OSB Legislative Priorities for 2013
The Oregon Legisla-
ture’s website (www.leg.state.or.us)
contains many useful
features, including com-
mittee schedules updated
every 15 minutes; com-
mittee rosters; informa-
tion about legislators; the
text of all measures, in-
cluding amendments
adopted in committee;
and the status of all
measures.
To find your legislators,
go to
www.leg.state.or.us/
findlegsltr and follow the
prompts.
OSB legislative propos-
als are available at
http://
os-
blip2013.homestead.com
/index.html
PUBLIC AFFAIRS DEPARTMENT
Susan Grabe,
Public Affairs Director
David Nebel,
Public Affairs Legislative Attorney
Matt Shields,
Public Affairs Staff Attorney
Amanda Roeser,
Public Affairs Assistant
I mproving the judicial branch budget will be
a focus of OSB legislative advocacy in
2013. Cuts over the last several biennia
have resulted in furlough days, decreased cleri-
cal staff with concomitant reduction in ability to
process cases, and a general reduction in service
to the public. The bar will advocate for:
An end to cuts to the current levels of ser-
vice;
Continued bonding for extension of the Ore-
gon eCourt program, and a general fund
appropriation for Oregon ecourt debt ser-
vice;
Funding for an additional three judge panel
on the Court of Appeals that was authorized
in the 2012 session;
Restoration of 62 positions statewide to
meet basic timelines in case disposition and
public safety;
Improvements in judicial compensation.
Information on the bar’s activities to secure bet-
ter court funding is available at
www.courtfunding.homestead.com/Court-
Funding.html
In addition, the bar will be advocating for in-
creased funding for legal services for low in-
come Oregonians, both in civil practice through
the legal aid network and in criminal cases
through the Public Defense Services Commis-
sion.
In terms of substantive law, the bar and its con-
stituent groups have proposed 16 law improve-
ment bills on a broad array of subjects. To re-
view these measures, go to
www.osblip2013.homestead.com/index.html.
The bar’s success in the 2013 session will, as
always, depend on the efforts and involvement
of its members.
Capitol Insider
2013 PUBLIC AFFAIRS COMMITTEE
Matthew Kehoe, Chair, Hillsboro
Hunter Emerick, Vice-Chair, Salem
Patrick Ehlers, Portland
Theresa Kohlhoff, Portland
Travis Prestwich, Salem
Joshua Ross, Portland
Timothy Williams, Bend
February 5, 2013 OSB Public Affairs Newsletter for Bar Leaders
Oregon Court Funding Coalition: Up and Running
The Oregon State Bar is organizing an ongoing
coalition to advocate for adequate funding for
Oregon’s state courts. The Oregon Court Fund-
ing Coalition will involve bar leaders, business
leaders, and business groups in the short term
effort to secure adequate funding for the courts
in 2013 and in a long term effort to protect the
judicial branch from crippling cuts in the future.
A bipartisan advisory group of state leaders has
signed on to the project, including Governors
Ted Kulongoski and Barbara Roberts, Dave
Frohnmayer, Jack Roberts, and Ron Saxton.
The coalition will recruit lawyers and their cli-
ents to communicate with legislators about court
funding issues, and will supply participants with
talking points and other supporting materials.
The coalition is planning an event at the Capitol
on May 1 with the objective of having as many
constituents as possible meet with their legisla-
tors in person to talk about the importance of
adequate support for the courts.
To view the most current materials on the coali-
tion, go to www.courtfunding.homestead.com/
Court-Funding.html. There you will also find a
form to use in signing up to participate.
2
February 5, 2013 Capitol Insider
The task of balancing the state’s budget for the 2013-’15 bien-
nium may be unusually difficult in the 2013 session. In a depar-
ture from past practice, the governor’s budget relies on substan-
tive changes in politically sensitive areas—the Public Employees
Retirement System (PERS) and the state’s sentencing policies—
in order to generate savings to spend on high priority programs.
PERS reform is a priority for Republicans, but protection of
PERS benefits is very important to many Democrats, who count
on political support from public employee unions. The gover-
nor’s budget would adjust out-of-state benefits and cap cost-of-
living increases to gain system-wide savings and ensure the long-
term viability of public retirement benefits. Projected savings are
$865 million—$253 of which would be added to the budgets of
school districts.
Several policy options described in the report of the Commission
on Public Safety form the basis for a savings of $600 million in
corrections costs over the next decade. Those options involve
changing mandatory minimum prison sentenced approved by
voters, and such changes require two-thirds majorities in both the
House and the Senate. These policy options may run into opposi-
tion from many Republicans and some Democrats who have in
the past supported tough mandatory sentences.
Passage of the governor’s budget as proposed would require leg-
islators of both parties to vote against the interests of their tradi-
tional constituencies. Legislative leadership admits there is as yet
no “Plan B”.
To see more about the governor’s budget, go to
www.oregon.gov/gov/priorities/pages/budget.aspx. The report of
the Commission on Public safety is available at
www.oregon.gov/CJC/Documents/CPS%202012/
FinalCommissionReport12.17.12.pdf.
Committees Appointed for the 2013 Session
House Speaker-Elect Tina Kotek (D North
Portland) and Senate President-Elect Peter
Courtney (D Salem/ Gervais/ Woodburn)
have made committee appointments for the
2013 session. A full list of all committee
appointments is available at
www.leg.state.or.us. With some excep-
tions, committees are chaired by Democ-
rats and have Democratic majorities, since
Democrats took control of both chambers
in the November elections. Several com-
mittees are of special interest to lawyers,
including the Judiciary Committees in both
chambers, the Joint Ways and Means
Committee and its Public Safety Subcom-
mittee, and the Joint Committee on Public
Safety.
All members of the House Judiciary Com-
mittee have substantial experience with the
committee from prior sessions. Retired
police officer Jeff Barker (D Aloha) re-
turns as chair, joined by co-chairs Wayne
Krieger (R Gold Beach), another retired
police officer, and Chris Garrett (D Lake
Oswego), an attorney in private practice in
Portland. Brent Barton (D Oregon City),
also a lawyer in private practice, returns to
the committee after a two year hiatus from
the legislature. Kevin Cameron (R Salem)
also returns to the committee after a two
year absence; he previously served on Ju-
diciary in the 2007 and 2009 sessions.
Wally Hicks (R Grants Pass), a former
prosecutor and current private practitioner,
and Carolyn Tomei (D Milwaukie) were re
-appointed after service on the committee
in 2011, as was another former police offi-
cer, Andy Olson (R Albany), who has
served on the committee in each session
since 2005. Attorney Jennifer Williamson
(D SW Portland) rounds out the commit-
tee; although a freshman in the legislature,
she has had substantial experience with the
committee as a lobbyist in the past few
sessions.
The Senate Judiciary Committee, on the
other hand, features only one lawyer and
less overall experience with the committee.
The lawyer is chair Floyd Prozanski (D
Parts of Lane and Douglas Counties), a
municipal prosecutor, who has served on
the Judiciary Committee, first in the House
and later in the Senate since 1995. The
vice chair will be Betsy Close (R Albany),
a former House member from 1999
through 2003, who was appointed to com-
plete the term of Frank Morse, who re-
signed last year. Sen. Close has not previ-
ously served on a judiciary committee.
Both Jeff Kruse (R Roseburg) and Jackie
Dingfelder (D Portland) have served on the
Senate Judiciary Committee for two ses-
sions; both were on the committee in 2011.
Completing the committee is former Co-
Speaker Arnie Roblan (D Coos Bay), a
newcomer to both the Senate and to the
Judiciary Committee.
The leadership of the Joint Ways and
Means Committee, which writes the state’s
biennial budget, has changed in one sig-
nificant respect: with Democratic control,
attorney Dennis Richardson (R Central
Point) has lost his position as House Co-
Chair. The former Democratic House Co-
Chair, Peter Buckley (D Ashland), as-
sumes the House Co-Chair post by him-
self. On the Senate side, Co-Chair Richard
Devlin (D Tualatin) maintains his position.
(Continued on page 3)
Governor’s Budget a Challenge for Legislators
3
February 5, 2013 Capitol Insider
Legislative Schedule for 2013
Legislative leadership has published a proposed set of events and
timelines for the 2013 session, as follows.
January 14-16: Legislature meets for swearing in ceremo-
nies, election of officers, bill introductions and other organ-
izational tasks.
January 18: Deadline for members to request Legislative
Counsel to draft bills.
February 4: Session begins. Committees meetings and floor
sessions begin and the 160 day time limit starts to run.
February 15: State Economist presents February Economic
and Revenue Forecast.
February 18: Deadline for Legislative Counsel to return bill
drafts to those who requested them.
February 21: Deadline for bill filing.
April 8: Deadline for policy committees in the originating
chamber to schedule work sessions on bills in committee.
The “originating chamber” is the side of the legislature in
which a bill is initially filed, e.g., the House of Representa-
tives is the originating chamber for house bills. A work ses-
sion is a meeting at which a committee determines the con-
tents of a bill to be moved out of the committee. “Policy
committees” do not include the House and Senate Revenue
Committees, the House and Senate Rules Committees, and
the Joint Committee on Ways and Means – all of which re-
main open until adjournment.
