Oregon Measure 103, Ban Tax on Groceries Initiative (2018)

Elections in Oregon, 2018

• General election: Nov. 6
• Voter registration deadline: Oct. 16
• Early voting: N/A
• Absentee voting deadline: Nov. 6

• Online registration: Yes
• Same-day registration: N/A (all-mail elections)
• Voter ID: N/A
• Poll times: N/A

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Oregon Measure 103
Election date November 6, 2018
Topic Taxes
Status d Defeated
Type Constitutional amendment	Origin Citizens
List of Oregon measuresOregon Measure 102Oregon Measure 103Oregon Measure 104Oregon Measure 105Oregon Measure 106Oregon Measure 101 (January)Submit

Oregon Measure 103, the Ban Tax on Groceries Initiative, was on the ballot in Oregon as an initiated constitutional amendment on November 6, 2018. It was defeated.

A yes vote supported this amendment to prohibit state and local governments from enacting taxes on groceries.

A no vote opposed this amendment, thus retaining the authority of state and local governments to enact taxes on groceries.

Election results

Oregon Measure 103
Result		Votes	Percentage
Yes		791,687	42.69%
No		1,062,752	57.31%

Results are officially certified.

Source

Overview

What would this measure have done?

Measure 103 would have prevented the enactment or increase of any state or local tax, fee, or assessment on the sale of groceries. Going into the election, Oregon did not have statewide sales tax—including on groceries—but had no law preventing local governments from establishing such a sales tax. Measure 103's prohibition on taxes or tax increases on grocery sales would have applied to any tax or fee put in place on or after October 1, 2017, thereby applying retroactively to any taxes or fees enacted between October 2017 and the election on Measure 103.

Measure 103 would have defined groceries as "raw or processed food or beverages intended for human consumption," excluding alcohol, tobacco, and marijuana. Based on this definition, Measure 103 would have prevented local governments from taxing soda or sugary beverages.

Business taxes in Oregon

Businesses in Oregon paid the greater of the following two options: (a) what is known as a corporate minimum tax that amounts to roughly 0.1 percent of sales or (b) 6.6 percent on taxable income up to $1 million and 7.6 percent over $1 million. The minimum tax on sales was capped at $100,000 going into the election. Businesses that sell groceries were subject to the state's corporate minimum tax.

• The Oregon Attorney General's office wrote: "[W]e believe that a significant effect of the measure is that the corporate minimum tax could not be amended as it applies to sellers and distributors of groceries."

• Willamette Week stated that "The measure would also freeze in place the state's corporate minimum tax, a provision that adds to progressives' hostility to it."

• Dan Floyd of the support campaign, Yes! Keep Our Groceries Tax Free, told Ballotpedia via email that it was important to note that Measure 103 would not affect income taxes, property taxes, or any other tax besides sales taxes for businesses selling groceries.

Supporters and opponents

The following two committees were registered to support Measure 103:

• Yes! Keep Our Groceries Tax Free!
• Parent's Education Association PAC

Together, they had raised $8.18 million and had spent $8.43 million.

The following three committees were registered to oppose Measure 103:

• Defend Oregon
• Vote No on 103
• Team Oregon

Together, they had raised $11.39 million and had spent $10.98 million.

What other states had grocery tax ballot measures in 2018?

• The Washington Taxes on Groceries Initiative was on the ballot in Washington. The measure was designed to local government entities from imposing any new tax, fee, or other assessment on grocery items. It was not designed to prevent the state from imposing taxes on groceries generally. As of July 19, 2018, the support committee received $4.8 million in contributions. The largest donors were the Coca-Cola Company and PepsiCo, Inc.
• The Washington State and Local Taxes on Groceries Initiative did not qualify for a place on the ballot in Washington. The measure would have exempted groceries including food, bottled water, carbonated beverages, soft drinks, and their ingredients from sales and use taxes. The measure would have prohibited both state and local governments from imposing a sales and use tax on groceries.
• The California Two-Thirds Vote for State and Local Revenue Increases Initiative qualified for the ballot but was withdrawn by proponents who instead agreed to a compromise bill with legislators to keep the initiative off the ballot. The initiative would have required a two-thirds vote of the electorate on all local taxes, including as soda taxes. Supporters of the ballot initiative raised $8.25 million as of June 2018. More than $7 million was from the American Beverage Association California PAC. Contributors to the PAC include the Coca-Cola Company, PepsiCo Inc., Dr. Pepper Snapple Group, Red Bull North America, and the national American Beverage Association.

Measure design

Measure 103 would have banned state and local governments from enacting taxes on the sale of groceries. It would have retroactively prohibited any taxes, fees, or assessments adopted or enacted on or after October 1, 2017.

