71st OREGON LEGISLATIVE ASSEMBLY--2001 Regular Session
 
NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .
 
LC 1040
 
                         House Bill 2256
 
Ordered printed by the Speaker pursuant to House Rule 12.00A (5).
  Presession filed (at the request of Governor John A. Kitzhaber,
  M.D., for Department of Human Services)
 
 
                             SUMMARY
 
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
 
  Establishes new fee schedules for certain food service
facilities. Changes fee assessed for reinstatement of expired
license to operate certain food service facilities.
  Expands authority of qualifying counties to administer laws
governing food service facilities.
  Deletes requirement that food service employees be trained to
administer first aid to any person choking on food particles and
granting immunity from liability.
  Changes definition of limited service restaurant. Permits
continued operation of certain limited service restaurants.
  Changes person responsible for posting evidence of restaurant
license.
  Dedicates food service facility civil penalties and certain
food service facility fees currently collected by Health Division
to use by division.
  Takes effect November 1, 2001.
 
                        A BILL FOR AN ACT
Relating to food service facilities; creating new provisions;
  amending ORS 624.010, 624.020, 624.310, 624.320, 624.430,
  624.510, 624.670 and 624.992; repealing ORS 624.130 and
  624.440; appropriating money; and prescribing an effective
  date.
Be It Enacted by the People of the State of Oregon:
  SECTION 1.  { + A licensed limited service restaurant operating
immediately prior to the effective date of the amendments to ORS
624.010 by section 3 of this 2001 Act may continue to be licensed
as a limited service restaurant while the restaurant:
  (1) Continues to be owned or operated by the person that owned
or operated the restaurant immediately prior to the effective
date of the amendments to ORS 624.010 by section 3 of this 2001
Act; and
  (2) Continues to serve only items that qualified the restaurant
as limited service and were offered by the restaurant immediately
prior to the effective date of the amendments to ORS 624.010 by
section 3 of this 2001 Act. + }
  SECTION 2.  { + ORS 624.570, 624.650 and 624.992 are added to
and made a part of ORS chapter 624. + }
 
  SECTION 3. ORS 624.010, as amended by section 38, chapter 351,
Oregon Laws 1999, is amended to read:
  624.010. As used in ORS 624.010 to 624.120, unless the context
requires otherwise:
  (1) 'Assistant director' means the Assistant Director for
Health or an authorized representative.
  (2) 'Bed and breakfast facility' means any establishment
located in a structure designed for a single family residence and
structures appurtenant thereto, regardless of whether the owner
or operator of the establishment resides in any of the
structures, that:
  (a) Has more than two rooms for rent on a daily basis to the
public; and
  (b) Offers a breakfast meal as part of the cost of the room.
  (3) 'Division' means the Health Division of the Department of
Human Services.
  (4) 'Limited service restaurant' means a restaurant serving
only   { - prewrapped sandwiches, or a single dish or food
product, - }  { +  individually portioned prepackaged foods
prepared from an approved source by a commercial processor
 + }and nonperishable beverages.
  (5) 'Restaurant' includes any establishment where food or drink
is prepared for consumption by the public or any establishment
where the public obtains food or drink so prepared in form or
quantity consumable then and there, whether or not it is consumed
within the confines of the premises where prepared, and also
includes establishments that prepare food or drink in consumable
form for service outside the premises where prepared, but does
not include railroad dining cars, bed and breakfast facilities or
temporary restaurants as defined in subsection (6) of this
section.
  (6) 'Temporary restaurant' means any establishment operating
temporarily in connection with any fair, carnival, circus or
similar public gathering or entertainment, food product promotion
or any other event where food is prepared or served for
consumption by the public. 'Temporary restaurant' does not
include:
  (a) An establishment where food is prepared and served by a
fraternal, social or religious organization only to its own
members and guests.
  (b) An approved school lunchroom where food is prepared and
served for school and community activities, where the preparation
and service are under the direction of the school lunchroom
supervisor.
  (c) A food product promotion where only samples of a food or
foods are offered to demonstrate the characteristics of the food
product. For the purposes of this paragraph, a sample shall not
include a meal, an individual hot dish or a whole sandwich.
  (d) A private residence, or part thereof, including the
grounds, areas and facilities held out for the use of the
occupants generally, for which a temporary sales license is
issued under ORS 471.190 for a period not exceeding one day.
  SECTION 4. ORS 624.020 is amended to read:
  624.020. (1)   { - No person shall - }  { +  A person may
not + } operate a restaurant or bed and breakfast facility
without a license to do so from the Health Division.   { - The
license shall be posted in a conspicuous place on the premises of
the licensee. - }
  (2) Application for the license shall be in writing in the form
prescribed by the division and shall contain the name and address
of the applicant and any other information   { - which - }  { +
that + } the division may require.   { - All licenses issued
under this section terminate and are renewable on December 31 of
each year. - }  { +  A license expires annually on December
31. + }
 
