Latest / The Schmidt Show PDX / You Shall Not Stagnate!

Transcript

You Shall Not Stagnate! · The Schmidt Show PDX

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[music]
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SPEAKER_00: welcome back season three episode one of the schmidt show on video
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SPEAKER_00: and boy do we have a great season opener in fact it's so great we didn't want
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SPEAKER_00: to wait until our planned august 1st start date because some opportunities
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SPEAKER_00: and some guests who are about to disappear down a river for
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SPEAKER_00: a couple weeks just can't wait so here we are season three episode one early
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SPEAKER_00: and unplanned let's go
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SPEAKER_00: my name is mike schmidt former multnomah county district attorney term podcaster
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SPEAKER_00: slash recovering politicians slash portland enthusiasts slash dad learning how
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SPEAKER_00: to skateboard at the age
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SPEAKER_00: of 45 use your own imagination how that's going today we are going to
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SPEAKER_00: schmidtshowp
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SPEAKER_00: the home they grew up in is out of reach the rent on their apartment keeps going up
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SPEAKER_00: and the paycheck is just not keeping pace
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SPEAKER_00: ask someone caring for an aging parent or who is aging themselves
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SPEAKER_00: and they'll tell you it's about health care about a system
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SPEAKER_00: that costs too much covers too little and is about to face enormous new pressure
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SPEAKER_00: as oregon's population gets older we're not prepared
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SPEAKER_00: for what's coming demographically and we're not talking about it enough
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SPEAKER_00: ask a small business owner and they may tell you it's
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SPEAKER_00: about competitiveness taxes permitting regulation the sense
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SPEAKER_00: that oregon has made it harder to build something here than almost anywhere else in
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SPEAKER_00: the west and here's the problem they're all right
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SPEAKER_00: schmidtshowp
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SPEAKER_00: governor kotek convened the oregon prosperity council earlier this year with
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SPEAKER_00: a focused mandate business climate workforce economic competitiveness that's
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SPEAKER_00: a reasonable place to start my guest today co-chaired that council as a side quest
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SPEAKER_00: in his day job he runs the port of portland he grew up fishing in all oregon rivers
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SPEAKER_00: with his dad he's lived in london and germany he went to the world cup in cape town
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SPEAKER_00: and i bet you he has some feelings about paraguay beating germany on penalty kicks
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SPEAKER_00: his name curtis robinhold let's get into it
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SPEAKER_00: curtis robinhol welcome to the studio great to be here thanks
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SPEAKER_00: for having me mike well i'm so excited to talk to you um not only
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SPEAKER_00: about what we're here to talk about which is the prosperity council uh
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SPEAKER_00: but you know you are whether you know it or not um you have fans all over the state
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SPEAKER_00: of oregon i count myself among them um you know even people who don't know you
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SPEAKER_00: because the port of portland
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SPEAKER_00: is incredible like the airport renovation the port is bigger than the airport
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SPEAKER_00: and we can you know i want to have you talk a little bit about your job
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SPEAKER_01: but well done man yeah thank you especially this week it's been really great we're
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SPEAKER_01: just wrapping up 10 years of construction and it's been you know it's just
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SPEAKER_01: an amazing bunch of people who worked on it 30 000 people worked on the airport
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SPEAKER_01: so you also just the the time that we've been through here
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SPEAKER_01: the last few years feels like having something that folks can walk in and go
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SPEAKER_01: that this reflects my values this is about yeah it's been great i love it the port's
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SPEAKER_01: a ton of fun
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SPEAKER_00: you know and we're going to talk about the prosperity council and
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SPEAKER_00: the recommendations and and what you've learned and everything about that but one of
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SPEAKER_00: the things that i think that is so hard to to sell folks on uh
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SPEAKER_00: when you have limited resources and you have to make tough decisions
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SPEAKER_00: and there are things that you have to have and there's things that are maybe nice
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SPEAKER_00: to have but taking a big swing
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SPEAKER_00: i think is just so important for the psyche of the the whole state of oregon but but
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SPEAKER_00: the area for the people it's pride you know people travel all over the country
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SPEAKER_00: and they're like ah we got the best airport in the country yeah don't know
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SPEAKER_01: if you know that yeah no the big thing is i do think we can do big things
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SPEAKER_01: and i you know there's probably lots to talk about here
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SPEAKER_01: on can public entities do big things but um one of the benefits i've got out at
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SPEAKER_01: the port is that i've got a port commission a
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SPEAKER_01: schmidt schmidt
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SPEAKER_01: and have some risk and risk appetite i also don't care if people like me or not
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SPEAKER_01: so i was able to say we're not going to do a big box retail airport we're going
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SPEAKER_01: to go for something that might take a little bit longer it's going to be harder
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SPEAKER_01: to figure out but those things i think are super rewarding
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SPEAKER_01: and i you know i hope we can do them at moda or omzi or albina that we really swing
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SPEAKER_01: for the fences on some of these and just really have some patience to get it right
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SPEAKER_01: well uh i could just go right down that path but i want to back out i want
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SPEAKER_00: to tell people uh who you are a little bit about yourself i mean you
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SPEAKER_00: and i first crossed paths back probably 2013 or so i was down in the legislature
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SPEAKER_00: as counsel for legislature you were in the governor's office um
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SPEAKER_00: so that's you know we've known each other for a long time and been around a lot of
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SPEAKER_00: the same people same circles but tell people a little bit about you you grew up
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SPEAKER_00: in eugene yeah
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SPEAKER_01: south eugene high school go axe um i grew up in eugene my dad's still down there
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SPEAKER_01: and my eldest brother youngest of three boys and um out of college went to school
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SPEAKER_01: in california but out of college started working for peter defazio and um
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SPEAKER_01: um and then john kitzaber the first time he was governor um so i've kind
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SPEAKER_01: of always tried to figure out how i can have impact and for a
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SPEAKER_01: while it felt like politics was the way to do that connected to elected officials uh
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SPEAKER_01: at some stage
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SPEAKER_01: in the governor's office i started to feel like if i really wanted
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SPEAKER_01: to have environmental impact and work on climate issues and river issues i had
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SPEAKER_01: to go back to school so i went back and did a an mba
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SPEAKER_01: in environmental management degree and ended up working for british petroleum
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SPEAKER_01: primarily overseas and for for about five years running one
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SPEAKER_01: of bp's renewable energy businesses and that was also a time
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SPEAKER_01: that you just felt like you're having an impact you read about the business on
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SPEAKER_01: the front page of the paper my wife and i yeah it was a big deal
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SPEAKER_01: And only when the CEO.
