Chapter 217
AN ACT
SB 66
Relating to administration of public funds; creating new provisions;
amending ORS 291.002, 291.201, 426.506, 446.533, 456.579, 468B.455, 541.378 and
757.612; repealing ORS 291.230 and 291.280; appropriating money; and declaring
an emergency.
Be It Enacted by the People of
the State of
SECTION 1. Section 2 of this 2007 Act is added to and
made a part of ORS 293.701 to 293.820.
SECTION 2. (1) Moneys in a fund established by law may
not be discretely invested unless the law establishing the fund specifically
indicates that the moneys may be invested. A provision in a law establishing a
fund that requires interest earned by the fund to be retained by the fund is
not, by itself, a specific indication that the moneys in the fund may be
discretely invested.
(2) As used in this
section, “discretely invested” means invested in something other than the state
investment fund established under ORS 293.701 (2)(o).
SECTION 3. ORS 446.533 is amended to read:
446.533. There hereby is
established [in] separate and
distinct from the General Fund the Mobile Home Parks Account of the Housing
and Community Services Department. Except as otherwise provided by law, all
moneys appropriated or credited to the [Housing
and Community Services Department hereby] account are appropriated
continuously for and shall be used by the Director of the Housing and Community
Services Department for the purpose of carrying out the duties and
responsibilities imposed under ORS 105.138 and 446.515 to 446.547. Interest
earned on the account shall be credited to the account.
SECTION 4. ORS 456.579 is amended to read:
456.579. (1) There is established [in]
separate and distinct from the General Fund an account to be known as the
Mobile Home Parks Purchase Account. Except as otherwise provided by law, all
moneys appropriated or credited to the Mobile Home Parks Purchase Account are
appropriated continuously for and shall be used by the Director of the Housing
and Community Services Department for the purpose of carrying out the duties
and responsibilities imposed upon the Housing and Community Services Department
under ORS 90.100, 90.630, 90.760, 90.800 to 90.840, 308.905, 446.003 and
456.581 and this section. Interest earned on the account shall be credited to
the account.
(2) Except for loans
provided in ORS 90.840, the account described in subsection (1) of this section
shall not be connected to or commingled in any way with the funds described in
ORS 456.720.
(3) For the purpose of
carrying out the provisions of ORS 90.100, 90.630, 90.760, 90.800 to 90.840,
308.905, 446.003 and 456.581 and this section, the Housing and Community
Services Department may seek funds from sources other than that described in
ORS 308.905 (1). Such funds shall be credited to the Mobile Home Parks Purchase
Account.
SECTION 5. ORS 468B.455 is amended to read:
468B.455. (1) There is
established an Oil Spillage Control Fund [within]
separate and distinct from the General Fund. This account shall be a
revolving fund, the interest of which [accrues]
shall be credited to the Oil Spillage Control Fund.
(2) All penalties
recovered under ORS 468B.450 (1) shall be paid into the Oil Spillage Control
Fund. Such moneys are continuously appropriated to the Department of Environmental
Quality for the advancement of costs incurred in carrying out cleanup
activities and for the rehabilitation of affected fish and wildlife as provided
under ORS 468B.060.
(3) With the approval of
the Environmental Quality Commission, the moneys in the Oil Spillage Control
Fund may be invested as provided by ORS 293.701 to 293.820, and earnings from
such investment shall be credited to the fund.
(4) The Oil Spillage
Control Fund shall not be used for any purpose other than that for which the
fund was created.
SECTION 6. ORS 541.378 is amended to read:
541.378. (1) [There is created in the General Fund of the
State Treasury] The Restoration and Protection Research Fund is
established separate and distinct from the General Fund. Interest earned by
the Restoration and Protection Research Fund shall be credited to the fund.
Moneys credited to the fund are continuously appropriated to the Oregon
Watershed Enhancement Board for the purpose of funding research and other
activities related to the restoration and protection of native salmonid
populations, watersheds, fish and wildlife habitats and water quality,
including but not limited to research, monitoring, evaluation and assessment
related to the Oregon Plan.
(2) All moneys received
by the Oregon Watershed Enhancement Board from interest earned on the
Restoration and Protection Subaccount of the Parks and Natural Resources Fund
created under ORS 541.377, from the Watershed Improvement Operating Fund
created under ORS 541.379 and from the Watershed Improvement Grant Fund created
under ORS 541.397 shall be credited to the Restoration and Protection Research
Fund. Moneys credited to the fund and not expended by the completion of a
biennium shall remain in the fund.
