72nd OREGON LEGISLATIVE ASSEMBLY--2003 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 2411
Corrected
A-Engrossed
Senate Bill 467
Ordered by the Senate April 23
Including Senate Amendments dated April 23
Sponsored by Senator METSGER, Representative P SMITH
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.
Directs Economic and Community Development Department to
{ - develop guidelines for use by cities and counties when
conducting analysis of need for and supply of industrial and
commercial land - } { + work with local governments and
affected agencies to identify and prioritize up to 25 sites for
industrial development or other traded sector uses + }.
{ - Authorizes department to make technical assistance grants to
cities and counties to conduct analysis. - } Directs department
to establish site certification process for land available for
industrial { - or commercial - } development.
{ - Directs Department of Land Conservation and Development
to identify amendments to comprehensive plans and land use
regulations that affect availability of land zoned for industrial
or commercial use and to take action necessary to preserve
availability of strategic sites. - }
{ + Creates Community Solutions Office. Specifies state
agencies composing community solutions team. Directs certain
state agencies to provide staff and resources to implement
industrial site identification process.
Directs Division of State Lands to develop expedited process
for identifying and mitigating loss of wetlands or water on sites
identified for industrial development.
Directs Oregon Economic and Community Development Commission to
develop state economic development strategy. Specifies duties of
certain state agencies to assist in developing and implementing
strategy.
Declares emergency, effective on passage. + }
A BILL FOR AN ACT
Relating to economic development; creating new provisions;
amending ORS 215.427, 227.178, 285B.283, 285B.286 and 285B.455;
and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + Section 2 of this 2003 Act is added to and made
a part of ORS chapter 285B. + }
SECTION 2. { + (1) The Economic and Community Development
Department shall work with local governments, as defined in ORS
174.116, and affected state agencies to identify and prioritize
up to 25 sites to be used for industrial development or other
traded sector uses. The department shall identify sites that are
consistent with data collected by the department from businesses
seeking to locate or expand in Oregon. The department shall
identify and prioritize sites that are:
(a) Of sufficient size to meet industrial or traded sector
needs, as expressed in inquiries received by the department from
businesses seeking to locate or expand in Oregon;
(b) Owned and held in a manner that facilitates efficient
industrial or traded sector development;
(c) Within the jurisdiction of a local government that
evidences a willingness to cooperate in siting new development;
(d) Served by necessary public facilities and infrastructure,
including transportation facilities, or such facilities and
infrastructure can be provided within a reasonable period of
time;
(e) Subject to few, if any, environmental constraints, or the
constraints can be mitigated within a reasonable period of time;
and
(f) Zoned in a manner that allows the desired industrial or
traded sector development, or can be zoned in such manner within
a reasonable period of time.
(2) To assist the department in identifying and prioritizing
sites under subsection (1) of this section, the Director of the
Economic and Community Development Department shall convene an
advisory committee consisting of eight members who are
knowledgeable about the need for and requirements of industrial
and traded sector development and the availability of land for
such development within the state.
(3) The department shall identify and prioritize sites under
subsection (1) of this section not later than December 15,
2003. + }
SECTION 3. { + (1) The Governor shall establish a Community
Solutions Office for the purpose of coordinating and streamlining
state development policies, programs and procedures. The office
shall establish a community solutions team consisting of the
following state agencies:
(a) The Department of Environmental Quality;
(b) The Economic and Community Development Department;
(c) The Department of Transportation;
(d) The Division of State Lands;
(e) The Department of Land Conservation and Development;
(f) The State Department of Agriculture;
(g) The Housing and Community Services Department; and
(h) Other appropriate agencies as determined by the Governor.
(2) Subject to the direction of the Governor, the community
solutions team shall:
(a) Develop mechanisms to increase coordination among agencies
on common activities;
(b) Coordinate the activities of state agencies on specific
projects;
(c) Coordinate the planning and permitting activities of state
agencies for industrial sites identified and prioritized under
section 2 of this 2003 Act;
(d) Coordinate the grant and loan activities of state agencies
to implement section 2 of this 2003 Act; and
(e) Participate in the rulemaking activities of participating
agencies to coordinate economic development activities.
(3)(a) The Community Solutions Office shall establish an
advisory committee of individuals familiar with agency permit
procedures to advise the Governor and the community solutions
team in permit issues related to economic development.
(b) The office shall also establish a committee to study, and
report to the Governor on, measures to protect industrial land
from being rezoned and used for nonindustrial development.
