Chapter 274 Oregon Laws 1999

Session Law

AN ACT

HB 2092

Relating to the Oregon Resource and Technology Development Fund; creating new provisions; amending ORS 65.957, 192.502, 284.610, 284.630, 284.640, 284.650, 284.705, 293.701, 293.731 and 293.761; repealing ORS 284.620, 284.660, 284.670, 284.680, 284.690, 284.695, 284.700 and 284.710; appropriating money; and declaring an emergency.

Be It Enacted by the People of the State of Oregon:

SECTION 1. Section 2 of this 1999 Act is added to and made a part of ORS 284.610 to 284.710.

SECTION 2. There is created within the Education Endowment Fund the Oregon Resource and Technology Development Account. Separate records shall be maintained for moneys in the account that are available for the purpose specified in ORS 284.640. The account may be credited with such unrestricted appropriations, gifts, donations, grants or contract proceeds from any source, with investments or funds from any source and with returns on investments made from the account. Moneys in the account are continuously appropriated to the Oregon Resource and Technology Development Account Board for the purposes set forth in ORS 284.610 to 284.710 and to meet the expenses of the board in carrying out the operations of the account and the duties of the board.

SECTION 3. ORS 284.610 is amended to read:

284.610. As used in ORS 284.610 to 284.710:

[(1) "Applied research" means those research activities occurring at research institutions and in private enterprises, which have potential commercial application in key traded sector areas of special importance to the Oregon economy.]

[(2) "Enterprise" means a firm with its principal place of business in Oregon which is engaged or proposes to be engaged in this state in natural resource based or other manufacturing, research and development, or the provision of technology based services including computer software development and information and design industries.]

(1) "Account" means the Oregon Resource and Technology Development Account created by section 2 of this 1999 Act.

(2) "Board" means the Oregon Resource and Technology Development Account Board.

[(3) "Fund" means the Oregon Resource and Technology Development Fund.]

[(4)] (3) "Innovation" means any new technology, product or process without regard to whether a patent has or could be granted.

[(5)] (4) "Management company" means one or more persons or an entity carrying on business or proposing to carry on business in this state which the board [of directors] contracts with to manage and invest the [fund] account.

[(6) "New technology" means the development through science or research of methods, processes and procedures, including but not limited to those involving the utilization of timber and timber by-products, fishery resources and agriculture including aquaculture and viticulture, for practical application in industrial and service situations.]

[(7) "Person" means any individual, partnership, corporation or joint venture carrying on business or proposing to carry on business within the state.]

[(8)] (5) "Product" means any product, device, technique or process, which is or may be exploitable commercially. However, "product" does not refer to pure or basic research but shall apply to such products, devices, techniques or processes which have advanced beyond the theoretical stage and are in a prototype or practice stage.

[(9)] (6) "Qualified security" means any public or private financial arrangement, involving any note, security, debenture, evidence of indebtedness, certificate of interest or participation in any profit-sharing agreement, preorganization certificate or subscription, transferable security, investment contract, certificate of deposit for a security, certificate of interest or participation in a patent or application therefor, or in royalty or other payments under such a patent or application, or, in general, any interest or instrument commonly known as a ["security"] "security," including but not limited to stock issued by corporations, or any certificate for, receipt for, guarantee of, or option, warrant or right to subscribe to or purchase any of the foregoing to the extent allowed by the Oregon Constitution.

[(10) "Research institutions" means nonprofit public and private community colleges, colleges, universities and other research institutions in this state.]

[(11)] (7) "Seed capital" means financing that is provided for the development, refinement and commercialization of a product, process or innovation.

[(12)] (8) "Small business" means [an enterprise engaged in manufacturing] a firm with its principal place of business in Oregon having 200 or fewer employees and all other business [enterprises] firms having 50 or fewer employees.

[(13)] (9) "Traded sector" means those Oregon [enterprises] firms selling goods and services in markets for which national or international competition exists.

SECTION 4. ORS 284.630 is amended to read:

284.630. [(1) The Oregon Resource and Technology Development Fund is created as an independent investment fund pursuant to ORS 293.701 (2).]

