Basin business Nov. 2016

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NOVEMBER 2016

Basin Business

Tuesday, November 29, 2016, Herald and News

KLAMATH BASIN

Johnson Corps Medical Transport offers help for veterans

Business Nature’s Paint

Relax Hot Tubs and More opens in Klamath Falls — Page 4

KU’s DECA program thriving — Page 5 Nicole Morgan, left, an Oregon Tech graduate, and Sereena Thompson, co-founders of an all-natural brand of camouflage face paint for hunters are pictured wearing Nature’s Paint. Page 2 Submitted photo

A publication of the Herald & News

Chamber: www.klamath.org

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Tuesday, November 29, 2016, Herald and News

Basin Business

Nicole Morgan, an OIT graduate and co-founder of Nature’s Paint, created an all-natural brand of camouflage face paint for hunters, is pictured at left. H&N photo by Kevin Hume

OIT grads create new hunter face paint BY GERRY O’BRIEN

H&N editor ometimes an idea for a new product can literally hit you in the face. For a couple of entrepreneurs from the Basin, it started with applying hunter’s makeup for a bow hunting trip. Turns out, that makeup was difficult to apply and got all over their hands. It started to itch and it was tough to wash off at the end of the day. That’s when Nicole Morgan, 28, and Sereena Thompson, 29, came up with an alternative paint that is easy to apply, doesn’t itch and washes off with a baby wipe or face cloth. The new product is called Nature’s Paint, which hit hunting stores in August. The pair have been selling about 500 kits a month since then, and have been featured in women’s hunting magazines and on hunting blogs. They were recently given a $4,000 economic development loan from Klamath County for marketing. The business partners are both graduates of Oregon Institute of Technology; Morgan studied business marketing and Thompson — originally from Bly — is a vascular ultrasound technician in Redmond. They didn’t know each other in college, but a love of hunting and their boyfriend/husband brought them together. Here’s a short Q&A about their business:

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How the idea got started:

We were solving some problems for ourselves, Morgan said.

Sereena and I hunted together quite a bit during the 2015 hunting season. We would get up early, get dressed and apply some camo paint using a standard camo compact. About an hour into the hunt we would be complaining about how irritated and itchy our faces were. Around lunchtime we would come back to camp and attempt to take the paint off. The only problem was we could never get it all off. After vigorously scrubbing we still had paint left in our pores. Post hunt, this resulted in breakouts. After that season we came up with the idea to create an all-natural, safe face paint for ourselves; one we knew would go on easy, come off easy and most importantly be free

See PAINT, page 3


Basin Business

Tuesday, November 29, 2016, Herald and News

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Submitted photos

Sereena Thompson, left and center, and Nicole Morgan, right, model some of the hunter’s face paint they created. Pictured at right are some of the Nature’s Paints created by Thompson and Morgan. Submitted photo

Paint / Continued from page 2 of harmful chemicals. We both dabble in lotions as a hobby, so we thought if we can make lotions, face paint can’t be that difficult.

How did you fund it?

Bootstrapping. We both had some money to throw at the business to get us started. It has worked well for us so far. (They work out of their homes for now.) We are very excited and feel extremely blessed to be receiving this grant from Klamath County, as it is providing us with some marketing funds to take our business to the next level.

How long did it take you to get to market?

We got to a point where we felt we had developed a pretty cool product, one that others could really benefit from. At that point we decided to start a business. We formed our partnership in February 2016 and launched our e-commerce site and opened for business in August 2016. I guess you could say we have been at it “unofficially” since December 2015.

How did you set up your business model?

We knew what we wanted to have at the very least — a national reach. With that being said, it made perfect sense to do business online. We worked with local advisers from Klamath County Economic Development Association and Small Business Development Center to define the specifics. We still lean on these advisers from time to time.

Mark Fay, M.D. Scott Stevens, M.D. Physician/ Surgeon of the Eye Physician/ Surgeon of the Eye

Edwin Tuhy, O.D. Optometrist

Jennifer Sparks, O.D. Optometrist

Going forward, are you planning to expand?

