If you have ever wondered why Oregon's schools, programs for seniors, state police, and the Oregon Health Plan don't have enough money, just read line 30 on Oregon's corporate tax return form for tax year 2005.
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In May 2005, the Legislature thought it was going to cost Oregon just $62.6 million. By September 2005, when the "close of session" forecast was released, the cost had risen to $101 million. That's the amount that actual corporate tax revenues exceeded the projection for last biennium. As of the March 2006 forecast, line 30 is now estimated to cost $133.5 million. That is 113 percent more than the Legislature thought it was going to cost when they chose to do nothing and allowed the kicker to kick.
Imagine the outcry if an agency or a budgeted state program was costing 113% more than the Legislature thought!
When corporate Oregon takes more than double what the Legislature thought they were giving away, the Legislature does nothing to stop it.
The corporate kicker. One reason we're Stuck in Doonesbury.