71st OREGON LEGISLATIVE ASSEMBLY--2001 Regular Session
HA to HB 3947
LC 4164/HB 3947-1
HOUSE AMENDMENTS TO
HOUSE BILL 3947
By COMMITTEE ON WATER AND ENVIRONMENT
May 21
On page 1 of the printed bill, line 2, after the second
semicolon delete the rest of the line and insert 'amending ORS
315.304, 468.165 and 468.170; and prescribing an effective
date.'.
On page 3, after line 7, insert:
' { + SECTION 3. + } ORS 468.165 is amended to read:
' 468.165. (1) Any person may apply to the Environmental
Quality Commission for certification under ORS 468.170 of a
pollution control facility or portion thereof erected,
constructed or installed by the person in Oregon if:
' (a) The air or water pollution control facility was erected,
constructed or installed on or after January 1, 1967.
' (b) The noise pollution control facility was erected,
constructed or installed on or after January 1, 1977.
' (c) The solid waste facility was under construction on or
after January 1, 1973, the hazardous waste or used oil facility
was under construction on or after October 3, 1979, and if:
' (A) The facility's principal or sole purpose conforms to the
requirements of ORS 468.155 (1) and (2);
' (B) The facility will utilize material that would otherwise
be solid waste as defined in ORS 459.005, hazardous waste as
defined in ORS 466.005 or used oil as defined in ORS 459A.555 by
mechanical process or chemical process or through the production,
processing including presegregation, or use of, materials which
have useful chemical or physical properties and which may be used
for the same or other purposes, or materials which may be used in
the same kind of application as its prior use without change in
identity;
' (C) The end product of the utilization is an item of real
economic value;
' (D) The end product of the utilization, other than a usable
source of power, is competitive with an end product produced in
another state; and
' (E) The Oregon law regulating solid waste imposes standards
at least substantially equivalent to the federal law.
' (d) The hazardous waste control facility was erected,
constructed or installed on or after January 1, 1984, and if:
' (A) The facility's principal or sole purpose conforms to the
requirements of ORS 468.155 (1) and (2); and
' (B) The facility is designed to treat, substantially reduce
or eliminate hazardous waste as defined in ORS 466.005.
' (2) The application shall be made in writing in a form
prescribed by the Department of Environmental Quality and shall
contain information on the actual cost of the facility, a
description of the materials incorporated therein, all machinery
and equipment made a part thereof, the existing or proposed
operational procedure thereof, and a statement of the purpose of
prevention, control or reduction of air, water or noise pollution
or solid or hazardous waste or recycling or appropriate disposal
of used oil served or to be served by the facility and the
portion of the actual cost properly allocable to the prevention,
control or reduction of air, water or noise pollution or solid or
hazardous waste or to recycling or appropriately disposing of
used oil.
' (3) The Director of the Department of Environmental Quality
may require any further information the director considers
necessary before a certificate is issued.
' (4) The application shall be accompanied by a fee established
under subsection (5) of this section. The fee may be refunded if
the application for certification is rejected.
' (5) By rule and after hearing the commission may adopt a
schedule of reasonable fees which the department may require of
applicants for certificates issued under ORS 468.167 and 468.170.
Before the adoption or revision of any such fees the commission
shall estimate the total cost of the program to the department.
The fees shall be based on the anticipated cost of filing,
investigating, granting and rejecting the applications and shall
be designed not to exceed the total cost estimated by the
commission. Any excess fees shall be held by the department and
shall be used by the commission to reduce any future fee
increases. The fee may vary according to the size and complexity
of the facility. The fees { - shall - } { + may + } not be
considered by the commission as part of the cost of the facility
to be certified.
' (6) The application shall be submitted after construction of
the facility is substantially completed and the facility is
placed in service and within two years after construction of the
facility is substantially completed. Failure to file a timely
application shall make the facility ineligible for tax credit
certification. An application { - shall - } { + may + } not
be considered filed until it is complete and ready for
processing. The commission may grant an extension of time to file
an application for circumstances beyond the control of the
applicant that would make a timely filing unreasonable. However,
the period for filing an application { - shall - } { +
may + } not be extended to a date beyond December 31,
{ - 2003 - } { + 2009 + }.
' { + SECTION 4. + } ORS 468.170 is amended to read:
' 468.170. (1) The Environmental Quality Commission shall act
on an application for certification before the 120th day after
the filing of the application under ORS 468.165. The action of
the commission shall include certification of the actual cost of
the facility and the portion of the actual cost properly
allocable to the prevention, control or reduction of air, water
or noise pollution or solid or hazardous waste or to recycling or
appropriately disposing of used oil. The actual cost or portion
of the actual cost certified { - shall - } { + may + } not
exceed the taxpayer's own cash investment in the facility or
portion of the facility. Each certificate shall bear a separate
serial number for each such facility.
