Bill Text: OR HB2316 | 2011 | Regular Session | Introduced


Bill Title: Relating to the integration of Portland State University and Oregon Health and Science University.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2011-06-30 - In committee upon adjournment. [HB2316 Detail]

Download: Oregon-2011-HB2316-Introduced.html


     76th OREGON LEGISLATIVE ASSEMBLY--2011 Regular Session

NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .

LC 226

                         House Bill 2316

Sponsored by Representative GREENLICK (Presession filed.)

                             SUMMARY

The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.

  Establishes Portland State University as public corporation
under control of Portland Metropolitan Universities Board of
Directors.
  Removes Portland State University from Oregon University
System.
  Declares legislative intent regarding Portland State University
budget and funding.
  Changes name of Oregon Health and Science University Board of
Directors to Portland Metropolitan Universities Board of
Directors.
  Becomes operative July 1, 2013.

                        A BILL FOR AN ACT
Relating to the integration of Portland State University and
  Oregon Health and Science University; creating new provisions;
  and amending ORS 31.850, 97.170, 131.594, 174.108, 181.871,
  183.635, 184.475, 184.477, 190.410, 192.501, 192.502, 192.690,
  238.005, 238A.005, 238A.140, 243.107, 243.820, 243.910,
  244.050, 276.227, 276.229, 279A.025, 283.143, 284.633, 284.701,
  285B.168, 286A.001, 287A.001, 307.095, 307.110, 326.543,
  329.840, 332.155, 336.057, 337.500, 337.511, 338.115, 340.005,
  341.440, 343.961, 344.557, 348.180, 348.205, 348.210, 348.270,
  348.394, 348.597, 348.900, 351.010, 351.203, 351.509, 351.511,
  351.649, 351.656, 351.663, 351.666, 351.695, 351.697, 351.810,
  351.820, 351.840, 351.870, 352.002, 352.063, 352.066, 352.068,
  352.071, 352.074, 352.375, 353.010, 353.020, 353.030, 353.040,
  353.050, 353.060, 353.070, 353.080, 353.100, 353.110, 353.117,
  353.120, 353.130, 353.140, 353.160, 353.180, 353.190, 353.200,
  353.202, 353.205, 353.210, 353.250, 353.260, 353.270, 353.280,
  353.290, 353.300, 353.340, 353.350, 353.360, 353.370, 353.380,
  353.390, 353.400, 353.410, 353.440, 353.445, 353.600, 408.095,
  431.690, 433.090, 461.535, 461.543, 660.315, 679.020, 696.182
  and 759.445 and sections 13 and 17, chapter 761, Oregon Laws
  2007, and section 22, chapter 904, Oregon Laws 2009.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 353.020 is amended to read:
  353.020.  { + (1) + } Oregon Health and Science University is
established as a public corporation and shall exercise and carry
out all powers, rights and privileges that are expressly
conferred upon it, are implied by law or are incident to such
powers. The university shall be a governmental entity performing
governmental functions and exercising governmental powers. The
university shall be an independent public corporation with
statewide purposes and missions and without territorial
boundaries. The university shall be a governmental entity but
 { - shall not be - }   { + is not + } considered a unit of local
or municipal government or a state agency for purposes of state
statutes or constitutional provisions.
   { +  (2) Portland State University is established as a public
corporation and shall exercise and carry out all powers, rights
and privileges that are expressly conferred upon it, are implied
by law or are incident to such powers. The university shall be a
governmental entity performing governmental functions and
exercising governmental powers. The university shall be an
independent public corporation with statewide purposes and
missions and without territorial boundaries. The university shall
be a governmental entity but is not considered a unit of local or
municipal government or a state agency for purposes of state
statutes or constitutional provisions. + }
  SECTION 2.  { + Section 3 of this 2011 Act is added to and made
a part of ORS chapter 353. + }
  SECTION 3.  { + (1) The Portland Metropolitan Universities
Board of Directors shall develop a plan for the final
reorganization of Oregon Health and Science University and
Portland State University.
  (2) The board shall submit the plan in a report, including
recommendations for any necessary legislation, to the interim
committees of the Legislative Assembly related to education as
appropriate, in the manner provided by ORS 192.245, no later than
October 1, 2015.
  (3) The reorganization plan adopted by the Portland
Metropolitan Universities Board of Directors shall take effect no
later than July 1, 2023. + }  { -  - }
  SECTION 4. ORS 353.010 is amended to read:
  353.010. As used in this chapter:
    { - (1) 'Board' means the Oregon Health and Science
University Board of Directors established under ORS 353.040. - }
    { - (2) 'Public corporation' means an entity that is created
by the state to carry out public missions and services. In order
to carry out these public missions and services, a public
corporation participates in activities or provides services that
are also provided by private enterprise. A public corporation is
granted increased operating flexibility in order to best ensure
its success, while retaining principles of public accountability
and fundamental public policy. The board of directors of a public
corporation is appointed by the Governor and confirmed by the
Senate but is otherwise delegated the authority to set policy and
manage the operations of the public corporation. - }
    { - (3) 'University' or 'Oregon Health and Science
University' means the Oregon Health and Science University public
corporation created under ORS 353.020. - }
   { +  (1) 'Board' means the Portland Metropolitan Universities
Board of Directors established under ORS 353.040.
  (2) 'Oregon Health and Science University' means the Oregon
Health and Science University public corporation created under
ORS 353.020 (1).
  (3) 'Portland State University' means the Portland State
University public corporation created under ORS 353.020 (2).
  (4) 'Public corporation' means an entity that is created by the
state to carry out public missions and services and that is
characterized by:
  (a) A board of directors appointed by the Governor and
confirmed by the Senate that sets policy and manages the
operations of the corporation;
  (b) Exemption from the requirements of specified state statutes
pertaining to governmental operation, so as to allow increased
operating flexibility to ensure success, while retaining
principles of public accountability and implementing a
fundamental public policy; and
  (c) A public mission, but with the provision of activities and
services that are also provided by private enterprise. + }
  SECTION 5. ORS 353.030 is amended to read:
  353.030. (1) It shall be the public policy of the Oregon Health
and Science University in carrying out its missions as a public
corporation:
  (a) To serve the people of the State of Oregon by providing
education in health, science, engineering and their management
for students of the state and region.
  (b) To provide:
  (A) An environment that stimulates the spirit of inquiry,
initiative and cooperation between and among students, faculty
and staff;
  (B) Research in health care, engineering, biomedical sciences
and general sciences; and
  (C) The delivery of health care to contribute to the
development and dissemination of new knowledge.
  (2) The university will strive for excellence in education,
research, clinical practice, scholarship and community service
while maintaining compassion, personal and institutional
integrity and leadership in carrying out its missions.
  (3) The university is designated to carry out the following
public purposes and missions on behalf of the State of Oregon:
  (a) Provide high quality educational programs appropriate for a
health and science university;
  (b) Conduct research in health care, engineering, biomedical
sciences and general sciences;
  (c) Engage in the provision of inpatient and outpatient
clinical care and health care delivery systems throughout the
state;
  (d) Provide outreach programs in education, research and health
care;
  (e) Serve as a local, regional and statewide resource for
health care providers; and
  (f) Continue a commitment to provide health care to the
underserved patient population of Oregon.
  (4) The university shall carry out the public purposes and
missions of this section in the manner that, in the determination
of the   { - Oregon Health and Science University - }
 { + Portland Metropolitan Universities + } Board of Directors,
best promotes the public welfare of the people of the State of
Oregon.
  SECTION 6.  { + It shall be the public policy of Portland State
University, in carrying out its missions as a public corporation,
to promote and enhance higher education as provided in ORS
351.007. The university shall carry out the public purposes and
missions of this section in the manner that, in the determination
of the Portland Metropolitan Universities Board of Directors,
best promotes the public welfare of the people of the State of
Oregon. + }
  SECTION 7. ORS 353.040 is amended to read:
  353.040. (1) There is established   { - an Oregon Health and
Science University - }   { + a Portland Metropolitan
Universities + } Board of Directors consisting of   { - 10 - }
 { + 15 + } members. The directors, except for the
 { - president of the university - }  { +  presidents of Oregon
Health and Science University and Portland State University + },
shall be appointed by the Governor and shall be confirmed by the
Senate in the manner prescribed in ORS 171.562 and 171.565.
  (2) Except for the   { - president of the university - }  { +
presidents of the universities + }, the term of office of each
nonstudent member is four years. The term of office of the
student member is two years. Before the expiration of the term of
a member, the Governor shall appoint a successor whose term
begins on October 1 next following. A member is eligible for
reappointment for one additional term. If there is a vacancy for
any cause, the Governor shall make an appointment to become
effective immediately for the unexpired term. The board shall
nominate a slate of candidates whenever a vacancy occurs or is
announced and shall forward the recommended candidates to the
Governor for consideration. To assist the Governor in appointing
the student member, the duly organized and recognized
 { - entity - }   { + entities + } of student government shall
 { + each + } submit a list of nominees to the Governor for
consideration.
  (3) The membership of the board shall be as follows:
  (a) One representative who is a nonstudent member of the State
Board of Higher Education.
  (b)   { - Seven - }   { + Nine + } representatives who, in the
discretion of the Governor, have experience in areas related to
the   { - university - }  { + universities' + } missions or that
are important to the success of Oregon Health and Science
University { +  and Portland State University + }, including but
not limited to higher education, health care, scientific
research,  { + social sciences, arts, + } engineering and
technology and economic and business development.
  (c) One representative who is a student enrolled at
 { - the - }  { + Oregon Health and Science + } University { +
or Portland State University + }.
  (d) The president of   { - the - }   { + Oregon Health and
Science + } University, who shall be an ex officio voting member.
   { +  (e) The president of Portland State University, who shall
be an ex officio voting member.
  (f) A member of the Senate, appointed by the President of the
Senate, who shall be a nonvoting member.
  (g) A member of the House of Representatives, appointed by the
Speaker of the House of Representatives, who shall be a nonvoting
member. + }
  (4) Directors must be citizens of the United States. Except for
the   { - president of the university - }  { +  presidents of the
universities + }, no voting member may be an employee of
 { - the - }   { + Oregon Health and Science + } University { +
or Portland State University + }.
  (5) The   { - board - }   { + Portland Metropolitan
Universities Board of Directors + } shall select one of its
members as chairperson and another as vice chairperson for such
terms and with such duties and powers as the board considers
necessary for performance of the functions of those offices. The
board shall adopt bylaws concerning how a quorum shall be
constituted and when a quorum shall be necessary.
  (6) The board shall meet at least once every three months at
Oregon Health and Science University { +  or Portland State
University + }.  The board shall meet at such other times and
places specified by the chairperson or by a majority of the
members of the board.
  (7) The Governor may remove any member of the board { + ,
except for the presidents of the universities, the member from
the Senate or the member from the House of Representatives, + }
at any time for cause, after notice and public hearing, but not
more than three members shall be removed within a period of four
years, unless it is for corrupt conduct in office.
  SECTION 8.  { + Notwithstanding the term of office specified in
ORS 353.040, of the additional voting members first appointed to
the Portland Metropolitan Universities Board of Directors
pursuant to the amendments to ORS 353.040 by section 7 of this
2011 Act:
  (1) One shall serve for a term ending July 1, 2015.
  (2) One shall serve for a term ending July 1, 2017. + }
  SECTION 9.  { + (1) The Portland Metropolitan Universities
Board of Directors established under ORS 353.040 shall study the
feasibility of imposing a local tax that would be dedicated to
funding all or a portion of the powers conferred upon the board
by ORS 353.050.
  (2) The board shall report the findings of its study and its
recommendations based on the study to the appropriate interim
committee of the Legislative Assembly related to revenue no later
than July 1, 2014. + }
  SECTION 10. ORS 353.050 is amended to read:
  353.050. Except as otherwise provided in this chapter, the
  { - Oregon Health and Science University - }   { + Portland
Metropolitan Universities + } Board of Directors, or  { + Oregon
Health and Science University and Portland State + } University
officials acting under the authority of the board, shall exercise
all the powers of   { - the - } Oregon Health and Science
University  { + and Portland State University + } and shall
govern the   { - university - }  { +  universities + }.   { - In
carrying out its powers, rights and privileges, the university
shall be a governmental entity performing governmental functions
and exercising governmental powers. The university or - }  The
board may either within or outside the state:
  (1) Determine or approve policies for the organization,
administration and development of the   { - university - }  { +
universities + }.
  (2) Appoint and employ any instructional, administrative,
professional, trade, occupational and other personnel as are
necessary or appropriate to carry out the missions of the
  { - university - }  { +  universities + }, and prescribe
 { - their - }  compensation and terms of office or
employment { +  for the personnel + }.
  (3) Make any and all contracts and agreements, enter into any
partnership, joint venture or other business arrangement
 { - , - }   { + and + } create and participate fully in the
operation of any business structure, including but not limited to
the development of business structures for health care delivery
systems and networks with any public or private government,
nonprofit or for-profit person or entity that { + , + } in the
judgment of the   { - university - }  { + universities + } or the
board { + , + } is necessary or appropriate to carry out the
 { - university's - }   { + universities' + } missions and goals.
  (4) Acquire, purchase, receive, hold, control, convey, sell,
manage, operate, lease, license, lend, invest, improve, develop,
use, dispose of and hold title to real and personal property of
any nature, including intellectual property, in   { - its - }
 { + the board's + } own name { +  or in the universities' own
names + }.
  (5) Sue in   { - its - }   { + the board's + } own name  { + or
in the universities' own names + } and be sued, plead and be
impleaded in all actions, suits or proceedings in any forum
brought by or against   { - it - }   { + the board or
universities + } by any and all private or state, local, federal
or other public entities, agencies or persons.
  (6) Encourage gifts and donations for the benefit of the
  { - university - }  { +  universities + }, and subject to the
terms of the gift, retain, invest and use such gifts as deemed
appropriate by the
  { - university - }   { + universities + } or the board.
  (7) Acquire, receive, hold, keep, pledge, control, convey,
manage, use, lend, expend and invest all funds, appropriations,
gifts, bequests, stock and revenue from any source to the
  { - university - }  { +  universities + }.
  (8) Borrow money for the needs of the   { - university - }
 { +  universities + }, in such amounts and for such time and
upon such terms as may be determined by the   { - university - }
 { + universities + } or the board.
  (9) Erect, construct, improve, develop, repair, maintain,
equip, furnish, lease, lend, convey, sell, manage, operate, use,
dispose of and hold title to buildings, structures and lands for
the   { - university - }  { +  universities + }.
  (10) Purchase   { - any and all - }  insurance, operate a
self-insurance program or otherwise arrange for the equivalent of
insurance coverage of any nature and the indemnity and defense of
  { - its - }   { + the + } officers, agents and employees or
other persons designated by the   { - university - }
 { + universities + } to carry out or further the missions of the
 { - university - }  { +  universities + }.
  (11) Create, develop, supervise, control and adopt academic
programs, including standards, qualifications, policies or
practices relating to admissions, curriculum, academic
advancement, grading policy, student conduct, credits and
scholarships and the granting of academic degrees, certificates
and other forms of recognition.
  (12) Authorize, create, eliminate, establish, operate,
reorganize, reduce or expand any program, school, institute,
health care facility or other unit of operation.
  (13) Establish, charge, collect and use charges for enrollment
into the   { - university - }  { +  universities + }, including
charges such as tuition for education and general services,
incidental fees and such other charges found by the
 { - university - }   { + board + } to be necessary to carry out
 { - its - }  educational programs. Fees realized in excess of
amounts allocated and exceeding required reserves shall be
considered surplus incidental fees and shall be allocated for
programs under the control of the board and found to be
advantageous to the cultural or physical development of students
of the   { - university - }   { + universities + } upon the
recommendation of the recognized student   { - government - }
 { + governments + } of the   { - university - }  { +
universities + }.
  (14) Establish, charge, collect and use charges and fees for
university services and the use of   { - university - }   { + the
universities' + } facilities.
  (15) Impose charges, fines, fees and such other regulations
considered convenient or necessary to control and regulate
traffic and parking of vehicles to the same extent allowed the
State Board of Higher Education. This authority includes the
authority to enforce the regulations of the   { - university - }
 { + universities + } in a court to the extent allowed the State
Board of Higher Education in enforcing the state board's
regulations as provided in ORS 352.360 (7).
  (16) Commission special campus security officers to be known as
university police. University police commissioned under this
subsection have all the powers and authority given by statute to
peace officers and police officers of this state. University
police shall complete training necessary for certification as
police officers at an academy operated or authorized by the
Department of Public Safety Standards and Training at the expense
of the   { - Oregon Health and Science University - }
 { + Portland Metropolitan Universities  + }Board of Directors.
University police are not authorized to carry firearms as police
officers and are not police officers for purposes of ORS 238.005,
243.005 or 243.736. The   { - university is a - }
 { + universities are + } criminal justice
  { - agency - }   { + agencies + } for purposes of ORS 181.715
and 181.720 and   { - a - } law enforcement   { - unit - }
 { + units + } within the meaning of ORS 181.610 (12).
  (17) Enforce and recover for payment to the
 { - university - }  { + universities + } any fines that are
authorized by this chapter.
  (18) Adopt, amend or repeal bylaws, administrative rules,
regulations and orders applicable to the matters that are the
subject of this chapter.

  (19) Contract with any state agency for the performance of such
duties, functions and powers as is appropriate. A state agency
 { - shall - }   { + may + } not charge the   { - university - }
 { + universities + } for such services an amount that is greater
than the actual cost of the services.
  (20) Purchase, receive, subscribe for or otherwise acquire,
own, hold, vote, use, sell, mortgage, lend, pledge, invest in or
otherwise dispose of and deal in or with the shares, stock or
other equity or interests in or obligations of any other entity.
Separate funds may be established for such investments. The State
of Oregon shall have no proprietary or other interest in such
investments or such funds.
  (21) Make available, by lease or otherwise, or control access
to any health care facilities or services or other of
 { - its - }   { + the universities' + } properties and assets to
such persons, firms, partnerships, associations or corporations
and on such terms as considered appropriate, charge and collect
rent or other fees or charges therefor and terminate or deny any
such access or any such lease or other agreement for such reasons
as considered appropriate and as may be consistent with its
obligations under any such lease or other agreement.
  (22) Contract for the operation of any department, section,
equipment or holdings of the   { - university - }
 { + universities + } and enter into any agreements with any
person, firm or corporation for the management by said person,
firm or corporation on behalf of the
  { - university - }   { + universities + } of any   { - of
its - }  properties  { + of the universities + } or for the more
efficient or economical performance of clerical, accounting,
administrative   { - and - }   { + or + } other functions
  { - relating to its health care facilities - } .
  (23) Select and appoint faculty as medical and dental staff
members and others licensed to practice the healing arts,
delineate and define the privileges granted each such individual,
adopt and direct a plan for faculty clinical income and set the
terms and conditions of that plan (including such modifications
to any such existing plan as considered necessary or appropriate
upon expiration of the term of such plan), and determine the
extent to which and the terms upon which each such individual may
provide teaching, research, consulting or other services at
 { - the - }   { + Oregon Health and Science + } University or
any other health care facility.
  (24) Enter into affiliation, cooperation, territorial,
management or other similar agreements with other public or
private universities or health care providers for the sharing,
division, allocation or furnishing of services on an exclusive or
a nonexclusive basis, referral of patients, management of
facilities, formation of health care delivery systems and other
similar activities.
  (25) Perform any other acts that in the judgment of the board
or   { - university - }   { + universities + } are requisite,
necessary or appropriate in accomplishing the purposes described
in or carrying out the powers granted by this chapter.
  (26) Exercise   { - these powers - }  { +  the powers granted
by this chapter + }, notwithstanding that as a consequence of the
exercise of such powers, the   { - university engages - }
 { + universities engage + } in activities that might otherwise
be deemed anticompetitive within the contemplation of state or
federal antitrust laws.
  SECTION 11. ORS 353.060 is amended to read:
  353.060.  { + (1) + } The   { - Oregon Health and Science
University - }  { + Portland Metropolitan Universities + } Board
of Directors shall appoint a president of   { - the - }
 { + Oregon Health and Science + } University.  The president is
the president of the faculty and is the executive and governing
officer of   { - the - }   { + Oregon Health and Science + }
University. Subject to the supervision of the board, the
president has authority to direct the affairs of   { - the - }
 { + Oregon Health and Science + } University.
   { +  (2) The Portland Metropolitan Universities Board of
Directors shall appoint a president of Portland State University.
The president is the president of the faculty and is the
executive and governing officer of Portland State University.
Subject to the supervision of the board, the president has
authority to direct the affairs of Portland State University. + }
  SECTION 12.  { + The president of Portland State University on
the operative date of this section shall remain as president
under the supervision of the Portland Metropolitan Universities
Board of Directors. At any time after the operative date of this
section the Portland Metropolitan Universities Board of Directors
may choose to replace the president with a new appointment. + }
  SECTION 13. ORS 353.070 is amended to read:
  353.070. (1) As used in this section:
  (a) 'Direct labor' includes all work required for preparation,
processing and packing, but not supervision, administration,
inspection or shipping.
  (b) 'Individual with a disability' means an individual who,
because of the nature of the individual's disability, is not able
to participate fully in competitive employment, and for whom
specialized employment opportunities must be provided.
  (c) 'Qualified nonprofit agency for individuals with
disabilities' means a nonprofit activity center or rehabilitation
facility:
  (A) Organized under the laws of the United States or of this
state and operated in the interest of individuals with
disabilities, and the net income of which does not inure in whole
or in part to the benefit of any shareholder or other individual;
  (B) That complies with any applicable occupational health and
safety standards required by the laws of the United States or of
this state; and
  (C) That in the manufacture of products and in the provision of
services during the fiscal year employs individuals with
disabilities for not less than 75 percent of the work hours of
direct labor required for the manufacture or provision of the
products or services.
  (2) The   { - Oregon Health and Science University - }
 { + Portland Metropolitan Universities + } Board of Directors
shall further the policy of this state to encourage and assist
individuals with disabilities to achieve maximum personal
independence through useful and productive gainful employment by
ensuring an expanded and constant market for sheltered workshop
and activity center products and services, thereby enhancing the
dignity and capacity of individuals with disabilities for
self-support and minimizing their dependence on welfare and need
for costly institutionalization.
  (3) It shall be the duty of   { - Oregon Health and Science
University - }   { + the board + } to { +  do all of the
following + }:
  (a) Determine the price of all products manufactured and
services offered for sale to   { - the - }   { + Oregon Health
and Science + } University  { + or Portland State University + }
by any qualified nonprofit agency for individuals with
disabilities. The price shall recover for the workshops the cost
of raw materials, labor, overhead, delivery costs and a margin
held in reserve for inventory and equipment replacement { + . + }
 { - ; - }
  (b) Revise such prices from time to time in accordance with
changing cost factors { + . + }  { - ; - }
  (c) Make such rules regarding specifications, time of delivery
and other relevant matters of procedure as shall be
necessary { + . + }  { - ; and - }

  (d) Utilize prices and specifications, in its discretion,
established by the Oregon Department of Administrative Services.
  (4) The   { - university - }   { + board + } shall establish
and publish a list of sources or potential sources of products
produced by any qualified nonprofit agency for individuals with
disabilities and the services provided by any such agency that
the   { - university - }  { + board + } determines are suitable
for its procurement. The
  { - university - }  { +  board + }, in its discretion, may
utilize any list established and published by the Oregon
Department of Administrative Services.
  (5) If   { - the university - }   { + Oregon Health and Science
University or Portland State University + } intends to procure
any product or service on the procurement list, the university
shall procure such product or service at the price established by
the   { - university - }  { + board + } from a qualified
nonprofit agency for individuals with disabilities, provided the
product or service is of the appropriate specifications and is
available at the location and within the period required by the
university.
  (6) It is the intent of the Legislative Assembly that there be
close cooperation between the board, the   { - university - }
 { + universities + } and qualified nonprofit agencies for
individuals with disabilities. The   { - university - }  { +
universities + }, on behalf of the board,   { - is - }
 { + are + } authorized to enter into such contractual
agreements, cooperative working relationships or other
arrangements as may be necessary for effective coordination and
efficient realization of the objectives of this section.
  SECTION 14. ORS 353.080 is amended to read:
  353.080.  { + (1) + } Oregon Health and Science University
shall file with the Legislative Assembly and the Governor, not
later than April 15 of each year, a report of the university's
activities and operations for the preceding year.
   { +  (2) Portland State University shall file with the
Legislative Assembly and the Governor, not later than April 15 of
each year, a report of the university's activities and operations
for the preceding year. + }
  SECTION 15. ORS 353.100 is amended to read:
  353.100. (1)  { + Notwithstanding subsections (3) and (4) of
this section, + } the provisions of ORS chapters 35, 190, 192,
244 { + , 287A, + }
  { - and - }  295 { +  and 340 + } and ORS 30.260 to 30.460,
 { + 31.850 to 31.890, + } 200.005 to 200.025, 200.045 to
200.090, 236.605 to 236.640, 243.650 to 243.782, 297.040,
307.090 { + , + }   { - and - }   { + 307.095, + }
307.112 { + , + }  { +  337.500 to 337.506, 351.649, 351.656,
351.695, 351.820, 351.840 and 433.090 to 433.102 + } apply to
Oregon Health and Science University  { + and Portland State
University + } under the same terms as they apply to public
bodies other than the state. { +  ORS 336.057 applies to Portland
State University under the same terms as it applies to public
bodies other than the state. + }
  (2) Except as otherwise provided by law, the provisions of ORS
chapters 182, 183, 240, 270, 273, 276, 279A, 279B, 279C, 283,
 { +  286A, + } 291, 292, 293, 294 and 297 and ORS 35.550 to
35.575, 180.060, 180.210 to 180.235, 183.710 to 183.725, 183.745,
183.750, 184.305 to 184.345, 190.430, 190.480, 190.490, 192.105,
200.035, 243.105 to 243.585, 243.696, 278.011 to 278.120, 278.315
to 278.415, 279.835 to 279.855, 282.010 to 282.150,  { + 348.594
to 348.615, + } 357.805 to 357.895 and 656.017 (2) do not apply
to   { - the university - }  { +  Oregon Health and Science
University or Portland State University + } or any not-for-profit
organization or other entity if the equity of the
 { + organization or + } entity is owned exclusively by

  { - the - }  { +  either + } university and if the organization
or entity is created by   { - the - }  { +  either + } university
to advance any of   { - the - }  { +  that + } university's
statutory missions.
  (3)   { - The - }  { +  Oregon Health and Science + }
University, as a distinct governmental entity, or any
organization or entity described in subsection (2) of this
section { + , the equity of which is owned exclusively by Oregon
Health and Science University, + } is not subject to any
provision of law enacted after January 1, 1995, with respect to
any governmental entity,  { + that is unique to governmental
entities, + } unless the provision specifically provides that it
applies to the university or to the organization or entity.
   { +  (4) Portland State University, as a distinct governmental
entity, or any organization or entity described in subsection (2)
of this section, the equity of which is owned exclusively by
Portland State University, is not subject to any provision of law
enacted after January 1, 2011, with respect to any governmental
entity, that is unique to governmental entities, unless the
provision specifically provides that it applies to the university
or to the organization or entity. + }
  SECTION 16.  { + Section 17 of this 2011 Act is added to and
made a part of ORS chapter 353. + }
  SECTION 17.  { + (1) Legal title to real property and
facilities acquired by the State of Oregon prior to the operative
date of this section and utilized by Portland State University
shall remain with the State of Oregon. However, the university
shall have the exclusive care, custody and control of such real
property and facilities pursuant to an exclusive leasehold
interest in the real property and facilities for a term of 99
years. The term of the leasehold shall begin on the operative
date of this section and shall renew automatically and
perpetually for consecutive 99-year terms.
  (2) Notwithstanding any other provisions of Oregon law
concerning the authority of state agencies to lease real property
and facilities, the Oregon Department of Administrative Services
acting on behalf of the State of Oregon shall execute a ground
lease for all real property and facilities utilized by the
university consistent with the provisions of this section.
  (3) The ground lease is not subject to any termination unless:
  (a) The State of Oregon causes all outstanding obligations of
the university to be defeased under the terms of any applicable
master indenture or financing agreement; and
  (b) There are no other conditions placed on the university.
  (4) Upon execution of the ground lease, the university shall
pay the State of Oregon the sum of $99 in consideration for the
ground lease.
  (5) The university shall manage and maintain all real property
and facilities utilized by the university. Real property and
facilities of the State of Oregon leased to the university
pursuant to this section may not be sold by the university but
may be encumbered by the university. Such real property and
facilities shall be encumbered by the State of Oregon only in
accordance with state law and in a manner that would not impair
the financial condition of the university or the rights of the
holders of any obligations of the university issued or incurred
under any master indenture or other financing agreement. + }
  SECTION 18. ORS 353.110 is amended to read:
  353.110.   { - The - }  Oregon Health and Science University
 { + or Portland State University + } may acquire, by
condemnation or otherwise, private property that is necessary or
convenient in carrying out any power granted to the university.
The right to acquire property by condemnation shall be exercised
as provided by ORS chapter 35.
  SECTION 19. ORS 353.117 is amended to read:

  353.117. (1) Pursuant to ORS 353.050, Oregon Health and Science
University  { + or Portland State University + } may create and
maintain an entity that is exempt from federal income tax under
section 501(c)(3) of the Internal Revenue Code, as amended, for
the purpose of conducting clinical care and practice and
advancing other university missions by the faculty.
  (2) Any entity created by   { - the - }   { + a + } university
under subsection (1) of this section shall be considered:
  (a) A public employer for purposes of ORS 236.605 to 236.640
and ORS   { - chapters - }  { +  chapter + } 238   { - and
238A - } ;
   { +  (b) A participating public employer for the purposes of
ORS chapter 238A; + }
    { - (b) - }  { +  (c) + } A unit of local government for
purposes of ORS 190.003 to 190.130;
    { - (c) - }  { +  (d) + } A public body for purposes of ORS
30.260 to 30.300 and 307.112;
    { - (d) - }  { +  (e) + } A public agency for purposes of ORS
200.090; and
    { - (e) - }  { +  (f) + } A public corporation for purposes
of ORS 307.090.
  SECTION 20. ORS 353.120 is amended to read:
  353.120. The   { - Oregon Health and Science University - }
 { + Portland Metropolitan Universities Board of Directors + }
shall adopt a comprehensive alcohol and drug abuse policy and
implementation plan.
  SECTION 21. ORS 353.130 is amended to read:
  353.130. The   { - Oregon Health and Science University
subscribes to the policy set forth under ORS 279A.015 regarding
public contracting, and - }   { + Portland Metropolitan
Universities Board of Directors + } shall develop contract
policies that support openness, impartiality and competition in
the awarding of contracts in accordance with   { - that
provision. The university subscribes to the intent of the social
policies of ORS 279.835 to 279.855 and ORS chapters 279A, 279B
and 279C and - }   { + the provisions of ORS 279A.015.  The
board + } shall develop contract policies that are appropriate to
  { - the - }   { + Oregon Health and Sciences University and
Portland State + } University and are designed to encourage
affirmative action, recycling,  { + the + } inclusion of art in
public buildings, the purchase of services and goods from
individuals with disabilities, the protection of workers through
the payment of prevailing wages as determined by the Bureau of
Labor and Industries, the provision of workers' compensation
insurance to workers on contracts and the participation of
emerging small businesses and businesses owned by women and
minorities.
  SECTION 22. ORS 353.140 is amended to read:
  353.140. (1) By September 1 of each even-numbered
year { + , + } the
  { - Oregon Health and Science University - }   { + Portland
Metropolitan Universities Board of Directors + } shall submit to
the Oregon Department of Administrative Services a funding
request for each biennium. The Oregon Department of
Administrative Services shall include and submit a
 { - university - }   { + board + } funding request to the
Legislative Assembly as part of the Governor's biennial budget.
Any such request approved by the Legislative Assembly shall be
appropriated to the Oregon Department of Administrative Services
for direct allocation to   { - the - }   { + Oregon Health and
Science + } University { +  and Portland State University + }.
The budget request to the Legislative Assembly shall include a
presentation on tuition and student fee levels.
  (2) The   { - university budget - }   { + universities'
budgets + } shall be prepared in accordance with generally
accepted accounting principles and adopted by   { - the Oregon
Health and Science University Board of Directors in accordance
with ORS 192.610 to 192.710 - }  { +  the board + }.
  SECTION 23.  { + Section 24 of this 2011 Act is added to and
made a part of ORS chapter 353. + }
  SECTION 24.  { + It is the intent of the Legislative Assembly
that:
  (1) The budget of Portland State University continue to be
based on the funding formula used by the State Board of Higher
Education to calculate the budgets for state institutions of
higher education within the Oregon University System;
  (2) The Portland Metropolitan Universities Board of Directors
allocate to Portland State University a funding amount that is
based on that funding formula; and
  (3) The Legislative Assembly appropriate for Portland State
University an amount that is based on that funding formula. + }
  SECTION 25. ORS 353.160 is amended to read:
  353.160. Nothing in this chapter affects the constitutional
duties and authority of the Secretary of State to audit public
accounts. However,   { - the - }  Oregon Health and Science
University  { + and Portland State University + } shall conduct
independent audits if the audits are considered advisable by the
 { - university - }  { +  Portland Metropolitan Universities
Board of Directors + }. Subject to ORS 297.250, the audits are
subject to the exclusive discretion and control of the
 { - university - }  { +  board + }.   { - The audits are subject
to disclosure pursuant to ORS 192.410 to 192.505. - }
  SECTION 26. ORS 353.180 is amended to read:
  353.180.   { - Oregon Health and Science University - }
 { + The Portland Metropolitan Universities Board of
Directors + } may adopt policies relating to the creation, use,
custody and disclosure, including access, of student education
records of   { - the - }   { + Oregon Health and Science
University or Portland State + } University that are consistent
with the requirements of applicable state and federal law.
Whenever a student has attained 18 years of age or is attending
 { - the - }   { + Oregon Health and Science University or
Portland State  + }University, the permission or consent required
of and the rights accorded to a parent of the student regarding
education records shall thereafter only be required of and
accorded to the student.
  SECTION 27. ORS 353.190 is amended to read:
  353.190. (1)   { - No student shall be refused admission to
the - } Oregon Health and Science University   { - or be
expelled - }   { + and Portland State University may not refuse
admission to or expel an individual + } for the sole reason that,
because of religious beliefs, the   { - student - }
 { + individual + } is unable to attend classes on a particular
day.
  (2) Any student in the   { - university - }
 { + universities + } who, because of religious beliefs, is
unable to attend classes on a particular day shall be excused on
that day from any examination, study requirement or work
requirement. However, at the student's own expense the student
shall make up the examination, study requirement or work
requirement missed because of the absence.
  SECTION 28. ORS 353.200 is amended to read:
  353.200. (1) A student at   { - the - }  Oregon Health and
Science University  { + or Portland State University + } who is a
member of the military and who is ordered to federal or state
active duty for more than 30 consecutive days has the following
rights:
  (a) With regard to a course in which the student is enrolled
and for which the student has paid tuition and fees, the right
to:
  (A) Withdraw from the course, subject to the provisions of
subsection (2) of this section;
  (B) Receive a grade of incomplete and, upon release from active
duty, complete the course in accordance with the practice of the
university for completion of incomplete courses; or
  (C) Continue and complete the course for full credit, subject
to the provisions of subsection (3) of this section;
  (b) The right to a credit described in ORS 353.202 for all
amounts paid for room, board, tuition and fees;
  (c) If the student elects to withdraw from the university, the
right to be readmitted and reenrolled at the university within
one year after release from active duty without a requirement of
redetermination of admission eligibility; and
  (d) The right to continuation of scholarships and grants
awarded to the student that were funded by the university or the
Oregon Student Assistance Commission before the student was
ordered to active duty.
  (2) If the student elects to withdraw from a course under
subsection (1)(a)(A) of this section, the university may not:
  (a) Give the student academic credit for the course from which
the student withdraws;
  (b) Give the student a failing grade or a grade of incomplete
or make any other negative annotation on the student's record; or
  (c) Alter the student's grade point average due to the
student's withdrawal from the course.
  (3) A student who elects to continue and complete a course for
full credit under subsection (1)(a)(C) of this section is subject
to the following conditions:
  (a) Course sessions the student misses due to active duty shall
be counted as excused absences and may not adversely impact the
student's grade for the course or rank in the student's class.
  (b) The student may not be automatically excused from
completing course assignments due during the period the student
serves on active duty.
  (c) A letter grade or a grade of pass may be awarded only if,
in the opinion of the teacher of the course, the student
completes sufficient work and demonstrates sufficient progress
toward meeting course requirements to justify the grade.
  (4) The   { - Oregon Health and Science University - }
 { + Portland Metropolitan Universities  + }Board of Directors
shall adopt rules for the administration of this section.
  (5) As used in this section, 'member of the military' means a
person who is a member of:
  (a) The Oregon National Guard or the National Guard of any
other state or territory; or
  (b) The reserves of the Army, Navy, Air Force, Marine Corps or
Coast Guard of the United States.
  SECTION 29. ORS 353.202 is amended to read:
  353.202. (1)(a) The amount of the credit specified in ORS
353.200 (1)(b) shall be based on:
  (A) The amount of room and board paid by the student for a term
that the student does not complete because the student is ordered
to active duty; and
  (B) The amount of tuition and fees paid by the student for a
course from which the student withdraws.
  (b) The amount of the credit shall be prorated based on the
number of weeks remaining in the term or course when the student
withdraws.
  (c) At the time a student withdraws from a course at
 { - the - } Oregon Health and Science University  { + or
Portland State University + } or from   { - the - }
 { + either + } university, the student must elect to claim the
credit:
  (A) As a credit toward tuition and fees or room and board if
the student reenrolls at the university under ORS 353.200 (1)(c);
or
  (B) As a monetary payment.

