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 1091
 
                         Senate Bill 416
 
Sponsored by Senator WALKER
 
 
                             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 as
introduced.
 
  Limits historic property special assessments to one 15-year
term for all types of property. Permits completion of second
15-year term of historic property special assessment.
  Takes effect on 91st day following adjournment sine die.
 
                        A BILL FOR AN ACT
Relating to historic property; creating new provisions; amending
  ORS 358.482, 358.505 and 358.540; repealing ORS 358.541; and
  prescribing an effective date.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 358.505 is amended to read:
  358.505. (1)(a) The county assessor shall, for the 15
consecutive tax years elected under ORS 358.480 to 358.545, list
on the assessment and tax roll a specially assessed value for
property classified as historic property that equals the assessed
value of the property at the time application for classification
was made.
  (b) Notwithstanding paragraph (a) of this subsection, if the
property that is the subject of the application was exempt or
specially assessed at the time the application for classification
was made, the county assessor shall, for the 15 consecutive tax
years elected under ORS 358.480 to 358.545, list on the
assessment and tax roll a specially assessed value for the
property that equals the product of the real market value of the
property for the tax year in which the application was made
multiplied by the ratio of the average maximum assessed value
over the average real market value for that tax year of property
in the same area and property class.
    { - (c) If a reapplication for classification and special
assessment filed pursuant to ORS 358.540 (3) is approved under
ORS 358.490, the county assessor shall, for 15 consecutive tax
years after the date of the filing of the reapplication, list on
the assessment and tax roll a specially assessed value for the
property that was the subject of the reapplication that equals
the product of the real market value of the property for the
assessment year in which the reapplication is made multiplied by
the ratio of the average maximum assessed value over the average
real market value for the assessment year of property in the same
area and property class. - }
  (2)(a) For the first tax year of a 15-year period of historic
property special assessment, notwithstanding ORS 308.149 (2), the
maximum assessed value of property subject to historic property
special assessment shall equal the specially assessed value of
the property under subsection (1) of this section multiplied by
the ratio, not greater than 1.00, of the maximum assessed value
the property would have had if the property were not specially
assessed over the real market value of the property.
  (b) For each tax year after the first tax year in which the
property is subject to special assessment as historic property
and before the conclusion of the 15-year period of historic
property special assessment, the property's maximum assessed
value subject to special assessment shall equal 103 percent of
the property's assessed value from the prior year or 100 percent
of the property's maximum assessed value subject to special
assessment from the prior year, whichever is greater.
  (3) The assessed value of property that is classified as
historic property for the tax year shall equal the lesser of:
  (a) The property's specially assessed value as determined under
subsection (1) of this section; or
  (b) The property's maximum assessed value as determined under
subsection (2) of this section.
  (4) Except as provided under ORS 358.487 (2), the entitlement
of property to the special assessment provisions of this section
shall be determined as of July 1. If the property becomes
disqualified on or after July 1, its assessment for that year
shall continue as provided in this section.
  (5) Assessed value, as defined and determined under ORS
308.146, shall be determined for property classified as historic
property by the county assessor each year. The assessed value so
determined for any year shall be subject to appeal to the county
board of property tax appeals within the time and in the manner
provided in ORS chapter 309 and shall be subject to appeal
thereafter to the Oregon Tax Court and to the Oregon Supreme
Court within the time and in the manner provided for appeals of
value determination for purposes of ad valorem property taxation.
  (6) The Department of Revenue, in consultation with the State
Historic Preservation Officer, shall adopt rules within its area
of expertise that are necessary to the implementation of ORS
358.480 to 358.545.
  SECTION 2. ORS 358.540 is amended to read:
  358.540. (1) Property classified as historic property under ORS
358.480 to 358.545 is entitled to any other exemption or special
assessment provided by law.
  (2) Property that has received special assessment under ORS
358.480 to 358.545 for 15 years, at the completion of the 15-year
term, is disqualified from historic property special assessment.
    { - (3)(a) Notwithstanding subsection (2) of this section,
following completion of the initial 15-year period of historic
property classification and disqualification under subsection (2)
of this section, the owner of property classified as historic
property may reapply under ORS 358.487 for one additional 15-year
