2015 Legislative Summary

The 2015 session produced moderate successes in the area of Community and Economic Development. There was a lot of focus on economic development tools. The Strategic Investment Program (SIP), with the associated Gain Share, came under much scrutiny but survived after much negotiation leading to a cap on a county’s portion of Gain Share revenues and additional dollars going to education programs related to economic development. (See SB 129 below.) Additionally, changes were made to other incentive programs, such as Enterprise Zones, food processing machinery and equipment, and solar development. SB 611 regarding data centers and central assessment will be addressed in the Finance section of this report. Recapitalization of the Special Public Works Fund and the Brownfields Revitalization Fund as well as funding for levee infrastructure projects and Regional Solutions were positive accomplishments. The highlight may have been $40 million for low/very low income housing to begin to address the issue of homelessness in our state.

SB 129 SIP/Gain Share Changes
Effective date: July 21, 2015 Chapter: 757 (2015 Laws)
Calculation of Gain Share revenue changes from 50/50 share of total employment to 50/50 share of new job revenue and 80/20 (state/county) of retained job revenue. County’s share is capped at $16M per year. Sunset extended from 2019 to 2025. This will free up more than $53 million in revenue for statewide services. Although not written into legislation, OSU Statewides will receive an additional $14 million in the 15-17 base budget and Career Technical Education (CTE) Programs will receive an additional $35 million. Only Washington County SIP is currently impacted.

SB 131 Willamette Falls Locks Task Force
Effective date: July 27, 2015 Chapter: 770 (2015 Laws)
Establishes a 17-member Task Force for the Willamette Falls Navigation Canal and Locks to study issues relating to repair, reopening and operations of the locks. Oregon Solutions will staff the Task Force, which is charged with:
Compiling information relating to the Willamette Falls navigation canal and locks.
Considering means of facilitating the repair and reopening of the Willamette Falls navigation canal and locks.
Developing a plan for the sustainable operation of the canal and locks.
Considering governance models for the lease or transfer of the canal and locks to a local, regional, state or other entity.

SB 244 Low/Very Low Income Housing
Effective date: January 1, 2016 Chapter: 608 (2015 Laws)
State Housing Council to adopt policy for distributing general housing money and investments statewide with concentration in areas with the greatest need for housing for low/very low income persons. Prior to the end of the session, an additional $40 million was authorized under HB 5006 for low income housing to address the homelessness issue throughout the state.

SB 306 Levee Infrastructure
Effective date: July 6, 2015 Chapter: 667 (2015 Laws)
Permits Oregon Infrastructure Finance Authority to provide financial assistance for levee projects that contribute to improvement, expansion or repair of infrastructure systems and are essential for use or development of farm, industrial or commercial land. $5,000,000 in funding provided in HB 5030.

SB 482 Pacific Northwest Manufacturing Communities
Effective date: January 1, 2016 Chapter: 22 (2015 Laws)
Authorizes Business Oregon to appoint Pacific Northwest Manufacturing Partnership Advisory Council to advise regarding manufacturing in the Willamette Valley and Columbia River corridor. This will enable the recent federally designated Pacific Northwest Manufacturing Partnership to function as a “New Manufacturing Community” under the Investing in Manufacturing Communities Partnership Program. The designated Manufacturing Communities will receive coordinated support for their strategies from across eleven federal agencies and programs with more than $1 billion available in federal economic development assistance.

HB 2130 Holding Times for Low Income Housing Land
Effective date: October 5, 2015 Chapter: 310 (2015 Laws)
Allows governing bodies to establish reasonable maximum holding times for land designated for low-income housing development and allows governing bodies to elect additional qualifying criteria, such as: the occupants of the housing have low income, as defined, lands being held must be designated for development as low-income housing, the housing must be rental housing, the developer must be a nonprofit or tax-exempt entity or, if not, the benefit of the property tax savings must be reflected in lower rent.

HB 2195 Foreclosure Proceeds for Low Income Housing
Effective date: January 1, 2016 Chapter: 242 (2015 Laws)
Impacts only Multnomah County. Directs county of more than 650,000 people to use proceeds acquired by foreclosure of delinquent tax liens to provide low income housing, social services, or child care services.

HB 2459 Oregon State Marine Board Fee Increases
Effective date: January 1, 2016 Chapter: 627 (2015 Laws)
Increases certain fees related to registering and titling boats, floating homes, and boathouses. The Oregon State Marine Board is funded by fees and shares a portion of these funds with 30 counties for facilities in parks and sheriff’s marine patrol.

HB 2629 One Year Notice to Rural Renters
Effective date: January 1, 2016 Chapter: 182 (2015 Laws)
Requires owners of rental property subject to federal rural rental housing loans to provide one year’s notice of date of maturity of loans to tenants, Oregon Housing and Community Services Department, housing authorities and local governments. Failure to give notice entitles tenants to remain for one year without rent.

HB 2643 Ease in Designating Enterprise Zones
Effective date: October 5, 2015 Chapter: 648 (2015 Laws)
Eliminates cap on number of enterprise zones that may be designated at any time. Authorizes designation of enterprise zone, electronic commerce zone, electronic commerce or reservation enterprise zone by zone sponsor or sponsors. Zone sponsor may be a city, county, port or tribal government. Designation of enterprise zone and boundary change of zone subject to determination by Business Oregon that certain statutory requirements are met. Requires submission of documentation to Oregon Business Development Department before designation, addition or change, and requires consultation with department.

HB 2690 “Habitat for Humanity” Property Tax Exemption
Effective date: October 5, 2015 Chapter: 520 (2015 Laws)
Exempts from property tax land acquired and held by nonprofit for building residences, such as Habitat for Humanity, to be sold to individuals whose income is not greater than 80 percent of area median income.

HB 2728 Oregon Talent Council
Effective date: July 15, 2015 Chapter: 682 (2015 Laws)
Replaces the Engineering and Technology Industry Council with the Oregon Talent Council, a coalition of industry leaders from traded sector and high growth industries to work with education and workforce.

HB 2734 Land Banks for Brownfield Properties
Effective date: January 1, 2016 Chapter: 631 (2015 Laws)
Authorizes local governments to organize land banks, which could take ownership of brownfields with immunity from legal liability for legacy contaminations. It also outlines the authority and duties of land bank authorities and composition of land bank authority boards.

HB 3082 Alternative Definition of Low Income
Effective date: October 5, 2015 Chapter: 141 (2015 Laws)
Creates alternative definition of “low income” for purposes of property tax exemption for low income housing nonprofit corporation. Current definition is at 60 percent of area median income (AMI). May change definition to 60 percent of AMI during initial year of occupancy with subsequent years at 80 percent AMI.

HB 3125 Exemption for Food Processing Equipment
Effective date: October 10, 2015 Chapter: 827 (2015 Laws)
Expands a five-year property tax exemption on qualified machinery and equipment used to process foods to include grains, bakery products, milk, and eggs. The previous exemption included only fruits, vegetables, nuts, legumes, and seafood. Real market value of machinery and equipment must be at least $100,000. Defines “qualified processing activity” to include packing of food for human consumption, not including alcoholic beverages or marijuana/marijuana products.

HB 3148 Wildfire Damage Housing Relief
Effective date: July 20, 2015 Chapter: 737 (2015 Laws)
Creates Wildfire Damage Housing Relief Account within Oregon Housing Fund for low income (75 percent of federal poverty guidelines) person(s) who lose housing. Grants up to $5 thousand.

HB 3492 Fee in Lieu of Taxes for Solar Projects
Effective date: October 5, 2015 Chapter: 571 (2015 Laws)
Allows county, upon request of the owner of a solar project, to enter into agreement, for period not to exceed 20 years, pursuant to which property constituting solar project is exempt from property taxation and owner pays fee in lieu of taxes. Provides that fee shall equal $7,000 per megawatt of nameplate capacity of solar project. Provides that fee shall be distributed using same distribution schedule as for property taxes.

HB 3526 Oregon Main Street Revitalization Grant Program
Effective date: August 12, 2015 Chapter: 831 (2015 Laws)
Establishes Oregon Main Street Revitalization Grant Program within Business Oregon to award grants to participants in Oregon Main Street Network and members to the National Main Street Center for purposes of preservation-based community revitalization and economic development. (Program funded with $2.5 million in Lottery Bonds in HB 5030.)

HB 5006 Capital Construction Projects
Effective date: August 12, 2015 Chapter: 808 (2015 Laws)
Funds capital construction projects over $1 million including:
Low/Very Low Income Housing, $40,000,000
ODOT Highway Improvements, $35,000,000

HB 5021 2015-17 Governor’s Office Budget
Effective date: August 12, 2015 Chapter: 810 (2015 Laws)
Funds Governor’s Office, including $2,730,536 for Regional Solutions.

HB 5024 2015-17 Higher Education Budget
Effective date: July 6, 2015 Chapter: 642 (2015 Laws)
Higher Ed budget includes the Public University State Programs and Statewide Public Services, both of which benefit Oregon’s counties. The Public University State Programs are largely operated by the three research universities (UO, OSU, and PSU) and focus on the economic development, industry, and public service needs of the State. $35M will fund 12 programs including Oregon Solutions, the Dispute Resolution Center, the Institute of Natural Resources, the Oregon Metals Initiative, and the Population Research Center (upon which our counties rely for demographic information). These programs are critical to the success of the State’s economic development interests. $118 M is for the Statewide Public Services: Agricultural Experiment Station (AES), OSU Extension Service (OSU-ES) and Forest Research Laboratory (FRL). This is a $14M increase in base budget due to agreement in SB 129 re: Gain Share.

HB 5029 2015-17 Lottery Revenue Funding
Effective date: August 12, 2015 Chapter: 811 (2015 Laws)
Allocates Lottery Revenue Funds from Administrative Services Economic Development Fund to the Oregon Department of Administrative Services for distribution to:
Office of the Governor for Regional Solutions, $4,058,418
Counties for economic development activities as provided by ORS 461.547, $39,083,827
County Fair Account established in ORS 565.445 is $3,864,000
Business Oregon for
Shared services, $7,037,404
Business, innovation and trade, $50,866,257
Infrastructure Finance Authority, $3,025,181
Oregon Film and Video Office, $1,164,460

HB 5030 2015-17 Lottery Bond Funding
Effective date: August 12, 2015 Chapter: 812 (2015 Laws)
Sets the total amount of Lottery Bonds at $306,226,252, including issuance of the following amounts:
Brownfields Revolving Loan Account, $7,000,000
Regional Solutions Projects, $12,005,000
Special Public Works Fund
Basic SPWF Recapitalization, $13,000,000
Levee Projects, $5,000,000
ConnectOregonVI, $45,000,000
Main Street Revitalization Grant Program, $2,5000,000
Willamette Falls Riverwalk, $7,500,000
Coos Bay Rail LIne Reconnect, $10,000,000

HB 5502 2015-17 Budget for Department of Administrative Services
Effective date: July 6, 2015 Chapter: 654 (2015 Laws)
DAS Budget which includes an allocation of $3,648,000 for State and County Fairs.

HB 5525 2015-17 Business Oregon Budget
Effective date: July 15, 2015 Chapter: 694 (2015 Laws)
Business Oregon Budget which includes $6,335,000 for Regional Solutions and $1,000,000 for Regional Solutions’ RAIN (Regional Accelerator and Innovation Network) project.

Bills That Did Not Pass
SB 938 Exemption for Newly constructed Industrial Improvement
What began as a permissive property tax exemption bill, which included retroactivity to 2014, ended the session as a three part bill that ultimately died in committee.
Authorize County to adopt exemption for newly constructed or installed industrial improvements. Permissive retroactivity to 2014. County may establish criteria via ordinance.
Establish Task Force on the Taxation of the Property of Nonprofit Corps.
Exempt from property taxes real and personal property owned or leased by history museum or science museum if property is used to fulfill mission of museum and is used or occupied for certain purposes (Evergreen Exemption).

HB 2289 Brownfield Clean Up Tax Credit
The Brownfields Coalition worked tirelessly this session to find ways to encourage brownfield redevelopment. This bill would have provided a tax credit. HB 2734 initially provided for property tax abatement in addition to allowing for the creation of Land Bank Authority.

HB 2540 Prevailing Wages in Enterprize Zones
This bill would have required the payment of prevailing wages for construction projects in Enterprise Zones, offsetting the benefits of being located in the E Zone. Economic Development professionals flooded the Capitol with calls, e-mails, and letters protesting this bill, causing it to be pulled from the committee schedule.

In broad terms, county finance as a policy subject this session meant using local revenue, the property tax system, as the source for payments of incentives through expenditures to attract major and modest development. See, for example, central assessment reform (Senate Bill 611) and expansion of the machinery and equipment five-year exemption for food processors (House Bill 3125), which were added to the well-used Strategic Investment Program and now more flexible enterprise zones. You will find more about this in the Economic and Community Development section.

Although there was no attempt this session to reform the thoroughly dysfunctional public finance system, we saw some tip-toeing toward examining potential alternatives. There will be a study by legislative economists this interim on options for state and local revenue systems (House Bill 2171) and likely a study on the effectiveness and relative value of property tax breaks given to the wide array of nonprofit corporations.

This legislative session had other major matters to tend to, some successfully and some not. But sooner rather than later, there will need to be another attempt to conceive, gain public acceptance of, and adopt a public finance system that is fair, sustainable, and stable for state and local governments.

A note on House Bill 3542 and Senate Bill 800, which appear at the top of this report’s section. They both relate to the income tax, which is the state’s overwhelmingly primary source of revenues. AOC keeps an eye on the legislature’s activities in income tax policy, because without adequate receipts from that source the legislature has been known to “forget” long-standing county-state agreements on shared revenues and services. The typical consequence is for the legislature to “sweep” into the state general fund shared revenues that are not explicitly dedicated to counties.

These two laws are printed in this volume, because they are very positive steps toward a more stable state finance system. Requiring a statement of purpose for a new or expanded income tax credit keeps an accounting of that credit; i.e., is it paying for itself, living up to its purpose, and worth the investment. The revenue committees have begun to provide these kinds of statements in the revenue impact report of each bill granting a property tax expenditure. AOC would like to see this practice formalized and more detailed, as is done for income tax credits in HB 3542.

As for SB 800, reserve funds are the only tactic now available to attempt to stabilize an inherently unstable state finance system, which relies so heavily on the income tax. As a short term measure, these reserves need to be adequate and function properly.

HB 3542 Statement of Purpose for Income Tax Credit
Effective date: January 1, 2016 Chapter: 641 (2015 Laws)
Requires the chief sponsor or proponent to submit the policy purpose for measures that create or expand income tax credits. Directs the Legislative Revenue Officer to identify and prepare an analysis on those existing tax credits in which the actual revenue impact has exceed the initial projected impact by 10% or more and include that information in the Tax Expenditure Report.

SB 800 State Task Force on Reserve Funds
Effective date: July 27, 2015 Chapter: 797 (2015 Laws)
Establishes a task force on reserve funds. Directs the task force to review existing reserve funds in terms of performance and adequacy. Specifies task force membership, consisting exclusively of legislators. Directs the Legislative Fiscal Officer and Legislative Revenue Officer to provide support for the task force. Directs the task force to issue a report to the Legislative Assembly no later than September 15, 2016.
Property Tax Administration

HB 2083 Senior and Disabled Property Tax Deferral Program
Effective date: October 5, 2015 Chapter: 309 (2015 Laws)
Creates an exception to the five-year ownership requirement for the homestead of a claimant for deferral under the Senior and Disabled Property Tax Deferral Program if: a) the claimant for deferral moved to a homestead from a homestead that met all the homestead requirements under the program; b) sells the existing qualified homestead within one year of purchasing the new home; c) satisfies the lien for deferral on the existing home; and d) owes no more than 80 percent of the purchase price of the new application homestead. Requires the new homestead to be insured for fire and other casualty. If the homestead meets all other requirements but is not insured, yet is insurable, the Department of Revenue (DOR) may purchase insurance for the uninsured homestead and add the cost of insurance coverage to the lien. Increases from 180 percent to 200 percent the county median real market value qualification limits for taxpayers that have continuously owned and lived in the homestead at least 21 years. Requires DOR to electronically notify an office of Aging and Disability Resource Connection or seniors and people with disabilities division of the Department of Human Services if recertification is not received with 35 days after sending notification to the taxpayer. Conforms new language with existing statutes. Applies changes to property tax years beginning on or after July 1, 2016.
County revenue impact: None; this is a state-funded program.

HB 2127 Property of Taxable Owner Transferred to Exempt Owner
Effective date: October 5, 2015 Chapter: 96 (2015 Laws)
A county clerk may not record a deed transferring property to a non-taxable entity under ORS 307.040 or 307.090, unless the deed is accompanied by a newly created certificate prescribed by the Department of Revenue and signed by the county assessor that states that all taxes, fees, and interest have been paid. An agent who is authorized to close and settle the conveyance is allowed to collect the property taxes, fees, and interest that have been or will be charged against the property before distribution of the transfer proceeds to the transferor. These amounts are to be held in trust and subsequently paid to the tax collector of the county.
Any amounts that are not paid and remain delinquent after the tranbsfer are considered a personal debt of the transferor and thus can be collected in the same manner as business personal property taxes.

HB 2128 Taxable Leaseholder of Non-taxable Property; Delinquent Taxes
Effective date: October 5, 2015 Chapter: 52 (2015 Laws)
Establishes personal liability of lessee for property taxes related to property leased from a tax-exempt government owner. Allows the county to take legal action against the lessee’s real and personal property to collect property taxes that remain unpaid after the lease has expired.
Requires the county clerk to issue writs of attachment on application of the county tax collector or district attorney as plaintiff.

HB 2129 Correction of Maximum Assessed Value
Effective date: October 5, 2015 Chapter: 97 (2015 Laws)
Allows a taxpayer-owner to petition the county assessor for correction in the maximum assessed value (MAV) of the property for the current tax year upon demonstrating that new property or improvement added to the tax roll in a prior tax year did not exist as of the assessment date of that prior tax year or any subsequent tax year. Requires the assessor to correct the MAV for the current tax year in a manner determined by the assessor. The correction must reflect removal of the non-existent new property or improvement.
If the assessor discovers that new property or improvements to property has existed in prior years but has not been assessed for those prior years or for the current year, the assessor must correct the roll and the MAV.

HB 2148 Taxation of Improvements on Tribal Trust Land
Effective date: October 5, 2015 Chapter: 65 (2015 Laws)
A county may not tax real property improvements on Tribal trust land of Oregon’s nine federally recognized Tribes. The legislation is based on Confederated Tribes of the Chehalis Reservation v. Thurston County Board of Equalization (U.S. Ninth Circuit 2013), which held that federal law (25 USC sec. 465) preempts state and local taxes on permanent improvements, without regard to ownership, located on Tribal lands held in trust by the United States.
The legislation is limited to permanent improvements on real property as defined by ORS 307.010. It does not address other taxes or property interests. Tribal fee lands and centrally assessed property are not affected by the legislation.

HB 2171 Public Finance Study; Property Tax Expenditure for Museums
Effective date: October 5, 2015 Chapter: 701 (2015 Laws)
Directs the Legislative Revenue Officer to analyze options for reforming the state and local revenue system, including alternatives to restructure the property tax system and taxing consumption, business, and personal income. The analysis is to include the impact on the economy, revenue, distribution of the tax burden, and stability of the system. The Legislative Revenue Officer is to report to the legislature by December 1, 2015.
Expands the existing property tax exemption for museums under ORS 307.130. At last count there are 246 museums in 35 counties (Jefferson excepted) that will require reappraisal based on the new standards imposed to benefit the Evergreen property in Yamhill County. Two examples: i) unimproved land contiguous to the museum that is not specially assessed is exempt; and ii) a theater located in the museum building may show films, up to 25 percent of which are not related to the museum [note: there is no clarification as to the basis of compliance with this standard, e.g., revenue collected, number of showings, attendance totals?]. Applies to tax years on or after July 1, 2015. Sunsets for tax years on or after July 1, 2019. Extends sunsets on certain income and excise tax credits.
County revenue impact: Unknown, but likely not substantial.

HB 2482 Valuation of Industrial Properties
Effective date: October 5, 2015 Chapter: 36 (2015 Laws)
Upon request of the county assessor, the Department of Revenue (DOR) may delegate assessment responsibility to the county assessor of industrial properties valued over $1 million. The request must be made before January 1 of the following assessment year and accompanied by information required by DOR. Upon delegation to the county assessor, the property shall remain county-appraised for five consecutive assessment years. The county responsibility shall continue after the five years until the assessor requests DOR to resume responsibility, at which time the property will revert to state appraisal the next following assessment year. For county-assessed industrial property, the owner must file an appeal with the county board of property tax appeals.

HB 2483 Party’s Right to Appeal Components or Entire Unit of Property Value
Effective date: October 5, 2015 Chapter: 37 (2015 Laws)
When a party appeals the real market value of one or more components of a property tax account, any other party may appeal the value of any other of the components of the account or the entire unit of property, i.e., all contiguous property under common ownership within a single code area in the county.

HB 2485 Tax Collection Housekeeping
Effective date: October 5, 2015 Chapter: 31 (2015 Laws)
Refunds are paid to the individual who paid the tax, although this may not be the current owner of the property. Prorated property tax refunds resulting from destroyed or damaged property are made to the person who requested the proration. Amounts less than $10 are not required to be refunded. Aligns the time limitation for property tax refunds with the time limitation for roll corrections, i.e., five years. If the tax collector receives a written request from a mortgagee who is authorized to pay property taxes on a floating home, the tax collector shall send to the mortgagee a copy of the property tax statement required to be mailed to the taxpayer. The request to the tax collector must be made on or before October 1. Refunds of property taxes relating to floating homes are treated the same as those to manufactured structures. A county governing body may cancel delinquent real or personal property taxes of $10 or less.

HB 2486 Measure 5 (1990); Categorization of Property Tax Revenue
Effective date: October 5, 2015 Chapter: 368 (2015 Laws)
It is the use of revenues, not the source, which determines under what category (education or general government) Measure 5 (1990) limits are calculated. In Urhausen v. City of Eugene (2006), the Oregon Supreme Court upheld the judgment by the Tax Court that subsections (2) and (3) of ORS 310.155 are unconstitutional. This legislation deletes those subsections.

HB 2487 Correction of Maximum Assessed Value by Property Square Footage
Effective date: October 5, 2015 Chapter: 39 (2015 Laws)
Requires that the formula to use to reduce the maximum assessed value, due to lesser actual square footage of the property than is on the tax roll, is the resulting reduction in market value of the property, rather than the proportionate difference in square footage.

HB 2690 Property Tax Exemption for Construction of Certain Low Income Housing
Effective date: October 5, 2015 Chapter: 520 (2015 Laws)
Exempts from property taxation land acquired and held by a nonprofit corporation for the purpose of building on the land residences to be sold to individuals with income not greater than 80 percent of area median income as adjusted for family size. Requires the nonprofit corporation, within 10 years immediately preceding filing of the claim for exemption, to have sold at least one residence to individuals with income not greater than 80 percent of area median income as adjusted for family size. Requires the exemption to end at the time of title transfer. Absent title transfer, the exemption is required to end after seven consecutive years with the option for a three-year extension if a claim is filed and the filing fee paid. Requires additional taxes and penalties to be imposed on the nonprofit, if the nonprofit corporation has not transferred title to the residences on the land by end of seven or ten-year exemption period. Applies to property tax years beginning on or after July 1, 2015.
County revenue impact: Likely less than $100,000 annually statewide.

HB 3001 Destroyed or Damaged Property
Effective date: October 5, 2015 Chapter: 92 (2015 Laws)
Allows application for determination of real market value and assessed value of property destroyed or damaged between January 1 and July 1 to be filed on or before December 31.
Requires an application filed after the later of August 1 of the current year or the 60th day
following the date on which the property was damaged or destroyed, but still filed before December 31, to be accompanied by a late filing fee in an amount equal to the greater of $200 or one-tenth of one percent of the real market value of property to which the application relates. Applies to property tax years beginning on or after July 1, 2014.
County revenue impact: Insignificant.