[(2)] (1) The [fund] Oregon Resource and Technology Development Account shall be governed by [a board of six directors] the Oregon Resource and Technology Development Account Board. The board shall consist of five members who shall be residents of this state, appointed by the Governor after consultation with the State Treasurer, and subject to Senate confirmation, as follows:

(a) [Three directors] Two members shall be persons from the private sector who have demonstrated leadership, knowledge and experience in key traded sector industries of special importance to the Oregon economy especially those small businesses which include, but are not limited to:

(A) Existing resource based industries of agriculture, forestry, fisheries and metallurgy;

(B) Existing advanced technology industries of computer and instrument manufacturing, and information and design; and

(b) Two [directors] members shall be engineers or scientists who have extensive experience in managing applied scientific and technological research at either educational institutions or in private [enterprises] firms in areas of special importance to the economy of Oregon and who are recognized by their peers for outstanding knowledge and leadership in their fields; and

(c) One [director] member shall represent the private financial sector who has experience in either high-risk venture investments or commercial banking in an industry of special importance to the Oregon economy and who is recognized for outstanding knowledge and leadership.

[(3)] (2) The Governor shall give consideration to geographical representation when making board appointments.

[(4)] (3) A [director] board member shall be appointed for a term running four years from July 1 of the year of appointment. A [director] member shall hold office for the term of the appointment and until the successor shall have been appointed and confirmed. In the event of a vacancy, the vacancy shall be filled by the Governor in the manner provided for appointments for the remainder of the unexpired portion of the term.

[(5)] (4) Members of the board [of directors] shall, in their dealings with [enterprises] firms that may receive financing through the [fund] account, declare any potential conflict of interest prior to taking any actions relating to that transaction in accordance with [ORS 60.361] ORS 244.120, 244.130 and 244.135.

[(6)] (5) The board [of directors may select a president who is not a board member, or] may enter into [a contract] contracts with [a] one or more management [company] companies to manage and invest the [fund. Upon executing a contract with a management company, employees of the fund shall be terminated.] moneys in the account. For purposes of this subsection, a contract with a management company may consist of a partnership agreement under which the board is the limited partner and the management company is the general partner. Any contract so entered into and functions performed thereunder are not subject to the State Personnel Relations Law or ORS 279.545 to 279.746.

[(7)] (6) [Notwithstanding ORS 293.726, the president or] All management [company] companies shall manage the [fund] moneys in the account in accordance with ORS [284.620 and] 284.640 and subject to the investment policies, directives or strategies developed by the board. The standard set forth in ORS 293.726 for the Oregon Investment Council and the balance of the Education Endowment Fund shall not apply to the account. Nevertheless, all management companies shall exercise the care, skill and diligence that a prudent investor acting in a like capacity and familiar with such investments would use in managing and investing [a fund] moneys in an account of like character. [In managing the fund according to this standard, individual investments shall be considered as part of an overall investment strategy as set forth in ORS 284.620 and 284.640.]

[(8)] (7) The board [of directors] shall hold all board meetings in Oregon.

[(9)] (8) Members of the board [of directors] are entitled to compensation and expenses as provided in ORS 292.495.

[(10)] (9) The board [of directors] shall annually select from the membership one member as chair, one member as vice chair and one member as secretary.

[(11)] (10) The board [of directors] shall meet at least once during each calendar quarter upon call by the [president, the] chair or upon written request of a majority of the [directors] board members.

[(12)] (11) A majority of the members of the board [of directors] shall be necessary to transact [fund] account business, and all actions of the [directors] board shall be by a majority vote of the full number of [corporate directors] board members.

[(13)] (12) The [directors] board shall establish an executive committee composed of the chair and one additional member chosen by the chair from the remaining [directors] board members. The executive committee, in intervals between board meetings, may transact any board business that has been delegated to the executive committee.

[(14)] (13) The [directors] board members may establish such other committees as they wish and delegate to the committees such duties as the [directors] board members consider desirable.

