Chapter 94 — Real
Property Development
2011 EDITION
REAL PROPERTY DEVELOPMENT
PROPERTY RIGHTS AND TRANSACTIONS
DEVELOPMENT AGREEMENTS
94.504 Development
agreements; contents; duration; effect on affordable housing covenants
94.508 Approval
by governing body; findings; adoption
94.513 Procedures
on consideration and approval
94.518 Application
of local government law and policies to agreement
94.522 Amendment
or cancellation of agreement; enforceability
94.528 Recording
TRANSFERABLE DEVELOPMENT CREDITS
94.531 Severable
development interest in real property; transferable development credit
94.534 Policy
on transferable development credit systems
94.536 Definitions
for ORS 94.536 and 94.538
94.538 Transferable
development credit systems
PLANNED COMMUNITIES
(General Provisions)
94.550 Definitions
for ORS 94.550 to 94.783
94.560 Legislative
findings
(Creation of Planned Community)
94.565 Planned
community to be created under ORS 94.550 to 94.783; exception; conveyance of
lot or unit prohibited until declaration recorded
94.570 Applicability
of ORS 94.550 to 94.783
94.572 Applicability
of certain provisions of ORS 94.550 to 94.783 to Class I or Class II planned
communities
94.575 Applicability
of subdivision law
94.580 Declaration;
recordation; contents
94.585 Authority
to amend declaration and initial bylaws to comply with federal or state laws
94.590 Amendment
of declaration by owners
94.595 Reserve
account for maintaining, repairing and replacing common property; reserve
study; maintenance plan
(Declarant
Control; Turnover of Administrative Control)
94.600 Declarant control of association
94.604 Transitional
advisory committee
94.609 Notice
of meeting to turn over administrative responsibility
94.616 Turnover
meeting; transfer of administration; receivership
94.621 Rights
of declarant following turnover meeting
94.622 Obligations
and liabilities arising from transfer of special declarant
rights
94.623 Acquisition
of special declarant rights by successor declarant; exceptions
(Homeowners Association; Management of
Planned Community)
94.625 Formation
of homeowners association; adoption of initial bylaws; amendment of bylaws
94.626 Corporate
dissolution of association
94.630 Powers
of association
94.635 Association
bylaws
94.639 Criteria
for board of directors membership
94.640 Association
board of directors; powers and duties; removal of director; meetings; executive
sessions
94.641 Assent
of director to board action
94.642 Receivership
for failure of homeowners association to fill vacancies on board of directors
94.645 Adoption
of annual budget
94.647 Use
of written ballot for approving or rejecting matters subject to meeting of
association members; procedures; exceptions
94.650 Meetings
of lot owners; notice
94.652 Electronic
notice to owner or director
94.655 Quorum
for association meetings
94.657 Rules
of order
94.658 Voting
or granting consent
94.660 Method
of voting or consenting
94.661 Electronic
ballot
94.662 Notice
to lot owners of intent of association to commence judicial or administrative
proceeding; contents of notice; right of lot owner to opt out
94.665 Authority
of association to sell, transfer, convey or encumber common property
94.667 Recording
association information with county clerk
94.670 Association
duty to keep documents and records; deposit of assessments; payment of
association expenses; review of financial statement by certified public
accountant; examination of records by owner
94.673 When
compliance with specified provisions of ORS 94.640 and 94.670 required
94.675 Insurance
for common property
94.676 Insurance
deductible for certain planned communities
94.677 Election
to have ORS 94.645, 94.655 and 94.675 apply
94.680 Blanket
all-risk insurance
94.685 Specification
of insurance for individual lots
94.690 Terms
of insurance under ORS 94.680
94.695 Authority
to delegate association powers to master association
94.700 Duration
and termination of initial management agreements and service and employment
contracts; exceptions
(Assessments and Liens Against Lots;
Easements)
94.704 Assessment
and payment of common expenses
94.709 Liens
against lots; priority; duration; record notice of claim of unpaid assessment;
foreclosure procedure
94.712 Lot
owner personally liable for assessment; joint liability of grantor and grantee
following conveyance; limitation
94.716 Lien
against two or more lots; release
94.719 Lien
foreclosure; other legal action by declarant,
association or owner; attorney fees
94.723 Common
expenses; liability of first mortgagee
94.728 Taxation
of lots and common property
94.733 Easements
held by owner of lot and by declarant; homeowners
association access to lots
(Miscellaneous)
94.760 Promotional
material showing possible improvements
94.764 Changes
or actions that require approval or consent of mortgagee
94.770 Application
of rule against perpetuities; conflict between declaration and bylaws; effect
on title of declaration’s noncompliance with Oregon Planned Community Act;
conflict between Oregon Planned Community Act and ORS chapter 65
94.775 Judicial
partition prohibited
94.777 Compliance
with bylaws and other restrictions required; effect of noncompliance
94.780 Remedies
94.783 When
certain administrative provisions apply
94.785 Short
title
TIMESHARE ESTATES
(General Provisions)
94.803 Definitions
for ORS 94.803 and 94.807 to 94.945
94.806 Legislative
finding
94.807 Application
94.808 Managing
entity as taxpayer
94.809 Valuation
of timeshare property; exclusions from value
94.811 When
owners of planned community, condominium or subdivision may prohibit timeshare
plan
(Creation of Timeshare Estates)
94.813 Character
of timeshare estates
94.816 Partition