HB 3125 Exemption for Qualifying Food Processing Machinery and Equipment Expanded
Effective date: October 5, 2015 Chapter: 827 (2015 Laws)
Expands the existing five-year property tax exemption for qualified machinery and equipment (M&E) used in food processing to include M&E used to process grains, bakery products, dairy products, and eggs, effective for property tax years beginning on or after July 1, 2016. Beginning on or after property tax years July 1, 2015, excludes a person engaged in the business of producing any product that contains marijuana or a marijuana extract. Requires qualified M&E used to process grains and bakery products to have a real market value of at least $100,000 when placed in service. Excludes M&E used to process bakery products if proceeds from retail sales at the processing site amount to more than 10 percent of all proceeds from sales at the site. Beginning with tax years on or after July 1, 2015, allows the State Department of Agriculture (ODA) to fix, assess, and collect or cause to be collected fees on food processors in an amount necessary to cover costs of certification. Requires (ODA) to submit a report on the impact of the expanded exemption to the interim legislative revenue committees not later than September 15, 2018. Retains the June 30, 2020 sunset of the property tax expenditure. Does not change the role of the county assessor in the process.
County revenue impact: Anticipated to grow by 2018 to $2 million annually statewide.

HB 5005/5035/SB 5507 Department of Revenue Biennial Budget Related to Property Tax Administration
CAFFA funding shortfall. Appropriates $1,836,836 of general funds across 10 full-time positions to the Department of Revenue (DOR) to backfill a revenue shortfall in the County Assessment Function Funding Assistance Account (CAFFA). DOR forecasts lower revenue due to a decline in mortgage refinancing activities and lower recording fees. Provides no corresponding revenue backfill to counties’ 90 percent share of CAFFA, which equals $16,531,524. Also no provision to restart the state general fund contribution to CAFFA, which began in 1999 and ended in 2009 at $5.2 million-plus CPA/ biennium.
Property Valuation System. Funds the purchase of a commercial off-the-shelf computer assisted mass appraisal software system. This would ensure the continued ability to provide accurate property valuations and ensure timely information to the counties and taxpayers necessary for completion of the annual tax roll. Includes $1,880,000 for project costs and the establishment of one permanent full-time position (0.92 FTE), which is to be financed with revenue bonds.

SB 161 Collection of Business Personal Property Taxes
Effective date: October 5, 2015 Chapter: 444 (2015 Laws)
Allows the county tax collector to electronically file warrants for delinquent property taxes on business personal property. Requires the Secretary of State (SOS) to mark, hold, and index filed warrants in accordance with provisions of the Uniform Commercial Code. Requires that the tax collector to electronically file release or cancellation of warrants to the SOS. Requires the SOS to maintain public access to notices and cancellations. Allows the SOS to charge a fee for accepting electronic notices and allows the county tax collector to add the SOS fee to the amount due on a warrant. A fee amount is not specified. Requires the tax collector continue to properly record the warrant. Provides that notice of the warrant expires 10 years from date of filing, unless extended for additional 10 years with a properly filed certificate of extension. Requires the seller of business personal property to provide the purchaser with notice that includes whether property taxes were assessed against the property; liens were filed against the property; other counties have assessed taxes against the property; others who have had possession, control, or ownership of property; and requirements of a bona fide purchaser of business personal property. Specifies that the bona fide business property purchaser is not liable for assessed taxes if the purchase was in good faith, for value, at arms-length, and without notice of delinquent taxes. Lists the criteria for the “without notice” standard. Allows the tax collector to accept equitable compromise payment on the property from the purchaser. Maintains the right to recovery against the former owner personally.

SB 611 Revision of Central Assessment
Effective date: October 5, 2015 Chapter: 23 (2015 Laws)
Creates and makes available new property tax exemptions to a company subject to central assessment. The new exemptions relate to the value of franchises, satellites used to provide service directly to retail consumers, and an alternative exemption calculation based on a company’s historical or original cost of real property and tangible personal property multiplied by 130 percent.

For a company receiving an exemption related to a new qualified project, Oregon allocated value will be based upon the greater of $250 million or the real market value of real and tangible personal property located in Oregon as of the assessment date.

The exemptions apply to tax years beginning July 1, 2016.

If a centrally assessed communications company is approved for a property tax exemption by the Public Utility Commission, the PUC must notify the assessor of each county in which the project is approved.

On or before December 15 of each year, each assessor of a county in which is located centrally assessed property granted an exemption as a communications company shall submit to the Department of Revenue a report stating the amount of the exemption granted to the property of each company, the amount of property taxes imposed on the property and the amount of property taxes that were not imposed on the property because of the exemption for the current property tax year, and estimates of these amounts for the following property tax year.

Provides that qualifying data centers are to be locally assessed.

A company that is in the business of communication and is the owner or lessee of a data center is not centrally assessed if the historical or original cost of all real and tangible personal property, other than data centers, that is owned or leased by the company in Oregon, is in service and is used by the company in the business of communication, is less than or equal to 10 percent of the historical or original cost of the real and tangible personal property of all data centers owned, leased, or used by the company in Oregon and all additions to the data center property.

Property other than data centers used in the business of communication does not include property to the extent the property constitutes: (a) an office; (b) a warehouse; (c) a manufacturing plant; (d) a retail outlet; (e) property used in connection with a data center to generate electricity; or (f) electricity generated by the property described in (e).

A company is not a company in the business of communication solely because the company manufactures or holds out for sale property used by any person in communication.

The following real and tangible personal property used or held for future use by a company described in the next paragraph shall be locally assessed:
(a) Property constituting a data center or used in connection with the operation of data center property;
(b) Property used on the data center property to generate electricity; and
(c) Electricity generated by property described in (b).

The paragraph above applies to a company that is:
(a) Not a company that is centrally assessed under ORS 308.515 (1); or
(b) A company that is centrally assessed under ORS 308.515 (1) and the historical or original cost of the real and tangible personal property of all data centers owned, leased, or used by the company in Oregon and all additions to the data center property, excluding property described in (b) and (c) in the paragraph next above, is equal to or greater than $200 million.

Provisions related to data centers apply to property tax years beginning on or after July 1, 2015.
County revenue impact: About $2 million annually statewide.

Bills That Did Not Pass

HB 2132 County collection of forest protection district assessments; recovery of costs.
Allows a county that collects a forest protection district assessment or surcharge to retain a percentage of the collected moneys for the purpose of paying county administrative costs.
If the State Forestry Department plans a project that may result in a county incurring uncommon administrative costs, including but not limited to a project resulting from work by a county forestland-urban interface classification committee, before the start of the project: (1) the department and the county shall identify the nature and scope of the project, the resources necessary to carry out the project and the cost of those resources; (2) the department and the county shall enter into an agreement that sets forth the responsibilities of the department and the county to ensure that project work is properly performed in a timely manner; (3) the department shall identify and pre-approve any uncommon administrative costs that the county might reasonably be expected to incur due to the project; and (4) the county shall bill the department for uncommon administrative costs incurred by the county due to the project, not to exceed the amount preapproved by the department.

HB 3034 Nonprofit health care facilities, clarification of property tax exemption for.
Clarifies the property-tax exempt status of nonprofit corporations that provide health services by removing them from ORS 307.130 and creating a new statute that addresses only these facilities. Grants a full property tax exemption to a facility if the Oregon Health Authority (OHA) finds that the property is used to provide diagnosis and medical and surgical treatment primarily for patients who are acutely ill or victims of accidents. The exemption would include property used for necessary administrative services. Grants a partial exemption to property if the OHA finds that the property is used to provide charity care and administrative services necessary to provide that care. The partial exemption is granted if charity care accounts for at least 15 percent of the gross annual patient revenue of the nonprofit corporation that provides health services. The percentage of the partial exemption shall equal twice the percentage of the gross annual patient revenue attributable to charity care bears to the total gross annual patient revenue of the nonprofit corporation. The partial exemption allowed may be equal to, but not greater than, 100 percent. Most health care facilities in Oregon are not-for-profit tax exempt institutions. Legally these hospitals and other health care facilities, either related or unrelated to a hospital, are deemed to be charities and are exempt from federal, state and local taxes, raise money through tax exempt bond offerings and receive charitable contributions that are tax deductible to the donors. Oregon law has historically exempted property taxes for nonprofit hospital enterprises, citing the beneficial work they provide a community. In recent years the charity care provided by many nonprofit health care facilities is so paltry that to continue to permit these nonprofits to qualify for a property tax exemption is in question. Moreover, the property tax exemption statute used by these facilities (ORS 307.130) is antiquated, frequently amended, vague, difficult to interpret, and applies to art museums, volunteer fire departments, and literary, benevolent, charitable, and scientific institutions. It has been so difficult to administer, assessors either throw up their hands or end up in litigation. There has been no clear direction from the courts. Consequently these health care facilities are treated differently across the state and the exemptions are huge.
Note: The Chairs of the two revenue committees and the Legislative Revenue Officer are seriously contemplating an interim study of statutes that grant exemptions from taxation of property owned, leased, or used by nonprofit corporations, including clear definitions of the criteria for qualification, expected public benefits of granting the exemptions, and consistent interpretation and application statewide. The study is spurred by inconsistent judicial interpretations and thus inconsistent applications by county assessors of ORS 307.130. County assessors will need to participate for this study to succeed. A result would be proposed legislation for the 2017 session.

SB 903 Construction excise taxes imposed by schools, sunset repealed; preemption on construction excise taxes by local governments made permanent.
Repeals the January 2, 2018 sunset on imposition by a school district of an excise tax on new construction in the district. This taxing authority for schools was enacted by SB 1036 (2007), which also preempted that existing authority of a local government to impose the same type of tax. Repeal of the January 2, 2018 sunset would have made the preemption on local government authority permanent. The tax rate for schools was initially limited to a maximum of $1 per square foot for residential use and $0.50 for nonresidential use. The tax on nonresidential use was also set at a maximum of $25,000 per structure or building permit, whichever was less. The maximum rates were indexed beginning in 2009. The legislation exempted certain properties from this tax. In the school year 2012-13, 56 school districts used this option, raising a total of $15.5 million, much of which is collected by counties for schools for an administrative fee of four percent of collections (HB 2014 (2009)). School districts are to use revenues from this tax only for capital
improvements.

HJR 21 Adjustment of permanent property tax rates for certain counties.
With voter approval, amends the Oregon Constitution to:
Require each county to have a permanent property tax rate limit of at least $2.00 per thousand of assessed value (AV) as determined by law (i.e., under Measure 50 [1997]).
Require each county for each property tax year to impose operating taxes in the amount necessary to bring the total tax rate imposed to at least $2.00 per thousand. The rate includes the permanent property tax rate and any local option levy. As the local option levy expires, and the result is a total property tax rate imposed below $2.00, the county’s permanent rate will rise to keep taxes imposed at no less than $2.00 per thousand AV.
Except the $2.00 per thousand minimum county tax rate from compression under Measure 5 (1990). That is, $2.00 of the county tax rate is outside the calculation of compression. Compression would operate on all other local taxing districts, plus the amount of total tax imposed by the county above the $2.00 rate. Compression examples:
County A has a permanent property tax rate (PPTR) of $1.50 and a local option levy tax rate (LOLTR) of $1.00. The county need not increase its PPTR, because its total property tax rate (TPTR) imposed is at least $2.00. The PPTR plus $0.50 of the LOLTR are outside of the calculation of compression; $0.50 of the LOLTR is compressed.
County B has a PPTR of $2.50 and an LOLTR of $0.50. $2.00 of the PPTR is outside of compression; $0.50 of the PPTR and the $0.50 LOLTR are compressed as under current law (i.e., the LOLTR is compressed to zero before compression begins on the $0.50 of PPTR).
County C has a PPTR of $0.50 and a LOLTR of $0.50. The county must impose an additional $1.00 rate as the PPTR, bringing the PPTR to $1.50 and the TPTR imposed to $2.00 and thus outside of compression.
Refer the proposed amendment to the next primary election.
Applies the provisions to property tax years beginning on or after July 1, 2016.

There were fewer bills that survived than failed in the Energy, Environment and Land Use policy fields during the 2015 legislative session. The environmental field was dominated by the Clean Fuels legislation; the early passage of SB 324 impacted environmental and transportation bills throughout the session and created a great deal of tension. Other important non-controversial bills passed through; the juniper business development bills and the two DEQ materials management bills should be positive for the counties.

The energy policy legislation was dominated by three tax credit bills that struggled throughout the session. The one that AOC put the most effort into getting passed, HB 2449, the biomass collector tax credit bill, failed to get out of committee.

There were a number of bills that made minor changes to the land use system passed in 2015. These bills typically addressed very specific issues. AOC supported a broad look at the land use system in rural counties with no population growth but the bill died after a single public hearing. The most disappointing development of 2015 was the cut to the DLCD local government grants, AOC will be advocating for increased funding in the future. A number of the failed bills are expected to be resurrected for the 2017 session.

Bills That Passed

HB 2448 Energy Conservation Tax Credit Recertification
Effective date: October 5, 2015 Chapter: 545 (2015 Laws)
The bill states that Oregon Department of Energy (ODOE) may require recertification of eligibility for tax credits for energy conservation projects with a total cost of $1M or more after January 1, 2015. Additionally, the bill requires project owners to enter into performance agreements with ODOE.

HB 3068 Woodstove Smoke Reduction Study
Effective date: June 18, 2015 Chapter: 476 (2015 Laws)
Directs Department of Environmental Quality to conduct a study and develop recommendations for legislation to encourage the transition to cleaner burning woodstoves or other cleaner home heating options.

SB 259 Energy Facility Siting Council (EFSC) Cost Recovery
Effective date: January 1, 2016 Chapter: 488 (2015 Laws)
This bill states that EFSC may compensate a local government for expenses directly related to evaluation brought on by notice of intent, site certificate application or request for an expedited review.

ODOE Budget
The budget includes a 21.6 percent decrease in expenditure limitation from the 13-15 budget. The budget includes increased fees on biomass collector tax credit program in order to cover program costs.

Energy Bills that Did Not Pass

HB 2447 Tax Credit for Alternative Energy Device
Would have modified tax credit limits for each type of Category One alternative energy device. I would have also authorized ODOE to adopt rules that would further limit the amount of credit based upon market conditions if necessary. Finally, it would have removed obsolete provisions related to tax credits that previously allowed for alternative fuel vehicles and related equipment and fueling stations.

HB 2449 Biomass Collection or Production Tax Credit
Would have changed the biomass collection tax credits. These changes prompted some push back from organizations that had invested in infrastructure that was dependent on the credits. The bill would have also shifted some of the credits to biomass heat or electricity generation. The principle was that actual energy production should get incentivized, rather than the collection of materials.

HB 2833 1.5 Percent Biomass Bill
Would have added woody biomass to the types of green building technology for which a contracting agency must set aside 1.5 percent of the contract price when building public buildings. Already agencies (counties and cities included) must invest 1.5 percent of the total budget on solar or geothermal power; this bill would have added woody biomass.

Environment Bills that Passed

HB 2987 Green Technology Reserves
Effective date: June 16, 2015 Chapter: 424 (2015 Laws)
Removed the requirement that an agency (counties and cities included) that is contracting for the construction of a public building reserve 1.5 percent of the total budget when solar or geothermal investments were not appropriate. Before this bill a county would have had to put this money into an account and use it for green technology on its next construction project.

HB 2997 Juniper Alliance Funding Bill
Effective date: July 1, 2015 Chapter: 635 (2015 Laws)
$250,000 for cooperative efforts between businesses, agencies, and NGOs to improve the Juniper supply chain and conduct market development to grow the industry. This will introduce larger volumes of Juniper in green building markets and agricultural operations.

HB 2998 Juniper Business Development Bill
Effective date: July 1, 2015 Chapter: 636 (2015 Laws)
Working capital in the form of loans and grants for Juniper sawmills and entrepreneurs to strengthen and expand their businesses and maintain and create jobs in rural communities. ($500,000)
Technical and business assistance to Juniper businesses to improve their financial viability, create strong operating plans, and maintain a durable and efficient presence in the marketplace. ($200,000)
Training programs for workforce development to ensure that jobs in the Juniper industry benefit rural communities suffering from high unemployment and poverty. ($100,000)
Funds for mapping analysis to make sure we have an identified and sustainable supply of Juniper that balances industry needs and environmental benefit, as well as inform future public and private land management needs. ($100,000)

HB 3549 Update to Pesticide Regulations
Effective date: August 12, 2015 Chapter: 833 (2015 Laws)
Makes a number of changes to the pesticide application program including:
Establishing qualifications for obtaining and maintaining an aerial pesticide applicator certificate which will be required to do aerial application of pesticides.
Authorizes Department of Agriculture (ODA) to suspend, revoke or refuse to renew a license or certificate if a civil penalty is not paid in a timely manner.
Creates a pesticide-related complaint phone line.
Requires ODA to post pesticide information on their web page.
Permits ODA to require retaking of pesticide exam if an individual violates pesticide laws and rules.
Creates buffer zones around homes and schools from forestry aerial application of pesticides.

SB 133 E permitting Expansion
Effective date: January 1, 2016 Chapter: 170 (2015 Laws)
Expands the use of the state offered E-Permitting system to include construction-related activities. The E-Permitting system is available to public bodies that provide electronic access to building codes information. Several counties statewide use the system but the bill explicitly states that the use is completely voluntary. The bill also adds a 4% surcharge on permit fees to defray the cost of the system.

SB 245 DEQ Materials Management Fee Bill
Effective date: January 1, 2016 Chapter: 662 (2015 Laws)
SB 245 allows for an increase in state solid waste disposal fees (tip fee), which will fund several new services and the restoration of services recently lost during the recession (including grants). It also affirms DEQ’s authority to implement the 2050 Vision and Framework for Action.

SB 249 Oregon Removal-Fill Mitigation Fund
Effective date: June 10, 2015 Chapter: 343 (2015 Laws)
Allows the state to sell DSL-developed mitigation credits until the state recovers its expenses for a project. DSL funds mitigation projects in areas of the state where there are no private-sector mitigation banks. This change does not affect established private-sector mitigation banks, and would apply only in areas with no approved private banks available at the time when the first Department-developed credit was sold.
Action Item: Public works departments should be informed of these changes

SB 263 DEQ Materials Management Opportunity to Recycle Bill
Effective date: January 1, 2016 Chapter: 534 (2015 Laws)
Changes recycling and waste prevention program elements required of larger cities and their counties, and updates state and local goals.

SB 324—Clean Fuels
Effective date: March 12, 2015 Chapter: 4 (2015 Laws)
Removes the sunset on the Clean Fuels program established in 2009. According to DEQ: The Clean Fuels Program complements other transportation-related strategies to reduce greenhouse gas emissions such as clean car standards, renewable fuels blending mandates and commitments to reduce the amount that Oregonians drive. In addition to reducing greenhouse gases, the program has many co-benefits including reductions in other air pollutants, improvements to public health and increased energy security. Opponents to the Clean Fuels program are concerned that the proposed Clean Fuels Program will only expose Oregonians to volatile price increases at the pump, additional government regulations of small businesses, and increase our already aggressive blending requirements for ethanol and other forms of bio diesel.

SB 705 Asbestos Survey Before Demolition
Effective date: June 25, 2015 Chapter: 583 (2015 Laws)
States that the Environmental Quality Commission (EQC) will adopt rules that prohibit the demolition of a residence or residential building unless an asbestos survey has been conducted by an accredited inspector. The EQC will develop rules that state how to determine when asbestos is present.

ODFW Budget
The Department of Fish and Wildlife (ODFW) receives its budget from General Fund, Federal Funds, Lottery Funds, but primarily from licensing and tag fees (approximately 52 percent). Revenue from licensing and tag fees have been dropping and the department will implement fee adjustments across the board during the 2015-17 biennium, most fees will rise, and a few fees will go down or be unchanged. The General Fund is 70.4 percent higher than the 2013-15 Legislatively Approved Budget because of a significant shift from licensing and tag fees to General Fund. The fees being replaced are from hunters and fishers and that had been used to fund programs and activities that benefit the general public rather than directly benefiting the fee payers. The increase in Federal Funds reflects substantial increases in revenues tied to federal excise taxes on hunting equipment (Pittman-Robertson funds).

ODF Budget
The Oregon Department of Forestry included the following packages:
Supporting ongoing wildfire protection: $6 million in General Fund dollars provided to the Emergency Board for fire season severity resources and anticipated fire insurance premium costs.Completing the Gilchrist State Forest acquisition: carried over from FY 2013-15, the 2015-17 budget re-establishes $3 million for purchasing the final tracts of land.Supporting federal forest restoration and collaboration: $5 million in lottery funds for evolving the Federal Forest Health program, continuing work already underway.Supporting rangeland protection associations and rural community viability:contribution of $1.66 million of General Fund dollars for developing and supporting rangeland protection associations (RPAs), and contracting with other organizations and agencies to address wildfire issues on unprotected or under-protected lands, and contributing to sage grouse protection and rural community viability. This includes new position capacity to maintain and support the RPAs. Implementing electronic reporting tools: one-time funding for the implementation of two incremental enhancements to the Forestry Activity Electronic Reporting and Notification System and ongoing funding for maintenance and support of the system within the Private Forests Division. Supporting position classifications and technology enhancements for the Administrative Services Division: dollars provided for the ODF Administrative Services Division helps support technical position adjustments, ensuring positions are in the right class, and for technology enhancements.

Environment Bills That Did Not Pass

HB 2401 Wildlife Bird Seed tax
Would have created an excise tax on wild bird feed. 50 Percent of the revenue would have been dedicated to voluntary actions identified in the State’s collaboratively-developed Sage Grouse Action Plan as part of Oregon’s effort to avert the need for an ESA-listing in fall 2015. The other 50 percent would have been dedicated to voluntary actions benefitting other wild bird species and Oregon Conservation Strategy habitats in urban and rural landscapes statewide, as well as engaging new and underserved communities’ conservation, outdoor education and recreation.

HB 3008 Attorney Fees in Environmental Actions
Would have awarded reasonable attorney fees to a state agency to be paid by a party asserting an environmental claim in any civil action in which the party asserts a claim relating to the environment against a state agency and the state agency is a prevailing party. The hope was to avoid frivolous lawsuits.

HB 3310/SB 824 Clean Diesel
Would have created four provisions:
One Percent for Clean Diesel in Public Contracts
Nonroad Diesel Engine Registration Requirement
Emission Requirements for Diesel Engines
Repeal of State Preemption of Local Regulation of Idling by Primary Engines in Commercial Vehicles
SB 824 was amended to create a task force that AOC would have participated in, however, even that did not pass. An informal task force is being organized to prepare legislation for 2017.

SB 30 Paint stewardship
Would have reimbursed counties for costs associated with the collection of PaintCare program materials. The bill helped leverage further participation from PaintCare in county collection activities.

SB 204 Working Farms and Forest Task Force
Establishes the Task Force on Working Farms and Forests to study multiple economic, social and environmental issues affecting continuing use of land as working farm and forests. Also establishes the Clean Water Fund in order to fund purchasing agreements regarding riparian areas on working farms and forests and for funding capital improvements in association with riparian area agreements to preserve the ability to carry out operations on the land.

SB 246 Onsite Loan Program
Established the Onsite Septic System Loan Fund and authorized DEQ to provide grants or loans to implement the program at the state, local or regional level. The program would have been structured as a revolving loan fund to maximize the use of limited start-up funds and ensure this resource was available for the long term: as loans are repaid, they are immediately available for lending to other homeowners. AOC is working with DEQ to create grassroots interest in this bill for 2017.

Land Use Bills that Passed

HB 2830 Land Use Appeal Time
Effective date: January 1, 2016 Chapter: 522 (2015 Laws)
Changes the time a county has to respond to a LUBA remand from 90-days to 120-days. This time period does not begin until the applicant requests in writing that the county, but if the county does not receive the request within 180 days of the effective date of the final order, the application is terminated. The bill allows that the 120-day period may be extended for up to an additional 365 days if the parties enter into mediation prior to the expiration of the initial 120-day period. The application is terminated if the matter is not resolved through mediation prior to the expiration of the 365-day extension.