Yes, definitely. Our product is currently available at Nature’s Paint: naturespaint. org, Girls With Guns: www.gwgclothing.com and at Parker’s Rod and Gun. We hope to earn a spot on the shelves of major sporting goods stores and retailers across the states. Ultimately, we hope to drive enough demand to open a shipping facility here in Klamath Falls.

New Patients Welcome

2640 Biehn St. • 541.884.3148 • www.klamatheyecenter.com


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Basin Business

Tuesday, November 29, 2016, Herald and News

Travel Southern Oregon CEO announces retirement

H&N photos by Gerry O’Brien

Relax Hot Tubs & More owners, Mike Voight and his wife, Katie, opened Relax Hot Tubs & More last week at 3225 S. Sixth St. in Klamath Falls. The store features hot tubs, saunas, pool supplies and outdoors barbecues.

Relax Hot Tubs & More opens Relax Hot Tubs & More owner Mike Voight has had 25 years’ experience selling and maintaining hot tubs and backyard appliances. He most recently worked for Merit Home Appliances before buying and remodeling his own business at 3225 S. Sixth St. Voight and his wife, Katie, have already sold nearly 40 hot tubs prior to the storefront opening last week. “And, people are coming from Bend and the Surprise Valley,” he said. “People are coming here rather than leaving town to shop.” Mike Voight, his wife, Katie, and two of their The 3,000-square-foot store three children cut the ribbon on Relax Hot includes Clearwater hot tubs, Tubs & More last week. a variety of pool supplies, outdoor barbecue systems, massage chairs and wide-screen TVs. “Customer service is our No. 1 urdays from 10 a.m. to 6 p.m. The phone priority,” he said. is 541-851-1526. For more details see their The store is open Tuesdays through Sat- website: www.relaxhottubs.com

www.heraldandnews.com

From a press release MEDFORD — Carolyn S. Hill, CEO of Travel Southern Oregon since 2003, has announced her retirement effective Dec. 31, 2016. Under Hill’s tenure the organization has grown from a small regional media buying and brokering company to a powerhouse hospitality and tourism association, frequently cited as the best among the regional destination marketing organizations in the state, according to a news release. During Hill’s tenure with Travel Southern Oregon, visitor spending in the sevencounty region rose from $944.9 million in 2003 to $1.3 billion in 2015 — a 35.4 percent increase, according to the Oregon Travel Impacts report compiled by Dean Runyan Associates. “Carolyn has proven herself an innovative, devoted and fervent leader for Southern Oregon’s tourism industry,” said Todd Davidson, CEO of Travel Oregon. “She consistently brought strategic insight, thoughtful perspectives and a solutiondriven approach to her work and her region.” Chief accomplishments during Hill’s time with Travel Southern Oregon include being the recipient of three awards at the annual Oregon Governor’s Conference on Tourism, culminating this year in the Governor’s Award for her efforts in establishing a sister park agreement between Crater Lake National Park and Wuyishan National Scenic Area, a UNESCO World Heritage Site in China. The award was shared with Crater Lake National Park Superintendent Craig Ackerman. Hill, a member of the Joint Legislative Committee for the Oregon-Fujian Sister State since 2009, has been a regional and state leader in developing the fast-growing China visitor market. The agreement, signed Feb. 25, 2016, helps promote Crater Lake National Park to the state’s No. 1 overseas travel market. It also encourages cultural and environmental study exchanges between the two parks. “The economic and cultural advantages of this relationship are immeasurable,” said Hill. “This is globalization at its very best and that’s where we should be going.” In presenting the 2016 award, Davidson