prohibited; exception
94.818 Recording
of timeshare instrument; payments required
94.821 Content
of timeshare instrument
94.823 Notice
of intent to sell timeshares; form and content; rules
94.826 Information
on exchange program; content; rules
94.828 Public
report on plan
94.829 Sale
not allowed before issuance of public report; distribution and uses of report
94.831 Filing
fees; inspection advance payment; disposition of moneys
94.833 Sale
of timeshare plan located out-of-state
(Purchaser’s Rights)
94.836 Cancellation
of purchase within five days
94.839 Notice
of cancellation right
94.841 Waiver
of rights void
94.843 Limits
on developer right to transfer
(Association of Owners; Management)
94.846 Designation
of managing entity; duties and powers of entity
94.848 How
managing entity of developer terminated
94.853 Payment
of common expenses
94.856 Assessment
of common expenses as lien; recording; foreclosure; fees; remedies; exception
94.858 Owners’
association; powers and duties
94.863 Developer’s
duty to managing entity
94.867 Judicial
declaration of failure in management
94.869 Insurance
coverage
(Escrow)
94.871 When
purchase money agreement prohibited; escrow requirements
94.873 Escrow
account; closing; release
94.876 Requirements
for closing escrow
94.878 Duties
of escrow agent
94.881 Who
may serve as escrow agent
(Lien Payment)
94.885 Rights
of lienholder
94.890 Lien
payment trust; payments; delinquencies
94.895 Trust
irrevocable without alternative arrangement
94.900 Alternative
to lien payment trust
94.905 Surety
bond
(Enforcement)
94.915 Inspection
of records; rules; uniform standards
94.920 Consent
to service by out-of-state developer
94.925 Civil
penalty
94.930 Commissioner
order; injunctive relief
(Prohibited Practices)
94.940 False
practices prohibited
94.945 Advertising
regulation
MEMBERSHIP CAMPGROUNDS
94.953 Definitions
for ORS 94.953 to 94.989
94.956 Registration
required to sell membership camping contract
94.959 Application
for registration
94.962 Exemptions
from registration
94.965 Effective
date of registration
94.968 Denial,
suspension and revocation of registration; other sanctions
94.971 Fee
for registration or amendment of an offer or sale of membership camping
contract
94.974 Written
disclosures required; procedures; inspection of records
94.975 False
practices prohibited
94.976 Advertising
regulation
94.977 Registration
as salesperson or broker
94.980 Application
for registration; fee
94.983 Cancellation
of contract by purchaser; notice of right to cancel
94.986 Requirements
for sale of membership camping contract; nondisturbance
agreements
94.987 Judicial
declaration of failure in management
94.989 Interpretation
of membership camping contracts; application of Unlawful Trade Practices Act
94.004
[Formerly 91.500; 1983 c.530 §48; 1987 c.459 §1; 1989 c.595 §1;
renumbered 100.005 in 1989]
94.005
[Repealed by 1971 c.478 §1]
94.010
[Repealed by 1971 c.478 §1]
94.011
[Formerly 91.503; renumbered 100.010 in 1989]
94.013 [1987 c.459 §6; 1989 c.595 §2;
renumbered 100.020 in 1989]
94.015
[Repealed by 1971 c.478 §1]
94.016 [1987 c.459 §39; renumbered 100.025 in 1989]
94.017
[Formerly 91.504; 1987 c.459 §37; 1989 c.595 §3; renumbered 100.185 in 1989]
94.020
[Repealed by 1971 c.478 §1]
94.021 [1987 c.459 §3; 1989 c.595 §4;
renumbered 100.150 in 1989]
94.022 [1987 c.459 §4; 1989 c.595 §5;
renumbered 100.155 in 1989]
94.023
[Formerly 91.506; 1987 c.459 §7; 1989 c.595 §6; renumbered 100.100 in 1989]
94.025
[Repealed by 1971 c.478 §1]
94.029
[Formerly 91.509; 1983 c.530 §49; 1983 c.615 §1; 1987 c.459 §8; 1989 c.595 §7; renumbered 100.105 in 1989]
94.030
[Repealed by 1971 c.478 §1]
94.035
[Repealed by 1971 c.478 §1]
94.036
[Formerly 91.512; 1983 c.615 §2; 1983 c.740 §7a; 1987 c.459 §9; renumbered 100.110 in 1989]
94.040
[Repealed by 1971 c.478 §1]
94.042 [Formerly
91.515; 1983 c.309 §8; 1985 c.582
§2; 1987 c.459 §10; 1989 c.595
§8; renumbered 100.115 in 1989]
94.045
[Repealed by 1971 c.478 §1]
94.047
[Formerly 91.518; 1983 c.309 §8a;
1987 c.459 §11; 1989 c.595 §9;
renumbered 100.120 in 1989]
94.048 [1987 c.459 §3a; renumbered 100.125 in
1989]
94.050
[Repealed by 1971 c.478 §1]
94.053
[Formerly 91.519; 1983 c.309 §8b;
renumbered 100.130 in 1989]
94.055
[Repealed by 1971 c.478 §1]
94.059
[Formerly 91.521; 1983 c.615 §3; 1987 c.459 §12; renumbered 100.135 in 1989]
94.060
[Repealed by 1971 c.478 §1]
94.065
[Repealed by 1971 c.478 §1]
94.066 [1981 c.647 §30; renumbered 100.170 in 1989]
94.070
[Repealed by 1971 c.478 §1]
94.072 [1981 c.647 §33; renumbered 100.175 in 1989]
94.075
[Repealed by 1971 c.478 §1]
94.078 [1981 c.647 §25; 1983 c.206 §1; 1983 c.530 §50; 1987 c.459 §13; 1989 c.595 §10; renumbered 100.200 in 1989]
94.080
[Repealed by 1971 c.478 §1]
94.084 [1981 c.647 §26; 1987 c.459 §14;
renumbered 100.205 in 1989]
94.085 [Repealed
by 1971 c.478 §1]
94.090
[Repealed by 1971 c.478 §1]
94.091 [1981 c.647 §27; 1983 c.206 §2; 1987 c.459 §15; renumbered 100.210 in 1989]
94.095
[Repealed by 1971 c.478 §1]
94.097 [1981 c.647 §29; 1989 c.595 §11;
renumbered 100.220 in 1989]
94.100
[Repealed by 1971 c.478 §1]
94.103 [1981 c.647 §28; 1989 c.595 §12;
renumbered 100.225 in 1989]
94.105
[Repealed by 1971 c.478 §1]
94.109
[Formerly 91.523; renumbered 100.300 in 1989]
94.110
[Repealed by 1971 c.478 §1]
94.115
[Repealed by 1971 c.478 §1]
94.116
[Formerly 91.524; renumbered 100.305 in 1989]
94.120
[Repealed by 1971 c.478 §1]
94.122
[Formerly 91.526; 1989 c.595 §13; renumbered 100.310
in 1989]
94.125
[Repealed by 1971 c.478 §1]
94.128 [1981 c.886 §5; 1989 c.595 §14; renumbered
100.315 in 1989]
94.130
[Repealed by 1971 c.478 §1]
94.134 [1981 c.886 §6; 1989 c.595 §15;
renumbered 100.320 in 1989]
94.135
