USA Statutes : oregon
Title : TITLE 24 PUBLIC ORGANIZATIONS FOR COMMUNITY SERVICE
Chapter : Chapter 267 Mass Transit Districts; Transportation Districts
Subject to ORS 801.040 to
801.042, 801.237 and 803.445, for the purpose of exercising any power the
district, as defined in ORS 801.237, is authorized to exercise, the
district may impose registration fees on vehicles under ORS 803.445.
[1989 c.864 §11] As used in ORS
267.010 to 267.390, unless the context requires otherwise:

(1) "District" means a mass transit district established under ORS
267.010 to 267.390.

(2) "District board" or "board" means the board of directors of a
district.

(3) "Mass transit system" or "transit system" means the property,
equipment and improvements of whatever nature owned, used, constructed,
maintained, controlled or operated to provide mass transportation for
passengers or to provide for the movement of people, including
park-and-ride stations, transfer stations, parking lots, malls, and
skyways, provided that nothing contained herein shall limit the power of
a city to exercise its general powers over or provide such stations,
lots, malls, or skyways.

(4) "Standard metropolitan statistical area" means an area
designated and published by the United States Bureau of the Budget as a
standard metropolitan statistical area. [1969 c.643 §1; 1973 c.116 §1]When a metropolitan service district
organized under ORS chapter 268 functions in a mass transit district
organized under ORS 267.010 to 267.390, the governing body of the
metropolitan district may at any time order transfer of the transit
system of the transit district to the metropolitan district, whereupon:

(1) The governing body of the transit district shall transfer title
to, and possession of, the transit system and of all books, records,
files, documents, and other property of the transit district to the
metropolitan district.

(2) The metropolitan district shall be responsible for all the
liabilities and obligations imposed upon or assumed by the transit
district.

(3) For purposes of mass transit the metropolitan district shall
have all the rights, powers, privileges and immunities, and be subject to
all the duties and obligations, of a mass transit district under ORS
267.010 to 267.390, insofar as they are consistent with ORS chapter 268.

(4) The boundaries of the metropolitan district shall, for purposes
of mass transit, be extended to encompass all the territory of the
transit district.

(5) The transit district shall be dissolved and the offices of its
directors terminated. [1969 c.643 §40; 1997 c.833 §26](1) To
the maximum extent possible, motor vehicles subject to the control of a
district shall use alternative fuel for operation.

(2) To the extent that it is economically and technologically
possible, all motor vehicles purchased or leased by the board of the
district shall be capable of using alternative fuel. However, this
subsection does not apply if the vehicle will be primarily used in an
area that does not have and cannot reasonably be expected to establish an
alternative fuel refueling station or if the district is unable to secure
financing sufficient to cover additional costs resulting from the
requirement of this subsection.

(3) Prior to July 1 of each year, the board of the district shall
submit an annual report to the Department of Environmental Quality and
the State Department of Energy. The report shall contain at a minimum:

(a) The number of purchases and leases of vehicles capable of using
alternative fuel;

(b) The number of conversions of vehicles from the use of gasoline
or diesel fuel to the use of alternative fuel;

(c) The quantity of each type of alternative fuel used; and

(d) Any other information required by the Department of
Environmental Quality and the State Department of Energy to carry out
their functions under subsection (4) of this section.

(4) If the Department of Environmental Quality and State Department
of Energy determine that the use of alternative fuel required by this
section has been effective in reducing total annual motor vehicle
emissions in the district, the motor vehicles subject to the control of
the board of the district shall be capable of using alternative fuel, to
the maximum extent possible.

(5) The board of the district shall comply with all safety
standards established by the United States Department of Transportation
in the conversion, operation and maintenance of vehicles using
alternative fuel.

(6) As used in this section, "alternative fuel" means any fuel
determined by the Department of Environmental Quality to be less
polluting than conventional gasoline, including but not necessarily
limited to reformulated gasoline, low sulphur diesel fuel, natural gas,
liquified petroleum gas, methanol, ethanol, any fuel mixture containing
at least 85 percent methanol or ethanol and electricity. [1991 c.730 §2;
2003 c.186 §12](Formation) As provided by
ORS 267.010 to 267.390, a mass transit district may be created in any
standard metropolitan statistical area for the purpose of providing a
mass transit system for the people of the district. Except as otherwise
provided in ORS 267.107 (2)(c), the territorial jurisdiction of the
district may include all territory within the geographic boundaries of
every Oregon county in that standard metropolitan statistical area.
[Formerly 267.100] (1) In
addition to and not in lieu of other actions authorized for the
initiation of proceedings to form a mass transit district, the governing
body of the most populous city in a standard metropolitan statistical
area may by resolution propose formation of a mass transit district, if
that city has a local transit system and if the governing body finds that
area-wide mass transit needs cannot be met by local transit operation.
The resolution of the governing body shall be addressed to and filed with
the county board of the principal county and proceedings conducted as
provided by ORS 198.705 to 198.955.

(2) A certified copy of the order forming a mass transit district
shall be filed with the Governor. [Formerly 267.105]Except as provided in ORS 267.112:

(1) District board members shall not be elected at the time of
formation, but if a district is formed, the Governor shall, within 60
days after receiving a certified copy of the formation order, appoint
from subdistricts the members of the first board of directors of the
district, designate one the temporary chairperson, and fix the time and
place of the organizational meeting. If the district has formed before
October 4, 1977, the Governor, within 60 days after October 4, 1977,
shall appoint from subdistricts a new board of directors, designate one
as temporary chairperson, and fix the time and place of the
organizational meeting.

(2) The board of directors of a mass transit district shall consist
of seven members. One director shall be appointed from each of seven
subdistricts. The Governor shall appoint as one of the directors a person
who regularly uses the services provided by a mass transit system.
Directors shall reside in the subdistrict from which they are
respectively appointed. The subdistricts shall be as nearly equal in
population as possible based on the latest federal census, and shall be
designed to assure representation of the most populous city, other cities
and unincorporated territory in the proposed district proportionate to
their respective populations provided that if less than the entire
district is taxed by the district, the subdistricts shall be wholly
within the taxed area. The district or, if the taxed area is less than
the entire district, the taxed area shall be divided into subdistricts
initially, and after each succeeding federal census, by the Secretary of
State.

(3) The term of office of a director is four years, but each
director shall serve at the pleasure of the Governor. Before the
expiration of the term of a director, the director's successor shall be
appointed. A director is eligible for reappointment. In case of a vacancy
for any cause, the Governor shall appoint a person to serve for the
unexpired term. A director whose term has expired shall continue to serve
until the appointment of a successor unless discharged by the Governor.

(4) All appointments of members of the board by the Governor are
subject to confirmation by the Senate pursuant to section 4, Article III
of the Oregon Constitution. [Formerly 267.110] Except as provided in
ORS 267.112:

(1) Notwithstanding ORS 267.090, the terms of three of the
directors of the first board of a district expire on the first Tuesday in
the second January after the date of their appointment.

(2) The terms of four of the directors so appointed expire on the
first Tuesday in the fourth January after the date of their appointment.

(3) The respective terms of the directors of the first board shall
be determined by the Governor. [Formerly 267.115]
Notwithstanding ORS 267.085:

(1) The governing body of the most populous city in a standard
metropolitan statistical area may by resolution propose creation of a
mass transit district if the governing body finds that area-wide mass
transit needs cannot be met by local transit operation.

(2) The resolution of the governing body shall:

(a) Be considered at a public hearing only after notice as required
for regular consideration of other resolutions by city charter or
ordinance;

(b) Include findings of the need for creation of a mass transit
district in the affected area;

(c) Describe the boundaries of the proposed district, which may be
limited to a proposed service area but which may not extend beyond the
limits of the city's urban growth boundary; and

(d) If approved, be addressed to and filed with the governing body
of the county in which the proposed district is principally situated.

(3) Upon receipt of the resolution under subsection (2) of this
section the county governing body shall commence district formation
proceedings as provided in ORS 198.705 to 198.955 and 267.108. [1977
c.347 §2; 1979 c.585 §1; 1999 c.454 §3](1)
Notwithstanding the provisions of ORS 198.810 (3), the county governing
body shall order an election within the proposed district for approval or
disapproval by the electors voting on the question of formation of a
district under ORS 267.107 and for election of seven district directors.

(2) In addition to the requirements of ORS 198.815 (2), the order
calling an election for creation of a district initiated under ORS
267.107 shall describe the boundaries of the seven subdistricts of the
proposed district from each of which a director is to be elected. The
subdistricts shall be as nearly equal in population as possible based on
the latest federal decennial census, shall, where practicable, follow
election precinct boundaries and shall together encompass the entire area
of the proposed district. [1979 c.585 §5; 1985 c.678 §4; 2005 c.747 §5] The expenses incurred
for the election held under ORS 267.080, 267.107, 267.112 and this
section shall be paid by:

(1) The district, if the resolution is approved by the people.

(2) Each county participating in the election in the proportion of
the number of precincts in the county voting on the resolution to the
total number of precincts voting on the resolution, if the resolution is
rejected by the people. [1977 c.347 §5]Note: 267.109 was enacted into law by the Legislative Assembly but
was not added to or made a part of ORS chapter 267 or any series therein
by legislative action. See Preface to Oregon Revised Statutes for further
explanation.(1) If formation of a district is
initiated by resolution adopted and filed in accordance with ORS 267.107,
upon the submitting of a formation order by the county governing body to
the proposed district electors, one district director shall be elected
from each of the seven subdistricts described in the order calling an
election for district creation. A director shall reside in the
subdistrict from which the director is nominated and elected.

(2) The board of directors of the district shall consist of the
seven directors elected from subdistricts under subsection (1) of this
section.

(3) After the initial formation of a district, the Secretary of
State, after each decennial federal census, shall modify the boundaries
of the subdistricts so that the subdistricts remain as nearly equal in
population as possible based on the latest federal census.

(4) The term of office of a director shall be four years, provided,
however, that three of the first elected directors shall initially have a
term of office expiring June 30 of the next odd-numbered year following
district formation and four of the first elected directors shall
initially have a term of office expiring June 30 of the next odd-numbered
year not less than two years following district formation. The first
elected directors of the district, upon taking office, shall by lot,
supervised by the board, determine which three directors shall have the
shorter initial terms and which four shall have the longer initial terms.
When a vacancy occurs in the office of a director, the remaining members
of the board shall appoint a resident of the affected subdistrict to
serve until June 30 of the next odd-numbered year, in which year a
director shall be elected to serve the remainder of the unexpired term. A
director whose term has expired shall continue to serve until the
election of a successor.

(5) Directors shall not be entitled to compensation for their
services but shall be entitled to reimbursement for actual and necessary
expenses incurred or paid in the performance of their duties as members
of the board. [1975 c.632 §2; 1977 c.347 §4; 1977 c.728 §2a; 1979 c.585
§2; 1985 c.678 §5] The territorial boundaries of a
mass transit district whose formation was initiated under ORS 267.107
shall include, as a minimum area, all of the territory within the urban
growth boundary, as the urban growth boundary may exist from time to
time, of the city that proposed creation of the mass transit district.
[1999 c.454 §2](Board; Ordinances) (1) The board shall choose
from among its members, by majority vote of the members, a president,
vice president, treasurer and secretary, to serve for terms of two years.

(2) Each director, before entering upon the duties of office, shall
take and subscribe to an oath that the director will honestly, faithfully
and impartially perform duties as a director and disclose any conflict of
interest the director may have in any matter to be acted upon by the
board. A copy of the oath shall be filed with the secretary of the board.
[1969 c.643 §6; 1971 c.23 §7; 1971 c.403 §4; 1975 c.605 §15] The district board shall hold
regular monthly meetings at a time and place fixed by the rules of the
board. Special meetings may be held when called by the president of the
board or when called by a majority of the members. However, five days'
notice of a special meeting shall be given by the secretary to each
member not joining in the call. A majority of the members constitutes a
quorum for the transaction of business. [1969 c.643 §7] No officer or employee
of the district shall offer, solicit or accept money or any other thing
of value as a consideration, in addition to the salary paid the officer
or employee by the district, for services performed within the scope of
the official duties of the officer or employee. [1969 c.643 §13; 1971
c.23 §8] (1) The
board shall appoint a general manager on the basis of the qualifications
of the general manager with special reference to the actual experience in
or knowledge of accepted practices in respect to the duties of the office
of the general manager. A general manager shall hold office for an
indefinite term and may be removed by the board only by an affirmative
vote of a majority of the members.

(2) Before a general manager is removed, the general manager shall
upon demand be given a written statement of the reasons for removal. If
requested, the general manager shall be given an open hearing at a
meeting of the board before the final vote for removal. However, the
board may by resolution suspend the general manager from office pending a
hearing. The action of the board in suspending or removing a general
manager, if approved by a majority of the members of the board, may be
reconsidered by the board but is otherwise final and not subject to
appeal. [1969 c.643 §14] A general manager of a district
shall:

(1) Have full charge of the acquisition, construction, maintenance
and operation of the transit system of the district.

(2) Have full charge of the administration of the business affairs
of the district.

(3) Enforce all ordinances adopted by the board.

(4) Administer the personnel system adopted by the board and,
except for officers appointed by the board, appoint, discipline or remove
all officers and employees, subject to ORS 267.010 to 267.390 and the
rules of the board.

(5) Prepare and submit to the board within 30 days after the end of
each fiscal year a complete report of the finances and administrative
activities of the district for that preceding fiscal year.

(6) Keep the board advised as to the needs of the district.

(7) Prepare all plans and specifications for acquisition of
equipment or construction of improvements or facilities for the district.

(8) Cause to be installed and maintained a system of auditing and
accounting which shows completely and at all times the financial
condition of the district.

(9) Devote the entire working time of the general manager to the
business of the district.

(10) Perform such other duties as the board requires by resolution.
[1969 c.643 §15](1) The general manager shall attend the meetings of the board
and may participate in its deliberations, but has no vote.

(2) The board may appoint a general manager pro tempore during the
absence or disability of the general manager. [1969 c.643 §16](1) The legislative authority of a district
board shall be exercised by ordinance.

(2) The board may enact police ordinances relating to the
protection, use and enjoyment of district property and facilities. A
district may appoint peace officers who shall have the same authority as
other peace officers, except that such authority shall be limited to the
enforcement of police ordinances of the district and the enforcement, for
purposes relating to the protection, use and enjoyment of district
property and facilities, of state and local laws.

(3) The board may, by ordinance, provide a procedure for the
conduct of public hearings on proposed changes in transit routes and
schedules. The board may delegate to the general manager or other
administrative officer the authority to conduct such hearings.

(4) An ordinance shall not be required for a mass transit district
to adopt temporary or experimental changes in routes and schedules. [1969
c.643 §17; 1973 c.116 §2; 1975 c.392 §1] (1) The electors of a district
may exercise the powers of the initiative and referendum with reference
to legislation of the district, in accordance with ORS 255.135 to 255.205.

(2) A district board on its own resolution may call an election for
the purpose of referring an ordinance to the electors of a district for
their approval before the ordinance takes effect. [1969 c.643 §39; 1977
c.728 §3; 1979 c.190 §411; 1981 c.173 §39; 1983 c.350 §124](Powers) A mass
transit district shall constitute a municipal corporation of this state,
and a public body, corporate and politic, exercising public power. It
shall be considered a unit of local government for the purposes of ORS
190.003 to 190.130, a public employer for the purposes of ORS 236.610 to
236.640, and a political subdivision for the purposes of ORS 305.620. A
district and its contractors engaged in operating motor vehicles to
provide mass transportation on behalf of the district shall be entitled
to tax refunds as allowed under ORS 319.831 to incorporated cities. It
shall have full power to carry out the objects of its formation and to
that end may:

(1) Have and use a seal, have perpetual succession, and sue and be
sued in its own name.

(2) Acquire by condemnation, purchase, lease, devise, gift or
voluntary grant real and personal property or any interest therein,
located inside the boundaries of the district and take, hold, possess and
dispose of real and personal property purchased or leased from, or
donated by, the United States, or any state, territory, county, city or
other public body, nonprofit corporation or person for the purpose of
providing or operating a mass transit system in the district and aiding
in the objects of the district.

(3) Contract with the United States or with any county, city,
state, or public body, or any of their departments or agencies, or a
nonprofit corporation, or any person, for the construction, acquisition,
purchase, lease, preservation, improvement, operation or maintenance of
any mass transit system.

(4) Build, construct, purchase, lease, improve, operate and
maintain, subject to other applicable provisions of law, all
improvements, facilities or equipment necessary or desirable for the mass
transit system of the district.

(5) Enter into contracts and employ agents, engineers, attorneys
and other persons and fix their compensation.

(6) Fix and collect charges for the use of the transit system and
other district facilities.

(7) Construct, acquire, maintain and operate and lease, rent and
dispose of passenger terminal facilities, motor vehicle parking
facilities and other facilities for the purpose of encouraging use of the
mass transit system within the district.

(8) Enter into contracts or intergovernmental agreements under ORS
chapter 190 with units of local government of the State of Oregon,
whether within or without the district, or with the State of Washington
or with public agencies of the State of Washington, to act jointly or in
cooperation with them or to provide mass transit services to areas under
their jurisdictions, provided that the party contracting to receive the
services shall pay to the mass transit district not less than the
proportionate share of the cost of the services that the benefits to the
contracting party bear to the total benefits from the service.

(9) Conduct programs and events and take other actions for the
purpose of improving or maintaining employee relations.

(10) Improve, construct and maintain bridges over navigable streams
subject only to ORS 382.125.

(11) Do such other acts or things as may be necessary or convenient
for the proper exercise of the powers granted to a district by ORS
267.010 to 267.390. [1969 c.643 §8; 1973 c.116 §3; 1975 c.170 §1; 1977
c.550 §1; 1979 c.344 §1; 1979 c.877 §2; 1987 c.689 §1; 2003 c.802 §92](1) A district board may by ordinance
classify and designate as a service area the territory within the
district that is benefited by the mass transit system beyond the general
benefit to all territory within the district. The board may by ordinance
amend the boundaries of the service area to conform to changes in the
mass transit system service.

(2) Subject to restrictions in the Oregon Constitution, any of the
methods of financing authorized under ORS 267.300 may, in the discretion
of the board, be imposed in the service area rather than in the entire
district. [1969 c.643 §24](1) The board of directors of a mass transit
district may alter the territorial boundaries of the district by a
nonemergency ordinance adopted at any regular meeting.

(2) If an ordinance annexing territory to a district is initiated
or referred by, or referred to, the electors of the district, it shall
not take effect unless approved by a majority of the electors registered
in the territory proposed to be annexed to the district voting on the
question and by a majority of the electors of the district voting on the
question.

(3)(a) The board of directors of a mass transit district, as a
result of the continuing comprehensive transportation planning process
required by the Federal Transit Administration, shall determine annually
the territory in the district within which the transit system of the
district will operate. When the board determines during such planning
process for any fiscal year that it will not provide transit service
during that fiscal year to an area presently within the district, the
board shall by ordinance withdraw from that area on the date specified in
the ordinance, and that area shall no longer be part of the district. The
board shall by ordinance set forth the criteria to be used in making the
determinations described in this subsection.

(b) Subject to paragraph (a) of this subsection, the territorial
jurisdiction of a district shall include:

(A) All territory located within the boundaries of a metropolitan
service district;

(B) Each census tract within which the transit system of the
district operates, or such smaller portion of the tract as determined by
the board; and

(C) If so determined by the board of directors, any territory
located within two and one-half miles or less of the transit system of
the district or any route used by that system for the transportation of
passengers.

(4) If an ordinance withdrawing territory from a district is
initiated or referred by, or referred to, the electors of the district it
shall not take effect unless approved by a majority of the electors of
the entire district voting on the question.

(5) Notwithstanding ORS 199.425, the alteration of the boundaries
of a district under this section shall not be subject to the jurisdiction
or review of a local government boundary commission. [1979 c.877 §5; 1981
c.907 §1; 1983 c.83 §45; 1993 c.741 §22](1) An alteration
of the boundaries of a district under ORS 267.207 or 267.250 to 267.263
shall not become effective during the period:

(a) Beginning after the 90th day before a primary election or
general election and ending on the day after the election; or

(b) Beginning after the deadline for filing the notice of election
before any other election held by the district and ending on the day
after the election.

(2) If the effective date established for the alteration of the
boundaries is a date that is prohibited under this section, the
alteration shall become effective on the day after the election.

(3) For the purposes of ORS 308.225 only, the effective date of an
alteration of district boundaries shall be the date on which the board
adopts the ordinance altering the boundaries or, if such an ordinance is
initiated or referred, the date on which the ordinance is approved by the
electors as provided in ORS 267.207.

(4) For purposes of ad valorem taxation, a boundary change must be
filed in final approved form with the county assessor and the Department
of Revenue as provided in ORS 308.225. [1985 c.808 §77; 1987 c.799 §9;
1989 c.923 §26; 1995 c.712 §100; 2001 c.138 §11](1) A district shall, within a reasonable time after
formation, prepare a broad, general plan for a mass transit system for
the district. The plan shall be prepared in cooperation with the
Department of Transportation and cities and counties located within and
adjacent to the district.

(2) The plan shall show existing and proposed transit systems of
the district and of other public and private agencies relating to mass
transit. It shall demonstrate a basis for the coordination and planning
of future construction, improvement and equipment acquisition of the
district, governmental agencies and private interests to assure maximum
efficiency and use of mass transit in the district. The plans shall be
based on the needs of the district and take into consideration the plans
and programs, if any, developed by the Department of Transportation and
cities and counties located within the district. The district may have
access to all information, statistics, plans and data in the possession
of or available to any state agency or public corporation which is
pertinent to the preparation of the plan and may reimburse the agency or
corporation for any expense incurred in cooperating with the board.

(3) The district board shall revise the plan as necessary for the
proper control, utilization, development and improvement of the district
transit system. [1969 c.643 §20; 1973 c.116 §4]A
district may plan and let contracts for and carry through to completion
construction and improvement projects costing less than $50,000 without
feasibility reports, publication of notice, public hearings, public
inspection of plans, advertisement for bids or public bidding, if the
district board has approved the expenditure after obtaining plans, cost
estimates and bids as it may deem necessary. [1975 c.141 §2](1) A mass transit district may cooperate with or enter
into agreements with any city, county, port or state agency having
jurisdiction or control over any right of way that is available for
public travel for the joint use of such right of way. A city, county,
port or state agency may cooperate with or enter agreements with a
district for the joint use of any right of way open to public travel
located within the district.

(2) For the purpose of providing a mass transit system, a district
may commence a condemnation proceeding to acquire land or an interest in
land for right of way for the system over any public right of way already
located, condemned or occupied or that may be located, condemned or
occupied by some other public agency for the purpose of travel by the
public. The proceeding shall be conducted as provided by the laws of this
state for the condemnation of land or an interest in land for right of
way for highway purposes. At the time of rendering judgment for
compensation or damages, the court shall enter a judgment authorizing the
district to occupy and use the right of way, if necessary, in common with
the public agency already occupying or owning the right of way, and
defining the terms and conditions upon which the right of way shall be so
occupied and used in common. [1969 c.643 §12; 2003 c.576 §410; 2003 c.802
§93]A mass transit district may enter into contracts, leases,
subleases and agreements with the Oregon Mass Transportation Financing
Authority. The obligation of a district to pay rentals to the Oregon Mass
Transportation Financing Authority shall not be considered to be the
incurring of bonded indebtedness by a district. A district shall
reimburse the Oregon Mass Transportation Financing Authority for all
expenses incurred by the authority in connection with any application by
such district for financial assistance under the Oregon Mass
Transportation Financing Act. [1977 c.662 §18] (1)
Except as provided in ORS 824.045 and subsection (2) of this section, a
transit system operated by a district, including the rates and charges
made by a district and the equipment operated by a district, shall not be
subject to state laws or ordinances of any political subdivision
regulating public utilities or railroads, including those laws
administered by the Department of Transportation.

(2) ORS 824.200 to 824.256 apply to the transit system operated by
a district except for control and regulation of any crossing at which the
light rail transit vehicles of a district's transit system cross a
highway at separated grades or any grade crossing at which the light rail
transit vehicles operate within and parallel to the right of way of a
highway and where all conflicting vehicle movements are controlled by
standard highway traffic devices. However, upon written request from the
district and the public authority with jurisdiction over the highway at
such a grade crossing, the department shall adjudicate any dispute that
arises between the district and the public authority with regard to the
grade crossing. [1969 c.643 §11; 1973 c.116 §5; 1977 c.420 §1; 1985 c.678
§7; 1995 c.733 §92; 2001 c.522 §10]When the district acquires an
operating public transportation system, it shall make fair and equitable
arrangements to protect the interests of employees and retired employees
of the system. Such protective arrangements shall include, but shall not
be limited to:

(1) Preservation of rights, privileges and benefits, including
continuation of pension rights and payment of benefits, existing under
collective bargaining agreements, or otherwise;

(2) Continuation of collective bargaining rights;

(3) Protection of individual employees against a worsening of their
positions with respect to their employment; and

(4) Assurance of employment to persons employed by the mass
transportation system acquired and priority of reemployment to persons
previously employed. [1969 c.643 §10](1) As used in this section:

(a) "District" means a mass transit district organized under ORS
267.010 to 267.390 or a transportation district organized under ORS
267.510 to 267.650.

(b) "Qualified entity" means an individual or business or
organization, whether public, private, for-profit, nonprofit or
voluntary, that, under contract with a district, provides individuals to
operate motor vehicles for the transportation of passengers in the public
transportation system of the district.

(c) "Subject individual" means a person subject to a criminal
records check as specified by resolution of a mass transit district or a
transportation district.

(2) A mass transit district or a transportation district shall
request the Department of State Police to conduct criminal records checks
of subject individuals if the checks are required in order to protect
vulnerable Oregonians:

(a) To implement a federal or state statute, executive order or
rule that expressly refers to criminal conduct and contains requirements
or exclusions expressly based on such conduct;

(b) For district employment purposes when hiring individuals to
operate motor vehicles of the district; or

(c) For the purposes of employment decisions made by a district for
qualified entities that, under contracts with the district, employ
individuals to operate motor vehicles for the transportation of
passengers in the public transportation system of the district.

(3) A mass transit district that has a population of more than
500,000 may request the Department of State Police to conduct a criminal
records check of a subject individual who is:

(a) Seeking employment by the district in a position that provides
the individual with access to critical infrastructure or security
sensitive facilities or information; or

(b) Seeking to provide services to the district that will result in
the individual's having access to critical infrastructure or security
sensitive facilities or information.

(4) In order to determine the suitability of the subject
individual, a district shall require the subject individual to furnish to
the district a full set of fingerprints to enable a criminal records
check to be conducted. The district shall submit the completed
fingerprint cards to the Department of State Police along with the
applicable Oregon and Federal Bureau of Investigation processing fees. If
no disqualifying record is identified at the state level, the Department
of State Police shall forward the fingerprints to the Federal Bureau of
Investigation for a national criminal records check.

(5) The Federal Bureau of Investigation shall either return or
destroy the fingerprint cards used to conduct the criminal records check
and shall not keep any record of the fingerprints. However, if the
federal bureau policy authorizing return or destruction of the
fingerprint cards is changed, a district shall cease to cause the cards
to be sent to the federal bureau but shall continue to process the
information through other available resources.

(6) If the Federal Bureau of Investigation returns the fingerprint
cards to the Department of State Police, the department shall destroy the
fingerprint cards and shall retain no facsimiles or other material from
which a fingerprint can be reproduced.

(7) If only a state criminal records check is conducted, the
Department of State Police shall destroy the fingerprint cards after the
criminal records check is completed and the results of the criminal
records check provided to the district and shall retain no facsimiles or
other material from which a fingerprint can be reproduced.

(8) The district and the Department of State Police shall permit a
subject individual to inspect the individual's own Oregon and Federal
Bureau of Investigation criminal offender records after positive
fingerprint identification has been made.

(9)(a) A district, using guidelines established by a resolution of
the district, shall determine under this section whether a subject
individual is fit to operate motor vehicles for the transportation of
passengers in the public transportation system of the district or to hold
a position or provide services that provide the individual with access to
critical infrastructure or security sensitive facilities or information,
based on the criminal records check obtained pursuant to this section,
any false statements made by the individual regarding the criminal
history of the individual and any refusal to submit or consent to a
criminal records check including fingerprint identification. If a subject
individual is determined to be unfit, then that person shall not be
allowed to operate motor vehicles for the transportation of passengers in
the public transportation system of the district or to hold the position
or provide services that provide the individual with access to critical
infrastructure or security sensitive facilities or information.

(b) In making the fitness determination, the district shall
consider:

(A) The nature of the crime;

(B) The facts that support the conviction or pending indictment or
indicate the making of the false statement;

(C) The relevancy, if any, of the crime or the false statement to
the specific requirements of the subject individual's present or proposed
position or employment; and

(D) Intervening circumstances relevant to the responsibilities and
circumstances of the position or employment. Intervening circumstances
include but are not limited to the passage of time since the commission
of the crime, the age of the person at the time of the crime, the
likelihood of a repetition of offenses, the subsequent commission of
another relevant crime and a recommendation of an employer.

(c) A district and an employee of the district are immune from any
civil liability that might otherwise be incurred or imposed for actions
taken in determining pursuant to this subsection that a subject
individual is fit or not fit to hold a position or be employed. A
district, an employee of the district and an employer or employer's agent
who in good faith comply with this section and the decision of the
district or employee of the district are not liable for the failure to
hire a prospective employee or the decision to discharge an employee on
the basis of the district's or employee's decision. A district and an
employee of the district are immune from any civil liability for the
lawful dissemination of information obtained under this section when the
disclosure is:

(A) For the purpose of providing notice to the subject individual
or the employer of the subject individual of a determination of fitness
under this section;

(B) Required by law; or

(C) Necessary to support a claim or defense related to denying
employment to the subject individual.

(10) A district shall establish by resolution a process by which a
subject individual may appeal the determination that the subject
individual is disqualified for a position or employment pursuant to this
section. Challenges to the accuracy or completeness of information
provided by the Department of State Police, the Federal Bureau of
Investigation and agencies reporting information to the department or
bureau must be made through the department, bureau or agency and not
through the appeal process required by this subsection.

(11) A district shall develop a system that maintains information
regarding criminal records checks in order to minimize the administrative
burden that criminal records check requirements impose upon subject
individuals and providers. Records maintained under this subsection for
subject individuals are confidential and may not be disseminated except
for the purposes of this section and in accordance with the relevant
resolutions of the district. Nothing in this subsection permits a
district to retain fingerprint cards of subject individuals.

(12) A district, in consultation with the Department of State
Police and affected provider groups, shall adopt resolutions to implement
this section and other statutes relating to criminal offender
information. The resolutions shall include but need not be limited to:

(a) Specifying which employees are authorized to make criminal
record inquiries;

(b) Specifying categories of subject individuals who are subject to
criminal records checks;

(c) Specifying the information, including fingerprints, that may be
required from a subject individual to permit a criminal records check;

(d) Specifying which services or qualified entities are subject to
this section;

(e) Specifying which crimes may be considered in reviewing criminal
offender information for a subject individual;

(f) Specifying when a nationwide criminal records check shall be
conducted on a subject individual through the Department of State Police.
The additional cost of obtaining a nationwide criminal records check and
the risk to vulnerable Oregonians should be taken into consideration when
enacting resolutions under this subsection;

(g) Specifying when a district, in lieu of conducting a completely
new criminal records check, may proceed to make a fitness determination
under this section using the information maintained by the district under
subsection (11) of this section; and

(h) Determining when a subject individual may be hired on a
probationary basis pending a criminal records check. At a minimum, if
there is any indication of criminal behavior by the subject individual,
the resolution must require that, if the individual is hired, the
individual can be hired only on a probationary basis and must be actively
supervised at all times when the individual is in contact with children,
the elderly or persons with disabilities.

(13) Criminal offender information is confidential. The Department
of State Police shall adopt rules to restrict dissemination of
information received under this section to persons with a demonstrated
and legitimate need to know the information. Any district receiving
information pursuant to this section is bound by the rules of disclosure
adopted by the department.

(14) If a subject individual refuses to consent to the criminal
records check or refuses to be fingerprinted, the district or qualified
entity shall deny or terminate the employment of the individual, or
revoke or deny any applicable position, authority to provide services or
employment.

(15) A district shall define by resolution the conditions under
which subject individuals may participate in training, orientation and
work activities pending completion of a criminal records check through
the Law Enforcement Data System or nationwide criminal records check. At
a minimum, subject individuals shall be actively supervised at all times
that they are in contact with children, the elderly and persons with
disabilities during such periods of training, orientation and work.
Subject individuals may continue probationary employment while awaiting
the nationwide criminal records check as long as the individual's
criminal records check through the Law Enforcement Data System did not
result in disqualification and there are no other indications of criminal
behavior.

(16) If a district or a qualified entity requires a criminal
records check of employees or other persons, the application forms of the
district or qualified entity must contain a notice that employment is
subject to fingerprinting and a criminal records check as required by
this section. [1999 c.1057 §3; 2005 c.730 §65]Note: 267.237 was enacted into law by the Legislative Assembly but
was not added to or made a part of ORS chapter 267 or any series therein
by legislative action. See Preface to Oregon Revised Statutes for further
explanation.(1) In carrying out its duties under ORS 267.200, the district
shall provide a program of transportation for persons who are elderly or
disabled, which:

(a) Is devised in consultation with and after solicitation of the
views of persons representative of the communities for which such
transportation shall be provided; and

(b) Gives due regard to parity of service.

(2) In carrying out its duties under ORS 267.200 (4), the district
shall cause its future facilities and new equipment to be of such types
as to make such facilities and equipment accessible to, and usable by,
persons who are elderly or disabled. However, contracts for equipment are
exempt from this requirement until such equipment:

(a) Is available from not less than two manufacturers in mass
producible quantities; and

(b) Conforms to designs approved by the Federal Transit
Administration of the United States Department of Transportation as
providing access to and being usable by persons who are elderly or
disabled.

(3) Notwithstanding subsection (2) of this section or any other
provision of the law of this state, a program for transportation of
persons who are elderly or disabled shall be deemed to be in compliance
with the laws of this state and rules promulgated thereunder if the
program satisfies subsection (1) of this section and the federal
regulations relating to transportation for persons who are elderly or
disabled promulgated by the Federal Transit Administration of the United
States Department of Transportation. [1974 c.50 §2; 1981 c.621 §1; 1989
c.224 §37; 1993 c.741 §23] The
provisions of ORS 608.310 shall not apply in respect to property operated
by a mass transit district as part of a mass transit system. [1977 c.420
§2]Note: 267.245 was enacted into law by the Legislative Assembly but
was not added to or made a part of ORS chapter 267 or any series therein
by legislative action. See Preface to Oregon Revised Statutes for further
explanation.(Withdrawal of Territory From District) As used in ORS
267.250 to 267.263:

(1) "Affected area" means a contiguous area of not less than one
square mile in which 200 or more district electors reside and which is
within the boundaries of a district, but is outside the boundaries of any
city with a population exceeding 10,000. However, the term does not
include an area if the withdrawal of that area from the district results
in the district having two or more noncontiguous parts.

(2) "Direct service," with respect to an affected area described in
a petition filed under ORS 267.253, means the location or placement of
any of the facilities of the district or of any route used by the transit
system of the district within one mile of any boundary of the affected
area. [1987 c.799 §2; 1999 c.444 §§1,2](1) If the electors of an
affected area wish to withdraw from a district, they may file a petition
for withdrawal with the district board at the times and in the manner
provided for in this section. However, if the formation of the district
was initiated under ORS 267.107, the petition for withdrawal may not
include any area within the urban growth boundary described in ORS
267.114.

(2) A petition for withdrawal under this section may be filed only
during the period from January 1 to August 30 in calendar year 2001 and
in every fifth calendar year thereafter.

(3) A petition for withdrawal under this section shall be signed by
not less than 15 percent of the electors registered in the affected area
described in the petition.

(4) A petition filed under this section shall contain substantially
the following:

(a) A statement that the petition is filed pursuant to ORS 267.250
to 267.263;

(b) The names of the district and all affected counties; and

(c) A request that proceedings be commenced for the withdrawal of
the affected area from the district.

(5) There shall be attached to the petition a map which clearly and
precisely shows the exterior boundaries of the affected area by reference
to prominent landmarks such as streets, highways, rivers or the
boundaries of cities and counties. The map shall be used in lieu of a
metes and bounds or legal description of the affected area.

(6) The district board, within five days after receiving a petition
filed under this section which conforms to the requirements of this
section, shall file the petition with the county clerk of each county in
which any part of the affected area is located for signature
verification. [1987 c.799 §3; 1999 c.444 §4; 1999 c.454 §4] (1) When a county clerk to
whom a petition is submitted under ORS 267.253 certifies that the
petition contains the number of valid signatures required under ORS
267.253, the district board shall schedule a public hearing on the
petition. A district board may hold a single public hearing with respect
to two or more petitions.

(2) The district board shall schedule the public hearing for a date
which is not earlier than the 20th day after the date on which the study
of the affected area required under ORS 267.257 is completed, but which
is not later than the 90th day after the board receives certification
from the county clerk under subsection (1) of this section.

(3) The district board shall have notice of the hearing printed
once in a newspaper in general circulation within the district. The
notice shall be published at least five days prior to the hearing. Notice
of the published hearing shall also be posted in at least four different
locations within the affected area that are customarily used for the
purpose of posting public notice. The notice shall be posted not less
than 15 days prior to the date specified in the notice for the hearing
and shall be posted for not less than five consecutive days. The notice
required under this section shall contain the time and place of the
hearing, the purpose of the hearing, a description of the affected area,
the extent to which taxes imposed by the district will be increased in
the remaining portions of the district as a result of the withdrawal of
the affected area, the date on which the district board intends to
finally dispose of the petition under ORS 267.257 (2), a statement that
the study of the affected area required under ORS 267.257 is on file at
the district offices and available for copying and public inspection and
a statement that the public may appear and be heard on the issue of
withdrawal of the affected area from the district. The date of final
disposition of the petition that appears in the notice may be
subsequently changed to a later date by the district board without
publishing another notice as required by this section.

(4) The hearing required under this section may be conducted by a
hearings officer appointed by the district board. [1987 c.799 §4](1) After receiving certification by a
county clerk under ORS 267.255 of a petition for withdrawal filed under
ORS 267.253, the district board shall conduct a study of the affected
area described in the petition. The district board may also conduct an
overall study of several affected areas. The study shall consider:

(a) The extent to which residents of the affected area currently
use the mass transit services and facilities of the district;

(b) The amount of district revenues raised within the affected area
during the last three completed fiscal years of the district, separately
identifying the amount of revenues derived from taxes imposed by the
district and the amount of revenues derived from other sources;

(c) The history of the mass transit services provided to the
affected area;

(d) Whether or when direct service will be provided to the affected
area;

(e) The number of previous petitions filed under ORS 267.253 with
respect to the affected area or portions thereof; and

(f) The effect of withdrawal of the affected area on the district,
including the extent to which taxes imposed by the district in the
remaining portions of the district will be increased under ORS 267.260 as
a result of the withdrawal of the affected area.

(2) After completion of the study conducted under subsection (1) of
this section and the public hearing required under ORS 267.255, but not
later than the December 31 next following the date on which the petition
was filed with the district board, the district board shall adopt an
ordinance withdrawing the affected area from the district or shall adopt
a resolution denying the petition for withdrawal.

(3) Notwithstanding ORS 267.207 (3)(b), the district board shall
approve withdrawal if:

(a) The district board finds that the use of the mass transit
system of the district by residents of the affected area is less than or
equal to 30 percent of the system-wide average weekday boarding rides per
vehicle hour;

(b) The district board determines that direct service to the
affected area is not planned for at least five years;

(c) The residents and businesses within the affected area have
demonstrated that district fees and taxes have adversely affected
employment, population or commercial activity within the affected area;
and

(d) The district board has not received a petition signed by not
less than 15 percent of the electors within the affected area seeking
continuation of the district's jurisdiction over the affected area.

(4) Notwithstanding ORS 267.207 (3)(b), the district board may
withdraw the affected area from the district when the conditions of
subsection (3) of this section are not satisfied if the board considers
such withdrawal to be in the best interests of the district and the
affected area.

(5) Any decision of the district board relating to withdrawal of an
affected area under ORS 267.250 to 267.263 may be reviewed by a circuit
court under ORS 34.010 to 34.100. [1987 c.799 §5](1) As used in this section,
"withdrawal date" means the effective date of an ordinance approving
withdrawal of an affected area under ORS 267.250 to 267.263.

(2) An ordinance approving the withdrawal of an affected area under
ORS 267.250 to 267.263 shall take effect on the first day of January next
following the date which is 30 days after the adoption of the ordinance.

(3) Commencing immediately upon the withdrawal date and
notwithstanding any other provision of law, the rate of each tax imposed
by the district shall automatically be increased to a rate equal to the
rate determined by dividing the rate at which such tax was levied
immediately prior to the withdrawal date by a fraction, not more than
one, which is equal to the total revenue derived from such tax by the
district for the calendar year preceding the year in which the withdrawal
ordinance is adopted attributable to the area of the district other than
the withdrawn affected area divided by the total revenue derived from
such tax by the district for the same period.

(4) If the tax rates required under subsection (3) of this section
do not produce tax revenues sufficient to enable the district to make the
annual or semiannual payments, when due, and otherwise satisfy the
requirements of the bonded or other indebtedness of the district incurred
prior to the withdrawal, the district may increase the rate of each tax
to a rate that produces revenues sufficient to enable the district to
make the annual or semiannual payments, when due, and otherwise satisfy
the requirements of such indebtedness.

(5) The district board shall determine rates in accordance with the
formula prescribed by subsection (3) of this section and adopt the rates
as part of the ordinance approving the withdrawal of the affected area.
Any such determination and adoption shall be final and conclusive unless
it is shown to be arbitrary and capricious.

(6) If a district adopts an ordinance that increases the rate of an
excise tax described in ORS 267.385, the increase shall be adjusted as
prescribed in subsection (3) of this section to take into account the
withdrawal of an affected area that occurred or occurs at any time after
the date the district first imposed any taxes pursuant to ORS 267.385.
[1987 c.799 §6; 2003 c.739 §10]Notwithstanding ORS 199.425, the alteration of the boundaries of
a district under ORS 267.250 to 267.263 is not subject to the
jurisdiction or review of a local government boundary commission. [1987
c.799 §7]The savings derived from the cessation of service under an
ordinance adopted under ORS 267.257 shall be used to improve service in
the remaining portions of the district. Nothing in this section shall
prevent the district from exercising its normal budgetary authority to
adjust service levels. [1987 c.799 §8]Note: 267.265 was enacted into law by the Legislative Assembly but
was not added to or made a part of ORS chapter 267 or any series therein
by legislative action. See Preface to Oregon Revised Statutes for further
explanation.(Finances) (1) Subject to
restrictions in the Oregon Constitution, a district board may finance
construction, acquisition, purchase, lease, operation and maintenance of
a mass transit system and related facilities for the purposes authorized
under ORS 267.010 to 267.390 by:

(a) Levy of ad valorem taxes under ORS 267.305.

(b) Service charges and user fees collected under ORS 267.320.

(c) Use of the revolving fund authorized under ORS 267.310.

(d) Sale of bonds under ORS 267.330 to 267.345.

(e) Levy of business license fees under ORS 267.360.

(f) Levy of a tax measured by net income under ORS 267.370.

(g) Levy of a tax measured by employer payrolls under ORS 267.380,
267.385 and 267.420.

(h) Use of funds accepted under ORS 267.390.

(i) Short-term borrowings under ORS 267.400.

(j) Levy of a tax measured by net earnings from self-employment
under ORS 267.380 and 267.385.

(k) Any combination of the provisions of paragraphs (a) to (j) of
this subsection.

(2) All or any part of the funds raised or received by the district
under subsection (1)(a) to (k) of this section may be expended by the
district for the purpose of financing the construction, reconstruction,
improvement, repair, maintenance, operation and use of the primary
transit supportive system. However, only those funds raised or received
by the district that are restricted by the Oregon Constitution for the
purpose of financing the construction, reconstruction, operation and use
of public highways, roads, streets and roadside rest areas may be
expended by the district for the secondary transit supportive system. As
used in this subsection:

(a) "Transit supportive system" means those facilities in any
county in which a district operates that constitute the surface
transportation system in the county, including highways, roads, streets,
roadside rest areas, park-and-ride stations, transfer stations, parking
lots, malls and skyways.

(b) "Primary transit supportive system" means those facilities upon
which or adjacent to which the district physically operates.

(c) "Secondary transit supportive system" means the remainder of
those facilities that constitute the surface transportation system, but
over which the district's operation or facilities are not physically
present. [1969 c.643 §23; 1975 c.752 §1; 1983 c.323 §1; 1983 c.749 §1;
1987 c.825 §1; 1989 c.869 §1]If a mass transit district was initiated by a resolution
pursuant to ORS 267.107, the district shall not use any method of
financing under ORS 267.300 other than a method of financing authorized
to be used under ORS 267.300 (1)(b), (h) to (j) without first obtaining
authorization at a properly called election held for that purpose. [1975
c.632 §2a; 1979 c.585 §3; 1983 c.323 §2; 1983 c.749 §2; 1987 c.825 §2] (1) A
district may assess, levy and collect taxes each year on the assessed
value of all taxable property within the limits of the district or the
service area of the district. The proceeds of the tax shall be applied in
carrying out the purposes of ORS 267.010 to 267.390.

(2) The district may annually also assess, levy and collect a tax
without limitation upon all such property in an amount sufficient to pay
the yearly interest on bonds theretofore issued by the district and then
outstanding, together with any portion of the principal of the bonds
maturing within the year. The tax shall be applied only in payment of
interest and principal of bonds issued by the district, but the district
may apply any funds it may have toward payment of principal and interest
of bonds.

(3) Any taxes needed shall be levied in each year and returned to
the county officer, whose duty it is to extend the tax roll, by the time
required by law for city taxes to be levied and returned.

(4) All taxes levied by a district shall become payable at the same
time and be collected by the same officer who collects county taxes, and
shall be turned over to the district according to law. The county officer
whose duty it is to extend the county levy shall extend the levy of the
district in the same manner as city taxes are extended.

(5) Property shall be subject to sale for nonpayment of taxes
levied by a district in like manner and with like effect as in the case
of county and state taxes. [1969 c.643 §25; 1981 c.804 §77]For the purpose of establishing a revolving fund to provide money
to finance the planning and construction, acquisition, purchase or lease
of a mass transit system, a district board may levy an ad valorem tax of
not to exceed in any one year three-twentieth of one percent (0.0015) of
real market value of all taxable property within the district. The
revenue derived from such taxes shall be credited to a revolving fund,
and shall be disbursed by the district board and used only for the
purpose for which levied. [1969 c.643 §27; 1991 c.459 §364] (1) Except
as otherwise provided in this section, to carry out the powers granted by
ORS 267.010 to 267.390, the district board may by ordinance impose and
may collect user charges, fees and tolls from those who are served by or
use the transit system and other facilities and services of the district.

(2) The district shall not charge a person over 65 years of age a
fee of more than 50 percent of the regular fee for transportation
provided by the district. The maximum fee established by this subsection
does not apply on any weekday, Monday through Friday, between the hours
of 5 a.m. and 9 a.m. or between the hours of 3 p.m. and 7 p.m. [1969
c.643 §26; 1973 c.474 §1; 1975 c.124 §1; 1975 c.169 §1; 1981 c.634 §1;
2003 c.14 §131] For the purpose of financing the
design, engineering, acquisition, construction and installation of any
mass transit system, a district may enter into lease purchase agreements
for such term of years as the board may determine. The lease purchase
payments payable by a district under any such lease purchase agreement
may be payable out of any funds of the district, including without
limitation any operating revenues, tax revenues or grants. [1989 c.899 §2](1) To carry
out any of the powers granted by ORS 267.010 to 267.390, a district, when
authorized at any properly called election held for the purpose, may
borrow money, and sell and dispose of general obligation bonds.
Outstanding bonds shall never exceed in the aggregate two and one-half
percent of the real market value of all taxable property within the
district.

(2) The bonds shall be issued from time to time by the district
board in behalf of the district as authorized by the electors thereof.
The bonds shall mature serially within not to exceed 30 years from issue
date. However, for an indebtedness to the federal government or this
state, the district may issue one or more bonds of the denominations
agreed upon. Bonds shall bear interest at a rate, payable semiannually,
as the board shall determine. The bonds shall be so conditioned that the
district shall promise and agree therein to pay to the bearer at a place
named therein, the principal sum, with interest at the rate named
therein, payable semiannually, in accordance with the tenor and terms of
the interest coupons attached.

(3) For the purpose of additionally securing the payment of the
principal and interest on general obligation bonds issued under this
section, the district may by resolution of the board, which resolution
shall constitute part of the contract with the holders of the bonds,
pledge all or any part of the net revenue of the district. The district
board may adopt such a resolution without submitting the question of the
pledge to the electors of the district. [1969 c.643 §28; 1983 c.347 §19;
1991 c.459 §365](1) If the line extending
Tri-Met's regional light rail system north from Clackamas County, Oregon,
is not part of a phased project that will serve both the Portland
metropolitan region and Clark County, Washington, then prior to the
issuance by Tri-Met of any general obligation bonds to fund its share of
the line extending Tri-Met's regional light rail system north from
Clackamas County, Oregon, Tri-Met shall submit to its electors the
question of the issuance of such general obligation bonds.

(2) As used in this section:

(a) "Portland metropolitan region" means the area within the urban
growth boundary established by Metro as that boundary existed on July 1,
1995.

(b) "Metro" means the metropolitan service district created under
ORS chapter 268 and exercising home rule charter powers.

(c) "Tri-Met" means the Tri-County Metropolitan Transportation
District of Oregon, a mass transit district created under ORS chapter
267. [Formerly 197.587]Note: 267.334 was enacted into law by the Legislative Assembly but
was not added to or made a part of ORS chapter 267 or any series therein
by legislative action. See Preface to Oregon Revised Statutes for further
explanation.(1) In addition to the authority to issue general obligation
bonds, after a vote of the people, a district may issue and sell revenue
bonds and pledge as security therefor all or any part of the unobligated
net revenue of the district. Revenue bonds shall be issued in the same
manner and form as are general obligation bonds of the district but they
shall not be subject to the percentage limitation provided by ORS 267.330
applicable to issuance of general obligation bonds and shall not be a
lien upon any property within the limits of the district. Such bonds
shall be payable, both as to principal and interest, solely from the net
revenues of the district remaining after payment of obligations having a
priority and payment of all expenses of operation and maintenance of the
district, including any taxes levied thereafter against the district. All
revenue bonds shall contain a clause reciting that both the principal and
interest are payable solely from net revenues of the district remaining
after paying such obligations and expenses.

(2) In lieu of issuing bonds secured by unobligated net revenue
under subsection (1) of this section, the treasurer, when authorized by
the board, may execute and issue interest-bearing warrants drawn against
funds created by and for operation and maintenance of the mass transit
system in excess of current cash on hand, but not in an amount exceeding
one-half of the estimated annual gross revenue for operation of the mass
transit system for the next ensuing year. [1969 c.643 §29] Refunding bonds of the same character and
tenor as those replaced thereby may be issued pursuant to a resolution
adopted by the district board without submitting to the electors the
question of authorizing the issuance of the bonds. [1969 c.643 §30] All general obligation and
revenue bonds, including refunding bonds, issued under ORS 267.330 to
267.345 shall be advertised and sold in the manner prescribed by ORS
287.014 to 287.022 for the sale of bonds of cities of this state. [1969
c.643 §31]To carry out any of the powers granted by ORS 267.010
to 267.390, a district may by ordinance raise revenue by licensing and
imposing a fee on any business, trade, occupation and profession carried
on or practiced in the district. This section does not empower a district
to require licenses of or impose fees on companies that are licensed by
the state under ORS 731.358 or 731.362 to transact insurance, as defined
in ORS 731.146, or to require licenses of or impose fees upon the
representatives of such companies who are not residents of the district.
[1969 c.643 §32] (1) To carry out any of the
powers granted by ORS 267.010 to 267.390, a district may by ordinance
impose a tax:

(a) Upon the entire taxable income of every resident of the
district subject to tax under ORS chapter 316 and upon the taxable income
of every nonresident that is derived from sources within the district
which income is subject to tax under ORS chapter 316; and

(b) On or measured by the net income of a mercantile,
manufacturing, business, financial, centrally assessed, investment,
insurance or other corporation or entity taxable as a corporation doing
business, located, or having a place of business or office within or
having income derived from sources within the district which income is
subject to tax under ORS chapter 317 or 318.

(2) The rate of the tax imposed by ordinance adopted under
authority of subsection (1) of this section shall not exceed one percent.
The tax may be imposed and collected as a surtax upon the state income or
excise tax.

(3) Any ordinance adopted pursuant to subsection (1) of this
section shall require a nonresident, corporation or other entity taxable
as a corporation having income from activity both within and without the
district taxable by the State of Oregon to allocate and apportion such
net income to the district in the manner required for allocation and
apportionment of income under ORS 314.280 and 314.605 to 314.675.

(4) The district shall allow a credit against the tax imposed
pursuant to this section, in an amount equal to the employer's payroll
tax paid to the district by the taxpayer.

(5) If a district adopts an ordinance under this section, the
ordinance shall be consistent with any state law relating to the same
subject, and with rules and regulations of the Department of Revenue
prescribed under ORS 305.620.

(6) An ordinance adopted under this section shall not declare an
emergency. [1969 c.643 §33; 1971 c.600 §1; 1975 c.752 §2] (1) As used in ORS
267.380 and 267.385, unless the context requires otherwise:

(a) "Employer" means:

(A) A person who is in such relation to another person that the
person may control the work of that other person and direct the manner in
which it is to be done;

(B) An officer or employee of a corporation, or a member or
employee of a partnership, who as such officer, employee or member is
under a duty to perform the acts required of employers by ORS 316.162 to
316.219; or

(C) The State of Oregon or any political subdivision in this state,
except for a school district as defined in ORS 255.005 (9), with respect
to work performed within the district by an employee of the State of
Oregon or of the political subdivision.

(b) "Employer" does not include an organization exempt from
taxation under section 501(c)(3) of the Internal Revenue Code, as amended
and in effect on December 31, 1996, except that "employer" does include
hospitals.

(c) "Wages" means remuneration for services performed by an
employee for the employer, including the cash value of all remuneration
paid in any medium other than cash.

(d) "Net earnings from self-employment" has the same meaning as in
section 1402 of the Internal Revenue Code of 1986, as that section was in
effect and operative on December 31, 1988. For the purposes of computing
net earnings from self-employment, a district may by ordinance from time
to time adopt definitions of the terms used in section 1402.

(e) "Individual" means any natural person.

(2) As used in this section and ORS 267.385, "wages" does not
include remuneration paid:

(a) For services performed in the employ of the United States of
America and institutions (excluding hospitals) exempt from taxation under
section 501(c)(3) of the Internal Revenue Code, as amended and in effect
on December 31, 1996.

(b) For domestic service in a private home if the total amount paid
to such employee is less than $1,000 a year.

(c) For casual labor not in the course of the employer's trade or
business.

(d) For services performed wholly outside of the district.

(e) To an employee whose services to the employer consist solely of
seasonal labor in connection with the planting, cultivating or harvesting
of agricultural crops.

(f) To seamen who are exempt from garnishment, attachment or
execution under title 46, United States Code.

(g) To individuals temporarily employed as emergency firefighters.

(h) If the remuneration is not subject to withholding under ORS
chapter 316.

(i) To employees' trusts exempt from taxation under section 401 of
the Internal Revenue Code, as amended and in effect on December 31, 1996.

(j) If the remuneration is not wages under section 3121(a)(5)(I) of
the Internal Revenue Code, as amended and in effect on December 31, 1996.

(3) "Net earnings from self-employment" does not include income:

(a)(A) From activities wholly outside of the district.

(B) That is wages.

(C) That would be wages under section 3121 of the Internal Revenue
Code, as amended and in effect on December 31, 1990, but for the
provisions of section 3121(b)(8)(A) of the Internal Revenue Code.

(b) That is not net earnings from self-employment under section
1402(a)(8) of the Internal Revenue Code by reason of the amendments to
section 1402 by section 1456 of the Small Business Job Protection Act of
1996 (P.L. 104-188).

(4) Notwithstanding any other provision of this section, "wages"
includes:

(a) Any amount included in the definition of "wages" under section
3121 of the Internal Revenue Code, as defined in ORS 316.012, by reason
of the provisions of section 3121(a)(5)(C), 3121(a)(5)(D), 3121(v)(1)(A),
3121(v)(1)(B), 3121(v)(3)(A), 3121(a)(5)(E) or 3121(a)(5)(H) of the
Internal Revenue Code; or

(b) Any amount deferred under a nonqualified deferred compensation
plan.

(5) Any amount taken into account as wages by reason of subsection
(4) of this section and the income attributable thereto shall not
afterwards be treated as wages under this section. [1969 c.643 §34; 1971
c.600 §2; 1973 c.573 §2; 1979 c.766 §1; 1981 c.907 §2; 1987 c.293 §69;
1989 c.869 §2; 1991 c.457 §23a; 1993 c.18 §47; 1997 c.839 §39] (1) To carry
out the powers granted by ORS 267.010 to 267.390, a district may by
ordinance impose an excise tax on every employer equal to not more than
seven-tenths of one percent of the wages paid with respect to the
employment of individuals. For the same purposes, a district may by
ordinance impose a tax on each individual equal to not more than
seven-tenths of one percent of the individual's net earnings from
self-employment.

(2) No employer shall make a deduction from the wages of an
employee to pay all or any portion of a tax imposed under this section.

(3) The provisions of ORS 305.620 are applicable to collection,
enforcement, administration and distribution of a tax imposed under this
section.

(4) At any time an employer or individual fails to remit the amount
of taxes when due under an ordinance of the district board imposing a tax
under this section, the Department of Revenue may enforce collection by
the issuance of a distraint warrant for the collection of the delinquent
amount and all penalties, interest and collection charges accrued
thereon. Such warrant shall be issued and may be enforced in the same
manner and have the same force and effect as prescribed with respect to
warrants for the collection of delinquent state income taxes.

(5) Any ordinance adopted under subsection (1) of this section
shall require an individual having net earnings from self-employment from
activity both within and without the district taxable by the State of
Oregon to allocate and apportion such net earnings to the district in the
manner required for allocation and apportionment of income under ORS
314.280 and 314.605 to 314.675. Such ordinance shall give the individual
the option of apportioning income based on a single factor designated by
the ordinance.

(6) Any ordinance adopted under subsection (1) of this section with
respect to net earnings from self-employment may impose a tax for a
taxable year measured by each individual's net earnings from
self-employment for the prior taxable year, whether such prior taxable
year begins before or after November 1, 1981, or such ordinance.

(7) Any ordinance imposing a tax authorized by subsection (1) of
this section shall not apply to any business, trade, occupation or
profession upon which a tax is imposed under ORS 267.360.

(8) The district board may not adopt an ordinance increasing a tax
authorized by subsection (1) of this section unless the board makes a
finding that the economy in the district has recovered to an extent
sufficient to warrant the increase in tax. In making the finding, the
board shall consider regional employment and income growth. [1969 c.643
§35; 1981 c.907 §3; 2003 c.576 §197; 2003 c.739 §7]Note: Sections 8 and 9, chapter 739, Oregon Laws 2003, provide:

Sec. 8. Notwithstanding ORS 267.385 (1) and subject to ORS 267.260
(3) and (6), an increase in any tax imposed on wages or on net earnings
from self-employment that is authorized by a mass transit district under
ORS 267.385 (1) on or after January 1, 2004, must be phased in over a
10-year period. The district shall by ordinance set forth the increments
by which the increase in tax is phased in. Subject to ORS 267.260 (3) and
(6), each increment may not increase the rate of tax by more than 0.02
percent. [2003 c.739 §8]

Sec. 9. Section 8 of this 2003 Act is repealed on January 2, 2014.
The district may:

(1) Accept, without limitation by any other provision of ORS
267.010 to 267.390 requiring approval of indebtedness, any contributions
or loans from the United States for the purpose of carrying out any
provision of ORS 267.010 to 267.390; and

(2) Do anything that the board considers necessary in order to
avail itself of aid, assistance or cooperation under this section under
any federal law. [1969 c.643 §37](1) A district may borrow moneys by issuing notes,
warrants or other obligations:

(a) In anticipation of taxes or other revenues, including but not
limited to grants awarded by the state or federal government; or

(b) To refund obligations authorized under this section.

(2) To secure obligations authorized under this section a district
may:

(a) Pledge as primary security for the obligations the taxes and
other revenues in anticipation of which the obligations are issued,
including but not limited to grants from the state or federal government;

(b) Pledge as secondary security for the obligations the taxes and
other revenues of the district other than those in anticipation of which
the obligations are issued;

(c) Segregate any pledged funds in separate accounts which may be
held by the district or third parties;

(d) Establish any reserves deemed necessary by the district for the
payment of the obligations; and

(e) Adopt resolutions containing covenants and provisions for
protection and security of the holders of obligations, which shall
constitute enforceable contracts with such holders.

(3) Each issue of obligations authorized by this section:

(a) If issued in anticipation of taxes, shall not be issued prior
to, and shall mature not later than the end of, the fiscal year in which
the taxes are expected to be received;

(b) If issued in anticipation of other revenues, including grants
for operating purposes from the state or federal government, shall not be
issued more than one year prior to the time at which the district expects
to receive the last installment of the revenues or grants in anticipation
of which the obligations are issued, and shall mature not more than one
year after the date of issue;

(c) If issued in anticipation of capital improvement grants from
the state or federal government, shall not be issued more than 30 months
prior to the time at which the district expects to receive the last
installment of the capital improvement grant in anticipation of which the
obligations are issued, and shall mature no later than 30 months after
the date of issue or six months after the time at which the district
expects to receive the last installment of the capital improvement grant
in anticipation of which the obligations are issued, whichever is earlier;

(d) If issued in anticipation of taxes or revenues other than
grants from the state or federal government, shall not be issued in an
amount greater than 80 percent of the amount of taxes or such other
revenues budgeted to be received by the district and in anticipation of
which such obligations are issued; and

(e) If issued in anticipation of grants from the state or federal
government, shall not be issued in an amount greater than 80 percent of
the amount of such grants.

(4) Except as this section otherwise specifically provides,
obligations authorized by this section may be in any form and contain any
terms, including provisions for the varying of interest rates in
accordance with any index, bankers' loan rate or other standard. A
district may issue and sell as part of a single offering obligations in
anticipation of two or more grants from the state or federal government,
in which event the obligations constituting a part of the offering shall
be issued as separate series with one series corresponding to each grant
in anticipation of which the obligations are issued. A district may only
pledge as primary security for a series of obligations constituting part
of a single offering the grant in anticipation of which such series is
issued. For purposes of subsection (3) of this section, each series of
obligations constituting part of a single offering shall be a separate
issue of obligations.

(5) When the taxes or other revenues, including grants from the
state or federal government, in anticipation of which the obligations
authorized by this section are issued are not received by the district at
such time or in such amounts as will enable the district to pay the
obligations at maturity, the district shall, to the extent available,
first apply to the payment of the obligations the taxes or other revenues
in anticipation of which such obligations were issued, and the district
may pay the balance owing under such obligations out of any other taxes
or revenues available for such purpose.

(6) The district may contract with third parties to serve as
issuing, paying and authenticating agents for any obligations authorized
by this section.

(7) Obligations authorized by this section may be sold at public or
private sale upon such terms as the district finds advantageous, with
such disclosure as the district deems appropriate. ORS 287.014 to 287.022
shall not apply to obligations authorized by this section. ORS 287.040
shall apply to obligations authorized under this section.

(8) Any pledge made pursuant to subsection (2) of this section
shall be valid and binding from and after the date of issue of the
obligations secured by such pledge and the taxes or other revenues
pledged shall be immediately subject to the lien of such pledge without
the physical delivery thereof, the filing of any notice or any further
act. The lien of any pledge made pursuant to subsection (2) of this
section shall be valid and binding against all persons having claims of
any kind against the district whether in tort, contract or otherwise,
irrespective of whether such persons have notice thereof.

(9) The district shall deposit, when received, a portion of the
taxes or other revenues in anticipation of which the obligations
authorized by this section are issued in a separate account. Deposits to
the account shall be made according to a schedule which requires that not
less than 100 percent of such taxes or other revenues received by the
district after the estimated date of the district's maximum cumulative
cash flow deficit be placed in the account until sufficient amounts are
in the account to pay principal and interest due on the obligations at
maturity. The schedule shall be established by the district in its
proceedings to issue the obligations. Moneys in the account shall be used
only to pay principal and interest on the obligations, and may be pledged
by the district for such purpose. [1983 c.323 §4; 1985 c.433 §1]ORS 267.300, 267.380 and
267.410 to 267.430 apply only to a mass transit district situated in a
standard metropolitan statistical area with a population exceeding
400,000. [1989 c.869 §7](1) Any ordinance imposing
an employer payroll tax on an entity described in ORS 267.380 (1)(a)(C)
shall be adopted not less than six months prior to the beginning of the
fiscal year of the mass transit district within which the employer
payroll tax becomes effective.

(2)(a) Any ordinance imposing an employer payroll tax on an entity
described in ORS 267.380 (1)(a)(C) shall provide that for each of the
four fiscal years after the fiscal year in which the employer payroll tax
was first imposed, the entity shall pay the applicable percentage of the
amount of employer payroll tax which, without regard to this section, it
would have been required to pay under the law.

(b) The applicable percentage shall be determined in accordance
with the following table:

___________________________________________________________________________
___Number of fiscal yearsThe applicable

after the fiscal year     percentage is:

in which the employer

payroll tax is first

imposed:

One                          20

Two                          40

Three                        60

Four                          80

___________________________________________________________________________
___ (c) In the fifth fiscal year after the fiscal year in which the
employer payroll tax is first imposed on an entity described in ORS
267.380 (1)(a)(C) and in any subsequent fiscal year, the applicable
percentage shall be 100 percent. [1989 c.869 §4]
ORS 267.300, 267.380, 267.410 to 267.430 do not apply to entities
described in ORS 267.380 (1)(a)(C) that made, and that continue to make,
payments under the provisions of ORS 291.405 and 291.407 equivalent to
the rate in effect on January 1, 1989. If a mass transit district or
transportation district does not collect a tax under ORS 267.300 (1)(g)
or 267.615 (1)(g), ORS 267.300, 267.380 and 267.410 to 267.430 do not
affect payment under ORS 291.405 and 291.407. [1989 c.869 §6]TRANSPORTATION DISTRICTS(Generally) As used in ORS
267.510 to 267.650:

(1) "District" means a transportation district established under
ORS 267.510 to 267.650.

(2) "System" means the equipment, facilities and other property
constructed, erected or acquired by the district and to be used in the
transport of passengers. [1974 c.9 §1] (1) ORS chapter
255 governs the following:

(a) The nomination and election of board members.

(b) The conduct of district elections.

(2) The electors of a district may exercise the powers of the
initiative and referendum regarding a district measure, in accordance
with ORS 255.135 to 255.205. [Amended by 1983 c.350 §128](1) To
the maximum extent possible, motor vehicles subject to the control of a
transportation district established under ORS 267.510 to 267.650 having a
city within the district with a population exceeding 30,000 shall use
alternative fuel for operation.

(2) To the extent that it is economically and technologically
possible, all motor vehicles purchased or leased by the board of the
district shall be capable of using alternative fuel. However, this
subsection does not apply if the vehicle will be primarily used in an
area that does not have and cannot reasonably be expected to establish an
alternative fuel refueling station or if the district is unable to secure
financing sufficient to cover additional costs resulting from the
requirement of this subsection.

(3) Prior to July 1 of each year, the board of the district shall
submit an annual report to the Department of Environmental Quality and
the State Department of Energy. The report shall contain at a minimum:

(a) The number of purchases and leases of vehicles capable of using
alternative fuel;

(b) The number of conversions of vehicles from the use of gasoline
or diesel fuel to the use of alternative fuel;

(c) The quantity of each type of alternative fuel used; and

(d) Any other information required by the Department of
Environmental Quality and the State Department of Energy to carry out
their functions under subsection (4) of this section.

(4) If the Department of Environmental Quality and State Department
of Energy determine that the use of alternative fuel required by this
section has been effective in reducing total annual motor vehicle
emissions in the district, the motor vehicles subject to the control of
the board of the district shall be capable of using alternative fuel, to
the maximum extent possible.

(5) The board of the district shall comply with all safety
standards established by the United States Department of Transportation
in the conversion, operation and maintenance of vehicles using
alternative fuel.

(6) As used in this section, "alternative fuel" means any fuel
determined by the Department of Environmental Quality to be less
polluting than conventional gasoline, including but not necessarily
limited to reformulated gasoline, low sulphur diesel fuel, natural gas,
liquified petroleum gas, methanol, ethanol, any fuel mixture containing
at least 85 percent methanol or ethanol and electricity. [1991 c.730 §4;
2003 c.186 §13](Formation) (1) In addition to initiatory
action authorized by ORS 198.705 to 198.955, proceedings to establish a
district may be initiated by a resolution adopted by the governing body
of the most populous city in the proposed district and filed with the
county governing body, petitioning that body to call the election; or

(2) The petition or resolution initiating formation shall request,
if the district is to impose operating taxes, that the election to
establish the district include a proposed permanent rate limit for
operating taxes for the district within the meaning of section 11 (3),
Article XI of the Oregon Constitution. If the petition or resolution does
so, the proposition to be voted on at the election shall include a
proposed permanent rate limit for the district, in accordance with the
petition or resolution. [1974 c.9 §4; 1997 c.541 §360]If a district is to impose operating taxes, a permanent rate
limit on operating taxes within the meaning of section 11 (3), Article XI
of the Oregon Constitution, shall be established for a district at the
same election at which the district is established. If the petition or
resolution for initiating proceedings to establish the district contains
a proposed permanent rate limit, the county governing body that calls the
election shall confer about the rate limit with the governing bodies of
all counties and cities having territory in the proposed district and
shall then determine the rate limit to be proposed for the district. The
proposition submitted to the electors of the district for the purpose of
establishing the district shall propose the rate limit specified by the
county governing body. The rate limit so proposed shall be the permanent
rate limit for operating taxes for the district within the meaning of
section 11 (3), Article XI of the Oregon Constitution, if the district is
established in an election that is in compliance with section 11 (8),
Article XI of the Oregon Constitution. [1974 c.9 §5; 1997 c.541 §361](Board)(1) The governing body of a district
shall consist of seven members elected from the district at large for
four-year terms. Vacancies shall be filled by the governing body under
ORS 198.320.

(2) The chairperson of the county governing body that calls the
election on establishing the district shall convene the first meeting of
the district governing body and shall serve as chairperson of the first
meeting until the members choose a permanent chairperson.

(3) At its first meeting after July 1 each year the district
governing body shall choose a chairperson for the ensuing year. The
chairperson shall be the presiding officer of the governing body and have
whatever additional functions the governing body prescribes.

(4) The governing body may adopt and enforce rules of procedure
governing its proceedings.

(5) The district board shall report biennially to the Legislative
Assembly the activities of the district. [1974 c.9 §6; 1975 c.737 §4;
1983 c.350 §125](Powers) (1) A transportation district has full
power to carry out the objectives of its formation and to that end may
have and use a seal, have perpetual succession, sue and be sued in its
own name, and enter into contracts.

(2) Except as ORS 267.510 to 267.650 provide to the contrary, the
powers of the district shall be vested in the governing body of the
district.

(3) A transportation district formed under ORS 267.510 to 267.650
shall be considered a district for all purposes in ORS chapter 198. [1974
c.9 §8; 1975 c.737 §5; 1983 c.350 §126; 2003 c.802 §95] A transportation district may provide
public transportation and terminal facilities for public transportation
including local aspects thereof transferred to the district by one or
more other public bodies as defined in ORS 174.109, through agreements in
accordance with ORS 267.510 to 267.650. [1974 c.9 §9; 2003 c.802 §96] (1) For purposes
of public transportation, a district may:

(a) Contract with the United States or with any county, city or
state, or any of their departments or agencies, for the construction,
preservation, improvement, operation or maintenance of any system.

(b) Build, construct, purchase, improve, operate and maintain,
subject to other applicable provisions of law, all improvements,
facilities or equipment necessary or desirable for the system of the
district.

(c) Enter into contracts and employ agents, engineers, attorneys
and other persons and fix their compensation.

(d) Fix and collect charges for the use of the system.

(e) Construct, acquire, maintain and operate passenger terminal
facilities and motor vehicle parking facilities in connection with the
system within or outside the district.

(f) Use a public thoroughfare in a manner mutually agreed to by the
governing bodies of the district and of the thoroughfare or, if they
cannot so agree upon how the district may use the thoroughfare, in a
manner determined by an arbitrator appointed by the Governor.

(g) Do such other acts or things as may be necessary or convenient
for the proper exercise of the powers granted to a district by ORS
267.510 to 267.650.

(2) A district shall be entitled to tax refunds under ORS 319.831,
as if the district were a city. [1974 c.9 §10; 1979 c.344 §2](1) A district shall, within a reasonable time after formation,
prepare a broad, general plan for a public transit system for the
district. The plan shall be prepared in cooperation with the Department
of Transportation and cities and counties located within and adjacent to
the district.

(2) The plan shall show existing and proposed transit systems of
the district and of other public and private agencies relating to public
transit. It shall demonstrate a basis for the coordination and planning
of future construction, improvement and equipment acquisition of the
district, governmental agencies and private interests to assure maximum
efficiency and use of public transit in the district. The plans shall be
based on the needs of the district and take into consideration the plans
and programs, if any, developed by the Department of Transportation and
cities and counties located within and adjacent to the district. The
district may have access to all information, statistics, plans and data
in the possession of or available to any state agency or public
corporation which is pertinent to the preparation of the plan and may
reimburse the agency or corporation for any expense incurred in
cooperating with the board.

(3) The district board shall revise the plan as necessary for the
proper control, utilization, development and improvement of the district
transit system. [1975 c.737 §3] The governing body of a district may employ
whatever administrative, clerical, technical and other assistance is
necessary for the proper functioning of the district, on whatever terms
the governing body considers in the best interests of the district. [1974
c.9 §7] A district may contract with any
public or private agency for the agency to operate any facility or
perform any function that the district is authorized to operate or
perform. By contract the district may assume any function of any public
corporation, city or county in the district that the district has power
to assume under ORS 267.510 to 267.650. [1974 c.9 §11] Transportation
facilities operated by a district, including the rates and charges made
by the district and the equipment operated by the district, and
transportation facilities operated for a district by a private operator
pursuant to a contract between the operator and the district, including
the rates and charges made by the operator pursuant to the contract, and
the equipment operated pursuant to the contract, shall not be subject to
the laws of this state regulating public utilities, including those laws
administered by the Public Utility Commission of Oregon. [1974 c.9 §2](Finances) (1) For the purpose of performing any of
the powers conferred by ORS 267.510 to 267.650, a transportation district
may use any of the following methods of financing:

(a) Service charges and user fees collected under ORS 267.570
(1)(d).

(b) Levy ad valorem taxes under ORS 267.620.

(c) Use of a revolving fund as authorized for mass transit
districts under ORS 267.310.

(d) Sale of bonds under ORS 267.630 and 267.640.

(e) Levy of business license fees as authorized for mass transit
districts under ORS 267.360.

(f) Levy of a tax measured by net income as authorized for mass
transit districts under ORS 267.370.

(g) Levy of a tax measured by employer payrolls as authorized for
mass transit districts under ORS 267.380 and 267.385.

(h) Acceptance and use of any contributions or loans from the
United States, without limitation by any other provision of ORS 267.510
to 267.650 requiring approval of indebtedness.

(i) Any combination of the provisions of paragraphs (a) to (h) of
this subsection.

(2) A district shall not use any method of financing authorized
under subsection (1)(c) to (g) of this section without first obtaining
authorization at a properly called election held for that purpose. [1975
c.737 §2; 1981 c.512 §1] (1) A district may levy annually an ad
valorem tax on all taxable property within its boundaries not to exceed
in any one year one-half percent (0.005) of the real market value of all
taxable property within the boundaries of such district, computed in
accordance with ORS 308.207. The district may also annually assess, levy
and collect a special tax upon all such property in an amount sufficient
to pay the yearly interest on bonds previously issued by the district and
then outstanding, together with any portion of the principal of such
bonds maturing within the year. The special tax shall be applied only in
payment of the interest and principal of bonds issued by the corporation,
but the corporation may apply any funds it may have towards the payment
of principal and interest of any such bonds.

(2) Such taxes shall be levied in each year and returned to the
county officer whose duty it is to extend the tax levy by the time
required by law for city taxes to be levied and returned. All taxes
levied by the district shall become payable at the same time and be
collected by the same officer who collects county taxes and shall be
turned over to the district according to law. The county officer whose
duty it is to extend the county levy shall extend the levy of the
district in the same manner as city taxes are extended. Property shall be
subject to sale for nonpayment of taxes levied by the corporation in like
manner and with like effect as in the case of county and state taxes.

(3) In taxation a district may classify property on the basis of
services received from the district and prescribe different tax rates for
the different classes of property. [1974 c.9 §12; 1991 c.459 §366]For purposes of ad valorem taxation, a boundary change must
be filed in final approved form with the county assessor and the
Department of Revenue as provided in ORS 308.225. [2001 c.138 §13] (1) For the purpose of performing any
service that the district has power to perform, the district, when
authorized at any properly called election held for such purpose, shall
have the power to borrow money by the issuance and sale of general
obligation bonds. Such bonds shall never exceed in the aggregate 10
percent of the real market value of all taxable property within the
district computed in accordance with ORS 308.207. The bonds shall be so
conditioned that the district shall promise and agree therein to pay the
bearer at a place named therein payable semiannually in accordance with
the tenor and terms of the interest coupons attached. The bonds shall
mature serially not to exceed 30 years from the date of issue.

(2) For the purpose of performing any of the powers conferred by
ORS 267.510 to 267.650 a district, when authorized at any properly called
election held for such purpose, shall have the power to borrow money by
the issuance and sale also of revenue bonds and to pledge as security
therefor, all or any part of the unobligated net income or revenue of the
district. The revenue bonds shall be issued in the same manner and form
as are general obligation bonds of the district but they shall be payable
both as to principal and interest from revenues only. The revenue bonds
shall not be subject to the percentage limitation applicable to general
obligation bonds and shall not be a lien on any of the taxable property
within the corporate limits of the district and shall be payable solely
from such part of revenues of the corporation as remains after the
payment of obligations having a priority and of all expenses of operation
and maintenance of the corporation. All revenue bonds shall contain a
provision that both the principal and interest are payable solely from
the operating revenues of the district remaining after paying such
obligations and expenses.

(3) All general obligation bonds and revenue bonds shall be
advertised for sale and sold in the manner prescribed in ORS 287.014 to
287.022 for the sale of bonds of cities. [1974 c.9 §13; 1983 c.347 §20;
1991 c.459 §367] Refunding bonds of the same character and
tenor as those replaced thereby may be issued pursuant to a resolution
adopted by the district governing body without submitting to the electors
the question of authorizing the issuance of the bonds. [1974 c.9 §14] Elections for the purpose of voting on
the question of borrowing funds by issuance and sale of general
obligation bonds or revenue bonds shall be called by the governing body.
[1974 c.9 §15]PENALTIES Any person violating a police ordinance of a
mass transit district is guilty of a misdemeanor and upon conviction
shall be punished by a fine of not more than $250. [1969 c.643 §18(1)]

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