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SPEAKER_01: We now have two daughters.
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SPEAKER_01: schmidt hit the fan that's a good slogan somebody should write that down ended up at
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SPEAKER_01: the port first as deputy executive director and now executive director
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SPEAKER_01: for nine years so it
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SPEAKER_01: So it's been just a ton of fun.
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SPEAKER_01: 95 private transactions business transactions rent parking thank you for everyone
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SPEAKER_01: who parks at the airport and we're in the public interest so it's that balance
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SPEAKER_01: that i've sought in my career and i just love being
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SPEAKER_01: in oregon i love it here uh want it to be great want my girls to love it here
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SPEAKER_01: and um you know it's sort of that question of how do you have an impact
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SPEAKER_01: with your life and port has been a great place for me to do that well uh
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SPEAKER_00: at least externally you know i'm not in the internal
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SPEAKER_00: but everything i hear everything i see thank you for your work
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SPEAKER_00: and i know you know you're a leader i've been a leader in different things it's
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SPEAKER_00: the team that makes it happen and we've talked about that there's a lot of people
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SPEAKER_00: that have worked on that port to make it shine and gleam the way it does today
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SPEAKER_01: yeah it's incredible and you know it also is a place we're able
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SPEAKER_01: to recruit really great people to come and hopefully
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SPEAKER_01: where people can grow their careers and find other homes oh one of my favorite folks
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SPEAKER_01: at the port our cfo was just recruited to go be the cfo at lax um
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SPEAKER_01: so um you know we have a couple three other airport directors are you
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SPEAKER_00: the oakland athletics of airports right we're the farm team
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SPEAKER_01: but you know sacramento and salt lake and columbus ohio are all airports run
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SPEAKER_01: by port former port employees so we we just really try to run
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SPEAKER_01: a tight ship teach people uh how to do really good work
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SPEAKER_01: and um you know folks are able to take that and leverage it into other things
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SPEAKER_01: and that's great i love that
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SPEAKER_00: man now now i see it you're the money ball it's all about
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SPEAKER_00: the data yeah exactly all right uh all right well uh that is your day job yes uh and
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SPEAKER_00: a little bit about you and and your ties to the state that we love um
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SPEAKER_00: but you've recently taken a side quest
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SPEAKER_00: a side quest because you haven't set down all those other things
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SPEAKER_00: although no doubt people had to help you but you've taken on co-chairing
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SPEAKER_00: the governor's prosperity council so i imagine and i've i've been
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SPEAKER_00: in this position myself a couple times governor picks up the phone
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SPEAKER_00: and says hey i got a job for you
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SPEAKER_00: and you grin and say yes
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SPEAKER_01: and you always know you always say yes i you know i think you did it as well i know
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SPEAKER_01: the governor appointed you um my rule of uh
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SPEAKER_01: of hand is essentially it doesn't matter what party they are what they're asking us
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SPEAKER_01: asking of you, you say yes.
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SPEAKER_01: just sold last fall the two of us to co chair this group essentially
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SPEAKER_01: a six month charge focus on what's going on with economic development in
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SPEAKER_01: the state she populated the group primarily with business folks from around
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SPEAKER_01: the state
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SPEAKER_01: big and small some sort of startup size three or four employees to as big
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SPEAKER_01: as um hoffman construction with thousands of employees um you know
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SPEAKER_01: an interesting balance regionally as well a farmer from southern oregon and
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SPEAKER_01: a wine grower from uh the valley the idea was in a few areas
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SPEAKER_01: give her feedback recommendations by june so we actually turned
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SPEAKER_01: in our recommendations last thursday um really trying
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SPEAKER_01: to understand how can we drive economic development and growth in the state uh
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SPEAKER_00: so you're co-chairing this council um which of the lord of
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SPEAKER_00: the rings characters were you i mean i feel like maybe legolas look
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SPEAKER_01: at you i i give me the handsome handsome legolas you
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SPEAKER_01: you know i don't know i it felt more like i was the troll dude with
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SPEAKER_01: the big axe swinging like the big guy that will not get out of
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SPEAKER_01: the way uh you know it's a it was a funny group i did not pick it i should say
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SPEAKER_01: the governor um appointed the council and i i
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SPEAKER_01: schmidt schmidt
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SPEAKER_01: schmidt schmidt
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SPEAKER_01: economic development and what...
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SPEAKER_01: struggled to stay in that economic development space
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SPEAKER_01: and i think we did pretty well um but you know we can talk about the details
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SPEAKER_00: the recommendations it was a dance i can imagine and then that's see it's
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SPEAKER_00: a dance it's legolas you know you're you're you're jumping
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SPEAKER_01: on orcs heads exactly right you bob around handsome devil with a full head
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SPEAKER_01: of hair wait no wait that's not me
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SPEAKER_00: no but i i think that would be so challenging uh to to say hey uh this is great and
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SPEAKER_00: and right we you know to have good uh business and attract employees we need
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SPEAKER_00: a great workforce and so now we're down the road of education
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SPEAKER_00: and we're down you know all these different things and
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SPEAKER_00: so it must have been really challenging to kind of restrain yourself um so the
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SPEAKER_00: the report as you mentioned came out in at the end of june uh congratulations
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SPEAKER_01: on time
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SPEAKER_00: um and already of course people are consuming it and
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SPEAKER_00: and there are i've seen some criticisms already i've seen some people well actually
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SPEAKER_00: i've only seen criticisms thanks for that yeah thanks for
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SPEAKER_00: the support everybody yeah exactly well that's
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SPEAKER_00: the way it always goes right it's like it doesn't matter where you're
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SPEAKER_00: at you're gonna find something that you don't like and and people focus
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SPEAKER_00: but membership it was one of the things that i've seen commented on so far
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SPEAKER_00: and you kind of touched on it was a it was a business table it was there were
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SPEAKER_00: a couple people maybe that weren't as much but
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SPEAKER_00: But, you know.