[Repealed by 1971 c.478 §1]
94.140
[Repealed by 1971 c.478 §1]
94.145
[Repealed by 1971 c.478 §1]
94.146 [Formerly
91.527; 1989 c.595 §16; renumbered 100.405 in 1989]
94.150
[Repealed by 1971 c.478 §1]
94.152
[Formerly 91.531; 1983 c.615 §4; 1987 c.459 §16; 1989 c.595 §48;
renumbered 100.410 in 1989]
94.155
[Repealed by 1971 c.478 §1]
94.158
[Formerly 91.533; 1987 c.459 §17; 1989 c.595 §17; renumbered 100.415 in 1989]
94.160
[Repealed by 1971 c.478 §1]
94.164
[Formerly 91.534; renumbered 100.420 in 1989]
94.165
[Repealed by 1971 c.478 §1]
94.170
[Repealed by 1971 c.478 §1]
94.171
[Formerly 91.536; 1987 c.459 §18; renumbered 100.430
in 1989]
94.175
[Repealed by 1971 c.478 §1]
94.177 [1981 c.647 §32; renumbered 100.435 in 1989]
94.180
[Repealed by 1971 c.478 §1]
94.185
[Formerly 91.539; 1989 c.595 §18; renumbered 100.440
in 1989]
94.190 [Formerly
91.542; renumbered 100.445 in 1989]
94.195
[Formerly 91.546; 1983 c.530 §51; 1989 c.595 §19; renumbered 100.450 in 1989]
94.202
[Formerly 91.548; 1989 c.595 §20; renumbered 100.460
in 1989]
94.205
[Repealed by 1971 c.478 §1]
94.208
[Formerly 91.551; 1989 c.595 §21; renumbered 100.475
in 1989]
94.210
[Repealed by 1971 c.478 §1]
94.214
[Formerly 91.554; renumbered 100.480 in 1989]
94.215
[Repealed by 1971 c.478 §1]
94.220
[Repealed by 1971 c.478 §1]
94.221
[Formerly 91.557; renumbered 100.485 in 1989]
94.225
[Repealed by 1971 c.478 §1]
94.230
[Repealed by 1971 c.478 §1]
94.231
[Formerly 91.561; renumbered 100.505 in 1989]
94.235
[Repealed by 1971 c.478 §1]
94.237
[Formerly 91.562; renumbered 100.510 in 1989]
94.240
[Repealed by 1971 c.478 §1]
94.243
[Formerly 91.563; 1983 c.309 §8c;
1983 c.615 §5; renumbered 100.515 in 1989]
94.245
[Repealed by 1971 c.478 §1]
94.250 [1981 c.647 §31; 1983 c.309 §8d; renumbered 100.520 in 1989]
94.255
[Formerly 91.564; renumbered 100.525 in 1989]
94.260
[Formerly 91.566; 1987 c.459 §19; 1989 c.595 §22; renumbered 100.530 in 1989]
94.265
[Formerly 91.569; renumbered 100.535 in 1989]
94.270
[Formerly 91.572; renumbered 100.540 in 1989]
94.275
[Formerly 91.576; renumbered 100.545 in 1989]
94.280
[Formerly 91.578; 1983 c.615 §6; 1989 c.595 §23; renumbered 100.550 in 1989]
94.285
[Formerly 91.581; renumbered 100.555 in 1989]
94.295
[Formerly 91.584; 1989 c.595 §24; renumbered 100.600
in 1989]
94.300
[Formerly 91.587; 1989 c.595 §25; renumbered 100.605
in 1989]
94.305
[Repealed by 1971 c.478 §1]
94.306
[Formerly 91.591; 1989 c.595 §26; renumbered 100.610
in 1989]
94.310
[Repealed by 1971 c.478 §1]
94.312
[Formerly 91.593; 1989 c.595 §27; renumbered 100.615
in 1989]
94.315
[Repealed by 1971 c.478 §1]
94.318
[Formerly 91.596; 1989 c.595 §28; renumbered 100.620
in 1989]
94.320
[Repealed by 1971 c.478 §1]
94.322 [1983 c.615 §8; renumbered 100.625 in 1989]
94.324
[Formerly 91.599; 1985 c.760 §1; repealed by 1987 c.459 §41]
94.325
[Repealed by 1971 c.478 §1]
94.330
[Amended by 1969 c.591 §278; repealed by 1971 c.478 §1]
94.331
[Formerly 91.602; 1987 c.459 §20; 1989 c.595 §29; renumbered 100.635 in 1989]
94.333 [1987 c.459 §22; renumbered 100.015 in 1989]
94.335
[Repealed by 1971 c.478 §1]
94.336
[Formerly 91.606; repealed by 1987 c.459 §41]
94.340
[Repealed by 1971 c.478 §1]
94.342
[Formerly 91.608; 1987 c.459 §29; renumbered 100.645
in 1989]
94.345
[Repealed by 1971 c.478 §1]
94.348
[Formerly 91.611; 1987 c.459 §30; renumbered 100.650
in 1989]
94.350
[Repealed by 1971 c.478 §1]
94.351 [1987 c.459 §24; 1989 c.595 §30;
renumbered 100.655 in 1989]
94.353 [1987 c.459 §25; renumbered 100.640 in 1989]
94.354 [1987 c.459 §23; renumbered 100.670 in 1989]
94.355
[Repealed by 1971 c.478 §1]
94.356 [1987 c.459 §26; renumbered 100.660 in 1989]
94.357 [1987 c.459 §27; renumbered 100.675 in 1989]
94.358 [1987 c.459 §28; renumbered 100.680 in 1989]
94.359
[Formerly 91.614; 1987 c.459 §31; renumbered 100.700
in 1989]
94.360
[Repealed by 1971 c.478 §1]
94.365
[Repealed by 1971 c.478 §1]
94.366
[Formerly 91.617; repealed by 1987 c.459 §41]
94.370
[Repealed by 1971 c.478 §1]
94.372
[Formerly 91.621; repealed by 1987 c.459 §41]
94.375
[Repealed by 1971 c.478 §1]
94.378
[Formerly 91.623; repealed by 1987 c.459 §41]
94.380
[Repealed by 1971 c.478 §1]
94.384
[Formerly 91.626; 1987 c.459 §32; 1989 c.171 §12; 1989 c.595 §31;
renumbered 100.705 in 1989]
94.385
[Repealed by 1971 c.478 §1]
94.390
[Repealed by 1971 c.478 §1]
94.391
[Formerly 91.629; 1987 c.459 §35; renumbered 100.710
in 1989]
94.395
[Repealed by 1971 c.478 §1]
94.400
[Formerly 91.631; renumbered 100.720 in 1989]
94.405
[Repealed by 1971 c.478 §1]
94.406
[Formerly 91.634; renumbered 100.725 in 1989]
94.410
[Repealed by 1971 c.478 §1]
94.412
[Formerly 91.637; 1989 c.595 §47; renumbered 100.730
in 1989]
94.415
[Repealed by 1971 c.478 §1]
94.418 [1981 c.647 §24; renumbered 100.735 in 1989]
94.420
[Repealed by 1971 c.478 §1]
94.424
[Formerly 91.641; 1989 c.595 §32; renumbered 100.740
in 1989]
94.425
[Repealed by 1971 c.478 §1]
94.430
[Repealed by 1971 c.478 §1]
94.431
[Formerly 91.646; 1987 c.459 §36; renumbered 100.745
in 1989]
94.435
[Repealed by 1971 c.478 §1]
94.437
[Formerly 91.649; renumbered 100.750 in 1989]
94.440
[Repealed by 1971 c.478 §1]
94.445
[Repealed by 1971 c.478 §1]
94.448
[Formerly 91.652; renumbered 100.770 in 1989]
94.454
[Formerly 91.656; renumbered 100.775 in 1989]
94.460
[Formerly 91.658; renumbered 100.780 in 1989]
94.465
[Formerly 91.661; 1989 c.595 §33; renumbered 100.785
in 1989]
94.470
[Formerly 91.664; 1983 c.696 §7b;
1989 c.706 §7; renumbered 100.900 in 1989]
94.475
[Formerly 91.667; renumbered 100.905 in 1989]
94.480
[Formerly 91.671; renumbered 100.910 in 1989]
DEVELOPMENT AGREEMENTS
94.504 Development agreements; contents;
duration; effect on affordable housing covenants.
