Oregon
Rule Rule 123-674-8100
Authorization and Zone Termination


In relation to OAR 123-650-9100 (ZONE TERMINATION — Events and Timing):

(1)

For purposes of exemption under ORS 285C.175 (Enterprise zone exemption) in a sun-setting or terminating enterprise zone, an eligible business firm is authorized and may claim the exemption—subject to section (2) of this rule, OAR 123-674-8300 (Timely Completion of Construction) and other applicable requirements—if:

(a)

Its outstanding authorization was still active under ORS 285C.165 (Extension of period of authorization) at the time of termination; or

(b)

The local zone manager received the Application before the effective date of the zone’s termination, and the zone sponsor and the county assessor subsequently approved the Application under ORS 285C.140 (Application for authorization) after termination, but:

(A)

In this case, if the firm is not otherwise qualified or actively authorized in the terminated zone, it may not grandfather in the zone under ORS 285C.245 (Termination)(1)(b) according to OAR 123-674-8200 (Grandfathering in a Terminated Zone).

(B)

This subsection is superseded by section (5) of this rule in any enterprise zone that would otherwise sunset under ORS 285C.245 (Termination)(2) on or after July 1, 2025.

(2)

For any authorized business firm described in section (1) of this rule, its authorization expires on January 1 directly after the 30th month following the zone’s termination, such that only if qualified property proposed pursuant to the Application is in service before that date may the firm claim and receive the exemption under ORS 285C.245 (Termination)(1)(a)(B). (As such, the authorization also remains active but may not be extended, irrespective of ORS 285C.165 (Extension of period of authorization), for qualified property remaining outside of a current enterprise zone)

(3)

In order for an Application to be approved with respect to any investment in qualified property at a location anywhere in the terminated zone that remains outside a currently designated enterprise zone, the Firm/applicant must satisfy the grand-fathering provisions in accordance with OAR 123-674-8200 (Grandfathering in a Terminated Zone).

(4)

For purposes of this rule and OAR 123-674-8200 (Grandfathering in a Terminated Zone), an actively authorized business firm that has the site of its (proposed) qualified property in the zone (inadvertently) removed by a boundary change, notwithstanding ORS 285C.115 (Change of zone boundaries)(2)(b), has the same rights and privileges as if the zone had terminated.

(5)

Respective to termination of any existing enterprise zone under ORS 285C.255 (Sunset of enterprise zone program) (programmatic sunset of the standard enterprise zone program):

(a)

Application must be made on or before June 29, 2025, and approved no later than the very next day;

(b)

Any such authorized business firm may avail itself of the grand-fathering provisions in accordance with OAR 123-674-8200 (Grandfathering in a Terminated Zone); and

(c)

Ongoing use of such grandfather provisions in any previously terminated zone is unaffected.
Source
Last accessed
Aug. 3, 2020