74th OREGON LEGISLATIVE ASSEMBLY--2007 Regular Session
 
 
                            Enrolled
 
                         House Bill 2294
 
Ordered printed by the Speaker pursuant to House Rule 12.00A (5).
  Presession filed (at the request of Governor Theodore R.
  Kulongoski for State Department of Fish and Wildlife)
 
 
                     CHAPTER ................
 
 
                             AN ACT
 
 
Relating to fish screening; creating new provisions; amending ORS
  196.810, 314.752, 315.138, 496.085, 496.303, 498.306, 498.316,
  498.336, 498.341, 498.346, 509.910, 540.525 and 540.532; and
  repealing ORS 315.138, 498.311, 498.331 and 509.615.
 
Be It Enacted by the People of the State of Oregon:
 
  SECTION 1. ORS 498.306 is amended to read:
  498.306. (1) Any person who diverts water  { - , at a rate of
less than 30 cubic feet per second, - }  from any body of water
in this state in which any fish, subject to the State Fish and
Wildlife Commission's regulatory jurisdiction, exist may be
required to install, operate and maintain screening or by-pass
devices to provide adequate protection for fish populations
present at the water diversion in accordance with the provisions
of this section.
  (2)(a) The State Department of Fish and Wildlife shall
establish a cost-sharing program to implement the installation of
screening or by-pass devices on not less than   { - 75 - }
 { + 150 + } water diversions  { + or 150 cubic feet per second
of diverted water + }
  { - referred to in this section - }  per   { - year - }
 { + biennium + }. The department shall select the water
diversions to be screened from the priority listing of diversions
established by the department and reviewed by the Fish Screening
Task Force. The installation of a screening or by-pass device may
be required only   { - when - }   { + if + }:
   { +  (A) The water diversion is 30 cubic feet per second or
more;
  (B) A new water right is issued for the water diversion;
  (C) The point of water diversion is transferred as described in
ORS 540.525; + }
    { - (A) - }   { + (D) + } Fewer than   { - 75 - }
 { + 150 + } persons per   { - year - }   { + biennium + }
volunteer to request such installation on the diversions for
which they are responsible; or
    { - (B) - }   { + (E) + } The Fish Screening Task Force has
reviewed and approved the department's request to require
installation of screening or by-pass devices in order to complete
the screening of a stream system or stream reach.
  (b) The limitations on the number of diversions  { + or cubic
feet per second of diverted water + } to be screened as provided
 
 
Enrolled House Bill 2294 (HB 2294-B)                       Page 1
 
 
 
in this section do not prevent the installation of   { - fish - }
screening and by-pass devices for diversions by persons
responsible for diversions who are willing to pay the full cost
of installing
  { - fish - }  screening and by-pass devices.
   { +  (c) Cost-sharing program funds may not be provided under
this subsection for screening or by-pass devices on a water
diversion involving water rights issued on or after January 1,
1996, unless the Fish Screening Task Force finds there is good
cause to allow an exception. The department shall give preference
to diversions of 30 cubic feet per second or less when making
cost-sharing program funds available. + }
  (3) When selecting diversions to be equipped with screening or
by-pass devices, the department shall attempt to solicit persons
who may volunteer to request the installation of such devices on
the diversions for which they are responsible. When selecting
diversions to be equipped with screening or by-pass devices, the
department shall select those diversions that will provide
protection to the greatest number of indigenous naturally
spawning fish possible.
  (4) If the department constructs and installs the   { - by-pass
or - }  screening  { + or by-pass + } device, a fee shall be
assessed against the person responsible for the diversion in an
amount that does not exceed   { - $5,000 or - }  40 percent of
the construction and installation   { - cost of the devices,
whichever amount is the lesser - }  { + costs of the device + }.
The fee shall be paid into the Fish Screening Subaccount. If the
person responsible for the diversion constructs and installs the
by-pass or screening device, the person shall be reimbursed from
the Fish Screening Subaccount  { + or other state funds + } in an
amount that does not exceed   { - $10,000 or - }  60 percent of
the actual construction and installation costs of the device
 { - , whichever amount is the lesser - } .
  (5) The department's cost of major maintenance and repair of
screening or by-pass devices shall be paid from the Fish
Screening Subaccount.
  (6) The department is responsible for major maintenance and
repair of screening or by-pass devices { +  at water diversions
of less than 30 cubic feet per second + }, and if failure by the
department to perform major maintenance on or repair such devices
results in damage or blockage to the water diversion on which
 { - the devices have - }   { + a device has + } been installed,
the person responsible for the water diversion shall give written
notice of such damage or blockage to the department. If within
seven days of the notice, the department fails to take
appropriate action to perform major maintenance on or repair the
 { - devices - }  { +  device + }, and to repair any damage that
has occurred, the person responsible for the water diversion may
remove the device. If an emergency exists that will result in
immediate damage to livestock or crops, the person responsible
for the water diversion may remove the screening or by-pass
device. A person required to comply with this section is
responsible for minor maintenance and shall, in a timely manner,
notify the department of the need for activities associated with
major maintenance.
   { +  (7) A person who diverts water at a rate of 30 cubic feet
per second or more is responsible for all maintenance of an
installed screening or by-pass device. + }
    { - (7) - }   { + (8) + } A person required to comply with
this section may design, construct and install screening or
 
 
Enrolled House Bill 2294 (HB 2294-B)                       Page 2
 
 
 
by-pass devices adequate to prevent fish from leaving the body of
water and entering the diversion or may request the department to
design, construct and install such devices. However, if a person
required to comply with this section fails to comply within 180
days after notice to comply by the department, the department
shall design, install { + , + }   { - and - }  operate  { + and
maintain + } on that person's water diversion appropriate
screening or by-pass devices and shall charge and collect from
the person the actual costs thereof in an amount not to exceed
the average cost for diversions of that size.
    { - (8) - }   { + (9) + } If the diversion requiring
screening or by-pass devices is located on public property, the
department shall obtain from the property owner approval or
permits necessary for such devices. Activities of the department
pursuant to this section
  { - shall - }   { + may + } not interfere with existing rights
of way or easements of the person responsible for the diversion.
    { - (9)(a) - }   { + (10)(a) + } The department or its agent
has the right of ingress and egress to and from those places
where screening or by-pass devices are required, doing no
unnecessary injury to the property of the landowner, for the
purpose of designing, installing, inspecting, performing major
maintenance on or repairing such devices.
  (b) If a screening or by-pass device installed by the
department must be removed or replaced due to inadequate design
or faulty construction, the person responsible for the diversion
shall bear no financial responsibility for its replacement or
reconstruction.
  (c) If a screening or by-pass device installed by the person
responsible for the diversion must be removed or replaced due to
faulty construction, the person shall bear full financial
responsibility for its replacement or reconstruction.
  (d) If the person responsible for a diversion on which a
screening or by-pass device is installed fails to conduct
appropriate inspection and minor maintenance, the department may
perform such activities and charge and collect from the person
responsible a fee not to exceed   { - $25 - }   { + $150 + } for
each required visit to the location of the screening or by-pass
device.
   { +  (e) If the department determines that a person must
install, operate, maintain, repair or replace a screening or
by-pass device under this section, the department shall notify
the person, by registered mail, of the specific action the person
is required to take. The person may request a contested case
hearing before the State Fish and Wildlife Commission, to be
conducted as provided in ORS chapter 183. + }
    { - (10) - }   { + (11) + }   { - No - }   { + A + } person
 { - shall - }   { + may not + } interfere with, tamper with,
damage, destroy or remove in any manner not associated with
regular and necessary maintenance procedures any screening or
by-pass devices installed pursuant to this section.
    { - (11) - }   { + (12) + } The department may maintain an
action to cover any costs incurred by the department when a
person who is required to comply with this section fails to
comply. Such action shall be brought in the circuit court for the
county in which the   { - water diversion is - }   { + screening
or by-pass device is + } located.
    { - (12) - }   { + (13) + } Upon receiving notice from the
department to comply with this section, a person responsible for
 
