Bill Text: OR SB1579 | 2012 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to state financial administration; and declaring an emergency.

Spectrum: Unknown

Status: (Passed) 2012-04-12 - Effective date, April 11, 2012. [SB1579 Detail]

Download: Oregon-2012-SB1579-Introduced.html


     76th OREGON LEGISLATIVE ASSEMBLY--2012 Regular Session

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

LC 218

                        Senate Bill 1579

Printed pursuant to Senate Interim Rule 213.28 by order of the
  President of the Senate in conformance with presession filing
  rules, indicating neither advocacy nor opposition on the part
  of the President (at the request of Joint Interim Committee on
  Ways and Means)

                             SUMMARY

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

  Repeals allotment provision applicable to first fiscal year of
current biennium.
  Directs State Treasurer or Director of Oregon Department of
Administrative Services to report to Legislative Assembly if
treasurer or director cancels scheduled issuance of bonds or
other financing agreement.
  Modifies reporting and other provisions applicable to Joint
Committee on Ways and Means, Emergency Board and Joint Interim
Committee on Ways and Means.
  Declares emergency, effective on passage.

                        A BILL FOR AN ACT
Relating to state financial administration; creating new
  provisions; amending ORS 171.585, 184.360, 199.432, 276.390,
  278.125, 285B.266, 286A.160, 291.100, 291.217, 291.342,
  291.349, 291.371, 291.373, 291.375, 314.840, 390.124, 390.134,
  396.515, 411.072, 413.072, 454.439, 468.220, 656.612 and
  731.272 and section 4, chapter 220, Oregon Laws 2011; repealing
  ORS 291.385 and 391.100 and section 28, chapter 630, Oregon
  Laws 2011; and declaring an emergency.
Be It Enacted by the People of the State of Oregon:

                               { +
ALLOTMENTS + }

  SECTION 1.  { + Section 28, chapter 630, Oregon Laws 2011, is
repealed. + }

                               { +
BONDING + }

  SECTION 2.  { + Section 3 of this 2012 Act is added to and made
a part of ORS chapter 286A. + }
  SECTION 3.  { + (1) If the State Treasurer or Director of the
Oregon Department of Administrative Services determines that the
treasurer or director will cancel an issuance of bonds, or a
financing agreement as defined in ORS 283.085, that was
authorized by law and previously scheduled, the treasurer or
director shall provide written notice to the President of the
Senate, the Speaker of the House of Representatives and the
Legislative Fiscal Officer.
  (2) The treasurer or director shall provide the notice not
later than 30 days after the date the issuance of the bonds or
financing agreement was scheduled. + }

                               { +
REPORTS TO JOINT COMMITTEE ON WAYS AND MEANS + }

  SECTION 4. Section 4, chapter 220, Oregon Laws 2011, is amended
to read:
   { +  Sec. 4. + } (1)   { - Sections 1 and 2 of this 2011
Act - }   { + ORS 431.862 and 431.864 + } become operative
 { - when the Oregon Health Authority receives funding described
in section 3 of this 2011 Act - }   { + on the date that the
Office of the Legislative Counsel receives written notice from
the Oregon Health Authority indicating that the authority has
received an amount of moneys under ORS 431.866  + }that is
sufficient to carry out the provisions of   { - section 1 of this
2011 Act - }  { +  ORS 431.862 + }.
  (2) The authority may take   { - any action - }   { + the
actions described in ORS 431.866 + } before the operative date
specified in subsection (1) of this section to obtain the
 { - funding - }   { + moneys + } necessary to carry out the
provisions of   { - section 1 of this 2011 Act - }  { +  ORS
431.862 + }.
  (3) Until the operative date specified in subsection (1) of
this section, the authority shall report on   { - the status of
funding requests made under this section at each meeting of the
interim - }  { +  the actions taken by the authority pursuant to
ORS 431.866 to the + } Joint Committee on Ways and Means   { - or
to each meeting of the Human Services Subcommittee of the interim
Joint Committee on Ways and Means - }  { +  at least once during
an odd-numbered year regular session of the Legislative
Assembly + }.

                               { +
REPORTS TO JOINT INTERIM COMMITTEE ON WAYS AND MEANS + }

  SECTION 5. ORS 171.585 is amended to read:
  171.585. The Joint Legislative Audit Committee shall:
  (1) Review all audits and make recommendations for change or
remediation by the agency or other organization under review to
the Emergency Board  { + or to the Joint Interim Committee on
Ways and Means + }, the Joint { +  Committee on + } Ways and
Means   { - Committee - }  and other persons receiving the audit
report under ORS 192.245.
  (2) Accept requests for performance and program audits from
individual legislators, legislative committees, the Division of
Audits, the Budget and Management Division and the Legislative
Fiscal Office.
  (3) In conjunction with the Director of the Division of Audits,
set priorities on the basis of risk assessment for performance
and program audits and program evaluations.
  (4) With the advice and assistance of the Legislative Fiscal
Officer, the Administrator of the Budget and Management Division
and the Director of the Division of Audits, determine the type of
audit, evaluation or review utilizing criteria to include but not
be limited to the nature and scope of the task, the time frame
involved, necessary professional guidelines, economy, efficiency,
cost and cost responsibility.
  (5) Not later than 12 months after the issuance of an audit
report, review the actions of an agency or other government

organization for compliance with the recommendations of the audit
report.
  (6) Assign tasks to the Legislative Fiscal Office, the Budget
and Management Division, the Division of Audits or a special task
force.
  (7) Review state agency performance measures and make
recommendations for change.
  SECTION 6. ORS 184.360 is amended to read:
  184.360. (1) As used in this section:
  (a) 'Executive department' has the meaning given that term in
ORS 174.112.
  (b) 'State government' has the meaning given that term in ORS
174.111.
  (2) It is the policy of this state that internal audit
activities within state government be coordinated to promote
effectiveness.
  (3) The Oregon Department of Administrative Services shall
adopt rules setting standards and policies for internal audit
functions within state government. The rules shall include, but
are not limited to:
  (a) Standards for internal audits that are consistent with and
incorporate commonly recognized industry standards and practices;
and
  (b) Policies and procedures that ensure the integrity of the
internal audit process.
  (4) Each agency of the executive department required to have an
internal audit function shall produce a risk assessment of the
entire agency that conforms to audit standards established by
nationally recognized entities such as the United States
Government Accountability Office or the Institute of Internal
Auditors. The agency shall use its risk assessment as the basis
for the selection and performance of at least one internal audit
per calendar year.
  (5) Each agency of the executive department required to have an
internal audit function shall audit a component of its governance
and risk management processes at least once every five years and
file a report with the Oregon Department of Administrative
Services.
  (6) Not later than December 31 of each calendar year, the
Oregon Department of Administrative Services shall prepare
 { - and submit - }  a report  { + describing internal audit
activities that have occurred in state government during the
calendar year in which the report is prepared. The department
shall submit the report  + }to the Joint Legislative Audit
Committee. In the absence of the Joint Legislative Audit
Committee, the department shall submit the report to the Joint
Committee on Ways and Means { + , the Joint Interim Committee on
Ways and Means, + }   { - or - }  the Emergency Board  { + or
another committee of the Legislative Assembly designated by the
President of the Senate and the Speaker of the House of
Representatives to receive the report + }.   { - The report shall
describe internal audit activities that have occurred in state
government during the calendar year in which the report is
prepared. - }
  SECTION 7. ORS 276.390 is amended to read:
  276.390. (1) Not later than June 30 of each even-numbered year,
the Oregon Department of Administrative Services shall submit to
the Emergency Board  { + or to the Joint Interim Committee on
Ways and Means  + }a schedule of rentals proposed for the
biennium beginning on July 1 of the next calendar year.   { - Any
changes in an existing schedule of rentals, or rentals for new
buildings or facilities, are subject to approval by the Emergency
Board. - }  The Emergency Board  { + or the Joint Interim
Committee on Ways and Means + } shall recommend to the next
odd-numbered year regular session of the Legislative Assembly
that it appropriate for each agency occupying space in such a
building or facility an amount sufficient to pay rentals required
under the schedule   { - as approved by the Emergency Board - } .
  (2) The Emergency Board   { - shall adopt - }   { + or the
Joint Interim Committee on Ways and Means shall recommend to the
next odd-numbered year regular session of the Legislative
Assembly + } a schedule of rentals for each biennium with respect
to the State Capitol and the Supreme Court Building.
  SECTION 8. ORS 291.217 is amended to read:
  291.217. (1) As used in this section:
  (a) 'Continuous improvement' means a set of actions designed to
permanently improve state agency performance, either in a
specific targeted area or across all levels of an agency, through
the use of structured process analysis and problem solving.
  (b) 'Outcomes-based budget' means a budget that allocates
government resources to those uses of taxpayer moneys and fee
revenues that will best produce the outcomes most important to
the residents of this state, that generates options for funding,
that uses service redesign, competition, collaboration and
prioritization to drive continuous improvement and innovations,
and that can be used to align government, nonprofit and private
resources to help produce the desired outcomes.
  (c) 'Performance management' means a formal, comprehensive set
of business processes, including strategic planning, performance
measurement, leadership, process management and human resources
that help ensure more efficient and effective management
operations and practices and reduce costs.
  (d) 'Performance measurement' means a process of assessing
progress toward achieving predetermined program objectives,
including information on the efficiency with which resources are
transformed into goods and services, the quality of those goods
and services, the results of a program activity compared to its
intended purpose and the effectiveness of state agency operations
in terms of their specific contributions to program objectives.
  (e) 'State agency' means every state officer, board,
commission, department, institution, branch or agency of the
state government whose costs are paid wholly or in part from
funds held in the State Treasury.
  (f) 'State government' has the meaning given that term in ORS
174.111.
  (2) As part of the tentative budget plan and the budget report
required under ORS 291.210 and 291.216, the Oregon Department of
Administrative Services and the Governor shall submit an
outcomes-based budget. The outcomes-based budget shall be based
on the results of state agency continuous improvement actions,
performance management and performance measurement, shall
describe and measure state agency efforts to implement process
improvements and shall reflect state agency efforts to achieve,
through process improvements, quality service delivery at a lower
cost.
  (3) The budget for each state agency shall:
  (a) Identify how the agency is addressing continuous
improvement, performance management and performance measurement;
and
  (b) For each agency program, state the number of persons
served, or other units of service provided, by the program.
  (4) The Joint Committee on Ways and Means, the Emergency
Board { + , the Joint Interim Committee on Ways and Means + } and
the Legislative Fiscal Office may review performance management
and performance measurement processes for services provided by
contract by state agencies or by school districts.
  SECTION 9. ORS 291.373 is amended to read:
  291.373. (1) As used in this section, 'state agency' has the
meaning given that term in ORS 291.002.
  (2) A state agency shall report, as provided in this section,
to the appropriate committee of the Legislative Assembly if the

