Last year it was House Bill 2020.

 

This year, it’s Senate Bill 1530.

 

Regardless of the number, Salem is look at instituting a Cap and Trade program in Oregon.  The Oregon Farm Bureau said Cap and Trade would have a significant negative impact on producers across the state, regardless of commodity.  One component of SB 1530, looks to increase fuel taxes by 22 cents a gallon a year, starting in 2022, and continuing annually until 2050.  OFB’s Mary Anne Cooper said under this year's Cap and Trade proposal, fuel costs were to be increased first in metropolitan areas like Portland, and then statewide.  However,

 

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“The mechanism in the bill is broken so while they are attempting to limit the initial cost impacts to the Portland-metro area, because of how fuels are imported in the state, those fuel price increases will hit statewide.  So, while there was an attempt to address some of the issues raised by rural Oregon, obviously that attempt was not successful in the bill, and we’re expecting to see statewide fuel impacts.”

 

Cooper added SB 1530 does not distinguish between clear and dyed diesel.  And gas and diesel are not the only fuels that will see additional costs under Cap and Trade.

 

Cooper added propane rates will increase 7%, hurting farmers, warehouse operators and rural Oregonians a like.

 

“A lot of rural areas aren’t served by natural gas, so people use propane, and that propane hit we’re expecting to be pretty significant," Cooper said.  "And we’re hearing from a lot of our growers it will be very significant.”

 

SB 1530 is scheduled for a work session Tuesday.  And before that happens, the OFB is asking farmers to share their thoughts about Cap and Trade.  Click Here to make your thoughts known.

 

The Oregon Farm Bureau has also established a calculator to determine how Cap and Trade will impact your operation.  Click Here to see what you can expect.

 

If you have a story idea for the Washington Ag Network, call (509) 547-1618, or e-mail gvaagen@cherrycreekradio.com

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