 
 
Enrolled House Bill 2294 (HB 2294-B)                       Page 3
 
 
 
a water diversion may be excused from compliance if the person
demonstrates to the Fish Screening Task Force that:
  (a) The installation and operation of screening or by-pass
devices would not prevent appreciable damage to the fish
populations in the body of water from which water is being
diverted.
  (b) Installation and operation of screening or by-pass devices
would not be technically feasible.
  (c) Installation of screening or by-pass devices would result
in undue financial hardship.
    { - (13)(a) - }   { + (14)(a) + } Not later than January 1,
1996, the department, with the assistance of the Fish Screening
Task Force and the Water Resources Department, shall establish
and publish an updated priority listing of 3,500 water diversions
in the state that should be equipped with screening or by-pass
devices. Changes may be made to the list whenever deletions are
made for any reason. The priority listing shall include the name
and address of the person currently responsible for the water
diversion, the location of the diversion, size of the diversion,
type of screening or by-pass device required, estimated costs for
construction and   { - the - }  installation of screening or
by-pass devices for the individual diversion and species of fish
present in the water body. When developing the priority listing,
the department shall base priorities for the installation of
screening or by-pass devices on unscreened diversions on the
following criteria:
  (A) Fish species status.
  (B) Fish numbers.
  (C) Fish migration.
  (D) Diversion size.
  (E) Diversion amount.
  (F) Any other criteria that the department, in consultation
with the Fish Screening Task Force, considers appropriate.
  (b) Criteria identified in this subsection shall be given
appropriate consideration by the department when updating its
priority listing. The priority   { - list - }   { + listing + }
will be updated to give the highest priority to those diversions
that save the greatest number of fish and simultaneously protect
the greatest number of threatened or endangered fish species.
  (c) After the priority   { - list - }   { + listing + } has
been updated, the persons responsible for the diversions on the
list shall be notified that their diversions appear on the list.
Such persons also shall be furnished a description of the fish
screening  { +  cost-sharing + } program.
  (d)(A) The department shall notify, by means of registered
mail, each person responsible for the first 250 diversions on the
priority listing on or before January 1, 1996. The department
shall furnish information regarding the fish screening  { +
cost-sharing + } program to each person responsible for a
diversion included in the first 250 diversions on the priority
listing on or before January 1, 1996.   { - No - }   { + A + }
person   { - shall - }   { + may not + } be required to install a
screening or by-pass device unless previously notified by the
department of the requirement to install such devices.
  (B) On January 1 of each even-numbered year, the department
  { - will - }   { + shall + } notify each person responsible for
a diversion included in the first 250 diversions on the priority
listing.  However, the department is not required to notify in a
subsequent year any person previously notified. The department
shall include with such notification  { - , - }  information
 
 
Enrolled House Bill 2294 (HB 2294-B)                       Page 4
 
 
 
regarding the fish screening  { +  cost-sharing + } program
 { - to each person responsible for a diversion included in the
first 250 diversions on the priority listing - } .
  (C) Before any person is required to install a screening or
by-pass device   { - on a diversion of less than 30 cubic feet
per second - } , the department shall confirm the need for the
 { - screening - } device through a visual, on-site inspection by
appropriate staff of the fish screening division of the
department, or a district biologist of the department.
    { - (14) - }   { + (15) + } As used in this section:
  (a) 'Behavioral barrier' means a system that utilizes a
stimulus to take advantage of natural fish behavior to attract or
repel fish. A behavioral barrier does not offer a physical
impediment to fish movement, but uses such means as electricity,
light, sound or hydraulic disturbance to move or guide fish.
  (b) 'Body of water' includes but is not limited to irrigation
ditches, reservoirs, stock ponds and other artificially created
structures or impoundments.
  (c) 'By-pass device' means any pipe, flume, open channel or
other means of conveyance that transports fish back to the body
of water from which the fish were diverted but does not include
fishways or other passages around a dam.
  (d) 'Fish screen' means a screen, bar, rack or other barrier,
including related improvements necessary to ensure its effective
operation, to provide adequate protection for fish populations
present at a water diversion.
  (e) 'Major maintenance' means all maintenance work done on a
 { - fish - }  screening or by-pass device other than minor
maintenance.
  (f) 'Minor maintenance' means periodic inspection, cleaning and
servicing of   { - fish - }  screening or by-pass devices at such
times and in such manner as to ensure proper operation of the
screening or by-pass device.
    { - (g) 'Screening device' means a fish screen or behavioral
barrier. - }
    { - (h) - }   { + (g) + } 'Person' means any person,
partnership, corporation, association, municipal corporation,
political subdivision or governmental agency.
   { +  (h) 'Screening device' means a fish screen or behavioral
barrier. + }
  SECTION 2. ORS 315.138 is amended to read:
  315.138. (1) There shall be allowed a credit against tax due
under ORS chapter 316, or if the taxpayer is a corporation, under
ORS chapter 317, for taxpayers that install   { - fish - }
screening devices, by-pass devices or fishways,   { - when
required to do so by - }  { + pursuant to + } ORS 498.306  { - ,
498.311 (1), - }   { + or + } 509.585   { - or 509.615 (1) - } ,
and the diversion is not part of a hydroelectric project required
to be licensed under the Federal Energy Regulatory Commission.
Except as allowed in subsection (4) of this section, the credit
shall be taken in the tax year in which the final certification
is issued under subsection (10) of this section.
  (2) The credit shall be equal to 50 percent of the taxpayer's
net certified costs of installing a   { - fish - }  screening
device, by-pass device or fishway. The total credit allowed shall
not exceed $5,000 per device installed.
  (3) The credit allowed in any one year shall not exceed the tax
liability of the taxpayer.
  (4) Any tax credit otherwise allowable under this section which
is not used by the taxpayer in a particular tax year may be
 
