Oregon Chapter 261

TITLE 24

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TITLE 24

 

PUBLIC ORGANIZATIONS FOR COMMUNITY SERVICE

Chapter     261.     People’s Utility Districts

                  262.     Joint Operating Agencies for Electric Power

                  263.     Convention Facilities

                  264.     Domestic Water Supply Districts

                  265.     Cemetery Maintenance Districts

                  266.     Park and Recreation Districts

                  267.     Mass Transit Districts; Transportation Districts

                  268.     Metropolitan Service Districts

 

_______________

 

Chapter 261 — People’s Utility Districts

 

2007 EDITION

 

PEOPLE’S UTILITY DISTRICTS

 

PUBLIC ORGANIZATIONS FOR COMMUNITY SERVICE

 

GENERAL PROVISIONS

 

261.005     Short title

 

261.007     Policy

 

261.010     Definitions

 

261.025     Statutory provisions cumulative

 

261.030     Limit of authority to control existing utilities of electric cooperatives or cities

 

261.035     Effect of chapter on charter provisions of cities and acquisition of plants

 

261.045     Procedure in absence of specific provision

 

261.050     Taxation of district property

 

261.055     Special elections called by board

 

261.060     Election procedure

 

261.065     Application of initiative, referendum and recall laws

 

FORMATION; BOUNDARY CHANGES

 

261.105     Powers of district; formation; annexation; consolidation

 

261.110     Areas includable in district; description of district in petition for election

 

261.113     Petition or resolution for formation to propose special levy for certain purposes

 

261.115     Contents of electors’ petition; certification

 

261.118     Withdrawal from petition

 

261.121     Basis of computing percentage of petition signatures

 

261.131     Period for county clerk to certify petition

 

261.141     Formation, annexation or consolidation by resolution; contents of resolution

 

261.147     Resolution to remove territory not served by district; hearing; notice; election on question of removal; effect of removal

 

261.151     Hearing by Director of State Department of Energy on district formation; notice; report by director

 

261.161     Hearing by county governing body; notice; determination of boundaries

 

261.171     County governing body to call election; notice; dates

 

261.180     Effect of annexation or consolidation on title to property and indebtedness

 

261.190     Election of first board of directors; qualifications; tenure

 

261.200     Proclamation of district formation or boundary change; special levy; property owner petition

 

261.210     Payment of election expenses; security deposit

 

261.215     When district formed; designation; district as corporation

 

261.220     Mandamus to compel performance of its duties by county governing body

 

261.225     State agencies and private utilities to provide new district certain information

 

POWER FACILITIES

 

261.235     Definitions for ORS 261.235 to 261.255

 

261.240     Policy; construction

 

261.241     Membership in electric cooperative or limited liability corporation

 

261.245     Authority of district to acquire interest in power facilities

 

261.250     District liability; application of moneys; use of power of eminent domain

 

261.253     Restriction on public contract imposing unconditional or unlimited financial obligation on electric utility

 

261.255     Use of district money or property; revenue bonds

 

POWERS

 

261.305     General powers of district

 

261.310     Irrigation, drainage, other districts given power of utility district in certain cases

 

261.315     Acquisition of distribution facilities outside district

 

261.325     Acquisition of water rights

 

261.327     Acquisition of distribution facilities of private utility; compensation for energy efficiency measures

 

261.330     District water right appropriation exclusive if not excessive

 

261.335     Districts subject to public contracting and purchasing requirements

 

261.345     Employment of labor; pay and conditions; agreements; rights of previous employees of private utility

 

261.348     Transactions for production, supply or delivery of electricity; financial products contracts

 

261.350     Agreements for use of excess district facilities

 

261.355     Procedure for issuance and sale of revenue bonds

 

261.360     Authority to issue general obligation bonds

 

261.365     Bond requirements

 

261.371     Authority to issue and sell revenue bonds

 

261.375     Election to authorize district bond issue

 

261.380     Refunding district indebtedness

 

261.385     Levy and collection of taxes for certain purposes

 

261.390     Property taxable; time and manner of tax levy and collection

 

BOARD OF DIRECTORS

 

261.405     Board of directors; election; qualifications

 

261.410     Nomination and election of directors of established districts

 

261.415     Vacancy in office of director

 

261.420     Terms of office of directors

 

261.425     Officers of board

 

