ORS Chapter 321

Chapter 321 — Timberand Forestland Taxation

2009 EDITION

TIMBERAND FORESTLAND TAXATION

REVENUEAND TAXATION

FORESTPRODUCTS HARVEST TAX

321.005 Definitionsfor ORS 321.005 to 321.185, 321.560 to 321.600 and 477.440 to 477.460

321.011 Policy

321.012 Publicto share cost of suppressing fires caused by public

321.015 Levyof privilege tax upon harvest of timber for forest research, fire suppressionand administering Oregon Forest Practices Act; exclusion

321.017 Levyof additional privilege tax; distribution to Oregon Forest Resources InstituteFund

321.035 Determinationof moneys available in Oregon Forest Land Protection Fund

321.045 Paymentof tax; returns; estimated tax; payment

321.145 Taxrevenue credited to suspense account; refunds

321.152 Distributionof tax revenue to Forest Research and Experiment Account, State ForestryDepartment Account and Oregon Forest Land Protection Fund

321.185 ForestResearch and Experiment Account; appropriation

FORESTLANDVALUATION

321.201 Definitionof “forestland” for ORS 321.201 to 321.222

321.204 Legislativefindings and declarations

321.207 Valuationmodels; rules

321.210 Proposedspecially assessed values; notice; comments; hearing

321.213 Forestlandvalue advisory committee

321.216 Certifiedspecially assessed values

321.219 Appealof certified specially assessed values; notice; effect of decision modifyingvalues

321.222 Jurisdictionof board of property tax appeals

SPECIALASSESSMENT OF WESTERN OREGON FORESTLAND

321.257 Definitionsfor ORS 321.257 to 321.390

321.259 Legislativefindings

321.262 Purposes

321.267 Landsnot eligible for special assessment

321.272 Exemptionof timber from property taxation

321.347 Landdesignations; classifications; certain election by landowners

321.348 Assignmentof forestland to land classes; change in class

321.349 Valuationof certain forestland at farm use value

321.354 Commonownership minimum acreage requirements; specially assessed value and maximumassessed value of forestland of large landowners

321.358 Applicationfor designation as forestland; special filing date for change in highest andbest use; contents; approval

321.359 Removalof designation; appeal from reassessment or denial; requalification

321.362 Notationof forestland on tax roll for potential additional tax liability

321.366 Dateon which removal of forestland designation is effective; notice of removal

321.367 Forestlandmanagement; effect of failure to manage forestland in accordance withmanagement plan; rules

321.390 Landused to grow certain hardwood to be assessed as farm use land; applicationrequired for unzoned land

GENERALLY

321.550 Noticeof intent to harvest; rules; effect of failure to file notice

321.560 Auditof returns; interest and penalties upon failure to file return or pay tax

321.570 Warrantfor collection of delinquent taxes

321.580 Effectof failure or refusal to make return

321.600 Taxas debt; collection; limitation

321.609 Enforcementof certain statutes by department; rules

321.682 Confidentialityof reports, returns and appraisal data

321.684 Authorityof department to make certain disclosures

321.686 Penaltyfor violation of ORS 321.682

SMALLTRACT FORESTLAND PROGRAM

321.700 Definitionsfor ORS 321.700 to 321.754

321.703 Legislativefindings and declarations

321.706 Applicationfor small tract forestland qualification; contents; filing deadlines; review;appeal

321.709 Smalltract forestland qualification requirements

321.712 Circumstancesunder which notification is required; disqualification for failure to notify

321.716 Disqualification;requalification under certain circumstances; notice; automatic qualification asforestland

321.719 Continuedqualification as small tract forestland following sale or transfer;requirements; late filing procedure and fee

321.722 Valuation

321.726 Severancetax upon harvest from small tract forestland

321.733 Severancetax returns

321.741 Duedates for severance tax return and payment

321.746 Severancetax revenues

321.751 WesternOregon Timber Severance Tax Fund; revenue distribution

321.754 EasternOregon Timber Severance Tax Fund; revenue distribution

SPECIALASSESSMENT OF EASTERN OREGON FORESTLAND

321.805 Definitionsfor ORS 321.805 to 321.855

321.808 Purposes

321.817 Legislativefindings

321.824 Landsnot eligible for special assessment

321.829 Exemptionof timber from property taxation

321.833 Commonownership minimum acreage requirements; specially assessed value and maximumassessed value of forestland of large landowners

321.839 Applicationfor forestland designation; special filing date for change in highest and bestuse; contents; approval

321.842 Removalof forestland designation; appeal; requalification

321.845 Disqualificationof land no longer forestland to occur only if assessor mails notice beforeAugust 15

321.848 Disqualification

321.855 Landused to grow certain hardwood to be assessed as farm use land; applicationrequired for unzoned land

PENALTY

321.991 Penalty

FORESTPRODUCTS HARVEST TAX

321.005Definitions for ORS 321.005 to 321.185, 321.560 to 321.600 and 477.440 to477.460.As used in ORS 321.005 to 321.185, 321.560 to 321.600 and 477.440 to 477.460,unless the context requires otherwise:

(1)“Board” means the State Board of Forestry.

