OAR 150-308-1010
Farm Use Definitions, Inactivity Due to Illness, and Description of Lands in Non-Exclusive Farm Use

(1) This rule applies to land in non-exclusive farm use zones that may qualify for special assessment under ORS 308A.068 (Qualification of nonexclusive farm use zone farmland).
(2) Definitions:
(a) “Farm unit” means a farming enterprise which includes all parcels being farmed by a single operator, whether the operator owns or leases the farmland.
(b) “Farm use” is defined in ORS 308A.056 (Definition of “farm use”) and applies to land both inside and outside exclusive farm use zones.
(c) “Illness” means sickness, disease, injury, or disorder of body or mind which prevents the farmer or immediate family member from performing necessary farm operations.
(d) For purposes of subsection (2)(c): “Immediate family member” means the farmer’s spouse, children, or any person for whom the farmer has a legal responsibility including, but not limited to, guardianship of a dependent parent or child.
(e) “Land” means land in its natural state, including any site developments (see ORS 307.010 (Definitions of “land” and “real property” for state property tax laws)).
(A) “Land” includes all mines, minerals, quarries, dikes, banks, drainage tile, water rights, and the like. Since ORS 308A.056 (Definition of “farm use”) relates only to land used for farming, any mineral reserves under the land continue to be assessed at real market value as defined by ORS 308.205 (Real market value defined). Minerals include oil and gas. Severed mineral interests, even though underlying zoned farmland, are assessed to the owner in accordance with ORS 308.115 (Minerals, coal, oil, gas or other severable interests owned separately from realty not subject to tax).
(B) For the purpose of assessment of land in farm use, “land” does not include buildings, structures, improvements (unless their contribution is an integral part of the income attributable to the land), machinery, equipment, land improvements for homesites, fixtures erected upon or affixed to the land itself, or land used for a non-farm residence or other non-farm purpose.
(f) “Wasteland” includes but is not limited to swamps, rock outcroppings, gullies, unusable overflow lands, and drainage ways.
(A) Wasteland does not include tillable lands left idle or uncultivated and non-tillable grazing lands left unused when the accepted farming practice is to utilize the land.
(B) Wasteland does include land described in paragraph (2)(f)(A), if the owner can show that it is uneconomical to utilize the land as part of the farm unit. Utilizing the land is uneconomical if the cost to raise crops or animals exceeds the value of the crops or animals. Examples in which it would not be economical to utilize the land include:
(i) An unfenced area of grazing land where the annualized cost of fencing would exceed the income derived from the land.
(ii) An area of a farm that was only profitable through irrigation that is now unused because the cost of electricity to operate the irrigation pumps increases expenses beyond the income that can be derived from that area of land.
(C) Wasteland caused by the taxpayer, owner, or person in control of the property is not entitled to special farm use assessment. Examples of taxpayer-created wasteland include “mined out” land where gravel, soil, or other minerals have been extracted, and mine tailing refuse areas.
(3)(a) The law seeks to give the benefits of ORS 308A.068 (Qualification of nonexclusive farm use zone farmland) to that farmland which is operated primarily for the purpose of obtaining a profit in money.
(b) The assessor must consider all requirements of ORS 308A.056 (Definition of “farm use”) and be convinced that the land is used in a manner that is reasonably designed and intended to obtain a profit in money by accepted farming practices. If the primary purpose of the current use of the land is not to obtain a profit in money, the land is not farm use land. This primary purpose of the land must be ascertained from overt acts. All pertinent facts will be considered to determine if property qualifies as farm use land. Pertinent information may include:
(A) Present and past use of the land.
(B) If the farming operation is conducted by another for the owner, the provisions of the oral or written agreement including the term, area let, consideration, and provisions for termination.
(C) Participation in governmental or private agricultural programs or activities.
(D) Productivity of the land.
(E) Number of livestock or poultry (by type).
(F) Amount of last harvest of each crop.
(G) Money from products of farm use activity, the products of which come from the specially assessed land.
(H) Uses of the land for other than farming operation.
(I) Ratio of farm or agricultural use as against other uses of the land.
(4)(a) Farm inactivity for one year or less due to illness of the farmer or an immediate family member does not disqualify the property from farm use special assessment or continuation of abatement.
(A) Proof of illness must be provided to the assessor by a written statement from a licensed medical practitioner. The statement must identify the nature of the illness, the onset of the illness, and the extent of its debilitating nature.
(B) The timing of the illness must prevent farming practices.
(b) For meeting the farm income requirements of ORS 308A.071 (Income requirements for nonexclusive farm use zone farmland) and 308A.119 (Abatement), the year of farm inactivity due to illness is not counted as one of the five years for income or abatement determination.
(5) Notwithstanding section (3), any part of a farm unit that is employed in or supports a non-farm use does not qualify for special assessment. Examples of non-farm use include, but are not limited to:
(a) Land under retail stores, except for farm stands offering agricultural products for sale as described in ORS 215.213 (Uses permitted in exclusive farm use zones in counties that adopted marginal lands system prior to 1993) and 215.283 (Uses permitted in exclusive farm use zones in nonmarginal lands counties).
(b) Land under processing facilities, except processing facilities described by ORS 215.213 (Uses permitted in exclusive farm use zones in counties that adopted marginal lands system prior to 1993) and 215.283 (Uses permitted in exclusive farm use zones in nonmarginal lands counties).
(c) Land under areas used to encourage the use or enjoyment of agricultural products such as tasting rooms, banquet halls, public gathering areas, or public entertainment.
(d) Land under structures such as communication towers, and improvements that support the structures.
(e) Land under structures used for power generation or transmission such as wind turbines, substations, crane pads, and improvements that support the structures.
(f) Private roads not used primarily to support the farming operation such as those used to access structures listed in subsections (d) and (e).