SECTION 5. ORS 284.640 is amended to read:

284.640. (1) The purpose of the Oregon Resource and Technology Development [Fund] Account is to [foster innovation in existing industry and the development of new industry in key traded-sector areas of special importance to the Oregon economy, especially in those small businesses] earn returns for the Education Endowment Fund by making investments in small businesses including, but not limited to, investments in small businesses engaged in:

(a) Existing resource based industries of agriculture, forestry, fisheries and metallurgy;

(b) Existing advanced technology industries of electronics, computer and instrument manufacturing, computer software and information and design; and

(2) The [fund shall] Oregon Resource and Technology Development Account Board may achieve the purpose of the account stated in subsection (1) of this section by[:]

[(a)] engaging in seed capital financing of small businesses. [to develop and take to market innovations or new technologies for existing resource, technology based and emerging traded-sector industries;]

[(b) Making applied research investments in research institutions and private enterprises to move innovation and applied research toward commercial application; and]

[(c) Providing managerial assistance and technical referral services to such small, new, emerging or mature traded-sector enterprises and encouraging research institutions to establish technical information databases and technology transfer offices which are easily accessible by both private and public sector organizations.]

[(3) The fund shall achieve the purposes of subsections (1) and (2) of this section by investigating the potential for developing innovation and new or alternative products or processes which include, but are not limited to:]

[(a) Crops that diversify the agricultural production base within the state and require additional, value-added manufacturing to refine the raw agricultural products;]

[(b) Products that use wood or wood by-products, or require new technology in designing, engineering and manufacturing wood components and structures. Such research activities would include evaluating wood as an architectural and engineering medium, and examining the manufacturing process used to harvest, mill and give final shape to wood; and]

[(c) Activities bearing directly on and contributing to establishing, enhancing or maintaining Oregon marine resource based economies. Such activities shall include research basic to the problems of marine resources in their broadest aspects, and investigations to develop and improve the contribution of marine resources to the coastal communities and enterprises of this state.]

SECTION 6. ORS 284.650 is amended to read:

284.650. (1) To carry out the purposes specified in ORS 284.640, the Oregon Resource and Technology Development Account Board [of directors of the Oregon Resource and Technology Development Fund] shall have all the powers necessary to carry out its purposes, which shall include [the powers granted to the Oregon Investment Council under ORS 293.701 to 293.790, and include], but are not limited to, the power to:

[(1)] (a) Make, amend and repeal [bylaws,] rules and regulations for the management of its affairs;

[(2)] (b) [Adopt an official seal] Formulate investment policies, directives or strategies for the investment of moneys in the Oregon Resource and Technology Development Account;

[(3)] (c) [Sue and be sued] Approve or direct specific investments for moneys in the account and to make investments directly, without the use of a management company, in any form or manner that would be lawful for a private corporation having purposes similar to the account;

[(4)] (d) Make contracts and execute all instruments necessary or convenient for carrying out its business including, but not limited to, entering into contracts for the provision of investment advice or other services that the board deems reasonable and necessary to fulfill the duties of the board. Such contracts are not subject to State Personnel Relations Law or ORS 279.545 to 279.746;

[(5)] (e) Acquire, own, hold, dispose of and encumber real or personal property of any nature, both tangible and intangible, or any interest therein;

[(6) Enter into agreements or other transactions with any federal, state, county or municipal agency and with any individual, corporation, enterprise, association or any other entity involving applied research and technology;]

[(7)] (f) Acquire real property or an interest therein, by purchase or foreclosure, where such acquisition is necessary or appropriate to protect or secure any investment or loan in which the [fund] account has an interest;

[(8)] (g) Sell, transfer and convey any such property to a buyer, and in the event such sale, transfer or conveyance cannot be effected with reasonable promptness or at a reasonable price, to lease such property to a tenant;

[(9)] (h) Invest any [funds] moneys appropriated by the state and [held in reserve in funds] not required for immediate disbursement[,] or investment in short-term securities [such investments that may be lawful for fiduciaries in this state, and invest funds received from gifts, grants, donations and other operations of the fund in such investments as would be lawful for a private corporation having purposes similar to the fund];

[(10) Borrow money and give guaranties, provided that the indebtedness and other obligations of the fund shall be payable solely out of its own resources, and shall not constitute a pledge of the full faith and credit of the state or any of its revenues;]

[(11) Appoint officers, consultants, agents and advisors, and prescribe their duties;]

[(12) Appear in its own behalf before boards, commissions, departments or other agencies of municipal, county or state government or Federal Government;]

