Chapter 739
AN ACT
HB 2210
Relating to fuel; creating new provisions;
amending ORS 215.203, 215.213, 215.283, 283.327, 285C.350, 285C.353, 308A.056,
314.752, 318.031, 469.320, 646.905, 646.910 and 646.957; and prescribing an
effective date.
Be It Enacted by the People of
the State of
PRODUCERS OF BIOFUEL RAW MATERIALS
SECTION 1. Sections 2 and 3 of this 2007 Act are added
to and made a part of ORS chapter 315.
SECTION 2. (1) As used in this section:
(a) “Agricultural producer”
means a person that produces biomass that is used in
(b) “Biofuel” means
liquid, gaseous or solid fuels derived from biomass.
(c) “Biomass” means
organic matter that is available on a renewable or recurring basis and that is
derived from:
(A)
(B) Wood material from
hardwood timber described in ORS 321.267 (3);
(C) Agricultural
residues;
(D) Offal and tallow
from animal rendering;
(E) Food wastes
collected as provided under ORS chapter 459 or 459A;
(F) Yard or wood debris
collected as provided under ORS chapter 459 or 459A;
(G) Wastewater solids;
or
(H) Crops grown solely
to be used for energy.
(d) “Biomass” does not
mean wood that has been treated with creosote, pentachlorophenol, inorganic
arsenic or other inorganic chemical compounds.
(e) “Biomass collector”
means a person that collects biomass to be used in
(2)(a) An agricultural
producer or biomass collector shall be allowed a credit against the taxes that
would otherwise be due under ORS chapter 316 or, if the taxpayer is a corporation,
under ORS chapter 317 or 318 for:
(A) The production of
biomass that is used in
(B) The collection of
biomass that is used in
(b) A credit under this
section may be claimed in the tax year in which the agricultural producer or
biomass collector transfers biomass to a biofuel producer.
(3) The amount of the
credit shall be calculated as follows:
(a)
Determine the quantity of biomass transferred to a biofuel producer during the
tax year;
(b) Categorize the
biomass into appropriate categories; and
(c) Multiply the
quantity of biomass in a particular category by the appropriate credit rate for
that category, expressed in dollars and cents, that is
prescribed in section 5 of this 2007 Act.
(4) The amount of the
credit claimed under this section for any tax year may not exceed the tax
liability of the taxpayer.
(5)(a) A biofuel
producer shall provide a written receipt to an agricultural producer or biomass
collector at the time biomass is transferred from the agricultural producer or
biomass collector to the biofuel producer. The receipt must state the quantity
and type of biomass being transferred and that the biomass is to be used to
produce biofuel.
(b) Each agricultural
producer or biomass collector shall maintain the receipts described in this
subsection in their records for a period of at least five years after the tax
year in which the credit is claimed or for a longer period of time prescribed
by the Department of Revenue.
(6) The credit shall be
claimed on a form prescribed by the Department of Revenue that contains the
information required by the department.
(7) Any tax credit
otherwise allowable under this section that is not used by the taxpayer in a
particular tax year may be carried forward and offset against the taxpayer’s
tax liability for the next succeeding tax year. Any credit remaining unused in
the next succeeding tax year may be carried forward and used in the second
succeeding tax year, and likewise any credit not used in that second succeeding
tax year may be carried forward and used in the third succeeding tax year, and
any credit not used in that third succeeding tax year may be carried forward
and used in the fourth succeeding tax year, but may not be carried forward for
any tax year thereafter.
(8) In the case of a
credit allowed under this section:
(a) A nonresident shall
be allowed the credit under this section in the proportion provided in ORS
316.117.
(b) If a change in the
status of the taxpayer from resident to nonresident or from nonresident to
resident occurs, the credit allowed by this section shall be determined in a
manner consistent with ORS 316.117.
(c) If a change in the
taxable year of the taxpayer occurs as described in ORS 314.085, or if the
department terminates the taxpayer’s taxable year under ORS 314.440, the credit
allowed under this section shall be prorated or computed in a manner consistent
with ORS 314.085.
SECTION 3. (1) A person that has obtained a tax credit
under section 2 of this 2007 Act may transfer the credit for consideration to a
taxpayer subject to tax under ORS chapter 316, 317 or 318.
(2) To transfer the tax
credit, the taxpayer earning the credit and the taxpayer that will claim the
credit shall jointly file a notice of tax credit transfer with the Department
of Revenue. The notice shall be given on a form prescribed by the department
that contains all of the following:
(a) The name, address
and taxpayer identification number of the transferor and transferee;
(b) The amount of the
tax credit; and
(c) Any other
information required by the department.
(3) Notwithstanding
subsection (1) of this section, a tax credit may not be transferred under this
section:
(a) From an agricultural
producer to a biomass collector claiming a credit for collecting the biomass;
or
(b) From a biomass
collector to an agricultural producer claiming a credit for producing the
biomass.
SECTION 4. Section 5 of this 2007 Act is added to and
made a part of ORS chapter 469.
SECTION 5. To be eligible for the tax credit under
section 2 of this 2007 Act, the biomass must be produced or collected in
(1) For oil seed crops,
$0.05 per pound.
(2) For grain crops,
including but not limited to wheat, barley and triticale, $0.90 per bushel.
(3) For virgin oil or
alcohol delivered for production in
(4) For used cooking oil
or waste grease, $0.10 per gallon.
(5) For wastewater
biosolids, $10.00 per wet ton.
(6) For woody biomass
collected from nursery, orchard, agricultural, forest or rangeland property in
Oregon, including but not limited to prunings, thinning, plantation rotations,
log landing or slash resulting from harvest or forest health stewardship,
$10.00 per green ton.
(7) For grass, wheat,
straw or other vegetative biomass from agricultural crops, $10.00 per green
ton.
(8) For yard debris and
municipally generated food waste, $5.00 per wet ton.
(9) For animal manure or
rendering offal, $5.00 per wet ton.
SECTION 6. Sections 2, 3 and 5 of this 2007 Act apply
to tax credits for tax years beginning on or after January 1, 2007, and before
January 1, 2013.
SECTION 7. ORS 314.752 is amended to read:
314.752. (1) Except as
provided in ORS 314.740 (5)(b), the tax credits allowed or allowable to a C
corporation for purposes of ORS chapter 317 or 318 shall not be allowed to an S
corporation. The business tax credits allowed or allowable for purposes of ORS
chapter 316 shall be allowed or are allowable to the shareholders of the S
corporation.
(2) In determining the
tax imposed under ORS chapter 316, as provided under ORS 314.734, on income of
the shareholder of an S corporation, there shall be taken into account the
shareholder’s pro rata share of business tax credit (or item thereof) that
would be allowed to the corporation (but for
subsection (1) of this section) or recapture or recovery thereof. The credit
(or item thereof), recapture or recovery shall be passed through to
shareholders in pro rata shares as determined in the manner prescribed under
section 1377(a) of the Internal Revenue Code.
(3) The character of any
item included in a shareholder’s pro rata share under subsection (2) of this
section shall be determined as if such item were realized directly from the
source from which realized by the corporation, or incurred in the same manner
as incurred by the corporation.
(4) If the shareholder
is a nonresident and there is a requirement applicable for the business tax
credit that in the case of a nonresident the credit be allowed in the
proportion provided in ORS 316.117, then that provision shall apply to the
nonresident shareholder.
(5) As used in this
section, “business tax credit” means a tax credit granted to personal income
taxpayers to encourage certain investment, to create employment, economic
opportunity or incentive or for charitable, educational, scientific, literary
or public purposes that is listed under this subsection as a business tax
credit or is designated as a business tax credit by law or by the Department of
Revenue by rule and includes but is not limited to the following credits: ORS
285C.309 (tribal taxes on reservation enterprise zones), ORS 315.104
(forestation and reforestation), ORS 315.134 (fish habitat improvement), ORS
315.138 (fish screening, by-pass devices, fishways), ORS 315.156 (crop
gleaning), ORS 315.164 and 315.169 (farmworker housing), ORS 315.204 (dependent
care assistance), ORS 315.208 (dependent care facilities), ORS 315.213
(contributions for child care), ORS 315.254 (youth apprenticeship sponsorship),
ORS 315.304 (pollution control facility), ORS 315.324 (plastics recycling), ORS
315.354 and ORS 469.207 (energy conservation facilities), ORS 315.507
(electronic commerce), ORS 315.511 (advanced telecommunications facilities),
ORS 315.604 (bone marrow transplant expenses) and ORS 317.115 (fueling stations
necessary to operate an alternative fuel vehicle) and section 2 of this 2007
Act (biomass production for biofuel).
SECTION 8. ORS 318.031 is amended to read:
318.031. It being the
intention of the Legislative Assembly that this chapter and ORS chapter 317
shall be administered as uniformly as possible (allowance being made for the
difference in imposition of the taxes), ORS 305.140 and 305.150, ORS chapter
314 and the following sections are incorporated into and made a part of this
chapter: ORS 285C.309, 315.104, 315.134, 315.156, 315.204, 315.208, 315.213,
315.254, 315.304, 315.507, 315.511 and 315.604 and section 2 of this 2007
Act (all only to the extent applicable [for]
to a corporation) and ORS chapter 317.
SECTION 8a. The State Department of Energy shall
periodically conduct an impact study of the biofuels program. The study will
include but is not limited to the following criteria with respect to the
biofuel sector in this state:
(1) Jobs created;
(2) Average wage rates
for those jobs;
(3) The provision of
health care and other benefits;
(4) The extent to which
workforce training opportunities are being provided to employees;
(5) The number of acres
of biofuel feedstock planted;
(6) The number of
gallons of biofuel blended fuel produced and consumed in the state;
(7) The cost of fuel
with biofuel blends and how that compares with the cost of petroleum fuel;
(8) Environmental
impacts such as reductions in greenhouse gas emissions and other toxic air
pollution;
(9) The impact of
biofuel feedstock production on the price of commodity crops and the cost of
food staples; and
(10) The extent to which
SECTION 8b. (1) The State Department of Energy shall
conduct the first study under section 8a of this 2007 Act two years after the
effective date of this 2007 Act.
(2) Section 8a of this
2007 Act is repealed January 2, 2025.
RURAL RENEWABLE ENERGY
DEVELOPMENT ZONES
SECTION 9. ORS 285C.350 is amended to read:
285C.350. As used in ORS 285C.350 to 285C.370:
(1) “Applicant” means
the city, county or group of counties applying for designation of territory as
a rural renewable energy development zone.