(2)“Protected forestlands” means those lands which are protected from the startingor spread of fire thereon or therefrom by:

(a)The State Forester, with the approval of the board;

(b)The United States of America through contract with the State Forester;

(c)Any forest protective agency under contract with the State Forester or theboard pursuant to ORS 477.406; or

(d)Any forest protective agency, described in paragraph (c) of this subsection,under an agreement with the United States of America wherein such agency agreesto protect specific federal forestlands and, in return, the United States ofAmerica agrees to protect specific lands of such agency.

(3)“Department” means the Department of Revenue.

(4)“Committee” means the Emergency Fire Cost Committee.

(5)“Forestland” means any land producing forest products.

(6)“Forest products” means products from harvested timber, but does not includeproducts from short rotation fiber grown under agricultural conditions asdescribed in ORS 321.267 (3) or 321.824 (3), western juniper or products fromharvested western juniper.

(7)“Harvest” means the point at which timber that has been cut, severed, orremoved for purposes of sale or use is first measured in the ordinary course ofbusiness as determined by reference to common practice in the timber industry.

(8)“Merchantable stand of timber” means any stand on forestlands containing livingor dead timber which is being or can be harvested.

(9)“Taxpayer” means the owner of timber at time of harvest.

(10)“Taxes” means the taxes provided for in ORS 321.015.

(11)“Owner of timber” means any individual or combination of individuals,partnership, firm, corporation or association of whatever nature holding titleto harvested timber by virtue of:

(a)An instrument of conveyance;

(b)The harvesting of the timber; or

(c)The harvesting of the timber and payment therefor.

(12)“Timber” means all logs which can be measured in board feet and other forestproducts as determined by department rule. [1953 c.375 §1; 1957 c.309 §3; 1961c.726 §412; 1965 c.253 §139; 1967 c.429 §38; 1981 c.321 §9; 1983 c.539 §1; 1985c.759 §5; 1993 c.653 §1; 1995 c.132 §1; 1999 c.631 §2; 2003 c.454 §125; 2003c.621 §100a]

321.010 [Repealed by1953 c.375 §38]

321.011Policy.The prevention and suppression of forest fires on forestlands for thepreservation of forest resources and the continuous growth of timber on landssuitable therefor are declared to be the public policy of the State of Oregon.The Legislative Assembly recognizes that:

(1)The forested areas situated within eastern Oregon predominate in Ponderosa pinetrees and associated species, and that the forested areas situated withinwestern Oregon predominate in Douglas fir and associated species;

(2)Because of this difference in species, different forest fire protectionproblems exist in eastern and western Oregon, and different logging conditionsand circumstances in each necessitate varied forest practices in the disposalof forest slashings and debris; and

(3)Therefore, in order to give recognition to such differences and their effect onthe accomplishment of the public policy stated in this section, certainclassifications of forestlands within the State of Oregon are established byORS 321.005 to 321.185 and 321.560 to 321.600. [1957 c.309 §2; 2005 c.94 §100]

321.012Public to share cost of suppressing fires caused by public. The LegislativeAssembly finds that it is in the interest of the State of Oregon that thepublic as a whole share responsibility for protecting the forests of thisstate, by making funds available from time to time for suppression of firescaused by the public. [1967 c.429 §60]

321.015Levy of privilege tax upon harvest of timber for forest research, firesuppression and administering Oregon Forest Practices Act; exclusion. (1) For thecalendar years beginning January 1, 2010, and January 1, 2011, there is levieda privilege tax of 92 cents per thousand feet, board measure, upon taxpayersfor the privilege of harvesting of all merchantable forest products harvestedon forestlands. Subject to ORS 321.145, the proceeds of the tax shall betransferred as provided in ORS 321.152 (2) to the Forest Research andExperiment Account for use for the forest resource research, experimentationand studies described in ORS 526.215 and for the Forest Research Laboratoryestablished under ORS 526.225.

(2)Except as provided in ORS 477.760, in addition to the tax levied by subsection(1) of this section, there hereby is levied a forest products harvest tax upontaxpayers of 62.5 cents per thousand feet, board measure, for the privilege ofharvesting all merchantable forest products harvested on forestlands for thepayment of benefits related to fire suppression as provided in ORS 321.005 to321.185, 321.560 to 321.600 and 477.440 to 477.460.

(3)(a)For the calendar years beginning January 1, 2010, and January 1, 2011, inaddition to the taxes levied under subsections (1) and (2) of this section,there hereby is levied a privilege tax upon taxpayers for the privilege ofharvesting all merchantable forest products harvested on forestlands in theamount of 77 cents per thousand feet, board measure, for the purpose ofadministering the Oregon Forest Practices Act in an amount not to exceed 40percent of the total expenditures approved by the Legislative Assembly for thispurpose, including salary adjustments approved by the Legislative Assembly forfiscal years 2010 and 2011.