Economic Development III
Qualified property generally
(1)The following types of property are qualified for exemption under ORS 285C.175 (Enterprise zone exemption):
(a)A newly constructed building or structure.
(b)A new addition to or modification of an existing building or structure.
(c)Any real property machinery or equipment or personal property, whether new, used or reconditioned, that is installed on property that is owned or leased by an authorized business firm, and:
(A)Newly purchased or leased by the firm, unless the property is described in ORS 285C.175 (Enterprise zone exemption) (4)(a); or
(B)Newly transferred into the enterprise zone from outside the county within which the site of the firm is located and installed.
(2)Property described in subsection (1) of this section is qualified under this section only if:
(a)The property meets or exceeds the minimum cost requirements established under ORS 285C.185 (Minimum cost of qualified property);
(b)The property satisfies applicable usage, lease or location requirements established under ORS 285C.185 (Minimum cost of qualified property);
(c)The property was constructed, added, modified or installed to further the production of income;
(d)The property is owned or leased by an authorized business firm;
(e)The location of the property corresponds to the location as set forth in the application for authorization of the business firm and consists of a single site or multiple sites adjacent to or having comparable proximity to each other, within the boundaries of the enterprise zone;
(f)The property is the same general type of property as described in the application for authorization; and
(g)In the case of an eligible business firm described in ORS 285C.135 (Requirements for eligibility) (5)(b), the actual investment at the facility of the firm is consistent with the description set forth in the application for authorization.
(3)Notwithstanding subsection (1) of this section, the following property is not qualified for exemption under ORS 285C.175 (Enterprise zone exemption):
(b)Property that was not in use or occupancy for more than a 180-day period that ends during the preceding assessment year.
(c)On-site developments that, consistent with ORS 307.010 (Definitions of “land” and “real property” for state property tax laws), are assessed as land.
(d)Noninventory supplies, including but not limited to lubricants.
(e)Any operator-driven item of machinery or equipment or any vehicle, if the item or vehicle moves by internal motorized power. An item or vehicle described in this paragraph includes but is not limited to an item or vehicle that moves within an enclosed space.
(f)Any device or rolling stock that is pulled, pushed or carried by a vehicle that is suitable as a mode of transportation beyond the enterprise zone boundary.
(4)Subsection (3)(b) of this section does not apply to the first assessment year for which the property is exempt under ORS 285C.175 (Enterprise zone exemption).
(5)For purposes of this section and ORS 285C.175 (Enterprise zone exemption), property includes any portion or incremental unit of property that is newly constructed or installed, or that is a new addition to or modification of an existing building or structure. [Formerly 285B.713; 2015 c.648 §22]
(formerly 285.607, then 285B.713)
Notes of Decisions
In exemption for newly installed "real property machinery or equipment" term "real property" modifies both "machinery" and "equipment." Edgewater Inn, Inc. v. Dept. of Rev., 13 OTR 117 (1994)