Chapter 894
AN ACT
SB 808
Relating to local budgets; creating new
provisions; amending ORS 294.381 and 310.060; and prescribing an effective
date.
Be It Enacted by the People of
the State of
SECTION 1. ORS 294.381 is amended to read:
294.381. (1) Each
municipal corporation that has the power to levy an ad valorem property tax
shall estimate, in the manner provided in this section, the amount of revenues
that will be received in the ensuing year or ensuing budget period through the
imposition of taxes upon the taxable property within the municipal corporation.
(2) Subject to the
additional adjustments required under subsection (3) of this section, the
estimated ad valorem taxes that will be received in the ensuing year or ensuing
budget period [is the sum of]
shall not exceed the following:
(a) The amount derived
by multiplying the estimated assessed value for the ensuing year or each fiscal
year of the ensuing budget period of the taxable property within the municipal
corporation, after boundary changes have been filed in final approved form with
the county assessor and the Department of Revenue as provided in ORS 308.225,
by whichever of the following is applicable to the municipal corporation:
(A) The municipal
corporation’s permanent rate limit on operating taxes, as defined in ORS
310.202 (7)[, or such lesser rate as the
municipal corporation may determine to use for purposes
of levying such ad valorem taxes]; or
(B) The municipal
corporation’s statutory rate limit on operating taxes, as defined in ORS
310.202 (10)[, or such lesser rate as the
municipal corporation may determine to use for purposes of levying such ad
valorem taxes].
(b) If the municipal
corporation is authorized to levy a local option tax that was authorized by the
electors as a dollar amount, the dollar amount of such local option tax that is
authorized to be levied in the ensuing year or ensuing budget period.
(c) If the municipal
corporation is authorized to levy a local option tax that was authorized by the
electors as a tax rate, the amount derived by multiplying the authorized rate
of such local option tax for the ensuing year or ensuing budget period by the
estimated assessed value for the ensuing year or each fiscal year of the
ensuing budget period of the taxable property within the municipal
corporation.
(d) The municipal
corporation’s estimate of the amount required to pay the principal and interest
on bonded indebtedness that is not subject to limitation under section 11
(11) or section 11b, Article XI of the Oregon Constitution [the amounts described in ORS 310.060 (2)(d) and (e), divided by the annual average percentage of
taxes collected in the county in which the taxable property of the municipal
corporation is located]. The estimate may include an amount equal to the
total of any such payments that are due and payable in the fiscal period
following the fiscal period for which the budget is being prepared and before a
sufficient amount of property taxes to pay that bonded indebtedness are collected
in that fiscal period, pursuant to ORS 294.371. The estimate may also
include amounts to reimburse the municipal corporation for the payment of
principal and interest on exempt bonded indebtedness that the municipal
corporation made from other moneys because collections of taxes levied for
exempt bonded indebtedness were not sufficient to pay that exempt bonded
indebtedness.
(e) The municipal
corporation’s estimate of the amount required to repay taxing district bond
obligations or pension and disability plan obligations described in section 11
(5), Article XI of the Oregon Constitution.
(3) The [sum of the] amounts determined under
subsection (2)(a), (b) and (c) of this section shall be reduced by an amount
equal to the estimated amount of such taxes that will not be collected as a
result of:
(a) The discounts
allowed under ORS 311.505;
(b) The limits imposed
under ORS 310.150 (3); and
(c) The failure of
taxpayers to pay such taxes in the year for which they are levied.
(4)(a) The
estimated ad valorem taxes determined in accordance with [subsections (2) and (3)] subsection (2)(a), (b) and (c) of
this section, prior to adjustment by subsection (3) of this section,
shall be used by the municipal corporation for purposes of complying with the
requirements of ORS 310.060 (1).
(b) The amounts
determined under subsection (2)(d) and (e) of this
section shall, for purposes of complying with the requirements of ORS 310.060
(1), be increased by an amount equal to the estimated amount of taxes that will
not be collected as a result of:
(A) The discounts
allowed under ORS 311.505;
(B) The limits imposed
under ORS 310.150 (3); or
(C) The failure of
taxpayers to pay taxes in the year for which they are levied.
SECTION 2. ORS 310.060 is amended to read:
310.060. (1) Not later
than July 15 of each year, every city, school district or other public
corporation authorized to levy or impose a tax on property shall file a written
notice certifying the ad valorem property tax rate or the estimated amount of
ad valorem property taxes to be imposed by the taxing district and any other
taxes on property imposed by the taxing district on property subject to ad
valorem property taxation that are required or authorized to be placed on the
assessment and tax roll for the current fiscal year. The notice shall be
accompanied by two copies of a lawfully adopted ordinance or resolution that
categorizes the tax, fee, charge, assessment or toll as subject to or not
subject to the limits of section 11b, Article XI of the Oregon Constitution,
identified by the categories set forth in ORS 310.150.