Source: Rule 150-308-1010 — Farm Use Definitions, Inactivity Due to Illness, and Description of Lands in Non-Exclusive Farm Use, https://secure.­sos.­state.­or.­us/oard/view.­action?ruleNumber=150-308-1010.

150–308–0010
Continuing Education Requirements for Registered Appraisers, Waiver of those Requirements, and Revocation of Registrations 150–308–0020
Revocation of Appraiser Registration 150–308–0030
Appraiser Trainee Program 150–308–0040
Standards for Imposition, Waiver, and Reduction of Penalty on Utilities and Designated Companies Assessed by the Department. Imposition of Penalty for Failure to File a Timely or Complete Return 150–308–0050
Continuing Education Requirements for Assessors 150–308–0060
Continuing Education Requirement for Appraisal Managers in County Assessment Offices 150–308–0070
Qualifications of Managerial Employees of the Assessor’s Office 150–308–0080
Taxable Personal Property Whose Temporary Situs Is in the State of Oregon 150–308–0090
Billboards as Real Property 150–308–0100
Determining Maximum Assessed Value when the Property Class is Changed 150–308–0110
Reduction of Maximum Assessed Value (MAV) for Property Destroyed or Damaged by Fire or Act of God 150–308–0120
Reduction of Maximum Assessed Value (MAV) When a Building is Demolished or Removed 150–308–0130
Definitions 150–308–0140
Computation of Changed Property Ratio for Centrally Assessed Property 150–308–0150
Net Capitalized Additions 150–308–0160
Minor Construction 150–308–0170
Establishing a Changed Property Ratio 150–308–0180
Definition of Affected 150–308–0190
Subdivided and Partitioned Property MAV 150–308–0200
Rezoned Property — Calculating Maximum Assessed Value (MAV) 150–308–0210
Omitted Property—Allocating Maximum Assessed Value (MAV) 150–308–0220
Exemption, Partial Exemption or Special Assessment Disqualification — Allocating MAV 150–308–0230
Calculation of Maximum Assessed Value (MAV) for Lot Line Adjustments 150–308–0240
Real Property Valuation for Tax Purposes 150–308–0245
Partial Exemptions and Special Assessments of Land 150–308–0250
Derivation of Capital Structure and Discount Rates for Valuing Industrial Properties and Department-Assessed Properties 150–308–0260
Industrial Property Valuation for Tax Purposes 150–308–0270
Valuation of Contaminated Property 150–308–0280
Measuring Functional Obsolescence in Industrial Property 150–308–0290
Effective Tax Rate 150–308–0300
Valuation Review of State-appraised Industrial Property. 150–308–0310
Real Market Value and Property Classification as Part of Assessment Roll 150–308–0320
Property With Multiple Leases Assessed as One Parcel 150–308–0330
Contents of Assessment Roll for Condominiums 150–308–0340
Printout or Microfiche Required When Assessment and Tax Rolls do not Constitute a Written Record 150–308–0350
Filing Requirements for Certain Delayed Annexations by Cities 150–308–0355
Filing Requirements for Boundary Changes 150–308–0360
Appraisals of Real Property by Registered Appraisers 150–308–0370
Determining Taxable Value for Assessment Charges on Property Exempt from Taxation 150–308–0380
Appraisal of Real Property 150–308–0390
Agricultural Land Devoted to Agricultural Purposes 150–308–0400
Stipulation Procedures 150–308–0410
Cancellation of Personal Property Assessments 150–308–0420
Exemption of Watercraft Undergoing Repairs 150–308–0430
Valuation of New Construction 150–308–0440
Confidentiality — Returns of Taxable Property 150–308–0450
Industrial Property Returns — Incomplete Returns and Late Filing Penalties 150–308–0470
County Contractors Having Access to Confidential Records 150–308–0480
