Bill Text: OR HB3234 | 2013 | Regular Session | Enrolled


Bill Title: Relating to children; and declaring an emergency.

Spectrum: Committee Bill

Status: (Passed) 2013-07-19 - Chapter 624, (2013 Laws): Effective date July 19, 2013. [HB3234 Detail]

Download: Oregon-2013-HB3234-Enrolled.html


     77th OREGON LEGISLATIVE ASSEMBLY--2013 Regular Session

                            Enrolled

                         House Bill 3234

Sponsored by COMMITTEE ON EDUCATION

                     CHAPTER ................

                             AN ACT

Relating to children; creating new provisions; amending ORS
  131A.360, 131A.365, 307.145, 307.490, 307.500, 315.204,
  315.208, 315.213, 326.021, 326.604, 329.075, 329.156, 329.165,
  329.170, 329.175, 329.183, 329.185, 329.190, 329.195, 329.200,
  343.499, 343.507, 417.787, 417.788, 417.790, 417.793, 417.795,
  418.975, 419B.005, 419B.020, 419B.035, 458.525, 609.652,
  646A.504, 657A.010, 657A.020, 657A.030, 657A.180, 657A.190,
  657A.250, 657A.252, 657A.255, 657A.257, 657A.260, 657A.263,
  657A.270, 657A.275, 657A.280, 657A.290, 657A.300, 657A.310,
  657A.330, 657A.350, 657A.360, 657A.370, 657A.390, 657A.400,
  657A.410, 657A.420, 657A.450, 657A.490, 657A.700, 657A.703,
  657A.706, 657A.709, 657A.712, 657A.715, 657A.718 and 657A.992
  and section 10, chapter 519, Oregon Laws 2011, and sections 10,
  68b, 104 and 130, chapter 37, Oregon Laws 2012; and declaring
  an emergency.

Be It Enacted by the People of the State of Oregon:

                               { +
THE EARLY LEARNING DIVISION + }

  SECTION 1.  { + (1) The Early Learning Division is established
in the Department of Education. The purpose of the division is to
ensure that children enter school ready to succeed.
  (2) The division shall function under the direction and control
of the Early Learning Council with the Early Learning System
Director serving as the administrative officer. + }
  SECTION 1a. { +  The duties, functions and powers of the Early
Learning Council relating to the administration and enforcement
of the Early Learning Council are imposed upon, transferred to
and vested in the Early Learning Division of the Department of
Education for the purpose of fulfilling the duties, powers and
functions of the Early Learning Division. + }
  SECTION 1b.  { + (1) The Early Learning System Director shall:
  (a) Deliver to the Department of Education all records and
property within the jurisdiction of the director that relate to
the duties, functions and powers transferred by section 1a of
this 2013 Act; and
  (b) Transfer to the Department of Education those employees
engaged primarily in the exercise of the duties, functions and
powers transferred by section 1a of this 2013 Act.
  (2) The Superintendent of Public Instruction shall take
possession of the records and property, and shall take charge of

Enrolled House Bill 3234 (HB 3234-B)                       Page 1

the employees and employ them in the exercise of the duties,
functions and powers transferred by section 1a of this 2013 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 Early
Learning Council and the Department of Education relating to
transfers of records, property and employees under this section,
and the Governor's decision is final. + }
  SECTION 1c. { +  (1) The unexpended balances of amounts
authorized to be expended by the Early Learning Council for the
biennium beginning July 1, 2013, from revenues dedicated,
continuously appropriated, appropriated or otherwise made
available for the purpose of administering and enforcing the
duties, functions and powers transferred by section 1a of this
2013 Act are transferred to and are available for expenditure by
the Department of Education for the biennium beginning July 1,
2013, for the purpose of administering and enforcing the duties,
functions and powers transferred by section 1a of this 2013 Act.
  (2) The expenditure classifications, if any, established by
Acts authorizing or limiting expenditures by the Early Learning
Council remain applicable to expenditures by the Department of
Education under this section. + }
  SECTION 1d.  { + The transfer of duties, functions and powers
to the Department of Education by section 1a of this 2013 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
Department of Education is substituted for the Early Learning
Council in the action, proceeding or prosecution. + }
  SECTION 1e.  { + (1) Nothing in sections 1a to 1d of this 2013
Act relieves a person of a liability, duty or obligation accruing
under or with respect to the duties, functions and powers
transferred by section 1a of this 2013 Act. The Department of
Education may undertake the collection or enforcement of any such
liability, duty or obligation.
  (2) The rights and obligations of the Early Learning Council
legally incurred under contracts, leases and business
transactions executed, entered into or begun before the operative
date of section 1a of this 2013 Act accruing under or with
respect to the duties, functions and powers transferred by
section 1a of this 2013 Act are transferred to the Department of
Education. For the purpose of succession to these rights and
obligations, the Department of Education is a continuation of the
Early Learning Council and not a new authority. + }
  SECTION 1f.  { + Notwithstanding the transfer of duties,
functions and powers by section 1a of this 2013 Act, the rules of
the Early Learning Council with respect to such duties, functions
or powers that are in effect on the operative date of section 1a
of this 2013 Act continue in effect until superseded or repealed
by rules of the Department of Education. + }
  SECTION 1g.  { + 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 1a of
this 2013 Act, reference is made to the administration of the
Early Learning Council, or an officer or employee of the Early
Learning Council, whose duties, functions or powers are
transferred by section 1a of this 2013 Act, the reference is
considered to be a reference to the Department of Education or an
officer or employee of the Department of Education who by this

Enrolled House Bill 3234 (HB 3234-B)                       Page 2

2013 Act is charged with carrying out such duties, functions and
powers. + }
  SECTION 2. ORS 329.075 is amended to read:
  329.075. (1) The State Board of Education shall adopt rules, in
accordance with ORS 183.750 and ORS chapter 183, as necessary for
the statewide implementation of this chapter. The rules shall be
prepared in consultation with appropriate representatives from
the educational and business and labor communities.
  (2) The Department of Education shall be responsible for
implementing the provisions of this chapter. Actions by the
department to fulfill this responsibility and to increase student
achievement may include, but are not limited to:
  (a) Developing academic content standards;
  (b) Updating Common Curriculum Goals to meet rigorous academic
content standards and updating performance indicators and diploma
requirements;
  (c) Developing criterion-referenced assessments including
performance-based, content-based and other assessment mechanisms
to test knowledge and skills and whether students meet the
performance expectations as determined by the board; and
  (d) Establishing criteria for early childhood education
programs { +  governed by the Individuals with Disabilities
Education Act, 20 U.S.C. 1400 et seq + }.
  (3) The department shall make school districts and the public
aware of public school choice options available within our
current public education framework.
  SECTION 3. ORS 329.165 is amended to read:
  329.165. (1) In consultation with the advisory committee for
the Oregon prekindergarten program,   { - the Department of
Education - }  { +  the Early Learning Council, acting as the
state advisory council for purposes of the federal Head Start
Act, + } shall develop a long-range plan for serving eligible
children and their families and shall report to each odd-numbered
year regular session of the Legislative Assembly on the funds
necessary to implement the long-range plan, including but not
limited to regular programming costs, salary enhancements and
program improvement grants. The
  { - department - }   { + council + } shall determine the rate
of increase in funding for programs necessary each biennium to
provide service to all children eligible for the prekindergarten
program.
  (2) Each biennial report shall include but not be limited to
estimates of the number of eligible children and families to be
served, projected cost of programs and evaluation of the
programs.
  SECTION 4. ORS 329.170 is amended to read:
  329.170. (1) As used in ORS 329.170 to 329.200:
  (a) 'Advisory committee' means the advisory committee
established specifically for the Oregon prekindergarten program
established by ORS 329.170 to 329.200.
  (b) 'Oregon prekindergartens' means programs that are
recognized by the   { - department - }   { + Early Learning
Division + } as meeting the minimum program rules to be adopted
by the   { - State Board of Education - }   { + Early Learning
Council + } and that provide comprehensive health, education and
social services in order to maximize the potential of children
three and four years of age.
  (c) 'Oregon prekindergarten program' means the statewide
administrative activities carried on within the   { - Department
of Education - }   { + Early Learning Division + } to allocate,

Enrolled House Bill 3234 (HB 3234-B)                       Page 3

award and monitor state funds appropriated to create or assist
local Oregon prekindergartens.
  (2) For purposes of ORS 329.175, 'eligible child' means an
at-risk child who is not a participant in a federal, state or
local program providing like comprehensive services and may
include children who are eligible under rules adopted by the
  { - State Board of Education - }  { +   + }  { +  Early
Learning Council + }. As used in this subsection, 'at-risk child'
means a child at least three years of age and not eligible for
kindergarten whose family circumstances would qualify that child
for eligibility under the federal Head Start program.
  SECTION 5. ORS 329.175 is amended to read:
  329.175. (1) The   { - Department of Education - }   { + Early
Learning Division + } shall administer the Oregon prekindergarten
program to assist eligible children with comprehensive services
including educational, social, health and nutritional development
to enhance their chances for success in school and life. Eligible
children, upon request of parent or guardian, shall be admitted
to approved Oregon prekindergartens to the extent that the
Legislative Assembly provides funds.
  (2) Nonsectarian organizations including school districts and
Head Start grantees are eligible to compete for funds to
establish an Oregon prekindergarten. Grant recipients shall serve
children eligible according to federal Head Start guidelines and
other children who meet criteria of eligibility adopted by rule
by the
  { - State Board of Education - }  { +   + }  { +  Early
Learning Council + }. However, not more than 20 percent of the
total enrollment shall consist of children who do not meet Head
Start guidelines. School districts may contract with other
governmental or nongovernmental nonsectarian organizations to
conduct a portion of the program.  Funds appropriated for the
program shall be used to establish and maintain new or expanded
Oregon prekindergartens and shall not be used to supplant
federally supported Head Start programs. Oregon prekindergartens
also may accept gifts, grants and other funds for the purposes of
this section.
  (3) Applicants shall identify how they will serve the target
population and provide all components as specified in the federal
Head Start performance standards and guidelines, including staff
qualifications and training, facilities and equipment,
transportation and fiscal management.
  (4) Oregon prekindergartens shall coordinate with each other
and with federal Head Start programs to ensure efficient delivery
of services and prevent overlap. Oregon prekindergartens shall
also work with local organizations such as local education
associations serving young children and make the maximum use of
local resources.
  (5) Oregon prekindergartens shall:
  (a) Participate in the planning process under ORS 417.777 to
develop a voluntary local early childhood system plan; and
  (b) Coordinate services with other services that are
coordinated through the plan. The coordination of services shall
be consistent with federal and state law.
  SECTION 6. ORS 329.175, as amended by section 87, chapter 37,
Oregon Laws 2012, is amended to read:
  329.175. (1) The   { - Department of Education - }   { + Early
Learning Division + } shall administer the Oregon prekindergarten
program to assist eligible children with comprehensive services
including educational, social, health and nutritional development

Enrolled House Bill 3234 (HB 3234-B)                       Page 4

to enhance their chances for success in school and life. Eligible
children, upon request of parent or guardian, shall be admitted
to approved Oregon prekindergartens to the extent that the
Legislative Assembly provides funds.
  (2) Nonsectarian organizations including school districts and
Head Start grantees are eligible to compete for funds to
establish an Oregon prekindergarten. Grant recipients shall serve
children eligible according to federal Head Start guidelines and
other children who meet criteria of eligibility adopted by rule
by the
  { - State Board of Education - }  { +   + }  { +  Early
Learning Council + }. However, not more than 20 percent of the
total enrollment shall consist of children who do not meet Head
Start guidelines. School districts may contract with other
governmental or nongovernmental nonsectarian organizations to
conduct a portion of the program.  Funds appropriated for the
program shall be used to establish and maintain new or expanded
Oregon prekindergartens and shall not be used to supplant
federally supported Head Start programs. Oregon prekindergartens
also may accept gifts, grants and other funds for the purposes of
this section.
  (3) Applicants shall identify how they will serve the target
population and provide all components as specified in the federal
Head Start performance standards and guidelines, including staff
qualifications and training, facilities and equipment,
transportation and fiscal management.
  (4) Oregon prekindergartens shall coordinate with each other
and with federal Head Start programs to ensure efficient delivery
of services and prevent overlap. Oregon prekindergartens shall
also work with local organizations such as local education
associations serving young children and make the maximum use of
local resources.
  (5) Oregon prekindergartens shall coordinate services with
other services provided through the Oregon Early Learning System.
The coordination of services shall be consistent with federal and
state law.
  SECTION 7. ORS 329.183 is amended to read:
  329.183. (1) The Prekindergarten Program Trust Fund is
established as a fund in the State Treasury, separate and
distinct from the General Fund. Interest earned by the trust fund
shall be credited to the trust fund. The primary purpose of the
trust fund is to assist eligible children with comprehensive
services including educational, social, health and nutritional
development to enhance their chances for success in school and
life. For this purpose, the trust fund is continuously
appropriated to the
  { - Department of Education - }   { + Early Learning
Division + } for the Oregon prekindergarten program described in
ORS 329.170 to 329.200.
  (2) The   { - department - }   { + division + } may solicit and
accept money in the form of gifts, contributions and grants to be
deposited in the trust fund. Except as provided in ORS 329.185,
the acceptance of federal grants for purposes of ORS 329.170 to
329.200 does not commit state funds nor place an obligation upon
the Legislative Assembly to continue the purposes for which the
federal funds are made available.
  (3) The trust fund may be listed, if otherwise qualified, on
the Oregon income tax return for checkoff pursuant to application
made to the Oregon Charitable Checkoff Commission under ORS

Enrolled House Bill 3234 (HB 3234-B)                       Page 5

305.690 to 305.753 by the   { - department - }  { +
division + }.
  SECTION 8. ORS 329.185 is amended to read:
  329.185. When the federal Head Start program provides funding
for programs for eligible children at or greater than the
1990-1991 per child level, eligibility for the state funded
Oregon prekindergarten program shall be expanded to include
programs for children whose family income exceeds the federal
Head Start limits or who are in an underserved or unserved age
category. After determining the increase in income limits or age
level that would make children most in need of state programs
eligible for them, the   { - State Board of Education - }
 { + Early Learning Division + } may direct expenditure of any
unexpended or unobligated funds appropriated for the biennium for
eligible children to be expended for the additional children
considered to be most in need. In the following biennium, the
 { - State Board of Education - }   { + Early Learning
Division + } shall include the cost of any added program for the
children most in need in its biennial budget.
  SECTION 9. ORS 329.190, as amended by section 40, chapter 37,
Oregon Laws 2012, is amended to read:
  329.190. The   { - Department of Education - }   { + Early
Learning Council + } shall establish an advisory committee
composed of interested parents and representatives from the
health care profession, early childhood education and development
staff preparation programs, Oregon Head Start Association, school
districts, community colleges, Early Intervention Council, child
care and other organizations. The purpose of the advisory
committee is to provide advice to   { - the department and - }
the Early Learning Council on matters related to the Oregon
prekindergarten program.
  SECTION 10. ORS 329.195, as amended by section 18, chapter 37,
Oregon Laws 2012, is amended to read:
  329.195. (1)(a) The   { - State Board of Education - }
 { + Early Learning Council, acting as the state advisory council
for purposes of the federal Head Start Act, + } shall adopt rules
for the establishment of the Oregon prekindergarten program.
  (b) Rules adopted under this section specifically shall
require:
  (A) Performance standards and operating standards that are at a
level no less than the level required under the federal Head
Start program guidelines.
  (B) Processes and procedures for recompetition that are
substantially similar to the processes and procedures required
under the rules and guidelines adopted under the federal Head
Start Act.
  (c) Federal Head Start program guidelines shall be considered
as guidelines for the Oregon prekindergarten program.
  (2) In developing rules for the Oregon prekindergarten program,
the   { - board - }   { + council + } shall consult with the
advisory committee established under ORS 329.190 and shall
consider such factors as coordination with existing programs, the
preparation necessary for instructors, qualifications of
instructors, training of staff, adequate space and equipment and
special transportation needs.
  (3) The   { - Department of Education - }   { + Early Learning
Division + } shall review applications for the Oregon
prekindergarten program received and designate those programs as
eligible to commence operation by July 1 of each year. When
approving grant applications, to the extent practicable, the

Enrolled House Bill 3234 (HB 3234-B)                       Page 6

 { - board - }   { + council + } shall distribute funds
regionally based on percentages of unmet needs as identified in
the voluntary local early childhood system plans that are part of
the local coordinated comprehensive plans developed under ORS
417.775 for the county or region.
  SECTION 11. ORS 329.195, as amended by sections 18 and 88,
chapter 37, Oregon Laws 2012, is amended to read:
  329.195. (1)(a) The   { - State Board of Education - }
 { + Early Learning Council, acting as the state advisory council
for purposes of the federal Head Start Act, + } shall adopt rules
for the establishment of the Oregon prekindergarten program.
  (b) Rules adopted under this section specifically shall
require:
  (A) Performance standards and operating standards that are at a
level no less than the level required under the federal Head
Start program guidelines.
  (B) Processes and procedures for recompetition that are
substantially similar to the processes and procedures required
under the rules and guidelines adopted under the federal Head
Start Act.
  (c) Federal Head Start program guidelines shall be considered
as guidelines for the Oregon prekindergarten program.
  (2) In developing rules for the Oregon prekindergarten program,
the   { - board - }   { + council + } shall consult with the
advisory committee established under ORS 329.190 and shall
consider such factors as coordination with existing programs, the
preparation necessary for instructors, qualifications of
instructors, training of staff, adequate space and equipment and
special transportation needs.
  (3) The   { - Department of Education - }   { + Early Learning
Division + } shall review applications for the Oregon
prekindergarten program received and designate those programs as
eligible to commence operation by July 1 of each year. When
approving grant applications, to the extent practicable, the
 { - board - }   { + council + } shall distribute funds
regionally based on percentages of unmet needs for the county or
region.
  SECTION 12. ORS 329.200 is amended to read:
  329.200. (1) The Superintendent of Public Instruction shall
report to the Legislative Assembly on the merits of continuing
and expanding the Oregon prekindergarten program or instituting
other means of providing early childhood development assistance.
  (2) The superintendent's report shall include specific
recommendations on at least the following issues:
  (a) The relationship of the state-funded Oregon prekindergarten
program with the common school system;
  (b) The types of children and their needs that the program
should serve;
  (c) The appropriate level of state support for implementing the
program for all eligible children, including related projects to
prepare instructors and provide facilities, equipment and
transportation;
  (d) The state administrative structure necessary to implement
the program; and
  (e) Licensing or endorsement of early childhood teachers.
  (3) The   { - Department of Education - }   { + Early Learning
Division + } shall examine, monitor and assess the effectiveness
of the Oregon prekindergarten program. The superintendent shall
make biennial reports to the Legislative Assembly on the
effectiveness of the program.

Enrolled House Bill 3234 (HB 3234-B)                       Page 7

   { +  NOTE: + } Sections 13 through 18 were deleted by
amendment.  Subsequent sections were not renumbered.
  SECTION 19. Section 10, chapter 37, Oregon Laws 2012, is
amended to read:
   { +  Sec. 10. + } (1) The Early Learning   { - Council - }
 { + Division + } Fund is established in the State Treasury,
separate and distinct from the General Fund. Interest earned by
the Early Learning   { - Council - }  { +  Division + } Fund
shall be credited to the fund.
  (2) Moneys in the Early Learning   { - Council - }
 { + Division + } Fund consist of:
  (a) Amounts donated to the fund;
  (b) Moneys transferred to the fund from the federal government,
state agencies and local governments;
  (c) Amounts appropriated or otherwise transferred to the fund
by the Legislative Assembly;
  (d) Investment earnings received on moneys in the fund; and
  (e) Other amounts deposited in the fund from any source.
  (3) Moneys in the fund are continuously appropriated to the
  { - Early Learning Council established in section 4, chapter
519, Oregon Laws 2011, - }   { + Department of Education  + }for
the purpose of fulfilling the   { - council's - }  duties,
functions and powers { +  of the Early Learning Division + }.
  (4) The   { - council - }   { + department + } may establish
accounts and subaccounts within the fund when the
 { - council - }   { + department + } determines that accounts or
subaccounts are necessary or desirable and may credit any
interest or income derived from moneys in the fund to any account
or subaccount in the fund.
  SECTION 20.  { + (1) The amendments to section 10, chapter 37,
Oregon Laws 2012, by section 19 of this 2013 Act are intended to
change the name of the 'Early Learning Council Fund' to the '
Early Learning Division Fund.  '
  (2) For the purpose of harmonizing and clarifying statutory
law, the Legislative Counsel may substitute for words designating
the 'Early Learning Council Fund,' wherever they occur in
statutory law, other words designating the 'Early Learning
Division Fund.' + }
  SECTION 21. ORS 131A.360, as amended by section 33, chapter 37,
Oregon Laws 2012, and section 18, chapter 97, Oregon Laws 2012,
is amended to read:
  131A.360. (1) The provisions of this section apply only to a
forfeiting agency other than the state, and apply only to
forfeiture proceeds arising out of prohibited conduct as defined
by ORS 131A.005 (12)(a).
  (2) If the forfeiting agency is not a county, the forfeiting
agency shall enter into an agreement, under ORS chapter 190, with
the county in which the property was seized to provide a portion
of the forfeiture proceeds to the county.
  (3) After entry of a judgment of forfeiture, a forfeiting
agency shall first pay from the forfeiture proceeds the costs
incurred by seizing and forfeiting agencies in investigating and
prosecuting the case, including costs, disbursements and attorney
fees as defined in ORCP 68 A, special expenses such as the
provision of currency for undercover law enforcement operations,
the cost of disabling a hidden compartment in a motor vehicle and
the expenses of maintaining the seized property. The forfeiting
agency may not pay expenditures made in connection with the
ordinary maintenance and operation of a seizing or forfeiting
agency under this subsection.

