2011 ORS § 311.701¹
Senior Property Tax Deferral Revolving Account
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(1) There is established in the State Treasury the Senior Property Tax Deferral Revolving Account to be used by the Department of Revenue for the purpose of making the payments to:

(a) County tax collectors of property taxes deferred for tax years beginning on or after January 1, 1983, as required by ORS 311.676 (State to pay counties amount equivalent to deferred taxes).

(b) The appropriate local officer of special assessment improvement amounts deferred on or after October 15, 1983, as required by ORS 311.730 (Payments by state to local officers).

(c) The department for its expenses in administering the property tax and special assessment senior deferral programs.

(2) The Senior Property Tax Deferral Revolving Account may include a reserve for payment of department administrative expenses.

(3) All sums of money received by the Department of Revenue under ORS 311.666 (Definitions for ORS 311.666 to 311.701) to 311.701 (Senior Property Tax Deferral Revolving Account) as repayments of deferred property taxes or under ORS 311.702 (Definitions for ORS 311.702 to 311.735) to 311.735 (Rules) as repayments of deferred special assessment improvement amounts, including the interest accrued under ORS 311.674 (Listing of tax-deferred property) (3) or 311.711 (Duties of bond lien docket or assessment lien record officer) (3) shall, upon receipt, be credited to the revolving account and are continuously appropriated to the department for the purposes of subsection (1) of this section.

(4)(a) If there are not sufficient moneys in the revolving account to make the payments required by subsection (1) of this section, and the amount appropriated from the General Fund is not sufficient when added together with the moneys in the revolving account to provide an amount sufficient to make the required payments, the State Treasurer, in the capacity of investment officer for the Oregon Investment Council, may lend to the Department of Revenue such amounts as may be necessary to make the payments.

(b) The State Treasurer may lend moneys that may be invested as provided in ORS 293.701 (Definitions for ORS 293.701 to 293.820) to 293.820 (Separate accounts for each local government).

(c) Any moneys lent under this subsection shall be repaid within five years together with interest at a rate determined by the State Treasurer and consistent with the investment standards of ORS 293.721 (General objective of investments) and 293.726 (Standard of judgment and care in investments). [1983 c.550 §12; 1985 c.167 §1; 1995 c.257 §1; 2001 c.716 §27; 2005 c.749 §4; 2009 c.885 §10; 2011 c.723 §17]

Note: Section 77, chapter 630, Oregon Laws 2011, provides:

Sec. 77. (1) Notwithstanding ORS 293.205 (Definitions for ORS 293.205 to 293.225) to 293.225 (Construction of ORS 293.205 to 293.220), on a date determined by the State Treasurer and the Director of the Department of Revenue, the State Treasurer shall transfer the amount of $19 million of unexpended moneys in the Common School Fund to the credit of the Senior Property Tax Deferral Revolving Account established under ORS 311.701 (Senior Property Tax Deferral Revolving Account).

(2) As soon as practicable after June 15, 2013, the Department of Revenue shall transfer the amount of $19 million, plus interest at a rate equal to the average positive rate of interest earned on all other unexpended moneys from the Common School Fund invested over the period of time beginning with the date of the transfer required under subsection (1) of this section and ending on June 1, 2013, from the Senior Property Tax Deferral Revolving Account to the State Treasurer for deposit in the Common School Fund.

(3) Notwithstanding subsection (2) of this section:

(a) If, on February 15, 2013, the Department of Revenue determines that the balance in the Senior Property Tax Deferral Revolving Account on June 15, 2013, will not be sufficient to make the transfer required under subsection (2) of this section, the Department of Revenue shall, not later than March 15, 2013, submit a report to the Legislative Assembly that:

(A) Explains the impact of the reforms made by chapter 723, Oregon Laws 2011, on the homestead property tax deferral program;

(B) Includes revenue projections for the program and an assessment of the long-term viability of the program; and

(C) Recommends changes necessary to ensure the long-term viability of the program without further temporary transfers of funds.

(b) If, on June 3, 2013, the Department of Revenue determines that the balance in the Senior Property Tax Deferral Revolving Account will not be sufficient to make the transfer required under subsection (2) of this section, the Department of Revenue shall, as soon as practicable, transfer to the State Treasurer for deposit in the Common School Fund any positive balance in the Senior Property Tax Deferral Revolving Account in excess of the amounts required to be paid to the respective county tax collectors pursuant to ORS 311.676 (State to pay counties amount equivalent to deferred taxes).

(4)(a) Upon receipt of a report pursuant to subsection (3)(a) of this section, the Legislative Assembly shall make a determination of the long-term viability of the homestead property tax deferral program and consider alternatives to the program, including curtailment to ensure the long-term viability of the program and elimination of the program.

(b) If the Department of Revenue determines pursuant to subsection (3)(b) of this section that there are insufficient funds to make the transfer required under subsection (2) of this section, the Legislative Assembly shall, not later than June 15, 2013, appropriate to the credit of the Common School Fund:

(A) An amount equal to the difference between the amount required to be transferred under subsection (2) of this section and any amount actually transferred pursuant to subsection (3)(b) of this section; or

(B) If there is no positive balance in the Senior Property Tax Deferral Revolving Account as described in subsection (3)(b) of this section, the amount required under subsection (2) of this section. [2011 c.630 §77]

Note: See note under 311.666 (Definitions for ORS 311.666 to 311.701).