ORS 307.120
Property owned or leased by municipalities, dock commissions, airport districts or ports

  • exception
  • payments in lieu of taxes to school districts

(1)

Real property owned or leased by any municipality and real and personal property owned or leased by any dock commission of any city or by any airport district or port organized under the laws of this state is exempt from taxation to the extent to which such property is:

(a)

Leased, subleased, rented or preferentially assigned for the purpose of the berthing of ships, barges or other watercraft (exclusive of property leased, subleased, rented or preferentially assigned primarily for the purpose of the berthing of floating homes, as defined in ORS 830.700 (Definitions for ORS 830.060 to 830.140 and 830.700 to 830.870)), the discharging, loading or handling of cargo therefrom or for storage of such cargo directly incidental to transshipment, or the cleaning or decontaminating of agricultural commodity cargo, to the extent the property does not further alter or process an agricultural commodity;

(b)

Held under lease or rental agreement executed for any purpose prior to July 5, 1947, except that this exemption shall continue only during the term of the lease or rental agreement in effect on that date; or

(c)

Used as an airport owned by and serving a municipality or port of less than 300,000 inhabitants as determined by the latest decennial census. Property owned or leased by the municipality, airport district or port that is located within or contiguous to the airport is exempt from taxation under this subsection if the proceeds of the lease, sublease or rental are used by the municipality, airport district or port exclusively for purposes of the maintenance and operation of the airport.

(2)

Those persons having on January 1 of any year a lease, sublease, rent or preferential assignment or other possessory interest in property exempt from taxation under subsection (1)(a) of this section, except dock area property, shall make payments in lieu of taxes to any school district in which the exempt property is located as provided in subsection (3) of this section. The annual payment in lieu of taxes shall be one quarter of one percent (0.0025) of the real market value of the exempt property and the payment shall be made to the county treasurer on or before May 1 of each year.

(3)

Intentionally left blank —Ed.

(a)

On or before December 31 preceding any year for which a lease, sublease, rental or preferential assignment or other possessory interest in property is to be held, or within 30 days after acquisition of such an interest, whichever is later, any person described in subsection (2) of this section shall file with the county assessor a request for computation of the payment in lieu of tax for the exempt property in which the person has a possessory interest. The person shall also provide any information necessary to complete the computation that may be requested by the assessor. The request shall be made on a form prescribed by the Department of Revenue.

(b)

On or before April 1 of each assessment year the county assessor shall compute the in lieu tax for the property subject to subsection (2) of this section for which a request for computation has been filed under paragraph (a) of this subsection and shall notify each person who has filed such a request:

(A)

That the person is required to pay the amount in lieu of taxes to the county treasurer on behalf of the school district;

(B)

Of the real market value of the property subject to the payment in lieu of taxes; and

(C)

Of the amount due, the due date of the payment in lieu of taxes and of the consequences of late payment or nonpayment.

(c)

On or before July 15 of each tax year the county treasurer shall distribute to the school districts the amounts received for the respective districts under subsection (2) of this section. If the exempt property is located in more than one school district, the amount received shall be apportioned to the school districts on the basis of the ratio that each school district’s permanent limit on the rate of ad valorem property taxes bears to the total permanent limit on the rate of ad valorem property taxes applicable to all of the school districts in which the property is located.

(4)

If a person described in subsection (2) of this section fails to request a computation or make a payment in lieu of taxes as provided in this section, the property shall not be exempt for the tax year but shall be assessed and taxed as other property similarly situated is assessed and taxed.

(5)

Upon granting of a lease, sublease, rental, preferential assignment or other possessory interest in property described in subsection (1)(a) of this section, except dock area property, the municipality, dock commission, airport district or port shall provide the county assessor with the name and address of the lessee, sublessee, renter, preferential assignee or person granted the possessory interest.

(6)

Intentionally left blank —Ed.

(a)

Not later than 15 days prior to the date that a request is required to be made under subsection (3)(a) of this section, the municipality, dock commission, airport district or port granting a lease, sublease, rental, preferential assignment or other possessory interest in its exempt property for which in lieu tax payments are imposed under subsection (2) of this section, shall notify the person granted the interest:

(A)

Of the obligation to file with the county assessor a request for appraisal and computation of in lieu tax no later than December 31 or within 30 days after the interest is granted, whichever is later.

(B)

Of the obligation to pay the in lieu tax, in the amount of one-quarter of one percent (0.0025) of the real market value of the exempt property held, to the county treasurer before May 1 following the date of the request.

(C)

That, if the request is not made within the time prescribed, or if the in lieu tax is not paid, or both, that the property shall not be exempt from taxation but shall be assessed and taxed in the same manner as other property similarly situated is assessed and taxed.

(b)

Failure of a municipality, dock commission, airport district or port to give the notice as prescribed under this subsection does not relieve any person from the requirements of this section.

(7)

As used in this section:

(a)

“Dock” means a structure extended from the shore or area adjacent to deep water for the purpose of permitting the mooring of ships, barges or other watercraft.