Measure 103 defined groceries as "raw or processed food or beverages intended for human consumption," excluding alcohol, tobacco, and marijuana. Based on this definition, the measure would have preempted local governments from taxing soda or sugary beverages.

Text of measure

Ballot title

The ballot title was as follows:

“

Amends Constitution: Prohibits taxes/fees based on transactions for “groceries” (defined) enacted or amended after September 2017 Result of “Yes” Vote: “Yes” vote amends Constitution; prohibits state/local taxes/fees based on transactions for “groceries” (defined), including those on sellers/distributors, enacted/amended after September 2017. Result of “No” Vote: “No” vote retains state/local government authority to enact/amend taxes (includes corporate minimum tax), fees, on transactions for “groceries” (defined), including on sellers/distributors.

”

Ballot summary

The ballot summary was as follows:

“

Amends Constitution. Currently, state/local governments may enact/amend taxes/fees on grocery sales, including state corporate minimum tax, local taxes. Measure prohibits state/local governments from adopting, approving or enacting, on or after October 1, 2017, any “tax, fee, or other assessment” on sale/distribution/purchase/receipt of, or for privilege of selling/distributing, “groceries”, by individuals/entities regulated by designated food safety agencies, including restaurants, or operating as farm stand/farmers market/food bank. Measure prohibits “sales tax, gross receipts tax, commercial activity tax, value-added tax, excise tax, privilege tax, and any other similar tax on sale of groceries.” “Groceries” defined as “any raw or processed food or beverage intended for human consumption.” Alcoholic beverages, marijuana products, tobacco products exempted. Other provisions.

”

Constitutional changes

See also: Article IX, Oregon Constitution

Measure 103 would have added a Section 16 to Article IX of the Oregon Constitution.

Note: Hover over the text and scroll to see the full text.

KEEPING GROCERIES TAX FREE

SECTION 16. (1) Subject to the limitations in subsection (4) herein, the state and a city county, district or other political subdivision or municipal corporation of this state may not adopt, collect, enact, or impose a tax, fee, or other assessment upon the sale or distribution of groceries or for the privilege of selling or distributing groceries.

(2) Nothing in subsection (l) of this section limits the authority to adopt, collect, enact, or impose:

(a) A tax, fee, or other assessment on or measured by

(A) The sale of alcoholic beverages, marijuana products, or tobacco products

(B) Net income of an individual or entity.

(b) A fee or other assessment to operate the State Department of Agriculture's Food Safety Program or Commodity inspection Program or any successor agency or program that provides for the safety of groceries.

DEFINITIONS

3) As used in this section:

(a) "Groceries" means any raw or processed food or beverage intended for human consumption except alcoholic beverages, marijuana products, and tobacco product

(b) "Sale or distribution of groceries" means any transaction for the sale, purchase distribution, or transfer of groceries sold, distributed, transferred to, or purchased or received from, any individual or entity that

(A) Is licensed, registered or inspected under the Food Safety Modernization Act, U.S. Food and Drug Administration, U.S. Department of Agriculture Federal Grain Inspection Service, or any successor agency or program that provides for the safety of groceries: or

(B) ls licensed and inspected by the State Department of Agriculture's Food Safety Program or Commodity Inspection Program or any successor agency or program that provides for the safety of groceries: or

(C) Operates as a farm stand, farmers market, or food bank.

(c) "Tax, fee, or other assessment" includes, but is not limited to, a sales tax, gross receipts tax, commercial activity tax value-added tax, excise tax, privilege tax, and any other similar tax on the sale of groceries.

(d) "Alcoholic beverage" means any liquid or solid containing more than one-half of one percent alcohol by volume and capable of being consumed by a human being.

(e) "Marijuana product" means a product made from any part of the plant Cannabis family Cannabaceae or the seeds of the plant Cannabis family Cannabaceae

(f) "Tobacco products" means cigars, cigarettes, cheroots, stogies, periques, granulated, plug cut, crimp cut, ready rubbed, and other smoking tobacco, snuff, snuff flour, moist snuff, cavendish, plug and twist tobacco, fine-cut and other chewing tobaccos, shorts, refuse scraps, clippings, cuttings and sweepings of tobacco, and other kinds and forms of tobacco prepared in such manner as to be suitable for chewing or smoking in a pipe or otherwise, or both for chewing and smoking.

IMPLEMENTATION

(4) The prohibition on the imposition and collection of a tax fee, or other assessment, including but not limited to a corporate minimum tax, on the sale or distribution of groceries by subsection (1) of this section applies only to state and local enactments relating to taxes, fees, or other assessments adopted, approved, or enacted on or after October 1, 2017.

(5) It is the intent of the people that all parts of this amendment are independent and that if any part of this amendment is held unconstitutional all remaining parts shall remain in force.

