BY SARAH ROSS

SALEM- Oregon’s Employment Department announced on Tuesday that the state’s unemployment rate for July landed at 10.6 percent, leaving the rate essentially unchanged for the past nine months.

It has remained between 10.5 and 10.7 during that time, including June, where it was at 10.5 percent.

In July 2009, the rate was just under 1 percent higher (11.4 percent) than it is in 2010.

Nationally, the jobless rate stayed at 9.5 percent last month, the same as June.

Three of the industries facing the biggest job declines included government which lost 5,200 jobs, educational and health services which lost 2,600 jobs, and financial activities which lost 900 jobs.

Sectors that gained employment included construction at 3,500 jobs, professional and business at 700 jobs, and manufacturing at 500 jobs.

These gains and losses were all seasonally adjusted to make room for regular fluctuations in summer employment.

BY SARAH ROSS

Congressman Kurt Schrader

CLACKAMAS-Shortly following Thursday’s North Clackamas Chamber of Commerce “Eggs ‘n Issues” event, Republican Scott Bruun sent a release criticizing rival candidate Congressman Kurt Schrader, D- Oregon City, on his defense of what Bruun’s campaign called “failed Democrat policies.”

During the event, Schrader commented that the federal stimulus legislation he helped to pass has been successful.

“We’re no longer losing 700,000 jobs a month. Private payroll is up, even in Oregon,” said Schrader to the crowd. “We’re slowly but surely starting to see a recovery.”

Bruun’s campaign was not so positive on the effects of the federal stimulus program.

“If Kurt Schrader is proud of what he’s done during his time in the House, he needs to stop making up statistics and explain to Oregonians why their children will be stuck with the debt Schrader is handing them, with jobs nowhere in sight,” said Alee Lockman, spokesperson for the Bruun campaign.

During his talk to the Chamber, Schrader insisted that with the legislation, the country was able to avert the “second Great Depression.” However, he also said the country has a long way to go, calling the current state of the economy a “jobless recovery.”

BY SARAH ROSS

PORTLAND- Local labor, environmental, and business leaders have announced their support for the latest Columbia River Crossing proposal adopted by the Project Sponsors Council on Monday.

The announcement came from leaders of the Oregon Business Association, the Oregon AFL-CIO, and Jon Issacs of the Oregon League of Conservation Voters.

The recommendations, approved by the Project Sponsors Council on Monday, include making the bridge 10 lanes and having a separate bridge to access Hayden Island from North Portland.

In Monday’s press release, Issacs called the recommendations “a vision for a 21^st century bridge which will meet the needs of the economy and provide new transportation options at the lowest cost to taxpayers.”

President of the Oregon Business Alliance Ryan Deckert urged the need for a larger bridge because “the antiquated one that we have now is one of the one or two largest choke points in terms of congestion and moving commerce in the whole I-5 west coast system,” adding that a new bridge would help lessen that congestion “immeasurably.”

Joe Cortright, an economist for Impresa Consulting, told Oregon Politico he is concerned with the cost of the bridge, rather than with the infrastructure design itself.

“Spending $3.6 billion in light of our current budgetary situation and the nature of the traffic problems there, in my mind, isn’t warranted,” said Cortright.

Deckert was not as apprehensive about financing the project, since funds will come from the state and federal governments, as well as from tolling at the local level.

“I think we’re in the wonderful position of having some seniority in the right places in Congress to maybe deliver a project that we couldn’t have got done ten years ago,” said Deckert.

Cortright argued against the thought that a new bridge will bring a lot of jobs into Oregon, saying he doesn’t think there is any evidence supporting that point of view.

“There’s a widely subscribed to and repeated mythology about transportation generally, and freight transportation in particular, and its importance to metropolitan economies, and the Portland economy in particular, that’s in my view a relic of nineteenth-century thinking,” he said.

Deckert disagreed, saying construction jobs alone are estimated to number around 27,000.

“It’s roughly speaking the equivalent of a couple hundred OHSU trams and it represents a very significant commitment of resources,” said Cortright, remaining unconvinced. “And if it benefits any people at all, it benefits a very few number of people.”

Cortright classified the project as “deeply challenged” until there is a realistic financial plan, citing the most recent independent review which expresses similar financing concerns.