 
Enrolled House Bill 2294 (HB 2294-B)                       Page 5
 
 
 
carried forward and offset against the taxpayer's tax liability
for the next succeeding tax year. Any credit remaining unused in
such next succeeding tax year may be carried forward and used in
the second succeeding tax year. Any credit remaining unused in
such second succeeding tax year may be carried forward and used
in the third succeeding tax year. Any credit remaining unused in
such third succeeding tax year may be carried forward and used in
the fourth succeeding tax year. Any credit remaining unused in
such fourth succeeding tax year may be carried forward and used
in the fifth succeeding tax year, but may not be used in any tax
year thereafter.
  (5) The credit provided by this section shall be in addition to
and not in lieu of any depreciation or amortization deduction to
which the taxpayer otherwise may be entitled with respect to the
installation of a   { - fish - }  screening device, by-pass
device or fishway. The taxpayer's adjusted basis for determining
gain or loss shall not be further decreased by any tax credits
allowed under this section.
  (6) In the case of a credit allowed under this section for
purposes of ORS chapter 316:
  (a) A nonresident shall be allowed the credit in the same
manner and subject to the same limitations as a resident.
However, the credit shall be prorated using the proportion
provided in ORS 316.117.
  (b) If a change in the taxable year of a taxpayer occurs as
described in ORS 314.085, or if the Department of Revenue
terminates the taxpayer's taxable year under ORS 314.440, the
credit allowed by this section shall be prorated or computed in a
manner consistent with ORS 314.085.
  (c) If a change in the status of a taxpayer from resident to
nonresident or from nonresident to resident occurs, the credit
allowed by this section shall be determined in a manner
consistent with ORS 316.117.
  (7) To qualify for the credit the taxpayer must be issued a
certificate by the State Department of Fish and Wildlife.
  (8) To obtain credit under subsection (1) of this section, any
person proposing to apply for certification of a   { - fish - }
screening device, by-pass device or fishway, before installing
the
  { - fish - }  screening device, by-pass device or fishway,
shall file a request for preliminary certification with the State
Department of Fish and Wildlife. The request shall be in a form
prescribed by the State Department of Fish and Wildlife. The
following conditions shall apply:
  (a) Within 30 days of the receipt of a request for preliminary
certification, the State Department of Fish and Wildlife may
require, as a condition precedent to issuance of a preliminary
certificate of approval, the submission of plans and
specifications. After examination thereof, the State Department
of Fish and Wildlife may request corrections and revisions to the
plans and specifications. The State Department of Fish and
Wildlife may also require any pertinent information necessary to
determine whether the proposed   { - fish - }  screening device,
by-pass device or fishway is in accordance with State Department
of Fish and Wildlife requirements.
  (b) If the State Department of Fish and Wildlife determines
that the proposed   { - fish - }  screening device, by-pass
device or fishway is in accordance with State Department of Fish
and Wildlife requirements, it shall issue a preliminary
certificate approving the   { - fish - }  screening device,
 
 
Enrolled House Bill 2294 (HB 2294-B)                       Page 6
 
 
 
by-pass device or fishway.  If the State Department of Fish and
Wildlife determines that the
  { - fish - }  screening device, by-pass device or fishway does
not comply with State Department of Fish and Wildlife
requirements, the State Department of Fish and Wildlife shall
issue an order denying certification.
  (c) If within 90 days of the receipt of plans, specifications
or any subsequently requested revisions or corrections to the
plans and specifications or any other information required
pursuant to this section, the State Department of Fish and
Wildlife fails to issue a preliminary certificate of approval and
the State Department of Fish and Wildlife fails to issue an order
denying certification, the preliminary certificate shall be
considered to have been issued. The capital investment must
comply with the plans, specifications and any corrections or
revisions thereto, if any, previously submitted.
  (d) Within 30 days from the date of mailing of the order, any
person against whom an order is directed pursuant to paragraph
(b) of this subsection may demand a hearing. The demand shall be
in writing, shall state the grounds for hearing and shall be
mailed to the State Fish and Wildlife Director. The hearing shall
be conducted in accordance with the applicable provisions of ORS
chapter 183.
  (9)   { - Any fish - }   { + A + } screening device, by-pass
device or fishway that is installed  { + by the State Department
of Fish and Wildlife + } pursuant to   { - ORS 498.311 (2) - }
 { + ORS 498.306 (8) in response to noncompliance by the person
responsible for the water diversion  + }is not eligible for the
credit provided in subsection (1) of this section.
  (10) Upon completion and pursuant to application for final
certification, final certification shall be issued by the State
Department of Fish and Wildlife if the   { - fish - }  screening
device, by-pass device or fishway was constructed and installed
in accordance with State Department of Fish and Wildlife
requirements. Final certification shall include a statement of
the costs of installation as verified by the State Department of
Fish and Wildlife. The credit allowed under this section shall be
claimed first for the tax year of the taxpayer in which final
certification is issued.
  (11) Pursuant to the procedures for a contested case under ORS
chapter 183, the State Department of Fish and Wildlife may order
the revocation of the certificate issued under this section of
any taxpayer, if it finds that:
  (a) The certificate was obtained by fraud or misrepresentation;
or
  (b) The holder of the certificate fails to meet State
Department of Fish and Wildlife requirements.
  (12) As soon as the order of revocation under this section has
become final the State Department of Fish and Wildlife shall
notify the Department of Revenue of such order.
  (13) If the certificate of a   { - fish - }  screening device,
by-pass device or fishway is ordered revoked pursuant to
subsection (11) of this section, all prior tax relief provided to
the holder of the certificate by virtue of the certificate shall
be forfeited and the Department of Revenue shall proceed to
collect those taxes not paid by the certificate holder as a
result of the tax relief provided to the holder.
  (14) If the certificate of a   { - fish - }  screening device,
by-pass device or fishway is ordered revoked pursuant to
subsection (11) of this section, the certificate holder shall be
 
 
Enrolled House Bill 2294 (HB 2294-B)                       Page 7
 
 
 
