Measure 118, if approved, could bring much-needed financial relief to Oregon residents. This initiative offers a potential $1,600 per person in the form of a refundable tax credit or direct rebate, with eligibility extending to households of up to six members.
Targeted at helping low- and middle-income households manage the state’s high living costs, particularly as winter approaches, Measure 118 will focus on providing support for Oregon’s most financially vulnerable residents.
Here’s a look at who qualifies, how much they could receive, and what’s next for this stimulus-like payment.
Overview of Measure 118
If passed, Measure 118 would allocate funds for a three-year period, providing either a refundable tax credit or direct rebate to eligible Oregon residents. For a family of six, this could mean up to $6,400 annually to help offset living expenses and rising housing costs.
Detail | Information |
---|---|
Payment Amount | $1,600 per eligible resident |
Household Limit | Up to six members (max $6,400 per household) |
Type of Assistance | Refundable tax credit or direct rebate |
Duration | Three-year program |
Approval Requirement | Must pass the November 2024 vote |
The program’s funding relies on increasing Oregon’s corporate tax rate for large businesses, which has spurred debate regarding potential impacts on consumers.
Who Qualifies for the $1,600 Payment?
To qualify for this rebate, Oregon residents must meet the following requirements:
- Residency Requirement: Residents must have lived in Oregon for at least 200 days within the tax year to qualify.
- Income Level: Although specific income thresholds haven’t been finalized, the focus is on low- and middle-income households. Income criteria will likely be aligned with other state assistance programs targeting those in financial need.
- Household Size: Each eligible family member can qualify for the $1,600 payment, capped at six people per household.
Measure 118 aims to offer relief for essential costs like rent, groceries, and utilities, supporting individuals and families facing financial strain in an environment with rising living costs.
Purpose and Impact of Measure 118
The primary objective of Measure 118 is to alleviate financial stress for Oregon’s low- and middle-income residents, particularly renters dealing with high housing costs.
With rental prices in Oregon continuing to rise, the initiative has been seen as a potential “lifeline” for many facing housing instability.
According to Kim McCarty, Executive Director of the Community Alliance of Tenants, this rebate can make a crucial difference in maintaining stable housing.
The benefits of the proposed rebate include:
- Stabilizing Housing: The $1,600 payment can support housing stability by helping residents afford rent and other living expenses. For families on the brink of financial hardship, this assistance could prevent homelessness and housing insecurity.
- Supporting the Economy: By providing financial aid to households in need, Measure 118 would inject additional funds into the local economy, as recipients are likely to spend their rebates on essentials.
Why Measure 118 Could Face Challenges
Measure 118 proposes funding through a corporate tax increase on businesses earning over $25 million annually, raising the tax rate to three percent.
This increase has raised concerns among some business groups and residents, as businesses may pass the added costs to consumers, potentially impacting the affordability of goods and services.
Michael Ryan, a finance expert, noted that Oregon’s approach to funding the rebate program through increased corporate taxation is “among the most aggressive.” This has sparked debate on whether this funding method could indirectly affect consumers, which could impact Measure 118’s approval.
What’s Next for Measure 118?
The future of Measure 118 rests on the November 2024 vote, where Oregon residents will decide its fate. If the measure is passed, eligible residents could expect to start receiving their payments in early 2025.
Until then, residents are encouraged to stay informed and follow updates on the proposal, especially if they fall within the qualifying income and residency categories.
By providing a significant cash rebate to households in need, Measure 118 offers an innovative solution to address Oregon’s high cost of living and housing crisis.
Although its funding method remains a contentious point, the initiative has the potential to make a lasting impact on the lives of thousands of Oregonians, helping them secure a more stable and affordable living environment.