[(13) Procure insurance against any losses in connection with its properties in such amounts from such insurers as may be necessary or desirable;]

[(14) Consent, subject to the provisions of any contract with note-holders, whenever it considers it necessary or desirable in the fulfillment of the purposes of ORS 284.610 to 284.710, to the modifications, with respect to the rate of interest, time payment or of any installment, of principal and interest or any terms of any contract or agreement of any kind to which the fund is a party;]

[(15) Accept any and all donations, grants, bequests and devises, conditional and otherwise, of money, property, services or other things of value, including any interest or earnings thereon, which may be received from the United States or any agency thereof, any governmental agency, or any institution, person, firm or corporation, public or private, to be held, used or applied for any or all of the purposes specified in ORS 284.610 to 284.710, in accordance with the terms and conditions of any such grant. Receipt of each such donation or grant shall be detailed in the fund's annual report. Such report shall include the donor or lender's identity, the nature of the transaction, and any conditions;]

[(16)] (i) Trade, buy or sell qualified securities;

[(17) Finance, conduct or cooperate in the financing or conducting of scientific, technological, business, financial or other investigations which are related to or likely to lead to business and economic development, involving natural resources, innovation, applied research and new technology, by making and entering into contracts or other appropriate arrangements, including the provisions of grants, loans and other forms of assistance;]

[(18) Solicit, study and assist in the preparation of business plans and proposals of new or established resource and technologically oriented enterprises, particularly in those traded-sector areas of special importance to the Oregon economy;]

[(19) Prepare, publish and distribute, with or without charge as the fund may determine, such technological studies, reports, bulletins and other materials as it considers appropriate, subject only to the maintenance and responsibility for confidentiality of the client proprietary information and encourage educational institutions to develop and disseminate similar materials;]

[(20) Organize, conduct, sponsor or cooperate with, and assist both the private sector and research institutions in the conduct of, special institutes, conferences, demonstrations and studies relating to the stimulation and formulation of innovation, applied science and technologically oriented enterprises and studies relating to the formulation of resource and technologically oriented enterprises and industry endeavors;]

[(21) Provide and pay for such advisory services and technical assistance that may be necessary or desirable to carry out the purposes of ORS 284.610 to 284.710;]

[(22)] (j) Own, possess, [and] take license in and grant license to[,] patents, copyrights, [and] proprietary processes and other intellectual property, and negotiate and enter into contracts and establish charges for the use of such patents, copyrights and proprietary processes, when such patents and licenses for innovation or inventions result from [research sponsored by the fund in an enterprise or when the fund finances a product developed by an enterprise] financing provided by the account to the small business that developed the relevant product;

[(23) Negotiate royalty payments to the fund on patents and licenses for innovations or inventions arising in the course of research sponsored by the fund at research institutions including those within the State System of Higher Education. Such negotiated royalty arrangements should reflect an appropriate sharing of legal risk as well as financial return between the fund and research institution. Such patents and licenses shall be in keeping with the patent policies of the State Board of Higher Education;]

[(24)] (k) Exercise any other powers necessary for the operation and functioning of the [fund] account within the purposes authorized in ORS 284.610 to 284.710; and

[(25) Participate with any state agency or research institution in developing specific programs and goals to assist in the development of industrial innovation, applied research and new technology in those traded-sector areas of special importance to the Oregon economy and monitor performance;]

[(26) Provide resource based, scientific and technological data and information required by the Governor, the Legislative Assembly, or its committees, and to state agencies, educational institutions and cities, counties and school districts and to private citizens and groups, within the limitations of the resources available to the fund. This service shall be in addition to any services currently provided by any educational institution, committee or other organization; and]

[(27)] (L) Hold all operating funds from whatever sources, including interest or earnings thereon, in accounts separate and distinct from the General Fund.

(2) In performing duties and functions under this section and fulfilling the duties set forth in ORS 284.610 to 284.710, the board shall exercise the care, skill and diligence that a prudent investor acting in a like capacity and familiar with such investments would use in managing and investing an account of like character.

SECTION 7. ORS 284.705 is amended to read:

284.705. (1) Actions of the Oregon Resource and Technology Development Account Board [of directors of the Oregon Resource and Technology Development Fund] in processing, approving or denying applications for financing from the [fund] Oregon Resource and Technology Development Account are not subject to ORS 183.310 to 183.550.

