The 2005 Oregon Legislature has been active in a variety of areas that could significantly impact small business owners. We at Dunn Carney wish to alert you to some of the bills that are being considered in Salem that would likely be of interest to you. As none of the bills highlighted below have been signed into law, you may wish to contact your state legislators and weigh in on the issues.

• Employment. Senate Bill 141 would allow the payment of employee wages by issuing a card that works much like a debit card, with the employer funding the card each payday. Status: This bill has passed the Senate and is being considered in the House of Representatives.

• Noncompetition Agreements. Senate Bill 146 would make an employee noncompetition agreement void and unenforceable if the employee was terminated for reasons beyond their control, such as company restructuring or downsizing. Status: This bill remains in committee—no activity has been reported since January 13, 2005.

• Independent Contractors. Senate Bill 323 would redefine and standardize the current tests used to determine whether an individual is an independent contractor or an employee. Currently, the tests used for income tax, workers compensation, unemployment insurance, and for architects, contractors and other professions are not uniform. Status: This bill has passed the Senate and is being considered in the House of Representatives. A House committee has recommended passage of the bill with certain amendments.

• Small Business Regulations. House Bill 2003 would require state agencies to analyze the economic effect of their new and existing administrative regulations on small businesses and to prepare a fiscal impact statement. The bill would also create the Small Business Advocacy Committee to review the fiscal impact statements and make recommendations. Status: This bill remains in committee— no activity has been reported since April 6, 2005.

• Corporate Tax. House Bill 3114 would increase the minimum tax imposed upon corporations. The amount of the tax ranges from $250 to $5,000, based upon the dollar amount of sales. The bill also creates a tax credit for certain investments in new machinery and equipment. Status: This bill remains in committee—no activity has been reported since March 17, 2005.

If you wish to receive further information regarding these or other bills being considered by the Oregon Legislature, please contact our closely held business team leader, Randall L. Duncan, Esq., at 503-417-5490 and we would be glad to accommodate your request.

Closely Held
Business Team

The Closely Held Business Team - Dunn Carney is dedicated to assisting business owners in navigating through the opportunities and challenges the law presents to advance each owner’s success in business. They understand the multifaceted issues business owners face each day and the need for responsive and proactive legal counsel.

Team members include:
Randy Duncan, Team leader
Bob Allen
Ric Ashe
Brian Cable
Del Clark
Todd Cleek
Jack Cooper
Ken Davis
Frank Hilton
Scott Howard
Robert Kerr
JoDee Keegan
Kyle Stinchfield
Bob Winger
David Zehntbaur