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SPEAKER_00: schmidt
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SPEAKER_01: i was the only public employee i should say um but there were two folks
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SPEAKER_01: who represented organized labor um the rest were business one size
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SPEAKER_01: or another some large some small um and
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SPEAKER_01: the question was what issues are facing business in oregon
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SPEAKER_01: so you know i would argue it wasn't a crazy set of appointees it definitely was
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SPEAKER_01: a pretty narrow band she was asking a pretty narrow set of questions
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SPEAKER_01: so i would say i'm not going to judge um i i don't know um
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SPEAKER_01: And once you start opening that.
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SPEAKER_01: schmidt
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SPEAKER_01: hank centralized but then we wanna shackle the beast
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SPEAKER_01: so we say well now we're gonna set up a bunch of process around it to slow it down
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SPEAKER_01: because we're afraid of what might happen or if it got in the wrong hands and
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SPEAKER_01: so i think about that with with this council is that
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SPEAKER_01: do you add a bunch
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SPEAKER_01: of more conversation do you add more voices do you ask everyone we do have
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SPEAKER_01: a legislature the legislature can do that work and represent the people
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SPEAKER_01: and i think they do a good job at having those conversations i think
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SPEAKER_01: the question is really do they do a good job about prioritizing where we need to act
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SPEAKER_01: on economic development and that was really the question to us as um as a council
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SPEAKER_01: and you know i i would say a bunch of folks felt like we didn't go far enough yeah
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SPEAKER_01: schmidt
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SPEAKER_01: that can happen in both the short-
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SPEAKER_01: my hazard to say centrist
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SPEAKER_01: but they were not crazy i think regular oregonians will look at the list
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SPEAKER_01: and say yeah okay that's not nuts yeah maybe we should do that so for me that sort
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SPEAKER_01: of passes the sniff test it you know did you do your work we did finish
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SPEAKER_01: on time we did i think we did more outreach and listening than even
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SPEAKER_01: the governor expected yeah so yeah
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SPEAKER_00: well and we're gonna go there next i just i appreciate
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SPEAKER_00: the hamiltonian jeffersonian conversation because you know i like you
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SPEAKER_00: and progressives as you've identified more hamiltonian
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SPEAKER_00: until we got this federal administration in power
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SPEAKER_00: and i'm like ah jefferson had some points he had some good points let's uh
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SPEAKER_01: let's let the states do what yeah you know i do think this conversation
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SPEAKER_01: about abundance whether you go for it or not and ezra klein and sort of the thinking
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SPEAKER_01: about can we get big things done anymore you you mentioned
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SPEAKER_01: the airport yeah i think arguably if we had a bunch of elected officials involved in
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SPEAKER_01: that we would not have gotten the outcome we did i agree because you get this sort
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SPEAKER_01: of oh i gotta worry about this constituency or i gotta and now that's a bit of
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SPEAKER_01: a risk because what if my team had gone another direction
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SPEAKER_01: but i think with some accountability if you don't like it fire me right um
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SPEAKER_01: but you know who knows i you know for the abundance conversation in
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SPEAKER_01: the book it talks about high-speed rail in california right billions and billions
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SPEAKER_01: of dollars thrown at this really big challenge but so many ways to slow it down
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SPEAKER_01: that even though we have a progressive outcome we have hindered this big idea
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SPEAKER_01: and something that really should happen i feel the same way about um climate change
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SPEAKER_01: schmidtshowpdx
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SPEAKER_00: let's get into process yeah you referenced 66 listening sessions
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SPEAKER_00: across 25 plus communities in oregon you surveyed people people could write in
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SPEAKER_00: to you uh in your report which is like 400 and some pages i read every single word
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SPEAKER_00: no some of the words were very small because they were all the comments from
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SPEAKER_00: the survey oh my goodness um so i didn't read that but uh but you all consumed it
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SPEAKER_00: and and and listen to that tell folks a little bit about the process and
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SPEAKER_00: then what i what i hope you'll share with us is is some story or something
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SPEAKER_00: that you heard maybe you weren't expecting or that's really stuck
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SPEAKER_01: with you throughout this yeah well um you were right it was it was a bunch
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SPEAKER_01: of meetings some of them we did as a council as a whole
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SPEAKER_01: we had five meetings as the council as a whole and a bunch
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SPEAKER_01: of smaller ones regionally the council met in pendleton and in redmond and salem
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SPEAKER_01: and eugene and in portland and i got to go all over the place
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SPEAKER_01: schmidt schmidt
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SPEAKER_01: We just didn't have an infrastructure.
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SPEAKER_01: And it's worth a perusal.
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SPEAKER_01: Things are not going as good.
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SPEAKER_01: generally from the from the private sector folks
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SPEAKER_01: the business folks say our tax system is not working in the way that we want it
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SPEAKER_01: to we're not getting the outcomes we want and secondarily our regulatory
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SPEAKER_01: and permitting environment is terrible and is bad relative to other states and so
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SPEAKER_01: that was i would say broad-based but there were a lot
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SPEAKER_01: of individual stories we were out we visited hill meats out
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SPEAKER_01: in pendleton 150 employees they basically make bacon
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SPEAKER_01: fantastic bacon you can buy here in the stores
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SPEAKER_01: and their big challenge is around getting people to come but also figuring out what
21:54
SPEAKER_01: the inheritance tax or the estate tax looks like right because
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SPEAKER_01: the owner is getting up
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SPEAKER_01: in years, his three daughters.
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SPEAKER_01: i'm just not expanding in oregon because the tax structure is really hard to succeed
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SPEAKER_01: in and so you got a lot of businesses saying hey i'm in multiple states and
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SPEAKER_01: when i rank them for investment i have limited capital when i rank them
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SPEAKER_01: oregon's way at the bottom so the question is really why is that and what can we do
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SPEAKER_01: to help job growth and job creation so it was great boy so many stories
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SPEAKER_01: and really great stories too about how some
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SPEAKER_01: matching funds that the guys out at fort george brewing in astoria they want
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SPEAKER_01: to expand and the city of astoria doesn't have water and sewer capacity so this is
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SPEAKER_01: where the state could help and partner with the local jurisdiction to get
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SPEAKER_01: the infrastructure in place to enable private sector job growth
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SPEAKER_01: and fort george is fantastic right great pilsner and we got to figure out how
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SPEAKER_01: to make that happen around the state and how to encourage that activity some
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SPEAKER_01: of it happens now but it was surprising to hear
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SPEAKER_01: the unanimity around.