Enrolled House Bill 3234 (HB 3234-B)                       Page 8

  (4) After payment of costs under subsection (3) of this
section, the forfeiting agency shall:
  (a) Deduct an amount equal to five percent of the forfeiture
proceeds and deposit that amount in the Illegal Drug Cleanup Fund
established by ORS 475.495 for the purposes specified in ORS
475.495 (5) and (6);
  (b) Deduct an amount equal to 2.5 percent of the forfeiture
proceeds and deposit that amount in the Asset Forfeiture
Oversight Account;
  (c) Deduct an amount equal to 20 percent of the forfeiture
proceeds and deposit that amount in the Oregon Criminal Justice
Commission Account established under ORS 137.662 for disbursement
to drug court programs as described in ORS 3.450; and
  (d) Deduct an amount equal to 10 percent of the forfeiture
proceeds and deposit that amount in the Early Learning
 { - Council - }  { + Division + } Fund established in section
10, chapter 37, Oregon Laws 2012, for disbursement to relief
nurseries as described in ORS 417.788.
  (5) If the forfeiting agency has entered into an agreement with
a county under subsection (2) of this section, after paying costs
under subsection (3) of this section and making the deductions
required by subsection (4) of this section, the forfeiting agency
shall pay the county the amounts required by the agreement.
  (6) After making all payments and deductions required by
subsections (3), (4) and (5) of this section, the forfeiting
agency may use the remaining forfeiture proceeds, including
amounts received by a county under subsection (5) of this section
or by any other public body under an intergovernmental agreement
entered into under ORS 131A.355, only for:
  (a) The purchase of equipment necessary for the enforcement of
laws relating to the unlawful delivery, distribution, manufacture
or possession of controlled substances;
  (b) Currency for undercover law enforcement operations;
  (c) Drug awareness and drug education programs offered in
middle schools and high schools;
  (d) The expenses of a forfeiting agency in operating joint
narcotic operations with other forfeiting agencies pursuant to
the terms of an intergovernmental agreement, including paying for
rental space, utilities and office equipment;
  (e) Expenses of a district attorney in criminal prosecutions
for unlawful delivery, distribution, manufacture or possession of
controlled substances, as determined through intergovernmental
agreement between the forfeiting agency and the district
attorney;
  (f) Drug treatment and programs that support drug treatment;
and
  (g) A CASA Volunteer Program as defined in section 3, chapter
97, Oregon Laws 2012.
  (7) Notwithstanding subsection (6) of this section, growing
equipment and laboratory equipment seized by a forfeiting agency
that was used, or intended for use, in the manufacturing of
controlled substances may be donated to a public school,
community college or institution of higher education.
  (8) A forfeiting agency shall sell as much property as may be
needed to make the distributions required by this section.
Distributions required under subsection (4) of this section must
be made once every three months and are due within 20 days of the
end of each quarter. No interest shall accrue on amounts that are
paid within the period specified by this subsection.

Enrolled House Bill 3234 (HB 3234-B)                       Page 9

  SECTION 22. ORS 131A.365, as amended by section 34, chapter 37,
Oregon Laws 2012, is amended to read:
  131A.365. (1) The provisions of this section apply only when
the forfeiting agency is the state, and apply only to forfeiture
proceeds arising out of prohibited conduct as defined by ORS
131A.005 (12)(a).
  (2) After entry of a judgment of forfeiture, a forfeiting
agency shall first pay from the forfeiture proceeds the costs
incurred by seizing and forfeiting agencies in investigating and
prosecuting the case, including costs, disbursements and attorney
fees as defined in ORCP 68 A, special expenses such as the
provision of currency for undercover law enforcement operations,
the cost of disabling a hidden compartment in a motor vehicle and
the expenses of maintaining the seized property. The forfeiting
agency may not pay expenditures made in connection with the
ordinary maintenance and operation of a seizing or forfeiting
agency under this subsection. Any amount paid to or retained by
the Department of Justice under this subsection shall be
deposited in the Criminal Justice Revolving Account in the State
Treasury.  Any amount paid to or retained by the Oregon State
Police under this subsection shall be deposited in the State
Police Account.
  (3) After payment of costs under subsection (2) of this
section, the forfeiting agency shall:
  (a) Deduct an amount equal to 10 percent of the forfeiture
proceeds and deposit that amount in the Illegal Drug Cleanup Fund
established by ORS 475.495 for the purposes specified in ORS
475.495 (5) and (6);
  (b) Deduct an amount equal to three percent of the forfeiture
proceeds, not to exceed $50,000 in a biennium, and deposit that
amount in the Asset Forfeiture Oversight Account;
  (c) Deduct an amount equal to 20 percent of the forfeiture
proceeds and deposit that amount in the Oregon Criminal Justice
Commission Account established under ORS 137.662 for disbursement
to drug court programs as described in ORS 3.450; and
  (d) Deduct an amount equal to 10 percent of the forfeiture
proceeds and deposit that amount in the Early Learning
 { - Council - }  { + Division + } Fund established in section
10, chapter 37, Oregon Laws 2012, for disbursement to relief
nurseries as described in ORS 417.788.
  (4) If the forfeiting agency has entered into an
intergovernmental agreement with another public body under ORS
131A.355, or has entered into an agreement with any other law
enforcement agency of the state relating to distribution of
forfeiture proceeds, after paying costs under subsection (2) of
this section and making the deductions required by subsection (3)
of this section, the forfeiting agency shall pay an equitable
portion of the forfeiture proceeds to each agency participating
in the seizure or forfeiture as provided by the agreement.
  (5) After making all payments and deductions required by
subsections (2), (3) and (4) of this section, the forfeiting
agency shall distribute the remaining forfeiture proceeds as
follows:
  (a) If no law enforcement agency other than the Department of
Justice participated in the seizure or forfeiture, the remaining
forfeiture proceeds, and forfeiture proceeds received by the
Department of Justice under subsection (4) of this section, shall
be divided between the Criminal Justice Revolving Account and the
Special Crime and Forfeiture Account according to the following
schedule:

Enrolled House Bill 3234 (HB 3234-B)                      Page 10

  (A) One hundred percent of the first $200,000 accumulated shall
be deposited in the Criminal Justice Revolving Account.
  (B) Seventy-five percent of the next $200,000 shall be
deposited in the Criminal Justice Revolving Account and the
balance in the Special Crime and Forfeiture Account.
  (C) Fifty percent of the next $200,000 shall be deposited in
the Criminal Justice Revolving Account and the balance in the
Special Crime and Forfeiture Account.
  (D) Twenty-five percent of the next $200,000 shall be deposited
in the Criminal Justice Revolving Account and the balance in the
Special Crime and Forfeiture Account.
  (E) One hundred percent of all additional sums shall be
deposited in the Special Crime and Forfeiture Account.
  (b) If no law enforcement agency other than the Department of
State Police participated in the seizure or forfeiture, the
remaining proceeds, and proceeds received by the Department of
State Police under subsection (4) of this section, shall be
divided between the State Police Account and the Special Crime
and Forfeiture Account according to the following schedule:
  (A) One hundred percent of the first $600,000 accumulated shall
be deposited in the State Police Account.
  (B) Seventy-five percent of the next $300,000 shall be
deposited in the State Police Account and the balance in the
Special Crime and Forfeiture Account.
  (C) Fifty percent of the next $200,000 shall be deposited in
the State Police Account and the balance in the Special Crime and
Forfeiture Account.
  (D) Twenty-five percent of the next $200,000 shall be deposited
in the State Police Account and the balance in the Special Crime
and Forfeiture Account.
  (E) One hundred percent of all additional sums shall be
deposited in the Special Crime and Forfeiture Account.
  (6) Forfeiture proceeds distributed under subsection (5) of
this section may be used only for:
  (a) The purchase of equipment necessary for the enforcement of
laws relating to the unlawful delivery, distribution, manufacture
or possession of controlled substances;
  (b) Currency for undercover law enforcement operations;
  (c) Drug awareness and drug education programs offered in
middle schools and high schools; and
  (d) The expenses of a forfeiting agency in operating joint
narcotic operations with other forfeiting agencies pursuant to
the terms of an intergovernmental agreement, including paying for
rental space, utilities and office equipment.
  (7) A forfeiting agency shall sell as much property as may be
needed to make the distributions required by this section.
Distributions required under subsection (3) of this section must
be made once every three months and are due within 20 days of the
end of each quarter. No interest shall accrue on amounts that are
paid within the period specified by this subsection.
  SECTION 23. Section 68b, chapter 37, Oregon Laws 2012, is
amended to read:
   { +  Sec. 68b. + } The Keep Kids Safe Registration Plate
Account is established within the Early Learning
 { - Council - }   { + Division + } Fund. All moneys received by
the Early Learning Council from the sale of Keep Kids Safe
registration plates shall be deposited into the account and are
continuously appropriated to the council to be distributed to
counties as provided in ORS 805.205.

Enrolled House Bill 3234 (HB 3234-B)                      Page 11

  SECTION 24. ORS 329.156, as amended by section 39, chapter 37,
Oregon Laws 2012, is amended to read:
  329.156. (1) The Department of Education and the Department of
Human Services shall support the development and implementation
of a network of community learning centers across the state.
  (2) Within available funding, the Early Learning
 { - Council - }  { +  Division + }, in conjunction with local
commissions on children and families or other organizations that
provide training and technical assistance to schools or community
programs, shall provide training and technical assistance to
promote the development and implementation of community learning
centers. To the extent possible, the   { - council - }
 { + division + } shall use voluntary organizations to provide
the training and technical assistance.
  (3) If a community learning center is created by a school
district, the school district shall coordinate with the local
commission on children and families to ensure that the community
learning center is referenced in the local coordinated
comprehensive plan, implemented pursuant to ORS 417.775.
  (4) Community learning centers created pursuant to this section
shall:
  (a) Be located in or near a school or a cluster of schools;
  (b) Involve parents in the care and education of their
children;
  (c) Involve the local community in developing and overseeing
community learning center programs;
  (d) Incorporate the principles of family support services
described in ORS 329.150 and 417.342;
  (e) In partnership with the local school district board, create
or designate an advisory committee to offer guidance on program
development and implementation, with membership that is
representative of the diversity of community interests, including
representatives of businesses, schools, faith-based
organizations, social service and health care agencies, cultural
groups, recreation groups, municipal governments, community
colleges, libraries, child care providers, parents and youths;
  (f) Conduct an assessment of strengths, needs and assets within
the community to be served by the community learning center that
identifies services being delivered in the community, defines and
clarifies services that are missing or overlapping and builds on
any existing community assessments; and
  (g) Coordinate the community assessment with the local
commission on children and families.
  (5) The Department of Human Services and the Department of
Education shall provide technical assistance to community
learning centers to develop policies ensuring that confidential
information is disclosed only in accordance with state and
federal laws.
  SECTION 25. ORS 329.156, as amended by sections 39 and 86,
chapter 37, Oregon Laws 2012, is amended to read:
  329.156. (1) The Department of Education and the Department of
Human Services shall support the development and implementation
of a network of community learning centers across the state.
  (2) Within available funding, the Early Learning
 { - Council - }  { +  Division + }, in conjunction with other
organizations that provide training and technical assistance to
schools or community programs, shall provide training and
technical assistance to promote the development and
implementation of community learning centers. To the extent
possible, the   { - council - }   { + division + } shall use

Enrolled House Bill 3234 (HB 3234-B)                      Page 12

voluntary organizations to provide the training and technical
assistance.
  (3) Community learning centers created pursuant to this section
shall:
  (a) Be located in or near a school or a cluster of schools;
  (b) Involve parents in the care and education of their
children;
  (c) Involve the local community in developing and overseeing
community learning center programs;
  (d) Incorporate the principles of family support services
described in ORS 329.150 and 417.342;
  (e) In partnership with the local school district board, create
or designate an advisory committee to offer guidance on program
development and implementation, with membership that is
representative of the diversity of community interests, including
representatives of businesses, schools, faith-based
organizations, social service and health care agencies, cultural
groups, recreation groups, municipal governments, community
colleges, libraries, child care providers, parents and youths;
and
  (f) Conduct an assessment of strengths, needs and assets within
the community to be served by the community learning center that
identifies services being delivered in the community, defines and
clarifies services that are missing or overlapping and builds on
any existing community assessments.
  (4) The Department of Human Services and the Department of
Education shall provide technical assistance to community
learning centers to develop policies ensuring that confidential
information is disclosed only in accordance with state and
federal laws.
  SECTION 26. ORS 417.787, as amended by section 49, chapter 37,
Oregon Laws 2012, is amended to read:
  417.787. The Early Learning   { - Council - }
 { + Division + } shall:
  (1) Determine when funds for services for children and families
not described in ORS 409.010 (2)(a) and 430.215 are to be
transferred to the local commission. If a local commission with
an approved local coordinated comprehensive plan requests a
transfer, the Early Learning   { - Council - }   { + Division + }
shall determine whether funds can be transferred.
  (2) Determine which, if any, services for children and families
that are not described in ORS 409.010 (2)(a) and 430.215 are not
to be transferred to local commissions but are to remain state
responsibilities.
  SECTION 27. ORS 417.788, as amended by sections 50 and 92,
chapter 37, Oregon Laws 2012, is amended to read:
  417.788. (1) The Early Learning   { - Council - }
 { + Division + } shall support relief nurseries statewide as
funding becomes available.  The   { - council - }
 { + division + } may encourage communities to establish relief
nurseries for young children who are at risk and their families.
Adjoining counties may choose to establish regional relief
nurseries. The relief nurseries shall:
  (a) Be consistent with the voluntary early learning system
overseen by the Early Learning Council; and
  (b) Involve the parents of children served by the relief
nurseries.
  (2) Programs at the relief nurseries shall include:
  (a) Therapeutic early childhood education programs; and
  (b) Parent education, training and support.

Enrolled House Bill 3234 (HB 3234-B)                      Page 13

  (3) Each relief nursery that receives state funding shall have
financial support from the community that is at least equal to 25
percent of any state allocation.
  SECTION 28.  { + The Early Learning Division shall enter into
contracts with relief nurseries beginning July 1, 2013, in order
to ensure service continuity and efficient delivery of contracted
services. + }
  SECTION 29. ORS 417.790, as amended by section 51, chapter 37,
Oregon Laws 2012, is amended to read:
  417.790. The Early Learning   { - Council - }
 { + Division + } shall:
  (1) Make grants to local commissions on children and families
to fund research-based services and initiatives to improve
outcomes for children, youth or families. The   { - council - }
 { + division + } shall assist counties in the implementation of
community services that are efficient, accountable, coordinated
and readily available. Grants for services and initiatives to
support children, youth or families shall be used at the local
level according to the county's local coordinated comprehensive
plan.  These services shall be provided in accordance with ORS
417.715 and 417.720.
  (2) Make Great Start grants to local commissions on children
and families to fund community-based programs for children zero
through six years of age. A county or region shall use Great
Start grant funds to provide research-based early childhood
programs in community settings and to provide services that have
proven to be successful and that meet the needs of the community
as described in the county's local coordinated comprehensive
plan. These services shall be provided in accordance with ORS
417.728.
  SECTION 30. ORS 417.790, as amended by sections 51 and 93,
chapter 37, Oregon Laws 2012, is amended to read:
  417.790. The Early Learning   { - Council - }
 { + Division + } shall:
  (1) Make grants to fund research-based services and initiatives
to improve outcomes for children, youth or families.  The
 { - council - }   { + division + } and community-based
coordinators of early learning services shall assist counties in
the implementation of community services that are efficient,
accountable, coordinated and readily available. These services
shall be provided in accordance with ORS 417.715 and 417.720.
  (2) Make Great Start grants to fund community-based programs
for children zero through six years of age. A county or region
shall use Great Start grant funds to provide research-based early
childhood programs in community settings and to provide services
that have proven to be successful and that meet the needs of the
community. These services shall be provided in accordance with
ORS 417.728.
  SECTION 31. ORS 417.793, as amended by section 52, chapter 37,
Oregon Laws 2012, is amended to read:
  417.793. The Early Learning   { - Council - }
 { + Division + } shall support parents-as-teachers programs
statewide through local commissions on children and families as
funding becomes available. If a local commission offers a
program, the program shall be part of a comprehensive,
research-based approach to parent education and support. The
program shall be consistent with the voluntary early childhood
system plan that is part of the local coordinated comprehensive
plan.

