OHA Buried Report Proving Higher Taxes Don’t Curb Excessive Alcohol Use

Beer TaxPhoto byJoaquin RomeroonUnsplash

In breaking news, an investigative report commissioned by the Oregon Health Authority (OHA) and conducted by EcoNorthwest suggests that higher alcohol taxes do not effectively curb excessive alcohol use. The report, which should have been published in 2021, was allegedly withheld by the OHA, raising concerns about transparency and potential bias.

According to the report, alcohol taxes are unlikely to reduce consumption in heavy and excessive drinkers. The study presents a scenario where beer and cider taxes are increased by a staggering 2,444% and wine taxes by 664%. Surprisingly, the reduction in consumption by problem drinkers might not even reach 1%. As the report delves deeper, it reveals that this insignificant reduction is due to the potential shift in preference and affordability towards cheaper spirits or other substances instead of cutting down on alcohol consumption. These findings contradict the OHA's previous claims that increasing alcohol taxes would help reduce consumption among problem drinkers, raising questions about the effectiveness of their proposed strategies.

The report also sheds light on the economic implications of the alcohol industry in Oregon. It states that alcohol-related issues cost the state $4.8 billion annually. However, the industry itself contributes a staggering $17 billion to Oregon's economy. This stark contrast showcases the delicate balance policymakers must navigate between public health concerns and economic factors.

Furthermore, the report raises concerns about the allocation of alcohol revenue. It reveals that only a minuscule portion, 3%, is allocated to funding mental health and drug addiction recovery and treatment. The majority of the revenue generated from alcohol taxes goes into the general fund, leaving only a fraction behind for addressing the very issues the taxes were meant to target.

Naturally, these findings have drawn significant attention and sparked concerns from various stakeholders. The Oregon Beverage Alliance, which represents breweries, wineries, and cideries, has expressed apprehension over the impact of tax increases on struggling local businesses. These businesses are already grappling with challenges such as rising ingredient costs, supply chain disruptions, and the ongoing impacts of the pandemic. The introduction of higher alcohol taxes could potentially exacerbate their difficulties and further strain their operations.

Consequently, the situation has ignited doubts about the information provided by the OHA to stakeholders and policymakers. Many stakeholders are demanding answers, emphasizing the importance of truth, honesty, and transparency from a public health agency like the OHA. The withholding of this report raises questions about the OHA's intentions and whether their motives align with genuine public health concerns or if they are influenced by alternative factors. To rebuild trust and ensure effective policymaking, stakeholders are urging the OHA to prioritize transparency and disclose all relevant information regarding their research and decision-making processes.

The Oregon Beverage Alliance is made up of local brewers, winemakers, cidermakers, distillers and their supply and hospitality partners creating hundreds of thousands of jobs generating $17 billion for the state. Learn more: www.DontTaxMyDrink.org