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SPEAKER_00: you know i i imagine you got a really good sense
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SPEAKER_00: of uh you know different perspectives rural urban one of the things
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SPEAKER_00: that just bums me out as a person who's been around oregon which is
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SPEAKER_00: an incredible state and you mentioned how much you love traveling around the state
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SPEAKER_00: when i used to work at the criminal justice commission i used to have a road show
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SPEAKER_00: and i'd drive out to every single county and it was my favorite part still
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SPEAKER_00: to this day favorite part of any job i've ever had traveling oregon is incredible
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SPEAKER_00: and i get really sad when i you know people are there's
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SPEAKER_00: the secessionist movement we're going to leave oregon we're going to go to idaho
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SPEAKER_00: and i'm like
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SPEAKER_00: It just, it hurts because
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SPEAKER_01: yeah i would say real consistency that the issues are generally
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SPEAKER_01: the same i mean i think what you describe we heard as well and i've heard in my
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SPEAKER_01: in my own life um that around the state especially in rural areas it feels like um
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SPEAKER_01: the the general feeling is they're not being listened to and that
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SPEAKER_01: the politics are being driven by portland and the valley
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SPEAKER_01: schmidt
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SPEAKER_01: so i know what their lives are like that folks want to make a living in rural areas
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SPEAKER_01: and that farming and ranching and fishing the historical and working in
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SPEAKER_01: the timber industry
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SPEAKER_01: that those are real
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SPEAKER_01: schmidtshowpdx
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SPEAKER_01: And to say it's been six.
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SPEAKER_01: some some matches in it is not the end of the world to say we can have a look
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SPEAKER_01: and see if it should be modified in a smart way you know we heard
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SPEAKER_01: from some some farming communities about you have these sort
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SPEAKER_01: of not tier one farmland but tier two which is not really economic
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SPEAKER_01: to farm anymore how is
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SPEAKER_01: that treated you know those are good questions i think do we need
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SPEAKER_01: to adjust urban growth boundaries whether we do or not
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SPEAKER_01: Can we have a look first?
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SPEAKER_01: schmidtshowp
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SPEAKER_01: in some areas in particular central oregon uh outside there's a lot of pressure
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SPEAKER_01: on um infrastructure outside communities abandoned redmond because they're growing
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SPEAKER_01: so fast so uh you know just different fields depending on where you are in
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SPEAKER_00: the state yeah i think that's you know you're kind of touching on some of
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SPEAKER_00: the challenges um you know we live in a political world this is
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SPEAKER_00: a political document uh we are in the context of national politics
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SPEAKER_00: and local politics and so it can get really
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SPEAKER_00: challenging and
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SPEAKER_01: Yeah, it hit me right in the face with it.
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SPEAKER_01: my pitch to the governor's office folks was i want to be on the side of
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SPEAKER_01: the prosecution if there's something going wrong in the state i want to get at it
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SPEAKER_01: because that's what people want us to do and um be leaning forward in the problems
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SPEAKER_01: but yeah tell me about the bad news well no
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SPEAKER_00: You're going to tell me about it.
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SPEAKER_00: to get an accurate diagnosis.
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SPEAKER_01: look the bad news is pretty clear and folks see it around
29:30
SPEAKER_01: the state um our business climate is not competitive um on a on a range
29:35
SPEAKER_01: of issues we don't compete with other states and oftentimes we say i'm going
29:40
SPEAKER_01: to pick one on taxes as an example
29:42
SPEAKER_01: Well, we're more progressive.
29:57
SPEAKER_01: in oregon than you pay in washington so why is that and can we adjust that to have
30:03
SPEAKER_01: a more thoughtful system uh it's the same on regulatory environment when you talk
30:07
SPEAKER_01: to employers around the state they say right i have that i
30:12
SPEAKER_01: schmidtshowp
30:34
SPEAKER_01: forget about what you call it or what we've done in the past if you wanted to look
30:38
SPEAKER_01: at best practice who does this really well economic development on behalf of
30:41
SPEAKER_01: the state it's about talking to businesses about their challenges connecting
30:46
SPEAKER_01: the private and the public sector together to address challenges as you
30:49
SPEAKER_01: and i were just talking about it's
30:50
SPEAKER_01: about recruiting um new not white whales necessarily but sort
30:55
SPEAKER_01: of can you bring new businesses into the state and what are we doing
30:58
SPEAKER_01: to retain companies that are here states that do that well
31:03
SPEAKER_01: now i also want to say ignore the ones that we don't want to be like we don't want
31:08
SPEAKER_01: to be like texas right we don't want to be like arizona and by the way they're going
31:11
SPEAKER_01: to run out of water they're going to have big problems but let's look at other blue
31:15
SPEAKER_01: or even purple states pennsylvania michigan north carolina how do they do it what's
31:20
SPEAKER_01: their toolkit look like and act
31:22
SPEAKER_01: schmidt
31:37
SPEAKER_01: schmidt
31:52
SPEAKER_01: to come in and build, it takes four or five.
32:07
SPEAKER_01: community college or people who already have.
32:28
SPEAKER_01: talk to them they've got 3500 employees in oregon um 1500
32:33
SPEAKER_01: of them really advanced technological engineering and phd types of jobs
32:38
SPEAKER_01: and others more assembly jobs i'd say a little lower a lot lower barrier
32:43
SPEAKER_01: to entry i asked them about well what what parts
32:45
SPEAKER_01: of our workforce system have you used and they sort of this what workforce system
32:50
SPEAKER_01: that's a crisis and you know community college credits in oregon don't transfer
32:55
SPEAKER_01: to other community colleges it's mind-blowing wow let alone up into
32:59
SPEAKER_01: the university system and we just need to fix that that is on us that is not on
33:04
SPEAKER_01: to employees who are looking you know workers who are trying to find jobs
33:07
SPEAKER_01: the state should be able to straighten that out and that's one
33:09
SPEAKER_01: of those let's just get to work that's not complicated it's not partisan let's get
33:13
SPEAKER_01: the workforce system functioning um again so we're helping oregonians find work
33:19
SPEAKER_00: i'm glad you brought fort george back into the conversation because i was uh
33:23
SPEAKER_00: because they do make excellent beer and and and the anecdote you shared with us the
33:28
SPEAKER_00: the sewer system the water that that they need to you know have a factory
33:33
SPEAKER_00: that makes beer right um and and and not having the infrastructure there
33:38
SPEAKER_00: that feels like something that to take advantage of that and
33:41
SPEAKER_00: to not lose somebody like fort george across the river into washington um is we need
33:46
SPEAKER_00: to be able to move quickly
33:49
SPEAKER_00: we need to be able to respond to situations like that fast and and i don't know
33:55
SPEAKER_00: that this comes up in the report but it just made me think you know with
33:58
SPEAKER_00: a part-time legislature that allocates funds on a biannual basis it does that put us
34:04
SPEAKER_00: at a
34:04
SPEAKER_00: Yeah, it's not great.