Enrolled House Bill 3234 (HB 3234-B)                      Page 14

  SECTION 32. ORS 417.793, as amended by sections 52 and 94,
chapter 37, Oregon Laws 2012, is amended to read:
  417.793. The Early Learning   { - Council - }
 { + Division + } shall support parents-as-teachers programs
statewide as funding becomes available. If a program is offered,
the program shall be part of a comprehensive, research-based
approach to parent education and support. The program shall be
consistent with the voluntary early learning system plan overseen
by the Early Learning Council.
  SECTION 32a. ORS 417.795, as amended by section 53, chapter 37,
Oregon Laws 2012, is amended to read:
  417.795. (1) The Early Learning   { - Council - }
 { + Division + } shall establish Healthy Start Family Support
Services programs through contracts entered into by local
commissions on children and families in all counties of this
state as funding becomes available.
  (2) These programs shall be nonstigmatizing, voluntary and
designed to achieve the appropriate early childhood benchmarks
and shall:
  (a) Ensure that express written consent is obtained from the
family prior to any release of information that is protected by
federal or state law and before the family receives any services;
  (b) Ensure that services are voluntary and that, if a family
chooses not to accept services or ends services, there are no
adverse consequences for those decisions;
  (c) Offer a voluntary comprehensive screening and risk
assessment of all newly born children and their families;
  (d) Ensure that the disclosure of information gathered in
conjunction with the voluntary comprehensive screening and risk
assessment of children and their families is limited pursuant to
ORS 417.728 (7) to the following purposes:
  (A) Providing services under the programs to children and
families who give their express written consent;
  (B) Providing statistical data that are not personally
identifiable;
  (C) Accomplishing other purposes for which the family has given
express written consent; and
  (D) Meeting the requirements of mandatory state and federal
disclosure laws;
  (e) Ensure that risk factors used in the risk assessment are
limited to those risk factors that have been shown by research to
be associated with poor outcomes for children and families;
  (f) Identify, as early as possible, families that would benefit
most from the programs;
  (g) Provide parenting education and support services, including
but not limited to community-based home visiting services and
primary health care services;
  (h) Provide other supports, including but not limited to
referral to and linking of community and public services for
children and families such as mental health services, alcohol and
drug treatment programs that meet the standards promulgated by
the Oregon Health Authority under ORS 430.357, child care, food,
housing and transportation;
  (i) Coordinate services for children consistent with the
voluntary local early childhood system plan developed pursuant to
ORS 417.777;
  (j) Provide follow-up services and supports from zero through
six years of age;
  (k) Integrate data with any common data system for early
childhood programs;

Enrolled House Bill 3234 (HB 3234-B)                      Page 15

  (L) Be included in a statewide independent evaluation to
document:
  (A) Level of screening and assessment;
  (B) Incidence of child abuse and neglect;
  (C) Change in parenting skills; and
  (D) Rate of child development;
  (m) Be included in a statewide training program in the dynamics
of the skills needed to provide early childhood services, such as
assessment and home visiting; and
  (n) Meet voluntary statewide and local early childhood system
quality assurance and quality improvement standards.
  (3) The Healthy Start Family Support Services programs, local
health departments and other providers of prenatal and perinatal
services in counties, as part of the voluntary local early
childhood system, shall:
  (a) Identify existing services and describe and prioritize
additional services necessary for a voluntary home visit system;
  (b) Build on existing programs;
  (c) Maximize the use of volunteers and other community
resources that support all families;
  (d) Target, at a minimum, all first birth families in the
county; and
  (e) Ensure that home visiting services provided by local health
departments for children and pregnant women support and are
coordinated with local Healthy Start Family Support Services
programs.
  (4) Through a Healthy Start Family Support Services program, a
trained family support worker or nurse shall be assigned to each
family assessed as at risk that consents to receive services
through the worker or nurse. The worker or nurse shall conduct
home visits and assist the family in gaining access to needed
services.
  (5) The services required by this section shall be provided by
hospitals, public or private entities or organizations, or any
combination thereof, capable of providing all or part of the
family risk assessment and the follow-up services. In granting a
contract, a local commission may utilize collaborative
contracting or requests for proposals and shall take into
consideration the most effective and consistent service delivery
system.
  (6) The family risk assessment and follow-up services for
families at risk shall be provided by trained family support
workers or nurses organized in teams supervised by a manager and
including a family services coordinator who is available to
consult.
  (7) Each Healthy Start Family Support Services program shall
adopt disciplinary procedures for family support workers, nurses
and other employees of the program. The procedures shall provide
appropriate disciplinary actions for family support workers,
nurses and other employees who violate federal or state law or
the policies of the program.
  SECTION 32b. ORS 417.795, as amended by sections 53 and 95,
chapter 37, Oregon Laws 2012, is amended to read:
  417.795. (1) The Early Learning   { - Council - }
 { + Division + } shall establish Healthy Start Family Support
Services programs in all counties of this state as funding
becomes available.
  (2) These programs shall be nonstigmatizing, voluntary and
designed to achieve the appropriate early childhood benchmarks
and shall:

Enrolled House Bill 3234 (HB 3234-B)                      Page 16

  (a) Ensure that express written consent is obtained from the
family prior to any release of information that is protected by
federal or state law and before the family receives any services;
  (b) Ensure that services are voluntary and that, if a family
chooses not to accept services or ends services, there are no
adverse consequences for those decisions;
  (c) Offer a voluntary comprehensive screening and risk
assessment of all newly born children and their families;
  (d) Ensure that the disclosure of information gathered in
conjunction with the voluntary comprehensive screening and risk
assessment of children and their families is limited pursuant to
ORS 417.728 (7) to the following purposes:
  (A) Providing services under the programs to children and
families who give their express written consent;
  (B) Providing statistical data that are not personally
identifiable;
  (C) Accomplishing other purposes for which the family has given
express written consent; and
  (D) Meeting the requirements of mandatory state and federal
disclosure laws;
  (e) Ensure that risk factors used in the risk assessment are
limited to those risk factors that have been shown by research to
be associated with poor outcomes for children and families;
  (f) Identify, as early as possible, families that would benefit
most from the programs;
  (g) Provide parenting education and support services, including
but not limited to community-based home visiting services and
primary health care services;
  (h) Provide other supports, including but not limited to
referral to and linking of community and public services for
children and families such as mental health services, alcohol and
drug treatment programs that meet the standards promulgated by
the Oregon Health Authority under ORS 430.357, child care, food,
housing and transportation;
  (i) Coordinate services for children consistent with other
services provided through the Oregon Early Learning System;
  (j) Provide follow-up services and supports from zero through
six years of age;
  (k) Integrate data with any common data system for early
childhood programs;
  (L) Be included in a statewide independent evaluation to
document:
  (A) Level of screening and assessment;
  (B) Incidence of child abuse and neglect;
  (C) Change in parenting skills; and
  (D) Rate of child development;
  (m) Be included in a statewide training program in the dynamics
of the skills needed to provide early childhood services, such as
assessment and home visiting; and
  (n) Meet statewide quality assurance and quality improvement
standards.
  (3) The Healthy Start Family Support Services programs, local
health departments and other providers of prenatal and perinatal
services in counties shall:
  (a) Identify existing services and describe and prioritize
additional services necessary for a voluntary home visit system;
  (b) Build on existing programs;
  (c) Maximize the use of volunteers and other community
resources that support all families;

Enrolled House Bill 3234 (HB 3234-B)                      Page 17

  (d) Target, at a minimum, all first birth families in the
county; and
  (e) Ensure that home visiting services provided by local health
departments for children and pregnant women support and are
coordinated with local Healthy Start Family Support Services
programs.
  (4) Through a Healthy Start Family Support Services program, a
trained family support worker or nurse shall be assigned to each
family assessed as at risk that consents to receive services
through the worker or nurse. The worker or nurse shall conduct
home visits and assist the family in gaining access to needed
services.
  (5) The services required by this section shall be provided by
hospitals, public or private entities or organizations, or any
combination thereof, capable of providing all or part of the
family risk assessment and the follow-up services. In granting a
contract, collaborative contracting or requests for proposals may
be used and must include the most effective and consistent
service delivery system.
  (6) The family risk assessment and follow-up services for
families at risk shall be provided by trained family support
workers or nurses organized in teams supervised by a manager and
including a family services coordinator who is available to
consult.
  (7) Each Healthy Start Family Support Services program shall
adopt disciplinary procedures for family support workers, nurses
and other employees of the program. The procedures shall provide
appropriate disciplinary actions for family support workers,
nurses and other employees who violate federal or state law or
the policies of the program.
  SECTION 33. ORS 418.975, as amended by section 58, chapter 37,
Oregon Laws 2012, is amended to read:
  418.975. As used in ORS 418.975 to 418.985:
  (1) 'Cultural competence' means accepting and respecting
diversity and differences in a continuous process of
self-assessment and reflection on one's personal and
organizational perceptions of the dynamics of culture.
  (2) 'Family' includes, with respect to a youth:
  (a) A biological or legal parent;
  (b) A sibling;
  (c) An individual related by blood, marriage or adoption;
  (d) A foster parent;
  (e) A legal guardian;
  (f) A caregiver;
  (g) An individual with a significant social relationship with
the youth; and
  (h) Any person who provides natural, formal or informal support
to the youth that the youth identifies as important.
  (3) 'Family-run organization' means a private nonprofit entity
organized for the purpose of serving families with a youth who
has a serious emotional disorder. The entity must:
  (a) Have a governing board in which a majority of the members
are family members of a youth with a serious emotional disorder;
and
  (b) Give a preference to family members in hiring decisions for
the entity.
  (4) 'Identified population' means youth who have or are at risk
of developing emotional, behavioral or substance use related
needs, and who are involved with two or more systems of care.

Enrolled House Bill 3234 (HB 3234-B)                      Page 18

  (5) 'Partner agency' includes the Department of Education,
Oregon Youth Authority, Department of Human Services, Early
Learning   { - Council - }  { +  Division + }, Youth Development
Council, Oregon Health Authority and other appropriate agencies
involved in the system of care.
  (6) 'Services and supports' means public, private and community
resources that assist youth in the achievement of positive
outcomes.
  (7) 'System of care' means a coordinated network of services
including education, child welfare, public health, primary care,
pediatric care, juvenile justice, mental health treatment,
substance use treatment, developmental disability services and
any other services and supports to the identified population that
integrates care planning and management across multiple levels,
that is culturally and linguistically competent, that is designed
to build meaningful partnerships with families and youth in the
delivery and management of services and the development of policy
and that has a supportive policy and management infrastructure.
  (8) 'Wraparound' means a definable, team-based planning process
involving a youth and the youth's family that results in a unique
set of community services and services and supports
individualized for that youth and family to achieve a set of
positive outcomes.
  (9) 'Youth' means an individual 18 years of age or younger.
  SECTION 34. ORS 458.525, as amended by section 65, chapter 37,
Oregon Laws 2012, is amended to read:
  458.525. (1) The Interagency Council on Hunger and Homelessness
is established. The Director of the Housing and Community
Services Department shall chair the council. In addition to the
director, the council shall consist of 15 members as follows:
  (a) One member representing each of the following:
  (A) The Housing and Community Services Department.
  (B) The Department of Corrections.
  (C) The Oregon Business Development Department.
  (D) The Early Learning   { - Council - }  { +  Division + }.
  (E) The Department of Education.
  (F) The State Department of Agriculture.
  (G) The Employment Department.
  (H) The Department of Veterans' Affairs.
  (I) The Department of Transportation.
  (J) The Oregon Youth Authority.
  (K) The Department of Community Colleges and Workforce
Development.
  (L) The Department of Justice.
  (M) The Oregon Health Authority.
  (b) Two members representing the Department of Human Services.
Of the two members representing that department:
  (A) One shall have expertise on issues affecting services to
adults and families.
  (B) One shall have expertise on issues affecting services to
seniors and to persons with disabilities.
  (2) Each council member must be the administrative head of the
listed agency or an employee of that agency who is designated by
the administrative head and who has an agency policy-making role
affecting hunger, food programs, nutrition, homelessness or
related issues.
  (3) The Hunger Relief Task Force shall adopt recommendations
and proposals as the task force deems appropriate. The council
shall be responsible for receiving the recommendations and
proposals adopted by the task force and the recommendations of

Enrolled House Bill 3234 (HB 3234-B)                      Page 19

any state body relating to the issue of homelessness, and for
forwarding the recommendations and proposals to state agencies or
other public or private organizations for action that the council
deems appropriate:
  (a) To ensure the coordination of state agency hunger relief
efforts and homelessness relief efforts;
  (b) To ensure that food and nutrition programs, other hunger
relief efforts and homelessness relief efforts operate
efficiently and effectively;
  (c) To monitor the utilization of federal hunger relief efforts
and homelessness relief efforts and provide outreach to expand
underutilized programs; and
  (d) To encourage the coordination of state and local programs,
public and private antipoverty programs affecting food
distribution and programs for assisting the homeless.
  (4) The Director of the Housing and Community Services
Department, in collaboration with the Director of Human Services,
shall convene council meetings at least quarterly.
  (5) The Director of the Housing and Community Services
Department shall provide the council with staff support the
director deems appropriate, by using Housing and Community
Services Department employees or by contract. The director shall
also provide the council with supplies as the director deems
appropriate.
  SECTION 35. ORS 609.652, as amended by section 66, chapter 37,
Oregon Laws 2012, and section 15, chapter 67, Oregon Laws 2012,
is amended to read:
  609.652. As used in ORS 609.654:
  (1)(a) 'Aggravated animal abuse' means any animal abuse as
described in ORS 167.322.
  (b) 'Aggravated animal abuse' does not include:
  (A) Good animal husbandry, as defined in ORS 167.310; or
  (B) Any exemption listed in ORS 167.335.
  (2) 'Law enforcement agency' means:
  (a) Any city or municipal police department.
  (b) A police department established by a university under ORS
352.383.
  (c) Any county sheriff's office.
  (d) The Oregon State Police.
  (e) A law enforcement division of a county or municipal animal
control agency that employs sworn officers.
  (f) A humane investigation agency as defined in section 1,
chapter 67, Oregon Laws 2012, that employs humane special agents
commissioned under section 1, chapter 67, Oregon Laws 2012.
  (3) 'Public or private official' means:
  (a) A physician, including any intern or resident.
  (b) A dentist.
  (c) A school employee.
  (d) A licensed practical nurse or registered nurse.
  (e) An employee of the Department of Human Services, Oregon
Health Authority, Early Learning   { - Council - }  { +
Division + }, Youth Development Council,   { - Child Care
Division of the Employment Department - }  { +  Office of Child
Care + }, the Oregon Youth Authority, a county health department,
a community mental health program, a community developmental
disabilities program, a county juvenile department, a licensed
child-caring agency or an alcohol and drug treatment program.
  (f) A peace officer.
  (g) A psychologist.
  (h) A member of the clergy.

Enrolled House Bill 3234 (HB 3234-B)                      Page 20

  (i) A regulated social worker.
  (j) An optometrist.
  (k) A chiropractor.
  (L) A certified provider of foster care, or an employee
thereof.
  (m) An attorney.
  (n) A naturopathic physician.
  (o) A licensed professional counselor.
  (p) A licensed marriage and family therapist.
  (q) A firefighter or emergency medical services provider.
  (r) A court appointed special advocate, as defined in ORS
419A.004.
  (s) A child care provider registered or certified under ORS
657A.030 and 657A.250 to 657A.450.
  (t) A member of the Legislative Assembly.

                               { +
STATE INTERAGENCY COORDINATING COUNCIL + }

  SECTION 36.  { + (1) The State Interagency Coordinating Council
shall submit a report to interim legislative committees on
education that provides a recommendation about the appropriate
entity to adopt rules and develop policy related to early
childhood special education and early intervention services.
  (2) When making the recommendation required by subsection (1)
of this section, the council shall:
  (a) Consult with the Superintendent of Public Instruction, the
Early Learning System Director, providers of early childhood
special education and early intervention services, parents of
children with disabilities and other advocacy groups identified
by the council; and
  (b) Ensure that the recommendation complies with federal
special education laws, continuity of program rules and other
safeguards established for programs related to special education
and intervention services.
  (3) If the council recommends that the authority to adopt rules
and develop policy be vested in the State Board of Education, the
council shall recommend methods by which the board shall seek and
incorporate input from other entities providing early learning
services.
  (4) The report required by this section must be submitted no
later than October 1, 2014. + }

                               { +
THE OFFICE OF CHILD CARE + }

  SECTION 37. { +  The duties, functions and powers of the Child
Care Division of the Employment Department are imposed upon,
transferred to and vested in the Early Learning Division of the
Department of Education. + }
  SECTION 37a.  { + (1) The Director of the Employment Department
shall:
  (a) Deliver to the Department of Education all records and
property within the jurisdiction of the director that relate to
the duties, functions and powers transferred by section 37 of
this 2013 Act; and
  (b) Transfer to the Department of Education those employees
engaged primarily in the exercise of the duties, functions and
powers transferred by section 37 of this 2013 Act.

Enrolled House Bill 3234 (HB 3234-B)                      Page 21

  (2) The Superintendent of Public Instruction 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 37 of this 2013 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
Employment Department and the Department of Education relating to
transfers of records, property and employees under this section,
and the Governor's decision is final. + }
  SECTION 37b. { +  (1) The unexpended balances of amounts
authorized to be expended by the Employment Department for the
biennium beginning July 1, 2013, from revenues dedicated,
continuously appropriated, appropriated or otherwise made
available for the purpose of administering and enforcing the
duties, functions and powers transferred by section 37 of this
2013 Act are transferred to and are available for expenditure by
the Department of Education for the biennium beginning July 1,
2013, for the purpose of administering and enforcing the duties,
functions and powers transferred by section 37 of this 2013 Act.
  (2) The expenditure classifications, if any, established by
Acts authorizing or limiting expenditures by the Employment
Department remain applicable to expenditures by the Department of
Education under this section. + }
  SECTION 37c.  { + The transfer of duties, functions and powers
to the Department of Education by section 37 of this 2013 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
Department of Education is substituted for the Employment
Department in the action, proceeding or prosecution. + }
  SECTION 37d.  { + (1) Nothing in sections 37 to 37c of this
2013 Act relieves a person of a liability, duty or obligation
accruing under or with respect to the duties, functions and
powers transferred by section 37 of this 2013 Act. The Department
of Education may undertake the collection or enforcement of any
such liability, duty or obligation.
  (2) The rights and obligations of the Employment Department
legally incurred under contracts, leases and business
transactions executed, entered into or begun before the operative
date of section 37 of this 2013 Act accruing under or with
respect to the duties, functions and powers transferred by
section 37 of this 2013 Act are transferred to the Department of
Education. For the purpose of succession to these rights and
obligations, the Department of Education is a continuation of the
Employment Department and not a new authority. + }
  SECTION 37e.  { + Notwithstanding the transfer of duties,
functions and powers by section 37 of this 2013 Act, the rules of
the Employment Department with respect to such duties, functions
or powers that are in effect on the operative date of section 37
of this 2013 Act continue in effect until superseded or repealed
by rules of the Department of Education or the Early Learning
Council. References in such rules of the Employment Department to
the Employment Department or an officer or employee of the
Employment Department are considered to be references to the
Department of Education or an officer or employee of the
Department of Education. + }
  SECTION 37f.  { + 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

Enrolled House Bill 3234 (HB 3234-B)                      Page 22

of the duties, functions and powers transferred by section 37 of
this 2013 Act, reference is made to the Employment Department, or
an officer or employee of the Employment Department, whose
duties, functions or powers are transferred by section 37 of this
2013 Act, the reference is considered to be a reference to the
Department of Education or an officer or employee of the
Department of Education who by this 2013 Act is charged with
carrying out such duties, functions and powers. + }  { +  + }
  SECTION 38. ORS 657A.010, as amended by section 117, chapter
37, Oregon Laws 2012, is amended to read:
  657A.010. (1) There is established within the   { - Employment
Department a Child Care Division - }  { +  Early Learning
Division the Office of Child Care + }.
  (2) { + (a) + } The  { + Office of + } Child Care
 { - Division - } , as designated by the Governor, shall be
responsible for administering funds received by the State of
Oregon pursuant to the federal Child Care and Development Block
Grant Act of 1990, the Dependent Care Planning and Development
Grant and other federal child care funds and grants received by
the State of Oregon.
   { +  (b) Through the legislative budgeting process, the
Legislative Assembly shall identify the portion of the funds
received by the State of Oregon pursuant to the federal Child
Care and Development Block Grant Act of 1990 to be spent to
provide quality child care, to provide child care subsidies and
for administrative expenditures. The Office of Child Care shall
administer the funds according to the portions identified by the
Legislative Assembly.
  (c) The Office of Child Care shall submit an annual report to
the Legislative Fiscal Office regarding the expenditures of the
funds received by the State of Oregon pursuant to the federal
Child Care and Development Block Grant Act of 1990 and the most
recent estimate of the balance of the funds. + }
  (3) The  { + Office of + } Child Care   { - Division - }  shall
comply with directives of the Early Learning Council established
in section 4, chapter 519, Oregon Laws 2011, in the
 { - division's - }   { + office's + } implementation of the
provisions of ORS 657A.250 to 657A.450.
  (4) There is established in the State Treasury, separate and
distinct from the General Fund, the Child Care Fund. The Child
Care Fund shall consist of moneys collected and received by the
 { +  Office + }  { + of + } Child Care   { - Division - }
pursuant to subsection (2) of this section, ORS 657A.310 and
657A.992 and such moneys as may be otherwise made available by
law. Interest earned on the fund shall be credited to the fund.
The moneys in the Child Care Fund are appropriated continuously
to the  { + Office of + } Child Care   { - Division - } and shall
be used in a manner consistent with the grant of funds or for the
administration of ORS 181.537, 657A.030 and 657A.250 to 657A.450.
  SECTION 39.  { + (1) The amendments to ORS 657A.010 by section
38 of this 2013 Act are intended to change the name of the 'Child
Care Division' to the 'Office of Child Care.  '
  (2) For the purpose of harmonizing and clarifying statutory
law, the Legislative Counsel may substitute for words designating
the 'Child Care Division,' wherever they occur in statutory law,
other words designating the 'Office of Child Care.' + }
  SECTION 40. ORS 657A.020 is amended to read:
  657A.020. (1) The  { + Office of + } Child Care
 { - Division - }  staff shall provide technical assistance,
linkage of local agencies, data collection and monitoring.