CAROLYN S. HILL praised the efforts of Hill and Ackerman in making the sister city program a reality. He termed the award “the pinnacle of achievement in Oregon’s travel and tourism industry.” Hill demonstrated her leadership in tourism development by serving on numerous statewide committees and boards, including the Oregon Tourism & Hospitality Consortium and the Oregon Destination Marketing Organization. She also serves as the executive director of the Crater Lake National Park Trust. “It’s been an honor and pleasure to work with talented groups of volunteer board members representing the beautiful sevencounty region we call Southern Oregon,” said Hill. “Through my consulting business, Hill Communications, I will remain involved in endeavors supporting Crater Lake and other programs. I also look forward to spending more time with my family.” Hill is working closely with Danielle Raines, president of Travel Southern Oregon’s board of directors, and other members of the board’s leadership team to guarantee a smooth transition on Jan. 1, 2017. “Carolyn’s leadership has been steadfast, deliberate, and loyal to tourism and its partners,” said Raines. “We will miss her, and look forward to hearing of her next adventures.” About Travel Southern Oregon: Growing the tourism industry in Southern Oregon since 1984, Travel Southern Oregon is a seven-county regional cooperative marketing association and official Regional Destination Marketing Organization for the state tourism office, Travel Oregon.


Basin Business

Tuesday, November 29, 2016, Herald and News

KU’s DECA program growing,thriving Submitted article When Klamath Union High’s DECA program began this school year, it had been coming out of a recession. For the past five years, membership had been taking a downturn, but slowly started to rise in the last year. Now, the KU chapter of DECA — an International Association of marketing students in high school and college — is entering a growth phase of members and its members hope to keep climbing from there. But what is it about KU DECA that is so attractive to high school students who enjoy a variety of ways to spend their free time? In short, DECA offers a unique experience for students that they can’t find anywhere else. From competitive business competitions in the district, state and international level to fun-filled trips to Seattle and Nashville, KU DECA has it all. In just the first semester of school, DECA has offered a multitude of opportunities for students to get involved with their community, gain valuable life skills, and go on once-in-a-lifetime trips. KU DECA started the year strong by hosting its district competition at the Oregon Institute of Technology. With more than 125 students in attendance from six schools, it was one of the biggest competitions the group has ever had. The competition had five categories for students to compete in: Retail Marketing, Food Marketing, Apparel and Accessories, Team Decision and Quick Serve Restaurant Management. KU DECA performed very well with multiple students placing, including Craig Ronne and Jessica Reed, first place overall Marketing Communications Team Decision; Hunter Ellis, first place overall Food Marketing; Jasmine Varnum second place overall Retail Management; Grace Cox third place overall Apparel and Accessories; Keegan Dentinger, third place overall Quick Serve Restaurant Management. For Varnum, Cox and Dentinger this was their first DECA competition. KU DECA plans to have an even better performance at the state competition in February. As well as competitions, KU DECA is also very active in the community. On Oct. 29, KU DECA teamed up with the KU National Honors Society chapter in order to put on their annual pet food drive “Will Love for Food.” This is the 12th year that DECA has put

Klamath County Chamber accepting nominations for 96th Annual Awards Gala The Klamath County Chamber will celebrate the accomplishments of its members and the community on January 14, 2017, at the 96th Annual Awards Gala. The socializing and networking pre-ceremony will take place in the Ross Ragland Theater lobby with catered food and beverages, and awards will be presented in the auditorium. Last season, the Klamath Chamber welcomed close to 300 guests to their 95th Annual Awards Gala sponsored by Washington Federal. The gala is the time when the Chamber recognizes dedicated efforts on behalf of the Chamber members and entire community. Before the gala, Chamber members are asked to nominate businesses and/or individuals who show support and dedication to our community. From the nominations, a committee selects the winner of each award. We are currently accepting nominations for the following awards (see our website klamath.org for category details): ■ Big Idea Innovation Award ■ Environmental Leadership Award ■ Commitment to Community Award ■ Best Place to Work (2 Categories) ■ Spirit of Entrepreneurism ■ Lifetime Achievement ■ Pathfinder Award Call (541) 884-5193 for more information. Nomination forms can be found at www.klamath.org. Nominations may be submitted electronically, by submitting the nomination form via email to inquiry@ klamath.org, or via mail at 205 Riverside Drive, Suite A, Klamath Falls, OR 97601. Deadline for nominations is Dec. 28.