Readability score

See also: Ballot measure readability scores, 2018

Using the Flesch-Kincaid Grade Level (FKGL and Flesch Reading Ease (FRE) formulas, Ballotpedia scored the readability of the ballot title and summary for this measure. Readability scores are designed to indicate the reading difficulty of text. The Flesch-Kincaid formulas account for the number of words, syllables, and sentences in a text; they do not account for the difficulty of the ideas in the text. The attorney general wrote the ballot language for this measure. The FKGL for the ballot title is grade level 12, and the FRE is 23. The word count for the ballot title is 73, and the estimated reading time is 19 seconds. The FKGL for the ballot summary is grade level 11, and the FRE is 26. The word count for the ballot summary is 123, and the estimated reading time is 32 seconds. In 2018, for the 167 statewide measures on the ballot, the average ballot title or question was written at a level appropriate for those with between 19 and 20 years of U.S. formal education (graduate school-level of education), according to the FKGL formula. Read Ballotpedia's entire 2018 ballot language readability report here.

Support

Vote Yes on Measure 103; Keep Our Groceries Tax Free led the campaign in support of this initiative.

Supporters

• The Northwest Grocery Association
• Oregon state representative and gubernatorial candidate Knute Buehler (R)

Arguments

• On their website, the support campaign argued, "A tax on groceries is unfair and regressive and hits those who can least afford it, like seniors, low-income households and military families. We need to permanently protect groceries from being taxed."

• A spokesperson for Knute Buehler said "State government is already collecting record tax revenues from Oregonians. Taxing groceries will hit lower- and middle-income families and people on fixed incomes especially hard."

• Joe Gilliam, president of the Northwest Grocery Association, said, "Since statehood, Oregon has never taxed groceries, yet politicians in Oregon continue to push for a tax on grocery sales. This initiative will end these efforts and other future efforts by proactively prohibiting the taxing of groceries from farm-to-fork."

Opposition

No on 103 led the campaign in opposition to the measure.

Opponents

Following is a list of organizations, individuals, and businesses listed as members of the No on 103 coalition:

