OAR 123-674-0200
General Employment Terminology and Issues


As used in OAR 123-674-0100 (Definitions), with respect to counting the ‘number of employees’ for purposes of this division of administrative rules, especially 123-674-4000 (EMPLOYMENT OF FIRMS — Computation of Averages) to 123-674-4800 (Sale or Leasing of Exempt Property):

(1)

It does not involve averaging based on hours worked, such as full-time equivalency, but rather relies on counting full-time, year-round jobs associated with relevant business operations throughout the enterprise zone, either at a particular time or on average over a year or 12-month period.

(2)

It relates primarily to “employees of the firm” or “employment of the firm,” as used in ORS 285C.200 (Qualifications of business firm) and 285C.210 (Substantial curtailment of business operations), which:

(a)

Includes positions or persons who are:

(A)

Employed directly by the business firm, including but not limited to being hired or retained through lease or contract with the person or with a third party serving such a leasing or payroll function for the firm, provided that the firm nevertheless selected and directly manages their work, but excluding any employee of an independent contractor, or anyone whom the firm leases or contracts out to another business;

(B)

Engaged a majority of their working time in eligible operations under ORS 285C.135 (Requirements for eligibility), including but not limited to persons who perform eligible activities as described in OAR 123-674-1100 (Basic Eligibility of Firms and Operations) or 123-674-1200 (Ineligible Activities)(3) or (4); and

(C)

Located anywhere inside the enterprise zone in terms of where they spend at least 75 percent of their time on the job, as well as official work site.

(b)

Excludes positions or persons who are employed or performing work:

(A)

In temporary or seasonal jobs;

(B)

For 32 or fewer hours per week;

(C)

Solely in the construction, modification or installation of qualified property;

(D)

Regularly outside the zone boundary;

(E)

With ineligible operations at least half of their time; or

(F)

At any other business firm, including but not limited to affiliates or commonly owned companies.

(3)

Consistent with subsection (2) of this rule, only full-time jobs with the firm that are filled indefinitely and exist year-round at the firm’s eligible operations inside the zone are normally counted. The following are exceptions:

(a)

Only employees who work at the particular headquarter-type facility are relevant in the case of OAR 123-674-1700 (Headquarter Facilities), irrespective of other eligible employees inside the zone and paragraph (2)(a)(C) of this rule, and such employees may perform professional services or other normally ineligible activities regardless of paragraphs (2)(a)(B) and (b)(E);

(b)

For the transfer of eligible operations within 30 miles of zone boundary, further requirements described in OAR 123-674-4100 (Employment Requirement to Qualify Initially)(3) and 123-674-4600 (Maintaining Sufficient Employment)(2) also cover employees at affected sites outside the zone, irrespective of paragraphs (2)(a)(C) and (b)(D) of this rule.

(c)

The prohibition on jobs losses in Oregon more than 30 miles outside the zone also encompasses persons employed by any commonly controlled company (see 123-674-4200 (Diminishing Employment Well beyond the Zone)) irrespective of paragraph (2)(b)(F) of this rule.

(d)

Jointly owned firms may combine their employment throughout the zone subject to section (4) of this rule, irrespective of paragraph (2)(b)(F) of this rule.

(e)

Temporary workers filling permanent positions are acceptable in a one-off situation, irrespective of paragraph (2)(b)(A) of this rule, if the county assessor and the local zone manager conclude that:

(A)

The qualified business firm is making every reasonable effort to fill such positions with permanent, regular hires; and

(B)

The temporary workers and other potentially available job applicants do not meet reasonable, minimum standards of the firm for permanent hire, such as a high school diploma or equivalency.

(4)

Under ORS 285C.135 (Requirements for eligibility)(4), two or more eligible business firms with 100-percent common ownership may elect to be treated as a single firm for combining zone employment, if authorized representative(s) of the firms or a parent company formally notify the local zone manager and county assessor to that effect before or with the initial exemption claim under 285C.220 (Exemption claims). Such an election affects all applicable provisions under 285C.050 (Definitions for ORS 285C.050 to 285C.250) to 285C.250 (Redesignation or designation of new zone following zone termination) and this division of administrative rules, including but not limited to rendering moot any inter-firm lease of qualified property (which would then all be simply owned by the Firm/applicant), but it does not carry over to any subsequent authorization except in a terminated zone.

(5)

Only newly created jobs may satisfy required increases in employment levels, as opposed to any employee associated with the merger or acquisition of another business firm or of its existing operations or property, except positions inside the zone that were vacant for 60 or more days at the time of Application, and for whom rehiring or reemployment was otherwise unlikely.

(6)

As used in this rule and under ORS 285C.050 (Definitions for ORS 285C.050 to 285C.250):

(a)

“Person” may mean two or more part-time employees who together perform a single job involving more than 32 hours of work per week by virtue of an established (job-sharing) arrangement.