Before going to the Oregon and Washington governors for final approval, the co-chairs of the Project Sponsors Council will work to develop a report based on Monday’s agreement and recommendations.

BY SARAH ROSS

Republican gubernatorial candidate Chris Dudley

PORTLAND- A recent attack by the Chris Dudley campaign against rival candidate John Kitzhaber’s newest campaign ad brings into question how each candidate hopes to spur job growth in Oregon and their positions on reducing the capital gains tax.

The ad pictured John Kitzhaber saying that his number-one job as governor will be to create jobs.

“John Kitzhaber had his chance to sign legislation to help businesses create jobs and show Oregon is open for business, but instead he vetoed it,” said Dudley’s Communications Director, LeRoy Coleman.

This legislation to reduce Oregon’s capital gains tax passed the state legislature in 2001 before being vetoed by then Governor Kitzhaber.

In his veto letter to the legislature, Kitzhaber said, “This tax cut would primarily benefit Oregon’s higher income households without a demonstrated benefit to Oregon’s economy. At the same time it would further constrain a future legislature’s ability to address the demand for public services.”

He added that the legislation was coming at a time when the “existing tax system may soon be tested by a recession.”

Dudley’s campaign, however, has argued that this legislation would have encouraged businesses to come to Oregon and that reducing the state’s capital gains tax is part of Dudley’s Jobs First Plan.

Democratic gubernatorial candidate John Kitzhaber and former Sec. of State Bill Bradbury

“Oregon’s failing economy of today is a direct result of John Kitzhaber’s failure to prepare Oregon for our economic future when he had the chance – and the responsibility,” said Coleman.

In an e-mail to the Oregon Politico, Jillian Schoene, spokeswoman for the Kitzhaber campaign, said that Kitzhaber “is open to adjustments in capital gains taxes if tied to job creation.”

“John Kitzhaber is the only candidate with experience creating jobs and working with the private sector to grow Oregon’s economy,” said Schoene. “During his time as Governor, compensation of employees rose by 49%, Oregon GDP rose by 48% and 128,000 new jobs were created.”

The Dudley campaign was quick to point out the problems during Kitzhaber’s time as governor, saying “unemployment rose 65% and was above the national average for 80 consecutive months, Oregon ranked 40^th in job growth, and per capita incomes have been falling since 1997.”

“John Kitzhaber had his chance to lead and he failed,” said Coleman.

BY SARAH ROSS

Image via johnkitzhaber.com

PORTLAND- In a move expected by most local political experts, the Service Employee International Union made public their endorsement of former Democratic Governor John Kitzhaber on Thursday.

SEIU represents over 50,000 employees, primarily in state and local government but also in some private sector industries like nursing homes, hospitals, and property services.

According to a press release sent out by the organization, the decision was recommended by the SEIU political action committee and then affirmed by the SEIU Oregon State Council.

“We were impressed by Governor Kitzhaber’s grasp of the issues, sincerity and candor,” stated Barbara Casey in the same press release.

Casey, chair of the SEUI Local 503 political action committee, continued by saying, “more than anything else we believe he shares the values of our members and Oregon’s working families.”

The state council put willing participants through the task of filling out a questionnaire, appearing before members, and spending a day shadowing one member in the work place.

Republican candidate Chris Dudley declined to participate in the process.

BY THE OREGON POLITICO

PORTLAND- Democrat veteran John Kitzhaber released his latest campaign ad featuring himself saying this year’s gubernatorial race “isn’t about being a Democrat, or being a Republican, or being an Independent. It’s about being an Oregonian.”

He goes on to say that his main job as governor is to create jobs.

“If we can’t put Oregon back to work we can’t make investment in our kids for the future,” says Kitzhaber.

He finishes by saying that he’s not just asking for a vote but also asking for help.

embedded by Embedded Video

YouTube Direkthttp://www.youtube.com/watch?v=ysY3qhxIMwc

BY SARAH ROSS

Republican gubernatorial candidate Chris Dudley

PORTLAND- A new poll released on Tuesday continues to show this year’s gubernatorial race to be a close one, despite fundraising efforts telling a different story.

