OAR 141-087-0050: Fees for Hydroelectric Projects on State-Owned Submerged and Submersible Lands

(1) There shall be a fee for leases or easements granted by the State Land Board pursuant to OAR 141-087-0001 through 141-087-0040. The fee shall be determined with the object of obtaining the greatest benefit for the people of the State of Oregon consistent with the conservation of the resource under the sound techniques of land management. (2) The fee shall be established as follows: (a) When an application for a lease or easement is submitted, the director shall first attempt to negotiate a fee with the applicant; (b) If the director and applicant are unable to negotiate a fee, the base fee shall be six percent of the per acre value of the adjacent upland for use as a hydroelectric facility or other rural industrial use. The base fee shall be adjusted annually to reflect the amount of increase or decrease of the U.S. Department of Labor, Bureau of Labor Statistics, All Urban Consumers Price Index for Portland (Base: 1967-100); (c) The per-acre value of the adjacent upland shall be established as follows: (A) The director shall obtain an appraisal at the Division’s expense; (B) If the applicant rejects the director’s appraisal, the applicant and director shall agree upon a second, independent appraiser, whose appraisal shall be used to calculate the fee. The cost of the appraisal shall be shared equally by the division and the applicant. (3) When the application is complete the director shall submit the application to the State Land Board for review. (a) For new projects the State Land Board may approve or deny an application pursuant to OAR 141-087-0040, but if the application is approved, the fee shall be the amount determined under section (2) of this rule; (b) For existing projects that are exempt from the approval standards of these rules pursuant to OAR 141-087-0010, the fee shall be the amount determined under section (2) of this rule, and shall be retroactive to the date of application.