April 18: Deadline for originating chamber policy commit-
tees to move bills out of committee. Bills still in policy com-
mittees in the chamber of origin are “dead”.
May 16: May Economic and Revenue Forecast – the forecast
on which the 2013-15 budget will be based.
May 20: Deadline for scheduling work sessions in second
chamber policy committees.
May 31: Deadline for second chamber policy committees to
move bills out of committee. Policy committees close.
June 28: Sine die (adjournment) target date.
July 13: The 160 day constitutional time limit for the session
expires. The legislature must adjourn by this date, unless
both chambers vote by a two-thirds majority to extend the
session by five days. Multiple extensions are possible. If the
legislature adjourns without completing the budget, the gov-
ernor will call it back into special session, for which there is
no time limit.
The make-up of the Ways and Means Sub-
committee on Public Safety is interesting
for two reasons: the Senate Co-Chair is a
Republican, Jackie Winters (Salem), and
the House Co-Chair is freshman Jennifer
Williamson. Sen. Winters is joined by Sen.
Devlin and Doug Whitsett (R Klamath
Falls), who served on the subcommittee in
2011. The other House members are Rep.
Barker and former Co-Speaker Bruce
Hanna (R Roseburg), both of whom have
previous experience on the subcommittee.
The Joint Committee on Public Safety
grows out of the interim Commission on
Public Safety that developed various pol-
icy options for sentencing reform to place
before the 2013 legislature. Fittingly, the
co-chairs from each chamber are the legis-
lators who served on the commission:
Sens. Winters and Prozanski and Reps.
Garrett and Olson. Sens. Roblan and Close
are the other Senate members, and Reps.
Barker, Hicks, Krieger and Greg Matthews
(D Gresham), a firefighter, are the remain-
ing House members. Worth noting is that
four of the six House members have had
direct experience in law enforcement.
(Continued from page 2)
All Bills Are Available Online
The Oregon Legisla-
ture’s website (www.leg.state.or.us)
contains many useful
features, including com-
mittee schedules updated
every 15 minutes; com-
mittee rosters; informa-
tion about legislators; the
text of all measures, in-
cluding amendments
adopted in committee;
and the status of all
measures. The Oregon
Legislative Information
System within the web-
site includes all written
materials submitted to
committees.
To find your legislators,
go to
www.leg.state.or.us/
findlegsltr and follow the
prompts.
PUBLIC AFFAIRS DEPARTMENT
Susan Grabe,
Public Affairs Director
David Nebel,
Public Affairs Legislative Attorney
Matt Shields,
Public Affairs Staff Attorney
Amanda Roeser,
Public Affairs Assistant
A ll bills introduced and all amendments adopted in committee during the 2013 Session are
available at the Oregon Legislature’s website at www.leg.state.or.us/bills_laws/.
Capitol Insider
2013 PUBLIC AFFAIRS COMMITTEE
Matthew Kehoe, Chair, Hillsboro
Hunter Emerick, Vice-Chair, Salem
Patrick Ehlers, Portland
Theresa Kohlhoff, Portland
Travis Prestwich, Salem
Joshua Ross, Portland
Timothy Williams, Bend
March 1, 2013 OSB Public Affairs Newsletter for Bar Leaders
March Revenue Forecast: Short Term OK, Long Term
Guarded
The Office of Economic Analysis delivered its
March 2013 forecast on February 15, and the
news was mildly encouraging. The forecast for
general fund revenues in the current biennium,
which ends on June 30, 2013, was up $161.2
million from the forecast issued in November
2012. The projected figure of $14.105 billion is
actually $97 million more than the figure on
which the biennial budget was based when it
was enacted in June 2011. Total general fund
and lottery revenues for the current biennium are
$15.185 billion.
The outlook for the next biennium (July 1, 2013
- June 30, 2015) is not as positive. Revenues are
projected to be $72 million less than predicted in
November. The prediction for the general fund
is $15.445 billion - an increase of 9.4 percent
from the current biennium, but less than needed
to maintain services at current levels.
The bottom line is that the state will likely be
spared the short term difficult budget decisions
that have characterized the last few sessions, but
balancing the long term budget will be a chal-
lenge. To view the Economic and Revenue Fore-
cast, go to www.oregon.gov/DAS/OEA/pages/
economic.aspx#most_recent_forecast.
Bills of Interest under Consideration
Many veterans in the Capitol have been sur-
prised by the speed with which the legislature
has been doing its work. By the close of the third
week of the session, the legislature had con-
ducted hearings on 15 of the bar’s 16 bills. In
addition, the legislature has already begun to
consider a number of other bills in which law-
yers may be interested.
HB 2559 modifies the statutes regarding the
establishment, modification, and termina-
tion of spousal support.
SB 483 arose from the interim Patient
Safety and Defensive Medicine Workgroup.
The bill would establish a voluntary system
for resolving claims based on medical er-
rors, relying on alternative dispute resolu-
tion procedures before resorting to standard
tort remedies and procedures. SB 483 has
passed out of Senate Judiciary and Ways
and Means, and seems to be on a fast track.
SB 421 and SB 426 would modify mental
commitment proceedings to allow for
(Continued on page 2)
2
March 1, 2013 Capitol Insider
longer commitments for criminal defendants who are unable
to aid in their own defense. These bills were heard in the
Senate Judiciary Committee on February 19, and the issue
was referred to a workgroup for further consideration.
SB 558 may be this session’s vehicle for further work on
foreclosure procedures. At least it is the first foreclosure
avoidance bill the legislature considered in earnest. A public
hearing in the Senate General Government, Consumer and
Small Business Protection Committee was held on February
27.
The Senate Judiciary Committee is considering exemptions
from execution in SB 396. This bill, as filed, creates a new
exemption for medical savings accounts; the committee is
considering an amendment that would allow debtors to
choose between state exemptions and the exemptions pro-
vided in the Federal Bankruptcy Act. Another amendment in
this bill would substantially increase the homestead exemp-
tion.
The policy options outlined by the interim Commission on
Public Safety have been released as HB 3193, HB 3194, HB
3195, HB 3196, and HB 3197. Hearings have not been
scheduled, but these bills are of keen interest to anyone in-
volved in criminal justice, sentencing, corrections, and more
broadly in state budget priorities.
(Continued from page 1)
Oregon eCourt Implementation in Progress
The Oregon Judicial Department (OJD)
continues early implementation of the Ore-
gon eCourt program, while addressing a
number of issues that have arisen during
the process.
Yamhill County Circuit Court is the initial
eCourt pilot court, and has been using the
new system since last fall. Files for most
newly introduced cases are now being
maintained in an electronic form; clerks
immediately convert paper filings to the
electronic format upon filing. Files from
older cases will continue to be maintained
in paper form, and electronic conversion is
unlikely for cases that are already closed.
In the past week several selected pilot law
firms have begun helping OJD test the new
eFiling system, which will allow lawyers
to file by internet from their offices. OJD
anticipates that this pilot eFiling stage will
continue for several months before the
system becomes more widely available.
Linn, Crook, and Jefferson Counties have
also begun the eCourt implementation,
although they are not as far along as Yam-
hill County. Jackson County will go live
with eCourt during March.
While implementation is rolling along, a
number of details are still being worked
out between the OJD, the vendor, the bar,
and other interested parties. One important
detail is exactly what case information will
be available to different types of users re-
motely once the new system is fully imple-
mented. While an ideal system would
make the entire case file available online to
all users, security concerns and federal
restrictions will require that some sensitive
information remain accessible only in per-
son at the courthouse. In addition, some
technical problems have impeded non-
court parties in searching court data for
filings and other information. OJD is ad-
dressing these issues, but full resolution
may take some time.
New counties should be coming online
throughout the next two years, likely at an
ever increasing rate as the implementation
process becomes more streamlined. OJD
has reported that the more recent imple-
mentations are already going more quickly
than in Yamhill county, as the department
is able to make changes based on lessons
learned during the first implementation.
Oregon Law Commission Legislative Agenda
The Oregon Law Commission has introduced a number of law
improvement bills in the 2013 session. These bills have been de-
veloped by work groups of practitioners and interested parties,
and generally reflect the work groups’ strong consensus. They
include the following:
SB 592: Technical revisions of the Uniform Trust Code.
SB 622: Amendments to statutes governing juvenile court
proceedings, including provisions defining when the record
and the file are subject to disclosure and designating who can
obtain copies.
SB 623: An omnibus bill dealing with procedure in adoption
proceedings.
HB 2833: Uniform Unsworn Foreign Depositions Act.
HB 2834: Revised Uniform Law on Notarial Acts.
HB 2836: Establishes standards for determining a youth’s
fitness to proceed in a delinquency hearing.
The Commission has also filed two measures dealing with selec-
tion of appellate judges, HB 3182 and HJR X, but will probably
not proceed with them due to the significance of the issues raised,
the lack of strong consensus within the work group that proposed
them, and the relative lateness in the session to begin work on
such a controversial set of issues.
In 2012, the Commission proposed, and the legislature enacted,
HB 4035 - an update to the Uniform Commercial Code Article 9
(ORS Chapter 79). The Oregon Bankers Association (OBA) dis-
sented from the work group on the way the bill treats issues re-
garding the name of the debtor listed on financial statements. The
OBA has filed HB 2600 to alter how that issue is resolved.
