Chapter 905
AN ACT
SB 954
Relating to taxation; and appropriating money.
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 285C.600 to 285C.626.
SECTION 2. (1) On or before April 1 following each tax
year that property is exempt under ORS 307.123, the business firm that owns or
leases the exempt property shall submit a report to the Economic and Community
Development Department, in addition to any other reporting or filing
requirement.
(2) The report shall be
in a form prescribed by the department and shall include:
(a) The assessed value
and location of taxable and exempt property constituting the eligible project
and the corresponding payment and savings of property taxes for the tax year,
as ascertained from the county assessor;
(b) The amount and
disposition of fees and other amounts paid by the business firm pursuant to the
agreement with the county under ORS 285C.609 in the immediately preceding
calendar year;
(c) The average number
of persons hired or employed by the business firm in association with the
eligible project, determined by dividing the total number of hours for which such hired or employed persons were paid during the
immediate prior calendar year by 2,080;
(d) The annual amount of
taxable income and total compensation paid to employees as described in
paragraph (c) of this subsection;
(e) Numbers and amounts
as described in paragraphs (c) and (d) of this subsection for jobs retained in direct
relation to the eligible project; and
(f) Any other
information required by the department.
(3) If a business firm
fails to provide a report required under this section or to verify information
as requested by the department, the Oregon Economic and Community Development
Commission, upon recommendation by the department, may suspend the
determination of the commission that the project receive the tax exemption
provided for in ORS 307.123. If the commission suspends the determination of
eligibility under this subsection, the exemption is revoked as provided in ORS
307.123 (6), until the department receives the report. Upon receipt of a report
required under this section or the information requested by the department, the
department shall notify the commission and the commission shall rescind the
suspension.
(4) Information
collected under this section may be used by the department to make aggregate
figures and analyses of activity under the strategic investment program
publicly available.
(5) Specific data
concerning the financial performance of individual firms collected under this
section is exempt from public disclosure under ORS chapter 192.
(6) Within 60 days of
receiving the reports required under this section, the department shall compile
and organize the reported information for purposes of section 3 of this 2007
Act and transmit it to the Oregon Department of Administrative Services.
(7) The department shall
adopt rules the department considers necessary to administer ORS 285C.600 to
285C.626.
SECTION 3. (1) Upon receipt of information compiled
under section 2 of this 2007 Act, the Oregon Department of Administrative
Services shall determine the annual amount of personal income tax revenue
attributable to each eligible project for which an eligible business firm
received a property tax exemption under ORS 307.123.
(2) In determining the
amount of personal income tax revenue attributable to each eligible project,
the department may rely on reasonable techniques of estimation, if appropriate.
(3) In each fiscal year,
the department shall transfer 50 percent of the cumulative amount for all
eligible projects determined under subsection (1) of this section to the Shared
Services Fund established in section 4 of this 2007 Act.
(4) The department shall
adopt rules necessary to administer this section.
SECTION 4. (1) The Shared Services Fund is established
in the State Treasury, separate and distinct from the General Fund. Interest
earned by the Shared Services Fund shall be credited to the Shared Services
Fund.
(2) All moneys in the
Shared Services Fund are continuously appropriated to the Oregon Department of
Administrative Services, for the purpose of making distributions described in
subsection (3) of this section.
(3) The department shall
annually distribute to taxing districts the moneys from the Shared Services
Fund:
(a) In proportion to the
amount of money transferred into the fund for each eligible project that
received a property tax exemption under ORS 307.123; and
(b)
Consistent with the distribution of the community services fee under ORS
285C.609 for that project.
(4) The department shall
furnish the
SECTION 5. The Oregon Economic and Community
Development Commission shall submit a report on the amount of moneys
transferred to the Shared Services Fund and the amount of moneys distributed
under section 4 of this 2007 Act to the appropriate House and Senate committees
relating to revenue on or before May 1, 2013.
SECTION 6. (1) Sections 2 and 3 of this 2007 Act apply
to tax years beginning on or after January 1, 2009, and before January 1, 2019.
(2) Sections 2 and 3 of
this 2007 Act apply only to income taxes generated as the result of an eligible
project that first becomes exempt from property taxation under ORS 307.123 on
or after January 1, 2008, and continue to apply only as long as the project
remains exempt.
Approved by the Governor August 6, 2007
Filed in the office of Secretary of State August 7, 2007
Effective date January 1, 2008
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