agency makes substantive changes in programs after the agency's
budget is approved by the Legislative Assembly.
  (3) The Oregon Department of Administrative Services shall
adopt rules defining what constitutes a substantive program
change for purposes of this section. When an agency has made a
substantive program change as defined by the department, the
agency shall notify the department of the change. The department
shall notify the Speaker of the House of Representatives and the
President of the Senate of substantive program changes made by
state agencies.
  (4) Based upon information submitted by the Oregon Department
of Administrative Services under subsection (3) of this section,
the Speaker of the House of Representatives and the President of
the Senate shall determine which committee is appropriate for
each report that is to be made under subsection (2) of this
section.
  (5) A committee to which a report is to be made under
subsection (2) of this section may request that the report be
made orally or in writing.
  (6) An agency need not report to a committee under subsection
(2) of this section on any matter that the agency is required by
ORS 291.371  { - , - }   { + or + } 291.375   { - and 291.385 - }
to report or present to the Emergency Board { + , to the Joint
Interim Committee on Ways and Means  + }or to the Joint Committee
on Ways and Means.
  SECTION 10. ORS 291.375 is amended to read:
  291.375. (1) Prior to the submission of any application for
financial assistance or grants from the United States or any
agency   { - thereof - }   { + of the United States + } by or on
behalf of any agency of this state, the application must be
submitted for legislative review in the following manner:
  (a) If the application is to be submitted to the federal
government when the Legislative Assembly is in session, the
application shall be submitted to the Joint Committee on Ways and
Means for review.
  (b) If the application is to be submitted to the federal
government when the Legislative Assembly is not in session, the
application shall be submitted to the Emergency Board or to the
  { - interim - }  Joint  { + Interim + } Committee on Ways and
Means for review.
  (2) If the legislative agency authorized under subsection (1)
of this section to review applications described therein approves
the application, it may be submitted to the appropriate federal
agency. If the legislative agency disapproves of the application,
it   { - shall - }  { +  may + } not be submitted to any federal
agency unless it is or can be modified to meet the objections of
the legislative agency.
  (3) Notwithstanding subsection (1) of this section, the Joint
Committee on Ways and Means { + , + }   { - and - }  the
Emergency Board  { + or the Joint Interim Committee on Ways and
Means  + }may exempt any state agency from the requirements of
this section. Project grants for departmental research, organized
activities related to instruction, sponsored research or other
sponsored programs carried on within the Oregon University
System, for which no biennial expenditure limitations have been
established, are exempt from the requirements of this section.
  (4) The review required by this section is in addition to and
not in lieu of the requirements of ORS 293.550.
  SECTION 11. ORS 314.840 is amended to read:
  314.840. (1) The Department of Revenue may:
  (a) Furnish any taxpayer, representative authorized to
represent the taxpayer under ORS 305.230 or person designated by
the taxpayer under ORS 305.193, upon request of the taxpayer,
representative or designee, with a copy of the taxpayer's income
tax return filed with the department for any year, or with a copy
of any report filed by the taxpayer in connection with the
return, or with any other information the department considers
necessary.
  (b) Publish lists of taxpayers who are entitled to unclaimed
tax refunds.
  (c) Publish statistics so classified as to prevent the
identification of income or any particulars contained in any
report or return.
  (d) Disclose a taxpayer's name, address, telephone number,
refund amount, amount due, Social Security number, employer
identification number or other taxpayer identification number to
the extent necessary in connection with collection activities or
the processing and mailing of correspondence or of forms for any
report, return or claim required in the administration of ORS
310.630 to 310.706, any local tax under ORS 305.620, or any law
imposing a tax upon or measured by net income.
  (2) The department also may disclose and give access to
information described in ORS 314.835 to:
  (a) The Governor of the State of Oregon or the authorized
representative of the Governor:
  (A) With respect to an individual who is designated as being
under consideration for appointment or reappointment to an office
or for employment in the office of the Governor. The information
disclosed shall be confined to whether the individual:
  (i) Has filed returns with respect to the taxes imposed by ORS
chapter 316 for those of not more than the three immediately
preceding years for which the individual was required to file an
Oregon individual income tax return.
  (ii) Has failed to pay any tax within 30 days from the date of
mailing of a deficiency notice or otherwise respond to a
deficiency notice within 30 days of its mailing.
  (iii) Has been assessed any penalty under the Oregon personal
income tax laws and the nature of the penalty.
  (iv) Has been or is under investigation for possible criminal
offenses under the Oregon personal income tax laws. Information
disclosed pursuant to this paragraph shall be used only for the
purpose of making the appointment, reappointment or decision to
employ or not to employ the individual in the office of the
Governor.
  (B) For use by an officer or employee of the Oregon Department
of Administrative Services duly authorized or employed to prepare
revenue estimates, or a person contracting with the Oregon
Department of Administrative Services to prepare revenue
estimates, in the preparation of revenue estimates required for
the Governor's budget under ORS 291.201 to 291.226, or required
for submission to the Emergency Board { +  or the Joint Interim
Committee on Ways and Means + }, or if the Legislative Assembly
is in session, to the Joint Committee on Ways and Means, and to
the Legislative Revenue Officer  { + or Legislative Fiscal
Officer + } under ORS 291.342, 291.348 and 291.445. The
Department of Revenue shall disclose and give access to the
information described in ORS 314.835 for the purposes of this
subparagraph only if:
  (i) The request for information is made in writing, specifies
the purposes for which the request is made and is signed by an
authorized representative of the Oregon Department of
Administrative Services. The form for request for information
shall be prescribed by the Oregon Department of Administrative
Services and approved by the Director of the Department of
Revenue.
  (ii) The officer, employee or person receiving the information
does not remove from the premises of the Department of Revenue
any materials that would reveal the identity of a personal or
corporate taxpayer.
  (b) The Commissioner of Internal Revenue or authorized
representative, for tax administration and compliance purposes
only.
  (c) For tax administration and compliance purposes, the proper
officer or authorized representative of any of the following
entities that has or is governed by a provision of law that meets
the requirements of any applicable provision of the Internal
Revenue Code as to confidentiality:
  (A) A state;
  (B) A city, county or other political subdivision of a state;
  (C) The District of Columbia; or
  (D) An association established exclusively to provide services
to federal, state or local taxing authorities.
  (d) The Multistate Tax Commission or its authorized
representatives, for tax administration and compliance purposes
only. The Multistate Tax Commission may make the information
available to the Commissioner of Internal Revenue or the proper
officer or authorized representative of any governmental entity
described in and meeting the qualifications of paragraph (c) of
this subsection.
  (e) The Attorney General, assistants and employees in the
Department of Justice, or other legal representative of the State
of Oregon, to the extent the department deems disclosure or
access necessary for the performance of the duties of advising or
representing the department pursuant to ORS 180.010 to 180.240
and the tax laws of this state.
  (f) Employees of the State of Oregon, other than of the
Department of Revenue or Department of Justice, to the extent the
department deems disclosure or access necessary for such
employees to perform their duties under contracts or agreements
between the department and any other department, agency or
subdivision of the State of Oregon, in the department's
administration of the tax laws.
  (g) Other persons, partnerships, corporations and other legal
entities, and their employees, to the extent the department deems
disclosure or access necessary for the performance of such
others' duties under contracts or agreements between the
department and such legal entities, in the department's
administration of the tax laws.
  (h) The Legislative Revenue Officer or authorized
representatives upon compliance with ORS 173.850. Such officer or
representative shall not remove from the premises of the
department any materials that would reveal the identity of any
taxpayer or any other person.
  (i) The Department of Consumer and Business Services, to the
extent the department requires such information to determine
whether it is appropriate to adjust those workers' compensation
benefits the amount of which is based pursuant to ORS chapter 656
on the amount of wages or earned income received by an
individual.
  (j) Any agency of the State of Oregon, or any person, or any
officer or employee of such agency or person to whom disclosure
or access is given by state law and not otherwise referred to in
this section, including but not limited to the Secretary of State
as Auditor of Public Accounts under section 2, Article VI of the
Oregon Constitution; the Department of Human Services pursuant to
ORS 314.860 and 412.094; the Division of Child Support of the
Department of Justice and district attorney regarding cases for
which they are providing support enforcement services under ORS
25.080; the State Board of Tax Practitioners, pursuant to ORS
673.710; and the Oregon Board of Accountancy, pursuant to ORS
673.415.
  (k) The Director of the Department of Consumer and Business
Services to determine that a person complies with ORS chapter 656
and the Director of the Employment Department to determine that a
person complies with ORS chapter 657, the following employer
information:
  (A) Identification numbers.
  (B) Names and addresses.
  (C) Inception date as employer.
  (D) Nature of business.
  (E) Entity changes.
  (F) Date of last payroll.
  (L) The Director of Human Services to determine that a person
has the ability to pay for care that includes services provided
by the Eastern Oregon Training Center or the Department of Human
Services to collect any unpaid cost of care as provided by ORS
chapter 179.
  (m) The Director of the Oregon Health Authority to determine
that a person has the ability to pay for care that includes
services provided by the Blue Mountain Recovery Center or the
Oregon State Hospital or the Oregon Health Authority to collect