Bar and Citizens’ Campaign for Court Funding Plan
May 1 Day at the Capitol
The Oregon Legisla-
ture’s website (www.leg.state.or.us)
contains many useful
features, including com-
mittee schedules updated
every 15 minutes; com-
mittee rosters; informa-
tion about legislators; the
text of all measures, in-
cluding amendments
adopted in committee;
and the status of all
measures. The Oregon
Legislative Information
System within the web-
site includes all written
materials submitted to
committees.
To find your legislators,
go to
www.leg.state.or.us/
findlegsltr and follow the
prompts.
PUBLIC AFFAIRS DEPARTMENT
Susan Grabe,
Public Affairs Director
David Nebel,
Public Affairs Legislative Attorney
Matt Shields,
Public Affairs Staff Attorney
Amanda Roeser,
Public Affairs Assistant
Capitol Insider
2013 PUBLIC AFFAIRS COMMITTEE
Matthew Kehoe, Chair, Hillsboro
Hunter Emerick, Vice-Chair, Salem
Patrick Ehlers, Portland
Theresa Kohlhoff, Portland
Travis Prestwich, Salem
Joshua Ross, Portland
Timothy Williams, Bend
April 1, 2013 OSB Public Affairs Newsletter for Bar Leaders
The Oregon State Bar and the Citizens’ Cam-
paign for Court Funding will be holding a Day at
the Capitol on Monday, May 1. A day for law-
yers and concerned members of the community
to talk with their legislators about bar priorities,
including adequate funding for the courts, legal
services and indigent defense. More information
will be forthcoming on the Public Affairs De-
partment homepage at www.osbar.org/
pubaffairs. To register for this event please e-
mail [email protected].
Ways and Means Considers Judicial Department Budget
The Public Safety Subcommittee of the Joint
Committee on Ways and Means conducted three
days of hearings on March 18-20 on the Oregon
Judicial Department (OJD) budget bill, HB
5016. The ultimate resolution of the OJD budget
must await the release of the May revenue fore-
cast and legislative action on other budgets and
substantive issues, including PERS reform and
potential changes in the public safety system.
Chief Justice Tom Balmer presented the outlines
of the budget, including the following additions
(“policy option packages”) not included in the
Governor’s Recommended Budget:
Continuing the investment in Oregon
eCourt technology.
Implementing the expansion of the Court of
Appeals from 10 to 13 judgeships.
Securing adequate resources so Oregon
courts can be open five days a week and
meet critical services measures.
Addressing judicial compensation.
Restoring family law resources and state-
wide availability of pro se service centers.
Restoring and preserving statewide avail-
ability of treatment court docket programs.
Supporting a long-term state court facility
and security improvement plan.
The total of general fund costs for these addi-
tions is$35.8 million.
The OJD budget also includes appropriations for
the Oregon Law Commission, the Council on
Court Procedures and law libraries.
2
April 1, 2013 Capitol Insider
Major Bills Move through the Process
The governor has signed two bills of substantial significance.
HB 2800 authorizes bond financing up to $450 million
for a new I-5 bridge over the Columbia. The funding is
contingent on funding commitments from the State of
Washington and the federal Department of Transportat-
ion.
SB 483 is the product of the interim Patient Safety and
Defensive Medicine Task Force, and passed with the
approval of both the Oregon Medical Association and
the Oregon Trial Lawyers Association. The bill estab-
lishes a voluntary system of dealing with “adverse
health incidents,” in which the injured patient and the
provider meet informally to discuss the situation and at
tempt to resolve any outstanding issues. If that process
does not result in resolution, the parties may move on to
mediation. If mediation is unsuccessful, the injured
party maintains a full right to sue.
In addition, the legislature has passed and sent to the governor
HB 2787, a bill to grant in state college tuition to Oregon high
school graduates independent of their immigration status.
SB 396 creates an exemption from execu-
tion for health savings accounts. Hearing
held in Senate Judiciary on February 18.
SB 463 requires the Criminal Justice Com-
mission to create, at a legislator’s request,
a racial and ethnic impact statement for
proposed legislation. Public hearing held
in Senate Judiciary on March 14.
SB 558 is a comprehensive foreclosure
mediation bill, applying a mediation re-
quirement to both judicial and non-judicial
foreclosures. Work session scheduled in
Senate General Government, Consumer
and Small Business Protection for April 3.
SB 686 and HB 3160 would both move the
insurance industry into the ambit of the
Unlawful Trade Practices Act. Hearing
held in the Senate General Government,
Consumer and Small Business Protection
on SB 868 on March 15; HB 3160 had a
work session in House Consumer Protec-
tion and Government Efficiency on March
26.
HB 2205 is a vehicle for the Elder Abuse
Task Force. Amendment will include a
provision making attorneys mandatory
elder abuse reporters.
HB 2433 reduces the extent to which a
court can take a parent’s disability into
account in determining custody and parent-
ing time. Passed the House, in Senate Judi-
ciary.
HB 2548 would re-establish a commercial
bail system. Public hearing in House Judi-
ciary on March 26.
HB 2559 would impose guidelines for the
establishment, modification and termina-
tion of spousal support. Hearing held in
House Judiciary on February 12; informal
work group is working on amendments.
HB 2563 would increase judicial salaries
in as yet undetermined amounts. Passed
out of House Judiciary to Ways and Means
on March 7.
HB 2826 regulates the practice of debt
buyers. Public Hearing in House Con-
sumer Protection and Government Effi-
ciency on March 28.
HB 3126 authorizes the State Treasurer to
issue general obligation bonds to finance
construction and improvement of court-
houses. The bond proceeds would be used
to match local funds for courthouse up-
grades. Passed out of House Judiciary to
Ways and Means on March 22.
HB 3174 allows people declaring bank-
ruptcy to claim either federal or state ex-
emption. Public Hearing in House Con-
sumer Protection and Government Effi-
ciency on March 28.
HB 3194 and HB 3195 would implement
different policy option packages in crimi-
nal sentencing in the report of the Com-
mission on Public Safety. HB 3194 would
provide broader judicial discretion in sen-
tencing certain Measure 11 offenses. In the
Joint Committee on Public Safety.
HB 3249 increases grandparents’ rights in
juvenile court proceedings. Work session
scheduled in House Judiciary for April 2.
Bills of interest
3
April 1, 2013 Capitol Insider
Status of Oregon State Bar sponsored bills
The bar has sponsored 17 bills in the 2013 session. The following
is a brief description of these bills and their current status. The
full text and history of all bills introduced in the session is avail-
able at www.leg.state.or.us/bills_laws/.
SB 52: (Administrative Law Section) Establishes protocols
for maintenance of final agency orders for posting on Fast-
case. Moved from Senate Judiciary to floor on March 28.
SB 53: (Animal Law Section) Clarifies that police may enter
property to investigate possible animal distress. Public hear-
ing in Senate Judiciary on February 6; further action
unlikely.
SB 54: (Estate Planning and Administration Section) Deals
with “digital property” in estate administration. Public hear-
ing in Senate Judiciary on February 11; negotiations with
technology industry ongoing; work session scheduled for
April 4.
SB 55: (Committee on Uniform Criminal Jury Instructions)
Change to criminal jury instruction to conform statute to case
law. Passed both chambers; on its way to Governor for sig-
nature.
SB 124: (Lawyers for Veterans Steering Committee) Allows
court on sentencing to consider defendant’s status as a ser-
vicemember in determining aggravation or mitigation.
Passed Senate March 11; in House Committee on Veterans
and Emergency Preparedness with a subsequent referral to
Judiciary.
SB 125: (Lawyers for Veterans Steering Committee) Re-
quires state agencies to provide notice to active duty service-
members of the right to stay proceedings. Passed out of Sen-
ate Committee on Veterans and Emergency Preparedness to
Senate Judiciary; hearing and possible work session sched-
uled for April 3.
HB 2565: (Board of Governors) Technical amendments to
the bar act. Governor signed March 11.
HB 2566: (Business Law Section) Authorizes corporate offi-
cers to award equity compensation. Passed House February
22; in Senate Business and Transportation.
HB 2567: (Business Law Section) Authorizes corporations to
conduct shareholder meetings by remote communications.
Passed House March 20.
HB 2568: (Debtor-Creditor Section) Clarifies procedure for
amended notices of sale in non-judicial foreclosure proceed-
ings. Passed House March 20; in Senate Committee on Gen-
eral Government, Consumer and Small Business Protection.
HB 2569: (Debtor-Creditor Section) Authorizes law firm to
be designated trustees in non-judicial foreclosure proceed-
ings. Passed House March 20.
HB 2570: (Elder Law Section) Clarifies procedure and fac-
tors to be considered in awards of attorney fees in protective
proceedings. Passed House March 6; in Senate Judiciary.
HB 2571: (Family Law Section) Housekeeping amendments
to domestic relations statutes. Passed House February 20; in
Senate Judiciary.
HB 2572: (Family Law Section) Allows awards of attorney
fees in domestic relations proceedings relating to life insur-
ance. Passed House February 20; in Senate Judiciary.