  (2) A student who elects to claim the credit by the method
described in subsection (1)(c)(A) of this section may change the
method of claiming the credit to the method described in
subsection (1)(c)(B) of this section by giving notice to the
university.
  (3) A student who elects to claim the credit by the method
described in subsection (1)(c)(A) of this section must use the
credit or change the method of claiming the credit under
subsection (2) of this section within one year after release from
active duty.
  (4) A personal representative of a student who elected to claim
the credit by the method described in subsection (1)(c)(A) of
this section may claim a monetary payment upon presenting
evidence to the university that the student died while serving on
active duty.
  (5) The   { - Oregon Health and Science University - }
 { + Portland Metropolitan Universities  + }Board of Directors
shall adopt rules for the administration of this section,
including rules that determine the amount of credit and the
method by which the credit is prorated.
  SECTION 30. ORS 353.205 is amended to read:
  353.205.   { - The - }  Oregon Health and Science University
 { + and Portland State University + } shall give credit for
education and training obtained by a person while serving in the
Armed Forces of the United States, as defined in ORS 351.642. The
education and training for which credit may be given must meet
the standards adopted by the   { - Oregon Health and Science
University - }   { + Portland Metropolitan Universities  + }Board
of Directors by rule.
  SECTION 31. ORS 353.210 is amended to read:
  353.210. (1) The   { - Oregon Health and Science University - }
 { + Portland Metropolitan Universities Board of Directors + }
shall convene a physical access committee to identify barriers to
access by persons with disabilities at   { - the - }   { + Oregon
Health and Science University and Portland State  + }University.
The committee shall include, but not be limited to:
  (a) One or more students with disabilities or, if there are no
students with disabilities willing to participate, a person with
a disability who uses the   { - university's - }  facilities { +
of one of the universities + };
  (b) One or more members of the faculty or staff  { + of the
universities + } with disabilities;
  (c) The   { - coordinator - }   { + coordinators + } of
services for students with disabilities for the
 { - university - }  { +  universities + };
  (d) One or more administrators of the   { - university - }
 { +  universities + }; and
  (e) One or more members of the physical plant staff of the
  { - university - }  { +  universities + }.
  (2) The physical access committee shall present its findings
and recommendations to the   { - administration of the
university - }  { +  board + }, listing access needs and
priorities for meeting those needs. These findings and
recommendations shall identify the barriers to access that
prevent persons with disabilities from meaningfully utilizing
 { - campus - }   { + university + } facilities related to
instruction, academic support, assembly and residence life.
  (3) In preparing budget requests for each biennium, the
  { - university - }   { + board + } shall include amounts for
capital improvement that will be applied to the substantial
reduction and eventual elimination of barriers to access by
persons with disabilities as identified by the physical access
committee.
  (4) Nothing in this section and ORS 185.155 and 341.937
requires the   { - university - }   { + universities + } to
undertake projects for accessibility that are not otherwise
required unless such projects are funded specifically by the
Legislative Assembly.
  SECTION 32. ORS 353.250 is amended to read:
  353.250. Notwithstanding the provisions of ORS chapters 238 and
238A, the   { - Oregon Health and Science University - }
 { + Portland Metropolitan Universities Board of Directors + }
may offer to   { - its - } employees { +  of Oregon Health and
Science University and Portland State University + }, in addition
to the Public Employees Retirement System, alternative retirement
programs.
  SECTION 33. ORS 353.260 is amended to read:
  353.260. (1)   { - Oregon Health and Science University - }
 { + The Portland Metropolitan Universities Board of
Directors + } may adopt policies governing access to  { + Oregon
Health and Science University and Portland State + } University
personnel records that are less than 25 years old.
  (2) Policies adopted under subsection (1) of this section shall
require that personnel records be subjected to restrictions on
access unless the president of   { - the - }   { + Oregon Health
and Science + } University  { + or the president of Portland
State University + } finds that the public interest in
maintaining individual rights to privacy in an adequate
educational environment would not suffer by disclosure of such
records. Access to such records may be limited to designated
classes of information or persons, or to stated times and
conditions, or to both, but cannot be limited for records more
than 25 years old.
  (3) No rule or order adopted pursuant to this section shall
deny to a faculty member full access to the member's personnel
file or records kept by the   { - university - }  { +
universities + }, except as provided in subsection (4)(d) and (e)
of this section.
  (4)(a) The files relating to the evaluation of a faculty member
shall be kept in designated, available locations.
  (b) Any evaluation received by telephone shall be documented in
each of the faculty member's files by means of a written summary
of the conversation with the names of the conversants identified.
  (c) A faculty member shall be entitled to submit, for placement
in the files, evidence rebutting, correcting, amplifying or
explaining any document contained therein and other material that
the member believes might be of assistance in the evaluation
process.
  (d) Letters and other information for a faculty member of the
  { - university - }   { + universities + } submitted in
confidence to the State Board of Higher Education or its
institutions, schools or departments prior to July 1, 1975, shall
be maintained in the files designated by paragraph (a) of this
subsection. However, if a faculty member requests access to those
files, the anonymity of the contributor of letters and other
information obtained prior to July 1, 1975, shall be protected.
The full text shall be made available, except that portions of
the text that would serve to identify the contributor shall be
excised by a faculty committee.  Only the names of the
contributors and the excised portions of the documents may be
kept in a file other than the files designated by paragraph (a)
of this subsection.
  (e) Confidential letters and other information submitted to or
solicited by   { - the - }   { + Oregon Health and Science + }
University after July 1, 1995,  { + or by Portland State
University after the operative date of this section, + } and
prior to the employment of a prospective faculty member are
exempt from the provisions of this paragraph.  However, if the
member is employed by   { - the university - }  { +  Oregon
Health and Science University or Portland State University + },
the confidential preemployment materials shall be placed in the
files designated by paragraph (a) of this subsection. If a
faculty member requests access to the member's files, the
anonymity of the contributor of confidential preemployment
letters and other preemployment information shall be protected.
The full text shall be made available, except that portions of
the text that would serve to identify the contributor shall be
excised and retained in a file other than the files designated by
paragraph (a) of this subsection.
  (f) Classroom survey evaluations by students of a faculty
member's classroom or laboratory performance shall be anonymous.
The record of tabulated reports shall be placed in at least one
of the files designated by paragraph (a) of this subsection. All
survey instruments used to obtain evaluation data shall be
returned to the faculty member.
  (g) The   { - university - }  { +  universities + }, when
evaluating   { - its employed - }  faculty members { +  employed
by the universities + },   { - shall - }  { + may + } not solicit
or accept letters, documents or other materials, given orally or
in written form, from individuals or groups who wish their
identity kept anonymous or the information they provide kept
confidential.
  (5)   { - No - }   { + A + } policy or order adopted pursuant
to this section
  { - limits - }   { + does not limit  + }the authority of the
 { - university - }  { + universities + } to prepare, without
identification of individual persons who have not consented
thereto, statistical or demographic reports from personnel
records.
  (6) Any category of personnel records specifically designated
as confidential pursuant to valid policies or orders as provided
in this section   { - shall - }   { + may + } not be deemed a
public record for the purposes of ORS 192.420.
  (7) As used in this section, 'personnel records' means records
containing information kept by the   { - university - }
 { + universities + } concerning a faculty member and furnished
by the faculty member or by others about the faculty member at
the member's  { + request + } or at the   { - university's - }
request { +  of the university employing the member + },
including but not limited to information concerning discipline,
membership activity, employment performance or other personal
records of individual persons.
  SECTION 34. ORS 353.270 is amended to read:
  353.270. (1)   { - Oregon Health and Science University - }
 { + The Portland Metropolitan Universities Board of
Directors + } may authorize receipt of compensation for any
officer or employee of
  { - the - }   { + Oregon Health and Science University or
Portland State + } University from private or public resources,
including but not limited to income from:
  (a) Consulting;
  (b) Appearances and speeches;
  (c) Intellectual property conceived, reduced to practice or
originated and therefore owned within the   { - university - }
 { +  universities + };
  (d) Providing services or other valuable consideration for a
private corporation, individual or entity, whether paid in cash
or in kind, stock or other equity interest, or anything of value
regardless of whether there is a licensing agreement between
 { - the university - }   { + one of the universities + } and the
private entity;
  (e) Performing public duties paid by private organizations,
including university corporate affiliates, that augment an
officer's or employee's publicly funded salary. Such income shall
be authorized and received in accordance with policies
established by the   { - university - }  { +  board + }; and
  (f) Providing medical and other health services.

  (2) The   { - university - }   { + board + } may not authorize
compensation, as described in subsection (1) of this section,
that, in the
  { - university's - }   { + board's + } judgment, does not
comport with the missions of the   { - university - }
 { + universities + } or substantially interferes with an
officer's or employee's duties to the
  { - university - }  { +  universities + }.
  (3) Any compensation described and authorized under subsection
(1) of this section is considered official compensation or
reimbursement of expenses for purposes of ORS 244.040 and is not
considered an honorarium prohibited by ORS 244.042. If
authorization or receipt of the compensation creates a potential
conflict of interest, the officer or employee shall report the
potential conflict in writing in accordance with policies of the
  { - university - }  { +  board + }. The disclosure is a public
record subject to public inspection.
  (4) The   { - university - }   { + board + } shall adopt
standards governing employee outside employment and activities of
employees, including potential conflicts of interest, as defined
by the   { - university - }  { +  board + } and consistent with
ORS 244.020, and the public disclosure thereof, and procedures
for reporting and hearing potential or actual conflict of
interest complaints.
  SECTION 35. ORS 353.280 is amended to read:
  353.280.  { + (1) + } The president and professors constitute
the faculty of   { - the - }  Oregon Health and Science
University and as such have the immediate government and
discipline of   { - it - }   { + the university + } and the
students therein. The faculty may, subject to the supervision of
the   { - Oregon Health and Science University - }  { + Portland
Metropolitan Universities + } Board of Directors, prescribe the
course of study to be pursued at the university and the textbooks
to be used.
   { +  (2) The president and professors constitute the faculty
of Portland State University and as such have the immediate
government and discipline of the university and the students
therein. The faculty may, subject to the supervision of the
Portland Metropolitan Universities Board of Directors, prescribe
the course of study to be pursued at the university and the
textbooks to be used. + }
  SECTION 36. ORS 353.290 is amended to read:
  353.290. The   { - Oregon Health and Science University - }
 { + Portland Metropolitan Universities Board of Directors + }
shall consider and maintain affirmative action plans and goals
when reductions in faculty and staff  { + of Oregon Health and
Science University or Portland State University + } are required
as a result of:
  (1) Reductions in revenue that necessitate discontinuance of
  { - its - }  educational   { - program at its anticipated
level - }  { +  programs at anticipated levels + };
  (2) Elimination of classes due to decreased student enrollment;
or
  (3) Reduction in courses due to administrative decisions.
  SECTION 37. ORS 353.300 is amended to read:
  353.300.   { - No - }   { + Oregon Health and Science
University and Portland State University may not use any + }
political or sectarian test   { - shall ever be allowed or
applied - }  in the appointment of faculty and other employees of
the   { - Oregon Health and Science University - }  { +
universities + }.
  SECTION 38.  { + Section 39 of this 2011 Act is added to and
made a part of ORS chapter 353. + }
  SECTION 39.  { + (1) The transfer of the duties, functions and
powers relating to Portland State University from the State Board
of Higher Education to the Portland Metropolitan Universities
Board of Directors may not be construed in any way to impair the
obligations or agreements of the State of Oregon or the State
Board of Higher Education with respect to bonds, certificates of
participation, financing agreements or other agreements for the
borrowing of money issued prior to the operative date of this
section by the State of Oregon on behalf of the State Board of
Higher Education for equipment or projects for the university.
The Portland Metropolitan Universities Board of Directors and the
State Board of Higher Education shall take all actions necessary
to ensure full compliance with all indentures, resolutions,
declarations, agreements and other documents issued with respect
to the bonds, certificates of participation, financing agreements
or other agreements for the borrowing of money issued prior to
the operative date of this section by the State of Oregon on
behalf of the State Board of Higher Education for equipment or
projects for the university. The State Board of Higher Education
and the Portland Metropolitan Universities Board of Directors
shall establish, in a written agreement that shall be subject to
the approval of the State Treasurer, the responsibility of the
Portland Metropolitan Universities Board of Directors for the
payment to the State Board of Higher Education of moneys
sufficient to pay when due all principal, interest and any other
charges on bonds, certificates of participation, financing
agreements or other agreements for the borrowing of money issued
prior to the operative date of this section by the State of
Oregon on behalf of the State Board of Higher Education for
equipment or projects for the university.
  (2) Holders of obligations issued by the university on or after
the operative date of this section may be paid at an equal pace
with the obligations issued by the State of Oregon on behalf of
the State Board of Higher Education for equipment or projects for
the university prior to the operative date of this section from
the rents, revenues, receipts, appropriations or other income of
the university, but only to the extent that:
  (a) Such holders have no rights, liens or other interests with
respect to such rents, revenues, receipts, appropriations or
other income of the university that are senior or superior to the
rights granted to the holders of obligations issued prior to the
operative date of this section by the State of Oregon on behalf
of the State Board of Higher Education for equipment or projects
for the university; and
  (b) The State Board of Higher Education, the Oregon Department
of Administrative Services or the State of Oregon, acting for the
benefit of such holders of obligations, is granted a lien or
other security interest in the rents, revenues, receipts,
appropriations or other income of the university that is not
junior to and is at least on an equal footing with any lien or
other security interest granted to the holders of obligations
issued by the university.
  (3) Any expenses, including legal expenses, judgments,
liabilities and federal arbitrage and rebate penalties arising
from the actions of the university or the State Board of Higher
Education, if incurred with respect to bonds, certificates of
participation, financing agreements or other agreements for the
borrowing of money issued prior to the operative date of this
section by the State of Oregon on behalf of the State Board of
Higher Education for equipment or projects for the university,
shall be paid when due by the Portland Metropolitan Universities
Board of Directors, subject to the board's right to reasonably
contest such expenses, judgments, liabilities or penalties. The
Portland Metropolitan Universities Board of Directors shall
assist the Controller of the Oregon University System in making
any necessary calculations and filing any necessary reports
related to arbitrage and rebate on such indebtedness.
  (4) Any amounts deposited with the State Treasurer, the
Controller of the Oregon University System or the Oregon
Department of Administrative Services or its designated agents in
any debt service in reserve accounts for the debt service
associated with any bonds, certificates of participation,
financing agreements or other agreements for the borrowing of
money issued prior to the operative date of this section by the
State of Oregon on behalf of the State Board of Higher Education
for equipment or projects for the university shall remain with
the State Treasurer, the Controller of the Oregon University
System or the Oregon Department of Administrative Services or its
designated agents until such time as the bonds, certificates of
participation, financing agreements or other agreements for the
borrowing of money for which such reserve accounts have been
established have been retired or defeased. The university shall
be credited with the investment earnings on such reserve
accounts. + }
  SECTION 40. ORS 353.340 is amended to read:
  353.340.   { - Oregon Health and Science University - }
 { + The Portland Metropolitan Universities Board of
Directors + } may from time to time issue and sell revenue bonds
in accordance with ORS chapter 287A.  However, the provisions
contained in ORS 287A.150 (2) to (6) do not apply to revenue
bonds issued by the   { - university - }  { +  board + }. Such
revenue bonds   { - shall - }   { + may + } not in any manner nor
to any extent be a general obligation of the   { - university - }
 { + board + } nor a charge upon any revenues or property of the
 { - university - }   { + board + } not specifically pledged
thereto. An obligation described in this section is not an
indebtedness of the State of Oregon.
  SECTION 41. ORS 353.350 is amended to read:
  353.350. Revenue bonds issued by the   { - Oregon Health and
Science University - }   { + Portland Metropolitan Universities
Board of Directors + } pursuant to ORS chapter 287A shall be
considered to be bonds of a political subdivision of the State of
Oregon for the purposes of all laws of the state.
  SECTION 42. ORS 353.360 is amended to read:
  353.360. Refunding bonds of the same character and tenor as
those replaced thereby may be issued by the   { - Oregon Health
and Science University - }   { + Portland Metropolitan
Universities Board of Directors + } pursuant to ORS 287A.360 to
287A.380.
  SECTION 43. ORS 353.370 is amended to read:
  353.370.  { + (1) + } In addition to, and not in limitation of,
the means of satisfying state general obligation bond obligations
under ORS 291.445,   { - Oregon Health and Science University - }
 { +  the Portland Metropolitan Universities Board of
Directors + }, promptly upon the discovery of any shortfall in
moneys available to the
  { - university - }   { + board + } for the payment when due of
amounts under any bonds, certificates of participation, financing
agreements or other agreements for the borrowing of moneys issued
prior to July 1, 1995, by the State of Oregon on behalf of the
State Board of Higher Education for equipment or projects for
 { - the - }   { + Oregon Health and Science + } University,
shall notify in writing the Legislative Assembly, or { + , + } if
the Legislative Assembly is not in session, the Emergency Board,
of the existence and amount of the shortfall.
   { +  (2) In addition to, and not in limitation of, the means
of satisfying state general obligation bond obligations under ORS
291.445, the Portland Metropolitan Universities Board of
Directors, promptly upon the discovery of any shortfall in moneys
available to the board for the payment when due of amounts under
any bonds, certificates of participation, financing agreements or
other agreements for the borrowing of moneys issued prior to the
operative date of this section by the State of Oregon on behalf
of the State Board of Higher Education for equipment or projects
for Portland State University, shall notify in writing the
Legislative Assembly, or, if the Legislative Assembly is not in
session, the Emergency Board, of the existence and amount of the
shortfall.
  (3) + } The Legislative Assembly or the Emergency Board, as the
case may be, may provide funds to satisfy the payment of any such
amount. By enacting this provision, the Legislative Assembly
acknowledges its current intention to provide, from funds other
than those appropriated or otherwise made available to the Oregon
University System, funds to pay such amount. However, except as
may be required by the Oregon Constitution or ORS 291.445,
neither the Legislative Assembly nor the Emergency Board shall
have any legal obligation to provide funds under this section.
  SECTION 44. ORS 353.380 is amended to read:
  353.380. As used in ORS 353.380 to 353.420:
  (1) 'Credit enhancement agreement' means any agreement or
contractual relationship between the   { - Oregon Health and
Science University - }   { + Portland Metropolitan Universities
Board of Directors + } and any bank, trust company, insurance
company, surety bonding company, pension fund or other financial
institution providing additional credit on or security for a
financing agreement or certificates of participation authorized
by ORS 353.380 to 353.420.
  (2) 'Financing agreement' means a lease-purchase agreement, an
installment sale agreement, a loan agreement, note agreement,
short-term promissory notes, commercial papers, lines of credit
or similar obligations or any other agreement to finance real or
personal property that is or will be owned and operated by
 { - the - }  { + Oregon Health and Science University or
Portland State + } University, or to refinance previously
executed financing agreements.
  (3) 'Personal property' means tangible personal property,
software and fixtures.
  (4) 'Property rights' means, with respect to personal property,
the rights of a secured party under ORS chapter 79, and, with
respect to real property, the rights of a trustee or lender under
a lease authorized by ORS 353.410 (4).
  (5) 'Software' means software and training and maintenance
contracts related to the operation of computing equipment.
  SECTION 45. ORS 353.390 is amended to read:
  353.390.   { - Oregon Health and Science University - }
 { + The Portland Metropolitan Universities Board of
Directors + } may enter into financing agreements in accordance
with ORS 353.380 to 353.420, upon such terms as the
 { - university - }   { + board + } finds to be advantageous.
Amounts payable by the   { - university - }   { + board + } under
a financing agreement shall be limited to funds specifically
pledged, budgeted for or otherwise made available by the
  { - university - }  { +  board + }. If there are insufficient
available funds to pay amounts due under a financing agreement,
the lender may exercise any property rights that the
 { - university - }   { + board + } has granted to   { - it - }
 { + the lender + } in the financing agreement against the
property that was purchased with the proceeds of the financing
agreement, and may apply the amounts so received toward payments
scheduled to be made by the   { - university - }   { + board + }
under the financing agreement.
  SECTION 46. ORS 353.400 is amended to read:
  353.400. The   { - Oregon Health and Science University - }
 { + Portland Metropolitan Universities  + }Board of Directors
may delegate to any board member  { - , - }   { + or to any + }
officer or employee of the Oregon Health and Science University
 { + or Portland State University + } the authority to determine
maturity dates, principal amounts, redemption provisions,
interest rates or methods for determining variable or adjustable
interest rates, denominations and other terms and conditions of
such obligations that are not appropriately determined at the
time of enactment or adoption of the authorizing resolution. The
board may also delegate entering into financing agreements or any
other instruments authorized by law. This delegated authority
shall be exercised subject to applicable requirements of law and
such limitations and criteria as may be set forth in the
authorizing resolution.
  SECTION 47. ORS 353.410 is amended to read:
  353.410.   { - Oregon Health and Science University - }
 { + The Portland Metropolitan Universities Board of
Directors + } may:
  (1) Enter into agreements with third parties to hold financing
agreement proceeds, payments and reserves as security for
lenders, and to issue certificates of participation in the right
to receive payments due from the   { - university - }
 { + board + } under a financing agreement. Amounts so held shall
be invested at the direction of the   { - Oregon Health and
Science University - }  board   { - of Directors - } . Interest
earned on any investments held as security for a financing
agreement may, at the option of the board, be credited to the
accounts held by the third party and applied in payment of sums
due under a financing agreement.
  (2) Enter into credit enhancement agreements for financing
agreements or certificates of participation, provided that such
credit enhancement agreements shall be payable solely from funds
specifically pledged, budgeted for or otherwise made available by
the   { - university - }   { + board + } and amounts received
from the exercise of property rights granted under such financing
agreements.
  (3) Use financing agreements to finance the costs of acquiring
or refinancing real or personal property, plus the costs of
reserves, credit enhancements and costs associated with obtaining
the financing.
  (4) Grant leases of real property with a trustee or lender.
Such leases may be for a term that ends on the date on which all
amounts due under a financing agreement have been paid or
provision for payment has been made, or up to 20 years after the
last scheduled payment under a financing agreement, whichever is
later. Such leases may grant the trustee or lender the right to
evict   { - the - }   { + Oregon Health and Science University or
Portland State + } University and exclude   { - it - }   { + the
university + } from possession of the real property for the term
of the lease if the   { - university - }   { + board + } fails to
pay when due the amounts scheduled to be paid under a financing
agreement, or otherwise defaults under a financing agreement.
Upon default, the trustee or lender may sublease the land to
third parties and apply any rentals toward payments scheduled to
be made under a financing agreement.
  (5) Grant security interests in personal property to trustees
or lenders.
  (6) Make pledges for the benefit of trustees and lenders.
  (7) Purchase fire and extended coverage or other casualty
insurance for property that is acquired or refinanced with
proceeds of a financing agreement, assign the proceeds thereof to
a lender or trustee to the extent of their interest, and covenant
to maintain such insurance while the financing agreement is
unpaid, so long as available funds are sufficient to purchase
such insurance.
  SECTION 48. ORS 353.440 is amended to read:
  353.440. The Legislative Assembly finds that:
  (1) Institutions in the Oregon University System and other
educational sectors have academic programs that are related to or
integrated with the programs of Oregon Health and Science
University { +  and Portland State University + }.
  (2) It is in the best interest of the state that a coordinated
approach be taken to these related and integrated academic
programs.
  (3) In order to best ensure the continued harmony of such
academic programs,   { - the - }   { + Oregon Health and Science
University, Portland State  + }University and the Oregon
University System shall coordinate such programs and shall advise
each other of the following proposed changes to such academic
programs:
  (a) Creation or significant revision, such as a merger or
closure, of degree programs;
  (b) Creation or significant revision, such as a merger or
closure, of schools; and
  (c) Creation or significant revision of major academic
policies.
  (4) In order to further the coordination described by this
section,  { + Oregon Health and Science University and Portland
State + } University officers shall maintain a role in the
appropriate committees of the State Board of Higher Education and
the Oregon University System.
  SECTION 49. ORS 353.445 is amended to read:
  353.445. The   { - Oregon Health and Science University - }
 { + Portland Metropolitan Universities  + }Board of Directors
shall adopt a policy that prescribes the requirements for a
venture grant program and the requirements that a grant applicant
must meet in order to receive grant moneys from the university
venture development fund operated by Oregon Health and Science
University { +  or Portland State University + }, including
requirements:
  (1) That a grant recipient remain within this state for at
least five years following the receipt of a grant or repay the
grant plus interest;
  (2) That the university report amounts of tax credit
certificates issued by the university and cease issuing
certificates until the total amount owed to the General Fund by
the university at any one time under ORS 351.697 (6) does not
exceed $2.4 million; and
  (3) That the university maintain records of income realized by
the university as the result of grants made from the fund and
records of amounts paid to the General Fund.
  SECTION 50. ORS 353.600 is amended to read:
  353.600. As used in ORS 353.600 to 353.612:
  (1) 'Committee' means the Oregon Nursing Shortage Coalition
Committee created in ORS 353.606.
  (2) 'Post-secondary education institution' means:
  (a) A state institution under the direction of the State Board
of Higher Education;
  (b) A community college operated under ORS chapter 341;
  (c) A school or division of Oregon Health and Science
University;   { - or - }
   { +  (d) A school or division of Portland State University;
or + }
    { - (d) - }   { + (e) + } An Oregon-based, generally
accredited, not-for-profit private institution of higher
education.
  SECTION 51. ORS 31.850 is amended to read:
  31.850. For the purposes of ORS 31.850 to 31.890:
  (1) 'Conduct' means an act or omission that has occurred or
that may occur in the future.
  (2) 'Domicile' means the place identified under ORS 31.865.
  (3) 'Injury' means physical or nonphysical harm to a person or
property caused by the conduct of another person.
  (4) 'Law,' when used in reference to the law of another state,
does not include that state's choice-of-law rules.
  (5) 'Noncontractual claim' means a claim, other than a claim
for failure to perform a contractual or other consensual
obligation, that arises from a tort as defined in ORS 30.260, or
any conduct that caused or may cause injury compensable by
damages, without regard to whether damages are sought.
  (6) 'Person' means a person as defined in ORS 174.100 and a
public body.
  (7) 'Public body' means a public body as defined in ORS
174.109,   { - the - }  Oregon Health and Science University,
 { + Portland State University + } and the Oregon State Bar.
  (8) 'State' means, unless the context requires otherwise, the
United States, any state, territory, possession or other
jurisdiction of the United States, any Indian tribe or other
Native American, Hawaiian or Alaskan group recognized by federal
law or formally acknowledged by a state of the United States, and
any foreign country or territorial subdivision of such country
that has its own system of laws.
  SECTION 52. ORS 97.170 is amended to read:
  97.170. (1) As used in this section, 'indigent person ' means a
deceased person who does not have a death or final expense
benefit or insurance policy that pays for disposition of the
deceased person's body or other means to pay for disposition of
the deceased person's body and who has no relative or other
person with the legal right to direct and the means to pay for
disposition of the deceased person's body.
  (2)(a) The   { - Oregon Health and Science University - }  { +
Portland Metropolitan Universities Board of Directors + } shall
appoint a Demonstrator of Anatomy from the staff of   { - the - }
 { +  Oregon Health and Science + } University.
  (b) The Demonstrator of Anatomy shall maintain a list of
institutions that may accept or process bodies for education or
research purposes.
  (3) A medical examiner as defined in ORS 146.003 or a health
care facility as defined in ORS 442.015 that has charge of an
unclaimed body of a deceased person shall promptly attempt to
locate and notify the relatives of the deceased person or other
persons who have an interest in the deceased person and shall
arrange with any person who will pay the expenses to make
disposition of the body. If the medical examiner or health care
facility cannot locate a person who will pay the expenses of
disposition of the body, the medical examiner or health care
facility may transfer the body to a licensed funeral service
practitioner.
  (4)(a) A licensed funeral service practitioner who takes
custody of the unclaimed body of a deceased person shall promptly
verify that a medical examiner or health care facility attempted
to locate relatives and interested persons as provided in
subsection (3) of this section.
  (b) If a medical examiner or health care facility has not
attempted to locate relatives and interested persons as provided
in subsection (3) of this section, the funeral service
practitioner shall, within five days after taking custody of the
body, attempt to locate and notify relatives and interested
persons and shall arrange with any person who will pay the
expenses to make disposition of the body.
  (c) If no one claims the body within five days after the
funeral service practitioner takes custody of the body, or if the
persons notified acquiesce, the funeral service practitioner may
transfer the body to an institution approved by the Demonstrator
of Anatomy under subsection (2) of this section that desires the
body for education or research purposes. The funeral service
practitioner shall arrange with an institution that desires the
body to pay for care, preparation and transportation of the body
to the institution.
  (d) If no relative, interested person or institution claims the
body as provided in paragraphs (b) and (c) of this subsection,
the funeral service practitioner may cremate or bury the body
without the consent of persons listed in ORS 97.130 and is
indemnified from any liability arising from having made such
disposition. The method of disposition must be in the least
costly and most environmentally sound manner that complies with
law, and that does not conflict with known wishes of the
deceased. If the deceased person is an indigent person, the
Department of Human Services shall reimburse the funeral service
practitioner for the costs of disposition under subsection (6) of
this section.
  (5) When the deceased person is a child over whom the
department held guardianship at the time of death, the department
shall promptly attempt to locate and notify the relatives of the
deceased child or any other person who has an interest in the
deceased child and shall arrange with any person who will pay the
expenses to make disposition of the body. If no relatives or
interested persons claim the body, the department may transfer
the body to an institution that is on the list maintained by the
Demonstrator of Anatomy under subsection (2) of this section that
desires the body for education or research purposes, or may
authorize burial or cremation of the body. The department shall
pay expenses related to burial or cremation authorized by the
department under this subsection.
  (6) Upon receipt of an itemized statement of expenses and proof
as required by the department by rule that the deceased person is
an indigent person, the department shall reimburse a funeral
service practitioner the reasonable costs for disposition of the
body of any unclaimed deceased indigent person. The method of
disposition must be in the least costly and most environmentally
sound manner that complies with law. The department may adopt
rules establishing the process for reimbursement and setting the
maximum amount that may be reimbursed to a funeral service
practitioner under this subsection.
  SECTION 53. ORS 131.594 is amended to read:
  131.594. (1) After the seizing agency distributes property
under ORS 131.588, and when the seizing agency is not the state,
the seizing agency shall dispose of and distribute property as
follows:
  (a) The seizing agency shall pay costs first from the property
or its proceeds. As used in this subsection, 'costs ' includes
the expenses of publication, service of notices, towing, storage
and servicing or maintaining the seized property under ORS
131.564.
  (b) After costs have been paid, the seizing agency shall
distribute to the victim any amount the seizing agency was
ordered to distribute under ORS 131.588 (4).
  (c) After costs have been paid and distributions under
paragraph (b) of this subsection have been made, the seizing
agency shall distribute the rest of the property to the general
fund of the political subdivision that operates the seizing
agency.
  (2) Of the property distributed under subsection (1)(c) of this
section, the political subdivision shall distribute:
  (a) Three percent to the Asset Forfeiture Oversight Account
established in ORS 131A.460;
  (b) Seven percent to the Illegal Drug Cleanup Fund established
in ORS 475.495 for the purposes specified in ORS 475.495 (5) and
(6); and
  (c) Ten percent to the state General Fund.
  (3) Of the property distributed under subsection (1)(c) of this
section that remains in the general fund of the political
subdivision after the distributions required by subsection (2) of
this section have been made:
  (a) Fifty percent must be for official law enforcement use; and
  (b) Fifty percent must be used for substance abuse treatment
pursuant to a plan developed under ORS 430.420.
  (4) Except as otherwise provided by intergovernmental
agreement, the seizing agency may:
  (a) Sell, lease, lend or transfer the property or proceeds to
any federal, state or local law enforcement agency or district
attorney.
  (b) Sell the forfeited property by public or other commercially
reasonable sale and pay from the proceeds the expenses of keeping
and selling the property.
  (c) Retain the property.
  (d) With written authorization from the district attorney for
the seizing agency's jurisdiction, destroy any firearms or
controlled substances.
  (5) A political subdivision may sell as much property as may be
needed to make the distributions required by subsections (1) and
(2) of this section. A political subdivision shall make
distributions to the Asset Forfeiture Oversight Account, the
Illegal Drug Cleanup Fund and the state General Fund that are
required by subsection (2) of this section once every three
months. The distributions are due within 20 days of the end of
each quarter. Interest does not accrue on amounts that are paid
within the period specified by this subsection.
  (6) A seizing agency may donate growing equipment and
laboratory equipment that was used, or intended for use, in
manufacturing of controlled substances to a public school,
 { + a + } community college { + , + }   { - or - }   { + a + }
state institution of higher education { +  or Portland State
University + }.
  (7) This section applies only to criminal forfeiture proceeds
arising out of prohibited conduct.
  SECTION 54. ORS 174.108 is amended to read:
  174.108. (1) As used in the statutes of this state, a term
defined in ORS 174.108 to 174.118 has the meaning provided by ORS
174.108 to 174.118 only if the statute using the term makes
specific reference to the provision of ORS 174.108 to 174.118
that defines the term and indicates that the term has the meaning
specified in that provision.
  (2) Nothing in ORS 174.108 to 174.118 affects the meaning of
any statute that uses one or more of the terms defined in ORS
174.108 to 174.118 and that is in effect on January 1, 2002.
Nothing in ORS 174.108 to 174.118 affects the meaning of any
statute that uses one or more of the terms defined in ORS 174.108
to 174.118 and that is enacted after January 1, 2002, unless the
statute makes specific reference to the provision of ORS 174.108
to 174.118 that defines the term and indicates that the term has
the meaning specified in that provision.
  (3) None of the terms defined in ORS 174.108 to 174.118
includes   { - the - }  Oregon Health and Science University,
 { + Portland State University, + } the Oregon State Bar, any
intergovernmental entity formed by a public body with another
state or with a political subdivision of another state, or any
intergovernmental entity formed by a public body with an agency
of the federal government.
  SECTION 55. ORS 181.871 is amended to read:
  181.871. (1) ORS 181.870 to 181.887 do not apply to:
  (a) A person certified by the Department of Public Safety
Standards and Training as a police officer or a parole and
probation officer.
  (b) A law enforcement officer of the United States.
  (c) An officer or employee of this state, Oregon Health and
Science University established by ORS 353.020 { +  (1), Portland
State University established by ORS 353.020 (2) + } or the United
States while performing duties of the office or employment.
  (d) A person appointed or commissioned by the Governor to
perform law enforcement or security services.
  (e) An attorney admitted to practice law in this state while
engaged in the practice of law.
  (f) An insurance adjuster licensed in this state while
performing duties authorized by the license.
  (g) A person who monitors fire alarm systems and other alarm
systems that are not designed to detect unauthorized intrusions
while monitoring such systems.
  (h) A person while protecting the person's property.
  (i) A person who repairs and installs intrusion alarms while
repairing or installing intrusion alarms.
  (j) A person acting as an investigator as defined in ORS
703.401.
  (k) A person performing crowd management or guest services,
including, but not limited to, a person described as a ticket
taker, an usher, a parking attendant or event staff or a person
employed for the purpose of age verification by a licensee of the
Oregon Liquor Control Commission, who is not armed and is not
hired with the primary responsibility of taking enforcement
action as described in ORS 181.870 (8)(f).
  (L) A person performing security services at a facility
regulated by the United States Nuclear Regulatory Commission if
the facility is operated by the person's employer.
  (m) An individual while on active duty as a member of the armed
services or while performing duties as a law enforcement officer.
  (n) An employee of a financial institution who has been
designated as a security officer for the financial institution
pursuant to the Bank Protection Act of 1968 (12 U.S.C. 1881 et
seq.) and regulations adopted thereunder or pursuant to ORS
723.276 (5).
  (2) The exemption provided by subsection (1)(k) of this section
applies only:
  (a) If there is at least one person on-site who is certified or
licensed under ORS 181.878 for every 10 or fewer uncertified
persons performing the services described in subsection (1)(k) of
this section;
  (b) If any enforcement action, as described in ORS 181.870
(8)(f), other than incidental or temporary action, is taken by or
under the supervision of a person certified or licensed under ORS
181.878; and
  (c) During the time when a crowd has assembled for the purpose
of attending or taking part in an organized event, including
pre-event assembly, event operation hours and post-event
departure activities.
  SECTION 56. ORS 183.635 is amended to read:
  183.635. (1) Except as provided in this section, all agencies
must use administrative law judges assigned from the Office of
Administrative Hearings established under ORS 183.605 to conduct
contested case hearings, without regard to whether those hearings
are subject to the procedural requirements for contested case
hearings.
  (2) The following agencies need not use administrative law
judges assigned from the office:
  (a) Attorney General.
  (b) Boards of stewards appointed by the Oregon Racing
Commission.
  (c) Bureau of Labor and Industries and the Commissioner of the
Bureau of Labor and Industries.
  (d) Department of Corrections.
  (e) Department of Education, State Board of Education and
Superintendent of Public Instruction.
  (f) Department of Human Services for vocational rehabilitation
services cases under 29 U.S.C. 722(c) and disability
determination cases under 42 U.S.C. 405.
  (g) Department of Revenue.
  (h) Department of State Police.
  (i) Employment Appeals Board.
  (j) Employment Relations Board.
  (k) Energy Facility Siting Council.
  (L) Fair Dismissal Appeals Board.
  (m) Governor.
  (n) Land Conservation and Development Commission.
  (o) Land Use Board of Appeals.

