75th OREGON LEGISLATIVE ASSEMBLY--2009 Regular Session
Enrolled
House Bill 2152
Ordered printed by the Speaker pursuant to House Rule 12.00A (5).
Presession filed (at the request of Governor Theodore R.
Kulongoski for Economic and Community Development Department)
CHAPTER ................
AN ACT
Relating to economic development; creating new provisions;
amending ORS 183.635, 200.025, 200.045, 200.055, 200.057,
200.065, 200.110, 200.120, 200.170, 285A.010, 285A.020,
285A.040, 285A.045, 285A.050, 285A.055, 285A.060, 285A.070,
285A.075, 285A.080, 285A.116, 285A.152, 285A.185, 285A.188,
285A.190, 285A.192, 285A.200, 285A.206, 285A.213, 285A.224,
285A.227, 285A.306, 285A.346, 285A.349, 285A.600, 285A.615,
285A.627, 285A.654, 285A.657, 285A.660, 285A.669, 285A.672,
285A.678, 285A.681, 285A.684, 285A.687, 285A.690, 285A.693,
285A.696, 285A.702, 285A.705, 285A.708, 285B.050, 285B.053,
285B.056, 285B.059, 285B.062, 285B.065, 285B.068, 285B.080,
285B.081, 285B.086, 285B.089, 285B.092, 285B.093, 285B.126,
285B.132, 285B.135, 285B.138, 285B.141, 285B.147, 285B.168,
285B.178, 285B.179, 285B.200, 285B.206, 285B.209, 285B.215,
285B.218, 285B.230, 285B.233, 285B.236, 285B.260, 285B.266,
285B.283, 285B.286, 285B.290, 285B.323, 285B.326, 285B.329,
285B.335, 285B.338, 285B.341, 285B.344, 285B.362, 285B.371,
285B.410, 285B.413, 285B.419, 285B.422, 285B.428, 285B.437,
285B.440, 285B.449, 285B.455, 285B.460, 285B.462, 285B.465,
285B.467, 285B.470, 285B.473, 285B.482, 285B.503, 285B.506,
285B.512, 285B.515, 285B.533, 285B.551, 285B.560, 285B.563,
285B.572, 285B.575, 285B.581, 285B.584, 285B.590, 285B.593,
285B.599, 285B.740, 285B.743, 285B.746, 285B.749, 285B.758,
285C.612, 468B.415, 657.665, 777.267, 777.277, 777.282, 777.284
and section 32, chapter 773, Oregon Laws 2003, sections 2, 3
and 4, chapter 756, Oregon Laws 2005, and sections 7 and 9,
chapter 746, Oregon Laws 2007; repealing ORS 285A.483,
285A.486, 285A.489, 285A.495, 285B.239, 285B.242, 285B.245,
285B.248, 285B.263, 285B.264 and 285B.269; appropriating money;
and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
{ +
OREGON INFRASTRUCTURE FINANCE AUTHORITY + }
{ +
CREATION AND ADMINISTRATIVE PROVISIONS + }
SECTION 1. { + Sections 1a to 7 of this 2009 Act are added to
and made a part of ORS chapter 285A. + }
Enrolled House Bill 2152 (HB 2152-C) Page 1
SECTION 1a. { + (1) The Oregon Infrastructure Finance
Authority Board is created as a policy-making and advisory body
within the Oregon Business Development Department. The board
consists of nine members as follows:
(a) One nonvoting member appointed from members of the Senate
by the President of the Senate;
(b) One nonvoting member appointed from members of the House of
Representatives by the Speaker of the House of Representatives;
(c) One member appointed by the State Treasurer; and
(d) Six members appointed by the Governor.
(2) Persons appointed members of the board must be Oregon
residents, well qualified by experience to make policy and
recommendations in areas of concern to the Oregon Infrastructure
Finance Authority and to perform the duties of office. Members
shall be appointed with consideration given to knowledge and
experience:
(a) In the field of state and municipal finance;
(b) Of the infrastructure and public works needs in Oregon
cities;
(c) Of the infrastructure and public works needs in Oregon
counties;
(d) Of issues related to ports that affect the state;
(e) Of issues related to special service district services
furnished across the state; and
(f) Of infrastructure and public works necessary to further
Oregon's long term economic growth.
(3) The office of the State Treasurer may recommend persons
with expertise in the field of state and municipal finance for
membership on the board.
(4) The term of a member of the board appointed by the
Governor, the State Treasurer or the President of the Senate is
four years. The term of a member appointed by the Speaker of the
House of Representatives is two years.
(5) In case of a vacancy on the board for any cause, the
appointing authority shall appoint a successor to serve for the
unexpired term.
(6) A member of the board may be appointed to serve two
consecutive terms. A member who serves two consecutive terms is
not eligible for reappointment within one year following the
expiration of the second term.
(7) The board shall select one of its members to chair the
board for such term and with duties and powers necessary to
perform the functions of the office as the board determines.
(8) A majority of the voting members of the board constitutes a
quorum for the transaction of business. + }
SECTION 2. { + The Oregon Infrastructure Finance Authority
Board shall:
(1) Serve as a body to advise municipalities, state agencies
and private persons on the development and implementation of
state policies and programs relating to the infrastructure needs
of this state and its communities.
(2) Advise the Governor, the Director of the Oregon Business
Development Department and the Oregon Business Development
Department on all matters relating to infrastructure and public
works programs and activities administered by the Oregon
Infrastructure Finance Authority.
(3) Develop a recommended biennial budget for the operation of
the authority and submit the budget to the director and the
Governor.
Enrolled House Bill 2152 (HB 2152-C) Page 2
(4) Seek and receive the views of all levels of government and
the private sector with respect to state policies and programs to
address the infrastructure needs of this state.
(5) Prepare and submit to the Director of the Oregon Business
Development Department suggested administrative rules that the
board determines are necessary for the operation of the programs
under the direction of the authority.
(6) Establish policies and procedures for loan and grant
programs administered by the authority. + }
SECTION 3. { + (1) The Oregon Infrastructure Finance Authority
is established as an administrative section within the Oregon
Business Development Department, subject to the supervision of
the administrator of the authority. The authority consists of the
administrator and all personnel employed by the authority.
(2) The authority shall develop and administer programs and
funds of the department that address the infrastructure needs of
this state pursuant to the policies of, and as may be recommended
by, the Oregon Infrastructure Finance Authority Board.
(3) The authority shall provide the Oregon Infrastructure
Finance Authority Board with staff and other assistance as
necessary for the board to perform its duties.
(4) The authority shall employ, in accordance with the State
Personnel Relations Law, the staff necessary to allow the
authority to carry out its responsibilities. + }
SECTION 3a. { + (1) The Oregon Infrastructure Finance
Authority may:
(a) Conduct hearings and conferences to develop facts, explain
programs and activities, and obtain advice;
(b) Enter into agreements with other public bodies, as defined
in ORS 174.109, or associations or private persons for services
to assist the authority and the Oregon Infrastructure Finance
Authority Board;
(c) Enter into agreements with other public bodies, as defined
in ORS 174.109, the federal government, associations or private
persons for cooperative endeavors that further programs
administered by the authority;
(d) Subject to applicable policies and procedures, enter into
agreements for loans, grants or other assistance, including, but
not limited to, direct purchase of goods or services, with local
governments, as defined in ORS 174.116, special government
bodies, as defined in ORS 174.117, or other eligible applicants
for infrastructure development;
(e) Appoint committees, consultants or other persons with
expertise in infrastructure-related matters to advise the Oregon
Infrastructure Finance Authority Board or the authority;
(f) Obtain assistance or data from any state agency; or
(g) Perform any other act necessary to carry out the duties of
the authority.
(2) The authority shall administer the state's participation in
the federal Community Development Block Grant funding program
authorized by 42 U.S.C. 5301 et seq. + }
SECTION 4. { + (1) The Director of the Oregon Business
Development Department, upon consultation with and the approval
of the Oregon Infrastructure Finance Authority Board, shall
appoint an administrator of the Oregon Infrastructure Finance
Authority who shall serve at the pleasure of the director.
(2) The administrator shall receive such salary as may be
provided by law or as fixed by the director.
(3) The administrator shall be the administrative head of the
authority.
Enrolled House Bill 2152 (HB 2152-C) Page 3
(4) The administrator may suggest rules to the director for the
government of the authority, the conduct of its employees, the
assignment and performance of its business and the custody, use
and preservation of its records, papers and property.
(5) The administrator shall hire the staff necessary to allow
the authority to carry out its duties. In accordance with the
State Personnel Relations Law, the administrator and any manager
hired by the administrator shall be in the unclassified
service. + }
SECTION 5. { + (1) The Oregon Infrastructure Finance Fund is
established in the State Treasury, separate and distinct from the
General Fund. Interest earned by the Oregon Infrastructure
Finance Fund shall be credited to the fund. The Oregon
Infrastructure Finance Fund consists of all moneys credited to
the fund, including moneys from the Administrative Services
Economic Development Fund, federal funds collected or received
and fees, moneys or other revenues, including miscellaneous
receipts, collected or received by the Oregon Infrastructure
Finance Authority. The moneys in the Oregon Infrastructure
Finance Fund are continuously appropriated to the Oregon Business
Development Department for the authority for the purposes of
sections 1a to 7 of this 2009 Act.
(2) The authority may finance programs and projects determined
to further infrastructure development within this state by making
grants or loans using moneys in the fund.
(3) The Oregon Infrastructure Finance Authority Board may
suggest to the Director of the Oregon Business Development
Department administrative rules for establishing standards,
objectives and criteria for use of moneys in the fund. The
department shall adopt rules to establish standards, objectives
and criteria for use of moneys in the fund. + }
SECTION 6. { + The Oregon Infrastructure Finance Authority may
not direct, supervise or control the policy, programs, personnel
or administration of any program or entity unless specifically
authorized by statute. + }
SECTION 7. { + The Director of the Oregon Business Development
Department, in accordance with ORS chapter 183, may adopt rules
for the operation of the Oregon Infrastructure Finance Authority
as the director determines necessary or convenient for the
authority to perform its duties and functions and as are
consistent with and necessary to carry out the policies
established by the Oregon Infrastructure Finance Authority
Board. + }
{ +
OREGON BUSINESS DEVELOPMENT COMMISSION + }
{ +
ADMINISTRATIVE PROVISIONS + }
SECTION 8. ORS 285A.010 is amended to read:
285A.010. As used in ORS 284.101 to 284.146 and ORS chapters
285A, 285B and 285C, unless the context requires otherwise: { +
(1) 'Administrator' means the administrator of the Oregon
Infrastructure Finance Authority.
(2) 'Association' means a nonprofit, private, incorporated or
unincorporated institution, foundation, organization, entity or
group, whether local, state, regional or national, that is
operating or doing business in Oregon.
(3) 'Authority' means the Oregon Infrastructure Finance
Authority.
Enrolled House Bill 2152 (HB 2152-C) Page 4
(4) 'Board' means the Oregon Infrastructure Finance Authority
Board. + }
{ - (1) - } { + (5) + } 'Commission' means the { - Oregon
Economic and Community Development Commission - } { + Oregon
Business Development Commission + }.
{ - (2) - } { + (6) + } 'Community' means an area or
locality in which the body of inhabitants has common economic or
employment interests. The term is not limited to a city, county
or other political subdivision and need not, but may be, limited
by political boundaries.
{ - (3) - } { + (7) + } 'Department' means the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department + }.
{ - (4) - } { + (8) + } 'Director' means the Director of
the { - Economic and Community Development Department - } { +
Oregon Business Development Department + }.
{ - (5) - } { + (9) + } 'Distressed area' means a county,
city, community or other geographic area that is designated as a
distressed area by the department, based on indicators of
economic distress or dislocation, including but not limited to
unemployment, poverty and job loss.
{ - (6) - } { + (10) + } 'International trade' means the
export and import of products and services and the movement of
capital for the purpose of investment.
{ + (11) 'Local government' has the meaning given that term
in ORS 174.116.
(12) 'Municipality' means an Oregon city or county, the Port of
Portland created by ORS 778.010, a county service district
organized under ORS chapter 451, a district as defined in ORS
198.010, a tribal council of a federally recognized Indian tribe
in this state or an airport district organized under ORS chapter
838.
(13) 'Public body' has the meaning given that term in ORS
174.109. + }
{ - (7) - } { + (14) + } 'Rural area' means an area located
entirely outside of the acknowledged Portland Metropolitan Area
Regional Urban Growth Boundary and the acknowledged urban growth
boundaries of cities with populations of 30,000 or more.
{ - (8) 'Traded sector' means industries in which member
firms sell their goods or services into markets for which
national or international competition exists. - }
{ - (9) - } { + (15) + } 'Small business' means a business
having 100 or fewer employees.
{ + (16) 'State agency' includes state officers, departments,
boards and commissions.
(17) 'Traded sector' means industries in which member firms
sell their goods or services into markets for which national or
international competition exists. + }
SECTION 9. ORS 285A.020 is amended to read:
285A.020. (1) The Legislative Assembly finds that:
(a) Oregon possesses { - many - } unique and sustaining
virtues that will guide and assist in maintaining the state's
economic health, including but not limited to Oregon's:
(A) Special heritage;
(B) Respect for and cultivation of the environment; and
(C) Attention to quality of life issues that are important to
the state's economic development, including but not limited to
access to quality, affordable child care for all children in
Oregon.
Enrolled House Bill 2152 (HB 2152-C) Page 5
(b) Oregon is strategically placed to compete and succeed in
the global { - community. - } { + marketplace. + }
(c) All regions of the state should share in Oregon's economic
recovery.
(d) Creating and retaining quality jobs { - is - } { +
are + } vital to the state's { - continued economic
development. - } { + economic health. + }
(e) Oregon's agriculture and natural resource industries
provide opportunities for beneficial economic enterprise,
including sustainable { - economic - } { + business + }
development activities.
(f) A well educated and trained workforce is necessary to
{ - advance in today's global economy. - } { + support
business and industry needs throughout the state. + }
(g) The ability of existing businesses to grow { - and
prosper - } is critical to Oregon's { - economy. - } { +
prosperity. + }
(h) { - Utilizing the state's - } { + The state must
utilize its + } competitive advantages { - is essential - } to
retain existing businesses and attract new companies and
investment into the state.
(i) Continued { - economic - } development { + in
Oregon + } depends on strengthening traded sector industries.
(j) International trade { + and + } development { - and
promotion is invaluable - } { + of international trade are
essential + } for future
{ - economic - } { + business + } development opportunities.
(k) Small businesses remain a critical element of the state's
{ - economic development, comprising more than 90 percent of
Oregon's businesses. - } { + economy. + }
(L) Capacity building { + to support business development + }
in rural and distressed areas is a key component of economic
development and revitalization efforts.
(m) Oregon's ports are important partners in the state's
economic development efforts and are key components of local and
state economic development strategies.
(n) Improving and enhancing infrastructure is necessary to the
state's future economic development.
(o) Federal, state and local agencies working together will
continue to enhance industrial site development and other
economic development activities.
{ - (p) The Economic and Community Development Department
should be encouraged to convene community development partners to
explore the prospect of making loans to private industrial
landowners from the Brownfields Redevelopment Fund for future
development opportunities. - }
(2) It is the purpose of ORS 284.101 to 284.146 and ORS
chapters 285A, 285B and 285C { - to advance Oregon's
economy. - } { + to enable the creation, retention, expansion
and attraction of businesses that provide sustainable, living
wage jobs for Oregonians through public-private partnerships and
leveraged funding and to support economic opportunities for
Oregon companies and entrepreneurs. + }
(3) The Legislative Assembly declares that it is the immediate
economic strategy of the state to:
(a) Promote a favorable investment climate to strengthen
businesses, create jobs and raise real wages;
(b) Improve the national and global competitiveness of Oregon
companies; and
Enrolled House Bill 2152 (HB 2152-C) Page 6
(c) Assist { - Oregon communities in building capacity - }
{ + and further efforts + } to retain, expand and attract
businesses.
(4) To promote the advancement of the Oregon economy and
implement the immediate economic strategy of the state, the
{ - Economic and Community - } { + Oregon Business + }
Development Department shall invest resources in accordance with
the following principles:
(a) Processes for making public investments and working with
local and regional issues must be designed for flexibility so
that actions can adapt to the constantly changing conditions and
demands under which communities and businesses operate.
(b) Partnerships among local, state and federal governments and
public and private organizations and entities should be
strengthened to further the economic strategy of the state.
(c) The expected impact of public investment and assistance
shall be identified, in terms of measurable outcomes, whenever
possible.
(d) State, federal and community goals, constraints and
obligations should be identified at the beginning of the planning
process, and the state should work actively with community
partners, regions and state and local agencies to address and
accomplish their mutual objectives.
(5) When the department provides funds or assistance for
projects, programs, technical support or other authorized
activities pursuant to ORS 284.101 to 284.146 and ORS chapters
285A, 285B and 285C, the department shall give priority to
projects, programs and activities that:
(a) Retain and create jobs and raise real wages;
{ - (b) Promote capacity building, emphasizing rural and
distressed areas; - }
{ + (b) Promote capacity building, emphasizing rural and
distressed areas to further economic development initiatives; + }
(c) Assist small business creation and expansion;
(d) Invest and engage in training a skilled workforce;
(e) Retain and expand existing companies and recruit new
investment to Oregon;
(f) Capitalize on Oregon's competitive advantages and
strategically invest resources to offset competitive
disadvantages;
(g) Support innovation and research;
(h) Assist industry clusters to succeed;
(i) Market Oregon's advantages;
(j) Promote international trade and attract foreign direct
investment;
(k) Support the development of industrial and commercial lands;
(L) Advance the efforts of ports to promote economic
development activities; and
(m) Build capacity in Oregon's arts and cultural organizations,
creative businesses and individual artists.
SECTION 10. ORS 285A.040 is amended to read:
285A.040. (1) There is established the Oregon { - Economic
and Community - } { + Business + } Development Commission
consisting of nine members appointed as follows:
(a) One nonvoting { - , ex officio - } member appointed from
among the members of the Senate by the President of the Senate;
(b) One nonvoting { - , ex officio - } member appointed from
among the members of the House of Representatives by the Speaker
of the House of Representatives; and
Enrolled House Bill 2152 (HB 2152-C) Page 7
(c) Seven members appointed by the Governor, subject to
confirmation by the Senate in the manner prescribed in ORS
171.562 and 171.565. The Governor shall appoint members of the
commission in compliance with all of the following:
(A) Members shall be appointed with consideration given to
representation of the different geographic regions of the state,
and at least one member shall be a resident of the area east of
the Cascade Range.
(B) Not more than five members may belong to one political
party. Party affiliation shall be determined by the appropriate
entry on official election registration cards.
(C) Members shall be appointed with consideration given to
representation of the following areas of expertise or training:
(i) International trade;
{ + (ii) Traded sector business development; + }
{ - (ii) - } { + (iii) + } Small business { - needs and
issues; - } { + development; + }
{ - (iii) - } { + (iv) + } Local { - government needs and
issues; - } { + + } { + economic development; + }
{ - (iv) Marketing and branding; - }
{ - (v) Arts and culture; - }
{ - (vi) - } { + (v) + } Finance { + and business
investment + };
{ - (vii) - } { + (vi) + } Innovation; { + or + }
{ - (viii) Telecommunications; or - }
{ - (ix) - } { + (vii) + } Other areas of training or
expertise identified by the { - commission. - } { +
Governor. + }
(2)(a) The term of office of each member appointed by the
Governor is four years, but a member serves at the pleasure of
the Governor. Before the expiration of the term of a member
appointed by the Governor, the Governor shall appoint a successor
whose term begins on July 1 of the following year. A member
appointed by the Governor is eligible for reappointment. In case
of a vacancy among the members appointed by the Governor for any
cause, the Governor shall appoint a person to fill the office for
the unexpired term.
(b) The term of office of the member appointed by the President
of the Senate is four years. In case of a vacancy for any cause,
the President of the Senate shall appoint a Senator to fill the
office for the unexpired term.
(c) The term of office of the member appointed by the Speaker
of the House of Representatives is two years. In case of a
vacancy for any cause, the Speaker of the House of
Representatives shall appoint a Representative to fill the office
for the unexpired term.
(3) A member of the commission who is appointed by the Governor
is entitled to compensation and expenses as provided by ORS
292.495. { - Ex officio - } { + Legislative + } members of
the commission are prohibited from receiving compensation and
reimbursement for expenses.
(4) Subject to confirmation by the Senate, the Governor shall
appoint one of the voting commissioners as presiding officer of
the commission. The presiding officer shall have duties and
powers as the commission determines are necessary for the office.
(5) Five voting members of the commission constitute a quorum
for the transaction of business.
(6) The commission shall meet at least quarterly at a time and
place determined by the commission. The commission shall also
meet at other times and places as are specified by the call of
Enrolled House Bill 2152 (HB 2152-C) Page 8
the presiding officer or by the call of a majority of the voting
members of the commission.
(7) A vacancy among the voting members of the commission does
not impair the right of the remaining voting commissioners to
exercise all the powers of the commission. If the remaining
voting commissioners are unable to agree, the Governor shall have
the right to vote as a member of the commission.
{ + (8) A member of the commission appointed due to expertise
or training in local economic development described in subsection
(1)(c)(C)(iv) of this section shall also be an elected local
government official with experience in economic development
matters. + }
SECTION 11. ORS 285A.045 is amended to read:
285A.045. (1) As its primary duty, the Oregon { - Economic
and Community - } { + Business + } Development Commission shall
develop and maintain { - an - } { + the + } economic
{ - and community - } development policy { + and strategy + }
for this state { - that implements the strategy declared - }
{ + outlined + } in ORS 285A.020 { - (3) - } .
(2) The commission shall provide oversight and direction to the
{ - Economic and Community - } { + Oregon Business + }
Development Department in carrying out the { - duties and
creating - } { + economic development + } policies { - to
further the economic - } { + and + } strategy { - set forth
in ORS 285A.020. - } { + established by the commission. + } In
addition, the commission may perform any other duty vested in the
commission by law.
(3) The commission shall keep complete and accurate records of
all the meetings, transactions and business of the commission at
the office of the { - Economic and Community Development - }
department.
(4) When a power, duty or function is vested in the commission,
the commission may designate department officers, agents,
employees or committee members to exercise the power, duty or
function of the commission. When the commission designates a
person in writing to exercise a power, duty or function of the
commission, the person may exercise the power, duty or function.
(5) In carrying out its duties under subsection (1) of this
section, the commission shall coordinate its activities with
federal, state and local agencies, community partners and
regions, when appropriate.
{ + (6) The commission may prepare and submit suggested
administrative rules to the Director of the Oregon Business
Development Department that the commission determines are
necessary for the objectives and programs of the department. + }
SECTION 12. ORS 285A.050 is amended to read:
285A.050. (1) The Oregon { - Economic and Community - }
{ + Business + } Development Commission shall report biennially
to the Governor and the Legislative Assembly on the success of
economic development efforts. The report shall include the
progress toward achievement of performance measures for the
{ - Economic and Community - } { + Oregon Business + }
Development Department as adopted by the Legislative Assembly. At
a minimum, the report shall include the following:
(a) For the overall { - Economic and Community
Development - } department and for { - each - } identifiable
{ - program - } { + programs + } and funding { - source - }
{ + sources + }:
(A) The number of jobs created and retained;
(B) The average wage levels of jobs created and retained; and
Enrolled House Bill 2152 (HB 2152-C) Page 9
(C) Other measures identified by the commission.
(b) The status of the Oregon economy as it relates to the
economic strategy outlined in ORS 285A.020.
(c) Other issues identified by the commission.
(2) Reports to the Legislative Assembly required under this
section shall be made in accordance with ORS 192.245.
SECTION 13. ORS 285A.055 is amended to read:
285A.055. Prior to the approval of bond financing of economic
development projects under ORS 285B.320 to 285B.371 { - , - }
{ + or + } the making of { - a loan - } { + loans + }
{ - under ORS 285A.666 to 285A.732 or the making of any loan - }
or the granting of any moneys from any source, the Oregon
{ - Economic and Community - } { + Business + } Development
Commission { - , or the Economic and Community Development
Department as the designee of the commission - } , { + or the
Oregon Business Development Department as the designee of the
commission, + } shall:
(1) Determine that the action is cost effective, considering
both major public expenses and major public benefits;
(2) Find that the project will produce goods or services which
are sold in markets for which national or international
competition exists or, if the project is to be constructed and
operated by a nonprofit organization, that the project will not
compete with local for-profit businesses;
(3) Determine that the action is the best use of the moneys
involved, considering other pending applications for those
moneys;
(4) Find that the project involved is consistent with the
{ - Economic and Community - } { + Oregon Business + }
Development Department's comprehensive policy and programs; and
(5) Find that the project involved is consistent with
applicable adopted local economic development plans.
SECTION 14. ORS 285A.060 is amended to read:
285A.060. (1) To aid and advise the Oregon { - Economic and
Community - } { + Business + } Development Commission in the
performance of its duties, the commission may establish such
advisory and technical committees as it considers necessary. Such
committees may be continuing or temporary. The presiding officer
of the commission shall determine the representation, membership,
terms and organization of the committees and shall appoint their
members. Members shall be appointed with due consideration given
to the geographic representation described in ORS 285A.040 (1).
The Director of the { - Economic and Community - } { + Oregon
Business + } Development Department, or designee, shall be an ex
officio member of each committee.
(2) Members of the committees appointed pursuant to this
section shall receive no compensation, but may receive payment
for their actual and necessary travel and other expenses while
engaged in the performance of their official duties.
{ +
OREGON BUSINESS DEVELOPMENT DEPARTMENT + }
{ +
ADMINISTRATIVE PROVISIONS + }
SECTION 15. ORS 285A.070 is amended to read:
285A.070. (1) The { - Economic and Community - } { + Oregon
Business + } Development Department is established.
(2) The department shall be under the supervision of the
Director of the { - Economic and Community - } { + Oregon
Enrolled House Bill 2152 (HB 2152-C) Page 10
Business + } Development Department, who shall be appointed by
and shall hold office at the pleasure of the Governor.
(3) The appointment of the director shall be subject to
confirmation by the Senate in the manner provided by ORS 171.562
and 171.565.
(4) Subject to policy direction by the Oregon { - Economic
and Community - } { + Business + } Development Commission, the
director shall:
(a) Be the administrative head of the department;
(b) Administer the laws of the state relating to economic
development; and
(c) Intervene, as authorized by the commission, pursuant to the
rules of practice and procedure, in the proceedings of state and
federal agencies that may substantially affect economic
development within Oregon.
(5) In addition to duties otherwise required by law, and
subject to policy direction by the commission, the director shall
prescribe rules for the government of the department, the conduct
of its employees, the assignment and performance of its business
and the custody, use and preservation of its records, papers and
property, based on best managerial practices as determined by the
director and in a manner consistent with applicable law.
(6) The director shall organize the department in whatever
manner the director considers necessary to conduct the work of
the department efficiently and effectively, subject to approval
by the commission.
(7) The director may appoint all subordinate officers and
employees of the department and may prescribe their duties,
assignments and reassignments and fix their compensation, subject
to any applicable provisions of the State Personnel Relations
Law. Subject to any other applicable law regulating travel
expenses, the officers and employees of the department shall be
allowed such reasonable and necessary travel and other expenses
as may be incurred in the performance of their duties.
(8) The director may delegate the exercise or discharge of any
power, duty or function that is vested in or imposed by law upon
the director to any department employee for the purpose of
conducting an official act in the name of the director. The
official act of any person acting in the name of the director by
the authority of the director is an official act of the director.
(9) The director may require a fidelity bond of any officer or
employee of the department who has charge of, handles or has
access to any state money or property, and who is not otherwise
required by law to give a bond. The director shall fix the amount
of the bond, except as otherwise provided by law, and approve the
sureties. The department shall pay the premiums on the bond.
(10) The { - Oregon Economic and Community Development - }
commission shall report periodically to the Governor on the
director's performance and make appropriate recommendations.
SECTION 16. ORS 285A.075 is amended to read:
285A.075. (1) The { - Economic and Community - } { + Oregon
Business + } Development Department shall:
(a) Implement programs and adopt rules in accordance with
applicable provisions of ORS chapter 183 that are consistent and
necessary to carry out the policies established by the Oregon
{ - Economic and Community - } { + Business + } Development
Commission and the duties, functions and powers vested by law in
the department.
(b) Act as the official state liaison agency for persons
interested in locating industrial or business firms in the state
Enrolled House Bill 2152 (HB 2152-C) Page 11
and for state and local groups seeking new industry or business,
and maintain the confidentiality of negotiations conducted
pursuant to this paragraph, if requested.
(c) Coordinate state and federal economic and community
development programs.
{ - (d) Administer the state's participation in the federal
Community Development Block Grant funding program authorized by
42 U.S.C. 5301 et seq. - }
{ - (e) - } { + (d) + } Actively recruit domestic and
international business firms to those communities desiring
business recruitment.
{ + (e) Work with existing Oregon companies to assist in
their expansion or help them retain jobs in the state. + }
(f) Consult with local governments to establish regions for the
purpose of job development { - and community assistance - } to
facilitate economic activities in the region. Regions established
for this purpose need not be of the same size in geographic area
or population.
(g) Establish and operate foreign trade offices in foreign
countries in which the department considers a foreign trade
office necessary. The department shall use department employees,
contracts with public or private persons or a combination of
employees and contractors to establish and operate foreign trade
offices. Department employees, including managers, who are
assigned to work in a foreign trade office shall be in the
unclassified service, and the director shall set the salaries of
such employees. ORS 276.428, 279A.120, 279A.140, 279A.155,
279A.275, 279B.025, 279B.235, 279B.270, 279B.280, 279C.370,
279C.500 to 279C.530, 279C.540, 279C.545, 279C.800 to 279C.870,
282.020, 282.050, 282.210, 282.220, 282.230, 283.140, 459A.475,
459A.490, 653.268 and 653.269 do not apply to the department's
operation of foreign trade offices outside the state.
(h) Consult with other state agencies and with local agencies
and officials prior to defining or designating distressed areas
for purposes of ORS 285A.020.
(i) Budget moneys for travel and various other expenses of
industrial or commercial site location agents, film or video
production location agents, business journal writers, elected
state officials or other state personnel to accomplish the
purposes of ORS 284.101 to 284.146 and ORS chapters 285A, 285B
and 285C. The department may expend moneys duly budgeted to pay
the travel and other expenses of such persons if the director
determines the expense may promote the purposes of this
subsection.
(j) Promulgate rules to govern contracts.
(k) Develop strategies to address issues that are necessary and
appropriate to Oregon's future and adopt goals that include
measurable indicators of success (Oregon benchmarks) that show
the extent to which each goal is being achieved.
(L) Use practices and procedures that the department determines
are the best practices for carrying out the duties of the
department.
(2) The department shall have no regulatory power over the
activities of private persons. Its functions shall be solely
advisory, coordinative and promotional.
(3) Notwithstanding ORS 279A.140, the department may award
grants or enter into contracts as necessary or appropriate to
carry out the duties, functions and powers vested in the
department by law.
SECTION 17. ORS 285A.080 is amended to read:
Enrolled House Bill 2152 (HB 2152-C) Page 12
285A.080. The Director of the { - Economic and Community - }
{ + Oregon Business + } Development Department and all
unclassified personnel shall receive such salary as may be
provided by law or be fixed by the Oregon { - Economic and
Community - } { + Business + } Development Commission. In
addition to salaries, the director and all unclassified
personnel, subject to the limitations otherwise provided by law,
shall be reimbursed for all reasonable expenses necessarily
incurred in the performance of official duties.
SECTION 18. ORS 285A.116 is amended to read:
285A.116. (1) The Oregon { - Economic and Community - } { +
Business + } Development { - Commission - } { +
Department + } shall establish regions for the purpose of job
development { - and community assistance by the Economic and
Community Development Department - } . When establishing the
regions, the { - commission must - } { + department shall
+ }consider the optimal size for each region that will most
effectively facilitate economic development activities in the
region. Regions established by the { - commission - } { +
department + } do not have to be of the same size or population.
(2) The Director of the { - Economic and Community - } { +
Oregon Business + } Development Department shall provide for
economic innovation coordination in the central office, which
shall assist the field representatives in establishing contacts
between local businesses and universities and community colleges
in Oregon to promote the use of the research capacities of these
institutions for development of new products.