    { - (3) A license issued under ORS 624.010 to 624.120 that is
not renewed on or before the expiration date of the license is
delinquent. If the delinquency extends 30 days or more past the
expiration date, the licensee shall pay a delinquency fee in
addition to the renewal fee required in subsection (4) of this
section. The delinquency fee shall be equal to 50 percent of the
license renewal fee and shall be increased by 50 percent of the
license renewal fee on the first day of each succeeding month in
which the license is not renewed. - }
   { +  (3) To reinstate a license after the December 31
expiration, the applicant must pay a reinstatement fee of $100 in
addition to the license fee required under subsection (4) of this
section. If the applicant reinstates the license after January
31, the reinstatement fee shall increase by $100 on the first day
of each succeeding month until the license is reinstated. + }
  (4)   { - Every applicant for a license issued under subsection
(1) of this section or for renewal of the license - }   { + An
applicant for issuance or reinstatement of a license + } shall
pay a fee to the Health Division  { - . The fees shall be in the
following amounts - }  { +  as follows + }:
  (a)   { - $95 - }  { +  $195 + } for a bed and breakfast
facility;
  (b)   { - $100 - }  { +  $250 + } for a limited service
restaurant; and
  (c) For a restaurant in accordance with seating capacity, as
follows:
  (A)   { - $275 - }  { +  $395 + } for 0-15 seats;
  (B)   { - $295 - }  { +  $495 + } for 16-50 seats;
  (C)   { - $350 - }  { +  $595 + } for 51-150 seats; and
  (D)   { - $395 - }  { +  $650 + } for more than 150 seats.
  (5) The division may exempt or reduce the license fee for
restaurants operated by benevolent organizations, as defined by
ORS 624.015,   { - and which - }  { +  that + } provide food or
beverage primarily to children, the elderly, the indigent or
other needy populations  { - , and where such - }  { +  if
the + } persons are not required to pay the full cost of the food
or beverage.   { - Such - }  Exemptions   { - are - }  { +
or + } reductions in fees by the division   { - and shall not
be - }  { +  are not + } binding upon   { - any - }  { +  a + }
delegate county   { - which - }  { +  that + } has a current fee
ordinance.
  (6) The Assistant Director for Health may suspend, deny or
revoke any license   { - issued under this section - }  for
violation of any of the applicable provisions of ORS 624.010 to
624.120 or any rule adopted under ORS 624.010 to 624.120.
  (7) Procedures for denial, revocation or suspension of a
license   { - shall be - }  { +  are + } as provided in ORS
183.310 to 183.550.
  (8)  { + The licensee shall post + } evidence of the license
 { - shall be posted by the assistant director - }   { + in
public view + } at the customary entrance of the restaurant or
bed and breakfast facility   { - in public view, and the license
shall not be defaced or removed by any person except the
assistant director - } . { +  A person other than the assistant
director may not deface or remove evidence of a license. + }
  (9) A license   { - issued under ORS 624.010 to 624.120 - }  is
not transferable. The division   { - shall - }  { +  may + } not
issue a refund representing any unused portion of a license.
  SECTION 5. ORS 624.310 is amended to read:
  624.310. As used in ORS 624.310 to 624.440 unless the context
requires otherwise:
  (1) 'Approved' means approved by the administrator.
  (2) 'Commissary' means commissary catering establishment,
restaurant or any other place in which food, beverage,
ingredients, containers or supplies are kept, handled, prepared
 
