2007 Oregon Code - Chapter 307 :: Chapter 307 - Property Subject to Taxation - Exemptions
Chapter 307 —
Property Subject to Taxation; Exemptions
2007 EDITION
PROPERTY SUBJECT TO TAXATION; EXEMPTIONS
REVENUE AND TAXATION
GENERAL PROVISIONS
307.010Â Â Â Â Definition
of “real property” and “land”; timber and mineral interests in real property
307.020Â Â Â Â Definition
of “personal property”; inapplicability to certain utilities
307.022Â Â Â Â Status
of limited liability companies owned by nonprofit corporations
307.030Â Â Â Â Property
subject to assessment generally
307.032Â Â Â Â Maximum
assessed value and assessed value of partially exempt property and specially
assessed property
307.035Â Â Â Â Publishing
summary of certain exempt real property
EXEMPTIONS
(Public Properties)
307.040Â Â Â Â Property
of the
307.050Â Â Â Â Property
of the
307.060Â Â Â Â Property
of the
307.065Â Â Â Â Property
of the
307.070Â Â Â Â Settled
or claimed government land; improvements thereon
307.080Â Â Â Â Mining
claims
307.090Â Â Â Â Property
of the state, counties and other municipal corporations; certain property of
cities or public entities of other states; payments in lieu of taxes on
city-owned electric utility property
307.092Â Â Â Â Property
of housing authority; exception
307.095Â Â Â Â State
property rented for parking subject to ad valorem taxation; computation
307.100Â Â Â Â Public
property held by taxable owner under contract of purchase
307.107Â Â Â Â Property
used for natural gas pipeline extension project
307.110Â Â Â Â Public
property leased or rented by taxable owner; exceptions
307.111Â Â Â Â Property
of shipyard used for ship repair, layup, conversion or construction
307.112Â Â Â Â Property
held under lease, sublease or lease-purchase by institution, organization or
public body other than state
307.115Â Â Â Â Property
of nonprofit corporations held for public parks or recreation purposes
307.118Â Â Â Â Wastewater
and sewage treatment facilities
307.120Â Â Â Â Property
owned or leased by municipalities, dock commissions, airport districts or
ports; exception; payments in lieu of taxes to school districts
307.123Â Â Â Â Property
of strategic investment program eligible projects; rules
307.125Â Â Â Â Property
of forest protection agencies
307.126Â Â Â Â Federal
Communications Commission licenses
(Institutional, Religious, Fraternal, Interment
Properties)
307.130Â Â Â Â Property
of art museums, volunteer fire departments or literary, benevolent, charitable
and scientific institutions
307.134Â Â Â Â Definition
of fraternal organization
307.136Â Â Â Â Property
of fraternal organizations
307.140Â Â Â Â Property
of religious organizations
307.145Â Â Â Â Certain
child care facilities, schools and student housing
307.147Â Â Â Â Senior
services centers
307.150Â Â Â Â Burial
grounds; cemeteries; property of crematory associations
307.155Â Â Â Â When
property exempt under ORS 65.855, 307.140 or 307.150 taxable; lien
307.157Â Â Â Â Cemetery
land acquired by eleemosynary or charitable institution; potential additional
taxes
307.160Â Â Â Â Property
of public libraries
307.162Â Â Â Â Necessity
of filing statement to secure exemption; late application; late filing fee;
notification of change to taxable use
(Leased Public or Institutional Property)
307.166Â Â Â Â Exemption
of property leased by exempt institution, organization or public body to
another exempt institution, organization or public body
307.168Â Â Â Â Exemption
of state land under lease
307.171Â Â Â Â Sports
facility owned by large city
(Alternative Energy Systems)
307.175Â Â Â Â Exemption
for property equipped with alternative energy system
(Indian Properties)
307.180Â Â Â Â Property
of Indians
307.181Â Â Â Â Land
acquired by tribe within ancient tribal boundaries
(Recreation Facilities and Summer Homes on
307.182Â Â Â Â Federal
land used by recreation facility operators under permit
307.183Â Â Â Â Summer
homes on federal land occupied under permit
307.184Â Â Â Â Summer
homes on federal land occupied under lease
(Personal Property)
307.190Â Â Â Â Tangible
personal property held for personal use; inapplicability of exemption to
property required to be registered, floating homes, boathouses and manufactured
structures
307.195Â Â Â Â Household
furnishings owned by nonprofit organization furnishing housing for students
attending institutions of higher education
(
307.200Â Â Â Â Public
ways
(Mobile Home or Manufactured
307.203Â Â Â Â Mobile
home or manufactured dwelling parks financed by Housing and Community Services
Department revenue bonds
(Railroad Properties)
307.205Â Â Â Â Property
of railroad temporarily used for public alternate transportation
(Water Associations)
307.210Â Â Â Â Property
of nonprofit mutual or cooperative water associations; disqualification;
application
(Telephone Services)
307.220Â Â Â Â Property
of nonprofit mutual or cooperative telephone associations
307.230Â Â Â Â Telephonic
properties of persons not engaged in public telephone service
307.240Â Â Â Â Department
of Revenue action required for telephone association and telephonic property
exemptions
(Nonprofit Corporation Housing for Elderly
Persons)
307.241Â Â Â Â Policy
307.242Â Â Â Â Property
of nonprofit corporation providing housing to elderly persons; necessity of
filing claim to secure exemption
307.243Â Â Â Â Property
to which exemption applies
307.244Â Â Â Â Funded
exemption; computation of rate of levy by county assessor; payments to county
by department; proration
307.245Â Â Â Â Denial
of exemption for failure of corporation to reflect exemption by rent reduction
(War Veterans, Surviving Spouses and
Dependent Children)
307.250Â Â Â Â Property
of war veterans or surviving spouses
307.260Â Â Â Â Necessity
of filing claim to secure exemption; contents of claim; alternative claim
procedure for surviving spouse
307.262Â Â Â Â Tax
years for which exemption may be claimed upon receipt of federal certification
of disability; procedure; refund
307.270Â Â Â Â Property
to which exemption of ORS 307.250 applies
307.280Â Â Â Â Effect
of allowance of exemption under ORS 307.250 on prior tax levied
307.283Â Â Â Â Homesteads
of unmarried surviving spouses of veterans of Civil War or Spanish War
(Active Duty Military Service)
307.286Â Â Â Â
307.289Â Â Â Â Application
for homestead exemption; alternative procedures following death of person
qualifying for exemption
(Deciduous Plants; Agricultural Products)
307.315Â Â Â Â Nursery
stock
307.320Â Â Â Â Deciduous
trees, shrubs, plants, crops, cultured Christmas trees or hardwood on
agricultural land
307.325Â Â Â Â Agricultural
products in possession of farmer
(Commercial Facilities Under Construction)
307.330Â Â Â Â Commercial
facilities under construction
307.340Â Â Â Â Necessity
of filing proof to secure exemption under ORS 307.330; abatement
(Nonprofit Homes for Elderly Persons)
307.370Â Â Â Â Property
of nonprofit homes for elderly persons; limitation on lessee
307.375Â Â Â Â Type
of corporation to which exemption under ORS 307.370 applicable
307.380Â Â Â Â Necessity
of filing claim to secure exemption under ORS 307.370
307.385Â Â Â Â Corporation
to credit residentÂ’s account with share of tax exemption; assessor required to
deny exemption if credit not given
(Agricultural Equipment and Facilities)
307.390Â Â Â Â Mobile
field incinerators
307.391Â Â Â Â Field
burning smoke management equipment
307.394Â Â Â Â Farm
machinery and equipment; personal property used in farm operations; limitation
307.397Â Â Â Â Certain
machinery and equipment used in agricultural, aquacultural or fresh shell egg
industry operations
307.398Â Â Â Â Irrigation
equipment
(Inventory)
307.400Â Â Â Â Inventory
(Beverage Containers)
307.402Â Â Â Â Beverage
containers
(Pollution Control Facilities)
307.405Â Â Â Â Pollution
control facilities; qualifications; expiration; revocation; limitations
307.420Â Â Â Â Necessity
of filing claim and certificate to secure exemption; annual statements of ownership
307.430Â Â Â Â Correction
of assessment and tax rolls; termination of exemption
(Beach Lands)
307.450Â Â Â Â Certain
beach lands
(Food Processing Equipment)
307.453Â Â Â Â Findings
307.455Â Â Â Â Definitions;
application for exemption; exemption
307.457Â Â Â Â Certification
of machinery and equipment as eligible for exemption
307.459Â Â Â Â Rules
(Egg Processing Equipment)
307.462Â Â Â Â Definitions;
application for exemption; exemption
307.464Â Â Â Â Certification
of machinery and equipment as eligible for exemption
307.466Â Â Â Â Exemption
limited to taxes of district adopting ORS 307.462; rules
(Student Housing)
307.471Â Â Â Â Student
housing exempt from school district taxes; application procedure;
disqualification
(Hardship Situations)
307.475Â Â Â Â Relief
when failure to file for exemption or cancellation of taxes or redetermination
of value was for good cause
(Farm Labor Camps; Child Care Facilities)
307.480Â Â Â Â Definitions
for ORS 307.480 to 307.510
307.485Â Â Â Â Farm
labor camp and child care facility property exempt
307.490Â Â Â Â Payments
in lieu of taxes; disposition of moneys received
307.495Â Â Â Â Filing
claim with assessor; contents of claim
307.500Â Â Â Â Assessor
transmitting claim to department and other agencies; health code compliance
required
307.505Â Â Â Â Inspection
of farm labor camps; effect of failure to comply with health code
307.510Â Â Â Â Appeal
to tax court by taxpayer
(Low Income Rental Housing)
307.515Â Â Â Â Definitions
for ORS 307.515 to 307.523
307.517Â Â Â Â Criteria
for tax exemption
307.518Â Â Â Â Alternative
criteria for tax exemption
307.519Â Â Â Â Exemption
limited to tax levy of governing body that adopts ORS 307.515 to 307.523;
exception
307.521Â Â Â Â Application
for exemption; contents; policies for approving application
307.523Â Â Â Â Time
for filing application; certification of exemption
307.525Â Â Â Â Action
against landlord for failure to reduce rent
307.527Â Â Â Â Ordinance
approving or disapproving application; application fee
307.529Â Â Â Â Notice
of proposed termination of exemption; grounds; ordinance terminating exemption
307.530Â Â Â Â Termination
if property held for future development or other purpose
307.531Â Â Â Â Termination
of exemption without notice; grounds; additional taxes after termination
307.533Â Â Â Â Review;
correction of tax rolls; when tax payable after exemption terminates
307.535Â Â Â Â Extension
of deadline for completion; exception to imposition of additional taxes
307.537Â Â Â Â Application
(Nonprofit Corporation Low Income Housing)
307.540Â Â Â Â Definitions
for ORS 307.540 to 307.548
307.541Â Â Â Â Nonprofit
corporation low income housing; exemption; criteria
307.543Â Â Â Â Exemption
limited to levy of governing body adopting ORS 307.540 to 307.548; exception
307.545Â Â Â Â Application
for exemption
307.547Â Â Â Â Determination
of eligibility for exemption; notice to county assessor
307.548Â Â Â Â Termination
of exemption
(Property of Industry Apprenticeship or
Training Trust)
307.580Â Â Â Â Property
of industry apprenticeship or training trust
(Multiple-Unit Housing)
307.600Â Â Â Â Legislative
findings
307.603Â Â Â Â Definitions
for ORS 307.600 to 307.637
307.606Â Â Â Â Exemption
limited to tax levy of city or county that adopts ORS 307.600 to 307.637; designated
areas; public hearings; standards and guidelines for considering applications
307.609Â Â Â Â Applicability
of ORS 307.600 to 307.637 in cities and certain counties
307.612Â Â Â Â Duration
of exemption; exclusions from exemption
307.615Â Â Â Â City
or county to provide application forms; contents of application form; filing
deadline; revision of application
307.618Â Â Â Â City
or county findings required for exemption approval
307.621Â Â Â Â Approval
or denial of applications; city or county to state in writing reasons for
denial of exemption; application fees
307.624Â Â Â Â Termination
of exemption for failure to complete construction or noncompliance; notice
307.627Â Â Â Â Termination
of exemption; effect
307.631Â Â Â Â Review
of denial of application or termination of exemption; correction of assessment
and tax rolls; ownerÂ’s appeal of valuation; effective date of termination of
exemption
307.634Â Â Â Â Extension
of deadline for completion of construction, addition or conversion
307.637Â Â Â Â Actions
required by January 1, 2012, for exemption to be granted
(Single-Unit Housing)
307.651Â Â Â Â Definitions
for ORS 307.651 to 307.687
307.654Â Â Â Â Legislative
findings
307.657Â Â Â Â Local
government action to designate distressed areas; scope of exemption; standards
and guidelines
307.661Â Â Â Â Median
sales price
307.664Â Â Â Â Exemption;
limitations
307.667Â Â Â Â Application
for exemption
307.671Â Â Â Â Approval
criteria
307.674Â Â Â Â Application,
approval and denial procedures; filing with assessor; fee
307.677Â Â Â Â Extension
of construction period; effect of destruction of property
307.681Â Â Â Â Exemption
termination for failure to meet requirements; procedures
307.684Â Â Â Â Immediate
termination of exemption; additional tax
307.687Â Â Â Â Review
of denial of application; procedures following termination of exemption;
correction of tax roll; additional tax
(Temporary provisions relating to ethanol production facilities are
compiled as notes following ORS 307.687)
(Rural Health Care Facilities)
307.804Â Â Â Â Rural
health care facilities; claim procedures; duration of exemption
307.806Â Â Â Â Exemption
limited to taxes of district adopting ORS 307.804; procedures
(Long Term Care Facilities)
307.808Â Â Â Â Findings
and declarations
307.811Â Â Â Â Essential
community provider long term care facilities
307.815Â Â Â Â Exemption
limited to taxes of district adopting ORS 307.811
(
307.818Â Â Â Â Beach
access sites; claim procedures
307.821Â Â Â Â Disqualification;
additional taxes
(Environmentally Sensitive Logging Equipment)
307.824Â Â Â Â Findings
and declarations
307.827Â Â Â Â Environmentally
sensitive logging equipment
307.831Â Â Â Â Skyline
and swing yarders
(Cargo Containers)
307.835Â Â Â Â Cargo
containers
VERTICAL HOUSING DEVELOPMENT ZONES
307.841Â Â Â Â Definitions
for ORS 307.841 to 307.867
307.844Â Â Â Â Zone
designation; application; special district election to not participate in zone
307.847Â Â Â Â Approval
or disapproval of application
307.851Â Â Â Â Criteria
for designation of zone; notice to county assessor
307.854Â Â Â Â Acquisition,
disposition and development of real property within zone
307.857Â Â Â Â Application
for exemption; content; review; certification; fees
307.861Â Â Â Â Monitoring
of certified projects; decertification
307.864Â Â Â Â Partial
property tax exemption; disqualification
307.867Â Â Â Â Termination
of zone; effect of termination
PENALTIES
307.990Â Â Â Â Penalties
GENERAL PROVISIONS
     307.010
Definition of “real property” and “land”; timber and mineral interests in real
property. (1) As used in the
property tax laws of this state:
     (a) “Land” means land in its natural
state. For purposes of assessment of property subject to assessment at assessed
value under ORS 308.146, land includes any site development made to the land.
As used in this paragraph, “site development” includes fill, grading, leveling,
underground utilities, underground utility connections and any other elements
identified by rule of the Department of Revenue.
     (b) “Real property” includes:
     (A) The land itself, above or under water;
     (B) All buildings, structures,
improvements, machinery, equipment or fixtures erected upon, above or affixed
to the land;
     (C) All mines, minerals, quarries and
trees in, under or upon the land;
     (D) All water rights and water powers and
all other rights and privileges in any way appertaining to the land; or
     (E) Any estate, right, title or interest
whatever in the land or real property, less than the fee simple.
     (2) Where the grantor of land has, in the
instrument of conveyance, reserved or conveyed:
     (a) Any of the timber standing upon the
land, with the right to enter upon the ground and remove the timber, the
ownership of the standing timber so reserved or conveyed is an interest in real
property.
     (b) The right to enter upon and use any of
the surface ground necessary for the purpose of exploring, prospecting for,
developing or otherwise extracting any gold, silver, iron, copper, lead, coal,
petroleum, gases, oils or any other metals, minerals or mineral deposits in or
upon the land, such right is an interest in real property. [Amended by 1987
c.756 §19; 1991 c.459 §37; 1997 c.541 §98; 2003 c.46 §10]
     307.020
Definition of “personal property”; inapplicability to certain utilities. (1) As used in the property tax laws of this
state, unless otherwise specifically provided:
     (a) “Intangible personal property” or “intangibles”
includes but is not limited to:
     (A) Money at interest, bonds, notes,
claims, demands and all other evidences of indebtedness, secured or unsecured,
including notes, bonds or certificates secured by mortgages.
     (B) All shares of stock in corporations,
joint stock companies or associations.
     (C) Media constituting business records,
computer software, files, records of accounts, title records, surveys, designs,
credit references, and data contained therein. “Media” includes, but is not
limited to, paper, film, punch cards, magnetic tape and disk storage.
     (D) Goodwill.
     (E) Customer lists.
     (F) Contracts and contract rights.
     (G) Patents, trademarks and copyrights.
     (H) Assembled labor force.
     (I) Trade secrets.
     (b) “Personal property” means “tangible
personal property.”
     (c) “Tangible personal property” includes
but is not limited to all chattels and movables, such as boats and vessels,
merchandise and stock in trade, furniture and personal effects, goods,
livestock, vehicles, farming implements, movable machinery, movable tools and
movable equipment.
     (2) Subsection (1) of this section does
not apply to any person, company, corporation or association covered by ORS
308.505 to 308.665. [Amended by 1959 c.82 §1; 1977 c.602 §1; 1993 c.353 §1;
1997 c.154 §27; 2005 c.94 §30]
     307.022
Status of limited liability companies owned by nonprofit corporations. For purposes of the property tax laws of
this state, a limited liability company that is wholly owned by one or more
nonprofit corporations shall be an entity that qualifies for an exemption or
special assessment if and to the extent that all of the nonprofit corporation
owners of the limited liability company would qualify for the exemption or
special assessment. [2005 c.688 §2]
     307.030
Property subject to assessment generally. (1) All real property within this state and all tangible personal
property situated within this state, except as otherwise provided by law, shall
be subject to assessment and taxation in equal and ratable proportion.
     (2) Except as provided in ORS 308.505 to
308.665, intangible personal property is not subject to assessment and
taxation. [Amended by 1993 c.353 §2; 1997 c.154 §28]
     307.032
Maximum assessed value and assessed value of partially exempt property and
specially assessed property.
(1) Unless determined under a provision of law governing the partial exemption
that applies to the property, the maximum assessed value and assessed value of
partially exempt property shall be determined as follows:
     (a) The maximum assessed value:
     (A) For the first tax year in which the
property is partially exempt, shall equal the real market value of the
property, reduced by the value of the partial exemption, multiplied by the
ratio, not greater than 1.00, of the average maximum assessed value over the
average real market value for the tax year of property in the same area and
property class.
     (B) For each tax year after the first tax
year in which the property is subject to the same partial exemption, shall
equal 103 percent of the propertyÂ’s assessed value for the prior year or 100
percent of the propertyÂ’s maximum assessed value under this paragraph from the
prior year, whichever is greater.
     (b) The assessed value of the property
shall equal the lesser of:
     (A) The real market value of the property
reduced by the partial exemption; or
     (B) The maximum assessed value of the
property under paragraph (a) of this subsection.
     (2) Unless determined under a provision of
law governing the special assessment, the maximum assessed value subject to
special assessment and the assessed value of property subject to special
assessment shall be determined as follows:
     (a) The maximum assessed value:
     (A) For the first tax year in which the
property is specially assessed, shall equal the specially assessed value of the
property multiplied by the ratio, not greater than 1.00, of the average maximum
assessed value over the average real market value for the tax year of property
in the same area and property class.
     (B) For each tax year after the first tax
year in which property is subject to the same special assessment, shall equal
103 percent of the propertyÂ’s assessed value for the prior year or 100 percent
of the propertyÂ’s maximum assessed value subject to special assessment from the
prior year, whichever is greater.
     (b) The assessed value of the property
shall equal the lesser of:
     (A) The specially assessed value of the
property as determined under the law establishing the special assessment; or
     (B) The property’s maximum assessed value
subject to special assessment as determined under paragraph (a) of this
subsection.
     (3) As used in this section, “area” and “property
class” have the meanings given those terms in ORS 308.149. [2003 c.169 §6]
     307.035
Publishing summary of certain exempt real property. The assessor shall list and evaluate all
real properties exempt from taxation under ORS 307.090, 307.120, 307.130,
307.140, 307.147, 307.150 and 307.160 and summarize the valuations of such
properties in connection with the published summary of each year of assessed
valuations of taxable properties of the county. [Formerly 307.310; 1993 c.777 §3;
1995 c.748 §8]
EXEMPTIONS
(Public Properties)
     307.040
Property of the
     307.050
Property of the
     307.060
Property of the
     (1) In immediate use and occupation by the
political body; or
     (2) Required, by the terms of the lease or
agreement, to be maintained and made available to the federal government as a
military installation and facility. [Amended by 1953 c.698 §7; 1959 c.298 §1;
1961 c.433 §1; 1969 c.241 §1; 1975 c.656 §1; 1981 c.405 §2; 1991 c.459 §38;
1997 c.541 §99; 2001 c.509 §7]
     307.065
Property of the
     307.070
Settled or claimed government land; improvements thereon. The assessor must assess all improvements on
lands, the fee of which is still vested in the
     307.080
Mining claims. Except for
the improvements, machinery and buildings thereon, mining claims are exempt
from taxation prior to obtaining a patent therefor from the
     307.090
Property of the state, counties and other municipal corporations; certain
property of cities or public entities of other states; payments in lieu of
taxes on city-owned electric utility property. (1) Except as provided by law, all property
of the state and all public or corporate property used or intended for
corporate purposes of the several counties, cities, towns, school districts,
irrigation districts, drainage districts, ports, water districts, housing
authorities and all other public or municipal corporations in this state, is
exempt from taxation.
     (2) Any city may agree with any school
district to make payments in lieu of taxes on all property of the city located
in any such school district, and which is exempt from taxation under subsection
(1) of this section when such property is outside the boundaries of the city
and owned, used or operated for the production, transmission, distribution or
furnishing of electric power or energy or electric service for or to the
public.
     (3)(a) Notwithstanding ORS 308.505 to
308.665, the property described in paragraph (b) of this subsection is exempt
from taxation if the owner of the property described in paragraph (b) of this
subsection is a city or public entity of a state other than Oregon and the city
or public entity does not own a fee title interest in any real property in
Oregon.
     (b) The property that is subject to
exemption under paragraph (a) of this subsection is tangible or intangible
property, property rights or property interests in or related to the Pacific
Northwest AC Intertie, as referenced in a written capacity ownership agreement
executed before November 4, 2005, between the United States Department of
Energy and the city or public entity described in paragraph (a) of this
subsection. [Amended by 1953 c.698 §7; 1957 c.649 §1; 1975 c.568 §1; 1977 c.673
§1; 1991 c.851 §2; 2005 c.832 §1]
     307.092
Property of housing authority; exception. (1) As used in this section, “property of a housing authority”
includes, but is not limited to:
     (a) Property that is held under lease or
lease purchase agreement by the housing authority; and
     (b) Property of a partnership, nonprofit
corporation or limited liability company for which the housing authority is a
general partner, limited partner, director, member, manager or general manager,
if the property is leased or rented to persons of lower income for housing
purposes.
     (2) Except as provided in subsection (3)
of this section, the property of a housing authority is declared to be public
property used for essential public and governmental purposes and such property
and an authority shall be exempt from all taxes and special assessments of the
city, the county, the state or any political subdivision thereof. In lieu of
such taxes or special assessments, an authority may agree to make payments to
the city, county or any such political subdivision for improvements, services
and facilities furnished by such city, county or political subdivision for the
benefit of a housing project, but in no event shall such payments exceed the
estimated cost to the city, county or political subdivision of the
improvements, services or facilities to be so furnished.
     (3) The provisions of subsection (2) of
this section regarding exemption from taxes and special assessments shall not
apply to property of the housing authority that is commercial property leased
to a taxable entity. [Formerly 456.225; 2007 c.606 §4]
     307.095
State property rented for parking subject to ad valorem taxation; computation. (1) Any portion of state property that is
used during the tax year for parking on a rental or fee basis to private
individuals is subject to ad valorem taxation.
     (2) The real market value of such portion
shall be computed by determining that percentage which the total of receipts
from private use bears to the total of receipts from all use of the property.
The assessed value of such portion shall be computed as provided in ORS
308.146. However, receipts from any use by a state officer or employee in the
performance of the official duties of the state officer or employee shall not
be considered as receipts from private use in computing the portion subject to
ad valorem taxation.
     (3) This section and ORS 276.592 do not
apply to state property that is used by the Oregon University System or the Oregon
Health and
     307.100
Public property held by taxable owner under contract of purchase. Whenever real and personal property of the
state or any institution or department thereof, or any county, municipal
corporation or political subdivision of the state is the subject of a contract
of sale or other agreement whereby on certain payments being made the legal
title is or may be acquired by any person and such person uses and possesses
such property or has the right of present use and possession, then such
property shall be considered, for all purposes of taxation, as the property of
such person. No deed or bill of sale to such property shall be executed until
all taxes and municipal charges are fully paid thereon. This section shall not
apply to standing timber, prior to severance thereof, of the state or any
political entity referred to above which is the subject of a contract of sale
or other agreement. [Amended by 1965 c.159 §2]
     307.107
Property used for natural gas pipeline extension project. (1) Property used for a natural gas pipeline
extension project is exempt from ad valorem property taxation if:
     (a) The project receives or has received
moneys from the Oregon Unified International Trade Fund to pay any portion of
the project;
     (b) The length of the pipeline, including
additions or improvements, does not exceed 115 miles; and
     (c) The owner of the property is a local
government, as defined in ORS 174.116.
     (2) The exemption under this section
applies to all property used for the project, real and personal, tangible and
intangible.
     (3) Notwithstanding ORS 307.110 or 308.505
to 308.665 or any other provision of state law, property that is exempt under
this section is not disqualified from exemption if a person other than the
owner:
     (a) Holds a lease, sublease or other
interest in the exempt property; or
     (b) Holds, manages or uses any portion of
the project. [2007 c.678 §1]
     Note: 307.107 was enacted into law by the
Legislative Assembly but was not added to or made a part of ORS chapter 307 or
any series therein by legislative action. See Preface to Oregon Revised
Statutes for further explanation.
     307.110
Public property leased or rented by taxable owner; exceptions. (1) Except as provided in ORS 307.120, all
real and personal property of this state or any institution or department
thereof or of any county or city, town or other municipal corporation or
political subdivision of this state, held under a lease or other interest or
estate less than a fee simple, by any person whose real property, if any, is
taxable, except employees of the state, municipality or political subdivision
as an incident to such employment, shall be subject to assessment and taxation
for the assessed or specially assessed value thereof uniformly with real
property of nonexempt ownerships.
     (2) Each leased or rented premises not
exempt under ORS 307.120 and subject to assessment and taxation under this
section which is located on property used as an airport and owned by and
serving a municipality or port shall be separately assessed and taxed.
     (3) Nothing contained in this section
shall be construed as subjecting to assessment and taxation any publicly owned
property described in subsection (1) of this section that is:
     (a) Leased for student housing by a school
or college to students attending such a school or college.
     (b) Leased to or rented by persons, other
than sublessees or subrenters, for agricultural or grazing purposes and for
other than a cash rental or a percentage of the crop.
     (c) Utilized by persons under a land use
permit issued by the Department of Transportation for which the departmentÂ’s
use restrictions are such that only an administrative processing fee is able to
be charged.
     (d) County fairgrounds and the buildings
thereon, in a county holding annual county fairs, managed by the county fair
board under ORS 565.230, if utilized, in addition to county fair use, for any
of the purposes described in ORS 565.230 (2), or for horse stalls or storage
for recreational vehicles or farm machinery or equipment.
     (e) The properties and grounds managed and
operated by the State Parks and Recreation Director under ORS 565.080, if
utilized, in addition to the purpose of holding the Oregon State Fair, for
horse stalls or for storage for recreational vehicles or farm machinery or
equipment.
     (f) State property that is used by the
Oregon University System or the Oregon Health and
     (g) Property of a housing authority
created under ORS chapter 456 which is leased or rented to persons of lower
income for housing pursuant to the public and governmental purposes of the
housing authority. For purposes of this paragraph, “persons of lower income”
has the meaning given the phrase under ORS 456.055.
     (h) Property of a health district if:
     (A) The property is leased or rented for
the purpose of providing facilities for health care practitioners practicing
within the county; and
     (B) The county is a frontier rural
practice county under rules adopted by the Office of Rural Health.
     (4) Property determined to be an eligible
project for tax exemption under ORS 285C.600 to 285C.626 and 307.123 that was
acquired with revenue bonds issued under ORS 285B.320 to 285B.371 and that is
leased by this state, any institution or department thereof or any county,
city, town or other municipal corporation or political subdivision of this
state to an eligible applicant shall be assessed and taxed in accordance with
ORS 307.123. The propertyÂ’s continued eligibility for taxation and assessment
under ORS 307.123 is not affected:
     (a) If the eligible applicant retires the
bonds prior to the original dates of maturity; or
     (b) If any applicable lease or financial
agreement is terminated prior to the original date of expiration.
     (5) The provisions of law for liens and
the payment and collection of taxes levied against real property of nonexempt
ownerships shall apply to all real property subject to the provisions of this
section. Taxes remaining unpaid upon the termination of a lease or other
interest or estate less than a fee simple, shall remain a lien against the real
or personal property.