(1) A city or county may enter into a development agreement as provided in ORS
94.504 to 94.528 with any person having a legal or equitable interest in real
property for the development of that property.
(2)
A development agreement shall specify:
(a)
The duration of the agreement;
(b)
The permitted uses of the property;
(c)
The density or intensity of use;
(d)
The maximum height and size of proposed structures;
(e)
Provisions for reservation or dedication of land for public purposes;
(f)
A schedule of fees and charges;
(g)
A schedule and procedure for compliance review;
(h)
Responsibility for providing infrastructure and services;
(i) The effect on the agreement when changes in regional
policy or federal or state law or rules render compliance with the agreement
impossible, unlawful or inconsistent with such laws, rules or policy;
(j)
Remedies available to the parties upon a breach of the agreement;
(k)
The extent to which the agreement is assignable; and
(L)
The effect on the applicability or implementation of the agreement when a city
annexes all or part of the property subject to a development agreement.
(3)
A development agreement shall set forth all future discretionary approvals
required for the development specified in the agreement and shall specify the
conditions, terms, restrictions and requirements for those discretionary
approvals.
(4)
A development agreement shall also provide that construction shall be commenced
within a specified period of time and that the entire project or any phase of
the project be completed by a specified time.
(5)
A development agreement shall contain a provision that makes all city or county
obligations to expend moneys under the development agreement contingent upon
future appropriations as part of the local budget process. The development
agreement shall further provide that nothing in the agreement requires a city
or county to appropriate any such moneys.
(6)
A development agreement must state the assumptions underlying the agreement
that relate to the ability of the city or county to serve the development. The
development agreement must also specify the procedures to be followed when
there is a change in circumstances that affects compliance with the agreement.
(7)
A development agreement is binding upon a city or county pursuant to its terms
and for the duration specified in the agreement.
(8)
The maximum duration of a development agreement entered into with:
(a)
A city is 15 years; and
(b)
A county is seven years.
(9)
ORS 94.504 to 94.528 do not limit the authority of a city or county to take
action pursuant to ORS 456.270 to 456.295. [1993 c.780
§1; 2005 c.315 §1; 2007 c.691
§7]
Note: 94.504
to 94.528 were enacted into law by the Legislative Assembly but were not added
to or made a part of ORS chapter 94 or any series therein by legislative
action. See Preface to Oregon Revised Statutes for further explanation.
94.505
[Repealed by 1971 c.478 §1]
94.508 Approval by governing body;
findings; adoption. (1) A development agreement
shall not be approved by the governing body of a city or county unless the
governing body finds that the agreement is consistent with local regulations
then in place for the city or county.
(2)
The governing body of a city or county shall approve a development agreement or
amend a development agreement by adoption of an ordinance declaring approval or
setting forth the amendments to the agreement. Notwithstanding ORS 197.015
(10)(b), the approval or amendment of a development agreement is a land use
decision under ORS chapter 197. [1993 c.780 §2; 2005 c.22 §74; 2007 c.354 §27]
Note: See
note under 94.504.
94.510
[Repealed by 1971 c.478 §1]
94.513 Procedures on consideration and
approval. (1) A city or county may, by ordinance,
establish procedures and requirements for the consideration of development
agreements upon application by, or on behalf of, the owner of property on which
development is sought or another person having a legal or equitable interest in
that property.
(2)
Approval of a development agreement requires compliance with local regulations
and the approval of the city or county governing body after notice and hearing.
The notice of the hearing shall, in addition to any other requirements, state
the time and place of the public hearing and contain a brief statement of the
major terms of the proposed development agreement, including a description of
the area within the city or county that will be affected by the proposed
development agreement. [1993 c.780 §3]
Note: See
note under 94.504.
94.515
[Repealed by 1971 c.478 §1]
94.518 Application of local government law
and policies to agreement. Unless otherwise provided by the
development agreement, the comprehensive plan, zoning ordinances and other
rules and policies of the jurisdiction governing permitted uses of land,
density and design applicable to the development of the property subject to a
development agreement shall be the comprehensive plan and those ordinances,
rules and policies of the jurisdiction in effect at the time of approval of the
development agreement. [1993 c.780 §4]
Note: See
note under 94.504.
94.520
[Repealed by 1971 c.478 §1]
94.522 Amendment or cancellation of agreement;
enforceability. (1) A development agreement may
be amended or canceled by mutual consent of the parties to the agreement or
their successors in interest. The governing body of a city or county shall
amend or cancel a development agreement by adoption of an ordinance declaring
cancellation of the agreement or setting forth the amendments to the agreement.
(2)
Until a development agreement is canceled under this section, the terms of the
development agreement are enforceable by any party to the agreement. [1993 c.780 §5]
Note: See
note under 94.504.
94.525
[Repealed by 1971 c.478 §1]
94.528 Recording.
Not later than 10 days after the execution of a development agreement under ORS
94.504 to 94.528, the governing body of the city or county shall cause the
development agreement to be presented for recording in the office of the county
clerk of the county in which the property subject to the agreement is situated.
In addition to other provisions required by ORS 94.504 to 94.528, the
development agreement shall contain a legal description of the property subject
to the agreement. [1993 c.780 §6]
Note: See
note under 94.504.
94.530
[Repealed by 1971 c.478 §1]
TRANSFERABLE DEVELOPMENT CREDITS
94.531 Severable development interest in
real property; transferable development credit.
(1) The governing body of a city or county is authorized to recognize a
severable development interest in real property. The governing body of the city
or county may establish a system for the purchase and sale of development
interests. The interest transferred shall be known as a transferable
development credit. A transferable development credit shall include the ability
to establish in a location in the city or county a specified amount of
residential or nonresidential development that is different from development
types or exceeds development limitations provided in the applicable land use
regulations for the location. All development authorized or approved using
transferable development credits shall comply with the land use planning goals
adopted under ORS 197.225 and the acknowledged comprehensive plan.
(2)
The ability to develop land from which credits are transferred shall be reduced
by the amount of the development credits transferred, and development on the
land to which credits are transferred may be increased in accordance with a
transfer system formally adopted by the governing body of the city or county.
(3)
The holder of a recorded mortgage encumbering land from which credits are
transferred shall be given prior written notice of the proposed conveyance by
the record owner of the property and must consent to the conveyance before any
development credits may be transferred from the property.
(4)
A city or county with a transferable development credit system shall maintain a
registry of all lots or parcels from which credits have been transferred, the
lots or parcels to which credits have been transferred and the allowable
development level for each lot or parcel following transfer.
(5)
A city or county, or an elected official, appointed official, employee or agent
of a city or county, shall not be found liable for damages resulting from any
error made in:
(a)
Allowing the use of a transferable development credit that complies with an
adopted transferable development credit system and the acknowledged
comprehensive plan; or
(b)
Maintaining the registry required under subsection (4) of this section. [1999 c.573 §1]
Note: 94.531
was enacted into law by the Legislative Assembly but was not added to or made a
part of ORS chapter 94 or any series therein by legislative action. See Preface
to Oregon Revised Statutes for further explanation.