denied any further relief provided under this section in
connection with the
  { - fish - }  screening device, by-pass device or fishway, as
the case may be, from and after the date that the order of
revocation becomes final.
  (15) In the event that the   { - fish - }  screening device,
by-pass device or fishway is destroyed by flood, natural disaster
or act of God before all of the credit has been used, the
taxpayer may nevertheless claim the credit as if no destruction
had taken place.
  (16)   { - Fish - }  Screening devices, by-pass devices or
fishways that are financed by funds obtained from the Water
Development Fund, pursuant to ORS 541.700 to 541.855, shall not
be eligible for the credit under any circumstances.
  (17) The State Department of Fish and Wildlife shall adopt
rules for carrying out the provisions of this section and report
to the interim committee created under ORS 171.605 to 171.640 to
make studies of and inquiries into state revenue matters.
  SECTION 2a.  { + ORS 315.138 is repealed. + }
  SECTION 2b.  { + The repeal of ORS 315.138 by section 2a of
this 2007 Act becomes operative on January 2, 2014. + }
  SECTION 3. ORS 496.303 is amended to read:
  496.303. (1) The Fish and Wildlife Account is established in
the State Treasury, separate and distinct from the General Fund.
All moneys in the account are continuously appropriated to the
State Fish and Wildlife Commission. The Fish and Wildlife Account
shall consist of the moneys in its various subaccounts and any
moneys transferred to the account by the Legislative Assembly.
Unless otherwise specified by law, interest earnings on moneys in
the account shall be paid into the State Treasury and credited to
the State Wildlife Fund.
  (2)(a) The Fish Screening Subaccount is established in the Fish
and Wildlife Account. The subaccount shall consist of:
  (A) All penalties recovered under ORS 536.900 to 536.920.
  (B) All moneys received pursuant to ORS 498.306.
  (C) All gifts, grants and other moneys from whatever source
that may be used to carry out the provisions of ORS 498.306
 { - , 498.311 and 509.615 - } .
  (D) All moneys received from the surcharge on angling licenses
imposed by ORS 497.124.
  (b) All moneys in the subaccount shall be used to carry out the
provisions of ORS 315.138, 498.306  { - , 498.311, 509.615 - }
and 509.620. However, moneys received from the surcharge on
angling licenses imposed by ORS 497.124 shall be expended only to
carry out the provisions of law relating to the screening of
water diversions   { - at a rate less than 30 cubic feet per
second - } .
    { - (c) Of the moneys in the subaccount budgeted for
administrative expenses, up to 50 percent of that amount may be
expended for activities associated with the screening of
diversions over 30 cubic feet per second and for fish passages
issues. - }
  (3) The Fish Endowment Subaccount is established in the Fish
and Wildlife Account. The subaccount shall consist of transfers
of moneys authorized by the Legislative Assembly from the State
Wildlife Fund and gifts and grants of moneys from whatever source
for the purpose of paying the expense of maintaining fish
hatcheries operated by the department.
  (4) The Migratory Waterfowl Subaccount is established in the
Fish and Wildlife Account. All moneys received by the commission
 
 
Enrolled House Bill 2294 (HB 2294-B)                       Page 8
 
 
 
from the sale of art works and prints related to the migratory
waterfowl stamp shall be deposited in the subaccount. Moneys in
the subaccount may be expended only for activities that promote
the propagation, conservation and recreational uses of migratory
waterfowl and for activities related to the design, production,
issuance and arrangements for sale of the migratory waterfowl
stamps and related art works and prints. Expenditures of moneys
in the subaccount may be made within this state, in other states
or in foreign countries, in such amounts as the commission
determines appropriate. Expenditures in other states and foreign
countries shall be on such terms and conditions as the commission
determines will benefit most directly the migratory waterfowl
resources of this state.
  (5) The Halibut Research Subaccount is established in the Fish
and Wildlife Account. Based on the annual number of recreational
halibut anglers, a portion of the moneys derived from the sale of
the salmon, steelhead trout, sturgeon and halibut tag pursuant to
ORS 497.121 shall be credited to the subaccount.  Moneys in the
subaccount may be expended only for halibut population studies
and other research.
  (6) The Upland Bird Subaccount is established in the Fish and
Wildlife Account. All moneys received by the State Fish and
Wildlife Commission from the sale of upland bird stamps, from the
sale of any art works and prints related to the upland bird stamp
and from private hunting preserve permit fees shall be deposited
in the subaccount. Moneys in the subaccount may be expended only
for promoting the propagation and conservation of upland birds
and the acquisition, development, management, enhancement, sale
or exchange of upland bird habitat, and for activities related to
the design, production, issuance and arrangements for sale of the
upland bird stamps and related art works and prints. Expenditures
of moneys in the subaccount shall be made for the benefit of
programs within this state in such amounts and at such times as
the commission determines appropriate to most directly benefit
the upland bird resources of the state.
  (7)(a) The Fish and Wildlife Deferred Maintenance Subaccount is
established in the Fish and Wildlife Account. Interest earnings
on moneys in the subaccount shall be credited to the subaccount.
The subaccount shall consist of moneys authorized by the
Legislative Assembly from the State Wildlife Fund and moneys
obtained by gift, grant, bequest or donation from any other
public or private source.
  (b) The principal in the subaccount may be utilized only as
provided in paragraph (c) of this subsection. Interest earnings
on the moneys in the subaccount may be expended only for the
maintenance of fish hatcheries and State Department of Fish and
Wildlife facilities other than administrative facilities located
in   { - Portland - }   { + Salem + }.
  (c) The department may borrow funds from the principal of the
subaccount to maintain adequate cash flow requirements. However,
moneys borrowed from the principal must be repaid to the
subaccount:
  (A) Within six months from the date on which the moneys were
borrowed.
  (B) With interest at the standard rate that the State Treasurer
charges to state agencies for other loans. Interest paid under
this subparagraph shall be paid to the subaccount.
  (d) For purposes of this subsection, 'principal' means moneys
authorized by the Legislative Assembly for transfer to the
subaccount from the State Wildlife Fund, including any assignment
 
 
Enrolled House Bill 2294 (HB 2294-B)                       Page 9
 
 
 
of earnings on moneys in the fund and other moneys obtained by
gift, grant, bequest or donation deposited into the subaccount.
  (8) The Access and Habitat Board Subaccount is established in
the Fish and Wildlife Account. The subaccount shall consist of
moneys transferred to the subaccount pursuant to ORS 496.242.
Moneys in the subaccount may be used for the purposes specified
in ORS 496.242.
  (9) The Marine Shellfish Subaccount is established in the Fish
and Wildlife Account. Interest earnings on moneys in the
subaccount shall be credited to the subaccount. All moneys
received by the commission from the sale of resident and
nonresident shellfish licenses pursuant to ORS 497.121 shall be
deposited in the subaccount. Moneys in the subaccount shall be
used for the protection and enhancement of shellfish for
recreational purposes, including shellfish sanitation costs and
the cost of enforcement of wildlife laws pertaining to the taking
of shellfish. The State Fish and Wildlife Director, or a
designee, the Director of Agriculture, or a designee, and the
Superintendent of State Police, or a designee, shall jointly make
a recommendation to the Governor for inclusion in the Governor's
budget beginning July 1 of each odd-numbered year.
  (10)(a) The Mountain Sheep Subaccount is established in the
Fish and Wildlife Account, consisting of moneys collected under
ORS 497.112 (2)(a) to (c).
  (b) All moneys in the subaccount shall be used for the
propagation and conservation of mountain sheep, for research,
development, management, enhancement and sale or exchange of
mountain sheep habitat and for programs within the state that in
the discretion of the commission most directly benefit mountain
sheep resources of this state.
  (11)(a) The Antelope Subaccount is established in the Fish and
Wildlife Account, consisting of moneys collected under ORS
497.112 (2)(a) to (c).
  (b) All moneys in the subaccount shall be used for the
propagation and conservation of antelope, for research,
development, management, enhancement and sale or exchange of
antelope habitat and for programs within the state that in the
discretion of the commission most directly benefit antelope
resources of this state.
  (12)(a) The Mountain Goat Subaccount is established in the Fish
and Wildlife Account, consisting of moneys collected under ORS
497.112 (2)(a) to (c).
  (b) All moneys in the subaccount shall be used for the
propagation and conservation of mountain goats for research,
development, management, enhancement and sale or exchange of
mountain goat habitat and for programs within the state that in
the discretion of the commission most directly benefit mountain
goat resources of this state.
  (13)(a) The commission shall keep a record of all moneys
deposited in the Fish and Wildlife Account. The record shall
indicate by separate cumulative accounts the sources from which
the moneys are derived and the individual activity or programs
against which each withdrawal is charged.
  (b) Using the record created pursuant to paragraph (a) of this
subsection, the commission shall report, in the budget documents
submitted to the Legislative Assembly, on the application of
investment and interest earnings to the maintenance of fish
hatcheries and other State Department of Fish and Wildlife
facilities.
  SECTION 4. ORS 196.810 is amended to read:
 
