OAR 123-690-8500: Revenue Distribution to Local Zone Sponsor

(1) The sponsor of an enterprise zone containing exempt facility property owned by a corporation that claims the tax credit under ORS 317.124 might receive funds through the Department of Revenue from the Long Term Enterprise Zone Fund established under ORS 317.127. (2) The sponsor’s receipt of such funds depends on: (a) The qualifying taxpayer’s being allowed to claim the credit for the corporate excise tax year; (b) The taxpayer’s making actual payment to fulfill its applicable tax liability; and (c) The depositing of such payments for distribution under ORS 317.129 and 317.131 (as addressed in OAR 150-317-0250). (3) As to amounts for distribution and the current state fiscal year: (a) If they exceed the property taxes that relevant taxing districts would otherwise have received in the corresponding property tax year, but for exemption under ORS 285C.409, then that excess goes to the zone sponsor. (b) If there is no relevant exemption under ORS 285C.409 in the corresponding property tax year, then the entire amount goes to the zone sponsor. (4) For purposes of section (3) of this rule, the zone sponsor is responsible for making timely arrangements, so that it: (a) Can receive distributed funds in a way that effectively ensures the Department of Revenue of having made payment to the zone sponsor (including but not limited to a joint mechanism among all cosponsors, or a deposit account administered by a single cosponsor on behalf of the entire zone sponsorship); and (b) Satisfies applicable provisions of ORS Chapter 294 and other state or local laws with regard to collecting, holding and using such funds.