94.534 Policy on transferable development
credit systems. (1) The Legislative Assembly
finds that:
(a)
Working farms and forests make vital contributions to Oregon by:
(A)
Providing jobs, timber, agricultural products, tax base and other social and
economic benefits;
(B)
Helping to maintain soil, air and water resources;
(C)
Reducing levels of carbon dioxide in the atmosphere; and
(D)
Providing habitat for wildlife and aquatic life.
(b)
Natural resources, scenic and historic areas and open spaces promote a
sustainable and healthy environment and natural landscape that contributes to
the livability of Oregon.
(c)
Population growth, escalating land values, increasing risks due to wildfire and
invasive species and changes in land ownership and management objectives, with
a resulting increase in conflict caused between resource uses and dispersed
residential development, require that new methods be developed to facilitate
the continued management of private lands zoned for farm use, forest use and
mixed farm and forest use for the purposes of:
(A)
Agricultural production and timber harvest; and
(B)
Preservation of natural resources, scenic and historic areas and open spaces
for future generations.
(2)
The Legislative Assembly declares that transferable development credit systems:
(a)
Complement the statewide land use planning system in Oregon and encourage
effective local implementation of the statewide land use planning goals.
(b)
Provide incentives for private landowners, local, regional, state and federal
governments and other entities to permanently protect farm land and forestland,
including a land base for working farms, ranches, forests and woodlots,
significant natural resources, scenic and historic areas and open spaces.
(c)
Benefit rural land owners, including owners of working farms, ranches, forests
and woodlots, that voluntarily provide stewardship of natural resources on
private lands.
(d)
Provide voluntary and effective methods to help improve the livability of urban
areas and to mitigate and adapt to global climate change. [2009 c.504 §1]
Note: 94.534,
94.536 and 94.538 were enacted into law by the Legislative Assembly but were
not added to or made a part of ORS chapter 94 or any series therein by
legislative action. See Preface to Oregon Revised Statutes for further
explanation.
94.536 Definitions for ORS 94.536 and
94.538. As used in this section and ORS 94.538:
(1)
“Conservation easement” has the meaning given that term in ORS 271.715.
(2)
“Governmental unit” means a city, county, metropolitan service district or
state agency as defined in ORS 171.133.
(3)
“Holder” has the meaning given that term in ORS 271.715.
(4)
“Lot” has the meaning given that term in ORS 92.010.
(5)
“Parcel” has the meaning given that term in ORS 92.010.
(6)
“Receiving area” means a designated area of land to which a holder of
development credits generated from a sending area may transfer the development
credits and in which additional uses or development, not otherwise allowed, are
allowed by reason of the transfer.
(7)
“Resource land” means:
(a)
Lands outside an urban growth boundary planned and zoned for farm use, forest
use or mixed farm and forest use.
(b)
Lands inside or outside urban growth boundaries identified:
(A)
In an acknowledged local or regional government inventory as containing
significant wetland, riparian, wildlife habitat, historic, scenic or open space
resources; or
(B)
As containing important natural resources, estuaries, coastal shorelands, beaches and dunes or other resources described
in the statewide land use planning goals.
(c)
“Conservation Opportunity Areas” identified in the “Oregon Conservation
Strategy” adopted by the State Fish and Wildlife Commission and published by
the State Department of Fish and Wildlife in September of 2006.
(8)
“Sending area” means a designated area of resource land from which development
credits generated from forgone development are transferable, for uses or
development not otherwise allowed, to a receiving area.
(9)
“Tract” has the meaning given that term in ORS 215.010.
(10)
“Transferable development credit” means a severable development interest in
real property that can be transferred from a lot, parcel or tract in a sending
area to a lot, parcel or tract in a receiving area.
(11)
“Transferable development credit system” means a land use planning tool that
allows the record owner of a lot, parcel or tract of resource land in a sending
area to voluntarily sever and sell development interests from the lot, parcel
or tract for purchase and use by a potential developer to develop a lot, parcel
or tract in a receiving area at a higher intensity than otherwise allowed.
(12)
“Urban growth boundary” has the meaning given that term in ORS 195.060.
(13)
“Urban reserve” has the meaning given that term in ORS 195.137. [2009 c.504 §2; 2010 c.5 §1]
Note: See
note under 94.534.
94.538 Transferable development credit
systems. (1) One or more governmental units may
establish a transferable development credit system, including a process for
allowing transfer of development interests from a sending area within the jurisdiction
of one governmental unit to a receiving area within the jurisdiction of another
governmental unit.
(2)
If the transferable development credit system allows transfer of development
interests between the jurisdictions of different governmental units, the
process must be described in an intergovernmental agreement under ORS 190.003
to 190.130 entered into by the governmental units with land use jurisdiction
over the sending and receiving areas and, for purposes of administration of the
process, the Department of Land Conservation and Development. The
intergovernmental agreement may contain provisions for sharing between
governmental units of the prospective ad valorem tax revenues derived from new
development in the receiving area authorized under the system.
(3)
A transferable development credit system must provide for:
(a)
The record owner of a lot, parcel or tract in a sending area to voluntarily
sever and sell development interests of the lot, parcel or tract for use in a
receiving area;
(b)
A potential developer of land in a receiving area to purchase transferable
development credits that allow a higher intensity use or development of the
land, including development bonuses or other incentives not otherwise allowed,
through changes to the planning and zoning or waivers of density, height or
bulk limitations in the receiving area;
(c)
The governmental units administering the system to determine the type, extent
and intensity of uses or development allowed in the receiving area, based on
the transferable development credits generated from severed and sold
development interests; and
(d)
The holder of a recorded instrument encumbering a lot, parcel or tract from
which the record owner proposes to sever development interests for transfer to
be given prior written notice of the proposed transaction and to approve or
disapprove the transaction.
(4)
A transferable development credit system must offer:
(a)
Incentives for a record owner of resource land to voluntarily prohibit or limit
development on the resource land and to sell or transfer forgone development to
lands within receiving areas.
(b)
Benefits to landowners by providing monetary compensation for limiting
development in sending areas.
(c)
Benefits to developers by allowing increased development and development
incentives in receiving areas.
(5)
The governmental units administering a transferable development credit system
must:
(a)
Designate sending areas that are chosen to achieve the requirements set forth
in this section and the objectives set forth in ORS 94.534.
(b)
Designate receiving areas that are chosen to achieve the requirements set forth
in this section and the objectives set forth in ORS 94.534.
(c)
Provide development bonuses and incentives to stimulate the demand for the purchase
and sale of transferable development credits.