Organizations 350PDX AARP Oregon AFL-CIO AFSCME State Council 75 American Association of University Professors American Association of University Women of Oregon American Cancer Society, Cancer Action Network American Diabetes Association American Federation of Teachers – Oregon American Heart Association Asian Pacific American Network of Oregon (APANO) Association of Oregon Faculties Basic Rights Oregon Beyond Toxics Bus Project Campaign for Oregon’s Seniors & People with Disabilities Cascade AIDS Cascadia Wildlands Causa Children First for Oregon Climate Solutions Coalition of Communities of Color Commission of Children, Families and Community Community Alliance of Tenants Democratic Party of Oregon Defend Oregon Elders in Action Environment Oregon Fair Shot Family Forward Familias en Acción Farmers Market Fund Forward Together Friends of Family Farmers Hacienda CDC Healthcare for All Oregon Health Care Coalition of Southern Oregon Housing Oregon Human Services Coalition of Oregon Indivisible Bend Jewish Federation of Greater Portland Jewish Community Relations Council Jewish Federation of Lane County League of Women Voters – Oregon Main Street Alliance NAACP Portland NARAL Pro-Choice Oregon National Association of Social Workers Oregon National Organization for Women – Oregon NW Abortion Access Fund OPAL Environmental Justice Oregon Oregon Center for Public Policy Oregon Coalition of Christian Voices Oregon Education Association Oregon Environmental Council Oregon Fair Trade Campaign Oregon LGBT Foster Support Oregon Nurses Association Oregon Pediatric Society Oregon Physicians for Social Responsibility Oregon PTA Oregon Public Health Association Oregon Public Health Institute Oregon School Employees Association Oregon Wild OSPIRG Partners for a Hunger Free Oregon Pineros y Campesinos Unidos del Noroeste Planned Parenthood Advocates of Oregon Portland Jobs with Justice Portland Tenants United Right 2 Survive Rural Organizing Project SEIU Local 49 SEIU Local 503 Sierra Club, Oregon Chapter So Health-E Medford TANF Alliance Tax Fairness Oregon Unite Oregon United Christian Women Lane County Upstream Public Health Urban League of Portland Verde The Vocal Seniority Welcome Home Coalition Working Families Party Oregon businesses Adhesive Evaluation Systems, Inc., Corvallis Afternoon Zephyr Farm, Rogue River Alberta Street Market, Portland Antonio’s Farm, Rogue Valley Bamboo Garden, North Plains Banter Partners, Portland Bipartisan Cafe, Portland Blue Scorcher Bakery and Cafe, Astoria Bowery Bagels, Portland Cambium Strategy, Portland Cascade Record Pressing, Milwaukie Cloudability Inc., Portland Colors NW, Inc., Salem Columbia River Coffee Roasters, Astoria Cottonwood Winery of Oregon, Salem Drums and Dance by Alfredo, Eugene Dudley’s Bookshop Cafe, Bend Eb & Bean, Portland Everett Street Guesthouse, Portland Fields Farm, Bend Flowers in Flight, Portland Gaudino Consulting, LLC, Portland Gloria’s Secret Cafe, Beaverton Hawthorne Auto Clinic, Portland Herringbone Books, Redmond La Bouffe International Gourmet, Portland Leisure Public House, Portland Luz Social & Enviornmental Associates, Inc., Ashland Madrone Modern, Portland Mahonia Farms, Sisters Microcosm Publishing, Portland Nike Inc., Beaverton Ohana Salso Company, Bend Orange Splot LLC, Portland Organicos Bakery, Talent Por Que No?, Portland Prospect Bottle Shop, Portland Reter Fruit Co., Medford Ross Island Grocery Cafe, Portland Russel Development Company, Portland Sacred Sea Tuna, Coquille Siskiyou Alpaca, Cave Junction Springtail Farm, Damascus Starr Farms, Hillsboro Sublimity Snow and Skateboards, Beaverton Surround Inc., Portland Tamale Boy, Portland The Immortal Piano Company, Portland The Rogue Growlers, Ashland Trillium Natural Foods, Lincoln City What Evil Is This? Media, Salem Willamette Valley Enterprises, Inc., Salem Windy Acres Dairy, Prineville Elected officials and community leaders Oregon Governor Kate Brown (D) Bill Riggs, Retired Supreme Court Justice Vernon Groves, Retired Pastor Lisa Jean Hoefner, Retired clergy member, United Methodist Church Deb Kolodney, Rabbi Karen Nettler, Board chair, Oregon Coalition of Christian Voices Barbara Campbell, Pastor, St. Mark Presbyterian Church Forster Freeman, Retired clergyman, Presbyterian and United Church of Christ Clergy Duane Fickeisen, Minister Emeritus, Unitarian Universalist Martin Hart-Landsberg, Professor of Economics Emeritus, Lewis and Clark College Mary King, Professor of Economics Emerita, Portland State University Matt Keating, Board Member, Lane Community College Phil Barnhart, State Representative Deborah Kafoury, Multnomah County Chair Greg Malinowski, Washington County Commissioner Sharon Meieran, Multnomah County Commissioner Dick Schouten, Washington County Commissioner Pete Sorenson, Lane County Commissioner Jessica Vega Pederson, Multnomah County Commissioner Joe Buck, Lake Oswego City Councilor Barbara Campbell, Bend City Councilor Mark Gamba, Mayor of Milwaukie Sean Garland, Sherwood City Councilor Stephen Jensen, Ashland City Councilor Tim Knapp, Mayor of Wilsonville Theresa Kohlhoff, Lake Oswego City Councilor David McCall, Bay City City Councilor Ron Preisler, Florence City Councilor Rich Rosenthal, Ashland City Councilor Marc San Soucie, Beaverton City Councilor Brett Sherman, Happy Valley City Councilor Kevin Stine, Medford City Councilor Lucy Vinis, Mayor of Eugene

Arguments

• Defend Oregon stated, "Constitutional Amendment 103 is risky and unnecessary. Supporters claim it’s meant to keep groceries tax free, but there is no tax on groceries and no one is proposing one. The measure is retroactive and so misleading and poorly-written that it would have many unintended consequences that harm Oregon families."

• Our Oregon Communications Director Katherine Driessen said, "This is really an attempt by the grocers to codify their ability not to pay their fair share of taxes." Driessen also said, "We certainly plan to talk to voters about all of the many, many unintended consequences this measure would have. We think it’s very important that folks know that it’s incredibly misleading.”

Media editorials

See also: 2018 ballot measure media endorsements

Support

• The Bulletin said: "Grocery companies have spent more than $2 million to get enough signatures for Initiative Petition 37, according to The Oregonian. The proposal would block the Legislature from putting taxes or fees on sales of 'groceries.' Food is a necessity and taxes on food can be among the most regressive of taxes. People with lower incomes don’t have much room to cut spending on food. And if they do, what’s cheaper is not always healthier. Of course there are likely Oregon politicians who would like to shape food choices for Oregonians. They may want to tax soda or even anything with added sugar. Don’t let them. Taxes should be used to raise revenue, not to control the population. Sign the petition if you get a chance. And next up in Oregon should be a proposal for a ban on tax and fees on medicine."

If you are aware of any other supporting editorials, please send an email with a link to editor@ballotpedia.org.