KU’s DECA students teamed up with National Honor Society students to collect pet food for the Klamath Animal Shelter in October. Submitted photos

on this project and the second year that it has collaborated with Honors Society and it was the most successful drive yet. In five hours with 48 volunteers, the two chapters were able to collect pet food from Petco, Sherm’s Thunderbird market, Grocery Outlet, Coastal, and Grange Co-op that had a combined weight of 1.5 tons (3,000) pounds. All of the food was donated to the local Klamath Animal Shelter and the donations alone will sustain them for a month. On top of everything else they do, DECA also provides students with unique trips that they will remember for the rest of their lives. This semester, DECA has three travel opportunities for students: Oregon Leadership Institute, Western Region Leadership Conference and a Portland tour of industry. At the Oregon Leadership Institute (OLI) in Bend, students were able to listen to nationally renowned speakers and gain valuable business and life skills.

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Contact the Chamber At the Western Region Leadership Conference (WRLC) students will travel to Seattle with other DECA members from all over the Western United States in order to participate in skill workshops, interact with students from across the nation and, most importantly, have fun. The final trip offered this school semester is the Portland tour of industry. On this excursion students will tour prominent businesses in Portland to learn how real companies operate and to watch a Portland Trail Blazers game.

Klamath County Chamber of Commerce 205 Riverside Drive, Suite A Klamath Falls, OR 97603 Office: 541-884-5193 Fax: 541-884-5195

Heather Tramp, newly named executive director Email: heathert@klamath.org www.klamath.org www.facebook.com/KlamathChamber


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Tuesday, November 29, 2016, Herald and News

Basin Business

Ruddy Duck restaurant earns national recognition for healthy efforts Life-changing journeys await

BUSINESS PROFILE

Johnson Corps Medical Transport & More Johnson Corps Medical Transport & More is a veteran-owned and familyoperated firm. Ezekiel and Tara Johnson are Marine Corps veterans of five and four years, respectively. “Veterans run deep in our family on both sides, dating back through most of the battles this country has seen, and we even have a few of these veterans as volunteers for our company,” the firm said in a press release. This business was started to help veterans in the Basin get transportation to needed medical appointments. “The momentum we needed to start our business involved a couple of incidents with my elderly mother; we were unable to secure transportation for her much needed medical appointments. We soon realized that Klamath Falls and surrounding regions lacked these resources and this is why we started our business,” the press

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release said. “This is a passion that our family has, helping those in need, and we can provide these services for a more affordable cost. We can keep our prices so low because we are a family operated business, and that’s why we can guarantee that we can beat any legitimate businesses price on the services we offer,” the release said. It also offers free rides for veterans — transportation for veterans to their medical appointments. This is a donationbased program which is currently up and running for our veterans. Donations are always welcome of any value, cash, check, merchandise, gift certificates, etc. Johnson Corps Medical Transportation & More offers other services as well: A ride to the store and help shopping; general house maintenance and lawn care; snow removal; in-home care. Contact Johnson Corps Medical Transportation & More at 541-539-8843. FOR DRIVERS

EYES UP. PHONE OFF. ?

When you’re driving, focus on what’s on the road ahead. Your full attention could save a life – and a lifetime of regret.

