Early in the session, House and Senate leaders agreed on a 2005-07 state budget of $12.393 billion. According the House leadership this amount represented a responsible budget and one that would not require new taxes. However, the continuing disagreement between the Senate Democrats and the House Republicans over the perfect K-12 school budget have kept the momentum of the Legislative Session moving at an irritatingly slow pace. At this point, not even the “insiders” are able to predict the end of session.

The following bill list provides a look at some of the bills, which have managed to pass, plus a few of the significant bills for ONSA members that remain pending. A more extensive list is located at home page.

 

House Bill 2005 – Combined licensing pilot projects

Bill passed and was signed by the Governor. Effective May 25, 2005.

As many retailers are aware, the Office of Regulatory Streamlining has been working on a “Small Retailer Consolidated Renewal Project.” HB 2005 authorizes the Dept. of Consumer & Business Services to establish pilot projects to reduce the number of licenses that a small retailer must obtain and to consolidate the renewal of several licenses to save time and paperwork.

 

House Bill 2056 – Licenses issued by OLCC and TPM regulations

Bill Passed House. Still pending in Senate Budget Committee.

HB 2056 extends the renewal period for OLCC licenses to two years and establishes an initial application fee of $400 for processing license applications. The purpose of the new application fee is to cover more of the costs of processing and investigating initial applications. Licensing fees will be doubled to cover the longer period.

The House amended the bill before forwarding to the Senate to limit city and county authority to adopt “time, place, and manner” regulations on businesses that sell alcohol to the regulation of nuisances occurring ON the licensed premises . The bill also requires local governments to allow neighborhood associations at least 45 days to provide public comment on a license application.

 

House Bill 2091 – Review of decisions in workers' compensation claims

Bill passed and was signed by the Governor. Effective January 1, 2006.

Previously, certain decisions of the Director of the Department of Consumer & Business Services were referred to the Office of Administrative Hearings (OAH). HB 2091 will transfer authority for conducting contested case hearings relating to vocational assistance benefits, medical services, amount or non-payment of medical bills, managed care organizations, and penalties for an insurer's unreasonable delay or refusal to pay compensation from the OAH to the Workers' Compensation Board. The purpose of consolidating the contested case hearings with the Workers' Compensation Board is to decrease confusion over where an appeal should be filed and to reduce the processing time.

 

House Bill 2093 – Employer notification of OR-OSHA inspections

Bill passed and was signed by the Governor. Effective January 1, 2006.

Oregon law specifically requires that a written notice of increased likelihood of inspection be sent to each employer meeting certain criteria. HB 2093 changes the current requirement so that notice is required to employers whose place of employment is rated as one of the most unsafe places of employment in the state, rather than to all employers whose accepted disabling claims rate is above the state SIC average. This change is expected to reduce the number of letters that the Dept. of Consumer & Business Services is required to send by 3,000 to 4,000 annually.

 

House Bill 2124 – Transfer of experience rating for unemployment taxes

Bill passed and was signed by the Governor. Effective January 1, 2006.

HB 2124 conforms Oregon law to federal requirements by explicitly prohibiting rate manipulation activities commonly referred to as “SUTA Dumping.” This practice is when a large employer with high unemployment claims rates sets up a small company, waits for the experience rate of the new company to be established, then transfers large numbers of employees to the new company. The bill also increases the penalties. Provisions of the bill apply beginning in the 2006 tax year.

 

House Bill 2127 – Lowers unemployment tax rates paid by employers

Bill passed and was signed by the Governor. Effective January 1, 2006.

HB 2127 lowers employers' unemployment tax rates by .09% for all unemployment tax rates, except for employers with highest tax rate of 5.4%. The bill also changes the formula for determining State Trust Fund adequacy, reduces new employer tax base, changes the rounding of taxable wages, repeals the Benefit Reserve Fund after June 30, 2008, and transfers any remaining amount to the Unemployment Compensation Trust Fund to be used to pay unemployment benefits. Applies to unemployment insurance taxes beginning on or after January 1, 2007.

 

House Bill 2539 – Increases in ODA food safety inspection fees

Passed House. Remains pending in Senate Budget Committee.

