| Governor's Oregon Principles Budget 2005-2007 |
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| Economic Development |
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What else is the Governor doing to contribute to this principle?
Recruiting, Retaining and Expanding Businesses
The Governor has taken an active role in business recruitment, retention and expansion. Since July 2003, more than 10,000 new jobs have been created as a direct result of state efforts. These economic successes have been made possible by the collaboration of his Oregon Economic and Community Development Department (OECDD), local governments and business leaders to provide timely information, assistance and incentives. They include:
- Expansion of Country Coach in Junction City (450 new jobs).
- Expansion of Keystone RV in Pendleton (100 new jobs).
- Expansion of Sun Microsystems in Hillsboro (100 new jobs).
- Recruitment of N.E.W. Corporation in Klamath Falls (600 new jobs).
- Recruitment of Wachovia Corporation in Salem (500 new jobs).
- Expansion of T-Mobile in Redmond (700 new jobs).
- Expansion of Acumed in Hillsboro (140 new jobs).
Oregon has added a total of 44,000 jobs – a 2.9 percent increase – between June 2003 and August 2004. Nearly every industry sector experienced growth during this period as compared to the previous year.
The Oregon Transportation Investment Act
During the 2003 legislative session, the Governor proposed the Oregon Transportation Investment Act (OTIA), the largest public works project in the state since the 1950’s. This $2.5 billion package creates 5000 family-wage jobs each year for the next ten years, and helps ensure our roads and bridges are safe and friendly to tourism and commerce.
Since its passage, the Governor has also worked to ensure that this rebuilding of Oregon’s transportation infrastructure helps provide Oregon minority- and women-owned businesses with access to contracting and workforce opportunities in the $2.5 billion of construction projects that will occur in Oregon in the next decade. This is a targeted and an on-going initiative over the next 10 years to create business opportunities for minority and women businesses specific to OTIA projects.
Office of Rural Policy
In April 2004, the Governor signed an executive order creating a new Office of Rural Policy. The Governor’s Rural Policy Advisor will coordinate with the Legislature and the Rural Policy Advisory Committee to ensure that the state is a real partner in helping address the most important issues facing Oregon’s rural communities so that all of Oregon’s communities can move forward toward economic security and stability. The Governor’s Rural Policy Advisor will also work with a representative from every state agency and executive branch to strengthen the delivery of state services to rural Oregon.
Direct International Air Service
Oregon can be proud of three new non-stop flights out of PDX: Lufthansa to Frankfurt, Germany; Mexicana to Guadalajara, Mexico; and Northwest to Tokyo, Japan. Each of these new air services will not only benefit Oregon companies doing business abroad, but will positively impact Oregon’s local economy by creating hundreds of direct and indirect jobs and tens of millions of dollars in business sales and tourism revenue. Marketing Oregon through the newly-created tourism fund was a reason these carriers chose Portland over other potential destinations.
Keeping Workers’ Compensation Rates Low
In October 2004, the Governor announced that workers’ compensation “pure premium” rates will remain flat for 2005, and assessments charged to Oregon employers will decrease by $2.6 million. The cumulative cut in workers’ compensation costs since 1990 totals 57.4 percent, with resulting savings to employers of approximately $10.1 billion. Because of the cumulative premium reductions, Oregon’s national ranking in workers’ compensation costs moved from sixth most expensive in the nation in 1986 to 35th by 2002. During this time, benefits for disabled workers in Oregon have increased while an increased emphasis on workplace safety has driven Oregon injury and illness rates down.
Streamlining Regulations
The Governor launched a Regulatory Streamlining Initiative early in his administration. To date, more than 300 projects that streamline regulations or improve customer service have been completed or are under way at dozens of state agencies. These projects have already saved Oregon businesses hours, dollars, and more than 250,000 sheets of regulatory paperwork. A complete list of regulatory streamlining accomplishments can be viewed online on the Governor’s Regulatory Streamlining Initiative website.
Highlights include:
1) Creation of an online license database - This database provides comprehensive information and links to almost all of the licenses, permits, and certifications the state requires for a variety of business and other activities.
2) Elimination of duplicative facility licenses - Currently, several professions regulated by the Health Licensing Office may operate in one facility but be required to hold individual facility licenses for each profession. For example, a hair salon may also offer body piercing, electrology and tattooing services. The agency is developing a single facility license that would cover all professions under one roof but contain the same public protection standards of the individual facility licenses.
3) Simplified food safety inspections - The Departments of Agriculture and Human Services have adopted the federal "Food Code." This has resulted in eliminating duplicate inspections by both agencies at some businesses, and focused food safety inspections on the top causes of food-borne illness.
4) Minor project permitting - Contractors who do minor electrical and plumbing projects in multiple jurisdictions no longer need to get an individual building permit from each jurisdiction for each and every project. For example, a plumber with a contract to install water heaters for a builder on several projects in different cities will now only need a single "minor label" permit, not individual permits for each individual water heater in each location.
5) Expedited plan review - Builders with critical construction projects now have the option of asking the DCBS Building Codes Division to expedite plan review, permits, and inspections in collaboration with local agencies. This will help contractors spend their time building instead of tracking paperwork.
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