ORS 221.450
Privilege tax on public utilities operating without franchise

Except as provided in ORS 221.655 (Privilege tax on distribution utilities), the city council or other governing body of every incorporated city may levy and collect a privilege tax from Oregon Community Power and from every electric cooperative, people’s utility district, privately owned public utility, telecommunications carrier as defined in ORS 133.721 (Definitions for ORS 41.910 and 133.721 to 133.739) or heating company. The privilege tax may be collected only if the entity is operating for a period of 30 days within the city without a franchise from the city and actually using the streets, alleys or highways, or all of them, in such city for other than travel on such streets or highways. The privilege tax shall be for the use of those public streets, alleys or highways, or all of them, in such city in an amount not exceeding five percent of the gross revenues of the cooperative, utility, district or company currently earned within the boundary of the city. However, the gross revenues earned in interstate commerce or on the business of the United States Government shall be exempt from the provisions of this section. The privilege tax authorized in this section shall be for each year, or part of each year, such utility, cooperative, district or company, or Oregon Community Power, operates without a franchise. [Amended by 1987 c.245 §3; 1987 c.447 §115; 1989 c.999 §§7,8; 1999 c.865 §30; 1999 c.1093 §7; 2007 c.807 §41]

Source: Section 221.450 — Privilege tax on public utilities operating without franchise, https://www.­oregonlegislature.­gov/bills_laws/ors/ors221.­html.

Notes of Decisions

Read with ORS 221.420, under home rule analysis, where city ordinance charging franchise fee is not specifically preempted by state law, city has authority to enact and enforce ordinance. Rogue Valley Sewer Services v. City of Phoenix, 262 Or App 183, 329 P3d 1 (2014), aff’d 357 Or 437, 353 P3d 581 (2015)

“Privilege tax” as used in this section encompasses license fee established by respondent city where that fee is intended to raise revenue to fund city-wide services such as police and fire departments. Northwest Natural Gas Co. v. City of Gresham, 359 Or 309, 374 P3d 829 (2016)

“Franchise” as used in this section means negotiated agreement between city and utility that functions as contract, and does not mean city licensing scheme that involves unilateral imposition of fees. Northwest Natural Gas Co. v. City of Gresham, 359 Or 309, 374 P3d 829 (2016)

221.005
Legislative findings 221.010
Definitions for ORS 221.020 to 221.100 221.020
Authority to incorporate 221.031
Petition to incorporate 221.032
Annexation during pendency of incorporation 221.034
Incorporation of rural unincorporated community and contiguous lands 221.035
Economic feasibility statement 221.036
Inclusion of area within urban growth boundary in incorporation of rural unincorporated community 221.040
Hearing on petition to incorporate 221.050
Incorporation election 221.061
Election expenses 221.090
Terms of office of first city council 221.100
Validation of incorporation under prior laws 221.106
Prohibitions related to signing of incorporation petition 221.110
City officers 221.120
City council 221.130
Mayor 221.140
Appointment of municipal judge and other city officers 221.142
Qualifications for municipal judges 221.145
Basing compensation of city officers upon fines prohibited 221.160
Special elections to fill council vacancies 221.180
Procedure for nomination of candidates for city offices 221.200
Law governing city elections 221.210
Referendum and initiative for municipal measures and charter amendments 221.230
Election dates 221.240
Disclosure to city auditor of legally protected material 221.275
Definitions for ORS 221.275 to 221.290 221.277
Violation of city parking ordinance 221.285
Notice of delinquent parking violation to rental or leasing company 221.287
Recovery of fine from renter or lessee of vehicle 221.290
Application of ORS 221.275 to 221.290 221.295
Ordinances regulating placement or height of radio antennas 221.310
Effective date of ordinances, resolutions and franchises 221.315
Enforcement of charter provisions and ordinances 221.330
Publication or posting of ordinances 221.333
Parking ordinance violation 221.336
Establishment of municipal court 221.339
Jurisdiction of municipal court 221.342
Method by which municipal court becomes court of record 221.343
Method by which municipal court ceases to operate as court of record 221.344
Registration of municipal court 221.346
Enforcement of judgments of municipal court 221.351
Liens based on municipal court judgment 221.352
Municipal court docket 221.353
Disqualification of municipal judge for prejudice 221.354
Trial by jury in criminal cases 221.355
Agreement between cities for judicial services 221.357
Provision of judicial services to city by circuit court 221.358
Audio recording or reporting of municipal court proceedings 221.359
Appeals from conviction in municipal court 221.360
Appeal on issue of constitutionality of charter provision or ordinance 221.370
Validity of charter or ordinance provision determined before merits 221.380
Appeal by city from invalidating order 221.390
Trial, procedure and sentence in circuit court on appeal from municipal court 221.410
Power of city to control local affairs 221.415
Municipal rights of way 221.420
Municipal regulation of public utilities 221.450
Privilege tax on public utilities operating without franchise 221.460
Duration of franchises, privileges and permits 221.470
Removal of structures after expiration of grant or franchise 221.475
Territory annexed to city 221.485
Policy on vehicles for hire 221.495
Local regulation of vehicles for hire 221.505
Policy 221.510
Municipal regulation of telecommunications carriers 221.515
Privilege tax on telecommunications carriers 221.610
Disincorporation of cities 221.621
Disincorporation procedure 221.650
Property conveyed to county 221.655
Privilege tax on distribution utilities 221.720
Situs of cities 221.725
Sale of real property by city 221.727
Alternative procedure for sale of city-owned real property 221.729
Sale of city-owned real property to develop affordable housing 221.735
Continuation of collection service after incorporation 221.750
Right of cities to public areas not extinguished by adverse possession or statute of limitations 221.760
Prerequisites for cities in counties of over 100,000 population to receive revenues from cigarette, gas and liquor taxes 221.770
Revenue sharing to cities 221.785
Effect of challenge of validity of incorporation 221.862
“Historic ghost town” defined 221.867
Filling vacancies in city council of historic ghost town to form quorum 221.869
Preference for appointment to city council of historic ghost town 221.872
State shared revenues not available to historic ghost town 221.901
Cities organized under 1893 Act 221.902
City officers 221.903
Bond and oath of officers 221.904
Vacancies 221.905
Compensation of city officers 221.906
Election procedure generally 221.907
Eligibility for office 221.908
Council meetings 221.909
Council meetings 221.910
Council to judge qualifications of members 221.911
Rules on council’s granting franchise or payment of money 221.912
Procedures applicable to ordinances 221.913
Claims against cities 221.914
Prosecution for violation of ordinance 221.915
Nuisance defined 221.916
Powers of common council 221.917
Functions and duties of mayor 221.918
Duties of recorder 221.919
Powers and duties of marshal 221.920
Duties of treasurer 221.921
Interest of officers in city contracts 221.924
Authority to make public improvements 221.925
Tax deeds 221.926
Authority to enact ordinances 221.927
Approval or veto of ordinances 221.928
Record of ordinances
Green check means up to date. Up to date

Current through early 2024

§ 221.450’s source at oregon​.gov