(2) “Renewable energy”
means electricity that is generated through use of a renewable energy resource,
as defined in ORS 469.185[.], or a
liquid, gaseous or solid fuel for commercial sale or distribution that is one
of the following:
(a) A biofuel, such as
biodiesel or ethanol, as those terms are defined in ORS 646.905,
that is derived from an organic source. As used in this paragraph, “biofuel”
includes, but is not limited, to raw biomass harvested for biofuel or suitable
by-products, residue from agriculture, forestry or other industries and residue
from commercial or municipal waste collection.
(b) A fuel additive that
has been verified under the United States Environmental Protection Agency’s
Environmental Technology Verification Program or the California Air Resources
Board verification program and is composed of at least 90 percent renewable
materials.
[(3) “Rural county” means a sparsely populated county, as defined in ORS
285C.050.]
(3) “Rural area”
means an area in the state that is not within the urban growth boundary of a
city with a population of 30,000 or more.
SECTION 9a. ORS 285C.353 is amended to read:
285C.353. (1) A [rural] county, a city in a rural [county] area or a combination of
contiguous [rural] counties may apply
to the Director of the Economic and Community Development Department for
designation of the entire territory of the applicant that is located in a
rural area as a rural renewable energy development zone.
(2) An application for
designation of a rural renewable energy development zone shall be in such form
and shall contain such information as the Economic and Community Development
Department prescribes by rule. The application shall include a copy of the
resolution of the governing body of [each]
the city or [rural] each
county that constitutes the applicant that states that the city or county seeks
rural renewable energy development zone designation.
(3) The director shall
approve designation of the territory of the applicant as a rural renewable
energy development zone [if:],
excluding any territory of an applicant that is not within a rural area at the
time of designation.
[(a) The area consists of territory in a rural
county or is two or more contiguous rural counties; and]
[(b) The area would qualify for enterprise zone designation, without
regard to any applicable numerical limitation on enterprise zones or to ORS
285C.090.]
(4)(a) The designation
of an area as a rural renewable energy development zone authorizes the
exemption of up to an amount, determined as prescribed in paragraph (d) of this
subsection, in real market value of property described in ORS 285C.359 that
meets the requirements for exemption under ORS 285C.362.
(b) An applicant may
seek subsequent additional designations under this section. An application for
additional designation shall be made in the same manner as an application for
initial designation, and shall be approved by the director if the application
for additional designation meets the qualifications for designation under
subsection (3) of this section.
(c) Each additional
designation approved under this section authorizes the exemption of a new
amount, determined as prescribed in paragraph (d) of this subsection, in real
market value of property described in ORS 285C.359 that meets the requirements
for exemption under ORS 285C.362.
(d) Each amount
authorized for exemption under this section shall be determined as follows:
(A) The amount shall be
set forth in the resolution described in subsection (2) of this section.
(B) If no amount is
specified in the resolution described in subsection (2) of this section, the
amount shall be [$100 million] $250
million.
(C) The amount may not exceed
[$100 million] $250 million
for any single designation under this section.
(D) The amount applies
only to exemptions first claimed for a tax year that begins after January 1
following the date of adoption of the resolution described in subsection (2) of
this section.
(5) If an application
for designation was made by one city or county, that city or county shall serve
as sponsor of the rural renewable energy development zone. If the application
for designation was made by two or more [rural]
counties, the application shall identify which county shall serve as the
sponsor of the zone.
RENEWABLE FUEL STANDARDS
SECTION 10. ORS 646.905 is amended to read:
646.905. As used in ORS
646.910 to 646.920:
(1) “Alcohol” means a
volatile flammable liquid having the general formula C:BSB6.n:SEC6.H(2n+1) OH
used or sold for the purpose of blending or mixing with gasoline for use in
propelling motor vehicles, and commonly or commercially known or sold as an
alcohol, and includes ethanol or methanol.
(2) “Biodiesel” means
a motor vehicle fuel consisting of mono-alkyl esters of long chain fatty acids
derived from vegetable oils, animal fats or other nonpetroleum resources, not
including palm oil, designated as B100 and complying with ASTM D 6751.
(3) “Certificate of
analysis” means:
(a) A document verifying
that B100 biodiesel has been analyzed and complies with, at a minimum, the
following ASTM D 6751 biodiesel fuel test methods and specifications:
(A) Flash point (ASTM D
93);
(B) Acid number (ASTM D
664);
(C) Cloud point (ASTM D
2500);
(D) Water and sediment
(ASTM D 2709);
(E) Visual appearance
(ASTM D 4176);
(F) Free glycerin (ASTM
D 6854); and
(G) Total glycerin (ASTM
D 6854); and
(b) Certification of
feedstock origination describing the percent of the feedstock sourced outside
of the states of
[(2)] (4) “Co-solvent” means an alcohol other than methanol
which is blended with either methanol or ethanol or both to minimize phase
separation in gasoline.
[(3)] (5) “Ethanol” means ethyl alcohol, a flammable liquid
having the formula C2H5OH used or sold for the purpose of
blending or mixing with gasoline for use in motor vehicles.
[(4)] (6) “Gasoline” means any fuel sold for use in spark
ignition engines whether leaded or unleaded.
[(5)] (7) “Methanol” means methyl alcohol, a flammable liquid
having the formula CH3OH used or sold for the purpose of blending or
mixing with gasoline for use in motor vehicles.
[(6)] (8) “Motor vehicles” means all vehicles, vessels, watercraft,
engines, machines or mechanical contrivances that are propelled by internal
combustion engines or motors.
[(7)] (9) “Nonretail dealer” means any person who owns,
operates, controls or supervises an establishment at which motor vehicle fuel
is dispensed through a card- or key-activated fuel dispensing device to
nonretail customers.
(10) “Other renewable
diesel” means a diesel fuel substitute, produced from nonfossil renewable resources, that has an established ASTM standard, is
approved by the United States Environmental Protection Agency, meets
specifications of the National Conference on Weights and Measures, and complies
with standards promulgated under ORS 646.957.
[(8)] (11) “Retail dealer” means any person who owns,
operates, controls or supervises an establishment at which gasoline is sold or
offered for sale to the public.
[(9)] (12) “Wholesale dealer” means any person engaged in the
sale of gasoline if the seller knows or has reasonable cause to believe the
buyer intends to resell the gasoline in the same or an altered form to another.
SECTION 11. ORS 646.957 is amended to read:
646.957. (1) In
accordance with any applicable provision of ORS chapter 183, the Director of
Agriculture, not later than December 1, 1997, shall adopt rules to carry out
the provisions of ORS 646.947 to 646.963. Such rules may include, but are not
limited to, motor vehicle fuel grade advertising, pump grade labeling, testing
procedures, quality standards and identification requirements for motor vehicle
fuels and ethanol, biodiesel and other renewable diesel, as those terms are
defined in ORS 646.905. Rules adopted by the director under this section
shall be consistent, to the extent the director considers appropriate, with the
most recent standards adopted by the American Society for Testing and
Materials. As standards of the society are revised, the director shall revise
the rules in a manner consistent with the revisions unless the director
determines that those revised rules will significantly interfere with the director’s
ability to carry out the provisions of ORS 646.947 to 646.963. Rules adopted
pursuant to this section must adequately protect confidential business
information and trade secrets that the director or the director’s authorized
agent may discover when inspecting books, papers and records pursuant to ORS
646.955.
(2) Testing
requirements, specifications and frequency of testing for each production lot
of biodiesel, biodiesel blend or other renewable diesel produced in or brought
into this state shall be defined by the director by rule.
SECTION 12. Sections 13 to 15, 17 and 18 of this 2007
Act are added to and made a part of ORS 646.910 to 646.920.
SECTION 13. (1) The State Department of Agriculture
shall study and monitor biodiesel fuel production, use and sales and
certificates of analysis in this state.
(2) When the production
of biodiesel in this state from sources in Oregon, Washington, Idaho and
Montana reaches a level of at least 5 million gallons on an annualized basis
for at least three months, the department shall notify all retail dealers,
nonretail dealers and wholesale dealers in this state, in a notice that meets
the requirements of subsection (5) of this section.
(3) When the production
of biodiesel in this state from sources in Oregon, Washington, Idaho and
Montana reaches a level of at least 15 million gallons on an annualized basis
for at least three months, the department shall notify all retail dealers,
nonretail dealers and wholesale dealers in this state, in a notice that meets
the requirements of subsection (5) of this section.
(4) All retail dealers,
nonretail dealers and wholesale dealers in
(5) The notices required
under this section shall inform retail dealers, nonretail dealers and wholesale
dealers that:
(a) The production of
biodiesel has reached the level described in subsection (2) or (3) of this
section, as appropriate; and
(b) Three months after the
date of the notice, a retail dealer, nonretail dealer or wholesale dealer may
sell or offer for sale diesel fuel only as described in section 14 of this 2007
Act.
SECTION 14. (1) Three months after the date of the
notice given under section 13 (2) of this 2007 Act, a retail dealer, nonretail
dealer or wholesale dealer may not sell or offer for sale diesel fuel unless
the diesel fuel contains at least two percent biodiesel by volume or other
renewable diesel with at least two percent renewable component by volume.
(2) Three months after
the date of the notice given under section 13 (3) of this 2007 Act, a retail
dealer, nonretail dealer or wholesale dealer may not sell or offer for sale
diesel fuel unless the diesel fuel contains at least five percent biodiesel by
volume or other renewable diesel with at least five percent renewable component
by volume. Diesel fuel containing more than five percent biodiesel by volume or
other renewable diesel with more than five percent renewable component by
volume must be labeled as provided by the State Department of Agriculture by
rule.
(3) The department shall
adopt standards for biodiesel or other renewable diesel sold in this state. The
department shall consult the specifications established for biodiesel or other
renewable diesel by ASTM International in forming its standards. The department
may review specifications adopted by ASTM International, or equivalent
organizations, and revise the standards adopted pursuant to this subsection as
necessary.
(4) The minimum
biodiesel fuel content or renewable component in other renewable diesel
requirements under subsections (1) and (2) of this section do not apply to
diesel fuel sold or offered for sale for use by railroad locomotives, marine
engines or home heating.
SECTION 15. (1) Each biodiesel or other renewable
diesel producer, each operator of a biodiesel bulk facility and each person who
imports biodiesel or other renewable diesel into this state for sale in this
state shall keep for at least one year, at the person’s registered place of
business, the certificate of analysis for each batch or production lot of B100
biodiesel sold or delivered in this state.
