Oregon Administrative Code

123-650-0105 Temporary Restriction on Data Center Project Authorization (1) Pursuant to Section 11b, Chapter 50, Oregon Laws 2026 (Enrolled House Bill 4084), and notwithstanding any other provisions of this division of administrative rules, an eligible business firm may not be au…

123-650-0500 Local Government Sponsorship or Consent For purposes of enterprise zone designations, re-designations or boundary changes: (1) The zone shall be sponsored by, and only by, the governing body of every city, port or county, in whose territory the zone is located, with …

123-650-0600 Zones Allowed per Jurisdiction Enterprise zone designations, re-designations and boundary changes are subject to negative determinations under ORS 285C.074 and 285C.117, if needlessly redundant, in that: (1) Whenever practical, would-be Sponsoring Government(s) shall…

123-650-0700 Rural and Urban Designations As defined under ORS 285C.050, an enterprise zone is categorized as either ‘rural’ or ‘urban’ under ORS 285C.050(18) or (22), such that: (1) As used in ORS 285C.050(22), “regional or metropolitan urban growth boundary” means the UGB encom…

123-650-1000 DIMENSIONS AND BOUNDARIES — Size and Distances For purposes of an enterprise zone designation, re-designation or boundary change: (1) Except as allowed in OAR 123-650-1100: (a) The straight-line distance between any two points within the zone may not exceed 12 miles …

123-650-1100 Extended Rural Distances For purposes of ORS 285C.050(19), 285C.090(4) and 285C.120: (1) This rule has no bearing on total enterprise zone area as limited in OAR 123-650-1000(3) and applies only to rural enterprise zones that are or will be at least partially outside…

123-650-1500 Mapping and Defining Zone Boundary Any enterprise zone designation, re-designation or boundary change shall demonstrate adherence to OAR 123-650-1000 or 123-650-1100 by including all of the following with the documentation submitted to the Department under ORS 285C.0…

123-650-4000 DESIGNATIONS & BOUNDARY CHANGES — Initiating Designation To designate or re-designate an enterprise zone under ORS 285C.065 or 285C.250: (1) The process begins with the Sponsoring Government(s) sending a formal advisory to the Department of its intent to re-/designat…

123-650-4100 Documentation Pursuant to Zone Designation For purposes of complying with ORS 285C.074, a zone sponsor shall submit the following documentation to the Department to designate or re-designate an enterprise zone under ORS 285C.065 or 285C.250 or a zone or city for elec…

123-650-4200 Mandatory Economic Development Need for Zone Designation (1) For purposes of designation or re-designation of an enterprise zone, the enterprise zone must be located in a Local Area in which the cities, counties or ports designating the enterprise zone provide satisf…

123-650-4400 Documentation with Enterprise Zone Amendments During the duration that an enterprise zone is designated, a sponsor of the zone may change the zone boundary. A zone change is not final until a positive determination has been made by the Department, and the zone sponso…

123-650-4500 Economic Conditions for Areas Added by Boundary Changes Under ORS 285C.115(2)(c), an area may be added to an enterprise zone only if it and adjoining residential areas are economically comparable to the original enterprise zone: (1) Economic statistics or data for th…

123-650-4600 Additional Issues with Boundary Changes With respect to any enterprise zone boundary change under ORS 285C.115: (1) Usable land described in section (2) of this rule must comprise: (a) At least 25 percent of what is added (except as specially allowed by the Departmen…

123-650-4800 Local Resolutions and Zone Options For purposes of city, port or county resolutions under this chapter, including but not limited to resolutions to designate, re-designate or amend an enterprise zone; and resolutions to enter into an agreement with a business firm fo…

123-650-4900 Agency Determinations The Department shall thoroughly review the documentation submitted with an enterprise zone designation, re-designation or zone amendment including but not limited to a boundary change, as described in OAR 123-650-4100 or 123-650-4400, and shall …

123-650-5000 LOCAL TAXING DISTRICTS — Regular Designation Notice (1) The designation or re-designation of an enterprise zone under ORS 285C.065 or 285C.250 must entail notice to and consultation with local taxing districts that: (a) Formally commences only after the Department co…