SECTION 19. ORS 285A.152 is amended to read:
285A.152. (1) The Fujian Sister State Committee established
under ORS 285A.148 may:
(a) Organize activities for and host visiting delegations from
Fujian Province;
(b) Organize activities for and participate in delegations
visiting Fujian Province and China;
(c) Provide for the exchange of information between the State
of Oregon and Fujian Province;
(d) Work with representatives of Fujian Province on joint
projects; and
(e) Take all actions necessary to facilitate and promote
relations between the State of Oregon and Fujian Province.
(2) The Fujian Sister State Committee { - shall - } { +
may + } visit Fujian Province at least biennially for the purpose
of fulfilling the objectives described in subsection (1) of this
section.
{ +
DIVISION OF DUTIES AMONG + }
{ +
OREGON BUSINESS DEVELOPMENT COMMISSION, + }
{ +
OREGON BUSINESS DEVELOPMENT DEPARTMENT + }
{ +
AND OREGON INFRASTRUCTURE FINANCE AUTHORITY + }
SECTION 20. ORS 285A.185 is amended to read:
285A.185. (1) As used in this section, 'brownfield' means real
property where expansion or redevelopment is complicated by
actual or perceived environmental contamination.
Enrolled House Bill 2152 (HB 2152-C) Page 13
(2) The { - Economic and Community - } { + Oregon
Business + } Development Department shall assist private persons
and local governments to redevelop brownfields.
(3) The { - Economic and Community Development - }
department shall:
(a) Act as the primary point of contact for information
regarding public and private funding options available to a
person interested in redeveloping a brownfield;
(b) Facilitate the funding process involving landowners or
prospective purchasers, lending institutions, other state
agencies, local jurisdictions, consultants and interested
citizens;
(c) Serve as a key advocate for the redevelopment of
brownfields in Oregon;
(d) Provide information to private persons and local
governments on brownfield redevelopment funding;
(e) Enhance the availability of funding resources through
program development, grant proposals and other appropriate
opportunities; and
(f) Adopt rules necessary to carry out this section.
SECTION 21. ORS 285A.188 is amended to read:
285A.188. (1) As used in this section:
(a) 'Environmental action' means activities undertaken to:
(A) Determine if a release has occurred or may occur, if the
release or potential release poses a significant threat to human
health or the environment or if additional remedial actions may
be required at the site;
(B) Conduct a remedial investigation and a feasibility study;
(C) Plan for remedial action or removal action; or
(D) Conduct a remedial action or removal action at a site.
(b) 'Facility,' 'hazardous substance,' 'release, ' ' remedial
action' and 'removal' have the meanings given those terms in ORS
465.200.
(c) 'Substantial public benefit' includes, but is not limited
to:
(A) The generation of funding or other resources facilitating
substantial remedial action at a facility in accordance with this
section;
(B) A commitment to perform substantial remedial action at a
facility in accordance with this section;
(C) Productive reuse of a vacant or abandoned industrial or
commercial facility; or
(D) Development of a facility by a municipality or a nonprofit
organization to address an important public purpose.
(2) There is created within the State Treasury a revolving fund
known as the Brownfields Redevelopment Fund, separate and
distinct from the General Fund. Interest earned by the fund shall
be credited to the fund. Moneys in the Brownfields Redevelopment
Fund { + are continuously appropriated to the Oregon Business
Development Department and + } shall be used to fund loans and
grants for environmental actions on properties that are
brownfields, as defined in ORS 285A.185.
(3)(a) Subject to paragraph (b) of this subsection, when making
a loan or grant for an environmental action, the { - Economic
and Community - } { + Oregon Business + } Development
Department shall give priority to persons who, at the time of
applying for the loan or grant, are not liable under ORS 465.255
for a release of a hazardous substance at the property at which
the environmental action is to be conducted. No more than 60
percent of the total amount of the Brownfields Redevelopment Fund
Enrolled House Bill 2152 (HB 2152-C) Page 14
in any biennium shall be awarded to persons who are liable with
respect to the subject property under ORS 465.255. A person is
not eligible to receive a loan or grant from moneys in the
Brownfields Redevelopment Fund if the person has knowingly
violated applicable laws or regulations or has knowingly violated
or failed to comply with an order of the Department of
Environmental Quality, if such action or inaction has resulted in
one or more of the following:
(A) Contribution to or exacerbation of existing contamination
at the facility;
(B) Release of a hazardous substance at the facility; or
(C) Interference with necessary investigation or remedial
actions at the facility.
(b) Notwithstanding paragraph (a) of this subsection:
(A) When making a grant to a municipality, the { + Oregon
Business Development + } Department shall give priority to
municipalities that provide matching funds from a loan under this
section, from another source or from both.
(B) When making a grant to an entity that is not a
municipality, the department shall require that:
(i) The recipient is not liable for the subject property under
ORS 465.255;
(ii) The environmental action provides a substantial public
benefit; and
(iii) The recipient provides matching funds from a loan under
this section, from another source or from both.
(c) The department may establish by rule circumstances in which
the department may waive or subsidize the interest on a
short-term loan.
(4) When making a loan or grant for an environmental action,
the { - Economic and Community Development - } department
shall consider:
(a) The extent to which actual or perceived contamination
prevents the property from being fully utilized;
(b) The need for providing public assistance, after considering
the difficulty of obtaining financing from other sources or of
obtaining financing at reasonable rates and terms;
(c) The degree to which redevelopment of the property provides
opportunity for achieving protection of human health or the
environment by reducing or eliminating the contamination of the
property and for contributing to the economic health and
diversity of the area;
(d) The probability of the success of the intended use or the
degree to which redevelopment of the property provides a public
purpose following remediation of the property;
(e) Compliance with the land use plan of the local government
with jurisdiction over the property; and
(f) Endorsement from the local government with jurisdiction
over the property.
(5) Before making a loan or grant decision pursuant to this
section, the { - Economic and Community - } { + Oregon
Business + } Development Department shall consult with the
Department of Environmental Quality.
(6) The { - Economic and Community - } { + Oregon
Business + } Development Department may use a portion of the
Brownfields Redevelopment Fund to:
(a) Pay for administrative costs of environmental actions;
{ + (b) Pay for administrative costs associated with
administering the program and fund; + } and
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{ - (b) - } { + (c) + } Satisfy contracts entered into as
required to ensure that environmental reviews are conducted in a
manner consistent with existing environmental cleanup laws and
rules.
(7) The { - Economic and Community Development - }
department shall adopt rules necessary to carry out the
requirements of this section. The { - Economic and Community
Development - } department shall develop procedures to ensure
that activities for which loans or grants are made are consistent
with existing environmental cleanup laws and rules.
SECTION 22. ORS 285A.190 is amended to read:
285A.190. (1) There is established in the { - Economic and
Community - } { + Oregon Business + } Development Department
the Oregon Coalition Brownfields Cleanup Program.
(2) The department may make grants, loans and expenditures from
the Oregon Coalition Brownfields Cleanup Fund to provide
financial or other assistance to public and private owners of
eligible brownfield properties for the purpose of cleaning up the
properties.
(3) An eligible owner of a brownfield property may borrow
moneys from the fund by entering into a loan agreement with the
department in accordance with rules adopted by the department.
(4) The owner of a publicly owned brownfield property may enter
into a loan agreement with the department notwithstanding any
restrictions on indebtedness in the charter or bylaws of the
public body or any other provision of law.
(5) The department may adopt rules necessary to carry out the
provisions of this section and ORS 285A.192. The rules shall
include, but are not limited to, requirements for eligibility for
financial assistance or other assistance from the program, good
and sufficient collateral required to secure loans from the fund
and the complete or partial waiver of interest on short-term
loans made from the fund.
(6) As used in this section:
(a) 'Brownfield' has the meaning given that term in ORS
285A.185.
(b) 'Other assistance' includes, but is not limited to, direct
purchase of goods or services related to brownfields cleanup by
the department.
(c) 'Public body' has the meaning given that term in ORS
174.109.
SECTION 23. ORS 285A.192 is amended to read:
285A.192. (1) There is established in the State Treasury,
separate and distinct from the General Fund, a revolving fund
known as the Oregon Coalition Brownfields Cleanup Fund. Interest
earned by the Oregon Coalition Brownfields Cleanup Fund shall be
credited to the fund. All moneys in the Oregon Coalition
Brownfields Cleanup Fund are continuously appropriated to the
{ - Economic and Community - } { + Oregon Business + }
Development Department for the purposes of ORS 285A.190.
(2) The Oregon Coalition Brownfields Cleanup Fund shall consist
of all moneys credited to the fund, including but not limited to:
(a) Moneys received from the federal government, other state
agencies or local governments;
(b) Moneys appropriated or transferred to the fund by the
Legislative Assembly or the Oregon { - Economic and
Community - } { + Business + } Development Commission; and
(c) Repayment of financial assistance, including interest
earnings, provided by moneys from the fund.
SECTION 24. ORS 285A.200 is amended to read:
Enrolled House Bill 2152 (HB 2152-C) Page 16
285A.200. (1) The { - Economic and Community - } { + Oregon
Business + } Development Department may accept gifts of money or
other property from any public or private agency or person made
for the purpose of assisting the department to carry out any
programs or laws that the department is charged with
administering. Moneys so received shall be paid into an
appropriate fund or account. Property so received shall be used
for the purposes for which that property is given.
(2) The department may apply for, receive from the United
States or any of its agencies, and disburse or supervise the
disbursement of federal aid for the purposes for which the aid is
provided. The department may also disburse or supervise the
disbursement of funds provided by the State of Oregon for
expenditure as a condition of receiving the federal aid.
(3) The department may assess and charge fees for loans made
from any of its funds or accounts.
SECTION 25. ORS 285A.206 is amended to read:
285A.206. (1) In each calendar year, the { - Economic and
Community - } { + Oregon Business + } Development Department
shall prepare, in accordance with generally accepted governmental
accounting principles, a financial statement for individual
funding programs as required by law.
(2) The financial statements required by this section shall
record and summarize all the financial transactions during the
reporting period that involved moneys credited to a fund or
account and shall describe the financial condition of the fund or
an account at the end of the reporting period. The reporting
period for financial statements required by this section shall be
the fiscal year commencing on July 1 and ending on June 30.
(3) The financial statements required by this section shall be
in a form prescribed by the Secretary of State.
(4) Each financial statement required by this section shall
describe the financial transactions and condition of a single
fund and shall be submitted to the Governor, the President of the
Senate and the Speaker of the House of Representatives not later
than December 31 in each year.
SECTION 26. ORS 285A.213 is amended to read:
285A.213. (1) There is established in the State Treasury,
separate and distinct from the General Fund, the Safe Drinking
Water Revolving Loan Fund. All moneys in the Safe Drinking Water
Revolving Loan Fund are continuously appropriated to the
{ - Economic and Community Development Department. - } { +
Oregon Business Development Department for the Oregon
Infrastructure Finance Authority for the purposes set forth in
this section. + }
(2) The { - Economic and Community Development Department - }
{ + authority + } shall administer the Safe Drinking Water
Revolving Loan Fund in accordance with a memorandum of
understanding between the
{ - department - } { + authority + } and the Department of
Human Services.
(3) The Safe Drinking Water Revolving Loan Fund shall consist
of:
(a) Moneys transferred to the fund by the Department of Human
Services for purposes authorized by the memorandum of
understanding between the Department of Human Services and the
{ - Economic and Community Development Department. - } { +
authority. + }
(b) Moneys transferred to the fund by the federal government,
other state agencies or local governments.
Enrolled House Bill 2152 (HB 2152-C) Page 17
(c) Moneys transferred to the fund by the Legislative Assembly
or the { - Oregon Economic and Community Development
Commission. - } { + authority. + }
(d) Proceeds from the sale of revenue bonds.
(e) Repayment of financial assistance provided with moneys from
the fund.
(f) Interest and other earnings on moneys in the fund.
(4) Moneys in the Safe Drinking Water Revolving Loan Fund shall
be used to provide financial or other assistance to publicly
owned and privately owned water systems under the Safe Drinking
Water Act Amendments of 1996, P.L. 104-182, and rules of the
{ - Economic and Community Development Department. - } { +
Oregon Business Development Department. + } As used in this
subsection, 'assistance ' includes direct purchase by the
{ - Economic and Community Development Department - } { +
authority + } of goods or services related to a water system
project to the extent permitted by the memorandum of
understanding between the { - Economic and Community
Development Department - } { + authority + } and the Department
of Human Services, { + and by + } the Safe Drinking Water Act
Amendments of 1996, and as authorized by rules of the
{ - Economic and Community Development Department. - }
{ + Oregon Business Development Department. + }
(5) The owner of a water system may borrow from the Safe
Drinking Water Revolving Loan Fund by entering into a loan
agreement with the { - Economic and Community Development
Department. - } { + authority. + } The owner of a municipally
owned water system may enter into a loan agreement with the
{ - department - } { + authority + } notwithstanding any
restriction on indebtedness in the charter or bylaws of the
municipality or any other provision of law. Moneys owed to the
{ - department - } { + authority + } by the borrower under a
loan agreement may be paid from:
(a) Revenue from any water system project of the borrower,
including special assessment revenue;
(b) Amounts withheld under subsection (6) of this section;
(c) The general fund of the borrower;
(d) Any combination of sources listed in paragraphs (a) to (c)
of this subsection; or
(e) Any other source.
(6) If a borrower fails to comply with a loan agreement entered
into under subsection (5) of this section, the { - Economic and
Community Development Department - } { + Oregon Business
Development Department + } may seek appropriate legal remedies to
secure any repayment due the Safe Drinking Water Revolving Loan
Fund. If a borrower defaults on repayment due the fund, the State
of Oregon may withhold any amounts otherwise due to the borrower.
Any amounts withheld under this subsection shall be credited
toward repayment of the borrower's indebtedness to the fund.
SECTION 26a. { + If House Bill 2009 becomes law, section 26 of
this 2009 Act (amending ORS 285A.213) is repealed and ORS
285A.213, as amended by section 199, chapter ___, Oregon Laws
2009 (Enrolled House Bill 2009), is amended to read: + }
285A.213. (1) There is established in the State Treasury,
separate and distinct from the General Fund, the Safe Drinking
Water Revolving Loan Fund. All moneys in the Safe Drinking Water
Revolving Loan Fund are continuously appropriated to the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department for the Oregon
Enrolled House Bill 2152 (HB 2152-C) Page 18
Infrastructure Finance Authority for the purposes set forth in
this section + }.
(2) The { - Economic and Community Development Department - }
{ + Oregon Infrastructure Finance Authority + } shall administer
the Safe Drinking Water Revolving Loan Fund in accordance with a
memorandum of understanding between the { - department - }
{ + Oregon Infrastructure Finance Authority + } and the Oregon
Health Authority.
(3) The Safe Drinking Water Revolving Loan Fund shall consist
of:
(a) Moneys transferred to the fund by the { + Oregon
Health + } Authority for purposes authorized by the memorandum of
understanding between the { - authority and the department - }
{ + Oregon Health Authority and the Oregon Infrastructure
Finance Authority + }.
(b) Moneys transferred to the fund by the federal government,
other state agencies or local governments.
(c) Moneys transferred to the fund by the Legislative Assembly
or the { - Oregon Economic and Community Development
Commission - } { + Oregon Infrastructure Finance Authority + }.
(d) Proceeds from the sale of revenue bonds.
(e) Repayment of financial assistance provided with moneys from
the fund.
(f) Interest and other earnings on moneys in the fund.
(4) Moneys in the Safe Drinking Water Revolving Loan Fund shall
be used to provide financial or other assistance to publicly
owned and privately owned water systems under the Safe Drinking
Water Act Amendments of 1996, P.L. 104-182, and rules of the
{ - department - } { + Oregon Business Development
Department + }. As used in this subsection, 'assistance' includes
direct purchase by the
{ - department - } { + Oregon Infrastructure Finance
Authority + } of goods or services related to a water system
project to the extent permitted by the memorandum of
understanding between the { - department and the authority, - }
{ + Oregon Infrastructure Finance Authority and the Oregon
Health Authority, and by + } the Safe Drinking Water Act
Amendments of 1996, and as authorized by rules of the
{ - department - } { + Oregon Business Development
Department + }.
(5) The owner of a water system may borrow from the Safe
Drinking Water Revolving Loan Fund by entering into a loan
agreement with the { - department - } { + Oregon
Infrastructure Finance Authority + }. The owner of a municipally
owned water system may enter into a loan agreement with the
{ - department - } { + Oregon Infrastructure Finance
Authority + } notwithstanding any restriction on indebtedness in
the charter or bylaws of the municipality or any other provision
of law. Moneys owed to the { - department - } { + Oregon
Infrastructure Finance Authority + } by the borrower under a loan
agreement may be paid from:
(a) Revenue from any water system project of the borrower,
including special assessment revenue;
(b) Amounts withheld under subsection (6) of this section;
(c) The general fund of the borrower;
(d) Any combination of sources listed in paragraphs (a) to (c)
of this subsection; or
(e) Any other source.
(6) If a borrower fails to comply with a loan agreement entered
into under subsection (5) of this section, the { + Oregon
Enrolled House Bill 2152 (HB 2152-C) Page 19
Business Development + } Department may seek appropriate legal
remedies to secure any repayment due the Safe Drinking Water
Revolving Loan Fund. If a borrower defaults on repayment due the
fund, the State of Oregon may withhold any amounts otherwise due
to the borrower. Any amounts withheld under this subsection shall
be credited toward repayment of the borrower's indebtedness to
the fund.
SECTION 27. ORS 285A.224 is amended to read:
285A.224. (1) It is the purpose of the Business Retention Fund
to assist businesses, communities and workers affected by
significant business transitions, economic dislocation or the
possibility of economic dislocations to evaluate and implement
alternative business or community opportunities and to focus on
the long term survivability of businesses.
(2) The Business Retention Fund is created separate and
distinct from the General Fund. The fund shall be administered by
the { - Economic and Community - } { + Oregon Business + }
Development Department. The fund may be credited with
contributions of moneys from public and private sources and with
repayments as provided in this section. Interest earned by the
fund shall be credited to the fund.
(3)(a) The department may allocate moneys in the fund for the
following purposes:
(A) Business retention service;
(B) Employee ownership;
(C) Community response to plant closures or community distress,
or both; and
(D) Feasibility studies, transition plans or restructuring
plans.
(b) The department shall establish the maximum percentage of
the fund that may be allocated for the purposes described in
paragraph (a) of this subsection and a minimum match requirement,
if any.
(4) The department may grant, expend or loan moneys in the fund
for financial assistance, feasibility studies, transition plans,
restructuring plans, technical assistance and management
consulting services for business firms in transition, troubled
firms that may close without assistance, for troubled firms that
are experiencing major layoffs or firms that have actually closed
or announced closure, and for communities that are experiencing
distress due to the business closures, under such terms and
conditions as the department may determine.
(5) The department shall provide that firms receiving
assistance repay to the Business Retention Fund any assistance
provided under subsection (4) of this section. When the
department sets repayment terms for a firm receiving assistance,
the department shall consider the financial ability of the firm
to repay assistance.
(6) In providing assistance from the Business Retention Fund,
the department may give preference to Oregon's rural and
distressed areas and its traditional agriculture, forestry and
fishing industries. The department may also give priority to
areas including but not limited to emerging industries and
industry clusters with high potential for job retention and
creation and market growth, as well as traded sector firms
competing in markets for which regional, national or
international competition exists.
(7) The department shall { - establish - } { + adopt by
rule + } specific criteria for expenditure of { - funds - }
Enrolled House Bill 2152 (HB 2152-C) Page 20
{ + moneys + } from the Business Retention Fund { - by
adopting rules - } .
SECTION 28. ORS 285A.227 is amended to read:
285A.227. (1) There is created within the State Treasury,
separate and distinct from the General Fund, the { - Oregon
Community Development Fund. - } { + Oregon Business, Innovation
and Trade Fund. Interest earned by the Oregon Business,
Innovation and Trade Fund shall be credited to the fund. The
moneys in the Oregon Business, Innovation and Trade Fund are
continuously appropriated to the Oregon Business Development
Department for the purpose of financing programs and projects
that promote business and economic development throughout the
state. The fund shall consist of all moneys credited to the fund,
including moneys from the Administrative Services Economic
Development Fund, federal funds collected or received, and fees,
moneys or other revenues, including Miscellaneous Receipts,
collected or received by the department, and all interest
earnings that accrue to the fund.
(2) + }The { - fund - } { + Oregon Business, Innovation
and Trade Fund + } is created to provide a flexible funding
source for financing those programs and projects that are
determined by the { - Oregon Economic and Community Development
Commission - } { + Oregon Business Development Commission + }
under the policies, criteria and standards set forth in ORS
285A.020, 285A.045 and 285A.055 to further { + business and + }
economic { - and community - } development. The { - Economic
and Community Development Department - } { + Oregon Business
Development Department + } may finance programs and projects
determined by the commission to further { + business and + }
economic { - and community - } development by making grants or
loans using moneys in the fund. Notwithstanding ORS 279A.140, the
department may enter into contracts as necessary or appropriate
to implement programs and projects determined by the commission
to further { + business and + } economic { - and community - }
development using moneys in the fund. { - The Oregon Community
Development Fund shall consist of all moneys credited to the
fund, including moneys from the Administrative Services Economic
Development Fund, federal funds collected or received, and fees,
moneys or other revenues, including Miscellaneous Receipts,
collected or received by the Economic and Community Development
Department, and all interest earnings that accrue to the fund.
The moneys in the Oregon Community Development Fund are
continuously appropriated to the Economic and Community
Development Department to promote economic and community
development. - }
{ - (2) - } { + (3) + } The { - Oregon Economic and
Community Development Commission - } { + Oregon Business
Development Department + }, by rule, shall adopt standards,
objectives and criteria for use of the moneys in the { - Oregon
Community Development Fund - } { + Oregon Business, Innovation
and Trade Fund and for the adjustment of allocations to programs
and projects that receive funding from the fund + }.
SECTION 29. ORS 285A.306 is amended to read:
285A.306. (1) There is established in the State Treasury,
separate and distinct from the General Fund, the Title I Bank
Fund. All moneys in the fund are continuously appropriated to
{ + the Oregon Business Development Department for the Oregon
Infrastructure Finance Authority to + } provide financing for
community development projects. { + Interest earned by the Title
I Bank Fund shall be credited to the fund. + }
Enrolled House Bill 2152 (HB 2152-C) Page 21
(2) Moneys in the Title I Bank Fund, with the approval of the
State Treasurer, may be invested as provided by ORS 293.701 to
293.820, and the earnings from such investments and other program
income shall be credited to the Title I Bank Fund.
(3) The Title I Bank Fund shall consist of:
(a) Moneys appropriated to the fund by the Legislative
Assembly.
(b) Repayment of loans made by cities and counties with grants
from the Oregon Community Development Block Grant Program,
including interest earnings.
(4) The { - Economic and Community Development Department
shall be the agency for the State of Oregon for the
administration of the fund. - } { + Oregon Infrastructure
Finance Authority shall administer the fund. + }
(5) The department shall adopt rules and policies for the
administration of the fund.
(6) The { - department - } { + authority + } may charge
program administrative costs to the fund to pay for
administrative expenses incurred to the { - department - }
{ + authority + } for processing applications and investigating
community development projects.
SECTION 30. ORS 285A.346 is amended to read:
285A.346. (1)(a) The { - Economic and Community - } { +
Oregon Business + } Development Department may purchase business
assistance services from public or private organizations for
delivery to small businesses in this state or may provide grants
to public or private organizations to support, aid, stimulate or
otherwise affect the delivery of business assistance services to
small businesses in this state.
(b) For the purposes of ORS 285A.340 to 285A.349, 'business
assistance services' includes:
(A) Basic business training, including elements of accounting,
personnel management, marketing and tax compliance.
(B) Counseling on business needs and problems, including but
not limited to specialized assistance with intellectual property
rights, { - mezzanine financing, - } federal research grants,
international markets, lean manufacturing and electronic
commerce.
(C) Assistance in securing state and federal procurement
contracts.
(D) Assistance in securing Oregon suppliers for goods and
services.
(2) An organization or association that receives state moneys
for the purpose of providing business assistance services to
small businesses shall comply, to the greatest extent feasible,
with the state policies established under ORS 285A.340 to
285A.349.
(3) To the extent that federal laws or regulations impose
requirements that limit the payment of fees by recipients of
business assistance services to small businesses, the
{ - Economic and Community Development - } department and the
providers of those services shall apply for waivers of such
federal requirements.
SECTION 31. ORS 285A.349 is amended to read:
285A.349. The { - Economic and Community - } { + Oregon
Business + } Development Department shall evaluate the efficiency
and effectiveness of the delivery of business assistance services
to small businesses.
SECTION 32. ORS 285A.600 is amended to read:
Enrolled House Bill 2152 (HB 2152-C) Page 22
285A.600. (1) The Legislative Assembly declares that it is the
policy of this state to include Oregon's ports in planning and
implementing economic development and transportation programs. To
that end, the Oregon { - Economic and Community Development
Commission and the Economic and Community Development
Department - } { + Business Development Commission and the
Oregon Business Development Department, through the Oregon
Infrastructure Finance Authority, + } may work to:
(a) Coordinate with the Department of Transportation and other
state agencies, commissions and advisory committees engaged in
activities affecting ports to facilitate port planning and
development;
(b) Promote local cooperation in statewide planning and
development of the ports;
(c) Promote long-term economic self-sufficiency of the ports;
(d) Encourage cost-effective investments with prudent financial
consideration of port development projects; and
(e) Facilitate ports in their efforts to { - expand and - }
respond to { - greater - } domestic and international market
opportunities.
(2) The Legislative Assembly also declares that:
(a) The State of Oregon recognizes, supports and promotes a
federal role in the continuation of the maintenance and
development of federally authorized waterway projects.
(b) Because the federal role is changing, the responsibilities
of this state may { - increase - } { + vary + } in terms of
direct involvement in waterway transportation.
(c) It is the policy of the State of Oregon to support the
continued maintenance and development of the following waterways
as key elements of the statewide transportation system:
(A) The navigation channels of the Columbia River, Coos Bay and
Yaquina Bay and any other commercial waterway segments that
provide a link for movement of products to and from world and
regional markets.
(B) Waterway segments that serve as transportation corridors
for large volumes of bulk and agricultural commodities and that
provide shippers a cost-effective means to transport products.
(C) The coastal channels and harbors that support commercial
and water-dependent activities.
SECTION 33. ORS 285A.615 is amended to read:
285A.615. (1) The { - Economic and Community Development
Department - } { + Oregon Infrastructure Finance Authority + }
shall provide managerial assistance and technical referral
services to ports.
(2) The { - department - } { + authority + } shall
disseminate such research and technical information as is
available to the
{ - department. - } { + authority. + }
(3) The { - department - } { + authority + } shall work
cooperatively with existing organizations and agencies that
provide research and technical services, including, but not
limited to:
(a) The Department of State Lands;
(b) The State Marine Board; and
(c) The Sea Grant College and marine extension services at
Oregon State University.
SECTION 34. ORS 285A.627 is amended to read:
285A.627. (1) The { - Oregon Economic and Community
Development Commission, through the Economic and Community
Development Department, - } { + Oregon Business Development
Enrolled House Bill 2152 (HB 2152-C) Page 23
Commission and the Oregon Business Development Department,
through the Oregon Infrastructure Finance Authority, + } shall be
the statewide coordinating, planning and research
{ - agency - } { + entity + } for all ports and port
authorities in this state to ensure the most orderly, efficient
and economical development of the state port system.
(2) Notwithstanding any other provision of law, after July 1,
1969, no port or port authority may be formed without the prior
approval of the { - commission. - } { + Oregon Infrastructure
Finance Authority. + }
(3) The { - commission, through the department, shall be - }
{ + authority is + } the statewide coordinating, planning and
research
{ - agency - } { + entity + } for port activities involving
international trade and international trade development and
industrial, commercial and recreational development.
SECTION 35. ORS 285A.654 is amended to read:
285A.654. (1) There is created within the State Treasury,
separate and distinct from the General Fund, the Port Planning
and Marketing Fund. All moneys in the Port Planning and Marketing
Fund are appropriated continuously to the { - Economic and
Community Development Department - } { + Oregon Business
Development Department for the Oregon Infrastructure Finance
Authority + } and shall be used by the { - department - } { +
authority + } for:
(a) Administrative expenses of the { - department - } { +
authority + } in processing grant applications and investigating
proposed planning or marketing projects related to ports.
(b) Payment of grants under ORS 285A.654 to 285A.660 to ports
formed under ORS 777.010 and 777.050.
(c) Direct purchase by the { - department - } { +
authority + } of goods or services to assist ports in
implementing planning or marketing projects approved for grant
financing under ORS 285A.654 to 285A.660.
(2) The Port Planning and Marketing Fund shall consist of:
(a) Moneys appropriated to the fund by the Legislative
Assembly.
(b) Moneys obtained from gifts or grants received under ORS
285A.200.
(c) Moneys obtained from interest earned on the investment of
such moneys.
(3) Moneys in the Port Planning and Marketing Fund, with the
approval of the State Treasurer, may be invested as provided by
ORS 293.701 to 293.820, and the earnings from such investments
shall be credited to the Port Planning and Marketing Fund.
SECTION 36. ORS 285A.657 is amended to read:
285A.657. (1) The { - Economic and Community Development
Department - } { + Oregon Infrastructure Finance Authority + }
may make grants, as funds are available, to any port formed under
ORS chapter 777 or 778 for:
(a) A planning project conducted under ORS 285A.627 or any
other planning project necessary for improving the port's
capability to carry out its authorized functions and activities
relating to trade and commerce; or
(b) A marketing project necessary for improving the port's
capability to carry out its authorized functions and activities
relating to trade and commerce.
(2) Any port may file with the { - department - } { +
authority + } an application for a grant from the Port Planning
Enrolled House Bill 2152 (HB 2152-C) Page 24
and Marketing Fund to finance a specific planning project or
marketing project.
(3) An application under this section shall be filed in such a
manner and contain or be accompanied by such information as the
{ - department - } { + authority + } may prescribe.
(4) Upon receipt of an application, the { - department - }
{ + authority + } shall determine whether the planning project
or marketing project is eligible for funding under ORS 285A.654
to 285A.660. If the { - department - } { + authority + }
determines that the project is not eligible, it shall within 60
days:
(a) Reject the application; or
(b) Require the applicant to submit additional information as
may be necessary.
(5) The { - department - } { + authority + } may approve a
grant for a planning project or a marketing project described in
an application filed under this section if, after investigation,
the
{ - department - } { + authority + } finds that:
(a) The project meets the standards and criteria established by
the { - department - } { + authority + } for grant financing
from the Port Planning and Marketing Fund; and
(b) Moneys in the Port Planning and Marketing Fund are or will
be available for the project.
(6) Grants to ports under ORS 285A.654 to 285A.660 shall not
exceed $50,000 and shall not exceed 75 percent of the total cost
of the project.
(7) The { - department - } { + authority + } shall not fund
any program that subsidizes regular port operating expenses.
(8) In lieu of all or part of the grant financing approved
under ORS 285A.654 to 285A.660 for a planning or marketing
project, the { - department - } { + authority + } may
purchase goods or services to assist a port in implementing a
project.
SECTION 37. ORS 285A.660 is amended to read:
285A.660. (1) The { - Economic and Community Development
Department - } { + Oregon Infrastructure Finance Authority + }
shall develop marketing grant funding priorities considering such
factors as community need and whether the project will lead to
economic diversification, development of a new or emerging
industry and redevelopment of existing public facilities. The
{ - department - } { + authority + } shall give priority to
regional or cooperative projects, and projects that leverage
other marketing efforts by the state or other local government
units.
(2) The { - department - } { + authority + } shall review
all proposals to avoid duplication of marketing efforts among
ports, and to maintain consistency with the applicable county or
city comprehensive plans.
(3) Ports shall develop and maintain strategic business plans
before obtaining { - department - } funding. A strategic
business plan developed and maintained under this subsection must
comply with standards and requirements for strategic business
plans established by the { - department - } { + Oregon
Business Development Department + } by rule. The department shall
also establish by rule the date by which ports seeking
{ - department - } funding must have a strategic business plan
in place.