261.430     Board meetings

 

261.445     Appointment and removal of district manager; qualifications; salary; acting manager; powers and duties

 

261.460     Legislative function of board

 

261.465     Board supervision and regulation of district utilities; fixing rates

 

261.470     Accounting system adopted by board; annual reports; annual audit

 

COURT PROCEEDING TO TEST CERTAIN DISTRICT PROCEEDINGS

 

261.605     Testing validity of certain commission and board proceedings

 

261.610     Nature of proceeding; notice; appearance to contest; court determinations

 

261.615     Appeal to Court of Appeals

 

261.620     Guidance for court determination

 

261.625     Costs of proceeding

 

261.630     Institution of proceeding by elector; directors as parties; notice

 

261.635     Procedure exclusive

 

DISSOLUTION

 

261.705     Authority to dissolve district; vote authorizing dissolution

 

261.710     Call of election; effect of favorable vote

 

261.715     Directors as trustees

 

261.720     Inventory and sale of district property

 

261.725     Disposal of sale proceeds

 

261.730     Disposal of district books and records; termination of corporate existence

 

CONSTRUCTION

 

261.900     Construction

 

GENERAL PROVISIONS

 

      261.005 Short title. This chapter shall be known as the People’s Utility District Law.

 

      261.007 Policy. The purpose of this chapter is to implement the intent and purpose of section 12, Article XI, of the Oregon Constitution including authorization for the establishment of people’s utility districts to develop the water and energy resources of this state for the benefit of the people of this state and to supply public utility service, including water, water power and electric energy for all uses and users. [1979 c.588 §2]

 

      261.010 Definitions. As used in this chapter, unless otherwise required by the context:

      (1) “Affected territory” means that territory proposed to be formed into, annexed to or consolidated with a district.

      (2) “Board of directors,” “directors” or “board” means the governing body of a people’s utility district, elected and functioning under the provisions of this chapter.

      (3) “County governing body” means either the county court or board of county commissioners and, if the affected territory is composed of portions of two or more counties, the governing body of that county having the greatest portion of the assessed value of all taxable property within the affected territory, as shown by the most recent assessment roll of the counties.

      (4) “Electors’ petition” means a petition addressed to the county governing body and filed with the county clerk, containing the signatures of electors registered in the affected territory, equal to not less than three percent of the total number of votes cast for all candidates for Governor within the affected territory at the most recent election at which a candidate for Governor was elected to a full term, setting forth and particularly describing the boundaries of the parcel of territory, separate parcels of territory, city and district, or any of them, referred to therein, and requesting the county governing body to call an election to be held within the boundaries of the parcel of territory, separate parcels of territory, city and district, or any of them, for the formation of a district, the annexation of a parcel of territory or a city to a district, or the consolidation of two or more districts.

      (5) “Electric cooperative” means a cooperative corporation owning and operating an electric distribution system.

      (6) “Initial utility system” means a complete operating utility system, including energy efficiency measures and installations within the district or proposed district, capable of supplying the consumers required to be served by the district at the time of acquisition or construction with all of their existing water or electrical energy needs.

      (7) “Parcel of territory” means a portion of unincorporated territory, or an area in a city comprised of less than the entire city.

      (8) “People’s utility district” or “district” means an incorporated people’s utility district, created under the provisions of this chapter.

      (9) “Replacement value of unreimbursed investment” means original cost new less depreciation of capitalized energy efficiency measures and installations in the premises of customers of an investor owned utility.

      (10) “Separate parcel of territory” means unincorporated territory that is not contiguous to other territory that is a part of a district or that is described in a petition filed with the county clerk in pursuance of the provisions of this chapter, but when a proposed district includes territory in more than one county, the contiguous territory in each such county shall be considered as a separate parcel of territory. When a proposed district includes any area in a city comprised of less than the entire city, that area shall be considered as a separate parcel of territory.

      (11) “Utility” means a plant, works or other property used for development, generation, storage, distribution or transmission of electricity, or development or transmission of water for domestic or municipal purposes, but transmission of water shall not include water for irrigation or reclamation purposes, except as secondary to and when used in conjunction with a hydroelectric plant. [Amended by 1961 c.224 §10; 1979 c.558 §4; 1981 c.804 §76; 1983 c.83 §32; 1989 c.174 §3; 1991 c.358 §1; 2003 c.802 §65; 2005 c.22 §189; 2007 c.301 §30; 2007 c.895 §1]

 

      261.015 [Renumbered 261.121]

 

      261.020 [Repealed by 1973 c.796 §79]

 

      261.025 Statutory provisions cumulative. The provisions of this chapter are additional and cumulative to the provisions of any other law now or hereafter existing for the holding of elections in districts.