     (6) If the state enters into a lease of
property with, or grants an interest or other estate less than a fee simple in
property to, a person whose real property, if any, is taxable, then within 30
days after the date of the lease, or within 30 days after the date the interest
or estate less than a fee simple is created, the state shall file a copy of the
lease or other instrument creating or evidencing the interest or estate with
the county assessor. This section applies notwithstanding that the property may
otherwise be entitled to an exemption under this section, ORS 307.120 or as
otherwise provided by law. [Amended by 1953 c.698 §7; 1961 c.449 §1; 1969 c.675
§18; 1971 c.352 §1; 1971 c.431 §1; 1979 c.689 §4; 1981 c.381 §1; 1987 c.487 §1;
1989 c.659 §2; 1991 c.459 §40; 1991 c.851 §3; 1993 c.655 §2; 1993 c.737 §7;
1995 c.337 §1; 1995 c.376 §3; 1995 c.698 §9; 1995 c.748 §2; 1997 c.541 §101;
1997 c.819 §12; 1999 c.760 §1; 2001 c.67 §2; 2001 c.114 §8; 2003 c.662 §11a;
2005 c.777 §17]
     307.111
Property of shipyard used for ship repair, layup, conversion or construction. (1) Property within a shipyard capable of
dry-docking oceangoing vessels of 200,000 deadweight tons or more and utilized
or leased by a sole contractor for the purpose of ship repair, layup,
conversion or construction is exempt from ad valorem property taxation.
     (2) The public shipyard owner shall notify
the county assessor of the date of the lease or other possessory interest
agreement with the sole shipyard contractor.
     (3) Property subleased by the sole
shipyard contractor, or utilized by another person pursuant to a possessory
interest agreement with the sole shipyard contractor, is not exempt under this
section.
     (4) Persons having on January 1 of any
year a lease, sublease, rent or preferential assignment or other possessory
interest in property that is exempt from taxation under this section are not
required to make the payments in lieu of taxes described in ORS 307.120 (2). [2001
c.114 §10]
     Note: Section 3, chapter 337, Oregon Laws 1995,
provides:
     Sec.
3. Section 10 of this 2001
Act [307.111] applies to property tax years beginning on or after July 1, 1995,
and before July 1, 2010. [1995 c.337 §3; 2001 c.114 §11]
     307.112
Property held under lease, sublease or lease-purchase by institution,
organization or public body other than state. (1) Real or personal property of a taxable owner held under lease,
sublease or lease-purchase agreement by an institution, organization or public
body, other than the State of Oregon, granted exemption or the right to claim
exemption for any of its property under ORS 307.090, 307.130, 307.136, 307.140,
307.145 or 307.147, is exempt from taxation if:
     (a) The property is used by the lessee or,
if the lessee is not in possession of the property, the entity in possession of
the property in the manner, if any, required by law for the exemption of
property owned, leased, subleased or being purchased by it; and
     (b) It is expressly agreed within the
lease, sublease or lease-purchase agreement that the rent payable by the
institution, organization or public body has been established to reflect the
savings below market rent resulting from the exemption from taxation.
     (2) The lessee or, if the lessee is not in
possession of the property, the entity in possession of the property shall file
a claim for exemption with the county assessor, verified by the oath or
affirmation of the president or other proper officer of the institution or
organization, or head official of the public body or legally authorized
delegate, showing:
     (a) A complete description of the property
for which exemption is claimed.
     (b) If applicable, all facts relating to
the use of the property by the lessee or, if the lessee is not in possession of
the property, all facts relating to the use of the property by the entity in
possession of the property.
     (c) A true copy of the lease, sublease or
lease-purchase agreement covering the property for which exemption is claimed.
     (d) Any other information required by the
claim form.
     (3) If the assessor is not satisfied that
the rent stated in the lease, sublease or lease-purchase agreement has been
established to reflect the savings below market rent resulting from the tax
exemption, before the exemption may be granted the lessor shall provide
documentary proof, as specified by rule of the Department of Revenue, that the
rent has been established to reflect the savings below market rent resulting
from the tax exemption.
     (4)(a) The claim shall be filed on or
before April 1, except as follows:
     (A) If the lease, sublease or
lease-purchase agreement is entered into after March 1 but not later than June
30, the claim shall be filed within 30 days after the date the lease, sublease
or lease-purchase agreement is entered into if exemption is claimed for that
year; or
     (B) Notwithstanding that no hardship
grounds exist, if a late filing fee is determined, paid and distributed in the
manner provided in ORS 307.162 (2), the claim shall be filed on or before
December 31 of the tax year for which exemption is first claimed.
     (b) The exemption first shall apply for
the tax year beginning July 1 of the year for which the claim is filed. The
exemption shall continue so long as the use of the property remains unchanged
and during the period of the lease, sublease or lease-purchase agreement. If
the use changes, a new claim shall be filed as provided in this section. If the
use changes due to sublease of the property or any portion of the property from
the tax exempt entity described in subsection (1) of this section to another
tax exempt entity, the entity in possession of the property shall file a new
claim for exemption as provided in this section. If the lease, sublease or
lease-purchase agreement expires before July 1 of any year, the exemption shall
terminate as of January 1 of the same calendar year. [1977 c.673 §2; 1987 c.756
§20; 1991 c.459 §41; 1991 c.851 §4; 1993 c.19 §3; 1993 c.777 §4; 1995 c.513 §1;
1997 c.434 §1; 1997 c.541 §102; 1999 c.579 §18; 2003 c.117 §1; 2007 c.817 §1]
     Note: Section 3, chapter 817, Oregon Laws 2007,
provides:
     Sec.
3. (1) Notwithstanding the
time periods set forth in ORS 307.112, for the tax year beginning July 1, 2007,
a sublessee qualifying for exemption from property taxation under ORS 307.112
may file a claim in writing with the county assessor, on forms supplied by the
assessor, by December 31 next following the effective date of this 2007 Act
[September 27, 2007].
     (2) If taxes on the exempt value have been
paid, the taxes shall be refunded in the manner prescribed in subsection (3) of
this section. If taxes on the exempt value have not been paid, the taxes and
any interest thereon shall be abated.
     (3) The tax collector shall notify the
governing body of the county of any refund required under this section. Upon
receipt of notice from the tax collector, the governing body shall cause a
refund of the taxes and any interest paid to be made from the unsegregated tax
collections account described in ORS 311.385. The refund under this subsection
shall be made without interest. The county assessor and tax collector shall
make the necessary corrections in the records of their offices. [2007 c.817 §3]
     307.115
Property of nonprofit corporations held for public parks or recreation
purposes. (1) Subject to
approval by the appropriate granting authority under subsection (4) of this
section, the following real or personal property owned or being purchased under
contract by any nonprofit corporation meeting the requirements of subsection
(2) of this section shall be exempt from taxation:
     (a) The real or personal property, or
proportion thereof, as is actually and exclusively occupied or used for public
park or public recreation purposes.
     (b) The real or personal property, or
proportion thereof, as is held for public parks or public recreation purposes
if the property is not used for the production of income, for investment, or
for any trade or business or commercial purpose, or for the benefit or
enjoyment of any private stockholder or individual, but only if the articles of
incorporation of the nonprofit corporation prohibit use of property owned or
otherwise held by the corporation, or of proceeds derived from the sale of that
property, except for public park or public recreation purposes.
     (2) Any nonprofit corporation shall meet
the following requirements:
     (a) The corporation shall be organized for
the principal purpose of maintaining and operating a public park and public
recreation facility or acquiring interest in land for development for public
parks or public recreation purposes;
     (b) No part of the net earnings of the
corporation shall inure to the benefit of any private stockholder or
individual; and
     (c) Upon liquidation, the assets of the
corporation shall be applied first in payment of all outstanding obligations,
and the balance remaining, if any, in cash and in kind, shall be distributed to
the State of
     (3) If any property which is exempt under
this section subsequently becomes disqualified for such exemption or the
exemption is not renewed as provided in subsection (4) of this section, it
shall be added to the next general property tax roll for assessment and
taxation in the manner provided by law.
     (4)(a) Real or personal property shall not
be exempt under this section except upon approval of the appropriate granting
authority obtained in the manner provided under this subsection.
     (b) Before any property shall be exempt
under this section, on or before April 1 of any year the corporation owning or
purchasing such property shall file an application for exemption with the
county assessor. The provisions of ORS 307.162 shall apply as to the form, time
and manner of application. Within 10 days of filing in the office of the
assessor, the assessor shall refer each application for classification to the
granting authority, which shall be the governing body of a county for property
located outside the boundaries of a city and the governing body of the city for
property located within the boundaries of the city. Within 60 days thereafter,
the application shall be granted or denied and written notice given to the
applicant and to the county assessor. In determining whether an application
made for exemption under this section should be approved or disapproved, the
granting authority shall weigh the benefits to the general welfare of granting
the proposed exemption to the property which is the subject of the application
against the potential loss in revenue which may result from granting the
application.
     (c) The granting authority shall not deny
the application solely because of the potential loss in revenue if the granting
authority determines that granting the exemption to the property will:
     (A) Conserve or enhance natural or scenic
resources;
     (B) Protect air or streams or water
supplies;
     (C) Promote conservation of soils,
wetlands, beaches or tidal marshes;
     (D) Conserve landscaped areas which
enhance the value of abutting or neighboring property;
     (E) Enhance the value to the public of
abutting or neighboring parks, forests, wildlife preserves, natural
reservations, sanctuaries or other open spaces;
     (F) Enhance recreation opportunities;
     (G) Preserve historic sites;
     (H) Promote orderly urban or suburban
development;
     (I) Promote the reservation of land for
public parks, recreation or wildlife refuge purposes; or
     (J) Affect any other factors relevant to
the general welfare of preserving the current use of the property.
     (d) The granting authority may approve the
application for exemption with respect to only part of the property which is
the subject of the application. However, if any part of the application is
denied, the applicant may withdraw the entire application.
     (e) The exemption shall be granted for a
10-year period and may be renewed by the granting authority for additional
periods of 10 years each at the expiration of the preceding period, upon the
filing of a new application by the corporation with the county assessor on or
before April 1 of the year following the 10th year of exemption. The assessor
shall refer the application to the governing body as provided in paragraph (b)
of this subsection, and within 30 days thereafter, the governing body shall
determine if renewing the exemption will continue to serve one of the purposes
of paragraph (c) of this subsection. Within 30 days after referral, written
notice shall be given to the applicant and to the county assessor of the
determination made by the governing body.
     (5) Any nonprofit corporation aggrieved by
the refusal of the granting authority to grant or renew an exemption under
subsection (4) of this section may, within 60 days after written notice has
been sent to the corporation, appeal from the determination of the granting authority
to the Oregon Tax Court. The appeal should be perfected in the manner provided
in ORS 305.560. The provisions of ORS 305.405 to 305.494 shall apply to the
appeals. [1971 c.584 §1; 1973 c.214 §1; 1979 c.689 §5; 1987 c.416 §1; 1995 c.79
§118; 1997 c.325 §18]
     307.118
Wastewater and sewage treatment facilities. Upon compliance with ORS 307.162, the wastewater treatment facilities,
sewage treatment facilities and all other property used for the purpose of
wastewater treatment or sewage treatment, including the land underneath the
facilities, shall be exempt from taxation if:
     (1) Owned by a nonprofit corporation that
was in existence as of January 1, 1997; and
     (2) The nonprofit corporation’s only
activities consist of operating wastewater treatment and sewage treatment
facilities that were constructed and in operation as of January 1, 1997. [1997
c.485 §2]
     Note: Sections 1 to 4, chapter 256, Oregon Laws
2001, provide:
     Sec.
1. (1) Upon compliance with
section 3, chapter 256, Oregon Laws 2001, land that is used both as a golf
course and for the discharge of wastewater or sewage effluent is exempt from
the ad valorem property taxes of taxing districts authorizing the exemption
under section 4, chapter 256, Oregon Laws 2001, if:
     (a) The land is owned by a municipality
and leased by a nonprofit corporation that was in existence as of January 1,
1997; and
     (b) The nonprofit corporation operates the
golf course.
     (2) Buildings or other improvements that
are located on land that is exempt from ad valorem property taxes under
subsection (1) of this section and that are used in the operation of the golf
course or the discharge of wastewater or sewage effluent are exempt from ad
valorem property taxes of the taxing districts that authorized the exemption
under section 4, chapter 256, Oregon Laws 2001. [2001 c.256 §1; 2003 c.771 §1]
     Sec.
2. (1) Section 1 (1),
chapter 256, Oregon Laws 2001, applies to tax years beginning on or after July
1, 1998, and before July 1, 2021.
     (2) Section 1 (2), chapter 256, Oregon
Laws 2001, applies to tax years beginning on or after July 1, 1999, and before
July 1, 2021. [2001 c.256 §2; 2003 c.771 §2]
     Sec.
3. (1) In order for land to
be exempt from ad valorem property taxes under section 1 of this 2001 Act, the
nonprofit corporation described in section 1 of this 2001 Act must apply to the
county assessor. The statement required under ORS 307.162 to claim an exemption
listed in ORS 307.162 (1) shall serve as the application to be filed with the
county assessor to claim the exemption under section 1 of this 2001 Act.
     (2) The application must be filed on or
before July 1, 2002. The provisions for late filing described in ORS 307.162 do
not apply to an application filed under this section.
     (3) The application shall serve as the
applicantÂ’s claim for exemption for all tax years described in section 2 of
this 2001 Act for which, as of each assessment date, the applicant and property
meet the criteria set forth in section 1 of this 2001 Act.
     (4) The assessor shall approve each timely
filed application in which the applicant and the land meet the criteria to be
exempt under section 1 of this 2001 Act.
     (5) Any property taxes and interest that
have been paid on behalf of property granted the exemption under section 1 of
this 2001 Act for a tax year beginning before January 1, 2002, shall be
refunded in the manner prescribed in subsection (6) of this section. If the
taxes have not been paid, the taxes and any interest due thereon are abated.
     (6) The tax collector shall notify the
governing body of the county of any refund required under this section and the
governing body shall cause a refund of the taxes and any interest paid to be
made from the unsegregated tax collections account described in ORS 311.385.
The refund under this subsection shall be made without interest. The county
assessor and tax collector shall make the necessary corrections in the records
of their offices. [2001 c.256 §3]
     Sec.
4. The exemption provided in
section 1 of this 2001 Act applies only to the taxes of a taxing district the
governing body of which has adopted an ordinance or resolution authorizing the
exemption under section 1 of this 2001 Act. [2001 c.256 §4]
     307.120
Property owned or leased by municipalities, dock commissions, airport districts
or ports; exception; payments in lieu of taxes to school districts. (1) Real property owned or leased by any
municipality and real and personal property owned or leased by any dock
commission of any city or by any airport district or port organized under the
laws of this state is exempt from taxation to the extent to which such property
is:
     (a) Leased, subleased, rented or
preferentially assigned for the purpose of the berthing of ships, barges or
other watercraft (exclusive of property leased, subleased, rented or
preferentially assigned primarily for the purpose of the berthing of floating
homes, as defined in ORS 830.700), the discharging, loading or handling of
cargo therefrom or for storage of such cargo directly incidental to
transshipment, or the cleaning or decontaminating of agricultural commodity
cargo, to the extent the property does not further alter or process an
agricultural commodity;
     (b) Held under lease or rental agreement
executed for any purpose prior to July 5, 1947, except that this exemption
shall continue only during the term of the lease or rental agreement in effect
on that date; or
     (c) Used as an airport owned by and
serving a municipality or port of less than 300,000 inhabitants as determined
by the latest decennial census. Property owned or leased by the municipality,
airport district or port that is located within or contiguous to the airport is
exempt from taxation under this subsection if the proceeds of the lease,
sublease or rental are used by the municipality, airport district or port
exclusively for purposes of the maintenance and operation of the airport.
     (2) Those persons having on January 1 of
any year a lease, sublease, rent or preferential assignment or other possessory
interest in property exempt from taxation under subsection (1)(a) of this
section, except dock area property, shall make payments in lieu of taxes to any
school district in which the exempt property is located as provided in
subsection (3) of this section. The annual payment in lieu of taxes shall be
one quarter of one percent (0.0025) of the real market value of the exempt
property and the payment shall be made to the county treasurer on or before May
1 of each year.
     (3)(a) On or before December 31 preceding
any year for which a lease, sublease, rental or preferential assignment or
other possessory interest in property is to be held, or within 30 days after
acquisition of such an interest, whichever is later, any person described in
subsection (2) of this section shall file with the county assessor a request
for computation of the payment in lieu of tax for the exempt property in which
the person has a possessory interest. The person shall also provide any
information necessary to complete the computation that may be requested by the
assessor. The request shall be made on a form prescribed by the Department of
Revenue.
     (b) On or before April 1 of each
assessment year the county assessor shall compute the in lieu tax for the
property subject to subsection (2) of this section for which a request for
computation has been filed under paragraph (a) of this subsection and shall
notify each person who has filed such a request:
     (A) That the person is required to pay the
amount in lieu of taxes to the county treasurer on behalf of the school
district;
     (B) Of the real market value of the
property subject to the payment in lieu of taxes; and
     (C) Of the amount due, the due date of the
payment in lieu of taxes and of the consequences of late payment or nonpayment.
     (c) On or before July 15 of each tax year
the county treasurer shall distribute to the school districts the amounts
received for the respective districts under subsection (2) of this section. If
the exempt property is located in more than one school district, the amount
received shall be apportioned to the school districts on the basis of the ratio
that each school districtÂ’s permanent limit on the rate of ad valorem property
taxes bears to the total permanent limit on the rate of ad valorem property
taxes applicable to all of the school districts in which the property is located.
     (4) If a person described in subsection
(2) of this section fails to request a computation or make a payment in lieu of
taxes as provided in this section, the property shall not be exempt for the tax
year but shall be assessed and taxed as other property similarly situated is
assessed and taxed.
     (5) Upon granting of a lease, sublease,
rental, preferential assignment or other possessory interest in property
described in subsection (1)(a) of this section, except dock area property, the
municipality, dock commission, airport district or port shall provide the
county assessor with the name and address of the lessee, sublessee, renter,
preferential assignee or person granted the possessory interest.
     (6)(a) Not later than 15 days prior to the
date that a request is required to be made under subsection (3)(a) of this
section, the municipality, dock commission, airport district or port granting a
lease, sublease, rental, preferential assignment or other possessory interest
in its exempt property for which in lieu tax payments are imposed under
subsection (2) of this section, shall notify the person granted the interest:
     (A) Of the obligation to file with the
county assessor a request for appraisal and computation of in lieu tax no later
than December 31 or within 30 days after the interest is granted, whichever is
later.
     (B) Of the obligation to pay the in lieu
tax, in the amount of one-quarter of one percent (0.0025) of the real market
value of the exempt property held, to the county treasurer before May 1 following
the date of the request.
     (C) That, if the request is not made
within the time prescribed, or if the in lieu tax is not paid, or both, that
the property shall not be exempt from taxation but shall be assessed and taxed
in the same manner as other property similarly situated is assessed and taxed.
     (b) Failure of a municipality, dock
commission, airport district or port to give the notice as prescribed under
this subsection does not relieve any person from the requirements of this
section.
     (7) As used in this section:
     (a) “Dock” means a structure extended from
the shore or area adjacent to deep water for the purpose of permitting the
mooring of ships, barges or other watercraft.
     (b) “Dock area” means that part of the
dock situated immediately adjacent to the mooring berth of ships, barges or
other watercraft which is used primarily for the loading and unloading of
waterborne cargo, but which shall not encompass any area other than that area
from which cargo is hoisted or moved aboard a vessel, or to which cargo is set
down when unloaded from a vessel when utilizing shipboard or dockside
machinery.
     (c) “Dock area property” means all real
property situated in the dock area, and includes all structures, machinery or
equipment affixed to that property.
     (d) “School district” means a common or
union high school district, but does not include a county education bond
district, an education service district, a community college service district
or a community college district. [Amended by 1955 c.267 §1; 1973 c.234 §1; 1977
c.615 §1; 1979 c.705 §1; 1981 c.160 §1; 1983 c.740 §86; 1987 c.583 §5; 1987
c.756 §10; 1991 c.459 §42; 1995 c.337 §2; 1997 c.271 §4; 1997 c.541 §103; 1997
c.600 §5; 1999 c.570 §1; 2001 c.114 §9; 2003 c.119 §1; 2003 c.169 §1]
     307.122 [1987 c.583 §§3,7; repealed by 1991 c.459 §81]
     307.123
Property of strategic investment program eligible projects; rules. (1) Except as provided in subsection (3) of
this section, real or personal property that the Oregon Economic and Community
Development Commission, acting pursuant to ORS 285C.606, has determined is an
eligible project under ORS 285C.600 to 285C.626 shall be subject to assessment
and taxation as follows:
     (a) That portion of the real market value
of the eligible project that equals the minimum cost of the project under ORS
285C.606 (1)(c), increased annually for growth at the rate of three percent,
shall be taxable at the taxable portionÂ’s assessed value under ORS 308.146. The
taxable portion of real market value, as adjusted, shall be allocated as
follows until the entire amount is assigned: first to land, second to
buildings, third to real property machinery and equipment and last to personal
property.
     (b) The remainder of the real market value
shall be exempt from taxation for a period of 15 years from the beginning of
the tax year after the earliest of the following dates:
     (A) The date the property is certified for
occupancy or, if no certificate of occupancy is issued, the date the property
is used to produce a product for sale; or
     (B) The expiration of the exemption for
commercial facilities under construction under ORS 307.330.
     (2) If the real market value of the
property falls below the value determined under subsection (1)(a) of this
section, the owner or lessee shall pay taxes only on the assessed value of the
property.
     (3) Notwithstanding subsection (1) of this
section, real or personal property that has received an exemption under ORS
285C.175 may not be assessed under this section.
     (4) The Department of Revenue may adopt
rules and prescribe forms that the department determines are necessary for
administration of this section.
     (5) The determination by the Oregon
Economic and Community Development Commission that a project is an eligible
project that may receive a tax exemption under this section shall be
conclusive, so long as the property included in the eligible project is
constructed and installed in accordance with the application approved by the
commission.
     (6) Notwithstanding subsection (1) of this
section, if the owner or lessee of property exempt under this section fails to
pay the fee required under ORS 285C.609 (4)(b) by the end of the tax year in
which it is due, the exemption shall be revoked and the property shall be fully
taxable for the following tax year and for each subsequent tax year for which
the fee remains unpaid. If an unpaid fee is paid after the exemption is
revoked, the property shall again be eligible for the exemption provided under
this section, beginning with the tax year after the payment is made. Reinstatement
of the exemption under this subsection shall not extend the 15-year exemption
period provided for in subsection (1)(b) of this section. [1993 c.737 §5; 1995
c.698 §8; 1997 c.325 §19; 1997 c.541 §412; 2003 c.662 §12]
     307.125
Property of forest protection agencies. All the real and personal property of districts, organizations,
associations and agencies organized for the purposes of forest protection and
fire suppression under ORS chapter 477 is exempt from taxation if such property
is used exclusively for such protection and suppression. [1957 c.189 §1; 1965
c.253 §138]
     307.126
Federal Communications Commission licenses. Licenses granted by the Federal Communications Commission are exempt
from ad valorem property taxation, and the value of the licenses may not be
reflected in the value of real or tangible personal property. [2001 c.429 §2]
     307.127 [1977 c.478 §1; 1979 c.689 §6; repealed by
1995 c.79 §119]
(Institutional,
Religious, Fraternal, Interment Properties)
     307.130
Property of art museums, volunteer fire departments or literary, benevolent,
charitable and scientific institutions. (1) As used in this section:
     (a) “Art museum” means a nonprofit
corporation organized to display works of art to the public.
     (b) “Internal Revenue Code” means the
federal Internal Revenue Code as amended and in effect on December 31, 2006.
     (c) “Nonprofit corporation” means a
corporation that:
     (A) Is organized not for profit, pursuant
to ORS chapter 65 or any predecessor of ORS chapter 65; or
     (B) Is organized and operated as described
under section 501(c) of the Internal Revenue Code.
     (d) “Volunteer fire department” means a
nonprofit corporation organized to provide fire protection services in a
specific response area.
     (2) Upon compliance with ORS 307.162, the
following property owned or being purchased by art museums, volunteer fire
departments, or incorporated literary, benevolent, charitable and scientific
institutions shall be exempt from taxation:
     (a) Except as provided in ORS 748.414,
only such real or personal property, or proportion thereof, as is actually and
exclusively occupied or used in the literary, benevolent, charitable or
scientific work carried on by such institutions.
     (b) Parking lots used for parking or any
other use as long as that parking or other use is permitted without charge for
no fewer than 355 days during the tax year.
     (c) All real or personal property of a
rehabilitation facility or any retail outlet thereof, including inventory. As
used in this subsection, “rehabilitation facility” means either those
facilities defined in ORS 344.710 or facilities which provide individuals who
have physical, mental or emotional disabilities with occupational
rehabilitation activities of an educational or therapeutic nature, even if
remuneration is received by the individual.
     (d) All real and personal property of a
retail store dealing exclusively in donated inventory, where the inventory is
distributed without cost as part of a welfare program or where the proceeds of
the sale of any inventory sold to the general public are used to support a
welfare program. As used in this subsection, “welfare program” means the
providing of food, shelter, clothing or health care, including dental service,
to needy persons without charge.
     (e) All real and personal property of a
retail store if:
     (A) The retail store deals primarily and
on a regular basis in donated and consigned inventory;
     (B) The individuals who operate the retail
store are all individuals who work as volunteers; and
     (C) The inventory is either distributed
without charge as part of a welfare program, or sold to the general public and
the sales proceeds used exclusively to support a welfare program. As used in
this paragraph, “primarily” means at least one-half of the inventory.
     (f) The real and personal property of an
art museum that is used in conjunction with the public display of works of art
or used to educate the public about art, but not including any portion of the
art museumÂ’s real or personal property that is used to sell, or hold out for
sale, works of art, reproductions of works of art or other items to be sold to
the public.
     (g) All real and personal property of a
volunteer fire department that is used in conjunction with services and
activities for providing fire protection to all residents within a fire
response area.
     (h) All real and personal property,
including inventory, of a retail store owned by a nonprofit corporation if:
     (A) The retail store deals exclusively in
donated inventory; and
     (B) Proceeds of the retail store sales are
used to support a not-for-profit housing program whose purpose is to:
     (i) Acquire property and construct housing
for resale to individuals at or below the cost of acquisition and construction;
and
     (ii) Provide loans bearing no interest to
individuals purchasing housing through the program.
     (3) An art museum or institution shall not
be deprived of an exemption under this section solely because its primary
source of funding is from one or more governmental entities.
     (4) An institution shall not be deprived
of an exemption under this section because its purpose or the use of its
property is not limited to relieving pain, alleviating disease or removing
constraints. [Amended by 1955 c.576 §1; 1959 c.207 §1; 1969 c.342 §1; 1971
c.605 §1; 1974 c.52 §3; 1979 c.688 §1; 1987 c.391 §1; 1987 c.490 §49; 1989
c.224 §50; 1991 c.93 §4; 1993 c.655 §3; 1995 c.470 §4; 1997 c.599 §1; 1999 c.90
§31; 1999 c.773 §1; 2001 c.660 §26; 2003 c.77 §4; 2005 c.832 §16; 2007 c.70 §75;
2007 c.614 §4a; 2007 c.694 §1]
     307.134
Definition of fraternal organization. (1) For the purposes of ORS 307.136, “fraternal organization” means a
corporation:
     (a) Organized as a corporation not for
profit under the laws of any state or national government;
     (b) That is not solely a social club but
is established under the lodge system with a ritualistic form of work and a
representative form of government;
     (c) That regularly engages in or provides
financial support for some form of benevolent or charitable activity with the
purpose of doing good to others rather than for the convenience of its members;
     (d) In which no part of the corporation’s
income is distributable to its members, directors or officers;
     (e) In which no member, officer, agent or
employee is paid, or directly or indirectly receives, in the form of salary or
other compensation, an amount beyond that which is just and reasonable
compensation commonly paid for such services rendered and which has been fixed
and approved by the members, directors or other governing body of the corporation;
and
     (f) That is not a college fraternity or
sorority.
     (2) For the purposes of ORS 307.136, “fraternal
organization” includes, but is not limited to, the grand and subordinate lodges
of the Masons, the grand and subordinate lodges of the Knights of Pythias, the
Knights of Columbus, the Benevolent and Protective Order of Elks, the Fraternal
Order of Eagles, the Loyal Order of Moose, the Independent Order of Odd
Fellows, the Oregon State Grange, the American Legion, the Veterans of Foreign
Wars, the International Association of Lions Clubs, the Soroptimist
International, the Rotary International and the Kiwanis International. [1961
c.543 §§3,4; 2005 c.389 §1]
     307.136
Property of fraternal organizations. Upon compliance with ORS 307.162, the following property owned or
being purchased by fraternal organizations shall be exempt from taxation:
     (1) All the real or personal property, or
portion thereof, which is actually occupied or used in fraternal or lodge work
or for entertainment and recreational purposes by one or more fraternal
organizations, except that property or portions of property of a fraternal
organization rented or leased by it at any time to other persons for sums
greater than reasonable expenses for heat, light, water, janitorial services
and supplies and facility repair and rehabilitation shall be subject to
taxation.
     (2) Parking lots used for parking or any
other use as long as that parking or other use is permitted without charge for
no fewer than 355 days during the tax year. [1961 c.543 §2; 1974 c.52 §1; 1993
c.655 §4; 1997 c.441 §1]
     307.140
Property of religious organizations. Upon compliance with ORS 307.162, the following property owned or
being purchased by religious organizations shall be exempt from taxation:
     (1) All houses of public worship and other
additional buildings and property used solely for administration, education,
literary, benevolent, charitable, entertainment and recreational purposes by
religious organizations, the lots on which they are situated, and the pews,
slips and furniture therein. However, any part of any house of public worship
or other additional buildings or property which is kept or used as a store or
shop or for any purpose other than those stated in this section shall be
assessed and taxed the same as other taxable property.