  (p) Local government boundary commissions created pursuant to
ORS 199.430.
  (q) Oregon University System and institutions of higher
education listed in ORS 352.002 { +  and Portland State
University + }.
  (r) Oregon Youth Authority.
  (s) Psychiatric Security Review Board.
  (t) Public Utility Commission.
  (u) State Accident Insurance Fund Corporation.
  (v) State Apprenticeship and Training Council.
  (w) State Board of Parole and Post-Prison Supervision.
  (x) State Land Board.
  (y) State Treasurer.
  (z) Wage and Hour Commission.
  (3) The Workers' Compensation Board is exempt from using
administrative law judges assigned from the office for any
hearing conducted by the board under ORS chapters 147, 654 and
656. Except as specifically provided in this subsection, the
Department of Consumer and Business Services must use
administrative law judges assigned from the office only for
contested cases arising out of the department's powers and duties
under:
  (a) ORS 86A.095 to 86A.198, 86A.990 and 86A.992 and ORS chapter
59;
  (b) ORS chapter 455;
  (c) ORS chapter 674;
  (d) ORS chapters 706 to 716;
  (e) ORS chapter 717;
  (f) ORS chapters 723, 725 and 726; and
  (g) ORS chapters 731, 732, 733, 734, 735, 737, 742, 743, 743A,
744, 746, 748 and 750.
  (4) Notwithstanding any other provision of law, in any
proceeding in which an agency is required to use an
administrative law judge assigned from the office, an officer or
employee of the agency may not conduct the hearing on behalf of
the agency.
  (5) Notwithstanding any other provision of ORS 183.605 to
183.690, an agency is not required to use an administrative law
judge assigned from the office if:
  (a) Federal law requires that a different administrative law
judge or hearing officer be used; or
  (b) Use of an administrative law judge from the office could
result in a loss of federal funds.
  (6) Notwithstanding any other provision of this section, the
Department of Environmental Quality must use administrative law
judges assigned from the office only for contested case hearings
conducted under the provisions of ORS 183.413 to 183.470.
  SECTION 57. ORS 184.475 is amended to read:
  184.475. (1) The purposes of information technology
portfolio-based management are to:
  (a) Ensure that state agencies link their information
technology investments with business plans;
  (b) Facilitate risk assessment of information technology
projects and investments;
  (c) Ensure that state agencies justify information technology
investments on the basis of sound business cases;
  (d) Ensure that state agencies facilitate development and
review of information technology performance related to business
operations;
  (e) Identify projects that can cross agency and program lines
to leverage resources; and
  (f) Assist in state government-wide planning for common, shared
information technology infrastructure.
  (2) The Oregon Department of Administrative Services shall
integrate state agency strategic and business planning,
technology planning and budgeting and project expenditure
processes into the department's information technology
portfolio-based management.
  (3) In cooperation with state agencies, the department shall
conduct and maintain a continuous inventory of each state
agency's current and planned investments in information
technology, a compilation of information about those assets and
the total life cycle cost of those assets. The department shall
develop and implement state government-wide standards, processes
and procedures for the required inventory and for the management
of the state government-wide information technology portfolio.
State agencies shall participate in the information technology
portfolio-based management and shall comply with the standards,
processes and procedures established by the department under this
subsection. The provisions of this subsection do not relieve any
state agency from accountability for equipment, materials,
supplies and tangible and intangible personal property under its
control.
  (4) The department shall ensure that state agencies implement
portfolio-based management of information technology resources in
accordance with this section and with rules adopted by the
Director of the Oregon Department of Administrative Services.
  (5) This section does not apply to competitive research grants
and contracts at institutions of higher education listed in ORS
352.002 { +  or Portland State University + }.
  (6) In implementing the provisions of this section, the
department shall submit state government-wide policies for review
to the Joint Legislative Committee on Information Management and
Technology.
  SECTION 58. ORS 184.477 is amended to read:
  184.477. (1) The purpose of enterprise management is to create
a plan and implement a state government-wide approach for
managing distributed information technology assets to minimize
total ownership costs from acquisition through retirement, while
realizing maximum benefits for transacting the state's business
and delivering services to its citizens.
  (2) With input and recommendations from state agencies, the
Oregon Department of Administrative Services shall develop a plan
for the state government-wide management of distributed
information technology assets. The plan shall prescribe the state
government-wide infrastructure and services for managing these
assets. The plan shall be submitted to the Joint Legislative
Committee on Information Management and Technology for review.
  (3) Following review by the Joint Legislative Committee on
Information Management and Technology, the department shall
ensure state agency implementation of the plan, including the
development of appropriate standards, processes and procedures.
  (4) State agencies shall participate in the enterprise
management of information technology assets and shall comply with
the standards, processes and procedures of the department.
  (5) This section does not apply to competitive research grants
and contracts at institutions of higher education listed in ORS
352.002 { +  or Portland State University + }.
  SECTION 59. ORS 190.410 is amended to read:
  190.410. As used in ORS 190.410 to 190.440, 'public agency '
includes:
  (1) Any county, city, special district or other public
corporation, commission, authority or entity organized and
existing under laws of this state, or any other state, or under
the city or county charter of any county or city of this or any
other state;
  (2) Any agency of this state or any other state;   { - and - }
  (3) Oregon Health and Science University  { - . - }  { + ; and
  (4) Portland State University. + }
  SECTION 60. ORS 192.501 is amended to read:

  192.501. The following public records are exempt from
disclosure under ORS 192.410 to 192.505 unless the public
interest requires disclosure in the particular instance:
  (1) Records of a public body pertaining to litigation to which
the public body is a party if the complaint has been filed, or if
the complaint has not been filed, if the public body shows that
such litigation is reasonably likely to occur. This exemption
does not apply to litigation which has been concluded, and
nothing in this subsection shall limit any right or opportunity
granted by discovery or deposition statutes to a party to
litigation or potential litigation.
  (2) Trade secrets. 'Trade secrets,' as used in this section,
may include, but are not limited to, any formula, plan, pattern,
process, tool, mechanism, compound, procedure, production data,
or compilation of information which is not patented, which is
known only to certain individuals within an organization and
which is used in a business it conducts, having actual or
potential commercial value, and which gives its user an
opportunity to obtain a business advantage over competitors who
do not know or use it.
  (3) Investigatory information compiled for criminal law
purposes. The record of an arrest or the report of a crime shall
be disclosed unless and only for so long as there is a clear need
to delay disclosure in the course of a specific investigation,
including the need to protect the complaining party or the
victim.  Nothing in this subsection shall limit any right
constitutionally guaranteed, or granted by statute, to disclosure
or discovery in criminal cases. For purposes of this subsection,
the record of an arrest or the report of a crime includes, but is
not limited to:
  (a) The arrested person's name, age, residence, employment,
marital status and similar biographical information;
  (b) The offense with which the arrested person is charged;
  (c) The conditions of release pursuant to ORS 135.230 to
135.290;
  (d) The identity of and biographical information concerning
both complaining party and victim;
  (e) The identity of the investigating and arresting agency and
the length of the investigation;
  (f) The circumstances of arrest, including time, place,
resistance, pursuit and weapons used; and
  (g) Such information as may be necessary to enlist public
assistance in apprehending fugitives from justice.
  (4) Test questions, scoring keys, and other data used to
administer a licensing examination, employment, academic or other
examination or testing procedure before the examination is given
and if the examination is to be used again. Records establishing
procedures for and instructing persons administering, grading or
evaluating an examination or testing procedure are included in
this exemption, to the extent that disclosure would create a risk
that the result might be affected.
  (5) Information consisting of production records, sale or
purchase records or catch records, or similar business records of
a private concern or enterprise, required by law to be submitted
to or inspected by a governmental body to allow it to determine
fees or assessments payable or to establish production quotas,
and the amounts of such fees or assessments payable or paid, to
the extent that such information is in a form which would permit
identification of the individual concern or enterprise. This
exemption does not include records submitted by long term care
facilities as defined in ORS 442.015 to the state for purposes of
reimbursement of expenses or determining fees for patient care.
Nothing in this subsection shall limit the use which can be made
of such information for regulatory purposes or its admissibility
in any enforcement proceeding.

  (6) Information relating to the appraisal of real estate prior
to its acquisition.
  (7) The names and signatures of employees who sign
authorization cards or petitions for the purpose of requesting
representation or decertification elections.
  (8) Investigatory information relating to any complaint filed
under ORS 659A.820 or 659A.825, until such time as the complaint
is resolved under ORS 659A.835, or a final order is issued under
ORS 659A.850.
  (9) Investigatory information relating to any complaint or
charge filed under ORS 243.676 and 663.180.
  (10) Records, reports and other information received or
compiled by the Director of the Department of Consumer and
Business Services under ORS 697.732.
  (11) Information concerning the location of archaeological
sites or objects as those terms are defined in ORS 358.905,
except if the governing body of an Indian tribe requests the
information and the need for the information is related to that
Indian tribe's cultural or religious activities. This exemption
does not include information relating to a site that is all or
part of an existing, commonly known and publicized tourist
facility or attraction.
  (12) A personnel discipline action, or materials or documents
supporting that action.
  (13) Information developed pursuant to ORS 496.004, 496.172 and
498.026 or ORS 496.192 and 564.100, regarding the habitat,
location or population of any threatened species or endangered
species.
  (14) Writings prepared by or under the direction of faculty of
public educational institutions, in connection with research,
until publicly released, copyrighted or patented.
  (15) Computer programs developed or purchased by or for any
public body for its own use. As used in this subsection, '
computer program' means a series of instructions or statements
which permit the functioning of a computer system in a manner
designed to provide storage, retrieval and manipulation of data
from such computer system, and any associated documentation and
source material that explain how to operate the computer program.
' Computer program' does not include:
  (a) The original data, including but not limited to numbers,
text, voice, graphics and images;
  (b) Analyses, compilations and other manipulated forms of the
original data produced by use of the program; or
  (c) The mathematical and statistical formulas which would be
used if the manipulated forms of the original data were to be
produced manually.
  (16) Data and information provided by participants to mediation
under ORS 36.256.
  (17) Investigatory information relating to any complaint or
charge filed under ORS chapter 654, until a final administrative
determination is made or, if a citation is issued, until an
employer receives notice of any citation.
  (18) Specific operational plans in connection with an
anticipated threat to individual or public safety for deployment
and use of personnel and equipment, prepared or used by a public
body, if public disclosure of the plans would endanger an
individual's life or physical safety or jeopardize a law
enforcement activity.
  (19)(a) Audits or audit reports required of a
telecommunications carrier. As used in this paragraph, 'audit or
audit report' means any external or internal audit or audit
report pertaining to a telecommunications carrier, as defined in
ORS 133.721, or pertaining to a corporation having an affiliated
interest, as defined in ORS 759.390, with a telecommunications
carrier that is intended to make the operations of the entity
more efficient, accurate or compliant with applicable rules,
procedures or standards, that may include self-criticism and that
has been filed by the telecommunications carrier or affiliate
under compulsion of state law. 'Audit or audit report' does not
mean an audit of a cost study that would be discoverable in a
contested case proceeding and that is not subject to a protective
order; and
  (b) Financial statements. As used in this paragraph, '
financial statement' means a financial statement of a
nonregulated corporation having an affiliated interest, as
defined in ORS 759.390, with a telecommunications carrier, as
defined in ORS 133.721.
  (20) The residence address of an elector if authorized under
ORS 247.965 and subject to ORS 247.967.
  (21) The following records, communications and information
submitted to a housing authority as defined in ORS 456.005, or to
an urban renewal agency as defined in ORS 457.010, by applicants
for and recipients of loans, grants and tax credits:
  (a) Personal and corporate financial statements and
information, including tax returns;
  (b) Credit reports;
  (c) Project appraisals;
  (d) Market studies and analyses;
  (e) Articles of incorporation, partnership agreements and
operating agreements;
  (f) Commitment letters;
  (g) Project pro forma statements;
  (h) Project cost certifications and cost data;
  (i) Audits;
  (j) Project tenant correspondence requested to be confidential;
  (k) Tenant files relating to certification; and
  (L) Housing assistance payment requests.
  (22) Records or information that, if disclosed, would allow a
person to:
  (a) Gain unauthorized access to buildings or other property;
  (b) Identify those areas of structural or operational
vulnerability that would permit unlawful disruption to, or
interference with, services; or
  (c) Disrupt, interfere with or gain unauthorized access to
public funds or to information processing, communication or
telecommunication systems, including the information contained in
the systems, that are used or operated by a public body.
  (23) Records or information that would reveal or otherwise
identify security measures, or weaknesses or potential weaknesses
in security measures, taken or recommended to be taken to
protect:
  (a) An individual;
  (b) Buildings or other property;
  (c) Information processing, communication or telecommunication
systems, including the information contained in the systems; or
  (d) Those operations of the Oregon State Lottery the security
of which are subject to study and evaluation under ORS 461.180
(6).
  (24) Personal information held by or under the direction of
officials of   { - the - }  Oregon Health and Science
University { + , Portland State University + } or the Oregon
University System about a person who has or who is interested in
donating money or property to the university, the system or a
state institution of higher education, if the information is
related to the family of the person, personal assets of the
person or is incidental information not related to the donation.
  (25) The home address, professional address and telephone
number of a person who has or who is interested in donating money
or property to the Oregon University System.
  (26) Records of the name and address of a person who files a
report with or pays an assessment to a commodity commission
established under ORS 576.051 to 576.455, the Oregon Beef Council
created under ORS 577.210 or the Oregon Wheat Commission created
under ORS 578.030.
  (27) Information provided to, obtained by or used by a public
body to authorize, originate, receive or authenticate a transfer
of funds, including but not limited to a credit card number,
payment card expiration date, password, financial institution
account number and financial institution routing number.
  (28) Social Security numbers as provided in ORS 107.840.
  (29) The electronic mail address of a student who attends a
state institution of higher education listed in ORS
352.002 { + , + }   { - or - } Oregon Health and Science
University { +  or Portland State University + }.
  (30) The name, home address, professional address or location
of a person that is engaged in, or that provides goods or
services for, medical research at Oregon Health and Science
University that is conducted using animals other than rodents.
This subsection does not apply to Oregon Health and Science
University press releases, websites or other publications
circulated to the general public.
  (31) If requested by a public safety officer, as defined in ORS
181.610:
  (a) The home address and home telephone number of the public
safety officer contained in the voter registration records for
the public safety officer.
  (b) The home address and home telephone number of the public
safety officer contained in records of the Department of Public
Safety Standards and Training.
  (c) The name of the public safety officer contained in county
real property assessment or taxation records. This exemption:
  (A) Applies only to the name of the public safety officer and
any other owner of the property in connection with a specific
property identified by the officer in a request for exemption
from disclosure;
  (B) Applies only to records that may be made immediately
available to the public upon request in person, by telephone or
using the Internet;
  (C) Applies until the public safety officer requests
termination of the exemption;
  (D) Does not apply to disclosure of records among public bodies
as defined in ORS 174.109 for governmental purposes; and
  (E) May not result in liability for the county if the name of
the public safety officer is disclosed after a request for
exemption from disclosure is made under this subsection.
  (32) Unless the public records request is made by a financial
institution, as defined in ORS 706.008, consumer finance company
licensed under ORS chapter 725, mortgage banker or mortgage
broker licensed under ORS 86A.095 to 86A.198, 86A.990 and 86A.992
and ORS chapter 59, or title company for business purposes,
records described in paragraph (a) of this subsection, if the
exemption from disclosure of the records is sought by an
individual described in paragraph (b) of this subsection using
the procedure described in paragraph (c) of this subsection:
  (a) The home address, home or cellular telephone number or
personal electronic mail address contained in the records of any
public body that has received the request that is set forth in:
  (A) A warranty deed, deed of trust, mortgage, lien, deed of
reconveyance, release, satisfaction, substitution of trustee,
easement, dog license, marriage license or military discharge
record that is in the possession of the county clerk; or
  (B) Any public record of a public body other than the county
clerk.
  (b) The individual claiming the exemption from disclosure must
be a district attorney, a deputy district attorney, the Attorney
General or an assistant attorney general, the United States
Attorney for the District of Oregon or an assistant United States
attorney for the District of Oregon, a city attorney who engages
in the prosecution of criminal matters or a deputy city attorney
who engages in the prosecution of criminal matters.
  (c) The individual claiming the exemption from disclosure must
do so by filing the claim in writing with the public body for
which the exemption from disclosure is being claimed on a form
prescribed by the public body. Unless the claim is filed with the
county clerk, the claim form shall list the public records in the
possession of the public body to which the exemption applies. The
exemption applies until the individual claiming the exemption
requests termination of the exemption or ceases to qualify for
the exemption.
  (33) Land management plans required for voluntary stewardship
agreements entered into under ORS 541.423.
  (34) Sensitive business records or financial or commercial
information of the State Accident Insurance Fund Corporation that
is not customarily provided to business competitors. This
exemption does not:
  (a) Apply to the formulas for determining dividends to be paid
to employers insured by the State Accident Insurance Fund
Corporation;
  (b) Apply to contracts for advertising, public relations or
lobbying services or to documents related to the formation of
such contracts;
  (c) Apply to group insurance contracts or to documents relating
to the formation of such contracts, except that employer account
records shall remain exempt from disclosure as provided in ORS
192.502 (35); or
  (d) Provide the basis for opposing the discovery of documents
in litigation pursuant to the applicable rules of civil
procedure.
  (35) Records of the Department of Public Safety Standards and
Training relating to investigations conducted under ORS 181.662
or 181.878 (6), until the department issues the report described
in ORS 181.662 or 181.878.
  (36) A medical examiner's report, autopsy report or laboratory
test report ordered by a medical examiner under ORS 146.117.
  SECTION 61. ORS 192.501, as amended by section 3, chapter 455,
Oregon Laws 2005, section 7, chapter 608, Oregon Laws 2007,
section 2, chapter 687, Oregon Laws 2007, section 2, chapter 48,
Oregon Laws 2008, section 3, chapter 57, Oregon Laws 2009,
section 2, chapter 135, Oregon Laws 2009, section 4, chapter 222,
Oregon Laws 2009, and section 2, chapter 769, Oregon Laws 2009,
is amended to read:
  192.501. The following public records are exempt from
disclosure under ORS 192.410 to 192.505 unless the public
interest requires disclosure in the particular instance:
  (1) Records of a public body pertaining to litigation to which
the public body is a party if the complaint has been filed, or if
the complaint has not been filed, if the public body shows that
such litigation is reasonably likely to occur. This exemption
does not apply to litigation which has been concluded, and
nothing in this subsection shall limit any right or opportunity
granted by discovery or deposition statutes to a party to
litigation or potential litigation.
  (2) Trade secrets. 'Trade secrets,' as used in this section,
may include, but are not limited to, any formula, plan, pattern,
process, tool, mechanism, compound, procedure, production data,
or compilation of information which is not patented, which is
known only to certain individuals within an organization and
which is used in a business it conducts, having actual or
potential commercial value, and which gives its user an
opportunity to obtain a business advantage over competitors who
do not know or use it.
  (3) Investigatory information compiled for criminal law
purposes. The record of an arrest or the report of a crime shall
be disclosed unless and only for so long as there is a clear need
to delay disclosure in the course of a specific investigation,
including the need to protect the complaining party or the
victim.  Nothing in this subsection shall limit any right
constitutionally guaranteed, or granted by statute, to disclosure
or discovery in criminal cases. For purposes of this subsection,
the record of an arrest or the report of a crime includes, but is
not limited to:
  (a) The arrested person's name, age, residence, employment,
marital status and similar biographical information;
  (b) The offense with which the arrested person is charged;
  (c) The conditions of release pursuant to ORS 135.230 to
135.290;
  (d) The identity of and biographical information concerning
both complaining party and victim;
  (e) The identity of the investigating and arresting agency and
the length of the investigation;
  (f) The circumstances of arrest, including time, place,
resistance, pursuit and weapons used; and
  (g) Such information as may be necessary to enlist public
assistance in apprehending fugitives from justice.
  (4) Test questions, scoring keys, and other data used to
administer a licensing examination, employment, academic or other
examination or testing procedure before the examination is given
and if the examination is to be used again. Records establishing
procedures for and instructing persons administering, grading or
evaluating an examination or testing procedure are included in
this exemption, to the extent that disclosure would create a risk
that the result might be affected.
  (5) Information consisting of production records, sale or
purchase records or catch records, or similar business records of
a private concern or enterprise, required by law to be submitted
to or inspected by a governmental body to allow it to determine
fees or assessments payable or to establish production quotas,
and the amounts of such fees or assessments payable or paid, to
the extent that such information is in a form which would permit
identification of the individual concern or enterprise. This
exemption does not include records submitted by long term care
facilities as defined in ORS 442.015 to the state for purposes of
reimbursement of expenses or determining fees for patient care.
Nothing in this subsection shall limit the use which can be made
of such information for regulatory purposes or its admissibility
in any enforcement proceeding.
  (6) Information relating to the appraisal of real estate prior
to its acquisition.
  (7) The names and signatures of employees who sign
authorization cards or petitions for the purpose of requesting
representation or decertification elections.
  (8) Investigatory information relating to any complaint filed
under ORS 659A.820 or 659A.825, until such time as the complaint
is resolved under ORS 659A.835, or a final order is issued under
ORS 659A.850.
  (9) Investigatory information relating to any complaint or
charge filed under ORS 243.676 and 663.180.
  (10) Records, reports and other information received or
compiled by the Director of the Department of Consumer and
Business Services under ORS 697.732.
  (11) Information concerning the location of archaeological
sites or objects as those terms are defined in ORS 358.905,
except if the governing body of an Indian tribe requests the
information and the need for the information is related to that
Indian tribe's cultural or religious activities. This exemption
does not include information relating to a site that is all or
part of an existing, commonly known and publicized tourist
facility or attraction.
  (12) A personnel discipline action, or materials or documents
supporting that action.
  (13) Information developed pursuant to ORS 496.004, 496.172 and
498.026 or ORS 496.192 and 564.100, regarding the habitat,
location or population of any threatened species or endangered
species.
  (14) Writings prepared by or under the direction of faculty of
public educational institutions, in connection with research,
until publicly released, copyrighted or patented.
  (15) Computer programs developed or purchased by or for any
public body for its own use. As used in this subsection, '
computer program' means a series of instructions or statements
which permit the functioning of a computer system in a manner
designed to provide storage, retrieval and manipulation of data
from such computer system, and any associated documentation and
source material that explain how to operate the computer program.
' Computer program' does not include:
  (a) The original data, including but not limited to numbers,
text, voice, graphics and images;
  (b) Analyses, compilations and other manipulated forms of the
original data produced by use of the program; or
  (c) The mathematical and statistical formulas which would be
used if the manipulated forms of the original data were to be
produced manually.
  (16) Data and information provided by participants to mediation
under ORS 36.256.
  (17) Investigatory information relating to any complaint or
charge filed under ORS chapter 654, until a final administrative
determination is made or, if a citation is issued, until an
employer receives notice of any citation.
  (18) Specific operational plans in connection with an
anticipated threat to individual or public safety for deployment
and use of personnel and equipment, prepared or used by a public
body, if public disclosure of the plans would endanger an
individual's life or physical safety or jeopardize a law
enforcement activity.
  (19)(a) Audits or audit reports required of a
telecommunications carrier. As used in this paragraph, 'audit or
audit report' means any external or internal audit or audit
report pertaining to a telecommunications carrier, as defined in
ORS 133.721, or pertaining to a corporation having an affiliated
interest, as defined in ORS 759.390, with a telecommunications
carrier that is intended to make the operations of the entity
more efficient, accurate or compliant with applicable rules,
procedures or standards, that may include self-criticism and that
has been filed by the telecommunications carrier or affiliate
under compulsion of state law. 'Audit or audit report' does not
mean an audit of a cost study that would be discoverable in a
contested case proceeding and that is not subject to a protective
order; and
  (b) Financial statements. As used in this paragraph, '
financial statement' means a financial statement of a
nonregulated corporation having an affiliated interest, as
defined in ORS 759.390, with a telecommunications carrier, as
defined in ORS 133.721.
  (20) The residence address of an elector if authorized under
ORS 247.965 and subject to ORS 247.967.
  (21) The following records, communications and information
submitted to a housing authority as defined in ORS 456.005, or to
an urban renewal agency as defined in ORS 457.010, by applicants
for and recipients of loans, grants and tax credits:
  (a) Personal and corporate financial statements and
information, including tax returns;
  (b) Credit reports;
  (c) Project appraisals;
  (d) Market studies and analyses;
  (e) Articles of incorporation, partnership agreements and
operating agreements;
  (f) Commitment letters;
  (g) Project pro forma statements;
  (h) Project cost certifications and cost data;
  (i) Audits;
  (j) Project tenant correspondence requested to be confidential;
  (k) Tenant files relating to certification; and
  (L) Housing assistance payment requests.
  (22) Records or information that, if disclosed, would allow a
person to:
  (a) Gain unauthorized access to buildings or other property;
  (b) Identify those areas of structural or operational
vulnerability that would permit unlawful disruption to, or
interference with, services; or
  (c) Disrupt, interfere with or gain unauthorized access to
public funds or to information processing, communication or
telecommunication systems, including the information contained in
the systems, that are used or operated by a public body.
  (23) Records or information that would reveal or otherwise
identify security measures, or weaknesses or potential weaknesses
in security measures, taken or recommended to be taken to
protect:
  (a) An individual;
  (b) Buildings or other property;
  (c) Information processing, communication or telecommunication
systems, including the information contained in the systems; or
  (d) Those operations of the Oregon State Lottery the security
of which are subject to study and evaluation under ORS 461.180
(6).
  (24) Personal information held by or under the direction of
officials of   { - the - }  Oregon Health and Science
University { + , Portland State University + } or the Oregon
University System about a person who has or who is interested in
donating money or property to the university, the system or a
state institution of higher education, if the information is
related to the family of the person, personal assets of the
person or is incidental information not related to the donation.
  (25) The home address, professional address and telephone
number of a person who has or who is interested in donating money
or property to the Oregon University System.
  (26) Records of the name and address of a person who files a
report with or pays an assessment to a commodity commission
established under ORS 576.051 to 576.455, the Oregon Beef Council
created under ORS 577.210 or the Oregon Wheat Commission created
under ORS 578.030.
  (27) Information provided to, obtained by or used by a public
body to authorize, originate, receive or authenticate a transfer
of funds, including but not limited to a credit card number,
payment card expiration date, password, financial institution
account number and financial institution routing number.
  (28) Social Security numbers as provided in ORS 107.840.
  (29) The electronic mail address of a student who attends a
state institution of higher education listed in ORS
352.002 { + , + }   { - or - } Oregon Health and Science
University { +  or Portland State University + }.
  (30) If requested by a public safety officer, as defined in ORS
181.610:
  (a) The home address and home telephone number of the public
safety officer contained in the voter registration records for
the public safety officer.
  (b) The home address and home telephone number of the public
safety officer contained in records of the Department of Public
Safety Standards and Training.
  (c) The name of the public safety officer contained in county
real property assessment or taxation records. This exemption:
  (A) Applies only to the name of the public safety officer and
any other owner of the property in connection with a specific
property identified by the officer in a request for exemption
from disclosure;
  (B) Applies only to records that may be made immediately
available to the public upon request in person, by telephone or
using the Internet;
  (C) Applies until the public safety officer requests
termination of the exemption;
  (D) Does not apply to disclosure of records among public bodies
as defined in ORS 174.109 for governmental purposes; and
  (E) May not result in liability for the county if the name of
the public safety officer is disclosed after a request for
exemption from disclosure is made under this subsection.
  (31) Unless the public records request is made by a financial
institution, as defined in ORS 706.008, consumer finance company
licensed under ORS chapter 725, mortgage banker or mortgage
broker licensed under ORS 86A.095 to 86A.198, 86A.990 and 86A.992
and ORS chapter 59, or title company for business purposes,
records described in paragraph (a) of this subsection, if the
exemption from disclosure of the records is sought by an
individual described in paragraph (b) of this subsection using
the procedure described in paragraph (c) of this subsection:
  (a) The home address, home or cellular telephone number or
personal electronic mail address contained in the records of any
public body that has received the request that is set forth in:
  (A) A warranty deed, deed of trust, mortgage, lien, deed of
reconveyance, release, satisfaction, substitution of trustee,
easement, dog license, marriage license or military discharge
record that is in the possession of the county clerk; or
  (B) Any public record of a public body other than the county
clerk.
  (b) The individual claiming the exemption from disclosure must
be a district attorney, a deputy district attorney, the Attorney
General or an assistant attorney general, the United States
Attorney for the District of Oregon or an assistant United States
attorney for the District of Oregon, a city attorney who engages
in the prosecution of criminal matters or a deputy city attorney
who engages in the prosecution of criminal matters.
  (c) The individual claiming the exemption from disclosure must
do so by filing the claim in writing with the public body for
which the exemption from disclosure is being claimed on a form
prescribed by the public body. Unless the claim is filed with the
county clerk, the claim form shall list the public records in the
possession of the public body to which the exemption applies. The
exemption applies until the individual claiming the exemption
requests termination of the exemption or ceases to qualify for
the exemption.
  (32) Land management plans required for voluntary stewardship
agreements entered into under ORS 541.423.
  (33) Sensitive business records or financial or commercial
information of the State Accident Insurance Fund Corporation that
is not customarily provided to business competitors. This
exemption does not:
  (a) Apply to the formulas for determining dividends to be paid
to employers insured by the State Accident Insurance Fund
Corporation;
  (b) Apply to contracts for advertising, public relations or
lobbying services or to documents related to the formation of
such contracts;
  (c) Apply to group insurance contracts or to documents relating
to the formation of such contracts, except that employer account
records shall remain exempt from disclosure as provided in ORS
192.502 (35); or
  (d) Provide the basis for opposing the discovery of documents
in litigation pursuant to the applicable rules of civil
procedure.

