GOP bright ideas

Republicans don’t have an abundance of influence in Salem these days, but the minority party’s leaders have floated some ideas that the majority Democrats ought to consider.

At the top of that list is the GOP’s proposal to trim income tax withholding tables by 4.2 percent.

Senate Republican Leader Ted Ferrioli, who represents Baker County, estimates that change will boost Oregonians’ income by $100 million this year.

And Oregon businesses need consumers to spend.

Ferrioli figures the tax cut would reduce the state’s revenue by $50 million during the current fiscal year, which ends June 30.

But Republicans have suggested a reasonable way to offset that loss: rescinding some of the $358 million in pay raises that Gov. Ted Kulongoski approved last year.

In the longer term the tax cut probably will enrich the state’s coffers. The reason the state is short on money now is that tens of thousands of Oregonians have lost their jobs during the past year. And people who aren’t earning paychecks don’t pay much in income taxes to the state.

That trend will reverse when the economy improves and those people go back to work. Giving Oregonians who still have jobs more money is a good way to invigorate the economy.

The Republican’s Main Street Incentive Program has the potential to do the same thing.

The program includes 50-percent tax credits for people who spend $10,000 to $50,000 on home improvement work, and for business owners who spend $25,000 to $500,000.

The GOP plan would increase the tax credits to 100 percent for work that focuses on solar, wind or other renewable energy sources.

The Main Street program would benefit the economy by encouraging home and business owners to hire contractors. And it would help the environment by making “green” projects more affordable.

Democrats hold a sufficient majority in the Legislature that they don’t have to seriously consider these and other Republican proposals.

But they should.