any unpaid cost of care as provided by ORS chapter 179.
  (n) Employees of the Employment Department to the extent the
Department of Revenue deems disclosure or access to information
on a combined tax report filed under ORS 316.168 is necessary to
performance of their duties in administering the tax imposed by
ORS chapter 657.
  (o) The State Fire Marshal to assist the State Fire Marshal in
carrying out duties, functions and powers under ORS 453.307 to
453.414, the employer or agent name, address, telephone number
and standard industrial classification, if available.
  (p) Employees of the Department of State Lands for the purposes
of identifying, locating and publishing lists of taxpayers
entitled to unclaimed refunds as required by the provisions of
chapter 694, Oregon Laws 1993. The information shall be limited
to the taxpayer's name, address and the refund amount.
  (q) In addition to the disclosure allowed under ORS 305.225,
state or local law enforcement agencies to assist in the
investigation or prosecution of the following criminal
activities:
  (A) Mail theft of a check, in which case the information that
may be disclosed shall be limited to the stolen document, the
name, address and taxpayer identification number of the payee,
the amount of the check and the date printed on the check.
  (B) The counterfeiting, forging or altering of a check
submitted by a taxpayer to the Department of Revenue or issued by
the Department of Revenue to a taxpayer, in which case the
information that may be disclosed shall be limited to the
counterfeit, forged or altered document, the name, address and
taxpayer identification number of the payee, the amount of the
check, the date printed on the check and the altered name and
address.
  (r) The United States Postal Inspection Service or a federal
law enforcement agency, including but not limited to the United
States Department of Justice, to assist in the investigation of
the following criminal activities:
  (A) Mail theft of a check, in which case the information that
may be disclosed shall be limited to the stolen document, the
name, address and taxpayer identification number of the payee,
the amount of the check and the date printed on the check.
  (B) The counterfeiting, forging or altering of a check
submitted by a taxpayer to the Department of Revenue or issued by
the Department of Revenue to a taxpayer, in which case the
information that may be disclosed shall be limited to the
counterfeit, forged or altered document, the name, address and
taxpayer identification number of the payee, the amount of the
check, the date printed on the check and the altered name and
address.
  (s) The United States Financial Management Service, for
purposes of facilitating the offsets described in ORS 305.612.
  (t) A municipal corporation of this state for purposes of
assisting the municipal corporation in the administration of a
tax of the municipal corporation that is imposed on or measured
by income, wages or net earnings from self-employment. Any
disclosure under this paragraph may be made only pursuant to a
written agreement between the Department of Revenue and the
municipal corporation that ensures the confidentiality of the
information disclosed.
  (u) A consumer reporting agency, to the extent necessary to
carry out the purposes of ORS 314.843.
  (v) The Public Employees Retirement Board, to the extent
necessary to carry out the purposes of ORS 238.372 to 238.384,
and to any public employer, to the extent necessary to carry out
the purposes of ORS 237.637 (2).
  (3)(a) Each officer or employee of the department and each
person described or referred to in subsection (2)(a), (e) to (k)
or (n) to (q) of this section to whom disclosure or access to the
tax information is given under subsection (2) of this section or
any other provision of state law, prior to beginning employment
or the performance of duties involving such disclosure or access,
shall be advised in writing of the provisions of ORS 314.835 and
314.991, relating to penalties for the violation of ORS 314.835,
and shall as a condition of employment or performance of duties
execute a certificate for the department, in a form prescribed by
the department, stating in substance that the person has read
these provisions of law, that the person has had them explained
and that the person is aware of the penalties for the violation
of ORS 314.835.
  (b) The disclosure authorized in subsection (2)(r) of this
section shall be made only after a written agreement has been
entered into between the Department of Revenue and the person
described in subsection (2)(r) of this section to whom disclosure
or access to the tax information is given, providing that:
  (A) Any information described in ORS 314.835 that is received
by the person pursuant to subsection (2)(r) of this section is
confidential information that may not be disclosed, except to the
extent necessary to investigate or prosecute the criminal
activities described in subsection (2)(r) of this section;
  (B) The information shall be protected as confidential under
applicable federal and state laws; and
  (C) The United States Postal Inspection Service or the federal
law enforcement agency shall give notice to the Department of
Revenue of any request received under the federal Freedom of
Information Act, 5 U.S.C. 552, or other federal law relating to
the disclosure of information.
  (4) The Department of Revenue may recover the costs of
furnishing the information described in subsection (2)(k) to (m)
and (o) to (q) of this section from the respective agencies.
  SECTION 12. ORS 396.515 is amended to read:
  396.515. (1) Subject to the restriction contained in subsection
(4) of this section, the Oregon Military Department may sell,
exchange or lease any military department real property that is
found to have become unsuitable for military department purposes.
The Adjutant General shall make a determination of the
unsuitability of the property for military department purposes
and the advisability or necessity of sale, exchange or lease of
the property.
  (2) Title to any real property sold or exchanged shall be given
in the name of the State of Oregon, and the deed conveying the
title shall be signed by the Adjutant General. Title to real
property received in exchange of military department real
property shall be taken in the name of the State of Oregon, and
the control of the property shall be vested in the military
department.
  (3) Military department real property owned jointly by the
State of Oregon and the United States, or military department
real property subject to federal restrictions in conflict with
ORS 396.505 to 396.545, shall, with appropriate federal
authorization, be subject to the provisions of ORS 396.505 to
396.545.
  (4) Prior to the sale of military department real property, the
military department shall submit to the Legislative Assembly, or
to the Emergency Board  { + or the Joint Interim Committee on
Ways and Means  + }when the legislature is not in session, the
proposed sale of military department real property, for approval.
  SECTION 13. ORS 411.072 is amended to read:
  411.072. (1) As used in this section 'policy change ' includes
any change in the operation of public assistance programs that
affects recipients adversely in any substantial manner, including
but not limited to the denial, reduction, modification or delay
of benefits. 'Policy change' does not include any procedural
change that affects internal management but does not adversely
and substantially affect the interest of public assistance
recipients.
  (2) The Department of Human Services may submit applications
for waiver of federal statutory or regulatory requirements to the
federal government or any agency thereof. Prior to the submission
of any application for waiver that involves a policy change, and
prior to implementation, the department shall do the following:
  (a) Conduct a public process regarding the waiver application
or application for waiver renewals;
  (b) Prepare a complete summary of the testimony and written
comments received during the public process;
  (c) Submit the application for waiver or application for waiver
renewals involving a policy change to the legislative review
agency, as described in ORS 291.375, and present the summary of
testimony and comments described in this section; and
  (d) Give notice of the date of its appearance before the
Emergency Board { + , the Joint Interim Committee on Ways and
Means + } or the Joint Committee on Ways and Means in accordance
with ORS 183.335, and before the Family Services Review
Commission.
  SECTION 14. ORS 413.072 is amended to read:
  413.072. (1) As used in this section, 'policy change ' includes
any change in the operation of medical assistance programs that
affects recipients adversely in any substantial manner, including
but not limited to the denial, reduction, modification or delay
of benefits. 'Policy change' does not include any procedural
change that affects internal management but does not adversely
and substantially affect the interest of medical assistance
recipients.
  (2) The Oregon Health Authority may submit applications for
waiver of federal statutory or regulatory requirements to the
federal government or any agency of the federal government. Prior
to the submission of any application for waiver that involves a
policy change, and prior to implementation, the authority shall
do the following:
  (a) Conduct a public process regarding the application for
waiver or application for waiver renewals;
  (b) Prepare a complete summary of the testimony and written
comments received during the public process;
  (c) Submit the application for waiver or application for waiver
renewals involving a policy change to the legislative review
agency, as described in ORS 291.375, and present the summary of
testimony and comments described in this section; and
  (d) Give notice of the date of the authority's appearance
before the Emergency Board { + , the Joint Interim Committee on
Ways and Means  + }or the Joint Committee on Ways and Means in
accordance with ORS 183.335, and before the Medicaid Advisory
Committee.
  SECTION 15. ORS 454.439 is amended to read:
  454.439. (1) The Department of Environmental Quality shall use
the moneys in the Assessment Deferral Loan Program Revolving Fund
to provide funds for assessment deferral loan programs
administered by public agencies that meet all of the following
conditions:
  (a) The program demonstrates that assessments or charges in
lieu of assessments levied against benefited properties for
construction of treatment works required by a federal grant
agreement or by an order issued by a state commission or agency
will subject property owners to extreme financial hardship.
  (b) The governing body has adopted a program and the department
has approved the program.
  (c) The treatment works meets the requirements of section 2,
Article XI-H of the Oregon Constitution concerning eligibility of
pollution control bond funds.
  (2) The department also may use the moneys in the Assessment
Deferral Loan Program Revolving Fund to pay the expenses of the
department in administering the Assessment Deferral Loan Program
Revolving Fund and to repay capitalization loans.
  (3) In administering the Assessment Deferral Loan Program
Revolving Fund, the department shall:
  (a) Allocate funds to public agencies for assessment deferral
loan programs in accordance with a priority list adopted by the