SECTION 7. ORS 426.506 is amended to read:
426.506. (1) There is created in the State Treasury, separate and
distinct from the General Fund, the Community Mental Health Housing Fund. All
earnings on investments of moneys in the Community Mental Health Housing Fund
shall accrue to the fund. Interest earned on moneys in the fund shall be
credited to the fund. All moneys in the fund are continuously appropriated to
the Department of Human Services to carry out the provisions of ORS 426.504.
(2) The Community Mental
Health Housing Fund shall be administered by the department to provide housing
for chronically mentally ill persons. As used in this subsection, “housing” may
include acquisition, maintenance, repair, furnishings and equipment.
(3)(a) There is
established within the Community Mental Health Housing Fund a Community Housing
Trust Account. With approval of the State Treasurer and upon request of the
Director of Human Services, moneys in the account may be invested as provided
in ORS 293.701 to 293.820.
(b) Notwithstanding the provisions of ORS
270.150, the department shall deposit into the Community Housing Trust
Account the proceeds, less costs to the state, received by the department from
the sale of
[(b)] (c) Interest earned on moneys in the Community Housing
Trust Account may be expended in the following manner:
(A) Seventy percent of
interest earned on deposits in the account shall be expended for community
housing purposes; and
(B) Thirty percent of
interest earned on deposits in the account shall be expended for institutional
housing purposes.
[(c)] (d) Interest earned on
deposits in the Community Housing Trust Account shall not be used to
support operating expenses of the department.
(4) The Community Mental
Health Housing Fund shall consist of:
(a) Moneys appropriated
to the fund by the Legislative Assembly;
(b)
(c) Proceeds from the
sale, transfer or lease of any surplus real property owned, operated or
controlled by the department and used as community housing;
(d) Moneys reallocated
from other areas of the department’s budget;
(e) Interest and
earnings credited to the fund; and
(f) Gifts of money or
other property from any source, to be used for the purposes of developing
housing for chronically mentally ill persons.
(5) The department shall
adopt policies:
(a) To establish
priorities for the use of moneys in the Community Mental Health Housing Fund
for the sole purpose of developing housing for chronically mentally ill
persons;
(b) To match public and
private moneys available from other sources for developing housing for
chronically mentally ill persons; and
(c) To administer the
fund in a manner that will not exceed the State Treasury’s maximum cost per
transaction.
(6) The Department of
Human Services shall collaborate with the Housing and Community Services
Department to ensure the highest return and best value for community housing
from the Community Mental Health Housing Fund.
(7) The Department of
Human Services shall provide a report of revenues to and expenditures from the
Community Mental Health Housing Fund as part of its budget submission to the
Governor and Legislative Assembly under ORS chapter 291.
SECTION 8. (1) The Housing and Community Services
Department Electricity Public Purpose Charge Fund is established in the State
Treasury, separate and distinct from the General Fund. Interest earned by the
Housing and Community Services Department Electricity Public Purpose Charge
Fund shall be credited to the fund. Moneys in the fund are continuously
appropriated to the Housing and Community Services Department to be used for purposes
specified in ORS 757.612 (3)(b)(D).
(2) The Housing and
Community Services Department Low-Income Electric Bill Payment Assistance Fund
is established in the State Treasury, separate and distinct from the General
Fund. Interest earned by the Housing and Community Services Department
Low-Income Electric Bill Payment Assistance Fund shall be credited to the fund.
Moneys in the fund are continuously appropriated to the Housing and Community
Services Department for purposes described in ORS 757.612 (7).
SECTION 9. ORS 757.612 is amended to read:
757.612. (1) There is established an annual public purpose expenditure
standard for electric companies to fund new cost-effective local energy
conservation, new market transformation efforts, the above-market costs of new
renewable energy resources and new low-income weatherization. The public
purpose expenditure standard shall be funded by the public purpose charge
described in subsection (2) of this section.
(2)(a) Beginning on the
date an electric company offers direct access to its retail electricity
consumers, except residential electricity consumers, the electric company shall
collect a public purpose charge from all of the retail electricity consumers
located within its service area for a period of 10 years. Except as provided in
paragraph (b) of this subsection, the public purpose charge shall be equal to
three percent of the total revenues collected by the electric company or
electricity service supplier from its retail electricity consumers for electricity
services, distribution, ancillary services, metering and billing, transition
charges and other types of costs included in electric rates on July 23, 1999.
(b) For an aluminum
plant that averages more than 100 average megawatts of electricity use per year,
beginning on March 1, 2002, the electric company whose territory abuts the
greatest percentage of the site of the aluminum plant shall collect from the
aluminum company a public purpose charge equal to one percent of the total
revenue from the sale of electricity services to the aluminum plant from any
source.