Enrolled House Bill 3234 (HB 3234-B)                      Page 23

  (2) The  { + Office of + } Child Care   { - Division - }  shall
continually monitor and disseminate information about federal and
charitable programs for the purposes of ORS 657A.100 to 657A.190.
  SECTION 41. ORS 657A.030, as amended by section 5, chapter 348,
Oregon Laws 2009, section 7, chapter 60, Oregon Laws 2010, and
section 3, chapter 3, Oregon Laws 2012, is amended to read:
  657A.030. (1) The   { - Child Care Division of the Employment
Department - }   { + Office of Child Care  + }shall establish a
Central Background Registry.
  (2) A subject individual shall apply to and must be enrolled in
the Central Background Registry as part of the individual's
application to operate a program or serve in a position described
in subsection (8) of this section.
  (3) Upon receiving an application for enrollment in the Central
Background Registry, the   { - division - }   { + office + }
shall complete a criminal records check under ORS 181.534 and
shall complete a child protective services records check with the
Department of Human Services. The   { - division - }
 { + office + } shall enroll the individual in the registry if
the individual:
  (a) Is determined to have no criminal or child protective
services history or to have dealt with the issues and provided
adequate evidence of suitability for the registry;
  (b) Has paid the applicable fee established pursuant to ORS
657A.275; and
  (c) Has complied with the rules of the   { - division - }
 { + Early Learning Council + } adopted pursuant to this section.
  (4) The   { - division - }   { + office + } may conditionally
enroll an individual in the registry pending the results of a
nationwide criminal records check through the Federal Bureau of
Investigation if the individual has met other requirements of the
 { - division - }  { +  office + } for enrollment in the
registry.
  (5) An enrollment in the Central Background Registry shall
expire two years from the date of enrollment and may be renewed
upon application to the   { - division - }  { +  office + },
payment of the fee established pursuant to ORS 657A.275 and
compliance with rules adopted by the   { - division - }
 { + Early Learning Council + } pursuant to this section.
However, an individual who is determined to be ineligible for
enrollment in the registry after the date of initial enrollment
shall be removed from the registry by the   { - division - }
 { +  office + }.
  (6)(a) A child care facility shall not hire or employ an
individual if the individual is not enrolled in the Central
Background Registry.
  (b) Notwithstanding paragraph (a) of this subsection, a child
care facility may employ on a probationary basis an individual
who is conditionally enrolled in the Central Background Registry.
  (7) The   { - division - }   { + Early Learning Council + } may
adopt any rules necessary to carry out the purposes of this
section and the criminal records check program.
  (8) For purposes of this section, 'subject individual ' means a
subject individual as defined by the   { - division - }
 { + Early Learning Council + } by rule or a person who applies
to be:
  (a) The operator or an employee of a child care or treatment
program;
  (b) The operator or an employee of an Oregon prekindergarten
program under ORS 329.170 to 329.200;

Enrolled House Bill 3234 (HB 3234-B)                      Page 24

  (c) The operator or an employee of a federal Head Start program
regulated by the United States Department of Health and Human
Services;
  (d) An individual in a child care facility who may have
unsupervised contact with children as identified by the
 { - division - }  { +  office + };
  (e) A contractor or an employee of the contractor who provides
early childhood special education or early intervention services
pursuant to ORS 343.455 to 343.534;
  (f) A child care provider who is required to be enrolled in the
Central Background Registry by any state agency;
  (g) A contractor, employee or volunteer of a metropolitan
service district organized under ORS chapter 268 who may have
unsupervised contact with children and who is required to be
enrolled in the Central Background Registry by the metropolitan
service district; or
  (h) A provider of respite services, as defined in ORS 418.205,
for parents pursuant to a properly executed power of attorney
under ORS 109.056 who is providing respite services as a
volunteer with a private agency or organization that facilitates
the provision of such respite services.
  (9)(a) Information provided to a metropolitan service district
organized under ORS chapter 268 about the enrollment status of
the persons described in subsection (8)(g) of this section shall
be subject to a reciprocal agreement with the metropolitan
service district. The agreement must provide for the recovery of
administrative, including direct and indirect, costs incurred by
the   { - division - }   { + office + } from participation in the
agreement. Any moneys collected under this paragraph shall be
deposited in the Child Care Fund established under ORS 657A.010.
  (b) Information provided to a private agency or organization
facilitating the provision of respite services, as defined in ORS
418.205, for parents pursuant to a properly executed power of
attorney under ORS 109.056 about the enrollment status of the
persons described in subsection (8)(h) of this section shall be
subject to an agreement with the private agency or organization.
The agreement must provide for the recovery of administrative,
including direct and indirect, costs incurred by the
 { - division - }  { + office + } from participation in the
agreement. Any moneys collected under this paragraph shall be
deposited in the Child Care Fund established under ORS 657A.010.
  SECTION 42. ORS 657A.180, as amended by section 118, chapter
37, Oregon Laws 2012, is amended to read:
  657A.180. (1) The  { + Office of + } Child Care
 { - Division - }  shall create an advisory committee to advise
the   { - division - }   { + office + } on the development and
administration of child care resource and referral policies and
practices. The  { + Office of + } Child Care
  { - Division - }  shall, in consultation with the advisory
committee, establish criteria for proposals, prepare requests for
proposals, receive proposals and award grants for the
establishment of resource and referral programs.
  (2) The  { + Office of + } Child Care   { - Division - }  shall
collect and report data concerning resource and referral
programs.
  (3)(a) The local resource and referral agencies shall match
grant funds in an amount not less than 10 percent of grant funds
received. Matching financial support includes, but is not limited
to, in-kind contributions.

Enrolled House Bill 3234 (HB 3234-B)                      Page 25

  (b) As used in this subsection, 'in-kind contributions ' means
nonmonetary contributions that include but are not limited to:
  (A) Provision of rent-free program space;
  (B) Provision of utilities;
  (C) Provision of custodial services;
  (D) Provision of secretarial services;
  (E) Provision of liability insurance or health insurance
benefits;
  (F) Administrative services; and
  (G) Transportation services.
  (4) The  { + Office of + } Child Care   { - Division - }  shall
provide to the Early Learning Council a report that summarizes
the development and administration of child care resource and
referral policies and practices under this section. The report
must be provided at least twice a year and as otherwise required
by the Early Learning Council.
  SECTION 43. ORS 657A.190 is amended to read:
  657A.190. (1) The criteria for the renewal of a resource and
referral program shall include the following:
  (a) Current and continuous satisfactory performance as a
resource and referral agency providing the full range of services
required by ORS 657A.100 to 657A.190.
  (b) Full fiscal and program compliance with contract
requirements established by the  { + Office of + } Child Care
 { - Division - } .
  (c) Cost effectiveness.
  (d) Extent and quality of service to the community.
  (2) The   { - division - }   { + office + } shall reallocate
any funds made available through nonrenewal of a contract for
resource and referral programs.
  (3) Satisfactory contract performance by a resource and
referral agency shall be a condition for the renewal of that
contract in the subsequent fiscal year.
  SECTION 44. ORS 657A.250 is amended to read:
  657A.250. As used in ORS 657A.030 and 657A.250 to 657A.450,
unless the context requires otherwise:
  (1) 'Babysitter' means a person who goes into the home of a
child to give care during the temporary absence of the parent or
legal guardian or custodian.
  (2) 'Certification' means the certification that is issued
under ORS 657A.280 by the  { + Office of + } Child Care
 { - Division - }  to a family child care home, child care center
or other child care facility.
  (3) 'Child' means a child under 13 years of age or a child
under 18 years of age who has special needs or disabilities and
requires a level of care that is above normal for the child's
age.
  (4) Subject to ORS 657A.440, 'child care' means the care,
supervision and guidance on a regular basis of a child,
unaccompanied by a parent, guardian or custodian, provided to a
child during a part of the 24 hours of the day, in a place other
than the child's home, with or without compensation. 'Child care'
does not include care provided:
  (a) In the home of the child;
  (b) By the child's parent, guardian, or person acting in loco
parentis;
  (c) By a person related to the child by blood or marriage
within the fourth degree as determined by civil law;
  (d) On an occasional basis by a person not ordinarily engaged
in providing child care;

Enrolled House Bill 3234 (HB 3234-B)                      Page 26

  (e) By providers of medical services;
  (f) By a babysitter;
  (g) By a person who cares for children from only one family
other than the person's own family;
  (h) By a person who cares for no more than three children other
than the person's own children; or
  (i) By a person who is a member of the child's extended family,
as determined by the   { - division - }   { + office + } on a
case-by-case basis.
  (5) 'Child care facility' means any facility that provides
child care to children, including a day nursery, nursery school,
child care center, certified or registered family child care home
or similar unit operating under any name, but not including any:
  (a) Preschool recorded program.
  (b) Facility providing care for school-age children that is
primarily a single enrichment activity, for eight hours or less a
week.
  (c) Facility providing care that is primarily group athletic or
social activities sponsored by or under the supervision of an
organized club or hobby group.
  (d) Facility operated by:
  (A) A school district as defined in ORS 332.002;
  (B) A political subdivision of this state; or
  (C) A governmental agency.
  (e) Residential facility licensed under ORS 443.400 to 443.455.
  (f) Babysitters.
  (g) Facility operated as a parent cooperative for no more than
four hours a day.
  (h) Facility providing care while the child's parent remains on
the premises and is engaged in an activity offered by the
facility or in other nonwork activity.
  (i) Facility operated as a school-age recorded program.
    { - (6) 'Division' means the Child Care Division of the
Employment Department. - }
    { - (7) - }   { + (6) + } 'Family' has the meaning given that
term in ORS 329.145.
    { - (8) - }   { + (7) + } 'Occasional' means that care is
provided for no more than 70 days in any calendar year.
    { - (9) - }   { + (8) + } 'Parent cooperative' means a child
care program in which:
  (a) Care is provided by parents on a rotating basis;
  (b) Membership in the cooperative includes parents;
  (c) There are written policies and procedures; and
  (d) A board of directors that includes parents of the children
cared for by the cooperative controls the policies and procedures
of the program.
    { - (10) - }   { + (9) + } 'Preschool recorded program' means
a facility providing care for preschool children that is
primarily educational for four hours or less per day and where no
child is present at the facility for more than four hours per
day.
    { - (11) - }   { + (10) + } 'Record' means the record that is
issued under ORS 657A.255 to a preschool recorded program or
under ORS 657A.257 to a school-age recorded program.
    { - (12) - }   { + (11) + } 'Registration' means the
registration that is issued under ORS 657A.330 by the  { + Office
of + } Child Care   { - Division - } to a family child care home
where care is provided in the family living quarters of the
provider's home.

Enrolled House Bill 3234 (HB 3234-B)                      Page 27

    { - (13) - }   { + (12) + } 'School age' means of an age
eligible to be enrolled in the first grade or above and, during
the months of summer vacation from school, means of an age
eligible to be enrolled in first grade or above in the next
school year.
    { - (14) - }   { + (13) + } 'School-age recorded program'
means a program for school-age children:
  (a) That is not operated by a school district as defined in ORS
332.002;
  (b) That is not required to be certified under ORS 657A.280 or
registered under ORS 657A.330; and
  (c) In which youth development activities are provided to
children during hours that school is not in session and does not
take the place of a parent's care.
    { - (15) - }   { + (14) + } 'Youth development activities'
means care, supervision or guidance that is intended for
enrichment, including but not limited to teaching skills or
proficiency in physical, social or educational activities such as
tutoring, music lessons, social activities, sports and
recreational activities.
  SECTION 45. ORS 657A.252 is amended to read:
  657A.252. (1) Notwithstanding ORS 657A.250 (4), care provided
to children other than the children of the person providing the
care by a person whose enrollment in the Central Background
Registry established by ORS 657A.030 has been denied for cause,
has been revoked or is under suspension, or whose certification
or registration has been denied for cause, has been revoked or is
under suspension, or who has voluntarily surrendered the person's
certification or registration while under investigation by the
 { +  Office of + } Child Care   { - Division - } , is 'child
care' for purposes of ORS 657A.030 and 657A.250 to 657A.450.
  (2) Notwithstanding ORS 657A.250 (5), a facility providing care
for four hours or less per day that is primarily educational to
preschool children that is operated by a person whose enrollment
in the Central Background Registry established by ORS 657A.030
has been denied for cause, has been revoked or is under
suspension, or whose certification or registration has been
denied for cause, has been revoked or is under suspension, or who
has voluntarily surrendered the person's certification or
registration while under investigation by the  { + Office of + }
Child Care   { - Division - } , is a 'child care facility' for
purposes of ORS 657A.030 and 657A.250 to 657A.450.
  SECTION 46. ORS 657A.255 is amended to read:
  657A.255. (1) A person operating a preschool recorded program
may not operate the program without performing criminal
background checks for all staff and volunteers and becoming
recorded with the
  { - Child Care Division of the Employment Department - }
 { + Office of Child Care + } as provided in this section.
  (2) To obtain recording, the person must apply to the
  { - division - }   { + office + } by submitting a completed
record application form and a nonrefundable fee as established by
the   { - division - }  { +  office + }. The   { - division - }
 { + office + } shall determine and apply the fee through rules
adopted by the   { - division - }   { + Early Learning
Council + } under ORS 657A.275. The   { - division - }
 { + office + } shall deposit fees received under this subsection
as provided in ORS 657A.310 (2).
  (3) The   { - division - }   { + office + } shall issue a
record to a person operating a preschool recorded program if the

Enrolled House Bill 3234 (HB 3234-B)                      Page 28

 { - division - }   { + office + } determines that the applicant
meets the requirements of ORS 657A.250 to 657A.450 and the rules
adopted pursuant to ORS 657A.250 to 657A.450 and subsection (9)
of this section.
  (4) Unless the record is revoked as provided in subsection (8)
of this section, the record is valid for a period of two years
from the date of issuance.
  (5) A record authorizes operation of the preschool recorded
program only on the premises described in the record and only by
the person named in the record.
  (6) The   { - division - }   { + office + } shall create and
maintain a database of preschool recorded programs recorded under
this section and shall update the database annually. The database
shall include, but need not be limited to, the following
information:
  (a) Name and address of the program;
  (b) Name of operator; and
  (c) Significant program information, as determined by the
  { - division - }   { + Early Learning Council + } by rule.
  (7) A preschool recorded program recorded under this section
must post, and provide parents with, a notice that the preschool
recorded program is not certified under ORS 657A.280 or
registered under ORS 657A.330.
  (8) An initial application or renewal application for recording
of a preschool recorded program may be denied, revoked or
suspended, if the   { - division - }   { + office + } finds:
  (a) That the program or its operation does not comply with ORS
657A.250 to 657A.450, with applicable rules and with any term or
condition imposed under the record; or
  (b) That visitation, on-site investigation or inspection of a
program or its records authorized by ORS 657A.390 has not been
permitted.
  (9) The   { - division - }   { + Early Learning Council + }
shall adopt any rules necessary to carry out the provisions of
this section.
  (10) A person who violates any provision of this section or any
term or condition of a record is subject to a civil penalty not
to exceed $100.
  SECTION 47. ORS 657A.257 is amended to read:
  657A.257. (1) A person operating a school-age recorded program
may not operate the program without performing criminal
background checks for all staff and volunteers and becoming
recorded with the   { - Child Care Division of the Employment
Department - }   { + Office of Child Care + } as provided in this
section.
  (2) To obtain recording, the person must apply to the
  { - division - }   { + office + } by submitting a completed
record application form and a nonrefundable fee as established by
the   { - division - }  { +  office + }. The   { - division - }
 { + office + } shall determine and apply the fee through rules
adopted by the   { - division - }   { + Early Learning
Council + } under ORS 657A.275. The   { - division - }
 { + office + } shall deposit fees received under this subsection
as provided in ORS 657A.310 (2).
  (3) The   { - division - }   { + office + } shall issue a
record to a person operating a school-age recorded program if the
 { - division - }   { + office + } determines that the applicant
meets the requirements of ORS 657A.250 to 657A.450 and the rules
adopted pursuant to ORS 657A.250 to 657A.450 and subsection (9)
of this section.

Enrolled House Bill 3234 (HB 3234-B)                      Page 29

  (4) Unless the record is revoked as provided in subsection (8)
of this section, the record is valid for a period of two years
from the date of issuance.
  (5) A record authorizes operation of the school-age recorded
program only on the premises described in the record and only by
the person named in the record.
  (6) The   { - division - }   { + office + } shall create and
maintain a database of school-age recorded programs recorded
under this section and shall update the database annually. The
database shall include, but need not be limited to, the following
information:
  (a) Name and address of the program;
  (b) Name of operator; and
  (c) Significant program information, as determined by the
  { - division - }   { + Early Learning Council + } by rule.
  (7) A school-age recorded program recorded under this section
must post, and provide parents with, a notice that the school-age
recorded program is not certified under ORS 657A.280 or
registered under ORS 657A.330.
  (8) An initial application or renewal application for recording
of a school-age recorded program may be denied, revoked or
suspended, if the   { - division - }   { + office + } finds:
  (a) That the program or its operation does not comply with ORS
657A.250 to 657A.450, with applicable rules and with any term or
condition imposed under the record; or
  (b) That visitation, on-site investigation or inspection of a
program or its records authorized by ORS 657A.390 has not been
permitted.
  (9) The   { - division - }   { + Early Learning Council + }
shall adopt any rules necessary to carry out the provisions of
this section.
  (10) A person who violates any provision of this section or any
term or condition of a record is subject to a civil penalty not
to exceed $100.
  SECTION 48. ORS 657A.260 is amended to read:
  657A.260. (1) After consultation with appropriate agencies and
interested persons, the   { - Child Care Division - }   { + Early
Learning Council  + }by rule shall establish minimum standards
for child care facilities and the operation thereof and for the
administration of ORS 657A.030 and 657A.250 to 657A.450.
  (2) In establishing minimum standards of health and safety, the
 { - division - }   { + council + } shall consult with the Oregon
Health Authority and the State Fire Marshal and shall give
consideration to their recommendations and to all basic
requirements for the protection of the children to receive child
care, including the criteria prescribed in ORS 657A.290, and may
adopt rules applicable to different categories of child care
facilities, considering:
  (a) The numbers and ages of the children to receive care in the
child care facility.
  (b) The number, experience and training of the staff of the
child care facility.
  (c) The types and qualities of equipment and other factors in
the physical plant of the child care facility.
  (d) Any other factor affecting the care provided in the child
care facility.
  SECTION 49. ORS 657A.263 is amended to read:
  657A.263. (1) As used in this section:
  (a) 'Certified child care facility' means a child care facility
that has been certified under ORS 657A.280 by the   { - Child

Enrolled House Bill 3234 (HB 3234-B)                      Page 30

Care Division of the Employment Department - }  { +  Office of
Child Care + }.
  (b) 'Child care facility' has the meaning given that term in
ORS 657A.250 (5).
  (c) 'Registered child care facility' means a child care
facility that has been registered under ORS 657A.330 by the
 { - Child Care Division of the Employment Department - }  { +
Office of Child Care + }.
  (2) Every certified child care facility and registered child
care facility shall:
  (a) Adopt a plan to provide for the safety of children who are
receiving child care at a child care facility in the event of an
emergency that requires immediate action by the staff of the
facility due to conditions of imminent danger that pose a threat
to the life, health or safety of children who are receiving child
care at the facility; and
  (b) Provide training to all employees of the child care
facility about the responsibilities of the employees to implement
the plan required by this section.
  (3) The   { - Child Care Division of the Employment
Department - }  { + Early Learning Council + } shall adopt by
rule the requirements for the plan and training required by this
section. The rules adopted shall include, but are not limited to,
procedures for the evacuation of the children who are receiving
child care at the child care facility to a place of safety when
the conditions of imminent danger require relocation of those
children.
  SECTION 50. ORS 657A.270 is amended to read:
  657A.270. (1) A certification or registration authorized by ORS
657A.030 and 657A.250 to 657A.450 and issued to a child care
facility may be renewed upon submission of an application and
payment of the required fee not later than 30 days prior to the
expiration date of the current certification or registration if
the   { - Child Care Division of the Employment Department - }
 { + Office of Child Care + } finds that the child care facility
that is seeking renewal of the certification or registration is
in compliance with the requirements of ORS 181.537, 657A.030 and
657A.250 to 657A.450 and the rules promulgated pursuant to ORS
181.534, 181.537, 657A.030 and 657A.250 to 657A.450.
  (2) Upon submission of an application for renewal in proper
time, manner and form, and payment of the required fee, the
current certification or registration, unless officially revoked,
shall remain in force until the  { + Office of + } Child Care
 { - Division - } has acted on the application for renewal and
has given notice of the action taken.
  SECTION 51. ORS 657A.275 is amended to read:
  657A.275. (1) The   { - Child Care Division of the Employment
Department - }   { + Early Learning Council + } shall adopt rules
establishing fees for certification, registration and recording
under ORS 657A.250 to 657A.450.
  (2) Subject to prior approval of the Oregon Department of
Administrative Services and a report to the Legislative Assembly
prior to adopting the fees and charges, the fees and charges
established under ORS 181.534, 657A.030 and 657A.250 to 657A.450
may not exceed the cost of administering the program of the
  { - division - }   { + Office of Child Care + } pertaining to
the purpose for which the fee is established, as authorized by
the Legislative Assembly within the budget of the
 { - division - }  { +  office + }.

