HB 3940
Imposes a tax on the distribution of oral nicotine products.
Take action
Record your position on this measure.
Sign in to record your position, submit testimony, or contact your legislator.
Sign in to take actionPublic sentiment
Support
11%
Oppose
89%
- Introduced
- Passed House
- Passed Senate
- To Governor
- Became Law
Bill overview
This bill imposes a five-cent surcharge on the sale of beverage containers in Oregon to generate revenue for wildfire prevention and response. It also directs insurance retaliatory tax revenue and a portion of the Oregon Rainy Day Fund towards wildfire efforts. The bill makes changes to forest product tax laws, including adjusting the rate based on Consumer Price Index inflation, and establishes a new fund for wildfire suppression costs. It also includes provisions for zoning and rural fire protection districts.
Key provisions
- A five-cent surcharge will be added to the sale of beverage containers.
- Insurance retaliatory tax revenue will be directed to wildfire prevention and response.
- A portion of the Oregon Rainy Day Fund will be transferred to a wildfire prevention and response fund.
- The forest product harvest tax will be adjusted annually based on inflation.
- A new fund will be created to cover wildfire suppression costs.
- Changes are made to the assessment rates for rural fire protection districts.
- The State Forestry Department will receive additional funding to repay loans for wildfire suppression.
- The Legislative Assembly must make funds available to the State Forestry Department and the Department of the State Fire Marshal to repay loans from the State Treasurer for wildfire suppression costs.
Who is affected
- Consumers of beverage containers
- Retailers of beverage containers
- Insurance companies
- Oregon residents
Sponsors
Official sponsors from legislative records.
Primary sponsors
Arguments in favor
Reasons to support this legislation.
Supporters of House Bill 3940 argue that the bill provides stable, long-term funding for Oregon's wildfire prevention and suppression systems, addressing the growing issue of wildfires in the state. They also emphasize the need for reform in the current wildfire funding system, which disproportionately burdens landowners with high costs. Additionally, supporters highlight the unique challenges faced by rural fire protection districts due to outdated rules restricting them from collecting taxes on properties classified as forestland, leading to a funding gap and reduced services. Furthermore, proponents believe that revising these rules would ensure fair funding for RFPDs, allowing them to provide critical services without relying on unpredictable sources of funding, ultimately keeping communities safe.
Source: Testimony Summaries
Arguments opposed
Reasons to oppose this legislation.
Opponents of House Bill 3940 express concerns about the proposed 5-cent tax on beverage containers, citing its potential to disproportionately affect consumers and local businesses. They argue that this tax is an unfair "hidden sales tax" on everyday essentials, particularly working families and Oregon breweries, which could exacerbate existing economic challenges. Many that alternative funding sources, such as finding inefficiencies in government spending or implementing more efficient forest management practices, would be more effective and sustainable solutions to address wildfire prevention. Some also argue that the proposed measure undermines the successful Bottle Bill system, which ensures consumers receive a full refund on deposits, and could lead to increased costs for food and other essentials. Overall, opponents emphasize the need for fiscal responsibility and caution against introducing new taxes without ensuring they are necessary and effective in addressing wildfires.