Associated Oregon Loggers, Inc.
2015 Madrona Avenue, Salem, OR

Welcome to the Associated Oregon Loggers

Associated Oregon Loggers, Inc. (AOL) is the statewide trade association representing some 1,000 member companies engaged in the harvest and sustainable forest management of Oregon’s 30 million acres of forestland. “Logger and Proud of It!”

Introduction to AOL


Recent News

IP28 Would Cost Oregon Consumers and Businesses Billions

By: Jim Geisinger, Executive Vice President

 

Initiative Petition 28 will be on the ballot in November to be considered by Oregon voters. IP28 would impose $6 Billion in new taxes on the sales of products and services that Oregonians buy every day. It is a gross sales tax that would result in the largest tax increase in our state’s history. Because it would be a new tax on gross sales, not profits, businesses would be required to pay the tax on total revenues, regardless if they made a profit on those sales. That means employers would have to raise prices or cut jobs, or do both.

 

The proponents of the measure, largely public employee unions, want voters to believe the new tax would only affect large corporations that have gross revenue exceeding $25 million per year. But the fact is, the ultimate costs would fall on all Oregon consumers in the form of higher prices for almost everything we buy. The new tax would be applied to Oregon sales of many products and services including food, electricity, insurance, health care, medicine, fuel and other essential products. Oregon consumers will pay for this new tax because the costs will be passed on to the people who buy these goods and services.

 

Here is how it would work. By the time an Oregon product goes from a manufacturer to a distributor and then to a retailer, it could be taxed multiple times before being purchased by the consumer. This type of “tax on tax” would drive the costs of everything exponentially making Oregon companies less competitive. Think about our industry. A large logger sells timber to a mill. He pays the new tax on the gross revenue. The mill sells lumber to a wholesaler. It pays the new tax on the gross revenue. The wholesaler sells the lumber to a big box store and pays the new tax on its gross revenue. Finally, the big box store sells the lumber to the consumer and it, too, pays the new tax on gross revenue. It is pretty easy to see who is going to pay for this new tax….it will the consumer of Oregon products.

 

Finally, the proponents of the initiative claim the new revenue will be invested in Oregon schools. That simply cannot be guaranteed because all of the money from this measure would go to the General Fund to be spent at the discretion of the State Legislature. Despite the proponent’s claims, this unprecedented new tax would increase costs for working families and consumers and would hurt businesses in our state without any guarantee the money would make it into our classrooms or help our schools.

 

Oregon Governor Kate Brown has not taken a public position on IP28 as of the writing of this column. Her opinion will surely influence the outcome of this initiative as it is being promoted by one of her key constituencies, the public employee unions. What she HAS announced, however, is her plan on how to spend $6 Billion in new revenue, should the measure pass. Go figure.

 

While we are all trying to enjoy the summer, November is just around the corner. It is time for all of us to be involved in the political process in our state. Whether it be statewide initiatives like IP28, races for the State Legislature, campaigns to elect members of our Congressional delegation, or the very important race for the White House, it is imperative that Oregon loggers educate themselves on the issues and vote!


AOL Event Calendar