(2) [Except as otherwise provided by law,] The provisions of [ORS 184.305 to 184.345 and] ORS chapters [240,] 276, 279[, 282, 283,] and 291 [and 292 and ORS 293.075 to 293.660] do not apply to the [fund] account or [its] the board [of directors].

(3) Notwithstanding subsections (1) and (2) of this section, ORS 279.053[,] and 279.800 [to 279.830, 282.210 to 282.230, 293.240, 293.260, 293.262 and 293.505 (2)] shall apply to the [fund and any subsidiary formed or acquired by the fund] account.

SECTION 8. Sections 9 and 10 of this 1999 Act are added to and made a part of ORS 284.610 to 284.710.

SECTION 9. The Oregon Resource and Technology Development Account Board, under ORS 190.110, may enter into an interagency agreement with a state agency under which the state agency cooperates with and assists the board in carrying out the duties of the board under ORS 284.610 to 284.710 and sections 11 to 14 of this 1999 Act by providing such clerical and administrative services as the board may require. In addition to any other state agency that is so authorized, the Economic Development Department and the Oregon Department of Administrative Services may enter into interagency agreements with the board to provide such clerical and administrative services as the board may require. The Economic Development Department, the Oregon Department of Administrative Services and any other state agency providing services to the board may charge to the Oregon Resource and Technology Development Account its administrative expenses incurred in providing clerical and administrative services to the board under the interagency agreement.

SECTION 10. The Oregon Resource and Technology Development Account Board shall provide to other state agencies, including but not limited to the State Treasurer and the Oregon Investment Council, any reports on the investment of moneys in the Oregon Resource and Technology Development Account that are necessary to fulfill audit, financial, investment or other reporting requirements to which the Education Endowment Fund is subject by law or standard accounting principles.

SECTION 11. Upon the effective date of this 1999 Act, all assets of the Oregon Resource and Technology Development Fund established under ORS 284.630 (1) (1997 Edition) and ORS 284.680 (1997 Edition) shall be considered transferred to the Oregon Resource and Technology Development Account established under section 2 of this 1999 Act.

SECTION 12. Upon the effective date of this 1999 Act, the board of directors described and currently serving under ORS 284.630 (1997 Edition) shall serve as, and be considered to be, the Oregon Resource and Technology Development Account Board established by the amendments to ORS 284.630 by section 4 of this 1999 Act. The duties, functions and powers of the board of directors of the Oregon Resource and Technology Development Fund are hereby transferred and assigned to the Oregon Resource and Technology Development Account Board described in ORS 284.630. By continuing to serve on the Oregon Resource and Technology Development Account Board, the board members shall be considered to have accepted the duties, functions and powers of the board of directors of the Oregon Resource and Technology Development Fund.

SECTION 13. Any proceeding, action, prosecution or other business or matter undertaken or commenced before the effective date of this 1999 Act by the board of directors of the Oregon Resource and Technology Development Fund that is still pending on the effective date of this 1999 Act may be conducted and completed by the Oregon Resource and Technology Development Account Board in the same manner, under the same terms and conditions and with the same effect as though undertaken, conducted or completed by the board of directors of the Oregon Resource and Technology Development Fund before the transfer.

SECTION 14. The Oregon Resource and Technology Development Account is considered to be a continuation of the Oregon Resource and Technology Development Fund and the Oregon Resource and Technology Development Account Board is considered to be a continuation of the board of directors of the Oregon Resource and Technology Development Fund with respect to the duties, functions and powers of the Oregon Resource and Technology Development Fund and its board of directors, and not new authorities, for the purpose of succession to all assets, rights and obligations of the Oregon Resource and Technology Development Fund and its board of directors.

SECTION 15. Whenever, in any law or resolution of the Legislative Assembly or in any rule, document or proceeding authorized thereby, reference is made to the Oregon Resource and Technology Development Fund and the board of directors of the Oregon Resource and Technology Development Fund, such reference is considered to describe, respectively, the Oregon Resource and Technology Development Account and the Oregon Resource and Technology Development Account Board.