Rasmussen Reports, the firm conducting the poll, stated, “Little has changed in the race to be Oregon’s next governor, with Republican Chris Dudley and Democrat John Kitzhaber still running neck-and-neck.”

The poll puts Dudley just three points ahead of Kitzhaber with 47 percent to 44 percent. Five percent of respondents preferred another candidate, and 4 percent are undecided.

With only a three percent difference, the results fall well within the poll’s +/- 4 percent margin of error. The campaign fundraising, however, is not as close as polling on the race has been.

Kitzhaber, the former statesman and Oregon governor, has raised $1,334,001 so far in 2010, while former professional basketball player Dudley has raised a whopping $2,210,664 in this election cycle.

Democratic gubernatorial candidate John Kitzhaber and former Sec. of State Bill Bradbury

As of July 28, The Cook Political Report still classified the race as leaning Democratic, meaning it is in the category of races considered competitive but where one party has an advantage.

Senior Editor at the Cook Report Jennifer Duffy said the race is a good example of an outsider attempting to take on an established politician.

“It’s one of five in the country where you have a former governor seeking his old job back, which is kind of interesting considering how tough it is to be governor these days,” said Duffy, adding that it should be a “good race.”

Duffy noted that while it is currently listed as a lean-Democrat state, implying that party has a small advantage, it could be moving into the more competitive section.

“It would not surprise me if sometime over the next couple of months I move it into toss-up,” she said.

She also mentioned that this kind of movement happens all the time and that this race alone is a good example, since it started as a likely Democratic state and has since moved to leaning Democratic.

When asked what factors go into determining how a race is moved from one category to another, she said that fundraising and good polling are the biggest things to consider.

“I got sort of a first answer when I saw their fundraising numbers. So obviously Dudley is proving he can raise money,” she said. “I’d like to see some good polling because the polling that I have seen has left something to be desired. They do show a single digit race, but I’d like to see a live interview poll. And so that will be the other factor.”

BY SARAH ROSS

SALEM- In a decision released Tuesday morning, Marion County Circuit Court  Judge Mary James denied a motion to allow Petition 50 signatures rejected by the Secretary of State’s Election Division to be reconsidered.

“The failure to demonstrate likelihood of success on the merits requires denial of petitioners’ motion,” wrote James in her opinion letter.

In a hearing Monday, the judge heard arguments from the Secretary of State’s Office saying that even if all of the 12,974 signatures thrown out were reinstated, that still did not give the petitioners enough signatures to be approved for November’s statewide election.

James noted that history demonstrated that “as valuable as Oregon’s electors’ constitutional right to sign initiative petitions is, a right that Oregon courts respect, it is a right that is subject to the responsible regulation by another constitutional officer, the Secretary of State.”

“The Court is mindful of the perception that denying petitioners’ relief may be viewed by some as muffling the voice of otherwise well-intentioned electors who signed these petitions,” said James. But she added, “That discomfort does not relieve the Secretary of State, or the court for that matter, from the responsibility to apply the proper standard of review.”

Initiative Petition 50, also commonly referred to as the redistricting petition, would have put the state’s redistricting process in the hands of a panel of retired judges, if passed in November’s election.

As it stands, that process lies with the Oregon Legislature after the completion of the U.S. Census. If the Legislature is unable to accomplish this task, as it has since 1961, then it becomes the responsibility of the Secretary of State.

Sponsors of the petition had collected and turned in 114,000 signatures to the Secretary of State’s Office, 79% of which were verified. The remainder was thrown out, putting the total count of signatures at just under 92,000. To make it onto the statewide November ballot, an initiative petition needed to have at least 110,358 verifiable signatures.

Spokesman for the Secretary of State’s Office Don Hamilton responded to the outcome, saying that even if all of the signatures were added, they still wouldn’t qualify.

“They were unable to prove that those signatures were critical to qualifying for the ballot,” said Hamilton. “And the judge also said that they were unable to prove that there was any irreparable harm.”

Hamilton also added that lawsuits are not at all uncommon during petition season.

“I don’t think it unusual considering the timing of all of this. There’s been a decision that’s been made and the court is a remedy that they have,” he said.

Ross Day, Executive Director of Common Sense for Oregon, the group that led the effort on gathering signatures, said he was not happy with the judge’s ruling.