     (2) Parking lots used for parking or any
other use as long as that parking or other use is permitted without charge for
no fewer than 355 days during the tax year.
     (3) Land and the buildings thereon held or
used solely for cemetery or crematory purposes, including any buildings solely
used to store machinery or equipment used exclusively for maintenance of such
lands. [Amended by 1955 c.258 §1; 1959 c.207 §2; 1973 c.397 §1; 1974 c.52 §2;
1987 c.756 §3; 1993 c.655 §5]
     307.145
Certain child care facilities, schools and student housing. (1) If not otherwise exempt by law, upon
compliance with ORS 307.162, the child care facilities, schools, academies and
student housing accommodations, owned or being purchased by incorporated
eleemosynary institutions or by incorporated religious organizations, used
exclusively by such institutions or organizations for or in immediate
connection with educational purposes, are exempt from taxation.
     (2) Property described in subsection (1)
of this section which is exclusively for or in the immediate connection with
educational purposes shall continue to be exempt when leased to a political
subdivision of the State of
     (3)(a) As used in this section, “child
care facility” means a child care center certified by the Child Care Division
of the Employment Department under ORS 657A.280 to provide educational child
care.
     (b) Before an exemption for a child care
facility is allowed under this section, in addition to any other information
required under ORS 307.162, the statement shall:
     (A) Describe the property and declare or
be accompanied by proof that the corporation is an eleemosynary institution or
religious organization.
     (B) Declare or be accompanied by proof
that the division has issued the child care facility a certification to provide
educational child care.
     (C) Be signed by the taxpayer subject to
the penalties for false swearing. [1957 c.683 §1; 1959 c.207 §3; 1971 c.670 §1;
1981 c.611 §1; 1987 c.756 §6; 1993 c.733 §10; 1995 c.278 §32; 1999 c.743 §20;
2003 c.293 §13]
     307.147
Senior services centers. (1)
For purposes of this section:
     (a) “Internal Revenue Code” means the
federal Internal Revenue Code as amended and in effect on December 31, 2006.
     (b) “Nonprofit corporation” means a
corporation that:
     (A) Is organized not for profit, pursuant
to ORS chapter 65 or any predecessor of ORS chapter 65; or
     (B) Is organized and operated as described
under section 501(c) of the Internal Revenue Code.
     (c) “Senior services center” means
property that:
     (A) Is owned or being purchased by a
nonprofit corporation;
     (B) Is actually and exclusively used to
provide services and activities (including parking) primarily to or for persons
over 50 years of age;
     (C) Is open generally to all persons over
50 years of age;
     (D) Is not used primarily for fund-raising
activities; and
     (E) Is not a residential or dwelling
place.
     (2) Upon compliance with ORS 307.162, a
senior services center is exempt from ad valorem property taxation. [1993 c.777
§2; 1997 c.541 §104; 1997 c.839 §44; 1999 c.90 §32; 2001 c.660 §27; 2003 c.77 §5;
2005 c.94 §31; 2005 c.832 §17; 2007 c.614 §5]
     307.150
Burial grounds; cemeteries; property of crematory associations. (1) Upon compliance with ORS 307.162, the
following property shall be exempt from taxation:
     (a) All burial grounds, tombs and rights
of burial, and all lands and the buildings thereon, not exceeding 30 acres,
owned and actually occupied by any crematory association incorporated under the
laws of this state, used for the sole purpose of a crematory and burial place
to incinerate remains.
     (b) All lands used or held exclusively for
cemetery purposes, not exceeding 600 acres, owned and actually occupied by any
cemetery association incorporated under the laws of this state.
     (c) Any burial lots or space for burial of
incinerate remains in buildings or grounds sold by a cemetery or crematory
association which lots or space are used or held exclusively for burial
purposes.
     (d) Any buildings on land described in
paragraph (a) or (b) of this subsection that are used to store machinery or
equipment used exclusively for maintenance of burial grounds.
     (e) Any personal property owned by a
cemetery or crematory association incorporated under the laws of this state and
used exclusively for cemetery or crematory association purposes.
     (2) The statement required under ORS 307.162
shall be filed by the cemetery or crematory association that owns or sells the
property described in subsection (1) of this section.
     (3) Any property exclusively occupied and
used as a family burial ground is exempt from ad valorem taxation. [Amended by
1987 c.756 §4; 1999 c.398 §7]
     307.155
When property exempt under ORS 65.855, 307.140 or 307.150 taxable; lien. (1) Land that is exempt from ad valorem
property tax under ORS 65.855, 307.140 (3) or 307.150 that ceases to be used or
held exclusively for cemetery or crematory purposes shall be subject to
assessment and taxation uniformly with real property of nonexempt ownerships.
     (2) There shall be added to the next
general property tax roll, to be collected and distributed in the same manner
as other real property taxes, additional taxes equal to the total amount of
taxes that otherwise would have been assessed against the land had the land not
been used or held for cemetery or crematory purposes for the last 10 years (or
such lesser number of years, corresponding to the years after 1981 of exemption
for the land) preceding the year after 1981 in which the land was exempt from
taxation.
     (3) The lien for the additional taxes
imposed by this section, and the interest thereon, shall attach as of the date
preceding the date of sale or other transfer of the land.
     (4) For each year that land is exempt from
taxation under ORS 65.855, 307.140 (3) or 307.150, or both, the assessor shall
enter on the assessment and tax roll, with respect to the land, the notation “(cemetery
land-potential additional tax).”
     (5) The amount of additional taxes
determined to be due under this section may be paid to the tax collector prior
to the completion of the next general property tax roll, pursuant to ORS
311.370.
     (6) Additional taxes collected under this
section shall be deemed to have been imposed in the year to which the
additional taxes relate. [1981 c.572 §1; 1987 c.756 §4a; 1991 c.459 §43; 1997
c.541 §105]
     Note: 307.155 was enacted into law by the
Legislative Assembly but was not added to or made a part of ORS chapter 307 or
any series therein by legislative action. See Preface to Oregon Revised
Statutes for further explanation.
     307.157
Cemetery land acquired by eleemosynary or charitable institution; potential
additional taxes. (1)
Notwithstanding ORS 307.155, if land was used or held exclusively for cemetery
or crematory purposes for the preceding tax year and has ceased to be used or
held exclusively for cemetery or crematory purposes as of the assessment date
for the current tax year, the land shall remain exempt, and the additional tax
that would otherwise be due under ORS 307.155 (2) shall remain a potential tax
liability that is not imposed, if:
     (a) As of the date the land ceases to be
used or held exclusively for cemetery or crematory purposes, the land is owned
or being purchased by an incorporated eleemosynary or charitable institution
described in ORS 307.130 or 307.145 for use in connection with educational
purposes; and
     (b) The incorporated eleemosynary or
charitable institution complies with ORS 307.162.
     (2) The deferred additional tax described
in subsection (1) of this section shall be collected as described in this
subsection to the extent that land described in subsection (1) of this section
ceases to be used by an incorporated eleemosynary or charitable institution in
connection with educational purposes. The amount of additional tax to be
collected shall be reduced by 10 percent for each 12-month period in which the
land was owned or being purchased by an incorporated eleemosynary or charitable
institution in connection with educational purposes.
     (3) For each tax year in which the
additional tax continues to be deferred, but may subsequently be imposed
pursuant to this section, the county assessor shall continue to enter the
notation “potential additional tax liability” on the assessment and tax roll.
     (4) ORS 307.155 (3), (5) and (6) apply to
any additional tax imposed under this section. [2001 c.422 §4]
     Note: Section 5, chapter 422, Oregon Laws 2001,
provides:
     Sec.
5. Section 4 of this 2001
Act [307.157] applies to property owned or being purchased by an incorporated
eleemosynary or charitable institution on or after January 1, 2001, and before
January 1, 2011, and to property tax years beginning on or after July 1, 2001,
and before July 1, 2021. [2001 c.422 §5]
     307.160
Property of public libraries.
Upon compliance with ORS 307.162, all public libraries and the personal
property belonging thereto and connected therewith, and the real property belonging
thereto and upon which the library is situated shall be exempt from taxation.
     307.162
Necessity of filing statement to secure exemption; late application; late
filing fee; notification of change to taxable use. (1) Before any real or personal property may
be exempted from taxation under ORS 307.115, 307.118, 307.130 to 307.140,
307.145, 307.147, 307.150, 307.160 or 307.580 for any tax year, the institution
or organization claiming the exemption shall file with the county assessor, on
or before April 1 of the assessment year, a statement verified by the oath or
affirmation of the president or other proper officer of the institution or
organization, listing all real or personal property claimed to be exempt and
showing the purpose for which such property is used. However:
     (a) If the ownership of all property
included in the statement filed with the county assessor for a prior year
remains unchanged, a new statement shall not be required.
     (b) When the property designated in the
claim for exemption is acquired after March 1 and before July 1, the claim for
that year shall be filed within 30 days from the date of acquisition of the
property.
     (c) As used in this subsection, “ownership”
means legal and equitable title.
     (2) Notwithstanding subsection (1) of this
section, a statement may be filed under this section on or before December 31
of the assessment year for which exemption is first desired. However, any
statement filed after the time for filing the statement specified in subsection
(1) of this section must be accompanied by a late filing fee of the greater of
$200, or one-tenth of one percent of the real market value of the property to
which the statement pertains, as determined for the assessment year by the
assessor for this purpose. If the statement is not accompanied by the late
filing fee or if the late filing fee is not otherwise paid, no exemption shall
be allowed for the tax year based upon a statement filed pursuant to this
subsection. A statement may be filed under this section notwithstanding that
there are no grounds for hardship as required for late filing under ORS
307.475. The value of the property used to determine the late filing fee under
this section is appealable in the same manner as other acts of the county
assessor. Any filing fee collected under this section shall be deposited to the
county general fund.
     (3)(a) Notwithstanding subsection (1) of
this section, if an institution or organization owns property that is exempt
from taxation under a provision of law listed in subsection (1) of this section
and fails to make a timely application for exemption under subsection (1) of
this section for additions or improvements to the exempt property, the
additions or improvements may nevertheless qualify for exemption.
     (b) The organization must file an
application with the county assessor to have the additions or improvements to
the exempt property be exempt from taxation. The application shall:
     (A) Describe the additions or improvements
to the exempt property;
     (B) Describe the current use of the
property that is the subject of the application;
     (C) Identify the tax year and any
preceding tax years for which the exemption is sought;
     (D) Contain any other information required
by the Department of Revenue; and
     (E) Be accompanied by a late filing fee
equal to the product of the number of tax years for which exemption is sought
multiplied by the greater of $200 or one-tenth of one percent of the real
market value, as of the most recent assessment date, of the property that is
the subject of the application.
     (c) Upon the county assessor’s receipt of
a completed application and late filing fee, the assessor shall determine if
the property that is the subject of the application, for each tax year for
which exemption is sought, would have qualified for exemption had a timely
statement been filed under subsection (1) of this section. Any property that
would have qualified for exemption had a timely statement under subsection (1)
of this section been filed shall be exempt from taxation for each tax year for
which the property would have so qualified.
     (d) An application for exemption under
this subsection may be filed only for tax years for which the time for filing a
statement under subsections (1) and (2) of this section has expired. An
application filed under this subsection, however, may serve as the statement
required under subsection (1) of this section for the current assessment year.
     (e) For each tax year for which an
exemption granted pursuant to this subsection applies:
     (A) Any tax, or interest attributable
thereto, that was paid with respect to the property that is declared exempt
from taxation, shall be refunded. Refunds shall be made from the unsegregated
tax collections account established under ORS 311.385.
     (B) Any tax, or interest attributable
thereto, that remains unpaid as of the date the exemption is granted, shall be
abated.
     (f) A late filing fee collected under this
subsection shall be deposited in the county general fund.
     (4) If an institution or organization owns
property that is exempt from taxation under a provision of law listed in
subsection (1) of this section and changes the use of the property to a use
that would not entitle the property to exemption from taxation, the institution
or organization shall notify the county assessor of the change to a taxable use
within 30 days of the change in use. [Formerly 307.170; 1967 c.51 §1; 1967 s.s.
c.9 §4; 1969 c.237 §1; 1977 c.478 §2; 1977 c.884 §33; 1985 c.613 §3; 1987 c.574
§1; 1987 c.756 §7; 1991 c.459 §44; 1993 c.18 §68; 1993 c.19 §4; 1993 c.777 §5;
1995 c.79 §120; 1995 c.513 §2; 1997 c.485 §3; 1997 c.541 §106; 1999 c.398 §9;
1999 c.579 §1]
     307.163 [1967 s.s. c.9 §3; repealed by 1977 c.884 §32]
     307.164 [1973 c.476 §2; repealed by 1977 c.884 §25
(307.166 enacted in lieu of 307.164)]
     307.165 [1961 c.598 §§2,3 (renumbered 307.169)]
(Leased
Public or Institutional Property)
     307.166
Exemption of property leased by exempt institution, organization or public body
to another exempt institution, organization or public body. (1) If property is owned or being purchased
by an institution, organization or public body, and if the institution,
organization or public body is one granted exemption or the right to claim
exemption for any of its property under a provision of law contained in this
chapter, and such institution, organization or public body leases or otherwise
grants the use and possession of such property to another institution,
organization or public body likewise granted exemption or the right to claim
exemption for any of its property under a provision of law contained in this
chapter, such property is exempt from taxation if used by the lessee or
possessor in the manner, if any, required by law for the exemption of property
owned or being purchased by the lessee or possessor and the rent payable under
the lease or other grant of use and possession of the property has been
established to reflect the savings below market rent resulting from the
exemption from taxation. Likewise, if the property is sublet or otherwise the use
and possession of the property is granted to another institution, organization
or public body of the kind described in this subsection, such property is
exempt if the property is used by the sublessee or possessor in the manner, if
any, required by law for the exemption of property owned or being purchased by
the sublessee or possessor and the rent payable under the sublease or other
grant of use and possession of the property has been established to reflect the
savings below market rent resulting from the exemption from taxation.
     (2) The lessee or entity in possession
shall file a claim for exemption with the county assessor, verified by the oath
or affirmation of the president or other proper officer of the institution or
organization, or head official of the public body or the legally authorized
delegate of the head official, showing:
     (a) A complete description of the property
for which exemption is claimed.
     (b) All facts relating to the ownership or
purchase of the property.
     (c) All facts relating to the use of the
property by the lessee or entity in possession.
     (d) A true copy of the lease or other
agreement covering the property for which exemption is claimed.
     (e) Any other information required by the
claim form.
     (3)(a) The claim shall be filed on or
before April 1, except as follows:
     (A) If the lease or other agreement is
entered into after March 1 but not later than June 30, the claim shall be filed
within 30 days after the date the lease or agreement is entered into if
exemption is claimed for the assessment year beginning on that January 1; or
     (B) Notwithstanding that no hardship
grounds exist, if a late filing fee is determined, paid and distributed in the
manner provided in ORS 307.162 (2), the claim shall be filed on or before
December 31 of the assessment year for which exemption is first claimed.
     (b) The exemption first shall apply for
the tax year beginning July 1 of the year for which the claim is filed. The
exemption shall continue so long as the ownership and use of the property remain
unchanged and during the period of the lease or agreement. If either the
ownership or use changes, a new claim shall be filed as provided in this
section. If the lease or agreement expires before July 1 of any year, the
exemption shall terminate as of January 1 of the same year. [1977 c.884 §26
(enacted in lieu of 307.164); 1991 c.459 §45; 1993 c.104 §1; 1997 c.154 §1;
1997 c.541 §107; 1999 c.579 §19]
     307.168
Exemption of state land under lease. (1) Notwithstanding ORS 307.110, all land leased by any person from
the State Land Board or agency with authority over land under ORS 273.141 is
exempt from taxation.
     (2) As used in this section “land” means
the land itself, above or under water, but does not include:
     (a) Any buildings, structures, improvements,
machinery, equipment or fixtures erected upon, under, above or affixed to the
land; or
     (b) Mines, minerals, or quarries in, under
or upon the land. The term “land,” however, does include all water rights
appertaining to the land. [1982 s.s.1 c.25 §2; 1995 c.589 §5]
     307.169 [Formerly 307.165; 1991 c.459 §46; 1993
c.187 §24; repealed by 1995 c.748 §9]
     307.170 [Amended by 1955 c.576 §2; 1961 c.543 §5;
renumbered 307.162]
     307.171
Sports facility owned by large city. Any sports facility owned by a city with a population of at least
500,000 is exempt from taxation, even if leased to or operated by a taxpaying
entity. [2001 c.931 §2]
(Alternative
Energy Systems)
     307.175
Exemption for property equipped with alternative energy system. (1) Property equipped with solar,
geothermal, wind, water, fuel cell or methane gas energy systems for the
purpose of heating, cooling or generating electrical energy shall be exempt
from ad valorem taxation in an amount that equals any positive amount obtained
by subtracting the real market value of the property as if it were not equipped
with such systems, from the real market value of the property so equipped.
     (2) This section applies to tax years
beginning prior to July 1, 2012.
     (3) Except as provided in subsection (4) of
this section, this section does not apply to property owned or leased by any
person whose principal business activity is directly or indirectly the
production, transportation or distribution of energy, including but not limited
to public utilities as defined in ORS 757.005 and peopleÂ’s utility districts as
defined in ORS 261.010.
     (4) This section applies to an alternative
energy system that is owned or leased by a person whose principal business
activity is directly or indirectly the production, transportation or
distribution of energy if the system is a net metering facility, as defined in
ORS 757.300, or other system primarily designed to offset onsite electricity
use. [1975 c.460 §§1,2; 1977 c.196 §§9,10; 1979 c.670 §1; 1991 c.459 §47; 1997
c.534 §1; 2001 c.584 §1; 2007 c.885 §1]
     Note: 307.175 was enacted into law by the
Legislative Assembly but was not added to or made a part of ORS chapter 307 or
any series therein by legislative action. See Preface to Oregon Revised
Statutes for further explanation.
(Indian
Properties)
     307.180
Property of Indians. The
real property of all Indians residing upon Indian reservations who have not
severed their tribal relations or taken lands in severalty, except lands held
by them by purchase or inheritance, and situated on an Indian reservation, is
exempt from taxation. However, the lands owned or held by Indians in severalty
upon any Indian reservation and the personal property of such Indians upon
reservations shall be exempt from taxation only when so provided by any law of
the
     307.181
Land acquired by tribe within ancient tribal boundaries. (1)(a) Land acquired by an Indian tribe by
purchase, gift or without consideration is exempt from taxation if:
     (A) The land is located within the ancient
tribal boundaries of the tribe; and
     (B) Transfer of the land to a trust
administered by the
     (b) The exemption under this section shall
continue for no more than four years after the initial year of exemption under
this section. If the land is not transferred to the trust within the
five-tax-year exemption period, the exemption pursuant to this subsection shall
cease commencing with the first tax year beginning after the expiration of the
five-tax-year period.
     (2) Property may not be exempt under this
section for a tax year beginning on or after July 1, 2012. [1993 c.266 §2; 1995
c.748 §3; 2001 c.753 §29]
(Recreation
Facilities and Summer Homes on
     307.182
Federal land used by recreation facility operators under permit. Notwithstanding ORS 307.060, there shall be
exempt from property taxation real property used and occupied by commercial
recreation facility operators under permits issued pursuant to the Acts of June
4, 1897 (16 U.S.C. 551), and March 4, 1915 (16 U.S.C. 497), as amended, but the
improvements thereon are subject to ad valorem taxation as provided in ORS
307.030. [1981 c.405 §1; 2001 c.114 §12]
     Note: Section 4, chapter 405, Oregon Laws 1981,
provides:
     Sec.
4. ORS 307.182 applies to
tax years beginning on or after July 1, 1981, and prior to July 1, 2012. [1981
c.405 §4; 1985 c.169 §1; 1995 c.748 §4; 2001 c.67 §4; 2001 c.114 §13; 2001
c.509 §8]
     Note: 307.182 to 307.184 were enacted into law by
the Legislative Assembly but were not added to or made a part of ORS chapter
307 or any series therein by legislative action. See Preface to Oregon Revised
Statutes for further explanation.
     307.183
Summer homes on federal land occupied under permit. Notwithstanding ORS 307.060, there shall be
exempt from property taxation real property of the United States used and
occupied for summer homes under a permit issued pursuant to the Act of March 4,
1915, ch. 144 (16 U.S.C. 497), as amended, but improvements thereon are subject
to taxation. [1975 c.649 §1]
     Note: See second note under 307.182.
     307.184
Summer homes on federal land occupied under lease. Notwithstanding ORS 307.060, there shall be
exempt from property taxation real property of the United States used and occupied
for summer homes under a lease issued pursuant to the Act of June 1, 1938 (52
Stat. 609; 43 U.S.C. 682a), as amended, or Public Law 94-579, Title III,
section 302, October 21, 1976, 90 Stat. 2762 (43 U.S.C. 1732), but improvements
thereon are subject to taxation. [1979 c.422 §1]
     Note: See second note under 307.182.
(Personal
Property)
     307.190
Tangible personal property held for personal use; inapplicability of exemption
to property required to be registered, floating homes, boathouses and manufactured
structures. (1) All items of
tangible personal property held by the owner, or for delivery by a vendor to
the owner, for personal use, benefit or enjoyment, are exempt from taxation.
     (2) The exemption provided in subsection
(1) of this section does not apply to:
     (a) Any tangible personal property held by
the owner, wholly or partially for use or sale in the ordinary course of a
trade or business, for the production of income, or solely for investment.
     (b) Any tangible personal property
required to be licensed or registered under the laws of this state.
     (c) Floating homes or boathouses, as
defined in ORS 830.700.
     (d) Manufactured structures as defined in
ORS 446.561. [Amended by 1953 c.698 §7; 1969 c.648 §1; 1977 c.615 §2; 1985
c.614 §1; 1987 c.601 §5; 2003 c.655 §63]
     307.193 [1969 c.605 §18; repealed by 1971 c.529 §37]
     307.195
Household furnishings owned by nonprofit organization furnishing housing for
students attending institutions of higher education. All furniture, goods and furnishings owned
by or situated in and used solely by a fraternity, sorority, student housing
cooperative or student living organization is exempt from taxation if such
fraternity, sorority, student housing cooperative or student living
organization furnishes living quarters for students attending institutions of
higher education and is not conducted for profit. [1957 c.631 §1]
(
     307.200
Public ways. All lands
within the boundary of any county road, and all dedicated streets and alleys in
any incorporated or unincorporated city or town, or town plat, within this
state, are exempt from assessment and taxation while used for such purposes.
(Mobile Home
or Manufactured
     307.203
Mobile home or manufactured dwelling parks financed by Housing and Community
Services Department revenue bonds. Notwithstanding any other provision of law granting an exemption from
property taxation, specific works or improvements to provide mobile home or
manufactured dwelling parks as defined in ORS 446.003 that are financed from
the proceeds of revenue bonds issued by the Housing and Community Services
Department under the amendments to ORS 456.615 [renumbered 456.548 in 2007] by
section 1, chapter 738, Oregon Laws 1991, and ORS 456.548 to 456.725 shall not
be eligible for a limited assessment or exemption from property taxation
unless:
     (1) A city or county governing body has
authorized a limited assessment under ORS 308.450 to 308.481 or an exemption
under ORS 307.515 to 307.523; and
     (2) The work or improvement qualifies for
the limited assessment or exemption. [1991 c.738 §2; 1997 c.249 §92]
     Note: 307.203 was enacted into law by the
Legislative Assembly but was not added to or made a part of ORS chapter 307 or
any series therein by legislative action. See Preface to Oregon Revised
Statutes for further explanation.
(Railroad
Properties)
     307.205
Property of railroad temporarily used for public alternate transportation. (1) Real property owned by a railroad and
that, on January 1, is temporarily being put to a public alternate
transportation use with the permission of the railroad is exempt from taxation
so long as the property is put exclusively to the public alternate
transportation use.
     (2) On or before April 1 of each year, any
railroad claiming an exemption under subsection (1) of this section shall file
a written statement with the county assessor of the county in which the
property is located setting out the basis of the claim and the property to
which the claim is made. If the statement is not filed within the time
specified, the exemption shall not be allowed for that year. However, if the
property qualifies for exemption after March 1 and before July 1, the claim may
be filed within 30 days after the property becomes qualified for exemption. [1977
c.626 §2; 1987 c.756 §13; 1991 c.459 §48; 1997 c.541 §108]
(Water
Associations)
     307.210
Property of nonprofit mutual or cooperative water associations; disqualification;
application. (1) After the
county assessor has approved an application for exemption filed under this
section, all property consisting of land, improvements, fixtures, equipment or
supplies, including dams and dikes, owned by any association of persons, wholly
mutual or cooperative in character, whether incorporated or unincorporated,
used primarily in storing, conveying and distributing water to the members of
such association for domestic use or irrigation, where such association has no
other business or purpose and its operations are conducted without profit in
money, is exempt from taxation.
     (2) The property described in subsection
(1) of this section shall not be exempt if either of the following conditions
existed in the 12-month period prior to the January 1 assessment date:
     (a) More than 15 percent of the members of
the association were a commercial establishment or establishments that used any
of the water for commercial purposes.
     (b) More than 25 percent of the total
annual volume of water furnished by the association was used by a commercial
establishment or establishments for commercial purposes.
     (3) For the purpose of this section
service to the government of this state, the government of the
     (4)(a) An association seeking to claim an
exemption under this section shall file an application with the county assessor
on or before April 1 preceding the tax year for which the exemption is being
claimed.
     (b) An application is not required under
this section if the property of the association was exempt under this section
for the previous tax year and, as of the assessment date for the current tax
year, the ownership or use of all of the property that was the subject of the
application remains unchanged.
     (5) The application shall be on such form
and shall contain such information as the Department of Revenue shall
prescribe.
     (6) The county assessor shall approve or
disapprove an application filed under this section and shall notify the applicant
of the assessor’s determination. [Amended by 1953 c.709 §2; 1955 c.207 §1; 1957
c.274 §1; 1971 c.258 §1; 1971 c.759 §1; 1991 c.459 §49; 1997 c.113 §4; 1997
c.541 §109; 2003 c.37 §1]
     307.215 [1981 c.533 §21; renumbered 305.823 in 2001]
(Telephone
Services)
     307.220
Property of nonprofit mutual or cooperative telephone associations. After the Department of Revenue has taken
the action required by ORS 307.240, all property consisting of improvements,
fixtures, equipment and supplies, owned by any association of persons, wholly
mutual or cooperative in character, whether incorporated or unincorporated,
used exclusively in the construction, maintenance and operation of a telephonic
communication system for the benefit of the members of such association, where
such association has no other business or purpose and the operation of such
system is conducted without intent to produce profit in money and without the
ownership, operation or lease of telephonic switchboard exchange facilities, or
direct or indirect ownership of stock in any telephonic switchboard
association, partnership or corporation, shall be exempt from taxation. This
exemption shall not apply to any parcel of land or building owned by any such
association, which land or building shall be assessed and apportioned by the
Department of Revenue in accordance with existing law. This exemption shall not
apply to any system having a real market value in excess of $2,500. [Amended by
1997 c.325 §20]
     307.230
Telephonic properties of persons not engaged in public telephone service. After the Department of Revenue has taken
the action required by ORS 307.240, all property consisting of improvements,
fixtures, equipment and supplies, owned by any person not engaged in public
service operation, used exclusively in the construction, maintenance and
operation of a telephone communication system serving exclusively property
owned or operated by such person, shall be exempt from taxation. This exemption
shall not apply to any such system having a real market value in excess of
$1,500. [Amended by 1997 c.325 §21]
     307.240
Department of Revenue action required for telephone association and telephonic
property exemptions.
Exemptions under ORS 307.220 or 307.230 shall be granted only upon formal
action by the Department of Revenue. The department shall have authority to
prepare forms of petitions for exemption and supply the same to applicants
therefor, and shall prescribe such rules, not inconsistent with ORS 307.220 and
307.230, as may appear necessary to the orderly filing and consideration of
such petitions and the continuation of such exemptions. [Amended by 1971 c.258 §2;
1997 c.113 §5]
(Nonprofit
Corporation Housing for Elderly Persons)
     307.241
Policy. The purpose of ORS
307.241 to 307.245 is to assist private nonprofit corporations to provide
permanent housing, recreational and social facilities, and care to elderly
persons. The Legislative Assembly finds that the housing and related facilities
furnished by private nonprofit corporations provide inherent benefits that
justify the funded property tax exemption provided by ORS 307.241 to 307.245. [1977
c.411 §1; 2005 c.94 §32]
     307.242
Property of nonprofit corporation providing housing to elderly persons;
necessity of filing claim to secure exemption. (1) Upon compliance with this section,
whenever a corporation, as described in ORS 307.375, is receiving or has
received any federal or state financial assistance, such as a loan, mortgage
insurance, aid to construction, rent supplement or otherwise, under the
following federal or state laws, the property owned or being purchased by that
corporation in actual use for corporate purposes or in the process of
construction for use for corporate purposes on January 1 of the assessment year
is exempt from ad valorem taxation:
     (a) Section 202 of Title II of the
National Housing Act (12 U.S.C. 1701q).
     (b) Section 236 of the National Housing
Act (12 U.S.C. 1715z-1).
     (c) Section 231 of Title II of the
National Housing Act (12 U.S.C. 1715v).
     (d) Section 101 of Title I of the National
Housing Act (12 U.S.C. 1701s) or section 8 of Title II of the National Housing
Act (42 U.S.C. 1437f), providing rent supplement or housing assistance
payments.