 
Enrolled House Bill 2294 (HB 2294-B)                      Page 10
 
 
 
  196.810. (1)(a) Except as otherwise specifically permitted
under ORS 196.600 to 196.905, no person or governmental body may
remove any material from the beds or banks  { + of any waters of
this state + } or fill any waters of this state without a permit
issued under authority of the Director of the Department of State
Lands, or in a manner contrary to the conditions set out in the
permit, or in a manner contrary to the conditions set out in an
order approving a wetlands conservation plan.
  (b) Notwithstanding the permit requirements of this section and
notwithstanding the provisions of ORS 196.800 (5) and (13), if
any removal or fill activity is proposed in essential indigenous
anadromous salmonid habitat, except for those activities
customarily associated with agriculture, a permit is required.  '
Essential indigenous anadromous salmonid habitat' as defined
under this section shall be further defined and designated by
rule by the Department of State Lands in consultation with the
State Department of Fish and Wildlife and in consultation with
other affected parties.
  (c) No person may be required to obtain a permit under
paragraph (b) of this subsection for prospecting or other
nonmotorized activities resulting in the removal from or fill of
less than one cubic yard of material at any one individual site
and, cumulatively, not more than five cubic yards of material
within a designated essential indigenous anadromous salmonid
habitat segment in a single year. Prospecting or other
nonmotorized activities may be conducted only within the bed or
wet perimeter of the waterway and may not occur at any site where
fish eggs are present. Removal or filling activities customarily
associated with mining require a permit under paragraph (b) of
this subsection.
  (d) No permit may be required under paragraph (b) of this
subsection for construction or maintenance of fish passage and
fish screening structures that are constructed, operated or
maintained under ORS   { - 498.311, - }   { + 498.306, + }
498.316, 498.326 or 509.600 to 509.645.
  (e) Nothing in this section limits or otherwise changes the
exemptions under ORS 196.905.
  (f) As used in paragraphs (b) and (c) of this subsection:
  (A) 'Bed' means the land within the wet perimeter and any
adjacent nonvegetated dry gravel bar.
  (B) 'Essential indigenous anadromous salmonid habitat ' means
the habitat that is necessary to prevent the depletion of
indigenous anadromous salmonid species during their life history
stages of spawning and rearing.
  (C) 'Indigenous anadromous salmonid' means chum, sockeye,
Chinook and Coho salmon, and steelhead and cutthroat trout, that
are members of the family Salmonidae and are listed as sensitive,
threatened or endangered by a state or federal authority.
  (D) 'Prospecting' means searching or exploring for samples of
gold, silver or other precious minerals, using nonmotorized
methods, from among small quantities of aggregate.
  (E) 'Wet perimeter' means the area of the stream that is under
water or is exposed as a nonvegetated dry gravel bar island
surrounded on all sides by actively moving water at the time the
activity occurs.
  (2) No governmental body may issue a lease or permit contrary
or in opposition to the conditions set out in the permit issued
under ORS 196.600 to 196.905.
  (3) Subsection (1) of this section does not apply to removal of
material under a contract, permit or lease with any governmental
 
 
Enrolled House Bill 2294 (HB 2294-B)                      Page 11
 
 
 
body entered into before September 13, 1967. However, no such
contract, permit or lease may be renewed or extended on or after
September 13, 1967, unless the person removing the material has
obtained a permit under ORS 196.600 to 196.905.
  (4) Notwithstanding subsection (1) of this section, the
Department of State Lands may issue, orally or in writing, an
emergency authorization for the removal of material from the beds
or banks or filling of any waters of this state in an emergency,
for the purpose of making repairs or for the purpose of
preventing irreparable harm, injury or damage to persons or
property. The emergency authorization issued under this
subsection:
  (a) Shall contain conditions of operation that the department
determines are necessary to minimize impacts to water resources
or adjoining properties.
  (b) Shall be based, whenever practicable, on the
recommendations contained in an on-site evaluation by an employee
or representative of the department.
  (c) If issued orally, shall be confirmed in writing by the
department within five days.
  SECTION 5. ORS 196.810, as amended by section 2, chapter 516,
Oregon Laws 2001, and section 97, chapter 14, Oregon Laws 2003,
is amended to read:
  196.810. (1)(a) Except as otherwise specifically permitted
under ORS 196.600 to 196.905, a person or governmental body may
not remove any material from the beds or banks  { + of any waters
of this state + } or fill any waters of this state without a
permit issued under authority of the Director of the Department
of State Lands, or in a manner contrary to the conditions set out
in the permit, or in a manner contrary to the conditions set out
in an order approving a wetlands conservation plan.
  (b) A permit is not required under paragraph (a) of this
subsection for prospecting or other nonmotorized activities
resulting in the removal from or fill of less than one cubic yard
of material at any one individual site and, cumulatively, not
more than five cubic yards of material within a particular stream
segment in a single year. Prospecting or other nonmotorized
activities may be conducted only within the bed or wet perimeter
of the waterway and may not occur at any site where fish eggs are
present. Removal or filling activities customarily associated
with mining require a permit under paragraph (a) of this
subsection.
  (c) A permit is not required under paragraph (a) of this
subsection for construction or maintenance of fish passage and
fish screening structures associated with irrigation ditches or
the maintenance of drainage ditches that are constructed,
operated or maintained under ORS   { - 498.311, - }
 { + 498.306, + } 498.316, 498.326 or 509.600 to 509.645.
  (d) Nothing in this section limits or otherwise changes the
exemptions under ORS 196.905.
  (2) A governmental body may not issue a lease or permit
contrary or in opposition to the conditions set out in the permit
issued under ORS 196.600 to 196.905.
  (3) Subsection (1) of this section does not apply to removal of
material under a contract, permit or lease with any governmental
body entered into before September 13, 1967. However, a contract,
permit or lease may not be renewed or extended on or after
September 13, 1967, unless the person removing the material has
obtained a permit under ORS 196.600 to 196.905.
 