HB 2831 Property line adjustments
Effective date: January 1, 2016 Chapter: 423 (2015 Laws)
Prohibits counties from approving property line adjustments in Exclusive Farm Use or Forest Land that would create a unit of land large enough to permit a new residence when the existing unit of land was smaller than the minimum lot size before the adjustment.

HB 3089 Mining Potential
Effective date: August 12, 2015 Chapter: 826 (2015 Laws)
Requires State Department of Geology and Mineral Industries to conduct a study of mineral resource potential of eastern and southern Oregon counties and present a report to interim committees of Legislative Assembly related to environment and natural resources on or before September 15, 2016.

HB 3186 Outdoor Mass Gathering Advertising
Effective date: June 16, 2015 Chapter: 428 (2015 Laws)
Allows year round advertising for outdoor mass gatherings. For example, a music festival that is held yearly can maintain a web page advertising the event for the following year before they hold the event permit.

HB 3214 Rezoning Bill
Effective date: June 18, 2015 Chapter: 477 (2015 Laws)
Directs Land Conservation and Development Commission to adopt or amend rules related to statewide planning goals in order to allow local government to rezone land in order to maintain its current use. The rezoned use will maintain the land as rural land as described by commission rule, and in a manner consistent with other statewide planning goal requirements. The rezoning cannot impact nearby resource land and cannot be in an area designated as a rural or urban reserve.

SB 341 Agritourism liability Bill
Effective date: June 22, 2015 Chapter: 535 (2015 Laws)
Provides that agri-tourism professional is not liable for injury or death of a participant arising out of inherent risks of agri-tourism if agri-tourism professional posts a specific notice and does not act negligently.

SB 361 Mining Permit Bill
Effective date: January 1, 2016 Chapter: 492 (2015 Laws)
When the State Department of Geology and Mineral Industries receives an application for an operating permit they must provide notice to the local give them 30 days to request that the department delay a decision. If the local jurisdiction does not request that the delay DOGAMI will give the local jurisdiction notice and an opportunity to provide comments prior to issuing the operating permit. DOGAMI will also provide information about any applicable local land use regulations, whether the site described in the proposed plan is included on a local government inventory required by any open spaces, scenic and historic areas and natural resources land use planning goal and other information. Thelocal jurisdiction has to respond within 35 days after the date of the notice.

DLCD Budget
The Department of Land Conservation and Development saw a 0.7% decrease in their total budget from the 13-15 legislatively approved budget. Two areas that were particularly hard hit were the local government grants which were cut from a proposed $2.0M to $1.5M and the elimination of the technical assistance to address natural hazard planning positions.

Land Use Bills That Did Not Pass

HB 2564 Inclusionary Zoning (Support)
Would have permitted local governments to impose conditions on approved permits that effectively establish sales price for up to 30 percent of residential for living wage earning purchasers in exchange for one or more developer incentives.

HB 2633/SB 94 Natural Hazards and Tsunami Planning
Two ambitious bills that would have required local governments to plan for Tsunamis and other natural disasters. While AOC supports planning for natural disasters and believe that counties are already planning for these potential disasters, neither bill came with funds for further planning. AOC will continue to work closely with legislators and DLCD to ensure that counties are fully prepared to face any natural disasters.

HB 2666 Mining Use Application
An attempt to establish a process for counties to evaluate proposed mining use for impacts on neighboring land owners when federal or state agencies have not authorized the mining use. The mining community is attempting to find a process to streamline the application process when the proposed mining use does not force “significant change in accepted farm or forest practice of significantly increase cost of accepted farm or forest practices.” AOC plans to engage with stakeholders to continue to find a compromise.

HB 2668 Industrial Hemp
An attempt to keep industrial help grows away from legal marijuana grows. The hemp interferes with the marijuana’s ability to produce useable product. This bill attempted to limit the number of industrial hemp sites and keep buffer zones between the hemp and marijuana.

HB 2894 Water District Zoning
The Water Resource Congress’ bill attempting to legislate better coordination between water districts and county and city planners. Their concerns arise when new developments interfere with the activities of the water district. Most counties felt strongly that there was already sufficient coordination but AOC will work with the Water Resource Congress during the interim to find an acceptable compromise.

HB 3212 Measure 49 claims for agricultural practices
Would have added any law enacted, or rule adopted, by state or local government solely for the purpose of regulating a farming practice that was allowed immediately prior to enactment of the law or adoption of the rule to the eligibility of Measure 49 claims. The bill would have been in effect on January 1, 2016 and would have excluded marijuana laws or rules.

HB 3367 Trails through EFU
Would have made the establishment of recreational trails on land zoned for exclusive farm use (EFU) a conditional use rather than an outright use. DLCD review determined that recreational trails are subject to either a conditional use or need to be part of the transportation system plan. When a trail is added to an existing right of way for roads or highway in EFU no review is necessary; however, a trail on a railroad or some other right of way through EFU land will require a conditional use review.

HB 3368 Events on EFU
An attempt to modify the conditional land use approval in order to allow a home occupation on EFU land to be conducted in an outdoor setting. The purpose was to clarify that a wedding held on EFU land could be considered a home occupation in the conditional use process; however, it was determined that a Land Use Board of Appeals ruling already approved these uses.

SB 25 Rural Economic Bill
Would have given counties with stagnant population growth the option for more control and flexibility to set their own land use goals and standards in an effort to spur economic growth. The bill mirrors Washington State’s current land use system. While the bill received a public hearing there seems to be a concern over undermining any part of Oregon’s current system.

SB 349/HB 3379 Land Use Appeal Fee limits
Would have put limits on the amount of an appeal fee that a county or city could charge for a quasi-judicial review of county decisions on land use applications. The limits would have been capped at $1000 or 10 percent of the original application fee, whichever was less. Proponents feel like appeal fees block access to justice while counties and cities pointed out that these are fee-based programs that need to be funded and this limit would just shift costs elsewhere.

SB 778 DOGAMI/Natural Disaster Bills
Would have allowed the State Department of Geology and Mineral Industries (DOGAMI) to require entities that are building new structures in tsunami inundation zones to use a specific methodology to determine risk of danger. If DOGAMI determined that there was unreasonable danger to the occupant they would have been able to force the builders to comply with their recommendations.

SB 808 Emergency Resilience Planning
Would have established a task force to review established state and local plans and make recommendations to prepare for and respond to catastrophic consequences and mass displacement that may result from naturally occurring seismic events.

SB 873 Transmission lines on High Value EFU
An attempt to ensure that transmission lines were sited through the least productive farmland when possible. The concern arose from transmission lines that cut through irrigated farm lands and interfere with farming practices. The bill called for an analysis that included other factors than cost to utilities putting in the transmission lines.

The 2015 Oregon legislative session focused on a wide range of issues directly affecting the operation of county government.  As a result, the AOC Governance Steering Committee evaluated and recommended positions on bills impacting public employment, public contracting, elections, marijuana, and much more. Below is a summary of the key pieces of legislation that passed in the governance arena. Following that is a section which summarizes legislation that had traction, but did not pass. It is very likely that these pieces of legislation will be reintroduced, in some form, in future legislative sessions.

Animal Control

SB 4 Fixing Issues Created by 2013 Senate Bill 6
Effective date: January 1, 2016 Chapter: 267 (2015 Laws)
Modifies definition of “animal rescue entity” to provide that legal custody of 10 or more animals includes animals located off-site.
NOTE: This was a Marion County bill necessary to fix issues with 2013 Senate Bill 6.

County Property

SB 548 Transfer to Indian Tribe
Effective date: June 10, 2015 Chapter: 354 (2015 Laws)
Authorizes county to sell or donate real property to certain federally recognized Indian tribes.

Elections

HB 2177 New Motor Voter
Effective Date: March 16, 2015 Chapter: 8 (2015 Laws)
Directs the Oregon Department of Transportation to provide the Secretary of State (SOS) with electronic records containing legal name, age, residence and citizenship information and electronic signature of each person who may qualify as elector as prescribed by SOS rule. Directs SOS to register as elector each nonregistered person who is qualified to vote and to notify persons how to decline registration and how to adopt political party affiliation.
NOTE: This creates a new mandate on county election services by significantly increasing the voter registration rolls (about 20 percent). However, through HB 5036, Sections 1(3) and 4, the Legislature funded the new mandate at its estimated cost to counties.

HB 2957 Limiting Election Dates for Local Initiatives to May and November
Effective date: April 22, 2015 Chapter: 44 (2015 Laws)
Establishes specific dates for elections on county measures, city measures and district measures that are not referred to people by county governing body, city governing body or district elections authority.

Employment

SB 454 Mandatory Sick Leave
Effective date: January 1, 2016 Chapter: 537 (2015 Laws)
Requires all employers to implement sick time for employees. Creates exceptions. Specifies purposes for which sick time may be taken and rate at which sick time accrues. Requires advance notice of request to use sick time under certain circumstances. Prohibits discrimination against employee for inquiring about or using sick time. Makes violation unlawful practice subject to jurisdiction of the Bureau of Labor and Industries. Authorizes civil action for violation. Preempts authority of local governments to set sick leave requirements.
Action Needed: Determine if your personnel rules and policies are in compliance.
NOTE: This bill may affect local governments’ service levels or shared revenues sufficient to trigger Section 15, Article XI of the Oregon Constitution (unfunded mandates).

HB 3015 “Ban the Box”
Effective date: June 16, 2015 Chapter: 425 (2015 Laws)
Establishes unlawful practice of inquiring into or considering applicant’s conviction history on application form or prior to interview or, if no interview is conducted, prior to conditional offer of employment. Creates exceptions. Authorizes the Bureau of Labor and Industries to enforce.
Action Needed: Likely revision of application forms and personnel rules.
NOTE: The exceptions are as follows:
(a) If federal, state or local law, including corresponding rules and regulations, requires the consideration of an applicant’s criminal history.
(b) An employer that is a law enforcement agency.
(c) An employer in the criminal justice system.
(d) An employer seeking a nonemployee volunteer.

Marijuana

NOTE: See important note at the end of this MARIJUANA section.

HB 3400 Omnibus Marijuana Legislation
Effective date: June 30, 2015 Chapter: 614 (2015 Laws)
Revises laws relating to recreational and medical marijuana. Provides two paths for local opt out of any one or more category of marijuana businesses. Clarifies local authority to impose reasonable time, place and manner regulations on marijuana businesses. Clarifies land use status of state licensed recreational marijuana production. Requires land use compatibility statement (LUCS) prior to issuance of any recreational marijuana business license. Allows local tax on sale of retail marijuana items, if approved by local voters at a general election, not to exceed three percent, but prohibits local option tax if city or county prohibit any category of marijuana business. Expands powers and duties of the Oregon Liquor Control Commission (OLCC) related to OLCC licensed marijuana businesses. Requires a seed-to-sale tracking system for the recreational marijuana supply system. Provides for testing, packaging, labeling and dosage standards. Requires registration and tracking of all medical marijuana grow sites, processing sites and dispensaries in an Oregon Health Authority (OHA) database. Permits law enforcement, and city and county regulatory agencies, to access database, except for transaction information, which requires a subpoena. Requires registration of designated medical marijuana grow sites and processing sites. Limits the number of medical marijuana plants that may be grown at a single address. Reduces certain marijuana offense Levels.
Possible Action Needed:
Opt out ordinance, if opt out of any one or more category of state licensed or registered marijuana businesses is desired.
Time, place and manner regulatory ordinance, if local time, place or manner regulations related to any one or more category of state licensed or registered marijuana businesses is desired.
Amendments to land use planning code.

SB 460 “Early Start” of Recreational Sales through Medical Marijuana Dispensaries
Effective date: July 27, 2015 Chapter: 784 (2015 Laws)
Allows medical marijuana dispensaries to sell limited marijuana retail products, beginning October 1, 2015, namely seeds, dried leaves and flowers, and plants that are not flowering. Limits amount that can be sold to each customer. Allows cities and counties to prohibit these retail sales by ordinance.
Possible Action Needed: Opt out ordinance, if opt out of sales of recreational marijuana through medical marijuana dispensaries is desired.

HB 2041 Taxation of Retail Marijuana
Effective date: October 5, 2015 Chapter: 699 (2015 Laws)
Imposes state tax on sale of retail products, in lieu of Measure 91 tax on grower products, at a 17 percent tax rate. Retains net distribution formula from Measure 91 (including 10 percent to cities, and 10 percent to counties, to assist with enforcing Measure 91). Disqualifies a city or county from receiving any distribution if the city or county prohibits any one or more of the six categories of marijuana business licensees. Provides special “Early Start” tax rate of 25 percent, beginning January 4, 2016.

SB 844 Miscellaneous Marijuana Amendments
Effective date: August 12, 2015 Chapter: 844 (2015 Laws)
Provides for research task force. Reduces expunction waiting period from three years to one year for person adjudicated or convicted of marijuana offenses when they were under 21. Changes Oregon Medical Marijuana Act (OMMA) “agitation incident to Alzheimer’s disease” qualifying condition to “a degenerative or pervasive neurological condition.” Allows certain medical organizations to be a designated OMMA caregiver. Prohibits transplant hospitals from discriminating against OMMA cardholders.
Important Note regarding marijuana legislation: AOC Legal Counsel Rob Bovett has recently generated a number of materials related to this topic, which are continuously being updated and supplemented. As of July 16, 2015, the following materials are available to AOC members upon request, and have been made available to members of the Oregon County Counsels Association (OCCA):
Regulation of Marijuana in Oregon PowerPoint (history, medical, retail, legislation, offenses)
PDF (7.4mb, 152 slides, 7/15/15) (too large to email, for some)
PPT (15.4mb, 152 slides, 7/15/15) (too large to email)
Brief Summary of 2015 Oregon Marijuana Legislation (PDF, 315k, 2 pages, 7/12/15)
Selected Provisions of 2015 Oregon Marijuana Legislation (PDF, 267k, 6 pages, 7/12/15)
Local opt out of marijuana businesses
Sample ordinances (PDF, 346k, 3 pages, 7/6/15)
Sample order calling for election (PDF, 97k, 2 pages, 7/12/15)
Sample ballot title (PDF, 217k, 1 page, 7/12/15)
Sample ballot measure explanatory statement (PDF, 292k, 1 page, 7/12/15)
New and revised marijuana offenses – training for law enforcement
Booklet (PDF, 403k, 12 pages, last updated 7/1/15(
PowerPoint (PDF, 1.5mb, 34 slides, last updated 7/1/15)
Video (WMV, 703mb, 30 minutes, 6/30/15)

PERS

HB 3495 Fixing the OPSRP Contribution Start Date
Effective date: January 1, 2016 Chapter: 326 (2015 Laws)
Provides for employer and employee contributions to pension program and individual account program of Oregon Public Service Retirement Plan to first be made for new members for wages that are attributable to services performed during first full pay period following six-month probationary period, without regard to when wages are considered earned for other purposes.

Public Contracting and Procurement

HB 2716 Continued Disadvantaged, Minority, Women or Emerging Small Business Enterprise Status as Material Condition
Effective date: June 10, 2015 Chapter: 325 (2015 Laws)
Requires public contracting agencies to provide, as material condition of public contract, that contractor remain certified as disadvantaged, minority, women or emerging small business enterprise during entire term of public contract if contracting agency awarded public contract, in whole or in part, on basis of contractor’s certification. Requires public contracting agency to provide that contractors include similar provision in subcontracts. Permits affected public contracting agency or Oregon Business Development Department to impose civil penalty of not more than $5,000 for violation of prohibition against fraudulently obtaining or retaining or assisting other person to fraudulently obtain or retain certification as disadvantaged, minority, women or emerging small business enterprise. Requires public contracting agency to verify that contractor retains certification during entire term of public contract.
Action Needed: Updating public contracting forms.

HB 2987 Discretion to Not Include Green Energy Technology Where Not Appropriate
Effective date: June 16, 2015 Chapter: 424 (2015 Laws)
Removes requirement for contracting agency to hold in account or otherwise reserve moneys for including green energy technology in constructing, reconstructing or performing major renovation on public building if contracting agency determines that including green energy technology is not appropriate. Requires contracting agency to report to State Department of Energy amount that contracting agency would have spent to include green energy technology in constructing, reconstructing or performing major renovation of public building had contracting agency determined that doing so was appropriate. Requires department to report to Legislative Assembly contracting agency compliance with reporting mandates and other mandates.

HB 3248 Contracting with Qualified Nonprofit Agency for Individuals with Disabilities
Effective date: June 22, 2015 Chapter: 526 (2015 Laws)
Requires public agency that terminates contract with qualified nonprofit agency for individuals with disabilities to provide in new contract with second qualified nonprofit agency for individuals with disabilities that second qualified nonprofit agency for individuals with disabilities must, for period of 90 days after date of new contract, offer employment to individuals with disabilities who performed work under contract that public agency terminated. Permits public agency to procure products and services from source other than qualified nonprofit agency for individuals with disabilities under specified circumstances. Permits public agency that may choose to procure products and services from more than one qualified nonprofit agency for individuals with disabilities to grant preference to that qualified nonprofit agency for individuals with disabilities that best demonstrates compliance with local ordinances and resolutions that govern labor standards and provides certain other benefits.

HB 3303 Service-Disabled Veterans Preference; Continued Disadvantaged, Minority, Women or Emerging Small Business Enterprise Status as Material Condition
Effective date: June 25, 2015 Chapter: 565 (2015 Laws)
Permits Certification Office for Business Inclusion and Diversity to certify business that service-disabled veteran owns as business enterprise that is eligible for certain preferences in public contracting. Changes name of Advocate for Minority, Women and Emerging Small Business to Governor’s Policy Advisor for Economic and Business Equity. Changes name of Office for Minority, Women and Emerging Small Business to Certification Office for Business Inclusion and Diversity. Directs contracting agency to suspend right of certified disadvantaged business enterprise, minority-owned business, woman-owned business, business that service-disabled veteran owns or emerging small business to bid on or participate in public contract if enterprise or business exhibits pattern of failing to perform commercially useful function in public contract. Requires public contracting agency to provide as material condition of public contract that contractor remain certified as disadvantaged business enterprise, minority-owned business, woman-owned business, business that service-disabled veteran owns or emerging small business during entire term of public contract if contracting agency awarded public contract, in whole or in part, on basis of contractor’s certification. Requires contracting agency to provide that contractors include similar provision in subcontracts. Requires contracting agency to verify that contractor retains certification during entire term of public contract. Permits affected contracting agency or Oregon Business Development Department to impose civil penalty of not more than $5,000 for violation of prohibition against fraudulently obtaining or retaining or assisting other person to fraudulently obtain or retain certification as disadvantaged business enterprise, minority-owned business, woman-owned business, business that service-disabled veteran owns or emerging small business.
Action Needed: Updating public contracting forms.

SB 137 Closing Prevailing Wage Rate Loophole Relating to Private-Public Projects
Effective date: June 18, 2015 Chapter: 482 (2015 Laws)
Changes definition of public works for purpose of applying prevailing rate of wage to include project that uses $750,000 or more of funds of public agency for constructing, reconstructing, painting or performing major renovation on road, highway, building, structure or improvement of any type.

SB 491 Contractor Training and Certification Regarding Wage Discrimination
Effective date: June 16, 2015 Chapter: 454 (2015 Laws)
Directs Oregon Department of Administrative Services to establish training program and specifies elements that program must include. Permits department to conduct training or to enter into interagency agreement or contract to provide training. Requires bidder or proposer to possess unexpired certificate that department issues for completion of training as part of bidder’s or proposer’s demonstration of responsibility. Requires all public contracts to provide that contractors must comply with prohibitions against discrimination in wage payments and compensation and that contractors may not prohibit employees from discussing with others employees’ rate of wage, salary or other compensation or retaliate against employees who discuss employees’ rate of wage, salary or other compensation.
Action Needed: Updating public contracting forms.

SB 584 Suspension of Sham Disadvantaged, Minority, Women or Emerging Small Business Enterprise Contractors
Effective date: May 21, 2015 Chapter: 148 (2015 Laws)
Directs public contracting agency to suspend right of certified disadvantaged, minority, women or emerging small business enterprise to bid on or participate in public contract if certified disadvantaged, minority, women or emerging small business enterprise exhibits pattern of failing to perform commercially useful function in public contract.

SB 675 Certification of Tax Compliance by Means Other than Affidavit
Effective date: June 22, 2015 Chapter: 539 (2015 Laws)
Requires bidder or proposer for public contract to demonstrate responsibility by attesting in any way contracting agency deems credible and convenient that bidder or proposer complied with tax laws of this state. Requires public contract to include representation and warranty from contractor that contractor has complied with tax laws of this state and that contracting agency may terminate public contract if contractor fails to comply during term of public contract.
Action Needed: Updating public contracting forms.

Public Meetings

SB 294 Ethics Commission Rulemaking for Executive Sessions
Effective date: January 1, 2016 Chapter: 666 (2015 Laws)
Grants Oregon Government Ethics Commission administrative rulemaking authority to assist in commission’s enforcement of executive session provisions of public meeting laws. Prohibits commission from using rulemaking authority to establish what entities are considered representatives of news media that are entitled to attend executive sessions.

Public Records

HB 2208 Exemption of Personal Information: Code Enforcement Officers; DPSST Records
Effective date: June 10, 2015 Chapter: 313 (2015 Laws)
Adds civil code enforcement officers to public officials who may request exemption from required disclosure under public records law of specified personal information. Defines “civil code enforcement officer.” Exempts specified personal information of individuals currently or previously certified or licensed by Department of Public Safety Standards and Training from required disclosure under public records law.

HB 3037 Exemption of Personal Information: Public Employees and Volunteers
Effective Date: April 9, 2015 Chapter: 26 (2015 Laws)
Modifies public records law exemption from required disclosure of certain personal information of public employees and public body volunteers to remove mandated disclosure upon showing that public interest would require disclosure in particular instance. Requires that certain personal information submitted in confidence and not otherwise required to be disclosed be maintained confidentially and not disclosed pursuant to a public records request.
NOTE: See also House Bill 3557 immediately below.

HB 3557 Release of Personal Information: Public Employees and Volunteers
Effective date: July 28, 2015 Chapter: 805 (2015 Laws)
Requires public bodies that receive requests for disclosure of specified personal contact information of public employees or certain other persons to forward copy of request to affected persons whose information is subject of request or their representatives. Requires public body to delay responding to request for seven days. Grants immunity to public bodies from any liability that arises from disclosure of information. Permits public bodies to recover costs incurred in responding to requests.

Bills That Did Not Pass

Elections

SB 29 Reforming Precinct Committee Person (PCP) Elections
Establishes procedures for electing precinct committeepersons. Requires one committeeperson for every 250 electors, rather than for every 500 electors, who are registered in precinct. Provides that write-in candidate may be eligible for election to precinct committeeperson position if no other candidate for position exists. Requires write-in candidate to signify acceptance of successful write-in candidacy before primary election, rather than after election.
NOTE: This was a County Clerks (OACC) bill. It passed both chambers, but in different forms. The Senate refused to concur in the House amendments. OACC plans to introduce one or more variations of this bill in the 2016 legislative session.

Employment

Increasing the Minimum Wage
Quite a number of minimum wage bills were introduced, but none passed. It is likely this issue will be on the November 2016 general election by initiative, unless addressed by the 2016 legislative session, which does not seem likely at present.

HB 2544 Mandatory Arbitration for Interim Bargaining
Requires issue subject to collective bargaining during term of collective bargaining agreement that is not resolved through negotiation or mediation to be resolved through binding arbitration. Prohibits public employees from striking when issue subject to collective bargaining during term of collective bargaining agreement is subject to binding arbitration.

HB 2978 Adding More Police Supervisors to Collective Bargaining Units
Excludes certain police officers from meaning of supervisory employee for purposes of public employment.

Public Contracting

SB 414 Additional Burdens, and Judicial Review, for Contracting Out Services
Permits employee of contracting agency that conducts cost analysis or determines feasibility of procurement, or exclusive representative of employee’s bargaining unit, to seek judicial review of cost analysis or determination. Specifies conditions under which review may occur. Requires contracting agency to take certain steps to obtain information necessary to conduct cost analysis before advertising or soliciting procurement. Requires contracting agency under certain circumstances to update cost analysis and to reconsider determination of feasibility of agency performing services that are subject to procurement. Requires contracting agency to consider contractor’s profit in cost analysis. Prohibits contracting agency from considering proceeds from selling or costs of replacing long-term assets in cost analysis.