 

      261.030 Limit of authority to control existing utilities of electric cooperatives or cities. Nothing contained in this chapter authorizes or empowers the board of directors of any people’s utility district to interfere with or exercise any control over any existing utility owned and operated by any electric cooperative or city in the district unless by consent of the governing body of the electric cooperative or of the city council or the governing body of the plant owned by a city, when the control of the plant is vested in a governing body other than the city council or governing body of the city. However a district may participate fully, on a mutually agreed basis, with electric cooperatives and utilities owned by cities in common facilities under ORS 261.235 to 261.255 and in the formation and operation of joint operating agencies under ORS chapter 262. [Amended by 1979 c.558 §5; 2003 c.802 §66; 2007 c.301 §31; 2007 c.895 §2]

 

      261.035 Effect of chapter on charter provisions of cities and acquisition of plants. Nothing in this chapter modifies in any manner any charter provisions of any city, or prohibits any city from acquiring and operating its own plant. [Amended by 2003 c.802 §67]

 

      261.040 [Amended by 1979 c.558 §6; renumbered 261.118]

 

      261.045 Procedure in absence of specific provision. Where the procedure for formation of a district, annexation of territory to a district, consolidation of two or more districts, issuance of bonds and levying and collection of taxes, holding of elections or any other matter in connection with organization or operation of utility districts is not specifically provided for, any suitable method and proceeding, or either, may be adopted which may appear most conformable to the spirit of this chapter and the provisions of section 12, Article XI, Oregon Constitution.

 

      261.050 Taxation of district property. (1) All property, real and personal, owned, used, operated or controlled by any people’s utility district, in or for the production, transmission, distribution or furnishing of electricity or electric service for or to the public, shall be assessed and taxed in the same manner and for the same purposes, and the district and the directors and officers thereof shall be subject to the same requirements, as are provided by law in respect to assessment and taxation of similar property owned, used, operated or controlled by private corporations or individuals for the purpose of furnishing electricity or electric service to the public.

      (2) If a people’s utility district owns property jointly with a tax-exempt governmental or municipal entity, only the portion of the property used, operated or controlled by the people’s utility district shall be assessed and taxed pursuant to subsection (1) of this section. [Amended by 2007 c.301 §32; 2007 c.895 §3a]

 

      261.055 Special elections called by board. When any people’s utility district desires to hold an election for the purpose of submitting to the electors of the district any question that may lawfully be submitted to them, the board may, at any regular or special meeting called in accordance with its rules or the statutes governing the same, adopt a resolution calling a special election to be held on a date specified in ORS 255.345, and may in the same resolution designate and describe in general terms the question which is to be submitted at the special election. [Formerly 261.505]

 

      261.060 Election procedure. Except as otherwise specifically provided in this chapter, every district election shall be conducted in accordance with ORS 255.005 to 255.035, 255.055, 255.075, 255.085, 255.215 to 255.288 and 255.295 to 255.345. [1975 c.598 §3 and 1975 c.647 §16; 1989 c.503 §29; 1995 c.607 §70; 2007 c.154 §61]

 

      261.065 Application of initiative, referendum and recall laws. The laws of this state regarding initiative, referendum and recall shall apply to people’s utility districts. [1979 c.558 §3]

 

FORMATION; BOUNDARY CHANGES

 

      261.105 Powers of district; formation; annexation; consolidation. (1) People’s utility districts may be created as provided in this chapter. A people’s utility district may exercise all powers conferred by this chapter.

      (2) When a majority of all votes cast, at an election within the boundaries of any proposed district to determine whether or not the district is to be formed, favors formation, the district shall be created.

      (3) In any election to annex a city or separate parcel of territory to an existing district, or to consolidate two or more existing districts, an affirmative vote of a majority of the votes cast from each city or separate parcel of territory or district voting to annex or consolidate, shall be required to authorize the annexation or consolidation.

