74th OREGON LEGISLATIVE ASSEMBLY--2007 Regular Session
NOTE: Matter within { + braces and plus signs + } in an
amended section is new. Matter within { - braces and minus
signs - } is existing law to be omitted. New sections are within
{ + braces and plus signs + } .
LC 655
C-Engrossed
Senate Bill 151
Ordered by the House June 23
Including Senate Amendments dated April 10 and May 18 and House
Amendments dated June 23
Printed pursuant to Senate Interim Rule 213.28 by order of the
President of the Senate in conformance with presession filing
rules, indicating neither advocacy nor opposition on the part
of the President (at the request of Governor Theodore R.
Kulongoski for Economic and Community Development Department)
SUMMARY
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure.
{ - Permits two-year extension of enterprise zone property
tax exemption for sustainable business firms. Applies to
sustainable business firms filing applications for authorization
after effective date of Act and after sponsor elects to extend
sustainable business firm enterprise zone property tax
exemption. - }
Extends sunset date for enterprise zone program from June 30,
2009, to June 30, 2013.
{ + Provides that certain business firms are exempt from
property taxation under enterprise zone program if specified
criteria are satisfied. + }
Directs Oregon Economic and Community Development Commission to
report to Legislative Assembly regarding evaluation of enterprise
zone performance and related tax incentives.
A BILL FOR AN ACT
Relating to enterprise zone program; creating new provisions; and
amending ORS 285C.255 and 285C.406.
Be It Enacted by the People of the State of Oregon:
SECTION 1. ORS 285C.255 is amended to read:
285C.255. (1) Notwithstanding any other provision of ORS
285C.050 to 285C.250:
(a) An area may not be designated as an enterprise zone after
June 30, { - 2009 - } { + 2013 + };
(b) A business firm may not obtain authorization under ORS
285C.140 after June 30, { - 2009 - } { + 2013 + }; and
(c) An enterprise zone, except for a reservation enterprise
zone, that is in existence on June 29, { - 2009 - } { +
2013 + }, is terminated on June 30, { - 2009 - } { +
2013 + }.
(2) Notwithstanding subsection (1) of this section:
(a) A reservation enterprise zone may be designated under ORS
285C.306 after June 30, { - 2009 - } { + 2013 + }; and
(b) A business firm may obtain authorization under ORS 285C.140
after June 30, { - 2009 - } { + 2013 + }:
(A) If located in a reservation enterprise zone; or
(B) As allowed under ORS 285C.245 (1)(b).
SECTION 2. ORS 285C.406 is amended to read:
285C.406. In order for a taxpayer to claim the property tax
exemption under ORS 285C.409 or a corporate excise or income tax
credit under ORS 317.124:
(1) The written agreement between the business firm and the
rural enterprise zone sponsor that is required under ORS 285C.403
(3)(c) must be entered into prior to the termination of the
enterprise zone under ORS 285C.245; and
(2) The business firm must obtain certification under ORS
285C.403 on or before June 30, { - 2009 - } { + 2013 + }.
SECTION 3. { + (1) Notwithstanding ORS 285C.175 (4) or
285C.180 (1), property of a business firm that otherwise meets
applicable requirements for authorization and qualification under
ORS 285C.050 to 285C.250 is exempt from ad valorem taxation as
provided in ORS 285C.175 if:
(a) The business firm is engaged in business activities or
operations resulting from a transfer or lease of real property
between the business firm and a public body; and
(b) At the time of the transfer or lease of real property,
according to the most recent federal decennial census:
(A) The business activities or operations are located in a city
having a population of more than 2,500 but less than 5,500; and
(B) The enterprise zone is located in a county having a
population of more than 6,000 but less than 9,000.
(2) A business firm that satisfies the criteria of subsection
(1) of this section is an eligible business firm for purposes of
ORS 285C.140.
(3) A business firm described in subsection (2) of this section
that seeks to have property exempted from property taxation as
provided in ORS 285C.175 shall apply for authorization as
provided in ORS 285C.140. + }
SECTION 4. { + Section 3 of this 2007 Act is repealed on June
30, 2016. + }
SECTION 5. { + (1) Prior to February 1, 2009, the Legislative
Revenue Officer shall file with the Seventy-fifth Legislative
Assembly a report that evaluates the performance of enterprise
zones and related tax incentives under ORS 285C.050 to 285C.250.
(2) The interim legislative committee of the House of
Representatives on revenue or other appropriate interim committee
of the House of Representatives on revenue or economic
development shall evaluate the enterprise zones and related tax
incentives. The evaluation of the enterprise zone program may
include, but is not limited to, evaluations of:
(a) The cost-benefit analysis of the effects on the state and
local economy, public finance and services and other matters
associated with actual business firms receiving the incentives,
including but not limited to assessing the degree to which the
incentives are significantly affecting investments and employment
in the enterprise zones; and
(b) The statistical change in measures of local economic
hardship over time for communities associated with enterprise
zones. + }
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