Oregon Measure 1, 5% Sales Tax to Fund Public Schools Amendment (1993)

Oregon Measure 1
Election date November 9, 1993
Topic Education and Taxes
Status Defeated
Type Legislatively referred constitutional amendment	Origin State legislature

Oregon Measure 1 was on the ballot as a legislatively referred constitutional amendment in Oregon on November 9, 1993. It was defeated.

A "yes" vote supported implementing a five percent sales tax to provide additional funding to public education.

A "no" vote opposed implementing a five percent sales tax to provide additional funding to public education.

Election results

Oregon Measure 1
Result		Votes	Percentage
Yes		240,991	25.03%
No		721,930	74.97%

Results are officially certified.

Source

Text of measure

Ballot title

The ballot title for Measure 1 was as follows:

“

Should we pass a 5% sales tax for public schools with these restrictions? The 5% rate can only be raised by a statewide vote o f the people. The legislature could not increase the rate. The sales tax moneys raised would be dedicated to public schools, including kindergartens and community colleges. This dedication cannot be changed without a statewide vote of the people. School property taxes on owner-occupied homes would be abolished. Sales tax moneys would replace the school property taxes on owner-occupied homes.  The sales tax would be on goods only, not services. The sales tax could not be imposed on food for home consumption, housing, water, light, heat, power, prescription medicine, motor, fuel, essential services, and farm animals, feed, seed, and fertilizer. These exemptions court not be changed by the legislature. They can only be changed by a statewide vote of the people.  Cities, counties, and other local governments cannot impose a sales tax. Working families, with children, earning lesB than $24,000 a year would receive an earned income credit on their income tax. Low income households would receive a refund of some or all o f the sales tax they would pay. The corporate income tax rate would be increased from 6.6% to 7.6%. The measure imposes a new constitutional state spending limit, restricting the legislature's spending authority. At least half of lottery proceeds would be used for education and the needs of Oregon’s children. Currently lottery money must be used for economic development. The sales tax for schools would be imposed on a trial basis. The tax and all other provisions would stop in 1999 unless we vote to continue them at the 1998 general election. ESTIMATE OF FINANCIAL IMPACT—Based on the 1995-97 biennium, when Measure 1 becomes fully implemented, government revenues will increase by $985 million per fiscal year and government expenses will increase by $41 million per fiscal year as follows: Public Schools and Community Colleges:  Public school and community college revenues will increase by $953 million per fiscal year as follows: $1.285 billion in sales tax revenues received from the state. ($1.317 billion in gross sales tax revenues, minus $10 million in tax administration expenses and $22 million returned to lower-income households through a credit.) $13 million in interest earnings from the Education Trust Fund. $346 million in reduced property tax revenues. Public school and community college expenses will increase by $4 million per fiscal year in sales taxes on purchases. State Government: Notwithstanding distribution of sales tax revenues to public schools and community colleges, revenues will increase by $35 million per fiscal year as follows: $35 million in additional corporate income tax revenues. $10 million in sales tax revenues for tax administration expenses. $10 million in reduced personal income tax revenues. State government expenses will increase by $23 million per fiscal year as follows: $10 million in sales tax and related administration expenses, funded primarily from sales tax revenues. $13 million in sales taxes on state government purchases. Local Government: Local government property tax revenues will decrease by $3 million per fiscal year. Local government expenses will increase by $14 million per fiscal year as follows:  $1 million in property tax administration costs. $13 million in sales taxes on local government purchases. (Note: During the December 1993 to July 1,1995 phase-in period, one-time expenses will be as follows: $358 million to accelerate property tax relief required by 1990’s Ballot Measure 5. $162 million to establish the Education Trust Fund. $7 million in state and local government start-up costs for tax administration.) (Note: In addition to the above effects, after July 1,1996, half o f lottery revenues—$91 million per fiscal year—will be dedicated to education and children’s needs.)

”

Full Text

The full text of this measure is available here.

Path to the ballot

See also: Amending the Oregon Constitution

A simple majority vote is required during one legislative session for the Oregon State Legislature to place a constitutional amendment on the ballot. That amounts to a minimum of 31 votes in the Oregon House of Representatives and 16 votes in the Oregon State Senate, assuming no vacancies. Amendments do not require the governor's signature to be referred to the ballot.

See also

1993 Measures

• 1993 Measures
• Education on the ballot
• Taxes on the ballot
• 1993 legislative sessions

Oregon

• Oregon ballot measures
• Oregon ballot measure laws

News and analysis

• Ballot measure lawsuits
• Ballot measure readability
• Ballot measure polls

External links

• Oregon Voter Guide (1993)