(4) The Community Solutions Office shall submit a report
detailing its activities to the Legislative Assembly in the
manner described in ORS 192.245 not later than January 31 of
every odd-numbered year. The report shall include case studies
that demonstrate:
(a) The types of problems encountered in coordinating agency
functions;
(b) Any statutory impediments to efficient economic
development; and
(c) Any recommendations for legislative measures to improve
agency operations and statewide economic development. + }
SECTION 4. { + The Community Solutions Office established
under section 3 of this 2003 Act shall give priority to obtaining
any permit approvals necessary for development projects proposed
for a site identified for industrial development under section 2
of this 2003 Act. + }
SECTION 5. { + (1) The Division of State Lands shall develop
an expedited process for identifying and mitigating loss of
wetlands or other waters of the state on sites identified for
industrial development under section 2 of this 2003 Act. The
expedited process required under this subsection shall be adopted
by the division not later than six months following the effective
date of this 2003 Act.
(2) The Department of Environmental Quality may request federal
grant moneys to assist in assessment and remediation of
contamination on a site identified for industrial development
under section 2 of this 2003 Act.
(3)(a) Notwithstanding ORS 197.825, the Land Conservation and
Development Commission shall review any amendments to a city or
county comprehensive plan and land use regulations to determine
compliance with state statutes, administrative rules and the land
use planning goals adopted under ORS 197.225. Appeal of an order
of the commission determining compliance with applicable statutes
and goals shall be as provided under ORS 197.650.
(b) The Land Conservation and Development Commission shall
adopt, amend or repeal administrative rules as necessary to
expedite and facilitate industrial development of a site
identified under section 2 of this 2003 Act.
(4) The Oregon Transportation Commission shall identify an
amount to be drawn from an account established by the commission
for immediate transportation opportunities, or from any other
fund as determined by the commission, that the commission
determines is necessary to resolve transportation constraints on
a site identified for industrial development under section 2 of
this 2003 Act. + }
SECTION 6. { + Under the direction of the Community Solutions
Office established under section 3 of this 2003 Act, the
following state agencies shall provide staff and resources as
necessary to implement the industrial site identification process
described in section 2 of this 2003 Act:
(1) The Economic and Community Development Department;
(2) The Department of Land Conservation and Development;
(3) The Department of Transportation;
(4) The Department of Environmental Quality; and
(5) The Division of State Lands. + }
SECTION 7. { + (1) The Director of the Division of State Lands
may provide technical assistance to property owners, state
agencies and local governments as defined in ORS 174.116 to
investigate the feasibility of developing a site identified for
industrial development under section 2 of this 2003 Act. The
director may provide technical assistance to investigate the
feasibility of transportation facilities related to industrial
development of a site identified under section 2 of this 2003
Act. The assistance may include guiding, reviewing and approving
the sufficiency of the required elements of an application for a
removal or fill permit under ORS 196.825, including but not
limited to a site plan, jurisdictional determination,
alternatives analysis and mitigation plan.
(2) The director may accept and expend funds received from
gifts, grants or other sources as necessary to perform activities
authorized under this section. The director may enter into
contracts and other agreements as necessary to perform the
activities authorized under this section. + }
SECTION 8. { + The Economic and Community Development
Department shall develop and administer a process for certifying
sites throughout the state that are available for industrial
development. The department shall coordinate with the Community
Solutions Office established under section 3 of this 2003 Act in
developing and administering the site certification process. + }
SECTION 9. ORS 285B.283 is amended to read:
285B.283. (1) The Legislative Assembly declares that it is the
policy of the State of Oregon, working with private firms,
industry associations and others, to encourage cooperative
sector-based strategies to promote industrial competitiveness.
(2) The Legislative Assembly declares that it is { - also - }
the policy of this state that programs to develop particular
sectors of this state's economy, to the maximum extent feasible,
include firms of all sizes. To promote that policy, the Economic
and Community Development Department shall undertake such efforts
as are necessary to { - assure - } { + ensure + }
representative participation by small firms under ORS 285B.280 to
285B.286.
(3) The Legislative Assembly { - further - } declares that
it is the policy of this state to emphasize industry development
in those sectors of the economy in which Oregon firms face
national and international competition.
{ + (4) The Legislative Assembly declares that it is the
policy of this state to provide an adequate supply of industrial
and traded sector sites available for immediate development. + }
SECTION 10. ORS 285B.286 is amended to read:
285B.286. For traded sector industries, the Economic and
Community Development Department shall undertake industry
development activities { - which - } { + that + } may
include, but are not limited to, all of the following:
(1) Focus groups and other meetings and related studies to
identify traded sector industry members and issues of common
concern within an industry.
(2) State technical and financial support for formation of
industry associations, publication of association directories and
related efforts to create or expand the activities of industry
associations.
