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 1495
 
                         House Bill 2841
 
Sponsored by Representative G SMITH; Senator FERRIOLI
 
 
                             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.
 
  Allows certain regional boards to retain regional and rural
investment funds beyond biennium in which funds were provided.
 
                        A BILL FOR AN ACT
Relating to funding of regional boards; creating new provisions;
  and amending ORS 285B.257 and 285B.263.
Be It Enacted by the People of the State of Oregon:
  SECTION 1.  { + ORS 285B.254, 285B.257, 285B.260, 285B.263 and
285B.266 are added to and made a part of ORS 285B.230 to
285B.248. + }
  SECTION 2. ORS 285B.257 is amended to read:
  285B.257. (1) Moneys in the Rural Investment Fund shall be
distributed to regional boards designated under ORS 285B.242 for
economic development programs and projects designed to benefit
rural communities.
  (2) Each regional board shall update the regional investment
plan prepared under ORS 285B.239 to include a rural action plan
consistent with the purpose and objectives of the Rural
Investment Fund. A rural action plan must be reviewed by the
Oregon Economic and Community Development Commission and approved
by the Governor before any moneys from the Rural Investment Fund
may be distributed for implementing any program or project
described in the rural action plan. Moneys from the Rural
Investment Fund shall not be used to retire any debt or pay for
expenditures made or expenses incurred prior to the approval of a
rural action plan.
  (3) In each biennium, a regional board may dedicate a portion
of the moneys distributed to the board from the Rural Investment
Fund for technical assistance and staff support for updating the
rural action plan and for developing programs and projects under
the rural action plan. The regional board shall determine the
amount of moneys dedicated to such purposes. Notwithstanding
subsection (2) of this section, the Economic and Community
Development Department may distribute moneys from the Rural
Investment Fund for technical assistance and staff support prior
to approval of the rural action plan.
   { +  (4) Except for funds provided for technical assistance
and staff support prior to approval of an original or updated
rural action plan, a regional board may hold moneys distributed
to the board from the Rural Investment Fund for investment
consistent with the priorities of the approved rural action plan
beyond the biennium in which the moneys were distributed if the
region:
  (a) Has a population of fewer than 50,000 individuals; and
  (b) Has a recognized regional partnership. + }
    { - (4) - }   { + (5) + } In each biennium, each regional
board shall submit a report on the expenditure of moneys received
under this section and shall indicate the success of the programs
and projects financed with moneys from the Rural Investment Fund.
The success of programs and projects shall be defined by specific
performance measurements developed by the regional board. The
report required by this subsection shall be made part of the
biennial report submitted to the Governor and the Legislative
Assembly under ORS 285B.263.
    { - (5) - }   { + (6) + } Moneys from the Rural Investment
Fund shall not be used to substitute for local government
expenditures for existing and continuing public services. The
Economic and Community Development Department shall adopt rules
to carry out the provisions of this subsection.
  SECTION 3. ORS 285B.263 is amended to read:
  285B.263. (1) In each biennium, the Economic and Community
Development Department shall expend moneys from the Regional
Investment Fund for:
  (a) Technical assistance and staff support for preparation and
update of regional investment plans;
  (b) Projects and activities implementing an approved regional
investment plan and implementing priorities described in the
plan; and
  (c) Personnel necessary to administer the plans and projects.
  (2) In each biennium, the Oregon Economic and Community
Development Commission, by rule and in agreement with the
Association of Oregon Counties, League of Oregon Cities and
Oregon Public Ports Association, may provide funds, either
centrally or to regional boards or both, for multiregion projects
that implement the approved regional investment plans of two or
more regions with common economic and community development
priorities.  Funding for multiregion projects under this
subsection shall be awarded, at the discretion of the commission,
according to the quality of the defined projects.
  (3) In each biennium, a regional board may dedicate a portion
of regional investment funds for technical assistance and staff
support for regional investment plan development and refinement
and development and administration of regional partnerships. The
portion of funds so dedicated shall be determined by the
commission. The commission shall provide regional boards with
these funds prior to approval of regional investment plans.
  (4) In each biennium, a regional board may dedicate a portion
of regional investment funds to provide grants or loans to
individual private businesses for fixed asset acquisition. Such
funds must be used to make grants and loans that are consistent
with the regional investment plan and that support the regional
priorities included in the regional investment plan. The terms
and conditions of grants or loans to be made under this
subsection must be contained in the regional investment plan at
the time it is submitted for state review.
  (5) After a regional investment plan is adopted, the department
in each calendar quarter shall provide regional investment funds,
less any moneys used for technical assistance and staff support
for regional investment plan development, to the region. Moneys
received under this subsection shall be used for development of
projects based upon an evaluation by the regional board of the
merit and readiness of the projects. Projects that receive such
financial assistance must be consistent with the priorities of
the approved regional investment plan.
   { +  (6) Except for funds provided for technical assistance
and staff support prior to approval of an original or updated
regional investment plan, a regional board may hold regional
investment funds provided under this section for investment
consistent with the priorities of the approved regional
investment plan beyond the biennium in which the funds were
provided if the region:
  (a) Has a population of fewer than 50,000 individuals; and
  (b) Has a recognized regional partnership. + }
    { - (6) - }   { + (7) + } In each biennium, each regional
board shall submit a report to the Governor and the Legislative
Assembly that describes the expenditure of moneys received under
this section and indicates the success, as defined by specified
performance measurements, of the funded projects in achieving the
regional economic and community development priorities described
in ORS 285B.236 (2). Future grants to a regional board may be
based on the performance of the board.
  SECTION 4.  { + The amendments to ORS 285B.257 and 285B.263 by
sections 2 and 3 of this 2001 Act apply to rural investment funds
and regional investment funds provided on or after the effective
date of this 2001 Act. + }
                         ----------