      (4) Annexation to an existing district shall be subject to the provisions of ORS 198.720 (2). [Amended by 1979 c.558 §7; 2003 c.802 §68]

 

      261.110 Areas includable in district; description of district in petition for election. (1) People’s utility districts may consist of territory, contiguous or otherwise, within one or more counties, and may consist of one or more cities, or a portion of a city, with or without unincorporated territory.

      (2) Petitions asking that an election be held to determine whether or not a district shall be created shall set forth and particularly describe the boundaries of the proposed people’s utility district, and shall state that in the event the people within any one or more cities or separate parcels of territory within the proposed district vote against its formation, then that portion of the district which voted in favor of organization of a people’s utility district may be organized into the district.

      (3) The name of a city is a sufficient description of its boundaries.

      (4) When any city or separate parcel of territory voting at a formation election casts a majority vote against formation of the district, the city or separate parcel of territory shall not be included in any district formed as a result of the election.

      (5) A city that owns or operates a publicly owned utility for development or distribution of electric energy or the territory served by the city within or without the boundaries of the city at the time of a proposed formation of a people’s utility district may not be included in any election for the formation of the district unless the inclusion is agreed to at an election by the electors of the city.

      (6) No entire township, except when needed for location of plant or impounding purposes, or both, shall be included in formation of any district, unless the township contains not less than 10 electors. No portion of any township in excess of six sections shall be included, unless the portion contains a proportionate number of electors.

      (7) No territory that is part of another people’s utility district shall be included in the formation of any district, except under the conditions provided in ORS 198.720 (2), nor shall the proposed district include any territory which at the time of the proposed district’s formation is being served by an electric cooperative. [Amended by 1979 c.558 §8; 1981 c.758 §1; 2003 c.802 §69]

 

      261.113 Petition or resolution for formation to propose special levy for certain purposes. Electors’ petitions and resolutions for formation of a district shall include a proposal for the authorization of the district to impose a special levy of a certain amount to finance an engineer’s report on revenue bonds for the acquisition or construction of the initial utility system, including the replacement value of the unreimbursed investment of an investor owned utility in energy efficiency measures and installations within the proposed district, the election under ORS 261.355 (10) and costs associated with them. [1979 c.558 §12; 1991 c.358 §2; 1991 c.572 §4]

 

      261.115 Contents of electors’ petition; certification. (1) All electors’ petitions shall contain a statement as to whether or not the petitioners are desirous of forming a utility district, or to annex territory to an existing utility district, or to consolidate two or more existing utility districts, the description of the territory sought to be included therein and the name by which the utility district is to be known. The statement shall be printed on a separate page or pages.

      (2) There shall be a signature sheet with sufficient space for 20 signatures, and opposite the name of each signer, a space for the residence address of the signers of the petition and the number of their voting precinct. The circulator shall certify on each signature sheet that the circulator:

      (a) Witnessed the signing of the signature sheet by each individual whose signature appears on the signature sheet; and

      (b) Believes that each individual stated the correct residence address of the individual and that the individual is an elector.

      (3) An electors’ petition shall designate three or more persons as chief petitioners and shall set forth their names and mailing addresses. [Amended by 1979 c.558 §9; 1983 c.567 §20; 1999 c.318 §31; 2007 c.848 §26]

 

      261.118 Withdrawal from petition. After a petition has been filed with the county clerk, no person may withdraw that person’s name from it. [Formerly 261.040]

 

      261.120 [Amended by 1975 c.647 §17; repealed by 1979 c.558 §30]

 

      261.121 Basis of computing percentage of petition signatures. When the boundaries described in any petition include a part of a precinct, the vote of the entire precinct shall be used as a basis in computing the percentage of signatures required on electors’ petitions. [Formerly 261.015]

 

      261.125 [Repealed by 1979 c.558 §30]

 

      261.130 [Repealed by 1979 c.558 §30]

 

      261.131 Period for county clerk to certify petition. Within 10 days after receipt of an electors’ petition the county clerk shall certify the sufficiency of signatures to the county governing body. [1979 c.558 §10]

 

      261.135 [Repealed by 1979 c.558 §30]

 

      261.140 [Repealed by 1979 c.558 §30]

 

      261.141 Formation, annexation or consolidation by resolution; contents of resolution. (1) In addition to the initiation of a people’s utility district formation, annexation or consolidation by electors’ petition:

      (a) Formation of a district may be initiated by resolution of the governing body of each county in which territory of the proposed district is situated or, if a city proposes to create a district, by resolution of the city governing body;

      (b) Annexation to an existing district may be initiated by resolution of the board of directors of that district; and

      (c) Consolidation of two or more districts may be initiated by resolution of the board of each of the districts proposed to be consolidated.