SECTION 38. ORS 285A.669 is amended to read:
Enrolled House Bill 2152 (HB 2152-C) Page 25
285A.669. Any Oregon port district may file with the
{ - Oregon Economic and Community Development Commission - }
{ + Oregon Infrastructure Finance Authority + } an application
to borrow money from the Oregon Port Revolving Fund for a project
as provided in ORS 285A.666 to 285A.732. The application shall be
filed in such a manner and contain or be accompanied by such
information as the
{ - commission - } { + authority + } may prescribe.
SECTION 39. ORS 285A.672 is amended to read:
285A.672. (1) Upon receipt of an application filed as provided
in ORS 285A.669, the { - Oregon Economic and Community
Development Commission - } { + Oregon Infrastructure Finance
Authority + } shall determine whether the plans and
specifications for the proposed project set forth in or
accompanying the application are satisfactory. If the
{ - commission - } { + authority + } determines that the plans
and specifications are not satisfactory, the { - commission - }
{ + authority + } may within 60 days:
(a) Reject the application.
(b) Require the applicant to submit additional information of
the plans and specifications as may be necessary.
(2) The { - commission - } { + authority + } shall charge
and collect from the applicant, at the time the application is
filed, a fee of not to exceed $100. Moneys referred to in this
subsection shall be paid into the Oregon Port Revolving Fund.
SECTION 40. ORS 285A.678 is amended to read:
285A.678. The { - Oregon Economic and Community Development
Commission - } { + Oregon Infrastructure Finance Authority + }
may approve a project proposed in an application filed as
provided in ORS 285A.669, if, after investigation, the
{ - commission - } { + authority + } finds that:
(1) The proposed project is feasible and a reasonable risk from
practical and economic standpoints, and the loan has reasonable
prospect of repayment.
(2) Moneys in the Oregon Port Revolving Fund are or will be
available for the proposed project.
(3) There is a need for the proposed project, and the
applicant's financial resources are adequate to provide the
working capital needed to ensure success of the project.
(4) The applicant has received all necessary permits required
by federal, state or local agencies.
(5) The applicant will not owe more than $3 million { + in
principal + } to the Oregon Port Revolving Fund if the loan is
approved.
(6) The standards under ORS 285A.055 have been met.
SECTION 41. ORS 285A.681 is amended to read:
285A.681. { + (1) + } If the { - Oregon Economic and
Community Development Commission - } { + Oregon Infrastructure
Finance Authority + } approves the project, the
{ - commission, - } { + authority, + } on behalf of the state,
and the applicant may enter into a loan contract that is secured
by good and sufficient collateral. The loan contract shall set
forth, among other matters:
{ - (1) - } { + (a) + } A plan for repayment by the
applicant to the Oregon Port Revolving Fund of moneys borrowed
from the fund for the project and interest on the moneys at a
rate of interest of not less than one percent less than the
prevailing interest rate on United States Treasury bills of
comparable term, as determined by the { - commission. - } { +
authority. + } The repayment plan, among other matters:
Enrolled House Bill 2152 (HB 2152-C) Page 26
{ - (a) - } { + (A) + } Shall provide for commencement of
repayment by the port district of moneys used for the project and
interest thereon no later than one year after the date of the
loan contract or at any other time as the { - commission - }
{ + authority + } may provide. However, upon approval by the
{ - commission, - } { + authority, + } a repayment plan for a
flexible manufacturing space project may provide that no interest
shall accrue until the building is at least 25 percent occupied
or until three years after the date of the loan contract,
whichever is earlier.
{ - (b) - } { + (B) + } May provide for reasonable
extension of the time for making any repayment in emergency or
hardship circumstances if approved by the { - commission. - }
{ + authority. + }
{ - (c) - } { + (C) + } Shall provide for evidence of debt
assurance of, and security for, repayment by the applicant as are
considered necessary by the { - commission. - } { +
authority. + }
{ - (d) - } { + (D) + } Shall specify a loan term that may
not exceed the usable life of the contracted project or 25 years
from the year of project completion, whichever is less. The
payment schedule shall include repayment of interest that accrues
during any period of delay in repayment authorized by
{ - paragraph (a) of this subsection - } { + subparagraph (A)
of this paragraph + }, and the payment schedule may require
payments of varying amounts for collection of the accrued
interest.
{ - (e) - } { + (E) + } Shall provide for partial or
complete repayment, in excess of scheduled payments, of any
outstanding principal loan amount without penalty. If any
prepayment is made, that amount may not be included in any
computation for the purposes of ORS 285A.678 (5).
{ - (2) - } { + (b) + } Provisions satisfactory to the
{ - commission - } { + authority + } for field engineering and
inspection, the { - commission - } { + authority + } to be the
final judge of completion of the contract.
{ - (3) - } { + (c) + } That the liability of the state
under the contract is contingent upon the availability of moneys
in the Oregon Port Revolving Fund for use in the project.
{ - (4) - } { + (d) + } Any other provision the
{ - commission - } { + authority + } considers necessary to
ensure expenditure of the funds for the purposes set forth in the
approved application.
{ + (2) The Oregon Infrastructure Finance Authority may make
limited moneys available from the Oregon Port Revolving Fund to
eligible ports for grants to assist with capital improvement
projects.
(3) The Oregon Business Development Department shall adopt by
rule eligibility criteria and award limits for grants from the
fund. + }
SECTION 42. ORS 285A.684 is amended to read:
285A.684. If the { - Oregon Economic and Community
Development Commission - } { + Oregon Infrastructure Finance
Authority + } approves a loan for a project, the
{ - commission - } { + authority + } shall pay moneys for the
project from the Oregon Port Revolving Fund, in accordance with
the terms of the loan contract as prescribed by the
{ - commission. - } { + authority. + }
SECTION 43. ORS 285A.687 is amended to read:
Enrolled House Bill 2152 (HB 2152-C) Page 27
285A.687. (1) If the { - Oregon Economic and Community
Development Commission - } { + Oregon Infrastructure Finance
Authority + } accepts a lien against any port district's real or
personal property as collateral required by ORS 285A.681, the
{ - commission - } { + authority + } shall file notice of the
loan with the recording officer of each county in which is
situated any real or personal property of the port district. The
notice shall contain a description of the encumbered property,
the amount of the loan, and a statement that loan payments are
liens against such property.
(2) Upon payment of all amounts loaned to a port district
pursuant to ORS 285A.666 to 285A.732, the { - commission - }
{ + authority + } shall file with each recording officer
referred to in subsection (1) of this section { - , - } a
satisfaction notice that indicates repayment of the loan.
SECTION 44. ORS 285A.690 is amended to read:
285A.690. (1) The { - Oregon Economic and Community
Development Commission - } { + Oregon Business Development
Department + } may institute proceedings to foreclose any lien
for delinquent loan payments.
(2) If a port district fails to comply with a contract entered
into pursuant to ORS 285A.681, the { - commission - }
{ + department + } may seek appropriate legal remedies to secure
the loan, and may contract with any port project developer for
continuation of the project and for repayment of moneys from the
Oregon Port Revolving Fund used therefor and interest thereon.
(3) The { - commission - } { + department + } may also
provide by contract or otherwise for a project until the project
is assumed by the new port project developer.
SECTION 45. ORS 285A.693 is amended to read:
285A.693. A port district that enters into a contract with the
Oregon { - Economic and Community Development Commission - }
{ + Infrastructure Finance Authority + } for a project and
repayment as provided in ORS 285A.681 may obtain moneys for
repayment to the Oregon Port Revolving Fund under the contract in
the same manner as other moneys are obtained for purposes of the
port district or other moneys available to the developer.
SECTION 45a. ORS 285A.696 is amended to read:
285A.696. The { - Oregon Economic and Community Development
Commission - } { + Oregon Business Development Commission + }
may appoint the Director of the { - Economic and Community
Development Department - } { + Oregon Business Development
Department + } as their representative and agent in all matters
pertaining to ORS 285A.666 to 285A.732. The director shall
{ - assure - } { + ensure + } that all provisions of ORS
285A.666 to 285A.732 are complied with and that appropriately
trained personnel are employed pursuant to ORS 285A.070 to
properly administer the fiscal and other portions of ORS 285A.666
to 285A.732.
SECTION 46. ORS 285A.702 is amended to read:
285A.702. (1) The { - Oregon Economic and Community
Development Commission - } { + Oregon Infrastructure Finance
Authority + } may authorize funds from the Oregon Port Revolving
Fund to be used in appropriate joint governmental participation
projects or as match money with any port, state or federally
funded project authorized within a port district, subject to the
stipulations of ORS 285A.666 to 285A.732.
(2) Any application for a loan under this section shall be in
such form as the { - commission - } { + authority + }
Enrolled House Bill 2152 (HB 2152-C) Page 28
prescribes and shall furnish such proof of federal, state or
local approval as appropriate for funding of the project.
SECTION 47. ORS 285A.705 is amended to read:
285A.705. If the { - Oregon Economic and Community
Development Commission - } { + Oregon Infrastructure Finance
Authority + } approves an application for the loan of moneys
authorized by ORS 285A.702, the
{ - commission - } { + authority + } shall enter into a loan
contract, secured by good and sufficient collateral, with the
port district that provides, among other matters:
(1) That a notice of any lien against the property be filed
with the recording officer of each county as provided for in ORS
285A.687 (1) and (2).
(2) That the loan bear interest at the same rate of interest as
provided in ORS 285A.681 { - (1) - } { + (1)(a) + }.
(3) That the loan term may not exceed the usable life of the
contracted project or 25 years from the year of project
completion, whichever is less. The same schedule shall include
repayment of interest that accrues during any period of delay in
repayment authorized by ORS 285A.666 to 285A.732. The repayment
schedule may require payments of varying amounts for collection
of accrued interest. However, the { - commission - } { +
authority + } may make provisions for extensions of time in
making repayment if the delinquencies are caused by acts of God
or other conditions beyond the control of the port district and
the security will not be impaired thereby.
(4) Any other provision the { - commission - } { +
authority + } considers necessary to ensure expenditure of the
moneys loaned for the purposes provided in ORS 285A.702,
including all provisions of ORS 285A.678.
(5) That the { - commission - } { + authority + } may cause
to be instituted appropriate proceedings to foreclose liens as
provided for in ORS 285A.690 (1) and (2) for delinquent loan
payments and shall pay the proceeds of any foreclosure, less the
{ - commission's - } { + authority's + } expenses incurred in
foreclosing, into the Oregon Port Revolving Fund.
SECTION 48. ORS 285A.708 is amended to read:
285A.708. (1) There is created within the State Treasury a
revolving fund known as the Oregon Port Revolving Fund, separate
and distinct from the General Fund. { + Interest earned by the
Oregon Port Revolving Fund shall be credited to the fund. + }
Moneys in this fund are continuously appropriated to the
{ - Oregon Economic and Community Development Commission - }
{ + Oregon Business Development Department for the Oregon
Infrastructure Finance Authority + } for the following purposes:
(a) Administrative expenses of the { - commission - } { +
authority + } in processing applications and investigating
proposed projects.
(b) Payment of loans to port districts pursuant to ORS 285A.666
to 285A.732.
(c) Administrative expenses of the { - Economic and Community
Development Department - } { + authority + } relating to ports.
In any one year, administrative expenses charged under this
paragraph may not be greater than the total revenues received in
that year from fees provided for in subsection (2)(a) of this
section, plus an amount not to exceed five percent of the total
asset value of the fund.
(2) The fund created by subsection (1) of this section shall
consist of:
(a) Application fees required by ORS 285A.672 (2).
Enrolled House Bill 2152 (HB 2152-C) Page 29
(b) Repayment of moneys loaned to port districts or others from
the Oregon Port Revolving Fund, including interest on such
moneys.
(c) Payment of such moneys as may be appropriated to the fund
by the Legislative Assembly.
(d) Moneys obtained from any interest accrued from such funds.
(3) Outstanding debt on the fund shall not exceed 95 percent of
all deposits, accounts payable, and other assets of the fund.
(4) No money shall be expended from the Oregon Port Revolving
Fund for any economic development study costing more than $50,000
unless a work plan and budget for such study has been provided to
appropriate legislative committees.
SECTION 49. ORS 285B.050 is amended to read:
285B.050. As used in ORS 285B.050 to 285B.098, unless the
context requires otherwise:
(1) 'Applicant' means any county, municipality, person or any
combination of counties, municipalities or persons applying for a
loan from the Oregon Business Development Fund under ORS 285B.050
to 285B.098.
(2) 'Business development project' means the acquisition,
engineering, improvement, rehabilitation, construction, operation
or maintenance of any property, real or personal, that is used or
is suitable for use by an economic enterprise and that will
result in, or will aid, promote or facilitate, development of one
or more of the following activities:
(a) Manufacturing or other industrial production;
(b) Agricultural development or food processing;
(c) Aquacultural development or seafood processing;
(d) Development or improved utilization of natural resources;
(e) Convention facilities and trade centers;
(f) Transportation or freight facilities; and
(g) Other activities that represent new technology or type of
economic enterprise the { - Oregon Economic and Community
Development Commission - } { + Oregon Business Development
Commission + } determines is needed to diversify the economic
base of an area but not including:
(A) Construction of office buildings, including corporate
headquarters; and
(B) Retail businesses, shopping centers or food service
facilities.
(3) 'Collateral' has the meaning given that term in ORS 79.0102
for property subject to a security interest.
{ - (4) 'Commission' means the Oregon Economic and Community
Development Commission established under ORS 285A.040. - }
{ - (5) - } { + (4) + } 'County' means any county or
federally recognized Oregon Indian tribe.
{ - (6) - } { + (5) + } 'Emerging small business' has the
meaning given that term by ORS 200.005.
{ - (7) 'Fund' means the Oregon Business Development
Fund. - }
{ - (8) - } { + (6) + } 'Local development group' means any
public or private corporation that has as one of its primary
purposes, as stated in its articles of incorporation, charter or
bylaws, the promotion of economic development in any part of the
State of Oregon.
{ - (9) - } { + (7) + } 'Municipality' means any city,
municipal corporation or quasi-municipal corporation.
{ - (10) - } { + (8) + } 'Person' means any individual,
association of individuals, joint venture, partnership, limited
liability company or corporation.
Enrolled House Bill 2152 (HB 2152-C) Page 30
SECTION 50. ORS 285B.053 is amended to read:
285B.053. (1) Any county, municipality, person or any
combination of counties, municipalities and persons may file with
the { - Oregon Economic and Community Development
Commission - } { + Oregon Business Development Department + }
an application to borrow money from the Oregon Business
Development Fund for a business development project as provided
in ORS 285B.050 to 285B.098. The application shall be filed in
such a manner and contain or be accompanied by such information
as the { - commission - } { + department + } may prescribe.
(2) Any applicant receiving a loan from the fund shall report
to the { - Economic and Community Development - } department
the estimated number of jobs affected by the business development
project financed under ORS 285B.050 to 285B.098.
SECTION 51. ORS 285B.056 is amended to read:
285B.056. The { - Oregon Economic and Community Development
Commission - } { + Oregon Business Development Department + }
shall charge fees and establish rules to underwrite loans from
the Oregon Business Development Fund.
SECTION 52. ORS 285B.059 is amended to read:
285B.059. (1) The { - Oregon Economic and Community
Development Commission - } { + Oregon Business Development
Commission + } may approve a business development project
proposed in an application filed under ORS 285B.050 to 285B.098
if, after investigation, the commission finds that:
(a) The proposed business development project is feasible and a
reasonable risk from practical and economic standpoints, and that
the loan has reasonable prospect of repayment.
(b) The applicant can provide good and sufficient collateral
for the loan.
(c) Moneys in the Oregon Business Development Fund are or will
be available for the proposed business development project.
(d) There is a need for the proposed business development
project.
(e) The applicant has not received or entered into a contract
or contracts exceeding $1 million with the commission, under
authority of ORS 285B.050 to 285B.098, for the previous 365 days.
(2) The total amount of moneys loaned from the fund for any
business development project shall not exceed 50 percent of the
cost of the project.
(3) Except when the applicant is a county or municipality or
when there are payments other than the scheduled principal and
interest payments, no money shall be loaned from the fund for any
business development project unless there exists a commitment
from a commercial or private lender, or a local development
group, to participate in the financing of the project.
(4) To encourage private sector and local development group
participation in the financing of business development projects,
the commission may subordinate the security position of the fund
to that of other lenders.
(5) In each fiscal year of a biennium, not less than 15 percent
of all moneys available for lending from the fund are reserved
for loans to certified emerging small business enterprises which
are located in or draw their workforces from within distressed
areas as determined by the { - Economic and Community - } { +
Oregon Business + } Development Department in cooperation with
the Employment Department of this state. Any amounts reserved for
loans to such businesses that are not loaned in one fiscal year
shall be added to the amount reserved for loans to such
businesses in the subsequent fiscal year. If the { - Economic
Enrolled House Bill 2152 (HB 2152-C) Page 31
and Community - } { + Oregon Business + } Development
Department is unable to obtain a sufficient number of approvable
applications to meet the requirements of this subsection, it may,
notwithstanding the limitations imposed by ORS 285B.050
(2)(g)(B), make loans to service and retail businesses operated
by emerging small business enterprises.
SECTION 53. ORS 285B.062 is amended to read:
285B.062. If the { - Oregon Economic and Community
Development Commission - } { + Oregon Business Development
Commission + } approves the business development project, the
commission, on behalf of the state, and the applicant may enter
into a loan contract of not more than $1 million, secured by good
and sufficient collateral, which shall set forth, among other
matters:
(1) A plan for repayment by the applicant to the Oregon
Business Development Fund of moneys borrowed from the fund used
for the business development project with interest charged on
those moneys at the rate of not less than one percentage point
more than the prevailing interest rate on United States Treasury
bills, notes or bonds of a comparable term, as determined by the
commission. The repayment plan, among other matters:
(a) Shall provide for commencement of repayment by the
applicant of moneys used for the business development project and
interest thereon no later than one year after the date of the
loan contract or at such other time as the commission may
provide.
(b) May provide for reasonable extension of the time for making
any repayment in emergency or hardship circumstances if approved
by the commission.
(c) Shall provide for such evidence of debt assurance of, and
security for, repayment by the applicant as is considered
necessary by the commission.
(d) Shall set forth a schedule of payments and the period of
loan which shall not exceed the usable life of the contracted
project or 25 years from the date of the contract, whichever is
less, and shall also set forth the manner of determining when
loan payments are delinquent. The payment schedule shall include
repayment of interest which accrues during any period of delay in
repayment authorized by paragraph (a) of this subsection, and the
payment schedule may require payments of varying amounts for
collection of accrued interest.
(e) Shall set forth a procedure for formal declaration of
default of payment by the commission, including formal
notification of all relevant federal, state and local agencies;
and further, a procedure for notification of all relevant
federal, state and local agencies that declaration of default has
been rescinded when appropriate.
(f) Shall allow for other forms of payment than principal and
interest payments on loans, to be outlined in administrative
rules.
(2) Provisions satisfactory to the commission for field
engineering and inspection, the commission to be the final judge
of completion of the contract.
(3) That the liability of the state under the contract is
contingent upon the availability of moneys in the fund for use in
the business development project.
(4) Such further provisions as the commission considers
necessary to insure expenditure of the funds for the purposes set
forth in the approved application.
SECTION 54. ORS 285B.065 is amended to read:
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285B.065. The { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
may make loans in distressed areas, as defined by the department,
without regard to the requirements for security and collateral
under ORS 285B.059 and 285B.062 that are otherwise applicable.
SECTION 55. ORS 285B.068 is amended to read:
285B.068. (1) If the { - Oregon Economic and Community
Development Commission - } { + Oregon Business Development
Commission + } approves a loan for a business development project
and the applicant has received all necessary permits required by
federal, state and local agencies, the commission shall pay
moneys for the project from the Oregon Business Development Fund,
in accordance with the terms of the loan contract as prescribed
by the commission.
(2) Immediately upon receiving the loan proceeds, the applicant
shall pay to the commission one and one-half percent of the
principal amount of the loan, to be paid back to the Oregon
Business Development Fund. A maximum of three percent of the
principal amount of the loan may be paid from the fund to local
development groups for the purposes set forth in ORS 285B.092
(1)(a).
SECTION 56. ORS 285B.080 is amended to read:
285B.080. { - (1) The Oregon Economic and Community
Development Commission may appoint the Director of the Economic
and Community Development Department as its representative and
agent in all matters pertaining to ORS 285B.050 to 285B.098. - }
{ + (1) The Oregon Business Development Commission may
appoint the Director of the Oregon Business Development
Department as the commission's representative and agent in all
matters pertaining to ORS 285B.050 to 285B.098. + }
(2) The director shall ensure that all provisions of ORS
285B.050 to 285B.098 are complied with and that appropriately
trained personnel are employed to properly administer the fiscal
and other portions of ORS 285B.050 to 285B.098.
(3) The director shall have the authority in the director's
sole discretion to approve loans for business development
projects in the amount of $100,000 or less and to disburse funds
for such projects.
SECTION 57. ORS 285B.081 is amended to read:
285B.081. The { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
shall develop rules governing repayment of loans to the Oregon
Business Development Fund and collection of moneys owed the fund.
The department may take any action permitted by statute or rule
that the department deems necessary for repayment of the loan.
SECTION 58. ORS 285B.086 is amended to read:
285B.086. (1) The { - Oregon Economic and Community
Development Commission - } { + Oregon Business Development
Commission + } may authorize funds from the Oregon Business
Development Fund to be used in appropriate joint governmental
participation projects or as match money with any municipally,
county, state or federally funded business development project
authorized within a county or city, subject to the stipulations
of ORS 285B.050 to 285B.098.
(2) Any application for a loan under this section shall be in
such form as the commission prescribes and shall furnish such
proof of federal, state or local approval as appropriate for
funding of the business development project.
Enrolled House Bill 2152 (HB 2152-C) Page 33
(3) The total amount of moneys loaned from the fund for
federal, state or local joint business development project
purposes shall not exceed $1 million per project.
SECTION 59. ORS 285B.089 is amended to read:
285B.089. If the { - Oregon Economic and Community
Development Commission - } { + Oregon Business Development
Commission + } approves an application for the loan of moneys
authorized by ORS 285B.086, the commission shall enter into a
loan contract, secured by good and sufficient collateral as
determined by the commission, with the applicant that provides,
among other matters:
(1) That the loan bear interest at the same rate of interest as
provided in ORS 285B.062 (1).
(2) That the contract shall set forth a schedule of payments
including interest and principal for the period of the loan,
which shall not exceed the usable life of the contracted project
or 25 years from the date of the contract, whichever is less, and
shall set forth the manner of determining when loan payments are
delinquent. The same schedule shall include repayment of interest
which accrues during any period of delay in repayment authorized
by ORS 285B.050 to 285B.098, and the repayment schedule may
require payments of varying amounts for collection of that
accrued interest. However, the commission may make provisions for
extensions of time in making repayment if the delinquencies are
caused by acts of God or other conditions beyond the control of
the applicant and the security will not be impaired thereby.
(3) Such provisions as the commission considers necessary to
insure expenditure of the moneys loaned for the purposes provided
in ORS 285B.086, including all provisions of ORS 285B.059.
SECTION 60. ORS 285B.092 is amended to read:
285B.092. (1) There is created within the State Treasury a
revolving fund known as the Oregon Business Development Fund,
separate and distinct from the General Fund. Interest earned by
the fund shall be credited to the fund. Moneys in this fund are
continuously appropriated to the { - Oregon Economic and
Community Development Commission - } { + Oregon Business
Development Commission + } for the following purposes:
(a) Administrative expenses of the commission in marketing
public business finance, processing applications, investigating
proposed business development projects and servicing outstanding
loans. In any one year, administrative expenses charged under
this paragraph may not be greater than the total revenues
received in that year from fees provided for in subsection (2)(a)
of this section, plus four percent of the total asset value of
the fund.
(b) Payment of loans to applicants under ORS 285B.050 to
285B.098.
(c) Actions the commission deems necessary to obtain repayment
of outstanding loans.
(d) Purchase or buyout of superior or prior liens or mortgages
on or a security interest in any business development project
financed in part by a loan from the fund, when the commission
determines:
(A) A loan from the fund is in default and is in liquidation or
at risk of being forced into liquidation by another creditor to
the project; and
(B) The action is necessary to maintain or enhance the value of
the commission's collateral in the project.
(2) The fund created by subsection (1) of this section shall
consist of:
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(a) Fees as determined by the commission.
(b) Repayment of moneys loaned to counties, municipalities or
persons from the fund, including interest on those moneys or
including other receipts.
(c) Payment of such moneys as may be appropriated to the fund
by the Legislative Assembly.
(d) Moneys obtained from any interest accrued from funds.
(e) Moneys from any grant made to the fund by any federal
agency.
(3) All repayments, interest and other receipts from
outstanding indebtedness or any other source shall be retained
and accumulated in the fund and shall be used for the purposes of
the fund.
(4) Notwithstanding any other law, if at any time there are
insufficient funds in established business finance programs, the
commission may direct the transfer of unobligated funds from the
fund.
SECTION 61. ORS 285B.093 is amended to read:
285B.093. (1) The Oregon { - Economic and Community - }
{ + Business + } Development Commission may establish the Oregon
Targeted Development Account as an account within the Oregon
Business Development Fund.
(2) The purpose of the Oregon Targeted Development Account is
to promote cooperation and foster partnership among the
commission, the { - Economic and Community - } { + Oregon
Business + } Development Department and financial institutions in
Oregon to encourage investment in distressed areas, as defined by
the department.
(3) The department may make loans from the Oregon Targeted
Development Account in distressed areas without regard to the
minimum rate of interest that is otherwise applicable under ORS
285B.062. The department may make loans in distressed areas at an
interest rate that is determined by the commission.
SECTION 62. ORS 285B.126 is amended to read:
285B.126. As used in ORS 285B.126 to 285B.147, unless the
context requires otherwise:
(1) 'Brownfield' or 'brownfields' has the meaning given that
term in ORS 285A.185.
(2) 'Capital access program' means the program established by
ORS 285B.126 to 285B.147.
(3) 'Environmental action' has the meaning given that term in
ORS 285A.188.
(4) 'Financial institution' means a financial institution, as
defined in ORS 706.008.
(5) 'Loss reserve account' means an account in the State
Treasury or any financial institution that is established and
maintained by the { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
for the benefit of a financial institution participating in the
capital access program.
(6) 'Qualified business' means any person, conducting business
for profit or not for profit, that is authorized to conduct
business in the State of Oregon.
(7) 'Qualified loan' means a loan or portion of a loan made by
a financial institution to a qualified business for any business
activity that has its primary economic effect in Oregon. The
term does not include:
(a) A loan for the purchase of owner-occupied residential
housing or for the construction, improvement or purchase of
residential housing owned or to be owned by the borrower.
Enrolled House Bill 2152 (HB 2152-C) Page 35
(b) A loan for purchase of real property that is not used for
the business operations of the borrower.
(c) A loan for the refinancing of an existing loan when and to
the extent that the outstanding balance is not increased.
SECTION 63. ORS 285B.132 is amended to read:
285B.132. (1) The { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
may contract with any financial institution for the purpose of
allowing the financial institution to participate in the capital
access program established by ORS 285B.126 to 285B.147.
(2) A contract between the department and a financial
institution under this section shall provide:
(a) For the creation of a loss reserve account by the
department for the benefit of the financial institution.
(b) That the financial institution, qualified business and the
department will deposit moneys to the credit of the institution's
loss reserve account when the financial institution makes a
qualified loan to a qualified business.
(c) That the department will pay moneys in the loss reserve
account, not exceeding an amount equal to the total amount
credited to the loss reserve account, to the financial
institution to reimburse the institution for any financial loss
incurred as a result of any qualified loan made under the capital
access program established by ORS 285B.126 to 285B.147.
(d) That the liability of the State of Oregon and the
department to the financial institution under the contract is
limited to the amount of money credited to the loss reserve
account of the institution.
(e) That the financial institution shall provide such
information as the department may require, including financial
information that is identifiable with, or identifiable from, the
financial records of a particular customer who is the recipient
of a qualified loan.
(f) For such other terms as the department may require.
(3) A financial institution is not subject to ORS 192.555 (1)
when the financial institution provides information to the
department as required by subsection (2)(e) of this section.
SECTION 64. ORS 285B.135 is amended to read:
285B.135. (1) The { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
shall establish a loss reserve account for each financial
institution with which the department makes a contract under ORS
285B.132.
(2) The loss reserve account for a financial institution shall
consist of moneys paid as fees by borrowers and the financial
institution under ORS 285B.138 and moneys transferred to the
account from the Capital Access Fund under ORS 285B.138.
(3) Notwithstanding ORS chapter 293 or 295, the department may
establish and maintain loss reserve accounts with any financial
institution under such policies as the department may adopt. The
department may establish rules to encourage financial
institutions to participate in the capital access program.
(4) All moneys in a loss reserve account established under ORS
285B.126 to 285B.147 are the property of the State of Oregon.
SECTION 65. ORS 285B.138 is amended to read:
285B.138. (1) When a financial institution participates in the
capital access program, if the financial institution decides to
enroll a qualified loan under the capital access program in order
to obtain the protection against loss provided by its loss
reserve account, the financial institution shall notify the
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{ - Economic and Community Development Department - } { +
Oregon Business Development Department + } of the loan within 30
days after the loan is made. The notification shall be in writing
on a form prescribed by the department.
(2) When making a qualified loan that will be enrolled under
the capital access program, the financial institution shall
require the qualified business to which the loan is made to pay a
fee of not less than one and one-half percent of the principal
amount of the loan but not more than three and one-half percent
of such principal amount. The financial institution shall also
pay a fee in an amount equal to the fee paid by the borrower. The
financial institution shall deliver the fees collected under this
subsection to the department for deposit in the loss reserve
account for the institution.
(3) When depositing fees collected under subsection (2) of this
section to the credit of the loss reserve account for a financial
institution, the department shall transfer an amount that is not
less than the total amount of the fees paid by the borrower and
the financial institution from the Capital Access Fund to the
loss reserve account for the institution.
(4) Notwithstanding subsections (1) to (3) of this section, the
department may adopt rules providing that, for qualified loans to
businesses in distressed areas or for use in an environmental
action on brownfields, the department may transfer an amount that
is not less than 150 percent of the total amount of the fees paid
by the borrower and the financial institution from the Capital
Access Fund to the loss reserve account of the institution. The
total amount transferred under this section may not exceed 40
percent of the moneys appropriated to the fund. For purposes of
this subsection, 'distressed areas' shall have the meaning given
that term by the department by rule.
SECTION 66. ORS 285B.141 is amended to read:
285B.141. (1) The { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
shall establish procedures under which financial institutions
participating in the capital access program established by ORS
285B.126 to 285B.147 may submit claims for reimbursement for
losses incurred as a result of qualified loan defaults.
(2) Costs for which a financial institution may be reimbursed
from its loss reserve account include loan principal, accrued
interest on the principal, actual and necessary costs of seeking
recovery of the principal amount and interest thereon and any
other related costs.
(3) A financial institution may seek reimbursement of loan
losses prior to the liquidation of collateral from defaulted
loans. The financial institution shall repay its loss reserve
account for any moneys received as reimbursement under this
section if the financial institution recovers moneys from the
borrower or from the liquidation of collateral for the defaulted
loan.
SECTION 67. ORS 285B.147 is amended to read:
285B.147. (1) There is established in the State Treasury,
separate and distinct from the General Fund, the Capital Access
Fund. All moneys in the fund are continuously appropriated to the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department + } for the purpose of
making payments to loss reserve accounts established under ORS
285B.126 to 285B.147.
(2) Moneys in the Capital Access Fund, with the approval of the
State Treasurer, may be invested as provided by ORS 293.701 to
Enrolled House Bill 2152 (HB 2152-C) Page 37
293.820, and the earnings from such investment shall be credited
to the Capital Access Fund.
(3) The Capital Access Fund shall consist of:
(a) Moneys appropriated to the fund by the Legislative
Assembly.
(b) Interest earned on moneys in the fund.
(c) Moneys returned to the fund from loss reserve accounts or
other sources.
(4) If the department deems retrieval of interest earned on
loss reserve accounts appropriate, the department may transfer
into the fund up to 50 percent of the interest earned on moneys
in loss reserve accounts.
(5) The department may charge administrative costs to the fund
to pay for actual and necessary administrative expenses incurred
by the department in administering the fund and establishing and
maintaining loss reserve accounts under ORS 285B.126 to 285B.147.