123-650-5100 Public Meeting for Regular Designations For purposes of ORS 285C.067, the Sponsoring Government(s) shall conduct a public meeting (though not necessarily hold a public hearing or issue a public notice for the meeting): (1) That occurs not less than seven days before …

123-650-5200 Consultations Generally with Taxing Districts (1) In anticipation of or subsequent to the meeting described in OAR 123-650-5100, or as otherwise warranted with an enterprise zone designation, re-designation or boundary change, the Sponsoring Government(s) or zone spo…

123-650-5300 Fee Rates to Support Oregon Schools (1) A positive determination by the Department of any designation or re-designation of an enterprise zone under ORS 285C.074 depends on setting a rate or rates for support fees with K–12 school districts: (a) As part of requisite c…

123-650-5500 Notice for Boundary Changes A change to an existing enterprise zone boundary must entail notice to local taxing districts before the submission under ORS 285C.117 to the Department that generally conforms to that described in OAR 123-650-5000, except: (1) The notice …

123-650-9100 ZONE TERMINATION — Events and Timing For purposes of these administrative rules and designations or re-designations of enterprise zones by city, port or county governments: (1) The official existence of such an enterprise zone concludes for one of three reasons: (a) …

123-650-9500 Business Tax Abatements and Zone Termination In relation to OAR 123-650-9100(1) when an enterprise zone terminates: (1) This rule defines the effect for exemptions on business property under: (a) ORS 285C.175 consistent with OAR 123-674 for standard enterprise zone t…

123-650-9600 Later Approval and Tax Abatement in a Terminated Zone Under ORS 285C.245(6) or (8) after termination of an enterprise zone regardless of the reason in OAR 123-650-9100(1): (1) For a business to receive exemption pursuant to section (2) of this rule inside the former …

123-650-9700 Timely Completion of Investments For purposes of a proposed investment in qualified property or a facility by a business firm authorized or certified in a terminated enterprise zone: (1) As used in ORS 285C.245: (a) “… within a reasonable time …” means that property …

123-656-0001 Purpose and Scope This division of administrative rules addresses the existence of enterprise zones in addition to OAR 123-650, as provided under: (1) ORS 285C.300 to 285C.320 respective to Oregon-based Tribes; and (2) ORS 285C.085 based on special federal designatio…

123-656-0100 Definitions OAR 123-001 (Procedural Rules) and 123-650 define terms used in this division of administrative rules. In addition: (1) As used in ORS 285C.085(4)(b), “all areas within both the federal enterprise zone and the city, county or port are included in a state …

123-656-1000 TRIBAL ZONES — Applicability of Regular Parameters For purposes of RENZs and RPRZs: (1) Their creation does not depend on any measure of local economic development need or on consultation with local taxing districts. (2) They do not need to satisfy the following requ…

123-656-1200 Reservation Enterprise Zone Designations For purposes of RENZs, consistent with OAR 123-656-1000: (1) To apply for designation of a RENZ, the Tribe shall furnish the Department with the following: (a) A copy of the resolution requesting designation, as duly adopted b…

123-656-1400 Reservation Partnership Zone Co-sponsorships For purposes of RPRZs, consistent with OAR 123-656-1000 and pursuant to a co-sponsorship agreement: (1) The zone’s effective beginning, equivalent to designation, is the execution of the agreement or a specified, later dat…

123-656-1600 Tribal Credit against State Income Taxes For purposes of the standard credit under ORS 315.506 to offset state personal or corporate income/excise tax liabilities based on tribal taxes incurred or paid to the Tribe for an applicable business facility in any RENZ or R…

123-656-2000 FEDERAL ENTERPRISE ZONES — Federally Based Designation For purposes of applying for and designating an enterprise zone under ORS 285C.085(2): (1) City, port or county governments may seek designation of a zone corresponding to the boundary of a single Federal Enterpr…