Opposition

• The Pamplin Media Group said: "This initiative is a direct reaction to Measure 97, which would have imposed a gross receipts tax on large companies, including most major grocers. We agree with Measure 103's proponents that there should never, ever be a tax on basic needs such as groceries (or medicine). Oregon doesn't have such a tax now, and it's hard to envision it ever would. But embedding tax policy in the state constitution is unnecessary and unwise. Conversely, the measure's definition of groceries doesn't include other basic needs, such as medicine, which leaves the opportunity for those items to be taxed by a 'Son of 97' type of measure. And that brings us to our final objection to Measure 103: It divides the business coalition that defeated Measure 97 and opens the door for public employee unions to come back in 2020 with a new measure that taxes everything but groceries."

• The Oregonian said: "Voters should steer clear of Measure 103 and its many unintended consequences and vote no. The initiative goes far beyond just food purchased at a local grocery store - it bars taxes on the sales, distribution or transfer of raw and processed food at all stages 'from farm to fork.' It's overly vague, leaving open to legal interpretation just how broadly a ban could apply. It would bar local communities from enacting a targeted food or beverage tax of their own, even if their community members enthusiastically support one."

• The Daily Tidings said: "The grocery industry wants to enact a permanent ban on any new taxes on groceries, including food and soda, and would freeze the state corporate minimum tax for supermarkets. Bad enough that a single industry should get special tax protection enshrined in the state Constitution, but this measure’s language is so confusing that it’s difficult to know what else it might do. For instance, the state Department of Justice says Measure 103 would ban new taxes on restaurant meals (Ashland’s meals tax would not be affected). The measure’s supporters insist new restaurant meals taxes still would be allowed. That confusion is reason enough to keep it out of the state Constitution. We recommend a no vote."

• The Herald and News wrote, "We say 'No.' Anytime you push through a law for a special interest group, no matter how well intentioned, it has consequences no one thought of. Excluding an industry from taxes, while others must pay up, does not pass muster with us."

Additional editorial endorsements

In addition to the above editorial endorsements, the following news editorial boards oppose Measure 103:

• Willamette Week
• Mail Tribune
• The Register-Guard
• Street Roots News
• East Oregonian
• Corvallis Gazette-Times
• Albany Democrat-Herald

Campaign finance

See also: Campaign finance requirements for Oregon ballot measures

Total campaign contributions:
Support:	$8,176,515.66
Opposition:	$11,390,008.73

The following two committees were registered to support Measure 103:

• Yes! Keep Our Groceries Tax Free!
• Parent's Education Association PAC

Together, they had raised $8.18 million and had spent $8.43 million.

The following three committees were registered to oppose Measure 103:

• Defend Oregon
• Vote No on 103
• Team Oregon

Together, they had raised $11.39 million and had spent $10.98 million.

As of November 2018, fifteen (15) committees were registered to support and/or oppose the five (5) statewide measures on Oregon's November 2018 ballot. Many committees were simultaneously registered to support and oppose multiple measures, therefore it is impossible to distinguish between funds spent on a particular measure. Further, many committees gave contributions to other committees. A full list of the committees and their positions can be found here.

Support

Committees in support of Measure 103 Supporting committees Cash contributions In-kind services Cash expenditures Yes! Keep Our Groceries Tax Free $7,673,675.94 $482,352.02 $7,922,962.07 Parent's Education Association PAC $20,487.70 $0.00 $28,495.69 Total $7,694,163.64 $482,352.02 $7,951,457.76

Totals in support Total raised: $8,176,515.66 Total spent: $8,433,809.78

Top donors

The top five donors to the support campaign are listed below:

Donor	Cash	In-kind	Total
American Beverage Association	$2,800,000.00	$436,063.00	$3,236,063.00
Albertsons Safeway	$1,440,917.00	$15,000.00	$1,455,917.00
Kroger	$1,240,917.00	$0.00	$1,240,917.00
Costco	$885,001.00	$0.00	$885,001.00
Northwest Grocery Association	$265,000.00	$8,058.44	$273,058.44

Opposition

Committees in opposition to Measure 103 Opposing committees Cash contributions In-kind services Cash expenditures Vote No on 103 $1,295,009.46 $170,143.23 $1,295,494.46 Defend Oregon $7,229,181.64 $645,035.78 $7,288,542.40 Team Oregon $1,190,835.16 $859,803.46 $716,356.19 Total $9,715,026.26 $1,674,982.47 $9,300,393.05

Totals in opposition Total raised: $11,390,008.73 Total spent: $10,975,375.52

Top donors

Top donors listed here are the top donors for the committee that was exclusively opposing Measure 103: Vote No on 103. Top donors to the other committees are not included in the chart below because they were registered with a position on multiple measures on the ballot, making it impossible to determine on which measure the committee's funds were used.

Donor	Cash	In-kind	Total
Michael Bloomberg	$2,100,000.00	$0.00	$2,100,000.00
Oregon Education Association	$650,000.00	$1,200.00	$651,200.00
Action Now Initiative	$500,000.00	$0.00	$500,000.00
Common Good Fund	$0.00	$42,100.00	$42,100.00

Methodology

To read Ballotpedia's methodology for covering ballot measure campaign finance information, click here.