SB 809 Requiring Certain Levels of Journeyman Work
Requires bidder that submits bid for contract for public works with estimated contract price of $1 million or more to demonstrate responsibility by belonging to local joint committee whose training agents, in aggregate, employed apprentices for 10 percent or more of hours that training agents’ employees worked on contracts in previous calendar year or by showing that bidder employed apprentices for 10 percent or more of hours that bidder’s employees worked on contracts during previous calendar year. Provides that Commissioner of Bureau of Labor and Industries may set percentage at which public agency may determine responsibility of bidder for contract for public works. Requires contracting agency to base determination of bidder’s responsibility in contracts for public works with estimated contract price of $1 million or more on training agents approved by local joint committee of which bidder is part employing apprentices for 10 percent or more of hours training agents’ employees worked during previous calendar year or on bidder’s status as approved training agent and on bidder’s record of employing apprentices for 10 percent or more of hours that bidder’s employees worked during previous calendar year. Requires contractors and subcontractors performing work on public works to submit statements to public agency that show hours that apprentices work during each week. Permits commissioner to verify compliance with requirement. Appropriates moneys to Bureau of Labor and Industries to establish verification program and for other purposes. Requires local joint training committee to report to bureau hours that apprentices and journeyworkers worked during previous calendar year and requires bureau to publish information on bureau’s website.

HB 2617 New Burdens with Regard to Subcontractors
Provides that contractor may award subcontract only to responsible subcontractor. Requires contractor to check list that Construction Contractors Board maintains of persons that are not eligible for award of public improvement contract and to require prospective subcontractor to submit affidavit that demonstrates prospective subcontractor’s responsibility. Requires contractor to provide contracting agency with copy of affidavit. Provides that contractor need not inquire into or verify truth of prospective subcontractor’s affidavit. Requires bidder to submit affidavit to show compliance with tax laws of state. Permits contracting agency or board to bar contractor or subcontractor from award of public improvement contract if contractor or subcontractor knowingly or intentionally makes false statement on affidavit.

HB 3321 New Burdens on Procurement #1
Requires contracting agencies to provide to Oregon Department of Administrative Services, and department to post on Oregon transparency website, certain information about public contracts. Requires public contract to provide that contractor provide information to contracting agency and that contracting agency treat information as public record subject to disclosure under state’s public records laws. Requires meetings between contractor and contracting agency head or local contract review board to comply with state’s public meetings laws. Prohibits contracting agency from awarding public contract unless contracting agency first determines that contracting agency has necessary personnel and expertise to properly administer, oversee and monitor public contract and contractor’s performance under public contract. Specifies criteria for contracting agency’s determination. Specifies required provisions and allowable contents of public contract for goods or services, including personal services. Prohibits certain provisions in public contract for goods or services, including personal services. Requires bidder or proposer to demonstrate responsibility by submitting affidavit that certifies that contractor has complied with applicable local, state and federal laws, rules, regulations, ordinances and resolutions.

HB 3322 New Burdens on Procurement #2
Requires contracting agency before conducting procurement to conduct study concerning how procurement will affect local area in which work in connection with procurement will occur and to post results of study to contracting agency’s website and to Oregon transparency website. Requires contracting agency to provide results of cost analysis to employees of contracting agency or certified exclusive representative of employees, provide opportunity to employees or exclusive representative to provide alternative cost analysis and consider alternative cost analysis on same basis as contracting agency’s cost analysis. Requires contracting agency to demonstrate that procurement will result in contracting agency incurring at least 10 percent less in costs than contracting agency would incur in performing services with contracting agency’s own personnel and resources. Requires contractor on public contract to pay contractor’s employees wages and benefits that are equivalent to wages and benefits that public employee would receive.

Public Meetings

HB 3417 Advance Notice and Opportunity to Comment for Regional Solutions Advisory Committees
Requires minimum of 30 days’ public notice and opportunity to comment period prior to meeting dates of regional solutions advisory committees.

Public Records

HB 3505 Deadlines and Sanctions for Responding to Public Records Requests
Requires public bodies to establish public records retention schedules that require minimum three-year retention of public records. Modifies definition of “state agency” for public records law purposes. Requires public bodies to respond to public records request within seven days of request and at seven-day intervals thereafter until complete disposition of request. Waives fees public body would have received if complete disposition of request has not been made within three weeks of request and treats request as denied if complete disposition has not been made within six weeks of request. Establishes alternative method for determining fees public bodies may charge public records requesters. Requires public body to charge lesser of fee determined under existing law or under alternative method. Requires public body that creates or retains public records on social media, that sends public record through text messaging or that sends public records using electronic mail addresses, domain of which is not owned by public body, to store copies of records on storage equipment owned or operated by public body within 30 days of creation or retention of record. Authorizes Attorney General to impose civil penalties for violation of storage requirements.

Municipal Bankruptcy

HB 3518 Insolvent Local Government or Special Government Body
Requires governing body of local government or special government body to notify Governor when local government or special government body is insolvent. Authorizes Governor in certain circumstances to take certain actions to resolve state of fiscal emergency in insolvent local government or special government body. Authorizes Governor to establish Fiscal Emergency Oversight Board for local government or special government body in state of fiscal emergency. Authorizes board, on behalf of local government or special government body in state of fiscal emergency, to file petition and seek all relief available to municipality under federal bankruptcy law. Provides circumstances in which Governor may terminate board’s oversight of local government or special government body.

Property Taxation

HJR 21 Minimum County Permanent Tax Rate
Proposes amendment to Oregon Constitution that provides that rate of ad valorem property taxes imposed by county for any property tax year may not be less than $2.00 per thousand dollars of assessed value and excepts $2.00 per thousand dollars minimum from compression under Ballot Measure 5 (1990).

Miscellaneous

SB 333 Designates March 22 as Tom McCall Day
Designates March 22 of each year as Tom McCall Day to commemorate Governor McCall and encourage school districts to educate children about Governor McCall’s legacy.

This session saw a big focus on mental and public health. While CCOs and Early Learning Hubs continued to have new legislation introduced, things on those fronts have calmed down quite substantially from previous years. This session also saw some important investments in health and human services.

While AOC started out the session with a plan for a bill to expand partnerships between public safety and mental health, at the request of President Courtney’s office, we ended up working primarily through the budget process. While the $50 million figure initially discussed internally for sequential intercept, an additional $28 million was allocated for community mental health programs, in addition to the roll up of funds from 13-15 biennium. The funds are allocated as follows: $7.0 million for crisis service, including mobile crisis services; $6.5 million for jail diversion; $7.0 million for supported housing (rental assistance) and peer-delivered services; and $1.5 million to expand the Oregon Psychiatric Access Line for Kids (OPAL-K); and $6.0 million for addictions treatment and recovery support, including increased capacity for detoxification/withdrawal management, sobering facilities and peer delivered services.

Public health was the other hot human services topic this session, with the Public Health Modernization bill that came out of the Task Force on the Future of Public Health. With Commissioner Tammy Baney (Deschutes County) chairing the Task Force, AOC and CLHO (Coalition of Local Health Officials) closely followed the development of the group’s recommendations and worked to ensure the bill was as closely aligned as possible with said recommendations. In the interim there will be a great deal of planning work between the agency and counties to determine how local public health authorities will be structured (i.e. what services will be shared between which counties) moving forward.

We also saw some powerful progress in the area of tobacco use/prevention, with a large focus on electronic cigarettes. CLHO successfully led the campaign to ban sales to minors and to include e-cigarettes in the Indoor Clean Air Act. Efforts were also made to tax e-cigs and to require licenses for tobacco retailers, neither of which passed. Both of these remain options for local governments however.

Addictions & Mental Health

Bills That Passed

HB 2307 Conversion Therapy
Effective date: May 18, 2015 Chapter 79 (2015 Laws)
Prohibits mental health care professionals and social health professionals from practicing conversion therapy if recipient of conversion therapy is under 18 years of age.

HB 2023 Discharge Planning
Effective date: January 1, 2016 Chapter: 466 (2015 Laws)
Specifies requirements for hospital policies for discharge planning involving patient who is
hospitalized for mental health treatment.

HB 2306 Prescription Drug Access
Effective date: June 18, 2015 Chapter: 467 (2015 Laws)
Authorizes Oregon Health Authority to limit providers from which medical assistance recipient may obtain prescription drugs if recipient meets specified criteria.

HB 2368 Conflicts of Health Care Instructions
Effective date: January 1, 2016 Chapter: 82 (2015 Laws)
Provides that if person has both valid health care instruction, or valid power of attorney for health care, and declaration for mental health treatment, that inconsistencies in documents are governed by declaration for mental health treatment.

HB 2420 Consultation with Community Mental Health Prior to Referral to State
Hospital
Effective date: January 1, 2016 Chapter: 130 (2015 Laws)
Before referring an individual to the State Hospital, a court shall order that a community mental health program director or the director’s designee consult with the defendant to determine whether services and supervision necessary to safely restore the defendant’s fitness to proceed are available in the community. After the consultation, the program director or the director’s designee shall provide to the court a copy of the findings resulting from the consultation. The Oregon Health Authority shall establish by rule standards for the consultation

HB 2936 Sobering Centers
Effective date: July 20, 2015 Chapter: 730 (2015 Laws)
Extends criminal and civil immunity to sobering facility and staff, registered with Oregon Health Authority (OHA) before January 1, 2016 for acting on probable cause in good faith without malice. Extends criminal and civil immunity to sobering facility and staff registered with OHA on or after January 1, 2016 for acting on probable cause in good faith without gross negligence. Defines sobering facility as one that: provides acutely intoxicated persons with safe, clean, supervised environment until sobriety improves; affiliates with OHA-approved addictions treatment program or provider; adopts comprehensive written policies and procedures incorporating best practices for safety of intoxicated persons, employees and volunteers; and is registered with OHA. Requires OHA to establish registry of sobering facilities. Permits OHA to register only facilities in operation when Act becomes effective and has submitted written request to OHA by December 31, 2015. Permits OHA to accept written requests from new sobering facilities after January 1, 2016, but prohibits registering more than three. Requires OHA to report on sobering facilities each regular legislative session beginning with 2017. Requires affiliated providers to enter into written agreement to consult, train. advise and make referrals. Allows for discharge of person who is danger to self or others within first 24 hours of admission. Prohibits disclosure of records without consent. Allows law enforcement to transport intoxicated person to sobering facility.

HB 3132 Conduit Bonding
Effective date: January 1, 2016 Chapter: 220 (2015 Laws)
Expands definition of “hospital facility” to include behavioral treatment facilities and family safety facilities in regard to local public authorities created to finance hospital facilities. Allows the county to issue tax-exempt bonds for an organization seeking to build a mental health treatment facility as long as the facility has a residential component of 72-hour minimum stay to a 12-month maximum. Bill came from Multnomah County.

HB 3168 Waiving of Criminal Fines
Effective date: January 1, 2016 Chapter 186 (2015 Laws)
Authorizes court to waive unpaid portion of previously imposed criminal fine if defendant demonstrates financial hardship that prevents completion of alcohol or drug treatment program.

HB 3347 Civil Commitment Definitions
Effective date: January 1, 2016 Chapter: 433 (2015 Laws)
Modifies definition of “person with mental illness” as used in civil commitment statutes. Expands person with mental illness definition to include “unable to provide for basic personal needs that are necessary to avoid serious physical harm in the near future, and is not receiving such care as is necessary to avoid such harm” language.

SB 227 Brain Trauma Registry
Effective date: January 1, 2016. Chapter: 286 (2015 Laws)
Authorizes establishment, from information maintained in Oregon Trauma Registry, of registry of information related to brain injury trauma.

SB 229 Compensation for Advisory Council Members
Effective date: June 8, 2015 Chapter: 287 (2015 Laws)
Requires members of Consumer Advisory Council who advise Director of Oregon Health Authority on provision of mental health services to be compensated by Oregon Health Authority for performing duties of council.

SB 465 Local Authority for Civil Commitments
Effective date: July 27, 2015 Chapter: 785 (2015 Laws)
Replaces “county” with “community mental health program” and “community mental health program director” throughout statutes governing process to initiate commitment of persons with mental illness to align responsibility for payment of associated costs. Accounts for possibility of public or private entity under contract with Oregon Health Authority to provide mental health programs. Establishes that community mental health program is responsible for cost when state funds provided to community mental health program are exhausted. This bill came from Douglas County to address their situation.

SB 561 Youth suicide reporting – Chapter 296, 2015 Laws.
Effective date: June 8, 2015 Chapter: 296 (2015 Laws)
Directs Oregon Health Authority to develop plan for communication among local mental health authorities and systems to improve notifications and information-sharing when death suspected to be suicide involves individual 24 years of age or younger.

SB 832 Integration of Care
Effective date: July 27, 2015 Chapter: 798 (2015 Laws)
Establishes behavioral health homes to be used by coordinated care organizations (CCOs). Requires Oregon Health Authority (OHA) set standards for achieving integration of behavioral and physical health services in patient-centered primary care homes and behavioral health homes via rulemaking. Permits use of applicable billing codes by providers in patient-centered primary care homes and behavioral health homes. Creates necessary definitions, including “integrated behavioral health care” and “behavioral health home.”

SB 840 “Hold” Authority
Effective date: June 16, 2015 Chapter: 461 (2015 Laws)
Authorizes licensed independent practitioner to initiate or approve prehearing detention in hospital or nonhospital facility of person who is subject of civil commitment proceedings.

SB 951 Alcohol and Drug Policy Commission
Effective date: January 1, 2016 Chapter: 405 (2015 Laws)
Modifies charge, size, composition, and duties of Alcohol and Drug Policy Commission. Makes composition discretionary. Removes ex officio members. Permits Commission to appoint nonmembers to subcommittees. Removes requirement and functions of budget advisory committee. Requires Commission make specific recommendations as part of its long-term strategic plan.

SJM 4 42 C. F.R. Part 2
Urges Congress to enact legislation to update 42 C.F.R. part 2 to allow health care providers for same patient to share treatment information while maintaining appropriate levels of confidentiality and protections against disclosure.

Bills That Did Not Pass

HB 2135 & SB 12 Alcohol Tax Preemption
Would have removed prohibition against local government enactment of taxes on alcoholic beverages.

HB 2022 Provider Case Management Requirement
Would have required hospital or provider of residential treatment that discharges individual
with mental illness to provide case management services to assist individual in transitioning to outpatient mental health treatment.

HB 2297 Children’s Behavioral Health Task Force
Would have established Task Force to Build a More Effective System for Preventing Children’s Behavioral, Psychological and Health Problems. Rep. Greenlick’s bill. AOCMHP and AOC both wanted to see amendments. AOCMHP was going to work with requester of the bill and OHA to see necessary changes during rulemaking should the bill have passed.

HB 2421 Mental Health Drugs
Would have made mental health drugs subject to Practitioner-Managed Prescription Drug Plan.

HB 2825 Housing Funds
Would have allowed Oregon Health Authority to seek out and apply for funding for, and appropriates moneys from General Fund to pay for, residential care for individuals with mental illness, addictions or co-occurring disorders. AOC supported, but did not work.

HB 3249 Court Civil Commitment Authority
Would have authorized court to initiate civil commitment proceedings if person is unable or refuses to comply with order of assisted outpatient treatment.

HB 3502 Outpatient Placement
Would have made various changes to statutes related to treatment of individuals who are found by court to have mental illness and to be in need of treatment. Would have required placement in the least restrictive setting within seven days. Would have required reporting to hospitals on number of patients deemed to have mental illness and information about vacancies at state hospital.

HB 3477 CCO Mental Health Contract Pilots
Would have required the Oregon Health Authority to operate pilot projects in no fewer than six counties to test effectiveness of having coordinated care organizations contract with mental health providers to provide mental health services.

SB 661 Opioid Drug Coverage
Would have required health benefit plan that covers opioid analgesic drug products to cover abuse-deterrent opioid analgesic drug products, at no greater cost to insured than other preferred drugs under plan, and specifies other requirements regarding coverage.

SB 736 Juvenile Mental Health Status Report
Would have directed Department of Human Services to submit report to interim legislative committees regarding status of juvenile mental health treatment in Oregon no later than July 1, 2016.

SB 739 Department of Corrections Mental Health Care
Would have established standards of care for Department of Corrections inmates with serious mental illness.

SB 758 Task Force on Students with Intensive Behavioral Needs
Would have established Task Force on Students with Intensive Behavioral Needs.

SB 780 Department of Corrections Pilot Project for Veterans With PTSD
Would have directed Department of Corrections to establish pilot program for mental health treatment for inmates engaged in intensive alternative incarceration addiction program who are service members and who have been diagnosed with post-traumatic stress disorder.

SB 787 Behavioral Health Task Force
Would have established a Task Force on Mental Health Care and Treatment to develop detailed changes to statewide system of mental health care and treatment.

SB 831 CCO Mental Health Contracts
Would have required coordinated care organization to employ or contract with clinical mental health professionals to provide mental health care and treatment to members of organization.

SB 834 Behavioral Health Task Force
Would have established Task Force on Effective Mental Health Treatment for purpose of studying effectiveness of mental health treatment available in Oregon.

Public Health

Bills That Passed

HB 5039 Tobacco Master Settlement Agreement Funds
Effective date: August 12, 2015 Chapter: 816 (2015 Laws)
The Subcommittee approved the following allocations from the Tobacco Settlement Funds Account:
$30,909,888 is allocated to the DAS, Oregon Health and Science University Bond Fund to pay debt service and administrative fees on the Oregon Opportunity Bonds
$4,120,000 is allocated to the Department of Education for physical education related grants authorized by ORS 329.501
$4,120,000 is allocated to the Oregon Health Authority for tobacco prevention and cessation programs
$16,000,000 is allocated to the Oregon Health Authority for community mental health programs
$101,760,000 is allocated to the Oregon Health Authority for the Oregon Health Plan
Funds were initially pulled from tobacco prevention to back-fill Medicaid. AOC and CLHO advocated for funds to be restored.

HB 2546 E-cigarette Regulation
Effective date: May 26, 2015 Chapter: 158 (2015 Laws)
Defines “inhalant delivery system.” Amends laws concerning sale of tobacco products to, and use of tobacco products by, minors so those laws equally apply to inhalant delivery systems.
Provides for further regulation of inhalant delivery systems. Expands scope of offense of endangering welfare of a minor from knowingly causing sale of tobacco products to minors to knowingly allowing sale of tobacco products to minors and adds distribution and sale of inhalant delivery systems. For purposes of Oregon Indoor Clean Air Act, defines “inhalant.” Makes prohibitions of Oregon Indoor Clean Air Act apply to inhalants. Makes certain other changes to Oregon Indoor Clean Air Act. Makes amendments to Oregon Indoor Clean Air Act operative on January 1, 2016. Repeals laws related to smoking in public that are duplicative or inconsistent with provisions of Oregon Indoor Clean Air Act.

HB 2837 Seatbelt Exemptions
Effective date: January 1, 2016 Chapter: 109 (2015 Laws)
Directs Director of Transportation to issue certificate of exemption from requirement to use child safety system, safety belt or safety harness if statement is submitted by nurse practitioner or physician assistant on behalf of person requesting exemption.

HB 2879 Pharmacists Prescribing Power
Effective date: July 6, 2015 Chapter: 649 (2015 Laws)
Permits pharmacists to prescribe hormonal contraceptive patches and self-administered oral hormonal contraceptives.

HB 2934 Exploration of Basic Health Plan – Chapter 256, 2015 Laws.
Effective date: June 4, 2015 Chapter: 256 (2015 Laws)
Directs Oregon Health Authority to convene a stakeholder workgroup to provide recommendations on operation of a basic health program. Specifies workgroup membership, when the first meeting shall occur and to develop recommendations to be reported to the interim health care committees no later than December 1, 2015. Section 1331 of the Patient Protection and Affordable Care Act (ACA) gives states the option to operate a Basic Health Program (BHP) to cover certain consumers with incomes up to 200 percent of the federal poverty level (FPL) through state contracting “standard health plans,” rather than Qualified Health Plans (QHPs) offered through the Health Insurance Marketplace.

HB 2969 Food Consumption at Smoke Shops
Effective date: May 12, 2015 Chapter: 51 (2015 Laws)
Allows on-premises consumption of food and non-alcoholic beverages at certified smoke shops as long as food and beverages are not sold or offered by the shop. Fix to regulations that technically made it illegal for employees to consume meals on the premises.

HB 3100 Public Health Modernization
Effective date: July 20, 2015 Chapter: 736 (2015 Laws)
Changes governmental framework for conducting public health activities in this state. Modifies responsibilities of local public health authorities. Determines process by which state shall establish foundational capabilities and programs for public health services. Result of Task Force on Future of Public Health, stemming from 2013 legislative session. Commissioner Baney chaired the Task Force. AOC and CLHO worked this bill extensively. Includes $500,000 for initial planning.

HB 3464 Dental Services for Pregnant Medicaid Recipients
Effective date: July 21, 2015 Chapter: 750 (2015 Laws)
Requires Oregon Health Authority to adopt rules prescribing time frames within which pregnant medical assistance recipient receives dental services.

SB 225 WIC Notifications – Chapter 269, 2015 Laws.
Effective date: June 4, 2015 Chapter: 269 (2015 Laws)
Removes requirement for agency to send individual notice to each affected recipient of supplemental nutrition assistance or Women, Infants and Children Program when suspension or closure of grant of assistance is caused by change in benefit or standard by federal government and change affects all or significant portion of recipients.

SB 478 Toxics Bill
Effective date: July 27, 2015 Chapter: 786 (2015 Laws)
Requires Oregon Health Authority to establish and maintain list of designated high priority chemicals of concern for children’s health used in children’s products and to periodically review and revise list.

SB 505 Flu vaccine for seniors
Effective date: January 1, 2016 Chapter: 496 (2015 Laws)
Requires, from October 1 through March 1 of each year, each hospital in this state to make offer to each patient of hospital who is 65 years of age or older to immunize patient against influenza virus.

SB 520 Vaccines by pharmacists
Effective date: June 8, 2015 Chapter: 295 (2015 Laws)
Permits pharmacists to administer vaccines to individuals at least seven years of age.

SB 660 Dental sealants
Effective date: July 27, 2015 Chapter: 791 (2015 Laws)
Directs Oregon Health Authority to promote oral health throughout this state by ensuring availability of dental sealant programs to students attending school in this state.

SB 705 Asbestos Testing
Effective date: June 25, 2015 Chapter: 583 (2015 Laws)
Directs Environmental Quality Commission to adopt rules requiring accredited inspector to perform asbestos survey for purpose of determining whether asbestos-containing materials are present at residence or residential building before demolition.

SB 895 Immunization Reporting
Effective date: July 27, 2015 Chapter: 802 (2015 Laws)
Requires each school and children’s facility report annually to Oregon Health Authority (OHA) on number of children in area served by school or facility who are in attendance conditionally because of incomplete immunization schedule. Requires each local health department make available to each school and children’s facility in area served data on immunization rate, by disease, of children in area. Allows OHA to assist local health departments in compiling data for specified data. Requires each school and children’s facility make available immunization data by disease at main office, online where possible, and through specified paper document or electronic communication. Specifies timeline for providing immunization data. Requires Superintendent of Public Instruction include in school district and school performance report information related to number of children served in district and number of children susceptible to restrictable disease.

Bills That Did Not Pass

HB 2074/HB 2134 E-cigarette Tax
Would have expanded definition of tobacco products for purpose of taxation to include electronic cigarettes and nicotine solution.

HB 2160/HB 2162/SB 14 Preemption of Local Tobacco Tax
Would have removed prohibition against local government imposition of taxes on cigarettes and tobacco products.

HB 2166/HB 2555/HB 3053 Cigarette Tax Increases
Would have increased rate of taxation on cigarettes and tobacco products.

SB 417/SB 663 Tobacco Retail Licensure
Would have required premises where person makes retail sales of tobacco products and inhalant delivery systems to be licensed by Oregon Liquor Control Commission.