(d)
Require that the record owner of development interests transferred as
development credits from a sending area to a receiving area cause to be
recorded, in the deed records of the county in which the sending area is
located, a conservation easement that:
(A)
Limits development of the lot, parcel or tract from which the interests are
severed consistent with the transfer; and
(B)
Names an entity, approved by the governmental units administering the system,
as the holder of the conservation easement.
(e)
Maintain records of:
(A)
The lots, parcels and tracts from which development interests have been
severed;
(B)
The lots, parcels and tracts to which transferable development credits have
been transferred; and
(C)
The allowable level of use or development for each lot, parcel or tract after a
transfer of development credits.
(f)
Provide periodic summary reports of activities of the system to the department.
(6)
A receiving area must be composed of land that is within an urban growth
boundary or, subject to subsection (7) of this section, within an urban reserve
established under ORS 195.137 to 195.145 and that is:
(a)
Appropriate and suitable for development.
(b)
Not subject to limitations designed to protect natural resources, scenic and
historic areas, open spaces or other resources protected under the statewide
land use planning goals.
(c)
Not within an area identified as a priority area for protection in the “Oregon
Conservation Strategy” adopted by the State Fish and Wildlife Commission and
published by the State Department of Fish and Wildlife in September of 2006.
(d)
Not within a “Conservation Opportunity Area” identified in the “Oregon
Conservation Strategy” adopted by the State Fish and Wildlife Commission and
published by the State Department of Fish and Wildlife in September of 2006.
(7)
Land within an urban reserve:
(a)
May be the site of a receiving area only if:
(A)
The receiving area is likely to be brought within an urban growth boundary at
the next periodic review under ORS 197.628 to 197.651 or legislative review
under ORS 197.626; and
(B)
Development pursuant to the transferable development credits is allowed only
after the receiving area is brought within an urban growth boundary.
(b)
That is selected for use as a receiving area may be designated for priority
inclusion in the urban growth boundary, when the urban growth boundary is
amended, if the land qualifies under the boundary location factors in a goal
relating to urbanization.
(8)
The governing body of a governmental unit administering a transferable
development credit system may, directly or indirectly through a contract with a
nonprofit corporation, establish a transferable development credit bank to
facilitate:
(a)
Buying severable development interests from lots, parcels or tracts of resource
land in a sending area.
(b)
Selling transferable development credits to potential developers of lots,
parcels or tracts in a receiving area.
(c)
Entering into agreements or contracts and performing acts necessary, convenient
or desirable to achieve the requirements set forth in this section and the
objectives set forth in ORS 94.534.
(d)
Managing funds available for the purchase and sale of transferable development
credits.
(e)
Authorizing and monitoring expenditures associated with the system.
(f)
Maintaining records of the transactions, including dates, purchase amounts and
locations of severed development interests and development pursuant to
transferred development credits, that are sufficient to manage and evaluate the
effectiveness of the system.
(g)
Providing periodic summary reports of activities of the system to the governing
body of a governmental unit administering the system.
(h)
Obtaining appraisals of development interests and transferable development
credits as necessary and pricing transferable development credits for purchase
or sale.
(i) Serving as a clearinghouse and information source for
buyers and sellers of transferable development credits.
(j)
Accepting donations of transferable development credits.
(k)
Soliciting and receiving grant funds for the implementation of this section and
ORS 94.536.
(9)
A holder of a conservation easement shall hold, monitor and enforce the
conservation easement to ensure that lands in sending areas do not retain
development credits transferred under this section and ORS 94.536. [2009 c.504 §3; 2010 c.5 §2]
Note: See
note under 94.534.
Note:
Section 4, chapter 504, Oregon Laws 2009, provides:
Sec. 4. The
Department of Land Conservation and Development shall make a report, in the
manner described in ORS 192.245, to the Seventy-seventh Legislative Assembly:
(1)
Evaluating the transferable development credit systems that have been
established under sections 2 [94.536] and 3 [94.538] of this 2009 Act; and
(2)
Recommending whether the program should be continued, modified, expanded or
terminated. [2009 c.504 §4]
94.540
[Repealed by 1971 c.478 §1]
PLANNED COMMUNITIES
(General Provisions)
94.550 Definitions for ORS 94.550 to
94.783. As used in ORS 94.550 to 94.783:
(1)
“Assessment” means any charge imposed or levied by a homeowners association on
or against an owner or lot pursuant to the provisions of the declaration or the
bylaws of the planned community or provisions of ORS 94.550 to 94.783.
(2)
“Blanket encumbrance” means a trust deed or mortgage or any other lien or
encumbrance, mechanic’s lien or otherwise, securing or evidencing the payment
of money and affecting more than one lot in a planned community, or an agreement
affecting more than one lot by which the developer holds such planned community
under an option, contract to sell or trust agreement.
(3)
“Class I planned community” means a planned community that:
(a)
Contains at least 13 lots or in which the declarant
has reserved the right to increase the total number of lots beyond 12; and
(b)
Has an estimated annual assessment, including an amount required for reserves
under ORS 94.595, exceeding $10,000 for all lots or $100 per lot, whichever is
greater, based on:
(A)
For a planned community created on or after January 1, 2002, the initial
estimated annual assessment, including a constructive assessment based on a
subsidy of the association through a contribution of funds, goods or services
by the declarant; or
(B)
For a planned community created before January 1, 2002, a reasonable estimate
of the cost of fulfilling existing obligations imposed by the declaration,
bylaws or other governing document as of January 1, 2002.
(4)
“Class II planned community” means a planned community that:
(a)
Is not a Class I planned community;
(b)
Contains at least five lots; and
(c)
Has an estimated annual assessment exceeding $1,000 for all lots based on:
(A)
For a planned community created on or after January 1, 2002, the initial
estimated annual assessment, including a constructive assessment based on a
subsidy of the association through a contribution of funds, goods or services
by the declarant; or
(B)
For a planned community created before January 1, 2002, a reasonable estimate
of the cost of fulfilling existing obligations imposed by the declaration,
bylaws or other governing document as of January 1, 2002.
(5)
“Class III planned community” means a planned community that is not a Class I
or II planned community.
(6)
“Common expenses” means expenditures made by or financial liabilities incurred
by the homeowners association and includes any allocations to the reserve
account under ORS 94.595.
(7)
“Common property” means any real property or interest in real property within a
planned community which is owned, held or leased by the homeowners association
or owned as tenants in common by the lot owners, or designated in the
declaration or the plat for transfer to the association.
(8)
“Condominium” means property submitted to the provisions of ORS chapter 100.
(9)
“Declarant” means any person who creates a planned
community under ORS 94.550 to 94.785.
(10)
“Declarant control” means any special declarant right relating to administrative control of a
homeowners association, including but not limited to:
(a)
The right of the declarant or person designated by
the declarant to appoint or remove an officer or a
member of the board of directors;
(b)
Any weighted vote or special voting right granted to a declarant
or to units owned by the declarant so that the declarant will hold a majority of the voting rights in the
association by virtue of such weighted vote or special voting right; and
(c)
The right of the declarant to exercise powers and
responsibilities otherwise assigned by the declaration or bylaws or by the
provisions of ORS 94.550 to 94.783 to the association, officers of the
association or board of directors of the association.