Environmental Quality Commission.
  (b) Use accounting, audit and fiscal procedures that conform to
generally accepted government accounting standards.
  (c) Prepare any reports required by the federal government as a
condition to the award of federal capitalization grants.
  (4) The Department of Environmental Quality shall submit an
informational report to the Joint Committee on Ways and Means or,
if during the interim between sessions of the Legislative
Assembly, to the Emergency Board  { + or to the Joint Interim
Committee on Ways and Means  + }before awarding the first loan
from the Assessment Deferral Loan Program Revolving Fund. The
report shall describe the assessment deferral loan program and
set forth in detail the operating procedures of the program.
  SECTION 16. ORS 468.220 is amended to read:
  468.220. (1) The Department of Environmental Quality
 { - shall be - }   { + is + } the agency for the State of Oregon
for the administration of the Pollution Control Fund. The
department is   { - hereby - } authorized to use the Pollution
Control Fund for one or more of the following purposes:
  (a) To grant funds not to exceed 30 percent of total project
costs for eligible projects as defined in ORS 454.505 or sewerage
systems as defined in ORS 468B.005.
  (b) To acquire, by purchase, or otherwise, general obligation
bonds or other obligations of any municipal corporation, city,
county, or agency of the State of Oregon, or combinations
thereof, issued or made for the purpose of paragraph (a) of this
subsection in an amount not to exceed 100 percent of the total
project costs for eligible projects.
  (c) To acquire, by purchase, or otherwise, other obligations of
any city that are authorized by its charter in an amount not to
exceed 100 percent of the total project costs for eligible
projects.
  (d) To grant funds not to exceed 30 percent of the total
project costs for facilities for the disposal of solid waste,
including without being limited to, transfer and resource
recovery facilities.
  (e) To make loans or grants to any municipal corporation, city,
county, or agency of the State of Oregon, or combinations
thereof, for planning of eligible projects as defined in ORS
454.505, sewerage systems as defined by ORS 468B.005 or
facilities for the disposal of solid waste, including without
being limited to, transfer and resource recovery facilities.
Grants made under this paragraph shall be considered a part of
any grant authorized by paragraph (a) or (d) of this subsection
if the project is approved.
  (f) To acquire, by purchase, or otherwise, general obligation
bonds or other obligations of any municipal corporation, city,
county, or agency of the State of Oregon, or combinations
thereof, issued or made for the purpose of paragraph (d) of this
subsection in an amount not to exceed 100 percent of the total
project costs.
  (g) To advance funds by contract, loan or otherwise, to any
municipal corporation, city, county or agency of the State of
Oregon, or combination thereof, for the purpose of paragraphs (a)
and (d) of this subsection in an amount not to exceed 100 percent
of the total project costs.
  (h) To pay compensation required by law to be paid by the state
for the acquisition of real property for the disposal by storage
of environmentally hazardous wastes.
  (i) To dispose of environmentally hazardous wastes by the
Department of Environmental Quality whenever the department finds
that an emergency exists requiring such disposal.
  (j) To acquire for the state real property and facilities for
the disposal by landfill, storage or otherwise of solid waste,
including but not limited to, transfer and resource recovery
facilities.
  (k) To acquire for the state real property and facilities for
the disposal by incineration or otherwise of hazardous waste or
PCB.
  (L) To provide funding for the Assessment Deferral Loan Program
Revolving Fund established in ORS 454.436.
  (m) To provide funding for the Orphan Site Account established
in ORS 465.381 but only to the extent that the department
reasonably estimates that debt service from bonds issued to
finance such facilities or activities shall be fully paid from
fees collected pursuant to ORS 453.402 (2)(c), under ORS 459.236
and under ORS 465.101 to 465.131 for the purpose of providing
funds for the Orphan Site Account and other available funds, but
not from repayments of financial assistance under ORS 465.265 to
465.310 or from moneys recovered from responsible parties.
  (n) To advance funds by contract, loan or otherwise, to any
municipal corporation, city, county or agency of this state, or
combination thereof, for facilities or activities related to
removal or remedial action of hazardous substances.
  (o) To provide funding for the Water Pollution Control
Revolving Fund established under ORS 468.427, either as a grant
or an advance. If the funding provided is an advance, the
department shall establish the program described in ORS 468.433
(2) to pay the bonds that funded the advance.
  (p) To fund loans to or buy debt obligations of a public
agency, as defined in ORS 468.423, that finance the costs of
treatment works, as defined in ORS 468.423, which are funded in
part through the Water Pollution Control Revolving Fund.
  (q) To provide funding for remedial actions related to
contaminated sediment found in the submerged and submersible
lands, as those terms are defined in ORS 274.005, within the
Willamette River between Swan Island and the confluence of the
Willamette and Columbia Rivers and associated remedial actions.
The funding provided under this paragraph may be used for
remedial action costs, as defined in ORS 465.200.
  (2) The facilities referred to in subsection (1)(a) to (c) of
this section shall be only such as conservatively appear to the
department to be not less than 70 percent self-supporting and
self-liquidating from revenues, gifts, grants from the federal
government, user charges, assessments and other fees.
  (3) The facilities referred to subsection (1)(d), (f) and (g)
of this section shall be only such as conservatively appear to
the department to be not less than 70 percent self-supporting and
self-liquidating from revenues, gifts, grants from the federal
government, user charges, assessments and other fees.
  (4) The real property and facilities that receive funding under
subsection (1)(j), (k), (o) and (p) of this section shall be only
such as conservatively appear to the department to be not less
than 70 percent self-supporting and self-liquidating from
revenues, gifts, grants from the federal government, user
charges, assessments and other fees.
  (5) The department may sell or pledge any bonds, notes or other
obligations acquired under subsection (1)(b) of this section.
  (6) Before making a loan or grant to or acquiring general
obligation bonds or other obligations of a municipal corporation,
city, county or agency for facilities for the disposal of solid
waste or planning for such facilities, the department shall
require the applicant to demonstrate that it has adopted a solid
waste management plan that has been approved by the department.
The plan must include a waste reduction program.
  (7) Any grant authorized by this section shall be made only
with the prior review of the Joint Committee on Ways and Means
during the legislative sessions or the Emergency Board  { + or
the Joint Interim Committee on Ways and Means  + }during the
interim period between sessions.
  (8) The department may assess those entities to whom grants and
loans are made under this section to recover expenses incurred in
administering this section.
  SECTION 17. ORS 656.612 is amended to read:
  656.612. (1) The Director of the Department of Consumer and
Business Services shall impose and collect assessments from all
insurers, self-insured employers and self-insured employer groups
in an amount sufficient to pay the expenses of the Department of
Consumer and Business Services under this chapter and ORS chapter
654 and under the Insurance Code. The assessments shall be paid
in
  { - such - }   { + the + } manner and at   { - such - }
intervals as the director may direct and when collected shall be
deposited in the Consumer and Business Services Fund.
 { - Such - }   { + The + } receipts in the account are
continuously appropriated to the department for the purpose
described in this subsection.
  (2) The assessments shall be levied against the insurers'
direct earned premium and the direct earned premium self-insured
employers and self-insured employer groups would have paid had
they been insured employers.
  (3) The director may impose and collect an additional
assessment from self-insured employer groups in an amount
sufficient to pay the additional expenses involved in
administering the group self-insured program.
  (4) The director may establish a minimum assessment applicable
to all insurers, self-insured employers and self-insured employer
groups and shall establish the time, manner and method of
imposing and collecting assessments subject to applicable
budgeting and fiscal laws.
  (5) The assessments required under this section shall be
developed pursuant to ORS 183.310 to 183.410 and in such a manner
that will reasonably and substantially accomplish the objective
of subsection (2) of this section at the least possible
administrative cost to everyone.
  (6) Assessments developed by the department under this section
shall be reported to the Joint   { - Legislative - }  Committee
on Ways and Means or, during the interim between sessions of the
Legislative Assembly, to the Emergency Board  { + or to the Joint
Interim Committee on Ways and Means + }.
  SECTION 18. ORS 731.272 is amended to read:
  731.272. (1) The Director of the Department of Consumer and
Business Services shall prepare annually, as soon after March 1
as is consistent with full and accurate preparation, a report of
the official transactions of the director under the Insurance
Code.  The report shall include:
  (a) In condensed form statements made to the director by every
insurer authorized to do business in this state.
  (b) A statement of all insurers authorized to do business in
this state as of the date of the report.
  (c) A list of insurers whose business in this state was
terminated and the reason for the termination. If the termination
was a result of liquidation or delinquency proceedings brought
against the insurer in this or any other state, the report shall
include the amount of the insurer's assets and liabilities so far
as those amounts are known to the director.
  (d) A statement of the operating expenses of the Department of
Consumer and Business Services under the Insurance Code,
including salaries, transportation, communication, printing,
office supplies, fixed charges and miscellaneous expenses.
  (e) A detailed statement of the moneys, fees and taxes received
by the department under the Insurance Code and from what source.
  (f) Any other pertinent information and matters as the director
considers to be in the public interest.
  (2) The director shall give notice of the publication of the
report to:
  (a) The office of the Speaker of the House of Representatives;
  (b) The office of the President of the Senate; and
  (c) The chair or cochairs of the Joint   { - Legislative - }
Committee on Ways and Means if the Legislative Assembly is in
session or of the Emergency Board  { + or the Joint Interim
Committee on Ways and Means  + }if during the interim.