(b)

“Dock area” means that part of the dock situated immediately adjacent to the mooring berth of ships, barges or other watercraft which is used primarily for the loading and unloading of waterborne cargo, but which shall not encompass any area other than that area from which cargo is hoisted or moved aboard a vessel, or to which cargo is set down when unloaded from a vessel when utilizing shipboard or dockside machinery.

(c)

“Dock area property” means all real property situated in the dock area, and includes all structures, machinery or equipment affixed to that property.

(d)

“School district” means a common or union high school district, but does not include a county education bond district, an education service district, a community college service district or a community college district. [Amended by 1955 c.267 §1; 1973 c.234 §1; 1977 c.615 §1; 1979 c.705 §1; 1981 c.160 §1; 1983 c.740 §86; 1987 c.583 §5; 1987 c.756 §10; 1991 c.459 §42; 1995 c.337 §2; 1997 c.271 §4; 1997 c.541 §103; 1997 c.600 §5; 1999 c.570 §1; 2001 c.114 §9; 2003 c.119 §1; 2003 c.169 §1]

Source: Section 307.120 — Property owned or leased by municipalities, dock commissions, airport districts or ports; exception; payments in lieu of taxes to school districts, https://www.­oregonlegislature.­gov/bills_laws/ors/ors307.­html.

Notes of Decisions

Dry boat storage building built over 300 feet from water and leased to taxable individuals was not exempted from taxation under “berthing” of watercraft exemption in this section. Port of Coos Bay v. Dept. of Rev., 298 Or 229, 691 P2d 100 (1984)

Exemption for property leased, subleased, rented or preferentially assigned for berthing watercraft applies to property used for berthing pleasure craft. South Beach Marina, Inc. v. Dept. of Rev., 301 Or 524, 724 P2d 788 (1986)