34:18
SPEAKER_01: part-time legislators. It means you
34:33
SPEAKER_01: infrastructure money, what you're really talking.
34:59
SPEAKER_00: one of the things that i read as i was going through
35:00
SPEAKER_00: the report uh was this almost vague reference not vague
35:04
SPEAKER_00: but um i don't know it felt uh diplomatic to me it said that our policy making uh in
35:10
SPEAKER_00: the state is fragmented yeah and it just kind of moves on to the next thing
35:14
SPEAKER_00: unpack that for me because that i know what i thought that meant
35:17
SPEAKER_00: and i was like oh yeah i can see this but when when you all were confronting
35:20
SPEAKER_00: the fragmented policy making uh what are you talking about yeah the
35:24
SPEAKER_01: the two places we sought more than any others that workforce piece i mentioned
35:28
SPEAKER_01: and um economic development side uh it's just what we've done is created a number
35:34
SPEAKER_01: of i take workforce as an example um we have a governor's council on uh
35:41
SPEAKER_01: healthcare workforce.
35:56
SPEAKER_01: higher education coordinating council just have this whole mess of uh we try
36:01
SPEAKER_01: to make sure we get every niche taken care of and then the table isn't set anymore
36:06
SPEAKER_01: so one of the things on workforce that we're asking for is not a new agency but
36:09
SPEAKER_01: to have the governor convene everyone
36:10
SPEAKER_01: being everyone together and have a
36:25
SPEAKER_01: that are important.
36:26
SPEAKER_01: I think about you and I,
36:41
SPEAKER_01: to figure out what wood tissue sounds like get the pros in
36:44
SPEAKER_01: the room yeah be accountable for your decisions and go um we just got to get to work
36:49
SPEAKER_01: and you know the folks who are suffering are not the state bureaucrats
36:52
SPEAKER_01: and i don't mean to diminish the state employees who are doing this work
36:55
SPEAKER_01: but they're doing okay they're getting paid it's the people who need work
36:58
SPEAKER_01: that are suffering from this system that's fragmented
37:00
SPEAKER_01: and we should just get more serious about execution
37:04
SPEAKER_00: all right well we we went to the bad news give us some good news give us
37:07
SPEAKER_00: the hopeful what are the strengths that oregon is working
37:11
SPEAKER_00: from i mean i think you know i see it if you're
37:14
SPEAKER_00: on social media people come visit this or you have friends and family across
37:17
SPEAKER_00: the country they come to oregon and they're like oh my god
37:21
SPEAKER_00: it is incredible.
37:45
SPEAKER_00: what is the things that distinguish us
37:47
SPEAKER_01: that there are advantages you know i mean you put your finger
37:51
SPEAKER_01: on it one thing you get everywhere is people are optimistic
37:54
SPEAKER_01: and hopeful they they love this place and you know it's been called
37:58
SPEAKER_01: the second paycheck uh that in oregon you can maybe even accept a little less
38:03
SPEAKER_01: because the environment's so amazing um the food is so amazing
38:07
SPEAKER_01: the experiences you can have here are second to none and i've lived all over
38:11
SPEAKER_01: the world it is great here yeah
38:14
SPEAKER_01: the challenge is can we step up and get better can we keep doing things
38:19
SPEAKER_01: that make us create more than just the place um we're also this the world center not
38:25
SPEAKER_01: the national center or the regional center we're the world center of food
38:29
SPEAKER_01: and beverage uh athletic and apparel semiconductor and ecosystem sporting and music
38:35
SPEAKER_01: and experiential events so tourism um there are a number of areas wood products
38:40
SPEAKER_01: and i'm super interested in advanced wood products and mass timber i
38:44
SPEAKER_01: schmidt schmidt
39:02
SPEAKER_01: if we are the center of athletic and and leisure and um sportswear what are we doing
39:08
SPEAKER_01: to help them grow how are we helping them connect to other markets
39:11
SPEAKER_01: to recruit employees here and one of the things we did here around the state is in
39:15
SPEAKER_01: a number of even these industries i'm talking
39:17
SPEAKER_01: about people say i'm having trouble recruiting housing's really expensive right our
39:22
SPEAKER_01: schools are 50th out of 50 yeah on on literacy um
39:27
SPEAKER_01: schmidtshowpdx
39:57
SPEAKER_01: best in the world food quality right oh yeah wine that kicks ass beer
40:01
SPEAKER_01: that you know i love is amazing so we've got some things to work with
40:05
SPEAKER_01: but we should be doing the other parts we can't just sit back on our laurels
40:09
SPEAKER_01: and hope for the best you know hope is not
40:11
SPEAKER_00: a strategy yeah exactly right um you listed off a lot of great industries
40:16
SPEAKER_00: and i'm wondering if you have a prediction for what's the industry
40:19
SPEAKER_00: that you think is like going to break out
40:21
SPEAKER_00: in oregon what's what's our next big swing especially if we get it right
40:27
SPEAKER_01: you know in the ones i mentioned there's all kinds of exciting stuff going
40:30
SPEAKER_01: on i we're spending a lot of time at the port of portland thinking about mass timber
40:34
SPEAKER_01: and how you connect rural jobs to urban jobs
40:37
SPEAKER_01: and hopefully also some housing solutions the food and beverage space
40:42
SPEAKER_01: and there's some folks who are just best in class here in oregon working there
40:45
SPEAKER_01: to try to connect the the pieces
40:49
SPEAKER_01: boy i don't know you know um it's hard to see what's going on globally around ai
40:54
SPEAKER_01: and uh robotics and not have some hope that we can capture some of that here uh
41:00
SPEAKER_01: and there's some efforts both in the portland area and down in
41:03
SPEAKER_01: the southern willamette valley
41:03
SPEAKER_01: Lammett Valley to stitch together some.