or stored, and from which vending machines or mobile units are
serviced.
  (3) 'Division' means the Health Division of the Department of
Human Services.
  (4) 'Employee' means any operator or any person employed by an
operator who handles any food, beverage, or ingredient to be
dispensed through vending machines or mobile units, or who comes
into contact with product contact surfaces of the container,
equipment, utensils or packaging materials, used in connection
with vending machines or mobile unit operations, or who otherwise
services or maintains one or more such machines or units.
  (5) 'Food' means any raw, cooked or processed edible substance,
beverage or ingredient used or intended for use in whole, or in
part, for human consumption.
  (6) 'Assistant director' means the Assistant Director for
Health.
  (7) 'Machine location' means the room, enclosure, space or area
where one or more vending machines are installed and are in
operation.
  (8) 'Mobile unit' means any vehicle on which food is prepared,
processed or converted or which is used in selling and dispensing
food to the ultimate consumer.
  (9) 'Operator' means any person, who by contract, agreement or
ownership is responsible for  { + operating a commissary or
warehouse or + } furnishing, installing, servicing, operating or
maintaining one or more vending machines or mobile units.
  (10) 'Person' means any individual, partnership, corporation,
company, firm, institution, association or any other public or
private entity.
  (11) 'Product contact surface' means any surface of the vending
machine or mobile unit, appurtenance or container which comes
into direct contact with any food, beverage or ingredient.
  (12) 'Readily perishable food' means any food, beverage or
ingredient consisting in whole or in part of milk, milk products,
eggs, meat, fish, poultry, or any other food capable of
supporting rapid and progressive growth of microorganisms which
can cause food infections or food intoxications. However,
'readily perishable food' does not include products in
hermetically sealed containers processed by heat to prevent
spoilage or dehydrated, dry or powdered products which are so low
in moisture content as to preclude development of microorganisms.
  (13) 'Single-service article' means any utensil, container,
implement or wrapper intended for use only once in the
preparation, storage, display, service or consumption of food or
beverage.
  (14) 'Utensil' means any kitchenware, tableware, glassware,
cutlery, container, cleaning brush or other equipment that comes
into contact with food or product contact surfaces during
cleaning of vending machines, mobile units or commissary
equipment, or during storage, preparation, serving, dispensing or
consumption of food.
  (15) 'Vending machine' means any self-service device offered
for public use which, upon insertion of a coin, coins, currency
or token, or by other means, dispenses unit servings of food or
beverage, either in bulk or package, without the necessity of
replenishing the device between each vending operation.
  (16) 'Warehouse' means any place where food, utensils,
single-service articles, cleaning or servicing supplies for
vending machines, mobile units or commissaries are stored.
  SECTION 6. ORS 624.320 is amended to read:
  624.320. (1)   { - After January 1, 1964, no person shall - }
 { +  A person may not + } operate a vending machine,
 { + warehouse, + } commissary or mobile unit without first
procuring a license to do so from the Health Division. The
 { + operator shall post the + } license   { - shall be
posted - }  in a conspicuous place in the  { + warehouse or + }
commissary.  { + The operator shall affix + } a card, emblem or
other device clearly showing the name and address of the licensee
and the serial number of the license   { - shall be affixed - }
to each vending machine or mobile unit as the case may be.
  (2) Application for the license shall be in writing in the form
prescribed by the division and shall contain the following
information:
  (a) Name and address of the applicant.
  (b) Location of all  { + warehouses or + } commissaries.
  (c) Locations where supplies are kept.
  (d) Locations where vending machines or mobile units are
stored, repaired or renovated.
  (e) Identity and form of food to be dispensed through vending
machines.
  (f) Number of each type of vending machine on location.
  (3)  { + The operator must keep the + } specific locations of
the vending machines and specific itineraries of the mobile units
  { - shall be - }  on file at the operator's business office and
 { - shall be - }  readily available to the division. The
 { + operator shall furnish the division with written + } details
of the conversion of any vending machine to dispense products
other than those for which the license was issued   { - shall be
furnished in writing to the division - } .
  SECTION 7. ORS 624.430 is amended to read:
  624.430. (1) Every applicant for a license to operate a
commissary, vending machine, warehouse or mobile unit shall pay
to the Health Division an annual fee in the following amounts:
_________________________________________________________________
 