     (e) ORS 456.515 to 456.725 and 458.505 to
458.515.
     (2) A corporation claiming the exemption
under subsection (1) of this section shall file with the county assessor, on
forms prescribed by the Department of Revenue and supplied by the assessor, a
written claim therefor in duplicate on or before April 1 of each assessment
year for which the exemption is claimed. If the claim for any year is not filed
within the time specified, the exemption may not be allowed on the assessment
roll for that year. In addition to any other matters prescribed by the
Department of Revenue to be contained in or accompany the claim, the claim
shall:
     (a) Declare or be accompanied by a
declaration that the corporation meets the requirements of ORS 307.375 and that
the property meets the requirements of ORS 307.243 (1);
     (b) Describe or be accompanied by a description
of the federal financial assistance the corporation is receiving or has
received;
     (c) Contain or be accompanied by a
statement showing in detail the sources and amounts of all income received by
the corporation and the basis for rental amounts charged for occupancy of the
facilities; and
     (d) Be signed by the taxpayer subject to
the penalties for false swearing.
     (3) Notwithstanding subsection (2) of this
section:
     (a) If the property qualifies for
exemption on or after March 1 and before July 1, the claim may be filed within
30 days after the date of qualification.
     (b) A statement may be filed under this
section at any time prior to September 15 of the assessment year for which
exemption is first desired. However, any statement filed after the time for
filing the statement specified in subsection (2) of this section, unless filed
under paragraph (a) of this subsection, must be accompanied by a late filing
fee of the greater of $200 or one-tenth of one percent of the real market value
of the property to which the statement pertains, as determined as of January 1
of the assessment year by the assessor for this purpose. If the statement is
not accompanied by the late filing fee or if the late filing fee is not
otherwise paid, no exemption shall be allowed for the year based upon a
statement filed pursuant to this subsection. A statement may be filed under
this section notwithstanding that there are no grounds for hardship as required
for late filing under ORS 307.475. The value of the property used to determine
the late filing fee under this section is appealable in the same manner as
other acts of the county assessor. Any filing fee collected under this section
shall be deposited to the county general fund to be made available for county
general governmental expenses.
     (4) The assessor shall act upon the claim
and shall approve or reject it, noting the action of the assessor upon both the
original and the duplicate copies. The duplicate copy therefor shall be
returned to the claimant.
     (5) The Department of Revenue shall
furnish to a county assessor, upon the request of the county assessor, a
statement certifying the qualification or nonqualification of a corporation
under ORS 307.375 and this section based upon the corporationÂ’s claim under
this section.
     (6) Residents of a facility of a
corporation exempt from taxation under this section are not entitled to the tax
benefits of ORS 307.370 to 307.385. [1977 c.411 §2; 1987 c.372 §1; 1987 c.756 §18;
1989 c.803 §13; 1991 c.459 §50; 1995 c.300 §2; 1997 c.170 §21; 1997 c.541 §110;
1999 c.579 §2; 2001 c.114 §14; 2001 c.753 §22; 2003 c.46 §12]
     307.243
Property to which exemption applies. (1)(a) Except as provided under paragraph (b) of this subsection, the
exemption allowed by ORS 307.242 shall apply only to property, consisting of
land and improvements, where the process of construction of the improvements on
the land is commenced after January 1, 1977, or to property acquired after
January 1, 1977.
     (b) The exemption allowed by ORS 307.242
(1)(e) shall apply only to property, consisting of land and improvements,
meeting the requirements of ORS 307.241 to 307.245 (including paragraph (a) of
this subsection) that on January 1, 1990, is actually being occupied and used,
wholly or partially, to furnish permanent residential, recreational and social
facilities primarily for elderly persons. Construction, reconstruction,
renovation, maintenance, repair or other improvement (including addition of
square footage to the existing buildings and structures and the construction or
addition of buildings and structures within the initial land area) made to
property that is in actual use on January 1, 1990, wholly or partially, to
furnish permanent residential, recreational and social facilities primarily for
elderly persons shall not disqualify the property for exemption under ORS
307.242 if, during the process of improvement, the property continues to be in
actual use, in whole or in part, to furnish permanent residential, recreational
and social facilities primarily for elderly persons. The property, as improved,
may qualify for exemption. However, land area and the improvements thereon,
contiguous or noncontiguous to the initial land area and improvements in use,
in whole or in part, for the corporate purposes of the corporation on January
1, 1990, and first placed in service for the corporate purposes of the
corporation after January 1, 1990, shall not qualify for exemption under ORS
307.242 (1)(e).
     (2) The exemption allowed by ORS 307.242
shall not apply to the property of any corporation that requires any payment in
excess of one monthÂ’s rent, including a deposit or founderÂ’s fee, to be paid,
in addition to rent paid for occupancy of the facility, as a condition for
occupancy.
     (3) The exemption allowed by ORS 307.242
shall not apply in any year in which delinquencies exist for taxes or other
amounts charged against the property on the tax roll. [1977 c.411 §3; 1989
c.803 §14; 1993 c.19 §5]
     307.244
Funded exemption; computation of rate of levy by county assessor; payments to
county by department; proration. (1) The assessor shall compute and list the value and compute and list
the amount of tax which would have been charged on each property receiving an
exemption under ORS 307.242 had the property not received an exemption. On or
before October 15, the county assessor shall certify the total amounts so
computed for each county to the Department of Revenue and to the county
treasurer.
     (2) Not later than November 15, the
Department of Revenue shall pay to each county treasurer the amount certified
under subsection (1) of this section, less any discount provided in ORS
311.505. The payments made by the department under this section shall be made
from the suspense account referred to in ORS 310.692. If necessary, the payments
may be prorated as provided in ORS 310.692.
     (3) Payments made by the department to the
various county treasurers under this section shall be distributed to the taxing
units of the county in accordance with the schedule of percentages computed
under ORS 311.390. [1977 c.411 §4; 1977 c.761 §6; 1985 c.761 §29; 1991 c.459 §51;
2001 c.753 §23]
     307.245
Denial of exemption for failure of corporation to reflect exemption by rent
reduction. The funded
property tax exemption granted under ORS 307.241 to 307.245 may not be granted
in any year following a year for which the corporation has failed to satisfy
the county assessor or the Department of Revenue that the exemption granted in
the previous year has been reflected by a reduction in the amount of rent that
would otherwise be paid for occupancy of the facility by its residents. [1977
c.411 §5; 2005 c.94 §33]
(War
Veterans, Surviving Spouses and Dependent Children)
     307.250
Property of war veterans or surviving spouses. (1) Upon compliance with ORS 307.260, there
shall be exempt from taxation not to exceed $15,000 of the assessed value of
the homestead or personal property of any of the following residents of this
state other than those described in subsection (2) of this section:
     (a) Any war veteran who is officially
certified by the United States Department of Veterans Affairs or any branch of
the Armed Forces of the
     (b) Any war veteran having served with the
United States Armed Forces who, as certified by one duly licensed physician, is
rated as having disabilities of 40 percent or more. However, a veteran shall be
entitled to the exemption granted under this paragraph only if the veteran
during the calendar year immediately preceding the assessment year for which
the exemption is claimed had total gross income, including pensions, disability
compensation or retirement pay, or any combination of such payments from the
United States Government on account of such service, of not more than 185
percent of federal poverty guidelines.
     (c) The surviving spouse remaining
unmarried of a war veteran, but the exemption shall apply only to the period
preceding the date of the first remarriage of the surviving spouse.
     (2) Upon compliance with ORS 307.260,
there shall be exempt from taxation not to exceed $18,000 of the assessed value
of the homestead or personal property of any of the following residents of this
state:
     (a) Any war veteran who is officially
certified by the United States Department of Veterans Affairs or any branch of
the Armed Forces of the
     (b) The surviving spouse remaining
unmarried of a war veteran, if the war veteran died as a result of
service-connected injury or illness or if the war veteran received at least one
year of the maximum exemption from taxation allowed under paragraph (a) of this
subsection after 1981 for a veteran certified as having service-connected
disabilities of 40 percent or more.
     (3) The amount of the exemption allowed
under subsection (1) or (2) of this section shall equal 103 percent of the
amount of the exemption for the prior tax year. [Amended by 1953 c.63 §3; 1955
c.248 §1; 1961 c.410 §5; 1969 c.605 §55; 1971 c.338 §1; 1973 c.402 §7; 1981 c.530
§3; 1981 c.682 §1; 1982 s.s.1 c.33 §2; 1991 c.67 §77; 1991 c.459 §52; 1995
c.610 §2; 1997 c.541 §111; 1999 c.221 §1; 2005 c.520 §1]
     307.260
Necessity of filing claim to secure exemption; contents of claim; alternative
claim procedure for surviving spouse. (1)(a) Each war veteran or surviving spouse qualifying for the
exemption under ORS 307.250 shall file with the county assessor, on forms
supplied by the assessor, a claim therefor in writing on or before April 1 of
the assessment year for which the exemption is claimed, except that when the
property designated is acquired after March 1 but prior to July 1 the claim
shall be filed within 30 days after the date of acquisition.
     (b) A claim need not be filed under this
section in order to be allowed the exemption described in ORS 307.250 if:
     (A) The homestead or personal property of
the war veteran or surviving spouse was allowed the exemption under ORS 307.250
for the preceding tax year;
     (B) The individual claiming the exemption
is a war veteran described in ORS 307.250 (1)(a) or (2)(a) or a surviving
spouse who meets the requirements of ORS 307.250 (1)(c) or (2)(b); and
     (C) As of the filing date for the current
tax year, the ownership and use of the homestead or personal property and all
other qualifying conditions for the homestead or personal property to be
allowed the exemption remain unchanged.
     (c)(A) If the individual claiming the
exemption is a war veteran described in ORS 307.250 (1)(b), the claimant shall
file a claim annually that satisfies the requirements of subsection (2) of this
section on or before the date required in paragraph (a) of this subsection.
     (B) If the county assessor has not
received a claim filed under this paragraph on or before April 1 of the current
year, not later than April 10 of each year, the county assessor shall notify
the war veteran in the county who secured an exemption under ORS 307.250 (1)(b)
in the preceding year but who did not make application therefor on or before
April 1 of the current year. The county assessor may provide the notification
on an unsealed postal card. A war veteran so notified may secure the exemption,
if still qualified, by making application therefor to the county assessor not
later than May 1 of the current year, accompanied by a late-filing fee of $10,
which shall be deposited in the general fund of the county for general
governmental expenses. If the claim for any tax year is not filed within the
time specified, the exemption may not be allowed on the assessment roll for
that year.
     (2)(a) The claim shall set out the basis
of the claim and designate the property to which the exemption may apply.
Except as provided in subsection (3) of this section, claims for exemptions
under ORS 307.250 (1)(a) and (2)(a) shall have affixed thereto the certificate
last issued by United States Department of Veterans Affairs or the branch of
the Armed Forces of the United States, as the case may be, but dated within
three years prior to the date of the claim for exemption, certifying the rate
of disability of the claimant.
     (b) Claims for exemption under ORS 307.250
(1)(b) shall, except as provided in subsection (3) of this section, have
affixed thereto, in addition to the certificate last issued by a licensed
physician and dated within one year prior to the date of the claim for
exemption, certifying the rate of disability of the claimant, a statement by
the claimant under oath or affirmation setting forth the total gross income
received by the claimant from all sources during the last calendar year.
     (c) There also shall be affixed to each
claim the affidavit or affirmation of the claimant that the statements
contained therein are true.
     (3) The provisions of subsection (2) of
this section that require a war veteran to affix to the claim certificates of
the United States Department of Veterans Affairs, a branch of the Armed Forces
of the United States or a licensed physician do not apply to a war veteran who
has filed the required certificate after attaining the age of 65 years or to a
war veteran who has filed, on or after September 27, 1987, a certificate
certifying a disability rating that, under federal law, is permanent and cannot
be changed.
     (4)(a) Notwithstanding subsection (1) of
this section, a surviving spouse may file a claim for the exemption under ORS
307.250 at any time during the tax year if:
     (A) The war veteran died during the
previous tax year; or
     (B) The property designated as the
homestead was acquired after March 1 but prior to July 1 of the assessment year
and the war veteran died within 30 days of the date the property was acquired.
     (b) The claim shall be allowed by the
county assessor if the surviving spouse meets all of the qualifications for an
exemption under ORS 307.250 other than the timely filing of a claim under
subsection (1) of this section.
     (c) If taxes on the exempt value have been
paid, the taxes shall be refunded in the manner prescribed in paragraph (d) of
this subsection. If taxes on the exempt value have not been paid, the taxes and
any interest thereon shall be abated.
     (d) The tax collector shall notify the
governing body of the county of any refund required under this section and the
governing body shall cause a refund of the taxes and any interest paid to be
made from the unsegregated tax collections account described in ORS 311.385.
The refund under this subsection shall be made without interest. The county
assessor and tax collector shall make the necessary corrections in the records
of their offices. [Amended by 1961 c.235 §1; 1969 c.562 §1; 1979 c.689 §7; 1981
c.530 §4; 1981 c.682 §2; 1982 s.s.1 c.33 §3; 1987 c.363 §1; 1991 c.67 §78; 1991
c.459 §53; 1995 c.610 §3; 1997 c.541 §113; 2001 c.351 §1; 2003 c.169 §12; 2007
c.615 §1]
     Note: Section 2, chapter 615, Oregon Laws 2007,
provides:
     Sec.
2. The amendments to ORS
307.260 by section 1 of this 2007 Act apply to tax years beginning on or after
July 1, 2008. [2007 c.615 §2]
     307.262
Tax years for which exemption may be claimed upon receipt of federal
certification of disability; procedure; refund. (1) Notwithstanding ORS 307.260, if a war
veteran receives notice of certification from the United States Department of
Veterans Affairs or any branch of the Armed Forces of the United States that
the war veteran has disabilities of 40 percent or more as of a date set forth in
the certification, the war veteran may obtain the exemption set forth in ORS
307.250 for each tax year following the date of certified disability.
     (2) A war veteran seeking to obtain an
exemption under ORS 307.250 pursuant to this section must file a claim for
exemption with the county assessor within six months of the date the federal
government agency notifies the war veteran of the certified disability.
     (3) Notwithstanding subsection (1) of this
section, a war veteran may not receive an exemption under ORS 307.250 for a tax
year that is more than three tax years prior to the tax year in which a claim
is filed under this section.
     (4) If the county assessor determines that
a war veteran who has filed a claim under this section meets the requirements of
ORS 307.250 for a tax year prior to the current tax year, property taxes
collected on the exempt amount for the prior tax year, together with interest
at the rate set forth in ORS 311.812, shall be refunded to the war veteran.
Refunds shall be made from the refund reserve account established under ORS
311.807. [2001 c.199 §2]
     307.270
Property to which exemption of ORS 307.250 applies. (1) The exemption under ORS 307.250 shall
apply to property any such war veteran or surviving spouse may own, or have in
possession under a recorded contract of purchase, on January 1 of the year in
which the exemption is claimed. The exemption shall first apply to the
homestead of the war veteran or surviving spouse and then to the personal
property of the war veteran or surviving spouse. Property of the spouse of any
such war veteran where they are living together and occupying the same as their
homestead shall be deemed the homestead of the war veteran. When any such war
veteran or surviving spouse applies for exemption on properties in two or more
counties, the total amount of the exemption allowed in all such counties shall
not exceed the maximum amount of exemption under ORS 307.250.
     (2) For each qualified war veteran or
surviving spouse only one valid and allowable claim for an exemption on a
homestead shall be permitted in any one assessment year. [Amended by 1955 c.248
§2; 1977 c.113 §1; 1981 c.530 §5; 1981 c.682 §3; 1982 s.s.1 c.33 §4; 1991 c.459
§54; 1995 c.610 §4; 1997 c.541 §115; 1999 c.221 §2; 2007 c.615 §3]
     307.280
Effect of allowance of exemption under ORS 307.250 on prior tax levied. Allowance of the exemption, under ORS
307.250, in any year shall not have the effect of canceling or permitting the
cancellation of any tax levied in any prior year.
     307.283
Homesteads of unmarried surviving spouses of veterans of Civil War or Spanish
War. The surviving spouse
remaining unmarried of any honorably discharged veteran of the Civil War or the
Spanish War, who is pensioned and actually resides in a homestead, is entitled
to an exemption of $2,000 of the taxable value of such homestead, in addition
to the exemption from taxes on real property otherwise provided by law for such
surviving spouse. [Formerly 307.300]
     307.285 [1981 c.530 §2; 1982 s.s.1 c.33 §5; repealed
by 1991 c.459 §81]
(Active Duty
Military Service)
     307.286
Homestead exemption. (1)
Upon compliance with ORS 307.289, there shall be exempt from taxation up to
$60,000 of the assessed value of the homestead of any resident of this state
who is:
     (a) Serving in the Oregon National Guard,
military reserve forces or organized militia of any other state or territory of
the United States; and
     (b) Performing service:
     (A) Under Title 10 of the United States
Code or pursuant to a deployment made under the authority of the Emergency
Management Assistance Compact; and
     (B) For more than 178 consecutive days, if
at least one of the days falls within the tax year for which the exemption is
claimed.
     (2) For each tax year beginning on or
after July 1, 2006, the amount of the exemption allowed under subsection (1) of
this section shall equal 103 percent of the amount of the exemption for the
prior tax year.
     (3) As used in this section, “homestead”
means residential property that is owned by a person described in subsection
(1) of this section and that, but for military service, would be occupied as a
residence by the person. [2005 c.520 §3; 2007 c.604 §1]
     Note: Section 5, chapter 520, Oregon Laws 2005,
provides:
     Sec.
5. ORS 307.286 applies to
qualifying persons ordered to federal active duty or deployed under the
authority of the Emergency Management Assistance Compact on or after January 1,
2005, and property for which an exemption is claimed for tax years beginning on
or after July 1, 2005. [2005 c.520 §5; 2007 c.604 §3]
     307.289
Application for homestead exemption; alternative procedures following death of
person qualifying for exemption. (1) Each person qualifying for the exemption under ORS 307.286 shall
file with the county assessor, on forms supplied by the assessor, a claim in
writing on or before August 1 following the end of the tax year for which the
exemption is claimed.
     (2) The claim shall set out the basis of
the claim and designate the property to which the exemption may apply. Claims
for exemptions under ORS 307.286 shall include a statement by the claimant
under oath or affirmation setting forth the basis for eligibility for the
exemption. The claim shall also include an affidavit or affirmation of the
claimant that the statements contained therein are true.
     (3) Notwithstanding subsection (1) of this
section and ORS 307.286 (1), an individual described in ORS 307.286 (1) who
applies prior to the date on which service begins shall be allowed the
exemption if the claimant has written orders that require the performance of
service for at least one day during the tax year for which the exemption is
being claimed and the claimant is otherwise eligible for the exemption.
     (4)(a) Notwithstanding subsection (1) of
this section and ORS 307.286 (1), an individual who is lawfully occupying the
homestead of the qualifying person may file a claim for the exemption under ORS
307.286 by the time prescribed in subsection (1) of this section if the
qualifying person died while performing the service described in ORS 307.286
(1)(b)(A) during the current or prior tax year.
     (b) The claim shall be allowed by the
county assessor if the qualifying person met all of the qualifications for an
exemption under ORS 307.286 prior to death, other than the number of
consecutive days of service.
     (5) If taxes on the exempt value have been
paid, the taxes shall be refunded in the manner prescribed in subsection (6) of
this section. If taxes on the exempt value have not been paid, the taxes and
any interest thereon shall be abated.
     (6) The tax collector shall notify the
governing body of the county of any refund required under this section and the
governing body shall cause a refund of the taxes and any interest paid to be
made from the unsegregated tax collections account described in ORS 311.385.
The refund under this subsection shall be made without interest. The county
assessor and tax collector shall make the necessary corrections in the records
of their offices. [2005 c.520 §4; 2007 c.604 §2]
     Note: Section 6, chapter 520, Oregon Laws 2005,
provides:
     Sec.
6. (1) Notwithstanding the
deadline set forth in ORS 307.289 (1), for tax years beginning on or after July
1, 2005, and before July 1, 2007, a qualifying person or lawful occupant of the
homestead of a deceased qualifying person may file with the county assessor, on
forms supplied by the assessor, a claim in writing within 180 days after the
effective date of this 2007 Act [September 27, 2007].
     (2) If taxes on the exempt value have been
paid, the taxes shall be refunded in the manner prescribed in subsection (3) of
this section. If taxes on the exempt value have not been paid, the taxes and
any interest thereon shall be abated.
     (3) The tax collector shall notify the
governing body of the county of any refund required under this section and the
governing body shall cause a refund of the taxes and any interest paid to be
made from the unsegregated tax collections account described in ORS 311.385.
The refund under this subsection shall be made without interest. The county
assessor and tax collector shall make the necessary corrections in the records
of their offices. [2005 c.520 §6; 2007 c.604 §4]
     307.290 [Repealed by 1977 c.113 §2]
     307.300 [Amended by 1967 c.293 §31; 1981 c.530 §6;
renumbered 307.283 in 2005]
     307.310 [Renumbered 307.035]
(Deciduous
Plants; Agricultural Products)
     307.315
Nursery stock. Nursery
stock, as defined in ORS 571.005 (5), whether bare root, or whether balled or
heeled or growing in containers in or upon the ground, is exempt from ad
valorem taxation in the hands of the grower or wholesalers. [1971 c.285 §2;
1979 c.692 §1]
     307.320
Deciduous trees, shrubs, plants, crops, cultured Christmas trees or hardwood on
agricultural land. The value
of any deciduous trees, shrubs, plants or crops, whether annual or perennial,
and any cultured Christmas trees, as defined in ORS 215.203, or timber
described under ORS 321.267 (3) or 321.824 (3), growing upon agricultural land
devoted to agricultural purposes, shall be exempt from assessment and taxation
and shall not be deemed real property under the provisions of ORS 307.010. [1957
c.615 §1; 1983 c.657 §4; 1985 c.565 §53; 1989 c.887 §6; 1991 c.714 §5; 2003
c.454 §118; 2003 c.621 §79a]
     307.325
Agricultural products in possession of farmer. (1) The items of personal property described
in subsection (2) of this section which, on the assessment date, are owned and
in the actual or constructive possession of the farmer who produced them or who
has procured them for use or consumption in the farm operations of the farmer, shall
be exempt from taxation.
     (2) The items referred to in subsection
(1) of this section are as follows:
     (a) Grain.
     (b) Seed.
     (c) Hay.
     (d) Fruit.
     (e) Vegetables.
     (f) Nuts.
     (g) Hops.
     (h) Wool.
     (i) Fish.
     (j) Poultry.
     (k) Butter, cheese and evaporated,
condensed or concentrated milk.
     (L) Mint.
     (m) Bivalve mollusks.
     (n) Livestock.
     (o) Fur-bearing animals.
     (p) Bees.
     (q) Vermiculture supplies and products. [1965
c.429 §2; 1979 c.692 §2; 1987 c.691 §1; 2001 c.753 §11; 2005 c.657 §5]
(Commercial
Facilities Under Construction)
     307.330
Commercial facilities under construction. (1) Except for property centrally assessed by the Department of
Revenue, each new building or structure or addition to an existing building or
structure is exempt from taxation for each assessment year of not more than two
consecutive years if the building, structure or addition:
     (a) Is in the process of construction on
January 1;
     (b) Is not in use or occupancy on January
1;
     (c) Has not been in use or occupancy at
any time prior to such January 1 date;
     (d) Is being constructed in furtherance of
the production of income; and
     (e) Is, in the case of nonmanufacturing
facilities, to be first used or occupied not less than one year from the time
construction commences. Construction shall not be deemed to have commenced
until after demolition, if any, is completed.
     (2) If the property otherwise qualifies
for exemption under this section and ORS 307.340, the exemption shall likewise
apply to any machinery or equipment located at the construction site which is
or will be installed in or affixed to such building, structure or addition. [1959
c.246 §1; 1961 c.552 §1; 1971 c.284 §1; 1991 c.459 §55; 1997 c.541 §117]
     307.340
Necessity of filing proof to secure exemption under ORS 307.330; abatement. (1) The property described in ORS 307.330
shall be listed for ad valorem property taxation, but the assessor shall cancel
the assessment for any assessment year upon receipt of sufficient documentary
proof that the property meets all of the conditions contained in ORS 307.330.
Such proof shall be filed with the assessor on or before April 1 of such year.
No cancellation of assessment shall be made unless the required proof is filed
within the time prescribed by this section. Any cancellation of assessment will
be abated as to any nonmanufacturing property that is used or occupied within
one year from the time construction commences and the assessor shall proceed to
correct the assessment and tax roll or rolls from which the property was omitted
from taxation, in the manner provided in ORS 311.216 to 311.232.
     (2) If the proof required by subsection
(1) of this section relates to principal or secondary industrial property as
defined by ORS 306.126 and is filed with the Department of Revenue within the
time required by subsection (1) of this section, the proof shall be deemed
timely filed with the assessor. [1959 c.246 §2; 1967 c.51 §2; 1971 c.284 §2;
1991 c.459 §56; 1993 c.270 §77; 1997 c.541 §118]
     307.345 [1965 c.615 §19; 1969 c.493 §78; repealed by
1971 c.747 §21]
     307.347 [1965 c.615 §16; repealed by 1971 c.747 §21]
     307.350 [1963 c.569 §3; 1963 s.s. c.4 §2; 1965 c.615
§22; 1969 c.578 §1; repealed by 1971 c.747 §21]
     307.355 [1963 c.569 §2; 1963 s.s. c.4 §1; repealed
by 1965 c.615 §27]
     307.356 [1965 c.615 §17; repealed by 1971 c.747 §21]
     307.360 [1963 c.569 §4; 1965 c.615 §23; 1969 c.562 §2;
repealed by 1971 c.747 §21]
     307.362 [1965 c.615 §18; repealed by 1971 c.747 §21]
     307.365 [1963 c.569 §5; repealed by 1971 c.747 §21]
     307.366 [1969 c.562 §3; repealed by 1971 c.747 §21]
(Nonprofit
Homes for Elderly Persons)
     307.370
Property of nonprofit homes for elderly persons; limitation on lessee. (1) In aid of veterans tax exemptions,
subject to the conditions prescribed in ORS 307.370 to 307.385 and 308.490,
there shall be exempt from taxation the personal property and a portion of the
real property computed as provided in ORS 307.380, owned or being purchased
under a contract by a corporation described in ORS 307.375 which is actually
and exclusively occupied and used in the operation of a nonprofit home for
elderly persons.
     (2) For the purposes of subsection (1) of
this section, a corporation which is described in ORS 307.375 which has only a
leasehold interest in a nonprofit home for elderly persons operated by it is
deemed to be a purchaser of the property if the operating lessee is
specifically obligated by its contract of lease to pay the ad valorem taxes on
the real and personal property used in the operation of the home. [1969 c.587 §2;
1974 c.54 §1; 1975 c.780 §17]
     307.375
Type of corporation to which exemption under ORS 307.370 applicable. The exemption provided in ORS 307.370 may be
permitted only as to a corporation organized and operated only for the purpose
of furnishing permanent residential, recreational and social facilities
primarily for elderly persons, that:
     (1) Is organized not for profit, pursuant
to ORS chapter 65 or any statute repealed by chapter 580,
     (2) Receives not less than 95 percent of
its operating gross income, excluding any investment income, solely from
payments for living, medical, recreational and social services and facilities,
paid by or on behalf of elderly persons using the facilities of such
corporation;
     (3) Permits no part of its net earnings to
inure to the benefit of any private stockholder or individual; and
     (4) Provides in its articles or other
governing instrument that, upon dissolution, the assets remaining after
satisfying all lawful debts and liabilities shall be distributed to one or more
corporations exempt from taxation under this chapter as corporations organized
and operated exclusively for religious, charitable, scientific, literary or
educational purposes, or to the State of
     307.380
Necessity of filing claim to secure exemption under ORS 307.370. (1) Each corporation described in ORS
307.375, claiming the personal property tax exemption pursuant to ORS 307.370,
shall file with the county assessor, on forms supplied by the assessor, a written
claim therefor in duplicate on or before April 1 of each year in which the
exemption is claimed, except that when the property designated is acquired
after March 1 and before July 1, the claim for that year shall be filed within
30 days after the date of acquisition. If the claim for any year is not filed
within the time specified, the exemption shall not be allowed on the assessment
roll for that year. The claim shall be signed by the taxpayer subject to the
penalties for false swearing.
     (2)(a) Each corporation annually shall aid
residents, who could qualify for property tax exemptions pursuant to ORS
307.250 to 307.283, if the living unit of such elderly person were the
homestead of the person and owned in fee simple, to prepare applications in duplicate
for property tax exemptions on behalf of the corporation, for the benefit of
the elderly person as provided by ORS 307.370 to 307.385 and 308.490. The
duplicate forms shall be completed and signed by the resident-applicant and
filed with the assessor on or before the date required by law.
     (b) The corporation shall determine the
amount of assessed value that each resident of a nonprofit home who would have
qualified for an exemption under ORS 307.250 to 307.283 would have had exempted
if the living unit of such elderly person was the homestead of the person and
owned in fee simple. The amount of the property tax exemption provided for in
ORS 307.370 to 307.385 and 308.490 and attributable to the veteran or surviving
spouse of the veteran shall be the lesser of:
     (A) The maximum amount of exemption that
the veteran or surviving spouse of a veteran would have qualified for under ORS
307.250 or 307.283, whichever is applicable; or
     (B) The assessed value of the living unit
of the veteran or the surviving spouse.
     (c) The assessor shall process each such
application in the manner otherwise required under ORS 307.250 to 307.283,
except for the requirement of owning or purchasing a homestead. The total of
such exempt amounts in each facility, together with the exemption on personal
property, shall constitute the exemption allowed the corporation.