(3) Helping establish research consortia.
(4) Joint training and education programs and curricula related
to the specific needs of traded sector industries.
(5) Cooperative market development activities.
(6) Analysis of the need, feasibility and cost for establishing
product certification and testing facilities and services.
{ + (7) State technical and financial support to facilitate
certification of industrial land sites as ready for development.
The activities may include performing site assessments to
determine the costs associated with development of individual
sites. + }
SECTION 11. ORS 285B.455 is amended to read:
285B.455. (1) There is created the Special Public Works Fund,
separate and distinct from the General Fund. All moneys credited
to the Special Public Works Fund are appropriated continuously
and shall be used for the purposes outlined in ORS 285A.075 (9)
and 285B.410 to 285B.479. There shall be credited to the Special
Public Works Fund, money appropriated to the fund by the
Legislative Assembly, earnings on the fund, repayment of
financial assistance and bond proceeds as authorized under ORS
285B.410 to 285B.479.
(2) Moneys in the Special Public Works Fund, with the approval
of the State Treasurer, may be invested as provided by ORS
293.701 to 293.820 and the earnings from such investments shall
be credited to the account in the Special Public Works Fund
designated by the Economic and Community Development Department.
(3) The Economic and Community Development Department shall be
the agency for the State of Oregon for the administration of the
Special Public Works Fund.
(4) The department may establish such other accounts within the
Special Public Works Fund for the payment of project costs,
reserves, debt service payments, credit enhancement,
administration and operation expenses or any other purpose
necessary to carry out ORS 285B.410 to 285B.479.
(5) Out of moneys in the Special Public Works Fund, the
department may:
(a) Make technical assistance grants and loans to
municipalities { + . + } { - of less than 5,000 residents. A
technical assistance grant shall not exceed $10,000. A technical
assistance loan shall not exceed $20,000. No more than $400,000
or - } { + Not more than + } one percent of the value of the
fund { - , whichever is less, - } shall be expended on technical
assistance grants and loans in any biennium.
(b) Make grants to municipalities to provide local matching
funds for the purposes of a project described in ORS 285B.410
(3)(e) in an amount that does not exceed $2.5 million in any
biennium.
SECTION 12. { + (1) The Oregon Economic and Community
Development Commission, in consultation with the Community
Solutions Office established under section 3 of this 2003 Act,
shall appoint an advisory committee representing local
governments, ports, local economic development organizations,
private industry and other individuals familiar with economic
development strategies to assist the commission in developing a
state economic development strategy. The strategy shall be
adopted and periodically updated by the commission. The strategy
shall focus on:
(a) The creation, expansion and retention of Oregon businesses;
(b) Assisting the development and growth of competitive
industrial sectors;
(c) Creating new jobs by attracting new businesses to Oregon;
(d) Providing economic development tools and resources to
Oregon communities;
(e) Assisting local communities and regions in developing and
maintaining economic development plans that coordinate with the
state economic development strategy;
(f) Providing an adequate supply of industrial, commercial and
retail sites available for immediate development inside urban
growth boundaries;
(g) Providing public infrastructure in a timely manner;
(h) Resolving constraints and removing barriers to the timely
development of industrial and traded sector sites; and
(i) Developing recommendations for prioritizing state loans,
grants and technical assistance to local governments that meet
the objectives of the strategy.
(2) The commission shall present the state economic development
strategy to the Seventy-third Legislative Assembly not later than
January 31, 2005, including a report on actions taken by the
commission to implement the strategy. + }
SECTION 13. { + (1) The following agencies shall assist the
Oregon Economic and Community Development Commission in
developing and implementing the state economic development
strategy adopted under section 12 of this 2003 Act:
(a) The Department of Land Conservation and Development;
(b) The Department of Transportation; and
(c) The Division of State Lands.
(2) Pursuant to subsection (1) of this section, the Department
of Land Conservation and Development shall:
(a)(A) Provide local governments with basic and advanced
methods for identifying, analyzing and providing for industrial,
commercial and retail development sites;
(B) Develop and provide a guidebook and any other appropriate
materials to assist local governments in identifying and
analyzing potential industrial, commercial and retail lands; and
(C) Provide technical assistance to local governments to assist
the local governments in completing the identification and
analysis.
(b) Provide agency grant programs to local governments in a
manner that furthers the implementation of the state economic
development strategy adopted under section 12 of this 2003 Act.