SECTION 68. ORS 285B.168 is amended to read:
285B.168. (1) The { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
may make grants available to a community college district, a
community college service district or, with the concurrence of
the Commissioner for Community College Services and the
Chancellor of the Oregon University System, a state university to
assist in the formation, improvement and operation of small
business development centers. If a community college district, a
community college service district or a state university is
unable to adequately provide services in a specific geographic
area, the department may make grants available to other service
providers as determined by the department. The grant application
shall include:
(a) Plans for providing small business owners and managers
individual counseling, to the greatest extent practicable, in
subject areas critical to small business success;
(b) A budget for the year for which a grant is requested,
including cost apportionment among the { - Economic and
Community Development - } department, small business clients,
the community college, state university or other service
providers and other sources;
(c) A plan for evaluating the effect of the program on small
business clients served; and
(d) A plan for providing collaboration with other state
agencies, state-supported organizations and private sector
entities that provide services to small businesses.
(2) The grants made under subsection (1) of this section are to
be used by the grant recipient to provide:
(a) Small business development center staff and support staff;
(b) Expert resource persons from the business community;
(c) Other training and business resources as approved by the
department in skill areas for which, or areas of the state where,
the grant recipient can demonstrate it does not otherwise have
the capacity or expertise to provide the resources; and
(d) Other costs related to providing training, counseling and
business resources to small business clients.
(3) To be eligible for a grant under subsection (1) of this
section, the recipient shall be required to provide funds,
in-kind contributions or some combination of funds and
contributions, in accordance with rules adopted by the
{ - Economic and Community Development - } department.
(4) Subject to the approval of the department, a grant
recipient may subcontract funds received under this section to
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any other entity that is eligible to receive funding under this
section.
(5) The grant recipient shall submit a final report to the
department after the distribution of grant funds and the delivery
of services to the proposed business clients. The report shall
state whether the plan and related budget have met the applicable
criteria as described in the recipient's application for the
grant period.
(6) As used in this section, 'state university' means a state
institution of higher education listed in ORS 352.002.
SECTION 69. ORS 285B.178 is amended to read:
285B.178. As used in this section and ORS 285B.179:
(1) 'Local microenterprise support organization' means a
community development corporation, a nonprofit development
organization, a nonprofit social services organization or another
locally operated nonprofit entity that provides services to
disadvantaged entrepreneurs.
(2) 'Low income' means income adjusted for family size that
does not exceed:
(a) For metropolitan areas, 80 percent of median income; or
(b) For nonmetropolitan areas, the greater of 80 percent of the
area median income or 80 percent of the statewide nonmetropolitan
area median income.
(3) 'Microenterprise' has the meaning given that term under 15
U.S.C. 6901, as amended and in effect on June 30, 2007. If 15
U.S.C. 6901 is amended or altered on or after July 1, 2007, the
{ + Oregon Business Development + } Department may adopt by
rule a definition of 'microenterprise' to give the term the
meaning given in 15 U.S.C. 6901 as amended or altered.
(4) 'Microentrepreneur' means an individual conducting a
microenterprise.
(5) 'Microlending' means the practice of lending moneys to
microenterprises or microentrepreneurs.
(6) 'Statewide microenterprise support organization' means a
community development corporation, a nonprofit development
organization, a nonprofit social services organization or another
nonprofit entity that serves as an intermediary between the
{ - Economic and Community Development - } department and
local microenterprise support organizations.
(7) 'Training and technical assistance' means services and
support offered to microenterprises and microentrepreneurs. '
Training and technical assistance' includes, but is not limited
to, services to enhance business development, asset building,
business planning, marketing, management skills and access to
financial services.
(8) 'Very low income' means income adjusted for family size
that does not exceed 150 percent of the poverty level determined
under 42 U.S.C. 9902, as amended and in effect on June 30, 2007.
If 42 U.S.C. 9902 is amended or altered on or after July 1, 2007,
the department may adopt by rule the standard for determining the
federal poverty level under 42 U.S.C. 9902 as amended or altered.
SECTION 70. ORS 285B.179 is amended to read:
285B.179. The purposes of ORS 285B.178 and this section are to:
(1) Ensure that microenterprises in Oregon are able to realize
their full potential to create jobs, enhance entrepreneurial
skills, expand entrepreneurial activity and increase the capacity
of low income and very low income households to become
self-sufficient;
(2) Enhance the development of a statewide infrastructure for
microenterprise support; and
Enrolled House Bill 2152 (HB 2152-C) Page 39
(3) Enable the { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
to engage in contractual relationships with statewide
microenterprise support organizations that have the capacity to
administer grants to local microenterprise support organizations,
subject to ORS 285B.178 and this section, and to leverage
additional funds from sources other than moneys appropriated from
the General Fund.
SECTION 71. ORS 285B.200 is amended to read:
285B.200. As used in ORS 285B.200 to 285B.218:
(1) 'Brownfield' or 'brownfields' has the meaning given that
term in ORS 285A.185.
(2) 'Eligible project costs' includes productive equipment and
machinery, working capital for operations and export transactions
and such other costs as the { - Economic and Community
Development Department, - } { + Oregon Business Development
Department + } by rule { - , - } may provide.
(3) 'Environmental action' has the meaning given that term in
ORS 285A.188.
(4) 'Financial institution' includes institutions listed in ORS
706.008 and such other institutions defined by rule of the
{ - Economic and Community Development - } department as
financial institutions for purposes of ORS 285B.200 to 285B.218.
(5) 'Qualified business' means any existing or proposed
business that, except when located within a distressed area, as
defined by the { - Economic and Community Development - }
department, sells goods or services in markets for which national
or international competition exists or that owns, occupies,
operates or has entered into an agreement to own, occupy or
operate real property containing a brownfield, as defined in ORS
285A.185. The term includes professional services companies
providing services to traded sector industries and other entities
within and outside of this state.
(6) 'Value-added agricultural products' means agricultural
products that have been processed, transformed or refined to the
point where they may be distributed to a final consumer without
further processing, transformation or refining. The term also
includes agricultural products that are processed, transformed or
refined for distribution to other than final consumers when such
processing, transformation or refining represents a substantial
increment in value as determined by the { - Economic and
Community Development Department - } { + Oregon Business
Development Department + } in consultation with the State
Department of Agriculture.
SECTION 72. ORS 285B.206 is amended to read:
285B.206. (1) The { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
shall develop a program under which the department, under
contracts with financial institutions, shall provide loan
guarantees, insurance, coinsurance in conjunction with other
providers of loan guarantee programs or other forms of credit
guarantees for qualified businesses for eligible project costs.
(2) In administering the program created by ORS 285B.200 to
285B.218, the department shall consult and cooperate with
financial institutions in this state. The program shall be
administered so that administrative procedures and application
procedures are as responsive to the needs of qualified businesses
and financial institutions as practicable, consistent with
prudent investment and lending practices and criteria.
Enrolled House Bill 2152 (HB 2152-C) Page 40
(3) The department shall prescribe by rule the loan or credit
guarantee application procedure for a financial institution on
behalf of a qualified business.
(4) When the department approves a loan or credit guarantee,
the department shall enter into a loan or credit guarantee
agreement with the financial institution. The agreement shall
specify:
(a) The fee to be charged to the financial institution;
(b) The evidence of debt assurance of, and security for, the
loan or credit guarantee;
(c) A loan guarantee or credit guarantee which does not exceed
15 years; and
(d) Such other terms and conditions considered necessary or
desirable by the department.
SECTION 73. ORS 285B.209 is amended to read:
285B.209. (1) When making loan or credit guarantees under the
program established under ORS 285B.200 to 285B.218, the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department + } shall establish fees
and other terms for loan or credit guarantees that are calculated
to reasonably assure that businesses with access to other forms
of private capital will find it economical not to participate in
the program.
(2) The department, with due regard for the possibility of
losses and administrative costs, shall set fees and other terms
at levels sufficient to reasonably assure that the program is
self-financing.
SECTION 74. ORS 285B.215 is amended to read:
285B.215. (1) There is established in the State Treasury,
separate and distinct from the General Fund, the Credit
Enhancement Fund. All moneys in the fund are continuously
appropriated to the { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
for the following purposes:
(a) Payment of claims pursuant to contracts for loan or credit
guarantees under ORS 285B.200 to 285B.218.
(b) Payment of administrative costs of the department for
actual and necessary administrative expenses incurred by the
department in administering the fund and establishing and
maintaining the program established under ORS 285B.200 to
285B.218.
(c) Repayment of transfers of funds required or authorized by
law.
(d) Purchase or buyout of superior or prior liens, mortgages or
security interests.
(2) Moneys in the Credit Enhancement Fund shall consist of:
(a) Moneys appropriated to the fund by the Legislative
Assembly, including moneys derived from the Administrative
Services Economic Development Fund.
(b) Proceeds from collateral assigned to the department.
(c) Interest earned on moneys in the fund.
(d) Transfers of moneys to the fund.
(e) Fees assessed for guarantees, as determined by the
department.
(f) Moneys from gifts.
(g) Moneys from any grant made to the fund by any federal
agency.
(h) Proceeds of insurance provided by the Export-Import Bank of
the United States or by any other provider of insurance for
export transactions.
Enrolled House Bill 2152 (HB 2152-C) Page 41
SECTION 75. ORS 285B.218 is amended to read:
285B.218. (1) The { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
is authorized to pledge up to $75 million to assure the repayment
of loan guarantees or other extensions of credit made to or on
behalf of qualified businesses for eligible projects costs.
(2) If the balances in the Credit Enhancement Fund are
insufficient to cover any claims by financial institutions that
arise from loan and credit guarantees made under ORS 285B.200 to
285B.218, the Oregon Department of Administrative Services is
directed to transfer in the fiscal year as often as appropriate
any funds from the Administrative Services Economic Development
Fund to cover such principal, interest and claims, subject to the
condition that no such transfer shall be made prior to the
satisfaction of any constitutionally dedicated distribution, the
allocation under ORS 391.130 to the Regional Light Rail Extension
Construction Fund or any allocations related to the lottery bond
program authorized by ORS 286.560 (6)(a) or (b).
SECTION 76. ORS 285B.230 is amended to read:
285B.230. As used in ORS 285B.230 to 285B.269, unless the
context requires otherwise { - : - } { + , + }
{ - (1) 'Region' means groups of counties designated by the
Economic and Community Development Department or recognized in a
regional partnership as provided in ORS 285B.236 (3). - }
{ - (2) 'Regional board' means a board comprised of
individuals described in ORS 285B.242 (1) and jointly appointed
by the county governing bodies of each county in the region to
develop, fund, implement and monitor the achievement of the
regional investment strategy. - }
{ - (3) 'Regional investment - } { + 'local economic
development + } strategy' is a long-term economic development
strategy, updated
{ - at least once every six years, - } { + as required by the
Oregon Business Development Department, + } that focuses on the
economic development priorities of each { + community or
geographic region in the state. + } { - region, including but
not limited to: - }
{ - (a) Retaining and creating jobs and raising real
wages; - }
{ - (b) Promoting the structures and processes of public and
private organizations to effectively create, adapt, foster and
sustain economic development in this state, emphasizing rural and
distressed areas; - }
{ - (c) Ensuring that economic strategies reinforce Oregon's
long-term prosperity and livability; and - }
{ - (d) Coordinating economic development efforts and efforts
to support a locally skilled workforce in order to compete in the
global economy. - }
{ - (4) 'Regional partnership' means a group of regional and
economic development partners, including but not limited to
cities, counties, ports, Indian tribes, special districts,
nonprofit organizations and private organizations, that join
together as a regional partnership in a memorandum of
understanding between the members of the partnership and the
directors of the Department of Transportation, the Economic and
Community Development Department, the Housing and Community
Services Department, the Department of Land Conservation and
Development, the State Department of Agriculture, the Department
of State Lands and the Department of Environmental Quality to
provide a forum for coordination of economic development planning
Enrolled House Bill 2152 (HB 2152-C) Page 42
and investments so that strategies and processes for economic
development are leveraged to the greatest extent possible to meet
agreed-upon priority issues, challenges and goals. - }
SECTION 77. ORS 285B.233 is amended to read:
285B.233. (1) The Legislative Assembly finds that
{ - regional investment strategies - } { + local economic
development activities and initiatives + } are essential to the
state's { - economic development goals - } { + long-term
prosperity + } and that to be effective { + , + } { - regional
investment - } { + local economic development + } strategies
must have the coordinated support of available resources.
(2) The Legislative Assembly declares that the purpose of ORS
285B.230 to 285B.269 is:
(a) To encourage the development of { - regional
investment - } { + local economic development + }strategies
that address the economic development priorities of { - each
region - } { + communities in or geographic regions + } of the
state;
(b) To identify and coordinate { - regional - } economic
development priorities;
(c) To ensure that economic development plans reinforce the
long-term prosperity and livability of Oregon;
(d) To effectively utilize available resources through a
{ - regional investment program; - } { + strategic program
tied to the state's economic development strategy; + }
(e) To leverage and attract capital investment in Oregon
communities; and
(f) To coordinate private and public resources to support
economic development.
SECTION 78. ORS 285B.236 is amended to read:
285B.236. (1) The { - Economic and Community Development
Department, - } { + Oregon Business Development Department + }
by rule { - , - } shall adopt guidelines for submission of
{ - regional investment - } { + local economic development + }
strategies and distribution of funds.
(2) The guidelines shall provide that the { - regional
investment - } { + local economic development + } strategies
are approved in accordance with criteria reflecting the economic
benefits to the state. Each { - regional investment - }
{ + local economic development + } strategy must at a minimum
set forth in measurable terms the extent to which the strategy
will accomplish the economic development priorities of the
{ - region. - } { + community or geographic region, and the
department's performance standards. + }
{ - (3) The department, in collaboration with counties, shall
establish regions, based on information and advice received from
county governing bodies and on historical, cultural and economic
links among counties. Unless there is a recognized regional
partnership, a region shall consist of at least two contiguous
counties. For any area in which a regional partnership is
established, the department may accept the regional boundaries
designated by the partnership. - }
{ - (4) The department shall require each region to examine
its economic development needs. - }
SECTION 79. ORS 285B.260 is amended to read:
285B.260. (1) There is created a { - Regional Investment - }
{ + Local Economic Opportunity + } Fund, separate and distinct
from the General Fund, to consist of all moneys credited thereto,
including moneys from the Administrative Services Economic
Development Fund, and all interest earned on the { - Regional
Enrolled House Bill 2152 (HB 2152-C) Page 43
Investment - } { + Local Economic Opportunity + } Fund. The
fund is continuously appropriated to the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department + } to be used for grants
to implement ORS 280.518 and 285B.230 to 285B.269.
(2) The department may use moneys in the { - Regional
Investment - } { + Local Economic Opportunity + }Fund to pay
for the administrative expenses of operating the
{ - regional - } { + local + } investment program under ORS
285B.230 to 285B.269.
(3) The fund shall not be used to retire any debt, to reimburse
any person or municipality for expenditures made or expenses
incurred prior to the adoption of a { - regional investment - }
{ + local economic development + } strategy or to substitute for
local government expenditures for existing and continuing public
services. The department shall adopt rules to carry out the
provisions of this subsection.
(4) After consulting with { - regional boards and - }
representatives of { - rural - } communities { + or
geographic areas + }, the department, by rule, shall adopt
standards, objectives and criteria for the use and distribution
of moneys in the { - Regional Investment - } { + Local
Economic Opportunity + }Fund.
(5) The { - Regional Investment - } { + Local Economic
Opportunity + } Fund is created to provide a flexible funding
source for financing those locally determined programs and
projects that may not be eligible for financing through other
state and federal funding sources.
SECTION 80. ORS 285B.266 is amended to read:
285B.266. (1) There is created a Strategic Reserve Fund,
separate and distinct from the General Fund, to consist of all
moneys credited thereto, including moneys from the Administrative
Services Economic Development Fund, and all interest earned on
the Strategic Reserve Fund. The fund is continuously appropriated
to the { - Economic and Community Development Department - }
{ + Oregon Business Development Department + } to be used to
implement statewide strategies for economic development.
(2) The fund shall not be used to retire any debt or, except
upon approval of the Joint Ways and Means Committee or, if the
Legislative Assembly is not in session, the Emergency Board, to
pay administrative expenses of the department. Expenses that are
project related shall not be considered to be administrative
expenses of the department.
(3) The department is directed to place particular emphasis on
investments that assist communities, businesses or industries in
cost-effective projects that assist the creation, expansion and
preservation of the principal traded sector industries of Oregon
and encourage diversification and preservation of regional
economies. The fund shall be used to assist economic and
community development projects of public entities, industry
groups or businesses with significant long-term, regional or
statewide economic impacts, to provide interim financing
mechanisms to augment existing public or private sector programs
or to analyze statewide, long-term economic issues and
opportunities.
SECTION 81. ORS 285B.283 is amended to read:
285B.283. The Legislative Assembly declares that it is the
policy of the State of Oregon:
Enrolled House Bill 2152 (HB 2152-C) Page 44
(1) Working with private firms, industry associations and
others, to encourage cooperative sector-based strategies to
promote industrial competitiveness.
(2) That programs to develop particular { + industry + }
sectors of this state's economy, to the maximum extent feasible,
include firms of all sizes. To promote that policy, the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department + } shall undertake
efforts as are necessary to { - ensure - } { + encourage + }
representative participation by small firms under ORS 285B.280 to
285B.286.
(3) To emphasize industry development in those sectors of the
economy in which Oregon firms face national and international
competition.
(4) To provide an adequate supply of industrial and traded
sector sites that are available for immediate development.
SECTION 82. ORS 285B.286 is amended to read:
285B.286. For traded sector industries, the { - Economic and
Community Development Department - } { + Oregon Business
Development Department + } shall undertake industry development
activities that may include, but are not limited to, all of the
following:
(1) Focus groups and other meetings and related studies to
identify traded sector industry members and issues of common
concern within an industry.
(2) State technical and financial support for formation of
industry associations, publication of association directories and
related efforts to create or expand the activities of industry
associations.
(3) Helping establish research consortia { + as well as
partnering with universities and other research institutions to
assist in the retention and recruitment of targeted
industries + }.
(4) Joint training and education programs and curricula related
to the specific needs of traded sector industries.
(5) Cooperative market development activities.
(6) Analysis of the need, feasibility and cost for establishing
product certification and testing facilities and services.
(7) State technical and financial support to facilitate
certification of sites as ready for development for traded sector
industry. The support may include performing site assessments to
determine the costs associated with development of individual
sites.
{ + (8) Assistance to traded sector and cluster affiliated
Oregon businesses and consortia in making investments that
advance industry-related development activities or other
identified competitiveness objectives of existing Oregon cluster
businesses. + }
SECTION 83. ORS 285B.290 is amended to read:
285B.290. The Industry { - Outreach - } { +
Competitiveness + } Fund is established in the State Treasury,
separate and distinct from the General Fund. The Industry
{ - Outreach - } { + Competitiveness + } Fund shall consist of
all moneys credited to the fund, including moneys from the
Administrative Services Economic Development Fund. Interest
earned by the Industry { - Outreach - } { +
Competitiveness + } Fund shall be credited to the fund. Moneys in
the fund are continuously appropriated to the { - Economic and
Community Development Department - } { + Oregon Business
Enrolled House Bill 2152 (HB 2152-C) Page 45
Development Department + } { - for all of the following
purposes: - }
{ - (1) - } to provide funds for activities outlined in ORS
{ - 285B.266 - } { + 285B.286 + }.
{ - (2) To assist traded sector and cluster affiliated Oregon
businesses and consortia in making investments that advance
industry related development activities or other identified
competitiveness objectives of existing Oregon cluster
businesses. - }
SECTION 84. ORS 285B.323 is amended to read:
285B.323. As used in ORS 285B.320 to 285B.371, unless the
context requires otherwise:
(1) 'Bond' or 'revenue bond' means a revenue bond, as defined
in ORS 286A.001.
(2) 'Economic development project' includes any properties,
real or personal, used or useful in connection with a revenue
producing enterprise, an exempt facility or a nonprofit entity,
and vehicles, rolling stock or equipment related to an
enterprise, facility or entity. 'Economic development project'
does not include any facility or facilities designed primarily
for the generation, transmission, sale or distribution of
electrical energy.
(3) 'Eligible project' means an economic development project
found by the { - Oregon Economic and Community Development
Commission - } { + Oregon Business Development Commission + }
to meet standards of the commission. The commission may treat as
a single eligible project for bonding purposes any number of
economic development projects determined to be eligible projects.
(4) 'Exempt facility' means any facility described in section
142(a) of the Internal Revenue Code of 1986, as amended and in
effect as of June 30, 2007. If section 142(a) of the Internal
Revenue Code of 1986 is amended or altered on or after July 1,
2007, the { - Economic and Community Development Department - }
{ + Oregon Business Development Department + } may adopt by
rule a definition of 'exempt facility' that is consistent with
section 142(a) of the Internal Revenue Code of 1986 as amended or
altered.
(5) 'Nonprofit entity' means an institution, organization or
other entity exempt from taxation under section 501(c)(3) of the
Internal Revenue Code of 1986, as amended and in effect as of
June 30, 2007. If section 501(c)(3) of the Internal Revenue Code
of 1986 is amended or altered on or after July 1, 2007, the
department may adopt a definition of 'nonprofit entity' that is
consistent with section 501(c)(3) of the Internal Revenue Code of
1986 as amended or altered.
SECTION 85. ORS 285B.326 is amended to read:
285B.326. (1) Upon determining that an economic development
project is an eligible project, the { - Oregon Economic and
Community Development Commission - } { + Oregon Business
Development Commission + } shall request that the State Treasurer
issue the bonds.
(2) The commission shall collect fees set forth in rules
established by the { - Economic and Community Development
Department. - } { + Oregon Business Development Department. + }
Moneys collected under this subsection shall be deposited in the
Oregon
{ - Community Development Fund - } { + Business, Innovation
and Trade Fund + } created under ORS 285A.227 and are
continuously appropriated to the commission for the purpose of
Enrolled House Bill 2152 (HB 2152-C) Page 46
administration or funding of the Oregon Industrial Development
Revenue Bond and Express Bond Program.
(3)(a) In addition to the fees described in subsection (2) of
this section, the commission may charge and receive reimbursement
for expenses incurred in:
(A) The initial review of an application for economic
development projects sought to be declared eligible for
financing; and
(B) Matters arising after the issuance of a bond.
(b) Reimbursement for expenses under this subsection shall be
charged and received in accordance with rules established by the
department.
SECTION 86. ORS 285B.329 is amended to read:
285B.329. (1) The state, acting through the State Treasurer,
shall not undertake to finance any economic development project
pursuant to ORS 285B.320 to 285B.371 before the { - Oregon
Economic and Community Development Commission - } { + Oregon
Business Development Commission + } has reviewed the project.
(2) The commission is not required to make the determination
and findings described in ORS 285A.055 (1) and (2) if the
economic development project involves an exempt facility and
related vehicles, rolling stock or equipment when the project
does not require any private activity volume cap under ORS
286A.605 to 286A.625.
SECTION 87. ORS 285B.335 is amended to read:
285B.335. (1) In addition to any other powers granted by law or
by charter, the { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
may:
(a) Enter into agreements to finance the costs of an eligible
project by loaning or otherwise making available the proceeds of
bonds authorized by ORS 285B.344 to a person, an agency of the
federal government or state government, as defined in ORS
174.111, under terms and with security approved by the
department;
(b) Lease and sublease eligible projects to a person, an agency
of the federal government or state government, as defined in ORS
174.111, subject to subsection (2) of this section;
(c) Pledge or assign all or part of the revenues of one or more
eligible projects owned or to be acquired by the state to the
holders of bonds issued under this section or to a trustee for
the holders, and segregate the revenues or provide for payment of
the revenues to the trustee.
(d) Mortgage or otherwise encumber eligible projects in favor
of the holders of bonds issued under this section, a trustee for
the holders of the bonds, or an escrow agent, vendor, lender,
other financing party or trustee for the bonds without obligating
the state except with respect to the project;
(e) Make contracts, execute instruments and do what is
necessary or desirable to exercise the powers granted by this
section, to perform the covenants or duties of this state or to
secure the payment of bonds issued under this section. Contracts
that may be made by the state include, but are not limited to,
contracts entered into prior to construction, acquisition or
installation of an eligible project that authorize, subject to
terms and conditions the state finds necessary or desirable, a
lessee to provide for construction, acquisition or installation
of buildings, improvements or equipment to be included in the
project.
Enrolled House Bill 2152 (HB 2152-C) Page 47
(f) Enter into and perform contracts and agreements with
participating institutions for the planning, construction,
installation, acquisition, leasing or financing of facilities of
an eligible project, including a contract or agreement that
establishes a body for the supervision and general management of
the facilities.
(g) Accept loans or grants for the planning, construction,
installation, acquisition, leasing or other provision of an
eligible project from an authorized agency of the federal
government, and enter into agreements with the agency respecting
the loans or grants.
(h) Acquire, own, sell, assign or otherwise hold legal or
equitable title to or an interest in eligible projects or hold
federal tax ownership of eligible projects.
(2) A lease or sublease entered into under subsection (1)(b) of
this section must provide that:
(a) Rents charged for the use of the project are established
and revised as necessary to produce sufficient revenue to allow
for payment of the principal of and interest on bonds issued
under this chapter when due; and
(b) The lessee or sublessee is required to pay:
(A) The expenses of the operation and maintenance of the
project including, but not limited to, adequate insurance on the
project and insurance against liability for injury to persons or
property arising from the operation of the project; and
(B) The taxes and special assessments levied upon the leased or
subleased premises and payable during the term of the lease or
sublease.
(3) During the term of a lease or sublease entered into under
subsection (1)(b) of this section, ad valorem taxes must be
imposed on the real and personal property of the eligible project
in the same manner as the taxes would be imposed if the lessee or
sublessee were the owner of the eligible project.
SECTION 88. ORS 285B.338 is amended to read:
285B.338. In carrying out its duties under ORS 285B.320 to
285B.371, the { - Oregon Economic and Community Development
Commission, - } { + Oregon Business Development Commission + }
acting for and in behalf of the state as its duly authorized
agency, may:
(1) Acquire, construct and hold in whole or in part any lands,
buildings, easements, water and air rights, improvements to lands
and buildings and capital equipment to be located permanently or
used exclusively on such lands or in such buildings, which are
deemed necessary in connection with an eligible project to be
situated within the state, and construct, reconstruct, improve,
better and extend such projects, and enter into contracts
therefor; and
(2) Sell and convey all properties acquired in connection with
eligible projects, including without limitation the sale and
conveyance thereof subject to any mortgage and the sale and
conveyance thereof under an option granted to the lessee of the
eligible project, for such price, and at such time as the state
may determine. However, no sale or conveyance of such properties
shall ever be made in such manner as to impair the rights of
interests of the holder, or holders, or any bonds issued under
the authority of ORS 285B.320 to 285B.371.
SECTION 89. ORS 285B.341 is amended to read:
285B.341. Except as provided in ORS 285B.335 and 285B.338, the
state does not have the power to operate any eligible project as
a business or in any manner whatsoever, and except as provided in
Enrolled House Bill 2152 (HB 2152-C) Page 48
ORS 285B.335 and 285B.338, nothing in ORS 285B.320 to 285B.371
authorizes the state to expend any funds on any eligible project,
other than the revenues of such projects, or the proceeds of
revenue bonds issued hereunder, or other funds granted to the
state for the purposes of an eligible project. For the purpose of
exercising the powers and authority granted under ORS 285B.335 or
285B.338, the state and the { - Oregon Economic and Community
Development Commission - } { + Oregon Business Development
Commission + } are not subject to the requirements of ORS 279.835
to 279.855 or ORS chapter 279A, 279B or 279C.
SECTION 90. ORS 285B.344 is amended to read:
285B.344. (1) At the request of the { - Economic and
Community Development Department, - } { + Oregon Business
Development Department, + } the State Treasurer may issue under
ORS 285B.320 to 285B.371 and ORS chapter 286A bonds secured by
revenues from eligible economic development projects or from
other financing sources to finance or refinance in whole or part
the cost of acquisition, construction, reconstruction,
improvement or extension of projects. The bonds shall be
identified by project. Refunding bonds may be issued to refinance
such bonds.
(2) The department or the State Treasurer may appoint bond
counsel as prescribed under ORS 286A.130.
(3) Any escrow agent, bond registrar, paying agent or trustee,
if any, designated to carry out all or part of the powers
specified in ORS 285B.335 must agree to furnish financial
statements and audit reports for each bond issue.
SECTION 91. ORS 285B.362 is amended to read:
285B.362. The official action authorizing the issuance of bonds
under ORS 285B.320 to 285B.371 to finance or refinance in whole
or in part, the acquisition, construction, installation,
reconstruction, improvement, betterment or extension of any
eligible project may contain covenants, notwithstanding that such
covenants may limit the exercises of powers conferred by ORS
285B.320 to 285B.371 in the following respects and in such other
respects as the { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
may decide:
(1) The rents to be charged for the use of properties acquired,
constructed, installed, reconstructed, improved, bettered or
extended under the authority of ORS 285B.320 to 285B.371;
(2) The use and disposition of the revenues of such projects;
(3) The creation and maintenance of sinking funds and the
regulation, use and disposition thereof;
(4) The creation and maintenance of funds to provide for
maintaining the eligible project and replacement of properties
depreciated, damaged, destroyed or condemned;
(5) The purpose or purposes to which the proceeds of sale of
bonds may be applied and the use and disposition of such
proceeds;
(6) The nature of mortgages or other encumbrances on the
eligible project made in favor of the holder or holders of such
bonds or in favor of any escrow agent, vendor, lender, other
financing party or trustee therefor;
(7) The events of default and the rights and liabilities
arising thereon and the terms and conditions upon which the
holders of any bonds may bring any suit or action on such bonds
or on any coupons appurtenant thereto;
Enrolled House Bill 2152 (HB 2152-C) Page 49
(8) The issuance of other or additional bonds or instruments
payable from or constituting a charge against the revenue of the
eligible project;
(9) The insurance to be carried upon the eligible project and
the use and disposition of insurance moneys;
(10) The keeping of books of account and the inspection and
audit thereof;
(11) The terms and conditions upon which any or all of the
bonds shall become or may be declared due before maturity and the
terms and conditions upon which such declaration and its
consequences may be waived;
(12) The rights, liabilities, powers and duties arising upon
the breach by the municipality or redevelopment agency of any
covenants, conditions or obligations;
(13) The appointing of and vesting in a trustee or trustees of
the right to enforce any covenants made to secure or to pay the
bonds; the powers and duties of such trustee or trustees, and the
limitation of their liabilities;
(14) The terms and conditions upon which the holder or holders
of the bonds, or the holders of any proportion or percentage of
them, may enforce any covenants made under ORS 285B.320 to
285B.371;
(15) A procedure by which the terms of any official action
authorizing bonds or of any other contract with bondholders,
including but not limited to an indenture of trust or similar
instrument, may be amended or abrogated, and the amount of bonds
the holders of which may consent thereto, and the manner in which
such consent may be given; and
(16) The subordination of the security of any bonds issued
under ORS 285B.320 to 285B.371 and the payment of principal and
interest thereof, to the extent deemed feasible and desirable by
the state, to other bonds or obligations of the state issued to
finance the eligible project or that may be outstanding when the
bonds thus subordinated are issued and delivered.
SECTION 92. ORS 285B.371 is amended to read:
285B.371. The state, acting through the { - Oregon Economic
and Community Development Commission - } { + Oregon Business
Development Commission, + } may loan the proceeds of the bonds
authorized by ORS 285B.320 to 285B.371 for eligible projects
without the necessity of the state having any ownership or
leasehold interest in the eligible projects. Loans made pursuant
to this section shall be secured, if at all, to the extent deemed
necessary or desirable by the { - Oregon Economic and Community
Development - } commission.
SECTION 93. ORS 285B.410 is amended to read:
285B.410. As used in ORS 285B.410 to 285B.482, unless the
context requires otherwise:
(1) 'Airport' means:
(a) A runway, taxiway, aircraft parking apron, ramp, auto
parking area, access road, safety area or runway protection zone;
(b) An airport-related facility, including a hangar, terminal,
air traffic control tower or other building;
(c) A signal, navigational aid or traffic control system; or
(d) A fuel tank or other physical airport improvement.
(2)(a) 'Community development project' means a project that
involves strategic planning, training or other technical
assistance as defined by the { - Economic and Community
Development Department - } { + Oregon Business Development
Department + }by rule, and that is aimed at strengthening the
Enrolled House Bill 2152 (HB 2152-C) Page 50
economic development { + , community development + } or
infrastructure priority setting of a municipality or region.