     (3) The assessor shall act upon the claim
and shall approve it or reject it, noting the action upon both the original and
the duplicate copies. The duplicate copy thereupon shall be returned to the
claimant.
     (4) The Department of Revenue shall
furnish to a county assessor, upon request, a statement certifying the
qualification or nonqualification of a corporation under ORS 307.375. [1969
c.587 §4; 1971 c.747 §15; 1975 c.780 §1; 1981 c.530 §7; 1981 c.682 §4; 1987
c.293 §65; 1987 c.756 §16; 1997 c.113 §7]
     307.385
Corporation to credit residentÂ’s account with share of tax exemption; assessor
required to deny exemption if credit not given. Not later than December 15 of each year, a
corporation that has received a real property exemption for the current year
under ORS 307.370 shall credit the account of each resident of a facility whose
living unit was taken into account in determining the real property exemption.
The amount of the credit must equal the amount of real property taxes that
would have been assessed and collected against the corporation for that portion
of the assessed value of such living unit included in computing the corporationÂ’s
exemption. The county assessor shall furnish the corporation with the
information necessary for the corporation to make the computation. Prior to the
following February 1, the corporation shall satisfy the assessor that credit
has been given each applicable resident as required by this section. If the
corporation fails to satisfy the assessor that the applicable resident has
received the credit, the assessor must deny the corporation any property tax
exemption under ORS 307.370 to 307.385 or 308.490 in the next assessment year,
beginning January 1. [1969 c.587 §6; 1975 c.780 §2; 1991 c.459 §57; 1997 c.541 §119;
2005 c.94 §34]
(Agricultural
Equipment and Facilities)
     307.390
Mobile field incinerators.
Mobile field incinerators owned by farmers or by groups of farmers that are
exclusively used for sanitizing grass seed fields by means other than open
field burning shall be exempt from taxation if they are purchased within five
years after they are certified as a feasible alternative to open field burnings
by the Department of Environmental Quality pursuant to ORS 468A.555 to 468A.620
and 468A.992. [1971 c.678 §2; 1977 c.650 §12]
     307.391
Field burning smoke management equipment. Radio communications equipment, meteorological equipment or other
tangible personal property used in connection with the operation of the field
burning smoke management program established under ORS 468A.555 to 468A.620 and
468A.992 is exempt from ad valorem property taxation. [2001 c.753 §18]
     307.394
Farm machinery and equipment; personal property used in farm operations;
limitation. (1) The
following tangible personal property is exempt from ad valorem property
taxation:
     (a) Farm machinery and equipment used
primarily in the preparation of land, planting, raising, cultivating,
irrigating, harvesting or placing in storage of farm crops;
     (b) Farm machinery and equipment used
primarily for the purpose of feeding, breeding, management and sale of, or the
produce of, livestock, poultry, fur-bearing animals or bees or for dairying and
the sale of dairy products; or
     (c) Farm machinery and equipment used
primarily in any other agricultural or horticultural use or animal husbandry or
any combination of these activities.
     (2)(a) Items of tangible personal
property, including but not limited to tools, machinery and equipment that are
used predominantly in the construction, reconstruction, maintenance, repair,
support or operation of farm machinery, and equipment and other real or
personal farm improvements that are used primarily in animal husbandry,
agricultural or horticultural activities, or any combination of these
activities, are exempt from ad valorem property taxation.
     (b) An item of tangible personal property
described in paragraph (a) of this subsection is exempt from ad valorem
property taxation only if the person that owns, possesses or controls the item
also:
     (A) Owns, possesses or controls the farm
machinery, equipment and other real and personal farm improvements for which
the item is used; and
     (B) Carries on the animal husbandry,
agricultural or horticultural activity, or combination of activities, in which
the farm machinery, equipment or other real and personal farm improvements are
used. [2001 c.753 §15]
     307.395 [1971 c.141 §§1,2; 1983 c.740 §87; repealed
by 1991 c.459 §81]
     307.397
Certain machinery and equipment used in agricultural, aquacultural or fresh
shell egg industry operations.
The following items of real property machinery and equipment or tangible
personal property are exempt from ad valorem property taxation:
     (1) Frost control systems used in
agricultural or horticultural activities carried on by the farmer;
     (2) Trellises used for hops, beans or
fruit or for other agricultural or horticultural purposes;
     (3) Hop harvesting equipment, including
but not limited to hop pickers;
     (4) Oyster racks, trays, stakes and other
in-water structures used to raise bivalve mollusks; or
     (5) Equipment used for the fresh shell egg
industry that is directly related and reasonably necessary to produce, prepare,
package and ship fresh shell eggs from the place of origin to market, whether
bolted to the floor, wired or plumbed to interconnected equipment, including
but not limited to grain bins, conveyors for transporting grain, grain grinding
machinery, feed storage hoppers, cages, egg collection conveyors and equipment
for washing, drying, candling, grading, packaging and shipping fresh shell
eggs. [2001 c.753 §16]
     307.398
Irrigation equipment. (1)
Center pivots, wheel lines or movable set lines are exempt from ad valorem
property taxation.
     (2) As used in this section:
     (a) “Center pivot” means a piece of
self-propelled machinery that rotates around a riser for the purpose of
sprinkling a circular tract of land. “Center pivot” includes all of the
component parts of the center pivot irrigation system that are ordinarily
located above the ground on the land to be irrigated and that can be
disconnected from the riser and moved to another point. A center pivot
constitutes personal property.
     (b) “Center pivot irrigation system” means
an irrigation system that uses pumping stations and pipelines to convey water
from its source to a riser to which a center pivot may be connected and used
for sprinkling.
     (c) “Riser” means a pipe located in the
field to be irrigated that rises vertically through the surface of the ground. [2001
c.753 §17]
(Inventory)
     307.400
Inventory. Items of tangible
personal property consisting of inventory, including but not limited to
materials, supplies, containers, goods in process, finished goods and other
personal property owned by or in possession of the taxpayer, that are or will
become part of the stock in trade of the taxpayer held for sale in the ordinary
course of business, are exempt from ad valorem property taxation. [Formerly
310.608; 1983 c.600 §2; 1987 c.691 §2; part renumbered 307.402 in 1991; 1995
c.379 §1; 1997 c.325 §22; 2001 c.753 §12]
(Beverage
Containers)
     307.402
Beverage containers. Any
beverage container having a refund value as required under ORS 459A.700 to
459A.740 is exempt from ad valorem taxation. [Formerly 310.608; 1983 c.600 §2;
1987 c.691 §2; formerly part of 307.400]
(Pollution
Control Facilities)
     307.405
Pollution control facilities; qualifications; expiration; revocation;
limitations. (1) A pollution
control facility or facilities which have been constructed in accordance with
the requirements of ORS 468.165 (1), and have been certified by the
Environmental Quality Commission pursuant to ORS 468.170 are exempt to the
extent of the highest percentage figure certified by the Environmental Quality
Commission as the portion of the actual cost properly allocable to the
prevention, control or reduction of pollution. The exemption shall be allowed
only if the taxpayer is a corporation organized under ORS chapter 62 or 65, or
any predecessor to ORS chapter 62 relating to incorporation of cooperative
associations, or is a subsequent transferee of such a corporation. If the
subsequent transferee is organized under other than ORS chapter 62 or 65, the
exemption shall only be allowed if the transfer occurs after the expiration of
five years from the date of original certification by the commission.
     (2) To qualify for the ad valorem tax
relief:
     (a) The pollution control facility must be
erected, constructed or installed in connection with the trade or business
conducted by the taxpayer on
     (b) The taxpayer must be the owner of the
trade or business that utilizes Oregon property requiring a pollution control
facility to prevent or minimize pollution or a person who, as a lessee under a
written lease or pursuant to a written agreement, conducts the trade or
business that operates or utilizes such property and who by the terms of such
lease or agreement is obliged to pay the ad valorem taxes on such property. As
used in this subsection, “owner” includes a contract purchaser.
     (3) The ad valorem exemption of a facility
shall expire, in any event, 20 years from the date of its first certification
for any owner or lessee by the Environmental Quality Commission.
     (4) Upon any sale, exchange, or other
disposition of a facility, notice thereof shall be given to the Environmental
Quality Commission who shall revoke the certification covering such facility as
of the date of such disposition. The transferee may apply for a new certificate
under ORS 468.170, but the number of years of ad valorem tax exemption that may
be claimed by the transferee is the remainder of the exemption period specified
in subsection (3) of this section.
     (5) If the facility also functions to
prevent pollution from operations conducted on other property owned or leased
by the taxpayer the Environmental Quality Commission shall state in its
certification of the facility the percentage of the facility used to prevent
pollution from such qualifying trade or business conducted on such qualifying
property. The exemption from ad valorem taxes under this section shall be
limited to such percentage of the value of the facility. [1967 c.592 §13; 1969
c.340 §1; 1971 c.678 §1; 1973 c.831 §7; 1977 c.795 §9; 1987 c.596 §1; 1989
c.802 §1]
     307.420
Necessity of filing claim and certificate to secure exemption; annual
statements of ownership. (1)
Before any exemption from taxation is allowed under ORS 307.405, the person
claiming the exemption shall file with the county assessor a written claim for
such exemption prepared on a form prescribed by the Department of Revenue and
furnished by the assessor, and shall file with the assessor with the first
claim for exemption the certificate issued by the Environmental Quality Commission
under ORS 468.170 covering the property for which exemption is sought. The
claim shall be filed not later than April 1 of the assessment year for which
the exemption is claimed; except that if the person receives a certificate
after April 1 but before July 1, the person may file a claim on or before July
15 of that year. The county clerk shall record the certificate in the county
record of deeds, upon presentation by the assessor. Each year thereafter to
continue such exemption, the taxpayer must file not later than April 1 a
statement with the county assessor, on a form prescribed by the Department of
Revenue and furnished by the assessor, stating that the ownership of all
property included in the certificate and its use remain unchanged.
     (2) If a claim required by subsection (1)
of this section relates to principal or secondary industrial property as
defined by ORS 306.126 and is filed with the Department of Revenue within the
time required by subsection (1) of this section, the claim shall be deemed timely
filed with the assessor. [1967 c.592 §14; 1973 c.831 §10; 1983 c.637 §5; 1991
c.459 §58; 1993 c.270 §79; 1997 c.541 §120]
     307.430
Correction of assessment and tax rolls; termination of exemption. (1) Upon receipt of notice of the revocation
of a certification of a pollution control facility pursuant to ORS 468.185
(1)(a), the county assessor shall proceed to correct the assessment and tax
roll or rolls from which the facility was omitted from taxation, in the manner
provided in ORS 311.216 to 311.232, and in all cases shall add interest in the
manner provided in ORS 311.229. The five-year limitation provided for in ORS
311.205 shall not apply to such corrections.
     (2) Upon receipt of notice of the
revocation of a certification of a pollution control facility pursuant to ORS
468.185 (1)(b), if the final revocation occurs before September 15 of any
assessment year, the exemption otherwise allowable shall terminate and not be
allowed beginning with the assessment and tax rolls prepared as of January 1 of
the assessment year. [1967 c.592 §15; 1991 c.459 §59; 1997 c.541 §121]
(Beach Lands)
     307.450
Certain beach lands. The
land, but not the improvements to the land, within the area described by ORS
390.770 is exempt from taxation. [1969 c.601 §15; 1999 c.21 §14]
(Food
Processing Equipment)
     307.453
Findings. The Legislative
Assembly finds that food processing activities make significant contributions
to the economy of this state and are important in supporting and maintaining a
high level of agricultural diversity, upon which consistent economic
performance is based. The Legislative Assembly declares that a property tax
exemption for qualified real property machinery and equipment encourages
continued operation and expansion of the food processing industry in this
state. [2005 c.637 §2]
     307.455
Definitions; application for exemption; exemption. (1) As used in this section and ORS 307.457:
     (a) “Assessor” means the county assessor,
or the Department of Revenue if under ORS 306.126 the department is responsible
for appraisal of the facility at which the qualified machinery and equipment is
located.
     (b) “Food processor”:
     (A) Means a person engaged in the business
of freezing, canning, dehydrating, concentrating, preserving, processing or
repacking for human consumption raw or fresh fruit, vegetables, nuts, legumes
or seafood in any procedure that occurs prior to the point of first sale by the
processor.
     (B) Does not include persons engaged in
the business of producing alcoholic beverages.
     (c) “Integrated processing line” does not
include forklifts, trucks or other rolling stock used to transport material to
or from a point of manufacture or assembly.
     (d) “Qualified machinery and equipment”
means property, whether new or used, that is newly acquired by a food processor
and placed into service prior to January 1 preceding the first tax year for
which an exemption under this section is sought, and that consists of:
     (A) Real property machinery and equipment
that is used by a food processor in the primary processing of raw or fresh
fruit, vegetables, nuts, legumes or seafood; or
     (B) Personal property machinery and
equipment that is used in an integrated processing line for the primary
processing of raw or fresh fruit, vegetables, nuts, legumes or seafood.
     (2)(a) On or before March 1 preceding the
first tax year for which property is to be exempt from taxation under this
section, a food processor seeking an exemption under this section shall apply
to the assessor for exemption. The application shall be on a form prescribed by
the Department of Revenue and shall include any information required by the
department, including a schedule of the qualified machinery and equipment for
which certification is sought.
     (b) Notwithstanding paragraph (a) of this
subsection, the assessor may approve an application that is filed after March
1, and on or before December 31 of the assessment year, if the statement is
accompanied by a late filing fee of the greater of $200 or one-tenth of one
percent of the real market value of the property that is the subject of the
application.
     (c) The assessor shall review the
application and, if the machinery and equipment that is the subject of the
application constitutes qualified machinery and equipment certified by the
State Department of Agriculture under ORS 307.457, shall approve the
application and exempt the qualified machinery and equipment.
     (d) If any of the machinery and equipment
that is the subject of the application does not constitute qualified machinery
and equipment certified by the State Department of Agriculture under ORS
307.457, the assessor shall exclude the nonqualified machinery and equipment
from the application.
     (3) Qualified machinery and equipment for
which an application has been approved under subsection (2) of this section
shall be exempt for the tax year for which the application was approved and for
the next four succeeding tax years, if as of the assessment date for each year
the property constitutes qualified machinery and equipment.
     (4) The duration of the exemption under
subsection (3) of this section may not be extended as the result of the value
of changes to qualified machinery and equipment that are attributable to
rehabilitation, reconditioning or ongoing maintenance or repair. [2005 c.637 §3]
     Note: Section 7, chapter 637, Oregon Laws 2005,
provides:
     Sec.
7. Notwithstanding section 3
of this 2005 Act [307.455], property may not qualify for a first year of
exemption under section 3 of this 2005 Act for a tax year beginning on or after
July 1, 2011. [2005 c.637 §7]
     307.457
Certification of machinery and equipment as eligible for exemption. (1) At the request of a food processor or
under the State Department of AgricultureÂ’s own initiative, the department
shall certify qualified machinery and equipment as eligible for exemption under
ORS 307.455.
     (2) The method of certification under this
section shall be provided by rules adopted by the State Department of
Agriculture, after consultation with the Department of Revenue.
     (3) A decision by the State Department of
Agriculture to deny certification of certain property may be appealed to the
Director of Agriculture as a contested case under ORS chapter 183. [2005 c.637 §4]
     307.459
Rules. The Department of
Revenue and the State Department of Agriculture may adopt rules to implement
the provisions of ORS 307.455 and 307.457. [2005 c.637 §5]
     307.460 [1973 c.822 §1; 1979 c.105 §1; 1983 c.634 §1;
1987 c.756 §17; 1991 c.459 §60; 1995 c.650 §75; 1997 c.170 §§22,23; 1997 c.271 §§5,6;
1997 c.325 §§23,24; 1997 c.541 §§122,123; 1997 c.600 §§6,7; 1999 c.21 §15;
renumbered 307.471 in 2007]
(Egg
Processing Equipment)
     307.462
Definitions; application for exemption; exemption. (1) As used in this section and ORS 307.464:
     (a) “Assessor” means the county assessor,
or the Department of Revenue if under ORS 306.126 the department is responsible
for appraisal of the facility at which the qualified machinery and equipment is
located.
     (b) “Egg processor” means a person engaged
in the business of freezing, canning, dehydrating, concentrating, preserving,
processing or repacking eggs for human consumption in any procedure that occurs
prior to the point of first sale by the processor.
     (c) “Integrated processing line” does not
include forklifts, trucks or other rolling stock used to transport material to
or from a point of manufacture or assembly.
     (d) “Qualified machinery and equipment”
means property, whether new or used, that is newly acquired by an egg processor
and placed into service prior to January 1 preceding the first tax year for
which an exemption under this section is sought, and that consists of:
     (A) Real property machinery and equipment
that is used by an egg processor in the primary processing of eggs; or
     (B) Personal property machinery and
equipment that is used in an integrated processing line for the primary
processing of eggs.
     (2)(a) On or before March 1 preceding the
first tax year for which property is to be exempt from taxation under this
section, an egg processor seeking an exemption under this section shall apply
to the assessor for exemption. The application shall be on a form prescribed by
the Department of Revenue and shall include any information required by the
department, including a schedule of the qualified machinery and equipment for
which certification is sought.
     (b) Notwithstanding paragraph (a) of this
subsection, the assessor may approve an application that is filed after March
1, and on or before December 31 of the assessment year, if the statement is
accompanied by a late filing fee of the greater of $200 or one-tenth of one
percent of the real market value of the property that is the subject of the
application.
     (c) The assessor shall review the
application and, if the machinery and equipment that is the subject of the
application constitutes qualified machinery and equipment certified by the
State Department of Agriculture under ORS 307.464, shall approve the
application and exempt the qualified machinery and equipment.
     (d) If any of the machinery and equipment
that is the subject of the application does not constitute qualified machinery
and equipment certified by the State Department of Agriculture under ORS
307.464, the assessor shall exclude the nonqualified machinery and equipment
from the application.
     (3) Qualified machinery and equipment for
which an application has been approved under subsection (2) of this section
shall be exempt for the tax year for which the application was approved and for
the next four succeeding tax years, if as of the assessment date for each year
the property constitutes qualified machinery and equipment.
     (4) The duration of the exemption under
subsection (3) of this section may not be extended as the result of the value
of changes to qualified machinery and equipment that are attributable to
rehabilitation, reconditioning or ongoing maintenance or repair. [2007 c.843 §70]
     Note: Section 75, chapter 843, Oregon Laws 2007,
provides:
     Sec.
75. Section 70 of this 2007
Act [307.462] applies to tax years beginning on or after July 1, 2007, and
before July 1, 2012. [2007 c.843 §75]
     307.464
Certification of machinery and equipment as eligible for exemption. (1) At the request of an egg processor or
under the State Department of AgricultureÂ’s own initiative, the department
shall certify qualified machinery and equipment as eligible for exemption under
ORS 307.462.
     (2) The method of certification under this
section shall be provided by rules adopted by the State Department of
Agriculture, after consultation with the Department of Revenue.
     (3) A decision by the State Department of
Agriculture to deny certification of certain property may be appealed to the
Director of Agriculture as a contested case under ORS chapter 183. [2007 c.843 §71]
     307.466
Exemption limited to taxes of district adopting ORS 307.462; rules. (1) The exemption provided in ORS 307.462
applies only to the taxes of a taxing district the governing body of which has
adopted an ordinance or resolution authorizing the exemption under ORS 307.462.
     (2) The Department of Revenue and the
State Department of Agriculture may adopt rules to implement the provisions of
ORS 307.462 and 307.464. [2007 c.843 §72,73]
     307.470 [1973 c.486 §1; repealed by 1979 c.692 §13]
(Student
Housing)
     307.471
Student housing exempt from school district taxes; application procedure;
disqualification. (1)(a)
Upon compliance with subsection (2) of this section, student housing shall be
exempt from all ad valorem property taxes levied by a school district, a county
education bond district, an education service district, a community college
service district or a community college district.
     (b) As used in this subsection, “student
housing” means housing that is:
     (A) Rented exclusively to students of any
educational institution, public or private, that offers at least a two-year program
acceptable for full credit towards a baccalaureate degree;
     (B) Rented upon a nondiscriminatory basis,
without regard to race, creed, color or national origin;
     (C) Owned by a nonprofit corporation
having articles of incorporation that provide that on dissolution or
liquidation, the right, title and interest of the corporation in and to all
accommodations and facilities with respect to which exemption is sought will be
conveyed to the educational institution or institutions whose students are
served by the housing, and all its other remaining assets will be conveyed to
one or more organizations exempt from federal income tax under Section 501(c)
(3) of the Internal Revenue Code;
     (D) Owned by a nonprofit corporation that
has made legally enforceable arrangements to convey its interest in any
property with respect to which exemption is claimed to the educational
institution or institutions whose students are served by the housing upon final
payment of the mortgage indebtedness incurred in connection with the
construction or acquisition of the housing; and
     (E) Regulated by federal or state law in
regard to rents, charges, development costs and methods of operation. The
renting of the property for safekeeping purposes during the summer months shall
not disqualify the property from the exemption granted by this section.
     (2)(a) Except as provided in paragraph (b)
of this subsection, the nonprofit corporation shall apply to the assessor for
the exemption on or before April 1 of the assessment year for which the
exemption is claimed on forms prescribed by the Department of Revenue. The
exemption claim shall include a certification by the university, college or
community college attended by a majority of the student occupants that the
property is being used for student housing during the current school year. Once
an exemption has been granted, the exemption shall continue in effect, without
reapplication, until the property fails to meet the qualifications of
subsection (1) of this section as exempt student housing.
     (b) If the property designated in the
claim for exemption under paragraph (a) of this subsection is acquired after
March 1 and before July 1, or if there is a change in use of the property
qualifying the property for exemption under this section after March 1 and
before July 1, the initial claim for exemption shall be filed within 30 days
from the date of acquisition or change of use of the property.
     (3) When, for any reason, the property or
any portion thereof ceases to meet the qualifications of subsection (1) of this
section, the owner at the time of the change shall notify the assessor of such
change prior to the next January 1, or within 60 days after the date of
disqualification, whichever is the earlier.
     (4) When property that has received special
exemption as student housing under subsection (1) of this section thereafter
becomes disqualified for such exemption, and the notice required by subsection
(3) of this section is not given, the assessor shall determine the date that
the notice should have been given, shall notify the owner thereof and
notwithstanding ORS 311.235, there shall be added to the tax extended against
the property on the next general property tax roll, to be collected and
distributed in the same manner as the remainder of the real property tax, an
amount equal to the sum of the following:
     (a) The total amount by which taxes
assessed against the property would have been increased if it had been subject
to tax without regard to subsection (1) of this section during the tax year for
which the notice should have been given and each tax year thereafter together
with the interest which would have accrued had the taxes been properly assessed
and the exemption not been granted in the applicable years; and
     (b) A penalty equal to 20 percent of the
amount specified in paragraph (a) of this subsection, however, no penalty shall
be imposed on any amount attributable to interest.
     (5) A fraternity, sorority or cooperative
housing organization, or an associated alumni nonprofit corporation organized
exclusively for the purpose of owning property housing the fraternity, sorority
or cooperative housing organization and providing related financial and
operational support, may qualify for the exemption provided by subsection (1)
of this section if the requirements of subsection (1)(b)(A) and (B) of this
section are met, provided that any of its housing accommodations not occupied
by members of the organization shall be open to occupancy by students who are
not members of or affiliated with the organization, on a nondiscriminatory
basis, without regard to race, creed, color or national origin, under rules or
conditions set by the school.
     (6) Additional taxes collected under this
section shall be deemed to have been imposed in the year to which the additional
taxes relate. [Formerly 307.460]
(Hardship
Situations)
     307.475
Relief when failure to file for exemption or cancellation of taxes or
redetermination of value was for good cause. (1) Any taxpayer may apply to the Director of the Department of Revenue
for a recommendation that the value of certain property be:
     (a) Stricken from the assessment roll and
that any taxes assessed against such property be stricken from the tax roll on
the grounds of hardship; or
     (b) Redetermined pursuant to ORS 308.146
(6) or 308.428.
     (2) As used in this section, “hardship”
means a situation where property is subject to taxation but would have received
relief had there been a timely filing of a valid claim for exemption, for
cancellation of assessment or for a redetermination of value pursuant to ORS
308.146 (6) or 308.428, and where the failure to make timely application for
the exemption, cancellation or change in assessment date was by reason of good
and sufficient cause.
     (3) An application to the director for a recommendation
of tax relief on the grounds of hardship must be made not later than December
15 of the year in which the failure to timely file a claim of hardship
occurred.
     (4) If the director, in the discretion of
the director, finds that tax relief should be granted on the grounds of
hardship, the director shall send the written recommendation of the director to
the assessor of the county in which the property is located. If the assessor
agrees with the recommendation, the assessor shall note approval thereon. The
person in charge of the roll shall:
     (a) Enter an assessment consistent with a
redetermination of the value of the property as of July 1 of the assessment
year;
     (b) Strike all or a portion of taxes on
the tax roll; or
     (c) Issue a refund of taxes already paid.
A refund of taxes paid shall be treated as any refund granted under ORS
311.806. [1973 c.218 §1; 1979 c.689 §8; 1999 c.398 §3; 2007 c.449 §1]
(Farm Labor
Camps; Child Care Facilities)
     307.480
Definitions for ORS 307.480 to 307.510. As used in ORS 307.480 to 307.510 unless the context requires
otherwise:
     (1) “Eligible child care facility” means a
child care facility certified under ORS 657A.030 and 657A.250 to 657A.450 and
owned or operated by a nonprofit corporation as a nonprofit facility which is
operated in conjunction or cooperation with an eligible farm labor camp.
     (2) “Eligible farm labor camp” means a
farm labor camp owned or operated by a nonprofit corporation as a nonprofit
facility which complies with the health code for farm labor camps adopted under
the Oregon Safe Employment Act.
     (3) “Farm labor camp” means any place,
area or piece of land where housing, sleeping places or camping grounds are
owned or maintained:
     (a) By a person engaged in the business of
providing housing, sleeping places or camping grounds for employees or
prospective employees of another person and the immediate families of the
employees or prospective employees if the employees or prospective employees
are or will be engaged in agricultural work. Eligible farm labor camps may
provide housing to workers not currently engaged in agricultural work if
agricultural work is not available and employees or prospective employees are
required to either engage in agricultural work or leave the farm labor camp once
agricultural work becomes available in the area.
     (b) In connection with any work or place
where agricultural work is being performed, whether the housing, sleeping
places or camping grounds are owned or maintained by the employer or by another
person.
     (4) “Owned or operated” by a nonprofit
corporation as a nonprofit facility includes, but is not limited to:
     (a) The possession or operation of child
care facility or farm labor camp property by nonprofit corporation pursuant to
a written lease or lease-purchase agreement if:
     (A) The nonprofit corporation is obligated
under the terms of the lease or lease-purchase agreement to pay the ad valorem
taxes on the property used in operating the farm labor camp or child care
facility; or
     (B) The rent payable by the nonprofit
corporation has been established to reflect the savings resulting from the
exemption from taxation.
     (b) The possession or operation of the
property by a partnership of which the nonprofit corporation is:
     (A) Either a general partner or the general
manager; and
     (B) Responsible for the day-to-day
operation of the property.
     (5) “Rental” means the net amount of
income from the eligible child care facility or from the eligible farm labor
camp after deduction of costs paid or incurred in the operation of the facility
or camp including, but not limited to, salaries or other compensation,
insurance, utilities, garbage disposal, supplies, repairs and maintenance,
interest and capital costs (whether capitalized and depreciated or amortized or
deducted currently) but not including the in lieu taxes imposed under ORS
307.490. [1973 c.382 §1; 1991 c.232 §1; 1993 c.168 §1; 1995 c.278 §33]
     307.485
Farm labor camp and child care facility property exempt. Subject to ORS 307.490 and 307.495, there
shall be exempt from taxation the assessed value of all real and personal
property of an eligible farm labor camp, or an eligible child care facility. [1973
c.382 §2; 1991 c.459 §61; 1995 c.278 §34; 1997 c.541 §125]
     307.490
Payments in lieu of taxes; disposition of moneys received. (1) In lieu of real and personal property
taxes, each nonprofit corporation eligible for a tax exemption under ORS
307.485 shall pay to the treasurer of the county on or before November 15 an
amount equal to 10 percent of the rentals for the period ending the preceding
October 15, submitting with the remittance a form supplied by the Department of
Revenue stating the rental and certifying compliance with the requirements of
the State Fire Marshal, local health officer or Child Care Division, as
applicable.
     (2) The treasurer shall, with the
assistance of the assessor, allocate the money received by the treasurer under
subsection (1) of this section, to the districts in which the exempt property
is located in the same proportion that the tax rate for the current tax year
for each district bears to the total tax rate for all districts.
     (3) The moneys received by the district
shall be considered as a budget resource for the next ensuing fiscal year. [1973
c.382 §3; 1997 c.325 §26]
     307.495
Filing claim with assessor; contents of claim. (1) Each nonprofit corporation claiming
exemption under ORS 307.485 shall file with the county assessor a written claim
therefor in five copies on or before April 1 of each assessment year for which
the exemption is claimed, except that when the property designated is acquired
after March 1 and before July 1, the claim shall be filed within 30 days after
acquisition.
     (2) The claim shall designate the property
to which the exemption may apply, shall state the facts which make the property
eligible within the definitions of ORS 307.480, and shall certify that the
eligible farm labor camp or eligible child care facility is, to the best of
taxpayerÂ’s knowledge, in compliance with the requirements of the State Fire Marshal,
the health code for farm labor camps or is a certified child care facility.