                               { +
MISCELLANEOUS REPORTING REQUIREMENTS + }

  SECTION 19. ORS 278.125 is amended to read:
  278.125. (1) The Oregon Department of Administrative Services
is authorized to negotiate for and purchase such insurance as
 { - it - }  { +  the department + } deems necessary or desirable
to accomplish the purposes of this chapter and ORS 30.260 to
30.300 and 278.322, or such other insurance or reinsurance as may
be desirable to insure the state, participating local public
bodies or their officers, employees or agents against liability.
  (2) The premium for   { - such - }   { + the + } insurance
shall be paid from the Insurance Fund as either an administrative
expense or charged to the benefiting state agency, agencies or
participating local public bodies.
  (3) The department   { - shall - }   { + may + } not implement
any plan of self-insurance insuring any part of the liability of
the state or its officers, employees or agents under ORS 30.260
to 30.300 until after the plan has been submitted to and approved
by the Joint  { +  Committee on + } Ways and Means
 { - Committee - }  of the Legislative Assembly  { - , if the
legislature is in session, or the Emergency Board - } .
  SECTION 20. ORS 285B.266 is amended to read:
  285B.266. (1) There is created a Strategic Reserve Fund,
separate and distinct from the General Fund, to consist of all
moneys credited   { - thereto - }  { +  to the fund + },
including moneys from the Administrative Services Economic
Development Fund, and all interest earned on the Strategic
Reserve Fund. The fund is continuously appropriated to the Oregon
Business Development Department to be used to implement statewide
strategies for economic development.
  (2) The fund   { - shall - }   { + may + } not be used to
retire any debt or  { - , except upon approval of the Joint Ways
and Means Committee or, if the Legislative Assembly is not in
session, the Emergency Board, - } to pay administrative expenses
of the department. Expenses that are project related   { - shall
not be - }   { + are not + } considered to be administrative
expenses of the department.
  (3) The department is directed to place particular emphasis on
investments that assist communities, businesses or industries in
cost-effective projects that assist the creation, expansion and
preservation of the principal traded sector industries of Oregon
and encourage diversification and preservation of regional
economies. The fund shall be used to assist economic and
community development projects of public entities, industry
groups or businesses with significant long-term, regional or
statewide economic impacts, to provide interim financing
mechanisms to augment existing public or private sector programs
or to analyze statewide, long-term economic issues and
opportunities.
  SECTION 21. ORS 286A.160 is amended to read:
  286A.160. (1) Notwithstanding any law limiting expenditures of
a state agency, for the purpose of repaying obligations of the
state to obtain savings in total or periodic debt service
payments, a law limiting expenditures does not apply to payments
approved by the State Treasurer for administrative expenses, debt
service or financing costs that are necessary or appropriate for
the retirement or refunding of bonds unless the law limiting
expenditures creates a specific exception to this section.
  (2) The Oregon Department of Administrative Services may
establish administrative limitations on the payment and recording
of expenditures made pursuant to subsection (1) of this section.
  (3) The Oregon Department of Administrative Services shall
report incurred expenses and debt service savings resulting from
actions taken under subsection (1) of this section that affect
administrative expenses, debt service or financing costs paid
with moneys out of the General Fund or lottery funds, within 90
days of taking action, to the Joint Committee on Ways and Means
if the Legislative Assembly is in session or to the Emergency
Board { +  or to the Joint Interim Committee on Ways and
Means + } during the interim between legislative sessions.
  SECTION 22. ORS 291.342 is amended to read:
  291.342. (1) By August 15 of each year, but not earlier than 90
days from the end of the regular session of the Legislative
Assembly held in that calendar year, the Oregon Department of
Administrative Services, with the assistance of the Department of
Revenue, shall:
  (a) Ascertain by computation and estimate the total amount of
revenue available for state purposes for the current fiscal year;
and
  (b) Apportion the state tax levy on property, if any, among the
several counties in the manner provided in ORS 291.445.
  (2) In addition to the requirement in subsection (1) of this
section, the Oregon Department of Administrative Services with
the assistance of the Department of Revenue shall for each
calendar quarter of the year ascertain by computation and
estimate the total amount of revenue available for state purposes
for the current fiscal year, as well as the amount of revenue
received quarterly, cumulated throughout the biennium, and report
its estimate to the Legislative Revenue Officer and to the
 { - Emergency Board, or if the Legislative Assembly is in
session, to the Joint Committee on Ways and Means - }  { +
Legislative Fiscal Officer + }.
  (3) In carrying out its duties under subsection (2) of this
section, the Oregon Department of Administrative Services shall
issue quarterly a statement setting forth the methodology and
assumptions used in making the revenue estimate. Nothing in this
subsection requires the statement to set forth procedures used or
methods used to determine either the methodology or the
assumptions.
  SECTION 23. ORS 291.349 is amended to read:
  291.349. (1) As soon as practicable after adjournment sine die
of the odd-numbered year regular session of the Legislative
Assembly, the Oregon Department of Administrative Services shall
report to the   { - Emergency Board - }   { + Legislative Revenue
Officer and the Legislative Fiscal Officer + } the estimate as of
July 1 of the first year of the biennium of General Fund and
State Lottery Fund revenues that will be received by the state
during that biennium.  The Oregon Department of Administrative
Services shall base its estimate on the last forecast given to
the Legislative Assembly before adjournment sine die of the
odd-numbered year regular session on which the printed, adopted
budget prepared in the Oregon Department of Administrative
Services is based, adjusted only insofar as necessary to reflect
changes in laws adopted at that session. The report shall contain
the estimated revenues from corporate income and excise taxes
separately from the estimated revenues from other General Fund
sources. The Oregon Department of Administrative Services may
revise the estimate if necessary following adjournment sine die
of a special session or an even-numbered year regular session of
the Legislative Assembly, but any revision does not affect the
basis of the computation described in subsection (3) or (4) of
this section.
  (2) As soon as practicable after the end of the biennium, the
Oregon Department of Administrative Services shall report to the
  { - Emergency Board - }  { +  Legislative Revenue Officer and
the Legislative Fiscal Officer + }, or the Legislative Assembly
if it is in session, the amount of General Fund revenues
collected as of the last June 30 of the preceding biennium. The
report shall contain the collections from corporate income and
excise taxes separately from collections from other sources.
  (3) If the revenues received from the corporate income and
excise taxes during the biennium exceed the amounts estimated to
be received from such taxes for the biennium, as estimated after
adjournment sine die of the odd-numbered year regular session, by
two percent or more, the total amount of that excess shall be
credited to corporate income and excise taxpayers in a percentage
amount of prior year corporate excise and income tax liability as
determined under subsection (5) of this section. However, no
credit shall be allowed against tax liability imposed by ORS
317.090.
  (4) If the revenues received from General Fund revenue sources,
exclusive of those described in subsection (3) of this section,
during the biennium exceed the amounts estimated to be received
from such sources for the biennium, as estimated after
adjournment sine die of the odd-numbered year regular session, by
two percent or more, there shall be credited to personal income
taxpayers an amount equal to the total amount of that excess,
reduced by the cost certified by the Department of Revenue under
ORS 291.351 as being allocable to credits described under this
subsection. The excess amount to be credited shall be credited to
personal income taxpayers in a percentage amount of prior year
personal income tax liability as determined under subsection (5)
of this section.
  (5)(a) If there is an excess to be credited under subsection
(3) or (4) of this section, or both, on or before October 1,
following the end of each biennium, the Oregon Department of
Administrative Services shall determine and certify to the
Department of Revenue the percentage amounts of credit for
purposes of subsection (3) or (4) of this section. The percentage
amounts determined shall be percentage amounts to the nearest
one-tenth of a percent that will distribute the excess to be
credited either to corporate excise and income taxpayers or to
personal income taxpayers.
  (b) The percentage amount applicable to subsection (3) of this
section shall equal the amount distributed under subsection (3)
of this section divided by the estimated total corporate income
and excise tax liability for all corporate income and excise
taxpayers for tax years beginning in the calendar year
immediately preceding the calendar year in which the excess is
determined.
  (c) The amount of the surplus credit under subsection (3) of
this section is determined by multiplying the percentage amount
determined under paragraph (b) of this subsection by the total
amount of a corporate income or excise taxpayer's tax liability
for the tax year beginning in the calendar year immediately
preceding the calendar year in which the excess is determined in
order to calculate the amount to be credited to the taxpayer.