(2) The Director of
Agriculture, or the director’s authorized agent, upon reasonable oral or
written notice, may make such examinations of books, papers, records and
equipment the director requires to be kept by a biodiesel or other renewable
diesel producer, facility operator or importer as may be necessary to carry out
the duties of the director under ORS 646.910 to 646.920.
(3) The director, or the
director’s authorized agent, may test biodiesel or other renewable diesel for
the purpose of inspecting the biodiesel or other renewable diesel of any
producer, bulk facility, business or other establishment that sells, offers for
sale, distributes, transports, hauls, delivers or stores biodiesel or other
renewable diesel that is subsequently sold or offered for sale, for compliance
with the motor fuel quality standards adopted pursuant to ORS 646.957.
(4) For the purpose of
ensuring the quality of B100 biodiesel, the director, or the director’s
authorized agent, may obtain, at no cost to the department and as often as
deemed necessary, a representative sample of B100 biodiesel from any producer,
bulk facility, business or other establishment that sells, offers for sale,
distributes, transports, hauls, delivers or stores biodiesel. The State
Department of Agriculture shall adopt rules establishing the number of samples
to be tested. The entire cost of transportation and testing of the samples
shall be the responsibility of and invoiced directly to the business from which
the sample was obtained.
SECTION 16. Sections 14 and 15 of this 2007 Act become
operative on a date that is three months following the date of the first notice
required under section 13 (2) of this 2007 Act.
SECTION 17. (1) The State Department of Agriculture
shall study and monitor ethanol fuel production, use and sales in this state.
(2) When capacity of
ethanol production facilities in Oregon reaches a level of at least 40 million
gallons, the department shall notify all retail dealers, nonretail dealers and
wholesale dealers in this state, in a notice that meets the requirements of
subsection (3) of this section.
(3) The notice under
subsection (2) of this section shall inform retail dealers, nonretail dealers
and wholesale dealers that:
(a) The capacity of
ethanol production facilities in
(b) Three months after the
date of the notice, a retail dealer, nonretail dealer or wholesale dealer may
sell or offer for sale only gasoline described in section 18 of this 2007 Act.
SECTION 18. (1) A retail dealer, nonretail dealer or
wholesale dealer may not sell or offer for sale gasoline unless the gasoline
contains 10 percent ethanol by volume.
(2) Gasoline containing
ethanol that is sold or offered for sale meets the requirements of this section
if the gasoline, exclusive of denaturants and permitted contaminants, contains
not less than 9.2 percent by volume of agriculturally derived, denatured
ethanol that complies with the standards for ethanol adopted by the State
Department of Agriculture.
(3) The department shall
adopt standards for ethanol blended with gasoline sold in this state. The
standards adopted shall require that the gasoline blended with ethanol:
(a) Contains ethanol
that is derived from agricultural or woody waste or residue;
(b) Contains ethanol
denatured as specified in 27 C.F.R. parts 20 and 21;
(c) Complies with the
volatility requirements specified in 40
C.F.R. part 80;
(d) Complies with or is
produced from a gasoline base stock that complies with ASTM International
specification D 4814;
(e) Is not blended with
casinghead gasoline, absorption gasoline, drip gasoline or natural gasoline
after it has been sold, transferred or otherwise removed from a refinery or
terminal; and
(f) Contains ethanol
that complies with ASTM International specification D 4806.
(4) The department may
review specifications adopted by ASTM International, or equivalent
organizations, and federal regulations and revise the standards adopted
pursuant to this section as necessary.
SECTION 19. Section 18 of this 2007 Act becomes
operative on a date that is three months following the date of the notice
required under section 17 of this 2007 Act.
GASOLINE ADDITIVE RESTRICTIONS
SECTION 20. ORS 646.910 is amended to read:
646.910. [No] (1) A wholesale or retail
dealer may not sell or offer to sell any gasoline blended or mixed with:
(a) [Alcohol]
Ethanol unless the blend or mixture meets the specifications or
registration requirements established by the United States Environmental
Protection Agency pursuant to section 211 of the Clean Air Act, 42 U.S.C.
section 7545 and 40 C.F.R. Part 79, and that complies with ASTM
International specification D 4806[.];
(b) Methyl tertiary
butyl ether in concentrations that exceed 0.15 percent by volume; or
(c) A total of all of
the following oxygenates that exceeds one-tenth of one percent, by weight, of:
(A) Diisopropylether.
(B) Ethyl
tert-butylether.
(C) Iso-butanol.
(D) Iso-propanol.
(E) N-butanol.
(F) N-propanol.
(G) Sec-butanol.
(H) Tert-amyl methyl
ether.
(I)
Tert-butanol.
(J) Tert-pentanol or
tert-amyl alcohol.
(K) Any other additive
that has not been approved by the
(2) Nothing in this
section shall prohibit transshipment through this state, or storage incident to
the transshipment, of gasoline that contains methyl tertiary butyl ether in
concentrations that exceed 0.15 percent by volume or any of the oxygenates
listed in subsection (1)(c) of this section, provided:
(a) The gasoline is used
or disposed of outside this state; and
(b) The gasoline is
segregated from gasoline intended for use within this state.
SECTION 21. The amendments to ORS 646.910 by section 20
of this 2007 Act become operative November 1, 2009.
SECTION 22. Section 23 of this 2007 Act is added to and
made a part of ORS 646.910 to 646.920.
SECTION 23. Notwithstanding ORS 646.910, a person may
sell, supply or offer to sell or supply gasoline in this state that contains
any oxygenate other than ethanol, if the California Air Resources Board, the
California Environmental Policy Council or the United States Environmental
Protection Agency allows the use of the oxygenate.
SECTION 24. Section 23 of this 2007 Act becomes
operative on the effective date of this 2007 Act.
STATE GOVERNMENT USE OF BIOFUEL
SECTION 25. ORS 283.327 is amended to read:
283.327. (1) To the maximum extent economically possible, state-owned
motor vehicles shall use alternative fuel for operation.
(2) State agencies shall
acquire only motor vehicles capable of using alternative fuel, except that acquired
vehicles assigned to areas unable economically to dispense alternative fuel
need not be so configured.
(3) Each agency owning
motor vehicles shall comply with all safety standards established by the United
States Department of Transportation in the conversion, operation and
maintenance of vehicles using alternative fuel.
(4) To the maximum
extent economically possible, state-owned structures shall use biofuel, or
direct-application electricity generated from biofuel, where diesel is
currently utilized for stationary or back-up generation.
BIOFUEL CONSUMER INCOME TAX CREDITS
SECTION 26. Sections 27 and 28 of this 2007 Act are
added to and made a part of ORS chapter 315.
SECTION 27. (1) As used in this section and section 28
of this 2007 Act:
(a) “Alternative fuel
vehicle” means a motor vehicle that can operate on a fuel blend.
(b) “Biodiesel” has the
meaning given that term in ORS 646.905.
(c) “Biomass” has the
meaning given that term in section 2 of this 2007 Act.
(d) “Bone dry ton” means
matter that is dried to less than one percent moisture content and that weighs
2,000 pounds.
(e) “Fuel blend” means
diesel fuel of blends equal to or exceeding 99 percent biodiesel or gasoline of
a blend equal to or exceeding 85 percent methanol or ethanol.
(2)(a) A resident
individual shall be allowed a credit against the taxes otherwise due under ORS
chapter 316 for costs paid or incurred to purchase fuel blends for use in an
alternative fuel vehicle.
(b) A resident
individual shall be allowed a credit against the taxes otherwise due under ORS
chapter 316 for costs paid or incurred to purchase forest, rangeland or
agriculture waste or residue densified and dried prepared solid biofuel that
contains 100 percent biomass.
(3) The amount of the
credit shall be calculated as follows:
(a) Determine the
quantity of fuel blend or solid biofuel purchased by the taxpayer during the
tax year;
(b) Categorize the fuel
blend or solid biofuel as prescribed in rules adopted under section 31 of this
2007 Act; and
(c) Multiply the
quantity of fuel blend or solid biofuel in a particular category by the
appropriate credit rate for that category, expressed in dollars and cents.
(4) Notwithstanding
subsection (3) of this section:
(a) The credit allowed
under this section for diesel blended fuel is equal to $0.50 per gallon and in
any one tax year may not exceed $200 per
(b) The credit allowed
for gasoline blended fuel is equal to $0.50 per gallon and in any one tax year
may not exceed $200 per
(c) The credit allowed
for forest, rangeland or agriculture waste or residue densified and dried
prepared solid biofuel is equal to $10 per bone dry ton of solid biofuel and in
any one tax year may not exceed $200 per taxpayer.
(d) The credit allowed
in any one tax year may not exceed the tax liability of the taxpayer and may
not be carried forward to a subsequent tax year.
(5) For each tax year
for which a credit is claimed under this section, the taxpayer shall maintain
records sufficient to determine the taxpayer’s purchase of qualifying fuel
blends. A taxpayer shall maintain the records required under this subsection
for at least five years.
(6) A nonresident shall
be allowed the credit under this section in the proportion provided in ORS
316.117.
(7) If a change in the
taxable year of a taxpayer occurs as described in ORS 314.085, or if the
Department of Revenue terminates the taxpayer’s taxable year under ORS 314.440,
the credit allowed by this section shall be prorated or computed in a manner
consistent with ORS 314.085.
(8) If a change in the
status of a taxpayer from resident to nonresident or from nonresident to
resident occurs, the credit allowed by this section shall be determined in a
manner consistent with ORS 316.117.
(9) A husband and wife
who file separate returns for a taxable year may each claim a share of the tax
credit that would have been allowed on a joint return in proportion to the
contribution of each.
SECTION 28. (1) A resident individual shall be allowed
a tax credit against the taxes otherwise due under ORS chapter 316 for costs
paid or incurred to purchase fuel for primary home space heating that is at
least 20 percent biodiesel. The credit allowed under this section is the lesser
of five cents per gallon or $200.
(2) The credit allowed
in any one tax year may not exceed the tax liability of the taxpayer and may
not be carried forward to a subsequent tax year.
(3) For each tax year
for which a credit is claimed under this section, the taxpayer shall maintain
records sufficient to determine the taxpayer’s purchase of qualifying fuel for
primary home space heating. A taxpayer shall maintain the records required
under this subsection for at least five years.
(4) A nonresident shall
be allowed the credit under this section in the proportion provided in ORS
316.117.