HB 2304 Hospital Contribution to Public Health Funding
Would have required hospitals to expend 10 percent of community benefit funds on public health infrastructure.

HB 2583 Youth Tobacco Study
Would have directed Oregon Health Authority to conduct study of effects of tobacco and nicotine on individuals who are 19 to 21 years of age.

HB 2626 Bonding for School-Based Health Centers
Would have authorized State Treasurer to issue lottery bonds to finance grants from Department of Education to school districts to pay for acquisition, construction or improvement of school-based health centers.

HB 3076 Ground Water Analysis
Would have required Oregon Health Authority to analyze ground water contaminant data and provide education in problem areas.

HB 3309 Public Health and Public Vontracting
Would have required contracting agency, before advertising or soliciting procurement, to request Oregon Health Authority to conduct public health impact assessment on proposed procurement.

SB 336 School-Based Health Center Funding
Would have appropriated moneys from General Fund to Oregon Health Authority to establish parity in funding formula for school-based health centers, for planning and administration to develop new school-based health centers and for technical assistance contracts with nonprofit organization with expertise in school-based health centers.

SB 337 Additional School-Based Health Centers
Would have appropriated moneys from General Fund to Oregon Health Authority to establish 11 new school-based health centers.

SB 338 New School-Based Health Centers
Would have appropriated moneys from General Fund to Oregon Health Authority for planning and administration necessary to accommodate new school-based health centers.

SB 415 Flavored tobacco products
Would have prohibited distributing, selling or allowing to be sold flavored tobacco products in this state.

SB 416 Smoke shop certification
Would have required payment of fee for smoke shop certification, renewal of smoke shop certification, transfer of smoke shop certification and relocation of smoke shop.

SB 442 Immunizations
Would have directed Oregon Health Authority to adopt by rule schedule requiring submission of document to school administrator for purposes of declining immunization if document on record does not include signature of health care practitioner verifying that parent has reviewed risks and benefits of immunization or certificate verifying that parent has completed vaccine educational module.

SB 700 Farm Direct Nutrition Program
Appropriates moneys from General Fund to Oregon Health Authority for Senior Farm Direct Nutrition Program and Women, Infants and Children Farm Direct Nutrition Program.

SB 876 Pesticide database
Requires reporting certain information regarding commercial or governmental pesticide applications to Department of Environmental Quality or to state database designated by department.

Other OHA Bills

Bills That Passed

SB 5526 OHA Budget
Effective date: August 12, 2015 Chapter: 838 (2015 Laws)
Appropriates moneys from General Fund to Oregon Health Authority for certain biennial expenses. The Subcommittee approved a budget for the Oregon Health Authority of $2,112,752,661 General Fund, $11,292,564 Lottery Funds, $5,676,922,218 Other Funds, $11,403,953,113 Federal Funds, $143,500,000 Other Funds Nonlimited, and $106,653,023 Federal Funds Nonlimited, for a total funds budget of $19,455,073,579 and 4,377 positions (4,326.96 FTE). This is 9.2 percent General Fund and 9.9 percent total funds higher than the 2013-15 Legislatively Approved Budget. Total funds increased $1.75 billion over the 2013-15 level. This is largely a result of the expansion of health coverage under Medicaid to all persons under 138 percent of the federal poverty level, effective January 2014. Services for most of these new clients are currently being funded with 100 percent Federal Funds. The state will pay five percent of those costs starting January 1, 2017, for the last six months of the biennium.
DMAP: The Subcommittee approved a total funds budget of $13,685,020,625, including $1,101,730,078 General Fund, $1,890,979,987 Other Funds, $10,692,310,560 Federal Funds and 516 positions (507.35 FTE). The total funds budget is 14.6 percent higher than the 2013-15 Legislatively Approved Budget.
PEBB: The Subcommittee approved an Other Funds budget of $1,782,969,295 and 22 positions (21.50 FTE). This is a 9.7 percent increase over the 2013-15 legislatively approved funding level.
AMH: The Subcommittee approved budget for AMH is $1,174,055,369 total funds, including $783,464,530 General Fund, $11,292,564 Lottery Funds, $107,408,460 Other Funds, $271,889,815 Federal Funds, and 2,392 positions (2,384.47 FTE). This is a total funds increase of 13.5 percent and a General Fund increase of 14.0 percent compared to AMH’s 2013-15 Legislatively Approved Budget.
New mental health investments: The Subcommittee noted the recommended budget includes $44.0 million of state resources to fund the roll-up of all on-going program investments made in community mental health programs in 2013-15, and caseload increases and inflation included in the current service level. It also includes $8.7 million General Fund for caseload growth associated with the Spring 2015 caseload forecast. The budget includes new investments of $22.2 million in community mental health treatment services ($17.6 million General Fund and $4.6 million of tobacco tax resources). This includes approximately $7.0 million for crisis service, including mobile crisis services; $6.5 million for jail diversion; $7.0 million for supported housing (rental assistance) and peer-delivered services; and $1.5 million to expand the Oregon Psychiatric Access Line for Kids (OPAL-K). Some of these services may be provided through the Oregon Health Plan and through coordinated care organizations, in which case additional federal funding may be leveraged. Another $6.0 million General Fund is included in the budget for addictions treatment and recovery support, including increased capacity for detoxification/withdrawal management, sobering facilities, and peer delivered services. A total of $275,000 of this funding should be set aside for the Douglas County crisis center/sobering facility, to provide one-time support to get this program up and running. Another $500,000 is intended to be available for the Grants Pass sobering facility, to provide one-time support for start-up costs. As described above, additional federal funding may be leveraged.
Public Health: The Subcommittee approved a budget for Public Health of $600,612,201 total funds, including $39,953,457 General Fund, $164,612,028 Other Funds, $40,000,000 Other Funds Nonlimited, $253,317,665 Federal Funds, $102,729,051 Federal Funds Nonlimited and 721 positions (703.04 FTE). Total funds are 14.5 percent higher than the 2013-15 Legislatively Approved Budget, primarily the result of the transfer of the CAREAssist program from Medical Assistance Programs to Public Health. The General Fund budget is 0.7 percent lower than the 2013-15 level, partially because of lower program costs resulting from more Oregonians having insurance, and partially because of the use of excess medical marijuana revenues in lieu of General Fund.
The CCare budget was reduced to account for lower caseload as a result of more Oregonians having health insurance. General Fund was reduced by $1,275,000 and $1,525,000 of medical marijuana revenues expected to be left over at the end of 2013-15 was removed. Their final budget includes $1.65 million General Fund and $2.82 million Other Funds related to medical marijuana revenues, as well as federal matching revenues. This will fully fund their current caseload of about 3,000 enrollments per month.

HB 2028 Clinical Pharmacy
Effective date: June 11, 2015 Chapter: 362 (2015 Laws)
Directs the State Board of Pharmacy to adopt rules that permit pharmacists to engage in the practice of clinical pharmacy. Defines “clinical pharmacy agreement” and “practice of clinical pharmacy.” Permits health insurers to provide payment or reimbursement for services provided by the pharmacist through the practice of clinical pharmacy or pursuant to the statewide drug therapy management protocol. States that for this statute, a pharmacist is classified as a primary care provider. When authorized as part of a collaborative healthcare team, a pharmacist can provide patient care to include medication management, comprehensive medication review and post-diagnostic disease management services.

HB 2294 Health Information Technology
Effective date: June 4, 2015 Chapter: 243 (2015 Laws)
Requires Oregon Health Authority to establish Oregon Health Information Technology program.

HB 2466 Health Insurance Requirements
Effective date: June 22, 2015 Chapter: 515 (2015 Laws)
Aligns Oregon statutes with certain provisions the Affordable Care Act (ACA). Specifies which requirements apply to group plans, individual plans, grandfathered plans and transitional plans. Specifies that coordination of benefit requirements apply to all group plans. Adds provisions allowing exemptions from some requirements of the ACA for transitional health benefit plans and transitional grandfathered large employer health benefit plans. Permits transitional health benefit plans to be renewable on and after January 1, 2016.

HB 2551 Patient Confidentiality Reporting
Effective date: January 1, 2016 Chapter: 133 (2015 Laws)
Requires covered entities to report annually on system safeguards for protecting confidentiality of personally identifiable and protected health information.

HB 2638 Prescription Drug Program
Effective date: January 1, 2016 Chapter: 551 (2015 Laws)
Permits medical assistance recipients and coordinated care organizations to use Oregon Prescription Drug Program.

HB 2758 Health Information Sharing
Effective date: June 18, 2015 Chapter: 470 (2015 Laws)
Prohibits carrier or third party administrator from disclosing to persons, other than enrollee who receives health services, protected health information relating to services provided to enrollee.

HB 2828 Extension of Sunset
Effective date: January 1, 2016 Chapter: 725 (2015 Laws)
Extends, for two years, sunset of provisions requiring Oregon Health Authority to study and make recommendations to Legislative Assembly on best option for financing health care in this state.

HB 2948 Disclosure of Protected Health Information
Effective date: June 18, 2015 Chapter: 473 (2015 Laws)
Specifies additional conditions under which protected health information may be disclosed by health care provider that do not subject health care provider to civil liability.

HB 3139 Mobile Medical Clinics
Effective date: January 1, 2016 Chapter: 142 (2015 Laws)
Prohibits local government from preventing mobile medical clinic from locating to private property for not more than 180 days.

HB 3396 Incentives for Medically Underserved Areas
Effective date: October 5, 2015 Chapter: 829 (2015 Laws)
Requires Oregon Health Policy Board to study and evaluate effectiveness of existing financial incentive programs offered in this state and address new types of programs to recruit and retain health care providers to practice in rural and medically underserved areas.

SB 1 Cover Oregon Dissolution
Effective date: March 6, 2015 Chapter: 3 (2015 Laws)
Abolishes Oregon Health Insurance Exchange Corporation and board of directors of corporation and transfers powers, rights, obligations, liabilities, functions and duties to Department of Consumer and Business Services.

SB 230 Demographic Reporting
Effective date: June 11, 2015 Chapter: 380 (2015 Laws)
Makes law requiring certain health care workers to submit demographic, education and other information to health care worker regulatory boards apply to all health care workers.

SB 231 PEBB/OEBB Reporting
Effective date: June 25, 2015 Chapter: 575 (2015 Laws)
Requires certain carriers, Public Employees’ Benefit Board and Oregon Educators Benefit Board to report to Department of Consumer and Business Services proportion of carrier’s and board’s total medical expenses allocated to primary care.

SB 233 Suspension of Medicaid for DOC Inmates
Effective date: August 12, 2015 Chapter: 836 (2015 Laws)
Requires Department of Human Services and Oregon Health Authority to suspend, instead of terminate, medical assistance for person who is expected to remain in correctional facility for more than 12 months.

SB 440 Health Quality Metrics
Effective date: June 11, 2015 Chapter: 389 (2015 Laws)
Requires Oregon Health Policy Board to develop strategic plan for collection and use of health care data and to establish Health Plan Quality Metrics Committee, appointed by Governor, to develop health outcome and quality measures for coordinated care organizations and plans offered by Public Employees’ Benefit Board and Oregon Educators Benefit Board and publish data.

SB 648 Central Oregon Health Council
Effective date: January 1, 2016 Chapter: 359 (2015 Laws)
Expands the duties of the Central Oregon Health Council. Increases Council membership from eleven to fifteen. Specifies members will be reappointed. Allows Council to convene a single Community Advisory Council for all coordinated care organizations that join the Council. Clarifies regional health improvement plan is to include community health assessment and community health improvement plan. Adjusts report date to Legislative Assembly. Sets sunset to 2022.

SB 672 Dental Director
Effective date: June 11, 2015 Chapter: 395 (2015 Laws)
Directs Oregon Health Authority to appoint state dental director to oversee programs operated by authority that increase access to oral health services.

SB 710 Information Provided for Social Security Appeals
Effective date: June 10, 2015 Chapter: 360 (2015 Laws)
Requires state health plans, health insurers, health care providers or health care clearinghouses to provide, upon request, one copy of individually identifiable health information free of charge to individual, or to personal representative, when individual is appealing denial of Social Security disability benefits.

SB 833 CCO Contract Change Timeline
Effective date: July 27, 2015 Chapter: 799 (2015 Laws)
Requires Oregon Health Authority to give coordinated care organization at least 60 days’ advance notice of proposed amendments to contracts.
Bills that did not pass:

Bills That Did Not Pass

HB 2877 CCO evaluation
Would have required Oregon Department of Administrative Services to contract with private entity to evaluate progress of coordinated care organizations in achieving goals of Legislative Assembly.

HB 2935 CCO Board Inclusion of Dental Care
Would have required governing body of coordinated care organization to include representative from at least one dental care organization that contracts with coordinated care organization.

HB 2950 Communication Between OHA & CCOs
Would have required Oregon Health Authority to develop member handbook template, assign single case identification number to households receiving medical assistance, share contact information regarding members of coordinated care organization with organization and monitor hold times for calls made to authority by coordinated care organizations.

HB 3077 Assistance Animal Tags
Would have created exemption from pet restriction in food establishments for assistance animal with assistance animal tag issued by local jurisdiction.

HB 3245 Tax Credits for Health Care Providers
Would have amended tax credit for rural health care providers to include health care providers in nonrural medically underserved communities.

HB 3300 Requirement for PEBB/OEBB Providers to Serve Medicaid Clients
Would have prohibited Public Employees’ Benefit Board and Oregon Educators Benefit Board from contracting with health care providers, directly or through third party administrator, for payment or reimbursement of claims for health care provided to public employees residing in Lane County unless health care provider accepts patients who receive medical assistance.

HB 3349 Charity Care Policies
Would have required hospitals and emergency departments to maintain written charity care policies meeting specified requirements.

HB 3359 Tax Credits for Urban Health Care Providers
Would have expanded primary care provider loan repayment program to health care providers of primary care to medically underserved medical assistance recipients in urban areas.

HB 3564 PEBB Avoidance of ACA Tax
Would have modified funding mechanism for public employees’ health care benefit to avoid excise tax under Patient Protection and Affordable Care Act.

SB 310 CCO Public Meeting Requirements
Would have expanded definition of “public body” subject to public meetings law to include coordinated care organizations.

SB 427 ERs in Rural Counties
Would have permitted county with population less than 30,000 to site emergency department in urgent care facility, subject to Oregon Health Authority approval.

SB 773 Children Served by CCOs
Would have required coordinated care organization to continue to provide health services to child meeting specified criteria who moves outside of geographic area served by coordinated care organization.

SB 892 CCO member renewal
Would have required Oregon Health Authority to adopt procedures to facilitate coordinated care organization assisting member of organization with renewal of eligibility for medical assistance.

Adults & People with Disabilities

Bills that passed

SB 5521 Long-Term Care Ombudsman Budget
Effective date: July 1, 2015 Chapter: 408 (2015 Laws)
Appropriates moneys from General Fund to Long Term Care Ombudsman for biennial expenses. The Human Services Subcommittee approved a budget of $6,806,634 total funds, consisting of $6,086,984 General Fund, $719,650 Other Funds, and 25 positions (24.50 FTE). The approved budget is 51.7 percent above the Legislatively Approved Budget due to the expansion of the agency’s duties during the 2013-15 biennium. Additionally, the Subcommittee approved the reclassification of the agency director position from a Principal Executive Manager E to a Principal Executive Manager F; this change is also the result of expanded scope.

HB 2618 Stabilization & Crisis Unit Retirement
Effective date: August 12, 2015 Chapter: 822 (2015 Laws)
Classifies as “police officer” under Public Employees Retirement System any employees of the Department of Human Services whose duties include maintaining safety, behavior and control and residents of stabilization and crisis units. Applies police and fire level of benefits to service performed on and after the effective date.

HB 3230 Community-Based Housing Registration
Effective date: July 20, 2015 Chapter: 740 (2015 Laws)
Requires registration of community-based structured housing, which is defined as congregate housing, excluding residential care or treatment where services and supports are provided to assist residents who have mental, emotional, behavioral or substance abuse disorders. The bill authorizes the Oregon Health Authority and the Department of Human Services to establish standards and review processes for these facilities.

HB 3323 AAA Investigations of Abuse
Effective date: June 25, 2015 Chapter: 568 (2015 Laws)
Authorizes type B area agency or other person designated by Department of Human Services in county that serves population of 650,000 or more persons to investigate suspected abuse and to bring civil action against person who engages in abuse of vulnerable person. Multnomah County bill.

SB 226 Task Force on Client and Staff Safety
Effective date: July 27, 2015 Chapter: 777 (2015 Laws)
Establishes Task Force on Client and Staff Safety to make recommendations on certain issues regarding staff safety, resident care and operation of Stabilization and Crisis Units.

SB 296 Elderly Rental Assistance
Effective date: October 5, 2015 Chapter: 348 (2015 Laws)
Repeals elderly rental assistance program, operative January 1, 2016.

SB 616 Housing Trust Investigation
Effective date: May 26, 2015 Chapter: 178 (2015 Laws)
Requires Secretary of State to conduct investigation of Community Housing Trust Account, within Developmental Disabilities Community Housing Fund.

SB 774 Home Care Worker Workforce Expansion
Effective date: July 27, 2015 Chapter: 796 (2015 Laws)
Requires Home Care Commission to adopt statewide plan to expand home care worker workforce.

Bills That Did Not Pass

HB 2656 Intellectual Disabilities Commitment Procedures
Would have described procedures that must be followed if person who has been found by court to have intellectual disabilities and to be in need of commitment for residential care, treatment and training leaves facility without approval or authorization.

HB 2756 AFSCME Training Bill
Would have created task force to study training of direct care staff who support individuals with intellectual or developmental disabilities.

HB 3442 Violent Behavior in Residential Setting
Would have required transfer to secure residential setting of person committed based on intellectual disability if person engages in violent act that harms another resident or member of staff.

HB 3460 SACU Licensing
Would have required Department of Human Services to adopt rules for licensing of stabilization and crisis units that house persons with developmental disabilities

SB 617 Creation of Task Force
Would have established Task Force on Housing for Persons with Intellectual or Developmental Disabilities.

SB 722 Oregon Project Independence Fund
Would have appropriated moneys from General Fund to Department of Human Services for deposit in Oregon Project Independence Fund.

Child Welfare

Bills that passed

HB 2889 Savings for Foster Youth
Effective date: January 1, 2016 Chapter: 471 (2015 Laws)
Requires Department of Human Services to ensure child 12 years of age or older in custody of department for at least six consecutive months is entitled to assistance to establish savings account at financial institution.

HB 2890 Extracurriculars for Foster Youth
Effective date: January 1, 2016 Chapter: 472 (2015 Laws)
Requires Department of Human Services to ensure that substitute care providers for child or ward in care or custody of department provide opportunities to participate in at least one extracurricular activity and apply reasonable and prudent parent standard in determining participation.

HB 3014 Grandparents’ Access to Foster Youth
Effective date: January 1, 2016 Chapter: 216 (2015 Laws)
Changes definition of “grandparent” in laws pertaining to notice to grandparents of juvenile dependency hearings regarding grandchildren, and that authorize grandparents to request visitation or other contact or communication with grandchildren when grandchildren are in legal custody of Department of Human Services.

HB 3503 Family Sentencing Alternative
Effective date: January 1, 2016 Chapter: 830 (2015 Laws)
Directs Department of Corrections to establish Family Sentencing Alternative Pilot Program in partnership with circuit courts, county community corrections agencies and Department of Human Services.

SB 222 Juvenile Court Proceedings
Effective date: July 27, 2015 Chapter: 776 (2015 Laws)
Extends sunset on provision authorizing Department of Human Services to appear as party in juvenile court proceeding without appearance of Attorney General.

SB 741 Relative Consideration in Placements
Effective date: July 27, 2015 Chapter: 795 (2015 Laws)
Directs Department of Human Services to adopt administrative rules for home studies and placement reports in adoption proceedings that require that equal consideration be given to relatives and current caretakers as prospective adoptive parents, and that greater consideration be given to relatives and current caretakers as compared to other persons who are not relatives or current caretakers.

Bills That Did Not Pass

HB 2358 Foster care reduction pilot
Would have directed Judicial Department, Public Defense Services Commission, Department of Human Services and Department of Justice to collaborate to establish pilot programs in four to six Oregon counties to reduce foster care use through effective representation in juvenile dependency proceedings.

HB 3426 Community homes
Would have directed Department of Human Services to establish up to three community homes to implement community home model for children and wards in legal custody of department for care, placement and supervision.

SB 311 Task Force on Supporting and Improving Foster Parenting
Would have established Task Force on Supporting and Improving Foster Parenting in Oregon to study and make recommendations on foster care program quality and workforce issues related to provision of foster care.

SB 403 Placement limitations
Would have limited consideration of “relatives” for purposes of placing child in custody of Department of Human Services to exclude certain putative fathers and paternal relatives.

SB 576 Placement committees
Would have made case planning and placement decisions for wards in custody of Department of Human Services responsibility of case planning committee convened by department and composed of relevant parties and stakeholders with interest in ward’s welfare, case planning and placement.

SB 618 ID cards for homeless youth
Directs Department of Human Services to identify and enter into agreements with nonprofit organizations to assist homeless youth in obtaining identification cards from Department of Transportation.

SB 632 Foster care pilot program
Directs Department of Human Services to establish two pilot programs in rural and urban regions of this state to improve quality and effectiveness of foster care for children and wards placed in legal custody of department for care, placement and supervision.

Other DHS Bills

Bills That Passed

SB 5026 DHS Budget
Effective date: July 27, 2015 Chapter: 760 (2015 Laws)
Appropriates moneys from General Fund to Department of Human Services for certain biennial expenses. The Subcommittee approved a budget of $2,698,473,400 General Fund, $496,095,693 Other Funds, $4,493,398,541 Federal Funds, $2,514,345,331 Federal Funds Nonlimited ($10,202,312,965 total funds) and 8,033 positions (7,893.67 FTE). This is an 8.4 percent total funds increase from the 2013-15 Legislatively Approved Budget.
The Subcommittee provided $21.7 million General Fund and 17 positions (17.00 FTE) for TANF redesign efforts and implementation of House Bill 3535 (2015) (Packages 101 and 113). This is part of an overall TANF reinvestment of $30.0 million General Fund, which also maintains Self- Sufficiency staffing 75.8 percent of the workload model. The reinvestment plan covers funding to raise the income limits for clients exiting TANF, reduce the ERDC co-pay for three months while exiting TANF, provide transition payments to families who are exiting TANF, eliminate deprivation as an eligibility requirement, expand the caretaker relative definition, expand contracts for pre and post TANF services, increase flexibility in issuing support services to prevent TANF entry, provide training required to implement changes, maintain the workload model and expand intensive client services, support evaluation strategies and data analytics, improve EBT card security by adding names on replacement cards, and access lottery prizes for overpayment recovery.
The budget contains a $45.0 million General Fund appropriation for the Employment Related Daycare (ERDC) program to expand access and improve family stability
Child welfare: The Subcommittee approved budget is $470,861,862 General Fund, $22,838,433 Other Funds, $449,789,894 Federal Funds ($943,490,189 total funds) and 2,598 positions (2,550.30 FTE). This is a 2.8 percent total funds increase from the 2013-15 Legislatively Approved Budget.
The Subcommittee approved $250,000 General Fund to cover the startup and ongoing base costs for a youth shelter project in Lane County. The funding will pay for rehabilitation of an existing building, initial staff support, and program supplies. The project will help stabilize and assess high risk youth who are unable to stay at home or in foster care, with a goal of minimizing exposure to or progression through both the child welfare and juvenile justice systems. The budget also adds $1.6 million General Fund for the Homeless and Runaway Youth program, which supports local programs providing services such as street outreach, day drop-in, and overnight shelters for unaccompanied minors.
APD: The Subcommittee approved a $2,953,451,473 total funds budget, which is 18.2 percent higher than the 2013-15 Legislatively Approved Budget. The budget contains $862,154,849 General Fund, $186,445,596 Other Funds, $1,904,851,028 Federal Funds, and 1,251 positions (1,241.28 FTE). The budget includes adjustments to account for overall caseload growth and cost per case changes based on the Spring 2015 forecast. It also includes adjustments (increases) to workload models for the APD field offices and Area Agencies on Aging (AAAs); APD workload is at 90.0 percent of the workload model with the AAAs at 95.0 percent equity. General Fund costs are partially offset by a higher FMAP rate.
I/DD: The Subcommittee approved budget is $688,819,951 General Fund, $36,385,915 Other Funds, $1,389,098,772 Federal Funds ($2,114,304,638 total funds) and 898 positions (851.15 FTE). This is a 17.5 percent total funds increase from the 2013-15 Legislatively Approved Budget.