HB 2573: (Board of Governors) Makes unlawful practice of
law by an immigration consultant a violation of the Unlawful
Trade Practices Act. Passed House February 28; in Senate
Judiciary.
HB 2608: (Board of Governors) Applies interest on some
escrow accounts to fund legal services. Public hearing in
House Business and Labor March 15.
HB 3350: (Board of Governors) Creates tax credit for contri-
butions to Campaign for Equal Justice. Passed House Judici-
ary March 22; in House Revenue.
Tax Increases Blocked; Stage Set for Negotiations
OLIS The legislature
unveiled a new, valu-
able tool in 2013: the
Oregon Legislative
Information System
(OLIS). The OLIS por-
tal is on the legisla-
ture’s homepage at
www.leg.state.or.us/
index.html. OLIS con-
tains extensive infor-
mation on committee
consideration of meas-
ures, including all
written testimony and
amendments under
consideration, as well
as the current text of
the bills and their
status.
PUBLIC AFFAIRS DEPARTMENT
Susan Grabe,
Public Affairs Director
David Nebel,
Public Affairs Legislative Attorney
Matt Shields,
Public Affairs Staff Attorney
Amanda Roeser,
Public Affairs Assistant
2013 PUBLIC AFFAIRS COMMITTEE
Matthew Kehoe, Chair, Hillsboro
Hunter Emerick, Vice-Chair, Salem
Patrick Ehlers, Portland
Theresa Kohlhoff, Portland
Travis Prestwich, Salem
Joshua Ross, Portland
Timothy Williams, Bend
May 7, 2013 OSB Public Affairs Newsletter for Bar Leaders
B oth the Governor’s budget for the 2013-
15 biennium and the Co-Chairs of the
Joint Ways and Means Committee’s
budget rely on a number of components to reach
balance. These include increased taxes, savings
from the reform of the Public Employees Retire-
ment System (PERS), and savings from public
safety reforms brought forward by the Commis-
sion on Public Safety at the beginning of the
session. Each of these issues is fraught with par-
tisan politics. The defeat on April 24 of most of
the Democrats’ tax proposals in HB 2456 brings
these issues to a head. How they are resolved
will affect the budgets of virtually all state agen-
cies, including justice system agencies and the
judicial branch.
The Democrats’ version of HB 2456 would have
raised $275 million by increasing taxes on upper
income individuals and businesses, and needed a
three-fifths majority to pass. The 34 Democrat /
26 Republican split in the chamber held; De-
mocrats were unable to garner two Republican
votes for passage. The House went on to pass
unanimously a severely scaled back bill—HB
2456A—which will raise roughly $20 million by
eliminating an off-shore tax loophole for some
businesses. HB 2456 now heads to the Senate,
where the Democrat’s majority is slimmer.
Later on the same day the House passed SB 822,
the PERS reform bill that Republicans opposed
because it does not cut enough. The bill cuts
$460 million over the next two years and post-
pones payment of $350 million until next bien-
nium. SB 822 goes directly to the Governor,
who has said he will sign it.
The budget negotiations going forward will be
complicated. The governor will likely play a
more central role. As long as they stick together,
Republicans can defeat revenue raising measures
in either chamber, and can also defeat proposals
to reduce voter passed sentencing guidelines
which require a two-thirds majority for passage.
A negotiated “grand bargain” combining further
PERS reductions, increased taxes and sentencing
reform is one possibility; another is a meager
state budget that results from failure in partisan
negotiations.
What follows is a list of bills that may be of interest to Bar Members. The status changes quickly,
but should be current through April 30. The full current text of all bills and updated bill status are
available at www.leg.state.or.us/bills_laws/.
HB 2205: Makes lawyers mandatory reporters of elder abuse. Passed House; in Senate Judiciary.
HB 2533: Authorizes awards of attorney fees in tax magistrate’s court. In House Revenue.
HB 2548: Establishes commercial bail system. Dead.
HB 2559: Modifies law regarding spousal support. Dead.
HB 2563: Modifies judicial salaries in unspecified amounts. In Ways and Means.
HB 2600: Modifies requirements for naming the debtor in UCC Article 9 filings. Dead.
(Continued on page 2)
Bills of Interest Update
2
May 7, 2013 Capitol Insider
HB 2608: Requires interest on some escrow accounts to support legal services. Work group expected.
HB 2662: Allows local government to keep up neglected property and impose a lien for reasonable costs. Passed House.
HB 2671: Creates State Office of Public Guardian and Conservator. In Ways and Means.
HB 2822: Requires publication of information about execution sales of real property by internet posting and in newspapers; requires
sheriffs to maintain a website for posting certain notices. Passed House.
HB 2826: Regulates debt buyers. In House Rules.
HB 3126: Authorizes issuance of bonds to finance courthouse construction and improvements. In Ways and Means.
HB 3129: Requires certification of professional fiduciaries and creates a work group to review professional fiduciary practices. In
Ways and Means.
HB 3160: Includes insurance in services subject to the Unlawful Trade Practices Act. Passed House; in Senate General Government.
HB 3174: Allows a debtor to choose federal or state exemptions in bankruptcy proceedings. In House Rules.
HB 3249: Broadens rights of grandparents in juvenile dependency hearings. In Ways and Means.
HB 3520: Similar to HB 3174, but with language specifically limiting application to bankruptcy proceedings.
SB 54: Provides procedure for dealing with digital assets in estate administration. Dead; interim work group possible.
SB 90: Modifies certification system for shorthand reporters. Passed Senate.
SB 396: Exempts medical and health savings accounts from execution. Passed Senate.
SB 558: Requires mediation in both judicial and non-judicial foreclosures, with exceptions. Passed Senate; in House Consumer Pro-
tection and General Government.
SB 592: Technical revisions of the Uniform Trust Code. Passed Senate.
SB 622: Clarifies who has access to court records in juvenile proceedings. Passed Senate.
SB 623: Clarifies who has access to court records in adoption proceedings. Passed Senate.
SB 635: Requires shorthand reporter for aggravated murder trials. In Ways and Means.
(Continued from page 1)
Next Deadlines Loom: May 20 and May 31
As the bill status list above shows, a number of bills are “dead” -
they did not emerge from the originating chamber committee by
an April 18 deadline. Exceptions are the bills that are in the origi-
nating chambers’ rules or revenue committees or in the Joint
Ways and Means Committee.
What is the next set of deadlines? Again, with the exceptions
noted above, bills in the second chamber (i.e., senate bills in the
house and vise-versa) must be posted for work session by Mon-
day, May 20. (A work session is a meeting at which a committee
takes action to amend or pass the bill out of committee or both.)
After that, committees must vote such bills out of committee by
Friday, May 31. In other words, if by May 31 a bill is not on its
way to a floor vote, in the senate or house rules or revenue com-
mittees or in Joint Ways and Means, the bill is dead.
In this context “dead” needs some qualification. Proponents of a
dead bill may look for another bill into which the dead bill’s pro-
visions may be amended. The only limit on this process is that
the dead bill’s subject must “relate to” the same subject as the
original bill. In this sense, no bill is ever truly “dead” until the
legislature adjourns.
Bar Holds Day at the Capitol
The bar held its biennial Day at the Capitol on May 1, at which bar members met with their
legislators to discuss issues facing the justice system. Activities were focused on the bar’s pri-
orities: adequate funding for the courts, indigent defense and legal services. The event feasted a
noon presentation from Chief Justice Tom Balmer, bar president Mike Haglund, and a half
dozen supportive legislators.
Over 50 lawyers from around the state participated and participants met with over 53 legislators
or their staff. Joining the bar in this effort was the Citizens’ Campaign for Court Funding, an
advocacy organization of state leaders, business leaders and bar leaders that advocates for ade-
quately funded courts in Oregon.
Revenue Forecast: Up for a Change
End of Session
Comes into View. All
committees except the
House and Senate
Rules Committees,
House and Senate
Revenue Committees
and the Joint Ways and
Means Committee will
close on or before May
31. At the beginning of
the session leadership
established June 28 at
the target date for ad-
journment; the consti-
tutional time limit for
the session requires
adjournment by July
13.
Oregon eCourt roll-
out continues. For
further information, go
to www.osbpublicaffairs.ho
mestead.com/files/
May13OJDWebNotice-
FileServev10ed.pdf
PUBLIC AFFAIRS DEPARTMENT
Susan Grabe,
Public Affairs Director
David Nebel,
Public Affairs Legislative Attorney
Matt Shields,
Public Affairs Staff Attorney
Amanda Roeser,
Public Affairs Assistant
2013 PUBLIC AFFAIRS COMMITTEE
Matthew Kehoe, Chair, Hillsboro
Hunter Emerick, Vice-Chair, Salem
Patrick Ehlers, Portland
Theresa Kohlhoff, Portland
Travis Prestwich, Salem
Joshua Ross, Portland
Timothy Williams, Bend
May 24, 2013 OSB Public Affairs Newsletter for Bar Leaders
L egislators received welcome news from
the state economist on May 16: the pro-
jected revenue for both the current bien-
nium and the next biennium were up roughly
one percent. The increase in this budget cycle
was fueled by robust tax collections in April and
the continued, if slow, recovery from the reces-
sion.