  (34) Records of the Department of Public Safety Standards and
Training relating to investigations conducted under ORS 181.662
or 181.878 (6), until the department issues the report described
in ORS 181.662 or 181.878.
  (35) A medical examiner's report, autopsy report or laboratory
test report ordered by a medical examiner under ORS 146.117.
  SECTION 62. ORS 192.502, as amended by section 15, chapter 76,
Oregon Laws 2010, is amended to read:
  192.502. The following public records are exempt from
disclosure under ORS 192.410 to 192.505:
  (1) Communications within a public body or between public
bodies of an advisory nature to the extent that they cover other
than purely factual materials and are preliminary to any final
agency determination of policy or action. This exemption shall
not apply unless the public body shows that in the particular
instance the public interest in encouraging frank communication
between officials and employees of public bodies clearly
outweighs the public interest in disclosure.
  (2) Information of a personal nature such as but not limited to
that kept in a personal, medical or similar file, if public
disclosure would constitute an unreasonable invasion of privacy,
unless the public interest by clear and convincing evidence
requires disclosure in the particular instance. The party seeking
disclosure shall have the burden of showing that public
disclosure would not constitute an unreasonable invasion of
privacy.
  (3) Public body employee or volunteer addresses, Social
Security numbers, dates of birth and telephone numbers contained
in personnel records maintained by the public body that is the
employer or the recipient of volunteer services. This exemption:
  (a) Does not apply to the addresses, dates of birth and
telephone numbers of employees or volunteers who are elected
officials, except that a judge or district attorney subject to
election may seek to exempt the judge's or district attorney's
address or telephone number, or both, under the terms of ORS
192.445;
  (b) Does not apply to employees or volunteers to the extent
that the party seeking disclosure shows by clear and convincing
evidence that the public interest requires disclosure in a
particular instance;
  (c) Does not apply to a substitute teacher as defined in ORS
342.815 when requested by a professional education association of
which the substitute teacher may be a member; and
  (d) Does not relieve a public employer of any duty under ORS
243.650 to 243.782.
  (4) Information submitted to a public body in confidence and
not otherwise required by law to be submitted, where such
information should reasonably be considered confidential, the
public body has obliged itself in good faith not to disclose the
information, and when the public interest would suffer by the
disclosure.
  (5) Information or records of the Department of Corrections,
including the State Board of Parole and Post-Prison Supervision,
to the extent that disclosure would interfere with the
rehabilitation of a person in custody of the department or
substantially prejudice or prevent the carrying out of the
functions of the department, if the public interest in
confidentiality clearly outweighs the public interest in
disclosure.
  (6) Records, reports and other information received or compiled
by the Director of the Department of Consumer and Business
Services in the administration of ORS chapters 723 and 725 not
otherwise required by law to be made public, to the extent that
the interests of lending institutions, their officers, employees
and customers in preserving the confidentiality of such
information outweighs the public interest in disclosure.
  (7) Reports made to or filed with the court under ORS 137.077
or 137.530.
  (8) Any public records or information the disclosure of which
is prohibited by federal law or regulations.
  (9)(a) Public records or information the disclosure of which is
prohibited or restricted or otherwise made confidential or
privileged under Oregon law.
  (b) Subject to ORS 192.423, paragraph (a) of this subsection
does not apply to factual information compiled in a public record
when:
  (A) The basis for the claim of exemption is ORS 40.225;
  (B) The factual information is not prohibited from disclosure
under any applicable state or federal law, regulation or court
order and is not otherwise exempt from disclosure under ORS
192.410 to 192.505;
  (C) The factual information was compiled by or at the direction
of an attorney as part of an investigation on behalf of the
public body in response to information of possible wrongdoing by
the public body;
  (D) The factual information was not compiled in preparation for
litigation, arbitration or an administrative proceeding that was
reasonably likely to be initiated or that has been initiated by
or against the public body; and
  (E) The holder of the privilege under ORS 40.225 has made or
authorized a public statement characterizing or partially
disclosing the factual information compiled by or at the
attorney's direction.
  (10) Public records or information described in this section,
furnished by the public body originally compiling, preparing or
receiving them to any other public officer or public body in
connection with performance of the duties of the recipient, if
the considerations originally giving rise to the confidential or
exempt nature of the public records or information remain
applicable.
  (11) Records of the Energy Facility Siting Council concerning
the review or approval of security programs pursuant to ORS
469.530.
  (12) Employee and retiree address, telephone number and other
nonfinancial membership records and employee financial records
maintained by the Public Employees Retirement System pursuant to
ORS chapters 238 and 238A.
  (13) Records of or submitted to the State Treasurer, the Oregon
Investment Council or the agents of the treasurer or the council
relating to active or proposed publicly traded investments under
ORS chapter 293, including but not limited to records regarding
the acquisition, exchange or liquidation of the investments. For
the purposes of this subsection:
  (a) The exemption does not apply to:
  (A) Information in investment records solely related to the
amount paid directly into an investment by, or returned from the
investment directly to, the treasurer or council; or
  (B) The identity of the entity to which the amount was paid
directly or from which the amount was received directly.
  (b) An investment in a publicly traded investment is no longer
active when acquisition, exchange or liquidation of the
investment has been concluded.
  (14)(a) Records of or submitted to the State Treasurer, the
Oregon Investment Council, the Oregon Growth Account Board or the
agents of the treasurer, council or board relating to actual or
proposed investments under ORS chapter 293 or 348 in a privately
placed investment fund or a private asset including but not
limited to records regarding the solicitation, acquisition,
deployment, exchange or liquidation of the investments including
but not limited to:

  (A) Due diligence materials that are proprietary to an
investment fund, to an asset ownership or to their respective
investment vehicles.
  (B) Financial statements of an investment fund, an asset
ownership or their respective investment vehicles.
  (C) Meeting materials of an investment fund, an asset ownership
or their respective investment vehicles.
  (D) Records containing information regarding the portfolio
positions in which an investment fund, an asset ownership or
their respective investment vehicles invest.
  (E) Capital call and distribution notices of an investment
fund, an asset ownership or their respective investment vehicles.
  (F) Investment agreements and related documents.
  (b) The exemption under this subsection does not apply to:
  (A) The name, address and vintage year of each privately placed
investment fund.
  (B) The dollar amount of the commitment made to each privately
placed investment fund since inception of the fund.
  (C) The dollar amount of cash contributions made to each
privately placed investment fund since inception of the fund.
  (D) The dollar amount, on a fiscal year-end basis, of cash
distributions received by the State Treasurer, the Oregon
Investment Council, the Oregon Growth Account Board or the agents
of the treasurer, council or board from each privately placed
investment fund.
  (E) The dollar amount, on a fiscal year-end basis, of the
remaining value of assets in a privately placed investment fund
attributable to an investment by the State Treasurer, the Oregon
Investment Council, the Oregon Growth Account Board or the agents
of the treasurer, council or board.
  (F) The net internal rate of return of each privately placed
investment fund since inception of the fund.
  (G) The investment multiple of each privately placed investment
fund since inception of the fund.
  (H) The dollar amount of the total management fees and costs
paid on an annual fiscal year-end basis to each privately placed
investment fund.
  (I) The dollar amount of cash profit received from each
privately placed investment fund on a fiscal year-end basis.
  (15) The monthly reports prepared and submitted under ORS
293.761 and 293.766 concerning the Public Employees Retirement
Fund and the Industrial Accident Fund may be uniformly treated as
exempt from disclosure for a period of up to 90 days after the
end of the calendar quarter.
  (16) Reports of unclaimed property filed by the holders of such
property to the extent permitted by ORS 98.352.
  (17)(a) The following records, communications and information
submitted to the Oregon Business Development Commission, the
Oregon Business Development Department, the State Department of
Agriculture, the Oregon Growth Account Board, the Port of
Portland or other ports, as defined in ORS 777.005, by applicants
for investment funds, loans or services including, but not
limited to, those described in ORS 285A.224:
  (A) Personal financial statements.
  (B) Financial statements of applicants.
  (C) Customer lists.
  (D) Information of an applicant pertaining to litigation to
which the applicant is a party if the complaint has been filed,
or if the complaint has not been filed, if the applicant shows
that such litigation is reasonably likely to occur; this
exemption does not apply to litigation which has been concluded,
and nothing in this subparagraph shall limit any right or
opportunity granted by discovery or deposition statutes to a
party to litigation or potential litigation.
  (E) Production, sales and cost data.

  (F) Marketing strategy information that relates to applicant's
plan to address specific markets and applicant's strategy
regarding specific competitors.
  (b) The following records, communications and information
submitted to the State Department of Energy by applicants for tax
credits:
  (A) Personal financial statements.
  (B) Financial statements of applicants.
  (C) Customer lists.
  (D) Information of an applicant pertaining to litigation to
which the applicant is a party if the complaint has been filed,
or if the complaint has not been filed, if the applicant shows
that such litigation is reasonably likely to occur; this
exemption does not apply to litigation which has been concluded,
and nothing in this subparagraph shall limit any right or
opportunity granted by discovery or deposition statutes to a
party to litigation or potential litigation.
  (E) Production, sales and cost data.
  (F) Marketing strategy information that relates to applicant's
plan to address specific markets and applicant's strategy
regarding specific competitors.
  (18) Records, reports or returns submitted by private concerns
or enterprises required by law to be submitted to or inspected by
a governmental body to allow it to determine the amount of any
transient lodging tax payable and the amounts of such tax payable
or paid, to the extent that such information is in a form which
would permit identification of the individual concern or
enterprise. Nothing in this subsection shall limit the use which
can be made of such information for regulatory purposes or its
admissibility in any enforcement proceedings. The public body
shall notify the taxpayer of the delinquency immediately by
certified mail. However, in the event that the payment or
delivery of transient lodging taxes otherwise due to a public
body is delinquent by over 60 days, the public body shall
disclose, upon the request of any person, the following
information:
  (a) The identity of the individual concern or enterprise that
is delinquent over 60 days in the payment or delivery of the
taxes.
  (b) The period for which the taxes are delinquent.
  (c) The actual, or estimated, amount of the delinquency.
  (19) All information supplied by a person under ORS 151.485 for
the purpose of requesting appointed counsel, and all information
supplied to the court from whatever source for the purpose of
verifying the financial eligibility of a person pursuant to ORS
151.485.
  (20) Workers' compensation claim records of the Department of
Consumer and Business Services, except in accordance with rules
adopted by the Director of the Department of Consumer and
Business Services, in any of the following circumstances:
  (a) When necessary for insurers, self-insured employers and
third party claim administrators to process workers' compensation
claims.
  (b) When necessary for the director, other governmental
agencies of this state or the United States to carry out their
duties, functions or powers.
  (c) When the disclosure is made in such a manner that the
disclosed information cannot be used to identify any worker who
is the subject of a claim.
  (d) When a worker or the worker's representative requests
review of the worker's claim record.
  (21) Sensitive business records or financial or commercial
information of the Oregon Health and Science University  { + or
Portland State University + } that is not customarily provided to
business competitors.

  (22) Records of Oregon Health and Science University  { + or
Portland State University + } regarding candidates for the
position of president of   { - the - }   { + either + }
university.
  (23) The records of a library, including:
  (a) Circulation records, showing use of specific library
material by a named person;
  (b) The name of a library patron together with the address or
telephone number of the patron; and
  (c) The electronic mail address of a patron.
  (24) The following records, communications and information
obtained by the Housing and Community Services Department in
connection with the department's monitoring or administration of
financial assistance or of housing or other developments:
  (a) Personal and corporate financial statements and
information, including tax returns.
  (b) Credit reports.
  (c) Project appraisals.
  (d) Market studies and analyses.
  (e) Articles of incorporation, partnership agreements and
operating agreements.
  (f) Commitment letters.
  (g) Project pro forma statements.
  (h) Project cost certifications and cost data.
  (i) Audits.
  (j) Project tenant correspondence.
  (k) Personal information about a tenant.
  (L) Housing assistance payments.
  (25) Raster geographic information system (GIS) digital
databases, provided by private forestland owners or their
representatives, voluntarily and in confidence to the State
Forestry Department, that is not otherwise required by law to be
submitted.
  (26) Sensitive business, commercial or financial information
furnished to or developed by a public body engaged in the
business of providing electricity or electricity services, if the
information is directly related to a transaction described in ORS
261.348, or if the information is directly related to a bid,
proposal or negotiations for the sale or purchase of electricity
or electricity services, and disclosure of the information would
cause a competitive disadvantage for the public body or its
retail electricity customers. This subsection does not apply to
cost-of-service studies used in the development or review of
generally applicable rate schedules.
  (27) Sensitive business, commercial or financial information
furnished to or developed by the City of Klamath Falls, acting
solely in connection with the ownership and operation of the
Klamath Cogeneration Project, if the information is directly
related to a transaction described in ORS 225.085 and disclosure
of the information would cause a competitive disadvantage for the
Klamath Cogeneration Project. This subsection does not apply to
cost-of-service studies used in the development or review of
generally applicable rate schedules.
  (28) Personally identifiable information about customers of a
municipal electric utility or a people's utility district or the
names, dates of birth, driver license numbers, telephone numbers,
electronic mail addresses or Social Security numbers of customers
who receive water, sewer or storm drain services from a public
body as defined in ORS 174.109. The utility or district may
release personally identifiable information about a customer, and
a public body providing water, sewer or storm drain services may
release the name, date of birth, driver license number, telephone
number, electronic mail address or Social Security number of a
customer, if the customer consents in writing or electronically,
if the disclosure is necessary for the utility, district or other
public body to render services to the customer, if the disclosure
is required pursuant to a court order or if the disclosure is
otherwise required by federal or state law. The utility, district
or other public body may charge as appropriate for the costs of
providing such information. The utility, district or other public
body may make customer records available to third party credit
agencies on a regular basis in connection with the establishment
and management of customer accounts or in the event such accounts
are delinquent.
  (29) A record of the street and number of an employee's address
submitted to a special district to obtain assistance in promoting
an alternative to single occupant motor vehicle transportation.
  (30) Sensitive business records, capital development plans or
financial or commercial information of Oregon Corrections
Enterprises that is not customarily provided to business
competitors.
  (31) Documents, materials or other information submitted to the
Director of the Department of Consumer and Business Services in
confidence by a state, federal, foreign or international
regulatory or law enforcement agency or by the National
Association of Insurance Commissioners, its affiliates or
subsidiaries under ORS 86A.095 to 86A.198, 86A.990, 86A.992,
697.005 to 697.095, 697.602 to 697.842, 705.137, 717.200 to
717.320, 717.900 or 717.905, ORS chapter 59, 723, 725 or 726, the
Bank Act or the Insurance Code when:
  (a) The document, material or other information is received
upon notice or with an understanding that it is confidential or
privileged under the laws of the jurisdiction that is the source
of the document, material or other information; and
  (b) The director has obligated the Department of Consumer and
Business Services not to disclose the document, material or other
information.
  (32) A county elections security plan developed and filed under
ORS 254.074.
  (33) Information about review or approval of programs relating
to the security of:
  (a) Generation, storage or conveyance of:
  (A) Electricity;
  (B) Gas in liquefied or gaseous form;
  (C) Hazardous substances as defined in ORS 453.005 (7)(a), (b)
and (d);
  (D) Petroleum products;
  (E) Sewage; or
  (F) Water.
  (b) Telecommunication systems, including cellular, wireless or
radio systems.
  (c) Data transmissions by whatever means provided.
  (34) The information specified in ORS 25.020 (8) if the Chief
Justice of the Supreme Court designates the information as
confidential by rule under ORS 1.002.
  (35)(a) Employer account records of the State Accident
Insurance Fund Corporation.
  (b) As used in this subsection, 'employer account records '
means all records maintained in any form that are specifically
related to the account of any employer insured, previously
insured or under consideration to be insured by the State
Accident Insurance Fund Corporation and any information obtained
or developed by the corporation in connection with providing,
offering to provide or declining to provide insurance to a
specific employer. 'Employer account records' includes, but is
not limited to, an employer's payroll records, premium payment
history, payroll classifications, employee names and
identification information, experience modification factors, loss
experience and dividend payment history.
  (c) The exemption provided by this subsection may not serve as
the basis for opposition to the discovery documents in litigation
pursuant to applicable rules of civil procedure.
  (36)(a) Claimant files of the State Accident Insurance Fund
Corporation.
  (b) As used in this subsection, 'claimant files' includes, but
is not limited to, all records held by the corporation pertaining
to a person who has made a claim, as defined in ORS 656.005, and
all records pertaining to such a claim.
  (c) The exemption provided by this subsection may not serve as
the basis for opposition to the discovery documents in litigation
pursuant to applicable rules of civil procedure.
  (37) Except as authorized by ORS 408.425, records that certify
or verify an individual's discharge or other separation from
military service.
  SECTION 63. ORS 192.690 is amended to read:
  192.690. (1) ORS 192.610 to 192.690 do not apply to { + :
  (a) + } The deliberations of the State Board of Parole and
Post-Prison Supervision  { - , - }  { + ;
  (b) + } The Psychiatric Security Review Board  { - , - }  { + ;
  (c) + } State agencies conducting hearings on contested cases
in accordance with the provisions of ORS chapter 183  { - , - }
 { + ;
  (d) + } The review by the Workers' Compensation Board or the
Employment Appeals Board of   { - similar - }   { + state
agency + } hearings  { +  conducted + } on contested cases
 { - , - }  { + ;
  (e) + } Meetings of the state lawyers assistance committee
operating under the provisions of ORS 9.568, meetings of the
personal and practice management assistance committees operating
under the provisions of ORS 9.568  { - , - }  { + ;
  (f) + } The county multidisciplinary child abuse teams required
to review child abuse cases in accordance with the provisions of
ORS 418.747  { - , - }  { + ;
  (g) + } The child fatality review teams required to review
child fatalities in accordance with the provisions of ORS 418.785
 { - , - }   { + or + } the peer review committees in accordance
with the provisions of ORS 441.055  { - , - }  { + ;
  (h) + } Mediation conducted under ORS 36.250 to 36.270
 { - , - }  { + ;
  (i) + } Any judicial proceeding  { - , - }  { + ;
  (j) + } Meetings of the   { - Oregon Health and Science
University - }  { + Portland Metropolitan Universities  + }Board
of Directors or its designated committee regarding candidates for
the position of president of   { - the - }   { + Oregon Health
and Science University or president of Portland State
 + }University or regarding sensitive business, financial or
commercial matters of the   { - university - }
 { + universities + } not customarily provided to competitors
related to financings, mergers, acquisitions or joint ventures or
related to the sale or other disposition of, or substantial
change in use of, significant real or personal property, or
related to health system strategies  { - , or to - }  { + ; or
  (k) + } Oregon Health and Science University  { + or Portland
State University + } faculty or staff committee meetings.
  (2) Because of the grave risk to public health and safety that
would be posed by misappropriation or misapplication of
information considered during such review and approval, ORS
192.610 to 192.690   { - shall - }   { + do + } not apply to
review and approval of security programs by the Energy Facility
Siting Council pursuant to ORS 469.530.
  SECTION 64. ORS 238.005, as amended by section 8, chapter 1,
Oregon Laws 2010, is amended to read:
  238.005. For purposes of this chapter:
  (1) 'Annuity' means payments for life derived from
contributions made by a member as provided in this chapter.
  (2) 'Board' means the Public Employees Retirement Board.
  (3) 'Calendar year' means 12 calendar months commencing on
January 1 and ending on December 31 following.
  (4) 'Continuous service' means service not interrupted for more
than five years, except that such continuous service shall be
computed without regard to interruptions in the case of:
  (a) An employee who had returned to the service of the employer
as of January 1, 1945, and who remained in that employment until
having established membership in the Public Employees Retirement
System.
  (b) An employee who was in the armed services on January 1,
1945, and returned to the service of the employer within one year
of the date of being otherwise than dishonorably discharged and
remained in that employment until having established membership
in the Public Employees Retirement System.
  (5) 'Creditable service' means any period of time during which
an active member is being paid a salary by a participating public
employer and for which benefits under this chapter are funded by
employer contributions and earnings on the fund. For purposes of
computing years of 'creditable service,' full months and major
fractions of a month shall be considered to be one-twelfth of a
year and shall be added to all full years.  ' Creditable service'
includes all retirement credit received by a member.
  (6) 'Earliest service retirement age' means the age attained by
a member when the member could first make application for
retirement under the provisions of ORS 238.280.
  (7) 'Employee' includes, in addition to employees, public
officers, but does not include:
  (a) Persons engaged as independent contractors.
  (b) Seasonal, emergency or casual workers whose periods of
employment with any public employer or public employers do not
total 600 hours in any calendar year.
  (c) Persons, other than workers in the Oregon Industries for
the Blind under ORS 346.190, provided sheltered employment or
made-work by a public employer in an employment or industries
program maintained for the benefit of such persons.
  (d) Persons employed and paid from federal funds received under
the Emergency Job and Unemployment Assistance Act of 1974 (Public
Law 93-567) or any other federal program intended primarily to
alleviate unemployment. However, any such person shall be
considered an 'employee' if not otherwise excluded by paragraphs
(a) to (c) of this subsection and the public employer elects to
have the person so considered by an irrevocable written notice to
the board.
  (e) Persons who are employees of a railroad, as defined in ORS
824.020, and who, as such employees, are included in a retirement
plan under federal railroad retirement statutes. This paragraph
shall be deemed to have been in effect since the inception of the
system.
  (8) 'Final average salary' means whichever of the following is
greater:
  (a) The average salary per calendar year paid by one or more
participating public employers to an employee who is an active
member of the system in three of the calendar years of membership
before the effective date of retirement of the employee, in which
three years the employee was paid the highest salary. The three
calendar years in which the employee was paid the largest total
salary may include calendar years in which the employee was
employed for less than a full calendar year. If the number of
calendar years of active membership before the effective date of
retirement of the employee is three or fewer, the final average
salary for the employee is the average salary per calendar year
paid by one or more participating public employers to the
employee in all of those years, without regard to whether the
employee was employed for the full calendar year.
  (b) One-third of the total salary paid by a participating
public employer to an employee who is an active member of the
system in the last 36 calendar months of active membership before
the effective date of retirement of the employee.
  (9) 'Firefighter' does not include a volunteer firefighter, but
does include:
  (a) The State Fire Marshal, the chief deputy fire marshal and
deputy state fire marshals; and
  (b) An employee of the State Forestry Department who is
certified by the State Forester as a professional wildland
firefighter and whose primary duties include the abatement of
uncontrolled fires as described in ORS 477.064.
  (10) 'Fiscal year' means 12 calendar months commencing on July
1 and ending on June 30 following.
  (11) 'Fund' means the Public Employees Retirement Fund.
  (12)(a) 'Member' means a person who has established membership
in the system and whose membership has not been terminated as
described in ORS 238.095. 'Member' includes active, inactive and
retired members.
  (b) 'Active member' means a member who is presently employed by
a participating public employer in a qualifying position and who
has completed the six-month period of service required by ORS
238.015.
  (c) 'Inactive member' means a member who is not employed in a
qualifying position, whose membership has not been terminated in
the manner described by ORS 238.095, and who is not retired for
service or disability.
  (d) 'Retired member' means a member who is retired for service
or disability.
  (13)(a) 'Member account' means the regular account and the
variable account.
  (b) 'Regular account' means the account established for each
active and inactive member under ORS 238.250.
  (c) 'Variable account' means the account established for a
member who participates in the Variable Annuity Account under ORS
238.260.
  (14) 'Normal retirement age' means:
  (a) For a person who establishes membership in the system
before January 1, 1996, as described in ORS 238.430, 55 years of
age if the employee retires at that age as a police officer or
firefighter or 58 years of age if the employee retires at that
age as other than a police officer or firefighter.
  (b) For a person who establishes membership in the system on or
after January 1, 1996, as described in ORS 238.430, 55 years of
age if the employee retires at that age as a police officer or
firefighter or 60 years of age if the employee retires at that
age as other than a police officer or firefighter.
  (15) 'Pension' means annual payments for life derived from
contributions by one or more public employers.
  (16) 'Police officer' includes:
  (a) Employees of institutions defined in ORS 421.005 as
Department of Corrections institutions whose duties, as assigned
by the Director of the Department of Corrections, include the
custody of persons committed to the custody of or transferred to
the Department of Corrections and employees of the Department of
Corrections who were classified as police officers on or before
July 27, 1989, whether or not such classification was authorized
by law.
  (b) Employees of the Department of State Police who are
classified as police officers by the Superintendent of State
Police.
  (c) Employees of the Oregon Liquor Control Commission who are
classified as enforcement officers by the administrator of the
commission.
  (d) Sheriffs and those deputy sheriffs or other employees of a
sheriff whose duties, as classified by the sheriff, are the
regular duties of police officers or corrections officers.
  (e) Police chiefs and police personnel of a city who are
classified as police officers by the council or other governing
body of the city.
  (f) Parole and probation officers employed by the Department of
Corrections, parole and probation officers who are transferred to
county employment under ORS 423.549 and adult parole and
probation officers, as defined in ORS 181.610, who are classified
as police officers for the purposes of this chapter by the county
governing body. If a county classifies adult parole and probation
officers as police officers for the purposes of this chapter, and
the employees so classified are represented by a labor
organization, any proposal by the county to change that
classification or to cease to classify adult parole and probation
officers as police officers for the purposes of this chapter is a
mandatory subject of bargaining.
  (g) Police officers appointed under ORS 276.021 or 276.023.
  (h) Employees of the Port of Portland who are classified as
airport police by the Board of Commissioners of the Port of
Portland.
  (i) Employees of the State Department of Agriculture who are
classified as livestock police officers by the Director of
Agriculture.
  (j) Employees of the Department of Public Safety Standards and
Training who are classified by the department as other than
secretarial or clerical personnel.
  (k) Investigators of the Criminal Justice Division of the
Department of Justice.
  (L) Corrections officers as defined in ORS 181.610.
  (m) Employees of the Oregon State Lottery Commission who are
classified by the Director of the Oregon State Lottery as
enforcement agents pursuant to ORS 461.110.
  (n) The Director of the Department of Corrections.
  (o) An employee who for seven consecutive years has been
classified as a police officer as defined by this section, and
who is employed or transferred by the Department of Corrections
to fill a position designated by the Director of the Department
of Corrections as being eligible for police officer status.
  (p) An employee of the Department of Corrections classified as
a police officer on or prior to July 27, 1989, whether or not
that classification was authorized by law, as long as the
employee remains in the position held on July 27, 1989. The
initial classification of an employee under a system implemented
pursuant to ORS 240.190 does not affect police officer status.
  (q) Employees of a school district who are appointed and duly
sworn members of a law enforcement agency of the district as
provided in ORS 332.531 or otherwise employed full-time as police
officers commissioned by the district.
  (r) Employees at youth correction facilities and juvenile
detention facilities under ORS 419A.050, 419A.052 and 420.005 to
420.915 who are required to hold valid Oregon teaching licenses
and who have supervisory, control or teaching responsibilities
over juveniles committed to the custody of the Department of
Corrections or the Oregon Youth Authority.
  (s) Employees at youth correction facilities as defined in ORS
420.005 whose primary job description involves the custody,
control, treatment, investigation or supervision of juveniles
placed in such facilities.
  (t) Employees of the Oregon Youth Authority who are classified
as juvenile parole and probation officers.
  (17) 'Public employer' means the state, one of its agencies,
any city, county, or municipal or public corporation, any
political subdivision of the state or any instrumentality
thereof, or an agency created by one or more such governmental
organizations to provide governmental services. For purposes of
this chapter, such agency created by one or more governmental
organizations is a governmental instrumentality and a legal
entity with power to enter into contracts, hold property and sue
and be sued.