 
 
Enrolled House Bill 2294 (HB 2294-B)                      Page 12
 
 
 
  (4) Notwithstanding subsection (1) of this section, the
Department of State Lands may issue, orally or in writing, an
emergency authorization for the removal of material from the beds
or banks or filling of any waters of this state in an emergency,
for the purpose of making repairs or for the purpose of
preventing irreparable harm, injury or damage to persons or
property. The emergency authorization issued under this
subsection:
  (a) Shall contain conditions of operation that the department
determines are necessary to minimize impacts to water resources
or adjoining properties.
  (b) Shall be based, whenever practicable, on the
recommendations contained in an on-site evaluation by an employee
or representative of the department.
  (c) If issued orally, shall be confirmed in writing by the
department within five days.
  (5) As used in this section:
  (a) 'Bed' means the land within the wet perimeter and any
adjacent nonvegetated dry gravel bar.
  (b) 'Prospecting' means searching or exploring for samples of
gold, silver or other precious minerals, using nonmotorized
methods, from among small quantities of aggregate.
  (c) 'Wet perimeter' means the area of the stream that is under
water or is exposed as a nonvegetated dry gravel bar island
surrounded on all sides by actively moving water at the time the
activity occurs.
  SECTION 5a. ORS 496.085 is amended to read:
  496.085. (1) There is established within the State Department
of Fish and Wildlife the Fish Screening Task Force consisting of
seven members appointed by the State Fish and Wildlife
Commission.
  (2) Three members shall be appointed to represent agricultural
interests, three shall be appointed to represent fishing or fish
conservation interests and one member shall be appointed to
represent the public. Members of the task force shall serve for
two-year terms. No member of the task force shall serve for more
than three consecutive two-year terms.
  (3) A member of the task force shall receive no compensation
for services as a member. However, subject to any applicable law
regulating travel and other expenses of state officers and
employees, a member shall be reimbursed for actual and necessary
travel and other expenses incurred in the performance of official
duties from such moneys as may be available therefor in the State
Wildlife Fund.
  (4) The task force shall meet at such times and places as may
be determined by the chair or by a majority of the members of the
task force.
  (5) The duties of the task force are:
  (a) To advise the department in the development of a
comprehensive cost-sharing program for the installation of fish
screening or by-pass devices in water diversions.
  (b) To advise the department in establishing a stable and
equitable funding system for the installation and maintenance of
fish screening and by-pass devices.
  (c) To advise the department in identifying sources and
applying for grants from local, state and federal governmental
agencies for funding the installation and maintenance of fish
screening and by-pass devices.
  (d) To advise the department in monitoring fish screening
programs.
 
 
Enrolled House Bill 2294 (HB 2294-B)                      Page 13
 
 
 
  (e) To advise the department in a survey and study of fish
screening technology to determine the most cost-effective
alternatives for screening in the various situations that may be
encountered in the implementation of fish screening in this
state.
  (f) To advise the department in preparing a report on the
capital costs and effectiveness of the program provided in ORS
498.306.
  (g) To advise the department on the creation of the priority
criteria and the priority listing referred to in ORS 498.306
  { - (13)(a) or (d) - }  { +  (14)(a) or (d) + }.
  SECTION 6. ORS 498.316 is amended to read:
  498.316. ORS 498.306   { - and 498.311 do - }   { + does + }
not require the installation of   { - fish - }  screening or
by-pass devices in those water diversions for which the State
Fish and Wildlife Commission, by contract or other form of
agreement with the person diverting the water, has made such
other provision as the commission determines is adequate for the
protection of the game fish in the body of water from which water
is being diverted.
  SECTION 7. ORS 498.341 is amended to read:
  498.341. Notwithstanding the   { - limitation on the number of
diversions to be screened as provided in - }  { +  limitations
imposed by + } ORS 498.306, if sufficient funds are made
available in the Fish Screening Subaccount of the Fish and
Wildlife Account, by allocation from the Administrative Services
Economic Development Fund or from other sources, the State
Department of Fish and Wildlife may provide financial assistance
for construction and installation of screening or by-pass devices
on   { - an - }  additional
  { - 250 - }  water diversions.
  SECTION 8. ORS 498.346 is amended to read:
  498.346. The State Fish and Wildlife Commission may maintain a
suit to enjoin any person, including governmental agencies of
this state and political subdivisions of this state, from
violating the provisions of ORS 498.306   { - or 498.311 - } .
The circuit court for any county in which are situated any waters
in which any such violations are threatened has jurisdiction of
the suit authorized by this section.
  SECTION 9. ORS 498.336 is amended to read:
  498.336. Nothing in ORS 498.306  { - , 498.311, - }
 { + or + } 509.585   { - or 509.615 - }  shall be construed:
  (1) To limit the eligibility of a person required to install
and operate   { - fish - }  screening or by-pass devices to
obtain funding from the Water Development Fund pursuant to ORS
541.700 to 541.855.
  (2) To limit the acquisition or acceptance of any federal funds
available for the installation, operation, maintenance,
improvement or repair of   { - fish - }  screening or by-pass
devices on water diversions in this state  { - , regardless of
the size of the diversion - } .
  SECTION 10. ORS 509.910 is amended to read:
  509.910. (1) The State Fish and Wildlife Commission may
maintain an action for an injunction to enjoin and restrain any
person, municipal corporation, political subdivision or
governmental agency of this state from violating any of the
provisions of ORS 509.130, 509.140, 509.505, 509.585, 509.610
 { - , 509.615 - }  and 509.625.
 
 
 
 
Enrolled House Bill 2294 (HB 2294-B)                      Page 14
 
 
 
  (2) Any action authorized by this section shall be tried in the
circuit court of the county in which the violation occurs or in
Marion or Multnomah County.
  (3) If the defendant is a corporation with its principal office
and place of business in a county other than in which the waters
flow or are situated, such action shall be deemed an action of
local nature and service of summons made on a corporation in any
county where the corporation has its principal office and place
of business. If it is a foreign corporation, service may be made
on the statutory agent but if there is no such statutory agent
then upon the Secretary of State as in other cases provided by
law.
  SECTION 11. ORS 540.525 is amended to read:
  540.525. (1) Upon receipt of an application for a change in the
point of diversion under ORS 540.520, the Water Resources
Department shall consult with the State Department of Fish and
Wildlife to determine whether the diversion is:
  (a) Equipped with an appropriate fish screening or by-pass
device; or
  (b) Included on the priority list of screening projects
established pursuant to section 8, chapter 933, Oregon Laws 1989.
  (2) If the original point of diversion is included in the
priority list of screening projects established pursuant to
section 8, chapter 933, Oregon Laws 1989, the department, after
consulting with the State Department of Fish and Wildlife, may
require the installation of an appropriate fish screening or
by-pass device at the new point of diversion.
  (3) When consulting with the State Department of Fish and
Wildlife, the department shall determine whether the installation
of an appropriate fish screening or by-pass device is necessary
to prevent fish from leaving the body of water and entering the
diversion.
  (4) Any individual who is required to install a fish screening
or by-pass device under this section at a point of diversion
 { - for a diversion of under 30 cubic feet per second - }  may
participate in the State Department of Fish and Wildlife's
 { - cost sharing - }   { + cost-sharing + } program for the
installation of screening or by-pass devices.
  SECTION 12. ORS 540.532 is amended to read:
  540.532. (1) Notwithstanding ORS 537.797, 540.510, 540.520 and
540.530, an individual may request a change in the point of
diversion to reflect the historical use of water at a point of
diversion other than that described in the water right
certificate or decree if the individual complies with the
provisions of subsection (2) of this section.
  (2) An individual may request a change in the point of
diversion under subsection (1) of this section if:
  (a) The actual, current point of diversion has been in use for
more than 10 years;
  (b) The Water Resources Department has received no claim of
injury as a result of the use of water from the current point of
diversion prior to the request for the change of diversion;
  (c) The individual requesting the change provides written
notice to any other affected water right holder, as identified by
the Water Resources Department, and the Water Resources
Department provides notice of the request in the department's
public notice of water right applications; and
  (d) The individual provides a map of sufficient detail and
clarity to identify the true point of diversion including but not
limited to:
 