      (2) Resolutions authorized under this section shall describe the boundaries of the affected territory and, if for formation or consolidation of a district or districts, the name by which the proposed district is to be known. [1979 c.558 §11; 2003 c.802 §70]

 

      261.145 [Repealed by 1979 c.558 §30]

 

      261.147 Resolution to remove territory not served by district; hearing; notice; election on question of removal; effect of removal. (1) When any parcels of territory within an existing district are not being served by the district, the board of directors of the district may fix a place and time for a public hearing to consider the removal of such parcels from the district.

      (2) Notice stating the time and place of the hearing shall be published in accordance with ORS 261.161 (1). The hearing may be adjourned from time to time, but shall not exceed four weeks in length. Public testimony shall be taken at the hearing.

      (3) Upon conclusion of the public hearing the board may by resolution remove such parcels, or any of them, from the district. The resolution shall become effective 30 days after passage, unless written requests for an election are filed as provided by subsection (4) of this section.

      (4) If written requests for an election are filed with the board within 30 days after passage of the resolution by not less than 15 percent of the electors or 100 electors registered in the parcels to be removed, whichever is the lesser number, an election on the question of removal of the parcels described in the resolution shall be held on the next scheduled general or special election date.

      (5) The electors eligible to vote in the election described in subsection (4) of this section shall be those electors who reside on the parcels described in the resolution.

      (6) From the date of removal, liability of the territory removed from the district for assessments and taxes levied after the date of removal by the district and for bonded and other indebtedness shall be in accordance with ORS 198.880 and 198.882. [1987 c.824 §3]

 

      261.150 [Repealed by 1979 c.558 §30]

 

      261.151 Hearing by Director of State Department of Energy on district formation; notice; report by director. Upon certification of a petition for formation or adoption of a resolution by the county governing body for district formation, the county clerk shall submit a copy of the resolution or petition, without signatures attached, to the Director of the State Department of Energy. Not less than 30 days after receipt of the petition or resolution copy, the director shall hold a hearing within the proposed district for the purpose of receiving public testimony on the proposed district formation. Notice of the hearing, stating the time and place of the hearing, together with the electors’ petition, when applicable, without the signatures attached, shall be published at least two times prior to the date of the meeting. The first publication shall not be more than 25 days nor less than 15 days preceding the hearing and the last publication shall not be more than 14 days nor less than eight days preceding the hearing. Within 60 days after receipt of the petition or resolution copy, the director, with the advice and assistance of the Public Utility Commission of Oregon, shall prepare and publish a concise report showing the availability and cost of power resources, potential tax consequences and any other information considered by the director to be relevant to the proposed formation of the district. A copy of the report shall be mailed, upon publication, by the director to the county governing body. [1979 c.558 §12a; 2003 c.186 §10]

 

      261.155 [Repealed by 1979 c.558 §30]

 

      261.160 [Repealed by 1979 c.558 §30]

 

      261.161 Hearing by county governing body; notice; determination of boundaries. (1) After certification of a petition, or passage of the resolution when the formation, annexation or consolidation proposal is by resolution of the county governing body, the county governing body shall, within 10 days, fix a date for a hearing on the boundaries described in the electors’ petition or resolution of the county governing body for inclusion in the proposed or established district. The hearing shall be held by the county governing body not less than 60 days nor more than 90 days after certification of the petition or passage of the resolution. Notice of the hearing, stating the time and place of the meeting, together with the electors’ petition, when applicable, without the signatures attached, shall be published at least two times prior to the date of the meeting. The first publication shall not be more than 25 days nor less than 15 days preceding the hearing and the last publication shall not be more than 14 days nor less than eight days preceding the hearing. Notice of the hearing, and all other publications required by this chapter, shall be published in at least one newspaper of general circulation in the proposed or established district. The hearing may be adjourned from time to time, but shall not exceed four weeks in total length. Public testimony shall be taken at the hearing.