(5) If a change in the
taxable year of a taxpayer occurs as described in ORS 314.085, or if the
Department of Revenue terminates the taxpayer’s taxable year under ORS 314.440,
the credit allowed by this section shall be prorated or computed in a manner
consistent with ORS 314.085.
(6) If a change in the
status of a taxpayer from resident to nonresident or from nonresident to
resident occurs, the credit allowed by this section shall be determined in a
manner consistent with ORS 316.117.
(7) A husband and wife
who file separate returns for a taxable year may each claim a share of the tax
credit that would have been allowed on a joint return in proportion to the
contribution of each.
SECTION 29. Sections 27 and 28 of this 2007 Act apply
to tax years beginning on or after January 1, 2007, and before January 1, 2013.
SECTION 30. Section 31 of this 2007 Act is added to and
made a part of ORS chapter 469.
SECTION 31. The State Department of Energy shall by
rule identify categories of fuel blend and solid biofuel that qualify for the
personal income tax credit allowed under section 27 of this 2007 Act.
SECTION 32. The State Department of Energy shall adopt
rules under section 31 of this 2007 Act on or before 60 days after the
effective date of this 2007 Act.
ENERGY FACILITY SITING PROCESS;
EXCEPTIONS
SECTION 33. ORS 469.320 is amended to read:
469.320. (1) Except as
provided in subsections (2) and (5) of this section, no facility shall be
constructed or expanded unless a site certificate has been issued for the site
thereof in the manner provided in ORS 469.300 to 469.563, 469.590 to 469.619,
469.930 and 469.992. No facility shall be constructed or operated except in
conformity with the requirements of ORS 469.300 to 469.563, 469.590 to 469.619,
469.930 and 469.992.
(2) A site certificate
is not required for:
(a) An energy facility
for which no site certificate has been issued that, on August 2, 1993, had
operable electric generating equipment for a modification that uses the same
fuel type and increases electric generating capacity, if:
(A) The site is not
enlarged; and
(B) The ability of the
energy facility to use fuel for electricity production under peak steady state operating
conditions is not more than 200 million Btu per hour greater than it was on
August 2, 1993, or the energy facility expansion is called for in the
short-term plan of action of an energy resource plan that has been acknowledged
by the Public Utility Commission of Oregon.
(b) Construction or
expansion of any interstate natural gas pipeline or associated underground
natural gas storage facility authorized by and subject to the continuing
regulation of the Federal Energy Regulatory Commission or successor agency.
(c) An energy facility,
except coal and nuclear power plants, if the energy facility:
(A) Sequentially
produces electrical energy and useful thermal energy from the same fuel source;
and
(B) Under normal
operating conditions, has a useful thermal energy output of no less than 33
percent of the total energy output or the fuel chargeable to power heat rate
value is not greater than 6,000 Btu per kilowatt hour.
(d) Temporary storage,
at the site of a nuclear-fueled thermal power plant for which a site
certificate has been issued by the State of Oregon, of radioactive waste from
the plant.
(e) An energy facility
as defined in ORS 469.300 (11)(a)(G), if the plant also produces a secondary
fuel used on site for the production of heat or electricity, if the output of
the primary fuel is less than six billion Btu of heat a day.
(f) An energy facility
as defined in ORS 469.300 (11)(a)(G), if the facility:
(A) Exclusively uses biomass,
including but not limited to grain, whey, potatoes, oil seeds, waste
vegetable oil or cellulosic biomass, as the source of material for
conversion to a liquid fuel;
(B) Has received local
land use approval under the applicable acknowledged comprehensive plan and land
use regulations of the affected local government and the facility complies with
any statewide planning goals or rules of the Land Conservation and Development
Commission that are directly applicable to the facility;
(C) Requires no new
electric transmission lines or gas or petroleum product pipelines that would
require a site certificate under subsection (1) of this section; [and]
(D) Produces synthetic
fuel, at least 90 percent of which is used in an industrial or refueling
facility located within one mile of the facility or is transported from the
facility by rail or barge; and
(E) Emits less than 118
pounds of carbon dioxide per million Btu from fossil fuel used for conversion
energy.
(g) A standby generation
facility, if the facility complies with all of the following:
(A) The facility has
received local land use approval under the applicable acknowledged
comprehensive plan and land use regulations of the affected local government
and the facility complies with all statewide planning goals and applicable
rules of the Land Conservation and Development Commission;
(B) The standby
generators have been approved by the Department of Environmental Quality as
having complied with all applicable air and water quality requirements. For an
applicant that proposes to provide the physical facilities for the installation
of standby generators, the requirement of this subparagraph may be met by
agreeing to require such a term in the lease contract for the facility; and
(C) The standby
generators are electrically incapable of being interconnected to the
transmission grid. For an applicant that proposes to provide the physical
facilities for the installation of standby generators, the requirement of this
subparagraph may be met by agreeing to require such a term in the lease
contract for the facility.
(3) The Energy Facility
Siting Council may review and, if necessary, revise the fuel chargeable to
power heat rate value set forth in subsection (2)(c)(B) of this section. In
making its determination, the council shall ensure that the fuel chargeable to
power heat rate value for facilities set forth in subsection (2)(c)(B) of this
section remains significantly lower than the fuel chargeable to power heat rate
value for the best available, commercially viable thermal power plant
technology at the time of the revision.
(4) Any person who
proposes to construct or enlarge an energy facility and who claims an exemption
under subsection (2)(a), (c), (f) or (g) of this
section from the requirement to obtain a site certificate shall request the
Energy Facility Siting Council to determine whether the proposed facility
qualifies for the claimed exemption. The council shall make its determination
within 60 days after the request for exemption is filed. An appeal from the
council’s determination on a request for exemption shall be made under ORS
469.403, except that the scope of review by the Supreme Court shall be the same
as a review by a circuit court under ORS 183.484. The record on review by the
Supreme Court shall be the record established in the council proceeding on the
exemption.
(5) Notwithstanding
subsection (1) of this section, a separate site certificate shall not be
required for:
(a) Transmission lines,
storage facilities, pipelines or similar related or supporting facilities, if
such related or supporting facilities are addressed in and are subject to a
site certificate for another energy facility;
(b) Expansion within the
site or within the energy generation area of a facility for which a site
certificate has been issued, if the existing site certificate has been amended
to authorize expansion; or
(c) Expansion, either
within the site or outside the site, of an existing council certified surface
facility related to an underground gas storage reservoir, if the existing site
certificate is amended to authorize expansion.
(6) If the substantial
loss of the steam host causes a facility exempt under subsection (2)(c) of this section to substantially fail to meet the
exemption requirements under subsection (2)(c) of this section, the electric
generating facility shall cease to operate one year after the substantial loss
of the steam host unless an application for a site certificate has been filed
in accordance with the provisions of ORS 469.300 to 469.563.
(7) As used in this
section:
(a) “Standby generation
facility” means an electric power generating facility, including standby
generators and the physical structures necessary to install and connect standby
generators, that provides temporary electric power in the event of a power
outage and that is electrically incapable of being interconnected with the
transmission grid.
(b) “Total energy output”
means the sum of useful thermal energy output and useful electrical energy
output.
(c) “Useful thermal
energy” means the verifiable thermal energy used in any viable industrial or
commercial process, heating or cooling application.
(8) Notwithstanding the
definition of “energy facility” in ORS 469.300 (11)(a)(J),
an electric power generating plant with an average electric generating capacity
of less than 35 megawatts produced from wind energy at a single energy facility
or within a single energy generation area may elect to obtain a site
certificate in the manner provided in ORS 469.300 to 469.563, 469.590 to
469.619, 469.930 and 469.992. An election to obtain a site certificate under
this subsection shall be final upon submission of an application for a site
certificate.
EXCLUSIVE FARM USE FOR
ON-FARM BIOFUEL PRODUCTION
SECTION 34. ORS 215.203 is amended to read:
215.203. (1) Zoning
ordinances may be adopted to zone designated areas of
land within the county as exclusive farm use zones. Land within such zones
shall be used exclusively for farm use except as otherwise provided in ORS
215.213, 215.283 or 215.284. Farm use zones shall be established only when such
zoning is consistent with the comprehensive plan.
(2)(a) As used in this
section, “farm use” means the current employment of land for the primary
purpose of obtaining a profit in money by raising, harvesting and selling crops
or the feeding, breeding, management and sale of, or the produce of, livestock,
poultry, fur-bearing animals or honeybees or for dairying and the sale of dairy
products or any other agricultural or horticultural use or animal husbandry or
any combination thereof. “Farm use” includes the preparation, storage and
disposal by marketing or otherwise of the products or by-products raised on
such land for human or animal use. “Farm use” also includes the current
employment of land for the primary purpose of obtaining a profit in money by
stabling or training equines including but not limited to providing riding
lessons, training clinics and schooling shows. “Farm use” also includes the
propagation, cultivation, maintenance and harvesting of aquatic, bird and
animal species that are under the jurisdiction of the State Fish and Wildlife
Commission, to the extent allowed by the rules adopted by the commission. “Farm
use” includes the on-site construction and maintenance of equipment and
facilities used for the activities described in this subsection. “Farm use”
does not include the use of land subject to the provisions of ORS chapter 321,
except land used exclusively for growing cultured Christmas trees as defined in
subsection (3) of this section or land described in ORS 321.267 (3) or 321.824
(3).
(b) “Current employment”
of land for farm use includes:
(A) Farmland, the
operation or use of which is subject to any farm-related government program;
(B) Land lying fallow
for one year as a normal and regular requirement of good agricultural
husbandry;
(C) Land planted in
orchards or other perennials, other than land specified in subparagraph (D) of
this paragraph, prior to maturity;
(D) Land not in an
exclusive farm use zone which has not been eligible for assessment at special
farm use value in the year prior to planting the current crop and has been
planted in orchards, cultured Christmas trees or vineyards for at least three
years;
(E) Wasteland, in an
exclusive farm use zone, dry or covered with water, neither economically
tillable nor grazeable, lying in or adjacent to and in common ownership with a
farm use land and which is not currently being used for any economic farm use;
(F) Except for land
under a single family dwelling, land under buildings supporting accepted farm
practices, including the processing facilities allowed by ORS 215.213 (1)(x)
and 215.283 (1)(u) and the processing of farm crops into biofuel as
commercial activities in conjunction with farm use under ORS 215.213 (2)(c) and
215.283 (2)(a);
(G) Water impoundments
lying in or adjacent to and in common ownership with farm use land;
(H) Any land
constituting a woodlot, not to exceed 20 acres, contiguous to and owned by the
owner of land specially valued for farm use even if the land constituting the
woodlot is not utilized in conjunction with farm use;
(I) Land lying idle for
no more than one year where the absence of farming activity is due to the
illness of the farmer or member of the farmer’s immediate family. For purposes
of this paragraph, illness includes injury or infirmity whether or not such
illness results in death;
(J) Any land described
under ORS 321.267 (3) or 321.824 (3); [and]
(K) Land used for the
primary purpose of obtaining a profit in money by breeding, raising, kenneling
or training of greyhounds for racing[.]; and
(L) Land used for the
processing of farm crops into biofuel, as defined in section 2 of this 2007
Act, if:
(i) Only the crops of
the landowner are being processed;
(ii) The biofuel from
all of the crops purchased for processing into biofuel is used on the farm of
the landowner; or
(iii) The landowner is
custom processing crops into biofuel from other landowners in the area for
their use or sale.