Share the Road. The Way to Go. Transportation Safety — ODOT

On Oct. 17 during the annual Blue Zones Project® National Summit, which was held in Fort Worth, Texas, Ruddy Duck restaurant was honored with an award for its leadership in local, healthy food offerings. The award was accepted by Blue Zones Project — Klamath Falls and County Commissioner Kelley Minty Morris during the summit, according to a news release. The award was later presented to Melissa Stevens, Ruddy Duck restaurant manager on Nov. 17. Ruddy Duck, located in the Running Y Ranch Resort, was congratulated on its efforts of building an onsite green house and use of local produce. The greenhouse is made in America and includes an automatic mist system, exhaust fan, thermostat, heavy duty heater, automatic shutter, pair benches, and a sunscreen shade cloth. Running Y Ranch Resort offers venue rental in the greenhouse which includes a chef’s table in the greenhouse featuring a menu focusing on vegetables and herbs growing right in front of the guests. Ruddy Duck made some changes including promoting to-go boxes, more healthy options on the menu not including salad, offering healthy side option including fruit or a side salad and many more. The resort continues to grow vegetables and herbs in the community garden on property each summer. Produce is picked daily and used in various meals. Ruddy Duck was also recently featured in Southern Oregon Magazine for healthy delicious dining options, the green house and garden, and their efforts with the Blue Zones Project. To read the feature, please visit http://bit.ly/2fXEubS. About Running Y Ranch Resort: Situated in the heart of the breathtaking Cascade Mountain Range, Running Y Ranch is a full-service resort located just west of Klamath Falls. Fresh mountain air, clear star-studded night skies and beautiful landscapes make Running Y Ranch Resort the perfect place to relax and recharge offering the finest lodging available in Southern Oregon. The resort is home to the only Arnold Palmer designed golf course in Oregon. Golf Digest consistently

Melissa Stevens, Ruddy Duck restaurant manager, right, receives an award for leadership in local, healthy food offerings, from Sky Lakes Health Care President and CE0 Paul Stewart. rates it a Top 100 US Public Course, Top 15 in Oregon and Top 5 in the United States for Women. About Blues Zones Project: Blue Zones Project® is a community-led well-being improvement initiative designed to make healthy choices easier through permanent changes to a city’s environment, policy, and social networks. Established in 2010, Blue Zones Project is inspired by Dan Buettner, a National Geographic Fellow and New York Times best-selling author who identified five regions of the world—or Blue Zones—with the highest concentration of people living to 100 years or older.


Basin Business

Tuesday, November 29, 2016, Herald and News

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Social Security Thanksgiving lessons apply to your financial plans benefits to get slight increase FINANCIAL FOCUS

Monthly Social Security and Supplemental Security Income (SSI) benefits will see a slight increase in 2017. Some other adjustments that take effect in January of each year are based on the increase in average wages. Based on that increase, the maximum amount of earnings subject to the Social Security tax (taxable maximum) will increase to $127,200 from $118,500. Of the estimated 173 million workers who will pay Social Security taxes in 2017, about 12 million will pay more because of the increase in the taxable maximum. Thresholds for benefits will change slightly next year including the Substantial Gainful Activity (SGA), SSI Federal Payment Standard, and SSI Student Exclusion. Information about Medicare changes for 2017 are available at www.Medicare.gov. For some beneficiaries, their Social Security increase may be partially or completely offset by increases in Medicare premiums. The Social Security Act provides for how the Cost of Living Adjustment is calculated. To read more, please visit www.socialsecurity.gov/cola.

Thanksgiving is almost here. Over the years, this holiday has taken on a variety of meanings, most of them centered on family, caring and sharing. You can carry these same values past Thanksgiving into your daily life — and you can certainly incorporate them into your financial strategies for taking care of your loved ones. So, here are a few suggestions: Protect your family. If something were to happen to you, could your family pay the mortgage? Could your children still afford to go to college someday? To protect your family’s current lifestyle and long-term goals, you may well need to maintain adequate life and disability insurance. Your employer may offer these types of protection as employee benefits, but the coverage might be insufficient for your needs. Consequently, you might need to supplement your employer-paid insurance with additional policies. ■ Invest in your children. If you have young children, and you’d like to see them go to college someday, you may want to start putting money away toward that goal. You can save and invest for college in a variety of ways, but one popular method is through a 529 plan, ■

which offers high contribution limits and potential tax advantages. Plus, a 529 plan gives you significant control and flexibility: — if you establish a plan for one child, but he or she decides not to go to college, you can name another child as the recipient. ■ Be generous. You don’t have to be a millionaire to make meaningful financial gifts to your family. For example, if you have grown children, consider helping them fund their IRAs. You can’t contribute directly to a child’s IRA, but you can write checks to your children for that purpose — though, of course, they are then free to do whatever they want with the money. It’s not always easy for a young person to “max out” on an IRA, which has an annual contribution limit of $5,500 for workers under 50, so any help you can give your children in this area should be greatly appreciated. ■ Safeguard your own financial independence. Almost certainly, one of the most undesirable outcomes you can imagine is to become financially dependent on your grown children. Even if you save and invest diligently throughout your working years, you could still be vulnerable to financial dependency if you need an extensive period of long-term care, such