  (18) 'Prior service credit' means credit provided under ORS
238.442 or under ORS 238.225 (2) to (6) (1999 Edition).
  (19) 'Qualifying position' means one or more jobs with one or
more participating public employers in which an employee performs
600 or more hours of service in a calendar year, excluding any
service in a job for which a participating public employer does
not provide benefits under this chapter pursuant to an
application made under ORS 238.035.
  (20) 'Retirement credit' means a period of time that is treated
as creditable service for the purposes of this chapter.
  (21)(a) 'Salary' means the remuneration paid an employee in
cash out of the funds of a public employer in return for services
to the employer, plus the monetary value, as determined by the
Public Employees Retirement Board, of whatever living quarters,
board, lodging, fuel, laundry and other advantages the employer
furnishes the employee in return for services.
  (b) 'Salary' includes but is not limited to:
  (A) Payments of employee and employer money into a deferred
compensation plan, which are deemed salary paid in each month of
deferral;
  (B) The amount of participation in a tax-sheltered or deferred
annuity, which is deemed salary paid in each month of
participation;
  (C) Retroactive payments described in section 7, chapter 1,
Oregon Laws 2010; and
  (D) Wages of a deceased member paid to a surviving spouse or
dependent children under ORS 652.190.
  (c) 'Salary' or 'other advantages' does not include:
  (A) Travel or any other expenses incidental to employer's
business which is reimbursed by the employer;
  (B) Payments for insurance coverage by an employer on behalf of
employee or employee and dependents, for which the employee has
no cash option;
  (C) Payments made on account of an employee's death;
  (D) Any lump sum payment for accumulated unused sick leave;
  (E) Any accelerated payment of an employment contract for a
future period or an advance against future wages;
  (F) Any retirement incentive, retirement severance pay,
retirement bonus or retirement gratuitous payment;
  (G) Payments for periods of leave of absence after the date the
employer and employee have agreed that no future services
qualifying pursuant to ORS 238.015 (3) will be performed, except
for sick leave and vacation;
  (H) Payments for instructional services rendered to
institutions of the Oregon University System { + , Portland State
University + } or   { - the - }  Oregon Health and Science
University when such services are in excess of full-time
employment subject to this chapter. A person employed under a
contract for less than 12 months is subject to this subparagraph
only for the months to which the contract pertains; or
  (I) Payments made by an employer for insurance coverage
provided to a domestic partner of an employee.
  (22) 'School year' means the period beginning July 1 and ending
June 30 next following.
  (23) 'System' means the Public Employees Retirement System.
  (24) 'Vested' means being an active member of the system in
each of five calendar years.
  (25) 'Volunteer firefighter' means a firefighter whose position
normally requires less than 600 hours of service per year.
  SECTION 65. ORS 238A.005, as amended by section 9, chapter 1,
Oregon Laws 2010, and section 1, chapter 82, Oregon Laws 2010, is
amended to read:
  238A.005. For the purposes of this chapter:
  (1) 'Active member' means a member of the pension program or
the individual account program of the Oregon Public Service

Retirement Plan who is actively employed in a qualifying
position.
  (2) 'Actuarial equivalent' means a payment or series of
payments having the same value as the payment or series of
payments replaced, computed on the basis of interest rate and
mortality assumptions adopted by the board.
  (3) 'Board' means the Public Employees Retirement Board.
  (4) 'Eligible employee' means a person who performs services
for a participating public employer, including elected officials
other than judges. 'Eligible employee' does not include:
  (a) Persons engaged as independent contractors;
  (b) Aliens working under a training or educational visa;
  (c) Persons, other than workers in the Industries for the Blind
Program under ORS 346.190, provided sheltered employment or
make-work by a public employer;
  (d) Persons categorized by a participating public employer as
student employees;
  (e) Any person who is an inmate of a state institution;
  (f) Employees of foreign trade offices of the Oregon Business
Development Department who live and perform services in foreign
countries under the provisions of ORS 285A.075 (1)(g);
  (g) An employee actively participating in an alternative
retirement program established under ORS 353.250 or an optional
retirement plan established under ORS 341.551;
  (h) Employees of the Oregon University System who are actively
participating in an optional retirement plan offered under ORS
243.800;
  (i) Any employee who belongs to a class of employees that was
not eligible on August 28, 2003, for membership in the system
under the provisions of ORS chapter 238 or other law;
  (j) Any person who belongs to a class of employees who are not
eligible to become members of the Oregon Public Service
Retirement Plan under the provisions of ORS 238A.070 (2);
  (k) Any person who is retired under ORS 238A.100 to 238A.245 or
ORS chapter 238 and who continues to receive retirement benefits
while employed; and
  (L) Judges.
  (5) 'Firefighter' means:
  (a) A person employed by a local government, as defined in ORS
174.116, whose primary job duties include the fighting of fires;
  (b) The State Fire Marshal, the chief deputy state fire marshal
and deputy state fire marshals; and
  (c) An employee of the State Forestry Department who is
certified by the State Forester as a professional wildland
firefighter and whose primary duties include the abatement of
uncontrolled fires as described in ORS 477.064.
  (6) 'Fund' means the Public Employees Retirement Fund.
  (7)(a) 'Hour of service' means:
  (A) An hour for which an eligible employee is directly or
indirectly paid or entitled to payment by a participating public
employer for performance of duties in a qualifying position; and
  (B) An hour of vacation, holiday, illness, incapacity, jury
duty, military duty or authorized leave during which an employee
does not perform duties but for which the employee is directly or
indirectly paid or entitled to payment by a participating public
employer for services in a qualifying position, as long as the
hour is within the number of hours regularly scheduled for the
performance of duties during the period of vacation, holiday,
illness, incapacity, jury duty, military duty or authorized
leave.
  (b) 'Hour of service' does not include any hour for which
payment is made or due under a plan maintained solely for the
purpose of complying with applicable workers' compensation laws
or unemployment compensation laws.
  (8) 'Inactive member' means a member of the pension program or
the individual account program of the Oregon Public Service
Retirement Plan whose membership has not been terminated, who is
not a retired member and who is not employed in a qualifying
position.
  (9) 'Individual account program' means the defined contribution
individual account program of the Oregon Public Service
Retirement Plan established under ORS 238A.025.
  (10) 'Member' means an eligible employee who has established
membership in the pension program or the individual account
program of the Oregon Public Service Retirement Plan and whose
membership has not been terminated under ORS 238A.110 or
238A.310.
  (11) 'Participating public employer' means a public employer as
defined in ORS 238.005 that provides retirement benefits for
employees of the public employer under the system.
  (12) 'Pension program' means the defined benefit pension
program of the Oregon Public Service Retirement Plan established
under ORS 238A.025.
  (13) 'Police officer' means a police officer as described in
ORS 238.005.
  (14) 'Qualifying position' means one or more jobs with one or
more participating public employers in which an eligible employee
performs 600 or more hours of service in a calendar year,
excluding any service in a job for which benefits are not
provided under the Oregon Public Service Retirement Plan pursuant
to ORS 238A.070 (2).
  (15) 'Retired member' means a pension program member who is
receiving a pension as provided in ORS 238A.180 to 238A.195.
  (16)(a) 'Salary' means the remuneration paid to an active
member in return for services to the participating public
employer, including remuneration in the form of living quarters,
board or other items of value, to the extent the remuneration is
includable in the employee's taxable income under Oregon law.
Salary includes the additional amounts specified in paragraph (b)
of this subsection, but does not include the amounts specified in
paragraph (c) of this subsection, regardless of whether those
amounts are includable in taxable income.
  (b) 'Salary' includes the following amounts:
  (A) Payments of employee and employer money into a deferred
compensation plan that are made at the election of the employee.
  (B) Contributions to a tax-sheltered or deferred annuity that
are made at the election of the employee.
  (C) Any amount that is contributed to a cafeteria plan or
qualified transportation fringe benefit plan by the employer at
the election of the employee and that is not includable in the
taxable income of the employee by reason of 26 U.S.C. 125 or
132(f)(4), as in effect on December 31, 2009.
  (D) Any amount that is contributed to a cash or deferred
arrangement by the employer at the election of the employee and
that is not included in the taxable income of the employee by
reason of 26 U.S.C. 402(e)(3), as in effect on December 31, 2009.
  (E) Retroactive payments described in section 7, chapter 1,
Oregon Laws 2010.
  (F) The amount of an employee contribution to the individual
account program that is paid by the employer and deducted from
the compensation of the employee, as provided under ORS 238A.335
(1) and (2)(a).
  (G) The amount of an employee contribution to the individual
account program that is not paid by the employer under ORS
238A.335.
  (H) Wages of a deceased member paid to a surviving spouse or
dependent children under ORS 652.190.
  (c) 'Salary' does not include the following amounts:
  (A) Travel or any other expenses incidental to employer's
business which is reimbursed by the employer.
  (B) Payments made on account of an employee's death.

  (C) Any lump sum payment for accumulated unused sick leave,
vacation leave or other paid leave.
  (D) Any severance payment, accelerated payment of an employment
contract for a future period or advance against future wages.
  (E) Any retirement incentive, retirement bonus or retirement
gratuitous payment.
  (F) Payment for a leave of absence after the date the employer
and employee have agreed that no future services in a qualifying
position will be performed.
  (G) Payments for instructional services rendered to
institutions of the Oregon University System { + , Portland State
University + } or   { - the - }  Oregon Health and Science
University when those services are in excess of full-time
employment subject to this chapter. A person employed under a
contract for less than 12 months is subject to this subparagraph
only for the months covered by the contract.
  (H) The amount of an employee contribution to the individual
account program that is paid by the employer and is not deducted
from the compensation of the employee, as provided under ORS
238A.335 (1) and (2)(b).
  (I) Any amount in excess of $200,000 for a calendar year. If
any period over which salary is determined is less than 12
months, the $200,000 limitation for that period shall be
multiplied by a fraction, the numerator of which is the number of
months in the determination period and the denominator of which
is 12. The board shall adopt rules adjusting this dollar limit to
incorporate cost-of-living adjustments authorized by the Internal
Revenue Service.
  (17) 'System' means the Public Employees Retirement System.
  SECTION 66. ORS 238A.140 is amended to read:
  238A.140. (1) An active member of the pension program accrues
one year of retirement credit for each complete year of service
and one-twelfth of a year of retirement credit for each full
month and each major fraction of a month of service.
  (2) An active member who is a school employee shall be credited
with at least six months of retirement credit if the member
performs service for a major fraction of each month of a school
year that falls between January 1 and June 30, and at least six
months of retirement credit if the member performs service for a
major fraction of each month of a school year that falls between
July 1 and December 31.
  (3) When an eligible employee becomes a member under ORS
238A.100, the board shall credit the eligible employee with
retirement credit for the period of employment required of the
employee under ORS 238A.100.
  (4) A member may not accrue more than one full year of
retirement credit in any calendar year.
  (5) For purposes of this section, 'school employee' means:
  (a) A person who is employed by a common school district, a
union high school district or an education service district;
  (b) An employee of the State Board of Higher
Education { + , + }   { - or the - }  Oregon Health and Science
University  { + or Portland State University + } who is engaged
in teaching or other school activity at an institution of higher
education;
  (c) An employee of the Department of Human Services, the Oregon
Youth Authority, the Department of Corrections or the State Board
of Education who is engaged in teaching or other school activity
at an institution supervised by the authority, board or
department; and
  (d) An employee of a community college district other than an
academic employee.
  SECTION 67. ORS 243.107 is amended to read:
  243.107. A person employed by a state institution of higher
education { + , + }   { - or the - }  Oregon Health and Science
University  { + or Portland State University + } may be
considered an eligible employee for participation in one of the
group benefit plans described in ORS 243.135 if the State Board
of Higher Education  { - , or the Oregon Health and Science
University - }   { + or the Portland Metropolitan
Universities + } Board of Directors   { - for Oregon Health and
Science University employees, - }  determines that funds are
available therefor and if:
  (1) Notwithstanding ORS 243.105 (4)(b)(F), the person is a
student enrolled in   { - an - }   { + a state + } institution of
higher education { + , Oregon Health and Science University or
Portland State University + } and is employed as a graduate
teaching assistant,  { + a + } graduate research assistant or a
fellow at the institution  { + or university + } and elects to
participate; or
  (2) Notwithstanding ORS 243.105 (4)(b)(B) or (C), the person is
employed on a less than half-time basis in an unclassified
instructional or research support capacity and elects to
participate.
  SECTION 68. ORS 243.820 is amended to read:
  243.820. (1) In order to obtain the advantages of 26 U.S.C.
403(b), or any equivalent provision of federal law, an employer
may agree with an employee who performs services for an
educational institution that:
  (a) The employee's salary will be reduced monthly by a stated
amount, or the employee will forgo monthly a salary increase of a
stated amount; and
  (b) On behalf of the employee, the employer shall contribute
monthly an amount equal to the stated amount determined under
paragraph (a) of this subsection as premiums for an annuity
contract or to a custodial account for investment in the stock of
regulated investment companies as defined in 26 U.S.C.
403(b)(7)(C). The amount contributed by the employer under this
subsection may not exceed the stated amount.
  (2) Notwithstanding any other provision of law, pursuant to an
agreement under subsection (1) of this section, the stated
amounts shall be forwarded by the employer as annuity premiums to
the company or association with which it has entered into an
annuity contract or to the regulated investment company or its
transfer agent for the benefit of the employee.
  (3) An employer may make nonelective employer contributions on
behalf of an employee who performs services for an educational
institution as premiums for an annuity contract, or to a
custodial account for investment in the stock of regulated
investment companies as defined in 26 U.S.C. 403(b)(7)(C), for
the purpose of obtaining the advantages of 26 U.S.C. 403(b) or
any equivalent provision of federal law. Employer contributions
under this subsection are in addition to any employee
contributions under subsection (1) of this section.
  (4) As used in this section:
  (a) 'Educational institution' means an educational institution
that normally maintains a regular faculty and curriculum and
normally has a regularly organized body of students in attendance
at the place where its educational activities are carried on or
an education service district.
  (b) 'Employer' means the State Board of Higher Education, any
other state agency, a community college district, a school
district,  { + Portland State University, + }   { - the - }
Oregon Health and Science University or an education service
district employing an individual who performs services for an
educational institution.
  SECTION 69. ORS 243.910 is amended to read:
  243.910. As used in ORS 243.910 to 243.945:
  (1) 'Board' means { + :
  (a) + } The State Board of Higher Education for all
institutions under the jurisdiction of that board as set forth in
ORS 352.002  { - , and for the Oregon Health and Science
University means the Oregon Health and Science University Board
of Directors - }  { + ; and
  (b) The Portland Metropolitan Universities Board of Directors
for Oregon Health and Science University and Portland State
University + }.
  (2) 'Employees' means the persons appointed or employed by or
under the authority of the board who hold academic rank as
determined by the board.
  (3) 'System' means the Public Employees Retirement System
established by ORS 238.600.
  SECTION 70. ORS 244.050 is amended to read:
  244.050. (1) On or before April 15 of each year the following
persons shall file with the Oregon Government Ethics Commission a
verified statement of economic interest as required under this
chapter:
  (a) The Governor, Secretary of State, State Treasurer, Attorney
General, Commissioner of the Bureau of Labor and Industries,
Superintendent of Public Instruction, district attorneys and
members of the Legislative Assembly.
  (b) Any judicial officer, including justices of the peace and
municipal judges, except any pro tem judicial officer who does
not otherwise serve as a judicial officer.
  (c) Any candidate for a public office designated in paragraph
(a) or (b) of this subsection.
  (d) The Deputy Attorney General.
  (e) The Legislative Administrator, the Legislative Counsel, the
Legislative Fiscal Officer, the Secretary of the Senate and the
Chief Clerk of the House of Representatives.
  (f) The Chancellor and Vice Chancellors of the Oregon
University System and the president and vice presidents, or their
administrative equivalents, in each institution under the
jurisdiction of the State Board of Higher Education.
  (g) The following state officers:
  (A) Adjutant General.
  (B) Director of Agriculture.
  (C) Manager of State Accident Insurance Fund Corporation.
  (D) Water Resources Director.
  (E) Director of Department of Environmental Quality.
  (F) Director of Oregon Department of Administrative Services.
  (G) State Fish and Wildlife Director.
  (H) State Forester.
  (I) State Geologist.
  (J) Director of Human Services.
  (K) Director of the Department of Consumer and Business
Services.
  (L) Director of the Department of State Lands.
  (M) State Librarian.
  (N) Administrator of Oregon Liquor Control Commission.
  (O) Superintendent of State Police.
  (P) Director of the Public Employees Retirement System.
  (Q) Director of Department of Revenue.
  (R) Director of Transportation.
  (S) Public Utility Commissioner.
  (T) Director of Veterans' Affairs.
  (U) Executive director of Oregon Government Ethics Commission.
  (V) Director of the State Department of Energy.
  (W) Director and each assistant director of the Oregon State
Lottery.
  (X) Director of the Department of Corrections.
  (Y) Director of the Oregon Department of Aviation.
  (Z) Executive director of the Oregon Criminal Justice
Commission.
  (AA) Director of the Oregon Business Development Department.
  (BB) Director of the Office of Emergency Management.
  (CC) Director of the Employment Department.
  (DD) Chief of staff for the Governor.
  (EE) Administrator of the Office for Oregon Health Policy and
Research.
  (FF) Director of the Housing and Community Services Department.
  (GG) State Court Administrator.
  (HH) Director of the Department of Land Conservation and
Development.
  (II) Board chairperson of the Land Use Board of Appeals.
  (JJ) State Marine Director.
  (KK) Executive director of the Oregon Racing Commission.
  (LL) State Parks and Recreation Director.
  (MM) Public defense services executive director.
  (NN) Chairperson of the Public Employees' Benefit Board.
  (OO) Director of the Department of Public Safety Standards and
Training.
  (PP) Chairperson of the Oregon Student Assistance Commission.
  (QQ) Executive director of the Oregon Watershed Enhancement
Board.
  (RR) Director of the Oregon Youth Authority.
  (SS) Director of the Oregon Health Authority.
  (h) Any assistant in the Governor's office other than personal
secretaries and clerical personnel.
  (i) Every elected city or county official.
  (j) Every member of a city or county planning, zoning or
development commission.
  (k) The chief executive officer of a city or county who
performs the duties of manager or principal administrator of the
city or county.
  (L) Members of local government boundary commissions formed
under ORS 199.410 to 199.519.
  (m) Every member of a governing body of a metropolitan service
district and the executive officer thereof.
  (n) Each member of the board of directors of the State Accident
Insurance Fund Corporation.
  (o) The chief administrative officer and the financial officer
of each common and union high school district, education service
district and community college district.
  (p) Every member of the following state boards and commissions:
  (A) Board of Geologic and Mineral Industries.
  (B) Oregon Business Development Commission.
  (C) State Board of Education.
  (D) Environmental Quality Commission.
  (E) Fish and Wildlife Commission of the State of Oregon.
  (F) State Board of Forestry.
  (G) Oregon Government Ethics Commission.
  (H) Oregon Health Policy Board.
  (I) State Board of Higher Education.
  (J) Oregon Investment Council.
  (K) Land Conservation and Development Commission.
  (L) Oregon Liquor Control Commission.
  (M) Oregon Short Term Fund Board.
  (N) State Marine Board.
  (O) Mass transit district boards.
  (P) Energy Facility Siting Council.
  (Q) Board of Commissioners of the Port of Portland.
  (R) Employment Relations Board.
  (S) Public Employees Retirement Board.
  (T) Oregon Racing Commission.
  (U) Oregon Transportation Commission.
  (V) Wage and Hour Commission.
  (W) Water Resources Commission.
  (X) Workers' Compensation Board.
  (Y) Oregon Facilities Authority.
  (Z) Oregon State Lottery Commission.
  (AA) Pacific Northwest Electric Power and Conservation Planning
Council.
  (BB) Columbia River Gorge Commission.
  (CC)   { - Oregon Health and Science University - }  { +
Portland Metropolitan Universities + } Board of Directors.
  (DD) Capitol Planning Commission.
  (q) The following officers of the State Treasurer:
  (A) Chief Deputy State Treasurer.
  (B) Chief of staff for the office of the State Treasurer.
  (C) Director of the Investment Division.
  (r) Every member of the board of commissioners of a port
governed by ORS 777.005 to 777.725 or 777.915 to 777.953.
  (s) Every member of the board of directors of an authority
created under ORS 441.525 to 441.595.
  (2) By April 15 next after the date an appointment takes
effect, every appointed public official on a board or commission
listed in subsection (1) of this section shall file with the
Oregon Government Ethics Commission a statement of economic
interest as required under ORS 244.060, 244.070 and 244.090.
  (3) By April 15 next after the filing deadline for the primary
election, each candidate described in subsection (1) of this
section shall file with the commission a statement of economic
interest as required under ORS 244.060, 244.070 and 244.090.
  (4) Within 30 days after the filing deadline for the general
election, each candidate described in subsection (1) of this
section who was not a candidate in the preceding primary
election, or who was nominated for public office described in
subsection (1) of this section at the preceding primary election
by write-in votes, shall file with the commission a statement of
economic interest as required under ORS 244.060, 244.070 and
244.090.
  (5) Subsections (1) to (4) of this section apply only to
persons who are incumbent, elected or appointed public officials
as of April 15 and to persons who are candidates on April 15.
Subsections (1) to (4) of this section also apply to persons who
do not become candidates until 30 days after the filing deadline
for the statewide general election.
  (6) If a statement required to be filed under this section has
not been received by the commission within five days after the
date the statement is due, the commission shall notify the public
official or candidate and give the public official or candidate
not less than 15 days to comply with the requirements of this
section. If the public official or candidate fails to comply by
the date set by the commission, the commission may impose a civil
penalty as provided in ORS 244.350.
  SECTION 71. ORS 276.227 is amended to read:
  276.227. (1) The State of Oregon recognizes that providing and
operating state government facilities is a significant capital
investment in public infrastructure. Accordingly, it is the
policy of the State of Oregon to plan, finance, acquire,
construct, manage and maintain state government facilities in a
manner that maximizes and protects this investment.
  (2) The Oregon Department of Administrative Services shall
establish a statewide planning process that evaluates the needs
of the state's facilities, provides comparative information on
the condition of the state's facilities, establishes guidelines
and standards for acquiring, managing and maintaining state
facilities and provides financing and budgeting strategies to
allocate resources to facilities' needs.
  (3)(a) The Director of the Oregon Department of Administrative
Services shall establish a public review process for the proposed
capital projects of all state agencies. To assist in this review,
the director shall establish a Capital Projects Advisory Board
consisting of seven members. Five members shall be public members
knowledgeable about construction, facilities management and
maintenance issues. Two members may be state employees. The
director shall appoint the chairperson of the board.
  (b) The director, in consultation with the board, may request
that agencies submit updated long-range facility plans and
funding strategies that reflect changes in technology and
priorities. The director may ask the board to report on and make
recommendations related to long-range plans, the condition of
facilities, maintenance schedules, funding strategies and options
for new facilities. The director may seek recommendations from
the board regarding the needs of existing facilities, funding
strategies and long-term facility goals.
  (c) The review process may be applicable to capital projects
meeting the definition of major construction/acquisition in the
Governor's budget and to significant leases.
  (d) For each state agency proposing a capital project, the
review process may include an examination of the following:
  (A) The effectiveness of asset protection, including
maintenance, repair and other activities;
  (B) The effectiveness of space utilization, including an
inventory of existing occupied and unoccupied building space;
  (C) The advisability of lease, purchase or other funding
strategies;
  (D) The condition of existing occupied and unoccupied building
space;
  (E) Appropriate technology;
  (F) The agency's mission and long-range facilities plans; and
  (G) For new facilities, expansions and additions, the ability
of the agency to maintain and operate all of the agency's
facilities in a cost-effective manner.
  (e) The review process shall ensure that capital project
decisions are approached in a cost-effective manner after
considering all reasonable alternatives.
  (f) With assistance from the board, the department shall
provide recommendations and information to the Governor and the
Legislative Assembly on the construction, leasing and facilities
management issues of state government.
  (4) The department shall establish and maintain a central
database of information on state-owned property of all state
agencies, including land, buildings, infrastructure, improvements
and leases. This database shall include an inventory of
state-owned facilities as well as descriptive and technical
information.
  (5) State agencies shall establish and implement long-range
maintenance and management plans for facilities for which this
state is responsible to ensure that facilities are maintained in
good repair and that the useful lives of facilities are
maximized.  For each new facility, a maintenance and management
plan appropriate to the use and useful life of the facility shall
be developed and implemented.
  (6) The department may engage in cooperative projects with
local government.
  (7) The provisions of this section   { - shall - }   { + do + }
not apply to institutions of higher education as described in ORS
352.002,  { +  Portland State University, + }   { - the - }
Oregon Health and Science University or a community college as
defined in ORS 341.005.
  SECTION 72. ORS 276.229 is amended to read:
  276.229. (1) State agencies shall develop four-year major
construction budgets. Projects included in these budgets may be
accelerated or deferred upon approval of the Emergency Board.
  (2) State agencies shall include the biennial costs associated
with maintenance, major repairs or building alterations in their
regular budget presentation to the Legislative Assembly.
Agencies shall include in their budget presentations short-term
and long-term plans to reduce or eliminate any existing backlog
of deferred maintenance.
  (3) The provisions of this section   { - shall - }   { + do + }
not apply to an institution of higher education as described in
ORS 352.002,  { +  Portland State University, + }   { - the - }

