During the last special legislative session there was continuous and strong criticism by the news media of the Oregon Legislature and its inability to resolve the budget issue. Most of us are very aware of the economic conditions that exist in our fine state. Even after five special sessions we can not say that we have turned the economic corner and see a quick recovery.

In my opinion it is time for some criticism of the news media for concentrating on the negative aspects of the session (all of which are just basic politics) and ignoring a very important bill the Legislature did pass that can have long term positive effects on our economy.

Until this special session it seems the Legislature has paid attention only to cutting expenses and increasing revenue. That is a natural and necessary reaction according to the Constitution, but only a short-term fix.

The Legislature did, in this fifth special session, take one step toward the long-term problem of changing the economic landscape so that small business can grow in the future instead of being killed by an additional tax.

With bipartisan support, both the House of Representatives and the Senate passed HB 4077 eliminating the Oregon Death Tax.

There is probably no tax that is a more cruel tax and no tax that violates the basic principle of taxation more than the Death Tax. While we may holler about paying them, at lest all other taxes make some sense. For example, property taxes for property related services are correct because there is a relationship between the tax paid and the service received. A tax based on ability to pay; i.e. an income tax for social services is fair because there is a relationship between the health of the society I enjoy and my level of prosperity.

There is, however, NO relationship between the amount of Death Tax a person pays and any service received. You receive NO corresponding service and you have no money to pay the tax. This is particularly true of farmers and ranchers, small business owners and many individuals. Your only assets are in the land and capital improvements passed onto you by your now deceased relative. Liquidation of a portion of the assets to pay the tax makes a business uneconomic and borrowing against the assets to pay the tax makes the financial overhead unbearable.

Contrary to speeches and statements claiming that elimination of the Death Tax only benefits the rich; the rich don’t pay the tax now. Unlike the common person, the rich can afford the accountants and lawyers necessary to create ways to avoid the Death Tax.

For the good of Oregon this is one bill the Governor should sign, not veto.