SECTION 16. For the purpose of harmonizing and clarifying statute sections published in Oregon Revised Statutes, the Legislative Counsel may substitute for words designating the Oregon Resource and Technology Development Fund and the board of directors of the Oregon Resource and Technology Development Fund, wherever they occur in Oregon Revised Statutes, other words designating, respectively, the Oregon Resource and Technology Development Account and the Oregon Resource and Technology Development Account Board.

SECTION 17. ORS 192.502 is amended to read:

192.502. The following public records are exempt from disclosure under ORS 192.410 to 192.505:

(1) Communications within a public body or between public bodies of an advisory nature to the extent that they cover other than purely factual materials and are preliminary to any final agency determination of policy or action. This exemption shall not apply unless the public body shows that in the particular instance the public interest in encouraging frank communication between officials and employees of public bodies clearly outweighs the public interest in disclosure.

(2) Information of a personal nature such as but not limited to that kept in a personal, medical or similar file, if the public disclosure thereof would constitute an unreasonable invasion of privacy, unless the public interest by clear and convincing evidence requires disclosure in the particular instance. The party seeking disclosure shall have the burden of showing that public disclosure would not constitute an unreasonable invasion of privacy.

(3)(a) Public body employee or volunteer addresses and telephone numbers contained in personnel records maintained by the public body that is the employer or the recipient of volunteer services. This exemption does not apply:

(A) To such employees or volunteers if they are elected officials, except that a judge or district attorney subject to election may seek to exempt the judge's or district attorney's address or telephone number, or both, under the terms of ORS 192.445; or

(B) To such employees or volunteers to the extent that the party seeking disclosure shows by clear and convincing evidence that the public interest requires disclosure in a particular instance.

(b) Nothing in this subsection exempting employee records from disclosure relieves a public employer of any duty under ORS 243.650 to 243.782.

(4) Information submitted to a public body in confidence and not otherwise required by law to be submitted, where such information should reasonably be considered confidential, the public body has obliged itself in good faith not to disclose the information, and when the public interest would suffer by the disclosure.

(5) Information or records of the Department of Corrections, including the State Board of Parole and Post-Prison Supervision, to the extent that disclosure thereof would interfere with the rehabilitation of a person in custody of the department or substantially prejudice or prevent the carrying out of the functions of the department, if the public interest in confidentiality clearly outweighs the public interest in disclosure.

(6) Records, reports and other information received or compiled by the Director of the Department of Consumer and Business Services in the administration of ORS chapters 723 and 725 not otherwise required by law to be made public, to the extent that the interests of lending institutions, their officers, employees and customers in preserving the confidentiality of such information outweighs the public interest in disclosure.

(7) Reports made to or filed with the court under ORS 137.077 or 137.530.

(8) Any public records or information the disclosure of which is prohibited by federal law or regulations.

(9) Public records or information the disclosure of which is prohibited or restricted or otherwise made confidential or privileged under Oregon law.

(10) Public records or information described in this section, furnished by the public body originally compiling, preparing or receiving them to any other public officer or public body in connection with performance of the duties of the recipient, if the considerations originally giving rise to the confidential or exempt nature of the public records or information remain applicable.

(11) Records of the Energy Facility Siting Council concerning the review or approval of security programs pursuant to ORS 469.530.

(12) Employee and retiree address, telephone number and other nonfinancial membership records and employee financial records maintained by the Public Employees Retirement System pursuant to ORS chapter 238 and ORS 238.410.

(13) Records submitted by private persons or businesses to the State Treasurer or the Oregon Investment Council relating to proposed acquisition, exchange or liquidation of public investments under ORS chapter 293 may be treated as exempt from disclosure when and only to the extent that disclosure of such records reasonably may be expected to substantially limit the ability of the Oregon Investment Council to effectively compete or negotiate for, solicit or conclude such transactions. Records which relate to concluded transactions are not subject to this exemption.

(14) The monthly reports prepared and submitted under ORS 293.761 and 293.766 concerning the Public Employees Retirement Fund and the Industrial Accident Fund may be uniformly treated as exempt from disclosure for a period of up to 90 days after the end of the calendar quarter.

(15) Reports of unclaimed property filed by the holders of such property to the extent permitted by ORS 98.352.