(c) As used in this
subsection, “accepted farming practice” means a mode of operation that is
common to farms of a similar nature, necessary for the operation of such farms
to obtain a profit in money, and customarily utilized in conjunction with farm
use.
(3) “Cultured Christmas
trees” means trees:
(a) Grown on lands used
exclusively for that purpose, capable of preparation by intensive cultivation
methods such as plowing or turning over the soil;
(b) Of a marketable
species;
(c) Managed to produce
trees meeting U.S. No. 2 or better standards for Christmas trees as specified
by the Agriculture Marketing Services of the United States Department of
Agriculture; and
(d) Evidencing periodic
maintenance practices of shearing for Douglas fir and pine species, weed and
brush control and one or more of the following practices: Basal pruning,
fertilizing, insect and disease control, stump culture, soil cultivation,
irrigation.
SECTION 35. ORS 215.213 is amended to read:
215.213. (1) In counties that have adopted marginal lands provisions
under ORS 197.247 (1991 Edition), the following uses may be established in any
area zoned for exclusive farm use:
(a) Public or private
schools, including all buildings essential to the operation of a school.
(b) Churches and
cemeteries in conjunction with churches.
(c) The propagation or
harvesting of a forest product.
(d) Utility facilities
necessary for public service, including wetland waste treatment systems but not
including commercial facilities for the purpose of generating electrical power
for public use by sale or transmission towers over 200 feet in height. A
utility facility necessary for public service may be established as provided in
ORS 215.275.
(e) A dwelling on real
property used for farm use if the dwelling is occupied by a relative of the
farm operator or the farm operator’s spouse, which means a child, parent, stepparent,
grandchild, grandparent, stepgrandparent, sibling, stepsibling, niece, nephew
or first cousin of either, if the farm operator does or will require the
assistance of the relative in the management of the farm use and the dwelling
is located on the same lot or parcel as the dwelling of the farm operator.
Notwithstanding ORS 92.010 to 92.190 or the minimum lot or parcel size
requirements under ORS 215.780, if the owner of a dwelling described in this
paragraph obtains construction financing or other financing secured by the
dwelling and the secured party forecloses on the dwelling, the secured party
may also foreclose on the homesite, as defined in ORS 308A.250, and the
foreclosure shall operate as a partition of the homesite to create a new
parcel.
(f) Nonresidential
buildings customarily provided in conjunction with farm use.
(g) Primary or accessory
dwellings customarily provided in conjunction with farm use. For a primary
dwelling, the dwelling must be on a lot or parcel that is managed as part of a
farm operation and is not smaller than the minimum lot size in a farm zone with
a minimum lot size acknowledged under ORS 197.251.
(h) Operations for the
exploration for and production of geothermal resources as defined by ORS
522.005 and oil and gas as defined by ORS 520.005, including the placement and
operation of compressors, separators and other customary production equipment
for an individual well adjacent to the wellhead. Any activities or construction
relating to such operations shall not be a basis for an exception under ORS
197.732 (1)(a) or (b).
(i) Operations for the
exploration for minerals as defined by ORS 517.750. Any activities or
construction relating to such operations shall not be a basis for an exception
under ORS 197.732 (1)(a) or (b).
(j) A site for the
disposal of solid waste that has been ordered to be established by the
Environmental Quality Commission under ORS 459.049, together with equipment,
facilities or buildings necessary for its operation.
(k) One manufactured
dwelling or recreational vehicle, or the temporary residential use of an
existing building, in conjunction with an existing dwelling as a temporary use
for the term of a hardship suffered by the existing resident or a relative of
the resident. Within three months of the end of the hardship, the manufactured
dwelling or recreational vehicle shall be removed or demolished or, in the case
of an existing building, the building shall be removed, demolished or returned
to an allowed nonresidential use. The governing body or its designee shall
provide for periodic review of the hardship claimed under this paragraph. A
temporary residence approved under this paragraph is not eligible for
replacement under paragraph (t) of this subsection.
(L) The breeding,
kenneling and training of greyhounds for racing in any county with a population
of more than 200,000 in which there is located a greyhound racing track or in a
county with a population of more than 200,000 that is contiguous to such a
county.
(m) Climbing and passing
lanes within the right of way existing as of July 1, 1987.
(n) Reconstruction or
modification of public roads and highways, including the placement of utility
facilities overhead and in the subsurface of public roads and highways along
the public right of way, but not including the addition of travel lanes, where
no removal or displacement of buildings would occur, or no new land parcels
result.
(o) Temporary public
road and highway detours that will be abandoned and restored to original
condition or use at such time as no longer needed.
(p) Minor betterment of
existing public road and highway related facilities, such as maintenance yards,
weigh stations and rest areas, within right of way existing as of July 1, 1987,
and contiguous public-owned property utilized to support the operation and
maintenance of public roads and highways.
(q) A replacement
dwelling to be used in conjunction with farm use if the existing dwelling has
been listed in a county inventory as historic property as defined in ORS
358.480.
(r) Creation of,
restoration of or enhancement of wetlands.
(s) A winery, as
described in ORS 215.452.
(t) Alteration,
restoration or replacement of a lawfully established dwelling that:
(A) Has intact exterior
walls and roof structure;
(B) Has indoor plumbing
consisting of a kitchen sink, toilet and bathing facilities connected to a
sanitary waste disposal system;
(C) Has
interior wiring for interior lights;
(D) Has a heating
system; and
(E) In the case of
replacement:
(i) Is removed,
demolished or converted to an allowable nonresidential use within three months
of the completion of the replacement dwelling. A replacement dwelling may be
sited on any part of the same lot or parcel. A dwelling established under this
paragraph shall comply with all applicable siting standards. However, the
standards shall not be applied in a manner that prohibits the siting of the
dwelling. If the dwelling to be replaced is located on a portion of the lot or
parcel not zoned for exclusive farm use, the applicant, as a condition of
approval, shall execute and record in the deed records for the county where the
property is located a deed restriction prohibiting the siting of a dwelling on
that portion of the lot or parcel. The restriction imposed shall be irrevocable
unless a statement of release is placed in the deed records for the county. The
release shall be signed by the county or its designee and state that the
provisions of this paragraph regarding replacement dwellings have changed to
allow the siting of another dwelling. The county planning director or the
director’s designee shall maintain a record of the lots and parcels that do not
qualify for the siting of a new dwelling under the provisions of this
paragraph, including a copy of the deed restrictions and release statements
filed under this paragraph; and
(ii) For which the
applicant has requested a deferred replacement permit, is removed or demolished
within three months after the deferred replacement permit is issued. A deferred
replacement permit allows construction of the replacement dwelling at any time.
If, however, the established dwelling is not removed or demolished within three
months after the deferred replacement permit is issued, the permit becomes
void. The replacement dwelling must comply with applicable building codes,
plumbing codes, sanitation codes and other requirements relating to health and
safety or to siting at the time of construction. A deferred replacement permit
may not be transferred, by sale or otherwise, except by the applicant to the
spouse or a child of the applicant.
(u) Farm stands if:
(A) The structures are
designed and used for the sale of farm crops or livestock grown on the farm
operation, or grown on the farm operation and other farm operations in the
local agricultural area, including the sale of retail incidental items and
fee-based activity to promote the sale of farm crops or livestock sold at the
farm stand if the annual sale of incidental items and fees from promotional
activity do not make up more than 25 percent of the total annual sales of the
farm stand; and
(B) The farm stand does
not include structures designed for occupancy as a residence or for activity
other than the sale of farm crops or livestock and does not include structures
for banquets, public gatherings or public entertainment.
(v) An armed forces
reserve center, if the center is within one-half mile of a community college.
For purposes of this paragraph, “armed forces reserve center” includes an
armory or National Guard support facility.
(w) A site for the
takeoff and landing of model aircraft, including such buildings or facilities
as may reasonably be necessary. Buildings or facilities shall not be more than
500 square feet in floor area or placed on a permanent foundation unless the
building or facility preexisted the use approved under
this paragraph. The site shall not include an aggregate surface or hard surface
area unless the surface preexisted the use approved
under this paragraph. As used in this paragraph, “model aircraft” means a
small-scale version of an airplane, glider, helicopter, dirigible or balloon
that is used or intended to be used for flight and is controlled by radio,
lines or design by a person on the ground.
(x) A facility for the
processing of farm crops, or the production of biofuel as defined in section
2 of this 2007 Act, that is located on a farm operation that provides at
least one-quarter of the farm crops processed at the facility. The building
established for the processing facility shall not exceed 10,000 square feet of
floor area exclusive of the floor area designated for preparation, storage or
other farm use or devote more than 10,000 square feet to the processing
activities within another building supporting farm uses. A processing facility
shall comply with all applicable siting standards but the standards shall not
be applied in a manner that prohibits the siting of the processing facility.
(y) Fire service
facilities providing rural fire protection services.
(z) Irrigation canals,
delivery lines and those structures and accessory operational facilities
associated with a district as defined in ORS 540.505.
(aa)
Utility facility service lines. Utility facility
service lines are utility lines and accessory facilities or structures that end
at the point where the utility service is received by the customer and that are
located on one or more of the following:
(A) A public right of
way;
(B) Land immediately
adjacent to a public right of way, provided the written consent of all adjacent
property owners has been obtained; or
(C) The property to be
served by the utility.
(bb)
Subject to the issuance of a license, permit or other approval by the
Department of Environmental Quality under ORS 454.695, 459.205, 468B.050,
468B.053 or 468B.055, or in compliance with rules adopted under ORS 468B.095,
and as provided in ORS 215.246 to 215.251, the land application of reclaimed
water, agricultural or industrial process water or biosolids for agricultural,
horticultural or silvicultural production, or for irrigation in connection with
a use allowed in an exclusive farm use zone under this chapter.