as a nursing home stay. These costs can be enormous, and Medicare typically pays only a small percentage, and usually for just a limited time. To protect your financial freedom, you should explore ways of addressing long-term care costs. A financial professional can explain those alternatives that may be appropriate for your situation. ■ Communicate your wishes to your family. At some point in your life, you will need to draw up your estate plans, which could include a will, a living trust, a durable power of attorney, a health care directive and other documents. To be fair to your children and other family members, and to avoid hurt feelings, you should clearly communicate your plans and your wishes while you are still around. Thanksgiving means more than turkey and football. And if you can successfully apply the lessons of this holiday to your financial plans, both you and your family will have a reason to be thankful. Submitted by: Meredith Hoffman Financial Advisor-Edward Jones 1307 S Alameda Ave, Suite B Klamath Falls, OR 97603 541.273.2483

Employment in South Central Oregon: October Revised monthly employment estimates for 2016 were released today. There were relatively few changes to the employment situation in South Central Oregon. Klamath County continues to see slow, but steady job growth. Lake County’s employment picture was revised down with employment levels little changed from this time last year. Klamath County: The seasonally adjusted unemployment rate was little changed at 7.2 percent in October from the revised rate of 7.4 percent in September. The rate was 8 percent in October 2015. Despite little improvement to the unemployment rate, Klamath County’s labor force continues to see robust growth (+1,536). Klamath County added 120 jobs in October; typically the county posts minor job losses this time of year. Seasonal declines in leisure and hospitality and construction were overcome by some large gains from state and local government agencies. The rate of job growth over the past year slowed a bit with employment levels up a modest 2 percent from October 2015 (+460 jobs). Although job growth was not particularly impressive over the past year, the gains were fairly diverse. The big growth sectors were health care and professional and business services. Losses were largely limited to leisure and hospitality; transportation, warehousing, and utilities; and retail trade. Lake County: The seasonally adjusted unemployment rate remained unchanged at 6.7 percent in October. The unemployment rate was down from last October when it was 7.7 percent. Recent revisions revealed that employment levels in Lake County were essentially unchanged over the past year. Total nonfarm employment is up by 20 jobs (+0.9%). Losses in manufacturing (-30) were overcome by relatively small gains from public sector agencies.


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Tuesday, November 29, 2016, Herald and News

Basin Business Paid Advertisement

November 2016 Newsletter for Oregon State Senator Doug Whitsett, District 28 Senator Doug Whitsett R-Klamath Falls - District 28

I represent the citizens of Senate District 28, which includes Klamath, Lake and Crook, as well as parts of Jackson and Deschutes Counties. As Senator of one of the largest Senate districts in the state, it is extremely important that my constituents remain in contact with me about the issues and concerns that affect their lives. You and I must work together to protect the common interests of rural Oregonians. I encourage you to contact my office by either email or telephone so that I can know how to best serve you. I look forward to hearing from you soon. Best Regards, Senator Doug Whitsett

Capitol Address: 900 Court St. NE, S-311 Salem, OR 97301 Capitol Phone: 503-986-1728 Newsletters: www.leg.state.or.us/whitsett Email Senator Doug Whitsett: sen.dougwhitsett@state.or.us

