How Do We Pay For this?
Unlike many proposals, my priorities will not take any money from existing State revenues nor will it necessitate an increase in fuel or income taxes. Instead, my plan relies on modernizing two existing tax rates that have not kept pace with reality.
Oregon has the lowest beer and wine taxes in the nation (including the District of Columbia). The reasons are that Oregon has no sales tax on either beer or wine and the excise taxes on both of those have remained unchanged for over 40 years.
Today:
The state excise tax on a 12-ounce beer is less than 1¢ (.79¢).
The tax on a 5-ounce glass of wine is less than 3¢ (2.6¢).
I propose updating those two excise taxes to 25¢ per drink.
Even at that level, Oregon would only move from last place to the middle of the pack — and responsible adults will still be able to enjoy a beer or a glass of wine.
Also, these two very simple changes would not cause any increase in State government employment or costs but would generate approximately $306,000,000 annually in new revenue!
That $306,000,000 in new revenue will help:
Lower income working Oregonians
Stabilize transportation funding
Avoid additional increases to income or gas taxes
Protect infrastructure
Avoid cuts to other existing State programs
Oregon is strongest when working people can afford to live here. That’s my focus. That’s my priority.
Protecting Small Wineries and Microbreweries
I support Oregon’s wine and beer craft industry.
So, for:
Microbreweries producing under 155,000 gallons annually and
Wineries producing under 10,000 cases annually
I would propose a lower excise rate of just 5 cents per drink.
If you have questions or concerns, use the QUESTIONS AND ANSWERS tab on this website. I will respond.