(16) The following records, communications and information submitted to the Oregon Economic Development Commission, the Economic Development Department, the State Department of Agriculture, the Oregon Resource and Technology Development [Corporation] Account or the Oregon Resource and Technology Development Account Board, the Port of Portland or other ports, as defined in ORS 777.005, by applicants for investment funds, loans or services including, but not limited to, those described in ORS 285A.224:

(a) Personal financial statements.

(b) Financial statements of applicants.

(d) Information of an applicant pertaining to litigation to which the applicant is a party if the complaint has been filed, or if the complaint has not been filed, if the applicant shows that such litigation is reasonably likely to occur; this exemption does not apply to litigation which has been concluded, and nothing in this paragraph shall limit any right or opportunity granted by discovery or deposition statutes to a party to litigation or potential litigation.

(e) Production, sales and cost data.

(f) Marketing strategy information that relates to applicant's plan to address specific markets and applicant's strategy regarding specific competitors.

(17) Records, reports or returns submitted by private concerns or enterprises required by law to be submitted to or inspected by a governmental body to allow it to determine the amount of any transient lodging tax payable and the amounts of such tax payable or paid, to the extent that such information is in a form which would permit identification of the individual concern or enterprise. Nothing in this subsection shall limit the use which can be made of such information for regulatory purposes or its admissibility in any enforcement proceedings. The public body shall notify the taxpayer of the delinquency immediately by certified mail. However, in the event that the payment or delivery of transient lodging taxes otherwise due to a public body is delinquent by over 60 days, the public body shall disclose, upon the request of any person, the following information:

(a) The identity of the individual concern or enterprise that is delinquent over 60 days in the payment or delivery of the taxes.

(b) The period for which the taxes are delinquent.

(18) All information supplied by a person under ORS 151.430 to 151.491 for the purpose of requesting court-appointed counsel, and all information supplied to the State Court Administrator from whatever source for the purpose of verifying indigency of a person pursuant to ORS 151.430 to 151.491.

(19) Workers' compensation claim records of the Department of Consumer and Business Services, except in accordance with rules adopted by the Director of the Department of Consumer and Business Services, in any of the following circumstances:

(a) When necessary for insurers, self-insured employers and third party claim administrators to process workers' compensation claims.

(b) When necessary for the director, other governmental agencies of this state or the United States to carry out their duties, functions or powers.

(c) When the disclosure is made in such a manner that the disclosed information cannot be used to identify any worker who is the subject of a claim.

(d) When a worker or the worker's representative requests review of the worker's claim record.

(20) Sensitive business records or financial or commercial information of the Oregon Health Sciences University that is not customarily provided to business competitors.

(21) Records of the Oregon Health Sciences University regarding candidates for the position of university president.

(22) The records of a library, including circulation records, showing use of specific library material by a named person or consisting of the name of a library patron together with the address or telephone number, or both, of the patron.

(23) The following records, communications and information submitted to the Housing and Community Services Department by applicants for and recipients of loans, grants and tax credits:

(a) Personal and corporate financial statements and information, including tax returns.

(b) Credit reports.

(d) Market studies and analyses.

(e) Articles of incorporation, partnership agreements and operating agreements.

(f) Commitment letters.

(g) Project pro forma statements.

(h) Project cost certifications and cost data.

(i) Audits.

(j) Project tenant correspondence requested to be confidential.

(k) Tenant files relating to certification.

(L) Housing assistance payment requests.

(24) Raster geographic information system (GIS) digital databases, provided by private forestland owners or their representatives, voluntarily and in confidence to the State Forestry Department, that is not otherwise required by law to be submitted.

SECTION 18. ORS 293.731 is amended to read:

293.731. Subject to the objective set forth in ORS 293.721 and the standards set forth in ORS 293.726, the Oregon Investment Council shall formulate policies for the investment and reinvestment of moneys in the investment funds and the acquisition, retention, management and disposition of investments of the investment funds. The council, from time to time, shall review those policies and make changes therein as it considers necessary or desirable. The council may formulate separate policies for any fund included in the investment funds. This section does not apply to the Oregon Resource and Technology Development [Fund or its board of directors] Account, to the Oregon Resource and Technology Development Account Board, to the Oregon Growth Account or to the Oregon Growth Account Board.