(b) 'Community development project' includes the following
activities:
(A) Developing and managing short-term and long-term projects;
(B) Developing priorities for infrastructure projects;
(C) Strategic planning related to furthering economic { + or
community + } development; or
(D) Training related to economic { + or community + }
development, including training to improve leadership skills,
technical skills or analytical skills, particularly in rural and
distressed areas.
(c) 'Community development project' includes projects that may
encompass a municipality or any part of a municipality and may be
undertaken in cooperation with another municipality.
(3) 'Development project' means a project for the acquisition,
improvement, construction, demolition, or redevelopment of
municipally owned utilities, buildings, land, transportation
facilities or other facilities that assist the economic and
community development of the municipality, including planning
project activities that are necessary or useful as determined by
the { - Economic and Community Development Department. - }
{ + Oregon Infrastructure Finance Authority. + }
(4) 'Direct project management costs' means expenses directly
related to a project that are incurred by a municipality solely
to support or manage a project eligible for assistance under ORS
285B.410 to 285B.482. 'Direct project management costs' does not
include routine or ongoing expenses of the municipality.
(5) 'Emergency project' means a development project resulting
from an emergency as defined in ORS 401.025, to which federal
disaster relief has been committed.
(6) 'Energy system' means a facility necessary for the
distribution, transmission or generation of energy, including but
not limited to facilities powered by wind, solar energy or
biofuel and facilities for the collection, storage, transmission
or distribution of a fuel, including natural gas, methane or
hydrogen.
(7) 'Marine facility' means:
(a) A wharf, dock, freight handling or passenger facility;
(b) A navigation channel or structure, including a project
funded under ORS 777.267; or
(c) Any other physical marine facility improvement.
(8) 'Municipality' means an Oregon city or county, the Port of
Portland created by ORS 778.010, a county service district
organized under ORS chapter 451, a district as defined in ORS
198.010, a tribal council of a federally recognized Indian tribe
in this state or an airport district organized under ORS chapter
838.
(9) 'Planning project' means:
(a) A project related to a potential development project for
preliminary, final or construction engineering;
(b) A survey, site investigation or environmental action;
(c) A financial, technical or other feasibility report, study
or plan; or
(d) An activity that the { - department - }
{ + authority + } determines to be necessary or useful in
planning for a potential development project.
(10) 'Project' means a development, community development,
planning or emergency project.
(11) 'Railroad' means:
Enrolled House Bill 2152 (HB 2152-C) Page 51
(a) A main line, siding, yard, connecting or auxiliary track,
right of way or easement;
(b) An industrial spur or related facility, including a depot,
shop, maintenance building or other building;
(c) A signal or traffic control system;
(d) A bridge or tunnel;
(e) A dock, pit, conveyor, bin, crane, piping system, tank or
pavement for unloading, loading or transfer of freight, trailers
or containers; or
(f) Any other physical railroad improvement.
(12) 'Road' means a street, highway or thruway or a
road-related structure that provides for continuity of a right of
way, including a bridge, tunnel, culvert or similar structure or
other physical road-related improvement.
(13) 'Rural area' has the meaning given that term in ORS
285A.010.
{ - (14) 'Sewage system' means a facility necessary for
collecting, pumping, treating or disposing of sanitary
sewage. - }
{ - (15) - } { + (14) + } 'Solid waste disposal site' has
the meaning given the term 'disposal site' in ORS 459.005.
{ - (16) 'Storm water drainage system' means a facility
necessary for collecting, controlling, conveying, treating or
disposing of storm water runoff. - }
{ - (17) - } { + (15) + } 'Telecommunications system' means
equipment or a facility for the electronic transmission of voice,
data, text, image or video.
{ - (18) - } { + (16) + } 'Transportation' means a system
for movement of freight or passengers.
{ - (19) - } { + (17) + } 'Utilities' means a solid waste
disposal site or a water, sewage, storm water drainage, energy or
telecommunications system.
{ - (20) 'Water system' means a facility for supplying,
treating or protecting the quality of water and transmitting
water to a point of sale or to any public or private agency for
domestic, municipal, commercial or industrial use. - }
SECTION 94. ORS 285B.413 is amended to read:
285B.413. (1) The Legislative Assembly finds that:
(a) The improvement, expansion and new construction of the
state's { - water and sewage systems, telecommunications
systems, roads and public transportation - } { + infrastructure
systems + } provide the basic framework for continuing and
expanding economic activity in this state, thereby
{ - providing jobs - } { + improving the quality of life + }
and economic opportunity for the people of Oregon.
(b) It is essential to maintain usable and developable
industrial and commercial lands in Oregon.
(2) Because municipalities in this state often suffer from a
lack of available financing and technical capacity for these
projects, it is the purpose of ORS 285B.410 to 285B.482 to
provide financial or other assistance to enable municipalities to
construct, improve and repair those facilities that are essential
for supporting continuing and expanded economic activity. It is
the intent of the Legislative Assembly, by providing that
assistance, to stimulate industrial growth and commercial
enterprise and to promote employment opportunities in Oregon.
(3) Moneys in the Special Public Works Fund shall be used
primarily to provide loans to municipalities for development and
planning projects. Grants shall be given only when loans are not
feasible due to the financial need of the municipality or
Enrolled House Bill 2152 (HB 2152-C) Page 52
{ - special circumstances of the project. - } { + under
circumstances that the Oregon Business Development Department
specifies by administrative rule. + } The { - Economic and
Community Development Department - } { + Oregon Infrastructure
Finance Authority + } is authorized to determine the level of
grant or loan funding, if any, on a case-by-case basis.
SECTION 95. ORS 285B.419 is amended to read:
285B.419. (1) The { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
shall adopt rules and policies for the administration of the
Special Public Works Fund. All forms of assistance are subject to
the rules and policies of the department.
(2) The { - department - } { + authority + } shall manage
the Special Public Works Fund and any expenditures from its
accounts and transfers between its accounts so that the fund
provides a continuing source of financing for development or
planning projects consistent with ORS 285B.413.
(3) The { - department - } { + authority + } may commit
moneys in the Special Public Works Fund or reserve future income
to the fund for disbursal in future years under ORS 285B.440. The
{ - department - } { + authority + } shall commit or reserve
moneys under this subsection only after:
(a) Allowing for contingencies;
(b) Finding that there will be sufficient unobligated net
income to the fund to make the future payments, consistent with
the financial requirements of subsections (2) and (3) of this
section; and
(c) Providing in any contract for the commitment that the
liability of the state to make the annual payments shall be
contingent on the availability of moneys in the Special Public
Works Fund.
(4) In assisting municipalities with projects, the
{ - department - } { + authority + } shall cooperate to the
maximum extent possible with other state and federal agencies.
SECTION 96. ORS 285B.422 is amended to read:
285B.422. (1) The { - Economic and Community Development
Department - } { + Oregon Infrastructure Finance Authority + }
may provide financial or other assistance to a municipality for a
development project { - as defined in ORS 285B.410 - } .
(2) The project must be municipally owned and operated either
by the municipality or under a management contract or an
operating agreement with the municipality. If the project
consists:
(a) Solely of the purchase or acquisition of land by the
municipality, the land must be identified in the applicable land
use or capital plan as necessary for a potential development
project or be zoned solely for commercial or industrial use.
(b) Of a privately owned railroad, the railroad must be
designated by the owner and operator as subject to abandonment
within three years, pursuant to federal law governing abandonment
of common carrier railroad lines.
(c) Of a telecommunications system, the governing body of the
municipality shall adopt a resolution, after a public hearing,
finding that the proposed telecommunications system project is
necessary and would not otherwise be provided by a for-profit
entity within a reasonable time and for a reasonable cost.
(3) If the project is an energy system, the municipality and
the serving utility must execute an ownership and operating
agreement for the proposed energy system. This subsection does
Enrolled House Bill 2152 (HB 2152-C) Page 53
not apply when the energy system will be located within the
recognized service territory of the municipality.
(4) The { - department - } { + authority + } may not use
funds to provide assistance for:
(a) Projects that primarily focus on relocating business or
economic activity from one part of the state to another, except
in cases where the business or economic activity would otherwise
locate outside of Oregon; or
(b) Ongoing operations or maintenance expenses.
SECTION 97. Section 32, chapter 773, Oregon Laws 2003, is
amended to read:
{ + Sec. 32. + } { - On the effective date of this 2003
Act, moneys in the Community Facilities Account shall be
transferred to other accounts within the Special Public Works
Fund as designated by the Director of the Economic and Community
Development Department. - } On and after the effective date of
this { - 2003 - } { + 2009 + } Act, all repayments of
financial assistance provided from the Community Facilities
Account shall be credited to the accounts within the Special
Public Works Fund designated by the { - director. - } { +
administrator of the Oregon Infrastructure Finance Authority. + }
SECTION 98. ORS 285B.428 is amended to read:
285B.428. Any municipality may apply for financial or other
assistance from the Special Public Works Fund by submitting a
completed application and related information as required by the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department + } by rule. The
application shall be filed, reviewed and approved or rejected in
accordance with rules adopted by the department.
SECTION 99. ORS 285B.437 is amended to read:
285B.437. (1) If the { - Economic and Community Development
Department - } { + Oregon Infrastructure Finance Authority + }
approves assistance from the Special Public Works Fund for a
project, the
{ - department, - } { + authority, + } on behalf of the
state, and the municipality may enter into a contract to
implement the assistance. The contract shall include:
(a) A provision that the liability of the state under the
contract is contingent upon the availability of moneys in the
Special Public Works Fund for use in the project;
(b) If any portion of the assistance is in the form of a loan
or the purchase of a bond of a municipality, a provision granting
the { - department - } { + authority + } a lien on or a
security interest in the collateral as determined by the
{ - department - } { + authority + } to be necessary to secure
repayment of the loan or bond; and
(c) Other provisions as the { - department - } { +
authority + } considers necessary or appropriate to implement the
assistance.
(2) When the { - department - } { + authority + } approves
financial assistance under ORS 285B.410 to 285B.482 for a
project, the
{ - department - } { + authority + } shall pay moneys for the
project from the Special Public Works Fund in accordance with the
terms of the contract.
(3) Notwithstanding any other provision of law or any
restriction on indebtedness contained in a charter, a
municipality may borrow from the Special Public Works Fund by
entering into a contract with the { - department. - } { +
authority. + } The contract may be repaid from:
Enrolled House Bill 2152 (HB 2152-C) Page 54
(a) The revenues of the project, including special assessment
revenues;
(b) Amounts withheld under ORS 285B.449 (1);
(c) The general fund of the municipality; or
(d) Any other source.
(4) A loan contract authorized under subsection (3) of this
section shall be authorized by an ordinance, order or resolution
adopted by the governing body of the municipality.
SECTION 100. ORS 285B.440 is amended to read:
285B.440. (1)(a) The moneys in the Special Public Works Fund
shall be used primarily to provide loans to municipalities for
projects as defined in ORS 285B.410 to 295B.482. The
{ - Economic and Community Development Department - } { +
Oregon Infrastructure Finance Authority + } may determine the
level of grant or loan funding, if any, on a case-by-case basis.
(b) If the { - department - } { + authority + } approves
funding, the
{ - department - } { + authority + } shall determine a
maximum amount of the loan based upon a reasonable and prudent
expectation of the ability of the municipality to repay the loan.
(c) The loan term may not exceed the usable life of the project
or 25 years from the year of project completion, whichever is
less.
(d) Assistance from the fund for a marine facility project
otherwise funded under ORS 777.267 shall be limited to a loan.
The loan may not exceed the amount of the required local matching
funds.
(2) The { - department - } { + Oregon Business Development
Department + } shall by rule adopt standards for awarding grants
from the Special Public Works Fund. The standards may include the
award of grants as a financial incentive to accomplish the goals
of the Special Public Works Fund, to address special
circumstances of a project or to address the financial need of
the applicant.
(3) The { - department - } { + authority + } may make
grants to a municipality not to exceed $1 million per project or
85 percent of the allowable project costs, whichever is less. For
purposes of this subsection, allowable project costs do not
include capitalized interest, if any.
(4) The { - department - } { + authority + } may not expend
more than one percent of the value of the Special Public Works
Fund in any biennium for grants or direct assistance, if any, for
planning projects and community development projects to
municipalities.
(5) The { - department - } { + authority + } may not expend
more than $2.5 million in any biennium for emergency project
grants. For purposes of this subsection, emergency project grants
include grants for essential community facilities, as defined by
the department by rule after consultation with the League of
Oregon Cities, the Association of Oregon Counties, the Oregon
Ports Representation Group and the Special Districts Association
of Oregon.
(6) Except as otherwise limited by this section, not more than
100 percent of the total cost of a project, including capitalized
interest, shall be financed from the Special Public Works Fund.
SECTION 101. ORS 285B.449 is amended to read:
285B.449. (1) If a municipality fails to comply with a contract
entered into under ORS 285B.410 to 285B.482, the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department + } may seek appropriate
Enrolled House Bill 2152 (HB 2152-C) Page 55
legal remedies to secure any repayment due the Special Public
Works Fund. If any municipality defaults on payments due to the
Special Public Works Fund under ORS 285B.410 to 285B.482, the
State of Oregon may withhold any amounts otherwise due to the
municipality to apply to the indebtedness. The department may
waive this right to withhold.
(2) Moneys withheld under subsection (1) of this section shall
be deposited in the Special Public Works Fund and shall be used
to repay any account in the fund from which funds were expended
to pay obligations upon which the municipality defaulted.
SECTION 102. ORS 285B.455 is amended to read:
285B.455. (1) There is created the Special Public Works Fund,
separate and distinct from the General Fund. { + Interest earned
by the Special Public Works Fund shall be credited to the
fund. + } All moneys credited to the Special Public Works Fund
are appropriated continuously to the { - Economic and Community
Development Department. - } { + Oregon Business Development
Department for the Oregon Infrastructure Finance Authority for
the purposes set forth in this section. + }
(2) The fund shall consist of all moneys credited to the fund,
including:
(a) Moneys appropriated to the fund by the Legislative Assembly
or transferred to the fund by the { - Oregon Economic and
Community Development Commission; - } { + authority; + }
(b) Earnings on the fund;
(c) Repayment of financial assistance, including interest;
(d) Moneys received from the federal government, other state
agencies or local governments;
(e) Bond proceeds as authorized under ORS 285B.410 to 285B.482
or other law; and
(f) Moneys from any other source, including but not limited to
grants and gifts.
(3) Moneys in the Special Public Works Fund may be invested as
provided by ORS 293.701 to 293.820 and the earnings from the
investments shall be credited to the account in the Special
Public Works Fund designated by the { - department - } { +
authority + }.
(4) The { - department - } { + authority + } shall
administer the Special Public Works Fund.
(5) The { - department - } { + authority + } may establish
other accounts within the Special Public Works Fund for the
payment of project costs, reserves, debt service payments, credit
enhancement, administrative costs and operation expenses or any
other purpose necessary to carry out ORS 285B.410 to 285B.482.
(6) The { - department - } { + authority + } may directly
or indirectly grant, expend or loan moneys in the fund or extend
credit to:
(a) Provide to municipalities any form of financial or other
assistance that the { - department - } { + authority + }
considers appropriate to assist communities with a project,
including the refinancing of temporary project financing.
(b) Purchase goods or services related to a project on behalf
of the municipality.
(c) Provide state funds as a match for federal funds available
for the administration of the Community Development Block Grant
program.
(d) Finance administrative costs of the { - department - }
{ + authority + }pursuant to ORS 285B.410 to 285B.482.
(e) Provide annual grants on behalf of a municipality in the
form of partial repayment to bondholders of amounts owed.
Enrolled House Bill 2152 (HB 2152-C) Page 56
(f) Cover contracts that are issued to guaranty any portion of
the obligation of a municipality to finance a development project
and that are not sold to the State of Oregon. Guaranty contracts
under this paragraph shall be payable solely from moneys in the
Special Public Works Fund, and shall not constitute a debt or
obligation of the State of Oregon. The { - department - } { +
authority + } may, on behalf of the state, establish a special
account in the fund and commit to deposit into the account
specified portions of existing and future allocations to the
fund. The commitments shall be made by rule of the department and
shall constitute covenants of the state for the benefit of the
owners of obligations guaranteed by the state pursuant to this
section.
(7) As used in this section, 'administrative costs ' includes
the { - department's - } { + authority's + } direct and
indirect costs for investigating and processing an application,
developing a contract, monitoring the use of funds by a
municipality, investigating and resolving budget discrepancies,
closing a project and providing financial or other assistance to
a municipality.
SECTION 103. ORS 285B.460 is amended to read:
285B.460. (1) The { - Economic and Community Development
Department - } { + Oregon Infrastructure Finance Authority + }
may provide financial or other assistance to a municipality for a
planning project { - as defined in ORS 285B.410 - } .
(2) The planning project may be a stand-alone project.
(3) The planning project may include an environmental action on
a brownfield. For purposes of this subsection:
(a) 'Brownfield' has the meaning given that term in ORS
285A.185.
(b) 'Environmental action' has the meaning given that term in
ORS 285A.188.
SECTION 104. ORS 285B.462 is amended to read:
285B.462. (1) The { - Economic and Community Development
Department - } { + Oregon Infrastructure Finance Authority + }
may provide financial or other assistance to a municipality for
an emergency project { - as defined in ORS 285B.410 - } .
(2) The { - department - } { + authority + } may award
grant funding to an emergency project only if federal disaster
relief assistance has been committed for the emergency project.
(3) Assistance from the Special Public Works Fund for an
emergency project may not exceed the total local matching funds
requirement for the federal disaster relief assistance committed
to the project.
SECTION 105. ORS 285B.465 is amended to read:
285B.465. For purposes of ORS 285B.410 to 285B.482, the
allowable costs of a project include:
(1) Financing costs, including capitalized interest;
(2) Direct project management costs;
(3) Costs of consultant services and expenses;
(4) Construction costs and expenses;
(5) Costs of property acquisition, including any easement or
right of way directly related to and necessary for the project;
(6) Costs of acquiring off-site property for purposes directly
related to the project, such as wetland mitigation; and
(7) Other costs that the { - Economic and Community
Development Department - } { + Oregon Infrastructure Finance
Authority + } determines to be necessary or useful.
SECTION 106. ORS 285B.467 is amended to read:
Enrolled House Bill 2152 (HB 2152-C) Page 57
285B.467. { - (1) The Economic and Community Development
Department shall by rule adopt standards to determine eligibility
for revenue bond financing under ORS 285B.467 to 285B.479 of
development projects that have qualified under ORS 285B.419 to
285B.437 and 285B.449. - }
{ + (1) The Oregon Infrastructure Finance Authority shall
determine eligibility for revenue bond financing under ORS
285B.467 to 285B.479 of development projects that have qualified
under ORS 285B.419 to 285B.437 and 285B.449 pursuant to rules
adopted by the Oregon Business Development Department. + }
(2) { - Upon determining - } { + After a determination is
made + }that a development project is eligible for revenue bond
financing under ORS 285B.467 to 285B.479, the department shall
forward a request for the issuance of revenue bonds to the State
Treasurer, who shall determine whether to issue revenue bonds.
(3) When a project is determined to be eligible for revenue
bond financing under ORS 285B.467 to 285B.479, allowable costs as
described in ORS 285B.465 may be paid from bond proceeds.
(4) Administrative expenses of the { - department - } { +
authority + } in processing applications and investigating
proposed projects and bond sales may not be derived from bond
proceeds.
(5) The { - department - } { + authority + } may pledge all
or any portion of the existing or future assets and receipts of
the Special Public Works Fund to pay debt service on bonds issued
pursuant to ORS 285B.410 to 285B.482. The pledge shall take
effect immediately, without delivery of the pledged funds to
third parties, and the lien of the pledge shall be superior to
all other liens of any nature.
(6) The { - department - } { + authority + } is authorized
to establish separate accounts within the fund for separate bond
issues.
SECTION 107. ORS 285B.470 is amended to read:
285B.470. { - In addition to any other powers granted by law
in relation to a development project, - } The { - Economic and
Community Development Department - } { + Oregon Infrastructure
Finance Authority + } may:
(1) Make all contracts, execute all instruments and do all
things necessary or convenient in the exercise of the powers
granted by this section, or in the performance of its covenants
or duties, or in order to secure the payment of its bonds;
(2) Enter into and perform contracts and agreements with
municipalities as the { - department - } { + authority + }
may consider proper and feasible for or concerning the planning,
construction, installation, lease or other acquisition, and the
financing of projects; and
(3) Enter into covenants for the benefit of bond owners
regarding the use and expenditure of moneys in the Special Public
Works Fund.
SECTION 108. ORS 285B.473 is amended to read:
285B.473. (1) At the request of the { - Economic and
Community Development Department, - } { + Oregon Business
Development Department, + } the State Treasurer may issue under
ORS 285B.467 to 285B.479 and ORS chapter 286A revenue bonds
secured by moneys paid to the Special Public Works Fund pledged
therefor to finance or refinance in whole or part the cost of
acquisition, construction, reconstruction, improvement or
extension of development projects. Refunding bonds may be issued
to refinance the revenue bonds.
Enrolled House Bill 2152 (HB 2152-C) Page 58
(2) The department or the State Treasurer may appoint bond
counsel as prescribed in ORS 286A.130.
SECTION 109. ORS 285B.482 is amended to read:
285B.482. (1) Notwithstanding any other law relating to revenue
bonds issued and sold under ORS 285B.467 to 285B.479 or ORS
285B.572, 285B.575 and 285B.578, revenue bonds may be issued and
sold as parity bonds.
(2) Proceeds of revenue bonds issued and sold under ORS
285B.467 to 285B.479 or ORS 285B.572, 285B.575 and 285B.578,
together with the investment earnings thereon, may be
consolidated into one or more funds or accounts and may be
pledged to the holders of revenue bonds issued to finance water
projects, as defined in ORS 285B.560, or development projects.
(3) Any loan to a municipality made pursuant to ORS 285B.467 to
285B.479, 285B.560 to 285B.569 or 285B.572 to 285B.599, including
loans funded in whole or in part with the proceeds of revenue
bonds and loans funded with moneys in the Water Fund or the
Special Public Works Fund, may be pledged to the holders of
revenue bonds issued to finance water projects or development
projects.
(4) Funds or accounts established by the { - Economic and
Community Development Department - } { + Oregon Business
Development Department + } or the State Treasurer in connection
with the issuance of revenue bonds under ORS 285B.467 to 285B.479
or ORS 285B.572, 285B.575 and 285B.578 and moneys held in the
funds and accounts, together with the investment earnings
thereon, may be consolidated into one or more funds or accounts
and may be pledged to the holders of revenue bonds issued to
finance water projects or development projects.
SECTION 110. ORS 285B.503 is amended to read:
285B.503. (1) There is established in the State Treasury,
separate and distinct from the General Fund, the Oregon Unified
International Trade Fund. { + Interest earned by the Oregon
Unified International Trade Fund shall be credited to the
fund. + } The moneys in the fund are continuously appropriated to
the { - Economic and Community Development Department - } { +
Oregon Business Development Department for the Oregon
Infrastructure Finance Authority + } for:
(a) Paying all or a portion of the costs of:
(A) A project for the extension and improvement of Jackson
County Airport runway.
(B) A project for the extension of a natural gas pipeline to
the Coos Bay and North Bend area from a location near Roseburg.
(C) A project for improvements to the Klamath Falls
International Airport maintained by the City of Klamath Falls.
(b) Transfer to the Oregon Port Revolving Fund created by ORS
285A.708.
(2) A separate account within the Oregon Unified International
Trade Fund shall be established for each project listed in
subsection (1) of this section.
(3) The Oregon Unified International Trade Fund shall consist
of moneys allocated to the fund under section 9, chapter 644,
Oregon Laws 1997, and such other moneys as may be appropriated to
the fund by the Legislative Assembly, including interest on such
moneys.
SECTION 111. ORS 285B.506 is amended to read:
285B.506. (1) { - After July 25, 1997, the Director of the
Economic and Community Development Department - } { + The
administrator of the Oregon Infrastructure Finance Authority
+ }shall enter into a grant agreement with the primary sponsor
Enrolled House Bill 2152 (HB 2152-C) Page 59
of a project listed in ORS 285B.503 that commits the State of
Oregon to make the deposits specified in section 9, chapter 644,
Oregon Laws 1997, and commits the { - Economic and Community
Development Department - } { + Oregon Infrastructure Finance
Authority + } to pay those deposits, plus earnings, to the
primary sponsor as soon as funds are available in the appropriate
account of the Oregon Unified International Trade Fund and are
required by the primary sponsor for payment of project costs.
Notwithstanding any other law, the commitment of the State of
Oregon and the { - department - } { + authority + } under
this section shall be conditioned solely on receipt by this state
of unobligated net lottery proceeds sufficient to make the
deposits specified in section 9, chapter 644, Oregon Laws 1997.
(2) The total amount paid to the primary sponsor under the
grant agreement shall not exceed the amount deposited in the
appropriate account for the sponsor's project in the Oregon
Unified International Trade Fund, plus any interest earnings on
the amounts in the account. The grant agreement shall:
(a) Pledge the unobligated net lottery proceeds to pay the
amounts due to the primary sponsor under the grant agreement;
(b) Specify the administrative procedures for making payments
to the primary sponsor;
(c) Provide for notification to the { - director - }
{ + administrator + } if the primary sponsor determines that it
is unable to undertake the project;
(d) Allow assignment of the right to receive amounts payable
under the grant agreement to third parties;
(e) Obligate the primary sponsor to remit any unexpended grant
funds and any earnings thereon to the State of Oregon after the
sponsor's project is complete and all its costs have been paid;
and
(f) Contain other terms and conditions that are necessary or
appropriate, as determined by the { - Director of the Economic
and Community Development Department, - } { +
administrator, + } to implement ORS 285B.500 to 285B.512 and
section 9, chapter 644, Oregon Laws 1997, to protect the
interests and investments of the State of Oregon in the projects
specified in ORS 285B.503.
(3) The grant agreement, when executed by the
{ - director - } { + administrator + } and accepted by the
primary sponsor { + , + } shall be a valid, binding and
irrevocable contractual obligation of the State of Oregon in
accordance with its terms. However, amounts due under the grant
agreement shall be payable solely from the unobligated net
lottery proceeds required by section 9, chapter 644, Oregon Laws
1997, to be deposited in the appropriate account in the Oregon
Unified International Trade Fund.
(4) The primary sponsor may pledge or assign its right to
receive amounts due under the grant agreement as security for any
contractual obligation the primary sponsor undertakes to pay or
finance costs of the project. Any pledge or assignment authorized
by ORS 285B.500 to 285B.515 and 777.277 to 777.287 and section 9,
chapter 644, Oregon Laws 1997, shall be valid and binding upon
the primary sponsor, the { - Economic and Community Development
Department, - } { + authority, + } the State of Oregon and all
other persons from the date it is made. The unobligated net
lottery proceeds so pledged shall be immediately subject to the
lien of the pledge without physical delivery, filing or other
act, and the lien of the pledge shall be superior to all other
claims and liens of any kind whatsoever. Upon notice from the
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primary sponsor that it has pledged the unobligated net lottery
proceeds or assigned the right to receive amounts due under the
grant agreement, the { - department - } { + authority + }
shall fully cooperate with the primary sponsor and the pledgee or
assignee to give effect to the pledge or assignment, including
but not limited to acknowledging in writing to the primary
sponsor and the pledgee or assignee the existence and validity of
the pledge or assignment and agreeing that amounts due under the
grant agreement shall be paid to the pledgee or assignee or into
the custodial accounts established for the benefit of the pledgee
or assignee.
(5) The grant agreement shall not contain provisions or be
construed or enforced in any manner that may cause the grant
agreement to constitute a debt or liability of the state that
violates section 7, Article XI of the Oregon Constitution.
SECTION 112. ORS 285B.512 is amended to read:
285B.512. (1) The deposit of unobligated net lottery proceeds
to an account in the Oregon Unified International Trade Fund
shall cease if and when the { - Director of the Economic and
Community Development Department - } { + administrator of the
Oregon Infrastructure Finance Authority + } certifies in writing
that deposits are no longer required because:
(a) Sufficient funds are on hand in the account to pay all
amounts required to be paid under the grant agreement;
(b) All amounts required to be paid under the grant agreement
have been paid; or
(c) The primary sponsor has notified the { - director - }
{ + administrator + } pursuant to the grant agreement that the
primary sponsor is unable to undertake the project.
(2) Upon receipt of the { - director's - } { +
administrator's + } written certification pursuant to subsection
(1) of this section, the State Treasurer shall thereafter credit
any amounts remaining in the account that are not required to pay
amounts due under the grant agreement, and any lottery revenues
that otherwise would have been deposited in the account under
section 9, chapter 644, Oregon Laws 1997, to the Administrative
Services Economic Development Fund. In addition, any unexpended
grant funds and earnings which are remitted to the State of
Oregon pursuant to the grant agreement shall be credited to the
Administrative Services Economic Development Fund.
SECTION 113. ORS 285B.515 is amended to read:
285B.515. As used in ORS 285B.500 to 285B.512 and section 9,
chapter 644, Oregon Laws 1997, 'primary sponsor' or 'project
sponsor' means a city, county, agency or person who acts as a
financial contributor to a project listed in ORS 285B.503, as
determined by the { - Economic and Community Development
Department - } { + Oregon Infrastructure Finance Authority + }
in a grant agreement under ORS 285B.506.
SECTION 114. ORS 285B.533 is amended to read:
285B.533. (1) Infrastructure lottery bonds shall be issued
under ORS 286A.560 to 286A.585 only at the request of the
{ - Director of the Economic and Community Development
Department. - } { + Director of the Oregon Business Development
Department. + } Infrastructure lottery bonds may be issued in an
amount sufficient to provide no more than $6 million of net
proceeds to pay costs of infrastructure projects, plus the
amounts required to pay bond-related costs.
(2) The net proceeds from the sale of the infrastructure
lottery bonds shall be allocated to the { - Economic and
Community Development Department - } { + Oregon Business
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Development Department for the Oregon Infrastructure Finance
Authority + } for the State of Oregon's match of federal moneys
under the Safe Drinking Water Act.
(3) The net proceeds from the sale of the infrastructure
lottery bonds that are available to pay costs of infrastructure
projects shall be credited to the Water Fund created by ORS
285B.563. All such net proceeds are appropriated continuously to
the { - Economic and Community Development Department - } { +
Oregon Business Development Department for the authority + } only
for payment of costs of infrastructure projects described in
subsection (2) of this section and for payment of bond-related
costs that are allocable to infrastructure lottery bonds.
(4) The { - Economic and Community Development Department - }
{ + authority + } and any municipality receiving proceeds of
infrastructure lottery bonds shall, if so directed by the Oregon
Department of Administrative Services, take any action specified
by the Oregon Department of Administrative Services that is
necessary to maintain the excludability of lottery bond interest
from gross income under the United States Internal Revenue Code.
SECTION 115. ORS 285B.551 is amended to read:
285B.551. (1) Pursuant to ORS 286A.560 to 286A.585, lottery
bonds may be issued:
(a) To provide financial and other assistance, including but
not limited to loans and grants, to municipalities, ports and
other persons and entities in accordance with the laws governing
use of moneys in the Special Public Works Fund created by ORS
285B.455, the Water Fund created by ORS 285B.563, the Safe
Drinking Water Revolving Loan Fund created by ORS 285A.213, the
Oregon Port Revolving Fund created by ORS 285A.708, the
Brownfields Redevelopment Fund created by ORS 285A.188, the
Oregon Business Development Fund created by ORS 285B.092 and the
Marine Navigation Improvement Fund created by ORS 777.267.
(b) To fund Oregon's share of the costs of the Columbia River
channel deepening project.
(c) To fund Oregon's share of the costs of studies and
ecosystem restoration projects in the lower Columbia River
estuary designed to improve habitat for listed endangered or
threatened species of Columbia River anadromous salmonids.
(2) The use of lottery bond proceeds is authorized based on the
following findings:
(a) The financial and other assistance to municipalities, ports
and other persons and entities will assist in the establishment
and expansion of businesses in Oregon and in the construction,
improvement and expansion of infrastructure, community and port
facilities and other facilities that comprise the physical
foundation for industrial and commercial activity and provide the
basic framework for continued and expanded economic opportunities
and quality communities throughout Oregon.