“We spent a lot of time and effort trying to get the measure to qualify, and to have a set of signatures thrown out really for no reason, other than the arbitrary decision of the Secretary of State, doesn’t make me too happy,” said Day.

He added that there is without question a problem with the verification process.

“We had 13,000 signatures thrown out, and we still don’t really know why they were thrown out,” he said. “We had rules that were enforced that we had no idea were even in existence until they applied them this time around.”

Day noted that while the group is looking at all of their options for further legal action, he wasn’t sure if they’d move forward on an appeal.

“At some point, we need to focus on the task at hand, which is hopefully changing the way that redistricting occurs so that the politics are taken out of the process,” he finished, adding that this could include trying for something in the next cycle or preparing something for 2021.

Secretary of State Brown has until August 1 to verify and finalize signature counts in preparation for November.

BY SARAH ROSS

SALEM- Secretary of State Kate Brown’s Election Division announced Tuesday that one initiative petition for allowing private casinos has failed to gain enough signatures, yet its sister petition to authorize a Multnomah County casino succeeded and will be on the November 2 ballot.

Petition 77 required 82,769 signatures to be approved for the ballot, while Petition 76 required 110,358. Brown’s office was able to verify 82,865 signatures for the first measure, putting it over the threshold, but 76 failed to meet its required quota with just 104,629.

Good for Oregon, the group promoting the two measures, predicted on their website that over 5,000 new jobs and $74 million each year for schools could be provided by the $9 million in new annual income taxes and $20 million in other taxes a new casino in Multnomah County could generate.

Matt Rossman, sponsor of the petition initiative, said that after consulting their signature gathering firm, Democracy Resources, he and his cosponsor Bruce Studer feel that the Secretary of State’s office made a mistake and that they are exploring their options.

“At this point, I think it’s safe to say that we will be filing a lawsuit to challenge the decision which will more than likely be filed tomorrow,” said Rossman.

Rossman added that he and Studer were pleased that 77 did make it on the ballot; but in order for the Multnomah County Casino project to go forward, they need to pass 76 as well. He also seemed optimistic about getting the measure on Novermber’s ballot.

“We believe in the initiative process and that Oregonians’ rights should be protected, and we know from our signature gathering efforts that thousands of Oregonians have told us that they want jobs. They want these benefits,” said Rossman. “So we’re motivated to get things moving forward.”

In an earlier interview with The Oregon Politico, spokesman for the Secretary of State Don Hamilton said lawsuits are not uncommon during the petition season, as legal action is a tool petitioners have in protesting decisions.

BY RACHEL CHEESEMAN

PORTLAND- TriMet received word Monday that the federal government would fund half of the Portland-Milwaukie light rail project, providing TriMet with just under $736 million.

“With the help of our federal partners,” said TriMet General Manager Neil McFarlane, “this project will move forward and improve transit options for this corridor and throughout the region while also creating jobs.”

TriMet originally sought 60 percent of funding, about $850 million, for the project. While the Federal Transit Administration expressed strong support for the project, it could not provide more than 50 percent for projects greater than $1 billion.

The total cost of the line is estimated to be $1.4 billion for the 7.3-mile line, about $200 million per mile, which would extend from Portland State University Park Avenue to McLoughlin Boulevard in Milwaukie.

The rest of the financing is expected to come from various state and local sources.

The city of Milwaukie has promised $5 million, Clackamas County has promised an additional $25 million, and Metro approved about $145 million towards the project. TriMet has appropriated $40 million by issuing payroll tax-backed bonds. The city of Portland has pledged an additional $30 million from tax increment financing. Finally, the state of Oregon has put up $250 million in lottery-backed bonds.

The 10 percent reduction in expected federal contribution leaves the project with a calculated $140 million gap in the budget.

Mary Fetscher, TriMet’s public information officer, said that TriMet will talk with project partners to see if more funds are available, but it will also spend the next few weeks working to make the project fit within the new budget by finding other cost-reducing measures like simplifying station designs.

Fetscher said that while the construction of the rail would benefit those living along the rail, many others benefit from the expansion of the rail system.

“It’s not just where you build it where you see a benefit,” she said. “As we build out our system, more people can connect to more places. We see ridership increase throughout the region.”