Polls

See also: Ballotpedia's approach to covering polls and 2018 ballot measure polls

Below are results of polls that asked respondents how they would vote on Measure 103. Also displayed are the dates the poll was conducted, the number of respondents, and the poll's margin of error.

Oregon Measure 103
Poll	Yes- support	No- oppose	Undecided	Margin of error	Sample size
DHM Research Poll 10/4/18 - 10/11/18	33.0%	47.0%	20.0%	+/-4.4	500
Riley Research Associates Poll 9/24/18 - 10/7/18	40.0%	38.0%	21.0%	+/-5.2	356
AVERAGES	36.5%	42.5%	20.5%	+/-4.8	428
Note: The polls above may not reflect all polls that have been conducted in this race. Those displayed are a random sampling chosen by Ballotpedia staff. If you would like to nominate another poll for inclusion in the table, send an email to editor@ballotpedia.org.

Background

Taxes on groceries in Oregon

As of 2018, Oregon had no statewide sales tax and no law preventing local governments from establishing a sales tax. Two cities in Oregon do have a tax on prepared foods and non-alcoholic drinks, which fall under the definition of groceries in Measure 103 according to the attorney general. Ashland and Yachats charge a sales tax of five percent on prepared food and non-alcoholic drinks. The tax was approved by voters in Ashland and established in 1990. Of the five percent tax, four percent is used to help fund costs associated with the construction of a wastewater treatment plant, and one percent is used to purchase land for parks. The tax was renewed and extended by Ashland voters in 2009 and is set to expire on December 31, 2030.

Sales taxes on groceries and treatment of candy and soda

The following map shows how each state taxed groceries and how states assessed taxes on candy and soda as of October 2018. States that exempted groceries from taxes show a sales tax rate of 0.0 percent and are colored in light green on the map. Whether candy and/or soda were treated as groceries differs by state. For example, in California and Pennsylvania, candy was treated as a grocery item and was also tax-exempt, while soda was not treated as a grocery item and was, therefore, subject to the state sales tax. In Alabama, Hawaii, Idaho, Mississippi, Oklahoma, South Dakota, groceries were subject to the general state sales tax rate. In Arkansas, Illinois, Missouri, Tennessee, Utah, and Virginia, groceries were taxed, but at a lower rate than the general state sales tax rate. In Alaska, Delaware, Montana, New Hampshire, and Oregon, there was no state sales tax and, therefore, groceries were not subject to a state sales tax.

Local Oregon ballot measure

Yes! Keep St. Helens Groceries Tax Free was behind a local measure in St. Helens, Oregon, Measure 5-266, which was approved on May 15, 2018. It amended the city charter to prohibit taxes on groceries and retroactively prohibit the imposition or collection of taxes since September 1, 2017. The measure was approved by a vote of 2,446 (89.11 percent) to 299 (10.98 percent).

Tax preemption measures in 2018

• The Washington Taxes on Groceries Initiative (#1634), filed by Heidi Schultz, was on the ballot in Washington as an Initiative to the People, a type of initiated state statute, on November 6, 2018. This measure was designed to prohibit local government entities from imposing any new tax, fee, or other assessment on grocery items. It was not designed to prevent the state from imposing taxes on groceries. Grocery items are defined in this measure as "any raw or processed food or beverage, or any ingredient thereof, intended for human consumption." The measure would prohibit any existing taxes, fees, or assessments from being increased after January 15, 2018. Yes! To Affordable Groceries is leading the campaign in support of this initiative. Yes! To Affordable Groceries is sponsored by the American Beverage Association and is supported by the Washington Farm Bureau, the Washington Food and Beverage Association, the Korean-American Grocer's Association of Washington, and the Joint Council of Teamsters No. 28.

• The Washington State and Local Taxes on Groceries Initiative (#1635), filed by Tim Eyman, did not qualify for a place on the ballot in Washington as an Initiative to the People, a type of initiated state statute, on November 6, 2018. This measure would have exempted groceries including food, bottled water, carbonated beverages, soft drinks and their ingredients from sales and use taxes. The measure would have prohibited both state and local governments from imposing a sales and use tax on groceries.

• The California Two-Thirds Vote for State and Local Revenue Increases Initiative qualified for the ballot but was withdrawn by proponents who, instead, agreed to a compromise bill with legislators to keep the initiative off the ballot. The initiative would have required a two-thirds vote of the electorate on all local taxes, including soda taxes. Supporters of the ballot initiative raised $8.25 million as of June 2018. More than $7 million was from the American Beverage Association California PAC. Since January 1, 2017, the American Beverage Association California PAC had received contributions over $10,000 from five sources—The Coca-Cola Company ($3,050,827), PepsiCo Inc. ($2,303,851), Dr. Pepper Snapple Group, Inc./Mott’s LLP ($964,516), Red Bull North America ($89,206), and the national American Beverage Association ($24,679).