Enrolled House Bill 3234 (HB 3234-B)                      Page 31

  (3) Notwithstanding subsection (2) of this section and any
other provision of this chapter, the following fees established
by the   { - division - }   { + Early Learning Council + } under
ORS 657A.030 and 657A.250 to 657A.450 may not exceed:
  (a) For Certified Family Child Care Home Initial Certification,
$25;
  (b) For Certified Family Child Care Home Annual Fee Per
Certified Space, $2;
  (c) For Child Care Center Initial Certification, $100;
  (d) For Child Care Center Annual Fee Per Certified Space, $2;
  (e) For Registered Family Child Care Home Registration, $30;
  (f) For Preschool Recorded Program Recording, $20;
  (g) For School-Age Recorded Program Recording, $20;
  (h) For administering a class on child care abuse and neglect
issues, $10; and
  (i) For enrollment in the Central Background Registry, the cost
of administering the program, including fees for:
  (A) Duplicate enrollment in the Central Background Registry;
  (B) Law Enforcement Data System criminal records check; and
  (C) Federal Bureau of Investigation fingerprint check.
  SECTION 52. ORS 657A.280 is amended to read:
  657A.280. (1) A person may not operate a child care facility,
except a facility subject to the registration requirements of ORS
657A.330, without a certification for the facility from the
 { + Office of + } Child Care   { - Division - } .
  (2) The   { - Child Care Division - }   { + Early Learning
Council + } shall adopt rules for the certification of a family
child care home caring for not more than 16 children. The rules
shall be specifically adopted for the regulation of certified
child care facilities operated in a facility constructed as a
single-family dwelling. Notwithstanding fire and other safety
regulations, the rules that the   { - Child Care Division - }
 { + council + } adopts for certified child care facilities shall
set standards that can be met without significant architectural
modification of a typical home. In adopting the rules, the
 { - Child Care Division - }   { + council + } may consider and
set limits according to factors including the age of children in
care, the ambulatory ability of children in care, the number of
the provider's children present, the length of time a particular
child is continuously cared for and the total amount of time a
particular child is cared for within a given unit of time.
  (3) In addition to rules adopted for and applied to a certified
family child care home providing child care for not more than 16
children, the   { - Child Care Division - }   { + council + }
shall adopt and apply separate rules appropriate for any child
care facility that is a child care center.
  (4) Any person seeking to operate a child care facility may
apply for a certification for the facility from the  { + Office
of + } Child Care   { - Division - }  and receive a certification
upon meeting certification requirements.
  SECTION 53. ORS 657A.290 is amended to read:
  657A.290. A person applying for a certification for a child
care facility shall demonstrate to the satisfaction of the
 { + Office of + } Child Care   { - Division - }  that:
  (1) The moral character and habits of the person will not
endanger the well-being of children for whom the person is to
provide care.
  (2) The attitude of the person toward children and
understanding of their needs qualify the person to care for
children.

Enrolled House Bill 3234 (HB 3234-B)                      Page 32

  (3) The person is physically and mentally capable of caring for
children.
  (4) The facility and its operation are adequate to protect the
health, the safety and the physical, moral and mental well-being
of the children to be cared for in the facility, including but
not limited to:
  (a) Adequate staffing by suitable persons qualified by
education or experience to meet their respective responsibilities
in the care of children.
  (b) Adequate physical facilities for the care of children, such
as building construction, sanitation, plumbing, heating,
lighting, ventilation, maintenance, indoor and outdoor activity
areas and fire protection.
  (c) A program of activities conforming to recognized practices
in the areas of child welfare, education and physical and mental
health to provide opportunity for development and recreation.
  (d) Exclusion from the facility of individuals whose presence
may be detrimental to the welfare of children, including
exclusion of any individual with a criminal record indicating
conviction of any crime which would bar the individual from
operating or being employed in a child care facility under ORS
657A.260.
  SECTION 54. ORS 657A.300 is amended to read:
  657A.300. (1) Upon receipt of an application for a
certification, accompanied by the required fee, the  { + Office
of + } Child Care   { - Division - }  shall issue a certification
if the
  { - division - }   { + office + } finds that the child care
facility and its operations are in compliance with the
requirements of ORS 181.537, 657A.030 and 657A.250 to 657A.450
and the rules promulgated pursuant to ORS 181.534, 181.537,
657A.030 and 657A.250 to 657A.450.
  (2) The  { + Office of + } Child Care   { - Division - }  may
issue a temporary certification, subject to reasonable terms and
conditions, for a period not longer than 180 days to a child care
facility that does not comply with the requirements and rules if
the   { - division - }  { +  office + } finds that the health and
safety of any child will not be endangered thereby. Not more than
one temporary certification shall be issued for the same child
care facility in any 12-month period.
  (3) The  { + Office of + } Child Care   { - Division - }  shall
serve as the state agency authorized, upon request, to certify
compliance with applicable federal child care standards or
requirements by any facility providing child care in the state.
  SECTION 55. ORS 657A.310, as amended by section 119, chapter
37, Oregon Laws 2012, is amended to read:
  657A.310. (1) Application for a certification or for the annual
renewal thereof shall be made to the  { + Office of + } Child
Care
  { - Division - }  on forms provided by the   { - division - }
 { + office + } and accompanied by a nonrefundable fee. The fee
shall vary according to the type of facility and the number of
children for which the facility is requesting to be certified,
and shall be determined and applied through rules adopted by the
 { - division - }   { + Early Learning Council + } pursuant to
ORS 657A.275.
  (2) All fees received under subsection (1) of this section
shall be deposited in the Child Care Fund established under ORS
657A.010 (4) and may be used for the administration of ORS
181.537, 657A.030 and 657A.250 to 657A.450.

Enrolled House Bill 3234 (HB 3234-B)                      Page 33

  (3) Any certification issued pursuant to ORS 657A.030 and
657A.250 to 657A.450 authorizes operation of the facility only on
the premises described in the certification and only by the
person named in the certification.
  (4) Unless sooner revoked, a temporary certification expires on
the date specified therein. Unless sooner revoked and except as
provided in ORS 657A.270 (2), an annual certification expires one
year from the date of issuance.
  SECTION 56. ORS 657A.330 is amended to read:
  657A.330. (1) A provider operating a family child care home
where care is provided in the family living quarters of the
provider's home that is not subject to the certification
requirements of ORS 657A.280 may not operate a child care
facility without registering with the   { - Child Care Division
of the Employment Department - }  { +  Office of Child Care + }.
  (2) A child care facility holding a registration may care for a
maximum of 10 children, including the provider's own children.
Of the 10 children:
  (a) No more than six may be younger than school age; and
  (b) No more than two may be 24 months of age or younger.
  (3)(a) To obtain a registration, a provider must apply to the
 { +  Office of + } Child Care   { - Division - }  by submitting
a completed application work sheet and a nonrefundable fee. The
fee shall vary according to the number of children for which the
facility is requesting to be registered, and shall be determined
and applied through rules adopted by the   { - division - }
 { + Early Learning Council + } under ORS 657A.275. The fee shall
be deposited as provided in ORS 657A.310 (2). The
 { - division - }  { +  office + } may waive any or all of the
fee if the   { - division - }   { + office + } determines that
imposition of the fee would impose a hardship on the provider.
  (b) Upon receipt of an initial or renewal application
satisfactory to the   { - division - }  { +  office + }, the
 { - division - }   { + office + } shall conduct an on-site
review of the child care facility under this section. The on-site
review shall be conducted within 30 days of the receipt of a
satisfactory application.
  (4) The   { - division - }   { + office + } shall issue a
registration to a provider operating a family child care home if:
  (a) The provider has completed a child care overview class
administered by the   { - division - }  { +  office + };
  (b) The provider has completed two hours of training on child
abuse and neglect issues;
  (c) The provider is currently certified in infant and child
first aid and cardiopulmonary resuscitation;
  (d) The provider is certified as a food handler under ORS
624.570; and
  (e) The   { - division - }   { + office + } determines that the
application meets the requirements of ORS 181.537, 657A.030 and
657A.250 to 657A.450 and the rules promulgated pursuant to ORS
181.534, 181.537, 657A.030 and 657A.250 to 657A.450, and receives
a satisfactory records check, including criminal records and
protective services records.
  (5) Unless the registration is revoked as provided in ORS
657A.350, the registration is valid for a period of two years
from the date of issuance. The   { - division - }
 { + office + } may renew a registration of a provider operating
a family child care home if the provider:
  (a) Is currently certified in infant and child first aid and
cardiopulmonary resuscitation;

Enrolled House Bill 3234 (HB 3234-B)                      Page 34

  (b) Has completed a minimum of eight hours of training related
to child care during the most recent registration period; and
  (c) Is certified as a food handler under ORS 624.570.
  (6) A registration authorizes operation of the facility only on
the premises described in the registration and only by the person
named in the registration.
  (7) The   { - division - }   { + Early Learning Council + }
shall adopt rules:
  (a) Creating the application work sheet required under
subsection (3) of this section;
  (b) Defining full-time and part-time care;
  (c) Establishing under what circumstances the adult to child
ratio requirements may be temporarily waived; and
  (d) Establishing health and safety procedures and standards on:
  (A) The number and type of toilets and sinks available to
children;
  (B) Availability of steps or blocks for use by children;
  (C) Room temperature;
  (D) Lighting of rooms occupied by children;
  (E) Glass panels on doors;
  (F) Condition of floors;
  (G) Availability of emergency telephone numbers; and
  (H) Smoking.
  (8) The   { - division - }   { + office + } shall adopt the
application work sheet required by subsection (3) of this
section. The work sheet must include, but need not be limited to,
the following:
  (a) The number and ages of the children to be cared for at the
facility; and
  (b) The health and safety procedures in place and followed at
the facility.
  (9) The   { - division - }  { +  office + }, upon good cause
shown, may waive one or more of the registration requirements.
The   { - division - }  { +  office + } may waive a requirement
only if appropriate conditions or safeguards are imposed to
protect the welfare of the children and the consumer interests of
the parents of the children. The
  { - division - }   { + office + } may not waive the on-site
review requirement for applicants applying for an initial
registration or renewal of a registration.
  (10) The   { - division - }  { +  Early Learning Council + },
by rule, shall develop a list of recommended standards consistent
with standards established by professional organizations
regarding child care programs for child care facilities.
Compliance with the standards is not required for a registration,
but the   { - division - }   { + office + } shall encourage
voluntary compliance and shall provide technical assistance to a
child care facility attempting to comply with the standards. The
child care facility shall distribute the list of recommended
minimum standards to the parents of all children cared for at the
facility.
  (11) In adopting rules relating to registration, the
  { - division - }   { + Early Learning Council + } shall consult
with the appropriate legislative committee in developing the
rules to be adopted. If the rules are being adopted during a
period when the Legislative Assembly is not in session, the
 { - division - }   { + Early Learning Council + } shall consult
with the appropriate interim legislative committee.
  SECTION 57. ORS 657A.350 is amended to read:

Enrolled House Bill 3234 (HB 3234-B)                      Page 35

  657A.350. An initial application from a child care facility for
certification or registration or a renewal application from a
child care facility for certification or registration may be
denied, or a temporary or regular certification or regular
registration may be revoked or suspended, if the   { - Child Care
Division of the Employment Department - }   { + Office of Child
Care + } finds:
  (1) That the facility or its operation does not comply with ORS
181.537, 657A.030 and 657A.250 to 657A.450 or with applicable
rules or with any term or condition imposed under the
certification or registration; or
  (2) That visitation, on-site review or inspection of a facility
or its records authorized by ORS 657A.390 or 657A.400 has not
been permitted.
  SECTION 58. ORS 657A.360 is amended to read:
  657A.360. (1) Upon deciding to deny, revoke, suspend or not to
renew a certification or registration, the   { - Child Care
Division of the Employment Department - }   { + Office of Child
Care + } shall give notice and opportunity for hearing as
provided in ORS chapter 183.
  (2) The  { + Office of + } Child Care   { - Division - }  shall
make the final decision and notice thereof shall be sent by
certified mail to the address of the child care facility as shown
on the records of the
  { - division - }  { +  office + }. The decision of the
 { - division - }   { + office + } is reviewable by the Court of
Appeals in the manner provided in ORS 183.480 for the review of
orders in contested cases.
  SECTION 59. ORS 657A.370 is amended to read:
  657A.370. Without the necessity of prior administrative
proceedings or hearing and entry of an order or at any time
during such proceedings if they have been commenced, the
 { + Office of + } Child Care   { - Division - }  may institute
proceedings to enjoin the operation of any child care facility
operating in violation of ORS 181.537, 657A.030 and 657A.250 to
657A.450 or the rules promulgated pursuant to ORS 181.534,
181.537, 657A.030 and 657A.250 to 657A.450.
  SECTION 60. ORS 657A.390 is amended to read:
  657A.390. (1) Whenever an authorized representative of the
 { +  Office of + } Child Care   { - Division - }  is advised or
has reason to believe that child care that is subject to
regulation by the
  { - division - }  { +  office + } is being provided without a
certification, registration or record, the authorized
representative may visit and conduct an on-site investigation of
the premises of the facility at any reasonable time to determine
whether the facility is subject to the requirements of ORS
181.537, 657A.030 and 657A.250 to 657A.450.
  (2) At any reasonable time, an authorized representative of the
 { + Office of + } Child Care   { - Division - }  may conduct an
on-site investigation of the premises of any certified or
registered child care facility to determine whether the child
care facility is in conformity with ORS 181.537, 657A.030 and
657A.250 to 657A.450 and the rules promulgated pursuant to ORS
181.534, 181.537, 657A.030 and 657A.250 to 657A.450.
  (3) An authorized representative of the  { + Office of + }
Child Care
  { - Division - }  shall conduct an on-site investigation of the
premises of any certified or registered child care facility or of

Enrolled House Bill 3234 (HB 3234-B)                      Page 36

any other child care facility that is subject to regulation by
the
  { - division - }   { + office + } if the   { - division - }
 { + office + } receives a serious complaint about the child care
facility. The   { - division - }  { +  Early Learning
Council + }, by rule, shall adopt a definition for 'serious
complaint. '
  (4) Any state agency that receives a complaint about a
certified or registered child care facility, a preschool recorded
program or a school-age recorded program shall notify the
 { + Office of + } Child Care   { - Division - }  about the
complaint and any subsequent action taken by the state agency
based on that complaint.
  (5) The director and operator of a child care facility, a
preschool recorded program or a school-age recorded program shall
permit an authorized representative of the   { - division - }
 { + office + } to inspect records of the facility or program and
shall furnish promptly reports and information required by the
 { - division - }  { +  office + }.
  SECTION 61. ORS 657A.400 is amended to read:
  657A.400. (1) An authorized representative of the Oregon Health
Authority may inspect the premises of a child care facility
certified under ORS 657A.280 to determine whether the facility is
in conformity with applicable laws and regulations relating to
health and sanitation.
  (2) An authorized representative of the authority shall inspect
any child care facility when requested to do so by the  { +
Office of + } Child Care   { - Division - }  in accordance with
arrangements under ORS 657A.420 and shall submit written findings
to the  { + Office of + } Child Care   { - Division - } . The
 { + Office of + } Child Care   { - Division - } shall not issue
or renew any certification for any child care facility for which
an inspection by the authority has been requested unless an
authorized representative of the authority submits a written
finding that the facility is in compliance with applicable laws
and regulations relating to health and sanitation.
  (3) An environmental health specialist's inspection may be
performed by a private consultant so long as the consultant is
registered under ORS chapter 700.
  SECTION 62. ORS 657A.410 is amended to read:
  657A.410. (1) In the event that any authorized representative
of the  { + Office of + } Child Care   { - Division - } , Oregon
Health Authority or other agency is denied access to any premises
for the purpose of making an inspection in the administration of
ORS 181.537, 657A.030 and 657A.250 to 657A.450, the
representative shall not inspect the premises without a search
warrant.
  (2) Application for a search warrant to inspect the premises
shall be made to any magistrate authorized to issue a warrant of
arrest. The application must be supported by an affidavit filed
with the magistrate showing probable cause for the inspection by
stating the purpose and extent of the proposed inspection, the
statutes and rules which provide the basis for inspection,
whether it is a routine or periodic inspection, an on-site review
or an investigation instituted by complaint and other specific or
general information concerning the premises.
  (3) If the magistrate is satisfied that there is probable cause
to believe that the grounds of the application exist, the
magistrate shall issue the search warrant specifying the purpose

Enrolled House Bill 3234 (HB 3234-B)                      Page 37

and extent of the inspection, on-site review or investigation of
the premises covered by the warrant.
  SECTION 63. ORS 657A.420 is amended to read:
  657A.420. The  { + Office of + } Child Care   { - Division - }
may enter into cooperative arrangements with the Oregon Health
Authority, the State Fire Marshal and other public agencies for
the provision of services in the inspection of child care
facilities in the administration of ORS 181.537, 657A.030 and
657A.250 to 657A.450.  The arrangements shall designate which
services shall be reimbursed and the rate and manner of
reimbursement.
  SECTION 64. ORS 657A.450 is amended to read:
  657A.450. The  { + Office + }  { + of + } Child Care
 { - Division - }  may consult with, advise or train the staffs
of child care facilities or other interested persons concerning
child care programs.
  SECTION 65. ORS 657A.490, as amended by section 67, chapter 37,
Oregon Laws 2012, is amended to read:
  657A.490. If the Department of Education is able to find
adequate funding under ORS 657A.493, the department, in
partnership with organizations including, but not limited to, the
Institute on Violence and Destructive Behavior at the University
of Oregon, the   { - Child Care Division of the Employment
Department, the - }  Early Learning Council, the Youth
Development Council and the Oregon Center for Career Development
in Childhood Care and Education:
  (1) Shall establish, in coordination with existing training
systems, a statewide child care provider training program that
will educate child care providers on:
  (a) The importance of healthy brain development in the first
three years of a child's life.
  (b) The identification of risk factors and behaviors that
indicate that a child:
  (A) Needs special education or mental health treatment; or
  (B) Is at risk of becoming involved in the criminal justice
system.
  (c) Appropriate referrals for intervention for the behaviors
identified under paragraph (b) of this subsection.
  (2) Shall establish an application process for child care
providers who wish to attend the program and may charge child
care providers a fee for attending the program.
  (3) May adopt any rules necessary to implement this section.
  SECTION 66. ORS 657A.700, as amended by section 120, chapter
37, Oregon Laws 2012, is amended to read:
  657A.700. As used in ORS 657A.700 to 657A.718:
  (1) 'Child care provider' means a provider, for compensation,
of care, supervision or guidance to a child on a regular basis in
a center or in a home other than the child's home. 'Child care
provider' does not include a person who is the child's parent,
guardian or custodian.
  (2) 'Community agency' means a nonprofit agency that:
  (a) Provides services related to child care, children and
families, community development or similar services; and
  (b) Is eligible to receive contributions that qualify as
deductions under section 170 of the Internal Revenue Code.
  (3) 'High quality child care' means child care that meets
standards for high quality child care established or approved by
the Early Learning Council.
  (4) 'Qualified contribution' means a contribution made by a
taxpayer to the   { - Child Care Division of the Employment