For the biennium that ends on June 30, 2013,
this means an increase of $126.2 million over
the last forecast and an increase totaling $223.3
million over the “close of session” forecast on
which the budget was based. In fact, the forecast
is good enough that both the corporate and per-
sonal income tax kickers may come into play.
The economists expect corporate tax collections
to exceed the kicker threshold, which will result
in kicker payments of $20.3 million. (The corpo-
rate kicker ballot measure that was passed in
2012 does not take effect until the next bien-
nium.) The personal income tax kicker is possi-
ble, but unlikely.
The economists forecast general fund net reve-
nue of $15.485 billion for the 2013-15 biennium,
which begins on July 1, 2013, representing an
8.8 percent increase over the current biennium.
This figure is significant, because it will be the
number on which the budget will be based. It is
also the number on which the next biennium
kicker will be calculated: if revenue exceeds this
sum by two percent or more, the entire amount
in excess will be returned to taxpayers. The
economist referred to the possibility that this
forecast underestimates the strength of the eco-
nomic recovery as an “upside risk.”
The changes to the current biennial figures will
allow the state to carryover $115.1 million into
the next biennium. Including this carryover, the
state should have $271.5 million more in the
next biennium than previously forecasted in
March.
Before the release of the revenue forecast on May 16, resolution of the budget issues seemed to
require some combination of increased revenue and additional savings from the PERS system. The
Governor had released such a proposed package on May 15, and asked the leaders of the legislative
caucuses to respond by the end of the next day.
To some extent, the strength of the revenue forecast took the pressure off the legislature to raise
revenue or to make cuts to generate savings, because the unexpected $271 million increase is close
to what the Ways and means Co-Chairs need to make the budget work. Republicans insist that they
are willing to continue talks about tax increases and PERS. Meanwhile, the Governor and the Co-
Chairs are developing a budget based on the assumption that no new revenue or savings will be-
come available.
Even if negotiations go nowhere, the Democrats must still get some Republican support in the Sen-
ate for the budget to pencil out. HB 2216 renews a hospital tax that was originally passed in 2003
and has been re-passed without much debate each session since then. The hospital tax would raise
(Continued on page 2)
Budget Negotiations: Work in Progress
2
May 24, 2013 Capitol Insider
$800 million during the next biennium, which would then generate $1.3 billion in Medicaid matching funds from the federal govern-
ment. If HB 2216 fails to pass, Oregon loses these matching funds, as well as the income from the tax itself. This bill passed the
House with Republican support, but some think the Senate Republican caucus may view it as a bargaining chip in gaining further
PERS reductions.
(Continued from page 1)
Expenses that One Lobbyist Incurs in Lobbying Another:
Reporting Required?
Professional lobbyists are required to reg-
ister with the Oregon Government Ethics
Commission (OGEC) and to report lobby-
ing expenditures on a quarterly basis. Ex-
penditures have been understood to include
money expended for lobbying government
officials, such as money spent on taking a
legislator to lunch.
Lobbying is a collegial pursuit in which
lobbyists representing different clients
cooperate to advocate for or against bills in
which the clients’ interests may be similar.
Recently, the OGEC issued a staff opinion
stating that expenses incurred by a regis-
tered lobbyist when lobbying another lob-
byist must be reported on the quarterly
reports. In addition, the opinion would also
require the lobbyists’ employers to report
expenses that they incur when discussing
lobbying matters with their own lobbyist.
This opinion took the lobby by surprise, to
say the least: until now, no one had consid-
ered such expenses reportable. The House
Rules Committee has introduced HB 3528,
which would restore the reporting require-
ments to what has always been standard
practice. The committee held a public
hearing on May 20, but the future of the
bill is unclear.
Multnomah County Trial Court Administrator, Doug Bray, Honored
Doug Bray, trial court administrator for Multnomah County, has
received the National Center for State Courts (NCSC) 2012 Dis-
tinguished Service Award, one of the highest awards the NCSC
bestows. The award is presented annually to persons who have
made significant contributions to the justice system and who have
supported the mission of the NCSC, that is, to improve the ad-
ministration of justice through leadership and service to state
courts. Justice David Brewer, an NCSC board member, will pre-
sent the award to Mr. Bray at a Multnomah Bar Association event
on May 28.
Mr. Bray has worked for the judicial branch since 1971, and has
been the Multnomah County trial court administrator since 1991.
He has both a J.D. and an MBA from Willamette University. Mr.
Bray has been an active part of many court-improvement initia-
tives, most recently including active involvement in the state
wide rollout of the Oregon eCourt program.
Bar Legislation Update
Most of the bills introduced at the Bar’s request have made their
way through the legislative process. All bills are available at
www.leg.state.or.us/bills_laws.
SB 52 (Administrative Law Section) requires state agencies, with
certain exceptions, to maintain final agency orders in contested
cases in simple digital format and to forward orders upon request
to the Bar for posting on the Bar’s legal research data base, Fast-
case. Governor signed; effective January 1, 2014.
SB 53 (Animal Law Section) would have allowed peace officers,
as part of their community caretaking function, to enter and re-
main on private property if necessary to prevent harm to animals.
Dead.
SB 54 (Estate Planning and Administration Section) would have
provided for administration of “digital assets” in estate admini-
stration. Dead; however the Uniform Laws Commission is devel-
oping uniform legislation, which could lead to an interim work
group.
SB 55 (Uniform Criminal Jury Instructions Committee) resolves
a conflict between a statute and a 1961 Supreme Court ruling.
Governor signed; effective January 1, 2014.
SB 124 (Military and Veterans Law Section) allows a court to
consider a defendant’s status as a servicemember in determining
sentence mitigation. Passed House and returned to Senate for
concurrence with House amendments; effective on Governor’s
signature.
SB 125 (Military and Veterans Law Section) requires administra-
tive agencies to comply with the notice requirements of the fed-
eral Servicemembers Civil Relief Act. Awaiting Governors sig-
nature; effective September 1, 2013.
(Continued on page 3)
3
May 24, 2013 Capitol Insider
HB 2565 (Board of Governors) is a Bar housekeeping bill that
does three things:
1. Gives priority to claims for compensation and expenses of a
law-practice custodian;
2. Aligns the due dates for member compliance; and
3. Allows the Bar to provide delinquency notices by e-mail.
Governor signed; effective March 11, 2013.
HB 2566 (Business Law Section) allows a corporation’s board of
directors to delegate to a corporate officer the authority to make
equity awards to employees. Governor signed; effective January
1, 2014.
HB 2567 (Business Law Section) allows corporations to conduct
remote-only shareholder meetings and non-profit corporations to
conduct remote-only membership meetings, such as meetings by
webcast without a physical location. Awaiting Governor’s signa-
ture; effective January 1, 2014.
HB 2568 (Debtor-Creditor Section) clarifies the procedure for
amending a notice of sale in a trust deed foreclosure after a re-
lease from a stay of proceedings. Governor signed; effective
January 1, 2014.
HB 2569 (Debtor-Creditor Section) allows a law firm to be des-
ignated as trustee in trust deed foreclosures. Governor signed;
effective January 1, 2014.
HB 2570 (Elder Law Section) clarifies the procedures and the
factors a court considers in awarding attorney fees in protective
proceedings. Governor signed; effective January 1, 2014.
HB 2571 (Family Law Section) addresses:
1. Termination of spousal support upon the death of either
party; and
2. The applicability of financial restraining orders to non-
married parents.
Governor signed; effective January 1, 2014.
HB 2572 (Family Law Section) provides authority to courts to
award attorney fees in actions to enforce a requirement that the
obligor maintain life insurance. Governor signed; effective Janu-
ary 1, 2014.
HB 2573 (Board of Governors) makes unauthorized practice of
law by immigration counselors an unlawful trade practice. Gov-
ernor signed; effective January 1, 2014.
HB 2608 (Oregon Law Foundation) would have established an
IOLTA-like program with interest on certain escrow accounts.
Dead; interim work group likely.
(Continued from page 2)
Judicial Department Budget: A Mixed Bag
Prospects for legisla-
tive adjournment by
the end of June are
guarded. Most com-
mittee’s are closed, but
negotiations on critical
issues continue, in-
cluding public safety
and PERS reforms,
new revenue and the
budget for K-12
schools.
Oregon eCourt
rollout continues. For
further information, go
to www.osbpublicaffairs.ho
mestead.com/files/
May13OJDWebNotice-
FileServev10ed.pdf
PUBLIC AFFAIRS DEPARTMENT
Susan Grabe,
Public Affairs Director
David Nebel,
Public Affairs Legislative Attorney
Matt Shields,
Public Affairs Staff Attorney
Amanda Roeser,
Public Affairs Assistant
2013 PUBLIC AFFAIRS COMMITTEE
Matthew Kehoe, Chair, Hillsboro
Hunter Emerick, Vice-Chair, Salem
Patrick Ehlers, Portland
Theresa Kohlhoff, Portland
Travis Prestwich, Salem
Joshua Ross, Portland
Timothy Williams, Bend
June 17, 2013 OSB Public Affairs Newsletter for Bar Leaders
T he Ways and Means Public Safety Sub-
committee has voted out HB 5016—the
Judicial Department budget for the 2013-
’15 biennium. As usual, this budget is a mix of
good news and bad news. The general fund allo-
cation is $402.5 million, an increase of $34.7
million from last biennium, but $6.8 million less
than required to maintain current services.