SECTION 19. ORS 293.761 is amended to read:

293.761. The investment officer shall report [monthly] quarterly to the officer or body having control and administration of each fund included in the investment funds the changes in investments made during the preceding month for the fund. If requested by the officer or body, the investment officer shall furnish to the officer or body the details on the investment transactions for any fund. [This section does not apply to the Oregon Resource and Technology Development Fund or its board of directors.] The investment officer shall separately identify investments held in the Oregon Growth Account established in ORS 348.702 and the Oregon Resource and Technology Development Account established in section 2 of this 1999 Act as part of the report on the Education Endowment Fund required by this section.

SECTION 20. ORS 65.957 is amended to read:

65.957. (1) This chapter applies to all domestic corporations in existence on October 3, 1989, that were incorporated under any general statute of this state providing for incorporation of nonprofit corporations if power to amend or repeal the statute under which the corporation was incorporated was reserved.

(2) Without limitation as to any other corporations which may be outside the scope of subsection (1) of this section, this chapter does not apply to the following:

(a) The Oregon State Bar and the Oregon State Bar Professional Liability Fund created under ORS 9.005 to 9.755;

(b) The Oregon Resource and Technology Development [Corporation] Account and the Oregon Resource and Technology Development Account Board created under ORS chapter 284;

(d) The Oregon Insurance Guaranty Association and the Oregon Life and Health Insurance Guaranty Association created under ORS chapter 734; and

(e) The Oregon FAIR Plan Association and the Oregon Medical Insurance Pool created under ORS chapter 735.

(3) A public benefit corporation that has less than three directors on October 3, 1989, shall comply with ORS 65.307 (1) by October 3, 1990.

SECTION 21. ORS 293.701 is amended to read:

293.701. As used in ORS 293.701 to 293.820, unless the context requires otherwise:

(1) "Council" means the Oregon Investment Council.

(2) "Investment funds" means:

(a) Public Employees Retirement Fund referred to in ORS 238.660;

(b) Industrial Accident Fund referred to in ORS 656.632;

(d) Employment Department Special Administrative Fund referred to in ORS 657.822;

(e) Insurance Fund referred to in ORS 278.425;

(f) Funds under the control and administration of the Division of State Lands;

(g) State Scholarship Commission Fund referred to in ORS 348.570;

(h) Moneys made available to the Commission for the Blind under ORS 346.270 and 346.540 or rules adopted thereunder;

(i) Forest rehabilitation bonds sinking fund referred to in ORS 530.280;

(j) Oregon War Veterans' Fund referred to in ORS 407.495;

(k) Oregon War Veterans' Bond Sinking Account referred to in ORS 407.515;

(L) World War II Veterans' Compensation Fund;

(m) World War II Veterans' Bond Sinking Fund;

(n) Savings and loan association funds in the hands of the Director of the Department of Consumer and Business Services;

(o) Funds in the hands of the State Treasurer that are not required to meet current demands;

(p) State funds that are not subject to the control and administration of officers or bodies specifically designated by law;

(q) Funds derived from the sale of state bonds;

(r) Social Security Revolving Account referred to in ORS 237.490;

(s) Investment funds of the State Board of Higher Education lawfully available for investment or reinvestment;

(t) Local Government Employer Benefit Trust Fund referred to in ORS 657.513;

(u) Western Oregon Timber Tax Reserve Account referred to in ORS 321.299;

(v) Elderly and Disabled Special Transportation Fund established by ORS 391.800;

(w) Oregon Resource and Technology Development [Fund] Account established by ORS 284.630;

(x) Education Endowment Fund established by ORS 348.696; and

(y) Deferred Compensation Fund established under ORS 243.411.

(3) "Investment officer" means the State Treasurer in the capacity as investment officer for the council.

SECTION 22. ORS 284.620, 284.660, 284.670, 284.680, 284.690, 284.695, 284.700 and 284.710 are repealed.

SECTION 23. This 1999 Act being necessary for the immediate preservation of the public peace, health and safety, an emergency is declared to exist, and this 1999 Act takes effect on its passage.

Approved by the Governor June 16, 1999

Filed in the office of Secretary of State June 17, 1999

Effective date June 16, 1999

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