Opening Remarks from U.S. Senator Ron Wyden

May 27, 2003 -- Leadership Summit Update Meeting

In the 1930’s, Oregon, like the rest of the country, struggled to emerge from years of economic adversity.  But against far greater odds than what we face today, President Roosevelt and this state’s leaders found the will to build vital state infrastructure that lifted Oregon’s hopes for the future and laid the groundwork for its economic growth.  Their combined vision . . . in the midst of a depression . . . produced five bridges, Highway 101, and an amazing variety of critical buildings and public works projects that endure to this day.

Dick has laid out a sobering, accurate description of the present economic picture for Oregon.  But I want to remind you of Oregon’s past as a possible prologue for Oregon’s resurgence.

Like the bridges, roads, and public works projects of the 1930s, now more than ever we must find the courage and the will to fund the technology, education and transportation that will form the basis of a prosperous future for the citizens of our state.   

It may seem counter-intuitive in difficult times, but bold, can-do thinking is our best hope for creating family-wage jobs and preserving Oregon’s quality of life.

We began our effort last December by coming together around a 12-part vision for Oregon’s future – the Oregon Business Plan.  1,300 strong, we set aside our politics and geography for the greater good of Oregon and forged a framework for unprecedented state-federal cooperation. 

I told you at that time that we would get together in the Spring to chart and evaluate our progress, and choose our next steps to implement the Oregon Business Plan.

Today, let’s see how far we have come on our various tasks, create a “to do” list of what we must accomplish in the months ahead, and resolve at the end of the day to return as a group next Fall to continue the work of the Oregon Business Plan.

I want to start today by congratulating Dick Reiten and the other members of the Oregon Business Plan Steering Committee for the tremendous work they’re doing to get this economy moving again. 

If you haven’t looked at it yet, I commend to all of you the scorecard issued by the Council detailing the progress . . . and roadblocks . . . in all twelve areas addressed by the Business Plan.

You may recall that last December, Senator Smith, Governor Kulongoski and I developed a 7-point Federal-State agreement to coincide with several of the initiatives outlined in The Business Plan.  Let me take a moment to review what we’re doing at the federal level in response to several of the “action items” which came out of the Leadership Summit and the 7-point agreement.

The action item with perhaps the most direct federal hook involves investment in transportation.  The Oregon congressional delegation has been working closely with ODOT since last December to discuss strategy for the upcoming transportation bill called TEA-21.  My staff and I have been working closely with the chairperson of the Oregon Transportation Commission -- and Oregon Business Council board member -- Randy Pape’, and I want you to know that I support the list of road projects endorsed in the Oregon Business Plan in our prior summit last December.

When I was elected to the U.S. Senate in 1996, Oregon was one of the biggest donor states in the nation, getting back only 91 cents in federal transportation funding for every dollar it contributed through taxes and fees.  Gordon and I had great success with the last transportation bill, increasing Oregon’s formula by $111 million per year, and today Oregon gets back 98 cents for every dollar we put in.  Please know that Gordon and I are going to fight this round to achieve a 100% fair deal for Oregon.

While the transportation bill should provide a significant lift for Oregon, like Salem, we will have a difficult time putting together the financing for the transportation package the nation really requires.  For that reason, Senator Jim Talent recently joined me in introducing a bipartisan proposal called “Build America Bonds.”  This proposal will provide $50 billion in new transportation infrastructure funding.  It’s a one-time federal bonding program designed to empower states and local governments to complete significant projects across all modes of transportation including roads, rail, transit, aviation, and water. 

These funds would be additional to dollars made available through the transportation bill, and will allow cash-strapped states, like Oregon, to create millions of jobs, generate significant economic growth, and improve their transportation infrastructure. 

It appears now that the President plans to come back to Congress for more tax cuts, and I plan to make transportation bonds -- and a more significant package of direct aid to the states -- my priorities for that bill.

One of the points outlined in the Federal-State 7-point agreement called for the formation of a task force to help Oregon schools identify and pursue federal financing opportunities.  That group met in April and meets again tomorrow to continue their work.  I instructed my appointee to that task force to scour the bushes for un-utilized and under-utilized sources of federal dollars, and tomorrow she will propose that Oregon focus its efforts on increasing Oregon’s share of education dollars in three areas: Math and Science Partnership Grants, Reading First State Grants, and Transition to Teaching Grants.

Another of the Business Plan initiatives calls for expanding Oregon’s capacity for innovation, and the work on the federal end is beginning to take shape.  I chose Scott Gibson to chair a task force created under the 7-point agreement to evaluate Federal research appropriation and grant requests for their potential for job creation.  That task force recommended priority funding for two efforts:  the Multi-Scale Materials and Devices Signature Research effort involving the University of Oregon and Oregon State University; and, the multi-discipline research development planned for the North Macadam project in Portland.  The appropriations season is just getting underway in Washington, but I want you to know today that those two projects are at the very top of my priority list.

On a related note, you may recall that in my opening remarks at the December summit, I talked about the science and burgeoning business of nanotechnology. 

I have led efforts at the federal level to dramatically increase the federal funding level for nanotech research and development, and to ensure a foothold for Oregon before the nanotech revolution takes place.  A group of venture capitalists, business leaders, university heads, and researchers have been meeting with me and my staff to get Oregon united behind a collaborative agenda to bring this exciting industry to Oregon.  We’re working at the ground floor of this technology to make sure that states with significant unemployment – like Oregon -- are able to take advantage of this new funding.

Another element of the Oregon Business Plan calls for achieving more economic and environmental benefits from our forest resources.  Clearly, the time has come for a new dialogue on forest policy, both at the state and federal level.

Just last week the House passed a forest restoration bill sponsored by Congressman McInnis and my colleague, Greg Walden.  Their legislation is welcome in that it will re-start this needed debate, but there is quite a bit of controversy surrounding the bill and it faces an uncertain future in the Senate.

Last Congress I attempted to find common ground on forest health with folks on the other side of the aisle, and the welts on my back are still visible to this day.  Welts or no, let me pledge to you here today that, as I did in the last Congress, I will once again attempt to forge common ground on forest health in the U.S. Senate. 

I want to wrap up by noting that I believe the Oregon Business Plan effort is off to a good start, in large part, because of the improved tone in Salem.  I want to commend Salem’s leaders for changing the bitter tone which poisoned the political environment and helped set the stage for gridlock and inaction.  In particular, Governor Kulongoski, Speaker Minnis, and Senators Courtney and Hannon have stepped up in this regard, and we should all thank them for their leadership. 

Let’s have a great afternoon of work sessions, and I’ll see you back here in a few hours.

Thank you.

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