(b)

“32 hours per week” is computed by taking the total number of hours over the course of a year, for which the person is remunerated in the form of wage or salary, excluding holidays, vacation and other paid leave, and dividing by 52.

(c)

“Temporary or seasonal jobs” are nonpermanent positions, including but not limited to persons recruited and receiving compensation through the firm or an outside agency on a short-term, ad hoc or as-needed basis, or where the firm hires, leases or contractually employs a persons for a period expected to be less than 12 consecutive months.

(7)

There is no necessary relationship between minimum employment requirements and the requisite First Source Hiring Agreement, as addressed in OAR 123-070 and 123-674-7700 (FIRST SOURCE HIRING AGREEMENTS — Coverage) to 123-674-7730 (Allowing Late Execution of First-Source Agreement).

Source: Rule 123-674-0200 — General Employment Terminology and Issues, https://secure.­sos.­state.­or.­us/oard/view.­action?ruleNumber=123-674-0200.

123‑674‑0001
Purpose, Scope and General Process for Businesses Seeking Exemption
123‑674‑0100
Definitions
123‑674‑0200
General Employment Terminology and Issues
123‑674‑0500
EXTENDED TAX ABATEMENT — General Points
123‑674‑0600
Compensation & Wage Standards
123‑674‑0700
Written Agreement between Sponsor and Eligible Business Firm
123‑674‑1000
BUSINESS ELIGIBILITY — Special Business Distinctions
123‑674‑1100
Basic Eligibility of Firms and Operations
123‑674‑1200
Ineligible Activities
123‑674‑1300
Eligible Business Firm with Ineligible Activities
123‑674‑1400
Gross Receipts Test
123‑674‑1600
Call Centers and Like Operations
123‑674‑1700
Headquarter Facilities
123‑674‑2000
AUTHORIZATION PROCESS — Timely Submission
123‑674‑2100
Allowably Late Applications
123‑674‑2300
Initial Processing by Local Zone Manager
123‑674‑2500
Final Processing
123‑674‑3000
AUTHORIZATION’S COVERAGE & EFFECT — Being An Authorized Firm
123‑674‑3100
Limitations on Exemption Relative to Authorization
123‑674‑3200
Amending the Application/Authorization
123‑674‑3500
Additional, Concurrent Authorizations
123‑674‑3700
Renewal of Active Status and Inactive Authorization
123‑674‑4000
EMPLOYMENT OF FIRMS — Computation of Averages
123‑674‑4100
Employment Requirement to Qualify Initially
123‑674‑4200
Diminishing Employment Well beyond the Zone
123‑674‑4300
Local Waiver of Employment Increase inside Zone
123‑674‑4600
Maintaining Sufficient Employment
123‑674‑4800
Sale or Leasing of Exempt Property
123‑674‑5000
QUALIFIED PROPERTY— Critical Terms
123‑674‑5100
Eligible Utilization
123‑674‑5200
Mechanical, Personal and Unqualified Property
123‑674‑5300
Buildings, Structures and Other Real Property
123‑674‑5400
Property Already Entered on Rolls
123‑674‑5500
Obligations for All Leases, Lessors and Lessees
123‑674‑6000
FILING & COMPLIANCE — Exemption Prior To ‘In Service’
123‑674‑6100
Mandatory First-year Claim with Property Schedule
123‑674‑6200
Filing Latter-year Claims
123‑674‑6300
Disqualification of Particular Property
123‑674‑6400
General Firm Disqualification
123‑674‑6600
PAYBACK IN LIEU OF DISQUALIFICATION — Applicability
123‑674‑6610
Payment of Tax Savings
123‑674‑6620
Distribution of Payment among Cosponsors
123‑674‑6630
Utilization of Payments
123‑674‑6880
Deferral during Recession
123‑674‑6885
Additional Conditions with Deferral
123‑674‑7200
GENERAL LAWFULNESS — Terminology
123‑674‑7210
Declarations and Responsibilities
123‑674‑7220
Effect of Event of Noncompliance
123‑674‑7230
Materiality
123‑674‑7240
Cure
123‑674‑7250
Interpretation
123‑674‑7700
FIRST SOURCE HIRING AGREEMENTS — Coverage
123‑674‑7710
First-Source Procedures
123‑674‑7720
Handling Exemption Claims
123‑674‑7730
Allowing Late Execution of First-Source Agreement
123‑674‑8000
ZONE BEGINNINGS & ENDS — Designation or Amendment
123‑674‑8100
Authorization and Zone Termination
123‑674‑8200
Grandfathering in a Terminated Zone
123‑674‑8300
Timely Completion of Construction
Last Updated

Jun. 8, 2021

Rule 123-674-0200’s source at or​.us