(2) In counties that
have adopted marginal lands provisions under ORS 197.247 (1991 Edition), the
following uses may be established in any area zoned for exclusive farm use
subject to ORS 215.296:
(a) A primary dwelling
in conjunction with farm use or the propagation or harvesting of a forest
product on a lot or parcel that is managed as part of a farm operation or
woodlot if the farm operation or woodlot:
(A) Consists of 20 or
more acres; and
(B) Is not smaller than
the average farm or woodlot in the county producing at least $2,500 in annual
gross income from the crops, livestock or forest products to be raised on the
farm operation or woodlot.
(b) A primary dwelling
in conjunction with farm use or the propagation or harvesting of a forest
product on a lot or parcel that is managed as part of a farm operation or
woodlot smaller than required under paragraph (a) of this subsection, if the
lot or parcel:
(A) Has produced at
least $20,000 in annual gross farm income in two consecutive calendar years out
of the three calendar years before the year in which the application for the
dwelling was made or is planted in perennials capable of producing upon harvest
an average of at least $20,000 in annual gross farm income; or
(B) Is a woodlot capable
of producing an average over the growth cycle of $20,000 in gross annual income.
(c) Commercial
activities that are in conjunction with farm use, [but not including the processing of farm crops as described in] including
the processing of farm crops into biofuel not permitted under ORS 215.203 (2)(b)(L) or subsection (1)(x) of this section.
(d) Operations conducted
for:
(A) Mining and
processing of geothermal resources as defined by ORS 522.005 and oil and gas as
defined by ORS 520.005, not otherwise permitted under subsection (1)(h) of this
section;
(B) Mining, crushing or
stockpiling of aggregate and other mineral and other subsurface resources
subject to ORS 215.298;
(C) Processing, as defined
by ORS 517.750, of aggregate into asphalt or portland
cement; and
(D) Processing of other
mineral resources and other subsurface resources.
(e) Community centers
owned by a governmental agency or a nonprofit community organization and
operated primarily by and for residents of the local rural community, hunting
and fishing preserves, public and private parks, playgrounds and campgrounds.
Subject to the approval of the county governing body or its designee, a private
campground may provide yurts for overnight camping. No more than one-third or a
maximum of 10 campsites, whichever is smaller, may include a yurt. The yurt
shall be located on the ground or on a wood floor with no permanent foundation.
Upon request of a county governing body, the Land Conservation and Development
Commission may provide by rule for an increase in the number of yurts allowed
on all or a portion of the campgrounds in a county if the commission determines
that the increase will comply with the standards described in ORS 215.296 (1).
A public park or campground may be established as provided under ORS 195.120.
As used in this paragraph, “yurt” means a round, domed shelter of cloth or
canvas on a collapsible frame with no plumbing, sewage disposal hookup or
internal cooking appliance.
(f) Golf courses.
(g) Commercial utility
facilities for the purpose of generating power for public use by sale.
(h) Personal-use
airports for airplanes and helicopter pads, including associated hangar,
maintenance and service facilities. A personal-use airport as used in this
section means an airstrip restricted, except for aircraft emergencies, to use
by the owner, and, on an infrequent and occasional basis, by invited guests,
and by commercial aviation activities in connection with agricultural operations.
No aircraft may be based on a personal-use airport other than those owned or
controlled by the owner of the airstrip. Exceptions to the activities permitted
under this definition may be granted through waiver action by the Oregon
Department of Aviation in specific instances. A personal-use airport lawfully
existing as of September 13, 1975, shall continue to be permitted subject to
any applicable rules of the Oregon Department of Aviation.
(i) A facility for the
primary processing of forest products, provided that such facility is found to
not seriously interfere with accepted farming practices and is compatible with
farm uses described in ORS 215.203 (2). Such a facility may be approved for a
one-year period which is renewable. These facilities are intended to be only
portable or temporary in nature. The primary processing of a forest product, as
used in this section, means the use of a portable chipper or stud mill or other
similar methods of initial treatment of a forest product in order to enable its
shipment to market.
(j) A site for the
disposal of solid waste approved by the governing body of a city or county or
both and for which a permit has been granted under ORS 459.245 by the
Department of Environmental Quality together with equipment, facilities or
buildings necessary for its operation.
(k) Dog kennels not
described in subsection (1)(L) of this section.
(L) Residential homes as
defined in ORS 197.660, in existing dwellings.
(m) The propagation,
cultivation, maintenance and harvesting of aquatic species that are not under
the jurisdiction of the State Fish and Wildlife Commission or insect species.
Insect species shall not include any species under quarantine by the State
Department of Agriculture or the United States Department of Agriculture. The
county shall provide notice of all applications under this paragraph to the
State Department of Agriculture. Notice shall be provided in accordance with
the county’s land use regulations but shall be mailed at least 20 calendar days
prior to any administrative decision or initial public hearing on the
application.
(n) Home occupations as
provided in ORS 215.448.
(o) Transmission towers
over 200 feet in height.
(p) Construction of
additional passing and travel lanes requiring the acquisition of right of way
but not resulting in the creation of new land parcels.
(q) Reconstruction or
modification of public roads and highways involving the removal or displacement
of buildings but not resulting in the creation of new land parcels.
(r) Improvement of
public road and highway related facilities such as maintenance yards, weigh
stations and rest areas, where additional property or right of way is required
but not resulting in the creation of new land parcels.
(s) A destination resort
that is approved consistent with the requirements of any statewide planning
goal relating to the siting of a destination resort.
(t) Room and board
arrangements for a maximum of five unrelated persons in existing residences.
(u) A living history
museum related to resource based activities owned and operated by a
governmental agency or a local historical society, together with limited
commercial activities and facilities that are directly related to the use and
enjoyment of the museum and located within authentic buildings of the depicted
historic period or the museum administration building, if areas other than an exclusive
farm use zone cannot accommodate the museum and related activities or if the
museum administration buildings and parking lot are located within one quarter
mile of the metropolitan urban growth boundary. As used in this paragraph:
(A) “Living history
museum” means a facility designed to depict and interpret everyday life and
culture of some specific historic period using authentic buildings, tools,
equipment and people to simulate past activities and events; and
(B) “Local historical
society” means the local historical society, recognized as such by the county
governing body and organized under ORS chapter 65.
(v) Operations for the
extraction and bottling of water.
(w) An aerial fireworks
display business that has been in continuous operation at its current location
within an exclusive farm use zone since December 31, 1986, and possesses a
wholesaler’s permit to sell or provide fireworks.
(x) A landscaping
business, as defined in ORS 671.520, or a business providing landscape
architecture services, as described in ORS 671.318, if the business is pursued
in conjunction with the growing and marketing of nursery stock on the land that
constitutes farm use.
(3) In counties that
have adopted marginal lands provisions under ORS 197.247 (1991 Edition), a
single-family residential dwelling not provided in conjunction with farm use
may be established on a lot or parcel with soils predominantly in capability
classes IV through VIII as determined by the Agricultural Capability
Classification System in use by the United States Department of Agriculture
Soil Conservation Service on October 15, 1983. A proposed dwelling is subject
to approval of the governing body or its designee in any area zoned for
exclusive farm use upon written findings showing all of the following:
(a) The dwelling or
activities associated with the dwelling will not force a significant change in
or significantly increase the cost of accepted farming practices on nearby
lands devoted to farm use.
(b) The dwelling is
situated upon generally unsuitable land for the production of farm crops and
livestock, considering the terrain, adverse soil or land conditions, drainage
and flooding, location and size of the tract. A lot or parcel shall not be
considered unsuitable solely because of its size or location if it can
reasonably be put to farm use in conjunction with other land.
(c) Complies with such
other conditions as the governing body or its designee considers necessary.
(4) In counties that
have adopted marginal lands provisions under ORS 197.247 (1991 Edition), one
single-family dwelling, not provided in conjunction with farm use, may be
established in any area zoned for exclusive farm use on a lot or parcel
described in subsection (7) of this section that is not larger than three acres
upon written findings showing:
(a) The dwelling or
activities associated with the dwelling will not force a significant change in
or significantly increase the cost of accepted farming practices on nearby
lands devoted to farm use;
(b) If the lot or parcel
is located within the Willamette River Greenway, a floodplain or a geological
hazard area, the dwelling complies with conditions imposed by local ordinances
relating specifically to the Willamette River Greenway, floodplains or
geological hazard areas, whichever is applicable; and
(c) The dwelling
complies with other conditions considered necessary by the governing body or
its designee.
(5) Upon receipt of an
application for a permit under subsection (4) of this section, the governing
body shall notify:
(a) Owners of land that
is within 250 feet of the lot or parcel on which the dwelling will be
established; and
(b) Persons who have
requested notice of such applications and who have paid a reasonable fee
imposed by the county to cover the cost of such notice.
(6) The notice required
in subsection (5) of this section shall specify that persons have 15 days
following the date of postmark of the notice to file a written objection on the
grounds only that the dwelling or activities associated with it would force a
significant change in or significantly increase the cost of accepted farming
practices on nearby lands devoted to farm use. If no objection is received, the
governing body or its designee shall approve or disapprove the application. If
an objection is received, the governing body shall set the matter for hearing
in the manner prescribed in ORS 215.402 to 215.438. The governing body may
charge the reasonable costs of the notice required by subsection (5)(a) of this section to the applicant for the permit
requested under subsection (4) of this section.
(7) Subsection (4) of
this section applies to a lot or parcel lawfully created between January 1,
1948, and July 1, 1983. For the purposes of this section:
(a) Only one lot or
parcel exists if:
(A) A lot or parcel
described in this section is contiguous to one or more lots or parcels
described in this section; and
(B) On July 1, 1983,
greater than possessory interests are held in those contiguous lots, parcels or
lots and parcels by the same person, spouses or a single partnership or
business entity, separately or in tenancy in common.
(b) “Contiguous” means
lots, parcels or lots and parcels that have a common boundary, including but
not limited to, lots, parcels or lots and parcels separated only by a public
road.
(8) A person who sells
or otherwise transfers real property in an exclusive farm use zone may retain a
life estate in a dwelling on that property and in a tract of land under and
around the dwelling.
(9) No final approval of
a nonfarm use under this section shall be given unless any additional taxes
imposed upon the change in use have been paid.
