Oregon’s Ballot Measure 118 is sparking controversy and opposition from bipartisan groups

SALEM, Ore. (KPTV) – As the November election approaches, one item on the ballot is attracting a lot of attention and debate: Measure 118, also known as the “Oregon rebate.” This initiative proposes raising corporate taxes to give every Oregon resident a $1,600 rebate, but not everyone agrees.

What is Measure 118?

Measure 118 seeks to impose a 3% tax on the sales of large companies operating in Oregon, with the goal of redistributing the revenue to all residents of the state as a direct payment or tax refund. Each individual could receive about $1,600, and families could receive even more depending on household size.

Antonio Gisbert, a former labor organizer from Portland, filed the initiative, arguing that it would help everyday Oregonians meet their financial needs. However, this measure was met with strong opposition from a diverse coalition of groups.

A divisive proposal

Supporters of Measure 118 like Stacey Rutland say the proposal is a chance to address rising corporate profits and economic inequality. Rutland explains, “The Oregon Rebate is an opportunity for all of us to have an immediate and positive impact on the lives of ourselves, our children, our parents, our neighbors and the neighborhood mom and pop stores.”

But critics argue that the measure could inadvertently harm the very people it is intended to help. Alejandro, a spokesman for the progressive think tank Oregon Center for Public Policy, said: “Despite its good intentions, Measure 118 was poorly crafted and could result in a significant deficit in the general fund – impacting education, health and public safety.”

Concerns about economic impact

Business groups have voiced strong opposition, warning that the measure’s new tax could have a negative impact on Oregon’s economy. Although the tax would only apply to businesses with revenues of more than $25 million, opponents argue it could still result in billions of dollars in additional costs for the state’s largest employers and potentially hurt job growth.

Political action committees on both sides of the debate are pouring money into their campaigns. The Defeat the Costly Tax on Sales PAC, backed by companies including Standard Insurance, Home Depot and Koch Industries, has raised over $12 million to fight the measure. In contrast, the Oregon Rebate PAC has raised just $386,000, mostly from California donors.

Mixed reactions from lawmakers and advocates

In Salem, a bipartisan group of lawmakers, including Democratic state Sen. Mark Meek, spoke out against Measure 118. Senator Meek, chairman of the Senate Finance and Revenue Committee, warned voters that the measure could lead to difficult budget decisions and cuts to vital services.

“It’s kind of a parlor trick,” Meek said. “While it is tempting to raise revenue at the expense of others, voters must understand that it ultimately comes at their own expense.”

Advocates like Dylan Hirsch-Shell, a former Tesla engineer and current candidate for mayor of San Francisco, remain optimistic and are urging voters to seize the opportunity for change. Hirsch-Shell urged CEOs who opposed the measure to reconsider their stance, asking, “Is this the best way to serve the community?”

A tough battle lies ahead

Despite strong grassroots support, supporters of Measure 118 face an uphill battle as their opponents spend significantly more money. With a fundraising gap of nearly 30-1, they acknowledge the uphill battle but remain confident that Oregon voters will see the proposal’s potential benefits.

Copyright 2024 KPTV-KPDX. All rights reserved.