 
Enrolled House Bill 2294 (HB 2294-B)                      Page 15
 
 
 
  (A) The county tax lot number, township, range and section, and
to the nearest quarter-quarter section or latitude and longitude
as established by a global positioning system; and
  (B) The locations of the point of diversion as specified in the
water right certificate or decree and the actual, current point
of diversion.
  (3) Upon receipt of a request for a change in the point of
diversion under subsection (1) of this section, the Water
Resources Department shall consult with the State Department of
Fish and Wildlife to determine whether the historical point of
diversion is:
  (a) Equipped with an appropriate fish screening or by-pass
device; or
  (b) Included on the priority list of screening projects
established pursuant to section 8, chapter 933, Oregon Laws 1989.
  (4) If the historical point of diversion is included in the
priority list of screening projects established pursuant to
section 8, chapter 933, Oregon Laws 1989, the Water Resources
Department, after consulting with the State Department of Fish
and Wildlife, may require the installation of an appropriate fish
screening or by-pass device at the point of diversion.
  (5) When consulting with the State Department of Fish and
Wildlife, the Water Resources Department shall determine whether
the installation of an appropriate fish screening or by-pass
device is necessary to prevent fish from leaving the body of
water and entering the diversion.
  (6) Any individual who is required to install a fish screening
or by-pass device under this section at a point of diversion
 { - for a diversion of under 30 cubic feet per second - }  may
participate in the State Department of Fish and Wildlife's
cost-sharing program for the installation of screening or by-pass
devices.
  SECTION 13. ORS 314.752 is amended to read:
  314.752. (1) Except as provided in ORS 314.740 (5)(b), the tax
credits allowed or allowable to a C corporation for purposes of
ORS chapter 317 or 318 shall not be allowed to an S corporation.
The business tax credits allowed or allowable for purposes of ORS
chapter 316 shall be allowed or are allowable to the shareholders
of the S corporation.
  (2) In determining the tax imposed under ORS chapter 316, as
provided under ORS 314.734, on income of the shareholder of an S
corporation, there shall be taken into account the shareholder's
pro rata share of business tax credit (or item thereof) that
would be allowed to the corporation (but for subsection (1) of
this section) or recapture or recovery thereof. The credit (or
item thereof), recapture or recovery shall be passed through to
shareholders in pro rata shares as determined in the manner
prescribed under section 1377(a) of the Internal Revenue Code.
  (3) The character of any item included in a shareholder's pro
rata share under subsection (2) of this section shall be
determined as if such item were realized directly from the source
from which realized by the corporation, or incurred in the same
manner as incurred by the corporation.
  (4) If the shareholder is a nonresident and there is a
requirement applicable for the business tax credit that in the
case of a nonresident the credit be allowed in the proportion
provided in ORS 316.117, then that provision shall apply to the
nonresident shareholder.
  (5) As used in this section, 'business tax credit' means a tax
credit granted to personal income taxpayers to encourage certain
 
 
Enrolled House Bill 2294 (HB 2294-B)                      Page 16
 
 
 
investment, to create employment, economic opportunity or
incentive or for charitable, educational, scientific, literary or
public purposes that is listed under this subsection as a
business tax credit or is designated as a business tax credit by
law or by the Department of Revenue by rule and includes but is
not limited to the following credits: ORS 285C.309 (tribal taxes
on reservation enterprise zones), ORS 315.104 (forestation and
reforestation), ORS 315.134 (fish habitat improvement),   { - ORS
315.138 (fish screening, by-pass devices, fishways), - }  ORS
315.156 (crop gleaning), ORS 315.164 and 315.169 (farmworker
housing), ORS 315.204 (dependent care assistance), ORS 315.208
(dependent care facilities), ORS 315.213 (contributions for child
care), ORS 315.254 (youth apprenticeship sponsorship), ORS
315.304 (pollution control facility), ORS 315.324 (plastics
recycling), ORS 315.354 and ORS 469.207 (energy conservation
facilities), ORS 315.507 (electronic commerce), ORS 315.511
(advanced telecommunications facilities), ORS 315.604 (bone
marrow transplant expenses) and ORS 317.115 (fueling stations
necessary to operate an alternative fuel vehicle).
  SECTION 14. ORS 496.303, as amended by section 3 of this 2007
Act, is amended to read:
  496.303. (1) The Fish and Wildlife Account is established in
the State Treasury, separate and distinct from the General Fund.
All moneys in the account are continuously appropriated to the
State Fish and Wildlife Commission. The Fish and Wildlife Account
shall consist of the moneys in its various subaccounts and any
moneys transferred to the account by the Legislative Assembly.
Unless otherwise specified by law, interest earnings on moneys in
the account shall be paid into the State Treasury and credited to
the State Wildlife Fund.
  (2)(a) The Fish Screening Subaccount is established in the Fish
and Wildlife Account. The subaccount shall consist of:
  (A) All penalties recovered under ORS 536.900 to 536.920.
  (B) All moneys received pursuant to ORS 498.306.
  (C) All gifts, grants and other moneys from whatever source
that may be used to carry out the provisions of ORS 498.306.
  (D) All moneys received from the surcharge on angling licenses
imposed by ORS 497.124.
  (b) All moneys in the subaccount shall be used to carry out the
provisions of ORS   { - 315.138, - }  498.306 and 509.620.
However, moneys received from the surcharge on angling licenses
imposed by ORS 497.124 shall be expended only to carry out the
provisions of law relating to the screening of water diversions.
  (3) The Fish Endowment Subaccount is established in the Fish
and Wildlife Account. The subaccount shall consist of transfers
of moneys authorized by the Legislative Assembly from the State
Wildlife Fund and gifts and grants of moneys from whatever source
for the purpose of paying the expense of maintaining fish
hatcheries operated by the department.
  (4) The Migratory Waterfowl Subaccount is established in the
Fish and Wildlife Account. All moneys received by the commission
from the sale of art works and prints related to the migratory
waterfowl stamp shall be deposited in the subaccount. Moneys in
the subaccount may be expended only for activities that promote
the propagation, conservation and recreational uses of migratory
waterfowl and for activities related to the design, production,
issuance and arrangements for sale of the migratory waterfowl
stamps and related art works and prints. Expenditures of moneys
in the subaccount may be made within this state, in other states
or in foreign countries, in such amounts as the commission
 