HB 2219 Application Process Work Group
Effective date: June 2, 2015 Chapter: 195 (2015 Laws)
Requires Department of Human Services to convene work group to study consolidation of
application processes for human and social services and to report recommendation to
Legislative Assembly.

HB 2233 Residential Care Advisory Committee
Effective date: May 20, 2015 Chapter: 100 (2015 Laws)
Directs Department of Human Services to create advisory committee within Office of Adult Abuse Prevention and Investigations to advise regarding residential care for children, youth or youth offenders.

HB 3391 Stalking Protection for DHS Employees
Effective date: July 6, 2015 Chapter: 653 (2015 Laws)
Authorizes Attorney General to file action on behalf of Department of Human Services employee for stalking citation or stalking protective order upon request that has been approved in writing by Director of Human Services or designee and sets forth sufficient facts and evidence, and that in opinion of Attorney General is likely to succeed.

HB 3535 TANF
Effective date: July 27, 2015 Chapter: 765 (2015 Laws)
Modifies temporary assistance for needy families program. Allows DHS to reinvest in program enhancements such as transitional services for families exiting the program and a more proactive approach to families not fully participating in program requirements. Further clarifies duties and membership of Family Services Review Commission.

Bills That Did Not Pass

SB 503 Consideration of Sexual Assault
Would have required Department of Human Services to identify applicants for and recipients of assistance under temporary assistance for needy families program who are victims of sexual assault or at risk for being victims of sexual assault.

SB 742 Certification of Assistance Animals
Would have required Department of Human Services to adopt procedures for issuance of assistance animal certificates.

Housing

Bills that passed

HB 2195 Multnomah County Foreclosure Funds
Effective date: January 1, 2016 Chapter: 242 (2015 Laws)
Requires Multnomah County, after reimbursements are made to county general fund for costs related to management and disposition of real property, to use proceeds acquired specifically by foreclosure of delinquent tax liens or by exchange for land originally acquired by foreclosure of delinquent tax liens, for: housing placement and support of youth and families with children; rental assistance and low income housing. Clarifies that counties’ costs to determine boundaries are reimbursable. Makes explicit that Multnomah County may convey foreclosed properties to any governmental body if not needed for public use (ORS 271.330), and properties donated to government units or nonprofits for specified purposes (ORS 311.796).

HB 2547 Task Force on Housing With Services
Effective date: July 20, 2015 Chapter: 719 (2015 Laws)
Creates Task Force on Housing with Services.

HB 2690 Property Tax Exemption for Low-income Housing
Effective date: October 05, 2015 Chapter: 520 (2015 Laws)
Exempts from property taxation land acquired and held by nonprofit corporation for building residences to be sold to individuals whose income is not greater than 80 percent of area median income.

SB 244 Housing Funding
Effective date: January 1, 2016 Chapter: 608 (2015 Laws)
Authorizes Housing and Community Services Department to use moneys in Housing Development and Guarantee Account for housing for persons with low or very low income.

SB 969 Task Force on Reentry, Employment and Housing
Effective date: August 12, 2015 Chapter: 848 (2015 Laws)
Establishes Task Force on Reentry, Employment and Housing.

Bills That Did Not Pass

HB 3420 Housing First
Would have directed Housing and Community Services Department, with advice of State Housing Council and in collaboration with Community Action Partnership of Oregon, Department of Human Services and Oregon Health Authority, to establish Housing First Pilot Program for purpose of providing housing assistance, case management and support services to individuals and families experiencing homelessness in cities of Eugene and Albany by utilizing system of care.

Early Learning

Bills that passed
HB 2015 Employment Related Day Care
Effective date: July 20, 2015 Chapter: 698 (2015 Laws)
Directs Department of Human Services, in consultation with Early Learning Division and Office of Child Care, to adopt rules for subsidy programs for employment-related child care that, at minimum, provide for one year of eligibility regardless of change in employment, permit students enrolled in coursework and self-employed persons to receive subsidized employment-related child care, and provide for reduced copayments and incentive payments when child care provider meets specified minimum standards under tiered quality rating and improvement system. Directs Early Learning Division, in consultation with Department of Human Services, to conduct study regarding methods to incentivize parents to select exempt family child care providers and to report on development and implementation of system of quality supports for exempt family child care providers to interim legislative committees on child welfare and childcare. Permits Office of Child Care to perform inspections of premises of family child care providers when required under federal law. Declares emergency, effective on passage.

SB 213 Hub Metrics
Effective date: July 27, 2015 Chapter: 773 (2015 Laws)
Requires Early Learning Council to develop metrics for funding Early Learning Hubs.

SB 586 Youth Development Council Authority
Effective date: July 27, 2015 Chapter: 788 (2015 Laws)
Increases age of youth for whom Youth Development Council may oversee unified system of services from 20 years to 24 years.

SB 659 Services for Children in Oregon Part-time
Effective date: January 1, 2016 Chapter: 393 (2015 Laws)
Requires Department of Human Services and its contractors to assist noncustodial parent, who resides in Oregon, in specified ways to obtain home and community-based services for nonresident child during child’s visitation with parent for six weeks or more.

Bills That Did Not Pass

HB 2777 Drug Tests for Individuals Present at Child Care Facilities
Would have required the Department of Education and Department of Human Services, in consultation with Early Learning Division and Office of Child Care, to implement and administer program that would require all persons with regular presence at child care facility to take drug test at intervals prescribed by rule, at expense of owner or operator of child care facility.

Legislative activity in natural resources was relatively quiet this session. There is no question that two important subjects dominated. But one was head and shoulders above the other.

The state’s push to increase the pace and scale of federal forest harvesting and to improve federal land management agencies’ efficiencies and practices remained high profile. The program’s successes in eastern Oregon with functioning, productive collaborative groups as the centerpiece proved that the $2.885 million investment by the Legislative Assembly in the 2013-15 biennium paid handsome returns. As a consequence, the 78th Legislative Assembly upped the ante. The legislature laid $5 million on the table to carry the work forward in the east and grow it into western Oregon.

Western Oregon has different forest types and a different culture than the dry-side. It will be fascinating, and no doubt a little frustrating, to build the string of successes out statewide.

But as gratifying and noteworthy the Federal Forest Restoration Initiative has been, the bigger winner in appropriations and expectations is water supply development. Oregon suffers in the midst of year number four of a damaging drought, and finds itself without enough tools and previous foresight to fully deal with it. Our neighboring State of Washington has invested billions in water infrastructure over decades, and our southern neighbor has just done the same. AOC has been an active participant and supporter of all reasonable measures to develop the state’s water supply.

Oregon finally became the next-to-last state to adopt a water resources strategy in 2012 with the Integrated Water Resources Strategy (IWRS). In 2013, the legislature laid its next foundation stone with adoption of Senate Bill 839, the Water Supply Development Program. The program puts the IWRS into action through place-based/local integrated water planning that gives the opportunity to grow water supply while meeting local economic, social, and environmental needs. County governments need to step up as conveners of these local planning groups, and thanks to the 78th Legislative Assembly now have access to resources from the state to succeed.

What this 2015 legislature did was to provide the authority and money to polish the tools, get to work, and create the projects that must address the state’s changing climate patterns. See the description below of the investments made by the legislature that are overdue but very welcomed.

Bills That Passed

HB 2534 Regulation of Drones in Pursuit of Wildlife
Effective date: January 1, 2016 Chapter: 61 (2015 Laws)
Requires the State Fish and Wildlife Commission to adopt rules prohibiting use of drones for pursuit of wildlife in angling, hunting, trapping, harassing, tracking, locating, or scouting wildlife; or interfering in act of a person lawfully engaged in angling, hunting or trapping. Authorizes the Commission to include exemptions from the prohibition for the Department of Fish and Wildlife and its agents or contractors, or if the purpose is to benefit wildlife management or protect property.

HB 3089 Study of Mineral Resource Potential in Eastern and Southern Oregon
Counties
Effective date: August 12, 2015 Chapter: 826 (2015 Laws)
Requires the State Department of Geology and Mineral Industries (DOGMI) to conduct a study of the mineral resource potential of eastern and southern Oregon counties and present the results of the study to interim committees of the Legislative Assembly related to the environment and natural resources on or before September 15, 2016. Provides that the study include: (a) a list of all relevant mineral inventories and studies previously completed by the department; (b) a description of the estimated costs to the department for making the results of mineral inventories available online; (c) a review of the mineral resource potential of eastern and southern Oregon counties based on published data and research previously completed and available to the department, including an assessment of which metallic and industrial mineral commodities are most likely to be economically developable; and (d) recommendations, including estimated related costs, for the department to engage in continued mineral resource potential assessment activities in eastern and southern Oregon through the use of the department’s existing personnel. Appropriates $25,000 to DOGAMI for the study.

HB 3563 Fees for Mining Operations Regulated by the State Department of Geology & Mineral Resources
Effective date: January 1, 2016 Chapter: 834 (2015 Laws)
Increases the statutory limits on fees related to mining operations regulated by the Oregon Department of Geology and Mineral Industries (DOGAMI). Requires all revenues from these fees be deposited into the Mined Land Regulation and Reclamation Program Subaccount.
Directs DOGAMI to report to its governing board annually on the financial status of the subaccount. The statutory limits on fees related to mining operations have not been increased in 10 years. During that time, the expenditures of the Mined Land Reclamation and Regulation program (MLRR) within DOGAMI have exceeded revenues. The fees proposed in this Act are a first step toward making the MLRR program a completely self-supporting program as intended by the Legislature.

SB 202 Task Force on Independent Scientific Review for Natural Resources
Effective date: July 27, 2015 Chapter: 771 (2015 Laws)
Establishes the Task Force on Independent Scientific Review for Natural Resources consisting of up to 15 members appointed by Governor from specified sectors and universities. Requires the Task Force to assess the need for independent scientific review in Oregon and make recommendations, including which entities are best suited to conduct or coordinate scientific review. Requires the Task Force to make certain considerations to ensure that the entity chosen to provide a particular scientific review is independent. Requires the Task Force to make recommendations regarding structure and process to be used by an entity making a scientific review. Abolishes Independent Multidisciplinary Science Team on January 1, 2017.

Predator Control

HB 2182 Statewide Predator Management Plan
Effective date: January 1, 2016 Chapter: 363 (2015 Laws)
Directs the Department of Fish & Wildlife will study development of a statewide predator management plan. ODFW must report to the Legislature on or before September 15, 2016.

HB 3188 Predator Damage Control District
Effective date: October 5, 2015 Chapter: 650 (2015 Laws)
For the purpose of this Act, modifies the definition of “predatory animals” to include bears, bobcats, and red foxes in addition to black bears, cougars, furbearing mammals, gray wolves, coyotes, rabbits, rodents, and birds. Allows formation of a predator damage control district by a petition signed by more than 50 percent of the eligible petitioners (i.e., own 10 or more acres of farm, forest, or mixed farm/forest land), who cumulatively own more than 50 percent by area of the eligible land within the proposed predator damage control district. Specifies the form of the petition. Requires the petition to be filed with the county clerk of the county in which the district will be located. Prescribes the procedure the county clerk and county assessor are to follow to verify that the petition meets requirements. Requires the county governing body to hold a public hearing on the proposed district and to appoint a five-member advisory committee of specified qualifications and staggered terms. States the duties of the advisory board, including recommendations of annexation or withdrawal of the district. Establishes presumptive charges of $1 per acre for tax lots of 10 or more acres and a $25 flat rate for tax lots with less than 10 acres. Requires the advisory board to consider annually whether the presumptive charges are sufficient and to recommend changes to the charges that may be approved by the county. Authorizes the county to amend the recommended charges. Allows a landowner to elect whether to incur the charge and requires the advisory board to submit a list of those landowners electing to incur charges. Requires the county to certify the list of landowners paying the charges so that they may receive services from the county to prevent, reduce, or mitigate damage from predatory animals in the district.

HB 5002/5507/5544 Wolf Compensation and Grant Assistance Program
Effective date: July 1, 2015 Chapter: 683/837/607 (2015 Laws)
The total appropriated to the Wolf Compensation and Grant Assistance Program for the 2015-17 biennium is $233,000 of general funds. This program provides grants to support the reduction of wolf‐livestock interactions and compensate for wolf‐related livestock losses, and includes county programs.

HB 5002/SB 5511/5507 Predator Control Funding
Effective date: July 1, 2015 Chapter: 683/690/837 (2015 Laws)
The budgets for the 2015-17 biennium for the Departments of Agriculture and Fish & Wildlife, used as pass-through for payments to federal Wildlife Services for predator control, total $1,001,083 including some $100,000 for specific services contracted by ODFW from Wildlife Services. This compares to the total of $931,778 appropriated in 2013-15.

State Forests/County Forest Trust Lands

HB 2453 Large Commercial Events on State Forestlands
Effective date: January 1, 2016 Chapter: 713 (2015 Laws)
Requires that a “large commercial event” may not be held on state forestland unless the organizer holds a permit to do so issued by the Department of Forestry (ODF). Defines a large commercial event as a gathering that has an organizer, is held for purpose of shared or common activity or experience, has more than 50 individuals participating or more than 15 motor vehicles present, and continues or is scheduled to continue for more than four consecutive hours. Creates requirements for a large commercial event permit application and authorizes ODF to charge a fee for reviewing and processing the application. Requires ODF to adopt rules establishing health and safety standards for these events, including the health of the forests themselves. Authorizes ODF to consult with the Oregon Health Authority and Department of Environmental Quality before adopting the rules. Authorizes ODF to suspend or revoke a permit under certain circumstances. Provides that the event organizer commits a Class A misdemeanor if the organizer violates a permit requirement, or recklessly allows violation of permit terms and conditions. Sheriff Offices in Tillamook, Clatsop, Columbia, and Washington Counties have had to intervene to control unregulated and unpublicized raves (19 in 2014).

HB 5019 Department of Forestry Biennial Budget Related to Gilchrist State Forest
Effective date: August 12, 2015 Chapter: 809 (2015 Laws)
Carried over from FY 2013-15, the 2015-17 budget re-establishes $3 million for purchasing the final tracts of land for the Gilchrist State Forest.

SB 248 State Timber Sale Contracts
Effective date: July 1, 2015 Chapter: 447 (2015 Laws)
Clarifies that the State Forester may enter into and administer contracts for activities necessary or convenient for sales of state timber. The Department of Forestry currently contracts with a single successful bidder for purchase of all timber in a sale and the associated harvest work. Auctioning to multiple buyers could maximize sales revenue, which is shared with trust land counties. Timber sales are generally dominated by one species or grade. This may limit the number of bidders and produce lower sale prices. Dividing sales could maximize the price for each timber type. Selling by sorts could also increase competition. Buyers interested in a particular log type would be able to bid on the appropriate sort only.

Federal Forests

HB 5019 Federal Forest Restoration Initiative Renewed
Effective date: August 12, 2015 Chapter: 809 (2015 Laws)
Provides funding to reestablish and expand federal forest restoration work. In the 2013-15 biennium, the legislature provided $2.885 million of lottery funds for the program to provide grants for collaborative groups, contracts for scientific research, and to directly support activities intended to increase the pace and scale of forest product harvest activities on federal lands. Activities funded in the prior biennium were limited to forest lands on the east side of the Cascades, primarily in the Blue, Wallowa, Malheur, and Ochoco Mountains. This expands the work of the program statewide. Provides a one-time $5,000,000 lottery funds allocation. Funding is split between collaborative group support ($1.3 million), state/federal partnerships ($3.375 million), and program management and administration ($325,000). Grants to collaborative groups will be managed by the Oregon Watershed Enhancement Board.
Four new, limited duration positions are established in the program: a Natural Resources Specialist 3 and a Procurement Specialist 3 position within the Salem headquarters and two Natural Resources Specialists 3 placed in ODF district offices. Additionally, eleven existing seasonal positions will be temporarily extended by eight months.

Clackamas County Forest Pilot Program

HB 2984 Pilot Program for Forest Products Grown in Clackamas County
Effective date: July 20, 2015 Chapter: 733 (2015 Laws)
Requires Clackamas County to establish Clackamas Forestry Product Cooperative Project as a
pilot program for forestry products grown on non-forest land. Allows the project to operate in areas outside city limits or within a city that has elected to be involved with the project. Allows a city to determine how the project will operate within its city limits. Creates a regulatory system intended to grant immunity from federal and state antitrust laws to project parties. Requires the County to appoint an advisory committee to make recommendations regarding structure and operation of the project and address the concerns of local governments and business interests within the County. Requires the marking of trees covered by agreements and exempts certain trees from state or local restrictions on tree removal. Allocates $750,000 from the Administrative Services Economic Development Fund as a grant to the County for pilot project program development. Establishes requirements for the county program model developed by the County and requires the County to report to the Legislative Assembly on progress. Requires the State Forester to establish procedures and guidelines for the program, provide oversight, and set prices for purchase and sale under the project.

Wildfire

HB 5019 Rangeland Fire Protection
Effective date: August 12, 2015 Chapter: 809 (2015 Laws)
Appropriation of $1.66 million of general funds to develop and support rangeland protection associations (RPAs), and to contract with other organizations and agencies to address wildfire issues on unprotected or under-protected lands. This includes new position capacity to maintain and support the RPAs.

Water

HB 2400 Implementation of the Water Supply Development Program
Effective date: May 26, 2015 Chapter: 156 (2015 Laws)
Deems certain reports submitted by task forces created by SB 839 (2013) as satisfying the reporting requirements and retroactively extends the repeal dates and ratifies and affirms the task force actions since the original repeal date. Extends the deadline for adoption of the Water Resources Commission rule establishing a methodology for determining seasonally varying flows in streams and makes seasonally varying flow requirements applicable for certain projects constructed under an existing permit or limited license. Implementation of SB 839 (2013) ran over its deadlines. This Act ratifies the late actions.

SB 206 Upper Klamath Basin Alterations in Determined Water Rights
Effective date: June 16, 2015 Chapter: 445 (2015 Laws)
Defines “determined claim” as a water right in the Upper Klamath Basin and established by order of determination certified by the Water Resources Department (WRD) Director. Establishes that during the period a judicial review is pending a determined claim is an existing water right that may be leased and is a primary water right subject to temporary transfer. Stipulates lease and temporary transfer authority does not apply to a water right that has been determined and established in an order of determination that has been stayed, or to a transfer that changes point of diversion upstream. Prohibits a person from purchasing, leasing, or accepting a determined claim as gift for conversion to an in-stream water right. Requires WRD to deny, modify, or revoke a lease or temporary transfer of determined claim if it has or is likely to result in injury to another determined claim or water right or enlargement of the determined claim. Sunsets Act January 2, 2026.

SB 266/HB 5005/HB 5030/HB 5042/SB 5507
Water Supply Development Under the Integrated Water Resources Strategy; Place-Based Integrated Water Resources Planning; Appropriations for Staff Positions to Implement the Program and to Finance Feasibility Studies and Development

SB 266 grants to the Water Resources Department (WRD) the authority to provide communities with the initial financial capacity to cover facilitation, logistical, and technical costs of place-based (local) integrated water resources planning. This includes costs of determining water needs, acquiring necessary information, identifying and understanding future scenarios, evaluating alternatives, and ultimately developing a strategy for how the community intends to address its water needs. There is an appropriation for one full-time WRD staff position for initial implementation of place-based planning. Grants WRD lottery bonding authority, with $750,000 of the proceeds appropriated to implement SB 266. Provides WRD general fund appropriations for three permanent full-time positions for a water supply engineer and two planning coordinators to help further water resources development projects. Staff will do outreach and active consulting on technical, permitting, and engineering questions with individuals and local governments, as well as coordinating financing opportunities. Provides an appropriation to WRD for a full-time administrator of feasibility grants under SB 1069 (2008) for 50 percent of the cost of a study of the feasibility or viability of a water supply project. Increases to $2 million the funds available for the grants, with a cap of $500,000 for a single grant. Grants lottery bonding authority of $6.25 million to the Water Supply Development Account under SB 839 (2013) and $11 million to the Water Supply Fund. The proceeds are for grants and loans to evaluate, plan, and develop statewide water storage systems and delivery infrastructure, conservation and reuse projects, or provide access to new water supplies, in compliance with the Oregon Integrated Water Resources Strategy. The Umatilla Basin is specifically mentioned.
Grants general obligation bonding authority of $30,000,000 to revitalize the loan program funded by the constitutional Water Development Loan Fund. This will provide additional financing options for water projects. Note, however, that the bonds are anticipated to be issued at the end of the 2015-17 biennium. There will be opportunities for WRD to borrow against anticipated revenues, so that progress can be made during this biennium.

Bills That Did Not Pass

HB 2050/2181; SB 126/453 Hunting Cougars with Dogs
Provides that a county is exempt from applicability of statute banning use of dogs to hunt or pursue cougars, if voters approve a county measure proposed by initiative petition or referred to the people by the governing body of county. The bills required a two-thirds majority vote to pass, because of the criminal sentence reduction.

HB 2588 Tax on Harvest of Timber in Oregon
Imposes a tax of $10 per thousand board feet on harvest of all merchantable forest products on forestlands of this state. Transfers proceeds to the newly created Forestland and County Reserve Fund in the State Treasury. Moneys from the fund are continuously appropriated to the Department of Revenue for payments to the Department of Forestry for costs incurred in prevention and suppression of fires on and around forestlands, to the Watershed Conservation Grant Fund, and the remainder to counties in proportion to the amount of revenue received from harvest taxes from each county.

HB 3169 Aquifer Study; Loan Program Related to Domestic Wells
Directs the Water Resources Department (WRD) to conduct a study of all aquifers in Oregon. The study shall include, but need not be limited to, a determination of the size, extent and capacity and physical qualities of the aquifers. Requires WRD to report the results of the study to an interim committee of the Legislative Assembly dealing with natural resources no later than November 30, 2020. Requires WRD to establish a program to provide low-interest loans out of the Domestic Well Improvement Fund, created by the bill, for wells primarily used for domestic purposes and qualifying as exempt under ORS 537.545. The loans may be used for: (a) drilling, repair, rebuilding, or deepening of a well; or (b) lowering of a well pump to compensate for declining water levels. Provides that WRD make a loan only if: (a) the well serves, or will serve, one or more existing dwellings located on a single real property; (b) at least one dwelling on the property served by the well is occupied by the dwelling owner or a member of the owner’s family; (c) the property served by the well is located outside the service area of any municipal water system; and (d) the owner of the property served by the well is a person of lower income as defined in ORS 456.055.

HB 3210 Required Timber Harvest on State Forestlands
Requires the State Forester to manage forest districts so that the annual timber harvest from state forestlands in each forest district, measured in million board feet, at a minimum equals 85 percent of the annual amount of harvestable timber expected to be grown on state forestlands in that district. Defines “forest district” to mean state forestland that as of January 1, 2015, was administered by the State Forestry Department as the Astoria, Forest Grove, Klamath-Lake, North Cascade, Southwest Oregon, Tillamook, West Oregon, or Western Lane district.
If harvesting from state forestlands in any forest district cannot be conducted at the required level, the State Forester shall manage the state forestlands to produce a total timber harvest from state forestlands, in an amount measured in million board feet, at least 85 percent of the total annual amount of harvestable timber expected to be grown on state forestlands.

HB 3240; HJM 7/ 13; SJM 5/7 Urging Transfer of Federal Lands to the State
Either urges transfer of federally owned lands to the State of Oregon (memorials) or appoints a task force to study such a transfer (HB 3240).

