Oregon Initiatives Pass Congress in the Nick of Time

Oregon Initiatives Pass Congress in the Nick of Time

High-tech tax credit, new markets for Oregon farmers and manufacturers, benefits for homeowners

Several pieces of legislation sponsored by U.S. Senator Gordon H. Smith (R-OR) were approved by Congress prior to its adjournment early Saturday morning.

"We got some good things accomplished, Oregonians will find a few surprises in their stockings" Smith said. "We were able to extend tax code provisions that are helping grow Oregon's economy and new legislation that will open markets in Vietnam for Oregon's farmers. These are pocketbook issues that will make a difference."

Among items spearheaded by Senator Smith include:

* legislation to help Oregon farmers and manufacturers by opening up trade with Vietnam
* a provision allowing homeowners with incomes that do not exceed $110,000 to deduct the cost of their mortgage insurance
* stronger laws to combat spam and spy ware
* an extension and expansion of the Research and Development Tax Credit which helps high-tech companies
* Senator Smith was also able to stop a $50 million loss to Oregon's Medicaid program by blocking efforts to reduce the Medicaid provider tax rate to 3 percent
* Enhances Oregon's veterans access to affordable mortgages by making permanent a recent program expansion

The last bill passed by Congress included tax, health care, and trade provisions. As a result, Oregonians will benefit from state and local sales tax deductions, Oregon's teachers will see an extension of the $250 tax deduction for classroom expenses and there is a repeal of the $5,450 limit on contributions to Health Savings Accounts.

The final measure also adverts a 5% cut in physician payments in Medicare, a cut which would have resulted in a significant decrease in the number of doctors willing to treat new Medicare patients. Instead, the legislation calls for a 1.5% bonus to ensure that new Medicare beneficiaries do not face difficulties in accessing a physician's care.

The 110th Congress convenes in January. Senator Smith will work to extend the county payments program and pass a Mount Hood Wilderness Bill.

http://gsmith.senate.gov/public/index.cfm?FuseAction=PressReleases.Detail&PressRelease_id=253&Month=12&Year=2006