  (d) The percentage amount applicable to subsection (4) of this
section shall equal the amount distributed under subsection (4)
of this section divided by the estimated total personal income
tax liability for all personal income taxpayers for tax years
beginning in the calendar year immediately preceding the calendar
year in which the excess is determined.
  (e) The amount of the surplus credit under subsection (4) of
this section is determined by multiplying the percentage amount
determined under paragraph (d) of this subsection by the total
amount of a personal income taxpayer's tax liability for the tax
year beginning in the calendar year immediately preceding the
calendar year in which the excess is determined in order to
calculate the amount to be credited to the taxpayer.
  (f) The credit shall be determined based on the tax liability
as shown on the return of the taxpayer or as corrected by the
Department of Revenue.
  (g) The credit shall be computed after the allowance of a
credit provided under ORS 316.082, 316.131 or 316.292, but before
the allowance of any other credit or offset against tax liability
allowed or allowable under any provision of law of this state,
and before the application of estimated tax payments, withholding
or other advance tax payments.
  (h) For corporate income and excise taxpayers, if a credit
applied against tax liability as described in paragraph (g) of
this subsection reduces tax liability to zero and an amount of
the credit remains unused, the remaining unused amount shall be
carried forward and applied against tax liability as prescribed
in paragraph (g) of this subsection in the succeeding tax year.
Following application of the credit against tax liability in a
succeeding tax year, any amount continuing to remain unused shall
be carried forward and applied against tax liability in a
succeeding tax year until all remaining amounts of unused credit
are offset against tax liability.
  (i) For personal income taxpayers, if a credit applied against
tax liability as described in paragraph (g) of this subsection
reduces tax liability to zero and an amount of the credit remains
unused, the remaining unused amount shall be refunded to the
taxpayer. For purposes of ORS chapters 305, 314, 315 and 316,
refunds issued under this paragraph are refunds of an overpayment
of tax imposed under ORS chapter 316.
  (j) Notwithstanding paragraph (g) of this subsection, if an
excess is credited under subsection (3) of this section for a tax
year and an unused credit amount from a prior tax year is carried
forward to the tax year as prescribed under paragraph (h) of this
subsection, the amount of the carryforward credit shall be
applied against tax liability prior to applying the new credit.
  (k) The Department of Revenue may prescribe by rule the manner
of calculating and claiming a credit if the filing status of a
taxpayer changes between the tax year for which a credit may be
claimed and the succeeding tax year.
  (6) A refund may not be made under this section to a taxpayer
if the amount of the refund is less than $1.
  (7) Not later than October 15 following the end of the
biennium, the Department of Revenue shall provide information and
guidance to taxpayers relating to the calculation of the credit.
The department may make the information and guidance available
electronically or otherwise.
  (8) The Department of Revenue may adopt rules specifying the
manner for issuing refunds under this section to taxpayers who
filed returns in the tax year on which the credit is computed but
who are not required to file returns in the year in which the
credit could be claimed.
  SECTION 24. ORS 390.124 is amended to read:
  390.124. (1) In accordance with any applicable provision of ORS
chapter 183, the State Parks and Recreation Commission may adopt
rules necessary to carry out the duties, functions and powers
imposed by law upon the commission and the State Parks and
Recreation Department. Rules adopted pursuant to this section
shall be duly entered in the minutes and records of the
commission.
  (2) The commission may adopt rules that assess reasonable
charges  { - , including fee reductions, waivers and
exemptions, - }  for the use of areas established and maintained
by the department.  { + The department may also adopt rules
establishing reductions in waivers of or exemption from the
charges. + } However, the commission shall authorize the use of
any state park, individual campsite or day use fee area without
charge:
  (a) Upon the showing of proper identification, by a person
maintaining a foster home, as defined by ORS 418.625, and the
person's children, when accompanied by a foster child residing in
the home.
  (b) Upon the showing of proper identification, by a person
maintaining a developmental disability child foster home, as
defined by ORS 443.830, and the person's children, when
accompanied by a foster child residing in the home.
  (c) If a deed to, lease of or contract to use the property used
as a state park, campsite or day use fee area prohibits the
charging of fees for use of the property.
  (d) Upon the showing of proper identification, by either a
disabled veteran or a person on leave from military active duty
status on Memorial Day, Independence Day or Veterans Day.
    { - (3) The commission shall report to an appropriate
committee of the Legislative Assembly, no later than January 31
of each odd-numbered year, on the fee reductions, waivers and
exemptions adopted by rule by the commission pursuant to
subsection (2) of this section. - }
    { - (4) - }   { + (3) + } The commission shall adopt any
rules pursuant to ORS chapter 183 that the commission considers
necessary to carry out ORS 273.563 to 273.591.
  SECTION 25. ORS 390.134 is amended to read:
  390.134. (1) As used in this section:
  (a) 'Camper' has the meaning given that term in ORS 801.180.
  (b) 'County' includes a metropolitan service district organized
under ORS chapter 268, but only to the extent that the district
has acquired, through title transfer, and is operating a park or
recreation site of a county pursuant to an intergovernmental
agreement.
  (c) 'Motor home' has the meaning given that term in ORS
801.350.
  (d) 'Travel trailer' has the meaning given that term in ORS
801.565.
  (2) The State Parks and Recreation Department Fund is
established separate and distinct from the General Fund. Moneys
in the fund are continuously appropriated to the State Parks and
Recreation Department for the purposes provided by law. The fund
shall consist of the following:
  (a) All moneys placed in the fund as provided by law. Any
interest or other income derived from the depositing or other
investing of the fund must be credited to the fund.
  (b) All registration fees received by the Department of
Transportation for campers, motor homes and travel trailers that
are transferred to the fund under ORS 366.512. The funds must be
deposited in a separate subaccount established under subsection
(3) of this section.
  (c) Revenue from   { - fees and - }  charges pursuant to ORS
390.124.
  (3) Any moneys placed in the fund for a particular purpose may
be placed in a separate subaccount within the fund. Each separate
subaccount established under this subsection must be separately
accounted for. Moneys placed in a subaccount must be used for the
purposes for which they are deposited.
  (4) All of the moneys in the fund except those moneys described
in subsection (3), (5), (6), (7), (8) or (9) of this section must
be deposited in a separate subaccount within the fund and used by
the State Parks and Recreation Department for the acquisition,
development, maintenance, care and use of park and recreation
sites and for the maintenance and operation of the Oregon State
Fair. The moneys  { + deposited + } in the subaccount under this
subsection must be accounted for separately and stated separately
in the State Parks and Recreation Department's biennial budget.
  (5)(a) Thirty-five percent of the amount transferred to the
State Parks and Recreation Department under ORS 366.512 from the
registration of travel trailers, campers and motor homes and
under ORS 803.601 from recreational vehicle trip permits must be
deposited in a separate subaccount within the fund to be
distributed for the acquisition, development, maintenance, care
and use of county park and recreation sites. The moneys
 { + deposited + } in the subaccount under this paragraph must be
accounted for separately. The following apply to the distribution
of moneys under this paragraph:
  (A) The moneys must be distributed among the several counties
for the purposes described in this paragraph. The distribution
shall be made at times determined by the State Parks and
Recreation Department but must be made not less than once a year.
  (B) The sums designated under this paragraph must be remitted
to the county treasurers of the several counties by warrant.
  (b) The department shall establish an advisory committee to
advise the department in the performance of its duties under this
subsection. The composition of the advisory committee under this
subsection is as determined by the department by rule. In
determining the composition of the advisory committee, the
department shall attempt to provide reasonable representation for
county officials or employees with responsibilities relating to
county parks and recreation sites.
  (c) The department, by rule, shall establish a program to
provide moneys to counties for the acquisition, development,
maintenance, care and use of county park and recreation sites.
The rules under this paragraph shall provide for distribution of
moneys based on use and need and, as the department determines
necessary, on the need for the development and maintenance of
facilities to provide camping sites for campers, motor homes and
travel trailers.
  (6) The department shall create a separate City and County
Subaccount within the fund to be used to reimburse cities and
counties as provided in ORS 390.290.
  (7) The department shall create a separate rural Fire
Protection District Subaccount to be used to provide funds for
the fire protection districts as provided in ORS 390.290.
  (8) Twelve percent of the amount transferred to the State Parks
and Recreation Department Fund from the Parks Subaccount shall be
used only to carry out the purposes and achievements described in