As amended by the House, HB 2539-A increases the maximum permissible license fees for meat sellers, food processors, animal food slaughtering operations, dairy processors, milk distributors, bakeries, and non-alcoholic beverage producers based on annual gross sales or annual covered operations. The bill also provides for annual increases in fees; however the annual increase provision sunsets January 2, 2010.

The Oregon Dept. of Agriculture asserts the current fee schedule is insufficient to support the 33 field inspectors needed to carry out the duties of the Food Safety Division. The new fee schedule appears to shift the fee towards the highest number of licenses in any category (or those assumed to require more work), rather than the size of the operation. If approved, measure would be effective as of July 1, 2005.

 

House Bill 3015 – Flavored Malt Beverages

Bill passed and was signed by the Governor. Effective May 25, 2005.

HB 3015 amends the current malt beverage definition to allow the sale of flavored malt beverage consistent with the federal definition. The bill adds a definition for FMB with more than six percent alcohol, and clarifies that beverages like sake are not considered malt beverages.

 

House Bill 3319 – Payment of final wages

Passed House & Senate. Pending signature.

HB 3319 allows an employer to estimate final wages when an employee is required to submit time records and quits the job without providing 48-hour notice. The employer must pay the estimated final wages within the five-day period and then pay any additional wages owed within five days of when the employee submits his or her time records.

 

Senate Bill 37 – Transfer of unemployment tax liabilities

Bill passed and was signed by the Governor. Effective January 1, 2006.

SB 37 allows the Director of the Employment Department to determine whether a corporation is a “reorganized business entity” or substantially the same as the entity that acquired the debt. If so, the Director may assess the unpaid unemployment insurance debt against the new corporation.

 

Senate Bill 237 – Employee rights under workplace safety statutes

Bill passed and was signed by the Governor. Effective June 9, 2005.

As approved, SB 237 establishes the statute of limitations for employment safety lawsuits as one year after the employee has reasonable cause to believe a violation occurred. Bill applies to causes of action occurring on or after the effective date of the measure.

 

Senate Bill 363 – Lottery disclosure requirements

Bill passed and was signed by the Governor. Effective January 1, 2006.

SB 363 provides authority to the Oregon Lottery Commission to determine when it is appropriate to waive disclosure requirements. The bill also narrows disclosure requirements. Applies disclosure requirements to: 1) directors that own or control 3% or more of voting stock; 2) stockholders who own 10% or more of outstanding stock; and 3) general partners, limited partners, joint ventures and members of a limited liability company with investment or membership interest of 10% or more.

 

Senate Bill 738 – Fire-safe cigarettes

Passed Senate. Remains pending in House State & Federal Affairs Committee.

SB 738 proposes to conform Oregon law to that of the State of New York in regard to fire-safe cigarette standards. If approved, SB 738 would require the State Fire Marshal to determine whether cigarettes are “fire-safe”, prohibit sale or distribution if a cigarette is not “fire-safe”, impose civil penalties, allow for damages, authorize the use of the State of New York's list of cigarettes, establish a Cigarette Fire Safety Fund from civil penalties and continuously appropriate funds to State Fire Marshal. Bill has not received a hearing in the House, despite heavy pressure from the proponents of the bill.

 

Bill Stills Pending on July – No action taken on:

 

Senate Bill 862 — which proposed to create a Beverage Product Stewardship Board and transfer the duties of OLCC in regard to beverage container collection and refunds to the Board. SB 862 also proposed to expand the type of containers subject to deposit to include any drink other than milk or medicines and to increase deposit amount to 13¢ and set refund value at 10¢.

 

Senate Bill 1049 — which would have authorized counties to impose malt beverage cost recovery fee by adopting an ordinance. OLCC would be directed to collect the fee and distribute the revenue to counties that impose the fee for specified purposes relating to alcohol or drug addiction.

 

House Bill 2048— which would have restored the 10¢ per pack cigarette tax surcharge dedicated to the Oregon Health Plan and extended the tax indefinitely.

 

House Bill 3500— which proposes an increase in cigarette taxes of 60 cents, in order to raise funds for uninsured children and other health care programs.

 

House Bill 3277— which proposed to impose a tax of 15¢ on plastic shopping bags provided at point of sale in grocery store, convenience store, service station or other grocery outlet.