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Rep.
Richardson's Newsletter
May 19, 2009 2009-11 Co-Chairs Budget Released
The Oregon Constitution requires the Legislature to provide a state budget. For a discussion of the budgeting process, click here. Yesterday, the Senate and House Ways & Means Co-Chairs released their long-awaited Co-Chairs Budget. The total cuts in this budget averaged 12.5% from the 2009-11 Essential Benefit Level (EBL) budget. The Co-Chairs’ Budget reductions assume $800 million in new revenue (tax increases) to balance the budget. If the $800 million in new revenue is not approved, the short-fall will need to be back-filled by either additional cuts in program budgets or utilizing cash reserves, such as ending balances of agencies or departments.
The following is a summary of the 2009-11 Co-Chairs’ Budget:
The Co-Chairs’ Budget (CCB) weighs funding allocations by Co-Chair priorities, and notwithstanding the severe decline in revenues, the CCB gives preference to certain human services programs and K-12 education. In contrast, Community Colleges and Oregon Universities received 15% cuts from their EBL budget figures. Looking back at the CCB summary sheet, it is hard to know what these budget allocations really mean. The reductions in the EBL, contained in the Co-Chairs’ Budget, are reductions from a proposal, rather than additions or reductions to the current, Legislatively Approved Budget for 2007-09. For instance, Headstart provides many benefits to pre-kindergarten children. How was Headstart’s funding affected by the Co-Chairs’ Budget? The line item for Headstart in the details of the Co-Chairs Budget indicates a cut of 10%. In reality, Headstart is getting one million dollars more in the proposed Co-Chairs Budget than Headstart received in the current 2007-09 budget. Another example involves the Early Intervention/Early Childhood Special Education programs for children. The CCB allocation shows an 11% reduction from the 2009-11 EBL, yet when compared to the current 2007-09 budget, Early Intervention/Early Childhood Special Education gets a slight increase in funding. This strategy of referring only to theoretical cuts from a proposed EBL for the 2009-11 Budget, is unnecessarily confusing. Years ago, when my law practice emphasized business, tax and estate planning, I frequently reviewed balance sheets and budgets. I would compare and contrast the previous budget with the current budget, then consider additions or reductions in drafting a new budget. Such a transparent budgeting process would be of great benefit to the Legislature. The current system reminds me of the weather-beaten farmer whose neighbor asked him how his harvest had gone. The farmer had hoped to earn $80,000; in fact, he earned $50,000; so, he stuck his hands in his pockets, dropped his head, kicked the dirt and said, “Ah shucks, I figure I must-a-lost $30,000 this year.” Anyway, more time is needed to analyze the Co-Chairs Budget, but here are two items of interest: First, the following programs and services are going to be fully funded or at least given preferential treatment:
1. Relief Nurseries; Second, as mentioned above, the Co-Chairs Budget assumes $800 million of undefined new revenues (tax increases). Yesterday, it was mentioned that a major contributor toward the $800 million shortfall is likely to come from a proposed income tax surcharge for Oregonians earning more than $250,000 per year. Additional information on proposed tax increases will be forth-coming in the weeks ahead. Conclusion: Previous discussions of the Governor’s Recommended Budget (GRB) and the Essential Budget Level (EBL) are now moot. From now on, the Co-Chair’s Budget is the focus of all budget discussions. There will be Adds and Drops (“puts and takes”), from the CCB in the weeks to come, and the final draft of the CCB will mark the end of the 2009 Legislative Session. We can only hope that day will come quickly. Sincerely,
When I first traveled to China in 2002, I was asked by a leader of Fujian Province about Governor Atiyeh. They still remembered Governor Atiyeh’s 1984 delegation to Fujian Province, the graciousness of his manner and the Accords of friendship and positive relationships he signed with Fujian in Oregon’s behalf. As a result of Gov. Atiyeh’s vision of the many mutual benefits to be derived from strong relationships between Oregon and Fujian, and more importantly, between America and China, Oregon’s relationships with China have grown over the past 25 years. In fact, Oregon’s number two trade export partner in 2008 was China. To view my brief floor speech honoring former Governor Vic Atiyeh, click here.
Beginning at 9:00 a.m., Sen. Wyden, Rep. Richardson, and Purple Heart recipient Jim Klug will speak at a special ceremony at the city’s new Oregon Fallen War Heroes Memorial to honor every military person killed in the line of duty from statehood to the present.
“This Memorial Day, the citizens of Central Point will honor Oregonians who have sacrificed everything for our freedom and liberty,” Rep. Richardson said. “We thank Sen. Wyden for participating in our ceremony to honor Oregon’s Fallen War Heroes. This will be a special event for Central Point and all of Oregon.”
Rep. Richardson and other Central Point citizens helped plan, raise funds and construct the Oregon Fallen War Heroes Memorial, which is located at Don Jones Memorial Park on Vilas-Hamrick Road in Central Point. The memorial was dedicated in 2008.
Andy was born in Norfolk, Nebraska, then moved to the west coast with his family as a child. He grew up in both Oregon and California. After high school, Representative Olson pursued a career in law enforcement. He attended Chemeketa Community College where he earned an Associates Degree in Law Enforcement. In 1978, he started his career with the Oregon State Police. In the Oregon State Police, Representative Olson advanced to the positions of lieutenant and station manager. He was stationed in many different cities across the state, including Klamath Falls, Cottage Grove, Beaverton, Salem, McMinnville, and, before retirement, in Benton County.
Representative Olson was first elected to the Oregon House in 2004. He currently serves on four committees. He is Vice-Chair of the House Human Services Committee. In addition, Representative Olson serves on the Administration, Judiciary and the Special Joint Session Schedule committees.
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