     (3) No exemption shall be allowed for any
year subsequent to the first unless the corporation submits to the assessor
details as to the rentals for the prior year and proof that the payments
required by ORS 307.490 have been made. [1973 c.382 §4; 1991 c.459 §62; 1995
c.278 §35; 1997 c.541 §126]
     307.500
Assessor transmitting claim to department and other agencies; health code
compliance required. (1)
Immediately upon receipt of the claim or any subsequent rental statement, the
county assessor shall promptly transmit one copy of the claim to the Department
of Revenue. The rent subsequently reported for the eligible child care facility
or eligible farm labor camp for which the claim is made is subject to
verification and modification by the Department of Revenue.
     (2) The county assessor shall promptly
transmit one copy of each claim or statement for exemption to the State Fire
Marshal for verification of compliance with applicable laws and rules and
regulations relating to safety from fire. If the State Fire Marshal refuses
such verification, the county assessor shall deny the claim and cause the
nonprofit corporation to be billed for the real and personal property taxes it would
otherwise be liable to pay.
     (3) The county assessor shall promptly
transmit one copy of each claim or statement for exemption of an eligible farm
labor camp to the appropriate authority under the Oregon Safe Employment Act
for verification of compliance with the health code for farm labor camps. That
authority shall refuse to verify compliance if the farm labor camp does not
comply with the health code applicable to it or if access to the camp for
inspection has been denied the county assessor or the authorized representative
of the county assessor. If verification is refused, the county assessor shall
deny the claim and cause the nonprofit corporation to be billed for the real
and personal property taxes it would otherwise be liable to pay.
     (4) If the claim or statement or any part
thereof applies to property used for an eligible child care facility, the
county assessor shall promptly transmit a copy to the Child Care Division for
verification of certification. If the division refuses such verification, the
county assessor shall deny the claim and cause the nonprofit corporation to be
billed for the real and personal property taxes it would otherwise be liable to
pay. [1973 c.382 §5; 1995 c.278 §36]
     307.505
Inspection of farm labor camps; effect of failure to comply with health code. The appropriate authority under the Oregon
Safe Employment Act shall cause an inspection to be made of any farm labor camp
that has filed for an exemption at any time prior to August 15. If the
conditions of the camp would not justify verification of compliance with the
health code for farm labor camps, even though verification has been made under
ORS 307.500, the appropriate authority shall notify the county assessor who
shall cancel the exemption and cause the owner to be billed for the real and
personal property taxes the owner would otherwise be liable to pay. [1973 c.382
§6]
     307.510
Appeal to tax court by taxpayer. Any taxpayer aggrieved by any decision under ORS 307.480 to 307.510
may appeal to the tax court within the time provided and in the manner
specified by ORS 305.404 to 305.560. [1973 c.382 §7; 1995 c.650 §76]
(Low Income
Rental Housing)
     307.515
Definitions for ORS 307.515 to 307.523. As used in ORS 307.515 to 307.523:
     (1) “Governing body” means the city or
county legislative body having jurisdiction over the property for which an
exemption may be applied for under ORS 307.515 to 307.523.
     (2) “Lender” means the provider of a loan
secured by the recorded deed of trust or recorded mortgage made to finance the
purchase, construction or rehabilitation of a property used for low income
housing under the criteria listed in ORS 307.517 or 307.518.
     (3) “Low income” means income at or below
60 percent of the area median income as determined by the State Housing Council
based on information from the United States Department of Housing and Urban
Development. [1989 c.803 §1; 1991 c.930 §3; 1993 c.168 §3]
     307.517
Criteria for tax exemption.
(1) Property or a portion of the property that meets the following criteria shall
be exempt from taxation as provided in ORS 307.515 to 307.523:
     (a) The property:
     (A) Is offered for rent; or
     (B) Is held for the purpose of developing
low income rental housing.
     (b) The property, if occupied, is occupied
solely by low income persons.
     (c) The required rent payment reflects the
full value of the property tax exemption.
     (d) The exemption has been approved as
provided in ORS 307.523.
     (e) The housing units on the property were
constructed after the local governing body adopted the provisions of ORS
307.515 to 307.523.
     (2) For the purposes of subsection (1) of
this section, a person that has only a leasehold interest in property is deemed
to be a purchaser of that property if:
     (a) The person is obligated under the
terms of the lease to pay the ad valorem taxes on the real and personal
property used in this activity on that property; or
     (b) The rent payable has been established
to reflect the savings resulting from the exemption from taxation. [1989 c.803 §2;
1997 c.752 §5; 2005 c.94 §36]
     307.518
Alternative criteria for tax exemption. (1) Property or a portion of property that meets all of the following
criteria shall be exempt from taxation as provided under ORS 307.515 to
307.523:
     (a) If unoccupied, the property:
     (A) Is offered for rental solely as a
residence for low income persons; or
     (B) Is held for the purpose of developing
low income rental housing.
     (b) If occupied, the property is occupied
solely as a residence for low income persons.
     (c) An exemption for the property has been
approved as provided under ORS 307.523, pursuant to an application filed before
January 1, 2010.
     (d) The property is owned or being
purchased by a nonprofit corporation organized in a manner that meets the
criteria for a public benefit corporation, as described under ORS 65.001 (37)
or for a religious corporation, as described under ORS 65.001 (39).
     (e) The property is owned or being
purchased by a nonprofit corporation that expends no more than 10 percent of
its annual income from residential rentals for purposes other than the
acquisition, maintenance or repair of residential rental property for low
income persons or for the provision of on-site child care services for the
residents of the rental property.
     (2) For the purposes of this section, a nonprofit
corporation that has only a leasehold interest in property is considered to be
a purchaser of that property if:
     (a) The nonprofit corporation is obligated
under the terms of the lease to pay the ad valorem taxes on the real and
personal property used in the rental activity on that property; or
     (b) The rent payable has been established
to reflect the savings resulting from the exemption from taxation.
     (3) A partnership shall be considered a
nonprofit corporation for purposes of this section if:
     (a) A nonprofit corporation is a general
partner of the partnership; and
     (b) The nonprofit corporation is
responsible for the day-to-day operation of the property that is the subject of
the exemption under ORS 307.515 to 307.523. [1991 c.930 §2; 1993 c.168 §4; 1995
c.79 §121; 1995 c.702 §1; 1997 c.541 §127; 1997 c.752 §6; 1999 c.487 §1; 2001
c.315 §55; 2005 c.94 §37]
     307.519
Exemption limited to tax levy of governing body that adopts ORS 307.515 to
307.523; exception. (1)
Except as provided in subsection (2) of this section, the exemptions provided
by ORS 307.515 to 307.523 only apply to the tax levy of a governing body that
adopts the provisions of ORS 307.515 to 307.523.
     (2) The exemptions provided by ORS 307.515
to 307.523 shall apply to the tax levy of all taxing districts in which
property certified for exemption is located when, upon request of a governing
body that has adopted the provisions of ORS 307.515 to 307.523, the rates of
taxation of such taxing districts whose governing boards agree to the policy of
exemption under ORS 307.515 to 307.523, when combined with the rate of taxation
of the governing body that adopts the provisions of ORS 307.515 to 307.523,
equal 51 percent or more of the total combined rate of taxation on the property
certified for exemption. [1989 c.803 §3; 1991 c.930 §4]
     307.521
Application for exemption; contents; policies for approving application. (1) To qualify for an exemption provided by
ORS 307.515 to 307.523, the person shall file an application for exemption with
the governing body. The exemption shall be for a period of 20 years. The
application shall be filed as set forth in ORS 307.523. The application shall
include the following information, if applicable:
     (a) A description of the property or a
portion of the property for which the exemption is requested;
     (b) A description of the purpose of the
project and whether all or a portion of the property is being used for that
purpose;
     (c) A certification of income levels of
low income occupants;
     (d) A description of how the tax exemption
will benefit project residents;
     (e) If the exemption is an exemption
described under ORS 307.518, evidence satisfactory to the governing body that
the corporation is nonprofit and meets the criteria for a public benefit
corporation or a religious corporation; and
     (f) A description of the plans for
development of the property if the property is being held for future low income
rental housing development.
     (2) The applicant shall verify the
information in the application by oath or affirmation.
     (3) Prior to accepting an application
under ORS 307.515 to 307.523, a local jurisdiction shall adopt standards and
guidelines to be utilized in considering applications and making determinations
required by ORS 307.515 to 307.537. The standards and guidelines shall
establish policy governing basic requirements for approving an application.
Policies considered may include, but are not limited to:
     (a) Rent regulatory agreements or other
enforcement mechanisms to demonstrate that the required rent payment reflects
the full value of the property tax exemption.
     (b) Enforcement mechanisms to ensure that
housing that is exempt under ORS 307.515 to 307.523 is maintained in decent,
safe and sanitary conditions for the occupants.
     (c) Methodology and timing for submitting
evidence of use of rentals received from low income persons. [1989 c.803 §4;
1991 c.459 §63; 1991 c.930 §5; 1997 c.752 §7; 2005 c.94 §38]
     307.523
Time for filing application; certification of exemption. (1) Application shall be made on or before
December 1 of the calendar year immediately preceding the first assessment year
for which exemption is requested, and shall be accompanied by the application
fee required under ORS 307.527. However, if the property is acquired after
November 1, the application shall be made within 30 days after the date of
acquisition.
     (2) Within 60 days of the filing of an
application under ORS 307.521, the governing body shall take final action upon
the application as provided under ORS 307.527, and certify the results of the
action to the county assessor.
     (3) Upon receipt of certification under
subsection (2) of this section, the county assessor shall exempt the property
from taxation to the extent certified by the governing body. [1989 c.803 §5;
1991 c.459 §64; 1991 c.930 §6; 1997 c.541 §128]
     307.525
Action against landlord for failure to reduce rent. In addition to any other provision of law,
if a landlord violates ORS 307.517 (1)(c), a tenant may recover damages in an
amount triple the actual damages sustained as a result of the violation. The
court may award reasonable attorney fees to the prevailing party in an action
under this section. [1989 c.803 §6; 1995 c.618 §62]
     307.527
Ordinance approving or disapproving application; application fee. (1) Final action upon an application by the
governing body shall be in the form of an ordinance or resolution that shall
contain the ownerÂ’s name and address, a description of the housing unit, either
the legal description of the property or the county assessorÂ’s property account
number, any specific conditions upon which the approval of the application is
based and if only a portion of the property is approved, a description of the
portion that is approved.
     (2) On or before April 1 following
approval, the governing body shall file with the county assessor and send to
the applicant a copy of the ordinance or resolution approving or disapproving
the application. The copy shall contain or be accompanied by a notice
explaining the grounds for possible termination of the exemption prior to the
end of the exemption period or thereafter, and the effects of termination. In
addition, the governing body shall file with the county assessor on or before
April 1 a document listing the same information otherwise required to be in an
ordinance or resolution under subsection (1) of this section, as to each
application deemed approved under this section.
     (3) If the application is denied, the
governing body shall state in writing the reasons for denial and send the
notice of denial to the applicant within 10 days after the denial. The notice
shall inform the applicant of the right to appeal under ORS 307.533.
     (4) The governing body, after consultation
with the county assessor, shall establish an application fee in an amount
sufficient to cover the cost to be incurred by the governing body and the
county assessor in administering ORS 307.515 to 307.523. The application fee
shall be paid to the governing body at the time the application for exemption
is filed. If the application is approved, the governing body shall pay the
application fee to the county assessor for deposit in the county general fund,
after first deducting that portion of the fee attributable to its own
administrative costs in processing the application. If the application is
denied, the governing body shall retain that portion of the application fee
attributable to its own administrative costs and shall refund the balance to
the applicant. [1989 c.803 §7; 1995 c.79 §122]
     307.529
Notice of proposed termination of exemption; grounds; ordinance terminating
exemption. (1) Except as
provided in ORS 307.531, if, after an application for exemption under ORS
307.517 has been approved under ORS 307.527, the governing body finds that
construction or development of the exempt property differs from the
construction or development described in the application for exemption, or is
not completed on or before January 1, 2010, or that any provision of ORS
307.515 to 307.523 is not being complied with, or any provision required by the
governing body pursuant to ORS 307.515 to 307.523 is not being complied with,
the governing body shall give notice of the proposed termination of the
exemption to the owner, by mailing the notice to the last-known address of the
owner, and to every known lender, by mailing the notice to the last-known
address of every known lender. The notice shall state the reasons for the
proposed termination and shall require the owner to appear at a specified time,
not less than 20 days after mailing the notice, to show cause, if any, why the
exemption should not be terminated.
     (2) If the owner fails to appear and show
cause why the exemption should not be terminated, the governing body shall
notify every known lender, and shall allow any lender not less than 30 days
after the date the notice of the failure to appear and show cause is mailed to
cure any noncompliance or to provide assurance adequate to the governing body
that all noncompliance shall be remedied.
     (3) If the owner fails to appear and show
cause why the exemption should not be terminated, and the lender fails to cure
or give adequate assurance of the cure of any noncompliance, the governing body
shall adopt an ordinance or resolution stating its findings terminating the
exemption. A copy of the ordinance or resolution shall be filed with the county
assessor, and a copy shall be sent to the owner at the ownerÂ’s last-known
address and to the lender at the last-known address of the lender within 10
days after its adoption. [1989 c.803 §8; 1991 c.459 §65; 1991 c.930 §7; 1993
c.168 §5; 1997 c.541 §129; 1997 c.752 §8; 1999 c.487 §2]
     307.530
Termination if property held for future development or other purpose. An exemption granted under ORS 307.515 to
307.523 shall be immediately terminated and additional taxes imposed as
provided in ORS 307.531 if the exempt property:
     (1) Is being held for future development
of low income rental housing; and
     (2) Is used for any purpose other than the
provision of low income rental housing. [1997 c.752 §10]
     307.531
Termination of exemption without notice; grounds; additional taxes after
termination. (1) If, after
application has been approved under ORS 307.527, a declaration as defined in
ORS 100.005 with respect to the property is presented to the county assessor or
tax collector for approval under ORS 100.110, or if the governing body should
file its termination findings with the county assessor pursuant to ORS 307.529:
     (a) The exemption granted the housing unit
or portion under ORS 307.515 to 307.523 shall terminate immediately, without
right of notice or appeal;
     (b) The property or a portion of the
property shall be assessed and taxed as other property similarly situated is
assessed and taxed; and
     (c) Notwithstanding ORS 311.235, there
shall be added to the general property tax roll for the tax year next following
the presentation or discovery, to be collected and distributed in the same
manner as other real property tax, an amount equal to the difference between
the taxes assessed against the property and the taxes that would have been
assessed against the property had it not been exempt under ORS 307.515 to
307.523 for each of the years, not to exceed the last 10 years, during which
the property was exempt from taxation under ORS 307.515 to 307.523.
     (2) If, at the time of presentation or
discovery, the property is no longer exempt, additional taxes shall be
collected as provided in this section, but the number of years for which the
additional taxes shall be collected shall be reduced by one year for each year
that has elapsed since the year the property was last granted exemption
beginning with the oldest year for which additional taxes are due.
     (3) The assessment and tax rolls shall
show potential additional tax liability for each property granted exemption
under ORS 307.515 to 307.523.
     (4) Additional taxes collected under this
section shall be deemed to have been imposed in the year to which the
additional taxes relate. [1989 c.803 §9; 1991 c.459 §66; 1991 c.930 §8]
     307.533
Review; correction of tax rolls; when tax payable after exemption terminates. (1) Review of a denial of an application
under ORS 307.527, or of the termination of an exemption under ORS 307.529,
shall be as provided by ORS 34.010 to 34.100.
     (2) If no review of the termination of an
exemption as provided in subsection (1) of this section is effected, or upon
final adjudication, the county officials having possession of the assessment
and tax rolls shall correct the rolls in the manner provided for omitted
property under ORS 311.216 to 311.232 to provide for the assessment and
taxation of any property for which exemption was terminated by the governing
body or by a court, in accordance with the finding of the governing body or the
court as to the assessment year in which the exemption is first to be terminated.
The county assessor shall make such valuation of the property as shall be
necessary to permit such correction of the rolls. The owner may appeal any such
valuation in the same manner as provided for appeals under ORS 311.216 to
311.232.
     (3) Where there has been a failure to
comply with ORS 307.529, the property shall become taxable beginning January 1
of the first assessment year following the date on which the noncompliance
first occurred. Any additional taxes becoming due shall be payable without interest
if paid in the period prior to the 16th day of the month next following the
month of correction. If not paid within such period, the additional taxes shall
be delinquent on the date they would normally have become delinquent if timely
extended on the roll or rolls in the year or years for which the correction was
made. [1989 c.803 §10; 1991 c.459 §67; 1991 c.930 §9; 1997 c.541 §131]
     307.535
Extension of deadline for completion; exception to imposition of additional
taxes. Notwithstanding any
provision of ORS 307.515 to 307.523:
     (1) If the governing body finds that
construction of the housing unit otherwise entitled to exemption under ORS
307.517 was not completed by January 1, 2010, due to circumstances beyond the
control of the owner, and that the owner had been acting and could reasonably
be expected to act in good faith and with due diligence, the governing body may
extend the deadline for completion of construction for a period not to exceed
12 consecutive months.
     (2) If property granted exemption under
ORS 307.515 to 307.523 is destroyed by fire or act of God, or is otherwise no
longer capable of owner-occupancy due to circumstances beyond the control of
the owner, the exemption shall cease but no additional taxes shall be imposed
upon the property under ORS 307.531 or 307.533. [1989 c.803 §11; 1991 c.459 §68;
1991 c.930 §10; 1997 c.541 §132; 1999 c.487 §3]
     307.537
Application. The amendments
to ORS 307.521 (1) by section 5, chapter 930, Oregon Laws 1991, changing the
period of the exemption provided under ORS 307.515 to 307.523 from 10 to 20
years, apply to property granted exemption pursuant to applications filed on or
after September 29, 1991. [1989 c.803 §12; 1991 c.459 §69; 1991 c.930 §11; 1997
c.752 §16; 2001 c.114 §15]
(Nonprofit
Corporation Low Income Housing)
     307.540
Definitions for ORS 307.540 to 307.548. As used in ORS 307.540 to 307.548:
     (1) “Governing body” means the city or
county legislative body having jurisdiction over the property for which an
exemption may be applied for under ORS 307.540 to 307.548.
     (2) “Low income” means income at or below
60 percent of the area median income as determined by the State Housing Council
based on information from the United States Department of Housing and Urban
Development. [1985 c.660 §1; 1993 c.168 §7; 2005 c.94 §39]
     Note: Section 6, chapter 660, Oregon Laws 1985,
provides:
     Sec.
6. ORS 307.540 to 307.548
apply to tax years beginning on or after January 1, 1985, and before July 1,
2014. [1985 c.660 §6; 1993 c.108 §1; 2003 c.215 §1]
     307.541
Nonprofit corporation low income housing; exemption; criteria. (1) Property that meets all of the following
criteria shall be exempt from taxation as provided in ORS 307.540 to 307.548:
     (a) The property is owned or being
purchased by a corporation that is exempt from income taxes under section
501(c) (3) or (4) of the Internal Revenue Code, as amended before December 1,
1984.
     (b) Upon liquidation, the assets of the
corporation are required to be applied first in payment of all outstanding
obligations, and the balance remaining, in cash and in kind, to be distributed
to corporations exempt from taxation and operated exclusively for religious,
charitable, scientific, literary or educational purposes or to the State of
     (c) The property is:
     (A) Occupied by low income persons; or
     (B) Held for future development as low
income housing.
     (d) The property or portion of the
property receiving the exemption, if occupied, is actually and exclusively used
for the purposes described in section 501(c) (3) or (4) of the Internal Revenue
Code, as amended before December 1, 1984.
     (e) The exemption has been approved as
provided in ORS 307.547.
     (2) For the purposes of subsection (1) of
this section, a corporation that has only a leasehold interest in property is
deemed to be a purchaser of that property if:
     (a) The corporation is obligated under the
terms of the lease to pay the ad valorem taxes on the real and personal
property used in this activity on that property; or
     (b) The rent payable by the corporation
has been established to reflect the savings resulting from the exemption from
taxation.
     (3) A partnership shall be treated the
same as a corporation to which this section applies if the corporation is:
     (a) A general partner of the partnership;
and
     (b) Responsible for the day-to-day
operation of the property that is the subject of the exemption. [1985 c.660 §2;
1995 c.702 §2; 1997 c.752 §11; 2005 c.94 §40]
     Note: See note under 307.540.
     307.543
Exemption limited to levy of governing body adopting ORS 307.540 to 307.548;
exception. (1) Except as
provided in subsection (2) of this section, the exemption provided by ORS
307.541 only applies to the tax levy of a governing body that adopts the
provisions of ORS 307.540 to 307.548.
     (2) The exemption provided by ORS 307.541
shall apply to the tax levy of all taxing districts in which property certified
for exemption is located when, upon request of a governing body that has
adopted the provisions of ORS 307.540 to 307.548, the rates of taxation of such
taxing districts whose governing boards agree to the policy of exemption under
ORS 307.540 to 307.548, when combined with the rate of taxation of the
governing body that adopts the provisions of ORS 307.540 to 307.548, equal 51
percent or more of the total combined rate of taxation on the property
certified for limited assessment. [1985 c.660 §3]
     Note: See note under 307.540.
     307.545
Application for exemption.
(1) To qualify for the exemption provided by ORS 307.541, the corporation shall
file an application for exemption with the governing body for each assessment
year the corporation wants the exemption. The application shall be filed on or
before April 1 of the assessment year for which the exemption is sought, except
that when the property designated is acquired after April 1 and before July 1,
the claim for that year shall be filed within 30 days after the date of
acquisition. The application shall include the following information, if
applicable:
     (a) A description of the property for
which the exemption is requested;
     (b) A description of the charitable
purpose of the project and whether all or a portion of the property is being
used for that purpose;
     (c) A certification of income levels of
low income occupants;
     (d) A description of how the tax exemption
will benefit project residents;
     (e) A description of the development of
the property if the property is being held for future low income housing
development; and
     (f) A declaration that the corporation has
been granted an exemption from income taxes under section 501(c) (3) or (4) of
the Internal Revenue Code, as amended before December 1, 1984.
     (2) The applicant shall verify the
information in the application by oath or affirmation. [1985 c.660 §4; 1987
c.756 §15; 1993 c.108 §2; 1993 c.270 §25; 1997 c.541 §§133,133a]
     Note: See note under 307.540.
     307.547 Determination of eligibility for
exemption; notice to county assessor. (1) Within 30 days of the filing of an
application under ORS 307.545, the governing body shall determine whether the
applicant qualifies for the exemption under ORS 307.541. If the governing body
determines the applicant qualifies, the governing body shall certify to the
assessor of the county where the real property is located that all or a portion
of the property shall be exempt from taxation under the levy of the certifying
governing body.
     (2) Upon receipt of certification under
subsection (1) of this section, the county assessor shall exempt the property
from taxation to the extent certified by the governing body. [1985 c.660 §5]
     Note: See note under 307.540.
     307.548
Termination of exemption.
(1) If the governing body that has granted an exemption under ORS 307.540 to
307.548 to property in anticipation of future development of low income housing
in connection with the exempt property finds that the property is being used
for any purpose other than the provision of low income housing, or that any
provision of ORS 307.540 to 307.548 is not being complied with, the governing
body shall give notice of the proposed termination of the exemption to the
owner, by mailing the notice to the last-known address of the owner, and to
every known lender, by mailing the notice to the last-known address of every
known lender. The notice shall state the reasons for the proposed termination and
shall require the owner to appear at a specified time, not less than 20 days
after mailing the notice, to show cause, if any, why the exemption should not
be terminated.
     (2) If the owner fails to appear and show
cause why the exemption should not be terminated, the governing body shall
notify every known lender, and shall allow any lender not less than 30 days
after the date the notice of the failure to appear and show cause is mailed to
cure any noncompliance or to provide assurance adequate to the governing body
that all noncompliance shall be remedied.
     (3) If the owner fails to appear and show
cause why the exemption should not be terminated, and the lender fails to cure
or give adequate assurance of the cure of any noncompliance, the governing body
shall adopt an ordinance or resolution stating its findings that terminate the
exemption. A copy of the ordinance or resolution shall be filed within 10 days
after its adoption with the county assessor, and a copy shall be sent to the
owner at the ownerÂ’s last-known address and to the lender at the last-known
address of the lender within 10 days after its adoption.
     (4) Upon the county assessor’s receipt of
the governing bodyÂ’s termination findings:
     (a) The exemption granted the housing unit
or portion under ORS 307.540 to 307.548 shall terminate immediately, without
right of notice or appeal;
     (b) The property shall be assessed and
taxed as other property similarly situated is assessed and taxed; and
     (c) Notwithstanding ORS 311.235, there
shall be added to the general property tax roll for the tax year next following
the presentation or discovery, to be collected and distributed in the same
manner as other real property tax, an amount equal to the difference between
the taxes assessed against the property and the taxes that would have been
assessed against the property had it not been exempt under ORS 307.540 to
307.548 for each of the years, not to exceed the last 10 years, during which
the property was exempt from taxation under ORS 307.540 to 307.548.
     (5) The assessment and tax rolls shall
show potential additional tax liability for each property granted exemption
under ORS 307.540 to 307.548 because the property is being held for future
development of low income housing.
     (6) Additional taxes collected under this
section shall be deemed to have been imposed in the year to which the
additional taxes relate. [1997 c.752 §14]
     Note: See note under 307.540.
     307.550 [1983 c.786 §10; 1991 c.459 §70; 1997 c.541 §134;
repealed by 2001 c.114 §16]
     307.560 [1983 c.786 §11; 1991 c.459 §71; 1999 c.314 §63;
repealed by 2001 c.114 §16]
(Property of
Industry Apprenticeship or Training Trust)
     307.580
Property of industry apprenticeship or training trust. (1) If not otherwise exempt by law and upon
compliance with ORS 307.162, all real and personal property or proportion
thereof owned or being purchased by an industry apprenticeship or training
trust is exempt from property taxation if:
     (a) The trust is organized pursuant to a
trust instrument solely for the purpose of aiding or assisting in the
implementation or operation of one or more apprenticeship or training programs
that conform to and are conducted under ORS 660.002 to 660.210;
     (b) The property or proportion thereof
that is the subject of the exemption is actually and exclusively occupied and
used in the implementation or operation of an apprenticeship or training
program or programs that are established under, conform to and are conducted
under ORS 660.002 to 660.210; and
     (c) The trust is considered an organization
exempt from federal income taxes under the federal Internal Revenue Code or
other laws of the
     (2) If property described under subsection
(1) of this section would be exempt from taxation except that it is held under
lease or lease-purchase agreement by the trust rather than owned or being
purchased by it, the property shall be exempt from taxation upon compliance
with and subject to ORS 307.112.
     (3) No exemption shall be allowed under
subsection (1) or (2) of this section if the property is used in the
implementation or operation of an apprenticeship or training program that
discriminates with respect to its participants on the basis of age, race,
religion, sex or national origin. [1983 c.619 §2]
(Multiple-Unit
Housing)
     307.600
Legislative findings. (1)
The Legislative Assembly finds that it is in the public interest to stimulate
the construction of transit supportive multiple-unit housing in the core areas
of OregonÂ’s urban centers to improve the balance between the residential and
commercial nature of those areas, and to ensure full-time use of the areas as
places where citizens of the community have an opportunity to live as well as
work.
     (2) The Legislative Assembly further finds
that it is in the public interest to promote private investment in transit
supportive multiple-unit housing in light rail station areas and transit
oriented areas in order to maximize OregonÂ’s transit investment to the fullest
extent possible and that the cities and counties of this state should be
enabled to establish and design programs to attract new development of
multiple-unit housing, and commercial and retail property, in areas located
within a light rail station area or transit oriented area.
     (3) The Legislative Assembly further finds
that the cities and counties of this state should be enabled to establish and
design programs to attract new development of multiple-unit housing in light
rail station areas, in transit oriented areas or in city core areas by means of
the local property tax exemption authorized under ORS 307.600 to 307.637. The
programs shall emphasize the following:
     (a) The development of vacant or
underutilized sites in light rail station areas, transit oriented areas or core
areas, rather than sites where sound or rehabilitable multiple-unit housing
exists.
     (b) The development of multiple-unit
housing, with or without parking, in structures that may include ground level
commercial space.
     (c) The development of multiple-unit
housing, with or without parking, on sites with existing single-story
commercial structures.
     (d) The development of multiple-unit
housing, with or without parking, on existing surface parking lots.
     (4) The Legislative Assembly further finds
that it is in the public interest to preserve or establish existing housing
that is affordable to low income persons by providing the incentives authorized
in ORS 307.600 to 307.637 to:
     (a) Existing multiple-unit housing subject
to a low income housing assistance contract with an agency or subdivision of
this state or the United States; and
     (b) Existing multiple-unit housing that
becomes subject to a low income housing assistance contract with an agency or
subdivision of this state or the
     (5) The programs shall result in the
preservation, construction, addition or conversion of units at rental rates or
sale prices accessible to a broad range of the general public. [1975 c.428 §2;
1995 c.596 §1; 1999 c.808 §1; 2003 c.457 §1]
     307.603
Definitions for ORS 307.600 to 307.637. As used in ORS 307.600 to 307.637:
     (1) “Establish” means, unless the context
requires otherwise, making existing multiple-unit housing subject to a low
income housing assistance contract.
     (2) “Lender” means any person who makes a
loan, secured by a recorded mortgage or trust deed, to finance the acquisition,
construction, addition or conversion of multiple-unit housing.
     (3) “Light rail station area” means an
area defined in regional or local transportation plans to be within a one-half
mile radius of an existing or planned light rail station.
     (4) “Low income housing assistance
contract” means an agreement between a public agency and a property owner that
results in the production, rehabilitation, establishment or preservation of
housing affordable to those with a defined level of household income.
