HB 4027
Amends the Workers' Benefit Fund assessment statute to direct the Department of Consumer and Business Services to set an additional assessment rate in order to deposit in a new BOLI Expenses Fund at least the greater of a minimum dollar amount or 12 months of projected expenses to fund the duties of the Commissioner of the Bureau of Labor and Industries, subject to a cap on the costs of new positions, to reimburse certain related expenses of the Director of the Department of Consumer and Business Services and to create and maintain a 12-month reserve in the new fund.
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Sign in to take actionPublic sentiment
Support
65%
Oppose
35%
- Introduced
- Passed House
- Passed Senate
- To Governor
- Became Law
Bill overview
This bill directs the Oregon Department of Consumer and Business Services to establish a new funding source, the BOLI Expenses Fund, to support the Bureau of Labor and Industries (BOLI). The fund will be financed through an additional assessment rate and will hold at least 12 months of projected expenses, with a cap on new positions. It also creates a 12-month reserve within the fund and prohibits using funds from the Workers' Benefit Fund to cover the new assessment amounts. Additionally, the bill requires BOLI to report on whether the assessment fees are sufficient to cover staffing needs.
Sponsors
Official sponsors from legislative records.
Primary sponsors
Arguments in favor
Reasons to support this legislation.
Supporters of HB 4027-1 generally agree that establishing a permanent funding structure for the Bureau of Labor and Industries (BOLI) is crucial for maintaining its ability to enforce labor protections, protect workers' rights, and address historic backlogs. A stable source of revenue, expected to generate $19 million annually, will enable BOLI to sustain its current staff levels and reduce wage and hour backlogs. Advocates emphasize the importance of timely enforcement of employment laws, particularly for vulnerable communities, and highlight the need for a well-resourced agency to ensure an equal playing field and prevent wage theft and other violations. By providing sustainable funding, HB 4027-1 aims to strengthen prevailing wage enforcement, apprenticeship standards, and reduce case backlogs, ultimately maintaining a fair and equitable labor market in Oregon.
Source: Testimony Summaries
Arguments opposed
Reasons to oppose this legislation.
Opponents of HB 4027 express concerns about the proposed legislation's potential economic impact on Oregon businesses and residents. They argue that increasing taxes on employers and employees, as well as diverting taxpayer dollars to fund the Bureau of Labor and Industries, will lead to rising business closures, job losses, and a loss of economic activity in the state. Many testifiers also cite Governor Kotek's policies and high tax rates as contributing factors to businesses leaving Oregon, with some arguing that the bill's amendment adds an unfair burden on employees and employers who have already signed a referendum rejecting new taxes. Furthermore, opponents express concerns about the process, specifically that revenue-raising bills should originate in the House of Representatives and receive a three-fifths majority for passage, rather than being passed through a more contentious route.
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