Oregon Health and Science University, or a community college as
defined in ORS 341.005.
  SECTION 73. ORS 279A.025 is amended to read:
  279A.025. (1) Except as provided in subsections (2) to (4) of
this section, the Public Contracting Code applies to all public
contracting.
  (2) The Public Contracting Code does not apply to:
  (a) Contracts between a contracting agency and:
  (A) Another contracting agency;
  (B)   { - The - }  Oregon Health and Science University;
   { +  (C) Portland State University; + }
    { - (C) - }  { +  (D) + } The Oregon State Bar;
    { - (D) - }  { +  (E) + } A governmental body of another
state;
    { - (E) - }  { +  (F) + } The federal government;
    { - (F) - }  { +  (G) + } An American Indian tribe or an
agency of an American Indian tribe;
    { - (G) - }  { +  (H) + } A nation, or a governmental body in
a nation, other than the United States; or
    { - (H) - }  { +  (I) + } An intergovernmental entity formed
between or among:
  (i) Governmental bodies of this or another state;
  (ii) The federal government;
  (iii) An American Indian tribe or an agency of an American
Indian tribe;
  (iv) A nation other than the United States; or
  (v) A governmental body in a nation other than the United
States;
  (b) Agreements authorized by ORS chapter 190 or by a statute,
charter provision, ordinance or other authority for establishing
agreements between or among governmental bodies or agencies or
tribal governing bodies or agencies;
  (c) Insurance and service contracts as provided for under ORS
414.115, 414.125, 414.135 and 414.145 for purposes of source
selection;
  (d) Grants;
  (e) Contracts for professional or expert witnesses or
consultants to provide services or testimony relating to existing
or potential litigation or legal matters in which a public body
is or may become interested;
  (f) Acquisitions or disposals of real property or interest in
real property;
  (g) Sole-source expenditures when rates are set by law or
ordinance for purposes of source selection;
  (h) Contracts for the procurement or distribution of textbooks;
  (i) Procurements by a contracting agency from an Oregon
Corrections Enterprises program;
  (j) The procurement, transportation or distribution of
distilled liquor, as defined in ORS 471.001, or the appointment
of agents under ORS 471.750 by the Oregon Liquor Control
Commission;
  (k) Contracts entered into under ORS chapter 180 between the
Attorney General and private counsel or special legal assistants;
  (L) Contracts for the sale of timber from lands owned or
managed by the State Board of Forestry and the State Forestry
Department;
  (m) Contracts for forest protection or forest related
activities, as described in ORS 477.406, by the State Forester or
the State Board of Forestry;
  (n) Sponsorship agreements entered into by the State Parks and
Recreation Director in accordance with ORS 565.080 (4);
  (o) Contracts entered into by the Housing and Community
Services Department in exercising the department's duties
prescribed in ORS chapters 456 and 458, except that the
department's public contracting for goods and services is subject
to ORS chapter 279B;
  (p) Contracts entered into by the State Treasurer in exercising
the powers of that office prescribed in ORS chapters 178, 286A,
287A, 289, 293, 294 and 295, including but not limited to
investment contracts and agreements, banking services, clearing
house services and collateralization agreements, bond documents,
certificates of participation and other debt repayment
agreements, and any associated contracts, agreements and
documents, regardless of whether the obligations that the
contracts, agreements or documents establish are general, special
or limited, except that the State Treasurer's public contracting
for goods and services is subject to ORS chapter 279B;
  (q) Contracts, agreements or other documents entered into,
issued or established in connection with:
  (A) The issuance of obligations, as defined in ORS 286A.100 and
287A.310, of a public body;
  (B) The making of program loans and similar extensions or
advances of funds, aid or assistance by a public body to a public
or private body for the purpose of carrying out, promoting or
sustaining activities or programs authorized by law; or
  (C) The investment of funds by a public body as authorized by
law, and other financial transactions of a public body that by
their character cannot practically be established under the
competitive contractor selection procedures of ORS 279B.050 to
279B.085;
  (r) Contracts for employee benefit plans as provided in ORS
243.105 (1), 243.125 (4), 243.221, 243.275, 243.291, 243.303 and
243.565;
  (s) Contracts for employee benefit plans as provided in ORS
243.860 to 243.886; or
  (t) Any other public contracting of a public body specifically
exempted from the code by another provision of law.
  (3) The Public Contracting Code does not apply to the
contracting activities of:
  (a) The Oregon State Lottery Commission;
  (b) The Oregon University System and member institutions,
except as provided in ORS 351.086;
  (c) The legislative department;
  (d) The judicial department;
  (e) Semi-independent state agencies listed in ORS 182.454,
except as provided in ORS 279.835 to 279.855 and 279A.250 to
279A.290;
  (f) Oregon Corrections Enterprises;
  (g) The Oregon Film and Video Office, except as provided in ORS
279A.100 and 279A.250 to 279A.290;
  (h) The Travel Information Council, except as provided in ORS
279A.250 to 279A.290;
  (i) The Oregon 529 College Savings Network and the Oregon 529
College Savings Board;
  (j) The Oregon Innovation Council;
  (k) The Oregon Utility Notification Center; or
  (L) Any other public body specifically exempted from the code
by another provision of law.
  (4) ORS 279A.200 to 279A.225 and 279B.050 to 279B.085 do not
apply to contracts made with qualified nonprofit agencies
providing employment opportunities for individuals with
disabilities under ORS 279.835 to 279.855.
  SECTION 74. ORS 283.143 is amended to read:
  283.143. (1) To encourage utilization of statewide integrated
videoconferencing and statewide online access services, the
Oregon Department of Administrative Services shall, in addition
to any other charge or assessment for providing
telecommunications services to state agencies, impose upon each
agency and public corporation a surcharge, in an amount
established by the department. All surcharge moneys collected
shall be deposited in the Oregon Department of Administrative
Services Operating Fund, and may be expended only for state
agency and public corporation telecommunication and
videoconferencing activities, under such terms and conditions as
the department may prescribe.
  (2) Notwithstanding subsection (1) of this section, the Oregon
Department of Administrative Services   { - shall - }
 { + may + } not impose the surcharge established by this section
on the Oregon University System { + , Portland State
University + } or   { - the - }  Oregon Health and Science
University. The Oregon Department of Administrative Services
shall enter into an agreement with the Oregon University
System { + , Portland State University + } and   { - the - }
Oregon Health and Science University on the amounts to be paid by
the Oregon University System { + , Portland State University + }
and   { - the - } Oregon Health and Science University to the
Oregon Department of Administrative Services in lieu of the
surcharge provided for in this section.
  SECTION 75. ORS 284.633 is amended to read:
  284.633. (1) The Oregon Progress Board may enter into an
agreement with:
  (a) Any state agency for the provision of clerical, technical
and management personnel to the board to serve as the board's
staff and for the provision of other administrative, operational
or overhead expenses necessary to accomplish the public purposes
of the board.
  (b) A nongovernmental entity for the provision of
administrative, operational or overhead expenses necessary to
accomplish the public purposes of the board.
  (2) As used in this section:
  (a) 'Public institution of higher education' means a community
college { + , + }   { - or - }  a state institution of higher
education listed in ORS 352.002 { +  or Portland State
University + }.
  (b) 'State agency' means any officer, board, commission,
department, division or institution in the executive or
administrative branch of state government or a public institution
of higher education.
  SECTION 76. ORS 284.701 is amended to read:
  284.701. As used in ORS 284.701 to 284.740:
  (1) 'Oregon emerging business' means an emerging growth
business as defined in ORS 348.701 that has:
  (a) Fewer than 100 employees; and
  (b) At least 51 percent of its employees employed in Oregon.
  (2) 'Research institution' means:
  (a) A community college as defined in ORS 341.005;
  (b) A state institution of higher education listed in ORS
352.002;
  (c) The Oregon Health and Science University public corporation
created under ORS 353.020 { +  (1) + };
  (d) An Oregon-based, generally accredited, not-for-profit
private institution of higher education;
  (e) A federal research laboratory conducting research in
Oregon;   { - or - }
  (f) A private not-for-profit research institution located in
Oregon { + ; or
  (g) The Portland State University public corporation created
under ORS 353.020 (2) + }.
  (3) 'Traded sector' has the meaning given that term in ORS
285A.010.
  SECTION 77. ORS 285B.168 is amended to read:
  285B.168. (1) The Oregon Business Development Department may
make grants available to a community college district, a
community college service district or, with the concurrence of
the Commissioner for Community College Services and the
Chancellor of the Oregon University System, a state university to
assist in the formation, improvement and operation of small
business development centers. If a community college district, a
community college service district or a state university is
unable to adequately provide services in a specific geographic
area, the department may make grants available to other service
providers as determined by the department. The grant application
shall include:
  (a) Plans for providing small business owners and managers
individual counseling, to the greatest extent practicable, in
subject areas critical to small business success;
  (b) A budget for the year for which a grant is requested,
including cost apportionment among the department, small business
clients, the community college, state university or other service
providers and other sources;
  (c) A plan for evaluating the effect of the program on small
business clients served; and
  (d) A plan for providing collaboration with other state
agencies, state-supported organizations and private sector
entities that provide services to small businesses.
  (2) The grants made under subsection (1) of this section are to
be used by the grant recipient to provide:
  (a) Small business development center staff and support staff;
  (b) Expert resource persons from the business community;
  (c) Other training and business resources as approved by the
department in skill areas for which, or areas of the state where,
the grant recipient can demonstrate it does not otherwise have
the capacity or expertise to provide the resources; and
  (d) Other costs related to providing training, counseling and
business resources to small business clients.
  (3) To be eligible for a grant under subsection (1) of this
section, the recipient shall be required to provide funds,
in-kind contributions or some combination of funds and
contributions, in accordance with rules adopted by the
department.
  (4) Subject to the approval of the department, a grant
recipient may subcontract funds received under this section to
any other entity that is eligible to receive funding under this
section.
  (5) The grant recipient shall submit a final report to the
department after the distribution of grant funds and the delivery
of services to the proposed business clients. The report shall
state whether the plan and related budget have met the applicable
criteria as described in the recipient's application for the
grant period.
  (6) As used in this section, 'state university' means a state
institution of higher education listed in ORS 352.002 { +  or
Portland State University + }.
  SECTION 78. ORS 286A.001 is amended to read:
  286A.001. As used in this chapter:
  (1) 'Agreement for exchange of interest rates' means a
contract, or an option or forward commitment to enter into a
contract, for the exchange of interest rates that provides for:
  (a) Payments based on levels of or changes in interest rates;
or
  (b) Provisions to hedge payment, rate, spread or similar
exposure including, but not limited to, an interest rate floor or
cap or an option, put or call.
  (2) 'Bond':
  (a) Means a contractual undertaking or instrument of the State
of Oregon to repay borrowed moneys.
  (b) Does not mean a financing agreement, as defined in ORS
283.085, if the principal amount of the agreement is $100,000 or
less, or a credit enhancement device.
  (3) 'Counterparty' means an entity with whom the State of
Oregon enters into an agreement for exchange of interest rates.
  (4) 'Credit enhancement device':
  (a) Means a letter of credit, line of credit, standby bond
purchase agreement, bond insurance policy, reserve surety bond or
other device or facility used to enhance the creditworthiness,
liquidity or marketability of bonds or agreements for the
exchange of interest rates; and
  (b) Does not mean a bond.
  (5) 'Credit enhancement device fee' means a payment required to
be made to the provider of a credit enhancement device securing a
bond or securing an agreement for the exchange of interest rates.
  (6) 'General obligation bond' means a bond that constitutes
indebtedness of the state under section 7, Article XI of the
Oregon Constitution, and that is exempt from the $50,000
limitation on indebtedness set forth in that section.
  (7) 'Operative document' means a bond declaration, trust
agreement, indenture, security agreement or other document in
which the State of Oregon pledges property as security for an
obligation, as defined in ORS 286A.100.
  (8) 'Refunding bond' means a bond of the State of Oregon that
is issued to refund another bond, regardless of whether the
refunding is on a current, advance, forward delivery, synthetic
or other basis.
  (9) 'Related agency' means the state agency that requests the
State Treasurer to issue bonds pursuant to ORS 286A.025 or for
which the State Treasurer has issued bonds.
  (10) 'Related bond' means a bond for which the State of Oregon
enters into an agreement for exchange of interest rates.
  (11) 'Revenue' means all fees, tolls, excise taxes,
assessments, property taxes and other taxes, rates, charges,
rentals and other income or receipts derived by a state agency or
to which a state agency is entitled.
  (12) 'Revenue bond' means a bond of the State of Oregon that is
not a general obligation bond.
  (13) 'State agency':
  (a) Includes a statewide elected officer, board, commission,
department, division, authority or other entity, without regard
to the designation given to the entity, that is within state
government, as defined in ORS 174.111; and
  (b) Does not include:
  (A) A statewide elected judge;
  (B) The State Treasurer;
  (C) A local government, as defined in ORS 174.116;
  (D)   { - The - }  Oregon Health and Science University;
   { +  (E) Portland State University; + }
    { - (E) - }  { +  (F) + } A special government body, as
defined in ORS 174.117, except to the extent a special government
body must be considered a state agency in order to achieve the
purposes of Article XI-K of the Oregon Constitution; or
    { - (F) - }  { +  (G) + } A semi-independent state agency
listed in ORS 182.454, 377.835 or 674.305, or any other state
agency denominated by statute as a semi-independent state agency.
  (14) 'Termination payment' means the amount payable under an
agreement for exchange of interest rates by one party to another
party as a result of the termination, in whole or part, of the
agreement prior to the expiration of the stated term.
  SECTION 79. ORS 287A.001 is amended to read:
  287A.001. As used in this chapter:
  (1) 'Advance refunding bond' means a bond all or part of the
proceeds of which are to be used to pay an outstanding bond one
year or more after the advance refunding bond is issued.
  (2) 'Agreement for exchange of interest rates' means a
contract, or an option or forward commitment to enter into a
contract, for an exchange of interest rates for related bonds
that provides for:
  (a) Payments based on levels or changes in interest rates; or
  (b) Provisions to hedge payment, rate, spread or similar
exposure including, but not limited to, an interest rate floor or
cap or an option, put or call.
  (3) 'Bond':
  (a) Means a contractual undertaking or instrument of a public
body to repay borrowed moneys.
  (b) Does not mean a credit enhancement device.
  (4) 'Capital construction' has the meaning given that term in
ORS 310.140.
  (5) 'Capital improvements' has the meaning given that term in
ORS 310.140.
  (6) 'Credit enhancement device':
  (a) Means a letter of credit, line of credit, standby bond
purchase agreement, bond insurance policy, reserve surety bond or
other device or facility used to enhance the creditworthiness,
liquidity or marketability of bonds or agreements for exchange of
interest rates.
  (b) Does not mean a bond.
  (7) 'Current refunding bond' means a bond the proceeds of which
are to be used to pay or purchase an outstanding bond less than
one year after the current refunding bond is issued.
  (8) 'Forward current refunding' means execution and delivery of
a purchase agreement or similar instrument under which a public
body contracts to sell current refunding bonds for delivery at a
future date that is one year or more after execution of the
purchase agreement or similar instrument.
  (9) 'General obligation bond' means exempt bonded indebtedness,
as defined in ORS 310.140, that is secured by a commitment to
levy ad valorem taxes outside the limits of sections 11 and 11b,
Article XI of the Oregon Constitution.
  (10) 'Lawfully available funds' means revenues or other moneys
of a public body including, but not limited to, moneys credited
to the general fund of the public body, revenues from an ad
valorem tax and revenues derived from other taxes levied by the
public body that are not dedicated, restricted or obligated by
law or contract to an inconsistent expenditure or use.
  (11) 'Operative document' means a bond declaration, trust
agreement, indenture, security agreement or other document in
which a public body pledges revenue or property as security for a
bond.
  (12) 'Pledge' means:
  (a) To create a lien on property pursuant to ORS 287A.310.
  (b) A lien created on property pursuant to ORS 287A.310.
  (13) 'Public body' means:
  (a) A county of this state;
  (b) A city of this state;
  (c) A local service district as defined in ORS 174.116 (2);
  (d) A special government body as defined in ORS 174.117;
   { +  (e) Portland State University; + }
    { - (e) - }  { +  (f) + } Oregon Health and Science
University; or
    { - (f) - }  { +  (g) + } Any other political subdivision of
this state that is authorized by the Legislative Assembly to
issue bonds.
  (14) 'Refunding bond' means an advance refunding bond, a
current refunding bond or a forward current refunding bond.
  (15) 'Related bond' means a bond for which the public body
enters into an agreement for exchange of interest rates or
obtains a credit enhancement device.
  (16) 'Revenue' means all fees, tolls, excise taxes,
assessments, property taxes and other taxes, rates, charges,
rentals and other income or receipts derived by a public body or
to which a public body is entitled.
  (17) 'Revenue bond' means a bond that is not a general
obligation bond.
  (18) 'Termination payment' means the amount payable under an
agreement for exchange of interest rates by one party to another
party as a result of the termination, in whole or part, of the
agreement prior to the expiration of the stated term.
  SECTION 80. ORS 307.095 is amended to read:
  307.095. (1) Any portion of state property that is used during
the tax year for parking on a rental or fee basis to private
individuals is subject to ad valorem taxation.
  (2) The real market value of such portion shall be computed by
determining that percentage which the total of receipts from
private use bears to the total of receipts from all use of the
property. The assessed value of such portion shall be computed as
provided in ORS 308.146. However, receipts from any use by a
state officer or employee in the performance of the official
duties of the state officer or employee shall not be considered
as receipts from private use in computing the portion subject to
ad valorem taxation.
  (3) This section and ORS 276.592 do not apply to state property
that is used by the Oregon University System { + , Portland State
University + } or   { - the - }  Oregon Health and Science
University solely to provide parking for employees, students or
visitors.
  SECTION 81. ORS 307.110 is amended to read:
  307.110. (1) Except as provided in ORS 307.120, all real and
personal property of this state or any institution or department
thereof or of any county or city, town or other municipal
corporation or political subdivision of this state, held under a
lease or other interest or estate less than a fee simple, by any
person whose real property, if any, is taxable, except employees
of the state, municipality or political subdivision as an
incident to such employment, shall be subject to assessment and
taxation for the assessed or specially assessed value thereof
uniformly with real property of nonexempt ownerships.
  (2) Each leased or rented premises not exempt under ORS 307.120
and subject to assessment and taxation under this section which
is located on property used as an airport and owned by and
serving a municipality or port shall be separately assessed and
taxed.
  (3) Nothing contained in this section shall be construed as
subjecting to assessment and taxation any publicly owned property
described in subsection (1) of this section that is:
  (a) Leased for student housing by a school or college to
students attending such a school or college.
  (b) Leased to or rented by persons, other than sublessees or
subrenters, for agricultural or grazing purposes and for other
than a cash rental or a percentage of the crop.
  (c) Utilized by persons under a land use permit issued by the
Department of Transportation for which the department's use
restrictions are such that only an administrative processing fee
is able to be charged.
  (d) County fairgrounds and the buildings thereon, in a county
holding annual county fairs, managed by the county fair board
under ORS 565.230, if utilized, in addition to county fair use,
for any of the purposes described in ORS 565.230 (2), or for
horse stalls or storage for recreational vehicles or farm
machinery or equipment.
  (e) The properties and grounds managed and operated by the
State Parks and Recreation Director under ORS 565.080, if
utilized, in addition to the purpose of holding the Oregon State
Fair, for horse stalls or for storage for recreational vehicles
or farm machinery or equipment.
  (f) State property that is used by the Oregon University
System { + , Portland State University + } or   { - the - }
Oregon Health and Science University to provide parking for
employees, students or visitors.
  (g) Property of a housing authority created under ORS chapter
456 which is leased or rented to persons of lower income for
housing pursuant to the public and governmental purposes of the
housing authority. For purposes of this paragraph, 'persons of
lower income' has the meaning given the phrase under ORS 456.055.
  (h) Property of a health district if:
  (A) The property is leased or rented for the purpose of
providing facilities for health care practitioners practicing
within the county; and
  (B) The county is a frontier rural practice county under rules
adopted by the Office of Rural Health.
  (4) Property determined to be an eligible project for tax
exemption under ORS 285C.600 to 285C.626 and 307.123 that was
acquired with revenue bonds issued under ORS 285B.320 to 285B.371
and that is leased by this state, any institution or department
thereof or any county, city, town or other municipal corporation
or political subdivision of this state to an eligible applicant
shall be assessed and taxed in accordance with ORS 307.123. The
property's continued eligibility for taxation and assessment
under ORS 307.123 is not affected:
  (a) If the eligible applicant retires the bonds prior to the
original dates of maturity; or
  (b) If any applicable lease or financial agreement is
terminated prior to the original date of expiration.
  (5) The provisions of law for liens and the payment and
collection of taxes levied against real property of nonexempt
ownerships shall apply to all real property subject to the
provisions of this section. Taxes remaining unpaid upon the
termination of a lease or other interest or estate less than a
fee simple, shall remain a lien against the real or personal
property.
  (6) If the state enters into a lease of property with, or
grants an interest or other estate less than a fee simple in
property to, a person whose real property, if any, is taxable,
then within 30 days after the date of the lease, or within 30
days after the date the interest or estate less than a fee simple
is created, the state shall file a copy of the lease or other
instrument creating or evidencing the interest or estate with the
county assessor. This section applies notwithstanding that the
property may otherwise be entitled to an exemption under this
section, ORS 307.120 or as otherwise provided by law.
  SECTION 82. ORS 326.543 is amended to read:
  326.543. (1) As used in this section:
  (a) 'Education service district' has the meaning given that
term in ORS 334.003.
  (b) 'Facility' means the school operated under ORS 346.010.
  (c) 'Post-secondary institution' means:
  (A) A community college as defined in ORS 341.005;
  (B) A state institution of higher education listed in ORS
352.002;   { - and - }
  (C)   { - The - }  Oregon Health and Science University
 { - . - }  { + ; and
  (D) Portland State University. + }
  (d) 'School district' has the meaning given that term in ORS
330.005.
  (2) The interest or estate of an education service district, a
facility, a post-secondary institution or a school district in
any real property may not be extinguished or diminished by
adverse possession.
  SECTION 83. ORS 329.840 is amended to read:
  329.840. (1) There is created the Oregon Virtual School
District within the Department of Education. The purpose of the
Oregon Virtual School District is to provide online courses to
kindergarten through grade 12 public school students.
  (2) The Oregon Virtual School District shall provide online
courses that meet academic content standards as defined in ORS
329.007 and meet other criteria adopted by the State Board of
Education. Any person who teaches an online course must be
properly licensed or registered as required by ORS 338.135 and
342.173 for a person employed by a school district or public
charter school. All school districts and public charter schools

may allow students to access the online courses offered by the
Oregon Virtual School District.
  (3) The Superintendent of Public Instruction may contract with
education service districts, school districts, public charter
schools, community colleges, state institutions of higher
education { + , Portland State University + } or any other public
entity to provide online courses through the Oregon Virtual
School District.
  (4) Statutes and rules that apply to other school districts do
not apply to the Oregon Virtual School District except as
provided under this section or by rule of the State Board of
Education. The Oregon Virtual School District is not considered a
school district for purposes of apportionment of the State School
Fund and the department may not receive a direct apportionment
under ORS 327.008 from the State School Fund for the Oregon
Virtual School District.
  (5) The board may adopt the rules necessary for the
administration of the Oregon Virtual School District and shall
adopt rules to establish:
  (a) The procedure and criteria to be used for the selection of
online courses to be offered through the Oregon Virtual School
District;
  (b) The qualifications of students who may access online
courses through the Oregon Virtual School District;
  (c) The number of credits for which students may access online
courses through the Oregon Virtual School District; and
  (d) The student-to-teacher ratio for online courses offered
through the Oregon Virtual School District.
  SECTION 84. ORS 332.155 is amended to read:
  332.155. A district school board:
  (1) May furnish, equip, repair, lease, purchase and build
schoolhouses, including high schools, junior high schools, career
and technical education schools, gymnasiums, houses for teachers
and other employees, and like buildings; and locate, buy and
lease lands for all school purposes. Leases authorized by this
section include lease-purchase agreements whereunder the district
may acquire ownership of the leased property at a nominal price.
Such leases and lease-purchase agreements may be for a term of up
to 30 years.
  (2) May contract for the removal or containment of asbestos
substances in school buildings and for repairs made necessary by
such removal or containment. Contracts authorized by this section
may be for a term exceeding one year.
  (3) May construct or cooperate in the construction of schools
for training of student teachers on state or district owned
lands, for any state institution of higher education { + ,
including Portland State University, + } in or contiguous to the
district, and to expend district funds in so doing.
  (4) May acquire personal property by a lease-purchase agreement
or contract of purchase for a term exceeding one year. A
lease-purchase agreement is one in which the rent payable by the
district is expressly agreed to have been established to reflect
the savings resulting from the exemption from taxation, and the
district is entitled to ownership of the property at a nominal or
other price that is stated or determinable by the terms of the
agreement and was not intended to reflect the true value of the
property.
  (5) May lease, sell and convey all property of the district as
may not in the judgment of the district school board be required
for school purposes.
  (6) May sell property of the district in transactions whereby
the district has the right to lease, occupy or reacquire the
property following the sale or have facilities constructed
thereon or furnished to the specifications of the district. The
construction or furnishing of such facilities shall be subject
to:
  (a) ORS chapter 279A, except ORS 279A.125 and 279A.250 to
279A.290;
  (b) ORS chapter 279B, except ORS 279B.235, 279B.240, 279B.270,
279B.275 and 279B.280; and
  (c) ORS chapter 279C.005, 279C.100 to 279C.125 and 279C.300 to
279C.470.
  (7) Shall furnish the schools with supplies, equipment,
apparatus and services essential to meeting the requirements of a
standard school and may furnish such other supplies, equipment,
apparatus and services as the board considers advisable.
  (8) May construct, purchase or lease in cooperation with other
school districts or community college districts facilities for
secondary career and technical education programs for pupils of
more than one district and may furnish or cooperate in furnishing
supplies and equipment for such facilities, to be financed in the
same manner as other school buildings and supplies are financed.
  (9) May purchase real property upon a contractual basis when
the period of time allowed for payment under the contract does
not exceed 30 years.
  (10) May purchase relocatable classrooms and other relocatable
structures in installment transactions in which deferred
installments of the purchase price are payable over not more than
10 years from the date such property is delivered to the district
for occupancy and are secured by a security interest in such
property. Such transactions may take the form of, but are not
limited to, lease-purchase agreements.
  (11) May enter into rental or lease-purchase agreements
covering motor vehicles operated by the district.
  SECTION 85. ORS 336.057 is amended to read:
  336.057. In all public schools courses of instruction shall be
given in the Constitution of the United States and in the history
of the United States. These courses shall:
  (1) Begin not later than the opening of the eighth grade and
shall continue in grades 9 through 12.
  (2) Be required in  { + Portland State University and + } all
state institutions of higher education, except the Oregon Health
and Science University, and in all state and local institutions
that provide education for patients or inmates to an extent to be
determined by the Superintendent of Public Instruction.
  SECTION 86. ORS 337.500 is amended to read:
  337.500. As used in ORS 337.500 to 337.506:
  (1) 'Adopter' means any faculty member or academic department
or other adopting entity at a higher education institution
responsible for considering and choosing course materials to be
utilized in connection with accredited courses taught at the
institution.
  (2) 'Higher education institution' means:
  (a) A community college, as defined in ORS 341.005;
  (b) A state institution of higher education listed in ORS
352.002;
  (c)   { - The - }  Oregon Health and Science University;  { +
  (d) Portland State University; + }
    { - (d) - }  { +  (e) + } A private institution of higher
education located in Oregon; and
    { - (e) - }  { +  (f) + } A bookstore that serves as the
primary bookstore for an entity listed in paragraphs (a) to
 { - (d) - }   { + (e) + } of this subsection.
  (3) 'Special edition' means a bound book that does not
constitute a traditional textbook and that may or may not be used
for instructional purposes.
  (4)(a) 'Textbook bundle' means a textbook packaged together
with other supplemental course materials, including but not
limited to workbooks, study guides, online technologies, online
course resources, CD-ROMs or other books, to be sold as course
material for one price.

  (b) 'Textbook bundle' does not include a textbook that is
unusable without the supplemental course materials, materials
that cannot be sold separately due to third-party contractual
agreements, custom editions or special editions.
  SECTION 87. ORS 337.511 is amended to read:
  337.511. As used in ORS 337.511 to 337.524:
  (1) 'Alternative format' means any medium or format for the
presentation of instructional materials other than standard print
that is needed by a post-secondary student with a print
disability for a reading accommodation, including but not limited
to Braille, large print texts, audio recordings, digital texts
and digital talking books.
  (2) 'Electronic format' means a medium or format containing
digital text.
  (3) 'Instructional material' means a textbook or other material
if:
  (a) The textbook or other material, including additional prints
or new editions of previously published instructional material,
is published on or after January 1, 2004, and is published
primarily for use by students in a course of study in which a
post-secondary student with a print disability is enrolled;
  (b) The textbook or other material is required for a student's
success in the course, as determined by the course instructor in
consultation with the representative making the request for an
electronic format under ORS 337.517 (2);
  (c) The textbook or other material is required for the course
as stated in the course syllabus or other curriculum documents,
or the use of the materials by the student is necessary for the
completion of course assignments that are used to evaluate the
student, such as to determine the student's proficiency level or
assign a grade; and
  (d) Software is commercially available to permit the conversion
of an electronic file of the textbook or other material into a
format that is compatible with assistive technologies such as
speech synthesis software or Braille translation software.
  (4) 'Post-secondary education institution' means:
  (a) A state institution of higher education listed in ORS
352.002;
  (b) A community college operated under ORS chapter 341;
  (c)   { - The - }  Oregon Health and Science University;
 { - or - }
   { +  (d) Portland State University; or + }
    { - (d) - }   { + (e) + } An Oregon-based, generally
accredited institution of higher education.
  (5) 'Print disability' means a disability that prevents a
student from effectively utilizing print material and may include
blindness, other serious visual impairments, specific learning
disabilities or the inability to hold a book.
  (6) 'Printed instructional material' means instructional
material in book or other printed form.
  (7) 'Publisher' means any person that publishes or manufactures
instructional material used by students attending a
post-secondary education institution.
  (8) 'Structural integrity' means the inclusion of all of the
information provided in printed instructional material, including
but not limited to the text of the material sidebars, the tables
of contents, the chapter headings and subheadings, the footnotes,
the page numbers, the indexes and the glossaries.
  (9) 'Working day' means a day that is not a Saturday, Sunday or
legal holiday.
  SECTION 88. ORS 338.115, as amended by section 2, chapter 53,
Oregon Laws 2010, is amended to read:
  338.115. (1) Statutes and rules that apply to school district
boards, school districts or other public schools do not apply to
public charter schools. However, the following laws do apply to
public charter schools:
  (a) Federal law;
  (b) ORS 192.410 to 192.505 (public records law);
  (c) ORS 192.610 to 192.690 (public meetings law);
  (d) ORS 297.405 to 297.555 and 297.990 (Municipal Audit Law);
  (e) ORS 181.534, 326.603, 326.607, 342.223 and 342.232
(criminal records checks);
  (f) ORS 337.150 (textbooks);
  (g) ORS 339.141, 339.147 and 339.155 (tuition and fees);
  (h) ORS 659.850, 659.855 and 659.860 (discrimination);
  (i) ORS 30.260 to 30.300 (tort claims);
  (j) Health and safety statutes and rules;
  (k) Any statute or rule that is listed in the charter;
  (L) The statewide assessment system developed by the Department
of Education for mathematics, science and English under ORS
329.485 (2);
  (m) ORS 329.045 (academic content standards and instruction);
  (n) Any statute or rule that establishes requirements for
instructional time provided by a school during each day or during
a year;
  (o) ORS 339.250 (12) (prohibition on infliction of corporal
punishment);
  (p) ORS 339.370, 339.372, 339.388 and 339.400 (reporting of
child abuse and training on prevention and identification of
child abuse);
  (q) ORS 329.451 (high school diploma, modified diploma,
extended diploma and alternative certificate);
  (r) ORS chapter 657 (Employment Department Law);
  (s) ORS 339.326;
  (t) Section 1, chapter 53, Oregon Laws 2010 (consideration for
educational services); and
  (u) This chapter.
  (2) Notwithstanding subsection (1) of this section, a charter
may specify that statutes and rules that apply to school district
boards, school districts and other public schools may apply to a
public charter school.
  (3) If a statute or rule applies to a public charter school,
then the terms 'school district' and 'public school' include
public charter school as those terms are used in that statute or
rule.
  (4) A public charter school may not violate the Establishment
Clause of the First Amendment to the United States Constitution
or section 5, Article I of the Oregon Constitution, or be
religion based.
  (5) A public charter school shall maintain an active enrollment
of at least 25 students.
  (6) A public charter school may sue or be sued as a separate
legal entity.
  (7) The sponsor, members of the governing board of the sponsor
acting in their official capacities and employees of a sponsor
acting in their official capacities are immune from civil
liability with respect to all activities related to a public
charter school within the scope of their duties or employment.
  (8) A public charter school may enter into contracts and may
lease facilities and services from a school district, education
service district, state institution of higher education,
 { + including Portland State University, + } other governmental
unit or any person or legal entity.
  (9) A public charter school may not levy taxes or issue bonds
under which the public incurs liability.
  (10) A public charter school may receive and accept gifts,
grants and donations from any source for expenditure to carry out
the lawful functions of the school.
  (11) The school district in which the public charter school is
located shall offer a high school diploma, a modified diploma, an
extended diploma or an alternative certificate to any public
charter school student who meets the district's and state's
standards for a high school diploma, a modified diploma, an
extended diploma or an alternative certificate.
  (12) A high school diploma, a modified diploma, an extended
diploma or an alternative certificate issued by a public charter
school grants to the holder the same rights and privileges as a
high school diploma, a modified diploma, an extended diploma or
an alternative certificate issued by a nonchartered public
school.
  (13) Prior to beginning operation, the public charter school
shall show proof of insurance to the sponsor as specified in the
charter.
  (14) A public charter school may receive services from an
education service district in the same manner as a nonchartered
public school in the school district in which the public charter
school is located.
  SECTION 89. ORS 338.115, as amended by section 7, chapter 839,
Oregon Laws 2007, section 12, chapter 50, Oregon Laws 2008,
section 4, chapter 618, Oregon Laws 2009, and section 3, chapter
53, Oregon Laws 2010, is amended to read:
  338.115. (1) Statutes and rules that apply to school district
boards, school districts or other public schools do not apply to
public charter schools. However, the following laws do apply to
public charter schools:
  (a) Federal law;
  (b) ORS 192.410 to 192.505 (public records law);
  (c) ORS 192.610 to 192.690 (public meetings law);
  (d) ORS 297.405 to 297.555 and 297.990 (Municipal Audit Law);
  (e) ORS 181.534, 326.603, 326.607, 342.223 and 342.232
(criminal records checks);
  (f) ORS 337.150 (textbooks);
  (g) ORS 339.141, 339.147 and 339.155 (tuition and fees);
  (h) ORS 659.850, 659.855 and 659.860 (discrimination);
  (i) ORS 30.260 to 30.300 (tort claims);
  (j) Health and safety statutes and rules;
  (k) Any statute or rule that is listed in the charter;
  (L) The statewide assessment system developed by the Department
of Education for mathematics, science and English under ORS
329.485 (2);
  (m) ORS 329.045 (academic content standards and instruction);
  (n) ORS 329.496 (physical education);
  (o) Any statute or rule that establishes requirements for
instructional time provided by a school during each day or during
a year;
  (p) ORS 339.250 (12) (prohibition on infliction of corporal
punishment);
  (q) ORS 339.370, 339.372, 339.388 and 339.400 (reporting of
child abuse and training on prevention and identification of
child abuse);
  (r) ORS 329.451 (high school diploma, modified diploma,
extended diploma and alternative certificate);
  (s) ORS chapter 657 (Employment Department Law);
  (t) ORS 339.326;
  (u) Section 1, chapter 53, Oregon Laws 2010 (consideration for
educational services); and
  (v) This chapter.
  (2) Notwithstanding subsection (1) of this section, a charter
may specify that statutes and rules that apply to school district
boards, school districts and other public schools may apply to a
public charter school.
  (3) If a statute or rule applies to a public charter school,
then the terms 'school district' and 'public school' include
public charter school as those terms are used in that statute or
rule.
  (4) A public charter school may not violate the Establishment
Clause of the First Amendment to the United States Constitution

or section 5, Article I of the Oregon Constitution, or be
religion based.
  (5) A public charter school shall maintain an active enrollment
of at least 25 students.
  (6) A public charter school may sue or be sued as a separate
legal entity.
  (7) The sponsor, members of the governing board of the sponsor
acting in their official capacities and employees of a sponsor
acting in their official capacities are immune from civil
liability with respect to all activities related to a public
charter school within the scope of their duties or employment.
  (8) A public charter school may enter into contracts and may
lease facilities and services from a school district, education
service district, state institution of higher education,
 { + including Portland State University, + } other governmental
unit or any person or legal entity.
  (9) A public charter school may not levy taxes or issue bonds
under which the public incurs liability.
  (10) A public charter school may receive and accept gifts,
grants and donations from any source for expenditure to carry out
the lawful functions of the school.
  (11) The school district in which the public charter school is
located shall offer a high school diploma, a modified diploma, an
extended diploma or an alternative certificate to any public
charter school student who meets the district's and state's
standards for a high school diploma, a modified diploma, an
extended diploma or an alternative certificate.
  (12) A high school diploma, a modified diploma, an extended
diploma or an alternative certificate issued by a public charter
school grants to the holder the same rights and privileges as a
high school diploma, a modified diploma, an extended diploma or
an alternative certificate issued by a nonchartered public
school.
  (13) Prior to beginning operation, the public charter school
shall show proof of insurance to the sponsor as specified in the
charter.
  (14) A public charter school may receive services from an
education service district in the same manner as a nonchartered
public school in the school district in which the public charter
school is located.
  SECTION 90. ORS 340.005 is amended to read:
  340.005. For purposes of this chapter:
  (1) 'Accelerated college credit program' has the meaning given
that term by rules adopted by the State Board of Education.
  (2) 'At-risk student' means:
  (a) A student who qualifies for a free or reduced lunch
program; or
  (b) An at-risk student as defined by rules adopted by the board
if the board has adopted rules to define an at-risk student.
  (3) 'Duplicate course' means a course with a scope that is
identical to the scope of another course.
  (4)(a) 'Eligible post-secondary course' means any nonsectarian
course or program offered through an eligible post-secondary
institution if the course or program may lead to high school
completion, a certificate, professional certification, associate
degree or baccalaureate degree.
  (b) 'Eligible post-secondary course' does not include a
duplicate course offered at the student's resident school.
  (c) 'Eligible post-secondary course' includes:
  (A) Academic courses;
  (B) Career and technical education courses; and
  (C) Distance education courses.
  (5) 'Eligible post-secondary institution' means:
  (a) A community college;
  (b) A state institution of higher education listed in ORS
352.002;   { - and - }
  (c)   { - The - }  Oregon Health and Science University
 { - . - }  { + ; and
  (d) Portland State University. + }
  (6)(a) 'Eligible student' means a student who is enrolled in an
Oregon public school and who:
  (A) Is 16 years of age or older at the time of enrollment in a
course under the Expanded Options Program;
  (B)(i) Is in grade 11 or 12 at the time of enrollment in a
course under the Expanded Options Program; or
  (ii) Is not in grade 11 or 12, because the student has not
completed the required number of credits, but who has been
allowed by the school district to participate in the program;
  (C) Has developed an educational learning plan as described in
ORS 340.025; and
  (D) Has not successfully completed the requirements for a high
school diploma as established by ORS 329.451, the State Board of
Education and the school district board.
  (b) 'Eligible student' does not include a foreign exchange
student enrolled in a school under a cultural exchange program.
  (7) 'Expanded Options Program' means the program created under
this chapter.
  (8) 'Scope' means depth and breadth of course content as
evidenced through a planned course statement including content
outline, applicable state content standards where appropriate,
course goals and student outcomes.
  SECTION 91. ORS 341.440 is amended to read:
  341.440. (1) A community college district may contract with
another community college district, common or union high school
district, education service district, the Oregon University
System,  { + Portland State University, + }   { - the - }  Oregon
Health and Science University,   { - with - }  a private
educational institution accredited by the Northwest Association
of Schools and Colleges or its successor or a career school as
defined in ORS 345.010 to obtain educational services for
students enrolled in the community college of the district.
However, the educational services so obtained must meet the
standards for educational services provided by the college and
the contract price to the college for such services must not
exceed the costs which would otherwise be incurred by the college
to provide its students the same or similar services.
  (2) Educational services for which a district operating a
community college may contract include services offered by
correspondence and services offered electronically or through
telecommunications if such services are accredited by a
nationally recognized accrediting association.
  (3) For purposes of ORS 341.626, costs incurred under
subsection (1) of this section shall be considered operating
expenses of the district if the contract is approved by the
Commissioner for Community College Services.
  SECTION 92. ORS 343.961 is amended to read:
  343.961. (1) The Department of Education shall be responsible
for payment of the cost of the education in programs with which
the Oregon Health Authority or Oregon Youth Authority contracts
for long-term care or treatment. Programs eligible for such
education shall be in accordance with criteria adopted by rule by
the State Board of Education.
  (2) The Department of Education shall be responsible for
payment of the costs of such education by contract with the
school district, excluding transportation, care, treatment and
medical expenses. The resident district shall provide
transportation to pupils enrolled in programs under ORS 430.715
who live at home but require day treatment. The payments may be
made to the school district or, at the discretion of the school
district, to the district providing the education, as set forth
in subsection (3) of this section, from the funds appropriated
for the purpose.
  (3) The school district in which the agency is located is
responsible for providing the education directly or through an
adjacent school district or through the education service
district in which the program is located or one contiguous
thereto. The instruction may be given in facilities of such
districts or in facilities provided by such agency.
  (4) The school district may request the Department of Education
to combine several private agency school programs into one
contract with a school district, an adjacent school district or
an education service district.
  (5) The Oregon Youth Authority shall give the school district
providing the education at a treatment program 14 days' notice
before a student is dismissed from the treatment program.
  (6) The Department of Education may make advances to such
school district from funds appropriated therefor based on the
estimated agreed cost of educating the pupils per school year.
Advances equal to 25 percent of such estimated cost may be made
on September 1, December 1 and March 1 of the current year. The
balance may be paid whenever the full determination of cost is
made.
  (7) School districts which provide the education described in
this section on a year-round plan may apply for 25 percent of the
funds appropriated therefor on July 1, October 1, January 1, and
15 percent on April 1. The balance may be paid whenever the full
determination of cost is made.
  (8) In addition to the payment methods described in this
section, the Department of Education may:
  (a) Negotiate interagency agreements to pay for the cost of
education in treatment programs operated under the auspices of
the State Board of Higher Education; and
  (b) Negotiate intergovernmental agreements to pay for the cost
of education in treatment programs operated under the auspices of
the   { - Oregon Health and Science University - }   { + Portland
Metropolitan Universities  + }Board of Directors.
  SECTION 93. ORS 344.557 is amended to read:
  344.557. (1) The Department of Human Services may refer a
person for vocational training only to the following schools or
programs:
  (a) A school that has accreditation recognized by the United
States Department of Education.
  (b) A school that has been approved by the Oregon Student
Assistance Commission through the Office of Degree Authorization
to offer and confer degrees in Oregon.
  (c) A community college.
  (d) A state institution of higher education within the Oregon
University System.
  (e)   { - The - }  Oregon Health and Science University.
   { +  (f) Portland State University. + }
    { - (f) - }  { +  (g) + } A career school licensed under ORS
345.010 to 345.450.
    { - (g) - }  { +  (h) + } An apprenticeship program that is
registered with the State Apprenticeship and Training Council.
  (2) This section does not apply to vocational rehabilitation
training.
  SECTION 94. ORS 348.180 is amended to read:
  348.180. As used in this section and ORS   { - 348.183, - }
348.186, 348.205, 348.230, 348.250 and 348.260:
  (1) 'Cost of education' includes but is not limited to,
tuition, fees and living expenses.
  (2) 'Eligible post-secondary institution' means:
  (a) A state institution under the direction of the State Board
of Higher Education;
  (b) A community college operated under ORS chapter 341;
  (c)   { - The - }  Oregon Health and Science University;
 { - or - }
   { +  (d) Portland State University; or + }
    { - (d) - }   { + (e) + } An Oregon-based, generally
accredited, not-for-profit institution of higher education.
  (3) 'Qualified student' means any resident student who plans to
attend an eligible post-secondary institution and who:
  (a) Has not achieved a baccalaureate or higher degree from any
post-secondary institution;
  (b) Is enrolled in an eligible program as defined by rule of
the Oregon Student Assistance Commission; and
  (c) Is making satisfactory academic progress as defined by rule
of the commission.
  SECTION 95. ORS 348.205 is amended to read:
  348.205. (1) The Oregon Opportunity Grant program is
established within the Oregon Student Assistance Commission.
  (2) Under the program, the cost of education of a qualified
student shall be shared by the student, the family of the
student, the federal government and the state.
  (3) The commission shall determine the cost of education of a
qualified student based on the type of eligible post-secondary
institution the student is attending. The cost of education
equals:
  (a) For a student attending a community college, the average
cost of education of attending a community college in this state;
  (b) For a student attending an institution under the direction
of the State Board of Higher Education, the average cost of
education of attending an institution under the direction of the
board;
  (c) For a student attending a two-year Oregon-based, generally
accredited, not-for-profit institution of higher education, the
average cost of education of attending a community college in
this state; and
  (d) For a student attending the Oregon Health and Science
University { + , Portland State University + } or a four-year
Oregon-based, generally accredited, not-for-profit institution of
higher education, the average cost of education of attending an
institution under the direction of the board.
  (4)(a) The commission shall determine the amount of the student
share. The student share shall be based on:
  (A) The type of eligible post-secondary institution the student
is attending;
  (B) The number of hours of work that the commission determines
may be reasonably expected from the student; and
  (C) The amount of loans that the commission determines would
constitute a manageable debt burden for the student.
  (b) The student shall determine how to cover the student share
through income from work, loans, savings and scholarships.
  (c) The student share for a student who attends a community
college may not exceed the amount that the commission determines
a student may earn based on the number of hours of work
reasonably expected from the student under paragraph (a) of this
subsection.
  (d) The student share for a student who attends an eligible
post-secondary institution that is not a community college may
not exceed the sum of the amount that the commission determines a
student may receive as loans plus the amount a student may earn
based on the number of hours of work reasonably expected from the
student under paragraph (a) of this subsection.
  (5) The commission shall determine the amount of the family
share. The family share shall be based on the resources of the
family.
  (6) The commission shall determine the amount of the federal
share based on how much the student or the student's family is
expected to receive from the federal government as grants, loans,
tax credits or other student assistance.
  (7)(a) The commission shall determine the amount of the state
share. The state share shall be equal to the cost of education