Ballot measures to cap, limit, or restrict taxes in 2018

See also: Taxes on the ballot

In 2018, voters in six states considered ballot measures to cap, limit, or restrict types of taxes. In Oregon and Washington, voters decided ballot initiatives to prohibit governments from enacting taxes on groceries. Oregan voters rejected the grocery tax ban. In Washington, the measure was ahead by 5 percentage points with 64 percent of precincts reporting.

In Arizona, an initiative to prohibit new taxes or increased tax rates on services was approved. Voters in California defeated an initiated measure to require voter approval for the state legislature to impose, increase, or extend fuel taxes or vehicle fees in the future. It would have also repealed a gas tax increase passed in 2017.

Legislatures in Florida and North Carolina referred constitutional amendments capping taxes to the ballot and both were approved. Voters in Florida and Oregon also considered ballot measures to require supermajorities of the state legislature to increase taxes. In Florida, the measure was approved, and, in Oregon, it was defeated.

An additional initiative qualified for the ballot in California but was withdrawn after proponents agreed to a compromise bill with legislators to keep the initiative off the ballot. The initiative would have required a two-thirds vote of the electorate on all local taxes, including soda taxes. The compromise legislation prohibited local soda taxes until 2031.

Measure	Origin	Description	Status
Arizona Proposition 126	Initiative	Prohibits the state and local governments from enacting new taxes or increasing tax rates on services	a
California Proposition 6	Initiative	Requires voter approval for the state legislature to impose, increase, or extend fuel taxes or vehicle fees in the future	d
Florida Amendment 2	Legislature	Makes permanent the cap of 10 percent on annual nonhomestead parcel assessment increases set to expire	a
Florida Amendment 5	Legislature	Requires a two-thirds vote of each chamber of the state legislature to enact new taxes or fees or increase existing ones	a
North Carolina Amendment	Legislature	Lowers the maximum allowable state income tax rate from 10 percent to 7 percent	a
Oregon Measure 103	Initiative	Prohibits state and local governments from enacting taxes on groceries	d
Oregon Measure 104	Initiative	Requires a three-fifths vote of each chamber of the state legislature to increase revenue, such as via increasing taxes and decreasing tax exemptions	d
Washington Initiative 1634	Initiative	Prohibits local governments from enacting taxes on groceries	a

Path to the ballot

See also: Laws governing the initiative process in Oregon

The state process

In Oregon, the number of signatures required to qualify an initiated constitutional amendment for the ballot is equal to 8 percent of the votes cast for governor in the most recent gubernatorial election. Signatures for Oregon initiatives must be submitted four months prior to the next regular general election. State law also requires paid signature gatherers to submit any signatures they gather every month.

Moreover, Oregon is one of several states that require a certain number of signatures to accompany an initiative petition application. The signatures of at least 1,000 electors are required to trigger a review by state officials, a period of public commentary, and the drafting of a ballot title. Prior to gathering these initial 1,000 signatures, petitioners must submit the text of the measure, a form disclosing their planned use of paid circulators, and a form designating up to three chief petitioners.

The requirements to get an initiated constitutional amendment certified for the 2018 ballot:

• Signatures: 117,578 valid signatures were required.
• Deadline: The deadline to submit signatures was July 6, 2018.

In Oregon, signatures are verified using a random sample method. If a first round of signatures is submitted at least 165 days before an election and contains raw, unverified signatures at least equal to the minimum requirement, but verification shows that not enough of the submitted signatures are valid, additional signatures can be submitted prior to the final deadline.

Details about the initiative

Ron Brake and Syd Hannigan filed the proposal with the secretary of state's office on October 19, 2017. Oregon requires that 1,000 signatures be submitted before a ballot title is drafted. Brake and Hannigan filed similar versions of this measure, Initiative #30 and #35. Those measures were withdrawn and refiled as the current measure, Initiative #37. The only differences between the versions were technical changes that do not impact what the measure is designed to do if approved. Petitioners appealed to the Oregon Supreme Court, asking the court to change the ballot title and summary provided by the attorney general. The supreme court ruled on March 2, 2018, to uphold the attorney general's certified ballot title and summary. On March 7, 2018, Initiative #37 was cleared for circulation.

Petitioners were required to collect 117,578 valid signatures to get their initiative on the ballot. Signatures for initiatives needed to be submitted four months prior to the election on November 6, 2018, which was July 6, 2018.

On May 23, 2018, proponents reported submitting around 180,000 signatures to the secretary of state's office.