First the good news:
The bill provides funds for a new three
judge panel for the Court of Appeals, effec-
tive October 1, 2013.
Annual judicial salaries will increase by
$5,000, effective January 1, 2014.
Freelance certified court interpreters will
receive a raise to $40 per hour.
Bond funding of $24.3 million and nearly
38 full time limited duration positions will
enable continued roll out of Oregon eCourt.
$3.5 million will be provided for local facil-
ity infrastructure projects, including $2 mil-
lion toward replacement of the Union Coun-
ty Courthouse
Funding for basic court operations is suffi-
cient to avoid the unpaid furloughs that
have been in effect for the last two biennia:
courts will be open five days every week.
Unfortunately the budget does not address con-
tinued inadequate support for trial court services.
The amount required to maintain services at
current levels totals $214.6 million; the amount
appropriated is $207.2 million. The result is that
court users can expect understaffing of clerical
positions to continue. The department’s budget
request had included funds to restore more than
60 positions lost over the last two biennia; in-
stead the budget includes funds for some five
additional full time equivalent positions.
HB 5016 also includes an unspecified $3 million
general fund reduction to assist in the balancing
of the state’s general fund budget. The depart-
ment is instructed to “take management actions
to implement the reductions.”
The 2013 legislature considered a number of issues that received some attention but were thought
to need further study. The further study can take a number of forms. The legislature could formally
create a task force to consider an issue and report to a future session, a legislative committee could
decide to study a project in the interim, or a group like the bar could agree to draw interested par-
ties together to attempt to resolve an issue. The following is a list of issues likely to be addressed in
one of these ways during the legislative interim.
Interest on escrow accounts: (HB 2608) A work group to consider the idea of using interest on
real estate escrow accounts to support legal services is likely under the auspices of the House
Business and Labor Committee.
Definition of “elder abuse”: HB 2205 mandates formation of a task force to define “elder
abuse” for the purposes of the abuse reporting statutes.
(Continued on page 2)
Interim Work Groups and Task Forces
2
June 17, 2013 Capitol Insider
Public notice by Internet: The bar has appointed a task force to explore a system for providing notice to the public on a searcha-
ble website.
Spousal support factors: (HB 2559) The House Judiciary Committee may form a work group to consider possible changes to the
factors the court considers in awarding spousal support.
Digital assets: (SB 54) The OSB Estate Planning Section proposed a bill in 2013 that was shelved in light of the work of the
Uniform Laws Commission on a uniform law about administering digital property in decedents’ estates. A work group seems
likely if the ULC completes its work in time for the 2015 session.
Practice issues: The bar will create one or two work groups to deal with several disparate practice issues that arose in 2013.
Alternate jurors in criminal cases. (SB 798)
Procedure for change or resignation of counsel. (SB 799)
Limiting motions for change of judge in small judicial districts. (SB 812)
Speedy Trial requirements: (HB 2692) The legislature passed a repeal of the current speedy criminal trial statute, effective April
1, 2014. This put the onus on the criminal defense bar to put an effective work group together to address this issue for the 2014
session.
The Oregon Law Commission will also generate work groups on a number of issues, including probate modernization. See http://
www.willamette.edu/wucl/centers/olc/groups/2011-2013/Probate%20Modernization/pdf/Probate%20Modernization%20Proposal%
2010.02.12.pdf
A commission work group on judicial selection worked hard in 2012 but was not ready to place a proposal before the 2013 session;
that group may continue its work in the next interim.
(Continued from page 1)
Effective Dates for Legislation: A Trap for the Unwary
Measures passed in a legislative session take effect by default on
January 1 of the next year, unless the measure provides for a dif-
ferent effective date. Many measures contain an “emergency
clause,” which means that the measure is effective upon the Gov-
ernor’s signature. Other measures contain designations of specific
effective dates.
Failure to know the existence and effective date of a relevant
legislative measure can prejudice a client’s case and leave a prac-
titioner open to professional negligence claims. For example, the
governor signed SB 124 on June 6, and the bill became effective
immediately. SB 124 says that a court may take into account a
defendant’s status as a service member or veteran in considering
mitigation of sentence. An attorney currently representing a vet-
eran who fails to make an argument for mitigation based on vet-
eran status after a guilty verdict disserves her or his client and
risks a malpractice claim.
Many bills carry emergency clauses or clauses establishing a spe-
cific effective date. Besides SB 124, some of the bills passed this
session that are currently in effect include:
SB 32, relating to military regulations for governance of the
militia.
SB 42, relating to DNA testing.
SB 44, relating to appeals.
SB 50, relating to trial court jurisdiction after notice of ap-
peal has been filed.
SB 51, relating to state court administration, and addressing
consolidation of probation violation proceedings.
SB 141, relating to documents used in connection with busi-
ness entities.
SB 142, relating to improving the Secretary of State’s busi-
ness registry procedures.
SB 483, relating to resolution of matters related to health
care.
SB 558, relating to foreclosures of residential trust deeds.
(Most of the substantive provisions of this bill do not take
effect until August 5.)
HB 2378, relating to time for filing petition seeking appoint-
ment of guardian for a minor upon attaining majority.
HB 2627, relating to driving while under the influence diver-
sion agreements.
HB 2944, relating to electronic legal materials.
Many other bills passed in 2013 are now in effect, but those listed
above may be of immediate importance to practitioners.
3
June 17, 2013 Capitol Insider
In 2009, the legislature passed HB 2500 (www.leg.state.or.us/09reg/measpdf/hb2500.dir/hb2500.en.pdf) which directed the Depart-
ment of Administrative Services to establish a state transparency website, designed to provide citizens access to information that is
public record, not exempt from disclosure. www.oregon.gov/transparency/Pages/index.aspx In 2011 the legislature passed bills ex-
panding the content of the website.
The 2013 session has continued the transparency website project in the following bills:
HB 2370 requires additional information to be posted on the website relating to public meetings, administrative rules and con-
tracts. The bill requires that links to local government or special government financial transparency websites be provided to the
Department of Administrative Services for posting when such links are available. www.leg.state.or.us/13reg/measpdf/
hb2300.dir/hb2370.a.pdf
HB 3035 requires an advisory commission to develop a plan by January 1, 2015 to provide information on the website relating
to contracts entered into by various government entities. www.leg.state.or.us/13reg/measpdf/hb3000.dir/hb3035.a.pdf
As Oregonians become increasingly comfortable with seeking and finding information on the internet, the legislature continues to
prod all levels of government to provide more widely accessible information. The legislature itself has become more transparent in
2013 with the Oregon Legislative Information System, which allows the public access to all materials committees consider in acting
on legislation. Continuing improvements in internet state government transparency are likely to continue for the foreseeable future.
Legislature Expands Transparency Project
Legislature Sets Up Procedure to Assess Racial and Ethnic Impact
In recognition of the over-representation of
ethnic minorities in the state’s corrections
and foster care systems, the legislature is
likely to pass a bill to require a prospective
analysis of the effects of proposed legisla-
tion and ballot measures on minorities.
https://olis.leg.state.or.us/liz/2013R1/
Measures/Text/SB463/B-Engrossed Such
an analysis would occur only at the written
request of a member of the legislature from
each party. Upon such requests, SB 463
requires the Criminal Justice Commission
to prepare a statement on the impact of
proposed legislation or a ballot measure on
the racial and ethnic composition of the
criminal offender population or recipients
of juvenile dependency services.
In addition, SB 463 requires state agencies
that award grants to require grant applica-
tions to include racial and ethnic impact
statements. Such statements must include:
Any disproportionate or unique impact
or proposed policies or programs on
minorities;
A rationale for such policies; and
Evidence of consultation with repre-
sentatives of minorities that would
experience disproportionate or unique
impacts.
These requirements will apply only to
grants awarded to corporations or other
legal entities, not to natural persons.
A bill that addresses racial profiling by law
enforcement officers was introduced but
did not move during the session. https://
olis.leg.state.or.us/liz/2013R1/Measures/
Text/SB560/Introduced SB 560 may re-
ceive attention in the interim, however; an
“informational hearing” is scheduled for
the judiciary committees on June 18 to
consider the issues the bill raises.
End of Session Wrap-Up
As the legislature ad-
journed, the leaders
published a schedule
of legislative meetings
and deadlines for the
interim. The next
events are released of
the first post-session
revenue forecast on
August 28 and com-
mittee hearings on
September 16-18.
PUBLIC AFFAIRS DEPARTMENT
Susan Grabe,
Public Affairs Director
David Nebel,
Public Affairs Legislative Attorney
Matt Shields,
Public Affairs Staff Attorney
Amanda Roeser,
Public Affairs Assistant
2013 PUBLIC AFFAIRS COMMITTEE
Matthew Kehoe, Chair, Hillsboro
Hunter Emerick, Vice-Chair, Salem
Patrick Ehlers, Portland
Theresa Kohlhoff, Portland
Travis Prestwich, Salem
Joshua Ross, Portland
Timothy Williams, Bend
July 17, 2013 OSB Public Affairs Newsletter for Bar Leaders
I n its final weeks, the legislature passed a
number of bills of particular interest to the
legal profession.
