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House deadlocks on tobacco money By PETER WONG SALEM -- The House deadlocked Tuesday night on a Democratic alternative for spending the state's share of the national tobacco settlement that could yield another $150 million for Oregon's public schools. The alternative lost on a 30-30 tie, but the House can reconsider it today because of a parliamentary maneuver. A handful of Republicans and the lone independent joined all 25 Democrats to support an alternative to the legislative leadership's plan to put all of an estimated $180 million from the tobacco settlement into a trust fund. Estimated at $9 million in the next two years, earnings from the fund would be split among social programs, including $900,000 for anti-smoking efforts. The alternative proposes to spend some of the money on bonds to support the Oregon Health Plan, freeing up $150 million more for state aid to schools in the next two years. Millions more would go to anti-smoking efforts, which would get $18 million; county public health programs; and other social services. "Several of us thought it would be 30-30," Rep. Judy Uherbelau, D-Ashland, said after the vote. "I know of a few more Republicans who will remain unnamed who would have liked to vote for the substitute. There is more to come but I am not sure what it is." If the Democratic alternative fails today, the Republican leadership's trust fund would come up Wednesday. The alternative actually received 31 votes Tuesday night, just enough to prevail, but one Republican switched to create a tie. The debate about competing versions of House Bill 2007 is critical because the tobacco settlement proceeds, the first $28 million of which was deposited Monday, are seen as one of the few sources of money left that can boost aid to schools beyond the leadership's target of $4.725 billion in the next two years. School advocates, Democratic Gov. John Kitzhaber, Democratic legislators and some Republicans say that amount must approach $4.95 billion or more. Rep. Jason Atkinson, R-Jacksonville, said he opposed the use of tobacco settlement money to buy bonds that would allow the shifting of $150 million to schools. "I see this as a fast fix," said Atkinson, who supported the leadership's trust fund as a member of the House Rules Committee. ``I think we all have strong feelings about education. But what we are doing is not a matter of locking up funds, it is a matter of spending what we do not yet have." All Southern Oregon Republicans, including Rep. Rob Patridge of Medford, voted against the Democratic alternative in the House. Patridge is an original co-sponsor of the trust fund. Earlier Tuesday, Republican legislative leaders said they have the votes to lock up the tobacco settlement money in a trust fund. "I believe we have the votes to support the principle that the principal of the tobacco settlement funds should not be used for current spending," said Senate President Brady Adams, R-Grants Pass. They spoke as they restated budget plans that call for no new taxes, no retention of projected income-tax refunds, and no use of tobacco settlement money other than interest earnings in the next two years. Their budget envisions spending of slightly less than $11 billion, about $300 million less than Kitzhaber wants. But the leaders still have not unveiled details of spending for schools, social services and other state programs. "We do not know anything more today than we did yesterday," Kitzhaber said later. "This is not about balancing numbers on paper. This is about taking care of the basic needs of Oregonians. If you have the guts to limit revenue, you ought to have the guts to say how you are going to spend it." Mail Tribune Copyright � The Mail Tribune 1999, Medford, Oregon USA