71st OREGON LEGISLATIVE ASSEMBLY--2001 Regular Session
Enrolled
House Bill 2458
Ordered printed by the Speaker pursuant to House Rule 12.00A (5).
Presession filed (at the request of Representative Kurt
Schrader)
CHAPTER ................
AN ACT
Relating to incorporation of cities.
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + Section 2 of this 2001 Act is added to and made
a part of ORS 221.020 to 221.100. + }
SECTION 2. { + (1) As used in this section:
(a) 'Neighboring city' means a city that has any part of its
territory situated within three miles of the area proposed to be
incorporated.
(b) 'Rural unincorporated community' means a settlement with a
boundary identified in an acknowledged comprehensive plan of a
county and that:
(A) Is made up primarily of lands subject to an exception to
statewide planning goals related to agricultural lands or
forestlands;
(B) Either was identified in the acknowledged comprehensive
plan of a county as a 'rural community,' 'service center, ' '
rural center,' 'resort community' or similar term before October
28, 1994, or is listed in the Department of Land Conservation and
Development's 'Survey of Oregon Unincorporated Communities'
(January 30, 1997);
(C) Lies outside the urban growth boundary of a city or a
metropolitan service district; and
(D) Is not incorporated as a city.
(c) 'Urban reserve area' has the meaning given that term in ORS
195.145.
(d) 'Urban services' has the meaning given that term in ORS
195.065.
(2) Notwithstanding ORS 221.031 (4), when any of the area
proposed to be incorporated as a city lies within an urbanized
area, but outside the urban growth boundary of a city or a
metropolitan service district:
(a) The area proposed to be incorporated must also be located
entirely within a designated rural unincorporated community and
contiguous lands subject to an exception to statewide planning
goals related to agricultural lands or forestlands.
(b) The petition required by ORS 221.031 must be accompanied by
an affidavit, signed by a chief petitioner, stating that:
(A) Ten percent of the electors registered within the area
proposed for incorporation favor the incorporation; and
Enrolled House Bill 2458 (HB 2458-B) Page 1
(B) The chief petitioners have engaged the neighboring cities
in discussions concerning the effects of the proposed
incorporation, including discussions specifically relating to how
those cities and the proposed city will allow for expansion of
urban growth boundaries and, where applicable, for creation or
expansion of urban reserve areas.
(c) The economic feasibility statement required by ORS 221.035
must:
(A) Indicate that the proposed city must plan for and provide
urban services in a cost-effective manner at the minimum level
adequate to meet current needs and projected growth;
(B) Contain a proposed permanent rate limit for operating taxes
to provide revenues for urban services; and
(C) Indicate that the proposed city must plan for residential
development at or above the same urban density planned for an
existing city, within the county, that has a similar geographic
area within the existing city's urban growth boundary or, for a
proposed city within three miles of Metro's boundary, a minimum
urban residential density in accordance with a statewide planning
goal and rules pertaining to needed housing for cities within
Metro's urban growth boundary.
(d) If the proposed city will be required to complete a public
facility plan and a transportation systems plan, the proposed
city must demonstrate the ability to provide urban services to
meet current needs and projected growth. The proposed city may
meet this requirement, in whole or in part, by establishing an
agreement in principle with a city or a district, as defined in
ORS 195.060, to provide the urban services.
(3) If the governing body of a neighboring city determines that
the proposed incorporation adversely affects that city, the
governing body may ask the county court with which the petition
for incorporation was filed to reject the petition and terminate
the incorporation proceedings. The objections by the city to the
incorporation shall be heard and considered by the county court
at a public hearing held under ORS 221.040.
(4) If, at the hearing held under ORS 221.040, the county court
finds that any of the requirements of subsection (2) of this
section are not met or that the proposed incorporation will
adversely affect a neighboring city, the county court shall
provide by order for the termination of the incorporation
proceedings. The order shall contain the findings of the county
court relating to the proposed incorporation and the reasons for
terminating the incorporation proceedings.
(5) In the manner provided in ORS 197.830 to 197.845, the Land
Use Board of Appeals shall review, upon the petition of a party
to the incorporation proceedings, the order of the county court
under subsection (4) of this section. + }
SECTION 3. { + Section 2 of this 2001 Act applies only to
petitions to incorporate unincorporated territory as a city that
are filed on or after the effective date of this 2001 Act. + }
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Enrolled House Bill 2458 (HB 2458-B) Page 2
Passed by House March 19, 2001
Repassed by House April 18, 2001
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Chief Clerk of House
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Speaker of House
Passed by Senate April 16, 2001
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President of Senate
Enrolled House Bill 2458 (HB 2458-B) Page 3
Received by Governor:
......M.,............., 2001
Approved:
......M.,............., 2001
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Governor
Filed in Office of Secretary of State:
......M.,............., 2001
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Secretary of State
Enrolled House Bill 2458 (HB 2458-B) Page 4