Chapter 885
AN ACT
HB 3488
Relating to renewable energy; creating new provisions; amending ORS
307.175 and 757.247; and prescribing an effective date.
Be It Enacted by the People of
the State of
SECTION 1.
ORS 307.175 is amended to read:
307.175. (1) Property
equipped with solar, geothermal, wind, water, fuel cell or methane gas energy
systems for the purpose of heating, cooling or generating electrical energy
shall be exempt from ad valorem taxation in an amount that equals any positive
amount obtained by subtracting the real market value of the property as if it
were not equipped with such systems, from the real market value of the property
so equipped.
(2) This section applies
to tax years beginning prior to July 1, 2012.
(3) Except as
provided in subsection (4) of this section, this section does not apply to
property owned or leased by any [individual
or legal entity] person whose principal business activity is
directly or indirectly the production, transportation or distribution of
energy, including but not limited to public utilities as defined in ORS 757.005
and people’s utility districts as defined in ORS 261.010.
(4) This section
applies to an alternative energy system that is owned or leased by a person
whose principal business activity is directly or indirectly the production,
transportation or distribution of energy if the system is a net metering
facility, as defined in ORS 757.300, or other system primarily designed to
offset onsite electricity use.
SECTION 2. The
amendments to ORS 307.175 by section 1 of this 2007 Act apply to tax years
beginning on or after July 1, 2007.
SECTION 3.
ORS 757.247 is amended to read:
757.247. (1) The
Public Utility Commission may authorize a public utility to file and place into
effect tariff schedules establishing rates or charges for renewable energy
generation facilities, or for energy conservation measures, services or
payments, provided to individual property owners or customers.
Application of the schedule shall be subject to agreement between the public
utility and the property owner or customer receiving service at the time the renewable
energy generation facilities or conservation measures, services or payments
are initially provided.
(2) [The] A tariff schedule under this
section may include provisions for the payment of the rates or charges over
a period of time and for the application of the payment obligation to
successive property owners or customers at the premises where the renewable
energy generation facilities or conservation measures or services were
installed or performed or with respect to which the [conservation] payments were made.
(3) [The] A public utility shall
record a notice of [the] any
payment obligation required of a property owner or customer under this
section in the records maintained by the county clerk under ORS 205.130.
The commission may prescribe by rule [under
the applicable provisions of ORS 183.325 to 183.400] other methods by which
the public utility shall notify property owners or customers of any such
payment obligation.
(4) A public utility
may use moneys obtained through a rate established under ORS 757.603 (2)(a) to
provide renewable energy generation facilities to property owners or customers
under this section. A public utility may not charge interest to a property
owner or customer for facilities acquired with moneys obtained through a rate
established under ORS 757.603 (2)(a).
SECTION 4. (1)
The Governor by executive order may suspend, for up to 90 days, renewable fuel
use standards established by state law for ethanol if the Governor determines
that compliance with the standards is technically or economically infeasible or
poses a significant risk to public safety. A suspension under this section
shall be limited to counties east of the summit of the
(2) The Governor must
receive a recommendation of suspension from the State Department of Energy
before issuing an executive order under this section. Before recommending a
suspension, the department shall provide a 30-day period of public comment on
the proposed suspension, unless the department determines that a shorter public
comment period is necessary. The department shall issue written findings of
fact with the recommendation of suspension.
SECTION 5. Section
4 of this 2007 Act is repealed on December 31, 2008.
SECTION 6. This
2007 Act takes effect on the 91st day after the date on which the regular
session of the Seventy-fourth Legislative Assembly adjourns sine die.
Approved by the Governor August 3, 2007
Filed in the office of Secretary of State August 3, 2007
Effective date September 27, 2007
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