(b) The Columbia River channel deepening project is necessary
to allow newer, larger steamships access to Oregon and Washington
deep draft ports. A deeper shipping channel will allow the
Columbia River to continue as a world leader in agricultural
exports and as a key trade corridor for farms and businesses
throughout Oregon and the region.
(c) Such financial and other assistance to municipalities,
ports and other persons and entities and the deepening of the
Columbia River channel will therefore promote economic
development within this state, and thus the use of net proceeds
derived from the operation of the Oregon State Lottery to pay
debt service on lottery bonds issued under this section to
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provide such financial and other assistance to municipalities,
ports and other persons and entities and to pay a portion of the
costs of deepening the Columbia River channel is an authorized
use of state lottery funds under section 4, Article XV of the
Oregon Constitution, and ORS 461.510.
(d) The current lower Columbia River estuary habitat for listed
endangered or threatened species of Columbia River anadromous
salmonids could be improved through ecosystem restoration
projects. The use of the Oregon State Lottery to pay debt service
on lottery bonds issued under this section to pay for studying
how the estuary could be improved and to pay for ecosystem
restoration projects are authorized uses of state lottery funds.
(3) { + (a) + } The aggregate principal amount of lottery bonds
issued pursuant to subsection (1)(a) of this section for
financial and other assistance to municipalities, ports and other
persons and entities may not exceed the sum of $248.7 million and
an additional amount estimated by the State Treasurer to be
necessary to pay bond-related costs. The aggregate principal
amount of lottery bonds issued pursuant to subsection (1)(b) of
this section for the Columbia River channel deepening project may
not exceed the sum of $17.7 million and an additional amount
estimated by the State Treasurer to be necessary to pay
bond-related costs.
{ + (b) + } Lottery bonds issued { - pursuant to - } { +
under + } this section may be issued only at the request of
{ - the Director of the Economic and Community Development
Department. - } { + the Director of the Oregon Business
Development Department.
(c) + } The director may not request the issuance of lottery
bonds { - pursuant to - } { + under + } subsection (1)(b) of
this section until a final environmental impact statement has
been issued and a record of decisions has been submitted to
Congress by the United States Army Corps of Engineers, Congress
has authorized the Columbia River channel deepening project, and
the Washington sponsors' shares of the costs of the Columbia
River channel deepening project have been committed.
(4) The net proceeds of lottery bonds issued pursuant to
subsection (1)(a) and (b) of this section shall be deposited in
the Economic Infrastructure Project Fund, which is hereby
established in the State Treasury separate and distinct from the
General Fund. { + Interest earned by the Economic Infrastructure
Project Fund shall be credited to the fund. + } All moneys in the
Economic Infrastructure Project Fund are continuously
appropriated to the { - Economic and Community Development
Department - } { + Oregon Business Development Department
+ }for any purpose for which moneys in the Special Public Works
Fund created by ORS 285B.455 may be used, any purpose for which
moneys in the Water Fund created by ORS 285B.563 may be used, any
purpose for which moneys in the Safe Drinking Water Revolving
Loan Fund created by ORS 285A.213 may be used, any purpose for
which moneys in the Oregon Port Revolving Fund created by ORS
285A.708 may be used, any purpose for which moneys in the
Brownfields Redevelopment Fund created by ORS 285A.188 may be
used, any purpose for which moneys in the Oregon Business
Development Fund created by ORS 285B.092 may be used and any
purpose for which moneys in the Marine Navigation Improvement
Fund created by ORS 777.267 may be used. The Director of the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department + } shall allocate the
moneys deposited in the Economic Infrastructure Project Fund for
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the purposes described in this subsection in accordance with the
priorities developed by the Oregon { - Economic and
Community - } { + Business + } Development Commission in
accordance with ORS 285A.020. However, the director shall
transfer from the Economic Infrastructure Project Fund and
deposit into the Channel Deepening Account of the Marine
Navigation Improvement Fund the proceeds of any lottery bonds
sold to finance a portion of the costs of the Columbia River
channel deepening project. Upon determining the relative
allocation of moneys deposited in the Economic Infrastructure
Project Fund among the purposes described in this subsection, the
director shall transfer from the Economic Infrastructure Project
Fund, and deposit into each of the other funds described in this
subsection, the amounts so allocated. Notwithstanding any other
provision of law governing the funds described in this
subsection, the funds described in this subsection may be
credited with moneys transferred from the Economic Infrastructure
Project Fund by the director in accordance with this subsection.
(5) The aggregate principal amount of lottery bonds issued
pursuant to subsection (1)(c) of this section for the costs of
studies and ecosystem restoration projects in the lower Columbia
River estuary may not exceed the sum of $750,000 and an
additional amount estimated by the State Treasurer to be
necessary to pay bond-related costs. The net proceeds of lottery
bonds issued pursuant to subsection (1)(c) of this section shall
be deposited in the { - Oregon Community Development Fund - }
{ + Oregon Business, Innovation and Trade Fund + } created by
ORS 285A.227 and may be used only for the Oregon nonfederal share
of United States Army Corps of Engineers Columbia River estuary
projects authorized by Congress prior to August 9, 2001. The
director may not request the issuance of lottery bonds
{ - pursuant to - } { + under + } subsection (1)(c) of this
section until Congress and Washington have authorized their
respective shares of the costs of the studies and ecosystem
restoration projects in the lower Columbia River estuary.
(6) The proceeds of lottery bonds issued pursuant to this
section may be used only for the purposes set forth in this
section and for bond-related costs.
SECTION 116. Section 2, chapter 756, Oregon Laws 2005, is
amended to read:
{ + Sec. 2. + } The aggregate principal amount of lottery
bonds issued pursuant to section 4 { + , chapter 756, Oregon Laws
2005, + } { - of this 2005 Act - } to assist in the funding of
the construction of a new passenger terminal at the North Bend
Airport may not exceed the sum of $10 million and an additional
amount estimated by the State Treasurer to be necessary to pay
bond-related costs. Lottery bonds issued pursuant to section
4 { + , chapter 756, Oregon Laws 2005, + }
{ - of this 2005 Act - } shall be issued only at the request
of { - the Director of the Economic and Community Development
Department. - } the Director { + of the Oregon Business
Development Department. The director + } may not request the
issuance of lottery bonds pursuant to section 4 { + , chapter
756, Oregon Laws 2005, + } { - of this 2005 Act - } until the
executive director of the Coos County Airport District certifies
in writing that all necessary permits for the proposed
construction have been obtained by the airport district and has
provided documentation to the { - Director of the Economic and
Community Development Department - } { + Director of the Oregon
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Business Development Department + } that verifies that the
district will have sufficient funding to complete the project.
SECTION 117. Section 3, chapter 756, Oregon Laws 2005, is
amended to read:
{ + Sec. 3. + } (1) The North Bend Airport Improvement Fund
is established in the State Treasury, separate and distinct from
the General Fund. The net proceeds of lottery bonds issued
pursuant to section 4 { + , chapter 756, Oregon Laws 2005, + }
{ - of this 2005 Act - } shall be deposited in the fund. All
moneys in the North Bend Airport Improvement Fund are
continuously appropriated to the { - Economic and Community
Development Department - } { + Oregon Business Development
Department for the Oregon Infrastructure Finance Authority + }
for the purpose of providing grants to the Coos County Airport
District to assist in the funding of the construction of a new
passenger terminal at the North Bend Airport. Interest earned on
moneys in the fund shall be credited to the fund.
(2) Subject to subsection (3) of this section, moneys in the
fund shall be made available for distribution to the Coos County
Airport District in the form of grants for the purpose specified
in section 1 { + , chapter 756, Oregon Laws 2005 + } { - of
this 2005 Act - } .
(3) The { - Director of the Economic and Community
Development Department - } { + administrator of the Oregon
Infrastructure Finance Authority + } shall enter into a grant
agreement with the Coos County Airport District that requires the
{ - department - } { + authority + } to disburse the aggregate
amount of $10 million from the fund to the district when:
(a) Moneys are available; and
(b) The executive director of the Coos County Airport District
has provided the documentation required under section 2 { + ,
chapter 756, Oregon Laws 2005 + } { - of this 2005 Act - } .
SECTION 118. Section 4, chapter 756, Oregon Laws 2005, as
amended by section 106a, chapter 783, Oregon Laws 2007, is
amended to read:
{ + Sec. 4. + } (1)(a) For the biennium beginning July 1,
2005, the State Treasurer is authorized to issue lottery bonds
pursuant to ORS { - 286.560 to 286.580 - } { + 286A.560 to
286A.585 + } in the amount of $6 million for payment of grants to
the Coos County Airport District related to the construction of a
passenger terminal facility at the North Bend Airport, plus an
additional amount estimated by the State Treasurer for payment of
bond-related costs of the { - Economic and Community
Development Department - } { + Oregon Business Development
Department, the Oregon Infrastructure Finance Authority + } and
the State Treasurer.
(b) For the biennium beginning July 1, 2007, the State
Treasurer is authorized to issue lottery bonds pursuant to ORS
{ - 286.560 to 286.580 - } { + 286A.560 to 286A.585 + } in
the amount of $4 million for payment of grants to the Coos County
Airport District related to the construction of a passenger
terminal facility at the North Bend Airport, plus an additional
amount estimated by the State Treasurer for payment of
bond-related costs of the { - Economic and Community
Development Department - } { + Oregon Business Development
Department, the Oregon Infrastructure Finance Authority + } and
the State Treasurer.
(2)(a) Net proceeds of lottery bonds issued under subsection
(1)(a) of this section, in the amount of $6 million, shall be
deposited in the North Bend Airport Improvement Fund established
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by section 3, chapter 756, Oregon Laws 2005, not later than
December 15, 2005.
(b) Net proceeds of lottery bonds issued under subsection
(1)(b) of this section, in the amount of $4 million, shall be
deposited in the North Bend Airport Improvement Fund established
by section 3, chapter 756, Oregon Laws 2005, not later than
December 15, 2007.
SECTION 119. Section 7, chapter 746, Oregon Laws 2007, is
amended to read:
{ + Sec. 7. + } (1) Notwithstanding ORS { - 286.505 to
286.545 - } { + 286A.035 + } for the biennium beginning July 1,
2007, at the request of the
{ - Director of the Economic and Community Development
Department, - } { + Director of the Oregon Business Development
Department, + } the State Treasurer is authorized to issue
lottery bonds pursuant to ORS
{ - 286.560 to 286.580 - } { + 286A.560 to 286A.585 + } in
the amount of $7 million for payment of the expenses of the City
of Hillsboro for the establishment of the City of Hillsboro
Downtown Parking Facility, plus an additional amount to be
estimated by the State Treasurer for payment of bond-related
costs incurred by the
{ - Economic and Community Development Department, - } { +
Oregon Business Development Department, the Oregon Infrastructure
Finance Authority, + } the Oregon Department of Administrative
Services and the State Treasurer.
(2) The bond-related costs incurred by the { - Economic and
Community Development Department, - } { + Oregon Business
Development Department, the Oregon Infrastructure Finance
Authority, + } the Oregon Department of Administrative Services
and the State Treasurer for the lottery bonds authorized by this
section shall be paid from the gross proceeds of the lottery
bonds, from allocations for the purposes of ORS { - 286.576
(1)(c) - } { + 286A.576 (1)(c) + } or from moneys in the City
of Hillsboro Downtown Parking Facility Fund established under
section 9 { + , chapter 746, Oregon Laws 2007 + } { - of this
2007 Act - } .
SECTION 120. Section 9, chapter 746, Oregon Laws 2007, is
amended to read:
{ + Sec. 9. + } (1) The City of Hillsboro Downtown Parking
Facility Fund is established separate and distinct from the
General Fund. The moneys in the City of Hillsboro Downtown
Parking Facility Fund and the interest earnings of the fund are
continuously appropriated to the { - Economic and Community
Development Department - } { + Oregon Business Development
Department for the Oregon Infrastructure Finance Authority + }
for the purpose described in subsection (2) of this section, for
payment of the { - department's - } { + authority's + }
expenses incurred for entering into, modifying and administering
the grant agreement authorized by this section in an amount up to
$36,000 and for payment of bond-related costs. The fund consists
of moneys deposited in the fund under section 7 { + , chapter
746, Oregon Laws 2007 + } { - of this 2007 Act - } , and may
include fees, moneys or other revenues available for payment of
expenses of establishing the facility.
(2) Subject to subsection (3) of this section, moneys in the
fund shall be available for immediate distribution to the City of
Hillsboro to pay the expenses of the facility.
(3) The { - Director of the Economic and Community
Development Department - } { + administrator of the Oregon
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Infrastructure Finance Authority + } shall enter into a grant
agreement with the City of Hillsboro that requires:
(a) The city to agree in the grant agreement authorized by this
section:
(A) To indemnify the state government, as defined in ORS
174.111, to the fullest extent permitted by law for any liability
the state government might incur in connection with a borrowing
by the city for the facility.
(B) Not to request or accept moneys from the state General Fund
for the facility.
(C) To refund the difference to the { - director - } { +
administrator + } for deposit in the City of Hillsboro Downtown
Parking Facility Fund if, upon completion of the facility, the
aggregate expenditure of state and local moneys is less than $8.6
million.
(b) The { - department - } { + authority + } to disburse,
over the course of the development of the facility, an aggregate
amount of $7 million to the City of Hillsboro from the City of
Hillsboro Downtown Parking Facility Fund when:
(A) Moneys are available;
(B) The { - director - } { + administrator + } determines
that the city has entered into one or more contracts that have an
aggregate value of at least $16 million for final design,
construction or acquisition of components of the facility; and
(C) The { - director - } { + administrator + } determines
that the city has provided documentation that it will have
sufficient financing to complete the facility.
(4) If, on or before June 30, 2008, the { - director - }
{ + administrator + } has not distributed bond proceeds to the
City of Hillsboro under the requirements of this section and the
grant agreement, the { - director - } { + administrator + }
shall:
(a) Evaluate the likelihood that the bond proceeds will be
distributed before June 30, 2009; and
(b) Report the findings of the evaluation to the Oregon
Department of Administrative Services and the State Treasurer on
or before September 1, 2008.
SECTION 121. ORS 285B.560 is amended to read:
285B.560. As used in ORS 285B.560 to 285B.599:
{ - (1) 'Department' means the Economic and Community
Development Department. - }
{ - (2) - } { + (1) + } 'Direct project management costs'
means new expenses incurred by a municipality solely to support,
plan for and manage an infrastructure project, funded in whole or
in part through financial assistance under ORS 285B.560 to
285B.599, during the planning and construction phases of the
project.
{ - (3) - } { + (2) + } 'Fund' means the Water Fund.
{ - (4) - } { + (3) + } 'Municipality' has the meaning
given that term in ORS 285B.410.
{ - (5) - } { + (4) + } 'Safe drinking water project' means
a project for constructing or improving a drinking water system
or a water development project, as defined in ORS 541.700 (6)(a),
(b) and (d) to (f), that is owned and operated by a municipality.
{ - (6) - } { + (5) + } 'Waste water system improvement
project' means a project for constructing or improving a system
for waste water collection or treatment, including storm drainage
systems.
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{ - (7) - } { + (6) + } 'Water project' means a safe
drinking water project or a waste water system improvement
project.
SECTION 122. ORS 285B.563 is amended to read:
285B.563. (1) There is established in the State Treasury,
separate and distinct from the General Fund, the Water Fund.
{ + Interest earned by the Water Fund shall be credited to the
fund. + } All moneys in the Water Fund are continuously
appropriated to the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department for the Oregon
Infrastructure Finance Authority + } for the purposes described
in ORS 285B.560 to 285B.599, including the direct project
management costs.
(2)(a) Moneys in the Water Fund may be obligated to water
projects.
(b) Moneys shall be used primarily to make loans to
municipalities. The { - department - } { + authority + } may
make a loan only if:
(A) The municipality applying for the loan certifies to the
department that adequate funds will be available to repay the
loan; and
(B) The { - department - } { + authority + } determines
that the amount of the loan applied for is based on a reasonable
and prudent expectation of the municipality's ability to repay
the loan.
(c) The { - department - } { + authority + } may award a
grant { - only - } if a loan is not feasible due to:
(A) Financial hardship to the municipality, as determined by
the { - department, - } { + authority, + } based on
consideration of anticipated water service charges or anticipated
waste water service charges, the per capita income of the
municipality and any other factors as the department by rule may
establish; and
(B) Special circumstances of the water project.
{ + (d) The authority may also award grants from the fund to:
(A) Identify and implement sustainable technologies and
practices;
(B) Build asset management capacity for municipalities;
(C) Plan for strategic initiatives that focus on the
regionalization of water systems; or
(D) Provide third party technical assistance to communities in
the development of water systems that include asset management
components. + }
{ - (d) - } { + (e) + } The { - department - }
{ + authority + } may determine the amount of grant or loan
funding on a case-by-case basis.
(3) The moneys in the fund may also be used to assist the
{ - department - } { + authority + } in selling revenue bonds
on behalf of municipalities in order to carry out the purposes of
ORS 285B.560 to 285B.599.
(4) Moneys in the Water Fund may be invested as provided by ORS
293.701 to 293.820. The earnings from the investments and other
program income shall be credited to the Water Fund.
(5) The Water Fund shall consist of:
(a) Moneys appropriated to the fund by the Legislative
Assembly.
(b) Moneys transferred to the fund by the { - Economic and
Community Development Department - } { + authority + } from the
Special Public Works Fund created by ORS 285B.455.
Enrolled House Bill 2152 (HB 2152-C) Page 68
(c) Moneys transferred to the Water Fund by the Water Resources
Commission from the Water Development Fund created by Article
XI-I(1) of the Oregon Constitution.
(d) Moneys from any federal, state or other grants.
(e) Proceeds of revenue bonds issued under ORS 285B.575.
(f) Earnings on the Water Fund.
(6) The { - department - } { + authority + } shall
administer the fund.
(7) The department shall adopt rules and policies for the
administration of the fund. The department shall coordinate its
rulemaking regarding safe drinking water projects with the Water
Resources Department and the Department of Human Services. The
rules adopted under this subsection for safe drinking water
projects shall:
(a) Require the installation of meters on all new active
service connections from any distribution lines funded with
moneys from the fund or from the proceeds of revenue bonds issued
under ORS 285B.572 to 285B.578.
(b) Require a plan, to be adopted by a municipality receiving
financial assistance from the fund, for installation of meters on
all service connections throughout the drinking water system not
later than two years after the completion of a safe drinking
water project.
(8)(a) The { - Economic and Community Development
Department - } { + authority + } shall manage the Water Fund
and any expenditures from accounts in the fund and transfers
between accounts so that the fund provides a continuing source of
financing consistent with ORS 285B.413.
(b) If necessary to ensure repayment of bonds issued under ORS
285B.560 to 285B.599, the { - department - } { +
authority + } may reduce the value of the fund when the
{ - department - } { + authority + }:
(A) Finds that without a reduction in fund value, bonds secured
by the fund are likely to be in default; and
(B) Imposes a moratorium on grants until the requirements of
paragraph (a) of this subsection are satisfied.
(9)(a) The { - department - } { + authority + } may charge
administrative costs to the fund, but not to moneys segregated in
the account created by subsection (11) of this section, to pay
for administrative costs incurred by the { - department - }
{ + authority + }.
(b) To the extent permitted by federal law, administrative
costs of the { - department - } { + authority + } may be paid
from bond proceeds.
(10) The { - department - } { + authority + } may establish
other accounts within the Water Fund for the payment of water
projects costs, reserves, debt service payments, credit
enhancements, costs of issuing revenue bonds, administrative
costs and operating expenses or any other purpose necessary to
carry out ORS 285B.560 to 285B.599.
(11) There is created within the Water Fund a separate and
distinct account for the proceeds from the sale of water
development general obligation bonds issued for safe drinking
water projects and credited to the special account under this
section. Any investment earnings thereon shall be segregated in
and continuously appropriated to a special, separately accounted
for subaccount of this account. Moneys credited to this account
shall be maintained separate and distinct from moneys credited to
subaccounts created under subsection (10) of this section.
Notwithstanding ORS 285B.566 or subsection (4) of this section,
Enrolled House Bill 2152 (HB 2152-C) Page 69
all repayments of moneys loaned from the account created by this
subsection, including interest on the moneys, shall be credited
to the Water Development Administration and Bond Sinking Fund
created by ORS 541.830.
(12) As used in this section, 'administrative costs ' include
the { - department's - } { + authority's + } direct and
indirect costs for investigating and processing an application,
developing a contract, monitoring the use of funds by a
municipality, investigating and resolving a budget discrepancy,
closing a project and providing financial and other assistance to
a municipality.
SECTION 122a. { + If House Bill 2009 becomes law, section 122
of this 2009 Act (amending ORS 285B.563) is repealed and ORS
285B.563, as amended by section 200, chapter ___, Oregon Laws
2009 (Enrolled House Bill 2009), is amended to read: + }
285B.563. (1) There is established in the State Treasury,
separate and distinct from the General Fund, the Water Fund.
{ + Interest earned by the Water Fund shall be credited to the
fund. + } All moneys in the Water Fund are continuously
appropriated to the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department for the Oregon
Infrastructure Finance Authority + } for the purposes described
in ORS 285B.560 to 285B.599, including the direct project
management costs.
(2)(a) Moneys in the Water Fund may be obligated to water
projects.
(b) Moneys shall be used primarily to make loans to
municipalities. The { - department - } { + authority + } may
make a loan only if:
(A) The municipality applying for the loan certifies to the
department that adequate funds will be available to repay the
loan; and
(B) The { - department - } { + authority + } determines
that the amount of the loan applied for is based on a reasonable
and prudent expectation of the municipality's ability to repay
the loan.
(c) The { - department - } { + authority + } may award a
grant { - only - } if a loan is not feasible due to:
(A) Financial hardship to the municipality, as determined by
the { - department - } { + authority + }, based on
consideration of anticipated water service charges or anticipated
waste water service charges, the per capita income of the
municipality and any other factors as the department by rule may
establish; and
(B) Special circumstances of the water project.
{ + (d) The authority may also award grants from the fund to:
(A) Identify and implement sustainable technologies and
practices;
(B) Build asset management capacity for municipalities;
(C) Plan for strategic initiatives that focus on the
regionalization of water systems; or
(D) Provide third party technical assistance to communities in
the development of water systems that include asset management
components. + }
{ - (d) - } { + (e) + } The { - department - }
{ + authority + } may determine the amount of grant or loan
funding on a case-by-case basis.
(3) The moneys in the fund may also be used to assist the
Enrolled House Bill 2152 (HB 2152-C) Page 70
{ - department - } { + authority + } in selling revenue bonds
on behalf of municipalities in order to carry out the purposes of
ORS 285B.560 to 285B.599.
(4) Moneys in the Water Fund may be invested as provided by ORS
293.701 to 293.820. The earnings from the investments and other
program income shall be credited to the Water Fund.
(5) The Water Fund shall consist of:
(a) Moneys appropriated to the fund by the Legislative
Assembly.
(b) Moneys transferred to the fund by the { - Economic and
Community Development Department - } { + authority + } from the
Special Public Works Fund created by ORS 285B.455.
(c) Moneys transferred to the Water Fund by the Water Resources
Commission from the Water Development Fund created by Article
XI-I(1) of the Oregon Constitution.
(d) Moneys from any federal, state or other grants.
(e) Proceeds of revenue bonds issued under ORS 285B.575.
(f) Earnings on the Water Fund.
(6) The { - department - } { + authority + } shall
administer the fund.
(7) The department shall adopt rules and policies for the
administration of the fund. The department shall coordinate its
rulemaking regarding safe drinking water projects with the Water
Resources Department and the Oregon Health Authority. The rules
adopted under this subsection for safe drinking water projects
shall:
(a) Require the installation of meters on all new active
service connections from any distribution lines funded with
moneys from the fund or from the proceeds of revenue bonds issued
under ORS 285B.572 to 285B.578.
(b) Require a plan, to be adopted by a municipality receiving
financial assistance from the fund, for installation of meters on
all service connections throughout the drinking water system not
later than two years after the completion of a safe drinking
water project.
(8)(a) The { - Economic and Community Development
Department - } { + Oregon Infrastructure Finance Authority + }
shall manage the Water Fund and any expenditures from accounts in
the fund and transfers between accounts so that the fund provides
a continuing source of financing consistent with ORS 285B.413.
(b) If necessary to ensure repayment of bonds issued under ORS
285B.560 to 285B.599, the { - department - } { +
authority + } may reduce the value of the fund when the
{ - department - } { + authority + }:
(A) Finds that without a reduction in fund value, bonds secured
by the fund are likely to be in default; and
(B) Imposes a moratorium on grants until the requirements of
paragraph (a) of this subsection are satisfied.
(9)(a) The { - department - } { + authority + } may charge
administrative costs to the fund, but not to moneys segregated in
the account created by subsection (11) of this section, to pay
for administrative costs incurred by the { - department - }
{ + authority + }.
(b) To the extent permitted by federal law, administrative
costs of the { - department - } { + authority + } may be paid
from bond proceeds.
(10) The { - department - } { + authority + } may establish
other accounts within the Water Fund for the payment of water
projects costs, reserves, debt service payments, credit
enhancements, costs of issuing revenue bonds, administrative
Enrolled House Bill 2152 (HB 2152-C) Page 71
costs and operating expenses or any other purpose necessary to
carry out ORS 285B.560 to 285B.599.
(11) There is created within the Water Fund a separate and
distinct account for the proceeds from the sale of water
development general obligation bonds issued for safe drinking
water projects and credited to the special account under this
section. Any investment earnings thereon shall be segregated in
and continuously appropriated to a special, separately accounted
for subaccount of this account. Moneys credited to this account
shall be maintained separate and distinct from moneys credited to
subaccounts created under subsection (10) of this section.
Notwithstanding ORS 285B.566 or subsection (4) of this section,
all repayments of moneys loaned from the account created by this
subsection, including interest on the moneys, shall be credited
to the Water Development Administration and Bond Sinking Fund
created by ORS 541.830.
(12) As used in this section, 'administrative costs ' include
the { - department's - } { + authority's + } direct and
indirect costs for investigating and processing an application,
developing a contract, monitoring the use of funds by a
municipality, investigating and resolving a budget discrepancy,
closing a project and providing financial and other assistance to
a municipality.
SECTION 123. ORS 285B.572 is amended to read:
285B.572. { - (1) The Economic and Community Development
Department shall adopt by rule standards to determine the
eligibility of a water project for revenue bond financing under
ORS 285B.560 to 285B.599. - }
{ + (1) The Oregon Infrastructure Finance Authority shall
determine eligibility of a water project for revenue bond
financing under ORS 285B.560 to 285B.599 pursuant to rules
adopted by Oregon Business Development Department. + }
(2) Upon determining that a water project is eligible for
revenue bond financing, the { - department - } { + authority
+ }shall forward a description of the project to the State
Treasurer. The State Treasurer shall determine whether to issue
revenue bonds.
SECTION 124. ORS 285B.575 is amended to read:
285B.575. (1) At the request of the { - Economic and
Community Development Department, - } { + Oregon Business
Development Department, + } the State Treasurer may issue in the
name of the State of Oregon revenue bonds secured by moneys paid
to the Water Fund and pledged to finance or refinance in whole or
in part the cost of a water project. The revenue bonds issued
under this section shall be issued in the manner prescribed by
ORS chapter 286A, and refunding bonds may be issued to refinance
the revenue bonds.
(2) The department or the State Treasurer may appoint bond
counsel as prescribed under ORS 286A.130.
SECTION 125. ORS 285B.581 is amended to read:
285B.581. (1) Any loan of moneys to a municipality by the state
shall include a plan for repayment by the municipality of moneys
borrowed from the Water Fund for a water project and interest on
those moneys at a rate expressly specified. The repayment plan:
(a) Shall provide for evidence of debt assurance of, and
security for, repayment by the municipality as is considered
necessary by the { - Economic and Community Development
Department. - } { + Oregon Infrastructure Finance
Authority. + }
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(b) May set forth the allocation of special assessments or
contractual responsibilities among the owners of benefited
properties for repayment to the municipality of the amount of the
loan.
(c) May not exceed the usable life of the contracted project or
25 years from the year of project completion, whichever is less.
(2) Notwithstanding any other provision of law or any
restriction on indebtedness contained in a charter, a
municipality may borrow from the fund by entering into a loan
contract with the
{ - Economic and Community Development Department. - } { +
authority. + } The contract may be repaid from:
(a) The revenues of any water project, including special
assessment revenues;
(b) Amounts withheld under ORS 285B.599;
(c) The general fund of the municipality; or
(d) Any other source.
(3) A loan contract authorized under subsection (2) of this
section may provide that a portion of the proceeds of the loan be
applied to fund a reserve fund to secure the repayment of the
loan or secure the repayment of revenue bonds issued to fund the
loan.
(4) A loan contract authorized under subsection (2) of this
section shall be authorized by an ordinance, order or resolution
adopted by the governing body of the municipality.
SECTION 126. ORS 285B.584 is amended to read:
285B.584. { - In addition to any other powers granted by law
in relation to a water project, the Economic and Community
Development Department - } { + The Oregon Infrastructure
Finance Authority + } may:
(1) Make all contracts, execute all instruments and do all
things necessary or convenient for the exercise of the powers
granted by this section, or for the performance of its covenants
or duties, or in order to secure the payment of its bonds;
(2) Enter into and perform such contracts and agreements with
municipalities as the { - department - } { + authority + }
may consider proper and feasible for or concerning the planning,
construction, installation, lease or other acquisition, and the
financing of water projects; and
(3) Enter into covenants for the benefit of bond owners
regarding the use and expenditure of moneys in the Water Fund.
SECTION 127. ORS 285B.590 is amended to read:
285B.590. In addition to making loans to municipalities for
water projects, the { - Economic and Community Development
Department - } { + Oregon Infrastructure Finance Authority + }
may provide any other form of financial or other assistance that
the
{ - department - } { + authority + } may consider appropriate
to assist municipalities with water projects, including direct
purchase by the { - department - } { + authority + } of goods
and services related to a water project.
SECTION 128. ORS 285B.593 is amended to read:
285B.593. Out of the moneys in the Water Fund, the
{ - Economic and Community Development Department - } { +
Oregon Infrastructure Finance Authority + } may make technical
assistance grants and loans to municipalities as specified by the
{ - department - } { + Oregon Business Development
Department + } by rule. Technical assistance grants and loans
shall be for the purpose of completing preliminary planning,
legal, fiscal and economic investigations, reports and studies to
Enrolled House Bill 2152 (HB 2152-C) Page 73
determine the economic and engineering feasibility of water
projects.
SECTION 129. ORS 285B.599 is amended to read:
285B.599. (1) If a municipality fails to comply with a contract
entered into under ORS 285B.581, the { - Economic and Community
Development Department - } { + Oregon Business Development
Department + } may seek appropriate legal remedies to secure any
repayment due the Water Fund. If any municipality defaults on
payments due the fund, the State of Oregon may withhold any
amounts otherwise due the municipality to apply to the
indebtedness. The department may waive the right to withhold
moneys under this subsection.
(2) Moneys withheld under subsection (1) of this section shall
be deposited in the fund and shall be used to repay any account
in the fund from which funds were expended to pay obligations
upon which the municipality defaulted.
SECTION 130. ORS 285B.740 is amended to read:
285B.740. It is the intent of the Legislative Assembly that in
the administration of ORS 285B.740 to 285B.758, the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department + } work closely with
regional economic development organizations, community
development corporations, small business development centers and
organizations that promote and assist small businesses owned and
operated by women and minorities. The
{ - Economic and Community Development - } department, to the
maximum extent feasible and consistent with prudent financial
controls, may delegate the administration and operation of the
loan program created by ORS 285B.740 to 285B.758 to local and
community-based entities. To carry out the policy described in
this section:
(1) The { - Economic and Community Development - }
department may contract with any nonprofit corporation or agency
with experience and expertise in business finance to administer
all or any part of the loan program created by ORS 285B.740 to
285B.758.
(2) When entering into an agreement for the administration of
the loan program by any nonprofit corporation or agency, the
{ - Economic and Community Development - } department may
agree to waive any claims it may have against such corporation or
agency for losses arising out of the normal course of business,
so long as the corporation or agency does not act negligently or
fraudulently in providing loans under ORS 285B.740 to 285B.758.