HB 5008 and HB 2322. Every session ends
with passage of a budget reconciliation bill that
allocates any available funds, and a “program
change bill” that implements these allocations.
The reconciliation bill is often referred to as the
“Christmas tree bill”, because it provides unex-
pected funding to its beneficiaries. These bills
indeed provided an unexpected increase to judi-
cial salaries, which were already increased in the
judicial department budget bill (HB 5016) by
$5,000, effective January 1, 2014. The Christ-
mas tree bill provides an additional $5,000 annu-
al increase, effective January 1, 2015.
HB 5008 also includes a supplemental appropri-
ation of $2.4 million for the Public Defense Ser-
vices Commission to reduce juvenile dependen-
cy caseloads and increase compensation.
SB 5506 authorized issuance of bonds for vari-
ous projects, including $15.2 million for court-
house capital construction as seed money for
Multnomah County and improvements and $4.4
million for renovations to the Supreme Court
building.
HB 2562 resolves a number of issues for state
and local courts. In addition to housekeeping
provisions relating to Oregon eCourt, the bill
addresses the distribution of fine revenue be-
tween the state and local jurisdictions and re-
solves in the short term Oregon eCourt fees.
With respect to the distribution of revenue, cur-
rent law provides that the first $60 of fine reve-
nue collected by justice and municipal courts
must be paid into the state’s Criminal Fine Ac-
count (CFA). HB 2562 reduces that amount to
$45 and provides for an equal split of income
from fines received above $45 between the CFA
and the local jurisdiction.
HB 2562 also temporarily resolves issues sur-
rounding fees for eCourt filings. The judicial
department’s initial proposal was to allow the
Chief Justice to set fees. The department circu-
lated a proposed schedule that would have re-
quired a fee for each electronic filing, and either
a subscription or a per view fee to look at docu-
ments online. The bill that ultimately passed
increases some filing fees by five percent and
dedicates the revenue to a fund for maintenance
of the electronic court system. This part of the
bill takes effect on October 1, 2013 and sunsets
June 30, 2014. Oregon eCourt fees will clearly
be on the table in the February 2014 session.
HB 3194. A focus of interim activity between
the 2012 and 2013 sessions was a Commission
on Public Safety, appointed by the governor and
chaired by former Chief Justice Paul De Muniz.
The objective was to avoid projected increases
in the prison population over the next 10 years
and thereby to avoid increasing Corrections
spending. The commission developed two policy
option packages: a robust proposal that included
granting judges more discretion in sentencing in
three specific Measure 11 offenses; and a more
scaled back set of recommendations. After
months of difficult negotiations, a scaled back
version emerged from the special joint com-
mittee established specifically to consider
public safety and sentencing reform.
HB 3194 is intended to hold the prison popu-
lation at current levels for the next five years
by eliminating some mandatory and presump-tive sentences in Measure 57, lowering penal-
ties for some marijuana related crimes and for
driving while suspended, allowing non-violent
(Continued on page 2)
2
July 17, 2013 Capitol Insider
offenders to convert two months of prison time to parole time, and allowing probation officers to impose looser requirements for
persons they supervise. The savings for the first two years will be $17 million, which will be added to other resources to provide
more support for local community corrections programs.
HB 3194 passed 40-18 in the House and 19-11 in the Senate. A two-thirds majority is arguably required for passage of this bill, since
it might be found to reduce a criminal sentence approved by the people through the initiative process. See the Oregon Constitution,
Article IV, Section 33. Notwithstanding an opinion to the contrary from legislative counsel, given the dissatisfaction of some crime
victim advocates with this bill, litigation on the issue is not out of the question.
(Continued from page 1)
Further Notes on Traps for the Unwary
A perceptive reader of the last issue’s article on effective dates
and emergency clauses pointed out that some bills carry emer-
gency clauses but also have provisions that some sections be-
come operational on different dates. This is often the case where
an agency needs time to make implementing rules.
An example from the list in the last issue is SB 558, addressing
foreclosure mediation. Section 19 of the bill contains a standard
emergency clause, but that’s not the complete story. Section 16
(1) provides that the substantive provisions become operative 61
days after the effective date, and Section 16(2) authorizes the
attorney general to take action to exercise the duties the bill pro-
vides prior to the operative date. Section 17 spells out the appli-
cation of the bill to proceedings in process as of the operative
date specified in Section 16(1).
Having said all that, when is the bill effective? Emergency claus-
es mean that the bill takes effect “upon passage” - this is, when
the governor signs the bill. This information is available on the
legislative website, either in the measure history at
www.leg.state.or.us/bills_laws or in the OLIS system at https://
olis.leg.state.or.us/liz/2013R1. The governor signed SB 558 on
June 4, and 61 days later is August 5.
Another striking example of the variation of effective dates is in a
bill from the 2012 session, which adopted various amendments to
UCC Article 9 proposed by the Uniform Laws Commission. HB
4035 contained an emergency clause and took effect for rulemak-
ing purposes on March 4, 2012, when the governor signed it. The
operative date, however, is July 1, 2013. The bill contained ten
sections setting forth effective dates and the bills application to
transactions in process between March 4, 2012 and July 1, 2013.
www.leg.state.or.us/bills_laws.
When in doubt, the safest way to find out whether a bill has taken
effect is to look at the bill itself. All bills are available on the leg-
islative website. www.leg.state.or.us/bills_laws.
Federal Justice System Braces for Sequester to Kick In
Lawyers who pay attention to public policy issues on the state level are aware of the travails of Oregon’ judicial branch, which has
struggled to provide full service over the last several biennia due to budget constraints. Perhaps less well known are the challenges
currently facing the federal justice system in light of the automatic cuts that result from the budget sequester.
If Congress does nothing to address the problem, the challenges in the fiscal year that begins October are dire:
Oregon federal courts have already stopped holding criminal proceedings on Fridays. Further cuts may require lay-offs in a
system that is already stretched to the maximum.
The federal defender office will be especially hard hit. The office must either lay-off between 20 and 25 of its 74 employees, or
implement 70 to 80 furlough days in the fiscal year that begins on October 1.
The defender office will decline representation in cases that it cannot handle competently. Those cases must either be dis-
missed, or private counsel appointed at greater cost.
The U.S. Attorney’s office and bankruptcy court are also facing substantial cutbacks. U.S. Attorney Amanda Marshall is con-
cerned that drug and alcohol treatment centers may be substantially reduced.
The disarray in the federal budget process is causing unprecedented insecurity in the federal justice system as a whole, which will
likely affect public safety and disrupt the conduct of both criminal and civil litigation.
3
July 17, 2013 Capitol Insider
Chief Justice Thomas A. Balmer has approved changes to the Uniform Trial Court Rules (UTCR) that become effective on August 1,
2013. Changes of particular interest address media access, motions to suppress evidence, sealed documents, depository statements,
and small claims dismissals. The 2013 version of the UTCR can be found at: http://courts.oregon.gov/OJD/programs/utcr/
utcrrules.page.
The UTCR committee’s next meeting is scheduled for October 18 (and 19, if necessary), 2013. The committee welcomes proposals
for change to the UTCR. Please submit your proposals by August 30, 2013, to [email protected] or UTCR Reporter, Supreme
Court Building, 1163 State Street, Salem, Oregon, 97301-2563.
UTCR Changes Effective August 1, 2013
Adjusted Tort Liability Limits Against Public Bodies Effective July 1, 2013
The office of the State Court Administrator
(OSCA) has followed the required statuto-
ry methodology, identified in ORS 30.273
(3), to calculate the annual adjustment to
the limitations on liability of public bodies
for property damage or destruction. Based
on these calculations, the limitations are
adjusted to $106,700 for any single claim-
ant and $533,400 for all claimants. These
new limitations became effective on July
1, 2013, and apply to all causes of action
arising on or after July 1, 2013, and before
July 1, 2014.
OSCA opened a public comment period on
the adjustments from March 29, 3013, to
5:00 p.m. on May 31, 2013, but received
no comments challenging the calculations.
As a reminder, ORS 30.271 and 30.272
establish the annual adjustments to the
limitations on liability of public bodies for
personal injury and death. Pursuant to ORS
30.271(2) and (3), the limitations applica-
ble to the state for personal injury and
death are adjusted to $1,900,000 for any
single claimant and $3,800,000 for all
claimants. Pursuant to ORS 30.272(2) and
(3), the limitations applicable to local pub-
lic bodies for personal injury and death are
adjusted to $633,300 for any single claim-
ant and $1,266,700 for all claimants. These
new limitations became effective on July
1, 2013, and apply to all causes of action
arising on or after July 1, 2013, and before
July 1, 2014.
A list of past and current limitations on
liability of public bodies can be found on
the Oregon Judicial Department website at:
http://courts.oregon.gov/OJD/courts/
circuit/tort_claims_act.page
Please submit questions or comments to
Three Legislative Veterans Retire
July sees the retirement of three lawyers who have been involved in the legislative process in various
roles over the last decade or longer.
Dave Heynderickx has retired after 25 years of distinguished service in the Office of Legislative Coun-
sel. Dave drafted many bills for the Oregon Law Commission, including a major re-write and moderni-
zation of the statutes pertaining to judgments. He also drafted many bills the bar sponsored on behalf of
sections.