reduced by the student share, family share and amount received by
the student from the federal government.
  (b) The commission shall establish a minimum amount that a
student may receive as a state share. If the commission
determines that the amount of the state share of a student is
below the minimum amount, the student may not receive the state
share.
  (c) In determining the amount of the state share, the
commission shall consider the total amount available to award as
grants to all qualified students. If the commission must reduce
the amount of the state share under this paragraph, the
commission may not reduce the amount of the state share awarded
to students in the low income range in a greater proportion than
the amount that the state share for students in other income
ranges is reduced.
  SECTION 96. ORS 348.210 is amended to read:
  348.210. (1) In addition to any other scholarships provided by
law, the Oregon Student Assistance Commission may award
scholarships at Eastern Oregon University to resident
undergraduate students applying for enrollment in the university
or who are pursuing courses therein. The number of students who
receive scholarships under this subsection may not exceed two and
one-half percent of the number of students who are enrolled at
the university. The scholarships shall be awarded upon the basis
of a record of high intellectual standing and deportment in the
school or institution where the applicant has received or is
receiving preparatory training, the necessity for financial
assistance and other qualifications of such nature that the
awarding of scholarships will operate not only to the advantage
of the applicant but to the people of Oregon. A scholarship
awarded under this subsection may not exceed in value the amount
of the tuition and other fees, including the fees that are levied
against the recipient of the scholarship by the State Board of
Higher Education at the university.
  (2) The commission may award tuition and fee-exempting
scholarships to students from foreign nations who are enrolled in
state institutions of higher education { +  or Portland State
University + }. A student may not receive a scholarship under
this subsection that exceeds the amount of tuition and fees owed
by the student.
  (3) The value of scholarships awarded each year under
subsection (2) of this section may not exceed in aggregate an
amount equal to 10 percent of the amount of tuition and fees paid
in the preceding year to the Oregon University System by students
enrolled in state institutions of higher education who were not
Oregon residents.
  SECTION 97. ORS 348.270 is amended to read:
  348.270. (1) In addition to any other scholarships provided by
law, the Oregon Student Assistance Commission shall award
scholarships in any state institution under the State Board of
Higher Education,  { + in Portland State University, + } in
 { - the - }  Oregon Health and Science University, in any
community college operated under ORS chapter 341  { - , - }  or
in any Oregon-based regionally accredited independent
institution, to any student applying for enrollment or who is
enrolled therein, who is:
  (a) The natural child, adopted child or stepchild of any public
safety officer who, in the line of duty, was killed or so
disabled, as determined by the Oregon Student Assistance
Commission, that the income of the public safety officer is less
than that earned by public safety officers performing duties
comparable to those performed at the highest rank or grade
attained by the public safety officer; or
  (b) A former foster child who enrolls in an institution of
higher education as an undergraduate student not later than three
years from the date the student was removed from the care of the
Department of Human Services, the date the student graduated from
high school or the date the student received the equivalent of a
high school diploma, whichever date is earliest.
  (2) Scholarships awarded under this section to students who are
dependents of public safety officers or who are former foster
children shall equal the amount of tuition and all fees levied by
the institution against the recipient of the scholarship.
However, scholarships awarded to students who attend independent
institutions  { + or Portland State University + } shall not
exceed the amount of tuition and all fees levied by the
University of Oregon.
  (3) If the student who is the dependent of a deceased public
safety officer continues to remain enrolled in a state
institution of higher education   { - or - }  { + , Portland
State University, + } a community college or an independent
institution within the State of Oregon, the student shall be
entitled to renewal of the scholarship until the student has
received the equivalent of four years of undergraduate education
and four years of post-graduate education.
  (4) If the student who is a former foster child or who is the
dependent of a public safety officer with a disability continues
to remain enrolled in a state institution of higher education
  { - or - }  { + , Portland State University, + } a community
college or an independent institution within the State of Oregon,
the student shall be entitled to renewal of the scholarship until
the student has received the equivalent of four years of
undergraduate education.
  (5) The Oregon Student Assistance Commission may require proof
of the student's relationship to a public safety officer
described in subsection (1) of this section or proof that the
student is a former foster child.
  (6) As used in this section:
  (a) 'Former foster child' means an individual who, for a total
of 12 or more months while between the ages of 16 and 21, was a
ward of the court pursuant to ORS 419B.100 (1)(b) to (e) and in
the legal custody of the Department of Human Services for
out-of-home placement.
  (b) 'Public safety officer' means:
  (A) A firefighter or police officer as those terms are defined
in ORS 237.610.
  (B) A member of the Oregon State Police.
  SECTION 98. ORS 348.394 is amended to read:
  348.394. As used in ORS 348.394 to 348.406:
  (1) 'Eligible post-secondary institution' means:
  (a) A state institution under the direction of the State Board
of Higher Education listed in ORS 352.002 { +  or Portland State
University + };
  (b) A community college as defined in ORS 341.005; or
  (c) A generally accredited, not-for-profit institution of
higher education.
  (2) 'Participant' means a student who receives a grant under
ORS 348.401.
  SECTION 99. ORS 348.597 is amended to read:
  348.597. (1) Except as provided in subsection (2) of this
section, ORS 348.594 to 348.615 apply to all schools that operate
in this state.
  (2) ORS 348.594 to 348.615 do not apply to:
  (a) An Oregon community college;
  (b) A state institution of higher education within the Oregon
University System;
  (c)   { - The - }  Oregon Health and Science University;
   { +  (d) Portland State University; + }
    { - (d) - }  { +  (e) + } A school, or a separately
accredited campus of a school, if the school:
  (A) Is a nonprofit school that is exempt from federal income
tax under section 501(c)(3) of the Internal Revenue Code;
  (B) Conferred degrees in this state under the same control for
at least five consecutive years; and
  (C) Is accredited by a regional accrediting association or its
national successor;
    { - (e) - }   { + (f) + } A school that,   { - on the date
preceding - }  { +  before + } July 15, 2005, was a school
 { - described in ORS 348.594 (2)(d) - }  { +  that met the
criteria and procedures to obtain a religious exemption adopted
by rule by the Oregon Student Assistance Commission and offered
only degrees with approved titles in theology or religious
occupations + }; or
    { - (f) - }  { +  (g) + } A school that is exempt from ORS
348.594 to 348.615 under ORS 348.604.
  SECTION 100. ORS 348.900 is amended to read:
  348.900. (1) The Employment Department, in consultation with
health care industry employers, shall perform a statewide and
regional needs assessment for health care occupations to identify
emerging occupations and occupations for which there is high
demand or a shortage of workers. The assessment shall be
performed as necessary on a periodic basis, as determined by the
department, in consultation with industry employers. To perform
the needs assessment, the department may consider any reliable
data sources available to the department.
  (2) Based on the needs assessment, the Joint Boards of
Education shall inform community colleges, state institutions of
higher education within the Oregon University System, Oregon
Health and Science University { + , Portland State University + }
and health care industry employers of the identified statewide
needs and invite the development of health care education
programs that are responsive to those needs.
  (3) When approving health care education programs, the State
Board of Education, the State Board of Higher Education and the
  { - Oregon Health and Science University - }   { + Portland
Metropolitan Universities  + }Board of Directors shall use the
statewide needs assessment to evaluate whether a program fulfills
statewide needs.  If a board determines there is a statewide
need, the board shall facilitate the:
  (a) Coordination of new health care education programs and
existing health care education programs that are similar to the
new health care education programs to address the statewide need;
and
  (b) Alignment of health care education programs relating to
statewide access, student transferability between programs,
course articulation and common student learning outcomes for
health care education programs.
  (4) In the development and approval of health care education
programs, community colleges, state institutions of higher
education, Oregon Health and Science University,  { + Portland
State University, + } the State Board of Education, the State
Board of Higher Education and the   { - Oregon Health and Science
University - }  { + Portland Metropolitan Universities + } Board
of Directors shall consider issues related to statewide access,
student transferability between programs, course articulation and
common student learning outcomes for health care education
programs. The colleges, institutions,   { - university - }
 { + universities + } and boards shall continue to provide and
improve upon an effective articulation and transfer framework for
students in Oregon's post-secondary sectors.
  SECTION 101. ORS 351.010 is amended to read:
  351.010. The Oregon University System is established and is
organized as described in ORS 352.002. The system shall be
conducted under the control of a board of 12 directors, to be
known as the State Board of Higher Education. The board shall
consist of:

  (1) Two students, who at the time of their appointment to the
board, are admitted at different public institutions of higher
education in Oregon listed in ORS 352.002.
  (2) One member of the faculty at Oregon State University  { - ,
Portland State University - }  or University of Oregon.
  (3) One member of the faculty at Eastern Oregon University,
Oregon Institute of Technology, Southern Oregon University or
Western Oregon University.
  (4) Eight members of the general public who are not students or
faculty at the time of their appointment.
  SECTION 102. ORS 351.203 is amended to read:
  351.203. (1) The State Board of Higher Education shall
cooperate with the Education and Workforce Policy Advisor in the
development of a state comprehensive education plan including
post-secondary education and in review of the board's programs
and budget. The board shall submit in timely fashion to the
advisor such data as is appropriate in a form prescribed by the
advisor.
  (2) The board shall cooperate with the mediation process
administered by the Oregon Student Assistance Commission pursuant
to ORS 348.603 and, if a negotiated resolution cannot be reached
by mediation, comply with the decisions of the commission
regarding proposed new post-secondary programs and proposed new
post-secondary locations, including those proposed by Oregon
Health and Science University  { + and Portland State
University + } in cooperation with the board under ORS 353.440.
  SECTION 103.  { +  + } Section 13, chapter 761, Oregon Laws
2007, as amended by section 5, chapter 2, Oregon Laws 2009, and
section 93, chapter 762, Oregon Laws 2009, is amended to read:
   { +  Sec. 13. + } (1) There is established in the General Fund
an account to be known as the Portland State University Science
Research and Teaching Center and Hazardous Waste Facility
Account.  Funds in the account shall be used for the
construction, remodeling, expansion and renovation of facilities
for a Science Research and Teaching Center and Hazardous Waste
Facility Phase I at Portland State University.
  (2) The account shall consist of proceeds from certificates of
participation, grant funds, gift funds, proceeds of legal
settlements, federal and local government funds made available to
and funds donated to the Oregon University System  { + or the
Portland Metropolitan Universities Board of Directors  + }for the
purpose of the center and facility project described in
subsection (1) of this section. Interest earned on moneys in the
account shall be credited to the account. The account may not be
credited with more than $7,000,000 for purposes of this
subsection.
  (3) Moneys in the account shall be considered to be General
Fund moneys for purposes of section 1 (3), Article XI-G of the
Oregon Constitution, are continuously appropriated to the Oregon
University System and may be transferred to the account
designated by ORS 351.626 for the center and facility project
described in subsection (1) of this section.
  SECTION 104. Section 17, chapter 761, Oregon Laws 2007, as
amended by section 97, chapter 762, Oregon Laws 2009, is amended
to read:
   { +  Sec. 17. + } (1) There is established in the General Fund
an account to be known as the Portland State University Science
PCAT Redevelopment Account. Funds in the account shall be used
for the construction, remodeling, expansion and renovation of
facilities on the current site of the Portland Center for
Advanced Technology at Portland State University.
  (2) The account shall consist of grant funds, gift funds,
proceeds of legal settlements, federal and local government funds
made available to and funds donated to the Oregon University
System  { + or the Portland Metropolitan Universities Board of
Directors  + }for the purpose of the project described in
subsection (1) of this section. Interest earned on moneys in the
account shall be credited to the account. The account may not be
credited with more than $10,000,000 for purposes of this
subsection.
  (3) Moneys in the account shall be considered to be General
Fund moneys for purposes of section 1 (3), Article XI-G of the
Oregon Constitution, are continuously appropriated to the Oregon
University System and may be transferred to the account
designated by ORS 351.626 for the project described in subsection
(1) of this section.
  SECTION 105. Section 22, chapter 904, Oregon Laws 2009, is
amended to read:
   { +  Sec. 22. + } (1) There is established in the General Fund
an account to be known as the Portland State University Science
Research and Teaching Center/Hazardous Waste Facility Phase 2
Project Account. Funds in the account shall be used for the
construction, remodeling, expansion and renovation of facilities
for a facility project at Oregon State University.
  (2) The account shall consist of proceeds from grant funds,
gift funds and federal and local government funds made available
to the Oregon University System  { + or the Portland Metropolitan
Universities Board of Directors  + }for the purpose of the
facility project described in subsection (1) of this section.
Interest earned on moneys in the account shall be credited to the
account.  The account may not be credited with more than
$2,500,000 for purposes of this subsection.
  (3) Moneys in the account shall be considered to be General
Fund moneys for purposes of section 1 (3), Article XI-G of the
Oregon Constitution, are continuously appropriated to the Oregon
University System and may be transferred to the Department of
Higher Education Capital Construction Fund for the facility
project described in subsection (1) of this section.
  SECTION 106. ORS 351.509 is amended to read:
  351.509. (1) There is established in the General Fund an
account to be known as the Portland State University Center for
Nanoscience and Nanotechnology Account. Funds in the account
shall be used for the expansion of microscopy and materials
characterization facilities at Portland State University related
to a signature research center.
  (2) The account shall consist of proceeds from lottery bonds
made available to the Oregon University System  { + or the
Portland Metropolitan Universities Board of Directors + } for the
purpose of the Portland State University center for nanoscience
and nanotechnology project described in subsection (1) of this
section. Interest earned on moneys in the account shall be
credited to the account.
  (3) Moneys in the account shall be considered to be General
Fund moneys for purposes of section 1 (3), Article XI-G of the
Oregon Constitution, and are continuously appropriated to the
Oregon University System for the center for nanoscience and
nanotechnology project described in subsection (1) of this
section. The account may not be credited with more than $500,000
in interest and proceeds from lottery bonds.
  SECTION 107. ORS 351.511 is amended to read:
  351.511. (1) There is established in the General Fund an
account to be known as the Portland State University Northwest
Engineering Science Center Phase I Account. Funds in the account
shall be used for construction of an engineering science center
at Portland State University.
  (2) The account shall consist of federal and local government
funds made available to and funds donated to the Oregon
University System  { + or the Portland Metropolitan Universities
Board of Directors + } for the purpose of the Portland State
University Northwest Engineering Science Center Phase I project
described in subsection (1) of this section. Interest earned on
moneys in the account shall be credited to the account.
  (3) Moneys in the account shall be considered to be General
Fund moneys for purposes of section 1 (3), Article XI-G of the
Oregon Constitution, and are continuously appropriated to the
Oregon University System for that purpose. The account may not be
credited with more than $26,500,000 in interest, donations and
federal and local government funds for purposes of this
subsection.
  SECTION 108. ORS 351.649 is amended to read:
  351.649. (1) For the purposes of this section:
  (a) 'Public institution of higher education' means:
  (A) A community college;
  (B) A state institution of higher education listed in ORS
352.002;   { - and - }
  (C)   { - The - }  Oregon Health and Science University
 { - . - }  { + ; and
  (D) Portland State University. + }
  (b) 'School-sponsored media' means materials that are prepared,
substantially written, published or broadcast by student
journalists, that are distributed or generally made available,
either free of charge or for a fee, to members of the student
body and that are prepared under the direction of a student media
adviser. 'School-sponsored media' does not include media intended
for distribution or transmission solely in the classrooms in
which they are produced.
  (c) 'Student journalist' means a student who gathers, compiles,
writes, edits, photographs, records or prepares information for
dissemination in school-sponsored media.
  (d) 'Student media adviser' means a person who is employed,
appointed or designated by a public institution of higher
education to supervise, or provide instruction relating to,
school-sponsored media.
  (2) Student journalists are responsible for determining the
news, opinion, feature and advertising content of
school-sponsored media. This subsection does not prevent a
student media adviser from teaching professional standards of
English and journalism to the student journalists.
  (3) Nothing in this section may be interpreted to authorize
expression by students that:
  (a) Is libelous or slanderous;
  (b) Constitutes an unwarranted invasion of privacy;
  (c) Violates federal or state statutes, rules or regulations or
state common law; or
  (d) So incites students as to create a clear and present danger
of:
  (A) The commission of unlawful acts on or off school premises;
  (B) The violation of school policies; or
  (C) The material and substantial disruption of the orderly
operation of the school. A school official must base a forecast
of material and substantial disruption on specific facts,
including past experience in the school and current events
influencing student behavior, and not on undifferentiated fear or
apprehension.
  (4) Any student enrolled in a public institution of higher
education may commence a civil action to obtain damages under
this subsection and appropriate injunctive or declaratory relief
as determined by a court for a violation of subsection (2) of
this section, the First Amendment to the United States
Constitution or section 8, Article I of the Oregon Constitution.
Upon a motion, a court may award $100 in damages and injunctive
and declaratory relief to a prevailing plaintiff in a civil
action brought under this subsection.
  SECTION 109. ORS 351.656 is amended to read:
  351.656. (1) As used in this section:
  (a) 'Child' means a child, adopted child or stepchild of a
service member.
  (b) 'Eligible post-secondary institution' means:
  (A) A state institution of higher education listed in ORS
352.002;
   { +  (B) Portland State University; + } and
    { - (B) - }  { +  (C) + }   { - The - }  Oregon Health and
Science University.
  (c) 'Qualified student' means a child, a spouse or an
unremarried surviving spouse of a service member.
  (d) 'Service member' means a person who:
  (A) As a member of the Armed Forces of the United States, died
on active duty;
  (B) As a member of the Armed Forces of the United States, died
as a result of a military service connected disability; or
  (C) Is 100 percent disabled as the result of a military service
connected disability, as certified by the United States
Department of Veterans Affairs or any branch of the Armed Forces
of the United States.
  (2) Subject to subsections (3) to (6) of this section, an
eligible post-secondary institution shall waive tuition for a
qualified student for courses that may lead to a baccalaureate
degree or a master's degree. A qualified student who received a
tuition waiver for a baccalaureate degree may also qualify for a
tuition waiver for a master's degree.
  (3)(a) The maximum waiver granted under this section shall be
as follows:
  (A) For a baccalaureate degree, the total number of credit
hours that equals four years of full-time attendance at an
eligible post-secondary institution.
  (B) For a master's degree, the total number of credit hours
that equals two years of full-time attendance at an eligible
post-secondary institution.
  (b) Notwithstanding paragraph (a) of this subsection, a waiver
may not exceed the total number of credit hours the qualified
student needs to graduate with a baccalaureate degree or a
master's degree.
  (4) A waiver may be granted under this section only for credit
hours for courses that are offered by an eligible post-secondary
institution and are available for enrollment regardless of
whether the qualified student attends the course and pays
tuition.
  (5) A qualified student may receive a waiver under this section
if the student:
  (a) At the time of application for a waiver, is considered a
resident of this state for the purpose of determining tuition to
be paid at an eligible post-secondary institution; and
  (b) Has been admitted to an eligible post-secondary institution
for a baccalaureate degree program or has been admitted to a
master's degree program at an eligible post-secondary
institution.
  (6)(a) A child who applies for a waiver under this section must
be 23 years of age or younger at the time the child applies for a
waiver.
  (b) Notwithstanding paragraph (a) of this subsection, a child
who is older than 23 years of age is eligible for a waiver for a
master's degree if the child:
  (A) Applied for and received a waiver for a baccalaureate
degree when the child was 23 years of age or younger; and
  (B) Applied for a waiver for a master's degree within 12 months
of receiving a baccalaureate degree.
  SECTION 110. ORS 351.663 is amended to read:
  351.663. (1) The Engineering and Technology Industry Council is
established. A majority of the council members are
representatives of high technology companies in Oregon. The
council shall be consulted on the work plans and resource
allocations for engineering education.

  (2) The council shall establish criteria and measurements that
will be used for determining investments made from the account
designated by ORS 351.666.
  (3) The criteria and measurements established by the council
include:
  (a) Responding to the urgent engineering educational needs of
Oregon's fast growing high technology industry, especially in the
Portland metropolitan area.
  (b) Increasing this state's faculty and program capacity to
meet the graduate level, professional education needs of
engineers working in Oregon's high technology industry through
investments in public and private institutions.
  (c) Creating additional opportunities for Oregonians to pursue
education in electrical engineering, computer engineering and
other engineering disciplines critical to the advancement of
Oregon's high technology industry.
  (d) Investing relatively scarce state financial resources to:
  (A) Address the high technology industry's most demonstrated
and pressing needs;
  (B) Produce the greatest amount of educational benefits with
the least short-term and long-term costs to the public;
  (C) Avoid duplicating existing public or private resources; and
  (D) Leverage existing and future private resources for the
public benefit.
  (e) Making all investments in public and private institutions
through performance-based contracts with measurable outcomes in
order to ensure strong linkage between the most urgent
engineering education needs and implemented solutions.
  (f) Maximizing the leverage of state investment funds to build
faculty and program capacity and share existing and new faculty
and program resources.
  (4) Priority is given to investments where private financial
resources from Oregon high technology companies or individuals
with significant interests in the growth of high technology in
Oregon are made available to augment public funds.
  (5) The council must submit biennial performance reviews of all
investments made to improve engineering education with public
funds in public and private institutions. The reviews must be
submitted to the Chancellor of the Oregon University
System { + , + }   { - and - } the State Board of Higher
Education { + , the president of Oregon Health and Science
University, the president of Portland State University and the
Portland Metropolitan Universities Board of Directors + }.
  SECTION 111. ORS 351.666 is amended to read:
  351.666. (1) An account in the Oregon University System Fund
established by ORS 351.506 is designated for the purpose of
investments in engineering education. Interest earned on moneys
in the account is credited to the account.
  (2) The State Board of Higher Education shall use the moneys in
the account designated by this section solely for the purpose of
investing in engineering education. The board shall follow the
criteria and measurements established by the Engineering and
Technology Industry Council in allocating moneys for investments
in engineering education.
   { +  (3) The State Board of Higher Education may allocate
moneys for investments in engineering education, subject to the
criteria and measurements established by the Engineering and
Technology Industry Council, to investments in engineering
education at Portland State University. + }
  SECTION 112. ORS 351.695 is amended to read:
  351.695. (1) A university within the Oregon University System
may deposit moneys received for its university venture
development fund in the Higher Education Donation Fund
established under ORS 351.130.
  (2) Notwithstanding ORS 351.697 (5), the State Treasurer, as
payment for expenses, may deduct a fee pursuant to ORS 293.718
from a university venture development fund administered by a
university within the Oregon University System { + , Portland
State University + } or   { - the - }  Oregon Health and Science
University.
  (3) A university within the Oregon University System { + ,
Portland State University + } or the Oregon Health and Science
University may direct that moneys credited to its university
venture development fund be held and invested by the university's
affiliated foundation. Any moneys held by an affiliated
foundation under this section or ORS 351.697 are not subject to
the provisions of ORS chapter 293 or 295 and may not be
considered public or state funds for any purpose. Moneys
transferred to an affiliated foundation under this section or ORS
351.697 may be used only as provided under ORS 351.692, 351.695,
351.697 and 353.445.
  (4) At the request of a university within the Oregon University
System, moneys in the Higher Education Donation Fund that were
deposited by the university under this section may be transferred
to the university's affiliated foundation.
  (5) A university within the Oregon University System { + ,
Portland State University + } or the Oregon Health and Science
University may retain or may elect to have its affiliated
foundation retain some or all of the principal contributed to a
university venture development fund for investment to perpetuate
and increase the moneys available for expenditure. The balance of
the fund and the earnings on that balance may be used as provided
under ORS 351.692, 351.695, 351.697 and 353.445.
  SECTION 113. ORS 351.697 is amended to read:
  351.697. (1) Each university in the Oregon University
System { + , Portland State University + } and Oregon Health and
Science University may elect to establish a university venture
development fund as provided in this section for the purpose of
facilitating the commercialization of university research and
development. A university shall direct that the university
venture development fund be administered, in whole or in part, by
the university or by the university's affiliated foundation.
  (2) The purposes of a university venture development fund are
to provide:
  (a) Capital for university entrepreneurial programs;
  (b) Opportunities for students to gain experience in applying
research to commercial activities;
  (c) Proof-of-concept funding for transforming research and
development concepts into commercially viable products and
services;
  (d) Entrepreneurial opportunities for persons interested in
transforming research into viable commercial ventures that create
jobs in this state; and
  (e) Tax credits for contributors to university research
commercialization activities.
  (3) Each university that elects to establish a university
venture development fund shall:
  (a) Notify the Department of Revenue of the establishment of
the fund;
  (b) Either directly or through its affiliated foundation,
solicit contributions to the fund and receive, manage and
disburse moneys contributed to the fund;
  (c) Subject to ORS 315.521 (1), 351.692 (3) and 353.445 (3),
issue tax credit certificates to contributors to the fund in the
amount of the contributions;
  (d) Establish a grant program that meets the requirements for a
venture grant program under policies adopted by the State Board
of Higher Education under ORS 351.692 or under policies adopted
by the   { - Oregon Health and Science University - }
 { + Portland Metropolitan Universities + } Board of Directors
under ORS 353.445; and

  (e) Subject to available moneys from the fund, provide
qualified grant applicants with moneys for the purpose of
facilitating the commercialization of university research and
development.
  (4) Except as provided in subsection (5) of this section,
moneys in a university venture development fund shall be
disbursed only as directed by a university.
  (5) A university or its affiliated foundation may charge its
customary administrative assessment to manage its university
venture development fund in an amount not to exceed three percent
of the fund's average balance during the fiscal year of the
university or its affiliated foundation. The administrative
assessment may be paid from the assets in the fund. Except as
authorized by law, no other fees or indirect costs shall be
charged against the university venture development fund or any
associated grants or other disbursements from the fund.
  (6) A university that has established a university venture
development fund shall monitor the use of grants made from the
fund and identify the income realized by the university as the
result of the use of the grants. Income consists of cash realized
from royalties, milestone and license fee payments and cash from
the sale of equity. The university shall cause the transfer of 20
percent of the income realized from the grants to the General
Fund, but not to exceed the amount of the tax credits issued by
the university as a result of contributions to its university
venture development fund. Immediately upon deposit of the
transferred amount into the General Fund, the university may
issue new tax credits to equal the transferred amount.
  (7) A university that has established a university venture
development fund shall report annually to the Legislative
Assembly or, if the Legislative Assembly is not in session, to
the interim legislative committees on revenue. The report shall
be at the end of the fiscal year of the university or of its
affiliated foundation and provide information for that fiscal
year. The university shall include in the report the following
information pertaining to its university venture development
fund:
  (a) The amount of donations received for the fund;
  (b) The amount of income received from the fund;
  (c) The amount of disbursements and grants paid from the fund;
  (d) The amount of income and royalties received from
disbursements from the fund; and
  (e) The amount of moneys transferred from the fund to the
General Fund.
  SECTION 114. ORS 351.810 is amended to read:
  351.810. The State Board of Higher Education,   { - the - }
 { + Portland State University, + } Oregon Health and Science
University and the Oregon members of the Western Interstate
Commission for Higher Education are authorized to take any action
necessary to
  { - achieving the ends - }   { + achieve the purposes + } of
the Western Regional Higher Education Compact.
  SECTION 115. ORS 351.820 is amended to read:
  351.820. (1) Prior to June 1 of each even-numbered year the
Oregon members of the Western Interstate Commission for Higher
Education shall determine the quotas of Oregon students for whom
various kinds of educational service should be purchased in
out-of-state institutions during the next biennium and shall
recommend to the State Board of Higher Education and the
 { - Oregon Health and Science University - }   { + Portland
Metropolitan Universities + } Board of Directors the amount to be
included in its biennial budget to cover the cost of such
educational service for students enrolled in their respective
institutions.
  (2) The State Board of Higher Education and the   { - Oregon
Health and Science University - }   { + Portland Metropolitan
Universities + } Board of Directors shall negotiate contracts
with the Western Interstate Commission for Higher Education for
educational service of the kind and amount indicated by the
quotas determined under subsection (1) of this section. The
 { - board - }   { + boards + } shall make payments required by
such contracts out of the money appropriated to   { - it - }
 { + the boards + } for that purpose.
  (3) The State Board of Higher Education may also contract with
higher education institutions, or others, which are not members
of the Western Interstate Commission for Higher Education, to
furnish educational services to students who are residents of the
State of Oregon in those areas of higher education where the
educational institutions of the State of Oregon are unable to
provide the desired professional educational opportunities.
  SECTION 116. ORS 351.840 is amended to read:
  351.840. (1) The State Board of Higher Education and the
  { - Oregon Health and Science University - }   { + Portland
Metropolitan Universities  + }Board of Directors may contract
with the Western Interstate Commission for Higher Education to
furnish educational service in their respective Oregon
institutions to out-of-state students.
  (2) The State Board of Higher Education and the   { - Oregon
Health and Science University - }   { + Portland Metropolitan
Universities + } Board of Directors shall determine the number of
out-of-state students that should be accepted into their
respective institutions, and shall make final decisions on
admission of individual applicants.
  (3) { + (a) + } Payments made by the commission under such
contracts
  { - shall - }   { + must + } be deposited in and credited to a
designated account in the Oregon University System Fund
established by ORS 351.506 for students enrolled in institutions
under the jurisdiction of the State Board of Higher Education in
the same manner that fees and tuition payments for resident
students are deposited and credited. The estimated amount of the
payments must be considered by the board in making its biennial
budgetary requests.
   { +  (b) Payments made by the commission under such contracts
shall be deposited with Portland State University for students
who enroll in that university under the terms of such contracts.
  (c) + } Payments made by the commission under such contracts
must be deposited with the Oregon Health and Science University
for students who enroll in that university under the terms of
such contracts.
  SECTION 117. ORS 351.870 is amended to read:
  351.870. (1) The Legislative Assembly finds and declares that
basic research is fundamental to the continuation and expansion
of applied research and is thus a necessary ingredient in
economic growth. The Legislative Assembly further finds that
basic research is itself an important activity which should be
promoted.
  (2) It is the policy of this state that basic research is an
appropriate and necessary activity of our public universities.
Further, the State of Oregon has an obligation with other states
and the federal government to encourage and finance basic
research if the state and nation are to be active participants in
a future which will require ever increasing levels of knowledge
and understanding.
  (3) The Legislative Assembly acknowledges that a characteristic
of basic research is that no defined result can be guaranteed and
asserts that only through scholarly investigation can knowledge
be advanced to be later developed and applied.
  (4) The Legislative Assembly believes that moneys for basic
research should be regularly appropriated and that such moneys
should be used for support of qualified investigators and funding
of research projects.
  (5) The Legislative Assembly intends that in implementing the
policy on basic research or any other research policy, the State
Board of Higher Education { +  and the Portland Metropolitan
Universities Board of Directors + }, in keeping with the
principle of academic freedom, shall   { - insure - }
 { + ensure + } open and free inquiry and publication in all
institutions under   { - its jurisdiction - }  { +  their
jurisdictions + }.
  SECTION 118. ORS 352.002 is amended to read:
  352.002. The Oregon University System consists of the programs,
activities and institutions of higher education under the
jurisdiction of the State Board of Higher Education including the
following:
  (1) University of Oregon.
  (2) Oregon State University.
    { - (3) Portland State University. - }
    { - (4) - }   { + (3) + } Oregon Institute of Technology.
    { - (5) - }   { + (4) + } Western Oregon University.
    { - (6) - }   { + (5) + } Southern Oregon University.
    { - (7) - }   { + (6) + } Eastern Oregon University.
  SECTION 119. ORS 352.063 is amended to read:
  352.063.   { - The Oregon University System - }  { +  Portland
State University + } may receive moneys from any public or
private source to support the Mark O. Hatfield School of
Government, the Center for Lakes and Reservoirs, the Graduate
School of Social Work or the Institute of Portland Metropolitan
Studies created under ORS 352.066, 352.068, 352.071 and 352.074.
Gifts and grants received to support the Mark O. Hatfield School
of Government, the Center for Lakes and Reservoirs, the Graduate
School of Social Work or the Institute of Portland Metropolitan
Studies shall be credited to the appropriate fund at Portland
State University   { - by the Oregon University System - } .
  SECTION 120. ORS 352.066 is amended to read:
  352.066. (1) Pursuant to ORS 351.870, there is created within
  { - the Oregon University System - }  { +  Portland State
University + } the Mark O. Hatfield School of Government.
 { - The Mark O. Hatfield School of Government shall be
administered by Portland State University. - } The president of
Portland State University shall appoint the director of the Mark
O. Hatfield School of Government.
  (2) The purposes of the Mark O. Hatfield School of Government
are:
  (a) To prepare students for careers in political service,
public administration and the administration of justice;
  (b) To perform the duties required of the school under ORS
21.480, 36.179, 183.502 and 390.240; and
  (c) To assist the Criminal Justice Research and Policy
Institute in carrying out the duties under subsection (3) of this
section.
  (3) There is created within the Mark O. Hatfield School of
Government the Criminal Justice Research and Policy Institute.
The institute may assist the Legislative Assembly and state and
local governments in developing policies to reduce crime and
delinquency by:
  (a) Providing the Legislative Assembly with objective,
nonpartisan   { - analyses - }  { +  analysis + } of existing or
proposed state criminal justice policies,   { - which analyses
may not be inconsistent - }  { +  consistent + } with state or
federal law   { - or - }  { +  and + } the Oregon   { - or - }
 { +  and + } United States   { - Constitution - }  { +
Constitutions + };
  (b) Evaluating programs, including but not limited to programs
dealing with public safety professionalism, ethics in leadership
and childhood development, funded directly or indirectly by the
State of Oregon that are intended to reduce criminal and

