In the state of Oregon, the proposal known as Measure 118 is drawing significant attention, offering an annual stimulus check that could reach up to $1,600 per person. This legislative initiative, set for a vote in November, promises substantial financial support for qualifying residents, including not only taxpayers but also minors and dependents. For its advocates, Measure 118 represents an opportunity to provide a direct boost to Oregon families, though it has sparked some debate.
Measure 118, also referred to as the “Oregon rebate,” proposes that each eligible resident of the state receive an annual stimulus check of $1,600. This means a family of four could receive up to $6,400 per year. The main idea is that this assistance would allow families to improve their financial situation, either through a direct cash rebate or a refundable tax credit.
What measure 118 is and how it would work this stimulus check
The payments would extend over three consecutive years, aiming to ease the economic burden on low- and middle-income households.
To be eligible, each resident must have spent at least 200 days per year in the state of Oregon, ensuring that the benefit reaches those who truly live and contribute to the region. According to the measure’s proponents, the goal is “to support those most in need in our state, without leaving anyone behind.”
One of the critical points of this initiative is its source of funding. Measure 118 proposes that the money for these stimulus checks come from a 3% tax on the annual sales of large companies, defined as those with revenues exceeding $25 million. This approach has prompted considerable discussion, as it introduces a shift in Oregon’s tax landscape.
Supporters of measure 118 argue that this specific tax rate would allow for the necessary funding without adding extra burdens on individual taxpayers. In this way, the revenue collected would go directly toward financing the annual stimulus checks, achieving a redistribution of resources that would benefit a large portion of the population. However, not everyone views this proposal favorably.
Arguments for and against measure 118
As with any legislative proposal, measure 118 has sparked divided opinions. Progressive organizations and various labor unions have voiced their support, highlighting that these stimulus checks would provide a financial break for many working families and help strengthen the local economy.
They argue that by boosting residents’ purchasing power, the funds would circulate within local businesses and services, generating a positive ripple effect within the community.
On the other hand, some business sectors and politicians on both sides of the spectrum have raised concerns. Opponents fear that the tax on businesses could lead to higher prices for consumers and may reduce Oregon’s competitiveness compared to other states. They contend that this additional tax burden on companies could deter investment or hinder the growth of local businesses.
When it is expected to take effect
If measure 118 is approved in the November vote, the legislation would come into effect starting in 2025, with the first stimulus checks expected to be distributed in 2026. This timeframe would allow the state administration to work out operational details to ensure efficient and timely distribution of the payments.
In the meantime, the debate over the potential impacts of this measure continues. Advocates insist that the initiative could bring positive changes to Oregon’s economy, offering direct support to households and helping them cover essential expenses. Meanwhile, detractors warn of potential negative impacts on the state economy, including possible effects on the job market and price stability.
How measure 118 would affect low-income households
One notable aspect of this proposal is its focus on households with lower incomes. According to the Legislative Revenue Office (LRO), measure 118 could mean that households with annual incomes below $40,000 would be exempt from the obligation to pay state taxes in Oregon. In other words, this financial assistance would include not only the stimulus check but also a reduction in the tax burden for the most vulnerable families.
This benefit could provide crucial relief to those struggling to make ends meet and, in many cases, could significantly improve their quality of life. Supporters of the measure argue that this aid is essential in a time when inflation and rising costs of living are pushing families to require more support than ever before.