(3) When entering into an agreement to have a nonprofit
corporation or agency administer the loan program created by ORS
285B.740 to 285B.758, the { - Economic and Community
Development - } department may pay loan origination and loan
servicing fees to the corporation or agency. The amount of such
fees may be determined in the agreement between the department
and the administering corporation or agency.
SECTION 131. ORS 285B.743 is amended to read:
285B.743. (1) Any individual or business firm may file with the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department + } an application to
borrow money from the Oregon Entrepreneurial Development Loan
Fund as provided in ORS 285B.740 to 285B.758. The application
shall be filed in such a manner and contain or be accompanied by
such information as the department may require.
(2) Upon receipt of an application under this section, the
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{ - Economic and Community Development - } department shall
determine whether the applicant is eligible to receive a loan
under ORS 285B.740 to 285B.758. The department may adopt rules
for processing applications from applicants that are not eligible
to receive a loan under this section.
SECTION 132. ORS 285B.746 is amended to read:
285B.746. (1) The { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
may approve a loan requested in an application filed under ORS
285B.743 if, after investigation, it finds that:
(a) The applicant is enrolled in a small business management
program with a small business development center or certified
entity;
(b) The applicant has prepared a business plan for the
business, which has been reviewed by a small business development
center or other entity certified by the { - Economic and
Community Development - } department to review business plans;
and
(c) The applicant is not effectively owned or controlled by
another business entity or other person that, either by itself or
when combined with the applicant, is not eligible for a loan
under ORS 285B.740 to 285B.758.
(2) In addition to the requirements for loan approval described
in subsection (1) of this section, in order to obtain a loan
under ORS 285B.740 to 285B.758, an applicant must also satisfy
two of the following conditions:
(a) The business or proposed business, at the time of
application, must not have been operating for more than 36
months.
(b) The business must have annual revenues of less than
$175,000 in the 12-month period immediately preceding the date of
application.
(c) The business or proposed business is owned in whole or in
part by a person certified as having a severe disability by the
Department of Human Services or the Commission for the Blind.
SECTION 133. ORS 285B.749 is amended to read:
285B.749. (1) The { - Economic and Community Development
Department - } { + Oregon Business Development Department + }
may approve an entrepreneurial development loan under ORS
285B.740 to 285B.758 if, after investigation, it finds that:
(a) The loan has a reasonable prospect of repayment from cash
flow and collateral and that the loan is fully secured by
collateral value; and
(b) The applicant provides equity funds for the project in the
form of cash or property in an amount equal to or greater than 20
percent of the amount of the loan.
(2) The { - Economic and Community Development - }
department shall determine the amount of the initial loan and any
subsequent loan to the borrower. The maximum of all loans to a
borrower from the Oregon Entrepreneurial Development Loan Fund
may not exceed $70,000.
(3) Entrepreneurial development loans shall be made for a
period not exceeding five years at a rate of interest that does
not exceed 18 percent per annum.
SECTION 134. ORS 285B.758 is amended to read:
285B.758. (1) There is established in the State Treasury,
separate and distinct from the General Fund, the Oregon
Entrepreneurial Development Loan Fund. All moneys in the fund are
continuously appropriated to the { - Economic and Community
Enrolled House Bill 2152 (HB 2152-C) Page 75
Development Department - } { + Oregon Business Development
Department + } for the following purposes:
(a) Administrative costs of the department incurred in
processing loan applications, investigating the eligibility of
loan applicants and servicing outstanding loans;
(b) Paying for loan origination and loan servicing by
contractors under ORS 285B.740 to 285B.758; and
(c) Payment of loans to applicants under ORS 285B.740 to
285B.758.
(2) The Oregon Entrepreneurial Development Loan Fund shall
consist of:
(a) Moneys appropriated to the fund by the Legislative
Assembly;
(b) Interest earned on moneys in the fund; and
(c) Moneys received as repayment of principal and interest on
loans made from the fund under ORS 285B.740 to 285B.758.
{ +
DISADVANTAGED, MINORITY, WOMEN + }
{ +
AND EMERGING SMALL BUSINESS ENTERPRISES + }
SECTION 135. ORS 200.025 is amended to read:
200.025. (1) There is created { + , + } in the Office of the
Governor, the Advocate for Minority, Women and Emerging Small
Business who shall be appointed by the Governor.
(2) There is created in the { - Department of Consumer and
Business Services - } { + Oregon Business Development
Department + } the Office for Minority, Women and Emerging Small
Business, the employees of which shall be appointed by the
Director of the { + Oregon Business Development + } Department
{ - of Consumer and Business Services - } .
{ + (3)(a) The director may prescribe the duties and
assignments of all officers and employees of the Office for
Minority, Women and Emerging Small Business. The director shall
establish the compensation of all officers and employees of the
office.
(b) The officers and employees of the office shall be allowed
reimbursement for reasonable and necessary travel and other
expenses incurred in the performance of their duties. + }
{ - (3) - } { + (4) + } The Advocate for Minority, Women
and Emerging Small Business shall:
(a) Advise the Governor and the director on activities and
initiatives that may promote the economic integration of
minorities, women and emerging small businesses into the business
sector;
(b) Prepare an annual report to the Governor, director and
Legislative Assembly on the status of minorities and women in the
marketplace, accomplishments and resolutions of issues of concern
to minority and women's enterprises and recommendations for
executive and legislative actions; and
(c) Carry out other duties that may be assigned by the
Governor.
{ - (4) - } { + (5) + } The Office for Minority, Women and
Emerging Small Business shall:
(a) Provide information to minority, women and emerging small
businesses;
(b) Assist in the development and implementation of an
aggressive strategy for this state, based on research and
Enrolled House Bill 2152 (HB 2152-C) Page 76
monitoring, that encourages participation of minorities, women
and emerging small businesses in the state's economy;
(c) Make recommendations to the director on the research,
development and implementation of the plan for the involvement of
disadvantaged and minority groups and emerging small businesses
in all state programs;
(d) Maintain an Oregon Opportunity Register and Clearinghouse
for information on public agency and other contract solicitations
for professional services, supplies and services and other bid
opportunities, in consultation with the State Board of Higher
Education, the Department of Transportation and other entities;
(e) Monitor the certification and compliance program for
disadvantaged, minority, women and emerging small businesses
under ORS 200.055;
(f) Investigate complaints and possible abuses of the
certification program; and
(g) Assist in the promotion and coordination of plans, programs
and operations of state government that strengthen minority and
women participation in the economic life of this state.
SECTION 136. ORS 200.045 is amended to read:
200.045. (1) To determine whether a bidder that has failed to
meet emerging small business enterprise contract requirements may
be awarded the contract, the public contracting agency must
decide whether the bidder's efforts to obtain participation by
emerging small business enterprises were good faith efforts to
meet the requirements.
(2) Performing all of the following actions by a bidder
constitutes a rebuttable presumption that the bidder has made a
good faith effort to satisfy the subcontracting requirement for
emerging small businesses. It shall be a rebuttable presumption
that the bidder has not made a good faith effort if the bidder
has not acted consistently with such actions. Efforts that are
merely superficial are not good faith efforts:
(a) The bidder attended any presolicitation or prebid meetings
that were scheduled by the contracting agency to inform emerging
small business enterprises of contracting and subcontracting or
material supply opportunities available on the project;
(b) The bidder identified and selected specific economically
feasible units of the project to be performed by emerging small
business enterprises in order to increase the likelihood of
participation by such enterprises;
(c) The bidder advertised in general circulation, trade
association, minority and trade oriented, women-focus
publications, if any, concerning the subcontracting or material
supply opportunities;
(d) The bidder provided written notice to a reasonable number
of specific emerging small business enterprises, identified from
a list of certified emerging small business enterprises provided
or maintained by the { + Oregon Business Development + }
Department { - of Consumer and Business Services - } for the
selected subcontracting or material supply work, in sufficient
time to allow the enterprises to participate effectively;
(e) The bidder followed up initial solicitations of interest by
contacting the enterprises to determine with certainty whether
the enterprises were interested;
(f) The bidder provided interested emerging small business
enterprises with adequate information about the plans,
specifications and requirements for the selected subcontracting
or material supply work;
Enrolled House Bill 2152 (HB 2152-C) Page 77
(g) The bidder negotiated in good faith with the enterprises,
and did not without justifiable reason reject as unsatisfactory
bids prepared by any emerging small business enterprises;
(h) Where applicable, the bidder advised and made efforts to
assist interested emerging small business enterprises in
obtaining bonding, lines of credit or insurance required by the
contracting agency or contractor;
(i) The bidder's efforts to obtain emerging small business
enterprise participation were reasonably expected to produce a
level of participation sufficient to meet the goals or
requirement of the public contracting agency; and
(j) The bidder used the services of minority community
organizations, minority contractor groups, local, state and
federal minority business assistance offices and other
organizations identified by the Advocate for Minority, Women and
Emerging Small Business that provide assistance in the
recruitment and placement of emerging small business enterprises.
(3) To determine whether a bidder is a responsible bidder, the
performance of all the following actions constitutes a rebuttable
presumption that the bidder is responsible. It shall be a
rebuttable presumption that the bidder is not responsible if the
bidder has not acted consistently with the actions described in
this subsection. Efforts that are merely superficial are not good
faith efforts.
(a) The bidder attended any presolicitation or prebid meetings
that were scheduled by the contracting agency to inform minority
or women business enterprises of contracting and subcontracting
or material supply opportunities available on the project;
(b) The bidder identified and selected specific economically
feasible units of the project to be performed by minority or
women business enterprises in order to increase the likelihood of
participation by such enterprises;
(c) The bidder advertised in general circulation, trade
association, minority and trade oriented, women-focus
publications, if any, concerning the subcontracting or material
supply opportunities;
(d) The bidder provided written notice to a reasonable number
of specific minority or women business enterprises, identified
from a list of certified minority or women business enterprises
provided or maintained by the { + Oregon Business
Development + } Department { - of Consumer and Business
Services - } for the selected subcontracting or material supply
work, in sufficient time to allow the enterprises to participate
effectively;
(e) The bidder followed up initial solicitations of interest by
contacting the enterprises to determine with certainty whether
the enterprises were interested;
(f) The bidder provided interested minority or women business
enterprises with adequate information about the plans,
specifications and requirements for the selected subcontracting
or material supply work;
(g) The bidder negotiated in good faith with interested,
capable and competitive minority or women business enterprises
submitting bids;
(h) Where applicable, the bidder advised and made efforts to
assist interested minority or women business enterprises in
obtaining bonding, lines of credit or insurance required by the
contracting agency or contractor;
(i) The bidder's efforts to obtain minority or women business
enterprise participation were reasonably expected to produce a
Enrolled House Bill 2152 (HB 2152-C) Page 78
level of participation sufficient to meet the goals of the public
contracting agency; and
(j) The bidder used the services of minority community
organizations, minority contractor groups, local, state and
federal minority business assistance offices and other
organizations identified by the Advocate for Minority, Women and
Emerging Small Business that provide assistance in the
recruitment and placement of disadvantaged, minority or women
business enterprises.
SECTION 137. ORS 200.055 is amended to read:
200.055. (1) Any disadvantaged, minority, women or emerging
small business enterprise is entitled to be certified as such
upon application to the { + Oregon Business Development + }
Department { - of Consumer and Business Services - } . If the
application is approved by the department, the department shall
certify the applicant as a disadvantaged, minority, women or
emerging small business enterprise. The enterprise shall be
considered so certified by any public contracting agency.
(2) In consultation with the State Board of Higher Education
and the Department of Transportation, and with the approval of
the Advocate for Minority, Women and Emerging Small Business, the
{ + Oregon Business Development + } Department { - of
Consumer and Business Services - } by rule shall adopt a uniform
standard form and procedure designed to provide complete
documentation that a business enterprise is certified as a
disadvantaged, minority, women or emerging small business
enterprise. The department { - of Consumer and Business
Services - } shall compile and make available upon request a
list of certified disadvantaged, minority, women or emerging
small business enterprises.
(3) Any business enterprise that is refused certification as a
disadvantaged business enterprise or denied recertification as
such or whose certification is revoked may appeal directly to the
United States Department of Transportation.
(4) Any business enterprise that is refused certification as a
minority, women or emerging small business enterprise or has its
certification revoked may request a contested case hearing as
provided in ORS chapter 183.
(5) The { + Oregon Business Development + } Department
{ - of Consumer and Business Services - } shall be the sole
agency authorized to certify enterprises as disadvantaged,
minority, women or emerging small business enterprises eligible
to perform on public contracts in this state.
(6) The { + Oregon Business Development + } Department
{ - of Consumer and Business Services - } by rule may establish
a fee not to exceed $100 for a copy of the list of certified
disadvantaged, minority, women and emerging small business
enterprises and may assess state agencies for services under ORS
200.005 to 200.075.
(7) The Department of Transportation may collect a fee, not to
exceed $200, from a bidder upon bidder prequalifications to cover
the costs of the { + Oregon Business Development + } Department
{ - of Consumer and Business Services - } in administering ORS
200.005 to 200.075. The Department of Transportation shall
transfer such fees to the credit of the account established under
subsection (8) of this section.
(8) The { + Oregon Business Development + } Department
{ - of Consumer and Business Services - } shall establish a
special account in which to deposit fees and assessments. The
special account is continuously appropriated to the department
Enrolled House Bill 2152 (HB 2152-C) Page 79
{ - of Consumer and Business Services - } to meet its expenses
in administering ORS 200.005 to 200.075.
SECTION 138. ORS 200.057 is amended to read:
200.057. (1) A business may be certified as an emerging small
business by the { + Oregon Business Development + } Department
{ - of Consumer and Business Services - } for up to 12 years
and may be:
(a) Designated a tier one firm for up to six years unless the
business no longer qualifies as a tier one firm.
(b) Designated a tier two firm for up to six years unless the
business no longer qualifies as a tier two firm.
(2) The department shall adjust annually the amount of the
average annual gross receipts required to qualify as a tier one
firm or a tier two firm using the most recent three-year average
of the Portland-Salem Consumer Price Index for All Urban
Consumers for All Items, as reported by the United States Bureau
of Labor Statistics.
(3) Notwithstanding the time limits established by subsection
(1) of this section, if a tier one firm provides compelling
information showing, in the judgment of the department { - of
Consumer and Business Services - } , that the firm has not been
afforded an opportunity to bid on emerging small business
projects during a year of eligibility, the department shall
extend the tier one designation of the firm for one year. A tier
one firm may receive the extension described in this subsection
only once.
SECTION 139. ORS 200.065 is amended to read:
200.065. (1) It shall be unlawful for any person fraudulently
to obtain or retain or attempt to obtain or retain or to aid
another person fraudulently to obtain or retain or attempt to
obtain or retain certification as a disadvantaged, minority,
women or emerging small business enterprise.
(2) It shall be unlawful knowingly to make a false claim that
any person is qualified for certification or is certified under
ORS 200.055 for the purpose of gaining a contract or subcontract
or other benefit.
(3) The public contracting agency may withhold payment, suspend
or terminate the contract and may impose on any person a civil
penalty not to exceed 10 percent of the contract or subcontract
price or $5,000, whichever is less, for each violation of
subsection (1) or (2) of this section. The penalty shall be paid
to the Office for Minority, Women and Emerging Small Business.
(4) The { + Oregon Business Development + } Department
{ - of Consumer and Business Services - } or an affected public
contracting agency shall investigate any complaint that a person
has violated subsection (1) or (2) of this section. In
investigating such a complaint, the department or an affected
public contracting agency may require any additional information,
administer oaths, take depositions and issue subpoenas to compel
the attendance of witnesses and the production of books, papers,
records, memoranda or other information necessary to carry out
its duties. If any person fails to comply with any subpoena
issued under this subsection or refuses to testify on any matter
on which a person may lawfully be interrogated, the procedure
provided in ORS 183.440 shall be followed to compel compliance.
(5) An affected public contracting agency or the department
{ - of Consumer and Business Services may - } disqualify any
person found to have violated subsection (1) or (2) of this
section or who admits to such violation under oath during the
course of an investigation from bidding or participating in any
Enrolled House Bill 2152 (HB 2152-C) Page 80
public contract for a period of time specified by the agency or
department, not to exceed three years. Any contracting agency
that has notice of the finding of the fraudulent certification
may also disqualify the person from bidding on or participating
in any public contract.
SECTION 140. ORS 200.110 is amended to read:
200.110. (1) The { - Economic and Community - } { + Oregon
Business + } Development Department may recognize the mentor
relationship between contractors and minority business
enterprises or women business enterprises certified under this
chapter. The mentor relationship shall offer the opportunity to
foster and encourage minority and women business enterprises, to
expand the capacity of presently existing minority and women
businesses and to offer the opportunity for less experienced
minority and women businesses to gain training and assistance.
(2) Guidelines for eligibility for the mentor relationship
include, but are not limited to:
(a) Minority and women business enterprises that meet the
certification requirements of the U.S. Department of
Transportation are eligible for participation in a mentor
program. Other minority and women business enterprises are also
eligible if they meet the certification requirements of this
chapter. An agency may grant approval of an enterprise
application for certification concurrent with approval of a
mentor arrangement.
(b) The minority or women business enterprise must be an
independent organization, and the ownership by the individuals
must be real. Other employment and business interests by the
individuals are not precluded, if such employment or business
interests do not conflict with the power of the minority or women
owners to direct the management and policies of the minority or
women enterprise to make day-to-day as well as major decisions on
matters of management, policy and operations.
(c) The mentor program is intended to provide minority and
women business enterprises with advice, assistance and training.
The enterprise shall be responsible for management and operations
of the business. The mentor shall not be responsible for the
management of the firm. The mentor and the enterprise shall
remain separate and independent business entities with the
exception that facilities may be provided to the enterprise by
the mentor if a separate lease agreement is maintained by the
parties.
(d) Part ownership in a minority or women business enterprise
by a nondisadvantaged party, including a mentor, is permitted if
in compliance with 49 C.F.R. 23. Any property, equipment,
supplies or other services which are sold, rented or donated to
the enterprise and any investment made by nondisadvantaged
individuals must be reported to the agency involved in the mentor
program. Documentation shall be provided by bills of sale, lease
agreements or similar documents.
(e) The mentor relationship may include an arrangement with an
independent third party, such as a bank or accountant, to act as
an agent. Third parties may receive progress payments for work
accomplished by the minority or women business enterprise, made
out jointly to the agent and the enterprise, and make payments,
on behalf of the enterprise, to material suppliers or for federal
and state payroll taxes.
(3) Types of assistance a mentor may provide to the minority or
women business enterprise include:
(a) Financial assistance;
Enrolled House Bill 2152 (HB 2152-C) Page 81
(b) Technical and management assistance;
(c) Equipment rental and use of personnel; and
(d) Bonding assistance.
SECTION 141. ORS 200.120 is amended to read:
200.120. (1) Mentor relationships may be documented by a
written development plan, approved by the { - Economic and
Community - } { + Oregon Business + } Development Department in
consultation with the Oregon Association of Minority
Entrepreneurs. The development plan shall:
(a) Clearly set forth the objectives of the parties and their
respective roles;
(b) Be for a specified length of time;
(c) Determine measurable goals to be reached by the minority or
women business enterprise; and
(d) Provide that if resources of the mentor are utilized by the
minority or women business enterprise in the performance of
contracts or subcontracts for the mentor or for another
contractor, the resources shall be separately identified,
accounted for and compensated directly by the minority or women
business enterprise to the mentor. If the plan provides for
extensive use of the mentor's resources by the minority or women
business enterprise, the arrangement may be closely monitored.
(2) The development plan may also include training to be
provided by the mentor to the minority or women business
enterprise. Training may include:
(a) Business planning;
(b) Record keeping;
(c) Technical training;
(d) Capital formation;
(e) Loan packaging;
(f) Financial counseling;
(g) Bonding; and
(h) Equipment utilization.
(3) The development plan may be reviewed annually by the
{ - Economic and Community - } { + Oregon Business + }
Development Department and the Oregon Association of Minority
Entrepreneurs to review the progress of the mentor program.
(4) The development plan shall contain a provision that the
mentor relationship may be terminated by mutual consent or upon
determination that:
(a) The mentor firm no longer meets the eligibility standards
for certification as a minority or women business enterprise;
(b) Either party has failed or is unable to meet its
obligations under the development plan;
(c) The minority or women business enterprise is not
progressing or is not likely to progress in accordance with the
development plan;
(d) The minority or women business enterprise has reached a
satisfactory level of self-sufficiency to compete without
resorting to special treatment provided in the development plan;
or
(e) The plan or provisions thereof are contrary to the
requirements of federal, state, or local law or regulation, or
otherwise contrary to public policy.
(5) Copies of the development plan shall be retained by all
parties to it, and by the { - Economic and Community - } { +
Oregon Business + } Development Department and the Oregon
Association of Minority Entrepreneurs.
(6) The development plan may include a provision that the
arrangement shall be dissolved by either party for reason by
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notifying the { - Economic and Community - } { + Oregon
Business + } Development Department and the Oregon Association of
Minority Entrepreneurs.
SECTION 142. ORS 200.170 is amended to read:
200.170. (1) Subject to subsection (2) of this section, to
participate in the emerging small business program under ORS
200.160 to 200.200, an applicant must:
(a) Be certified by the { + Oregon Business Development + }
Department { - of Consumer and Business Services - } under ORS
200.005 to 200.075 as an emerging small business;
(b) Show that the applicant's place of business and the work in
which the applicant seeks to participate are located in this
state; and
(c) Show that the applicant is in compliance with applicable
licensing and registration requirements.
(2) The Department of Transportation may limit eligibility for
participation on a specific project or contract to emerging small
businesses that are located in or draw a part of their workforce
from economically distressed areas or enterprise zones in this
state, as designated by the { - Economic and Community - }
{ + Oregon Business + } Development Department in consultation
with the Employment Department.
(3) An applicant who participates under ORS 200.160 to 200.200
must perform at least 51 percent of the labor provided by the
applicant on a public improvement or maintenance project using
the applicant's own workforce.
{ +
MARINE NAVIGATION IMPROVEMENT + }
SECTION 143. ORS 777.267 is amended to read:
777.267. (1) There is established in the State Treasury the
Marine Navigation Improvement Fund. { + Interest earned by the
Marine Navigation Improvement Fund shall credited to the
fund. + } The moneys in the fund and interest earnings on the
moneys in the fund are continuously appropriated to the
{ - Economic and Community Development Department - } { +
Oregon Business Development Department for the Oregon
Infrastructure Finance Authority + } for the purposes of:
(a) Paying a portion of the costs of dredging activities that
are carried out in the harbors and channels on the Oregon coast
and along the Columbia River when federal law or regulation
requires a portion of the costs of such dredging to be paid by
nonfederal interests; and
(b) Paying the study and construction costs of other new
navigation improvement projects that directly support a federally
authorized navigation improvement project.
(2) The Marine Navigation Improvement Fund established by this
section consists of moneys appropriated to the fund by the
Legislative Assembly, repayment of loans made with moneys in the
fund and bond proceeds deposited in the fund.
(3) Moneys in the fund shall be used primarily to make loans to
ports for eligible projects. The { - department - } { +
authority + } may award a grant or provide other assistance from
moneys in the fund to a port for an eligible project only if a
loan is not feasible due to the financial hardship of the port or
other special circumstances, as set forth in rules adopted by the
department.
Enrolled House Bill 2152 (HB 2152-C) Page 83
(4) Eligibility for assistance from the Marine Navigation
Improvement Fund shall be limited to and funded, subject to the
availability of funds, in the following order of priority:
(a) Federally authorized studies and construction of new
navigation improvement projects.
(b) Other new navigation improvement projects if the projects
directly support or provide access to a federally authorized
navigation improvement project or a federally authorized
navigation channel.
(5) Financial assistance for construction costs under
subsection (4)(a) of this section shall be limited to those
projects that have completed all federally required studies and
have confirmed positive cost-benefit ratios as required by the
National Economic Development Plan.
(6) Financial assistance for construction costs under
subsection (4)(b) of this section is limited to projects
sponsored by a port, as defined in ORS 777.005 or 778.005, that
meet criteria developed by the { - department - } { +
authority + }.
(7) Financial assistance for studies of other new construction
projects under subsection (1)(b) of this section is limited to
projects that meet criteria developed by the
{ - department - } { + authority + }.
SECTION 144. ORS 777.277 is amended to read:
777.277. As used in ORS 777.277 to 777.287:
(1) 'Channel Deepening Account' means the account in the Marine
Navigation Improvement Fund created by ORS 777.282.
(2) 'Channel Deepening Debt Service Account' means the account
in the Marine Navigation Improvement Fund created by ORS 777.282.
(3) 'Channel deepening project' means a project to deepen the
deep draft Columbia River navigation channel from an authorized
depth of 40 feet.
{ - (4) 'Department' means the Economic and Community
Development Department. - }
{ - (5) 'Director' means the Director of the Economic and
Community Development Department. - }
{ - (6) - } { + (4) + } 'Grant agreement' means the grant
agreement described in ORS 777.284.
{ - (7) - } { + (5) + } 'Oregon nonfederal share' means
that portion of the cost of the channel deepening project that is
allocable to the Oregon sponsors and that is not paid by the
federal government, the State of Washington or the Washington
sponsors.
{ - (8) - } { + (6) + } 'Oregon sponsors' means the Port of
St. Helens, the Port of Portland or any agency acting on behalf
of the government of the State of Oregon as a financial
contributor to the channel deepening project.
{ - (9) - } { + (7) + } 'Primary sponsor' means the Port of
Portland as representative of the Oregon sponsors.
{ - (10) - } { + (8) + } 'Project cooperation agreement'
means a written agreement between the United States Government
and a nonfederal sponsor that requires the United States
Government to construct, and the nonfederal sponsor to share in
the cost of, a project authorized under the Water Resources
Development Act or a similar Act of the United States Congress.
{ - (11) - } { + (9) + } 'Washington sponsors' means the
Port of Vancouver, the Port of Kalama, the Port of Woodland, the
Port of Longview or any agency acting on behalf of the government
of the State of Washington as a financial contributor to the
channel deepening project.
Enrolled House Bill 2152 (HB 2152-C) Page 84
SECTION 145. ORS 777.282 is amended to read:
777.282. (1) The Channel Deepening Account is hereby created in
the Marine Navigation Improvement Fund.
(2) Any earnings { + and interest earned + } on amounts in the
Channel Deepening Account shall be credited to the Channel
Deepening Account. { - All moneys on deposit from time to time
in the Channel Deepening Account, including investment earnings
thereon, shall be allocated and are hereby appropriated
continuously - } { + The moneys in the Channel Deepening
Account are continuously appropriated + } to the { - Economic
and Community Development Department, - } { + Oregon Business
Development Department for the Oregon Infrastructure Finance
Authority + } and shall be transferred by the
{ - department - } { + authority + } to the primary sponsor
pursuant to and upon the terms and conditions set forth in the
grant agreement entered into under ORS 777.284 to pay the Oregon
nonfederal share.
{ - (3) Notwithstanding directions for transfer of moneys to
the primary sponsor in subsection (2) of this section and the
grant agreement entered into under ORS 777.284 prior to August
29, 2003, the Economic and Community Development Department shall
transfer moneys in the Channel Deepening Account on August 29,
2003, to the Channel Deepening Debt Service Account for payment
of bond-related costs for lottery bonds issued under ORS 285B.551
(5) and section 12, chapter 741, Oregon Laws 2003, and for
lottery bonds issued for channel deepening under ORS 285B.551 (3)
and section 6, chapter 942, Oregon Laws 2001. - }
{ - (4) - } { + (3) + } The Channel Deepening Debt Service
Account is hereby created in the Marine Navigation Improvement
Fund.
{ - (5) - } { + (4) + } Any earnings { + and interest
earned + } on amounts in the Channel Deepening Debt Service
Account must be credited to the Channel Deepening Debt Service
Account. { - All moneys on deposit from time to time in the
Channel Deepening Debt Service Account, including investment
earnings thereon, and all amounts required by this section to be
deposited in the Channel Deepening Debt Service Account, shall be
allocated and are hereby appropriated continuously to the
Economic and Community Development Department - } { + The moneys
in the Channel Deepening Debt Service Account are continuously
appropriated to the Oregon Business Development Department for
the Oregon Infrastructure Finance Authority + } for payment of
bond-related costs for lottery bonds issued under ORS 285B.551
(5) and section 12, chapter 741, Oregon Laws 2003, and for
lottery bonds issued for channel deepening under ORS 285B.551 (3)
and section 6, chapter 942, Oregon Laws 2001.
{ - (6) - } { + (5) + } The restrictions on the use of
moneys in the Marine Navigation Improvement Fund set forth in ORS
777.267 do not apply to moneys in the Channel Deepening Account
or the Channel Deepening Debt Service Account.
SECTION 146. ORS 777.284 is amended to read:
777.284. (1) { - Within six months after August 29, 2003, the
Director of the Economic and Community Development Department - }
{ + The Director of the Oregon Business Development
Department + } shall enter into, or modify, a grant agreement
with the primary sponsor { - that commits the Economic and
Community Development Department - } { + committing the Oregon
Business Development Department + } to request that the State
Treasurer issue lottery bonds as provided in ORS 285B.551 (3) and
section 6, chapter 942, Oregon Laws 2001, to obtain lottery bond
Enrolled House Bill 2152 (HB 2152-C) Page 85
proceeds for deposit in the Channel Deepening Account for payment
of the Oregon nonfederal share.
(2) The total amount paid to the primary sponsor pursuant to
the grant agreement may not exceed the lesser of the amount of
the Oregon nonfederal share or the total amount deposited in the
Channel Deepening Account. The grant agreement:
(a) Shall specify a method for determining the total amount of
the Oregon nonfederal share; and
(b) May not contain provisions or be construed or enforced in
any manner that would cause the grant agreement to constitute a
debt or liability of the state that violates section 7, Article
XI of the Oregon Constitution.
{ +
CONFORMING AMENDMENTS + }
SECTION 147. ORS 183.635 is amended to read:
183.635. (1) Except as provided in this section, all agencies
must use administrative law judges assigned from the Office of
Administrative Hearings established under ORS 183.605 to conduct
contested case hearings, without regard to whether those hearings
are subject to the procedural requirements for contested case
hearings.
(2) The following agencies need not use administrative law
judges assigned from the office:
(a) Attorney General.
(b) Boards of stewards appointed by the Oregon Racing
Commission.
(c) Bureau of Labor and Industries and the Commissioner of the
Bureau of Labor and Industries.
(d) Department of Corrections.
(e) Department of Education, State Board of Education and
Superintendent of Public Instruction.
(f) Department of Higher Education and institutions of higher
education listed in ORS 352.002.
(g) Department of Human Services for vocational rehabilitation
services cases under 29 U.S.C. 722(c) and disability
determination cases under 42 U.S.C. 405.
(h) Department of Revenue.
(i) Department of State Police.
(j) Employment Appeals Board.
(k) Employment Relations Board.
(L) Energy Facility Siting Council.
(m) Fair Dismissal Appeals Board.
(n) Governor.
(o) Land Conservation and Development Commission.
(p) Land Use Board of Appeals.
(q) Local government boundary commissions created pursuant to
ORS 199.430.
(r) Oregon Youth Authority.
(s) Psychiatric Security Review Board.
(t) Public Utility Commission.
(u) Secretary of State.
(v) State Accident Insurance Fund Corporation.
(w) State Apprenticeship and Training Council.
(x) State Board of Parole and Post-Prison Supervision.
(y) State Land Board.
(z) State Treasurer.
(aa) Wage and Hour Commission.
Enrolled House Bill 2152 (HB 2152-C) Page 86
(3) The Workers' Compensation Board is exempt from using
administrative law judges assigned from the office for any
hearing conducted by the board under ORS chapters 147, 654 and
656. Except as specifically provided in this subsection, the
Department of Consumer and Business Services must use
administrative law judges assigned from the office only for
contested cases arising out of the department's powers and duties
under:
(a) ORS chapter 59;
{ - (b) ORS 200.005 to 200.075; - }
{ - (c) - } { + (b) + } ORS chapter 455;
{ - (d) - } { + (c) + } ORS chapter 674;
{ - (e) - } { + (d) + } ORS chapters 706 to 716;
{ - (f) - } { + (e) + } ORS chapter 717;
{ - (g) - } { + (f) + } ORS chapters 722, 723, 725 and 726;
and
{ - (h) - } { + (g) + } ORS chapters 731, 732, 733, 734,
735, 737, 742, 743, 743A, 744, 746, 748 and 750.