(3)(a) The Public
Utility Commission shall establish rules implementing the provisions of this
section relating to electric companies.
(b) Subject to paragraph
(e) of this subsection, funds collected by an electric company through public
purpose charges shall be allocated as follows:
(A) Sixty-three percent
for new cost-effective conservation and new market transformation.
(B) Nineteen percent for
the above-market costs of new renewable energy resources.
(C) Thirteen percent for
new low-income weatherization.
(D) Five percent shall
be transferred to the Housing and Community Services Department [Revolving Account created under ORS 456.574]
Electricity Public Purpose Charge Fund established by section 8 (1) of this
2007 Act and used for the purpose of providing grants as described in ORS
458.625 (2). [Moneys deposited in the
account under this subparagraph are continuously appropriated to the Housing
and Community Services Department for the purposes of ORS 458.625 (2). Interest
on moneys deposited in the account under this subparagraph shall accrue to the
account.]
(c) The costs of
administering subsections (1) to (6) of this section for an electric company
shall be paid out of the funds collected through public purpose charges. The
commission may require that an electric company direct funds
collected through public purpose charges to the state agencies responsible for
implementing subsections (1) to (6) of this section in order to pay the costs
of administering such responsibilities.
(d) The commission shall
direct the manner in which public purpose charges are collected and spent by an
electric company and may require an electric company to expend funds through
competitive bids or other means designed to encourage competition, except that
funds dedicated for low-income weatherization shall be directed to the Housing
and Community Services Department as provided in subsection (7) of this
section. The commission may also direct that funds collected by an electric
company through public purpose charges be paid to a nongovernmental entity for
investment in public purposes described in subsection (1) of this section.
Notwithstanding any other provision of this subsection, at least 80 percent of
the funds allocated for conservation shall be spent within the service area of
the electric company that collected the funds.
(e)(A) The first 10
percent of the funds collected annually by an electric company under subsection
(2) of this section shall be distributed to education service districts, as
described in ORS 334.010, that are located in the service territory of the
electric company. The funds shall be distributed to individual education
service districts according to the weighted average daily membership (ADMw) of
the component school districts of the education service district for the prior
fiscal year as calculated under ORS 327.013. The commission shall establish by
rule a methodology for distributing a proportionate share of funds under this
paragraph to education service districts that are only partially located in the
service territory of the electric company.
(B) An education service
district that receives funds under this paragraph shall use the funds first to
pay for energy audits for school districts located within the education service
district. An education service district may not expend additional funds
received under this paragraph on a school district facility until an energy
audit has been completed for that school district. To the extent practicable,
an education service district shall coordinate with the State Department of
Energy and incorporate federal funding in complying with this paragraph.
Following completion of an energy audit for an individual school district, the
education service district may expend funds received under this paragraph to
implement the energy audit. Once an energy audit has been conducted and
completely implemented for each school district within the education service
district, the education service district may expend funds received under this
paragraph for any of the following purposes:
(i) Conducting energy
audits. A school district shall conduct an energy audit prior to expending
funds on any other purpose authorized under this paragraph unless the school district
has performed an energy audit within the three years immediately prior to
receiving the funds.
(ii) Weatherization and
upgrading the energy efficiency of school district facilities.
(iii) Energy
conservation education programs.
(iv)
Purchasing electricity from environmentally focused sources and
investing in renewable energy resources.
(f) The commission may
establish a different public purpose charge than the public purpose charge
otherwise described in subsection (2) of this section for an individual retail
electricity consumer or any class of retail electricity consumers located
within the service area of an electric company, provided that a retail
electricity consumer with a load greater than one average megawatt is not
required to pay a public purpose charge in excess of three percent of its total
cost of electricity services.
(g) The commission shall
remove from the rates of each electric company any costs for public purposes
described in subsection (1) of this section that are included in rates. A rate
adjustment under this paragraph shall be effective on the date that the
electric company begins collecting public purpose charges.
(4) An electric company
that satisfies its obligations under this section shall have no further
obligation to invest in conservation, new market transformation, new renewable
energy resources or new low-income weatherization or to provide a commercial energy conservation services program and is not
subject to ORS 469.631 to 469.645, 469.860 to 469.900 and 758.505 to 758.555.
(5)(a) A retail
electricity consumer that uses more than one average megawatt of electricity at
any site in the prior year shall receive a credit against public purpose
charges billed by an electric company for that site. The amount of the credit
shall be equal to the total amount of qualifying expenditures for new energy
conservation, not to exceed 68 percent of the annual public purpose charges,
and the above-market costs of purchases of new renewable energy resources
incurred by the retail electricity consumer, not to exceed 19 percent of the
annual public purpose charges, less administration costs incurred under this
subsection. The credit may not exceed, on an annual basis, the lesser of:
(A) The amount of the
retail electricity consumer’s qualifying expenditures; or
(B) The portion of the
public purpose charge billed to the retail electricity consumer that is
dedicated to new energy conservation, new market transformation or the
above-market costs of new renewable energy resources.
