SALEM- Rep. Vicki Berger, R-Salem, Rep. Kevin Cameron, R-Salem, and Sen. Jackie Winters, R-Salem, answer a question about how measure 66 and 67 will affect Oregon’s tax base.

embedded by Embedded Video

YouTube Direkthttp://www.youtube.com/watch?v=QynF10iz5_o

BY SARAH ROSS

PORTLAND- With the passage of tax Measures 66 and 67 on Tuesday, a concern for business migration and job loss has begun brewing.

One study headed by Oregon Politico’s parent organization, Cascade Policy Institute, found that with the passage of both measures, 8,000 additional taxpayers per year are expected to migrate out-of-state due to increases in the state’s marginal tax rates.

Steve Buckstein, Senior Policy Analyst at Cascade, says, “It will clearly influence business migration. Many of them have already left Oregon for more tax-friendly states like the state of Washington, and this will only make it worse.”

Ryan Deckert, President of the Oregon Business Association, presents Washington’s proximity as a particular challenge for Oregon. With Oregon now having the highest capital gains tax in the nation, and Washington having no capital gains tax, businesses may be drawn more to Oregon’s neighbor to the north.

“I think in Washington, especially the border towns like Vancouver, we’re going to see positive repercussions from it,” says Kris Greene, Director of Government Affairs for the East Vancouver Business Association. “I think people will do business over here. I think companies will relocate here a little more easily or will be motivated to move here because of taxation. ”

Yet, not all say the tax increases will bring devastation to the state’s job market.

“What I’m hopeful of is that our policymakers…are as concerned about job loss and migration as we are. And I think they are,” stated Deckert. “The legislature meets Monday, [and] there are things that we can do to start getting back on a path that will draw jobs to our state and not push them out.”

Governor Ted Kulongoski said that even with the passage of the tax increases, Oregon and the entire country is in a slow growth recovery. “We must continue working together if we want to position Oregon for economic success in the long term.”

A representative from Yes for Oregon was unavailable for question but that input will be in updated version of the article.