      (2) Based upon the record of the hearing prescribed in subsection (1) of this section on the proposed boundaries and, if district formation is proposed, the report of the Director of the State Department of Energy under ORS 261.151, the county governing body within 10 days of the last date of hearing shall determine the boundaries of the proposed or established district.

      (3) No lands shall be included in the boundaries fixed by the governing body lying outside the boundaries described in the electors’ petition unless the owners of that land request inclusion in writing before the hearing under subsection (1) of this section is completed.

      (4) An electors’ petition shall not be denied by a county governing body because of any deficiency in the description of the boundaries of the proposed district, but the county governing body shall correct those deficiencies. [1979 c.558 §13]

 

      261.165 [Repealed by 1979 c.558 §30]

 

      261.170 [Repealed by 1979 c.558 §30]

 

      261.171 County governing body to call election; notice; dates. (1) Upon its own resolution, the county governing body may, and upon receipt of an electors’ petition or resolution of the governing body of a people’s utility district or city that the county governing body finds to be in compliance with this chapter shall, at the earliest practical date submit the question of district formation, annexation or consolidation and, if for formation, the question of a special levy, to the electors within the affected territory at a special election. The special election may be held on the same date as a primary election or general election.

      (2) The notice of the election shall state the purpose of the election, describe in general terms the boundaries of the affected territory and in all other respects comply with the general laws of this state governing the time and manner of holding elections.

      (3) The county governing body shall call no more than one election for formation of a district comprising substantially the same area within the same calendar year. [1979 c.558 §14; 1995 c.712 §96; 2003 c.14 §122; 2003 c.802 §71]

 

      261.175 [Repealed by 1979 c.558 §30]

 

      261.180 Effect of annexation or consolidation on title to property and indebtedness. (1) If a parcel of territory or a city is annexed to an existing people’s utility district, or two or more districts are consolidated, such annexation or consolidation shall not affect or impair the title to any property owned or held by the district or districts, or any property owned or held by the annexed city, or in trust therefor, or any debts, demands, liabilities or obligations existing in favor of or against either the district or city so annexed.

      (2) The acceptance of any indebtedness at the election to determine the question of annexation shall not include any indebtedness except such as has been incurred or assumed on account of development or purchase of a utility, including the replacement value of the unreimbursed investment of an investor owned utility in energy efficiency measures and installations within the annexed area. [Amended by 1991 c.358 §3; 2003 c.802 §72]

 

      261.185 [Amended by 1973 c.796 §10; repealed by 1975 c.647 §53]

 

      261.190 Election of first board of directors; qualifications; tenure. (1) At all elections where the creation of a district is authorized, five directors shall be elected to manage and transact the business of the district.

      (2) Candidates for the office of director must be electors of this state, must have resided in the proposed district continuously for not less than two years next preceding the date of the election, and must continue to reside in the district during their term of office.

      (3) All electors of the proposed district shall have the right to vote for five candidates at the election.

      (4) The five candidates receiving the highest number of votes in the area approved by the electors and declared by the county governing body to be a district shall be elected to serve until the first Monday in January after the first regular general election which occurs not less than one year following the election to create the district, and until their successors are elected and qualified. [Amended by 1973 c.796 §11; 1975 c.598 §4; 1979 c.558 §16; 2003 c.14 §123]

 

      261.195 [Amended by 1973 c.796 §12; repealed by 1975 c.647 §53]

 

      261.200 Proclamation of district formation or boundary change; special levy; property owner petition. (1) If a majority of votes cast at the election favors formation of the people’s utility district and authorization of the district to impose a special levy for the purposes stated in the petition for formation, or annexation of a parcel of territory or a city to an existing district, or consolidation of two or more districts, as the case may be, and in conformity with provisions of ORS 261.105 and 261.110, the county governing body shall issue a proclamation accordingly and file a certified copy with the county clerk of each county where the district or any portion thereof is located. The proclamation for formation of a district shall be in substantially the following form:

______________________________________________________________________________

 

      Whereas at an election duly and regularly held on the ___ day of ______, 2___, within ______ County (or ______ Counties), State of Oregon, and within the boundaries of a proposed district as herein described, there was submitted to the electors thereof the question whether or not a people’s utility district should be incorporated as the (here insert name of district) and to give authority to impose a special levy of $_____ under and pursuant to the provisions of ORS chapter 261; and

      Whereas at the election so held ___ votes were cast in favor of incorporation, and ___ votes were cast against incorporation; and

      Whereas the incorporation of the (here insert name of district) received the affirmative vote of the majority of the votes cast at the election;

      Now, therefore, the undersigned hereby does proclaim and declare that all of that part of the State of Oregon, described as (here insert description) has been duly and legally incorporated as the ______ People’s Utility District under and pursuant to the Constitution and laws of the State of Oregon, and the district has the authority to collect the sum of $_____ by special levy against the taxable property within the district.