41:19
SPEAKER_01: schmidt schmidt
41:42
SPEAKER_01: maybe i should do it in portland or down the willamette valley maybe that's
41:45
SPEAKER_01: a good place and there are folks who believe in that you know i'm thinking
41:48
SPEAKER_01: about jensen wang and nvidia putting some money in this space folks believe
41:54
SPEAKER_01: in us we should believe in ourselves too
41:55
SPEAKER_00: and take those steps awesome well let's dive right into some of
41:59
SPEAKER_00: the recommendations i'm gonna more lightning around us because we've talked a lot
42:03
SPEAKER_00: about them we've incorporated a lot of them but one of
42:05
SPEAKER_00: the big recommendations is business oregon yeah so just what's what's
42:09
SPEAKER_00: the thought around business oregon and why do we need to do it
42:11
SPEAKER_01: yeah uh just mimic best practice just figure out be the kid that copies off
42:18
SPEAKER_01: the other kid bunch of states do this really well let's go look at the states
42:21
SPEAKER_01: that do well north carolina is a great example um and get more focused on an agency
42:27
SPEAKER_01: that is effective at promoting oregon recruiting businesses and retaining them here
42:32
SPEAKER_00: you know sometimes i hear in
42:34
SPEAKER_00: in these conversations around businesses um it be said i'm not
42:37
SPEAKER_00: in these conversations but i hear people say oh well this business they got a call
42:41
SPEAKER_00: from the governor's office in north carolina and they i got
42:43
SPEAKER_00: an offer letter right here that i'm gonna you know is is that the kind of a
42:47
SPEAKER_00: schmidt schmidt
43:02
SPEAKER_01: schmidtshowp
43:18
SPEAKER_00: uh the report makes recommendations around tax policy yeah um and
43:22
SPEAKER_00: and like you said i've seen people say ah that's that's incredible that's a giveaway
43:25
SPEAKER_00: and then i've heard other people it's like this doesn't go even close
43:27
SPEAKER_00: to far enough right so you're never going
43:29
SPEAKER_00: to get i mean it's tax policy right no one's ever going to be happy uh but the
43:33
SPEAKER_00: the four major recommendations that that i see uh that were listed out in the report
43:38
SPEAKER_00: if you can just touch on briefly um
43:41
SPEAKER_00: the cat r d credits qualified small business stock exclusion estate tax yeah
43:46
SPEAKER_01: let me say i think the the big one you didn't mention is actually a push for
43:51
SPEAKER_01: a longer term conversation about taxes we've got this federal cliff coming in 2029
43:56
SPEAKER_01: the state and local tax deduction
43:58
SPEAKER_01: which will really affect oregon taxpayers that's federal treatment of oregon taxes
44:04
SPEAKER_01: that's the big one and the conversation we had about those other four was leading
44:09
SPEAKER_01: into in the short term there's some things the state could fix
44:12
SPEAKER_01: that cost some money not gonna lie they have some revenue impact but we thought
44:17
SPEAKER_01: that those would help especially small and medium
44:19
SPEAKER_01: -sized businesses.
44:45
SPEAKER_01: The reason you do that...
45:08
SPEAKER_01: pays the corporate activity tax we said double it double that threshold
45:12
SPEAKER_01: to two million because especially the smaller businesses shouldn't be trying
45:16
SPEAKER_01: to figure out how to comply with a really complicated it's about all
45:21
SPEAKER_01: of your receipts and it's
45:23
SPEAKER_01: snot a big revenue impact but do that in a revenue neutral way so make
45:26
SPEAKER_01: the big payers cover that difference and you should think about how we could use
45:31
SPEAKER_01: the corporate activity tax in a different way you could adjust it to use a naix code
45:36
SPEAKER_01: or a corporate code essentially if you're in
45:38
SPEAKER_01: a manufacturing business you pay one rate
45:41
SPEAKER_01: and you're in a services business you pay another okay that would get us ready
45:44
SPEAKER_01: for this broader conversation around what's our tax code for is it working yeah
45:48
SPEAKER_01: and that's something only the governor and the legislature can do it would take
45:51
SPEAKER_01: a couple years but in the short term those four ideas could all happen in
45:55
SPEAKER_01: the 27 session
45:56
SPEAKER_00: yeah that makes a lot of sense you know i mean as i was reading through
45:59
SPEAKER_00: that i was like okay we're not talking about the kicker we're not talking
46:01
SPEAKER_00: about sales tax right like those are elephants in the oregon tax conversation uh
46:06
SPEAKER_00: that at some point we need to just have an honest conversation you know we talked
46:09
SPEAKER_01: about sort of a uh think about a p
46:11
SPEAKER_01: h balance uh that there's some things that are acidic you just mentioned a couple
46:15
SPEAKER_01: of them and they would move the dial but we certainly weren't qualified
46:19
SPEAKER_01: to make those recommendations around there's some things
46:21
SPEAKER_01: that are alkaline uh like changing the name of business oregon
46:25
SPEAKER_01: but not what it does it's not going to do anything what we were looking for was in
46:30
SPEAKER_01: the middle swimmable breathable but tried to push toward the have an impact um
46:35
SPEAKER_00: so that's the list i think we got you can tell it's hot in the studio
46:39
SPEAKER_00: as we're talking about swimming pools
46:41
SPEAKER_00: all right uh permitting uh regulation one of the things
46:47
SPEAKER_00: that uh you know i think we hear a lot about is you know all the red tape and
46:52
SPEAKER_00: if you read abundance and ezra klein's work and and and how liberals
46:56
SPEAKER_00: and progressive states and blue states
46:57
SPEAKER_00: and everything you have made things harder uh permitting and you uh one of
47:01
SPEAKER_00: the things is a permitting shot clock yeah say more about that they have it
47:04
SPEAKER_01: in california the shot clock the idea is you put a permit in you should hear
47:08
SPEAKER_01: within 30 days whether that permit is complete
47:11
SPEAKER_01: and once you receive notice of whether it's complete or not,
47:13
SPEAKER_01: there should be some time in which the state has to tell you if you get it or not.
47:19
SPEAKER_01: It's not crazy.
47:20
SPEAKER_01: It seems perfectly reasonable.