(c) Adopt, amend or repeal agency rules and procedures as
necessary to ensure that the following actions can be
accomplished in a timely manner:
(A) Expansion of urban growth boundaries where necessary to
accommodate industrial and traded sector development;
(B) Reviewing of amendments to comprehensive plans and periodic
review of comprehensive plans and land use regulations; and
(C) Focusing of department resources on land supply issues
inside urban growth boundaries and on issues related to
transportation and public facilities necessary to stimulate
economic growth.
(3) Pursuant to subsection (1) of this section, the Department
of Transportation shall:
(a) Develop a process to prioritize funding for transportation
projects that further the state economic development strategy
adopted under section 12 of this 2003 Act.
(b) Develop and maintain state transportation policies and a
comprehensive long-range plan for a safe, multimodal
transportation system that encourages economic efficiency and
orderly economic development and that maximizes the use of
existing transportation infrastructure.
(c) Take such action as is necessary to ensure that department
policies and activities are implemented in a manner that supports
the state economic development strategy adopted under section 12
of this 2003 Act.
(d) Expedite the processing of permits issued by the department
for transportation improvements that further the state economic
development strategy adopted under section 12 of this 2003 Act.
(4) Pursuant to subsection (1) of this section, the Division of
State Lands shall:
(a) Consistent with ORS 196.674, focus wetlands and riparian
inventories on any areas or locations described in the state
economic development strategy adopted under section 12 of this
2003 Act. The division may provide grants and technical
assistance to local governments to conduct the inventories.
(b) Develop a site assessment methodology for rapidly
determining the capacity of a site for economic development. The
methodology shall address site-specific impediments to
development and any costs associated with compliance with ORS
196.800 to 196.900.
(5) Local governments, as defined in ORS 174.116, shall
participate in the implementation of the state economic
development strategy by demonstrating a willingness to:
(a) Coordinate local economic development plans with state
economic development strategies; and
(b) Expedite amendments to comprehensive land use plans or
provide necessary infrastructure for siting new industrial
development. + }
SECTION 14. ORS 215.427 is amended to read:
215.427. (1) Except as provided in subsections (3) and (4) of
this section, for land within an urban growth boundary and
applications for mineral aggregate extraction, the governing body
of a county or its designee shall take final action on an
application for a permit, limited land use decision or zone
change, including resolution of all appeals under ORS 215.422,
within 120 days after the application is deemed complete. The
governing body of a county or its designee shall take final
action on all other applications for a permit, limited land use
decision or zone change, including resolution of all appeals
under ORS 215.422, within 150 days after the application is
deemed complete, except as provided in subsections (3) and (4) of
this section.
(2) If an application for a permit, limited land use decision
or zone change is incomplete, the governing body or its designee
shall notify the applicant of exactly what information is missing
within 30 days of receipt of the application and allow the
applicant to submit the missing information. The application
shall be deemed complete for the purpose of subsection (1) of
this section upon receipt by the governing body or its designee
of the missing information. If the applicant refuses to submit
the missing information, the application shall be deemed complete
for the purpose of subsection (1) of this section on the 31st day
after the governing body first received the application.
(3) { + (a) + } If the application was complete when first
submitted or the applicant submits the requested additional
information within 180 days of the date the application was first
submitted and the county has a comprehensive plan and land use
regulations acknowledged under ORS 197.251, approval or denial of
the application shall be based upon the standards and criteria
that were applicable at the time the application was first
submitted.
{ + (b) If the application is for industrial development of a
site identified under section 2 of this 2003 Act and proposes an
amendment to the comprehensive plan, approval or denial of the
application shall be based upon the standards and criteria that
were applicable at the time the application was first submitted,
provided the application complies with paragraph (a) of this
subsection. + }
(4) The period set in subsection (1) of this section may be
extended for a reasonable period of time at the request of the
applicant.
(5) The period set in subsection (1) of this section applies:
(a) Only to decisions wholly within the authority and control
of the governing body of the county; and
(b) Unless the parties have agreed to mediation as described in
ORS 197.319 (2)(b).
(6) Notwithstanding subsection (5) of this section, the period
set in subsection (1) of this section does not apply to an
amendment to an acknowledged comprehensive plan or land use
regulation or adoption of a new land use regulation that was
forwarded to the Director of the Department of Land Conservation
and Development under ORS 197.610 (1).
(7) Except when an applicant requests an extension under
subsection (4) of this section, if the governing body of the
county or its designee does not take final action on an
application for a permit, limited land use decision or zone
change within 120 days or 150 days, as applicable, after the
application is deemed complete, the county shall refund to the
applicant either the unexpended portion of any application fees
or deposits previously paid or 50 percent of the total amount of
such fees or deposits, whichever is greater. The applicant is not
liable for additional governmental fees incurred subsequent to
the payment of such fees or deposits. However, the applicant is
responsible for the costs of providing sufficient additional
information to address relevant issues identified in the
consideration of the application.