____NOTE_TO_GOPHER_CUSTOMERS:__________________________________
THE FOLLOWING TABULAR TEXT MAY BE IRREGULAR.
FOR COMPLETE INFORMATION PLEASE SEE THE PRINTED MEASURE.
_______________________________________________________________
 
                    Annual fee
 
____NOTE_TO_GOPHER_CUSTOMERS:__________________________________
THE FOLLOWING TABULAR TEXT MAY BE IRREGULAR.
FOR COMPLETE INFORMATION PLEASE SEE THE PRINTED MEASURE.
_______________________________________________________________
 
(a) Each commissary      { -
$                       195 - }
   { +
$295 + }
(b) Each warehouse       { -
$                      50 - }
   { +
$150 + }
(c)  { +
Each + }
 mobile   { -
units - }
  { +
 unit + }
                         { -
$                      75 - }
   { +
$175 + }
(d) Vending machines as follows:
 
____NOTE_TO_GOPHER_CUSTOMERS:__________________________________
THE FOLLOWING TABULAR TEXT MAY BE IRREGULAR.
FOR COMPLETE INFORMATION PLEASE SEE THE PRINTED MEASURE.
_______________________________________________________________
 
Number of   { -
units - }
 
  { -
or - }
  machines          Annual fee
 
____NOTE_TO_GOPHER_CUSTOMERS:__________________________________
THE FOLLOWING TABULAR TEXT MAY BE IRREGULAR.
FOR COMPLETE INFORMATION PLEASE SEE THE PRINTED MEASURE.
_______________________________________________________________
 