(10) Roads, highways and
other transportation facilities and improvements not allowed under subsections
(1) and (2) of this section may be established, subject to the approval of the
governing body or its designee, in areas zoned for exclusive farm use subject
to:
(a) Adoption of an
exception to the goal related to agricultural lands and to any other applicable
goal with which the facility or improvement does not comply; or
(b) ORS 215.296 for
those uses identified by rule of the Land Conservation and Development
Commission as provided in section 3, chapter 529, Oregon Laws 1993.
SECTION 36. ORS 215.283 is amended to read:
215.283. (1) The following uses may be established in any area zoned for
exclusive farm use:
(a) Public or private
schools, including all buildings essential to the operation of a school.
(b) Churches and
cemeteries in conjunction with churches.
(c) The propagation or
harvesting of a forest product.
(d) Utility facilities
necessary for public service, including wetland waste treatment systems but not
including commercial facilities for the purpose of generating electrical power
for public use by sale or transmission towers over 200 feet in height. A
utility facility necessary for public service may be established as provided in
ORS 215.275.
(e) A dwelling on real
property used for farm use if the dwelling is occupied by a relative of the
farm operator or the farm operator’s spouse, which means a child, parent,
stepparent, grandchild, grandparent, stepgrandparent, sibling, stepsibling,
niece, nephew or first cousin of either, if the farm operator does or will
require the assistance of the relative in the management of the farm use and
the dwelling is located on the same lot or parcel as the dwelling of the farm
operator. Notwithstanding ORS 92.010 to 92.190 or the minimum lot or parcel
size requirements under ORS 215.780, if the owner of a dwelling described in
this paragraph obtains construction financing or other financing secured by the
dwelling and the secured party forecloses on the dwelling, the secured party
may also foreclose on the homesite, as defined in ORS 308A.250, and the
foreclosure shall operate as a partition of the homesite to create a new
parcel.
(f) Primary or accessory
dwellings and other buildings customarily provided in conjunction with farm
use.
(g) Operations for the
exploration for and production of geothermal resources as defined by ORS
522.005 and oil and gas as defined by ORS 520.005, including the placement and
operation of compressors, separators and other customary production equipment
for an individual well adjacent to the wellhead. Any activities or construction
relating to such operations shall not be a basis for an exception under ORS
197.732 (1)(a) or (b).
(h) Operations for the
exploration for minerals as defined by ORS 517.750. Any activities or
construction relating to such operations shall not be a basis for an exception
under ORS 197.732 (1)(a) or (b).
(i) A site for the
disposal of solid waste that has been ordered to be established by the
Environmental Quality Commission under ORS 459.049, together with equipment,
facilities or buildings necessary for its operation.
(j) The breeding, kenneling
and training of greyhounds for racing.
(k) Climbing and passing
lanes within the right of way existing as of July 1, 1987.
(L) Reconstruction or
modification of public roads and highways, including the placement of utility
facilities overhead and in the subsurface of public roads and highways along
the public right of way, but not including the addition of travel lanes, where
no removal or displacement of buildings would occur, or no new land parcels
result.
(m) Temporary public
road and highway detours that will be abandoned and restored to original
condition or use at such time as no longer needed.
(n) Minor betterment of
existing public road and highway related facilities such as maintenance yards,
weigh stations and rest areas, within right of way existing as of July 1, 1987,
and contiguous public-owned property utilized to support the operation and
maintenance of public roads and highways.
(o) A replacement
dwelling to be used in conjunction with farm use if the existing dwelling has
been listed in a county inventory as historic property as defined in ORS
358.480.
(p) Creation of,
restoration of or enhancement of wetlands.
(q) A winery, as
described in ORS 215.452.
(r) Farm stands if:
(A) The structures are
designed and used for the sale of farm crops or livestock grown on the farm
operation, or grown on the farm operation and other farm operations in the
local agricultural area, including the sale of retail incidental items and
fee-based activity to promote the sale of farm crops or livestock sold at the
farm stand if the annual sale of incidental items and fees from promotional
activity do not make up more than 25 percent of the total annual sales of the
farm stand; and
(B) The farm stand does
not include structures designed for occupancy as a residence or for activity
other than the sale of farm crops or livestock and does not include structures
for banquets, public gatherings or public entertainment.
(s) Alteration,
restoration or replacement of a lawfully established dwelling that:
(A) Has intact exterior
walls and roof structure;
(B) Has indoor plumbing
consisting of a kitchen sink, toilet and bathing facilities connected to a
sanitary waste disposal system;
(C) Has
interior wiring for interior lights;
(D) Has a heating
system; and
(E) In the case of
replacement:
(i) Is removed,
demolished or converted to an allowable nonresidential use within three months
of the completion of the replacement dwelling. A replacement dwelling may be
sited on any part of the same lot or parcel. A dwelling established under this
paragraph shall comply with all applicable siting standards. However, the
standards shall not be applied in a manner that prohibits the siting of the
dwelling. If the dwelling to be replaced is located on a portion of the lot or
parcel not zoned for exclusive farm use, the applicant, as a condition of
approval, shall execute and record in the deed records for the county where the
property is located a deed restriction prohibiting the siting of a dwelling on
that portion of the lot or parcel. The restriction imposed shall be irrevocable
unless a statement of release is placed in the deed records for the county. The
release shall be signed by the county or its designee and state that the
provisions of this paragraph regarding replacement dwellings have changed to
allow the siting of another dwelling. The county planning director or the
director’s designee shall maintain a record of the lots and parcels that do not
qualify for the siting of a new dwelling under the provisions of this
paragraph, including a copy of the deed restrictions and release statements
filed under this paragraph; and
(ii) For which the
applicant has requested a deferred replacement permit, is removed or demolished
within three months after the deferred replacement permit is issued. A deferred
replacement permit allows construction of the replacement dwelling at any time.
If, however, the established dwelling is not removed or demolished within three
months after the deferred replacement permit is issued, the permit becomes
void. The replacement dwelling must comply with applicable building codes,
plumbing codes, sanitation codes and other requirements relating to health and
safety or to siting at the time of construction. A deferred replacement permit
may not be transferred, by sale or otherwise, except by the applicant to the
spouse or a child of the applicant.
(t) A site for the
takeoff and landing of model aircraft, including such buildings or facilities
as may reasonably be necessary. Buildings or facilities shall not be more than
500 square feet in floor area or placed on a permanent foundation unless the
building or facility preexisted the use approved under
this paragraph. The site shall not include an aggregate surface or hard surface
area unless the surface preexisted the use approved
under this paragraph. As used in this paragraph, “model aircraft” means a
small-scale version of an airplane, glider, helicopter, dirigible or balloon
that is used or intended to be used for flight and is controlled by radio,
lines or design by a person on the ground.
(u) A facility for the
processing of farm crops, or the production of biofuel as defined in section
2 of this 2007 Act, that is located on a farm operation that provides at
least one-quarter of the farm crops processed at the facility. The building
established for the processing facility shall not exceed 10,000 square feet of
floor area exclusive of the floor area designated for preparation, storage or
other farm use or devote more than 10,000 square feet to the processing
activities within another building supporting farm uses. A processing facility
shall comply with all applicable siting standards but the standards shall not
be applied in a manner that prohibits the siting of the processing facility.
(v) Fire service
facilities providing rural fire protection services.
(w) Irrigation canals,
delivery lines and those structures and accessory operational facilities
associated with a district as defined in ORS 540.505.
(x) Utility facility
service lines. Utility facility service lines are utility lines and accessory
facilities or structures that end at the point where the utility service is
received by the customer and that are located on one or more of the following:
(A) A public right of
way;
(B) Land immediately
adjacent to a public right of way, provided the written consent of all adjacent
property owners has been obtained; or
(C) The property to be
served by the utility.
(y) Subject to the
issuance of a license, permit or other approval by the Department of
Environmental Quality under ORS 454.695, 459.205, 468B.050, 468B.053 or
468B.055, or in compliance with rules adopted under ORS 468B.095, and as
provided in ORS 215.246 to 215.251, the land application of reclaimed water,
agricultural or industrial process water or biosolids for agricultural,
horticultural or silvicultural production, or for irrigation in connection with
a use allowed in an exclusive farm use zone under this chapter.
(z) A county law
enforcement facility that lawfully existed on August 20, 2002, and is used to
provide rural law enforcement services primarily in rural areas, including
parole and post-prison supervision, but not including a correctional facility
as defined under ORS 162.135.
(2) The following
nonfarm uses may be established, subject to the approval of the governing body
or its designee in any area zoned for exclusive farm use subject to ORS
215.296:
(a) Commercial
activities that are in conjunction with farm use, [but not including the processing of farm crops as described in]
including the processing of farm crops into biofuel not permitted under ORS
215.203 (2)(b)(L) or subsection (1)(u) of this
section.
(b) Operations conducted
for:
(A) Mining and
processing of geothermal resources as defined by ORS 522.005 and oil and gas as
defined by ORS 520.005 not otherwise permitted under subsection (1)(g) of this
section;
(B) Mining, crushing or
stockpiling of aggregate and other mineral and other subsurface resources
subject to ORS 215.298;
(C) Processing, as
defined by ORS 517.750, of aggregate into asphalt or portland
cement; and
(D) Processing of other
mineral resources and other subsurface resources.
(c) Private parks,
playgrounds, hunting and fishing preserves and campgrounds. Subject to the
approval of the county governing body or its designee, a private campground may
provide yurts for overnight camping. No more than one-third or a maximum of 10
campsites, whichever is smaller, may include a yurt. The yurt shall be located
on the ground or on a wood floor with no permanent foundation. Upon request of
a county governing body, the Land Conservation and Development Commission may
provide by rule for an increase in the number of yurts allowed on all or a
portion of the campgrounds in a county if the commission determines that the
increase will comply with the standards described in ORS 215.296 (1). As used
in this paragraph, “yurt” means a round, domed shelter of cloth or canvas on a
collapsible frame with no plumbing, sewage disposal hookup or internal cooking
appliance.
(d) Parks and
playgrounds. A public park may be established consistent with the provisions of
ORS 195.120.
(e) Community centers
owned by a governmental agency or a nonprofit community organization and
operated primarily by and for residents of the local rural community. A
community center authorized under this paragraph may provide services to
veterans, including but not limited to emergency and transitional shelter,
preparation and service of meals, vocational and educational counseling and
referral to local, state or federal agencies providing medical, mental health,
disability income replacement and substance abuse services, only in a facility
that is in existence on January 1, 2006. The services may not include direct
delivery of medical, mental health, disability income replacement or substance
abuse services.