' (2) If the commission rejects an application for
certification, or certifies a lesser actual cost of the facility
or a lesser portion of the actual cost properly allocable to the
prevention, control or reduction of air, water or noise pollution
or solid or hazardous waste or to recycling or appropriately
disposing of used oil than was claimed in the application for
certification, the commission shall cause written notice of its
action, and a concise statement of the findings and reasons
therefor, to be sent by registered or certified mail to the
applicant before the 120th day after the filing of the
application.
' (3) If the application is rejected for any reason, including
the information furnished by the applicant as to the cost of the
facility, or if the applicant is dissatisfied with the
certification of actual cost or portion of the actual cost
properly allocable to prevention, control or reduction of air,
water or noise pollution or solid or hazardous waste or to
recycling or appropriately disposing of used oil, the applicant
may appeal from the rejection as provided in ORS 468.110. The
rejection or the certification is final and conclusive on all
parties unless the applicant takes an appeal therefrom as
provided in ORS 468.110 before the 30th day after notice was
mailed by the commission.
' (4)(a) The commission shall certify a pollution control,
solid waste, hazardous waste or used oil facility or portion
thereof, for which an application has been made under ORS
468.165, if the commission finds that the facility:
' (A) Was erected, constructed or installed in accordance with
the requirements of ORS 468.165 (1);
' (B) Is designed for, and is being operated or will operate in
accordance with the requirements of ORS 468.155; and
' (C) Is necessary to satisfy the intents and purposes of ORS
454.010 to 454.040, 454.205 to 454.255, 454.505 to 454.535,
454.605 to 454.755, ORS chapters 459, 459A, 466 and 467 and ORS
chapters 468, 468A and 468B and rules thereunder.
' (b) No determination of the proportion of the actual cost of
the facility to be certified shall be made until receipt of the
application.
' (c) If one or more facilities constitute an operational unit,
the commission may certify such facilities under one certificate.
' (d) A certificate under this section is effective for
purposes of tax relief in accordance with ORS 307.405 and 315.304
if, on or before December 31, { - 2001 - } { + 2007 + },
erection, construction or installation of the facility is
completed, the facility is placed in service and the application
for certification is filed with the commission under ORS 468.165.
' (5) A person receiving a certificate under this section may
take tax relief only under ORS 315.304, depending upon the tax
status of the person's trade or business except that:
' (a) A corporation organized under ORS chapter 65 or any
subsequent transferee of the corporation shall take tax relief
only under ORS 307.405; and
' (b)(A) A corporation organized under ORS chapter 62 or any
predecessor to ORS chapter 62 relating to the incorporation of
cooperative associations or the subsequent transferee of the
corporation may make an irrevocable election to take the tax
relief under either ORS 315.304 or 307.405. The corporation shall
make the election at the time of applying for the certificate,
except that a corporation receiving a certificate prior to
December 31, 1995, may make the election at any time on or before
December 31, 1995. If a corporation elects on or before December
31, 1995, to take the tax relief under ORS 315.304, any income
taxes, penalties or interest otherwise payable by the corporation
for improperly taking the tax relief under ORS 315.304 in a
taxable year prior to making the election shall be waived.
' (B) In the case of a corporation making the election under
subparagraph (A) of this paragraph, the election applies to:
' (i) All existing or future facilities that are certified
under this section, if the corporation claimed a credit under ORS
315.304 for a tax year beginning prior to December 31, 1995; or
' (ii) All future facilities that are certified under this
section, if the corporation did not claim a credit under ORS
315.304 for a tax year beginning prior to December 31, 1995.
' (6) If the person receiving the certificate is a partnership,
each partner shall be entitled to take tax credit relief as
provided in ORS 315.304, based on that partner's pro rata share
of the certified cost of the facility.
' (7) Certification under this section of a pollution control
facility qualifying under ORS 468.165 (1) shall be granted for a
period of 10 consecutive years which 10-year period shall begin
with the tax year of the person in which the facility is
certified under this section, except that if ad valorem tax
relief is utilized by a corporation organized under ORS chapter
62 or 65 the facility shall be exempt from ad valorem taxation
for a period of 20 consecutive years.
' (8) Portions of a facility qualifying under ORS 468.165
(1)(c) may be certified separately under this section if
ownership of the portions is in more than one person.
Certification of such portions of a facility shall include
certification of the actual cost of the portion of the facility
to the person receiving the certification. The actual cost
certified for all portions of a facility separately certified
under this subsection { - shall - } { + may + } not exceed
the total cost of the facility that would have been certified
under one certificate. The provisions of ORS 315.304 (8)
{ - shall - } apply to any sale, exchange or other disposition
of a certified portion of a facility.
' { + SECTION 5. + } { + This 2001 Act takes effect on the
91st day after the date on which the regular session of the
Seventy-first Legislative Assembly adjourns sine die. + } ' .
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