(2) For any ad valorem
property taxes levied by the taxing district, the notice shall state as
separate items:
(a) The taxing district’s
rate of ad valorem property taxation that is within the permanent rate
limitation imposed by section 11 (3), Article XI of the Oregon Constitution, or
within the statutory rate limit determined in ORS 310.236 (4)(b) or 310.237, if
applicable;
(b) The total rate or
amount of the taxing district’s local option taxes imposed pursuant to ORS
280.040 to 280.145 that have a term of five years or less and that are not for
capital projects;
(c) The total amount of
the taxing district’s local option taxes that are for capital projects;
(d) The total amount
levied for the payment of bonded indebtedness or interest thereon that is not
subject to limitation under section 11 (11) or section 11b, Article XI of the
Oregon Constitution; and
(e) The total amount
levied that is subject to section 11b, Article XI of the Oregon Constitution,
but that is not subject to the permanent ad valorem property tax rate limit
described in section 11 (3), Article XI of the Oregon Constitution, because the
amount levied is to be used to repay:
(A) Principal and
interest for any bond issued before December 5, 1996, and secured by a pledge
or explicit commitment of ad valorem property taxes or a covenant to levy or
collect ad valorem property taxes;
(B) Principal and
interest for any other formal, written borrowing of moneys executed before
December 5, 1996, for which ad valorem property tax revenues have been pledged
or explicitly committed, or that are secured by a covenant to levy or collect
ad valorem property taxes;
(C) Principal and
interest for any bond issued to refund an obligation described in subparagraph
(A) or (B) of this paragraph; or
(D) Local government
pension and disability plan obligations that commit ad valorem property taxes.
(3)(a) The notice shall
also list each rate or amount subject to the limits of section 11b, Article XI
of the Oregon Constitution, identified by the categories set forth in ORS
310.150.
(b) If an item described
in subsection (2) of this section is allocable to more than one category
described in ORS 310.150, the notice shall list separately the portion of each
item allocable to each category.
(4) For any other taxes
on property imposed by the taxing district, the notice shall state:
(a) The total amount of
money to be raised by each other tax, in the aggregate or on a property by
property basis, as appropriate.
(b) Each amount that is
subject to the limits of section 11b, Article XI of the Oregon Constitution,
identified by the categories set forth in ORS 310.150.
(5) For any district
authorized by law to place any other fees, charges, assessments or tolls on the
assessment and tax roll, the notice shall state the total amount of money to be
raised on a property by property basis.
(6) In addition to the
notice required under subsection (1) of this section, any taxing district that
is subject to the Local Budget Law shall also provide the documents required by
ORS 294.555 (3).
(7)(a) Not later than
July 15 of each year, the taxing district shall give the notice and documents
described in this section to the assessor of the county in which the principal
office of the taxing district is located and, if the taxing district is located
in more than one county, to the assessor of each county in which any part of
the taxing district is located. Not later than September 30 of each year, the
taxing district shall provide a complete copy of the budget document to the
clerk of the county in which the principal office of the taxing district is
located and, if the taxing district is located in more than one county, to the
clerk of each county in which any part of the taxing district is located.
(b) If there is no
county clerk in a county to which a taxing district is required by paragraph
(a) of this subsection to submit a budget document, then the taxing district
shall submit the budget document to the [tax
supervising and conservation commission] county assessor in that
county.
(c) If the taxing
district is subject to the jurisdiction of a tax supervising and conservation
commission under ORS 294.625, then the taxing district shall submit a copy of
its budget to the tax supervising and conservation commission in lieu of filing
a copy of the budget with the county clerk of the county under paragraph (a) of
this subsection or with the county assessor of the county under paragraph (b)
of this subsection.
(8) The Department of
Revenue shall prescribe the form of notice required by this section. All
amounts shall be stated in dollars and cents or ad valorem property tax rates
in dollars and cents per thousand dollars of assessed value, as required by
law. If the notice is given to the assessor, clerk or tax supervising and
conservation commission of more than one county, a copy of each other such
notice given shall accompany every notice given.
(9) For good and
sufficient reason, the county assessor may extend the time for the giving of
the notice or correcting an erroneous certification for the current year up to
but not later than October 1 as the county assessor considers reasonable.
SECTION 3. The amendments to ORS 294.381 and 310.060 by
sections 1 and 2 of this 2007 Act apply to tax years beginning on or after July
1, 2007.
SECTION 4. (1) Notwithstanding ORS 294.060 and 368.705,
moneys described in ORS 294.060 (1) that are received by Douglas County and
deposited into its road fund may be expended for the patrolling of Douglas
County roads by Douglas County law enforcement officials.
(2) Notwithstanding ORS
294.060 and 368.705, moneys described in ORS 294.060 (1) that are received by
Lane County and deposited into its road fund may be expended for the patrolling
of Lane County roads by Lane County law enforcement officials.
(3) This section is
repealed on January 2, 2014.
(4) This section applies
to moneys described in subsections (1) and (2) of this section that are
received before, on or after the effective date of this 2007 Act.
SECTION 5. Section 6 of this 2007 Act is added to and
made a part of ORS chapter 267.
SECTION 6. (1) A mass transit district may enter into
transactions with persons or entities for the supply or delivery of electricity
or diesel fuel on an economic, dependable and cost-effective basis, including
transactions involving financial products contracts and agreements for exchange
of fixed and variable pricing agreements and other service contracts that
reduce the risk of economic losses in transactions for the supply or delivery
of electricity or diesel fuel.
(2) Notwithstanding
subsection (1) of this section, a mass transit district may not enter into a
transaction for the supply or delivery of electricity or diesel fuel that:
(a) Constitutes the
investment of surplus funds for the purpose of receiving interest or other
earnings from the investment; or
(b) Is for any purpose
other than the supply or delivery of electricity or diesel fuel on a
cost-effective basis.
SECTION 7. Section 6 of this 2007 Act applies to
transactions entered into on or after the effective date of this 2007 Act.
SECTION 8. 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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