ORS 390.135 (2) and (3) through the awarding of grants to
regional or local government entities to acquire property for
public parks, natural areas or outdoor recreation areas or to
develop or improve public parks, natural areas or outdoor
recreation areas. Moneys described in this subsection may not be
used to pay the cost of administering grants or the cost of any
Secretary of State audit required under section 4c, Article XV of
the Oregon Constitution.
  (9) If the amount transferred to the State Parks and Recreation
Department Fund from the Parks Subaccount during a biennium is
more than 150 percent of the amount that was transferred during
the 2009-2011 biennium, the State Treasurer shall, during the
next following biennium, deposit for use as described in
subsection (8) of this section the amount required under
subsection (8) of this section plus an amount equal to the
difference between the amount deposited for use as described in
subsection (8) of this section during the preceding biennium and
25 percent of the moneys transferred to the State Parks and
Recreation Department Fund from the Parks Subaccount during the
preceding biennium.
  (10) Subsections (8) and (9) of this section apply only for
biennia in which the Legislative Assembly does not require a
greater percentage of the amount transferred to the State Parks
and Recreation Department Fund from the Parks Subaccount to be
used for the purposes described in subsection (8) of this
section.  The Legislative Assembly may not authorize the
percentage of the amount transferred to the State Parks and
Recreation Department Fund from the Parks Subaccount that is
deposited for use as described in subsection (8) of this section
in a biennium to be less than the percentage required to be
deposited under subsections (8) and (9) of this section.
    { - (11) On or before January 15 of each odd-numbered year,
the State Parks and Recreation Director shall report to the Joint
Committee on Ways and Means created by ORS 171.555 on the use of
moneys deposited pursuant to ORS 805.256 in the fund.
Notwithstanding ORS 192.230 to 192.250, the director shall make
the report in a form and manner as the committee may
prescribe. - }
    { - (12) - }   { + (11) + } On or before January 15 of each
odd-numbered year, the director shall submit a report to the
Joint Committee on Ways and Means created by ORS 171.555 { + , or
the Joint Interim Committee on Ways and Means, + } that describes
the measurable biennial and cumulative results of activities and
programs financed by moneys transferred to the State Parks and
Recreation Department Fund from the Parks Subaccount.
Notwithstanding ORS 192.230 to 192.250, the director shall make
the report in a form and manner as the committee may prescribe.
  SECTION 26. ORS 390.134, as amended by section 2, chapter 792,
Oregon Laws 2007, section 47, chapter 11, Oregon Laws 2009, and
section 5, chapter 643, Oregon Laws 2011, is amended to read:
  390.134. (1) As used in this section:
  (a) 'Camper' has the meaning given that term in ORS 801.180.
  (b) 'County' includes a metropolitan service district organized
under ORS chapter 268, but only to the extent that the district
has acquired, through title transfer, and is operating a park or
recreation site of a county pursuant to an intergovernmental
agreement.
  (c) 'Motor home' has the meaning given that term in ORS
801.350.
  (d) 'Travel trailer' has the meaning given that term in ORS
801.565.
  (2) The State Parks and Recreation Department Fund is
established separate and distinct from the General Fund. Moneys
in the fund are continuously appropriated to the State Parks and
Recreation Department for the purposes provided by law. The fund
shall consist of the following:
  (a) All moneys placed in the fund as provided by law. Any
interest or other income derived from the depositing or other
investing of the fund must be credited to the fund.
  (b) All registration fees received by the Department of
Transportation for campers, motor homes and travel trailers that
are transferred to the fund under ORS 366.512. The funds must be
deposited in a separate subaccount established under subsection
(3) of this section.
  (c) Revenue from   { - fees and - }  charges pursuant to ORS
390.124.
  (3) Any moneys placed in the fund for a particular purpose may
be placed in a separate subaccount within the fund. Each separate
subaccount established under this subsection must be separately
accounted for. Moneys placed in a subaccount must be used for the
purposes for which they are deposited.
  (4) All of the moneys in the fund except those moneys described
in subsection (3), (5), (6), (7), (8) or (9) of this section must
be deposited in a separate subaccount within the fund and used by
the State Parks and Recreation Department for the acquisition,
development, maintenance, care and use of park and recreation
sites and for the maintenance and operation of the Oregon State
Fair. The moneys  { + deposited + } in the subaccount under this
subsection must be accounted for separately and stated separately
in the State Parks and Recreation Department's biennial budget.
  (5)(a) Thirty percent of the amount transferred to the State
Parks and Recreation Department under ORS 366.512 from the
registration of travel trailers, campers and motor homes and
under ORS 803.601 from recreational vehicle trip permits must be
deposited in a separate subaccount within the fund to be
distributed for the acquisition, development, maintenance, care
and use of county park and recreation sites. The moneys
 { + deposited + } in the subaccount under this paragraph must be
accounted for separately. The following apply to the distribution
of moneys under this paragraph:
  (A) The moneys must be distributed among the several counties
for the purposes described in this paragraph. The distribution
shall be made at times determined by the State Parks and
Recreation Department but must be made not less than once a year.
  (B) The sums designated under this paragraph must be remitted
to the county treasurers of the several counties by warrant.
  (b) The department shall establish an advisory committee to
advise the department in the performance of its duties under this
subsection. The composition of the advisory committee under this
subsection is as determined by the department by rule. In
determining the composition of the advisory committee, the
department shall attempt to provide reasonable representation for
county officials or employees with responsibilities relating to
county parks and recreation sites.
  (c) The department, by rule, shall establish a program to
provide moneys to counties for the acquisition, development,
maintenance, care and use of county park and recreation sites.
The rules under this paragraph shall provide for distribution of
moneys based on use and need and, as the department determines
necessary, on the need for the development and maintenance of
facilities to provide camping sites for campers, motor homes and
travel trailers.
  (6) The department shall create a separate City and County
Subaccount within the fund to be used to reimburse cities and
counties as provided in ORS 390.290.
  (7) The department shall create a separate rural Fire
Protection District Subaccount to be used to provide funds for
the fire protection districts as provided in ORS 390.290.
  (8) Twelve percent of the amount transferred to the State Parks
and Recreation Department Fund from the Parks Subaccount shall be
used only to carry out the purposes and achievements described in
ORS 390.135 (2) and (3) through the awarding of grants to
regional or local government entities to acquire property for
public parks, natural areas or outdoor recreation areas or to
develop or improve public parks, natural areas or outdoor
recreation areas. Moneys described in this subsection may not be
used to pay the cost of administering grants or the cost of any
Secretary of State audit required under section 4c, Article XV of
the Oregon Constitution.
  (9) If the amount transferred to the State Parks and Recreation
Department Fund from the Parks Subaccount during a biennium is
more than 150 percent of the amount that was transferred during
the 2009-2011 biennium, the State Treasurer shall, during the
next following biennium, deposit for use as described in
subsection (8) of this section the amount required under
subsection (8) of this section plus an amount equal to the
difference between the amount deposited for use as described in
subsection (8) of this section during the preceding biennium and
25 percent of the moneys transferred to the State Parks and
Recreation Department Fund from the Parks Subaccount during the
preceding biennium.
  (10) Subsections (8) and (9) of this section apply only for
biennia in which the Legislative Assembly does not require a
greater percentage of the amount transferred to the State Parks
and Recreation Department Fund from the Parks Subaccount to be
used for the purposes described in subsection (8) of this
section.  The Legislative Assembly may not authorize the
percentage of the amount transferred to the State Parks and
Recreation Department Fund from the Parks Subaccount that is
deposited for use as described in subsection (8) of this section
in a biennium to be less than the percentage required to be
deposited under subsections (8) and (9) of this section.
    { - (11) On or before January 15 of each odd-numbered year,
the State Parks and Recreation Director shall report to the Joint
Committee on Ways and Means created by ORS 171.555 on the use of
moneys deposited pursuant to ORS 805.256 in the fund.
Notwithstanding ORS 192.230 to 192.250, the director shall make
the report in a form and manner as the committee may
prescribe. - }
    { - (12) - }   { + (11) + } On or before January 15 of each
odd-numbered year, the director shall submit a report to the
Joint Committee on Ways and Means created by ORS 171.555 { + , or
the Joint Interim Committee on Ways and Means, + } that describes
the measurable biennial and cumulative results of activities and
programs financed by moneys transferred to the State Parks and
Recreation Department Fund from the Parks Subaccount.
Notwithstanding ORS 192.230 to 192.250, the director shall make
the report in a form and manner as the committee may prescribe.

