2017 ORS 319.020¹
Monthly statement by dealer
  • license tax imposed
  • rules

(1) Subject to subsections (2) to (4) of this section, in addition to the taxes otherwise provided for by law, every dealer engaging in the dealer’s own name, or in the name of others, in the first sale, use or distribution of motor vehicle fuel or aircraft fuel or withdrawal of motor vehicle fuel or aircraft fuel for sale, use or distribution within areas in this state within which the state lacks the power to tax the sale, use or distribution of motor vehicle fuel or aircraft fuel, shall:

(a) Not later than the 25th day of each calendar month, render a statement to the Department of Transportation of all motor vehicle fuel or aircraft fuel sold, used, distributed or so withdrawn by the dealer in the State of Oregon as well as all such fuel sold, used or distributed in this state by a purchaser thereof upon which sale, use or distribution the dealer has assumed liability for the applicable license tax during the preceding calendar month. The dealer shall render the statement to the department in the manner provided by the department by rule.

(b) Except as provided in ORS 319.270 (Fuel sold or distributed to dealers), pay a license tax computed on the basis of 34 cents per gallon on the first sale, use or distribution of such motor vehicle fuel or aircraft fuel so sold, used, distributed or withdrawn as shown by such statement in the manner and within the time provided in ORS 319.010 (Definitions for ORS 319.010 to 319.430) to 319.430 (Savings clause).

(2) When aircraft fuel is sold, used or distributed by a dealer, the license tax shall be computed on the basis of 11 cents per gallon of fuel so sold, used or distributed, except that when aircraft fuel usable in aircraft operated by turbine engines (turbo-prop or jet) is sold, used or distributed, the tax rate shall be three cents per gallon.

(3) In lieu of claiming refund of the tax paid on motor vehicle fuel consumed by such dealer in nonhighway use as provided in ORS 319.280 (Refunds generally), 319.290 (Limitation on applications for refunds) and 319.320 (Refund of tax on fuel used in operation of vehicles over certain roads or private property), or of any prior erroneous payment of license tax made to the state by such dealer, the dealer may show such motor vehicle fuel as a credit or deduction on the monthly statement and payment of tax.

(4) The license tax computed on the basis of the sale, use, distribution or withdrawal of motor vehicle or aircraft fuel may not be imposed wherever such tax is prohibited by the Constitution or laws of the United States with respect to such tax. [Amended by 1955 c.730 §2; 1959 c.505 §2; 1967 c.463 §1; 1973 c.376 §1; 1977 c.293 §1; 1981 c.698 §1; 1983 c.727 §§1,5; 1985 c.209 §12; 1987 c.610 §2; 1987 c.899 §§8,10, 14; 1989 c.664 §2; 1989 c.865 §1; 1991 c.497 §§6,7; 1999 c.1037 §§1,3; 2009 c.865 §48; 2011 c.101 §1; 2015 c.700 §1; 2017 c.750 §40]

Note: The amendments to 319.020 (Monthly statement by dealer) by section 4, chapter 700, Oregon Laws 2015, apply to aircraft fuel sold, used or distributed on or after January 1, 2022. See section 6, chapter 700, Oregon Laws 2015. The text that applies to aircraft fuel sold, used or distributed on or after January 1, 2022, including amendments by section 41, chapter 750, Oregon Laws 2017, is set forth for the user’s convenience.

319.020 (Monthly statement by dealer). (1) Subject to subsections (2) to (4) of this section, in addition to the taxes otherwise provided for by law, every dealer engaging in the dealer’s own name, or in the name of others, in the first sale, use or distribution of motor vehicle fuel or aircraft fuel or withdrawal of motor vehicle fuel or aircraft fuel for sale, use or distribution within areas in this state within which the state lacks the power to tax the sale, use or distribution of motor vehicle fuel or aircraft fuel, shall:

(a) Not later than the 25th day of each calendar month, render a statement to the Department of Transportation of all motor vehicle fuel or aircraft fuel sold, used, distributed or so withdrawn by the dealer in the State of Oregon as well as all such fuel sold, used or distributed in this state by a purchaser thereof upon which sale, use or distribution the dealer has assumed liability for the applicable license tax during the preceding calendar month. The dealer shall render the statement to the department in the manner provided by the department by rule.

(b) Except as provided in ORS 319.270 (Fuel sold or distributed to dealers), pay a license tax computed on the basis of 34 cents per gallon on the first sale, use or distribution of such motor vehicle fuel or aircraft fuel so sold, used, distributed or withdrawn as shown by such statement in the manner and within the time provided in ORS 319.010 (Definitions for ORS 319.010 to 319.430) to 319.430 (Savings clause).