307.010
Definitions of “land” and “real property” for state property tax laws
307.020
Definition of “intangible personal property” and “tangible personal property” for state property tax laws
307.021
Definition of “manufactured structure” for ORS chapters 305, 307, 308, 310 and 311
307.022
Qualification for exemption of property of certain limited liability companies
307.030
Property subject to assessment generally
307.032
Maximum assessed value and assessed value of partially exempt property and specially assessed property
307.035
Publishing summary of certain exempt real property
307.040
Property of the United States
307.050
Property of the United States held under contract of sale
307.060
Property of the United States held under lease or other interest less than fee
307.070
Settled or claimed government land
307.080
Mining claims
307.090
Property of the state, counties and other municipal corporations
307.092
Property of housing authority
307.095
State property rented for parking subject to ad valorem taxation
307.100
Public property held by taxable owner under contract of purchase
307.107
Property used for natural gas pipeline extension project
307.110
Public property leased or rented by taxable owner
307.112
Property held under lease, sublease or lease-purchase by institution, organization or public body other than state
307.115
Property of nonprofit corporations held for public parks or recreation purposes
307.118
Wastewater and sewage treatment facilities
307.120
Property owned or leased by municipalities, dock commissions, airport districts or ports
307.123
Property of strategic investment program eligible projects
307.125
Property of forest protection agencies
307.130
Property of certain museums, volunteer fire departments and literary, benevolent, charitable and scientific institutions
307.134
Definition of fraternal organization
307.136
Property of fraternal organizations
307.140
Property of religious organizations
307.145
Certain child care facilities, schools and student housing
307.147
Senior services centers
307.150
Property used for burial, cremation or alternative disposition
307.155
When land exempt under ORS 97.660, 307.140 or 307.150 taxable
307.157
Cemetery or crematory land acquired by eleemosynary or charitable institution
307.158
Continued exemption for former cemetery or crematory land used for exempt low income housing
307.160
Property of public libraries
307.162
Claiming exemption
307.166
Property leased by exempt institution, organization or public body to another exempt institution, organization or public body
307.168
State land under lease
307.171
Sports facility owned by large city
307.175
Alternative energy systems
307.180
Property of Indians
307.181
Land acquired or owned by Indian tribe
307.182
Federal land used by recreation facility operators under permit
307.183
Summer homes on federal land occupied under permit
307.184
Summer homes on federal land occupied under lease
307.190
Tangible personal property held for personal use
307.195
Household furnishings owned by nonprofit organization furnishing housing for students attending institutions of higher education
307.197
Equipment used for certain emergencies in navigable waters
307.200
Public ways
307.203
Mobile home or manufactured dwelling parks financed by Housing and Community Services Department revenue bonds
307.210
Property of nonprofit mutual or cooperative water associations
307.241
Policy
307.242
Property of nonprofit corporation providing housing to elderly persons
307.243
Property to which exemption applies
307.244
Funded exemption
307.245
Denial of exemption for failure to reflect exemption by rent reduction
307.248
Suspense account
307.250
Property of veterans or surviving spouses
307.260
Claiming exemption
307.262
Tax years for which exemption may be claimed upon receipt of federal certification of disability
307.270
Property to which exemption of ORS 307.250 applies
307.280
Effect of exemption under ORS 307.250 on prior tax levied
307.283
Homesteads of unmarried surviving spouses of veterans of Civil War or Spanish War
307.286
Homestead exemption
307.289
Claiming homestead exemption
307.295
Property of surviving spouses of certain public safety officers killed in line of duty
307.315
Nursery stock
307.320
Deciduous trees, shrubs, plants, crops, cultured Christmas trees or hardwood on agricultural land
307.325
Agricultural products in possession of farmer
307.330
Commercial facilities under construction
307.340
Filing proof for cancellation of assessment
307.370
Property of nonprofit homes for elderly persons
307.375
Type of corporation to which exemption under ORS 307.370 applicable
307.380
Claiming exemption under ORS 307.370
307.385
Credit to resident’s account with share of tax exemption
307.390
Mobile field incinerators
307.391
Field burning smoke management equipment
307.394
Farm machinery and equipment
307.397
Certain machinery and equipment used in agricultural, aquacultural or fresh shell egg industry operations
307.398
Irrigation equipment
307.402
Beverage containers
307.405
Pollution control facilities
307.420
Filing claim and environmental certificate for exemption
307.430
Correction of assessment and tax rolls
307.450
Certain beach lands
307.453
Findings for food processing machinery and equipment exemption
307.455
Definitions for ORS 307.453 to 307.459
307.457
Certification of eligibility of machinery and equipment
307.458
Local option to reduce exemption
307.459
Rules
307.471
Student housing exempt from school district taxes
307.475
Hardship relief for failure to file for exemption, cancellation of assessment or redetermination of value
307.480
Definitions for ORS 307.480 to 307.510
307.485
Exemption
307.490
Payments in lieu of taxes
307.495
Claiming exemption
307.500
Review of claim by Department of Revenue
307.505
Inspection of farm labor camps
307.510
Appeal to tax court by taxpayer
307.512
Filing deadline for certain housing-related exemption and special assessment programs
307.513
Eligibility for exemption
307.515
Definitions for ORS 307.515 to 307.523
307.517
Criteria for exemption
307.518
Alternative criteria for exemption
307.519
Exemption limited to tax levy of governing body that adopts ORS 307.515 to 307.523
307.521
Application for exemption
307.523
Time for filing application
307.525
Action against landlord for failure to reduce rent
307.527
Ordinance or resolution approving or disapproving application
307.529
Notice of proposed termination of exemption
307.530
Termination if property held for future development or other purpose
307.531
Termination of exemption without notice
307.533
Review
307.535
Extension of deadline for completion
307.540
Definitions for ORS 307.540 to 307.548
307.541
Nonprofit corporation low income housing
307.543
Exemption limited to levy of governing body adopting ORS 307.540 to 307.548
307.545
Application for exemption
307.547
Determination of eligibility
307.548
Termination of exemption
307.555
Property burdened by affordable housing covenant used for owner-occupied housing
307.558
Termination of exemption for noncompliance
307.580
Property of industry apprenticeship or training trust
307.600
Legislative findings
307.603
Definitions for ORS 307.600 to 307.637
307.606
Exemption limited to tax levy of city or county that adopts ORS 307.600 to 307.637
307.609
Applicability of ORS 307.600 to 307.637 in cities and certain counties
307.612
Duration of exemption
307.615
City or county to provide application forms
307.618
City or county findings required for approval
307.621
Approval or denial of applications
307.624
Termination of exemption for failure to complete construction or noncompliance
307.627
Termination of exemption
307.631
Review of denial of application or termination of exemption
307.634
Extension of deadline for completion of construction, addition or conversion
307.637
Deadlines for actions required for exemption
307.651
Definitions for ORS 307.651 to 307.687
307.654
Legislative findings
307.657
Local government action to provide exemption
307.661
Median sales price
307.664
Exemption
307.667
Application for exemption
307.671
Approval criteria
307.674
Application, approval and denial procedures
307.677
Extension of construction period
307.681
Termination of exemption for failure to meet requirements
307.684
Immediate termination of exemption
307.687
Review of denial of application
307.804
Rural health care facilities
307.806
Exemption limited to taxes of district adopting ORS 307.804
307.808
Findings and declarations
307.811
Essential community provider long term care facilities
307.815
Exemption limited to taxes of district adopting ORS 307.811
307.818
Beach access sites
307.821
Disqualification
307.824
Findings and declarations
307.827
Environmentally sensitive logging equipment
307.831
Skyline and swing yarders
307.835
Cargo containers
307.841
Definitions for ORS 307.841 to 307.867
307.844
Zone designation
307.854
Acquisition, disposition and development of real property within zone
307.857
Application for exemption
307.858
Project certification requirements
307.861
Monitoring of certified projects
307.864
Partial property tax exemption
307.866
Decertification of project
307.867
Termination of zone
307.870
Definitions for ORS 307.870 to 307.890
307.872
Heavy equipment rental tax
307.875
Heavy equipment provider registration
307.878
Collection of tax
307.880
Refunds
307.883
Taxes held in trust
307.885
Applicability of other provisions of tax law
307.888
Distribution of moneys received
307.890
Exemption from disclosure
307.990
Penalties
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