Week of June 15 - 19

Raid on Unemployment Trust Fund – NEW
Specifically, the Governor is ready to siphon $90 million from the UI fund.  This is strictly employer money, and the Governor is intending to use the money to fund temporary, minimum wage summer jobs for up to 12,000 job seekers.  AOI has learned that the Governor will try to use HB 2398, an unrelated bill, as the vehicle to authorize the raid on these employer-paid funds.

AOI is strongly opposing the proposal.  AOI, in conjunction with other business groups and organized labor, have a longstanding history of opposing these types of diversions or raids from the UI Trust Fund.  The UI fund has a current balance of $1.573 billion, down from $2.177 billion this time last year.  The Governor’s proposal would immediately drain the fund of over six percent of its current balance at a time when the fund is already under the strain of an unprecedented number of unemployment claimants.  It is also likely that the proposal will lead to higher taxes on employers in the coming years.

AOI urges members to contact their legislator to oppose this raid on the employer-paid UI Trust Fund.  Here’s a shortcut to finding your legislator: http://www.leg.state.or.us/findlegsltr/
 
Employer "Gag Rule" SB 519 – Job Killer
The Senate is about to move forward on this constitutionally questionable legislation that restricts the ability of employers to talk to their employees about political matters, including unionization of the workplace.  The bill effectively prohibits employers from requiring attendance at employer-paid meetings to discuss these issues even though the meetings are protected under federal law.

AOI believes it is wrong to make employees who refuse to attend employer-held meetings a new protected class of workers.  Under SB 519, these workers, who may be laid off due to market conditions, would have the ability to sue their employers claiming retribution for not attending a workplace meeting.  (You can read AOI’s arguments against SB 519 here.)

Paid Family Leave – Job Killer
AOI is continuing to fight hard against a new tax that would be levied on Oregon workers to create a Paid Family Leave program. The proposal – SB 966 – taxes Oregon workers 2 cents per hour worked in order to fund a Paid Family Leave program that would pay workers who elect to take family leave up to $300 per week for up to six weeks of family leave. (You can read AOI's testimony here.) Oregon business has every right to be concerned about forcing Oregonians to pay a new tax into a new state program that would benefit the few people who elect to take family leave. In simple terms, nearly 40 workers would have to be taxed in order for one worker to receive the full amount of benefit. AOI contends that high overhead costs, along with increased demand, would drain the funding of the system and force more tax hikes on employees or business payroll to cover costs. AOI is strongly opposing SB 966.

Green House Gas – Job Killer
SB 80 directs the state Department of Environmental Quality (DEQ) to adopt a Cap & Trade Program on utilities, manufacturers, gasoline, and home heating, ahead of federal requirements or other western states. The "goals" or reduction targets are the most severe in the nation, effectively isolating Oregon as a high-cost manufacturing state. Based on what are termed "aspirational goals," this bill caps and then reduces statewide CO2 emissions from every sector of the economy, including electrical generation, manufacturing, and gasoline. The bill is opposed by a broad range of business and labor groups. The bill had a public hearing on May 27.

Legislature abdicating to DEQ the right to Ban Consumer and Commercial Products – Job Killer
Adopted amendments to HB 2186 grant the Environmental Quality Commission (EQC – the Governor-appointed rulemaking body for the DEQ) with broad, new authority to adopt and enforce rules on types of gasoline sold in Oregon (low carbon fuels), types of car and truck tires, and even commercial and consumer products based on their greenhouse gas implications.  Representative Deborah Boone (D – Cannon Beach) proposed an amendment that would have the DEQ research all the data and then ask for transfer of authority from the legislature to the DEQ.