period of special assessment under ORS 358.480 to 358.545.
Following completion of the second 15-year term of special
assessment, the historic property shall be disqualified from
historic property special assessment and is not again eligible
for special assessment under ORS 358.480 to 358.545. - }
    { - (b) For commercial property, a reapplication filed under
this subsection, in addition to containing all of the information
required of an application filed under ORS 358.487, shall be
accompanied by a renovation plan detailing measures to be taken
for purposes of Americans with Disabilities Act compliance,
seismic improvement measures or energy conservation measures, the
costs associated with the measures and a schedule of the dates on
which work on the measures will be begun and completed. - }
    { - (c) For commercial property, a reapplication filed under
this subsection that in other respects is in compliance with the
application requirements of ORS 358.487 may be approved only upon
a finding by the State Historic Preservation Officer that the
renovation plan submitted with the reapplication will, if
implemented, result in a significant investment in the historic
property that promotes compliance with Americans with
Disabilities Act requirements or that results in seismic
improvements or energy conservation improvements to the property.
If approved, the renovation plan shall be considered an amendment
to and part of the preservation plan filed with the reapplication
and in effect for the property. - }
    { - (d) For residential property, a reapplication filed under
this subsection that in other respects is in compliance with the
application requirements of ORS 358.487 may be approved only if a
second term of historic property classification and special
assessment for residential property is authorized under ORS
358.541. - }
    { - (e) The State Historic Preservation Officer may adopt
rules under this subsection, including rules that provide: - }
    { - (A) The minimum amount of investment that must be made in
order for the investment to be considered a significant
investment. - }
    { - (B) The minimum amount of seismic improvement to the
property that must be contemplated in the renovation plan in
order for the plan to be approved. - }
    { - (C) The minimum level of energy conservation improvements
that must be contemplated in the renovation plan in order for the
plan to be approved. - }
    { - (D) The maximum amount of time between the date of filing
of the reapplication and the date of completion of the measures
described in the renovation plan in order for the renovation plan
to be approved. - }
  SECTION 3. ORS 358.482 is amended to read:
  358.482. (1) As used in ORS 358.480 to 358.545:
  (a) 'Americans with Disabilities Act' means the Americans with
Disabilities Act of 1990 (P.L. 101-336), as amended.
  (b) 'Commercial property' means real property used in a trade
or business or held for the production of income, including
multifamily residential rental property.
  (c) 'Preservation plan' means a written preservation,
maintenance and rehabilitation proposal submitted by the owner
with the application for classification and special assessment as
historic property that has been approved by the State Historic
Preservation Officer, or as amended and reapproved by the State
Historic Preservation Officer, and that is in compliance with
standards and guidelines for rehabilitation and rules adopted by
the State Historic Preservation Officer.
    { - (d) 'Renovation plan' means a written proposal submitted
by an owner of commercial property in connection with a
reapplication for special assessment pursuant to ORS 358.540 (3)
that is in compliance with rules adopted by the State Historic
Preservation Officer for the submission and content of renovation
plans. - }
    { - (e) - }   { + (d) + } 'Review committee' means the
Historic Assessment Review Committee established under ORS
358.511.
    { - (f) - }   { + (e) + } 'Seismic improvement' means
construction or other measures that improve the seismic
performance or structural stability of property, or that reduce
the potential for heavy structural damage to property in the
event of an earthquake.
    { - (g) - }   { + (f) + } 'Standards and guidelines for
rehabilitation ' means the standards and guidelines, based on
those developed by the United States Secretary of the Interior,
adopted by the State Historic Preservation Officer to determine
sufficiency of preservation plans, maintenance, alteration and
construction for a specific property.
 
  (2) Except as otherwise specifically provided, the definitions
contained in this section apply to property first classified and
assessed as historic property on or after July 1, 1996.
  SECTION 4.  { + ORS 358.541 is repealed. + }
  SECTION 5.  { + (1) The amendments to ORS 358.540 by section 2
of this 2007 Act apply only to applications for historic property
special assessment that are filed or approved on or after the
effective date of this 2007 Act.
  (2) Nothing in this 2007 Act affects the status of property
that is classified as historic property on the effective date of
this 2007 Act. Such property may continue to receive special
assessment under ORS 358.480 to 358.545 until the completion of
the 15-year term that is in effect on the effective date of this
2007 Act. + }
  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. + }
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