(11)
“Declaration” means the instrument described in ORS 94.580 which establishes a
planned community, and any amendments to the instrument.
(12)
“Governing document” means an instrument or plat relating to common ownership
or common maintenance of a portion of a planned community and that is binding
upon lots within the planned community.
(13)
“Homeowners association” or “association” means the organization of owners of
lots in a planned community, created under ORS 94.625, required by a governing
document or formed under ORS 94.572.
(14)
“Majority” or “majority of votes” or “majority of owners” means more than 50
percent of the votes in the planned community.
(15)
“Mortgagee” means any person who is:
(a)
A mortgagee under a mortgage;
(b)
A beneficiary under a trust deed; or
(c)
The vendor under a land sale contract.
(16)
“Owner” means the owner of any lot in a planned community, unless otherwise
specified, but does not include a person holding only a security interest in a
lot.
(17)
“Percent of owners” or “percentage of owners” means the owners representing the
specified voting rights as determined under ORS 94.658.
(18)(a)
“Planned community” means any subdivision under ORS 92.010 to 92.192 that
results in a pattern of ownership of real property and all the buildings,
improvements and rights located on or belonging to the real property, in which
the owners collectively are responsible for the maintenance, operation,
insurance or other expenses relating to any property within the planned
community, including common property, if any, or for the exterior maintenance
of any property that is individually owned.
(b)
“Planned community” does not mean:
(A)
A condominium under ORS chapter 100;
(B)
A planned community that is exclusively commercial or industrial; or
(C)
A timeshare plan under ORS 94.803 to 94.945.
(19)
“Purchaser” means any person other than a declarant
who, by means of a voluntary transfer, acquires a legal or equitable interest
in a lot, other than as security for an obligation.
(20)
“Purchaser for resale” means any person who purchases from the declarant more than two lots for the purpose of resale
whether or not the purchaser for resale makes improvements to the lots before
reselling them.
(21)
“Special declarant rights” means any rights, in
addition to the rights of the declarant as a lot
owner, reserved for the benefit of the declarant
under the declaration or ORS 94.550 to 94.783, including but not limited to:
(a)
Constructing or completing construction of improvements in the planned
community which are described in the declaration;
(b)
Expanding the planned community or withdrawing property from the planned
community under ORS 94.580 (3) and (4);
(c)
Converting lots into common property;
(d)
Making the planned community subject to a master association under ORS 94.695;
or
(e)
Exercising any right of declarant control reserved
under ORS 94.600.
(22)
“Successor declarant” means the transferee of any
special declarant right.
(23)
“Turn over” means the act of turning over administrative responsibility
pursuant to ORS 94.609 and 94.616.
(24)
“Unit” means a building or portion of a building located upon a lot in a
planned community and designated for separate occupancy or ownership, but does
not include any building or portion of a building located on common property.
(25)
“Votes” means the votes allocated to lots in the declaration under ORS 94.580
(2). [1981 c.782 §3; 1999 c.677
§1; 2001 c.756 §5; 2003 c.569
§3; 2007 c.410 §1]
94.560 Legislative findings.
The Legislative Assembly finds that:
(1)
In the State of Oregon there are hundreds of homeowners associations to which
the Oregon Condominium Law (ORS chapter 100) does not apply.
(2)
These homeowners associations have established a pattern of ownership in which
ownership of a single unit makes the owner automatically a member of a
homeowners association with responsibilities for management and maintenance.
(3)
Many of these homeowners associations as associations and their members as
individuals have experienced problems from the lack of statutory provisions.
These problems which have arisen are usually the result of inexperience with
this kind of ownership. This inexperience often leads to difficulties for the
association when it assumes responsibility for the administration of the
planned development because usually neither the developer who drafted the documents
nor the local jurisdiction which may have reviewed them has realized the long
term management implications of the restrictions imposed by the documents. The
most serious and frequent error is imposing excessive voting requirements for
any changes in the documents, a basic error that makes it and other errors
unnecessarily difficult, if not impossible, to correct. Of almost equal
importance is the lack of disclosure of significant differences this pattern of
ownership imposes on the homeowner and the restrictions on choice that must be
accepted.
(4)
Oregon land conservation policies and the increasing cost of land will result
in rapid growth of this kind of homeownership pattern.
(5)
It is a matter of statewide concern that the Legislative Assembly address
problems associated with homeowners associations in order to make this kind of
homeownership pattern an acceptable choice and in order to assure proper
maintenance of the projects so that the investment of the owners and the
appearance of Oregon communities are protected.
(6)
It is essential that the Legislative Assembly establish basic statutory
requirements for disclosure to first and subsequent buyers, for the
organization of the homeowners association, and for a process by which
administrative responsibility for the planned community is transferred from the
developer to the association of individual owners.
(7)
ORS 94.550 to 94.783 are intended to make developers, their legal counsel and
homeowners in Oregon homeowners associations the beneficiaries of experience
accumulated under Oregon’s condominium law and gathered from members of
existing Oregon homeowners associations and associations in parts of the
country where the record of experience is longer than that in Oregon. [1981 c.782 §3a]
(Creation of Planned Community)
94.565 Planned community to be created
under ORS 94.550 to 94.783; exception; conveyance of lot or unit prohibited
until declaration recorded. (1) Except as provided in ORS
94.570, a person may not create a planned community in this state except as
provided in ORS 94.550 to 94.783.
(2)
A person may not convey any lot or unit in a planned community until the
planned community is created by the recording of the declaration for the
planned community with the county recording officer of each county in which the
planned community is located. [1981 c.782 §5; 1999 c.677 §2; 2001 c.756 §6]
94.570 Applicability of ORS 94.550 to
94.783. (1) ORS 94.550 to 94.783 apply to a
planned community created before January 1, 2002, under ORS 94.550 to 94.783
and to a Class I planned community created on or after January 1, 2002.
(2)
ORS 94.550 to 94.783, except for ORS 94.595 and 94.604, apply to a Class II
planned community created on or after January 1, 2002.
(3)
Notwithstanding any other provision of ORS 94.550 to 94.783, ORS 94.550 to
94.783 apply to a Class III planned community or a planned community that is
exclusively commercial or industrial and that is created on or after January 1,
2002, if the declaration of the planned community so provides.
(4)
Nothing in ORS 94.550 to 94.783 prohibits the establishment of a condominium
subject to ORS chapter 100 or a timeshare plan subject to ORS 94.803 to 94.945
within a planned community. [1981 c.782 §6; 1983 c.530 §52; 1985 c.76 §3; 1999 c.677 §3; 2001 c.756 §7; 2003 c.569 §4]
94.572 Applicability of certain provisions
of ORS 94.550 to 94.783 to Class I or Class II planned communities.
