Or. Admin. Code § 123-668-4300

Current through Register Vol. 63, No. 9, September 1, 2024

Section 123-668-4300 - Fee Delinquency

In relation to the school support fee in an agreement entered into between a zone sponsor and a business firm under ORS 285C.160 or 285C.403(4):

(1) Pursuant to timely notice in OAR 123-668-4200(4), except as otherwise specified in the agreement according to section (3) of this rule:

(a) On January 1 following the exemption year of the property tax savings on which the fee is based, any unpaid fee amount becomes delinquent, to which the business firm should be alerted;

(b) After March 1 but no later than April 1, the school district may give notice in writing to the business firm and to the county assessor of the fee amount remaining unpaid under ORS 285C.162(5)(a) or 285C.405(5)(a) along with a copy of notice from OAR 123-668-4200(4); and

(c) No interest or penalty is charged or added to any amount of the fee remaining unpaid.

(2) In relation to setting the fee rate or at any time after doing so, the zone sponsor and the school district may also formally establish certain provisions to be used with every agreement under ORS 285C.162(3)(c) and 285C.405(3)(c), such that:

(a) The arrangements would supersede section (1) of this rule if duly incorporated in the agreement; and

(b) The county assessor's involvement in devising such arrangements is advisable.

(3) Whether based on arrangements in section (2) of this rule or not, the agreement may specify under ORS 285C.162(3)(c) or 285C.405(3)(c):

(a) A date between January 1 and March 31, on which any unpaid fee becomes delinquent, in lieu of subsection (1)(a) of this rule;

(b) For purposes of the school district's giving notice, in lieu of subsection (1)(b) of this rule:

(A) The earliest that such notice may occur, not less than 61 days after the date of delinquency in subsection (a) of this section; and

(B) The latest that such notice may occur, on or before June 30 at the end of the tax year;

(c) Respective to any unpaid fee amount, in lieu of subsection (1)(c) of this rule:

(A) The rate at which interest on unpaid amount accrues, not to exceed 1 percent per month, between the date of delinquency in subsection (a) of this section and the latter of the date on which the school district:

(i) Has effectively been paid in full; or

(ii) Gives notice in subsection (b) of this rule; and

(B) The amount of penalty added to unpaid amount, not to exceed 25% of that amount in total, on the date of:

(i) Delinquency in subsection (a) of this section; or

(ii) Notice in subsection (b) of this section.

(4) For purposes of section (3) of this rule:

(a) Any unpaid fee amount includes but is not limited to outstanding interest or penalty, less any refund due to the firm under ORS 285C.162(4) or 285C.405(4).

(b) The agreement may also contain:

(A) Additional provisions that complement ORS 285C.162 or 285C.405, including but not limited to arrangements that facilitate payment or offset administrative costs for the school district; and

(B) Further details or contingencies that conform to parameters in section (3) of this rule, including but not limited to curing delinquency by payment in full, for which the agreement shall stipulate:

(i) Deadlines for curing in relation to dates as addressed in subsection (3)(b) of this rule; and

(ii) How timely cure affects interest or penalties as addressed in subsection (3)(c) of this rule.

(5) Pursuant to notice in subsection (1)(b) or (3)(b) of this rule for action by the county assessor under ORS 285C.162(5)(b) or 285C.405(5)(b):

(a) Only future years of exemption consistent with OAR 123-668-4200(1), if any remain, under the same authorization or certification of the business firm are forfeit, such that disqualification does not include back taxes.

(b) The unpaid amount of the fee with any associated interest or penalty, as described in subsection (3)(c) of this rule, is billed as part of general property tax collections, such that no funds are reserved for or distributed to the school district or to educational systems more generally.

(6) If the business firm receives the notice in OAR 123-668-4200(4) late, it may still make payment, but it is not subject to delinquency or any consequence of not paying in full, including but not limited to ORS 285C.162(5) and (6) or 285C.405(5) and (6).

Or. Admin. Code § 123-668-4300

OBDD 14-2024, adopt filed 06/10/2024, effective 6/10/2024

Statutory/Other Authority: ORS 285A.075 & 285C.060(1)

Statutes/Other Implemented: ORS 285C.160, 285C.162, 285C.403 & 285C.405