Oregon’s economic growth hindered by high taxes and permitting delays, survey finds

PORTLAND, Ore. (KOIN) — A recent statewide survey of business owners and local leaders shows what may be hindering Oregon’s economic growth.

Governor Tina Kotek’s Prosperity Council shared the results earlier this week, which includes input from more than 1,000 respondents in 35 of the state’s 36 counties.

The 16-member council was formed in January to advise the governor on her Prosperity Roadmap, which is an effort to bring more economic opportunities to Oregon.

The survey focused on business climate, tools and growth, and workforce and will be used to help determine what policy recommendations the council offers in June.

Overall, the respondents showed frustration in permitting delays and concerns about the lack of development-ready land and infrastructure. 

There were also calls to overhaul the state’s Corporate Activity Tax, which was enacted in 2019 and is based on a business’s commercial activity. It applies to businesses with more than $1 million in commercial activity within the state.

One respondent wrote that Oregon’s reputation as a place that’s hostile to mid- and large-sized businesses is somewhat deserved. Numerous participants expressed concern over the lack of quality public education in the state.

Workforce development was another common issue. Survey respondents called for expanding Career and Technical Education programs so they can better meet industry needs. There were also calls to address structural barriers, such as lack of housing, childcare and transportation.