Confidentiality of Property Tax Information for Centrally Assessed Companies 150–308–0490
Appraisal and Valuation of Industrial Plants 150–308–0500
Confidentiality of Industrial Plant Information 150–308–0510
Definition of Destroyed or Damaged 150–308–0520
Valuation of Nonprofit Homes for the Elderly 150–308–0530
Defining “Communication Services” 150–308–0540
Assessment of Properties of Designated Utilities and Companies by Department of Revenue 150–308–0550
Property Used for Guide Service 150–308–0560
Confidentiality of Appraisals of Designated Utilities and Companies by Department of Revenue 150–308–0570
Computation of Changed Property Ratio for Centrally Assessed Property 150–308–0580
Allocation of Mobile Aircraft Property Value 150–308–0585
Procedure for Determining Oregon Property Value for Private Railroad Car Companies 150–308–0590
Allocation of Centrally Assessed Electric Company Property Value 150–308–0595
Allocation of Centrally Assessed Gas Distribution Company Property Value 150–308–0600
Allocation of Centrally Assessed Pipeline Company Property Value 150–308–0605
Allocation of Centrally Assessed Railroad Company Property Value 150–308–0610
Allocation of Centrally Assessed Communication Company Property Value 150–308–0615
Allocation of Centrally Assessed Water Transportation Company Property Value 150–308–0660
Unit Valuation of Centrally Assessed Properties 150–308–0670
Contents of the Utility Assessment Roll 150–308–0680
Contents of Department’s Journal 150–308–0690
Centrally Assessed Property — Appraisal Guidelines 150–308–0695
Removal of Certain Elected Exempt Property from Correlated System Real Market Value of Centrally Assessed Property 150–308–0700
Qualification of Property for Special Assessment as Government Restricted Multiunit Rental Housing 150–308–0710
Application and Election Process for Government Restricted Multiunit Rental Housing 150–308–0720
Special Assessment of Government Restricted Multiunit Rental Housing Property 150–308–0730
Special Assessment Disqualification Process 150–308–0740
Process for Voluntary Disqualification from Special Assessment Program and Subsequent Application 150–308–0750
Payment of Taxes on Manufactured Structure That Allows Change from Real Property to Personal Property Status 150–308–0760
Manufactured Structure Classified as Real or Personal Property 150–308–0770
Real and Personal Manufactured Dwellings to be Assessed in Like Manner 150–308–1010
Farm Use Definitions, Inactivity Due to Illness, and Description of Lands in Non-Exclusive Farm Use 150–308–1020
Disposal by donation to a local food bank or school 150–308–1030
Assessment of Farmlands Within Exclusive Farm Use (EFU) Zones 150–308–1040
Assessment of Farmlands Outside of Exclusive Farm Use (EFU) Zones 150–308–1050
Gross Income Requirement 150–308–1060
Wasteland 150–308–1070
Acquired Land as Part of Farming Unit 150–308–1080
Valuation of Certain Agricultural Land to Reflect Value for Farm Use Only 150–308–1090
Calculation of MSAV When SAV Soil Classification is Changed 150–308–1100
Disqualification of Exclusive Farm Use Farmland 150–308–1110
Disqualification of Non-Exclusive Farm Use (Non-EFU) Farmland 150–308–1120
Definition of Specially Assessed Homesites 150–308–1130
Application for Specially Assessed Homesite 150–308–1140
Qualified Specially Assessed Homesite Valuation 150–308–1150
Ratio Calculation for Open Space Lands 150–308–1500
Additional Tax Calculation and When to Impose Additional Tax 150–308–1510
No Additional Tax 150–308–1520
Deferred Additional Tax (ORS 308A.706) 150–308–1530
Disqualification Notification Procedures
Last Updated

Jun. 24, 2021

Rule 150-308-1010’s source at or​.us