(8) A county may not compel an applicant to waive the period
set in subsection (1) of this section or to waive the provisions
of subsection (7) of this section or ORS 215.429 as a condition
for taking any action on an application for a permit, limited
land use decision or zone change except when such applications
are filed concurrently and considered jointly with a plan
amendment.
SECTION 15. ORS 227.178 is amended to read:
227.178. (1) Except as provided in subsections (3) and (4) of
this section, the governing body of a city or its designee shall
take final action on an application for a permit, limited land
use decision or zone change, including resolution of all appeals
under ORS 227.180, within 120 days after the application is
deemed complete.
(2) If an application for a permit, limited land use decision
or zone change is incomplete, the governing body or its designee
shall notify the applicant of exactly what information is missing
within 30 days of receipt of the application and allow the
applicant to submit the missing information. The application
shall be deemed complete for the purpose of subsection (1) of
this section upon receipt by the governing body or its designee
of the missing information. If the applicant refuses to submit
the missing information, the application shall be deemed complete
for the purpose of subsection (1) of this section on the 31st day
after the governing body first received the application.
(3) { + (a) + } If the application was complete when first
submitted or the applicant submits the requested additional
information within 180 days of the date the application was first
submitted and the city has a comprehensive plan and land use
regulations acknowledged under ORS 197.251, approval or denial of
the application shall be based upon the standards and criteria
that were applicable at the time the application was first
submitted.
{ + (b) If the application is for industrial development of a
site identified under section 2 of this 2003 Act and proposes an
amendment to the comprehensive plan, approval or denial of the
application shall be based upon the standards and criteria that
were applicable at the time the application was first submitted,
provided the application complies with paragraph (a) of this
subsection. + }
(4) The 120-day period set in subsection (1) of this section
may be extended for a reasonable period of time at the request of
the applicant.
(5) The 120-day period set in subsection (1) of this section
applies:
(a) Only to decisions wholly within the authority and control
of the governing body of the city; and
(b) Unless the parties have agreed to mediation as described in
ORS 197.319 (2)(b).
(6) Notwithstanding subsection (5) of this section, the 120-day
period set in subsection (1) of this section does not apply to an
amendment to an acknowledged comprehensive plan or land use
regulation or adoption of a new land use regulation that was
forwarded to the Director of the Department of Land Conservation
and Development under ORS 197.610 (1).
(7) Except when an applicant requests an extension under
subsection (4) of this section, if the governing body of the city
or its designee does not take final action on an application for
a permit, limited land use decision or zone change within 120
days after the application is deemed complete, the city shall
refund to the applicant, subject to the provisions of subsection
(8) of this section, either the unexpended portion of any
application fees or deposits previously paid or 50 percent of the
total amount of such fees or deposits, whichever is greater. The
applicant is not liable for additional governmental fees incurred
subsequent to the payment of such fees or deposits. However, the
applicant is responsible for the costs of providing sufficient
additional information to address relevant issues identified in
the consideration of the application.
(8)(a) To obtain a refund under subsection (7) of this section,
the applicant may either:
(A) Submit a written request for payment, either by mail or in
person, to the city or its designee; or
(B) Include the amount claimed in a mandamus petition filed
under ORS 227.179. The court shall award an amount owed under
this section in its final order on the petition.
(b) Within seven calendar days of receiving a request for a
refund, the city or its designee shall determine the amount of
any refund owed. Payment, or notice that no payment is due, shall
be made to the applicant within 30 calendar days of receiving the
request. Any amount due and not paid within 30 calendar days of
receipt of the request shall be subject to interest charges at
the rate of one percent per month, or a portion thereof.
(c) If payment due under paragraph (b) of this subsection is
not paid within 120 days after the city or its designee receives
the refund request, the applicant may file an action for recovery
of the unpaid refund. In an action brought by a person under this
paragraph, the court shall award to a prevailing applicant, in
addition to the relief provided in this section, reasonable
attorney fees and costs at trial and on appeal. If the city or
its designee prevails, the court shall award reasonable attorney
fees and costs at trial and on appeal if the court finds the
petition to be frivolous.
(9) A city may not compel an applicant to waive the 120-day
period set in subsection (1) of this section or to waive the
provisions of subsection (7) of this section or ORS 227.179 as a
condition for taking any action on an application for a permit,
limited land use decision or zone change except when such
applications are filed concurrently and considered jointly with a
plan amendment.
SECTION 16. { + 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. + }
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