(2) When aircraft fuel is sold, used or distributed by a dealer, the license tax shall be computed on the basis of nine cents per gallon of fuel so sold, used or distributed, except that when aircraft fuel usable in aircraft operated by turbine engines (turbo-prop or jet) is sold, used or distributed, the tax rate shall be one cent per gallon.

(3) In lieu of claiming refund of the tax paid on motor vehicle fuel consumed by such dealer in nonhighway use as provided in ORS 319.280 (Refunds generally), 319.290 (Limitation on applications for refunds) and 319.320 (Refund of tax on fuel used in operation of vehicles over certain roads or private property), or of any prior erroneous payment of license tax made to the state by such dealer, the dealer may show such motor vehicle fuel as a credit or deduction on the monthly statement and payment of tax.

(4) The license tax computed on the basis of the sale, use, distribution or withdrawal of motor vehicle or aircraft fuel may not be imposed wherever such tax is prohibited by the Constitution or laws of the United States with respect to such tax.

Note: Section 45, chapter 750, Oregon Laws 2017, provides:

Sec. 45. (1)(a) For calendar years beginning on or after January 1, 2020, the rates determined under ORS 319.020 (Monthly statement by dealer) (1)(b) and 319.530 (Imposition of tax) (1) shall each be increased by two cents only if the Oregon Transportation Commission submits a report in the manner provided by ORS 192.245 (Form of report to legislature) on or before December 1, 2019, to the Joint Committee on Transportation established under section 26 of this 2017 Act [171.858 (Joint Committee on Transportation)] stating that:

(A) The commission has identified sufficient shovel-ready highway projects and highway maintenance or operational uses of the increased fuel tax revenue to justify the increase;

(B) The set of uniform standards required under section 11 (1) of this 2017 Act [184.657 (Describing and reporting condition of transportation infrastructure) (1)] has been developed and the standards are being followed;

(C) The reports required from cities and counties under section 11 (2) of this 2017 Act have been submitted and posted by the commission as required under section 11 (3) of this 2017 Act;

(D) The Department of Transportation is implementing the registration fees and title fees described in sections 32 [803.422 (Registration fees based on miles per gallon)] and 37 [803.091 (Title fees based on miles per gallon)] of this 2017 Act; and

(E) The Interstate 205 Active Traffic Management Project and the Interstate 205 Corridor Bottleneck Project have been completed.

(b) In addition to the facts stated in the report required under paragraph (a) of this subsection, the Oregon Transportation Commission shall also submit with the report:

(A) A list of the shovel-ready highway projects the commission expects to undertake with the revenue that will become available as a result of the increase;

(B) The amount of bonds the commission considers necessary to be issued to complete shovel-ready highway projects scheduled to be commenced after January 1, 2020;

(C) The construction and financial status of uncompleted in-progress projects exceeding $20 million identified in this 2017 Act;

(D) The status of the Treasure Valley Intermodal Facility Project and the Value Pricing Set-Up Project;

(E) Design, cost analysis and construction option packages for the Interstate 5 Rose Quarter Project for consideration by the Legislative Assembly; and

(F) The design, construction, financial status and progress of projects costing more than $20 million that are identified in this 2017 Act, including, but not limited to, the Interstate 205 Abernethy Bridge Project, the Interstate 205 Freeway Widening Project, the State Highway 217 Northbound Project and the State Highway 217 Southbound Project, and any other state transportation projects implemented after the effective date of this 2017 Act [October 6, 2017].

(2)(a) For calendar years beginning on or after January 1, 2022, the rates determined under ORS 319.020 (Monthly statement by dealer) (1)(b) and 319.530 (Imposition of tax) (1) and subsection (1) of this section shall each be increased by two cents only if the Oregon Transportation Commission submits a report in the manner provided by ORS 192.245 (Form of report to legislature) on or before December 1, 2021, to the Joint Committee on Transportation established under section 26 of this 2017 Act stating that:

(A) The Continuous Improvement Advisory Committee appointed under section 10 of this 2017 Act [184.665 (Continuous Improvement Advisory Committee)] has reviewed and reported to the commission on all transportation projects costing $50 million or more and completed not less than six months prior to the date of the report required under this paragraph;

(B) The recommendations for improvement reported by the Continuous Improvement Advisory Committee to the commission at least six months prior to the date of the report required under this paragraph have been implemented;

(C) The commission has identified sufficient shovel-ready highway projects and highway maintenance or operational uses of the increased fuel tax revenue to justify the increase;

(D) The set of uniform standards required under section 11 (1) of this 2017 Act has been developed and are being followed;