   1 - 10              $    25
  11 - 20              $    50
  21 - 30              $    75
  31 - 40              $   100
  41 - 50              $   125
  51 - 75              $   150
  76 -100              $   200
 101 -250              $   350
 251 -500              $   550
 501 -750              $   750
 7511,000              $   920
1,001,500              $ 1,200
1,502,000 or more      $ 1,500
_________________________________________________________________
____________________________________________________________
END OF POSSIBLE IRREGULAR TABULAR TEXT
____________________________________________________________
  (2) All licenses issued under ORS  { + 624.320 + }
 { - 624.310 to 624.440 shall terminate and be renewable - }
 { +  expire + } annually on a date set by  { +  division + }
rule.   { - Such licenses shall not be transferable, nor shall
refunds be made on the unused portions of license or upon - }
 { + A license is not transferable. The division may not issue a
refund representing any unused portion of a license. The division
may not refund fees submitted with  + }applications that have
been denied.
   { +  (3) To reinstate a license after the expiration date, the
operator must pay a reinstatement fee of $100 in addition to the
license fee required under subsection (1) of this section. If the
operator reinstates the license more than 30 days after the
expiration date, the reinstatement fee shall increase by $100 on
the 31st day following the expiration date and on that day of the
month in each succeeding month until the license is
reinstated. + }
  SECTION 8. ORS 624.510 is amended to read:
  624.510. (1) The Assistant Director for Health shall delegate
to any county board of commissioners which requests any of the
authority, responsibilities and functions of the Assistant
Director for Health under ORS 624.010 to 624.120 { + , + }
 { - and - }  624.310 to 624.440 { + , 624.650 and 624.992 + } if
the assistant director determines that the county is able to
carry out the rules of the Health Division relating to fee
collection, licensing, inspections, enforcement { + , civil
penalties + } and issuance and revocation of permits and
certificates in compliance with standards for enforcement by the
counties and monitoring by the division. Such standards shall be
established by the division in consultation with the appropriate
county officials and in accordance with ORS 431.345. The division
shall review and monitor each county's performance under this
subsection. The review shall include criteria to determine if
provisions of ORS 624.085 are uniformly applied to all licensees
within the county. In accordance with ORS 183.310 to 183.550, the
assistant director may suspend or rescind a delegation under this
subsection. If it is determined that a county is not carrying out
such rules or the delegation is suspended, the unexpended portion
of the fees collected under subsection (2) of this section shall
be available to the division for carrying out the authority,
responsibility and functions under this section.
  (2) Except as provided in subsections (4) and (5) of this
section, the county may determine the amount of, and retain, any
fee for any function undertaken pursuant to subsection (1) of
this section or use the fee schedules pursuant to ORS 624.020,
624.025 and 624.430.
  (3) The division, after consultation with the Oregon Coalition
of Local Health Officials and the Oregon Restaurant Association,
shall by rule adopt a formula for calculating allowable costs for
licenses issued under ORS 624.010 to 624.120.  The formula shall
include, but not be limited to, expenses related to
administration, program costs, salaries, travel expenses and
division consultation fees. The formula shall be one of the
standards for delegation of health enforcement authority under
subsection (1) of this section to counties that establish fees
above the amounts set forth in ORS 624.020 (4).
  (4) Any county that proposes to increase its fees above the
amounts set forth in ORS 624.020 (4) must document that revenues
generated by the proposed fee are not in excess of the formula
adopted under subsection (3) of this section and are necessary to
recover allowable costs pursuant to the formula.
  (5) The division, after consultation with the Oregon Coalition
of Local Health Officials, shall by rule assess a remittance from
each county to which health enforcement authority has been
delegated under subsection (1) of this section. The remittance
shall supplement existing funds for consultation services and
development and maintenance of the statewide food service
program. The division shall consult with the Oregon Coalition of
Local Health Officials and the Oregon Restaurant Association in
developing the statewide food service program.
  (6) In any action, suit or proceeding arising out of county
administration of functions pursuant to subsection (1) of this
section and involving the validity of a rule promulgated by the
division, the division shall be made a party to the action, suit
or proceeding.
  SECTION 9. ORS 624.670 is amended to read:
  624.670. All moneys received by the Health Division of the
Department of Human Services under ORS   { - 624.020, 624.025,
624.430 or 624.510 - }  { +  chapter 624 + } shall be paid into
the State Treasury, deposited in the General Fund to the credit
of the Health Division Account and used exclusively by the
division for the purpose of carrying out the provisions of this
chapter.
  SECTION 10. ORS 624.992 is amended to read:
  624.992. (1) In addition to any other penalty provided by law,
the Health Division may impose a civil penalty on any person for
violation of ORS 624.020 (1), 624.060 (1), 624.060 (4), 624.070,
624.085 { + , 624.320, 624.370, 624.380 or 624.430 + } or rules
adopted under ORS 624.010 to 624.120 { +  or 624.390 + }.
  (2) After public hearing, the Health Division by rule shall
adopt objective criteria for establishing the civil penalty that
may be imposed under subsection (1) of this section.
  (3) Civil penalties under subsection (1) of this section shall
be imposed in the manner provided by ORS 183.090.
  SECTION 11.  { + ORS 624.130 and 624.440 are repealed. + }
  SECTION 12.  { + (1) The Health Division may apply the license
fees established in ORS 624.020 and 624.430 as amended by
sections 4 and 7 of this 2001 Act to license applications and
payments received before January 1, 2002, for licensing periods
beginning on or after January 1, 2002.
  (2) Except as provided in subsection (1) of this section,
sections 1 and 2 of this 2001 Act, the amendments to ORS 624.010,
624.020, 624.310, 624.320, 624.430, 624.510, 624.670 and 624.992
by sections 3 to 10 of this 2001 Act and the repeal of ORS
624.130 and 624.440 by section 11 of this 2001 Act become
operative January 1, 2002. + }
  SECTION 13.  { + This 2001 Act takes effect November 1,
2001. + }
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