go

3/4/24
Dear Neighbors and Friends,

We’re entering the final week of our short 2024 legislative session.

Last week I told someone that in a long session, we have five months to consider 3000 bills. About 300 pass. In a short session, we have five weeks to consider 300 bills. If you aren’t organized, prepared, and on point, your proposals are not going to move.

I’ll spare you this week an update on the big issues and investments. I’ll save those for a session wrap-up next week. Instead, I wanted to provide some progress on measures with particular importance to our rural and coastal district.

SB 1576 (Introduced by the Senate Judiciary Committee): Oregonians love their open spaces. But recent court cases increase liability for property owners by changing recreational immunity standards. As a result, cities have closed more than 20 trails and beach accesses. Listen to my OPB interview here. We’re working on a legislative fix. It passed the Senate 25-2 and I will be carrying it on the House floor this week.

HB 4132B (Introduced by Gomberg and sponsored by the Coastal Caucus): In a big win for the coast and coastal communities, the measure increasing funding and implementing Ocean Policy Advisory Council (OPAC) recommendations to develop an adaptive management and social monitoring program to support Marine Reserves is moving forward. It cleared Ways and Means unanimously and I carried it on the House floor today where it passed the full chamber unanimously.

HB 4080B (Chief Sponsors: Grayber and Gomberg): If and when offshore wind energy comes to the Oregon Coast, the possible benefits will only be realized if Oregon takes action to benefit our coastal communities, our coastal economies, and our Tribes. This bill gives guidance to BOEM to establish strong labor standards in any wind energy leases. The bill proposes an offshore wind roadmap to engage stakeholders thoughtfully and to ensure that the consideration of offshore wind is transparent, robust, and inclusive. Conservationists, commercial fishermen, coastal residents, organized labor, the renewable energy industry, Tribes, and others will benefit greatly from clearer guidance and support from the state of Oregon. The bill was approved in Ways and Means and I’ll speak to it on the House floor this week.

SB 1530B (Introduced by Senate Committee): Across Oregon, water and sewer projects are aging out, they’re at capacity and in some cases, they’re falling apart. This measure as part of the Housing Package will fund 50 projects across the state including a number here on the Coast. That includes about $7 million for Siletz, Lincoln City, and Toledo. I was lead architect of the infrastructure package. It has passed the Senate and I carried it on the House floor today where it passed 52-5.

SB 1520 (Chief Sponsors: Boquist, Gomberg, and others): The Echo Mountain Complex Fires devastated northern Lincon County. Many residents who suffered losses joined lawsuits seeking compensation. But should they prevail, most of those awards would go to legal fees and taxes. This measure says Oregon will not collect taxes on awards from wildfire suits between 2018 and 2026. The bill passed the Senate unanimously. I testified in the House Revenue Committee Monday and will carry the bill on the House floor later this week.

The Echo Mountain fire burned 29 of the 31 homes in the Salmon River Mobile Village on the north side of Oregon Highway 18. (Yachats News photo)

What is the largest economic sector in our coastal and rural district? Farming and agriculture? Fishing? Forestry? Tourism?? If you think about it, the surprising answer is not so surprising. Retirement.

A new study, commissioned by the Oregon Coast Visitors Association, investigates what it calls the “drivers” of coastal economies and the economic benefits they receive and rely on. More than one-third of all personal income in the county comes from social security payments and other supports generally received by retirees. Meanwhile, on the other side of the equation, back in 2003, earnings from traditional employment represented 54% of all the personal income in the county. Today, employment generates just 45% of income.

From 2003 to 2021, for instance, the proportion of earnings from traditional employment in Lincoln County dipped substantially, providing 8 percent less relative to total personal income. Over that same span, meanwhile, so-called transfer income jumped from just over 23 percent of the county population’s income in 2003 to 36 percent in 2021.

The shift is even more pronounced in coastal Lane County, where “30 percent fewer economic resources come from traditional work and 31 percent more income is derived from transfers,” according to the 30-page report.

Statewide, by contrast, transfer payments accounted for 24 percent of total income in 2021, with earnings from wages accounting for 58 percent.

Transfer payments such as Social Security and retirement benefits make up a much larger portion of the income of Oregon coast residents compared to the rest of Oregon or the nation.

The report also demonstrates that over the past two decades, the relative importance of natural resource-based industries – commercial fishing, agriculture, and timber – has decreased as a source of personal income. A growing reliance on payments and travel tourism has served to help buffer coastal economies from the dramatic downturns represented by the “Great Recession” (years 2008-2009) and the “pandemic years” (2020-2022).

The Lincoln County 10-Year Economic Update published 10 years ago, first shone light on the pronounced and growing impact of the retirement industry on the local economy. The implications of this trend touch on every aspect of our economy and policy decisions. The growth of permanent-resident retirees has long been associated with the increasing pressure to limit Vacation Rental Dwellings for quality-of-life concerns. The demand for local health care will also reflect the growth, as will everything from hardware and home furnishings to the hours local restaurants will choose to operate to serve the market.

To read the full report, go here.

It’s tax season, and the deadline for filing is Monday, April 15. Keep reading for information on resources, credits, and deferrals available to Oregonians.