(E) The reports required from cities and counties under section 11 (2) of this 2017 Act have been submitted and posted by the commission as required under section 11 (3) of this 2017 Act;

(F) Under section 11 (4) of this 2017 Act, payments from the State Highway Fund have been withheld from cities and counties that failed to submit reports as required under section 11 (2) of this 2017 Act;

(G) To the best knowledge of the commission, all bodies scheduled to receive fuel tax revenue pursuant to this 2017 Act after the operative date of the increase are in compliance with ORS 279C.305 (Least-cost policy for public improvements) or under review by the Bureau of Labor and Industries for compliance with ORS 279C.305 (Least-cost policy for public improvements), or the commission has requested from the bureau confirmation of such compliance; and

(H) The Department of Transportation is implementing the registration fees and title fees described in sections 32 and 37 of this 2017 Act.

(b) In addition to the facts stated in the report required under paragraph (a) of this subsection, the Oregon Transportation Commission shall also identify in the report:

(A) A list of the shovel-ready highway projects the commission expects to undertake with the revenue that will become available as a result of the increase;

(B) The amount of bonds the commission considers necessary to be issued to complete shovel-ready highway projects scheduled to be commenced after January 1, 2022; and

(C) The construction and financial status of uncompleted in-progress projects exceeding $50 million identified in this 2017 Act; and

(D) The design, construction, financial status and progress of projects costing more than $20 million that are identified in this 2017 Act, including, but not limited to, the Interstate 5 Rose Quarter Project, the Interstate 205 Abernethy Bridge Project, the Interstate 205 Freeway Widening Project, the State Highway 217 Northbound Project and the State Highway 217 Southbound Project, and any other state transportation projects implemented after the effective date of this 2017 Act.

(3)(a) For calendar years beginning on or after January 1, 2024, the rates determined under ORS 319.020 (Monthly statement by dealer) (1)(b) and 319.530 (Imposition of tax) (1) and subsections (1) and (2) of this section shall each be increased by two cents only if the Oregon Transportation Commission submits a report in the manner provided by ORS 192.245 (Form of report to legislature) on or before December 1, 2023, to the Joint Committee on Transportation established under section 26 of this 2017 Act stating that:

(A) The Continuous Improvement Advisory Committee appointed under section 10 of this 2017 Act has reviewed and reported to the commission on all transportation projects costing $50 million or more and completed not less than six months prior to the date of the report required under this paragraph;

(B) The recommendations for improvement reported by the Continuous Improvement Advisory Committee to the commission at least six months prior to the date of the report required under this paragraph have been implemented;

(C) The commission has identified sufficient shovel-ready highway projects and highway maintenance or operational uses of the increased fuel tax revenue to justify the increase;

(D) The set of uniform standards required under section 11 (1) of this 2017 Act has been developed and are being followed;

(E) The reports required from cities and counties under section 11 (2) of this 2017 Act have been submitted and posted by the commission as required under section 11 (3) of this 2017 Act;

(F) Under section 11 (4) of this 2017 Act, payments from the State Highway Fund have been withheld from cities and counties that failed to submit reports as required under section 11 (2) of this 2017 Act; and

(G) To the best knowledge of the commission, all bodies scheduled to receive fuel tax revenue pursuant to this 2017 Act after the operative date of the increase are in compliance with ORS 279C.305 (Least-cost policy for public improvements) or under review by the Bureau of Labor and Industries for compliance with ORS 279C.305 (Least-cost policy for public improvements), or the commission has requested from the bureau confirmation of such compliance.

(b) In addition to the facts stated in the report required under paragraph (a) of this subsection, the Oregon Transportation Commission shall also submit with the report:

(A) A list of the shovel-ready highway projects the commission expects to undertake with the revenue that will become available as a result of the increase;

(B) The amount of bonds the commission considers necessary to be issued to complete shovel-ready highway projects scheduled to be commenced after January 1, 2024; and

(C) The design, construction, financial status and progress of projects costing more than $20 million that are identified in this 2017 Act, including, but not limited to, the Interstate 5 Rose Quarter Project, the Interstate 205 Abernethy Bridge Project, the Interstate 205 Freeway Widening Project, the State Highway 217 Northbound Project and the State Highway 217 Southbound Project, and any other state transportation projects implemented after the effective date of this 2017 Act. [2017 c.750 §45]

Note: Sections 7 and 8, chapter 700, Oregon Laws 2015, provide:

Sec. 7. (1) The following amounts shall be distributed in the manner prescribed in this section:

(a) Any amount of tax on aircraft fuel usable in aircraft operated by turbine engines that is computed on a basis in excess of one cent per gallon and any amount of tax on all other aircraft fuel that is computed on a basis in excess of nine cents per gallon, under ORS 319.020 (Monthly statement by dealer) (2); and

(b) Any amount of tax on aircraft fuel usable in aircraft operated by turbine engines in excess of one cent per gallon and any amount of tax on all other aircraft fuel in excess of nine cents per gallon, that is deducted before the refunding of tax under ORS 319.330 (Refunds to purchasers of fuel for aircraft) (1).