(f) Golf courses.
(g) Commercial utility
facilities for the purpose of generating power for public use by sale.
(h) Personal-use
airports for airplanes and helicopter pads, including associated hangar,
maintenance and service facilities. A personal-use airport, as used in this
section, means an airstrip restricted, except for aircraft emergencies, to use
by the owner, and, on an infrequent and occasional basis, by invited guests,
and by commercial aviation activities in connection with agricultural
operations. No aircraft may be based on a personal-use airport other than those
owned or controlled by the owner of the airstrip. Exceptions to the activities
permitted under this definition may be granted through waiver action by the
Oregon Department of Aviation in specific instances. A personal-use airport
lawfully existing as of September 13, 1975, shall continue to be permitted
subject to any applicable rules of the Oregon Department of Aviation.
(i) Home occupations as
provided in ORS 215.448.
(j) A facility for the
primary processing of forest products, provided that such facility is found to
not seriously interfere with accepted farming practices and is compatible with
farm uses described in ORS 215.203 (2). Such a facility may be approved for a
one-year period which is renewable. These facilities are intended to be only
portable or temporary in nature. The primary processing of a forest product, as
used in this section, means the use of a portable chipper or stud mill or other
similar methods of initial treatment of a forest product in order to enable its
shipment to market.
(k) A site for the
disposal of solid waste approved by the governing body of a city or county or
both and for which a permit has been granted under ORS 459.245 by the
Department of Environmental Quality together with equipment, facilities or
buildings necessary for its operation.
(L) One manufactured
dwelling or recreational vehicle, or the temporary residential use of an
existing building, in conjunction with an existing dwelling as a temporary use
for the term of a hardship suffered by the existing resident or a relative of
the resident. Within three months of the end of the hardship, the manufactured
dwelling or recreational vehicle shall be removed or demolished or, in the case
of an existing building, the building shall be removed, demolished or returned
to an allowed nonresidential use. The governing body or its designee shall
provide for periodic review of the hardship claimed under this paragraph. A
temporary residence approved under this paragraph is not eligible for
replacement under subsection (1)(s) of this section.
(m) Transmission towers
over 200 feet in height.
(n) Dog kennels not
described in subsection (1)(j) of this section.
(o) Residential homes as
defined in ORS 197.660, in existing dwellings.
(p) The propagation,
cultivation, maintenance and harvesting of aquatic species that are not under
the jurisdiction of the State Fish and Wildlife Commission or insect species.
Insect species shall not include any species under quarantine by the State
Department of Agriculture or the United States Department of Agriculture. The
county shall provide notice of all applications under this paragraph to the
State Department of Agriculture. Notice shall be provided in accordance with
the county’s land use regulations but shall be mailed at least 20 calendar days
prior to any administrative decision or initial public hearing on the
application.
(q) Construction of
additional passing and travel lanes requiring the acquisition of right of way
but not resulting in the creation of new land parcels.
(r) Reconstruction or
modification of public roads and highways involving the removal or displacement
of buildings but not resulting in the creation of new land parcels.
(s) Improvement of
public road and highway related facilities, such as maintenance yards, weigh
stations and rest areas, where additional property or right of way is required
but not resulting in the creation of new land parcels.
(t) A destination resort
that is approved consistent with the requirements of any statewide planning
goal relating to the siting of a destination resort.
(u) Room and board
arrangements for a maximum of five unrelated persons in existing residences.
(v) Operations for the
extraction and bottling of water.
(w) Expansion of
existing county fairgrounds and activities directly relating to county
fairgrounds governed by county fair boards established pursuant to ORS 565.210.
(x) A living history
museum related to resource based activities owned and operated by a
governmental agency or a local historical society, together with limited
commercial activities and facilities that are directly related to the use and
enjoyment of the museum and located within authentic buildings of the depicted
historic period or the museum administration building, if areas other than an
exclusive farm use zone cannot accommodate the museum and related activities or
if the museum administration buildings and parking lot are located within one
quarter mile of an urban growth boundary. As used in this paragraph:
(A) “Living history
museum” means a facility designed to depict and interpret everyday life and
culture of some specific historic period using authentic buildings, tools,
equipment and people to simulate past activities and events; and
(B) “Local historical
society” means the local historical society recognized by the county governing
body and organized under ORS chapter 65.
(y) An aerial fireworks
display business that has been in continuous operation at its current location
within an exclusive farm use zone since December 31, 1986, and possesses a
wholesaler’s permit to sell or provide fireworks.
(z) A landscaping
business, as defined in ORS 671.520, or a business providing landscape
architecture services, as described in ORS 671.318, if the business is pursued
in conjunction with the growing and marketing of nursery stock on the land that
constitutes farm use.
(3) Roads, highways and
other transportation facilities and improvements not allowed under subsections
(1) and (2) of this section may be established, subject to the approval of the
governing body or its designee, in areas zoned for exclusive farm use subject
to:
(a) Adoption of an
exception to the goal related to agricultural lands and to any other applicable
goal with which the facility or improvement does not comply; or
(b) ORS 215.296 for
those uses identified by rule of the Land Conservation and Development
Commission as provided in section 3, chapter 529, Oregon Laws 1993.
SECTION 37. ORS 308A.056 is amended to read:
308A.056. (1) As used in ORS 308A.050 to 308A.128, “farm use” means the
current employment of land for the primary purpose of obtaining a profit in
money by:
(a) Raising, harvesting
and selling crops;
(b) Feeding, breeding,
managing or selling livestock, poultry, fur-bearing animals or honeybees or the
produce thereof;
(c) Dairying and selling
dairy products;
(d) Stabling or training
equines, including but not limited to providing riding lessons, training
clinics and schooling shows;
(e) Propagating,
cultivating, maintaining or harvesting aquatic species and bird and animal
species to the extent allowed by the rules adopted by the State Fish and
Wildlife Commission;
(f) On-site constructing
and maintaining equipment and facilities used for the activities described in
this subsection;
(g) Preparing, storing
or disposing of, by marketing or otherwise, the products or by-products raised
for human or animal use on land described in this section; or
(h) Using land described
in this section for any other agricultural or horticultural use or animal
husbandry or any combination thereof.
(2) “Farm use” does not
include the use of land subject to timber and forestland taxation under ORS
chapter 321, except land used exclusively for growing cultured Christmas trees
or land described in ORS 321.267 (3) or 321.824 (3) (relating to land used to
grow certain hardwood timber, including hybrid cottonwood).
(3) For purposes of this
section, land is currently employed for farm use if the land is:
(a) Farmland, the
operation or use of which is subject to any farm-related government program;
(b) Land lying fallow
for one year as a normal and regular requirement of good agricultural
husbandry;
(c) Land planted in
orchards or other perennials, other than land specified in paragraph (d) of
this subsection, prior to maturity;
(d) Land not in an
exclusive farm use zone that has not been eligible for assessment at special
farm use value in the year prior to planting the current crop and has been
planted in orchards, cultured Christmas trees or vineyards for at least three
years;
(e) Wasteland, in an
exclusive farm use zone, dry or covered with water, neither economically
tillable nor grazeable, lying in or adjacent to and in common ownership with
farm use land and that is not currently being used for any economic farm use;
(f) Except for land
under a single family dwelling, land under buildings supporting accepted
farming practices, including the processing facilities allowed by ORS 215.213
(1)(x) and 215.283 (1)(u) and the processing of farm crops into biofuel as
commercial activities in conjunction with farm use under ORS 215.213 (2)(c) and
215.283 (2)(a);
(g) Water impoundments
lying in or adjacent to and in common ownership with farm use land;
(h) Any land
constituting a woodlot, not to exceed 20 acres, contiguous to and owned by the
owner of land specially valued for farm use even if the land constituting the
woodlot is not utilized in conjunction with farm use;
(i) Land lying idle for
no more than one year when the absence of farming activity is the result of the
illness of the farmer or a member of the farmer’s immediate family, including
injury or infirmity, regardless of whether the illness results in death;
(j) Land described under
ORS 321.267 (3) or 321.824 (3) (relating to land used to grow certain hardwood
timber, including hybrid cottonwood); [or]
(k) Land used for the
primary purpose of obtaining a profit in money by breeding, raising, kenneling
or training greyhounds for racing[.]; or
(L) Land used for the
processing of farm crops into biofuel, as defined in section 2 of this 2007
Act, if:
(i) Only the crops of
the landowner are being processed;
(ii) The biofuel from
all of the crops purchased for processing into biofuel is used on the farm of
the landowner; or
(iii) The landowner is
custom processing crops into biofuel from other landowners in the area for
their use or sale.
(4) As used in this
section:
(a) “Accepted farming
practice” means a mode of operation that is common to farms of a similar
nature, necessary for the operation of these similar farms to obtain a profit
in money and customarily utilized in conjunction with farm use.
(b) “Cultured Christmas
trees” means trees:
(A) Grown on lands used
exclusively for that purpose, capable of preparation by intensive cultivation
methods such as plowing or turning over the soil;
(B) Of a marketable
species;
(C) Managed to produce
trees meeting U.S. No. 2 or better standards for Christmas trees as specified
by the Agricultural Marketing Service of the United States Department of Agriculture;
and
(D) Evidencing periodic
maintenance practices of shearing for Douglas fir and pine species, weed and
brush control and one or more of the following practices:
(i) Basal pruning;
(ii) Fertilizing;
(iii) Insect and disease
control;
(iv)
Stump culture;
(v) Soil cultivation; or
(vi)
Irrigation.
SECTION 38. The amendments to ORS 308A.056 by section
37 of this 2007 Act apply to tax years beginning on or after July 1, 2008.
MISCELLANEOUS
SECTION 39. Nothing in sections 2, 3 and 5 of this 2007
Act or ORS 215.203, 215.213, 215.283, 308A.056 and 469.320:
(1) Supersedes any
authority under ORS chapter 459 or 459A for cities and counties to regulate the
collection of solid waste; or
(2) Authorizes the
collection of solid waste within a city or county without permission of the
city or county.
CAPTIONS
SECTION 40. The unit captions used in this 2007 Act are
provided only for the convenience of the reader and do not become part of the
statutory law of this state or express any legislative intent in the enactment
of this 2007 Act.
EFFECTIVE DATE
SECTION 41. This 2007 Act takes effect on the 91st day
after the date on which the regular session of the Seventy-fourth Legislative
Assembly adjourns sine die.
Approved by the Governor July 3, 2007
Filed in the office of Secretary of State July 5, 2007
Effective date September 27, 2007
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