Lou Savage began his career at legal services, was in private practice for a few years, ran Congressman
Ron Wyden’s district office, held various positions in the governor’s office and then worked in various
capacities in the Department of Consumer and Business Services, most recently as Insurance Commis-
sioner.
David Nebel also worked at legal services before moving to the bar’s Public Affairs Department in
2003. David’s work facilitated bar groups’ efforts to propose bills for bar sponsorship and then to pass
them in the legislature. He also has written for the Capitol Insider. David has been an invaluable mem-
ber of this staff and will be greatly missed.
The bar wishes them well in their future pursuits.
David Nebel, Public Affairs
Legislative Attorney
Focus on Elder Abuse Continues Next Legislative Events
As the 2014 session approach-
es, here are some deadlines that
will come into play:
January 13, 2014: Meas-
ure drafts will be returned
from Legislative Counsel
January 21, 2014:
Measures must be filed by
5:00 p.m.
February 3, 2014: 2014
Legislative Assembly
convenes
February 20, 2014: OSB
Legislative Reception
March 9, 2014: Deadline
for adjournment of 2014
session.
Reminder: Deadline for bar
bills
April 4, 2014 is the deadline
for sections and committees to
submit legislative proposals to
the Public Affairs Department
for bar sponsorship in the 2015
session. The materials should
describe the proposal in detail
and include draft bill language.
PUBLIC AFFAIRS DEPARTMENT
Susan Grabe,
Public Affairs Director
Amy Zubko,
Public Affairs Legislative Attorney
Matt Shields,
Public Affairs Staff Attorney
Amanda Lunsford,
Public Affairs Assistant
2013 PUBLIC AFFAIRS COMMITTEE
Matthew Kehoe, Chair, Hillsboro
Hunter Emerick, Vice-Chair, Salem
Patrick Ehlers, Portland
Theresa Kohlhoff, Portland
Travis Prestwich, Salem
Joshua Ross, Portland
Timothy Williams, Bend
December 18, 2013 OSB Public Affairs Newsletter for Bar Leaders
During the 2013 session, the Legislature contin-
ued to focus on elder abuse with the passage of
HB 2205. The bill, championed by House
Majority Leader Val Hoyle (D-14) and Repre-
sentative Vic Gilliam (R-18), not only recon-
vened the Oregon Elder Abuse Work Group
through June 30, 2015, it expanded the list of
individuals who are required to report elder
abuse to include attorneys, dentists, optome-
trists, chiropractors and members of the Oregon
Legislative Assembly. While HB 2205 became
effective on June 11, 2013; the changes to the
reporting process will not apply until January 1,
2015.
The work group, which now includes two mem-
bers appointed by the Board of Governors, met
during the September legislative days and split
into two sub-work groups. The first group is
charged with studying and making recommenda-
tions to develop a consistent definition of vul-
nerable persons across populations, agencies,
law enforcement, and service providers. The
second group will consider the implementation
of a reporting hotline and develop outreach ef-
forts. Both sub-work groups have been active
since September and are working toward a full
work group meeting in the new year.
Previously, mandatory reporters for elder abuse
could be generally described as caregivers: phy-
sicians, social workers, nurses, senior center
employees. HB 2205 expands the new reporting
requirement to bar members and extends the
requirement to all hours (24/7). The statute,
however, exempts attorneys and members of the
clergy from reporting elder abuse if the infor-
mation was obtained through their professional
capacity. The bill requires the Oregon State Bar
to establish minimum training standards for law-
yers regarding elder abuse. The changes to the
mandatory reporting process will become opera-
tive on January 1, 2015.
State Provides Financial Support for Courthouse
Construction and Improvements
Court facilities across Oregon will benefit from
increased legislative support for capital improve-
ments and life-and-safety upgrades. This year
the Legislature approved state funding for court-
house construction and improvements in the
2013–2015 state budget. The Union County
Courthouse, currently located in a repurposed
hospital built in 1937, received the lowest over-
all rating in a 2008 assessment of courthouse
facilities. The proposed replacement courthouse
in La Grande will receive $2 million in state
financial support to supplement contributions
and county funding. The Curry County Court-
house will receive $150,000 to finance the re-
placement of its 22-year-old roof. The Supreme
Court building in Salem will receive $4.4 mil-
lion in general obligation bond proceeds to ad-
(Continued on page 2)
2
December 18, 2013 Capitol Insider
dress major safety issues and perform essential repairs to the his-
toric facility. The bonds are scheduled to be issued in early 2015.
Finally, Curry, Gilliam, Malheur, and Wallowa counties will di-
vide close to $1.4 million to install life-and-safety upgrades, in-
cluding fire sprinklers and fire alarm systems.
The budget also includes $15 million in general obligation bond
proceeds to support efforts to replace the Multnomah County
Courthouse. Additional action, either by the Legislature or the
Emergency Board, will be necessary to release the funds for this
project.
(Continued from page 1)
Changes to PERS Trigger Lawsuits
Monday, December 9, 2013, was the filing deadline to challenge SB 861 and SB 862, the PERS bills passed by the Legislature dur-
ing the October 2013 special session. SB 861 limits the cost-of-living adjustment (COLA) to 1.25 percent on the first $60,000 of a
retiree’s annual benefit payment and 0.15 percent on amounts over $60,000, while providing supplemental payments until mid-2019.
SB 862 made policy changes to the PERS retirement benefits. A bill passed during the regular legislative session this past March, SB
822, modified the COLA and eliminated the out-of-state tax benefit for some retirees. The COLA modifications in SB 822 were su-
perseded in part by SB 861.
All three bills provide for expedited review. Four petitions were filed in response to SB 822, and Judge Stephen Bushong was ap-
pointed by the Supreme Court as Special Master. The fact-finding process was originally scheduled for completion at the end of
2013. However, due to the passage of SB 861 and SB 862, Judge Bushong suspended fact-finding for SB 822.
Four petitions have been filed challenging SB 861. Because the modifications to the COLA in SB 822 and SB 861 use the same pro-
cess, the Supreme Court will review both bills together.
Revenue Forecast up with a Twist
Legislation passed during the Legislature’s
October 2013 special session strengthened
the December revenue forecast. The fore-
cast, released November 21, showed a rev-
enue increase over both the close-of-
session and September 2013 forecasts.
With the legislative action taken in Octo-
ber, the general fund revenue forecast for
the current 2013–2015 biennium was re-
vised upwards by $115 million from the
September revenue forecast of $15,762.8
million. Lottery resources decreased by
almost $4 million from the September
forecast, to a total of $1.058 million. Be-
tween forecast revisions to the general
fund and lottery fund, and administrative
actions, revenues have increased $132.6
million above the September forecast, re-
sulting in projected net combined revenue
for the 2013–2015 biennium of $17,065
million.
While the changes to the forecast were
relatively minor compared to the total
2013–2015 general fund/lottery fund legis-
latively adopted budget of $16.440 billion,
the state economist did raise outstanding
issues that may affect the general fund
ending balance for the current biennium.
Due to the changes made in October, the
general fund forecast is halfway to the
personal income tax kicker threshold of
almost $292 million. With two more in-
come tax filing seasons before the end of
the biennium in July 2015, there are oppor-
tunities to breach the personal kicker
threshold. If the kicker is triggered, excess
revenue from general fund sources, ex-
cluding corporate tax revenue, is refunded
to individuals through the personal income
tax program. On the national level, con-
cerns regarding economic expansion stem-
ming from questions regarding federal
policy and continuing economic weakness
could negatively affect Oregon’s economic
health.
3
December 18, 2013 Capitol Insider
The House and Senate Judiciary Committees met jointly during the recent
November 2013 legislative days for lengthy discussions on the possibility
of marijuana legalization and the modification of the statutory speedy
trial requirements passed during the 2013 session.
Legislators opened the informational meeting receiving testimony on pro-
posed changes to Oregon’s marijuana laws. Congressman Earl Blumenau-
er from Oregon’s Third District, advocates for the legalization of the sale
of marijuana, and citizens from Washington and Colorado testified on the
legalization process and the benefits and challenges of decriminalization.
Senator Floyd Prozanski, chair of the Senate Judiciary Committee, ended
the hearing by sharing possible legislation for the 2014 session. https://
olis.leg.state.or.us/liz/2013I1/Downloads/
CommitteeMeetingDocument/31196.
HB 2962, passed during the 2013 legislative session, removes the statuto-
ry speedy trial requirements found in ORS 135.747. Former Oregon Su-
preme Court Chief Justice, Paul De Muniz, at the invitation of committee
staff, provided the committees with a history of statutory and constitu-
tional speedy trial requirements in Oregon. The presentation concluded
with presentations from Aaron Knott at the Department of Justice and
Gail Meyer with the Oregon Criminal Defense Lawyers Association and
a discussion of modifications that could be made to Oregon’s statutory
language.
Judiciary Committees meet during
November Legislative Days
New OSB Public Affairs
Legislative Attorney
We are pleased to announce that Amy
Zubko has joined the Oregon State
Bar as the Public Affairs Legislative
Attorney. Amy attended the Universi-
ty of Oregon School of Law and was
previously Senior Legislative Assis-
tant for Senator Devlin.