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503-378-6002 or Michael.C.Kron@doj.state.or.us
About Ellen F. Rosenblum
A bi-partisan 28-2 vote sends Senate Bill 40 to the House
Attorney General John Kroger today praised the Oregon Senate for its strong bi-partisan 28-2 vote in favor of a landmark bill that aims to crack down on charities that spend more than 70 percent of their donations on fundraising and management.
"Most charities in Oregon provide badly needed support for veterans, children and other worthy causes, but unfortunately some non-profits do little to benefit the public," said Attorney General Kroger. "I want to thank Finance and Revenue Committee Chair Sen. Ginny Burdick and Vice Chair Sen. Frank Morse as well as committee members Sen. Mark Hass and Sen. Chris Telfer for their leadership on this important bill."
Every year, millions of dollars in charitable donations go to waste because they are given to non-profits that spend most of their donations on fundraising and management. In response, Attorney General Kroger introduced Senate Bill 40, which proposes to eliminate public tax subsidies for organizations that spend less than 30% of money raised toward their purported charitable cause.
If the organization fails to meet this requirement, donations to them will no longer be tax deductible for Oregon tax purposes.
If SB 40 is approved by the House and signed into law by the governor, Oregon will be the first state to eliminate tax subsidies for non-profits that do little to benefit the public.
Attorney General John Kroger leads the Oregon Department of Justice. The Department's mission is to fight crime and fraud, protect the environment, improve child welfare, promote a positive business climate, and defend the rights of all Oregonians.
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