Oregon residents will vote in November on a $1,600 annual universal basic income

Both Democrats and Republicans are opposing an Oregon ballot measure that would raise corporate taxes to fund an annual rebate for state residents.

The measure, called Ballot Measure 118 or the Oregon Rebate, proposes a 3% tax on corporations earning over $25 million a year in Oregon. Initially known as Initiative 17, the plan would distribute the tax revenue as an annual $1,600 rebate to residents, including children.

Despite pushback from lawmakers, the decision is in the hands of voters. Ballot measures allow citizens to vote directly on specific issues, and Oregonians will decide the fate of Measure 118 in the upcoming November election.

Antonio Gisbert, the lead organizer for the initiative, told Business Insider that he remains hopeful voters will approve the measure. "It feels like some of these elected officials are more loyal to corporations than to the people of Oregon," Gisbert said. "We're determined to bring some form of corporate tax fairness to the state."

Cash payments without conditions are gaining traction in the U.S. as a method to support vulnerable populations. Various guaranteed basic income programs have shown that recipients, typically from low-income groups, use the money on essentials like rent, groceries, and transportation.

However, while many basic income programs target specific groups, such as low-income residents or new mothers, the Oregon Rebate would apply to all residents, making it closer to a universal basic income.

Although Democrats usually back basic income programs, many Oregon Democrats have joined Republicans in opposing Measure 118. In a joint statement, state House and Senate Democrats expressed concerns about funding the rebate through corporate taxes.