123-656-2100 Boundary Changes to Conform to Federal Zone For purposes of a local request to change the boundary of an existing enterprise zone under ORS 285C.085(3): (1) The request is generally comparable to submission as described in OAR 123-650-4400 and OAR 123-656-2000. (2) S…

123-656-2300 Terminations For an enterprise zone designated as described in OAR 123-656-2000: (1) The zone terminates by operation of state law under ORS 285C.245(1)(a), subsequent to the effective date of designation by order of the Director, regardless of any intervening termin…

123-662-0001 Purpose and Scope This division of administrative rules specifies matters related to areas designated for electronic commerce and the business tax incentives especially available in them, including but not limited to the electronic commerce overlay of an enterprise z…

123-662-0100 Definition of Electronic Commerce OAR 123-001 (Procedural Rules) defines terms used in this division of administrative rules, unless the context demands otherwise; in addition, for purposes of Electronic Commerce as defined under ORS 285C.050(5): (1) E-commerce zone …

123-662-1000 Electronic Commerce Zone Status (1) An E-commerce zone may be any enterprise zone, whether urban or rural, except as described in section (3) of this rule, that is already designated in accordance with OAR 123-650 or 123-656 and has not terminated. (2) Electronic com…

123-662-1200 Designated Areas (1) The sponsor of any eligible existing enterprise zone that is not already an E-commerce zone or has not revoked such status may designate itself as an E-commerce zone in accordance with OAR 123-662-1000: (a) If the Legislature allows additional el…

123-662-2000 Enterprise Zone Business Eligibility Respective to the standard exemption from property taxes under ORS 285C.175: (1) A business firm engaged in Electronic Commerce will likely be eligible in other ways under ORS 285C.135, but it shall not be subject to the requireme…

123-662-2100 Waiver or Pilot Program for Business Eligibility For the purposes of ORS 285C.135(3)(b), a business firm engaged in a business activity described in ORS 285C.135(2) may qualify as an eligible business firm if the zone sponsor(s) request a waiver or authorization of a…

123-668-0001 Purpose and Scope This division of administrative rules provides guidance and parameters applicable to: (1) Selected issues regarding how the local sponsor operates and controls an enterprise zone, including with respect to business tax incentives (primarily for the …

123-668-0100 Sponsor of a Zone OAR 123-001 (Procedural Rules) contains definitions used in this division. Additionally, as used in this division and related divisions of this chapter of administrative rules (OAR 123-650 to 123-690), as well as relevant parts of ORS chapter 285C, …

123-668-1000 DUTIES & OPTIONS — Local Zone Manager For purposes of ORS 285C.105(1)(a): (1) The sponsor of an enterprise zone shall appoint and maintain a local zone manager, though not necessarily by resolution, which must be done no more than 90 days after the zone’s re-/designa…

123-668-1100 Reports by Sponsor at Beginning and End of an Enterprise Zone (1) Within six months after re-/designation of any enterprise zone, the zone sponsor shall provide the following information, unless fully completed as part of documentation submitted with re-/designation,…

123-668-1300 Enhanced Public Services and Other Local Incentives For purposes of ORS 285C.105(1)(b) and local incentives that an enterprise zone sponsor or cosponsor elects by policy to provide to authorized business firms qualifying for the standard property tax exemption (OAR 1…

123-668-1400 Locally Available, Public Real Estate For purposes of ORS 285C.105(1)(g) and 285C.110: (1) The zone sponsor shall: (a) Prepare and maintain a list and map of land, buildings and structures within the zone that are: (A) Owned by any agency on behalf of the state gover…

123-668-1600 Funds Derived through an Enterprise Zone Moneys or revenue due to the enterprise zone are a special but publicly accountable resource, which are subject to applicable provisions under ORS Chapter 294 and other state or local laws with regard to collecting, holding an…

123-668-1700 Authorization Filing Fee For purposes of ORS 285C.140(1)(c): (1) When applying for authorization under ORS 285C.140, an eligible business firm may be required to pay a fee that the sponsor of the enterprise zone has established: (a) Up to the greater of: (A) $200; or…