     (5) “Multiple-unit housing” means:
     (a) Housing that is or becomes subject to
a low income housing assistance contract with an agency or subdivision of this
state or the United States; or
     (b) Newly constructed structures, stories
or other additions to existing structures and structures converted in whole or
in part from other use to dwelling units that meet the following criteria:
     (A) The structure must have a minimum
number of dwelling units as specified by the city or county pursuant to ORS
307.606 (4).
     (B) The structure must not be designed or
used as transient accommodations, including but not limited to hotels and
motels.
     (C) The structure must have those design
elements benefiting the general public as specified by the city or county
pursuant to ORS 307.618.
     (D) If in a light rail station area or
transit oriented area, the structure must:
     (i) Be physically or functionally related
to a light rail line or mass transportation system; and
     (ii) Enhance the effectiveness of a light
rail line or mass transportation system.
     (6) “Transit oriented area” means an area
defined in regional or local transportation plans to be within one-quarter mile
of a fixed route transit service. [Formerly 307.605]
     307.605 [1975 c.428 §1; 1979 c.425 §1; 1989 c.1051 §1;
1995 c.596 §2; 1999 c.808 §2; 2003 c.457 §2; renumbered 307.603 in 2005]
     307.606
Exemption limited to tax levy of city or county that adopts ORS 307.600 to
307.637; designated areas; public hearings; standards and guidelines for
considering applications.
(1) ORS 307.600 to 307.637 apply to multiple-unit housing preserved,
constructed, established, added to or converted in cities or counties that
adopt, after a public hearing and determination pursuant to subsection (3) of
this section, by resolution or ordinance, the provisions of ORS 307.600 to
307.637. The tax exemption provided by ORS 307.600 to 307.637 only applies to
the tax levy of a city or county that adopts the provisions of ORS 307.600 to
307.637, except that the tax exemption shall apply to the ad valorem property
taxes of all taxing districts when upon request of the city or county that has
adopted the provisions of ORS 307.600 to 307.637, the rates of ad valorem
taxation of taxing districts whose governing boards agree by resolution to the
policy of providing tax exemptions for multiple-unit housing as provided in ORS
307.600 to 307.637, when combined with the rate of taxation of the city or
county that adopts the provisions of ORS 307.600 to 307.637, equal 51 percent
or more of the total combined rate of taxation levied on the property which is
tax exempt under ORS 307.600 to 307.637.
     (2) The city or county shall designate an
area within which it proposes to allow exemptions provided for under the
provisions of ORS 307.600 to 307.637. Core areas, light rail station areas or
transit oriented areas may be designated by a city. A city may designate the
entire city as the area in which the city proposes to allow exemptions under
ORS 307.600 to 307.637 for housing that is or becomes subject to a low income
housing assistance contract with an agency or subdivision of this state or the
     (3) The city or county shall, prior to
passage of a resolution or ordinance electing to utilize the provisions of ORS
307.600 to 307.637, hold a public hearing in order to determine whether
multiple-unit housing meeting the qualifications of subsection (4) of this
section would not otherwise be built in the designated area or preserved
without the benefits provided by ORS 307.600 to 307.637.
     (4) Prior to accepting project
applications under ORS 307.600 to 307.637, cities or counties shall promulgate
standards and guidelines to be utilized in considering applications and making
the determinations required by ORS 307.618. The standards and guidelines shall
establish policy governing basic requirements for an application, including but
not limited to:
     (a) Existing utilization of proposed
project site, including justification of the elimination of any existing sound
or rehabilitable housing.
     (b) Design elements.
     (c) Rental rates or sales prices.
     (d) Extensions of public benefits from the
project beyond the period of the exemption.
     (e) Minimum number of units.
     (f) For housing that is or becomes subject
to a low income housing assistance contract with an agency or subdivision of
this state or the United States, a demonstration that the exemption is
necessary to preserve or establish the low income units.
     (g) For housing that is to become subject
to a low income housing assistance contract with an agency or subdivision of
this state or the United States, the date on which the housing must be
established in order to be exempt under ORS 307.600 to 307.637. [Formerly
307.610]
     307.609
Applicability of ORS 307.600 to 307.637 in cities and certain counties. In any city, or in any county with a
population of over 300,000, the exemption shall apply only to multiple-unit
housing preserved, established, constructed, added to or converted on land
within an area designated under ORS 307.606 (2) or within a designated urban
renewal or redevelopment area formed pursuant to ORS chapter 457. [Formerly
307.620]
     307.610 [1975 c.428 §3; 1979 c.425 §2; 1983 c.493 §1;
1989 c.1051 §2; 1991 c.459 §72; 1995 c.596 §3; 1997 c.325 §27; 1999 c.808 §3;
2003 c.457 §3; renumbered 307.606 in 2005]
     307.612
Duration of exemption; exclusions from exemption. (1) Except as provided under subsection (2)
of this section, multiple-unit housing that qualifies for exemption under ORS
307.600 to 307.637 shall be exempt from ad valorem taxation for no more than 10
successive years. The first year of exemption shall be the assessment year
beginning January 1 immediately following the calendar year in which
construction, addition or conversion is completed, determined by that stage in
the construction process when, pursuant to ORS 307.330, the improvement would
have gone on the tax rolls in the absence of the exemption provided for in ORS
307.600 to 307.637 or, in the case of multiple-unit housing that is or becomes
subject to a low income housing assistance contract, the application is
approved. However:
     (a) The exemption shall not include the
land or any improvements not a part of the multiple-unit housing, but may
include parking constructed as part of the multiple-unit housing construction,
addition or conversion.
     (b) In the case of a structure to which
stories or other improvements are added or a structure that is converted in
whole or in part from other use to dwelling units, only the increase in value
attributable to the addition or conversion shall be exempt from taxation.
     (2) If the multiple-unit housing is or
becomes subject to a low income housing assistance contract with an agency or
subdivision of this state or the United States, the city or county may extend
the exemption provided by ORS 307.600 to 307.637 through June 30 of the tax
year during which the termination date of the contract falls.
     (3)(a) The exemption provided by ORS
307.600 to 307.637 shall be in addition to any other exemption provided by law.
However, nothing in ORS 307.600 to 307.637 shall be construed to exempt any
property beyond 100 percent of its real market value.
     (b) If property is located within a core
area and within a light rail station area or a transit oriented area, or both,
and application for exemption under more than one program is made, only the
exemption for which application is first made and approved shall be granted. If
property is granted exemption under ORS 307.600 to 307.637 pursuant to an
ordinance or resolution adopted by a city, the property shall not be granted
exemption pursuant to an ordinance or resolution adopted by a county. If
property is granted exemption under ORS 307.600 to 307.637 pursuant to an
ordinance or resolution adopted by a county, the property shall not be granted
exemption pursuant to an ordinance or resolution adopted by a city. Property
shall be granted exemption under ORS 307.600 to 307.637 only once. [Formerly
307.630]
     307.615
City or county to provide application forms; contents of application form;
filing deadline; revision of application. An owner desiring an exemption under ORS 307.600 to 307.637 shall
first apply to the city or county, whichever is appropriate, on forms supplied
by the city or county. The application shall describe the property for which an
exemption is requested, set forth the grounds supporting the requested
exemption and be verified by oath or affirmation of the applicant. Application
shall be made on or before February 1 immediately preceding the first
assessment year for which exemption is requested, and shall be accompanied by
the application fee required by ORS 307.621. The city or county may permit the
applicant to revise an application prior to final action by the city or county.
[Formerly 307.640]
     307.618
City or county findings required for exemption approval. The city or county may approve an
application filed under ORS 307.615 if the city or county finds that:
     (1) In the case of the construction,
addition or conversion of multiple-unit housing:
     (a) The owner has agreed to include in the
construction, addition or conversion as a part of the multiple-unit housing one
or more design elements benefiting the general public as specified by the city
or the county, including but not limited to open spaces, parks and recreational
facilities, common meeting rooms, child care facilities, transit amenities and
transit or pedestrian design elements.
     (b) The proposed construction, addition or
conversion project is or will be, at the time of completion, in conformance
with all local plans and planning regulations, including special or
district-wide plans developed and adopted pursuant to ORS chapters 195, 196,
197, 215 and 227, that are applicable at the time the application is approved.
     (2) In the case of housing that is or
becomes subject to a low income housing assistance contract with an agency or
subdivision of this state or the United States, it is important to the
community to preserve or establish the housing as low income housing and it is
probable that the housing would not be produced, be established or remain as
low income housing without the exemption being granted.
     (3) The owner has complied with all
standards and guidelines adopted by cities or counties pursuant to ORS 307.606
(4). [Formerly 307.650]
     307.620 [1975 c.428 §4; 1989 c.1051 §3; 1995 c.596 §4;
1999 c.808 §4; 2003 c.457 §4; renumbered 307.609 in 2005]
     307.621
Approval or denial of applications; city or county to state in writing reasons
for denial of exemption; application fees. (1) The city or county shall approve or deny an application filed
under ORS 307.618 within 180 days after receipt of the application. An
application not acted upon within 180 days shall be deemed approved.
     (2) Final action upon an application by
the city or county shall be in the form of an ordinance or resolution that
shall contain the ownerÂ’s name and address, a description of the subject
multiple-unit housing, either the legal description of the property or the
assessorÂ’s property account number, and the specific conditions upon which the
approval of the application is based. On or before April 1 following approval,
the city or county shall file with the county assessor and send to the owner at
the last-known address of the owner a copy of the ordinance or resolution
approving or disapproving the application. In addition, the city or county
shall file with the county assessor on or before April 1 a document listing the
same information otherwise required to be in an ordinance or resolution under
this subsection, as to each application deemed approved under subsection (1) of
this section.
     (3) If the application is denied, the city
or county shall state in writing the reasons for denial and send notice of
denial to the applicant at the last-known address of the applicant within 10
days after the denial.
     (4) The city or county, after consultation
with the county assessor, shall establish an application fee in an amount
sufficient to cover the cost to be incurred by the city or county and the
assessor in administering ORS 307.600 to 307.637. The application fee shall be
paid to the city or county at the time the application for exemption is filed.
If the application is approved, the city or county shall pay the application
fee to the county assessor for deposit in the county general fund, after first
deducting that portion of the fee attributable to its own administrative costs
in processing the application. If the application is denied, the city or county
shall retain that portion of the application fee attributable to its own
administrative costs and shall refund the balance to the applicant. [Formerly
307.660]
     307.624
Termination of exemption for failure to complete construction or noncompliance;
notice. (1) Except as
provided in ORS 307.627, if the city or county finds that construction of
multiple-unit housing was not completed on or before the date specified in ORS
307.637, or that any provision of ORS 307.600 to 307.637 is not being complied
with, or any provision required by the city or county pursuant to ORS 307.600
to 307.637 is not being complied with, the city or county shall give notice to
the owner, mailed to the ownerÂ’s last-known address, and to any known lender,
mailed to the lenderÂ’s last-known address, of the proposed termination of the
exemption. The notice shall state the reasons for the proposed termination and
shall require the owner to appear at a specified time, not less than 20 days
after mailing the notice, to show cause, if any, why the exemption should not
be terminated.
     (2) If the owner fails to appear and show
cause why the exemption should not be terminated, the city or county shall
further notify every known lender and shall allow the lender a period of not
less than 30 days, beginning with the date that the notice of failure to appear
and show cause is mailed to the lender, to cure any noncompliance or to provide
assurance that is adequate, as determined by the governing body, to assure the
governing body that the noncompliance will be remedied.
     (3) If the owner fails to appear and show
cause why the exemption should not be terminated, and a lender fails to cure or
give adequate assurance that any noncompliance will be cured, the city or
county shall adopt an ordinance or resolution stating its findings terminating
the exemption. A copy of the ordinance or resolution shall be filed with the
county assessor and a copy sent to the owner at the ownerÂ’s last-known address,
and to any lender at the lenderÂ’s last-known address, within 10 days after its
adoption. [Formerly 307.670]
     307.627
Termination of exemption; effect. (1) If, after application has been approved under ORS 307.600 to
307.637, a declaration defined in ORS 100.005 with respect to the property is
presented to the county assessor or tax collector for approval under ORS 100.110,
or if the county assessor discovers that the multiple-unit housing or a portion
of the multiple-unit housing is changed to a use that is other than residential
or housing, or if the exemption was granted for housing being or becoming
subject to a low income housing assistance contract with an agency or
subdivision of this state or the United States and the housing is not housing
subject to a low income housing assistance contract as of a date the housing is
required to be subject to a low income housing assistance contract in order to
receive the exemption:
     (a) The exemption granted the
multiple-unit housing or portion under ORS 307.600 to 307.637 shall terminate
immediately, without right of notice or appeal;
     (b) The property or portion shall be assessed
and taxed as other property similarly situated is assessed and taxed; and
     (c)(A) Notwithstanding ORS 311.235, there
shall be added to the general property tax roll for the tax year next following
the presentation or discovery, to be collected and distributed in the same
manner as other real property tax, an amount equal to the difference between
the amount of tax that would have been due on the property or portion had it
not been exempt under ORS 307.600 to 307.637 for each of the years, not to exceed
the last 10 years, during which the property was exempt from taxation under ORS
307.600 to 307.637.
     (B) In the case of multiple-unit housing
described in ORS 307.603 (5)(a), this paragraph applies only if the low income
housing assistance contract to which the housing was or was to become subject
was not entered into, breached or terminated prematurely.
     (2) If, at the time of presentation or
discovery, the property is no longer exempt, additional taxes shall be imposed
as provided in this section, but the number of years that would otherwise be
used to compute the additional taxes shall be reduced one year for each year
that has elapsed since the year the property was last granted exemption
beginning with the oldest year for which additional taxes are due.
     (3) The assessment and tax rolls shall
show “potential additional tax liability” for each property granted exemption
under ORS 307.600 to 307.637.
     (4) Additional taxes collected under this
section shall be deemed to have been imposed in the year to which the
additional taxes relate. [Formerly 307.675]
     307.630 [1975 c.428 §5; 1979 c.425 §3; 1989 c.1051 §3a;
1991 c.459 §73; 1995 c.596 §5; 1997 c.541 §136; 1999 c.808 §5; 2003 c.457 §5;
renumbered 307.612 in 2005]
     307.631
Review of denial of application or termination of exemption; correction of
assessment and tax rolls; ownerÂ’s appeal of valuation; effective date of
termination of exemption.
(1) Review of a denial of an application under ORS 307.621, or of the
termination of an exemption under ORS 307.624, shall be as provided by ORS
34.010 to 34.100.
     (2) If no review of the termination of an
exemption as provided in subsection (1) of this section is affected, or upon
final adjudication, the county officials having possession of the assessment
and tax rolls shall correct the rolls in the manner provided for omitted
property under ORS 311.216 to 311.232, to provide for the assessment and
taxation of any property for which exemption was terminated by the city or
county, or by a court, in accordance with the finding of the city, county or
the court as to the tax year in which the exemption is first to be terminated.
The county assessor shall make such valuation of the property as shall be
necessary to permit such correction of the rolls. The owner may appeal any such
valuation in the same manner as provided for appeals under ORS 311.216 to
311.232. Where there has been a failure to comply with ORS 307.624, the
property shall become taxable beginning January 1 of the assessment year
following the assessment year in which the noncompliance first occurred. Any
additional taxes becoming due shall be payable without interest if paid in the
period prior to the 16th of the month next following the month of correction.
If not paid within such period, the additional taxes shall be delinquent on the
date they would normally have become delinquent if timely extended on the roll
or rolls in the year or years for which the correction was made. [Formerly
307.680]
     307.634
Extension of deadline for completion of construction, addition or conversion. Notwithstanding any provision of ORS
307.624, if the city or county finds that construction, addition or conversion
of the multiple-unit housing was not completed by the date specified in ORS
307.637, due to circumstances beyond the control of the owner, and that the
owner had been acting and could reasonably be expected to act in good faith and
with due diligence, the city or county may extend the deadline for completion
of construction, addition or conversion for a period not to exceed 12
consecutive months. [Formerly 307.690]
     307.637
Actions required by January 1, 2012, for exemption to be granted. An exemption for multiple-unit housing may
not be granted under ORS 307.600 to 307.637 unless:
     (1) In the case of multiple-unit housing
described in ORS 307.603 (5)(a), the application for exemption is made to the
city or county on or before January 1, 2012.
     (2) In the case of multiple-unit housing
described in ORS 307.603 (5)(b), the construction, addition or conversion is
completed on or before January 1, 2012. [Formerly 307.691]
     307.640 [1975 c.428 §6; 1991 c.459 §74; 1995 c.596 §6;
1997 c.541 §138; renumbered 307.615 in 2005]
     307.650 [1975 c.428 §7; 1995 c.278 §37; 1995 c.596 §7;
1999 c.808 §6; 2003 c.457 §6; 2005 c.94 §41; renumbered 307.618 in 2005]
(Single-Unit
Housing)
     307.651
Definitions for ORS 307.651 to 307.687. As used in ORS 307.651 to 307.687, unless the context requires
otherwise:
     (1) “Distressed area” means a primarily
residential area of a city designated by a city under ORS 307.657 which, by
reason of deterioration, inadequate or improper facilities, the existence of
unsafe or abandoned structures, including but not limited to a significant
number of vacant or abandoned single or multifamily residential units, or any
combination of these or similar factors, is detrimental to the safety, health
and welfare of the community.
     (2) “Governing body” means the city
legislative body having jurisdiction over the property for which an exemption
may be applied for under ORS 307.651 to 307.687.
     (3) “Qualified dwelling unit” means a
dwelling unit that, upon completion, has a market value (land and improvements)
of no more than 120 percent, or a lesser percentage as adopted by the governing
body by resolution, of the median sales price of dwelling units located within
the city.
     (4) “Single-unit housing” means a newly
constructed structure having one or more dwelling units that:
     (a) Is, or will be, at the time that
construction is completed, in conformance with all local plans and planning
regulations, including special or district-wide plans developed and adopted
pursuant to ORS chapters 195, 196, 197 and 227.
     (b) Is constructed on or after January 1,
1990, and is completed within two years after application for exemption is
approved under ORS 307.674 or before July 1, 2015, whichever is earlier.
     (c) Upon completion, is designed for each
dwelling unit within the structure to be purchased by and lived in by one
person or one family.
     (d) Upon completion, has one or more qualified
dwelling units within the single-unit housing.
     (e) Is not a floating home, as defined in
ORS 830.700, or a manufactured structure, as defined in ORS 446.561, other than
a manufactured home described in ORS 197.307 (5)(a) to (f).
     (5) “Structure” does not include the land,
nor any site development to the land, as both are defined under ORS 307.010. [Formerly
458.005]
     307.654
Legislative findings. (1)
The Legislative Assembly finds it to be in the public interest to stimulate the
construction of new single-unit housing in distressed urban areas in this state
in order to improve in those areas the general life quality, to promote
residential infill development on vacant or underutilized lots, to encourage
homeownership and to reverse declining property values.
     (2) The Legislative Assembly further finds
and declares that the cities of this state be able to establish and design
programs to stimulate the construction of new single-unit housing in distressed
urban areas by means of a limited property tax exemption, as provided under ORS
307.651 to 307.687. [Formerly 458.010]
     307.657
Local government action to designate distressed areas; scope of exemption;
standards and guidelines.
(1)(a) ORS 307.651 to 307.687 apply to single-unit housing located within the
jurisdiction of a governing body that adopts, by resolution or ordinance, ORS
307.651 to 307.687. Except as provided in subsection (2) of this section, the
exemption provided by ORS 307.651 to 307.687 applies only to the tax levy of a
governing body that adopts ORS 307.651 to 307.687.
     (b) Each governing body that adopts, by
resolution or ordinance, ORS 307.651 to 307.687 shall adopt rules specifying
the process for determining the boundaries of a distressed area and for
distressed area boundary changes. The cumulative land area within the
boundaries of distressed areas within a city, determined for purposes of ORS
307.651 to 307.687, may not exceed 20 percent of the total land area of the
city.
     (2) The tax exemption provided under ORS
307.651 to 307.687 applies to the tax levy of all taxing units when upon
request of the city that has adopted ORS 307.651 to 307.687, the rates of
taxation of taxing units whose governing bodies agree by resolution to the
policy of providing tax exemptions for single-unit housing as described in ORS
307.651 to 307.687, when combined with the rate of taxation of the city, equal
51 percent or more of the total combined rate of taxation levied on the
property which is tax exempt under ORS 307.651 to 307.687.
     (3) The city shall designate one or more
distressed areas, located within the territorial boundaries of the city, within
which the city proposes to allow exemptions under ORS 307.651 to 307.687.
     (4) The city shall adopt standards and
guidelines to be utilized in considering applications and making the
determinations required under ORS 307.651 to 307.687, including but not limited
to:
     (a) Standards and guidelines for
designating a distressed area, including but not limited to the probability of
revitalization in the area without the assistance of the property tax exemption
provided under ORS 307.651 to 307.687.
     (b) Design elements for construction of
the single-unit housing proposed to be exempt.
     (c) Extensions of public benefits from the
construction of the single-unit housing beyond the period of exemption. [Formerly
458.015]
     307.660 [1975 c.428 §8; 1995 c.596 §8; renumbered
307.621 in 2005]
     307.661
Median sales price. Prior to
January 1 of each assessment year, the governing body of a city that adopts ORS
307.651 to 307.687 shall adopt by resolution the median sales price to be used
for purposes of determining if dwelling units are qualified under ORS 307.651
to 307.687. In determining the median sales price, the governing body, assisted
by the county assessor, shall use the sales data collected under ORS 309.200 in
the county in which the greater portion of the taxable assessed value of
single-unit housing in the city is located, as of the period ending the prior
November 30. [2005 c.470 §5]
     307.664
Exemption; limitations. Each
qualified dwelling unit of single-unit housing that qualifies for exemption
under ORS 307.651 to 307.687 shall be exempt from ad valorem taxation for no
more than 10 successive tax years beginning July 1 of the first tax year
following approval of the application under ORS 307.674, as determined under
rules adopted by the Department of Revenue. The exemption provided by this
section shall be in addition to any other exemption provided by law for the
property. However, the amount of assessed value exempted under this section may
not exceed the real market value of the structure determined as of the date
that the property is inspected for purposes of making a determination under ORS
307.674. [Formerly 458.020]
     307.667
Application for exemption.
(1) Any owner desiring an exemption under ORS 307.651 to 307.687 shall first
apply to the city on forms supplied by the city.
     (2) The application shall describe the
property for which an exemption is requested, set forth the grounds for the
exemption and be verified by oath or affirmation of the applicant.
     (3) The city may permit the applicant to
revise an application made under this section prior to final action by the
city. [Formerly 458.025]
     307.670 [1975 c.428 §9; 1979 c.425 §4; 1981 c.697 §6;
1983 c.493 §2; 1989 c.1051 §4; 1991 c.459 §75; 1995 c.596 §9; renumbered
307.624 in 2005]
     307.671
Approval criteria. The city
may approve an application made under ORS 307.667 if it finds that:
     (1) The proposed construction will be
located in a distressed area.
     (2) The proposed construction will
constitute single-unit housing.
     (3) The owner has agreed to include the
design elements adopted under ORS 307.657 (4) in the construction.
     (4) The construction will result in public
benefits beyond the period of exemption. [Formerly 458.035]
     307.674
Application, approval and denial procedures; filing with assessor; fee. (1) The city shall approve or deny an
application filed under ORS 307.667 within 180 days after receipt of the
application. An application not acted upon within 180 days shall be deemed
approved.
     (2) Final action upon an application by
the city shall be in the form of an ordinance or resolution that shall contain
the ownerÂ’s name and address, a description of the structure that is the
subject of the application that includes either the legal description of the
property or the assessorÂ’s property account number and the specific conditions
upon which the approval of the application is based.
     (3) On or before April 1 following
approval, the city shall file with the county assessor and send to the owner at
the last-known address of the owner a copy of the ordinance or resolution
approving the application. The copy shall contain or be accompanied by a notice
explaining the grounds for possible termination of the exemption prior to the
end of the exemption period or thereafter, and the effects of termination. In
addition, the city shall file with the county assessor on or before April 1 a
document listing the same information otherwise required to be in an ordinance
or resolution under subsection (2) of this section, as to each application
deemed approved under subsection (1) of this section.
     (4) If the application is denied, the city
shall state in writing the reasons for denial and send notice of denial to the
applicant at the last-known address of the applicant within 10 days after the
denial. The notice shall inform the applicant of the right to appeal under ORS
307.687.
     (5) The city, after consultation with the
county assessor, shall establish an application fee in an amount sufficient to
cover the cost to be incurred by the city and the assessor in administering ORS
307.651 to 307.687. The application fee shall be paid to the city at the time
the application for exemption is filed. If the application is approved, the
city shall pay the application fee to the county assessor for deposit in the
county general fund, after first deducting that portion of the fee attributable
to its own administrative costs in processing the application. If the application
is denied, the city shall retain that portion of the application fee
attributable to its own administrative costs and shall refund the balance to
the applicant. [Formerly 458.040]
     307.675 [1981 c.697 §5; 1987 c.158 §45; 1987 c.459 §33;
1991 c.459 §76; 1999 c.808 §7; 2003 c.457 §7; renumbered 307.627 in 2005]
     307.677
Extension of construction period; effect of destruction of property. Notwithstanding any provision of ORS 307.651
to 307.687:
     (1) If the city finds that construction of
the single-unit housing was not completed by a date that is 12 months after the
date on which applications may no longer be approved under ORS 307.674, and
further finds that the failure to complete construction was due to
circumstances beyond the control of the owner, and that the owner had been
acting and could reasonably be expected to act in good faith and with due
diligence, the city may extend the deadline for completion of construction for
a period not to exceed an additional 12 consecutive months.
     (2) If property granted exemption under
ORS 307.651 to 307.687 is destroyed by fire or act of God, or is otherwise no
longer capable of occupancy due to circumstances beyond the control of the
owner, the exemption shall cease but no additional taxes or penalty shall be imposed
under ORS 307.651 to 307.687 upon the property. [Formerly 458.065]
     307.680 [1975 c.428 §10; 1991 c.459 §77; 1995 c.596 §10;
1997 c.541 §141; renumbered 307.631 in 2005]
     307.681
Exemption termination for failure to meet requirements; procedures. (1) Except as provided in ORS 307.684, if,
after an application has been approved under ORS 307.674, the city finds that
construction of single-unit housing was not completed within two years after
the date the application was approved or on or before January 1, 2015,
whichever is earlier, or that any provision of ORS 307.651 to 307.687 is not
being complied with, or any provision required by the city pursuant to ORS
307.651 to 307.687 is not being complied with, the city shall give notice to
the owner, mailed to the ownerÂ’s last-known address, of the proposed
termination of the exemption. The notice shall state the reasons for the
proposed termination and shall require the owner to appear at a specified time,
not less than 20 days after mailing the notice, to show cause, if any, why the
exemption should not be terminated.
     (2) If the owner fails to show cause why
the exemption should not be terminated, the city shall adopt an ordinance or
resolution stating its findings and terminating the exemption. A copy of the
ordinance or resolution shall be filed with the county assessor and a copy sent
to the owner at the ownerÂ’s last-known address within 10 days after its
adoption. [Formerly 458.045]
     307.684
Immediate termination of exemption; additional tax. (1) If, after application has been approved
under ORS 307.674, the county assessor discovers that the single-unit housing
or a portion of the single-unit housing is changed to a use that is other than
single-unit housing:
     (a) The exemption granted the single-unit
housing or portion under ORS 307.651 to 307.687 shall terminate immediately,
without right of notice or appeal;
     (b) The property or portion shall be
assessed and taxed as other property similarly situated is assessed and taxed;
and
     (c) Notwithstanding ORS 311.235, there
shall be added to the general property tax roll for the tax year next following
the discovery, to be collected and distributed in the same manner as other real
property tax, an amount equal to the difference between the amount of tax due
on the property and the amount of the tax that would have been due on the
property had it not been exempt under ORS 307.651 to 307.687 for each of the
years, not to exceed the last 10 years, during which the property was exempt
from taxation under ORS 307.651 to 307.687.
     (2) If, at the time of discovery, the
property is no longer exempt, additional taxes shall be imposed as provided in
this section, but the number of years that would otherwise be used to compute
the additional taxes shall be reduced by one year for each year that has
elapsed since the year the property was last granted exemption.
     (3) The assessment and tax rolls shall
show potential additional tax liability for each property granted exemption
under ORS 307.651 to 307.687.
     (4) Additional taxes collected under this
section shall be deemed to have been imposed in the year to which the
additional taxes relate. [Formerly 458.050]
     307.687
Review of denial of application; procedures following termination of exemption;
correction of tax roll; additional tax. (1) Review of a denial of an application under ORS 307.674 shall be as
provided by ORS 34.010 to 34.100.
     (2) Upon termination of an exemption, the
county officials having possession of the assessment and tax rolls shall
correct the rolls in the manner provided for omitted property under ORS 311.216
to 311.232 to provide for the assessment and taxation of any property for which
exemption was terminated by the city or by a court, in accordance with the
finding of the city or the court as to the year in which the exemption is first
to be terminated. The county assessor shall make such valuation of the property
as shall be necessary to permit such correction of the rolls. The owner may
appeal any such valuation in the same manner as provided for appeals under ORS
311.216 to 311.232.
