2007 ORS 321.349¹
Valuation of certain forestland at farm use value

(1) Subject to subsection (2) of this section, land that is changed from farm use special assessment under ORS 308A.050 (Legislative intent) to 308A.128 (Certain district assessments inapplicable to exclusive farm use zone farmland) to special assessment as forestland under ORS 321.257 (Definitions for ORS 321.257 to 321.390) to 321.390 (Land used to grow certain hardwood to be assessed as farm use land), at the election of the owner made under rules adopted by the Department of Revenue, shall not be valued under ORS 308.205 (Real market value defined), 308.232 (Property to be valued at 100 percent real market value and assessed at assessed value) and 321.257 (Definitions for ORS 321.257 to 321.390) to 321.390 (Land used to grow certain hardwood to be assessed as farm use land) for the tax year of the change and years thereafter in which such special forestland assessment is in effect for the land, but shall be valued under ORS 308A.050 (Legislative intent) to 308A.128 (Certain district assessments inapplicable to exclusive farm use zone farmland), if:

(a) The land has been assessed under ORS 308A.050 (Legislative intent) to 308A.128 (Certain district assessments inapplicable to exclusive farm use zone farmland) for at least the 10 consecutive years immediately prior to the year for which the change is first effective;

(b) The planting of the timber takes place after October 15, 1983, and qualifies for the current tax year for special assessment as forestland under ORS 321.257 (Definitions for ORS 321.257 to 321.390) to 321.390 (Land used to grow certain hardwood to be assessed as farm use land);

(c) The timber on the land is of an average age of less than 40 years; and

(d) The land is held by an owner having a total ownership of forestland in western Oregon not in excess of 2,000 acres, as determined under subsection (3) of this section.

(2) If timber on land valued under subsection (1) of this section reaches, for any tax year, an average age of 40 years or more, this section shall cease to apply. However, without application and without any additional tax, interest or penalty, the land shall for that tax year and for each year thereafter for which the land is qualified, be valued under ORS 308.205 (Real market value defined), 308.232 (Property to be valued at 100 percent real market value and assessed at assessed value) and 321.257 (Definitions for ORS 321.257 to 321.390) to 321.390 (Land used to grow certain hardwood to be assessed as farm use land).

(3) In computing a forestland owner’s acreage for purposes of subsection (1) of this section, total ownership of the owner’s forestland, as defined in ORS 321.257 (Definitions for ORS 321.257 to 321.390), in western Oregon shall be included.

(4)(a) An owner may not have forestland valued under subsection (1) of this section if the owner, or any individual having a share in the owner, has a spouse, brother, sister, ancestor or lineal descendant who is an owner, or who holds a share in an owner having forestland valued under subsection (1) of this section.

(b) The county assessor may grant exceptions to paragraph (a) of this subsection if the owner satisfactorily demonstrates that the combination of ownership with the indicated relatives arose from bona fide business reasons other than a desire to circumvent the 2,000 acre limitation imposed under subsection (1) of this section.

(5) As used in this section, "total ownership" includes:

(a) Forestland owned by an owner individually; and

(b) Forestland owned by any corporate or other group or entity in which an owner of the corporation, group or entity owns a 10 percent or greater interest, directly or indirectly, in the corporation, group or entity. [1983 c.657 §8; 1991 c.459 §290; 1993 c.801 §38a; 1999 c.19 §6; 1999 c.314 §66; 1999 c.1078 §79; 2005 c.94 §102]

Atty. Gen. Opinions

Constitu­tionality of imposi­tion of both severance tax and prop­erty tax on certain timber land owners, (1979) Vol 39, p 603

Chapter 321

Notes of Decisions

Programs administered by Depart­ment of Revenue that allow preferential assess­ment for farm and forestland are not "programs affecting land use" and are not subject to require­ment of statewide goal and local comprehensive plan compliance under ORS 197.180 (State agency planning responsibilities). Springer v. LCDC, 111 Or App 262, 826 P2d 54 (1992), Sup Ct review denied

Atty. Gen. Opinions

Validity of ad valorem and severance taxa­tion of logs destined for export, (1975) Vol 37, p 427

Law Review Cita­tions

16 WLR 397 (1979)

1 Legislative Counsel Committee, CHAPTER 321—Timber and Forestland Taxation, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­321.­html (2007) (last ac­cessed Feb. 12, 2009).
 
2 Legislative Counsel Committee, Annotations to the Oregon Revised Stat­utes, Cumulative Supplement - 2007, Chapter 321, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­321ano.­htm (2007) (last ac­cessed Feb. 12, 2009).
 
3 OregonLaws.org assembles these lists by analyzing references between Sections. Each listed item refers back to the current Section in its own text. The result reveals relationships in the code that may not have otherwise been apparent.