(2) Applications for distributions under this section may not be approved unless the applicant demonstrates a commitment to contribute at least five percent of the costs of the project to which the application relates. The Oregon Department of Aviation shall adopt rules for purposes of this subsection.

(3)(a) The State Aviation Board shall establish a review committee composed of one member from each of the area commissions on transportation chartered by the Oregon Transportation Commission.

(b) The review committee shall meet as necessary to review applications for distributions of amounts pursuant to this section. The criteria specified in ORS 367.084 (Selection of projects) (6) apply to the review process of the review committee.

(c) The review committee shall recommend applications to the State Aviation Board, which shall select applications with the following priority:

(A) First, to applications filed pursuant to subsection (5)(a)(A) of this section;

(B) Second, to applications filed with respect to safety and infrastructure development; and

(C) Third, to applications filed with respect to aviation-related economic benefits related to airports.

(4)(a) Five percent of the amounts described in subsection (1) of this section are appropriated to the Oregon Department of Aviation for the costs of the department and the State Aviation Board in administering this section.

(b) The remaining 95 percent of the amounts described in subsection (1) of this section shall be distributed pursuant to subsections (5) to (7) of this section.

(5)(a) Fifty percent of the amounts described in subsection (4)(b) of this section shall be distributed for the following purposes:

(A) To assist airports in Oregon with match requirements for Federal Aviation Administration Airport Improvement Program grants.

(B) To make grants for emergency preparedness and infrastructure projects, in accordance with the Oregon Resilience Plan, including grants for emergency management plan development, seismic studies and emergency generators and similar equipment.

(C) To make grants for:

(i) Services critical or essential to aviation, including, but not limited to, fuel, sewer, water and weather equipment.

(ii) Aviation-related business development, including, but not limited to, hangars, parking for business aircraft and related facilities.

(iii) Airport development for local economic benefit, including, but not limited to, signs and marketing.

(b) Priority in distributing grants shall be given to projects for which applicants demonstrate a commitment to contribute the greatest amounts toward the costs of the projects to which the applications relate.

(6) Twenty-five percent of the amounts described in subsection (4)(b) of this section shall be distributed for the purpose of assisting commercial air service to rural Oregon.

(7) Twenty-five percent of the amounts described in subsection (4)(b) of this section shall be distributed to state-owned airports for the purposes of:

(a) Safety improvements recommended by the State Aviation Board and local community airports.

(b) Infrastructure projects at public use airports.

(8)(a) The State Aviation Board shall submit reports, in the manner provided in ORS 192.245 (Form of report to legislature) and paragraph (b) of this subsection, that describe in detail the projects for which applications have been submitted and approved, the airports affected, the names of the applicants and the persons who will perform the work proposed in the applications, the progress of projects for which applications have been approved and any other information the board considers necessary for a comprehensive analysis of the implementation of this section.

(b) The reports described in paragraph (a) of this subsection shall be submitted:

(A) Not later than February 10 of each year to the committees of the Legislative Assembly related to air transportation; and

(B) Not later than September 30 of each year to the interim committees of the Legislative Assembly related to air transportation. [2015 c.700 §7; 2017 c.750 §80a]

Sec. 8. (1) Section 7 of this 2015 Act is repealed on January 2, 2022.

(2) Amounts described in section 7 (1) of this 2015 Act that are uncommitted on the date specified in subsection (1) of this section for distributions made pursuant to section 7 (5) to (7) of this 2015 Act may be expended as other aviation fuel tax revenues are expended. [2015 c.700 §8]

Chapter 319

Atty. Gen. Opinions

Applicability to “license” tax of exemp­tions from fuel tax and refund of taxes paid, (1974) Vol 37, p 229

1 Legislative Counsel Committee, CHAPTER 319—Motor Vehicle and Aircraft Fuel Taxes, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ors319.­html (2017) (last ac­cessed Mar. 30, 2018).
 
2 Legislative Counsel Committee, Annotations to the Oregon Revised Stat­utes, Cumulative Supplement - 2017, Chapter 319, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ano319.­html (2017) (last ac­cessed Mar. 30, 2018).
 
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.