jump to navigation

More Government Funding At Risk
July 6, 2005

Another bill is in the Senate that’ll affect the money we have for schools, police and roads.

The QPAI changes that Oregon has to “connect to” (see here for a good description of the process) will cost Oregon 18 Million Dollars next year and fifty million by 2011.

This would be a good chance for you to help determine the future of our schools, our public safety and our health safety.

How does this work, you may ask? Taking Starbucks as an example, roasting coffee has been defined as a “production” activity, while brewing and selling coffee is a retail activity. This change would apply to the production side of their business and would save them a lot of money. However, the retail side of the company “pays” the production side for the roasted coffee beans. Overall, there’s no net difference to profits, and stockholders won’t see a change in their dividends (and corporate income tax won’t change), but there’s a huge net difference with regards to the production side.