1. (1) This division of administrative rules clarifies, specifies and establishes elements of ORS 285C.050 to 285C.250 (Oregon Enterprise Zone Act) for the determinations, procedures and requirements relevant to the three- to ten-year exemption from property taxes under ORS 285C.175 on qualified property of eligible business firms in any enterprise zone.

2. (2) The outline of these rules, regarding a business firm’s receipt of this exemption, is that:

   1. (a) The sponsor of the enterprise zone may extend the usually three-year period to four or five years (under ORS 285C.160(2)(b)(A) or up to ten consecutive years in total (under ORS 285C.160(2)(b)(B) by executing a written agreement with the firm before approval of the application in subsection (c) of this section.
   2. (b) The firm must be engaged in eligible activities as primarily determined with authorization.
   3. (c) The firm must apply for authorization, generally before any work begins on the new investment, and the local zone manager and the county assessor need to authorize the firm.
   4. (d) The firm must satisfy applicable employment qualifications and performance criteria during the entire exemption period to qualify for the exemption and maintain the exemption.
   5. (e) The exemption is primarily on certain new property and only for an authorized firm that timely claims the exemption with the assessor after it has placed the property in service; before that, it may be exempt under ORS 285C.170.
3. (3) These administrative rules do not control or bind the county assessor or Department of Revenue and are superseded by OAR chapter 150 in matters related to tax administration including but not limited to rules for purposes of the statutory sections listed in ORS 285C.125(1).

Statutory/Other Authority

ORS 285A.075 & ORS 285C.060(1)

Statutes/Other Implemented

ORS 285C.045 & ORS 285C.050 – 285C.250

History

OBDD 10-2026, temporary amend filed 06/05/2026, effective 06/05/2026 through 12/01/2026
OBDD 7-2017, amend filed 11/29/2017, effective 11/29/2017
OBDD 14-2016, f. & cert. ef. 9-16-16
OBDD 27-2010, f. & cert. ef. 6-14-10