 
Enrolled House Bill 2294 (HB 2294-B)                      Page 17
 
 
 
determines appropriate. Expenditures in other states and foreign
countries shall be on such terms and conditions as the commission
determines will benefit most directly the migratory waterfowl
resources of this state.
  (5) The Halibut Research Subaccount is established in the Fish
and Wildlife Account. Based on the annual number of recreational
halibut anglers, a portion of the moneys derived from the sale of
the salmon, steelhead trout, sturgeon and halibut tag pursuant to
ORS 497.121 shall be credited to the subaccount.  Moneys in the
subaccount may be expended only for halibut population studies
and other research.
  (6) The Upland Bird Subaccount is established in the Fish and
Wildlife Account. All moneys received by the State Fish and
Wildlife Commission from the sale of upland bird stamps, from the
sale of any art works and prints related to the upland bird stamp
and from private hunting preserve permit fees shall be deposited
in the subaccount. Moneys in the subaccount may be expended only
for promoting the propagation and conservation of upland birds
and the acquisition, development, management, enhancement, sale
or exchange of upland bird habitat, and for activities related to
the design, production, issuance and arrangements for sale of the
upland bird stamps and related art works and prints. Expenditures
of moneys in the subaccount shall be made for the benefit of
programs within this state in such amounts and at such times as
the commission determines appropriate to most directly benefit
the upland bird resources of the state.
  (7)(a) The Fish and Wildlife Deferred Maintenance Subaccount is
established in the Fish and Wildlife Account. Interest earnings
on moneys in the subaccount shall be credited to the subaccount.
The subaccount shall consist of moneys authorized by the
Legislative Assembly from the State Wildlife Fund and moneys
obtained by gift, grant, bequest or donation from any other
public or private source.
  (b) The principal in the subaccount may be utilized only as
provided in paragraph (c) of this subsection. Interest earnings
on the moneys in the subaccount may be expended only for the
maintenance of fish hatcheries and State Department of Fish and
Wildlife facilities other than administrative facilities located
in Salem.
  (c) The department may borrow funds from the principal of the
subaccount to maintain adequate cash flow requirements. However,
moneys borrowed from the principal must be repaid to the
subaccount:
  (A) Within six months from the date on which the moneys were
borrowed.
  (B) With interest at the standard rate that the State Treasurer
charges to state agencies for other loans. Interest paid under
this subparagraph shall be paid to the subaccount.
  (d) For purposes of this subsection, 'principal' means moneys
authorized by the Legislative Assembly for transfer to the
subaccount from the State Wildlife Fund, including any assignment
of earnings on moneys in the fund and other moneys obtained by
gift, grant, bequest or donation deposited into the subaccount.
  (8) The Access and Habitat Board Subaccount is established in
the Fish and Wildlife Account. The subaccount shall consist of
moneys transferred to the subaccount pursuant to ORS 496.242.
Moneys in the subaccount may be used for the purposes specified
in ORS 496.242.
  (9) The Marine Shellfish Subaccount is established in the Fish
and Wildlife Account. Interest earnings on moneys in the
 
 
Enrolled House Bill 2294 (HB 2294-B)                      Page 18
 
 
 
subaccount shall be credited to the subaccount. All moneys
received by the commission from the sale of resident and
nonresident shellfish licenses pursuant to ORS 497.121 shall be
deposited in the subaccount. Moneys in the subaccount shall be
used for the protection and enhancement of shellfish for
recreational purposes, including shellfish sanitation costs and
the cost of enforcement of wildlife laws pertaining to the taking
of shellfish. The State Fish and Wildlife Director, or a
designee, the Director of Agriculture, or a designee, and the
Superintendent of State Police, or a designee, shall jointly make
a recommendation to the Governor for inclusion in the Governor's
budget beginning July 1 of each odd-numbered year.
  (10)(a) The Mountain Sheep Subaccount is established in the
Fish and Wildlife Account, consisting of moneys collected under
ORS 497.112 (2)(a) to (c).
  (b) All moneys in the subaccount shall be used for the
propagation and conservation of mountain sheep, for research,
development, management, enhancement and sale or exchange of
mountain sheep habitat and for programs within the state that in
the discretion of the commission most directly benefit mountain
sheep resources of this state.
  (11)(a) The Antelope Subaccount is established in the Fish and
Wildlife Account, consisting of moneys collected under ORS
497.112 (2)(a) to (c).
  (b) All moneys in the subaccount shall be used for the
propagation and conservation of antelope, for research,
development, management, enhancement and sale or exchange of
antelope habitat and for programs within the state that in the
discretion of the commission most directly benefit antelope
resources of this state.
  (12)(a) The Mountain Goat Subaccount is established in the Fish
and Wildlife Account, consisting of moneys collected under ORS
497.112 (2)(a) to (c).
  (b) All moneys in the subaccount shall be used for the
propagation and conservation of mountain goats for research,
development, management, enhancement and sale or exchange of
mountain goat habitat and for programs within the state that in
the discretion of the commission most directly benefit mountain
goat resources of this state.
  (13)(a) The commission shall keep a record of all moneys
deposited in the Fish and Wildlife Account. The record shall
indicate by separate cumulative accounts the sources from which
the moneys are derived and the individual activity or programs
against which each withdrawal is charged.
  (b) Using the record created pursuant to paragraph (a) of this
subsection, the commission shall report, in the budget documents
submitted to the Legislative Assembly, on the application of
investment and interest earnings to the maintenance of fish
hatcheries and other State Department of Fish and Wildlife
facilities.
  SECTION 15.  { + The amendments to ORS 314.752 and 496.303 by
sections 13 and 14 of this 2007 Act become operative on January
2, 2014. + }
  SECTION 16.  { + ORS 498.311, 498.331 and 509.615 are
repealed. + }
  SECTION 17.  { + The amendments to ORS 315.138 by section 2 of
this 2007 Act apply to tax credits for screening devices, by-pass
devices and fishways first claimed in tax years beginning on or
after January 1, 2008, and before January 1, 2014. + }
                         ----------
 
 
Enrolled House Bill 2294 (HB 2294-B)                      Page 19
 
 
 
 
 
Passed by House May 24, 2007
 
 
      ...........................................................
                                             Chief Clerk of House
 
      ...........................................................
                                                 Speaker of House
 
Passed by Senate June 14, 2007
 
 
      ...........................................................
                                              President of Senate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Enrolled House Bill 2294 (HB 2294-B)                      Page 20
 
 
 
 
 
Received by Governor:
 
......M.,............., 2007
 
Approved:
 
......M.,............., 2007
 
 
      ...........................................................
                                                         Governor
 
Filed in Office of Secretary of State:
 
......M.,............., 2007
 
 
      ...........................................................
                                               Secretary of State
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Enrolled House Bill 2294 (HB 2294-B)                      Page 21