(4) Notwithstanding any other provision of law, in any
proceeding in which an agency is required to use an
administrative law judge assigned from the office, an officer or
employee of the agency may not conduct the hearing on behalf of
the agency.
(5) Notwithstanding any other provision of ORS 183.600 to
183.690, an agency is not required to use an administrative law
judge assigned from the office if:
(a) Federal law requires that a different administrative law
judge or hearing officer be used; or
(b) Use of an administrative law judge from the office could
result in a loss of federal funds.
(6) Notwithstanding any other provision of this section, the
Department of Environmental Quality must use administrative law
judges assigned from the office only for contested case hearings
conducted under the provisions of ORS 183.413 to 183.470.
SECTION 148. ORS 285C.612 is amended to read:
285C.612. (1) The Oregon { - Economic and Community - } { +
Business + } Development Commission shall collect the fees set
forth in subsection (2) of this section from an applicant that
seeks to have the real and personal property constituting the
eligible project declared eligible for the tax exemption provided
in ORS 307.123. The fee may be collected even though the project
has not been determined to be eligible for the tax exemption.
(2) The fees described in subsection (1) of this section are as
follows:
(a) $10,000, or $5,000 if the project is located in a rural
area, upon application to the commission; and
(b) $50,000, or $10,000 if the project is located in a rural
area, when the eligible project is determined by the commission
to be eligible for the tax exemption provided in ORS 307.123. The
commission shall pay 50 percent of this fee to the Department of
Revenue for the purpose of administration of ORS 307.123.
(3) The fees collected under subsection (2) of this section
shall be deposited in the Oregon { - Community Development - }
{ + Business, Innovation and Trade + } Fund created under ORS
285A.227.
SECTION 149. ORS 468B.415 is amended to read:
468B.415. (1) There is established a safety committee for the
Oregon coast. A subcommittee shall be appointed for Coos Bay and
Yaquina Bay. In addition, the Department of Environmental Quality
also shall consult with the State of Washington to establish a
Enrolled House Bill 2152 (HB 2152-C) Page 87
joint regional safety committee for the Columbia River and may
appoint a subcommittee for the Willamette River. The safety
committee shall operate under the direction of the { - Economic
and Community Development Department - } { + Oregon
Infrastructure Finance Authority + } pursuant to ORS 285A.615.
(2) Each committee shall consist of not more than 11 members,
appointed by the { - Director of the Economic and Community
Development Department - } { + administrator of the Oregon
Infrastructure Finance Authority + } in consultation with the
Director of the Department of Environmental Quality. At a
minimum, the following groups should be considered for
representation on the committees:
(a) Local port authorities;
(b) Tank vessel operators;
(c) Tug and barge operators;
(d) Pilots' organizations;
(e) Cargo vessel operators;
(f) Commercial fishermen;
(g) Pleasure boat operators;
(h) Environmental organizations;
(i) Local planning authorities; and
(j) The public at large.
(3) The members shall be appointed to the safety committee for
a term of four years. The { - Director of the Economic and
Community Development Department - } { + administrator + } in
consultation with the Director of the Department of Environmental
Quality shall appoint the chairperson of each committee to serve
a term of four years.
(4) A majority of the members shall constitute a quorum for the
transaction of business.
(5) The duties of the safety committees shall include but are
not limited to:
(a) Planning for safe navigation and operation of covered
vessels within each harbor;
(b) Developing safety plans;
(c) Reviewing and making recommendations to the Oregon Board of
Maritime Pilots, ports and the United States Coast Guard on the
following:
(A) Pilotage requirements for all single boiler or single
engine and single screw tank vessels carrying oil in pilotage
grounds;
(B) Reducing deadweight tonnage specifications for pilotage
service for vessels carrying oil;
(C) Guidelines for tugs on tank vessels for tow cable size and
material specifications, cable maintenance practices, cable
handling equipment design and barge recovery plan preparation;
(D) Establishing regional speed limits, based on escort vehicle
limitations, for all tank vessels in inland navigable waters and
critical approaches to inland navigable waters;
(E) Requiring towing systems and plans on all tank vessels
carrying oil; and
(F) The feasibility of establishing a pilot program for a
near-miss reporting system that is coordinated with vessel
inspection information compiled as a result of inspections under
ORS 468B.370 and 468B.375.
(6) Members of the safety committees established under this
section are entitled to compensation and expenses as provided in
ORS 292.495.
(7) The Department of Environmental Quality shall serve in an
advisory capacity to the safety committees and review the safety
Enrolled House Bill 2152 (HB 2152-C) Page 88
plans. In addition, the United States Coast Guard shall be
invited to also act in an advisory capacity to the safety
committees and may participate in the review of safety plans.
SECTION 150. ORS 657.665 is amended to read:
657.665. (1) Except as provided in subsections (2) to (4) of
this section, all information in the records of the Employment
Department pertaining to the administration of the unemployment
insurance, employment service and labor market information
programs:
(a) Is confidential and for the exclusive use and information
of the Director of the Employment Department in administering the
unemployment insurance, employment service and labor market
information programs in Oregon.
(b) May not be used in any court action or in any proceeding
pending in the court unless the director or the state is a party
to the action or proceeding or unless the proceeding concerns the
establishment, enforcement or modification of a support
obligation and support services are being provided by the
Division of Child Support or the district attorney pursuant to
ORS 25.080.
(c) Is exempt from disclosure under ORS 192.410 to 192.505.
(2) The Employment Department shall disclose information:
(a) To any claimant or legal representative, at a hearing
before an administrative law judge, to the extent necessary for
the proper presentation of an unemployment insurance claim.
(b) Upon request to the United States Secretary of Labor. The
Employment Department shall disclose the information in a form
and containing the information that the United States Secretary
of Labor may require. The information disclosed is confidential
and may not be used for any other purpose.
(c) Pursuant to section 303(a)(7) of the Social Security Act,
upon request to any agency of the United States charged with the
administration of public works or assistance through public
employment. Under this paragraph, the Employment Department shall
disclose the name, address, ordinary occupation and employment
status of each recipient of unemployment insurance benefits and a
statement of the recipient's right to further benefits under this
chapter. The information disclosed is confidential and may not be
used for any other purpose.
(d) Pursuant to section 303(c)(1) of the Social Security Act,
to the Railroad Retirement Board. Under this paragraph, the
Employment Department shall disclose unemployment insurance
records. The information disclosed is confidential and may not be
used for any other purpose. The costs of disclosing information
under this paragraph shall be paid by the board.
(e) Pursuant to section 303(d) of the Social Security Act, upon
request to officers and employees of the United States Department
of Agriculture and to officers or employees of any state food
stamp agency for the purpose of determining an individual's
eligibility for or the amount of food stamps. The information
disclosed is confidential and may not be used for any other
purpose. The costs of disclosing information under this paragraph
shall be paid by the United States Department of Agriculture.
(f) Pursuant to section 303(e)(1) and (2)(A)(ii) of the Social
Security Act, to state or local child support enforcement
agencies enforcing child support obligations under Title IV-D of
the Social Security Act for the purposes of establishing child
support obligations, locating individuals owing child support
obligations and collecting child support obligations from those
individuals. The information disclosed is confidential and may
Enrolled House Bill 2152 (HB 2152-C) Page 89
not be used for any other purpose. The costs of disclosing
information under this paragraph shall be paid by the child
support enforcement agency.
(g) Pursuant to sections 303(f) and 1137 of the Social Security
Act, to agencies participating in the income and eligibility
verification system for the purpose of verifying an individual's
eligibility for benefits, or the amount of benefits, under
unemployment insurance, Temporary Assistance for Needy Families,
Medicaid, food stamps, Supplemental Security Income, child
support enforcement or Social Security programs. The information
disclosed is confidential and may not be used for any other
purpose. The costs of disclosing information under this paragraph
shall be paid by the requesting agency.
(h) Pursuant to section 303(h) of the Social Security Act and
section 3304(a)(16)(B) of the Federal Unemployment Tax Act, to
the United States Department of Health and Human Services
National Directory of New Hires. The information disclosed is
confidential and may not be used for any other purpose. The costs
of disclosing information under this paragraph shall be paid by
the United States Department of Health and Human Services.
(i) Pursuant to section 303(i) of the Social Security Act, to
officers and employees of the United States Department of Housing
and Urban Development and to representatives of a public housing
agency for the purpose of determining an individual's eligibility
for benefits, or the amount of benefits, under a housing
assistance program of the United States Department of Housing and
Urban Development. The information disclosed is confidential and
may not be used for any other purpose. The costs of disclosing
information under this paragraph shall be paid by the United
States Department of Housing and Urban Development or the public
housing agency.
(j) Pursuant to regulations of the United States Secretary of
Health and Human Services issued under section 3304(a)(16)(A) of
the Federal Unemployment Tax Act, and except as required by
section 303 of the Social Security Act, to the state, a political
subdivision or a federally recognized Indian tribe that has
signed an agreement with the Department of Human Services to
administer Part A of Title IV of the Social Security Act for the
purpose of determining an individual's eligibility for
assistance, or the amount of assistance, under a program funded
under Part A of Title IV of the Social Security Act. The
information disclosed is confidential and may not be used for any
other purpose.
(k) Upon request, to the United States Attorney's Office.
Under this paragraph, the Employment Department may disclose an
individual's employment and wage information in response to a
federal grand jury subpoena or for the purpose of collecting
civil and criminal judgments, including restitution and special
assessment fees. The information disclosed is confidential and
may not be used for any other purpose. The costs of disclosing
information under this paragraph shall be paid by the United
States Attorney's Office.
(3) The Employment Department may disclose information secured
from employing units:
(a) To agencies of this state, federal agencies and local
government agencies to the extent necessary to properly carry out
governmental planning, performance measurement, program analysis,
socioeconomic analysis and policy analysis functions performed
under applicable law. The information disclosed is confidential
and may not be disclosed by the agencies in any manner that would
Enrolled House Bill 2152 (HB 2152-C) Page 90
identify individuals, claimants, employees or employing units. If
the information disclosed under this paragraph is not prepared
for the use of the Employment Department, the costs of disclosing
the information shall be paid by the agency requesting the
information.
(b) As part of a geographic information system. Points on a map
may be used to represent economic data, including the location,
employment size class and industrial classification of businesses
in Oregon. Information presented as part of a geographic
information system may not give specific details regarding a
business's address, actual employment or proprietary information.
If the information disclosed under this paragraph is not prepared
for the use of the Employment Department, the costs of disclosing
the information shall be paid by the party requesting the
information.
(c) In accordance with ORS 657.673.
(4) The Employment Department may:
(a) Disclose information to public employees in the performance
of their duties under state or federal laws relating to the
payment of unemployment insurance benefits, the provision of
employment services and the provision of labor market
information.
(b) At the discretion of the Director of the Employment
Department and subject to an interagency agreement, disclose
information to public officials in the performance of their
official duties administering or enforcing laws within their
authority and to the agents or contractors of public officials.
The public official shall agree to assume responsibility for
misuse of the information by the official's agent or contractor.
(c) Disclose information pursuant to an informed consent,
received from an employer or claimant, to disclose the
information.
(d) Disclose information to partners under the federal
Workforce Investment Act of 1998 for the purpose of administering
state workforce programs under the Act. The information disclosed
is confidential and may not be used for any other purpose. The
costs of disclosing information under this paragraph shall be
paid by the requesting partner.
(e) Disclose the names and addresses of employing units to the
Bureau of Labor and Industries for the purpose of disseminating
information to employing units. The names and addresses disclosed
are confidential and may not be used for any other purpose. If
the information disclosed under this paragraph is not prepared
for the use of the Employment Department, the costs of disclosing
the information shall be paid by the bureau.
(f) Disclose information to the Commissioner of the Bureau of
Labor and Industries for the purpose of performing duties under
ORS 279C.800 to 279C.870, 658.005 to 658.245 or 658.405 to
658.503 or ORS chapter 652, 653 or 659A. The information
disclosed may include the names and addresses of employers and
employees and payroll data of employers and employees. The
information disclosed is confidential and may not be used for any
other purpose. If the information disclosed under this paragraph
is not prepared for the use of the Employment Department, the
costs of disclosing the information shall be paid by the bureau.
(g) Disclose information required under ORS 657.660 (3) and (4)
to the Public Employees Retirement System for the purpose of
determining the eligibility of members of the retirement system
for disability retirement allowances under ORS chapter 238. The
information disclosed is confidential and may not be used for any
Enrolled House Bill 2152 (HB 2152-C) Page 91
other purpose. The costs of disclosing information under this
paragraph shall be paid by the Public Employees Retirement
System.
(h) Disclose to the Oregon { - Economic and Community - }
{ + Business + } Development Commission information required by
the commission in performing its duty under ORS 285A.050 to
verify changes in employment levels following direct employer
participation in
{ - Economic and Community - } { + Oregon Business + }
Development Department programs or indirect participation through
municipalities under ORS 285B.410 to 285B.482 { + . + } { - and
regional boards and partnerships under ORS 285B.230 to
285B.269. - } The information disclosed to the commission may
include an employer's employment level, total subject wages
payroll and whole hours worked. The information disclosed is
confidential and may not be used for any other purpose. The
commission may not disclose the information in any manner that
would identify an employing unit or employee except to the extent
necessary to carry out the commission's duty under ORS 285A.050.
If the information disclosed under this paragraph is not prepared
for the use of the Employment Department, the costs of disclosing
the information shall be paid by the commission.
(i) Disclose information to the Department of Revenue for the
purpose of performing its duties under ORS 293.250 or under the
revenue and tax laws of this state. The information disclosed may
include the names and addresses of employers and employees and
payroll data of employers and employees. The information
disclosed is confidential and may not be disclosed by the
Department of Revenue in any manner that would identify an
employing unit or employee except to the extent necessary to
carry out the department's duties under ORS 293.250 or in
auditing or reviewing any report or return required or permitted
to be filed under the revenue and tax laws administered by the
department. The Department of Revenue may not disclose any
information received to any private collection agency or for any
other purpose. If the information disclosed under this paragraph
is not prepared for the use of the Employment Department, the
costs of disclosing the information shall be paid by the
Department of Revenue.
(j) Disclose information to the Department of Consumer and
Business Services for the purpose of performing its duties under
ORS chapters 654 and 656. The information disclosed may include
the name, address, number of employees and industrial
classification code of an employer and payroll data of employers
and employees. The information disclosed is confidential and may
not be disclosed by the Department of Consumer and Business
Services in any manner that would identify an employing unit or
employee except to the extent necessary to carry out the
department's duties under ORS chapters 654 and 656, including
administrative hearings and court proceedings in which the
Department of Consumer and Business Services is a party. If the
information disclosed under this paragraph is not prepared for
the use of the Employment Department, the costs of disclosing the
information shall be paid by the Department of Consumer and
Business Services.
(k) Disclose information to the Construction Contractors Board
for the purpose of performing its duties under ORS chapter 701.
The information disclosed to the board may include the names and
addresses of employers and status of their compliance with this
chapter. If the information disclosed under this paragraph is not
Enrolled House Bill 2152 (HB 2152-C) Page 92
prepared for the use of the Employment Department, the costs of
disclosing the information shall be paid by the board.
(L) Disclose information to the State Fire Marshal to assist
the State Fire Marshal in carrying out duties under ORS 453.307
to 453.414. The information disclosed may include the name,
address, telephone number and industrial classification code of
an employer. The information disclosed is confidential and may
not be disclosed by the State Fire Marshal in any manner that
would identify an employing unit except to the extent necessary
to carry out duties under ORS 453.307 to 453.414. If the
information disclosed under this paragraph is not prepared for
the use of the Employment Department, the costs of disclosing the
information shall be paid by the office of the State Fire
Marshal.
(m) Disclose information to the Oregon Student Assistance
Commission for the purpose of performing the commission's duties
under ORS chapter 348 and Title IV of the Higher Education Act of
1965. The information disclosed may include the names and
addresses of employers and employees and payroll data of
employers and employees. The information disclosed is
confidential and may not be disclosed by the commission in any
manner that would identify an employing unit or employee except
to the extent necessary to carry out the commission's duties
under ORS chapter 348 or Title IV of the Higher Education Act of
1965. If the information disclosed under this paragraph is not
prepared for the use of the Employment Department, the costs of
disclosing the information shall be paid by the commission.
(n) Disclose information to the Department of Transportation to
assist the Department of Transportation in carrying out the
duties of the Department of Transportation relating to collection
of delinquent and liquidated debts, including taxes, under ORS
184.610 to 184.666, 184.670 to 184.733 and 805.263, ORS chapter
319 and the Oregon Vehicle Code. The information disclosed may
include the names and addresses of employers and employees and
payroll data of employers and employees. The information
disclosed is confidential and may not be disclosed by the
Department of Transportation in any manner that would identify an
employing unit or employee except to the extent necessary to
carry out the Department of Transportation's duties relating to
collection of delinquent and liquidated debts or in auditing or
reviewing any report or return required or permitted to be filed
under the revenue and tax laws administered by the Department of
Transportation. The Department of Transportation may not disclose
any information received to any private collection agency or for
any other purpose. If the information disclosed under this
paragraph is not prepared for the use of the Employment
Department, the costs of disclosing the information shall be paid
by the Department of Transportation.
(o) Disclose to any person establishment level information
secured pursuant to this chapter from federal, state and local
government employing units. If the information disclosed under
this paragraph is not prepared for the use of the Employment
Department, the costs of disclosing the information shall be paid
by the party requesting the information.
(p) Disclose to any person the industrial classification code
assigned to an employing unit. If the information disclosed under
this paragraph is not prepared for the use of the Employment
Department, the costs of disclosing the information shall be paid
by the party requesting the information.
Enrolled House Bill 2152 (HB 2152-C) Page 93
(5) Any officer appointed by or any employee of the Director of
the Employment Department who discloses confidential information,
except with the authority of the director, pursuant to rules or
as otherwise required by law, may be disqualified from holding
any appointment or employment with the Employment Department.
(6) Any person or any officer or employee of an entity to whom
information is disclosed by the Employment Department under this
section who divulges or uses the information for any purpose
other than that specified in the provision of law or agreement
authorizing the use or disclosure may be disqualified from
performing any service under contract or disqualified from
holding any appointment or employment with the state agency that
engaged or employed that person, officer or employee. The
Employment Department may immediately cancel or modify any
information sharing agreement with an entity when a person or an
officer or employee of that entity discloses confidential
information, other than as specified in law or agreement.
{ +
TRANSITION PROVISIONS + }
SECTION 151. { + (1) The unexpended balances of amounts
authorized to be expended by the Oregon Economic and Community
Development Commission for the biennium beginning July 1, 2009,
from revenues dedicated, continuously appropriated, appropriated
or otherwise made available for the purpose of administering and
enforcing the duties, functions and powers transferred to the
Oregon Business Development Commission by this 2009 Act are
transferred to and are available for expenditure by the Oregon
Business Development Commission for the biennium beginning July
1, 2009, for the purpose of administering and enforcing the
duties, functions and powers transferred by this 2009 Act.
(2) The expenditure classifications, if any, established by
Acts authorizing or limiting expenditures by the Oregon Economic
and Community Development Commission remain applicable to
expenditures by the Oregon Business Development Commission under
this section. + }
SECTION 152. { + The transfer of duties, functions and powers
to the Oregon Business Development Commission by this 2009 Act
does not affect any action, proceeding or prosecution involving
or with respect to such duties, functions and powers begun before
and pending at the time of the transfer, except that the Oregon
Business Development Commission is substituted for the Oregon
Economic and Community Development Commission in the action,
proceeding or prosecution. + }
SECTION 153. { + (1) Nothing in this 2009 Act relieves a
person of a liability, duty or obligation accruing under or with
respect to the duties, functions and powers transferred to the
Oregon Business Development Commission by this 2009 Act. The
Oregon Business Development Commission may undertake the
collection or enforcement of any such liability, duty or
obligation.
(2) The rights and obligations of the Oregon Economic and
Community Development Commission legally incurred under
contracts, leases and business transactions executed, entered
into or begun before the effective date of this 2009 Act accruing
under or with respect to the duties, functions and powers
transferred to the Oregon Business Development Commission by this
2009 Act are transferred to the Oregon Business Development
Commission. For the purpose of succession to these rights and
Enrolled House Bill 2152 (HB 2152-C) Page 94
obligations, the Oregon Business Development Commission is a
continuation of the Oregon Economic and Community Development
Commission and not a new authority. + }
SECTION 154. { + Notwithstanding the transfer of duties,
functions and powers to the Oregon Business Development
Commission by this 2009 Act, the rules of the Economic and
Community Development Department with respect to the duties,
functions or powers of the Oregon Economic and Community
Development Commission that are in effect on the effective date
of this 2009 Act continue in effect until superseded or repealed
by rules of the Oregon Business Development Department.
References in such rules to the Oregon Economic and Community
Development Commission or to an officer or employee of the Oregon
Economic and Community Development Commission are considered to
be references to the Oregon Business Development Commission or an
officer or employee of the Oregon Business Development
Commission. + }
SECTION 155. { + Whenever, in any uncodified law or resolution
of the Legislative Assembly or in any rule, document, record or
proceeding authorized by the Legislative Assembly, in the context
of the duties, functions and powers transferred to the Oregon
Business Development Commission by this 2009 Act, reference is
made to the Oregon Economic and Community Development Commission,
or an officer or employee of the Oregon Economic and Community
Development Commission, whose duties, functions or powers are
transferred to the Oregon Business Development Commission by this
2009 Act, the reference is considered to be a reference to the
Oregon Business Development Commission or an officer or employee
of the Oregon Business Development Commission who is charged with
carrying out such duties, functions and powers. + }
SECTION 156. { + (1) The amendments to ORS 285A.040 by section
10 of this 2009 Act are intended to change the name of the Oregon
Economic and Community Development Commission to the Oregon
Business Development Commission.
(2) For the purpose of harmonizing and clarifying statute
sections published in Oregon Revised Statutes, the Legislative
Counsel may substitute for words designating the 'Oregon Economic
and Community Development Commission,' wherever they occur in
Oregon Revised Statutes, other words designating the 'Oregon
Business Development Commission.' + }
SECTION 157. { + (1) The unexpended balances of amounts
authorized to be expended by the Economic and Community
Development Department for the biennium beginning July 1, 2009,
from revenues dedicated, continuously appropriated, appropriated
or otherwise made available for the purpose of administering and
enforcing the duties, functions and powers transferred to the
Oregon Business Development Department by this 2009 Act are
transferred to and are available for expenditure by the Oregon
Business Development Department for the biennium beginning July
1, 2009, for the purpose of administering and enforcing the
duties, functions and powers transferred by this 2009 Act.
(2) The expenditure classifications, if any, established by
Acts authorizing or limiting expenditures by the Economic and
Community Development Department remain applicable to
expenditures by the Oregon Business Development Department under
this section. + }
SECTION 158. { + The transfer of duties, functions and powers
to the Oregon Business Development Department by this 2009 Act
does not affect any action, proceeding or prosecution involving
or with respect to such duties, functions and powers begun before
Enrolled House Bill 2152 (HB 2152-C) Page 95
and pending at the time of the transfer, except that the Oregon
Business Development Department is substituted for the Economic
and Community Development Department in the action, proceeding or
prosecution. + }
SECTION 159. { + (1) Nothing in this 2009 Act relieves a
person of a liability, duty or obligation accruing under or with
respect to the duties, functions and powers transferred to the
Oregon Business Development Department by this 2009 Act. The
Oregon Business Development Department may undertake the
collection or enforcement of any such liability, duty or
obligation.
(2) The rights and obligations of the Economic and Community
Development Department legally incurred under contracts, leases
and business transactions executed, entered into or begun before
the effective date of this 2009 Act accruing under or with
respect to the duties, functions and powers transferred to the
Oregon Business Development Department by this 2009 Act are
transferred to the Oregon Business Development Department. For
the purpose of succession to these rights and obligations, the
Oregon Business Development Department is a continuation of the
Economic and Community Development Department and not a new
authority. + }
SECTION 160. { + Notwithstanding the transfer of duties,
functions and powers to the Oregon Business Development
Department by this 2009 Act, the rules of the Economic and
Community Development Department with respect to such duties,
functions or powers that are in effect on the effective date of
this 2009 Act continue in effect until superseded or repealed by
rules of the Oregon Business Development Department. References
in such rules of the Economic and Community Development
Department to the Economic and Community Development Department
or to an officer or employee of the Economic and Community
Development Department are considered to be references to the
Oregon Business Development Department or an officer or employee
of the Oregon Business Development Department. + }
SECTION 161. { + Whenever, in any uncodified law or resolution
of the Legislative Assembly or in any rule, document, record or
proceeding authorized by the Legislative Assembly, in the context
of the duties, functions and powers transferred to the Oregon
Business Development Department by this 2009 Act, reference is
made to the Economic and Community Development Department, or an
officer or employee of the Economic and Community Development
Department, whose duties, functions or powers are transferred to
the Oregon Business Development Department by this 2009 Act, the
reference is considered to be a reference to the Oregon Business
Development Department or an officer or employee of the Oregon
Business Development Department who is charged with carrying out
such duties, functions and powers. + }
SECTION 162. { + (1) The amendments to ORS 285A.070 by section
15 of this 2009 Act are intended to change the name of the
Economic and Community Development Department to the Oregon
Business Development Department.
(2) For the purpose of harmonizing and clarifying statute
sections published in Oregon Revised Statutes, the Legislative
Counsel may substitute for words designating the 'Economic and
Community Development Department,' wherever they occur in Oregon
Revised Statutes, other words designating the 'Oregon Business
Development Department.' + }
SECTION 163. { + (1) The unexpended balances of amounts
authorized to be expended by the Oregon Economic and Community
Enrolled House Bill 2152 (HB 2152-C) Page 96
Development Commission or the Economic and Community Development
Department for the biennium beginning July 1, 2009, from revenues
dedicated, continuously appropriated, appropriated or otherwise
made available for the purpose of administering and enforcing the
duties, functions and powers transferred to the Oregon
Infrastructure Finance Authority by this 2009 Act are transferred
to the Oregon Business Development Department for the Oregon
Infrastructure Finance Authority and are available for
expenditure by the Oregon Infrastructure Finance Authority for
the biennium beginning July 1, 2009, for the purpose of
administering and enforcing the duties, functions and powers
transferred by this 2009 Act.
(2) The expenditure classifications, if any, established by
Acts authorizing or limiting expenditures by the Oregon Economic
and Community Development Commission or the Economic and
Community Development Department remain applicable to
expenditures by the Oregon Infrastructure Finance Authority under
this section. + }
SECTION 164. { + The transfer of duties, functions and powers
to the Oregon Infrastructure Finance Authority by this 2009 Act
does not affect any action, proceeding or prosecution involving
or with respect to such duties, functions and powers begun before
and pending at the time of the transfer, except that the Oregon
Business Development Department is substituted for the Oregon
Economic and Community Development Commission or the Economic and
Community Development Department in the action, proceeding or
prosecution. + }
SECTION 165. { + (1) Nothing in this 2009 Act relieves a
person of a liability, duty or obligation accruing under or with
respect to the duties, functions and powers transferred to the
Oregon Infrastructure Finance Authority by this 2009 Act. The
Oregon Infrastructure Finance Authority may undertake the
collection or enforcement of any such liability, duty or
obligation.
(2) The rights and obligations of the Oregon Economic and
Community Development Commission and the Economic and Community
Development Department legally incurred under contracts, leases
and business transactions executed, entered into or begun before
the effective date of this 2009 Act accruing under or with
respect to the duties, functions and powers transferred to the
Oregon Infrastructure Finance Authority by this 2009 Act are
transferred to the Oregon Infrastructure Finance Authority. For
the purpose of succession to these rights and obligations, the
Oregon Infrastructure Finance Authority is a continuation of the
Oregon Economic and Community Development Commission or the
Economic and Community Development Department and not a new
authority. + }
SECTION 166. { + Notwithstanding the transfer of duties,
functions and powers to the Oregon Infrastructure Finance
Authority by this 2009 Act, the rules of the Economic and
Community Development Department with respect to such duties,
functions or powers that are in effect on the effective date of
this 2009 Act continue in effect until superseded or repealed by
rules of the Oregon Business Development Department. References
in such rules of the Economic and Community Development
Department to the Oregon Economic and Community Development
Commission or the Economic and Community Development Department
or to an officer or employee of the Oregon Economic and Community
Development Commission or the Economic and Community Development
Department are considered to be references to the Oregon
Enrolled House Bill 2152 (HB 2152-C) Page 97
Infrastructure Finance Authority or an officer or employee of the
Oregon Infrastructure Finance Authority. + }
SECTION 167. { + Whenever, in any uncodified law or resolution
of the Legislative Assembly or in any rule, document, record or
proceeding authorized by the Legislative Assembly, in the context
of the duties, functions and powers transferred to the Oregon
Infrastructure Finance Authority by this 2009 Act, reference is
made to the Oregon Economic and Community Development Commission
or the Economic and Community Development Department, or an
officer or employee of the Oregon Economic and Community
Development Commission or the Economic and Community Development
Department, whose duties, functions or powers are transferred to
the Oregon Infrastructure Finance Authority by this 2009 Act, the
reference is considered to be a reference to the Oregon
Infrastructure Finance Authority or an officer or employee of the
Oregon Infrastructure Finance Authority who is charged with
carrying out such duties, functions and powers. + }
SECTION 168. { + (1) The amendments to ORS 285A.227 by section
28 of this 2009 Act are intended to change the name of the Oregon
Community Development Fund to the Oregon Business, Innovation and
Trade Fund.
(2) For the purpose of harmonizing and clarifying statute
sections published in Oregon Revised Statutes, the Legislative
Counsel may substitute for words designating the 'Oregon
Community Development Fund,' wherever they occur in Oregon
Revised Statutes, other words designating the 'Oregon Business,
Innovation and Trade Fund.' + }
SECTION 169. { + (1) The amendments to ORS 285B.260 by section
79 of this 2009 Act are intended to change the name of the
Regional Investment Fund to the Local Economic Opportunity Fund.
(2) For the purpose of harmonizing and clarifying statute
sections published in Oregon Revised Statutes, the Legislative
Counsel may substitute for words designating the 'Regional
Investment Fund,' wherever they occur in Oregon Revised Statutes,
other words designating the 'Local Economic Opportunity
Fund.' + }
SECTION 170. { + (1) The amendments to ORS 285B.290 by section
83 of this 2009 Act are intended to change the name of the
Industry Outreach Fund to the Industry Competitiveness Fund.
(2) For the purpose of harmonizing and clarifying statute
sections published in Oregon Revised Statutes, the Legislative
Counsel may substitute for words designating the 'Industry
Outreach Fund,' wherever they occur in Oregon Revised Statutes,
other words designating the 'Industry Competitiveness Fund.' + }
SECTION 171. { + ORS 285A.483, 285A.486, 285A.489, 285A.495,
285B.239, 285B.242, 285B.245, 285B.248, 285B.263, 285B.264 and
285B.269 are repealed. + }
SECTION 172. { + Notwithstanding the terms of office specified
by section 1 of this 2009 Act, of the members first appointed by
the Governor to the Oregon Infrastructure Finance Authority
Board:
(1) Two shall serve for a term ending June 30, 2010.
(2) Two shall serve for a term ending June 30, 2011.
(3) Two shall serve for a term ending June 30, 2012. + }
{ +
UNIT CAPTIONS AND EMERGENCY CLAUSE + }
SECTION 173. { + The unit captions used in this 2009 Act are
provided only for the convenience of the reader and do not become
Enrolled House Bill 2152 (HB 2152-C) Page 98
part of the statutory law of this state or express any
legislative intent in the enactment of this 2009 Act. + }
SECTION 174. { + This 2009 Act being necessary for the
immediate preservation of the public peace, health and safety, an
emergency is declared to exist, and this 2009 Act takes effect on
its passage. + }
----------
Passed by House June 18, 2009
Repassed by House June 29, 2009
...........................................................
Chief Clerk of House
...........................................................
Speaker of House
Passed by Senate June 29, 2009
...........................................................
President of Senate
Enrolled House Bill 2152 (HB 2152-C) Page 99
Received by Governor:
......M.,............., 2009
Approved:
......M.,............., 2009
...........................................................
Governor
Filed in Office of Secretary of State:
......M.,............., 2009
...........................................................
Secretary of State
Enrolled House Bill 2152 (HB 2152-C) Page 100