conservative position on issues

Some local pundits and would-be politicians explained to voters during the recent political campaigns how rural Oregon legislators must have moderate political philosophies in order to get things done in Salem. Perhaps they haven’t been paying attention. The American Conservative Union (ACU) is the premier conservative voice and the leading entity in providing conservative positions on issues to Congress, to the Executive Branch, to State Legislatures, to the media, to political candidates, and to the public. Both Representative Gail Whitsett and I received lifetime constitutional conservative voting awards from this national organization in both 2015 and 2016. The ACU singled us out for having the most conservative, pro-constitutional voting records of any state legislators in the United States in 2016. At the same time, we were able to pass more legislation than any other Republican legislators in either the Oregon House or the Senate. We worked across the aisle with the majority party leadership to help craft and pass a series of successes for rural Oregon. Many of these common-sense bills were the product of much behind-the-scenes work both through the legislative interim and during the session. They were all enacted on broad bipartisan margins in both legislative chambers and were signed into law by Governor Brown. As members of the budget-writing Ways and Means Committee, we helped to secure more than $18 million in bonding for building projects at Oregon Tech and Klamath Community College (KCC). We worked with members of both parties’ leadership to help pass budgets that provide by far the largest amount of funding in Oregon history for K-12 schools, as well as nearly 30 percent funding increases for Oregon universities and community colleges, including Oregon Tech and KCC. We introduced and passed several bills specific to Klamath County education: • HB 3329 allowed the County School District to use the Henley geothermal well to meet its statutory green energy requirement for construction of its new elementary school. The bill saved the District about $250,000. • SB 953 enabled the County District to sell the old Bly School gym property by creating the specific legislation necessary to ensure that it can obtain a clean property title, and • HB 3149 extends the effective period for transfer of school vaccination and health records. It allows some rural parents, like those in Gilchrist, to enroll their children in school by allowing more time to obtain primary health care for their children. On a broader scale, Rep. Whitsett’s close working relationship with the House Speaker Tina Kotek (D-Portland) was instrumental in securing a huge increase in funding for OSU Extension Services. We succeeded in extending the fifth-year high school graduation program that is working so well in the Klamath, Lake, Crook and Deschutes County school districts. We also were able to extend small school funding in rural districts in Klamath, Jackson and Lake Counties. We worked for several months during the 2015 session to successfully amend SB 206-A to temporarily transfer the place, and type of use of irrigation water rights. The new law, unique to Klamath County, will allow Basin irrigators to better use what little water has not been taken from them through Endangered Species Act regulations and an administrative adjudication that gave virtually all water tributary to Upper Klamath Lake to the Klamath Tribes. We carried that bill in our respective chambers, where we both made clear on the record the bill does not recognize, ratify, support or acknowledge the KBRA, UKBCA or efforts to destroy the Klamath River dams. It passed in both chambers with broad bipartisan majorities.

We were vocal, persistent and ultimately successful in our opposition to the Democrat majority’s plan to spend nearly $400 million of borrowed money to seismically retrofit the State Capitol Building. $300 million of that money will instead go towards bonding capacity to seismically retrofit and repair school buildings across the state. Local school districts have already accessed that new bonding. We co-sponsored, and worked to unanimously pass, two bills relating to wildfires: • HB 3148-A, helped those who lost their homes in the 2014 Sprague River wildfire and • HB 2501, which required the Oregon Department of Forestry to determine and report the true extent of the devastating damage caused to private property by wildfires. We co-sponsored and enact three bills relating to taxes that should greatly benefit folks in our rural districts: • Representative Whitsett’s strong advocacy position on the House Revenue Committee was instrumental to enacting HB 2075-A, which will levy a two-cent increase in jet fuel taxes. The new tax revenues are dedicated to Oregon’s rural airports, including money for a subsidy for Pen Air’s commercial air service at Kingsley Field; • HB 2171-A amends Oregon tax law to prohibit the Oregon Department of Revenue (DOR) from targeting military personnel stationed at Kingsley Field. The Department had been auditing military tax returns and claiming tens of thousands of dollars in past-due taxes, penalties and interest regarding domicile and Oregon residency, and • SB 864-A, which amended Oregon estate tax law to correct a fatal flaw in the natural resources estate tax-credit. The law had required the DOR to include all property owned by the estate in their calculations. For that reason, an estate that owned more property outside of Oregon did not qualify for the estate tax credit. The new law requires the DOR to include only Oregon assets in natural resource estates owning property in two states, such as those along our California border. We also sponsored and passed several statewide issues relating to tax credits, fraud and the collection of past due accounts owed to the state of Oregon: • HB 3542 was inspired by the pervasive abuse of green energy tax credits. Rep. Whitsett worked with Democrat Rep. Ann Lininger (D-Lake Oswego) to successfully craft a bill requiring the Legislature to assess and approve ten separate financial criteria before authorizing any new tax credits; • SB 55 was motivated by the bureaucratic inability to collect more than $2.5 billion in past due accounts currently owed to the State. For two years, we helped steer a broad bipartisan group that enacted a number of statutory changes designed to significantly improve the State’s performance in collection of past due debt; • HB 2392-A was co-chief sponsored by Rep. Whitsett. It addresses pervasive Oregon welfare fraud regarding “lost” electronic debit cards. It requires the Department of Human Services to display the name of the individual to whom the card is issued, when replacing a lost or stolen card; • HB 2393-B will require the Oregon State Lottery to withhold prizes of more than $600 to persons that have not repaid overpayment of certain state public benefits. It prioritizes the interception of payments for any past-due child support, and • SB 161 creates a “bona fide purchaser” status to prevent the collection of personal property taxes that was owed on business equipment by the previous owner at the time of sale. The DOR had been collecting the past due taxes from