47:21
SPEAKER_01: In fact, a bunch of states have a reverse shot clock as well, which is on the permit applicant
47:26
SPEAKER_01: that says yeah the state has a time limit but you do too you can't just sit back
47:30
SPEAKER_01: and wait because the state can't hold all these things open right
47:33
SPEAKER_01: so yeah get faster just get better at this
47:36
SPEAKER_01: and again we copied california it's not like there's some bastion
47:39
SPEAKER_00: of conservatism right yeah exactly uh cap and invest yeah
47:45
SPEAKER_00: you spend a lot of time on oregon's rivers uh you're an environmentalist you're
47:49
SPEAKER_00: a guy who cares i mean uh you won an award for your environmentalist yeah so talk
47:54
SPEAKER_00: a little bit about um our environmental policy and how that factors
47:57
SPEAKER_01: into business look the the push to have a system that reduces carbon um
48:03
SPEAKER_01: or let's call it greenhouse gas emissions
48:05
SPEAKER_01: over time is absolutely necessary it's our responsibility
48:08
SPEAKER_01: it's our it's our duty to our children we got to do it so the question is not
48:13
SPEAKER_01: whether it's how and because of the i would say silliness in the legislature um
48:20
SPEAKER_01: the state has not moved toward a statutory model we instead have
48:24
SPEAKER_01: a rules-based one created by executive order and now by folks over at deq in rule so
48:31
SPEAKER_01: if a new governor decided he or she didn't like it they could remove it it's not
48:36
SPEAKER_01: the way grown-ups should play this game um
48:39
SPEAKER_01: washington california have systems a cap and invest systems it's a system actually
48:43
SPEAKER_01: when i worked for bp i traded in the european trading system it is a great way
48:47
SPEAKER_01: to reduce carbon emissions and also reduce costs of compliance
48:51
SPEAKER_01: for business let's just be grown-ups tie with
48:54
SPEAKER_01: the other states the way to do that is statutory the legislature should pass it and
48:58
SPEAKER_01: then you'd get rid
48:59
SPEAKER_01: of this rule rule space system it's called cpp climate protection plan we shouldn't
49:04
SPEAKER_01: be making big comprehensive regulatory decisions by rule by rule let's do them
49:09
SPEAKER_01: with the legislature where they should be made and honestly if you're a business
49:13
SPEAKER_01: and you're having to invest in reductions of your own it should be
49:16
SPEAKER_01: in law it shouldn't just be in rule where you're hoping that the rule doesn't change
49:20
SPEAKER_01: because you're making big strategic investments to reduce carbon emissions
49:23
SPEAKER_00: which again we need to do we touch on this a little bit
49:27
SPEAKER_01: the site readiness fund yeah yeah again that idea is basically folks who want
49:33
SPEAKER_01: to come here
49:35
SPEAKER_01: essentially are being asked to build out and bring sites to readiness
49:40
SPEAKER_01: so we do this out at the port of portland we did it in troutdale and
49:43
SPEAKER_01: in gresham you essentially you're getting roads out to
49:46
SPEAKER_01: a site you're leveling it you're bringing water and sewer and electric out it takes
49:50
SPEAKER_01: a long time and money and what we're essentially doing today is asking
49:54
SPEAKER_01: the private sector to do all that work and then we're saying well we want you
49:57
SPEAKER_01: to come here
49:58
SPEAKER_01: but the sites won't be ready for four or five years yeah so at the very outset of
50:02
SPEAKER_00: the report it talks about that we will measure success by rising incomes
50:06
SPEAKER_00: by job creation quality job creation improved educational outcomes stable public
50:11
SPEAKER_00: revenues it commits to ensuring the benefits of growth are broadly shared uh through
50:17
SPEAKER_00: of all we're going it's rising wages improve quality of life all
50:20
SPEAKER_00: of those things i know that you are restrained from talking about a lot
50:24
SPEAKER_00: of those other systems but do you feel like at the end of the day
50:27
SPEAKER_00: that this report puts us on.
50:52
SPEAKER_01: that will get us down the path i think what we'll see here is that this first set
50:56
SPEAKER_01: of steps will move us in the right direction will actually make a meaningful signal
51:00
SPEAKER_01: in the private sector that this is a good place to do business and to stay yeah
51:04
SPEAKER_01: and folks are making those decisions right now
51:06
SPEAKER_00: so yeah it's important it's urgent i think you know the the signal uh
51:12
SPEAKER_00: that really can't be underestimated in its importance um you know i think
51:18
SPEAKER_00: as you stated
51:19
SPEAKER_00: people are here because they love being here and it's the second paycheck it's
51:23
SPEAKER_00: the this is where i want to be and we're facing these challenges
51:28
SPEAKER_00: that are making things really challenging and i think sometimes just the signal
51:31
SPEAKER_00: that we are we hear you we see the issues we're working on them stay with us stick
51:37
SPEAKER_00: with us is it cannot be undersold how important that is that's right and
51:41
SPEAKER_01: I think the sort of...
51:56
SPEAKER_01: and you know really what we're talking about is are the democrats picking up
52:00
SPEAKER_01: the mantle and recognizing that growing the size of the pie in a state you
52:05
SPEAKER_01: and i've talked about this before that's about 94 dependent on income tax that's for
52:10
SPEAKER_01: the general fund that's 83
52:12
SPEAKER_01: personal income tax and 11% corporate income tax if you want more money in
52:16
SPEAKER_01: the kitty you've got to create more jobs and more higher paid jobs and that's really
52:22
SPEAKER_01: the charge here is get to work on that task and then you'll be quibbling less over
52:26
SPEAKER_01: the size of everyone's slices and more thinking
52:29
SPEAKER_01: about are we creating more prosperity
52:32
SPEAKER_00: well we started off with uh you were the youngest of three brothers um and
52:37
SPEAKER_00: in preparation for this you shared with me one of your favorite beliefs or one
52:40
SPEAKER_00: of your major beliefs which is uh you know sometimes you get knocked down uh
52:45
SPEAKER_00: but you're measured by uh getting back up yeah uh it can feel
52:50
SPEAKER_00: or does feel like maybe organ got knocked down a little bit yeah
52:53
SPEAKER_01: what's your are we getting back up is this yeah i think we are i mean i think this
52:58
SPEAKER_01: the council's recommendations are part of that you do see the city starting
53:01
SPEAKER_01: to come back we still have massive problems but i think we're taking steps in
53:05
SPEAKER_01: the right direction if you look at our jobs numbers we're kind of
53:08
SPEAKER_01: flat now, but the...