HB 3514 Tax Credit in Compensation for Wolf Depredation
Repeals the January 1, 2019, sunset of the tax credit for compensation for loss of livestock due to wolf depredation. Allows the credit to include the cost of non-lethal actions undertaken by the taxpayer to minimize conflict between wolves and livestock or working dogs and compensation for above-normal loss to livestock attributed to wolf depredation. Eliminates the provision that disallows the credit if the State Fish and Wildlife Commission has removed wolves from the list of endangered species. Increases the maximum amount of total credits that may be certified by the Oregon Department of Fish and Wildlife (ODFW) for any tax year from $37,500 to $150,000. Requires counties that participate in the Wolf Predation Loss Compensation Program to provide ODFW a list of approved taxpayers and corresponding amounts eligible for credits.

SB 194 County Education Funding Protection Ordinance
Grants authority to certain counties to adopt an “education funding protection ordinance” with the intended effect of protecting or enhancing the percentage of private land within the county. Authorizes a county with a population of 100,000 or less; or has at least 50% of its land in any combination of these categories: a) exempt from property tax by ownership of the federal, state, local, or tribal government; b) Tribal reservation land; c) under property tax exemption by ownership by a non-profit organization holding it for park or recreation purposes; d) under exemption as riparian habitat; e) under special assessment as open space; f) under special assessment as wildlife habitat; g) under special assessment as conservation easement.
The only counties that would not qualify under the bill are Linn, Marion, Multnomah, and Washington. Provides that the county ordinance is in effect for 10 years, but is renewable repeatedly. The ordinance may include these provisions:
If the owner discontinues the exemption or special assessment, the payback of taxes would be two years without interest and penalties.
If the owner in one of these programs transfers the land to an ownership that makes the land exempt from property taxes, the payback of taxes, interest, and penalties is under current law.
Land entering into one of these five programs will have the property tax benefits delayed for 10 years. This provision will not apply, however, to land that continues under the same program after transfer to new ownership.
Land may not enter into one of these five programs, unless land of equivalent classification and value in the county is at the same time removed from the same program; or unless it is within a city.
Land may not be acquired within the county by any State, county, or local government, unless land of equivalent classification and value within the county is at the same time transferred by the State, county, or local government to taxable ownership or use; or unless the land is acquired by the government for a road, transportation-related easement, right of way, or utility corridor; or unless the land is within a city; or unless the land is proposed for acquisition as part of a condition of development approval under a comprehensive plan zone change; or unless the local government is a school district; or unless the county has acquired the land by foreclosure and is continuously offering it for sale.
Grants to any taxpayer the right to file a writ of mandamus in the circuit court of the county in which the land is located to require enforcement of the ordinance.

SB 804 Requires Certain Level of Harvest on State Forestlands
Requires the State Forester to manage state forestlands to provide for timber sales each year in amounts that equal or exceed 125 percent of the 2014 timber sales amount. Provides for moneys from timber sales exceeding the 2014 timber sales amount to be used for funding high school and community college career and technical education, the STEM Investment Grant Program, distribution to public universities, and kindergarten to grade 12 education.

SB 805 Redirects Revenues Produced from the Tillamook State Forest.
Requires the State Forester to act under the direction of the State Board of Forestry to manage, control, and protect the Tillamook State Forest lands in a manner so as to secure the greatest permanent value of those lands for the people of this state, particularly for capital construction costs of public schools and other dedicated purposes of the lands. Except for revenues required by law to be distributed to counties, the State Forester shall transfer all revenues derived from the Tillamook State Forest during each biennium that are more than the amount of revenues derived from the Tillamook State Forest during the 2013-2015 biennium to the School Capital Matching Fund.

SB 806 Elliott State Forest; Minimum Revenue to Generate
Instructs the State Forester to manage, control, and protect lands in the Elliott State Forest in a manner designed to generate, after payment of administrative expenses, sustainable revenue from forest operations of $40 million or more per year. Allows the Department of State Lands to lease land in the Elliott State Forest to private entities if the lands fail in two or more consecutive years to generate required amount of revenue and the department determines that leases would generate more revenue for school use.

SB 807 Sale of State Forest Products After a Wildfire
Requires the State Forester, if state-owned forestland is damaged by wildfire, to conduct an appraisal of the forestland and offer the forest products on the forestland for sale as soon as practicable after the wildfire damaging the state-owned forestland is extinguished.

HB 2002 Profiling Prohibited
Effective date: July 13, 2015 Chapter: 681 (2015 Laws)
No later than January 1, 2016, all law enforcement agencies shall adopt written policies and
procedures prohibiting profiling. Law enforcement agencies shall provide to the Law Enforcement Contacts Policy and Data Review Committee a copy of each complaint the agency receives alleging profiling.

HB 2210 Authority of Broadcasters During Emergency
Effective date: January 1, 2016 Chapter: 151 (2015 Laws)
Authorizes individuals acting under authority of broadcasters to enter geographic area
subject to declaration of emergency to maintain essential broadcast equipment. Requires Office of Emergency Management to authorize private entity to issue credentials to individuals acting under authority of broadcasters.

HB 2270 Creation of Office of State Resilience Officer
Effective date: January 27, 2015 Chapter: 762 (2015 Laws)
The office of State Resilience Officer is created in the office of the Governor. The office of
State Resilience Officer shall direct, implement, and coordinate seismic safety and resilience goal setting and state agency planning and preparation to improve safety and resilience.

HB 2310 Credit for Time Served for Presentence Incarceration
Effective date: June 22, 2015 Chapter: 508 (2015 Laws)
Allows Department of Corrections inmates to receive credit for time served for presentence
incarceration after arrest for certain crimes related to sentencing crime. Authorizes sentencing judge, with agreement of prosecuting attorney, to allow presentence incarceration credit for time served in jail when inmate is also in custody for other sentence. Applies to sentencing proceedings occurring on or after August 1, 2015.

HB 2356 Invasion of Personal Privacy a Crime
Effective date: January 1, 2016 Chapter: 645 (2015 Laws)
Creates crime of invasion of personal privacy in the first degree. Punishes by maximum of
five years’ imprisonment, $125,000 fine, or both.

HB 2357 Possession of Firearms
Effective date: July 20, 2015 Chapter: 709 (2015 Laws)
Modifies certain law enforcement defenses applicable to certain firearms-related crimes.
Authorizes certain off-duty law enforcement officers to possess firearms in public buildings. Provides honorably retired law enforcement officers with protections provided to Oregon concealed handgun license holders provided that offers do not have disqualifying
convictions.

HB 2420 Consultation with Community Mental Health Prior to Referral to State Hospital
Effective date: January 1, 2016 Chapter: 130 (2015 Laws)
Provides that community mental health program director or director’s designee shall consult
with criminal defendant found unfit to proceed, prior to decision on commitment, to determine
availability of treatment in community.

HB 2426 Enhancements to 9-1-1 Emergency Communications System
Effective date: June 4, 2015 Chapter: 247 (2015 Laws)
Establishes statutory authority for technological enhancements to 9-1-1 emergency
communications system.

HB 2571 Policies for Recordings by Camera’s Worn by Police Officer
Effective date: June 25, 2015 Chapter: 550 (2015 Laws)
Requires law enforcement agency to establish policies and procedures for use and retention of recordings from cameras worn upon police officer’s person to record officer’s interactions with
members of public.

HB 2601 Notification of Oregon State Police in Custodial Interference or Kidnapping Case
Effective date: May 21, 2015 Chapter: 134 (2015 Laws)
Requires member of law enforcement agency who has probable cause to believe custodial interference or kidnapping with respect to child has occurred to notify Oregon State Police missing children clearinghouse within 24 hours.

HB 2704 Exemption to Prohibition on Recording
Effective date: January 1, 2016 Chapter: 553 (2015 Laws)
Creates exemption to prohibition on recording conversations for person who openly and in
plain view records law enforcement officer while officer is performing official duties and person is in place where person may lawfully be.

HB 2776 Emergency Protective Order for Peace Officer
Effective date: January 1, 2016 Chapter: 252 (2015 Laws)
Authorizes peace officer to apply for and circuit court to enter ex parte emergency protective
order when court finds probable cause that person was victim of domestic disturbance or abuse and protective order is necessary to prevent abuse. Provides that emergency protective order expires seven days after entry. Provides immunity from civil actions for peace officer who applies to or does not apply to court for emergency protective order if officer acts in good faith.

HB 2888 Crimes to Animals as Nuisance
Effective date: January 1, 2016 Chapter: 136 (2015 Laws)
Adds any property used for a crime against an animal to the existing list of activities that may be addressed as a nuisance through civil abatement. The crimes include animal fighting (with specific provisions for dog fighting and cockfighting); breeding operations with over 50 animals; and other incidents of animal abuse including animal cruelty, torture, sexual assault, abandonment, and neglect.
An action to restrain or enjoin a nuisance may be brought by, among others, a county attorney or a person living or doing business in the county where the property is located.

HB 2919 Emergency Access to Call Location Information of Cellular Device
Effective date: January 1, 2016 Chapter: 255 (2015 Laws)
Eliminates reporting requirement related to disclosure, at request of law enforcement
agency, of call location information of cellular device used to call 9-1-1 or believed to be in possession of individual who is believed to be in emergency situation.

HB 2980 District Attorney Diversion
Effective date: January 1, 2016 Chapter: 258 (2015 Laws)
Authorizes defendant to request district attorney to approve extension of stay of criminal
proceedings for district attorney diversion. Requires court to extend stay upon approval of request by district attorney.

HB 3036 Appearance of District Attorney or Attorney General at Release Date Hearing Before State Board of Parole and Post-Prison Supervision
Effective date: January 1, 2016 Chapter: 161 (2015 Laws)
Authorizes State Board of Parole and Post-Prison Supervision to request appearance by
representative of office of prosecuting attorney at hearing setting or resetting release date of person. Requires district attorney to notify Attorney General of request if Attorney General prosecuted person. Requires prosecuting district attorney, or Attorney General in certain circumstances, to appear upon request.

HB 3206 DNA Testing for Certain Convicted Persons
Effective date: January 1, 2016 Chapter: 564 (2015 Laws)
Permits any person convicted of aggravated murder or felony with relevant DNA evidence to file motion for DNA testing.

HB 3399 Standards Required of Local Courts
Effective date: January 1, 2016 Chapter: 570 (2015 Laws)
Provides that party to proceeding in open court in justice or municipal court may arrange for
recording or reporting of proceeding. Requires justices of peace and municipal judges to possess certain credentials.

HB 3503 Offenders with Minor Children
Effective date: January 1, 2016 Chapter: 830 (2015 Laws)
Directs Department of Corrections to establish Family Sentencing Alternative Pilot Program in
partnership with circuit courts, county community corrections agencies and Department of Human Services. Authorized court to sentence defendant to probation with mandatory participation in program for first 12 months of probation.

HB 5006 Capital Construction Funds for Projects
Effective date: August 12, 2015 Chapter: 808 (2015 Laws)
Capital construction funds for projects, including:
Oregon Military Department: New Headquarters Facilities ($25,163,000), Youth Challenge
Armory ($4,977,000); Medford Armory ($1,943,648); Baker City Readiness Center ($750,000)
Oregon Youth Authority: Rogue Valley Facility Improvements ($9,880,000), MacLaren Facility
Improvements ($30,934,000), Department of Corrections: Deferred Maintenance ($14,220,432)

HB 5015 Department of Justice Appropriations
Effective date: July 1, 2015 Chapter: 332 (2015 Laws)
Appropriates moneys from General Fund to Department of Justice, including: $11,644,429 for
district attorneys and their deputies to prosecute state criminal offenses committed by juveniles and adults.

SB 3 Family Abuse Prevention Act Proceedings
Effective date: January 1, 2015 Chapter: 527 (2015 Laws)
Creates crime of endangering person protected by Family Abuse Prevention Act restraining order. Punishes by maximum of five years’ imprisonment, $125,000 fine, or both.

SB 26 County Law Enforcement Patrol Funding
Effective date: June 16, 2015 Chapter: 441 (2015 Laws)
Repeals sunset of law requiring moneys that are in county’s road fund and expended for
patrolling to be used solely for direct and indirect costs associated with patrolling.

SB 173 Possessing Firearm in Public Building
Effective date: January 1, 2016 Chapter: 605 (2015 Laws)
Authorizes person licensed to carry concealed handgun to present valid license instead of
providing firearm to peace officer for examination when possessing firearm in public building.

SB 239 Definition of “Reserve Officer”
Effective date: May 20, 2015 Chapter: 117 (2015 Laws)
Includes reserve officers in definition of “public safety personnel” and “public safety officer”
subject to rules governing standards and training determinations by employing agencies.

SB 343 Tribal Police Officers
Effective date: May 26, 2015 Chapter: 174 (2015 Laws)
Repeals sunset provision related to authorized tribal police officers.

SB 368 Judicial Foreclosures
Effective date: June 8, 2015 Chapter: 291 (2015 Laws)
Requires sheriff to deliver proceeds of execution sale to court administrator.

SB 385 Possession of Firearm in Local Court Facility
Effective date: January 1, 2016 Chapter: 351 (2015 Laws)
Defines “local court facility” as area in which justice court, municipal court, probate court or juvenile court conducts business, during hours of court operation. Provides that possession of firearm in local court facility with firearm prohibition is crime punishable by maximum five years’ imprisonment, $125,000 fine, or both. Expands definition of “weapon” to include certain kinds of pocketknives. Authorizes judges of justice courts and municipal courts to establish procedures permitting or prohibiting possession of firearms and other weapons in court facilities. Requires that justice court and municipal court procedures not conflict with circuit court procedures in shared court facility.

SB 391 Security Release Deposits
Effective date: January 1, 2016 Chapter: 493 (2015 Laws)
Prohibits seizure of property deposited to obtain security release in criminal case by law enforcement agency without search warrant or court order. Prohibits transfer or distribution of property after seizure without court order. Requires clerk of court to continue to accept security release deposits when magistrate has designated other person to take security release deposits.

SB 641 Obtaining of Forensic Imaging Information
Effective date: January 1, 2016 Chapter: 613 (2015 Laws)
Prohibits law enforcement agency from obtaining by forensic imaging information from portable electronic device without warrant except when authorized by consent. Exempts correctional facilities, state hospitals and supervising agencies and officers when information obtained in otherwise lawful manner. Provides that information obtained in violation of prohibition is not admissible in adjudicatory proceeding. Provides that raw data from forensic imaging of portable electronic device may be subject of motion for return of seized property.

SB 839 Immunity From Prosecution
Effective date: January 1, 2016 Chapter: 274 (2015 Laws)
Exempts specified persons from arrest and prosecution for certain offenses and for certain violations of terms of release or supervision if evidence of offense was obtained because emergency medical services or law enforcement agency was contacted to obtain necessary medical assistance due to drug-related overdose.

SB 919 False Reporting in a Courthouse or Public Building
Effective date: January 1, 2016 Chapter: 361 (2015 Laws)
Provides that person who falsely reports hazardous substance, fire, explosion, catastrophe, or other emergency in court facility or public building commits crime of disorderly conduct in the first degree. Punishes by maximum of one year’s imprisonment, $6,250 fine, or both. Punishes subsequent violations by maximum of five years’ imprisonment, $125,000 fine, or both.

SB 941 Transfer of Firearm
Effective date: Chapter:
Requires private person to complete transfer of firearm by appearing with transferee before gun dealer to request criminal background check or shipping or delivering firearm to gun dealer in certain circumstances. Specifics exceptions for family members, law enforcement, inherited firearms, and certain temporary transfers. Punishes violation by maximum of one year’s imprisonment, $6,250 fine, or both, or maximum of 10 years’ imprisonment, $250,000 fine, or both, for second or subsequent offense. Authorizes Department of State Police to notify appropriate law enforcement agency when during criminal background check performed prior to transfer of firearm, department determines that recipient is prohibited from possessing firearm.

SB 969 Task Force on Reentry, Employment and Housing
Effective date: August 12, 2015 Chapter: 848 (2015 Laws)
Establishes Task Force on Reentry, Employment, and Housing. Requires report to Legislative Assembly no later than December 15, 2015. The Governor shall appoint 11 members, including one member to represent parole and probation personnel and one member to represent counties.

SB 5504 Appropriations for Department of Corrections
Effective date: July 6, 2015 Chapter: 655 (2015 Laws)
Appropriates moneys from General Fund to Department of Corrections, including:
$274,777,672 for community corrections.

SB 5506 Appropriations for Oregon Criminal Justice Commission
Effective date: July 1, 2015 Chapter: 606 (2015 Laws)
Appropriates moneys from General Fund to Oregon Criminal Justice Commission, including: $33.7 million for Justice Reinvestment Initiative grants to local criminal justice system and treatment providers.

SB 5507 Miscellaneous Public Safety Appropriations
Effective date: August 12, 2015 Chapter: 837 (2015 Laws)
Appropriates money from General Fund, including: $5,000,000 to Criminal Justice Commission for Justice Reinvestment Initiative grants; $993,640 to Department of State Police for capital equipment for fish and wildlife enforcement; $39,800,000 to Judicial Department for the Oregon Courthouse Capital Construction and Improvement Fund;

SB 5514 Appropriations for the Judicial Department
Effective date: July 15, 2016 Chapter: 691 (2015 Laws)
Appropriates moneys from General Fund to Judicial Department, including:
$18,801.425 for debt service program to fund development and implementation of the Oregon eCourt program, capital construction projects and grants to counties for county courthouse capital construction and improvements through the Oregon Courthouse Capital Construction and Improvement Fund
$11,071,244 for the state court facilities security account including a $1,100,000 one-time distribution to counties to support court facilities security
$3,500,000 to finance a number of local court facilities infrastructure projects in Malheur, Wallowa, Grant, Coos, Douglas, Clatsop and Josephine counties.

SB 5516 Appropriations for the Department of Justice
Effective date: July 15, 2015 Chapter: 692 (2015 Laws)
Appropriates moneys from General Fund to Department of Justice, including:
$28,192,356 for the Criminal Justice Division, which provides prosecution and investigation assistance to District Attorneys statewide and provides investigation, intelligence and prosecution services relating to public corruption, environmental crimes, terrorism, and drug and organized crime. Adjustments to the program’s current service level budget includes $806,958 for the Oregon Titan Fusion Center, $857,238 for the Driving Under the Influence of Intoxicants (DUII) Resource Prosecutor Program and the Internet Crimes Against Children Taskforce.
$59,334,920 for the Crime Victims Services division, which compensates victims’ of violent crime for losses they sustain as a result of the criminal actions of another and administers grants from eight major funds that provide some funding to nearly every non-profit and system based victims program in the state.

SB 5522 Appropriations for the State Marine Board
Effective date: Chapter:
Appropriates moneys from General Fund to the State Marine Board, including:
$10,143,756 for the law enforcement program, which provides on-water safety patrol and boating law enforcement for 600 boatable lakes, 75 major rivers and over 363 miles of coastline and provides public education services including a variety of school education programs.

SB 5531 Appropriations for the Department of State Police
Effective date: July 15, 2015 Chapter: 696 (2015 Laws)
Appropriates moneys from General Fund to Department of State Police, including:
$150,841,245 for patrol services division, which provides uniformed police presence and law enforcement services throughout the state with primary responsibility for traffic safety and response to emergency calls on Oregon’s highways. Additional policy option packages included 33 additional patrol cars, four positions to implement Measure 91, and 20 new permanent trooper positions.
$40,492,304 for fish and wildlife division, which assures compliance with laws that protect and enhance the long term health and equitable utilization of fish and wildlife resources.
$41,121,992 for the criminal investigation division, which augments and supports local law enforcement through investigation of major and drug related crimes, the pursuit and apprehension of criminal offenders, and the gathering of evidence.
$40,783,735 for the forensic services division, which provides scientific, technical, and investigative support to all criminal justice agencies across the state through forensic analysis. Labs are located in Bend, Central Point, Ontario, Pendleton, Clackamas, and Springfield.
$4,835,812 for the State Medical Examiner, which provides technical assistance and supervision to 36 county offices, directs investigations, provides direct professional services, and certifies the cause and manner of all investigated deaths.
$25,122,779 for the Criminal Justice Information Services division, which provides an extensive array of specialized data, investigative information, and identification services in support of Oregon law enforcement.

SB 5534 Appropriations for the Department of Public Safety Standards and Training
Effective date: July 6, 2015 Chapter: 658 (2015 Laws)
Appropriates moneys from General Fund to Department of Public Safety Standards and Training for certain biennial expenses, including:
$19,169,926 for criminal justice standards training and certification for police, sheriffs deputies, local correctional officers, parole and probation officers, 9-1-1 telecommunicators, and emergency medical dispatchers. Policy option packages included two positions for mental health crisis intervention training.
$3,761,552 for the Oregon High-Intensity Drug Trafficking Area (HIDTA) program which seeks to reduce drug availability in high-impact drug trafficking areas.

SB 5542 Appropriations for Oregon Youth Authority
Effective date: July 1, 2015 Chapter: 617 (2015 Laws)
Appropriates moneys from General Fund to Oregon Youth Authority for certain biennial expenses, including:
$162,672,556 for OYA’s seven youth correctional facilities and three transition programs across the state.
$125,304,770 for community programs to fund parole and probation services, community placement services, individualized community services, and grants to counties for youth gang services, juvenile crime prevention, and services to divert high risk youth offenders from OYA placement.

In January, the united goal of the 2015 legislature was to pass a Transportation Package. Both parties agreed this was a top priority. Republicans warned that they would not negotiate a package if a Low Carbon Fuel Standard bill (SB 324) was passed. Early in the session, Democrats passed the LCFS bill along a mostly party line vote (several House Democrats defected) and negotiations for a package came to a halt. Despite the efforts of the Governor and her “Gang of Eight” over the last two months of session, no agreement on a transportation package with a LCFS compromise could be reached, continuing to leave counties, cities, and ODOT unable to meet the increasing maintenance, preservation, and capital needs of the integrated transportation system.

HB 2274 ConnectOregon Match Requirement
Effective date: July 20, 2015 Chapter: 707 (2015 Laws)
Increased match requirement for ConnectOregon projects from 20 percent to 30 percent; adds
requirement that project must have “useful life expectancy that offers maximum benefit to the State.”

HB 3011 Pump Your Own Gas
Effective date: January 1, 2016 Chapter: 525 (2015 Laws)
Allows dispensary of fuel located in counties of less than 40,000 people to permit self-dispensing when no owner, operator or employee is present.

HB 3402 Speed Limit Increase
Effective date: January 1, 2016 Chapter: 746 (2015 Laws)
Increases speed limit on certain portions of state highways.

HB 5004 2015-17 Department of Aviation Budget
Effective date: July 1, 2015 Chapter: 329 (2015 Laws)
Authorizes $9.6 million (total funds) to support the department’s activities during the 2015-17 biennium. The department manages and maintains 28 state-owned airports, completes compliance inspections of the state’s 97 public use airports on a tri-annual basis, advocates for and plans for the safe operation, growth, and improvement of aviation in Oregon, supports search and rescue, and registers all pilots and non-military aircraft based in Oregon. HB 5004 anticipated revenue raised by fee increases in Senate Bill 269. SB 269 increased pilot, aircraft and public airport registration fees and is expected to generate $219,285 for the 2015-17 biennium. In addition, HB 2075 increased the jet fuel and aviation gasoline tax by the 2¢ per gallon. HB 2075 increased the department’s budget for 2015-17 by $5.3 million for expenditure of the additional revenue.

HB 5005 2015-17 Bond Limits
Effective date: July 15, 2015 Chapter: 685 (2015 Laws)
Limits the maximum amounts of bonds that may be issued by state agencies, including the ODOT, during the 2015-17 biennium. HB 5005 contains $35,475,000 in Article XI, section 7 General Obligation Bonds to fund six highway safety projects:
US 26 – 116th to 136th (Outer Powell Blvd) $17,000,000
OR 126 – Eugene to Florence $7,000,000
US 26 Warm Springs $1,500,000
I-5 Cable Barriers – Southern Oregon $2,500,000
OR 34 – I-5 to Corvallis $3,000,000
I-84 – Pendleton to La Grande $4,000,000

HB 5030 ConnectOregon VI
Effective date: August 12, 2015 Chapter: 812 (2015 Laws)
Authorizes the Department of Administrative Services to issue lottery bonds on behalf of ODOT to yield $45 million in net proceeds for the ConnectOregon VI program.