the new owner, even though they had no way of determining the taxes were owed prior to purchase of the property. I worked for several months with the DOR, County Clerks, the business community and legislative staff to craft a solution to this longstanding and pervasive issue. Additional important bills that we sponsored, co-sponsored or testified for include: • HB 3143, which was chief-sponsored by Rep. Whitsett to address sex trafficking. Gail worked with Representative Kathleen Taylor (D-Portland), the Ashton Kutcher’s Foundation and the Oregon Liquor Control Commission (OLCC) to authorize the placement of donated 2” x 5” bar-coded stickers in OLCC-licensed restaurant and bar restrooms. Similar to bills in other states that have saved many young lives at no cost to taxpayers, it will help sex trafficked young women and men obtain information needed to escape their plight; • SB 844 creates authority for investor-owned natural gas utilities to invest in natural gas delivery infrastructure in rural communities. Utilities are currently looking at expansion into Lakeview, Merrill and Bonanza; • HB 3402 increased speed limits on certain Oregon interstates and state highways; • HB 2036 designated U.S. Hwy 395 as the World War I Veteran’s Memorial Highway. Gail and I labored through two sessions in order to successfully introduce and enact SB 449 in 2009. That bill designated U.S Highway 97 as the World War II Veteran’s Historic Highway. The enactment of that bill opened the pathway for subsequent bills that have dedicated virtually all of Oregon’s major highways to different groups of war veterans; • HB 5526 created $6 million in funding for sobering stations, potentially including one in Klamath Falls, and • HB 2502 significantly reduced liability exposure for owners and operators of rural tourist facilities. Finally, we authored, co-sponsored and passed bills honoring Oregon Tech Basketball Coach Danny Miles, Oregon Pioneer suffragette Abigail Scott Dunaway, Oregon astronaut Don Pettit and MC Ranch owner William “Bill Kitt” Kittredge. Coach Miles and his wife Judy, as well as Jack Nicol and other members of the Kittredge family, joined us on the Senate floor to accept the Senate’s highest honor. Oregon astronaut Pettit, an Oregon State University classmate and former study-mate of Rep. Whitsett, was on NASA assignment. Gail and I have been honored to serve the people of rural southern Oregon for the past 12 years. We believe we have demonstrated that being informed, being willing to listen, being willing to work with those who hold different philosophies, building relationships across the aisle and always keeping our word is the currency of successful legislators. We have always served in the minority. Even though we have never compromised our core, conservative constitutional principles, we have consistently been assigned to some of the most influential legislative committees by Democrat majority leadership. Those assignments, along with the relationships we built, have been instrumental in our ability to serve our constituents.

Please remember - if we do not stand up for rural Oregon, no one will. Best regards, Doug Follow the link below to subscribe to an electronic version of my weekly legislative newsletter updates: https://public.govdelivery.com/accounts/ ORLEG/subscriber/new?topic_id=ORLEG_30. 1542440


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