SALEM, Ore. — Oregon Labor Commisisoner Brad Avakian has struggled to pay some of his bills on time and failed to pay some of his taxes while he was serving in the Legislature, public records show.
Avakian, a Democrat, is running for Congress in a special election to replace Rep. David Wu, who resigned this year. The Internal Revenue Service put a lien on Avakian's home because of an income tax debt, and Washington County records show he was delinquent on his property taxes in two years.
In recent years, he's also been sued by collections agencies and had his law license briefly suspended when he didn't pay his State Bar dues.
Avakian, who was a labor and employment lawyer before running for the Legislature, said he and his wife struggled financially for a brief period while he was focusing on his legislative activities instead of his legal career. He said paperwork errors involving his mortgage company are probably to blame for the property tax debts.
"Families go through difficult times, and mine is no different," Avakian told The Associated Press. His financial woes were first reported Wednesday by Willamette Week.
Avakian said he went on a payment plan with the IRS to settle an income-tax debt, but he was unable to keep up with the payments as his political career kept him out of the courtroom. The feds put a $13,210 on his property in 2005. Avakian said he paid the debt by refinancing his house, and records show the lien has been lifted.
At the time, legislators made less than $20,000 per year, plus roughly $100 per day while the Legislature was in session.
Records in Washington County show Avakian repeatedly missed property tax payments or paid too little in fiscal years 2006 and 2007, and his account was considered delinquent.
He said he now has no outstanding tax debts. Records show he has consistently paid his property taxes on time since a $4,200 tax bill was fully paid with interest in October 2008.
Avakian also has been sued in small-claims court four times by collections agencies, most recently last year in Washington County for a $461 debt. He was sued three times in 2005 in Mulnomah and Marion counties for debts ranging from $124 to $792.
Avakian's law license was suspended for one day in 2003 for failure to pay $432 in State Bar dues.
None of the other candidates in the race — Democratic legislators Brad Witt and Suzanne Bonamici, and Republican businessman Rob Cornilles — have records of tax liens. Bonamici, who also is a lawyer, has had not had her legal license suspended since being admitted to the Bar in 1983, said Kateri Walsh, a State Bar spokeswoman. Her license has been inactive since 1990, which means she pays reduced dues annually.
"I think that people understand that families have tough times," Avakian said. "We came out of our tough times paying every debt that we had in full."