HB 5040 2015-17 Oregon Department of Transportation Budget
Effective date: July 27, 2015 Chapter: 761 (2015 Laws)
Provides $3.5 billion in total funds and 4,510 positions (4,400.89 FTE). Budget includes:
$30.4 million for the first phase of the DMV IT upgrade, Service Transformation Program (STP) (total estimated project $90 million)
$10.4 million in General Fund for Passenger Rail, $30.4
$35 million in General Obligation bonds for Safety Projects
$45 million in lottery bonds for ConnectOregon.

SB 26 Repeals Sunset on Use of Road Funds
Effective date: June 16, 2015 Chapter: 441 (2015 Laws)
Repeals sunset, thereby allowing continued use of federal forest road funds for sheriff’s patrol in seven counties (Douglas, Lane, Coos, Curry, Josephine, Klamath, and Linn).

SB 131 Willamette Falls Locks Task Force
Effective date: July 27, 2015 Chapter: 770 (2015 Laws)
Establishes a 17-member Task Force for the Willamette Falls Navigation Canal and Locks to study issues relating to repair, reopening and operations of the locks. Oregon Solutions will staff the Task Force, which is charged with:
Compiling information relating to the Willamette Falls navigation canal and locks.
Considering means of facilitating the repair and reopening of the Willamette Falls navigation canal and locks.
Developing a plan for the sustainable operation of the canal and locks.
Considering governance models for the lease or transfer of the canal and locks to a local, regional, state or other entity.

SB 192 Work Group on Use of ATVs on Highways
Effective date: January 1, 2016 Chapter: 341 (2015 Laws)
Directs the State Parks and Recreation Department to convene a workgroup that includes all-terrain vehicle (ATV) users, ATV dealers, staff from ODOT, and other. The work group will study options to allow ATVs to operate on state highways. A report to the appropriate interim committee is due no later than September 15, 2016. Initially, SB 192 would have allowed ATVs to be operated on state highways in sparsely populated counties. However, significant safety concerns were raised because ATVs are not built for on-road driving and lack safety features that are part of on-road vehicles.

SB 271 State Safety Rail Oversight
Effective date: June 18, 2015 Chapter: 489 (2015 Laws)
Updates the statute that authorizes Oregon’s Rail Fixed Guideway State Safety Oversight Program, ORS 824.045. Brings Oregon into compliance with the standards adopted in the federal transportation legislation, Moving Ahead for Progress in the 21st Century Act (MAP-21). Failure to comply with MAP-21’s requirements could result in withholding of federal transit funds from ODOT and from Oregon’s public transportation systems. A provision in the bill for a rate increase to provide additional funding for the Safety Oversight Program was removed during session.

SB 533 Cyclist May Proceed at Red Light
Effective date: January 1, 2016 Chapter: 147 (2015 Laws)
Permits motorcyclist/bicyclist to proceed at red light under certain conditions.

SB 943 Vehicles Registered to Work Address
Effective date: January 1, 2016 Chapter: 404 (2015 Laws)
Currently impacts Multnomah County only. Prohibits county from imposing vehicle registration fee on vehicles registered to employment address when owner’s residence is not in same county.

SB 948 Standard Passenger Plates Optional for Counties
Effective date: June 22, 2015 Chapter: 540 (2015 Laws)
Allows DMV to issue registration plates from a regular series upon request by the county for use on a county-owned vehicles rather than plates from the government “E plate” series. If a county chooses to purchase a regular series plate, the county must pay the registration fee associated with the plate. SB 948 provides a measure of safety and security to county commissioners and employees. Under current law, county-owned vehicles, including county-owned vehicles provided to county commissioners and other officials for their personal use, must be registered using government “E plates.

Bills That Did Not Pass

HB 2281 Oregon Sustainable Transportation Act

The Act would have increased revenue for transportation by approximately $200 million a year to make strategic transportation investments across Oregon. It also included a carbon reduction strategy. However, given the bill’s complexity and the limited days left for the legislature to complete its work, the bill died a quick death.

HB 2275 DMV Fee Increases
DMV’s Service Transformation Program (STP) is part of ODOT’s 2015-17 budget. While the total project is estimated at $90 million over 10 years, $30.4 million was authorized in ODOT’s budget for the 15-17 biennium. The cost of the project would come off the top of the State Highway Fund, negatively impacting distributions to cities and counties. The Association of Oregon Counties and League of Oregon Cities, while supportive of the goals of the STP, were concerned about the negative impact and worked with ODOT to draft DMV fee increases to serve as an alternative in the event no funding package moved forward. While the fee increase amendment was drafted, it was scheduled but not considered by a legislative committee.

SB 668 Utility Fees
This bill would have allowed counties to charge private utilities (water, gas, electric, communications) for the use of county road right-of-way. Cities already have this authority. The bill was amended to allow counties to charge only to recover costs associated with permitting, inspecting, and repairing the ROW used by utilities. The bill received a hearing but did not move. The chair of the Senate Business and Transportation Committee has agreed to help work on this issue next session.

Jurisdictional Transfers

Three bills were introduced to address various aspects of the jurisdictional transfer issue.

SB 117 would have created a 12-member Task Force on Jurisdictional Transfers to evaluate and recommend potential transfer of state highways to cities or counties or transfer of county roads or city streets to the state highway program.
SB 326 would have modified the state modernization program to make projects that facilitated jurisdiction transfers eligible for funding.
HB 3302 would have allocated about $27 million per year for 10 years to fund jurisdiction transfer projects. The bill was the 2015 transportation funding proposal made by the Oregon Transportation Forum.

The three bills were in committee on adjournment. However, ODOT, local governments and legislators will continue to look toward a solution to the orphan highway issue.

2015 was a strong Legislative Session for Oregon’s veterans with 29 policy bills passed that are aimed at better serving Oregon’s veterans and their families. AOC formally adopted a support position on ten different bills and nine of these measures were adopted by the Legislature: HB 2230, HB 2763, HJM 14, SB 87, SB 89, SB 92, SB 250, SB 251, SB 252 and SB 253. The scope of veterans legislation passed in the Session included the following:
Increased support for women and LGBT veterans;
A 27 percent increase in state General Fund support to County Veteran Service Officers (CVSO’s);
Removal of a statutory prohibition that limited local government from reimbursing veterans for a pay reduction as a result of their call into military service;
Creation of a basic structure for empowering counties to utilize volunteers who want to help veterans and their families;
An overarching veterans highway designation bill that renamed a series a major roads across Oregon in honor of WW I, Korean, Gulf and Afghanistan/Iraq veterans; and
Creation of a task force aimed to better serve incarcerated veterans.
Two significant veterans bills that did not pass during the session include SB 87, which would have clarified and strengthened Oregon’s public employers veterans preference statute, and HJR 22, which would have referred a constitutional amendment to the voters to set aside one percent of Lottery proceeds for veterans services.

During the final week of session, the Legislature voted to fund County Veteran Service Officers at a level of $4.7 million for the 2015-17 Biennium. The issue that remained in doubt until late June was whether this budget would be at $4.2 million, which was the initial level that was part of SB 5539 (the ODVA agency budget bill). AOC worked with the co-chairs, and other members of the Ways and Means Committee to expand funding for CVSO’s. As a result, an additional $500,000 was contained in the “Christmas Tree” bill (HB 5507). The $4.7 million of CVSO funding is an increase of 27 percent from the $3.7 million level in the 2013-15 budget. The caveat for this additional $500,000 of funding, like other expenditures in the Christmas Tree bill, is that it is specifically noted to be a “one-time” expenditure. The next piece of advocacy for AOC will be to work with the Legislature to make this half-million part of the base level of ongoing funding for CVSO’s.

On July 6, 2015 the Legislature passed SB 946, which creates the position of Lesbian, Gay, Bisexual and Transgender Coordinator at the Oregon Department of Veterans’ Affairs. This agency position, the first of its kind in the country, will be tasked with helping LGBT veterans to review and appeal of their discharge status, and to help to access benefits which they have not had access to because of their sexual orientation. Under the bill, ODVA is required to report to the Legislature the number of veterans served, the type of assistance provided, recommendations for expansion and improvement of services to be provided by the coordinator, and recommendations for how to better serve LGBT veterans. The bill passed in the Senate on a 24-5-1 vote on July 3rd and in the House on 38-21-1 vote on July 6th.

HB 2036 Names Roads in Oregon in Honor of Veterans
Effective Date: May 21, 2015 Chapter 123 (2015 Laws)
Designates portions of U.S. Highway 395 as “World War I Veterans Memorial Highway”; Interstate 5 as “Korean War Veterans Memorial Highway” and “Purple Heart Trail”; and U.S. Highway 101 as “Persian Gulf, Afghanistan, and Iraq Veterans Memorial Highway.”

HB 2230 Requires Oregon Health Authority to Share Information with the Oregon Department of Veterans Affairs (ODVA)
Effective Date: July 1, 2015 Chapter 621 (2015 Laws)
Requires Oregon Health Authority (OHA) to notify the Oregon Department of Veterans’ Affairs (ODVA) upon receipt of self-identified information from a veteran or an active service member. This bill is similar to HB 2421 which passed in 2013 and requires the Oregon Department of Motor Vehicles (DMV) to share basic veterans contact information with the ODVA. To date, ODVA has contacted roughly 25,000 Oregon veterans or active service members from voluntary DMV referral.

HB 2389 Changes Process for Establishment of a Fallen Hero Memorial Sign
Effective Date: May 4, 2015 Chapter 47 (2015 Laws)
This bill revises the method for recognition of individuals with a Fallen Hero roadside memorial sign in order to align the program with the Fallen Officer roadside memorial sign program.
In 2011, the Legislative Assembly created the Roadside Memorial Fund for the purpose of commemorating law enforcement officers killed in the line of duty. The goal of this bill is to make it easier for family members to request a Fallen Hero sign for a deceased veteran.

HB 2539 Requires ODVA to Enter into a Contract to Conduct Statewide Study on Women Vets Access to Healthcare
Effective Date: August 12, 2015 Chapter: 821 (2015 Laws)
Requires the Oregon Department of Veterans Affairs (ODVA) to contract for a statewide study regarding the delivery, use and barriers to healthcare/medical services for women veterans; also requires ODVA to submit a report of study findings and recommendations to an interim legislative committee no later than November 1, 2016.

HB 2645 Requires Public Universities to Establish A Priority Enrollment System for Veterans and Their Dependents
Effective Date: January 1, 2016 Chapter: 371 (2015 Laws)
Gives eligible veterans and servicemembers, and their dependents, priority enrollment at public universities, and at community colleges that have established a priority enrollment system.

HB 2658 Allows Department of Transportation to Issue Gold Star License Plate to a Sibling of Family Member of a Service Member Killed in Action
Effective Date: October 1, 2015 Chapter: 183 (2015 Laws)
The Gold Star Family registration plate honors families of veterans killed in the line of duty. There is an additional $5 annual fee for this registration plate, which benefits the Vietnam Veterans of America, Oregon State Council. To be eligible under prior law, the vehicle owner must have been a parent, spouse or dependent of a person who was killed in action during an armed conflict. The Gold Star Family plate is available only for passenger vehicles in Oregon. HB 2658 expands the eligibility to qualify to purchase Gold Star Family vehicle registration plates to include siblings of persons killed in action.

HB 2670 Allows In-State Tuition for Individuals Who Resided in Oregon But Relocated Due to Position in Military, Government or Humanitarian Aid Organization
Effective Date: June 2, 2015 Chapter: 210 (2015 Laws)
Extends in-state tuition to individuals who leave Oregon in order to complete state, federal, or non governmental organization service, return to Oregon within a five-year period following service, and have not established residency in another state. In addition to the U.S. military, state, federal or non-governmental organization service this bill covers, but is not limited to, organizations such as Doctors Without Borders, diplomatic duty or other State Department assignments and the Peace Corps.

HB 2763 Removes Prohibition in State Law that Limited Local Government Authority to Reimbursing Pay Reduction for Employee Call Into Military Service
Effective Date: April 22, 2015 Chapter: 42 (2015 Laws)
Under ORS 408.240, public employers must treat employees who are also members of the National Guard or Reserve, as “absent on leave” during periods of deployment, when they are not able to perform their duties. The existing law prohibited a public employer from paying the employee-service member while they are deployed, even though the service member’s position and employer-sponsored benefits must be maintained. House Bill 2763 lifts the prohibition against compensation, and permits, but doesn’t require public employers to offer compensation while service members are deployed.

HB 2838 Establishes Task Force on Incarcerated Veterans to Research, Study and Make Recommendations to Legislature
Effective Date: August 12, 2015 Chapter: 824 (2015 Laws)
Creates a Task Force on Incarcerated Veterans to be staffed by ODVA. The task force will consist of eight members: two Senators appointed by the President of the Senate; two Representatives appointed by the Speaker of the House; a representative from the ODVA who has expertise in services and benefits for incarcerated veterans (appointed by the Director of ODVA); a representative from the Oregon Department of Corrections, experienced working with incarcerated veterans (appointed by the Director of the Department of Corrections); and two individuals who have been incarcerated veterans or have experience with incarcerated veterans (appointed by the Governor). The task force is required to report to an appropriate interim legislative committee by September 15, 2016.

HB 2892 Year-Round Display of POW/MIA Flag on Public Buildings
Effective Date: January 1, 2016 Chapter: 185 (2015 Laws)
On August 10, 1990, the 101st Congress passed U.S. Public Law 101-355, which recognized the National League of Families’ POW/MIA flag and designated it “as the symbol of our Nation’s concern and commitment to resolving as fully as possible the fates of Americans still prisoner, missing and unaccounted for in Southeast Asia, thus ending the uncertainty for their families and the Nation”. Current Oregon law (ORS187.220) specifies that the state, counties and cities will display the POW/MIA flag six days a year. House Bill 2892 expands the current statute and requires that each state building and county courthouse with existing means to properly display three flags, to procure and display the National League of Families’ POW/MIA flag year-round (along with the State of Oregon and United States flags). The measure also requires all newly constructed public buildings to include means to properly display all three flags.

HB 3303 Allows Office for Business Inclusion and Diversity to Certify Service-Disabled Veteran Owned Business as Eligible for Certain Preferences in Public Contracting
Effective Date: June 25, 2015 Chapter: 565 (2015 Laws)
The Oregon Business Development Department, also known as Business Oregon, certifies businesses that meet the criteria for the Disadvantaged Business Enterprise (DBE), Minority/Women Business Enterprise (MWBE) and Emerging Small Business (ESB) certifications.. Businesses meeting these criteria are eligible for certain contracting opportunities with federal, state, county and city governments and special jurisdictions. House Bill 3303 expands the certification program to include service-disabled veteran-owned businesses in the categories of disadvantaged business enterprises eligible for certain preferences in public contracting.

HB 3479 Creates Position of Womens Veterans Coordinator in ODVA
Effective Date: July 21, 2015 Chapter: 752 (2015 Laws)
The Governor’s Task Force on Veterans’ Services Final Report (December 2008) found a significant number of female combat veterans’ health care needs were not being met by the federal Veterans Affairs health care system. The report found that military sexual trauma (MST) and specific (non-coed) inpatient or residential mental health/post-traumatic stress disorder (PTSD) treatment facilities were limited in the Pacific Northwest. During the 2009 Legislative Session, House Bill 2718 was passed forming the Task Force on Women Veterans Health Care to study the healthcare needs of female veterans, including but not limited to mental health, inpatient treatment, appropriate care within state and federal systems, and identified gaps in services key to successfully treating female veterans. House Bill 3479 creates the position of Women Veterans Coordinator in order to conduct outreach, provide assistance, and develop and distribute informational materials to Oregon women veterans, their spouses, and dependents.

HB 5005 Establishes Issuance of General Obligation Bonds for ODVA, Including Veterans Home in Lebanon
Effective Date: July 15, 2015 Chapter: 685 (2015 Laws)
This bill sets the maximum amount of bonds and third party financing agreements state agencies may issue; contains a $100,000,000 authorization to the Department of Veterans’ Affairs for issuance of Article XI-A general obligation bonds related to construction of the new Veterans Home in Lebanon.

HB 5006 Creates Bonding Authority for For Variety of State Capital Construction Projects, Including Veterans Home in The Dalles
Effective Date: August 12, 2015 Chapter: 808 (2015 Laws)
Authorizes ODVA to issue Department of Veterans’ Affairs to issue $1,510,547 in bonds for renovation of the Dalles Veterans Home.

SB 89 Utilization of Volunteers
Effective date: January 1, 2016 Chapter: 574 (2015 Laws)
SB 89 creates a basic structure for empowering counties to utilize volunteers who want to help
veterans and their families. The bill was largely inspired by the work of Wasco County which
had a volunteer force of 22 individuals who provided approximately 300 hours of service each
month during 2014. The vision for SB 89 was that volunteers should work in synergy with
Oregon’s existing CVSO model. The bill calls on the Oregon Department of Veterans Affairs
(ODVA) to help assure that there are proper safeguards in place for these volunteers. Counties
are required to conduct criminal records checks because the volunteers may have access to
protected documents and information about a veteran. Volunteers will also be required to sign
an agreement of confidentiality to safeguard the privacy of individual veterans. The bill also
allows counties to reimburse volunteers for certain expenses. Finally, to help ensure these
privacy practices and to promote quality of services and outcomes, the bill provides that ODVA
may provide training and other opportunities for sharing “best practices” for the use of
volunteers.

SB 227 Authorizes Creation Brain Injury Trauma Registry
Effective Date: January 1, 2016 Chapter: 286 (2015 Laws)
Allows Director of the Emergency Medical Services and Trauma Registry Program within the Oregon Health Authority (OHA) to adopt rules establishing a registry of brain injury trauma information. Establishes that individually identifiable information may be released to OHA to administer public health programs including the registry relating to brain trauma and epidemiological causes of and risk factors associated with trauma injuries. Establishes that individually identifiable information may be released to Department of Human Services to plan and provide services to individuals adversely affected by trauma injuries.

SB 250 Repeals Outdated ODVA Statues
Effective Date: June 22, 2015 Chapter: 531 (2015 Laws)
Repeals several outdated statutes, and updates others, relating to ODVA. The measure makes permissive the provision of financial aid to beneficiaries of the Department, a program that has not been funded in approximately five years. Other changes include repeal of ORS 406.500 (the 2011 World War II Memorial Task Force); ORS 407.582 and 407.585 (the 2008 Veterans’ Small Business Repair Loan Fund); ORS 408.095 (the 2009 Campus Veterans’ Service Officers Program); ORS 408.480 (which provides for contracting with the federal government in the event of the establishment of a national soldiers’ home at or near Roseburg); and ORS 408.750 (prohibiting counties from sending war veterans to poor houses in counties with a war veterans association without first obtaining consent of the organization’s commander).

SB 251 Gives ODVA Status to Act as Fiduciary and Representative Payee on Behalf of Veterans in Working with Federal VA and Social Security Administration
Effective Date: June 11, 2015 Chapter: 381 (2015 Laws)
Clarifies authority of Oregon Department of Veterans’ Affairs (ODVA) to act without bond as fiduciary for veterans’ benefits and receive payment of social security and supplemental security income benefits on behalf of qualifying veterans and their dependents.

SB 252 Exempts ODVA from Statute Requiring Resolution Conference/Mediation in Connection with Residential Trust Deed Foreclosure Negotiations
Effective Date: January 1, 2016 Chapter: 382 (2015 Laws)
In Oregon, lenders are obligated to participate in mediation with borrowers to avoid foreclosure. ODVA is deemed a lender, because it administers a home loan program for eligible veterans. However, the ODVA home loan program already requires the agency to make every effort to keep veterans in their homes. Senate Bill 252 exempts ODVA from foreclosure mediation requirements applicable to traditional lenders, in reliance on the agency’s existing mandate to avoid foreclosure.

SB 253 Exempts Personally Identifiable Contact Information of Veterans from Disclosure as Public Record Request Made to ODVA
Effective Date: January 1, 2016 Chapter: 383 (2015 Laws)
ODVA conducts outreach to veterans to encourage them to take advantage of their earned benefits. Via public records requests, predatory lending companies and other marketers have preyed upon vulnerable veterans and their survivors. SB 253 keeps individual veterans’ personally-identifiable information confidential if it was obtained by ODVA in the performance of the agency’s role and functions.

SB 494 Permits Active Duty Military Member Stationed Outside of Oregon to Renew or Replace Drivers License Without a Photograph
Effective Date: January 1, 2016 Chapter: 455 (2015 Laws)
Current law requires a photograph on a driver’s license, with only two permissive exceptions. Senate Bill 494 allows a third, narrow, permissive exception to the photograph requirement: only for renewal or replacement licenses, for service members stationed outside Oregon, who do not have an acceptable photograph on file with the Oregon Department of Transportation.

SB 779 Requires ODFW to Study Potential Expansion of Resident Licenses of Active Members of Military Stationed in Oregon
Effective Date: January 1, 2016 Chapter: 459 (2015 Laws)
ODFW must submit report to the Legislature no later than September 15, 2015.

SB 781 Exempts Certain Associations from Requirements Under State Insurance Code
Effective Date: June 16, 2015 Chapter: 460 (2015 Laws)
Clarifies the status of the Navy Mutual Aid Association (NMAA) in Oregon. It is a longstanding, nonprofit, congressionally-chartered veterans’ service organization that provides life insurance and survivor benefits to certain service members. SB 781 resolves ambiguity about the application of Oregon’s insurance code to associations that meet the criteria for exemption and provides some oversight authority to examine records and require a certain surplus

SB 946 LGBT Coordinator
Effective date: August 12, 2015 Chapter: 847 (2015 Laws)
SB 946 creates the position of Lesbian, Gay, Bisexual and Transgender Coordinator at the Oregon Department of Veterans’ Affairs, to assist veterans in seeking review and appeal of their discharge status, and to help them in filing appeals, claims and accessing other benefits that may be available. Under the bill, ODVA is also required to report to the Legislature the number of veterans served, the type of assistance provided, recommendations for expansion and improvement of services to be provided by the coordinator, and recommendations for how to better serve LGBT veterans.

SB 5539 Appropriates Moneys from General Fund to ODVA for Biennial Expenses
Effective Date: July 1, 2015 Chapter: 616 (2015 Laws)
This is the main budget bill for ODVA and contains $4.2 million for CVSO’s. An additional $500,000 of “one-time” funding for CVSO’s was contained in the Christmas Tree Bill, HB 5507.

Memorials and Resolutions

HCR 1 Recognizes and Honors Lance Corporal Joseph Rodewald (1988-2010)

HCR 2 Recognizes and Honors Corporal Kory Wiers (1986-2007) and his military working dog, Cooper

HCR 3 Recognizes and Honors Sergeant Ian M. Tawney (1984-2010)

HCR 22 Recognizes and Honors Army Specialist Taylor Daniel Marks (1989-2009)

HJM 9 Urges Congress to Recognize Presumption of Service Connection Disability for Blue Water Vietnam War Veterans Exposed to Agent Orange

HJM 14 Urges Congress and Secretary of Veterans Affairs to Direct the U.S. Department of Veterans Affairs Portland Regional Benefit Office to Release Data Regarding Patient-Centered Community Care Program

HJM 18 Urges Congress to Change Funding of Veterans Health Care from Discretionary Entitlement to Permanent and Direct Entitlement

SJM 11 Urges Congress to Improve and Support Efforts to Healthcare for Veterans in Rural Communities

Veterans Bills That Failed

HB 2793 Requires the State of Oregon to Provide Health Care Benefits to Naturalized U.S. citizens who Served in the South Korean Armed Forces During the Vietnam War

HJR 22 Proposes Amendment to Oregon Constitution to dedicate 1% of Annual Lottery Proceeds for Veterans Services

SB 87 Modifies Veterans Preference Statute for Public Employers

SB 92 Directs State Board of Education to Develop Data Collection Standards for Students from Military Families

SB 434 Grants Higher Property Tax Exemption for Property of Veterans with Service-Connected Disabilities of 100 Percent or More

SB 780 Directs Department of Corrections to Establish Pilot Program for Mental Health and Addictions Treatment of Incarcerated Veterans Diagnosed with PTSD