On June 18, 2018, the Oregon Secretary of State announced that proponents had submitted over 121,000 valid signatures, certifying the measure for the ballot.

Cost of signature collection:
Sponsors of the measure hired Morning in America and Ballot Access LLC to collect signatures for the petition to qualify this measure for the ballot. A total of $1,403,992.14 was spent to collect the 117,578 valid signatures required to put this measure before voters, resulting in a total cost per required signature (CPRS) of $11.94.

Compromise deal

On July 5, 2018, Oregon Public Broadcasting reported that Oregon Governor Kate Brown reached a deal with the proponents of the Corporate Tax Disclosures Initiative, Initiative #25, which would have required publicly-traded corporations to file statements with the secretary of state on their state tax filings and other financial information. The measure was sponsored by top officials of two major public employee unions, the Oregon chapter of the American Federation of State, County, and Municipal Employees (AFSCME) and Local 503 of Service Employees International Union (SEIU).

Under the deal, proponents agreed to not submit the signatures they had gathered for the initiative and would instead use their funds to defeat two other initiatives: (a) Measure 103, which would ban taxes on groceries, and (b) Measure 104, which would apply a three-fifths supermajority vote requirement to any legislation that increases revenue through changes in tax exemptions, credits, and deductions.

Oregon Public Broadcasting reported, "Nike, the state’s largest home-grown business, appeared to play a major role in the negotiations. According to sources, the company had told the governor that the corporate transparency measure would put them at a disadvantage with rivals from other states and would hurt efforts for moderate elements of the business community to work with labor... On July 3, 2018, Nike donated $100,000 to a new political action committee called the Common Good Fund, controlled by senior Nike employee Julia Brim-Edwards."

Later in July 2018, a complaint was filed with the Oregon Secretary of State's office alleging that "The unions agreed to withdraw an initiative … in exchange for Nike donating $100,000 to a PAC — the Common Good Fund — that will campaign against [Measures 103 and 104]".

The Oregon Department of Justice reviewed the complaint and determined that a criminal investigation was not warranted in the matter.

How to cast a vote

See also: Voting in Oregon

Poll times

Oregon is an all-mail voting state. Each county provides privacy booths that voters can use to mark their ballot. County clerks' offices are open from 7:00 a.m. to 8:00 p.m. local time on Election Day. Oregon is divided between the Mountain and Pacific time zones.

Registration requirements

Check your voter registration status here.

To register to vote in Oregon, one must be a resident of Oregon, a United States citizen, and at least 16 years old. Voters must be at least 18 years old by the day of the election in order to receive a ballot. Potential voters can register online or by mailing in a voter registration form to your county election office. The deadline to register is 21 days before the election.

Automatic registration

Oregon implemented automatic voter registration in 2016. For more information, click here.

Online registration

See also: Online voter registration

Oregon has implemented an online voter registration system. Residents can register to vote by visiting this website.

Same-day registration

Oregon does not allow same-day voter registration.

Residency requirements

To register to vote in Oregon, you must be a resident of the state.

Verification of citizenship

See also: Laws permitting noncitizens to vote in the United States

Oregon does not require proof of citizenship for voter registration. An individual must attest that they are a U.S. citizen when registering to vote. According to the state's voter registration application, a voter who knowingly falsely registers "can be fined up to $125,000 and/or imprisoned for up to 5 years."

All 49 states with voter registration systems require applicants to declare that they are U.S. citizens in order to register to vote in state and federal elections, under penalty of perjury or other punishment. Seven states — Alabama, Arizona, Georgia, Kansas, Louisiana, New Hampshire, and Wyoming — have laws requiring verification of citizenship at the time of voter registration, whether in effect or not. In three states — California, Maryland, and Vermont — at least one local jurisdiction allows noncitizens to vote in some local elections. Noncitizens registering to vote in those elections must complete a voter registration application provided by the local jurisdiction and are not eligible to register as state or federal voters.

Verifying your registration

The Oregon Secretary of State’s Office allows residents to check their voter registration status online by visiting this website.

Voter ID requirements

Oregon is an all-mail voting state. When registering to vote, voters must provide their driver's license number or state ID card number. If voters can not provide this information, they can print and sign a online voter registration form and mail it to their county election office to complete their registration.

See also

2018 measures

• 2018 ballot measures
• Taxes on the ballot

Oregon

• Oregon ballot measures
• Oregon ballot measure laws

News and analysis

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

External links

• Initiative 37

Support

• Vote Yes on Measure 103 campaign website
• Vote Yes on Measure 103 Facebook
• Vote Yes on Measure 103 Twitter
• Vote Yes on Measure 103 YouTube

Opposition

• No on 103 campaign website
• No on 103 Facebook
• No on 103 Twitter
• Defend Oregon campaign website
• Defend Oregon Facebook
• Defend Oregon Twitter