53:34
SPEAKER_01: well that ends this portion of your test uh here's the here's the the
53:38
SPEAKER_00: after test okay it's world cup time oh yes you're a world cup fan you're
53:43
SPEAKER_00: a soccer fan a football fan you've lived in germany you've lived
53:46
SPEAKER_00: in london uh you've been to the world cup
53:49
SPEAKER_00: in another country,
53:51
SPEAKER_00: in Cape Town.
54:04
SPEAKER_00: uh so uh how are you enjoying this world cup so far ah i think it's great it's
54:08
SPEAKER_01: a great world cup and i think you know folks like me were a little skeptical of
54:12
SPEAKER_01: the expanded pool but watching cape verd succeed is just
54:16
SPEAKER_01: so great um i especially i love to cheer for the african nations and
54:20
SPEAKER_01: so it's been fun to see just some surprises and some upsets
54:24
SPEAKER_01: and some really great footy do you uh you cheer for germany
54:28
SPEAKER_01: you know they're clearly my second team or maybe my third team um
54:33
SPEAKER_01: and uh definitely cheer for the u.s men and the u.s women for that matter
54:37
SPEAKER_01: when they play but they're better than the u.s men so uh so you're
54:41
SPEAKER_00: at this prediction time you're gonna put on your nostradamus hat uh four teams
54:46
SPEAKER_00: that are gonna be there in the final four hmm
54:49
SPEAKER_00: they probably don't call it the final four in the world cup they don't that's
54:52
SPEAKER_01: a basketball they don't they they call it the semi-final
54:55
SPEAKER_01: the four well france is definitely going to be there i'm working through
54:58
SPEAKER_01: the brackets right here uh i'm gonna go france spain uh argentina and
55:06
SPEAKER_01: the last brackets the hard one i think it's gonna be mexico oh
55:12
SPEAKER_01: yeah i think mexico beats england even though england is really um honestly from
55:18
SPEAKER_01: a talent perspective and a national global ranking they're way above mexico
55:23
SPEAKER_01: but playing in azteca oh and i know they look rattled uh
55:28
SPEAKER_01: the english did not look harry kane's amazing and they look like they're gonna have
55:32
SPEAKER_00: a hard time you know the first world cup that that i really started paying attention
55:36
SPEAKER_00: to
55:37
SPEAKER_00: gosh would have been in 2006 i was traveling around guatemala yeah fantastic place
55:44
SPEAKER_00: to be when the world cup is on because it's like every doorway every everyone is
55:49
SPEAKER_00: in their houses or in public spaces everyone's watching
55:54
SPEAKER_00: i i my memory may be wrong but i don't think so i think harry kane was playing in
55:58
SPEAKER_00: that world cup wow he's been around forever okay maybe i don't think so
56:03
SPEAKER_00: but all right but anyway it seems it feels like he's one
56:06
SPEAKER_00: of those names whatever he is he's 57 yeah that's fair i guess i'm getting old uh
56:12
SPEAKER_00: but so is harry kane so but yeah it's gonna be the energy
56:16
SPEAKER_00: in azteca is gonna be incredible all right
56:18
SPEAKER_01: who wins it all france beats argentina 2-1
56:24
SPEAKER_01: france beats argentina uh france i mean
56:26
SPEAKER_01: the french team is amazing they are amazing that'll make my my boys really sad
56:31
SPEAKER_01: they're huge messy fans are they um best place in portland to watch
56:36
SPEAKER_01: a match well we we watched
56:39
SPEAKER_01: i watch a lot of them in my backyard i'm not a i'd like to watch with my friends and
56:43
SPEAKER_01: so um a few of us who also go the timbers and thorns together um watch it
56:49
SPEAKER_01: with some local beverages and uh like the backyard actually we just watched in
56:53
SPEAKER_01: the basement because the backyard is too bright for the uh for the screen projector
56:57
SPEAKER_01: but yeah you know best beer to drink while you're watching whoo i'm
57:01
SPEAKER_01: a free pilsner fan uh fort george has a nice pilsner though and breakside i'm
57:05
SPEAKER_01: a pilsner guy best food on the table
57:09
SPEAKER_01: i'm a uh i'm a any form i can get an avocado in me is a good thing so i'm definitely
57:14
SPEAKER_01: about the guac and uh some spicy salsa with some local chips uh and agree
57:20
SPEAKER_00: or disagree portland is the best non-host soccer city in america to watch
57:24
SPEAKER_01: the world cup and it's definitely the best non-host city what's
57:28
SPEAKER_01: the best city um yeah i agreed agreed agreed yeah i'm there
57:34
SPEAKER_00: curtis robinhold thank you so much for coming on the show a lot
57:37
SPEAKER_01: of fun yeah appreciate
57:47
SPEAKER_00: it that's curtis robinhold port
57:50
SPEAKER_00: of portland oregon prosperity council co-chair river runner soccer guy and a man
57:56
SPEAKER_00: who is publicly committed to france winning
57:58
SPEAKER_00: the 2026 world cup you heard it here first place your bets
58:03
SPEAKER_00: i learned a lot today about where oregon is and how hard it is to get people in
58:07
SPEAKER_00: the same room and reach agreement and about what it looks like
58:09
SPEAKER_00: when someone actually believes in this state enough
58:12
SPEAKER_00: to spend six months traveling it listening to it and trying to write a path forward
58:17
SPEAKER_00: whether you agree with every recommendation in this report or not and i suspect most
58:21
SPEAKER_00: of you don't agree with all of them because you know i think that's
58:24
SPEAKER_00: a conversation worth having but oregon needs more of it and that's what this shows
58:29
SPEAKER_00: for i'm mike schmidt thanks so much for spending time with us
58:32
SPEAKER_00: schmidt show if this episode got you thinking share it with someone who cares
58:37
SPEAKER_00: about oregon's future you can find us on Substack that's
58:40
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58:44
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58:47
SPEAKER_00: on something tell us what we missed we read it we respond that's
58:50
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58:55
SPEAKER_00: if you're feeling generous it helps other people find the show season three is off
59:01
SPEAKER_00: and running
59:02
SPEAKER_00: we'll see you next time