68th OREGON LEGISLATIVE ASSEMBLY--1995 Regular Session
NOTE: Matter within { + braces and plus signs + } in an
amended section is new. Matter within { - braces and minus
signs - } is existing law to be omitted. New sections are within
{ + braces and plus signs + } .
LC 2660
House Bill 2886
Sponsored by Representatives MONTGOMERY, FEDERICI;
Representatives JOSI, LUNDQUIST, NORRIS, TARNO, THOMPSON,
Senators BRADBURY, DUKES (at the request of Oregon Public Ports
Association)
SUMMARY
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
Creates Port Capital Development Fund. Requires Economic
Development Department to administer fund and make grants from
fund for port capital development projects. Defines 'port capital
development projects.' Establishes grant application procedures
and standards. Appropriates moneys from the General Fund to Port
Capital Development Fund.
Declares emergency, effective on July 1, 1995.
A BILL FOR AN ACT
Relating to the Port Capital Development Fund; appropriating
money; and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + Sections 2 to 11 of this Act are added to and
made a part of ORS chapter 285. + }
SECTION 2. { + As used in sections 2 to 11 of this 1995 Act:
(1) 'Port' means a municipal corporation organized and existing
under ORS 777.005 to 777.725 and 777.915 to 777.953.
(2) 'Port capital development project' means the engineering,
improvement, rehabilitation, construction, operation or
maintenance, in whole or in part, including the preproject
planning costs, of any port development project authorized by ORS
777.105 to 777.258. + }
SECTION 3. { + The Legislative Assembly finds that:
(1) The ports of Oregon are authorized under the laws of this
state to engage in a broad range of economic development
activities.
(2) The ports of this state have historically played an
important role in the economy of Oregon and are still vitally
important to the economic base of this state. Port activities
enhance the maritime, international trade, fishing, tourism, wood
products, agriculture, transportation and aviation industries of
Oregon.
(3) The geographical location of Oregon and the state's
resources, skilled labor force and availability of land for
industrial and commercial development provide an opportunity for
the citizens of this state to expand participation in, and
increase the benefits from, international trade and commerce.
(4) The ports of Oregon have done an outstanding job of
enhancing the economic development efforts of this state.
However, with the decline of federal funding, the ports of Oregon
are undercapitalized and in need of immediate capital funding
assistance. + }
SECTION 4. { + (1) There is created within the State Treasury,
separate and distinct from the General Fund, the Port Capital
Development Fund. All moneys in the Port Capital Development Fund
are appropriated continuously to the Economic Development
Department and shall be used by the department for:
(a) Administrative expenses of the department in administering
the fund, processing applications and investigating proposed port
capital development projects. Administrative expenses payable out
of the Port Capital Development Fund under this paragraph shall
not exceed in any fiscal year an amount equal to five percent of
the moneys appropriated to the fund for that fiscal year.
(b) Payments of grants to ports for port capital development
projects.
(2) The Port Capital Development Fund shall consist of:
(a) Moneys appropriated to the fund by the Legislative
Assembly.
(b) Moneys obtained from gifts and grants received under
section 5 of this 1995 Act.
(c) Moneys collected as fees under this 1995 Act.
(d) Moneys obtained from interest earned on investment of
moneys in the Port Capital Development Fund.
(3) Money in the Port Capital Development Fund, with the
approval of the State Treasurer, may be invested as provided in
ORS 293.701 to 293.776, 293.810 and 293.820 and the earnings from
such investments shall be credited to the Port Capital
Development Fund. + }
SECTION 5. { + The Economic Development Department may accept
gifts of money or other property from any public or private
agency or person given for the purposes of sections 2 to 11 of
this 1995 Act. Money so received shall be paid into the Port
Capital Development Fund. Property so received shall be used for
the purposes of the Port Capital Development Fund. + }
SECTION 6. { + Any port may file with the Economic Development
Department an application to receive money from the Port Capital
Development Fund. The application shall be filed in such a manner
and contain or be accompanied by such information as the
department may prescribe. + }
SECTION 7. { + (1) Upon receipt of an application to receive
money from the Port Capital Development Fund, the Economic
Development Department shall determine whether the plans and
specifications for the proposed port capital development project
set forth in or accompanying the application are satisfactory. If
the department determines that the plans and specifications are
not satisfactory, the department may within 60 days:
(a) Reject the application.
(b) Require the applicant to submit additional information on
the plans and specifications as may be necessary.
(2) The department shall charge and collect from the applicant,
at the time the application is filed, a fee not to exceed $100,
which shall be paid into the Port Capital Development Fund. + }
SECTION 8. { + Nothing in this 1995 Act is intended to prevent
an applicant from employing a private engineering firm and
construction firm to perform the engineering and construction
work on the proposed port capital development project. + }
SECTION 9. { + The Economic Development Department may approve
a port capital development project proposed in an application
filed under section 6 of this 1995 Act if, after investigation,
the department finds that:
(1) The proposed port capital development project is necessary,
feasible and a reasonable risk from practical and economic
standpoints.
(2) Moneys in the Port Capital Development Fund are or will be
available for the proposed port capital development project.
(3) The proposed port capital development project is consistent
with a development plan approved by the port that indicates that
the project's market or service area warrants the proposed level
of investment.
(4) The applicant employs or will employ a full-time
administrator to administer the proposed port capital development
project or has provided for such project administration under an
intergovernmental agreement with another unit of local
government.
(5) The accounts and fiscal affairs of the applicant have been
audited under the Municipal Audit Law within a one-year period
immediately preceding the date of the application filed under
section 6 of this 1995 Act.
(6) The applicant's financial resources are adequate to satisfy
all existing and proposed long-term obligations and to provide
the working capital needed to assure the success of the proposed
port capital development project, including any moneys necessary
to satisfy any local matching requirements for the project.
(7) The applicant has received all necessary permits required
by federal, state or local agencies.
(8) The standards under ORS 285.025 have been met. + }
SECTION 10. { + (1) The Economic Development Department shall
give priority to port capital development projects that fulfill
any one of the following criteria:
(a) Projects, including transportation and utility service, to
develop industrial lands and industrial parks, including publicly
owned buildings for lease to industry;
(b) Projects for which proven markets exist but for which new
capital facilities are needed, including publicly owned buildings
for lease to industry; or
(c) Projects that involve the following activities:
(A) Waterfront redevelopment.
(B) Dock construction.
(C) Airport utility service, runway extensions, terminal
buildings and land acquisitions.
(2) The department shall not provide funds to port capital
development projects that subsidize regular port operating
expenses. Grants received by ports under sections 2 to 11 of this
1995 Act shall not be used for regular port operating expenses.
(3) The department, by rule, shall establish standards by which
priorities among grant applications may be determined. + }
SECTION 11. { + Grants made to ports under sections 2 to 11 of
this 1995 Act may be paid in a lump sum or in installments and
may extend beyond the biennium in which the first payment of the
grant is made. + }
SECTION 12. { + The Economic Development Department shall
adopt rules necessary to administer and carry out this Act not
later than November 1, 1995. + }
SECTION 13. { + There is appropriated to the Economic
Development Department for the biennium beginning July 1, 1995,
out of the General Fund, the sum of $_____. Moneys appropriated
under this section are transferred to the Port Capital
Development Fund created by section 4 of this Act. + }
SECTION 14. { + This Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this Act takes effect on July 1,
1995. + }
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