Enrolled House Bill 3234 (HB 3234-B)                      Page 38

Department - }  { + Office of Child Care + } or a selected
community agency for the purpose of promoting child care, and for
which the taxpayer will receive a tax credit certificate under
ORS 657A.706.
  (5) 'Tax credit certificate' means a certificate issued by the
 { + Office of + } Child Care   { - Division - }  to a taxpayer
to qualify the taxpayer for a tax credit under ORS 315.213.
  (6) 'Tax credit marketer' means an individual or entity
selected by the  { + Office of + } Child Care   { - Division - }
to market tax credits to taxpayers.
  SECTION 67. ORS 657A.703 is amended to read:
  657A.703. (1) The   { - Child Care Division of the Employment
Department - }  { +  Office of Child Care + }, in collaboration
with an advisory committee established by the   { - Child Care
Division - }  { +  office + }, shall establish a program to:
  (a) Allocate tax credit certificates to taxpayers that make
qualified contributions to the  { + Office of + } Child Care
 { - Division - } ; and
  (b) Distribute to child care providers moneys from qualified
contributions and other contributions.
  (2) The purposes of the program are to:
  (a) Encourage taxpayers to make contributions to the
 { + Office of + } Child Care   { - Division - }  by providing a
financial return on qualified contributions and by soliciting
other contributions.
  (b) Achieve specific and measurable goals for targeted
communities and populations.
  (c) Set standards for the child care industry concerning the
cost of providing quality, affordable child care.
  (d) Strengthen the viability and continuity of child care
providers while making child care more affordable for low and
moderate income families.
  SECTION 68. ORS 657A.706 is amended to read:
  657A.706. (1) For the purpose of implementing the program
established under ORS 657A.703, the   { - Child Care Division of
the Employment Department - }  { +  Early Learning Council + },
in collaboration with an advisory committee established by the
 { - Child Care Division - }  { +  council and the Office of
Child Care + }, shall:
  (a) Adopt rules.
  (b) Select a tax credit marketer who agrees to market tax
credits to taxpayers.
  (c) Identify child care goals that are consistent with the
purposes provided in ORS 657A.703 (2). The goals identified under
this paragraph shall take into account state resources and needs.
  (d) Develop by rule the application process an entity must
complete to be designated as a community agency under ORS
657A.700 to 657A.718, and any process for the renewal of that
designation.
  (e) Select one or more community agencies.
  (f) Enter into an agreement with each selected community agency
to perform the functions specified in ORS 657A.715.
  (g) Determine the total value of moneys to be available to each
selected community agency to distribute to providers based on
goals identified under paragraph (c) of this subsection, and
distribute those moneys in the manner provided in ORS 657A.712 to
the selected community agencies. The total value of moneys
available to all selected community agencies in this state may
not exceed the amount of contributions received from taxpayers
during the tax year minus any reasonable administrative costs

Enrolled House Bill 3234 (HB 3234-B)                      Page 39

incurred by the  { + Office of + } Child Care   { - Division - }
and the selected community agencies.
  (2) The   { - Child Care Division - }   { + Early Learning
Council + } may adopt rules that establish a fixed percentage
that is less than 100 percent by which the amount contributed by
a taxpayer will be certified for a tax credit by the
 { - division - }  { +  Office of Child Care + }.  The purpose of
the grant of rulemaking authority under this subsection is to
permit the   { - division - }   { + Early Learning Council + } to
calibrate the amount of the tax credit to interpretations of the
deductibility of qualified contributions under section 170 of the
Internal Revenue Code for federal tax purposes.
  (3)(a) The  { + Office of + } Child Care   { - Division - }
shall issue tax credit certificates in the chronological order in
which the contributions are received by the   { - division - }
 { +  office + }. The
  { - division - }   { + office + } shall issue tax credit
certificates to contributors until the total value of all
certificates issued by the   { - division - }   { + office + }
for the calendar year equals $500,000. Each issued certificate
shall state the value of the contribution being certified as
eligible for the tax credit allowed under ORS 315.213. Except as
provided in rules adopted under subsection (2) of this section,
the certified value shall equal the amount of the contribution.
  (b) The  { + Office of + } Child Care   { - Division - }  may
not issue a tax credit certificate to a taxpayer to the extent
the credit value to be certified, when added to the total credit
value previously certified by the   { - Child Care Division - }
 { + office + } under paragraph (a) of this subsection for the
calendar year exceeds $500,000.
  (c) The  { + Office of + } Child Care   { - Division - }  shall
send a copy of all tax credit certificates issued under this
section to the Department of Revenue.
  (d) Qualified contributions shall be deposited in the Child
Care Fund.
  (4) A taxpayer that receives a notice of denial of a tax credit
certificate or that receives a tax credit certificate issued for
an amount that is less than the amount contributed may request a
refund for the amount contributed within 90 days of the
  { - Child Care Division's - }  denial or issuance of the
certificate { +  by the Office of Child Care + }. The  { + Office
of + } Child Care   { - Division - }  must send notice of a
denial or changed amount and refund the amount for which a tax
credit will not be granted within 30 days after receiving the
request. The refund shall be made from the Child Care Fund.
  (5) The   { - Child Care Division - }   { + Early Learning
Council + } may establish by rule any other provisions required
to implement the program established under ORS 657A.700 to
657A.718.
  SECTION 69. ORS 657A.709 is amended to read:
  657A.709. (1) In selecting a community agency under ORS
657A.706, the   { - Child Care Division of the Employment
Department - }  { + Office of Child Care + } shall consider:
  (a) A prospective agency's financial soundness, net worth, cash
flow and accounting capacity to manage the tax credit program;
  (b) A prospective agency's demonstrated ability to serve low
and moderate income families;
  (c) The degree to which the governing board of the prospective
agency is representative of the community in which the agency is
located, has a low turnover rate of board members, has experience

Enrolled House Bill 3234 (HB 3234-B)                      Page 40

with financial matters and has a demonstrated history of
collaboration with other community agencies; and
  (d) The experience and expertise of the executive or managing
officer and staff of the prospective agency in child care
business management and small business development.
  (2) The   { - division - }   { + office + } shall select the
community agency that, in the judgment of the   { - division - }
 { + office + } and based on the criteria set forth in subsection
(1) of this section, will best serve the interests of the
community for which it is selected.
  SECTION 70. ORS 657A.712 is amended to read:
  657A.712. (1) The   { - Child Care Division of the Employment
Department - }   { + Office of Child Care + } shall distribute
revenues in the Child Care Fund that are derived from
contributions, minus the amounts needed to make refunds under ORS
657A.706 (4) and to cover expenses of the  { + Office of + }
Child Care   { - Division - }  in administering ORS 657A.700 to
657A.718.
  (2) Distributions shall be made to community agencies selected
under ORS 657A.706 in the proportion that the  { + Office of + }
Child Care   { - Division - }  determines best promotes the
provision of child care in this state.
  (3) Moneys distributed to selected community agencies shall be
disbursed to child care providers, consistent with rules adopted
by the   { - Child Care Division - }   { + Early Learning
Council + } relating to the disbursement of moneys by selected
community agencies. The   { - Child Care Division - }
 { + council + } shall consider the factors described in ORS
657A.715 (2)(h) when adopting rules under this subsection.
  SECTION 71. ORS 657A.715 is amended to read:
  657A.715. (1) Each community agency selected under ORS 657A.706
shall disburse moneys to child care providers, pursuant to ORS
657A.712 and rules adopted thereunder.
  (2) A selected community agency must:
  (a) Coordinate an application process by which persons may
apply to be participating providers;
  (b) Enter into agreements with participating providers under
which the duties and responsibilities of participating providers
and the community agency are stated;
  (c) Provide or coordinate required training for participating
providers;
  (d) Monitor participating providers, through visits to
providers and otherwise;
  (e) Oversee the process by which a participating provider
verifies the income of a family and establishes the total child
care fee charged to a family;
  (f) Report on participating provider compliance with ORS
657A.718 and other applicable requirements to contributors and
the
  { - Child Care Division of the Employment Department - }  { +
Office of Child Care + };
  (g) Establish a maximum family income level for the region for
purposes of the child care fee limitation to which participating
providers are subject under ORS 657A.718 (1)(g); and
  (h) Determine, consistently with rules adopted by the
 { - Child Care Division - }  { +  Early Learning Council + },
the amount of moneys to be disbursed to a participating provider
based on the incomes of the families the provider serves, the
child care fees the provider charges and the actual cost to the
provider of providing quality, affordable child care.

Enrolled House Bill 3234 (HB 3234-B)                      Page 41

  (3)(a) A selected community agency must distribute to
participating child care providers all moneys that are available
to the agency as a result of the determination made by the
 { + Office of + } Child Care   { - Division - }  under ORS
657A.706 (1)(g). Each selected community agency shall distribute
a substantial portion of the moneys to participating child care
providers that are home-based businesses.
  (b) Distributions shall be based on the actual costs of
providing quality, affordable child care in the community for
which distributions are being made, including training costs,
operating costs and wages.
  (4) For the purpose of making distributions to child care
providers, a selected community agency shall identify child care
providers in the community that meet the requirements of ORS
657A.718. The selected community agency may develop a process
through which child care providers apply to receive distributions
of moneys from contributions made by taxpayers.
  SECTION 72. ORS 657A.718 is amended to read:
  657A.718. (1) Each selected community agency shall select
participating child care providers that meet the following
requirements:
  (a) If a home-based business, the provider must enter into an
agreement with the community agency to continue to provide child
care services for at least an additional two years.
  (b) If a home-based business, the provider must serve at least
two families that have incomes that are 85 percent or less of the
median income for the region. If a center, at least 25 percent of
the families the provider serves must have incomes that are 85
percent or less of the median income for the region.
  (c) The provider must accept children for whom child care is
paid for through a Department of Human Services subsidy.
  (d) The provider and the employees of the provider must provide
high quality child care.
  (e) The provider, if the provider is an individual, and the
employees of the provider must comply with   { - Child Care
Division - }  { + Early Learning Council + } rules and
requirements for registration or certification.
  (f) The provider must maintain adequate liability insurance,
financial records and parent policies and contracts, and permit
the selected community agency to conduct visits.
  (g) For care provided to children of families whose income does
not exceed the level established by the selected community agency
under ORS 657A.715 (2)(g), the provider must agree to limit the
total child care fees charged to a family to a percentage
established by the   { - Child Care Division - }   { + Early
Learning Council + } by rule.
  (2) In selecting participating child care providers, selected
community agencies must give preference to providers that provide
child care to low and moderate income families.
  SECTION 73. ORS 657A.992, as amended by section 121, chapter
37, Oregon Laws 2012, is amended to read:
  657A.992. (1) In addition to any other provision of law or rule
adopted pursuant to ORS 657A.260 for enforcement of the
provisions of ORS chapter 657A, the  { + Office of + } Child Care
  { - Division - }  may suspend or revoke a certification or
registration issued under ORS 657A.030 and 657A.250 to 657A.450,
or impose a civil penalty in the manner provided in ORS 183.745,
for violation of:
  (a) Any of the provisions of ORS 657A.030 and 657A.250 to
657A.450;

Enrolled House Bill 3234 (HB 3234-B)                      Page 42

  (b) The terms and conditions of a certification or registration
issued under ORS 657A.030 and 657A.250 to 657A.450; or
  (c) Any rule of the   { - division - }   { + Early Learning
Council + } adopted under ORS 657A.030 and 657A.250 to 657A.450.
  (2) The   { - division - }   { + Early Learning Council + }
shall adopt by rule a schedule establishing the civil penalties
that may be imposed under this section. The schedule must provide
for categories of violations for which a penalty may be imposed,
including ' nonserious' and 'serious' to be defined by the
 { - division - }  { + council + } by rule under ORS 657A.260.
  (3) The   { - division - }   { + office + } must issue a
written warning for a nonserious or serious violation before
assessing a civil penalty under this section. The written warning
must prescribe a reasonable time in which to correct a violation.
  (4) The   { - division - }   { + office + } may not impose a
civil penalty of more than $100 for a first violation.
  (5) The   { - division - }   { + office + } may not impose a
civil penalty for a subsequent violation that exceeds the penalty
imposed for the previous violation by more than $100. Penalties
imposed under this subsection may not exceed $500 per violation,
or $1,000 total for multiple violations per quarter.
  (6) Notwithstanding any other provision of this section, the
maximum civil penalty that may be imposed:
  (a) For violation of ORS 657A.330 by a registered family child
care home provider is $100.
  (b) For violation of ORS 657A.280 by an operator of a child
care facility that is not a child care center is $200.
  (c) For violation of ORS 657A.280 by an operator of a child
care facility that is a child care center is $500.
  (7) A civil penalty imposed under this section may be remitted
or reduced upon such terms and conditions as the
  { - division - }   { + office + } considers proper and
consistent with the public health and safety.
  (8) All moneys received under this section shall be deposited
in the Child Care Fund established under ORS 657A.010 (4) and may
be used for the administration of ORS 181.537, 657A.030 and
657A.250 to 657A.450.
  SECTION 74. ORS 307.145 is amended to read:
  307.145. (1) If not otherwise exempt by law, upon compliance
with ORS 307.162, the child care facilities, schools, academies
and student housing accommodations, owned or being purchased by
incorporated eleemosynary institutions or by incorporated
religious organizations, used exclusively by such institutions or
organizations for or in immediate connection with educational
purposes, are exempt from taxation.
  (2) Property described in subsection (1) of this section which
is exclusively for or in the immediate connection with
educational purposes shall continue to be exempt when leased to a
political subdivision of the State of Oregon, or to another
incorporated eleemosynary institution or incorporated religious
organization for an amount not to exceed the cost of repairs,
maintenance and upkeep.
  (3)(a) As used in this section, 'child care facility' means a
child care center certified by the   { - Child Care Division of
the Employment Department - }   { + Office of Child Care + }
under ORS 657A.280 to provide educational child care.
  (b) Before an exemption for a child care facility is allowed
under this section, in addition to any other information required
under ORS 307.162, the statement shall:

Enrolled House Bill 3234 (HB 3234-B)                      Page 43

  (A) Describe the property and declare or be accompanied by
proof that the corporation is an eleemosynary institution or
religious organization.
  (B) Declare or be accompanied by proof that the
 { - division - }  { + office + } has issued the child care
facility a certification to provide educational child care.
  (C) Be signed by the taxpayer subject to the penalties for
false swearing.
  SECTION 75. ORS 307.490 is amended to read:
  307.490. (1) In lieu of real and personal property taxes, each
nonprofit corporation eligible for a tax exemption under ORS
307.485 shall pay to the treasurer of the county on or before
November 15 an amount equal to 10 percent of the rentals for the
period ending the preceding October 15, submitting with the
remittance a form supplied by the Department of Revenue stating
the rental and certifying compliance with the requirements of the
State Fire Marshal,  { + the + } local health officer or
 { - Child Care Division - }  { +  the Office of Child Care + },
as applicable.
  (2) The treasurer shall, with the assistance of the assessor,
allocate the money received by the treasurer under subsection (1)
of this section, to the districts in which the exempt property is
located in the same proportion that the tax rate for the current
tax year for each district bears to the total tax rate for all
districts.
  (3) The moneys received by the district shall be considered as
a budget resource for the next ensuing fiscal year.
  SECTION 76. ORS 307.500 is amended to read:
  307.500. (1) Immediately upon receipt of the claim or any
subsequent rental statement, the county assessor shall promptly
transmit one copy of the claim to the Department of Revenue. The
rent subsequently reported for the eligible child care facility
or eligible farm labor camp for which the claim is made is
subject to verification and modification by the Department of
Revenue.
  (2) The county assessor shall promptly transmit one copy of
each claim or statement for exemption to the State Fire Marshal
for verification of compliance with applicable laws and rules and
regulations relating to safety from fire. If the State Fire
Marshal refuses such verification, the county assessor shall deny
the claim and cause the nonprofit corporation to be billed for
the real and personal property taxes it would otherwise be liable
to pay.
  (3) The county assessor shall promptly transmit one copy of
each claim or statement for exemption of an eligible farm labor
camp to the appropriate authority under the Oregon Safe
Employment Act for verification of compliance with the health
code for farm labor camps. That authority shall refuse to verify
compliance if the farm labor camp does not comply with the health
code applicable to it or if access to the camp for inspection has
been denied the county assessor or the authorized representative
of the county assessor. If verification is refused, the county
assessor shall deny the claim and cause the nonprofit corporation
to be billed for the real and personal property taxes it would
otherwise be liable to pay.
  (4) If the claim or statement or any part thereof applies to
property used for an eligible child care facility, the county
assessor shall promptly transmit a copy to the  { + Office of + }
Child Care   { - Division - }  for verification of certification.
If the

Enrolled House Bill 3234 (HB 3234-B)                      Page 44

  { - division - }   { + office + } refuses such verification,
the county assessor shall deny the claim and cause the nonprofit
corporation to be billed for the real and personal property taxes
it would otherwise be liable to pay.
  SECTION 77. ORS 315.204 is amended to read:
  315.204. (1) A credit against the taxes otherwise due under ORS
chapter 316 (or, if the taxpayer is a corporation, under ORS
chapter 317 or 318) shall be allowed to a resident employer or to
a corporation that is an employer for amounts paid or incurred
during the taxable year by the employer for dependent care
assistance actually provided to an employee if the assistance is
furnished pursuant to a program which meets the requirements of
section 129(d) of the Internal Revenue Code and if the employer
has received a certificate as provided in subsection (2) of this
section.
  (2)(a) Each employer that elects to receive a credit allowed
under subsection (1) of this section must submit an application
to the   { - Child Care Division of the Employment Department - }
 { + Office of Child Care + } each year the employer wishes to
receive the credit.  The   { - Child Care Division - }
 { + Early Learning Council + } shall prescribe by rule the form
of the application and the information required to be given on
the application.
  (b) The  { + Office of + } Child Care   { - Division - }  shall
issue a certificate to each employer that submits an application
under this subsection.
  (3) The amount of the credit allowed under subsection (1) of
this section shall be 50 percent of the amount so paid or
incurred by the employer during the taxable year but shall not
exceed $2,500 of dependent care assistance actually provided to
the employee.
  (4)(a) A credit against the taxes otherwise due under ORS
chapter 316 (or, if the taxpayer is a corporation, under ORS
chapter 317 or 318) shall be allowed to a resident employer, or
to a corporation that is an employer, based upon amounts paid or
incurred by the employer during the taxable year to provide
information and referral services to assist employees of the
employer employed within this state to obtain dependent care.
  (b) The amount of the credit allowed under this subsection
shall be 50 percent of the amounts paid or incurred during the
taxable year.
  (5) No amount paid or incurred during the taxable year of an
employer in providing dependent care assistance to any employee
shall qualify for the credit allowed under subsection (1) of this
section if the amount was paid or incurred to an individual
described in section 129(c)(1) or (2) of the Internal Revenue
Code.
  (6) No amount paid or incurred by an employer to provide
dependent care assistance to an employee shall qualify for the
credit allowed under subsection (1) of this section if the amount
paid or incurred is paid or incurred pursuant to a salary
reduction plan or is not paid or incurred for services performed
within this state.
  (7) If the credit allowed under subsection (1) or (4) of this
section is claimed, the amount of any deduction allowed or
allowable under ORS chapter 316, 317 or 318 for the amount that
qualifies for the credit (or upon which the credit is based)
shall be reduced by the dollar amount of the credit allowed. The
election to claim a credit allowed under this section shall be

Enrolled House Bill 3234 (HB 3234-B)                      Page 45

made at the time of filing the tax return in accordance with any
rules adopted by the Department of Revenue.
  (8) The amount upon which the credit allowed under subsection
(1) of this section is based shall not be included in the gross
income of the employee to whom the dependent care assistance is
provided. However, the amount excluded from the income of an
employee under this section shall not exceed the limitations
provided in section 129(b) of the Internal Revenue Code. For
purposes of ORS 316.162, with respect to an employee to whom
dependent care assistance is provided, 'wages' does not include
any amount excluded under this subsection. Amounts excluded under
this subsection shall not qualify as expenses for which a credit
is allowed to the employee under ORS 316.078.
  (9) A nonresident shall be allowed the credit allowed under
subsection (1) or (4) of this section. The credit shall be
computed in the same manner and be subject to the same
limitations as the credit granted to a resident.
  (10) If a change in the taxable year of the taxpayer occurs as
described in ORS 314.085, or if the department terminates the
taxpayer's taxable year under ORS 314.440, the credit allowed by
this section shall be prorated or computed in a manner consistent
with ORS 314.085.
  (11) If a change in the status of a taxpayer from resident to
nonresident or from nonresident to resident occurs, the credit
allowed by this section shall be determined in a manner
consistent with ORS 316.117.
  (12) Any tax credit otherwise allowable under this section
which is not used by the taxpayer in a particular year may be
carried forward and offset against the taxpayer's tax liability
for the next succeeding tax year. Any credit remaining unused in
such next succeeding tax year may be carried forward and used in
the second succeeding tax year, and likewise any credit not used
in that second succeeding tax year may be carried forward and
used in the third succeeding tax year, and any credit not used in
that third succeeding tax year may be carried forward and used in
the fourth succeeding tax year, and any credit not used in that
fourth succeeding tax year may be carried forward and used in the
fifth succeeding tax year, but may not be carried forward for any
tax year thereafter.
  (13) For purposes of the credit allowed under subsection (1) or
(4) of this section:
  (a) The definitions and special rules contained in section
129(e) of the Internal Revenue Code shall apply to the extent
applicable.
  (b) 'Employer' means an employer carrying on a business, trade,
occupation or profession in this state.
  (14) In the case of an on-site facility, in accordance with any
rules adopted by the department, the amount upon which the credit
allowed under subsection (1) of this section is based, with
respect to any dependent, shall be based upon utilization and the
value of the services provided.
  SECTION 78. ORS 315.208 is amended to read:
  315.208. (1) A credit against the taxes otherwise due under ORS
chapter 316 (or, if the taxpayer is a corporation that is an
employer, under ORS chapter 317 or 318) is allowed to an
employer, based upon costs actually paid or incurred by the
employer, to acquire, construct, reconstruct, renovate or
otherwise improve real property so that the property may be used
primarily as a dependent care facility.