delinquent behavior or to improve professionalism in public
safety careers;
  (c) Managing reviews and evaluations relating to major
long-term issues confronting the state involving criminal and
juvenile justice, public safety professionalism, ethics in
leadership and early childhood development programs;
  (d) Initiating, sponsoring, conducting and publishing research
on criminal and juvenile justice, public safety professionalism,
ethics in leadership and early childhood development that is peer
reviewed and directly useful to policymakers;
  (e) Organizing conferences on current state issues that bring
together policymakers, public agencies and leading academicians;
and
  (f) Seeking to strengthen the links among the Legislative
Assembly, state and local governments, the Oregon Criminal
Justice Commission, the Department of Public Safety Standards and
Training and the academic community in the interest of more
informed policymaking, the application of best practices and more
relevant academic research.
  (4) The Governor, the Chief Justice of the Supreme Court, the
President of the Senate, the Speaker of the House of
Representatives or the chairperson of a legislative committee
with responsibility over criminal or juvenile justice systems or
childhood development programs may request the assistance of the
Criminal Justice Research and Policy Institute in evaluating
criminal or juvenile justice programs developed for, but not
necessarily limited to, preventing delinquency, reducing crime
and improving professionalism in public safety careers.
  (5) Agencies, departments and officers of state and local
governments may assist the Criminal Justice Research and Policy
Institute in the performance of its functions and furnish
information, data and advice as requested by the institute.
  SECTION 121. ORS 352.068 is amended to read:
  352.068. (1) Pursuant to ORS 351.870, there is created within
  { - the Oregon University System - }  { +  Portland State
University + } the Center for Lakes and Reservoirs.   { - The
Center for Lakes and Reservoirs shall be administered by Portland
State University. - }
  (2) The purpose of the Center for Lakes and Reservoirs is to
assist state and federal agencies in researching and mitigating
nonindigenous, invasive aquatic species in this state and to work
with communities in developing effective management of lakes and
reservoirs.
  SECTION 122. ORS 352.071 is amended to read:
  352.071. (1) Pursuant to ORS 351.870, there is created within
  { - the Oregon University System - }  { +  Portland State
University + } the Graduate School of Social Work.   { - The
Graduate School of Social Work shall be administered by Portland
State University. - }
  (2) The purpose of the Graduate School of Social Work is to
provide a center for specialized education and research in the
social services for the betterment of communities in the Portland
metropolitan area, the state and the Pacific Northwest.
  SECTION 123. ORS 352.074 is amended to read:
  352.074. (1) Pursuant to ORS 351.870, there is created within
  { - the Oregon University System - }  { +  Portland State
University + } the Institute of Portland Metropolitan Studies.
 { - The Institute of Portland Metropolitan Studies shall be
administered by Portland State University. - }
  (2) The purpose of the Institute of Portland Metropolitan
Studies is to build partnerships between Portland State
University's urban studies programs and the surrounding
communities of metropolitan Portland and to sponsor public
service research.
  SECTION 124. ORS 352.375 is amended to read:

  352.375. (1) A state institution of higher education listed in
ORS 352.002 { + , Portland State University + } or a community
college shall charge an enrolled student who is not a resident of
this state and who is attending classes as an undergraduate on a
public university or community college campus in this state
tuition and fees no greater than the resident rate plus 50
percent of the difference between the resident rate and the
nonresident rate if the student served in the Armed Forces of the
United States and was relieved or discharged from that service
under honorable conditions.
  (2) Every state institution of higher education listed in ORS
352.002 { + , Portland State University + } and  { + every + }
community college in this state shall participate to the fullest
extent allowed in the federal educational assistance programs
under the Supplemental Appropriations Act of 2008 (P.L. 110-252)
so as to reduce the overall tuition rate for students eligible
for tuition rate reduction under subsection (1) of this section
to the resident tuition rate.
  (3) A person who served in the Armed Forces of the United
States and who receives federal tuition benefits in excess of the
tuition and fees the person is charged under subsection (1) of
this section at a state institution of higher education listed in
ORS 352.002 { + , Portland State University + } or a community
college where the person is enrolled shall pay tuition and fees
equal to the federal tuition benefits received.
  (4) Distance education and self-support courses as identified
by each state institution of higher education listed in ORS
352.002 { + , Portland State University + } and  { + each + }
community college are exempt from the tuition reduction
provisions of this section.
  (5) If a nonresident student otherwise eligible for tuition
benefits under this section is receiving federal vocational
rehabilitation education benefits, that student shall pay full
nonresident tuition and fees charged by a state institution of
higher education listed in ORS 352.002 { + , Portland State
University + } or a community college.
  SECTION 125. ORS 408.095 is amended to read:
  408.095. (1) As used in this section, 'community college ' has
the meaning given that term in ORS 341.005.
  (2) There is created in the Department of Veterans' Affairs the
Campus Veterans' Service Officers Program.
  (3) The purpose of the program is to provide educational
outreach to veterans to help ensure that they obtain maximum
state and federal benefits.
  (4) The department shall appoint a sufficient number of campus
veterans' service officers to ensure that each Oregon community
college { + , Portland State University + } and each institution
in the Oregon University System, as described in ORS 352.002, is
provided veterans' services.
  (5) Each community college { + , Portland State University + }
and  { +  each + } institution in the Oregon University System
shall provide office space that may be used for the provision of
veterans' services.
  (6) The department may adopt rules to implement the Campus
Veterans' Service Officers Program.
  SECTION 126. ORS 431.690, as amended by section 1, chapter 27,
Oregon Laws 2010, and section 6, chapter 62, Oregon Laws 2010, is
amended to read:
  431.690. (1) As used in this section, 'place of public
assembly' means a single building that has 50,000 square feet or
more of indoor floor space and where:
  (a)(A) The public congregates for purposes such as
deliberation, shopping, entertainment, amusement or awaiting
transportation; or
  (B) Business activities are conducted; and

  (b) At least 50 individuals congregate on a normal business
day.
  (2) Notwithstanding ORS 431.680 (3), the owner of a place of
public assembly shall have on the premises at least one automated
external defibrillator.
  (3) Notwithstanding subsection (2) of this section:
  (a) A community college { + , + }   { - or - }  a state
institution of higher education listed in ORS 352.002 { +  and
Portland State University + } shall have at least one automated
external defibrillator on the campus of the community
college { + , + }   { - or - }  institution { +  or
university + }; and
  (b) If the campus of the community college { + , + }
 { - or - }  institution of higher education  { + or
university + } contains more than one place of public assembly,
the community college { + , + }   { - or - }  institution  { + or
university + } shall ensure that at least one automated external
defibrillator is readily available to each place of public
assembly.
  (4) Subsection (2) of this section does not apply to a building
primarily used for worship or education associated with worship.
  SECTION 127. ORS 433.090 is amended to read:
  433.090. As used in ORS 433.090 to 433.102:
  (1) 'Authorized user' means a person or entity authorized to
provide information to or to receive information from an
immunization registry or immunization tracking and recall system
under ORS 433.090 to 433.102. 'Authorized user' includes, but is
not limited to, licensed health care providers, health care
institutions, insurance carriers, the Oregon medical assistance
program, parents or guardians of children under 18 years of age,
clients 18 years of age or older, post-secondary education
institutions, schools, children's facilities, local health
departments, the Oregon Health Authority and agents of the
authority.
  (2) 'Children's facility' has the meaning given that term in
ORS 433.235.
  (3) 'Client' means any person registered with any Oregon
immunization tracking and recall system.
  (4) 'Immunization record' includes but is not limited to the
following:
  (a) Any immunization received;
  (b) Date immunization was received;
  (c) Complication or side effect associated with immunization;
  (d) Date and place of birth of a client;
  (e) Hospital where a client was born;
  (f) Client's name; and
  (g) Mother's name.
  (5) 'Immunization registry' means any listing of clients and
information relating to their immunization status, without regard
to whether the registry is maintained in this state or elsewhere.
  (6) 'Immunization tracking and recall record' includes but is
not limited to the client's name, address of the parent or
guardian of the client, telephone number, insurance carrier,
health care provider and other information needed to send
reminder cards to, place telephone calls to or personally contact
the client or the parent or the guardian of a client for the
purposes of informing the client, parent or guardian that the
client is late in receiving the recommended immunizations.
  (7) 'Local health department' has the meaning given that term
in ORS 433.235.
  (8) 'Parent or guardian' has the meaning given the term '
parent' in ORS 433.235.
  (9) 'Post-secondary education institution' means:
  (a) A state institution of higher education under the
jurisdiction of the State Board of Higher Education;
  (b) A community college operated under ORS chapter 341;
   { +  (c) Portland State University; + }
    { - (c) - }  { +  (d) + } A school or division of Oregon
Health and Science University; or
    { - (d) - }  { +  (e) + } An Oregon-based, generally
accredited, private institution of higher education.
  (10) 'Provider' means a physician or a health care professional
who is acting within the scope of his or her licensure and
responsible for providing immunization services or for
coordinating immunization services within a clinic, public health
site, school or other immunization site.
  (11) 'School' has the meaning given that term in ORS 433.235.
  (12) 'Tracking and recall system' means a system attached to an
immunization registry designed to contact clients listed in the
immunization registry for the purposes of assisting in the
completion of the immunization series in a timely manner.
  SECTION 128. ORS 461.535 is amended to read:
  461.535. The Intercollegiate Athletic Fund is created separate
and distinct from the General Fund. The fund shall consist of
revenues credited to the Sports Lottery Account under ORS 461.543
 { - (4) - }   { + (5) + } and any other revenues available to
the fund.
  SECTION 129. ORS 461.543 is amended to read:
  461.543.  { + (1) As used in this section, 'revenue producing
sport' means a sport that produces net revenue over expenditures
during a calendar year or, if its season extends into two
calendar years, produces net revenue over expenditures during the
season. + }
    { - (1) - }   { + (2) + } Except as otherwise specified in
subsection   { - (5) - }  { + (6) + } of this section, the Sports
Lottery Account is continuously appropriated to and shall be used
by the State Board of Higher Education  { + and the Portland
Metropolitan Universities Board of Directors + } to fund sports
programs at state institutions of higher education { +  within
the Oregon University System and at Portland State
University + }. Seventy percent of the revenues   { - in the
fund - }  { + received by each board + } shall be used to fund
nonrevenue producing sports and 30 percent shall be used for
revenue producing sports.  Of the total amount available in the
fund, at least 50 percent shall be made available for women's
athletics.
    { - (2) - }   { + (3) + } The State Board of Higher Education
shall
  { - allocate - }   { + receive 82 percent of the + } moneys in
the Sports Lottery Account  { + allocated under subsection (6)(a)
and (b) of this section and shall allocate these moneys + } among
the institutions of higher education under its jurisdiction
giving due consideration to:
  (a) The athletic conference to which the institution belongs
and the relative costs of competing in that conference.
  (b) The level of effort being made by the institution to
generate funds and support from private sources.
    { - (3) As used in subsections (1) to (3) of this section, '
revenue producing sport' is a sport that produces net revenue
over expenditures during a calendar year or if its season extends
into two calendar years, produces net revenue over expenditures
during the season. - }
   { +  (4) The Portland Metropolitan Universities Board of
Directors shall receive 18 percent of the moneys in the Sports
Lottery Account allocated under subsection (6)(a) and (b) of this
section. + }
    { - (4) - }   { + (5) + } An amount equal to one percent of
the moneys transferred to the Administrative Services Economic
Development Fund from the State Lottery Fund shall be allocated
from the Administrative Services Economic Development Fund to the
Sports Lottery Account.

    { - (5) - }   { + (6) + } The amounts received by the Sports
Lottery Account shall be allocated as follows:
  (a) Eighty-eight percent for   { - the purposes specified in
subsections (1) to (3) of this section - }  { +  sports + }, but
not to exceed $8 million annually, adjusted annually pursuant to
the Consumer Price Index, as defined in ORS 327.006.
  (b) Twelve percent for the purpose of scholarships, to be
distributed equally between scholarships based on academic merit
and scholarships based on need, as determined by rule of the
State Board of Higher Education { +  for state institutions of
higher education within the Oregon University System and by rule
of the Portland Metropolitan Universities Board of Directors for
Portland State University + }, but not to exceed $1,090,909
annually.
  (c) All additional   { - money - }   { + moneys + } to the
Oregon Student Assistance Commission for the Oregon Opportunity
Grant program under ORS 348.260.
  SECTION 130. ORS 660.315 is amended to read:
  660.315. (1) The Governor shall designate regional workforce
committees to advise the Governor, local workforce investment
boards that represent federally recognized workforce areas
containing multiple regions, and county elected officials on
regional and local needs for workforce development. The
committees shall also prepare plans for achieving regional goals
and coordinate the provision of services within regions. The
committees shall have private and public sector members. However,
a majority of the members of each committee shall represent the
private sector and include business and labor representatives.
The chairperson of each committee shall be a private sector
member and be elected by the committee.
  (2) The private sector committee members shall play a critical
role in workforce development, including but not limited to:
  (a) Identifying current and future workforce needs;
  (b) Providing feedback on public sector programs;
  (c) Assisting public agencies in changing programs to be more
effective in meeting private sector needs; and
  (d) Being a partner in addressing workforce needs.
  (3) Private sector members of a committee created under this
section shall be appointed by county commissioners and, in the
region that includes the City of Portland, the Mayor of Portland.
The members of the committee shall reflect the broadest feasible
representation from the groups described in ORS 660.312 (4)(a) to
(h).
  (4) The public sector representatives on the committee are
representatives who receive resources and deliver education and
workforce programs within the labor market area. Public sector
members shall include the broadest feasible representation from,
but not be limited to, the following:
  (a) The Department of Human Services;
  (b) School districts, education service districts, community
colleges, state institutions of higher education { + , Portland
State University + } and Oregon Health and Science University;
  (c) The Oregon Business Development Department and local
economic development entities;
  (d) The Employment Department;
  (e) The federal Act programs; and
  (f) Other public sector partners.
  (5) A region may recommend to the Governor an alternate
structure for its regional committee, based on regional
determination and mutually agreed to by the current public and
private sector members of the regional workforce committee and
the chief elected officials. The alternate structure must retain
a private sector chairperson, appointments of the private sector
members as provided in subsection (3) of this section, and
substantive public and private sector and other stakeholder

participation through formalized methods, such as standing
committees.
  (6) A regional workforce committee shall develop and implement
a strategic regional workforce plan that responds to the current
and future workforce needs of the regional labor market.
  (7) The strategic regional workforce plan shall:
  (a) Consider the supply and demand outlook for the region;
  (b) Identify and prioritize initiatives and resources, both
public and private, to meet the regional workforce needs;
  (c) Articulate and include the coordination of both public and
private resources in addressing the workforce needs and goals;
and
  (d) Ensure the most appropriate use of resource investments.
  (8) The regional workforce committee shall create or enhance
the workforce program delivery system to meet the strategic
priorities of the region and any strategic priorities of a
federally recognized workforce area that includes that region.
  (9) Within each region, or within overlapping regions, regional
workforce committees, local workforce investment boards and
regional investment boards shall coordinate their planning
efforts to ensure that the strategic efforts and resource
allocation of economic and workforce development of an area are
consistent. Regional workforce committees and regional investment
boards will extend opportunities to other entities engaged in
economic and workforce development programs and services to
participate in their joint or integrated strategic planning.
  (10)(a) A local workforce investment board that represents a
multiregional workforce area shall hold regional workforce
committees in the area accountable for any policy and operational
responsibilities under 2832(d) of the federal Act that is
delegated to the committees in accordance with state policy and
local workforce investment board policy.
  (b) A regional workforce committee within a multiregional
workforce area is accountable to the local workforce investment
board for any policy and operational responsibilities carried out
under the federal Act on behalf of the board.
  (c) As it relates to regional responsibilities under this
section, a regional workforce committee may, through a vote of
the committee, determine the methodology for delegating the
responsibilities of the regional workforce committee to a local
workforce investment board representing the multiregional
workforce area.
  SECTION 131. ORS 679.020 is amended to read:
  679.020. (1) A person may not practice dentistry without a
license.
  (2) Only a person licensed as a dentist by the Oregon Board of
Dentistry may own, operate, conduct or maintain a dental
practice, office or clinic in this state.
  (3) The restrictions of subsection (2) of this section, as they
relate to owning and operating a dental office or clinic, do not
apply to a dental office or clinic owned or operated by any of
the following:
  (a) A labor organization as defined in ORS 243.650 and 663.005
(6), or to any nonprofit organization formed by or on behalf of
such labor organization for the purpose of providing dental
services. Such labor organization must have had an active
existence for at least three years, have a constitution and
bylaws, and be maintained in good faith for purposes other than
providing dental services.
  (b) The School of Dentistry of the Oregon Health and Science
University.
  (c) Institutions of higher education listed in ORS 352.002
 { +  and Portland State University + }.
  (d) Local governments.

  (e) Institutions or programs accredited by the Commission on
Dental Accreditation of the American Dental Association to
provide education and training.
  (f) Nonprofit corporations organized under Oregon law to
provide dental services to rural areas and medically underserved
populations of migrant, rural community or homeless individuals
under 42 U.S.C. 254b or 254c or health centers qualified under 42
U.S.C. 1396d(l)(2)(B) operating in compliance with other
applicable state and federal law.
  (g) Nonprofit charitable corporations as described in section
501(c)(3) of the Internal Revenue Code and determined by the
Oregon Board of Dentistry as providing dental services by
volunteer licensed dentists to populations with limited access to
dental care at no charge or a substantially reduced charge.
  (4) For the purpose of owning or operating a dental office or
clinic, an entity described in subsection (3) of this section
must:
  (a) Name an actively licensed dentist as its dental director,
who shall be subject to the provisions of ORS 679.140 in the
capacity as dental director. The dental director, or an actively
licensed dentist designated by the director, shall have
responsibility for the clinical practice of dentistry, which
includes, but is not limited to:
  (A) Diagnosis of conditions within the human oral cavity and
its adjacent tissues and structures.
  (B) Prescribing drugs that are administered to patients in the
practice of dentistry.
  (C) The treatment plan of any dental patient.
  (D) Overall quality of patient care that is rendered or
performed in the practice of dentistry.
  (E) Supervision of dental hygienists, dental assistants or
other personnel involved in direct patient care and the
authorization for procedures performed by them in accordance with
the standards of supervision established by statute or by the
rules of the board.
  (F) Other specific services within the scope of clinical dental
practice.
  (G) Retention of patient dental records as required by statute
or by rule of the board.
  (H) Ensuring that each patient receiving services from the
dental office or clinic has a dentist of record.
  (b) Maintain current records of the names of licensed dentists
who supervise the clinical activities of dental hygienists,
dental assistants or other personnel involved in direct patient
care utilized by the entity. The records must be available to the
board upon written request.
  (5) Subsections (1) and (2) of this section do not apply to a
limited access permit dental hygienist who renders services
authorized by a limited access permit issued by the board
pursuant to ORS 680.200.
  (6) Nothing in this chapter precludes a person or entity not
licensed by the board from:
  (a) Ownership or leasehold of any tangible or intangible assets
used in a dental office or clinic. These assets include real
property, furnishings, equipment and inventory but do not include
dental records of patients related to clinical care.
  (b) Employing or contracting for the services of personnel
other than licensed dentists.
  (c) Management of the business aspects of a dental office or
clinic that do not include the clinical practice of dentistry.
  (7) If all of the ownership interests of a dentist or dentists
in a dental office or clinic are held by an administrator,
executor, personal representative, guardian, conservator or
receiver of the estate of a former shareholder, member or
partner, the administrator, executor, personal representative,
guardian, conservator or receiver may retain the ownership
interest for a period of 12 months following the creation of the
ownership interest. The board shall extend the ownership period
for an additional 12 months upon 30 days' notice and may grant
additional extensions upon reasonable request.
  SECTION 132. ORS 696.182 is amended to read:
  696.182. (1) The Real Estate Agency, with advice from real
estate professionals and educators, shall prescribe rules for
certifying real estate continuing education providers.
  (2) The agency shall include in the rules that an applicant for
certification under this section must be:
  (a) A main or branch office of a real estate broker or
principal real estate broker registered with the agency under ORS
696.026;
  (b) A title or escrow company conducting business in this
state;
  (c) A real estate trade association or a trade association in a
related field;
  (d) A real estate multiple listing service;
  (e) A private career school approved by the agency to teach
continuing education courses;
  (f) An accredited community college { + , Portland State
University + } or an accredited state institution of higher
education;
  (g) A distance learning provider approved by the agency; or
  (h) Another provider approved by the Real Estate Board.
  (3) The agency, in consultation with real estate professionals
and educators, shall provide by rule:
  (a) A broad list of course topics that are eligible for
continuing education credit required by ORS 696.174; and
  (b) Learning objectives for each course topic.
  (4) The list of course topics developed by the agency under
subsection (3) of this section must allow for changes in the real
estate profession.
  (5) The minimum length of each course is one hour. A continuing
education provider or course instructor may allow a break of no
more than 10 minutes for each hour of instruction.
  SECTION 133. ORS 759.445 is amended to read:
  759.445. (1) There is established in the State Treasury,
separate and distinct from the General Fund, the Connecting
Oregon Communities Fund. Moneys in the fund shall consist of
amounts deposited in the fund under ORS 759.405 and any other
moneys deposited by a telecommunications carrier that elects to
be subject to ORS 759.405 and 759.410, including amounts
deposited pursuant to a performance assurance plan implemented by
a telecommunications carrier in connection with an application
under 47 U.S.C. 271, as in effect on January 1, 2002. Interest
earned on moneys in the fund shall accrue to the fund. Moneys in
the fund may be invested as provided in ORS 293.701 to 293.820.
Moneys in the fund shall be used to provide access to advanced
telecommunications technology in elementary schools and high
schools, colleges and universities, community colleges, public
television corporations, rural health care providers, public
libraries and other eligible persons.
  (2) Two dedicated accounts shall be established within the
Connecting Oregon Communities Fund for purposes of supporting
education and public access to advanced telecommunications
services. The first $25 million of the moneys deposited in the
Connecting Oregon Communities Fund in both 2000 and 2001 shall be
appropriated to the School Technology Account established under
subsection (3) of this section. Except as provided in subsection
(8) of this section, any additional moneys available in the fund
shall be appropriated to the Public Access Account established
under subsection (4) of this section.
  (3) There is established the School Technology Account within
the Connecting Oregon Communities Fund. The purpose of the School
Technology Account is to improve access to advanced
telecommunications services for students attending public school
in kindergarten through grade 12. Moneys in the account shall be
expended as provided in section 34, chapter 1093, Oregon Laws
1999.
  (4)(a) There is established the Public Access Account within
the Connecting Oregon Communities Fund. The purpose of the Public
Access Account is to improve access to advanced
telecommunications services for community colleges, universities,
public libraries and rural health care providers.
  (b) If funding has not been provided from other sources, the
first $3 million available in the Public Access Account shall be
transferred to the Oregon University System for the purpose of
funding the Oregon Wide Area Network project to provide and
expand Internet access for the Oregon University System. The
Oregon University System shall complete an audit of bandwidth
utilization and report to the Joint Legislative Committee on
Information Management and Technology during the Seventy-first
Legislative Assembly in the manner provided in ORS 192.245.
  (c) Following the transfer of funds described in paragraph (b)
of this subsection, the next $1 million available in the Public
Access Account shall be transferred to the Oregon University
System for Oregon State University for the purpose of providing
virtual access to persons with disabilities.
  (d) Following the transfer of funds as described in paragraphs
(b) and (c) of this subsection, the next $2 million available in
the Public Access Account shall be transferred to the Department
of Community Colleges and Workforce Development for distribution
to community colleges for the purpose of developing connectivity
and distance education programs.
  (e) Following the transfer of funds described in paragraphs (b)
to (d) of this subsection, the next $4 million available in the
Public Access Account shall be transferred to the Oregon
University System for video transport and network management
services for the Oregon University System.
  (f) Following the transfer of funds described in paragraphs (b)
to (e) of this subsection, the next $5.5 million available in the
Public Access Account shall be transferred to the Oregon Public
Broadcasting Corporation for the purpose of digitizing the state
television network, using the Oregon Enterprise Network when
possible.
  (g) Following the transfer of funds described in paragraphs (b)
to (f) of this subsection, the next $500,000 available in the
Public Access Account shall be transferred to the Southern Oregon
Public Television Corporation for the purpose of digitizing the
state television network, using the Oregon Enterprise Network
when possible.
  (h) Following the transfer of funds described in paragraphs (b)
to (g) of this subsection, a state institution of higher
education, including  { + Portland State University and + }
 { - the - }  Oregon Health and Science University, may apply for
one-time matching funds up to $1 million from the Public Access
Account to endow a telecommunications chair for the purpose of
increasing research and development of advanced
telecommunications services applications. Only one chair may be
endowed under this paragraph.
  (5)(a) The Oregon Business Development Commission shall approve
expenditure of any remaining moneys in the Public Access Account
consistent with this section and ORS 759.430.
  (b) Community colleges, state institutions of higher education,
 { + Portland State University, + } public libraries, public
television corporations and rural health care providers may apply
to the Oregon Business Development Commission for funding from
the Public Access Account under this subsection.
  (c) Funds received from the account shall be used for the
purchase of advanced telecommunications services, equipment or
recurring costs of telecommunications connectivity. Priority
shall be given to collaborative projects that improve access to
advanced telecommunications services.
  (d) Funds available in the Public Access Account under this
subsection are continuously appropriated to the Oregon Business
Development Department for the purposes described in this
subsection.
  (6) Public libraries and rural health care providers must apply
for federal universal service support in order to be eligible for
a grant from the Public Access Account.
  (7) The video transport and network management services
purchased with funds made available under this section shall be
purchased through the Oregon Department of Administrative
Services.
  (8) Any moneys deposited in the Connecting Oregon Communities
Fund under subsection (1) of this section pursuant to a
performance assurance plan implemented by a telecommunications
carrier in connection with an application under 47 U.S.C. 271, as
in effect on January 1, 2002, shall be placed in the School
Technology Account to be expended as provided in section 34,
chapter 1093, Oregon Laws 1999.
  SECTION 134.  { + The duties, functions and powers of the State
Board of Higher Education relating to Portland State University
are imposed upon, transferred to and vested in the Portland
Metropolitan Universities Board of Directors. + }
  SECTION 135.  { + (1) The Chancellor of the Oregon University
System shall:
  (a) Deliver to the Portland Metropolitan Universities Board of
Directors all records and property within the jurisdiction of the
chancellor that relate to the duties, functions and powers
transferred by section 134 of this 2011 Act; and
  (b) Transfer to the Portland Metropolitan Universities Board of
Directors those employees engaged primarily in the exercise of
the duties, functions and powers transferred by section 134 of
this 2011 Act.
  (2) The president of Portland State University shall take
possession of the records and property, and shall take charge of
the employees and employ them in the exercise of the duties,
functions and powers transferred by section 134 of this 2011 Act,
without reduction of compensation but subject to change or
termination of employment or compensation as provided by law.
  (3) The Governor shall resolve any dispute between the State
Board of Higher Education and the Portland Metropolitan
Universities Board of Directors relating to transfers of records,
property and employees under this section, and the Governor's
decision is final. + }
  SECTION 136.  { + The transfer of duties, functions and powers
to the Portland Metropolitan Universities Board of Directors by
section 134 of this 2011 Act does not affect any action,
proceeding or prosecution involving or with respect to such
duties, functions and powers begun before and pending at the time
of the transfer, except that the Portland Metropolitan
Universities Board of Directors is substituted for the State
Board of Higher Education in the action, proceeding or
prosecution. + }
  SECTION 137.  { + (1) Nothing in sections 134 to 140 of this
2011 Act relieves a person of a liability, duty or obligation
accruing under or with respect to the duties, functions and
powers transferred by section 134 of this 2011 Act. The Portland
Metropolitan Universities Board of Directors may undertake the
collection or enforcement of any such liability, duty or
obligation.
  (2) The rights and obligations of the State Board of Higher
Education legally incurred under contracts, leases and business
transactions executed, entered into or begun before the operative
date of section 134 of this 2011 Act accruing under or with
respect to the duties, functions and powers transferred by
section 134 of this 2011 Act are transferred to the Portland
Metropolitan Universities Board of Directors. For the purpose of
succession to these rights and obligations, the Portland
Metropolitan Universities Board of Directors is a continuation of
the State Board of Higher Education and not a new authority. + }
  SECTION 138.  { + Notwithstanding the transfer of duties,
functions and powers by section 134 of this 2011 Act, the rules
of the State Board of Higher Education with respect to such
duties, functions or powers that are in effect on the operative
date of section 134 of this 2011 Act continue in effect until
superseded or repealed by rules of the Portland Metropolitan
Universities Board of Directors. References in such rules of the
State Board of Higher Education to Portland State University or
an officer or employee of Portland State University are
considered to be references to Portland State University as
established in ORS 353.020 (2) or an officer or employee of
Portland State University. + }
  SECTION 139.  { + Whenever, in any uncodified law or resolution
of the Legislative Assembly or in any rule, document, record or
proceeding authorized by the Legislative Assembly, in the context
of the duties, functions and powers transferred by section 134 of
this 2011 Act, reference is made to the State Board of Higher
Education, or an officer or employee of the State Board of Higher
Education whose duties, functions or powers are transferred by
section 134 of this 2011 Act, the reference is considered to be a
reference to the Portland Metropolitan Universities Board of
Directors or an officer or employee of the Portland Metropolitan
Universities Board of Directors who by section 134 of this 2011
Act is charged with carrying out such duties, functions and
powers. + }
  SECTION 140.  { + (1) Whenever, in any uncodified law or
resolution of the Legislative Assembly or in any rule, document,
record or proceeding authorized by the Legislative Assembly,
reference is made to the Oregon Health and Science University
Board of Directors or an officer or employee of the Oregon Health
and Science University Board of Directors, the reference is
considered to be a reference to the Portland Metropolitan
Universities Board of Directors or an officer or employee of the
Portland Metropolitan Universities Board of Directors.
  (2) References in the rules of the Oregon Health and Science
University Board of Directors to the Oregon Health and Science
University Board of Directors or an officer or employee of the
Oregon Health and Science University Board of Directors are
considered to be references to the Portland Metropolitan
Universities Board of Directors or an officer or employee of the
Portland Metropolitan Universities Board of Directors. + }
  SECTION 141.  { + Sections 3, 8, 9, 12, 17, 24, 39 and 134 to
140 of this 2011 Act and the amendments to statutes and
uncodified laws by sections 1, 4 to 7, 10, 11, 13 to 15, 18 to
22, 25 to 37 and 40 to 133 of this 2011 Act become operative on
July 1, 2013. + }
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