                               { +
REPEALS + }

  SECTION 27.  { + (1) ORS 291.385 and 391.100 are repealed.
  (2) Any moneys remaining in the Light Rail Construction Fund on
the effective date of this 2012 Act are transferred to the
General Fund. + }

                               { +
CONFORMING AMENDMENTS + }

  SECTION 28. ORS 199.432 is amended to read:
  199.432. (1) A boundary commission created under ORS 199.430
may sue and be sued, enter into contracts and perform such other
actions as may be necessary to carry out the provisions of ORS
199.410 to 199.534.
  (2) A boundary commission is a state agency as defined in ORS
291.002 and is not subject to the provisions of ORS 291.201 to
291.226, 291.232 to 291.260, 291.371, 291.373  { - , - }  { +
or + } 291.375   { - or 291.385 - } .
  (3) A boundary commission employing personnel under ORS 199.455
shall provide employee benefits provided to state management
service employees.
  SECTION 29. ORS 291.100 is amended to read:
  291.100. (1) It is the intent of the Legislative Assembly, in
funding the development and implementation of a new statewide
financial management system, that statewide financial management
systems and policies support program-driven budget planning and
execution, based on timely and accurate statewide managerial cost
accounting information and that such systems support legislative
program evaluation and performance auditing of statewide programs
and services.
  (2) The Oregon Department of Administrative Services shall
devise and supervise statewide financial management systems for
all state agencies by preparing policies and procedures for
implementing and operating financial management systems for all
agencies in state government and measuring implementation. In
order to   { - assure - }  { +  ensure + } that the state's
investment in a modern and complete statewide financial
management system is fully implemented, every agency and unit of
state government shall:
  (a) Cooperate and comply fully with policies and procedures and
deadlines prepared by the Oregon Department of Administrative
Services for establishing a database for the financial management
system.
  (b) Comply fully with policies and procedures prepared by the
Oregon Department of Administrative Services for operation of the
financial management system.
  (3) The Oregon Department of Administrative Services shall
report to the Legislative Assembly no later than December 1 of
even-numbered years:
  (a) Progress in implementing the financial management system as
to preparation of financial statements, nonfinancial management
information and the ability of the system to support legislative
program evaluation and performance auditing.
  (b) Compliance by each agency and unit of state government with
policies and procedures of the Oregon Department of
Administrative Services for implementation of the financial
management system.
  (4) After a review of the Oregon Department of Administrative
Services report by the Legislative Fiscal Officer, the Joint
Legislative Audit Committee may schedule a hearing for any agency
or unit of state government to review compliance with this
section and policies and procedures of the Oregon Department of
Administrative Services, prior to any appropriation approval by
the Legislative Assembly  { - , as provided in ORS 171.585
(1) - } .
  SECTION 30. ORS 291.371 is amended to read:
  291.371. (1) As used in this section, 'legislative review
agency' means the Joint Committee on Ways and Means during the
period when the Legislative Assembly is in session and the
Emergency Board or the   { - interim - }  Joint  { + Interim + }
Committee on Ways and Means during the interim period between
sessions.
  (2) Prior to making any changes in a salary plan, the Oregon
Department of Administrative Services shall submit the proposed
changes to the legislative review agency.
  (3)(a) The Oregon Department of Administrative Services may
approve the reallocation of positions or the establishment of new
positions not specifically provided for in the budget of the
affected agency if it finds that the proposed change:
  (A) Can be financed by the agency within the limits of its
biennial budget and legislatively approved program;
  (B) Will not produce future budgetary increases; and
  (C) Conforms to legislatively approved salary policies.
  (b) Proposed changes not meeting the requirements of paragraph
(a) of this subsection shall be presented to the legislative
review agency.
  (4) Agencies within the Department of Human Services, the
Oregon Health Authority and the Department of Corrections shall
report on a biennial basis to the legislative review agency. Each
report shall include the number of vacant budgeted positions,
including all job categories and classifications, within the
agency. The legislative review agency shall order the reporting
agency to show cause why the budgeted positions have not been
filled and shall assess fully the impact the vacancies have on:
  (a) The agency's delivery of services, accounting for any
seasonal fluctuation in the need for those services;
  (b) The agency's budget due to increased use of overtime;
  (c) The agency's use of temporary employees; and
  (d) Employee workload.
  (5) It is declared to be the policy of this state that the
total personal services, budget and full-time equivalent
positions approved for any state agency shall be the maximum
amount necessary to meet the requirements of the agency for the
biennium.  Notwithstanding ORS 291.232 to 291.260, the Governor
and the Oregon Department of Administrative Services may transfer
vacant position authority among and within state agencies to
achieve maximum utilization of authorized positions within
agencies.

                               { +
CAPTIONS + }

  SECTION 31.  { + The unit captions used in this 2012 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 2012 Act. + }

                               { +
EMERGENCY CLAUSE + }

  SECTION 32.  { + This 2012 Act being necessary for the
immediate preservation of the public peace, health and safety, an
emergency is declared to exist, and this 2012 Act takes effect on
its passage. + }
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