     (3) Unless the exemption is terminated
pursuant to ORS 307.684, where there has been a failure to comply with ORS
307.681, the property shall become taxable beginning July 1 of the tax year in
which the noncompliance first occurred. Any additional taxes becoming due shall
be payable without interest if paid in the period prior to the 16th day of the
month next following the month of correction. If not paid within such period,
the additional taxes shall be delinquent on the date they would normally have
become delinquent if timely extended on the roll or rolls in the year or years
for which the correction was made. [Formerly 458.060]
     307.690 [1975 c.428 §11; 1979 c.425 §5; 1983 c.493 §3;
1989 c.1051 §5; 1991 c.459 §78; 1995 c.596 §11; 1997 c.325 §29; renumbered
307.634 in 2005]
     307.691 [1995 c.596 §13; 1997 c.541 §143; 1999 c.808
§8; 2003 c.457 §8; 2005 c.176 §1; renumbered 307.637 in 2005]
     307.700 [1979 c.561 §1; repealed by 1993 c.475 §3]
(Temporary
provisions relating to ethanol production facilities)
     307.701 [1993 c.475 §2; 1997 c.541 §144; repealed by
1993 c.475 §4]
     Note: 307.701 is repealed July 1, 2008. See
section 4, chapter 475, Oregon Laws 1993. 307.701 (2005 Edition) is set forth
for the userÂ’s convenience.
     307.701.
Ethanol production facilities.
(1) As used in this section “ethanol” has the meaning given the term under ORS
646.905.
     (2) Upon compliance with subsection (4) of
this section, the real and personal property of an ethanol production facility
that meets the requirements of subsection (3) of this section is exempt from
taxation. The exemption shall be 50 percent of the assessed value of the
property determined under ORS 308.146. The exemption under this section may be
claimed for five assessment years.
     (3) An ethanol production facility may
qualify for exemption from taxation under this section if the facility:
     (a) Is first in the process of
construction, erection or installation as a new facility after July 1, 1993;
     (b) Is or will be placed in service to
produce ethanol within four years after January 1 of the first assessment year
for which the exemption under this section is claimed; and
     (c) Within four years after January 1 of
the first assessment year for which the exemption under this section is
claimed, is or will be certified by the State Department of Agriculture as a
facility that produces ethanol capable of blending or mixing with gasoline. The
blend or mixture shall meet the specifications or registration requirements
established by the United States Environmental Protection Agency pursuant to
section 211 of the Clean Air Act, 42 U.S.C. 7545 and 40 C.F.R. Part 79.
     (4)(a) In order to claim an exemption from
taxation under this section for any assessment year, the owner of an ethanol
production facility shall file with the county assessor, on or before April 1
of the year for which exemption is claimed, a statement verified by the oath or
affirmation of the owner listing all real and personal property claimed to be
exempt and showing the purpose for which the property will be or is used.
     (b) If the ownership and use of the
property included in the statement filed for a prior year remain the same, a
new statement shall not be required. However, if the ownership or use changes,
or if the facility property is added to or retired, a new statement is required
and the property shall not be exempt under this section if the statement is not
filed. The new statement shall be filed no later than December 31 of the year
to which the statement pertains.
     (5) If the facility property is not placed
in service within the time required under subsection (3) of this section, or if
the certification required under subsection (3) of this section is not obtained
within the required time, then the facility property shall not be exempt for
any year under this section. For any year for which the property has been
granted exemption under this section, the county assessor shall add the
property to the assessment and tax roll as omitted property in the manner provided
under ORS 311.216 to 311.232.
     Note: Section 4 (2), chapter 475, Oregon Laws
1993, provides:
     Sec.
4. (2) Section 2 of this Act
[307.701] is repealed on July 1, 2008. The repeal applies to tax years
beginning on or after July 1, 2008. Notwithstanding that an ethanol production
facility has not received five years of exemption under section 2 of this Act,
no exemption for the facility shall be granted under section 2 of this Act for
a tax year beginning on or after July 1, 2008. [1993 c.475 §4(2)]
     307.705 [1979 c.561 §2; 1991 c.459 §79; repealed by
1993 c.475 §3]
(Rural Health
Care Facilities)
     307.804
Rural health care facilities; claim procedures; duration of exemption. (1) As used in this section and ORS 307.806,
“rural health care facility” means a health care facility that:
     (a) Is located in a rural health service
area with an average travel time of more than 30 minutes from a population
center of 30,000 or more, as determined by the Office of Rural Health; and
     (b) Is used exclusively to provide medical
care.
     (2) Real and personal property of a rural
health care facility is exempt from the ad valorem property taxes of the county
in which the facility is located, and from the ad valorem property taxes of
each other local taxing district in which the facility is located that
authorizes the exemption under ORS 307.806, if all of the following apply:
     (a) The property constitutes new
construction, new additions, new modifications or new installations of property
as of the first assessment date for which the facility is in service. Land and
other property that was in existence at the location of the facility prior to
the date work began on the construction, addition, modification or installation
of property at the facility is not exempt under this section.
     (b) The exemption has been authorized by
the governing body of the county in which the facility is located in the manner
set forth in ORS 307.806.
     (3) To receive the exemption provided
under this section, the rural health care facility must annually file its
intention to take the exemption. The filing must be with the county assessor of
the county that authorized the exemption under ORS 307.806 and must be made by
April 1 preceding the tax year for which the exemption is being claimed.
     (4) A rural health care facility described
in this section shall be exempt from the taxes to which the exemption applies
for the tax year in which the facility is first in service as of the assessment
date and for the next two succeeding tax years. [2001 c.642 §2]
     307.806
Exemption limited to taxes of district adopting ORS 307.804; procedures. (1) In order for a rural health care
facility to be exempt from tax under ORS 307.804, prior to the construction,
addition, modification or installation of the facility the governing body of
the county in which the facility is to be located must, by ordinance or
resolution, authorize the exemption provided under ORS 307.804.
     (2) Within 10 days following adoption of
the ordinance or resolution that authorizes the exemption provided under ORS
307.804, the county governing body must give written notice of the
authorization of the exemption to:
     (a) Each taxing district located in the
county; and
     (b) The county assessor.
     (3) The notice must state that:
     (a) The county has authorized the
exemption provided under ORS 307.804; and
     (b) The exemption will apply to the taxes
of the local taxing district receiving the notice if that district elects to
authorize the exemption under subsection (4) of this section.
     (4)(a) A local taxing district that
receives a notice described in this section may elect to authorize the
exemption within 180 days of the date of the notice.
     (b) The governing body of a taxing
district makes an election by passing an ordinance or resolution stating that
the taxing district is authorizing the exemption.
     (c) A taxing district making an election
shall mail copies of the ordinance or resolution in which the election is made
to the county governing body and to the county assessor within 10 days of the
date the election is made.
     (5) A county that has authorized
exemptions provided under ORS 307.804 may revoke authorization by repealing the
ordinance or resolution described in subsection (1) of this section.
Authorization revocation under this subsection does not affect the continued
exemption of any rural health care facility that has already qualified for the
exemption, but a rural health care facility that has not qualified for an
exemption as of the date of revocation may not qualify for an exemption after
the date of revocation. [2001 c.642 §3]
(Long Term
Care Facilities)
     307.808
Findings and declarations.
The Legislative Assembly finds that owners of long term care facilities who
devote substantial proportions of those facilities to providing long term care
to residents eligible for medical services under Medicaid provide an essential
community service. The Legislative Assembly declares that a property tax
exemption will enable these essential community provider long term care
facilities to increase the quality of care provided to facility residents. The
Legislative Assembly further declares that the quality of care is increased
most efficiently when the full value of the exemption is applied to increasing
direct caregiver wages, physical plant improvements and other expenditures that
directly benefit the facility residents and staff. [1999 c.476 §1]
     307.810 [1959 c.659 §1; repealed by 1979 c.692 §13]
     307.811
Essential community provider long term care facilities. (1) Real and personal property that is used
solely in the operations of a long term care facility that has been certified
for the tax year as an essential community provider long term care facility
under ORS 443.888 shall be exempt from ad valorem property taxation.
     (2)(a) In order for the long term care
facility to be exempt from taxation under this section, the owner of the
facility shall file with the county assessor a copy of a certificate issued by
the Department of Human Services under ORS 443.888, certifying the facility as
an essential community provider long term care facility.
     (b) The certificate must be filed with the
assessor on or before April 1 preceding the tax year for which the exemption is
being claimed.
     (c) Notwithstanding paragraph (b) of this
subsection, a certificate may be filed with the assessor on or before December
31 of the tax year if accompanied by a late filing fee of the greater of $200
or one-tenth of one percent of the real market value of the property to which
the certificate applies.
     (3) As used in this section and ORS
307.808, “long term care facility” means a nursing facility, assisted living
facility, residential care facility or adult foster home as defined in ORS
443.705. [1999 c.476 §2]
     307.815
Exemption limited to taxes of district adopting ORS 307.811. The exemption provided in ORS 307.811
applies only to the taxes of a taxing district the governing body of which has
adopted, by ordinance or resolution, the provisions of ORS 307.811. [1999 c.476
§2a]
(
     307.818
Beach access sites; claim procedures. (1) Upon compliance with subsection (2) of this section, the portion
of real property owned by a private individual or organization that is subject
to an easement for public beach access shall be exempt from taxation if:
     (a) The property is designated as a beach
access site for free and open use by the public and the easement contains or is
accompanied by a description of the property that conforms with the
requirements of ORS 93.600 and allows the county assessor to locate the boundaries
of and otherwise identify the property;
     (b) The easement and legal description are
recorded in the records of the county recording officer and a copy of the
recorded easement and the property description is filed in the office of the
county assessor; and
     (c) The beach access site is free and open
to the public permanently and continually throughout the year and is of
sufficient size to accommodate parking for at least three automobiles.
     (2) On or before April 1 preceding the
first tax year for which exemption under subsection (1) of this section is
desired, the owner shall file a claim for exemption with the county assessor,
except that if the property becomes qualified for the exemption after March 1
but before July 1, the claim shall be filed within 30 days after the property
qualified for the exemption. [1999 c.872 §4]
     307.820 [1959 c.659 §2; 1965 c.395 §1; repealed by
1979 c.692 §13]
     307.821
Disqualification; additional taxes. (1) If, after an exemption under ORS 307.818 is granted, the county
assessor determines that the property or a portion of the property is not
managed, operated or maintained in a manner consistent with ORS 307.818:
     (a) The exemption granted under ORS
307.818 may be terminated;
     (b) For the first tax year following the date
of termination and each succeeding tax year, the property or portion shall be
assessed and taxed as other property similarly situated is assessed and taxed;
and
     (c) Notwithstanding ORS 311.235, there
shall be added to the general property tax roll for the tax year next following
the determination, to be collected and distributed in the same manner as other
real property tax, an amount equal to the amount of tax that would have been
due on the property had it not been exempt under ORS 307.818 for each of the
years during which the property was exempt from taxation under ORS 307.818, not
to exceed 15 tax years.
     (2) The assessment and tax rolls shall
show “potential additional tax liability” for each property granted exemption
under ORS 307.818.
     (3) No additional taxes shall be imposed
under subsection (2) of this section if the property becomes disqualified for
exemption under ORS 307.818 because the property is destroyed by fire, act of
God or other natural disaster.
     (4) Additional taxes collected under this
section shall be deemed to have been imposed in the year to which the
additional taxes relate.
     (5) A property that has lost eligibility
for exemption under ORS 307.818 may requalify for exemption beginning with the
tax year following payment of any additional taxes. [1999 c.872 §5]
(Environmentally
Sensitive Logging Equipment)
     307.824
Findings and declarations.
The Legislative Assembly finds and declares that:
     (1) The public policy of this state is to
facilitate the transition of older logging equipment to newer equipment
designed and manufactured to be as environmentally sensitive as current
technology can provide, consistent with the need to match the equipment to the
specifics of the site being harvested.
     (2) Personal property taxes paid on logging
equipment act as a disincentive to a transition to environmentally sensitive
technology, because older equipment has a lower assessed value and therefore
generates a correspondingly reduced property tax liability. In contrast, newer
equipment, the use of which benefits the environment more than the use of older
equipment, has a higher assessed value and a correspondingly higher property
tax liability.
     (3) A property tax incentive is a means of
facilitating the transition to newer, environmentally sensitive equipment and
accomplishing the declared public policy. [1999 c.957 §2]
     307.827
Environmentally sensitive logging equipment. (1) Environmentally sensitive logging equipment is exempt from ad
valorem property taxation.
     (2) As used in this section:
     (a) “Environmentally sensitive logging
equipment” means logging equipment that was originally manufactured not more
than eight years preceding the assessment date for the tax year for which
exemption under this section is claimed.
     (b) “Logging equipment” means machinery
and equipment:
     (A) Used in logging or forest management
operations involving timber harvest, including the felling, bucking, yarding,
loading or utilization of timber, logs or wood fiber in the forest, or used in
reforestation, forest vegetation restoration, site preparation, vegetation
control, stand and tree improvement or thinning;
     (B) That is specifically designed for
activities related to water quality or fish and wildlife habitat protection in
the forest; or
     (C) Consisting of excavators used in
logging road construction, maintenance, reconstruction or improvements,
including the closing or obliterating of existing forest roads.
     (c) “Logging equipment” does not include:
     (A) Equipment used in nonforest
applications for more than 20 percent of the tax year, as measured by the
operating hours of the equipment.
     (B) Equipment used in the manufacturing or
milling of forest products.
     (C) Power saws, hand tools, blocks or
pulleys that are not a part of the equipment, rigging, shop equipment or
support equipment.
     (D) Logging equipment that is exempt from
tax under ORS 307.831. [1999 c.957 §3]
     Note: Sections 4 and 5, chapter 957, Oregon Laws
1999, provide:
     Sec.
4. ORS 307.827 applies to
tax years beginning on or after July 1, 2000, and before July 1, 2012. [1999
c.957 §4; 2003 c.795 §1]
     Sec.
5. (1) Notwithstanding
section 3 of this 1999 Act [307.827], environmentally sensitive logging
equipment that qualifies for the exemption under section 3 of this 1999 Act for
any tax year beginning on or after July 1, 2000, and before July 1, 2006, shall
qualify for the exemption for at least five tax years if the equipment
continues to meet the definition of logging equipment under section 3 of this
1999 Act during that period.
     (2) This section does not apply to tax
years beginning on or after July 1, 2008. [1999 c.957 §5]
     307.830 [1959 c.659 §3; repealed by 1979 c.692 §13]
     307.831
Skyline and swing yarders.
Logging equipment consisting of a skyline yarder and carriage in the form of a
mobile tower or swing yarder that is capable of full log suspension during
inhaul is exempt from ad valorem property taxation. [1999 c.957 §6]
     Note: Section 7, chapter 957, Oregon Laws 1999,
provides:
     Sec.
7. ORS 307.831 applies to
tax years beginning on or after July 1, 2000, and before July 1, 2012. [1999
c.957 §7; 2003 c.795 §2]
(Cargo
Containers)
     307.835
Cargo containers. All cargo
containers principally used for the transportation of cargo by vessels in trade
and ocean commerce shall be exempt from taxation. The term “cargo container”
means a receptacle:
     (1) Of a permanent character and
accordingly strong enough to be suitable for repeated use;
     (2) Specially designed to facilitate the
carriage of goods, by one or more modes of transport, one of which shall be by
vessels, without intermediate reloading; and
     (3) Fitted with devices permitting its
ready handling, particularly its transfer from one mode of transport to
another. [1979 c.783 §1]
     Note: Section 2, chapter 783, Oregon Laws 1979,
provides:
     Sec.
2. Cargo containers, as
defined in section 1, chapter 783, Oregon Laws 1979 [307.835], are exempt from
taxation for tax years beginning on or after July 1, 1974, but prior to July 1,
2010. [1979 c.783 §2; 1987 c.583 §1; 1995 c.748 §7; 2003 c.218 §1]
     Note: 307.835 was enacted into law by the
Legislative Assembly but was not added to or made a part of ORS chapter 307 or
any series therein by legislative action. See Preface to Oregon Revised
Statutes for further explanation.
     307.840 [1959 c.659 §4; repealed by 1979 c.692 §13]
VERTICAL
HOUSING DEVELOPMENT ZONES
     307.841
Definitions for ORS 307.841 to 307.867. As used in ORS 307.841 to 307.867:
     (1) “Construction” means the development
of land and the construction of improvements to land, and may be further
defined by the Housing and Community Services Department by rule.
     (2) “Equalized floor” means the quotient
determined under ORS 307.857 (3)(b).
     (3) “Light rail station area” has the
meaning given that term in ORS 307.603.
     (4) “Low income residential housing” means
housing that is restricted to occupancy by persons or families whose income is
no greater than 80 percent of area median income, adjusted for family size, as
determined by the department.
     (5) “Rehabilitation” means the substantial
repair of improvements or land developments, and may be further defined by the
department by rule.
     (6) “Transit oriented area” has the
meaning given that term in ORS 307.603.
     (7) “Vertical housing development project”
or “project” means the construction or rehabilitation of a multiple-story
building, or a group of buildings, including at least one multiple-story
building, so that a portion of the project is to be used for nonresidential
uses and a portion of the project is to be used for residential uses.
     (8) “Vertical housing development zone” or
“zone” means an area that has been designated a vertical housing development
zone under ORS 307.847. [Formerly 285C.450]
     307.844
Zone designation; application; special district election to not participate in
zone. (1)(a) A city may
apply to the Housing and Community Services Department for designation of an
area within the city as a vertical housing development zone.
     (b) A county may apply to the Housing and
Community Services Department for designation of an unincorporated area within
the county as a vertical housing development zone.
     (2) With the prior consent of the
governing body of each city in which a proposed zone is to be located, a county
may apply to the department for designation of any area within each city that
has given consent for vertical housing development zone designation.
     (3) A city and a county, or any
combination of cities and counties, may apply to the department for designation
of an area situated within each applying jurisdiction as a vertical housing
development zone.
     (4) A district listed in ORS 198.010 or
198.180 may elect not to participate in a vertical housing development zone. A
district that elects not to participate may continue to impose taxes on
property otherwise exempt from ad valorem property tax under ORS 307.864.
     (5) An application for designation of a
vertical housing development zone must be submitted to the department. The
application shall be in the form and contain the information required by the
department, including:
     (a) A list of local taxing districts,
other than the applicant, that have territory in the proposed vertical housing
development zone.
     (b) A copy of a written notification that
the applicant mailed to the districts listed pursuant to paragraph (a) of this
subsection that:
     (A) Describes the proposed vertical
housing development zone;
     (B) Explains the exemption described in
ORS 307.864 that would apply if the proposed zone is designated;
     (C) Explains the process by which a
district listed in ORS 198.010 or 198.180 may elect not to participate in the
vertical housing development zone; and
     (D) Is in a form that is satisfactory to
the department.
     (c) A statement signed by the applicant
attesting that the notification described in paragraph (b) of this subsection
was sent by regular mail to each district listed pursuant to paragraph (a) of
this subsection.
     (6) The application shall:
     (a) Be filed on behalf of one or more
local government units as described in subsections (1) to (3) of this section
by action of the governing body of each applicant;
     (b) Contain a description of the area
sought to be designated as a vertical housing development zone, including
proposed zone boundaries;
     (c) Contain the reasons that all or a
portion of a proposed zone constitutes a core area of an urban center, a light
rail system area or a transit oriented area; and
     (d) Contain any other information required
by the department.
     (7) The applicant shall submit to the
department, within 30 days following the date the application is filed with the
department, a list of the districts that elected not to participate in the
vertical housing development zone. [Formerly 285C.453]
     307.847
Approval or disapproval of application. (1) The Housing and Community Services Department shall review each
application filed under ORS 307.844 and shall approve or disapprove each
application.
     (2) The department may approve an
application and designate all or a portion of the area that is the subject of
the application as a vertical housing development zone if the department
determines that the area meets the criteria set forth in ORS 307.851.
     (3) The determination of the department to
approve or disapprove an application is a discretionary determination. The
determination is final and is not subject to judicial or administrative review.
[Formerly 285C.456]
     307.850 [1965 c.278 §1; 1993 c.70 §1; 1997 c.499 §1;
renumbered 285A.325 in 1997]
     307.851
Criteria for designation of zone; notice to county assessor. The Housing and Community Services
Department shall:
     (1) Designate a vertical housing
development zone upon application made under ORS 307.844 if the department
determines that the proposed zone meets the criteria established by the
department by rule for a zone.
     (2) Notify the county assessor of the
county in which the vertical housing development zone is located of the
designation of that zone and of the districts that elected not to participate
in the zone. [Formerly 285C.459]
     307.854
Acquisition, disposition and development of real property within zone. Following the designation of a vertical
housing development zone under ORS 307.847, the city or county that sought zone
designation may acquire or dispose of real property within the zone for the
purpose of developing vertical housing development projects within the zone.
The development of projects may be undertaken by the city or county
independently, jointly or in partnership with a private entity or may be
undertaken by a private entity acting independently. The entities undertaking
the development of property under this section may own and operate the
developed property or may sell or otherwise dispose of the property at any time
during or after development. The property may be sold at the propertyÂ’s real
market value or at a lesser value. [Formerly 285C.462]
     307.857
Application for exemption; content; review; certification; fees. (1) Following the designation of a vertical
housing development zone under ORS 307.847, a person proposing to undertake a
proposed vertical housing development project and seeking the partial property
tax exemption set forth in ORS 307.864 shall apply to the Housing and Community
Services Department for certification of the project.
     (2) The application must be satisfactory
to the department in form and content and shall contain any information
required by the department, including all of the following:
     (a) The address and boundaries of the
proposed vertical housing development project;
     (b) A description of the existing state of
the property;
     (c) A description of the proposed project
construction or rehabilitation, including the design of the construction or
rehabilitation, the cost of the construction or rehabilitation and the number
of floors and residential units to be constructed or rehabilitated;
     (d) A description of the nonresidential
uses to which any portion of the proposed project is to be put, including the
proportion of total square footage of the project proposed for nonresidential
uses;
     (e) A description of the proposed portion
of the project to be used for residential uses, including the proportion of
total square footage of the project proposed for residential uses;
     (f) A description of the number and nature
of residential units in the proposed project that are to be low income
residential housing, including the proportion of total square footage of the
project proposed for low income residential housing uses;
     (g) The calculation and allocations
described under subsection (3) of this section; and
     (h) A commitment that is satisfactory to
the department, including documentation and evidence of recording of the
documentation, that the project will be maintained and operated in a manner
consistent with the application submitted under this section for the duration
of the commitment. The duration of the commitment may not be less than the
number of tax years for which the project is intended to be partially exempt
from ad valorem property taxes under ORS 307.864.
     (3)(a) Each application filed under this
section shall contain a calculation of equalized floors, an allocation of
equalized floors to residential uses and an allocation of equalized floors to
low income residential housing uses as determined under this subsection.
     (b) An equalized floor is the quotient
that results from the division of total square footage of a project by the
number of actual floors of the project that are at least 500 square feet per
floor, or as may be increased or otherwise qualified by the department by rule.
     (c) To allocate equalized floors to
residential uses, divide the total square footage of residential property in
the project by the square footage of an equalized floor.
     (d) To allocate equalized floors to low
income residential housing use, divide the total square footage of low income
residential housing property in the project by the square footage of an
equalized floor. In determining the square footage of low income residential
housing property, include that proportion of the square footage of residential
common space that is the same as the proportion of the total square footage of
low income residential housing units to the total square footage of all
residential housing units.
     (4) The application must be filed under
this section on or before the date residential units that are a part of the
vertical housing development project are ready for occupancy.
     (5) The department shall review each
application submitted under this section and shall certify or deny
certification based on whether the proposed vertical housing development
project meets criteria established by the department by rule that are
consistent with ORS 307.841 to 307.867.
     (6) The department may request any
documentation or undertake any investigation necessary to ascertain the
veracity of any statement made on an application under this section.
     (7) The certification issued by the
department shall:
     (a) Identify the property included in the
certified vertical housing development project;
     (b) Identify the number of equalized
floors of residential housing in the project and include a description of the
property of each equalized floor;
     (c) Identify the number of equalized
floors of low income residential housing in the project and include a
description of the property of each equalized floor; and
     (d) Contain any other information
prescribed by the department.
     (8) The determination of the department to
certify or deny certification is a discretionary determination. The
determination is final and is not subject to judicial or administrative review.
     (9) The department may charge appropriate
fees to offset the cost of administering the application and certification
process under this section and any other related costs. [Formerly 285C.465]
     Note: Section 11, chapter 119, Oregon Laws 2005,
provides:
     Sec.
11. (1) Property that was
constructed pursuant to a certification for a partial property tax exemption
under ORS 285C.465 [renumbered 307.857], prior to the effective date of this
2005 Act [November 4, 2005], shall continue to receive the exemption according
to the same schedule and subject to the disqualification provisions of ORS
285C.450 to 285C.480 [renumbered 307.841 to 307.867] that were in effect and
applied at the time the vertical housing development project was certified for
partial property tax exemption.
     (2) If an application for certification was
filed with the Economic and Community Development Department prior to the
effective date of this 2005 Act but not acted upon as of the effective date of
this 2005 Act, the Economic and Community Development Department shall forward
the application to the Housing and Community Services Department. [2005 c.119 §11]
     Note: Section 13, chapter 119, Oregon Laws 2005,
provides:
     Sec.
13. The Housing and
Community Services Department may not issue a certification under ORS 285C.450
to 285C.480 [renumbered 307.841 to 307.867] on or after January 1, 2016. [2005
c.119 §13]
     307.861
Monitoring of certified projects; decertification. (1) Upon determining to certify a vertical
housing development project, the Housing and Community Services Department
shall send a copy of the certification to the county assessor of the county in
which the project is to be located.
     (2) At any time after certification and
prior to the end of the exemption period, the department may:
     (a) Request documentation, undertake
investigations or otherwise review and monitor the project to ensure ongoing
compliance by project applicants and owners; and
     (b) Undertake any remedial action that the
department determines to be necessary or appropriate to fulfill the purposes of
ORS 307.841 to 307.867, including issuing a notice of decertification directing
the county assessor to disqualify all or a portion of a project. The
decertification notice shall identify:
     (A) The property decertified from the
vertical housing development project;
     (B) The number of equalized floors that
have ceased qualifying as residential housing for purposes of ORS 307.841 to
307.867;
     (C) The number of equalized floors that
have ceased qualifying as low income residential housing for purposes of ORS
307.841 to 307.867;
     (D) The remaining number of equalized
floors of residential housing in the project and include a description of the
property of each remaining equalized floor; and
     (E) The remaining number of equalized
floors of low income residential housing in the project and include a
description of the property of each remaining equalized floor of low income
residential housing.
     (3) A notice of decertification issued
under subsection (2) of this section shall include any other information
prescribed by the department.
     (4) The department shall send copies of a
notice of decertification issued under subsection (2) of this section to the
property owner and the county assessor of the county in which the property is
located. [Formerly 285C.468]
     307.864
Partial property tax exemption; disqualification. (1) For the first tax year in which, as of
the assessment date, a vertical housing development project is occupied or
ready for occupancy following certification under ORS 307.857, and for the next
nine consecutive tax years:
     (a) The property of the vertical housing
development project, except for the land of the project, shall be partially
exempt from ad valorem property taxes imposed by local taxing districts, other
than the districts that elected not to participate in the vertical housing
development zone as described in ORS 307.844 (4), according to the following
schedule and as identified in the certification issued by the department under
ORS 307.857 (7):
     (A) If the project consists of the
equivalent of one equalized floor allocated to residential housing, the project
shall be 20 percent exempt.
     (B) If the project consists of the
equivalent of two equalized floors allocated to residential housing, the
project shall be 40 percent exempt.
     (C) If the project consists of the
equivalent of three equalized floors allocated to residential housing, the
project shall be 60 percent exempt.
     (D) If the project consists of the
equivalent of four or more equalized floors allocated to residential housing,
the project shall be 80 percent exempt.
     (b) The land of the vertical housing
development project shall be partially exempt from ad valorem property taxes
imposed by local taxing districts, other than the districts that elected not to
participate in the vertical housing development zone as described in ORS
307.844 (4), in the same percentages determined under paragraph (a) of this
subsection, for each equalized floor allocated to low income residential
housing, as identified in the certification issued by the department under ORS
307.857 (7).
     (2) In order to receive the partial
property tax exemption described in subsection (1) of this section, the
vertical housing development project property owner, project applicant or other
person responsible for the payment of property taxes on the project shall
notify the county assessor of the county in which the project exists, that the
project meets the requirements of subsection (1) of this section. The
notification must be given to the assessor in writing on or before April 1
preceding the first tax year for which the partial property tax exemption is
sought.
     (3) During the period in which property
would otherwise be partially exempt under subsection (1)(a) of this section, if
all or a portion of a project has been decertified by the Housing and Community
Services Department under ORS 307.861, the property shall be disqualified from
exemption under this section in proportion to the equivalent of each equalized
floor that has ceased qualifying as residential housing, as set forth in the
notice of decertification.
     (4) During the period in which land would
otherwise be partially exempt under subsection (1)(b) of this section, if all
or a portion of a project has been decertified by the Housing and Community
Services Department under ORS 307.861, the land shall be disqualified from
exemption under this section in proportion to the equivalent number of
equalized floors that have ceased qualifying as low income residential housing,
as set forth in the notice of decertification. [Formerly 285C.471]
     307.867
Termination of zone; effect of termination. (1) Following vertical housing development zone designation under ORS
307.847, if the Housing and Community Services Department receives a request to
terminate a vertical housing development zone from the applicant for zone
designation under ORS 307.844, the department shall terminate the zone.
     (2) The termination of a zone under this
section does not affect the exemption of any property from tax under ORS
307.864 if an application for the exemption was approved prior to the zone
termination. [Formerly 285C.480]
PENALTIES
     307.990
Penalties. If any person
shall willfully deliver any statement to the officer charged with assessment of
property for tax purposes in the county of the person containing a false statement
of a material fact, whether it be an owner, shipper, the agent of the person,
or a storageman or warehouseman of the agent of the person, the person shall be
guilty of a misdemeanor, and upon conviction shall be punished by a fine of not
more than $500 or by imprisonment in the county jail for not more than six
months. [1959 c.659 §5]
_______________
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