Free tax preparation services are available for low- to moderate-income taxpayers through a number of trusted programs. Not all locations offer free e-filing, and most services are only available during the tax filing season. Use the resources below or call 2-1-1 to find a trusted free tax preparation program near you.

AARP Tax-Aide: Free services provided to anyone, with a focus on taxpayers who are over 50 years old and have low to moderate income. Find a location here or call (888) 227-7669 to learn more.
Volunteer Income Tax Assistance (VITA): Offers free help to people who generally make $60,000 or less, persons with disabilities, and limited English-speaking taxpayers. Visit the IRS webpage to learn more or find a location near you using the VITA site locator.
MyFreeTaxes: This service offered by United Way can help guide you in filing your own taxes or help prepare your taxes for you if you qualify. To learn more, visit their website or call the helpline at (866) 698-9435.

All Oregon resident taxpayers preparing their own returns in 2024 can file electronically at no cost using one of Oregon’s free file options.

Oregon Free Fillable Forms performs basic calculations and is ideal for taxpayers who don’t need help preparing their returns and want the convenience of filing electronically. The IRS offers a similar option for filing federal taxes electronically.

New this year, the department is also offering Direct File Oregon, which allows taxpayers to file their Form OR-40 through Revenue Online. Direct File Oregon is not currently linked with the IRS Direct File. Taxpayers will need to file a separate federal return with the IRS before filing an Oregon return with Direct File Oregon through Revenue Online.

Property Tax Deferral for Disabled and Senior Homeowners: A disabled or senior homeowner may qualify for a program to borrow from the State of Oregon to pay county property taxes. If a taxpayer qualifies for the program, the Oregon Department of Revenue will pay county property taxes on November 15 of each year.

To participate, a taxpayer must file an application with the county assessor by April 15 or pay a fee and file late from April 16 to December 1. A lien will be placed on the qualified taxpayer property, and the Department of Revenue will become a security interest holder. Learn more at the Department of Revenue’s website.

Taxpayer Advocate: If you think you are not being treated fairly, or if you have a problem or complaint, please contact the Office of the Taxpayer Advocate for assistance. The Taxpayer Advocate is here to make sure your rights as an Oregon taxpayer are protected. Email taxpayer.advocate@DOR.oregon.gov, call 503-945-8700, or visit www.oregon.gov/dor/Pages/Taxpayer-Advocate.aspx for assistance.

Oregon is at last retiring the ancient computer systems that manage its unemployment benefits.

The Oregon Employment Department (OED) says the new, $106 million computer system that goes online Monday is more nimble and customer friendly than the obsolete system it has used since the 1990s. That rigid technology failed the agency during the pandemic recession, delaying jobless benefits by weeks or months at the height of that crisis.

The employment department says the new system, called Frances Online, will address some of the agency’s biggest issues because it’s far easier to program and customize than the old, COBOL-based platform it replaces.

The brand-new, easy-to-use online system for Unemployment Insurance (UI) benefits is scheduled to go live on Monday March 4.

A screenshot of Oregon’s paid leave website. The Oregon Employment Department is upgrading its online system to apply for unemployment insurance to Frances Online.

The department hopes that if people have fewer problems filing claims, and can find answers to their questions without having to call for help, that will free up staff to work on the most difficult issues more quickly.

The migration of UI benefits to Frances Online which also handles Paid Family Leave began on Tuesday, February 27. A migration period like this is normal for any big technology project. However, OED was not able to provide customer service during the migration. This is because the old systems were offline, and OED did not have any access to customer information.

Check unemployment.oregon.gov for more information and follow OED on social media (Twitter, Instagram, Facebook, and LinkedIn) for important updates about the switch to the new system. Make sure to check your mail daily, and review all letters and messages from the OED in the coming weeks.

The department is using one-time funds to hire 40 temporary staff to assist claimants with any transition questions.

Saturday evening, Susie and I took a break from session stress and drove down to Newport for the Pearls of Wisdom celebration at Oregon Coast Community College. I was honored to be asked to serve as Master of Ceremonies and Auctioneer.

It was a wonderful evening for a wonderful cause. If we want more nurses, we can train them here. If we need more teachers, we can educate them here. Skilled trades like welding? We can teach them here. New small business? The colleges give them the tools to succeed.

The highlight was hearing from two students about their OCCC experience and how scholarships funded by local donors were changing their lives. Susan and I sponsor an annual scholarship and we were delighted to meet and talk with two recent recipients.

Jesus Landa and Gael Maldonado were recent recipients of the Susan and David Gomberg Scholarship. If you are interested changing lives at our college, drop me a note and I’ll let you know how you can sponsor a scholar too.

I told guests that during the time it took from salad to dessert, five more potholes had emerged in Beverly Beach. The road there was a mess and I actually phoned ODOT leadership on the drive down. By Sunday, more graders and gravel were on the scene.

Early Monday I braved the elements and returned to Salem – grateful for ODOT snowplows working early. I testified before the Revenue Committee at eight and three floor sessions were scheduled in one day with plenty of legislation on the move. So far, the freight train I keep referring to has suffered no unscheduled stops or derailments. The Constitution says we need to be done by Sunday night.

Let’s hope for a productive and constructive week and an early arrival at adjournment.

Warm Regards,