(b) To obtain a credit
under this subsection, a retail electricity consumer shall file with the State
Department of Energy a description of the proposed conservation project or new
renewable energy resource and a declaration that the retail electricity consumer
plans to incur the qualifying expenditure. The State Department of Energy shall
issue a notice of precertification within 30 days of receipt of the filing, if
such filing is consistent with this subsection. The credit may be taken after a
retail electricity consumer provides a letter from a certified public
accountant to the State Department of Energy verifying that the precertified
qualifying expenditure has been made.
(c) Credits earned by a
retail electricity consumer as a result of qualifying expenditures that are not
used in one year may be carried forward for use in subsequent years.
(d)(A) A retail
electricity consumer that uses more than one average megawatt of electricity at
any site in the prior year may request that the State Department of Energy hire
an independent auditor to assess the potential for conservation investments at
the site. If the independent auditor determines there is no available
conservation measure at the site that would have a simple payback of one to 10
years, the retail electricity consumer shall be relieved of 54 percent of its
payment obligation for public purpose charges related to the site. If the
independent auditor determines that there are potential conservation measures
available at the site, the retail electricity consumer shall be entitled to a
credit against public purpose charges related to the site equal to 54 percent
of the public purpose charges less the estimated cost of available conservation
measures.
(B) A retail electricity
consumer shall be entitled each year to the credit described in this subsection
unless a subsequent independent audit determines that new conservation
investment opportunities are available. The State Department of Energy may
require that a new independent audit be performed on the site to determine
whether new conservation measures are available, provided that the independent
audits shall occur no more than once every two years.
(C) The retail
electricity consumer shall pay the cost of the independent audits described in
this subsection.
(6) Electric utilities
and retail electricity consumers shall receive a fair and reasonable credit for
the public purpose expenditures of their energy suppliers. The State Department
of Energy shall adopt rules to determine eligible expenditures and the
methodology by which such credits are accounted for and used. The rules also
shall adopt methods to account for eligible public purpose expenditures made
through consortia or collaborative projects.
(7)(a) In addition to
the public purpose charge provided under subsection (2) of this section,
beginning on October 1, 2001, an electric company shall collect funds for
low-income electric bill payment assistance in an amount determined under
paragraph (b) of this subsection.
(b) The total amount
collected for low-income electric bill payment assistance under this section
shall be $10 million per year. The commission shall determine each electric
company’s proportionate share of the total amount. The commission shall
determine the amount to be collected from a retail electricity consumer, except
that a retail electricity consumer is not required to pay more than $500 per
month per site for low-income electric bill payment assistance.
(c) Funds collected by
the low-income electric bill payment assistance charge shall be paid into the
Housing and Community Services Department [Revolving
Account created under ORS 456.574] Low-Income Electric Bill Payment
Assistance Fund established by section 8 (2) of this 2007 Act. Moneys
deposited in the [account] fund
under this paragraph [are continuously
appropriated to] shall be used by the Housing and Community Services
Department for the purpose of funding low-income electric bill payment
assistance. [Interest earned on moneys
deposited in the account under this paragraph shall accrue to the account.]
The department’s cost of administering this subsection shall be paid out of
funds collected by the low-income electric bill payment assistance charge.
Moneys deposited in the [account] fund
under this paragraph shall be expended solely for low-income electric bill
payment assistance. Funds collected from an electric company shall be expended
in the service area of the electric company from which the funds are collected.
(d) The Housing and
Community Services Department, in consultation with the federal Advisory
Committee on Energy, shall determine the manner in which funds collected under
this subsection will be allocated by the department to energy assistance
program providers for the purpose of providing low-income bill payment and
crisis assistance, including programs that effectively reduce service
disconnections and related costs to retail electricity consumers and electric
utilities. Priority assistance shall be directed to low-income electricity
consumers who are in danger of having their electricity service disconnected.
(e) [Notwithstanding ORS 293.140,] Interest
on moneys deposited in the Housing and Community Services Department [Revolving Account under this subsection
shall accrue to the account and] Low-Income Electric Bill Payment
Assistance Fund established by section 8 (2) of this 2007 Act may be used
to provide heating bill payment and crisis assistance to electricity consumers
whose primary source of heat is not electricity.
