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1985-09-17 - Ballots OFFICIAL SPECIAL ELECTION BALLOT BALLOT RD Deschutes County, Oregon, September 17, 1985 NO. STATE MEASURE REFERRED TO THE PEOPLE BY THE LEGISLATIVE ASSEMBLY 1.Amends Constitution.Approves Limited 5%Sales Tax For Local Education. QUESTION: Shall people amend Constitution, approve limited sales tax partially replacing property taxes for schools,community colleges, reducing income,timber taxes? EXPLANATION: Approves sales tax law to fund schools,community colleges, re- ducing income, property,timber taxes.Amends Constitution to limit sales tax to 5%, exempts home consumed food, medical services,drugs, utilities, real estate trans- actions, animals, certain farm supplies. Prohibits local sales taxes. Directs legislation for administrative costs,tax relief for renters and low income individuals, limiting state spending increases. Provides school district tax bases, limits annual increases and school levy elections. Makes other changes. ESTIMATE OF FINANCIAL EFFECT: Passage of this measure starts collection on April 1,1986 of a five percent retail sales and use tax.Medical costs,purchases of food and drugs, utility costs, rent payments, real property purchases, animal purchases,certain farm supplies and other specific items will not be taxed.This tax is expected to raise about $926 million in Fiscal year 1986-1987 for the following items: •$701.5 million will be used to cut property tax an average statewide of 35 percent on all classes of property. • $51 million will be used for renter relief. • $124 million will be used to cut individual income taxes by an average of 9.7 percent. • $19 million will be used to pay all or part of the sales tax paid by families with a total income of $17,500 or less. • $12 million will be used to pay the state's cost to collect and disburse the tax. •$18.5 million will be used to repay business people for collecting the sales tax. YES 17 M* NO 18