Relating to use of surplus revenues for wildfire funding; declaring an emergency; providing for revenue estimate modification that requires approval by a two-thirds majority.
Summary
HB 3947 would revise Oregon’s revenue estimate for the 2023-2025 biennium by increasing the estimate for General Fund revenues other than corporate income and excise taxes to $24 billion. The bill is tied to Oregon’s “kicker” framework and changes how any revenue collected above the adjusted estimate is handled.
Under the bill, most surplus revenue above the existing estimate would be transferred to the State Fire Marshal Fund to support wildfire prevention and response. If actual collections exceed the new estimate by 2% or more, the amount above the new estimate would be returned to personal income taxpayers under Oregon’s kicker refund process, while the gap between the original constitutional estimate and the new higher estimate would still be directed to wildfire funding. The bill takes effect immediately upon passage because it declares an emergency.
Impact
HB 3947 would amend the practical operation of Oregon’s revenue estimate and redirect a portion of surplus General Fund revenue to the State Fire Marshal Fund for wildfire prevention and response. It would affect the state’s budget and tax refund calculations by modifying the benchmark used to determine whether surplus revenues are refunded to taxpayers or diverted to wildfire-related uses. The bill also interacts with ORS 291.349, which governs kicker refunds, and ORS 476.055, which establishes the State Fire Marshal Fund.
Sentiment
The bill’s stated purpose suggests support for wildfire preparedness and response as a public safety priority, and the emergency clause indicates an intent for immediate implementation. Based on the text alone, the measure appears designed to balance taxpayer refunds with funding for wildfire needs, reflecting a policy preference to dedicate available surplus revenue to fire protection. No committee testimony or recorded votes were provided, so there is no additional evidence of support or opposition from legislative debate.
Contention
The main point of contention is likely to be the use of surplus revenue that would otherwise be returned to taxpayers under Oregon’s kicker system. Supporters would favor directing funds to wildfire prevention and response, while opponents may argue that the bill reduces or delays taxpayer refunds and alters the constitutional revenue-refund framework. A second possible issue is the bill’s adjustment of the revenue estimate itself, which may be viewed as a technical budget maneuver with significant fiscal consequences.