(f) Notwithstanding ORS
757.310, the commission may allow an electric company to provide reduced rates
or other payment or crisis assistance or low-income program assistance to a
low-income household eligible for assistance under the federal Low Income Home
Energy Assistance Act of 1981, as amended and in effect on July 23, 1999.
(8) For purposes of this
section, “retail electricity consumers” includes any direct service industrial
consumer that purchases electricity without purchasing distribution services
from the electric utility.
SECTION 10. ORS 291.002 is amended to read:
291.002. [Except as otherwise provided in ORS 291.201
and 291.230,] As used in ORS 291.001 to 291.034, 291.201 to 291.222,
291.230 to 291.260, 291.261, 291.307 and 291.990, unless the context requires
otherwise:
(1) “Classification of
expenditures” means the major groups or categories of expenditures for the
purpose of budget-making and accounting that are established as provided in ORS
291.206.
(2) “Dedicated fund”
means a fund in the State Treasury, or a separate account or fund in the
General Fund in the State Treasury, that by law is dedicated, appropriated or
set aside for a limited object or purpose, but “dedicated fund” does not
include a revolving fund or a trust fund.
[(2)] (3) “Department” means the Oregon Department of
Administrative Services.
[(3)] (4) “Director” means the Director of the Oregon
Department of Administrative Services.
[(4) “Dedicated fund” means a fund in the State Treasury, or a separate
account or fund in the General Fund in the State Treasury, that by law is
dedicated, appropriated or set aside for a limited object or purpose; but “dedicated
fund” does not include a revolving fund or a trust fund.]
(5) “Legislatively
adopted budget” means the budget enacted by the Legislative Assembly during a
regular session.
(6) “Legislatively
approved budget” means the legislatively adopted budget as modified by the
Emergency Board or by the Legislative Assembly meeting in special session.
(7) “Revolving fund”
means a fund in the State Treasury, established by law, from which is paid the
cost of goods or services furnished to or by a state agency, and which is
replenished through charges made for such goods or services or through
transfers from other accounts or funds; and specifically includes funds derived
from receipts by the State Board of Higher Education of tuition, fees,
dormitory earnings, student activity receipts and sales of products and
services incident to education functions.
[(8) “Trust fund” means a fund in the State Treasury in which designated
persons or classes of persons have a vested beneficial interest or equitable
ownership, or which was created or established by a gift, grant, contribution,
devise or bequest that limits the use of the fund to designated objects or
purposes.]
[(9)] (8) “State agency” or “agency” means every state
officer, board, commission, department, institution, branch or agency of the
state government, whose costs are paid wholly or in part from funds held in the
State Treasury, except:
(a) The Legislative
Assembly, the courts and their officers and committees;
(b) The Public Defense
Services Commission; and
(c) The Secretary of
State and the State Treasurer in the performance of the duties of their
constitutional offices.
[(10)] (9) “State officer” means any elected or appointed
state officer, including members of boards and commissions, except the members
and officers of the Legislative Assembly, the courts, the Secretary of State
and the State Treasurer in the performance of the duties of their constitutional
offices and the members of the Public Defense Services Commission.
(10) “Trust fund”
means a fund in the State Treasury in which designated persons or classes of
persons have a vested beneficial interest or equitable ownership, or which was
created or established by a gift, grant, contribution, devise or bequest that
limits the use of the fund to designated objects or purposes.
SECTION 11. ORS 291.201 is amended to read:
291.201. [Notwithstanding ORS 291.002 (9) and (10), as
used in ORS 291.201 to 291.222:]
[(1) “State agency” or “agency” means every state officer, board,
commission, department, institution, branch or agency of the state government,
whose costs are paid wholly or in part from funds held in the State Treasury,
except:]
[(a) The Legislative Assembly, the courts and their officers and
committees; and]
[(b) The Public Defense Services Commission.]
[(2) “State officer” means any elected or appointed state officer,
including members of boards and commissions, except the members and officers of
the Legislative Assembly, the courts and the members of the Public Defense
Services Commission.]
[(3)] As used in ORS 291.201 to 291.222, “tax expenditure”
means any law of the federal government or this state that exempts, in whole or
in part, certain persons, income, goods, services or property from the impact
of established taxes, including but not limited to tax deductions, tax
exclusions, tax subtractions, tax exemptions, tax deferrals, preferential tax
rates and tax credits.
SECTION 12. ORS 291.230 and 291.280 are repealed.
SECTION 13. This 2007 Act being necessary for the
immediate preservation of the public peace, health and safety, an emergency is
declared to exist, and this 2007 Act takes effect July 1, 2007.
Approved by the Governor May 30, 2007
Filed in the office of Secretary of State May 31, 2007
Effective date July 1, 2007
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