(1)(a) A Class I or Class II planned community created before January 1, 2002,
that was not created under ORS 94.550 to 94.783 is subject to this section and
ORS 94.550, 94.590, 94.595 (5) to (9), 94.625, 94.626, 94.630 (1), (3) and (4),
94.639, 94.640, 94.641, 94.642, 94.645, 94.647, 94.650, 94.652, 94.655, 94.657,
94.658, 94.660, 94.661, 94.662, 94.665, 94.670, 94.675, 94.676, 94.680, 94.690,
94.695, 94.704, 94.709, 94.712, 94.716, 94.719, 94.723, 94.728, 94.733, 94.770,
94.775, 94.777 and 94.780 to the extent that those statutes are consistent with
any governing documents. If the governing documents do not provide for the
formation of an association, the requirements of this subsection are not
effective until the formation of an association in accordance with paragraph
(b) of this subsection. If a provision of the governing documents is
inconsistent with this subsection, the owners may amend the governing documents
using the procedures in this subsection:
(A)
In accordance with the procedures for the adoption of amendments in the
governing documents and subject to any limitations in the governing documents,
the owners may amend the inconsistent provisions of the governing documents to
conform to the extent feasible with this section and ORS 94.550, 94.590, 94.595
(5) to (9), 94.625, 94.626, 94.630 (1), (3) and (4), 94.639, 94.640, 94.641,
94.642, 94.645, 94.647, 94.650, 94.652, 94.655, 94.657, 94.658, 94.660, 94.661,
94.662, 94.665, 94.670, 94.675, 94.676, 94.680, 94.690, 94.695, 94.704, 94.709,
94.712, 94.716, 94.719, 94.723, 94.728, 94.733, 94.770, 94.775, 94.777 and
94.780. Nothing in this paragraph requires the owners to amend a declaration or
bylaws to include the information required by ORS 94.580 or 94.635.
(B)
If there are no procedures for amendment in the governing documents:
(i) For an amendment to a recorded governing document other
than bylaws, the owners may amend the inconsistent provisions of the document
to conform to this section and ORS 94.550, 94.590, 94.595 (5) to (9), 94.625,
94.626, 94.630 (1), (3) and (4), 94.639, 94.640, 94.641, 94.642, 94.645,
94.647, 94.650, 94.652, 94.655, 94.657, 94.658, 94.660, 94.661, 94.662, 94.665,
94.670, 94.675, 94.676, 94.680, 94.690, 94.695, 94.704, 94.709, 94.712, 94.716,
94.719, 94.723, 94.728, 94.733, 94.770, 94.775, 94.777 and 94.780 by a vote of
at least 75 percent of the owners in the planned community.
(ii)
For an amendment to the bylaws, the owners may amend the inconsistent
provisions of the bylaws to conform to this section and ORS 94.550, 94.590,
94.595 (5) to (9), 94.625, 94.626, 94.630 (1), (3) and (4), 94.639, 94.640,
94.641, 94.642, 94.645, 94.647, 94.650, 94.652, 94.655, 94.657, 94.658, 94.660,
94.661, 94.662, 94.665, 94.670, 94.675, 94.676, 94.680, 94.690, 94.695, 94.704,
94.709, 94.712, 94.716, 94.719, 94.723, 94.728, 94.733, 94.770, 94.775, 94.777
and 94.780 by a vote of at least a majority of the owners in the planned
community.
(iii)
An amendment may be adopted at a meeting held in accordance with the governing
documents or by another procedure permitted by the governing documents
following the procedures prescribed in ORS 94.647, 94.650 or 94.660.
(iv)
An amendment to a recorded declaration shall be executed, certified and
recorded as provided in ORS 94.590 (2) and (3) and shall be subject to ORS
94.590 (5). An amendment to the bylaws and any other governing document shall
be executed and certified as provided in ORS 94.590 (3) and shall be recorded
in the office of the recording officer of every county in which the planned
community is located if the bylaws or other governing document to which the
amendment relates were recorded.
(C)
An amendment adopted pursuant to this paragraph shall include:
(i) A reference to the recording index numbers and date of
recording of the declaration or other governing document, if recorded, to which
the amendment relates; and
(ii)
A statement that the amendment is adopted pursuant to the applicable
subparagraph of this paragraph.
(b)(A)
If the governing documents do not provide for the formation of an association
of owners, at least 10 percent of the owners in the planned community or any
governing entity may initiate the formation of an association as provided in
this paragraph. The owners or the governing entity initiating the association
formation shall call an organizational meeting for the purpose of voting
whether to form an association described in ORS 94.625. The notice of the
meeting shall:
(i) Name the initiating owners or governing entity;
(ii)
State that the organizational meeting is for the purpose of voting whether to
form an association in accordance with the proposed articles of incorporation;
(iii)
State that if the owners vote to form an association, the owners may elect the
initial board of directors provided for in the articles of incorporation and
may adopt the initial bylaws;
(iv)
State that to form an association requires an affirmative vote of at least a
majority of the owners in the planned community, or, if a larger percentage is
specified in the applicable governing document, the larger percentage;
(v)
State that to adopt articles of incorporation, to elect the initial board of
directors pursuant to the articles of incorporation or to adopt the initial
bylaws requires an affirmative vote of at least a majority of the owners
present;
(vi)
State that if the initial board of directors is not elected, an interim board
of directors shall be elected pursuant to bylaws adopted as provided in
subparagraph (C) of this paragraph;
(vii)
State that a copy of the proposed articles of incorporation and bylaws will be
available at least five business days before the meeting and state the method of
requesting a copy; and
(viii)
Be delivered in accordance with the declaration and bylaws. If there is no
governing document or the document does not include applicable provisions, the
owners or governing entity shall follow the procedures prescribed in ORS 94.650
(4).
(B)
At least five business days before the organizational meeting, the initiating
owners or governing entity shall cause articles of incorporation and bylaws to
be drafted. The bylaws shall include, to the extent applicable, the information
required by ORS 94.635.
(C)
At the organizational meeting:
(i) Representatives of the initiating owners or governing
entity shall, to the extent not inconsistent with the governing documents,
conduct the meeting according to Robert’s Rules of Order as provided in ORS
94.657.
(ii)
The initiating owners or governing entity shall make available copies of the
proposed articles of incorporation and the proposed bylaws.
(iii)
The affirmative vote of at least a majority of the owners of a planned
community, or, if a larger percentage is specified in the applicable governing
document, the larger percentage, is required to form an association under this
paragraph.
(iv)
If the owners vote to form an association, the owners shall adopt articles of
incorporation and may elect the initial board of directors as provided in the
articles of incorporation, adopt bylaws and conduct any other authorized
business by an affirmative vote of at least a majority of the owners present.
If the owners do not elect the initial board of directors, owners shall elect
an interim board of directors by an affirmative vote of at least a majority of
the owners present to serve until the initial board of directors is elected.
(v)
An owner may vote by proxy, or by written ballot, if approved, in the
discretion of a majority of the initiating owners or governing entity.
(D)
Not later than 10 business days after the organizational meeting, the board of
directors shall: