Chapter 685 Oregon Laws 2003

AN ACT

HB 2301

Relating to Oregon Forest Land Protection Fund; creating new provisions; amending ORS 477.277, 477.281, 477.295, 477.755 and 477.760; repealing ORS 477.775; and declaring an emergency.

Be It Enacted by the People of the State of Oregon:

SECTION 1. ORS 477.277 is amended to read:

477.277. (1) In addition to any other assessment prescribed by ORS 477.205 to 477.281, in any fiscal year in which the Emergency Fire Cost Committee determines that the reserve base of the Oregon Forest Land Protection Fund is less than [$15] $22.5million, a surcharge shall be levied and assessed in the amount of $38 for each improved lot or parcel, except as provided in ORS 477.760, to defray the increased cost of fire suppression on forestland that is caused by the existence of the improvements.

(2) All surcharge moneys collected pursuant to this section shall be paid into the Oregon Forest Land Protection Fund.

(3) If an owner of forestland files a forest protection plan with the forester which is approved by the State Board of Forestry under ORS 477.210 (2), the owner shall not be required to pay the surcharge levied under subsection (1) of this section.

(4) As used in this section, a lot or parcel is “improved” if it is indicated as improved in the county assessor’s property classification files or if a manufactured dwelling is sited on the lot or parcel.

SECTION 2. ORS 477.281 is amended to read:

477.281. (1) The obligation of an owner of timberland or grazing land for payment of assessments and taxes for fire protection of forestland is limited to:

(a) The payment of moneys pursuant to ORS 321.015 (2), 477.277, 477.295, 477.760 (4) and 477.880 to maintain the Oregon Forest Land Protection Fund reserve base at [$15] $22.5 million; and

(b) The payment of forest protection district assessments pursuant to ORS 477.205 to 477.281.

(2) As used in this section, “obligation of an owner of timberland or grazing land for payment of assessments and taxes for fire protection of forestland” does not include the duties or obligations of the owner under ORS 477.066, 477.068 or 477.120 or the obligations of an owner of land included in a rural fire protection district pursuant to ORS 478.010.

SECTION 3. ORS 477.295 is amended to read:

477.295. (1) For purposes of making the levy and assessment of costs against forestland under ORS 477.270, the minimum cost to provide fire protection or suppression for any lot or parcel of real property separately assessed for ad valorem taxes or other taxes provided by law in lieu thereof, on the current assessment roll shall be not less than $18, except as provided in ORS 477.760. Three dollars of each minimum assessment shall be paid into the Oregon Forest Land Protection Fund. Otherwise, such assessments shall be determined under ORS 477.230 and 477.270.

(2) In any fiscal year in which the Emergency Fire Cost Committee determines the reserve base of the Oregon Forest Land Protection Fund to be more than [$15] $22.5 million, the minimum assessment referred to in subsection (1) of this section shall be $15 for each lot or parcel and such amount shall be treated in the same manner as assessments under ORS 477.230 and 477.270.

(3) Upon application to the forester under subsection (4) of this section, contiguous lots held under identical ownership shall be considered as one combined lot for purposes of subsection (1) of this section, except that the combined lot shall not include:

(a) A lot on which a structure has been placed or improvements made for the purpose of erecting any temporary or permanent structure;

(b) A lot that is in a subdivision containing lots that have been or are being offered for sale; or

(c) A lot that is not designated forest or agricultural land for the purpose of land use or special tax assessment purposes.

(4) To qualify under subsection (3) of this section, an owner of forestland shall make application to the forester no later than April 15 of the fiscal year preceding each fiscal year for which the owner desires the land to be assessed under subsection (3) of this section. The application shall be on a form prescribed by the State Forester. A fee of $25 per combined lot shall be paid to the forester at the time of first application for the combined lot. An additional fee of $25 per combined lot shall be paid to the forester at the time of subsequent application, if an application for the combined lot was not made for the previous fiscal year.

(5) The State Board of Forestry may adopt rules for the administration of the provisions of subsections (3) and (4) of this section.

(6) For the purposes of this section, “lot” and “subdivision” have the meanings given those terms in ORS 92.010.

SECTION 4. ORS 477.755 is amended to read:

477.755. Notwithstanding ORS 291.238, the moneys in the Oregon Forest Land Protection Fund are appropriated continuously to the Emergency Fire Cost Committee and shall be used for equalizing emergency fire suppression costs for safeguarding forestland in any forest protection district, and for necessary administrative expenses. However, such administrative expenses [shall] may not exceed the limit authorized by the Legislative Assembly each biennium. Notwithstanding any other provision of law, the annual expenditure from the Oregon Forest Land Protection Fund from revenues received from ORS 321.015 (2), 477.277 (1), 477.295 (1), 477.750 (1) and (2), 477.760 (4) and 477.880 (2) [shall] may not exceed [$10] $15 million.

SECTION 5. ORS 477.760 is amended to read:

477.760. (1) The reserve base of the Oregon Forest Land Protection Fund is [$15] $22.5 million. On or about the last day of February of each year the Emergency Fire Cost Committee shall meet and determine the unencumbered balance of the fund as of the preceding February 16.

(2) In order to maintain the reserve base of the fund at [$15] $22.5 million, the Emergency Fire Cost Committee may request and the State Treasurer may approve transfers to the fund in accordance with ORS 293.205 to 293.225, if the moneys in this fund fall below the reserve base, whether or not there are sufficient moneys in the fund to pay the obligations of the fund. Repayment of any such transfers shall be made from moneys paid into the fund pursuant to ORS 321.015 (2), 477.277 and 477.880 and from such other moneys as may be credited to the fund therefor.

(3) If the committee determines that the moneys in the fund exceed the reserve base and that no repayment obligations are outstanding from transfers made pursuant to subsection (2) of this section, then the taxes described in ORS 321.015 (2) shall not be collected for the following calendar year, and the assessments described in ORS 477.880 shall not be levied for the following fiscal year.

(4)(a) Notwithstanding any other provision of law, if the funds referred to in subsection (2) of this section are inadequate to cover repayment of transfers from the State Treasurer or from other sources, the State Forester shall increase the following taxes, assessments and charges in an amount adequate to assure repayment of the transfers, and any interest accrued thereon, allowing for contingencies in valuation, assessment and collection:

(A) The harvest tax referred to in ORS 321.015 (2).

(B) The surcharge on developed lots referred to in ORS 477.277.

(D) The acreage assessments referred to in ORS 477.880 (2).

(b) The increases to taxes, assessments and charges shall be apportioned based upon the proportionate levels of revenues received from each source by the Oregon Forest Land Protection Fund. Any such increases shall be computed on or before January 1 of each year, and shall be based upon revenues received during the previous four quarters. Any such increases shall be made in the appropriate calendar or fiscal year following that in which the requested transfers from the State Treasurer or from other sources are made.

SECTION 6. ORS 477.277, as amended by section 1 of this 2003 Act, is amended to read:

477.277. (1) In addition to any other assessment prescribed by ORS 477.205 to 477.281, in any fiscal year in which the Emergency Fire Cost Committee determines that the reserve base of the Oregon Forest Land Protection Fund is less than [$22.5 million] $15 million, a surcharge shall be levied and assessed in the amount of $38 for each improved lot or parcel, except as provided in ORS 477.760, to defray the increased cost of fire suppression on forestland that is caused by the existence of the improvements.

(2) All surcharge moneys collected pursuant to this section shall be paid into the Oregon Forest Land Protection Fund.

SECTION 7. ORS 477.281, as amended by section 2 of this 2003 Act, is amended to read:

477.281. (1) The obligation of an owner of timberland or grazing land for payment of assessments and taxes for fire protection of forestland is limited to:

(a) The payment of moneys pursuant to ORS 321.015 (2), 477.277, 477.295, 477.760 (4) and 477.880 to maintain the Oregon Forest Land Protection Fund reserve base at [$22.5 million] $15 million; and

(b) The payment of forest protection district assessments pursuant to ORS 477.205 to 477.281.

SECTION 8. ORS 477.295, as amended by section 3 of this 2003 Act, is amended to read:

(2) In any fiscal year in which the Emergency Fire Cost Committee determines the reserve base of the Oregon Forest Land Protection Fund to be more than [$22.5 million] $15 million, the minimum assessment referred to in subsection (1) of this section shall be $15 for each lot or parcel and such amount shall be treated in the same manner as assessments under ORS 477.230 and 477.270.

(a) A lot on which a structure has been placed or improvements made for the purpose of erecting any temporary or permanent structure;

(b) A lot that is in a subdivision containing lots that have been or are being offered for sale; or

(c) A lot that is not designated forest or agricultural land for the purpose of land use or special tax assessment purposes.

(5) The State Board of Forestry may adopt rules for the administration of the provisions of subsections (3) and (4) of this section.

(6) For the purposes of this section, “lot” and “subdivision” have the meanings given those terms in ORS 92.010.

SECTION 9. ORS 477.755, as amended by section 4 of this 2003 Act, is amended to read:

477.755. Notwithstanding ORS 291.238, the moneys in the Oregon Forest Land Protection Fund are appropriated continuously to the Emergency Fire Cost Committee and shall be used for equalizing emergency fire suppression costs for safeguarding forestland in any forest protection district, and for necessary administrative expenses. However, such administrative expenses may not exceed the limit authorized by the Legislative Assembly each biennium. Notwithstanding any other provision of law, the annual expenditure from the Oregon Forest Land Protection Fund from revenues received from ORS 321.015 (2), 477.277 (1), 477.295 (1), 477.750 (1) and (2), 477.760 (4) and 477.880 (2) may not exceed [$15 million] $10 million.

SECTION 10. ORS 477.760, as amended by section 5 of this 2003 Act, is amended to read:

477.760. (1) The reserve base of the Oregon Forest Land Protection Fund is [$22.5 million] $15 million. On or about the last day of February of each year the Emergency Fire Cost Committee shall meet and determine the unencumbered balance of the fund as of the preceding February 16.

(2) In order to maintain the reserve base of the fund at [$22.5 million] $15 million, the Emergency Fire Cost Committee may request and the State Treasurer may approve transfers to the fund in accordance with ORS 293.205 to 293.225, if the moneys in this fund fall below the reserve base, whether or not there are sufficient moneys in the fund to pay the obligations of the fund. Repayment of any such transfers shall be made from moneys paid into the fund pursuant to ORS 321.015 (2), 477.277 and 477.880 and from such other moneys as may be credited to the fund therefor.

(A) The harvest tax referred to in ORS 321.015 (2).

(B) The surcharge on developed lots referred to in ORS 477.277.

(D) The acreage assessments referred to in ORS 477.880 (2).

SECTION 11. (1) The amendments to ORS 477.277, 477.281, 477.295 and 477.760 by sections 6, 7, 8 and 10 of this 2003 Act become operative on January 2, 2006.

(2) The amendments to ORS 477.755 by section 9 of this 2003 Act become operative July 1, 2005.

SECTION 12. (1) Notwithstanding ORS 477.775, from April 1, 2005, to March 31, 2006, the Emergency Fire Cost Committee may not purchase insurance pursuant to ORS 477.775 using moneys from the Oregon Forest Land Protection Fund.

(2) The Legislative Assembly may allow insurance coverage to be paid from the Oregon Forest Land Protection Fund from April 1, 2005, to March 31, 2006, if the Legislative Assembly determines by law that insurance is the most cost-effective approach for forest protection and that insurance should be paid from the fund.

SECTION 13. ORS 477.775 is repealed on June 30, 2006.

SECTION 14. This 2003 Act being necessary for the immediate preservation of the public peace, health and safety, an emergency is declared to exist, and this 2003 Act takes effect on its passage.

Approved by the Governor August 21, 2003

Filed in the office of Secretary of State August 21, 2003

Effective date August 21, 2003

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