Enrolled House Bill 3234 (HB 3234-B)                      Page 46

  (2) The credit allowed under this section shall be the lesser
of:
  (a) $2,500 multiplied by the number of full-time equivalent
employees employed by the employer (on the property or within
such proximity to the property that any dependents of the
employees may be cared for in the facility) on any date within
the two years immediately preceding the end of the first tax year
for which credit is first claimed;
  (b) Fifty percent of the cost of the acquisition, construction,
reconstruction, renovation or other improvement; or
  (c) $100,000.
  (3) To qualify for the credit allowed under subsection (1) of
this section:
  (a) The amounts paid or incurred by the employer for the
acquisition, construction, reconstruction, renovation or other
improvement to real property may be paid or incurred either:
  (A) To another to be used to acquire, construct, reconstruct,
renovate or otherwise improve real property to the end that it
may be used as a dependent care facility with which the employer
contracts to make dependent care assistance payments which
payments are wholly or partially entitled to exclusion from
income of the employee for federal tax purposes under section 129
of the Internal Revenue Code; or
  (B) To acquire, construct, reconstruct, renovate or otherwise
improve real property to the end that it may be operated by the
employer, or a combination of employers, to provide dependent
care assistance to the employees of the employer under a program
or programs under which the assistance is, under section 129 of
the Internal Revenue Code, wholly or partially excluded from the
income of the employee.
  (b) The property must be in actual use as a dependent care
facility on the last day of the tax year for which credit is
claimed and dependent care services assisted by the employer must
take place on the acquired, constructed, reconstructed, renovated
or improved property and must be entitled to an exclusion (whole
or partial) from the income of the employee for federal tax
purposes under section 129 of the Internal Revenue Code on the
last day of the tax year for which credit is claimed.
  (c) The person or persons operating the dependent care facility
on the property acquired, constructed, reconstructed, renovated
or improved must hold a certification (temporary or not) issued
under ORS 657A.030 and 657A.250 to 657A.450 by the  { + Office
of + } Child Care   { - Division - }  to operate the facility on
the property on the last day of the tax year of any tax year in
which credit under this section is claimed.
  (d) The dependent care facility acquired, constructed,
reconstructed, renovated or otherwise improved must be located in
Oregon. No credit shall be allowed under this section if the
dependent care facility is not acquired, constructed,
reconstructed, renovated or improved to accommodate six or more
children.
  (e) The employer must meet any other requirements or furnish
any information, including information furnished by the employees
or person operating the dependent care facility, to the
Department of Revenue that the department requires under its
rules to carry out the purposes of this section.
  (f) The dependent care facility, the costs of the acquisition,
construction, reconstruction, renovation or improvement upon
which the credit granted under this section is based, must be
placed in operation before January 1, 2002.

Enrolled House Bill 3234 (HB 3234-B)                      Page 47

  (4) The total amount of the costs upon which the credit
allowable under this section is based, and the total amount of
the credit, shall be determined by the employer, subject to any
rules adopted by the department, during the tax year in which the
property acquired, constructed, reconstructed, renovated or
otherwise improved is first placed in operation as a dependent
care facility certified by the  { + Office of + } Child Care
 { - Division - } under ORS 657A.030 and 657A.250 to 657A.450.
One-tenth of the total credit is allowable in that tax year and
one-tenth of the total credit is allowable in each succeeding tax
year, not to exceed nine tax years, thereafter. No credit shall
be allowed under this section for any tax year at the end of
which the dependent care facility is not in actual operation
under a current certification (temporary or not) issued by the
 { + Office of + } Child Care   { - Division - }  nor shall any
credit be allowed for any tax year at the end of which the
employer is not providing dependent care assistance entitled to
exclusion (whole or partial) from employee income for federal tax
purposes under section 129 of the Internal Revenue Code for
dependent care on the property. Any tax credit allowable under
this section in a tax year may be carried forward in the same
manner and to the same tax years as if it were a tax credit
described in ORS 315.204.
  (5) Nothing in this section shall affect the computation of
depreciation or basis of a dependent care facility. If a
deduction is allowed for purposes of ORS chapter 316, 317 or 318
for the amounts paid or incurred upon which the credit under this
section is based, the deduction shall be reduced by the dollar
amount of the credit granted under this section.
  (6) For purposes of the credit allowed under this section:
  (a) The definitions and special rules contained in section
129(e) of the Internal Revenue Code shall apply to the extent
applicable.
  (b) 'Employer' means a resident, part-year resident or
full-year nonresident employer carrying on a business, trade,
occupation or profession in this state.
  (7) The department shall require that evidence that the person
operating the dependent care facility on the date that the
taxpayer's tax year ends holds a current certification (temporary
or otherwise) to operate the facility accompany the tax return on
which any amount of tax credit granted under this section is
claimed, or that such evidence be separately furnished. If the
evidence is not so furnished, no credit shall be allowed for the
tax year for which the evidence is not furnished. The  { + Office
of + } Child Care   { - Division - }  shall cooperate by making
such evidence, in an appropriate form, available to the person
operating the facility, if the person is currently certified
(temporary or not) so that, if necessary, it may be made
available to the taxpayer.
  SECTION 79. ORS 315.213 is amended to read:
  315.213. (1) A credit against the taxes otherwise due under ORS
chapter 316 or, if the taxpayer is a corporation, under ORS
chapter 317 or 318 is allowed to a taxpayer for certified
contributions made to the  { + Office of + } Child Care
 { - Division - }  under ORS 657A.706.
  (2) The amount of a tax credit available to a taxpayer for a
tax year under this section shall equal the amount stated in the
tax credit certificate received under ORS 657A.706.

Enrolled House Bill 3234 (HB 3234-B)                      Page 48

  (3) The credit allowed under this section may not exceed the
tax liability of the taxpayer for the tax year in which the
credit is claimed.
  (4) If the amount claimed as a credit under this section is
allowed as a deduction for federal tax purposes, the amount
allowed as a credit under this section shall be added to federal
taxable income for Oregon tax purposes.
  (5) A credit under this section may be claimed by a nonresident
or part-year resident without proration.
  (6) Any tax credit otherwise allowable under this section that
is not used by the taxpayer in a particular tax year may be
carried forward and offset against the taxpayer's tax liability
for the next succeeding tax year. Any credit remaining unused in
the next succeeding tax year may be carried forward and used in
the second succeeding tax year, and likewise any credit not used
in that second succeeding tax year may be carried forward and
used in the third succeeding tax year, and any credit not used in
that third succeeding tax year may be carried forward and used in
the fourth succeeding tax year, but may not be carried forward
for any tax year thereafter.
  (7) The definitions in ORS 657A.700 apply to this section.
  SECTION 79a. ORS 326.604 is amended to read:
  326.604.  { + (1) As used in this section, 'care' means the
provision of care, treatment, education, training, instruction,
supervision, placement services, recreation or support to
children, youth or persons with disabilities.
  (2) + } For the purpose of requesting a state or nationwide
criminal records check under ORS 181.534, the Department of
Education may require the fingerprints of a person who:
    { - (1)(a) - }   { + (a)(A)  + }Is employed or applying for
employment by the department; or
    { - (b) - }   { + (B) + } Provides services or seeks to
provide services to the department as a contractor,
 { + subcontractor, + } vendor or volunteer; and
    { - (2) - }   { + (b) + } Is, or will be, working or
providing services in a position:
    { - (a) - }   { + (A) + } In which the person   { - has - }
 { + may have + } unsupervised access to children;
   { +  (B) In which the person may have contact with recipients
of care; + }
    { - (b) - }   { + (C) + } In which the person has access to
confidential or personal information about children, as may be
further defined by the State Board of Education by rule;
    { - (c) - }   { + (D) + } In which the person is providing
information technology services and has control over, or access
to, information technology systems that would allow the person to
harm the information technology systems or the information
contained in the systems;
    { - (d) - }   { + (E) + } In which the person has access to
information, the disclosure of which is prohibited by state or
federal laws, rules or regulations or information that is defined
as confidential under state or federal laws, rules or
regulations;
    { - (e) - }   { + (F) + } That has payroll functions or in
which the person has responsibility for receiving, receipting or
depositing money or negotiable instruments, for billing,
collections or other financial transactions or for purchasing or
selling property or has access to property held in trust or to
private property in the temporary custody of the department;

Enrolled House Bill 3234 (HB 3234-B)                      Page 49

    { - (f) - }   { + (G) + } That has mailroom duties as the
primary duty or job function of the position;
    { - (g) - }   { + (H) + } In which the person has
responsibility for auditing the department;
    { - (h) - }   { + (I) + } That has personnel or human
resources functions as one of the position's primary
responsibilities; or
    { - (i) - }   { + (J) + } In which the person has access to
personal information about employees or members of the public,
including Social Security numbers, dates of birth, driver license
numbers, medical information, personal financial information or
criminal background information.
   { +  (3) In addition to the authority granted by subsection
(2) of this section and for the purpose of requesting a state or
nationwide criminal records check under ORS 181.534, the
Department of Education may require the fingerprints of a person
for the purposes of licensing, certifying, registering or
otherwise regulating or administering programs under the
authority of the department.
  (4) The Department of Education may make fitness determinations
based on criminal offender records and information furnished by
the Federal Bureau of Investigation through the Department of
State Police as provided by ORS 181.534. + }
  SECTION 80. ORS 343.499, as amended by section 41, chapter 37,
Oregon Laws 2012, is amended to read:
  343.499. (1)(a) There is created the State Interagency
Coordinating Council.
  (b) The Governor shall appoint members of the council from a
list of eligible appointees provided by the council and agencies
described in subsection (2) of this section and shall ensure that
the membership of the council reasonably represents the
population of this state.
  (c) The Governor shall designate one member of the council to
serve as the chairperson, or if the Governor chooses not to name
a chairperson, the council may elect one of its members to serve
as chairperson. However, any member of the council who represents
the Department of Education may not serve as the chairperson of
the council.
  (2) The membership of the council shall be composed as follows:
  (a) At least 20 percent of the council members shall be
parents, including minority parents, of preschool children with
disabilities or of children with disabilities who are 12 years of
age or younger who have knowledge of or experience with programs
for infants and toddlers with disabilities. At least one council
member shall be a parent of an infant or toddler with a
disability or of a child with a disability who is six years of
age or younger.
  (b) At least 20 percent of the council members shall be public
or private providers of early intervention and early childhood
special education services.
  (c) At least one council member shall be a member of the
Legislative Assembly.
  (d) At least one council member shall be involved in personnel
preparation.
  (e) At least one council member shall represent the Department
of Human Services.
  (f) At least one council member shall represent the federal
Head Start program.

Enrolled House Bill 3234 (HB 3234-B)                      Page 50

  (g) At least one council member shall represent the   { - Child
Care Division of the Employment Department - }  { +  Office of
Child Care + }.
  (h) At least one council member shall represent the Department
of Education.
  (i) At least one council member shall represent the Department
of Consumer and Business Services.
  (j) At least one council member shall represent the Early
Learning   { - Council - }  { +  Division + }.
  (k) At least one council member shall represent the Child
Development and Rehabilitation Center of the Oregon Health and
Science University.
  (L) At least one council member shall be a member of the State
Advisory Council for Special Education created under ORS 343.287.
  (m) At least one council member shall be a representative
designated by the state coordinator for homeless education.
  (n) At least one council member shall represent the state child
welfare agency responsible for foster care.
  (o) At least one council member shall represent the state
agency responsible for children's mental health.
  (p) At least one council member shall be from the Oregon Health
Authority.
  (q) The council may include other members appointed by the
Governor, including but not limited to one representative from
the United States Bureau of Indian Affairs or, where there is no
school operated or funded by the bureau, from the Indian Health
Service or the tribe or tribal council.
  (3) An individual appointed to represent a state agency that is
involved in the provision of or payment for services for
preschool children with disabilities under subsection (2)(e) and
(h) to (k) of this section shall have sufficient authority to
engage in making and implementing policy on behalf of the agency.
  (4) The State Interagency Coordinating Council shall:
  (a) Advise the Superintendent of Public Instruction, the State
Board of Education and the Early Learning Council on unmet needs
in the early childhood special education and early intervention
programs for preschool children with disabilities, review and
comment publicly on any rules proposed by the State Board of
Education and the distribution of funds for the programs and
assist the state in developing and reporting data on and
evaluations of the programs and services.
  (b) Advise and assist the represented public agencies regarding
the services and programs they provide to preschool children with
disabilities and their families, including public comments on any
proposed rules affecting the target population and the
distribution of funds for such services, and assist each agency
in developing services that reflect the overall goals for the
target population as adopted by the council.
  (c) Advise and assist the Department of Education and other
state agencies in the development and implementation of the
policies that constitute the statewide system.
  (d) Assist all appropriate public agencies in achieving the
full participation, coordination and cooperation for
implementation of a statewide system that includes but is not
limited to:
  (A) Seeking information from service providers, service
coordinators, parents and others about any federal, state or
local policies that impede timely service delivery; and
  (B) Taking steps to ensure that any policy problems identified
under subparagraph (A) of this paragraph are resolved.

Enrolled House Bill 3234 (HB 3234-B)                      Page 51

  (e) Advise and assist the Department of Education in
identifying the sources of fiscal and other support for preschool
services, assigning financial responsibility to the appropriate
agencies and ensuring that the provisions of interagency
agreements under ORS 343.511 are carried out.
  (f) Review and comment on each agency's services and policies
regarding services for preschool children with disabilities, or
preschool children who are at risk of developing disabling
conditions, and their families to the maximum extent possible to
assure cost-effective and efficient use of resources.
  (g) To the extent appropriate, assist the Department of
Education in the resolution of disputes.
  (h) Advise and assist the Department of Education in the
preparation of applications and amendments thereto.
  (i) Advise and assist the Department of Education regarding the
transition of preschool children with disabilities.
  (j) Prepare and submit an annual report to the Governor { + ,
the Early Learning System Director, the Early Learning Council,
the Legislative Assembly  + }and   { - to - }  the United States
Secretary of Education on the status of early intervention
programs operated within this state.
  (5) The council may advise appropriate agencies about
integration of services for preschool children with disabilities
and at-risk preschool children.
  (6) Terms of office for council members shall be three years,
except that:
  (a) The representative from the State Advisory Council for
Special Education shall serve a one-year term; and
  (b) The representatives from other state agencies and the
representative from the Legislative Assembly shall serve
indefinite terms.
  (7) Subject to approval by the Governor, the council may use
federal funds appropriated for this purpose and available to the
council to:
  (a) Conduct hearings and forums;
  (b) Reimburse nonagency council members under ORS 292.495 for
attending council meetings, for performing council duties, and
for necessary expenses, including child care for parent members;
  (c) Pay compensation to a council member if the member is not
employed or if the member must forfeit wages from other
employment when performing official council business;
  (d) Hire staff; and
  (e) Obtain the services of such professional, technical and
clerical personnel as may be necessary to carry out its
functions.
  (8) Except as provided in subsection (7) of this section,
council members shall serve without compensation.
  (9) The Department of Education shall provide clerical and
administrative support, including staff, to the council to carry
out the performance of the council's function as described in
this section.
  (10) The council shall meet at least quarterly. The meetings
shall be announced publicly and, to the extent appropriate, be
open and accessible to the general public.
  (11) No member of the council shall cast a vote on any matter
that would provide direct financial benefit to that member or
otherwise give the appearance of a conflict of interest under
state law.
  SECTION 81. ORS 343.507, as amended by section 42, chapter 37,
Oregon Laws 2012, is amended to read:

Enrolled House Bill 3234 (HB 3234-B)                      Page 52

  343.507. (1) Each contractor for early childhood special
education and early intervention services shall assist in the
development of a local early intervention interagency advisory
council in every county within the contractor's service area.
  (2) Each local early intervention interagency advisory council
shall include as members at least 20 percent parents of preschool
children with disabilities, 20 percent providers of early
childhood special education and early intervention services or
other services to preschool children with disabilities, a
representative of the Early Learning Council and representatives
from public and private agencies that serve young children and
their families, including but not limited to Head Start and
Oregon prekindergartens, community child care, the   { - Child
Care Division of the Employment Department - }  { +  Office of
Child Care + }, local school districts, education service
districts, Department of Education regional special education
programs, community mental health programs, community
developmental disabilities programs, Department of Human Services
health programs, child welfare programs and public assistance
programs, Indian education agencies, migrant programs serving
young children and community colleges.
  (3) Each local early intervention interagency advisory council
shall select its own chairperson and vice chairperson and fix the
duties of its officers.
  (4) The department shall establish procedures pursuant to rules
of the State Board of Education for seeking and considering local
council advice regarding the selection of contractors,
coordination of services and procedures for local resolution of
disputes.
  SECTION 82. ORS 419B.005, as amended by section 60, chapter 37,
Oregon Laws 2012, and section 1, chapter 92, Oregon Laws 2012, is
amended to read:
  419B.005. As used in ORS 419B.005 to 419B.050, unless the
context requires otherwise:
  (1)(a) 'Abuse' means:
  (A) Any assault, as defined in ORS chapter 163, of a child and
any physical injury to a child which has been caused by other
than accidental means, including any injury which appears to be
at variance with the explanation given of the injury.
  (B) Any mental injury to a child, which shall include only
observable and substantial impairment of the child's mental or
psychological ability to function caused by cruelty to the child,
with due regard to the culture of the child.
  (C) Rape of a child, which includes but is not limited to rape,
sodomy, unlawful sexual penetration and incest, as those acts are
described in ORS chapter 163.
  (D) Sexual abuse, as described in ORS chapter 163.
  (E) Sexual exploitation, including but not limited to:
  (i) Contributing to the sexual delinquency of a minor, as
defined in ORS chapter 163, and any other conduct which allows,
employs, authorizes, permits, induces or encourages a child to
engage in the performing for people to observe or the
photographing, filming, tape recording or other exhibition which,
in whole or in part, depicts sexual conduct or contact, as
defined in ORS 167.002 or described in ORS 163.665 and 163.670,
sexual abuse involving a child or rape of a child, but not
including any conduct which is part of any investigation
conducted pursuant to ORS 419B.020 or which is designed to serve
educational or other legitimate purposes; and

Enrolled House Bill 3234 (HB 3234-B)                      Page 53

  (ii) Allowing, permitting, encouraging or hiring a child to
engage in prostitution or to patronize a prostitute, as defined
in ORS chapter 167.
  (F) Negligent treatment or maltreatment of a child, including
but not limited to the failure to provide adequate food,
clothing, shelter or medical care that is likely to endanger the
health or welfare of the child.
  (G) Threatened harm to a child, which means subjecting a child
to a substantial risk of harm to the child's health or welfare.
  (H) Buying or selling a person under 18 years of age as
described in ORS 163.537.
  (I) Permitting a person under 18 years of age to enter or
remain in or upon premises where methamphetamines are being
manufactured.
  (J) Unlawful exposure to a controlled substance, as defined in
ORS 475.005, that subjects a child to a substantial risk of harm
to the child's health or safety.
  (b) 'Abuse' does not include reasonable discipline unless the
discipline results in one of the conditions described in
paragraph (a) of this subsection.
  (2) 'Child' means an unmarried person who is under 18 years of
age.
  (3) 'Higher education institution' means:
  (a) A community college as defined in ORS 341.005;
  (b) A public university listed in ORS 352.002;
  (c) The Oregon Health and Science University; and
  (d) A private institution of higher education located in
Oregon.
  (4) 'Law enforcement agency' means:
  (a) A city or municipal police department.
  (b) A county sheriff's office.
  (c) The Oregon State Police.
  (d) A police department established by a university under ORS
352.383.
  (e) A county juvenile department.
  (5) 'Public or private official' means:
  (a) Physician, osteopathic physician, physician assistant,
naturopathic physician, podiatric physician and surgeon,
including any intern or resident.
  (b) Dentist.
  (c) School employee, including an employee of a higher
education institution.
  (d) Licensed practical nurse, registered nurse, nurse
practitioner, nurse's aide, home health aide or employee of an
in-home health service.
  (e) Employee of the Department of Human Services, Oregon Health
Authority, Early Learning   { - Council - }  { +  Division + },
Youth Development Council,   { - Child Care Division of the
Employment Department - }  { +  Office of Child Care + }, the
Oregon Youth Authority, a county health department, a community
mental health program, a community developmental disabilities
program, a county juvenile department, a licensed child-caring
agency or an alcohol and drug treatment program.
  (f) Peace officer.
  (g) Psychologist.
  (h) Member of the clergy.
  (i) Regulated social worker.
  (j) Optometrist.
  (k) Chiropractor.
  (L) Certified provider of foster care, or an employee thereof.