      Chairperson of the County Governing Body.

By ____________

______________________________________________________________________________

 

      (2) The proclamation for annexing a parcel of territory or a city to an existing district or the consolidation of two or more existing districts, or both, shall be adaptations of the above proclamation.

      (3) The proclamation of formation, with the notice of boundary change under ORS 308.225, shall be filed by the district with the county assessor of each county in which any portion of the district is situated, who shall thereupon enter the special levy.

      (4) Expenditure of the moneys received from the special levy for the purposes stated in the petition for district formation may be made by the district without prior adoption of a budget under ORS 294.305 to 294.520.

      (5) Following proclamation of formation of a district, any person whose property has been improperly included within a district, contrary to the provisions of ORS 261.110 (5) or (7), may petition a county governing body to revise the district boundaries to exclude the property. After notice to the district, and a hearing on the petition, the county governing body shall revise the district boundaries to exclude such property as it finds should not have been included within the district under the standards set forth in ORS 261.110 (5) or (7). Upon such findings and boundary revisions a district shall be permitted to refund related taxes paid that are based upon assessments made after January 1, 1978. Boundary revisions shall comply with ORS 308.225. The remedy provided in this subsection shall be available only to persons owning property in districts which were formed after January 1, 1978. [Amended by 1973 c.796 §13; 1979 c.558 §17; 1981 c.758 §2; 2003 c.14 §124; 2003 c.802 §73]

 

      261.205 [Repealed by 1975 c.647 §53]

 

      261.210 Payment of election expenses; security deposit. (1) Except as provided in subsection (2) of this section, all expenses in any county of any election held under this chapter for formation of a district and election of a board of directors shall be paid from the general fund of the county in the same manner that other claims against the county are paid.

      (2) When formation of a district is initiated by electors’ petition, the county court may require a bond, a cash deposit or other security deposit from the chief petitioners as provided in ORS 198.775.

      (3) When preparing the county budget for the fiscal year following an election described in subsection (1) of this section, the county court shall include an item in the budget to reimburse the general fund for the disbursement for the election, unless the costs of the election are paid from a bond, a cash deposit or other security deposit under subsection (2) of this section. This item shall be assessed to and paid by the assessable property of the territory in which the election is held in the same manner that other taxes are assessed and paid. [Amended by 1983 c.567 §21]

 

      261.215 When district formed; designation; district as corporation. From the date of the proclamation relative to formation of a people’s utility district the territory shall be a separate district to be known as the district named and specified in the proclamation. The inhabitants thereof shall be a corporation by the name and style of the utility district specified in the proclamation, and as such shall have perpetual succession, and by such name shall exercise and carry out the corporate powers and objects conferred and declared by this chapter. [Amended by 2003 c.802 §74]

 

      261.220 Mandamus to compel performance of its duties by county governing body. If the county governing body refuses to call an election, or hold a hearing, as provided in this chapter, or refuses to declare the results of any election or issue the required proclamation, any elector may apply within 10 days after the refusal to the circuit court for the county in which the proposed district, or its greater portion, is located for a writ of mandamus to compel the county governing body to perform its duty. [Amended by 1975 c.647 §19; 1979 c.558 §18]

 

      261.225 State agencies and private utilities to provide new district certain information. (1) The State Department of Energy, the Public Utility Commission of Oregon and any privately owned utility serving the affected territory shall cooperate in providing information and data as requested by a people’s utility district for construction or acquisition of the initial utility system.

      (2) As requested, the State Department of Energy and the Public Utility Commission of Oregon shall provide copies of records on file pertinent to the operation of a utility system.

      (3) As requested, the privately owned utility serving the affected territory shall provide data and records regarding the affected territory including:

      (a) Pe