Enrolled House Bill 3234 (HB 3234-B)                      Page 54

  (m) Attorney.
  (n) Licensed professional counselor.
  (o) Licensed marriage and family therapist.
  (p) Firefighter or emergency medical services provider.
  (q) A court appointed special advocate, as defined in ORS
419A.004.
  (r) A child care provider registered or certified under ORS
657A.030 and 657A.250 to 657A.450.
  (s) Member of the Legislative Assembly.
  (t) Physical, speech or occupational therapist.
  (u) Audiologist.
  (v) Speech-language pathologist.
  (w) Employee of the Teacher Standards and Practices Commission
directly involved in investigations or discipline by the
commission.
  (x) Pharmacist.
  (y) An operator of a preschool recorded program under ORS
657A.255.
  (z) An operator of a school-age recorded program under ORS
657A.257.
  (aa) Employee of a private agency or organization facilitating
the provision of respite services, as defined in ORS 418.205, for
parents pursuant to a properly executed power of attorney under
ORS 109.056.
  (bb) Employee of a public or private organization providing
child-related services or activities:
  (A) Including but not limited to youth groups or centers, scout
groups or camps, summer or day camps, survival camps or groups,
centers or camps that are operated under the guidance,
supervision or auspices of religious, public or private
educational systems or community service organizations; and
  (B) Excluding community-based, nonprofit organizations whose
primary purpose is to provide confidential, direct services to
victims of domestic violence, sexual assault, stalking or human
trafficking.
  (cc) A coach, assistant coach or trainer of an amateur,
semiprofessional or professional athlete, if compensated and if
the athlete is a child.
  SECTION 83. ORS 419B.020 is amended to read:
  419B.020. (1) If the Department of Human Services or a law
enforcement agency receives a report of child abuse, the
department or the agency shall immediately:
  (a) Cause an investigation to be made to determine the nature
and cause of the abuse of the child; and
  (b) Notify the  { + Office of + } Child Care   { - Division - }
if the alleged child abuse occurred in a child care facility as
defined in ORS 657A.250.
  (2) If the abuse reported in subsection (1) of this section is
alleged to have occurred at a child care facility:
  (a) The department and the law enforcement agency shall jointly
determine the roles and responsibilities of the department and
the agency in their respective investigations; and
  (b) The department and the agency shall each report the
outcomes of their investigations to the  { + Office of + } Child
Care
  { - Division - } .
  (3) If the law enforcement agency conducting the investigation
finds reasonable cause to believe that abuse has occurred, the
law enforcement agency shall notify by oral report followed by
written report the local office of the department. The department

Enrolled House Bill 3234 (HB 3234-B)                      Page 55

shall provide protective social services of its own or of other
available social agencies if necessary to prevent further abuses
to the child or to safeguard the child's welfare.
  (4) If a child is taken into protective custody by the
department, the department shall promptly make reasonable efforts
to ascertain the name and address of the child's parents or
guardian.
  (5)(a) If a child is taken into protective custody by the
department or a law enforcement official, the department or law
enforcement official shall, if possible, make reasonable efforts
to advise the parents or guardian immediately, regardless of the
time of day, that the child has been taken into custody, the
reasons the child has been taken into custody and general
information about the child's placement, and the telephone number
of the local office of the department and any after-hours
telephone numbers.
  (b) Notice may be given by any means reasonably certain of
notifying the parents or guardian, including but not limited to
written, telephonic or in-person oral notification. If the
initial notification is not in writing, the information required
by paragraph (a) of this subsection also shall be provided to the
parents or guardian in writing as soon as possible.
  (c) The department also shall make a reasonable effort to
notify the noncustodial parent of the information required by
paragraph (a) of this subsection in a timely manner.
  (d) If a child is taken into custody while under the care and
supervision of a person or organization other than the parent,
the department, if possible, shall immediately notify the person
or organization that the child has been taken into protective
custody.
  (6) If a law enforcement officer or the department, when taking
a child into protective custody, has reasonable cause to believe
that the child has been affected by sexual abuse and rape of a
child as defined in ORS 419B.005 (1)(a)(C) and that physical
evidence of the abuse exists and is likely to disappear, the
court may authorize a physical examination for the purposes of
preserving evidence if the court finds that it is in the best
interest of the child to have such an examination. Nothing in
this section affects the authority of the department to consent
to physical examinations of the child at other times.
  (7) A minor child of 12 years of age or older may refuse to
consent to the examination described in subsection (6) of this
section. The examination shall be conducted by or under the
supervision of a physician licensed under ORS chapter 677 or a
nurse practitioner licensed under ORS chapter 678 and, whenever
practicable, trained in conducting such examinations.
  (8) When the department completes an investigation under this
section, if the person who made the report of child abuse
provided contact information to the department, the department
shall notify the person about whether contact with the child was
made, whether the department determined that child abuse occurred
and whether services will be provided. The department is not
required to disclose information under this subsection if the
department determines that disclosure is not permitted under ORS
419B.035.
  SECTION 84. ORS 419B.035, as amended by section 4, chapter 348,
Oregon Laws 2009, and section 2, chapter 3, Oregon Laws 2012, is
amended to read:
  419B.035. (1) Notwithstanding the provisions of ORS 192.001 to
192.170, 192.210 to 192.505 and 192.610 to 192.990 relating to

Enrolled House Bill 3234 (HB 3234-B)                      Page 56

confidentiality and accessibility for public inspection of public
records and public documents, reports and records compiled under
the provisions of ORS 419B.010 to 419B.050 are confidential and
may not be disclosed except as provided in this section. The
Department of Human Services shall make the records available to:
  (a) Any law enforcement agency or a child abuse registry in any
other state for the purpose of subsequent investigation of child
abuse;
  (b) Any physician, at the request of the physician, regarding
any child brought to the physician or coming before the physician
for examination, care or treatment;
  (c) Attorneys of record for the child or child's parent or
guardian in any juvenile court proceeding;
  (d) Citizen review boards established by the Judicial
Department for the purpose of periodically reviewing the status
of children, youths and youth offenders under the jurisdiction of
the juvenile court under ORS 419B.100 and 419C.005. Citizen
review boards may make such records available to participants in
case reviews;
  (e) A court appointed special advocate in any juvenile court
proceeding in which it is alleged that a child has been subjected
to child abuse or neglect;
  (f) The  { + Office of + } Child Care   { - Division - }  for
certifying, registering or otherwise regulating child care
facilities;
  (g) The Office of Children's Advocate;
  (h) The Teacher Standards and Practices Commission for
investigations conducted under ORS 342.176 involving any child or
any student in grade 12 or below;
  (i) Any person, upon request to the Department of Human
Services, if the reports or records requested regard an incident
in which a child, as the result of abuse, died or suffered
serious physical injury as defined in ORS 161.015. Reports or
records disclosed under this paragraph must be disclosed in
accordance with ORS 192.410 to 192.505; and
  (j) The   { - Child Care Division of the Employment
Department - }  { + Office of Child Care + } for purposes of ORS
657A.030 (8)(g).
  (2)(a) When disclosing reports and records pursuant to
subsection (1)(i) of this section, the Department of Human
Services may exempt from disclosure the names, addresses and
other identifying information about other children, witnesses,
victims or other persons named in the report or record if the
department determines, in written findings, that the safety or
well-being of a person named in the report or record may be
jeopardized by disclosure of the names, addresses or other
identifying information, and if that concern outweighs the
public's interest in the disclosure of that information.
  (b) If the Department of Human Services does not have a report
or record of abuse regarding a child who, as the result of abuse,
died or suffered serious physical injury as defined in ORS
161.015, the department may disclose that information.
  (3) The Department of Human Services may make reports and
records compiled under the provisions of ORS 419B.010 to 419B.050
available to any person, administrative hearings officer, court,
agency, organization or other entity when the department
determines that such disclosure is necessary to administer its
child welfare services and is in the best interests of the
affected child, or that such disclosure is necessary to
investigate, prevent or treat child abuse and neglect, to protect

Enrolled House Bill 3234 (HB 3234-B)                      Page 57

children from abuse and neglect or for research when the Director
of Human Services gives prior written approval. The Department of
Human Services shall adopt rules setting forth the procedures by
which it will make the disclosures authorized under this
subsection or subsection (1) or (2) of this section. The name,
address and other identifying information about the person who
made the report may not be disclosed pursuant to this subsection
and subsection (1) of this section.
  (4) A law enforcement agency may make reports and records
compiled under the provisions of ORS 419B.010 to 419B.050
available to other law enforcement agencies, district attorneys,
city attorneys with criminal prosecutorial functions and the
Attorney General when the law enforcement agency determines that
disclosure is necessary for the investigation or enforcement of
laws relating to child abuse and neglect.
  (5) A law enforcement agency, upon completing an investigation
and closing the file in a specific case relating to child abuse
or neglect, shall make reports and records in the case available
upon request to any law enforcement agency or community
corrections agency in this state, to the Department of
Corrections or to the State Board of Parole and Post-Prison
Supervision for the purpose of managing and supervising offenders
in custody or on probation, parole, post-prison supervision or
other form of conditional or supervised release. A law
enforcement agency may make reports and records compiled under
the provisions of ORS 419B.010 to 419B.050 available to law
enforcement, community corrections, corrections or parole
agencies in an open case when the law enforcement agency
determines that the disclosure will not interfere with an ongoing
investigation in the case. The name, address and other
identifying information about the person who made the report may
not be disclosed under this subsection or subsection (6)(b) of
this section.
  (6)(a) Any record made available to a law enforcement agency or
community corrections agency in this state, to the Department of
Corrections or the State Board of Parole and Post-Prison
Supervision or to a physician in this state, as authorized by
subsections (1) to (5) of this section, shall be kept
confidential by the agency, department, board or physician. Any
record or report disclosed by the Department of Human Services to
other persons or entities pursuant to subsections (1) and (3) of
this section shall be kept confidential.
  (b) Notwithstanding paragraph (a) of this subsection:
  (A) A law enforcement agency, a community corrections agency,
the Department of Corrections and the State Board of Parole and
Post-Prison Supervision may disclose records made available to
them under subsection (5) of this section to each other, to law
enforcement, community corrections, corrections and parole
agencies of other states and to authorized treatment providers
for the purpose of managing and supervising offenders in custody
or on probation, parole, post-prison supervision or other form of
conditional or supervised release.
  (B) A person may disclose records made available to the person
under subsection (1)(i) of this section if the records are
disclosed for the purpose of advancing the public interest.
  (7) An officer or employee of the Department of Human Services
or of a law enforcement agency or any person or entity to whom
disclosure is made pursuant to subsections (1) to (6) of this
section may not release any information not authorized by
subsections (1) to (6) of this section.

Enrolled House Bill 3234 (HB 3234-B)                      Page 58

  (8) As used in this section, 'law enforcement agency' has the
meaning given that term in ORS 181.010.
  (9) A person who violates subsection (6)(a) or (7) of this
section commits a Class A violation.
  SECTION 85. ORS 646A.504 is amended to read:
  646A.504. As used in ORS 646A.500 to 646A.514:
  (1) 'Commercial user' means any person, firm, corporation,
association or nonprofit corporation, or any agent or employee
thereof, including child care facilities or family child care
homes certified or registered by the  { + Office of + } Child
Care
  { - Division - }  under ORS 657A.250 to 657A.450, who:
  (a) Deals in cribs of the kind governed by ORS 646A.500 to
646A.514;
  (b) By virtue of the person's occupation, purports to have
knowledge or skill peculiar to the cribs governed by ORS 646A.500
to 646A.514; or
  (c) Is in the business of remanufacturing, retrofitting,
selling, leasing, subletting or otherwise placing cribs in the
stream of commerce.
  (2) 'Crib' means:
  (a) Any full-size crib as that term is defined in 16
C.F.R. 1508.3; or
  (b) Any nonfull-size crib as that term is defined in 16 C.F.R.
1509.2(b).
  (3) 'Individual' means a natural person who is not a commercial
user of cribs.
  (4) 'Infant' means an individual who is less than three years
of age.
  SECTION 86. Section 130, chapter 37, Oregon Laws 2012, is
amended to read:
   { +  Sec. 130. + } (1) In addition to the minimum standards
established for child care facilities and the operation of child
care facilities under ORS 657A.260 and subject to available
funds, the   { - Child Care Division of the Employment
Department - }  { +  Office of Child Care + }, under the
direction and with the approval of the Early Learning Council,
shall initiate development of a tiered quality rating and
improvement system for child care facilities.
  (2) The tiered quality rating and improvement system
implemented under this section shall:
  (a) Establish a set of progressively higher standards that are
used to evaluate the quality of an early learning and development
program and to support program improvement.
  (b) Consist of the following components:
  (A) Tiered standards that define a progression of quality for
early learning and development programs.
  (B) Monitoring of programs to evaluate quality based on
established standards.
  (C) Support for programs and providers of programs to meet
tiered quality standards, including training, technical
assistance and financial incentives.
  (D) Program quality ratings that are publicly available.

                               { +
STATE BOARD OF EDUCATION + }

  SECTION 87. ORS 326.021 is amended to read:
  326.021. (1) The State Board of Education shall consist of:

Enrolled House Bill 3234 (HB 3234-B)                      Page 59

  (a) The State Treasurer, or the designee of the State
Treasurer;
  (b) The Secretary of State, or the designee of the Secretary of
State;   { - and - }
   { +  (c) One member of the Oregon Education Investment Board;
and + }
    { - (c) - }   { + (d) + }   { - Seven - }   { + Six + }
members, appointed by the Governor for a term of four years
beginning July 1 of the year of appointment, subject to
confirmation by the Senate in the manner provided in ORS 171.562
and 171.565. A person appointed under this paragraph may not be
appointed to serve consecutively more than two full terms as a
board member.
  (2) In making appointments under subsection (1) of this
section, the Governor shall select from residents of Oregon one
member from each congressional district and   { - two members - }
 { + one member + } from the state at large. An appointed member
may not be engaged in teaching or participate in the
administration or operation of any school.
  (3) The Governor may remove appointed members of the State
Board of Education for cause at any time after notice and public
hearing.
  (4) The State Treasurer and the Secretary of State, or the
designee of the State Treasurer or Secretary of State, are
nonvoting, ex officio members of the board.
  SECTION 88. ORS 326.021, as amended by section 87 of this 2013
Act, is amended to read:
  326.021. (1) The State Board of Education shall consist of:
  (a) The State Treasurer, or the designee of the State
Treasurer;
  (b) The Secretary of State, or the designee of the Secretary of
State;  { + and + }
    { - (c) One member of the Oregon Education Investment Board;
and - }
    { - (d) - }   { + (c) + }   { - Six - }   { + Seven + }
members, appointed by the Governor for a term of four years
beginning July 1 of the year of appointment, subject to
confirmation by the Senate in the manner provided in ORS 171.562
and 171.565. A person appointed under this paragraph may not be
appointed to serve consecutively more than two full terms as a
board member.
  (2) In making appointments under subsection (1) of this
section, the Governor shall select from residents of Oregon one
member from each congressional district and   { - one member - }
 { + two members + } from the state at large. An appointed member
may not be engaged in teaching or participate in the
administration or operation of any school.
  (3) The Governor may remove appointed members of the State
Board of Education for cause at any time after notice and public
hearing.
  (4) The State Treasurer and the Secretary of State, or the
designee of the State Treasurer or Secretary of State, are
nonvoting, ex officio members of the board.
  SECTION 89. Section 10, chapter 519, Oregon Laws 2011, as
amended by section 1, chapter 37, Oregon Laws 2012, is amended to
read:
   { +  Sec. 10. + }  { + (1) + } Sections 1, 2, 3, 5, 6 and 7,
chapter 519, Oregon Laws 2011, are repealed on March 15, 2016.
   { +  (2) The amendments to ORS 326.021 by section 88 of this
2013 Act become operative on March 15, 2016. + }

Enrolled House Bill 3234 (HB 3234-B)                      Page 60

                               { +
RELIEF NURSERIES + }

  SECTION 90. Section 104, chapter 37, Oregon Laws 2012, is
amended to read:
   { +  Sec. 104. + }  { + (1) + } The amendments to statutes by
sections   { - 83 to 102 of this 2012 Act - }   { + 83 to 91 and
93 to 102, chapter 37, Oregon Laws 2012, + } and the repeal of
statutes by section 103   { - of this 2012 Act - }  { + , chapter
37, Oregon Laws 2012, + } become operative on January 1, 2014.
   { +  (2) The amendments to ORS 417.788 by section 92, chapter
37, Oregon Laws 2012, become operative on the effective date of
this 2013 Act. + }

                               { +
MISCELLANEOUS PROVISIONS + }

  SECTION 91.  { + Sections 1a to 1g, 20, 28, 36 to 37f and 39 of
this 2013 Act and the amendments to ORS 131A.360, 131A.365,
307.145, 307.490, 307.500, 315.204, 315.208, 315.213, 326.021,
326.604, 329.075, 329.156, 329.165, 329.170, 329.175, 329.183,
329.185, 329.190, 329.195, 329.200, 343.499, 343.507, 417.787,
417.788, 417.790, 417.793, 417.795, 418.975, 419B.005, 419B.020,
419B.035, 458.525, 609.652, 646A.504, 657A.010, 657A.020,
657A.030, 657A.180, 657A.190, 657A.250, 657A.252, 657A.255,
657A.257, 657A.260, 657A.263, 657A.270, 657A.275, 657A.280,
657A.290, 657A.300, 657A.310, 657A.330, 657A.350, 657A.360,
657A.370, 657A.390, 657A.400, 657A.410, 657A.420, 657A.450,
657A.490, 657A.700, 657A.703, 657A.706, 657A.709, 657A.712,
657A.715, 657A.718 and 657A.992 and sections 10, 68b and 130,
chapter 37, Oregon Laws 2012, by sections 2 to 12, 19, 21 to 27,
29 to 35, 38 and 40 to 87 of this 2013 Act become operative on
July 1, 2013. + }
  SECTION 92.  { + The unit captions used in this 2013 Act are
provided only for the convenience of the reader and do not become
part of the statutory law of this state or express any
legislative intent in the enactment of this 2013 Act. + }
  SECTION 93.  { + This 2013 Act being necessary for the
immediate preservation of the public peace, health and safety, an
emergency is declared to exist, and this 2013 Act takes effect on
its passage. + }
                         ----------

Enrolled House Bill 3234 (HB 3234-B)                      Page 61

Passed by House June 27, 2013

    .............................................................
                             Ramona J. Line, Chief Clerk of House

    .............................................................
                                     Tina Kotek, Speaker of House

Passed by Senate July 1, 2013

    .............................................................
                              Peter Courtney, President of Senate

Enrolled House Bill 3234 (HB 3234-B)                      Page 62

Received by Governor:

......M.,............., 2013

Approved:

......M.,............., 2013

    .............................................................
                                         John Kitzhaber, Governor

Filed in Office of Secretary of State:

......M.,............., 2013

    .............................................................
                                   Kate Brown, Secretary of State

Enrolled House Bill 3234 (HB 3234-B)                      Page 63
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