Oregon Statutes 275.275 – Distribution of proceeds
(1) The proceeds arising under ORS § 275.090 to 275.290 and 275.296 to 275.310 must be:
Terms Used In Oregon Statutes 275.275
- Contract: A legal written agreement that becomes binding when signed.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Foreclosure: A legal process in which property that is collateral or security for a loan may be sold to help repay the loan when the loan is in default. Source: OCC
- Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Lien: A claim against real or personal property in satisfaction of a debt.
- Litigation: A case, controversy, or lawsuit. Participants (plaintiffs and defendants) in lawsuits are called litigants.
- local government: means all cities, counties and local service districts located in this state, and all administrative subdivisions of those cities, counties and local service districts. See Oregon Statutes 174.116
- Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land.
(a) First, applied to refund the county general fund for the full amount actually paid by the county to advance the state tax upon all properties upon which the county has foreclosed liens for delinquent taxes;
(b) Second, applied to the county general fund in an amount equal to the penalty and fee described in ORS § 312.120 for each property upon which the county has foreclosed a lien for delinquent taxes;
(c) Third, applied to refund the county general fund for all the costs and expenses actually incurred by the county in the maintenance and supervision of the properties and in any suits or proceedings by the county to quiet title to or to defend the county’s title to property sold, including suits or land use proceedings to ascertain and determine the actual boundaries of the properties;
(d) Fourth, in a county with a population of 650,000 or more or in a county with a population of 200,000 or more and that elects to distribute funds under this subsection:
(A) First, distributed to a local government, as defined in ORS § 174.116, that has filed a notice, in accordance with ORS § 275.130, relating to a local improvement lien arising under ORS § 223.680 or 223.685 against the property in the principal amount of the lien, plus any interest and penalties that have accrued to the date of sale of the property.
(B) Second, if the proceeds arise under ORS § 275.090 from the sale of real property acquired by foreclosure of delinquent tax liens or by exchange for land originally acquired by foreclosure of delinquent tax liens, applied to an account or fund created in the discretion of the county treasurer, in or outside of the county general fund, for use under ORS § 271.330 to provide:
(i) Funds for housing placement and retention support services for youth and families with children;
(ii) Flexible rental assistance for housing placement for youth and families with children; or
(iii) Funds to develop new low income housing that is affordable to youth and families with children with 30 percent or lower median family income.
(C) Third, except as provided in subparagraph (B) of this paragraph, applied to the county general fund; and
(e) Fifth, except as provided in paragraph (d) of this subsection, if the proceeds arise from the sale of real property acquired by the county in a manner other than by foreclosure of delinquent tax liens or by exchange for land originally acquired by foreclosure of delinquent tax liens, applied to the county general fund. The proceeds described in this paragraph include payments for the real property sold under a purchase agreement pursuant to ORS § 275.190 or 275.200.
(2) The proceeds arising under ORS § 275.294:
(a) Must be credited to the county general fund by the county treasurer, if received from a lease or conveyance granting rights to explore, prospect for or remove biogas that is produced by decomposition of solid waste at any land disposal site or former land disposal site owned by the county. As used in this paragraph, ‘land disposal site’ has the meaning given that term in ORS § 459.005.
(b) Must be segregated from the portion of the proceeds described in paragraph (a) of this subsection and deposited in a separate account maintained by the county. Interest earned on the segregated portion of the proceeds must be credited to the account established under this paragraph.
(c) May be used, in an amount that does not exceed 10 percent of the proceeds, to reimburse a taxing district within the county for costs and expenses necessarily incurred by the district in providing improved, additional or extraordinary services required on lands in the county as a result of exploration, drilling, mining, logging or other activities authorized under a lease or conveyance under ORS § 275.294. As used in this paragraph, ‘improved, additional or extraordinary services’ includes, but is not limited to, fire protection and road construction and maintenance.
(d) May be used to reimburse the county for its actual costs and expenses incurred under this subsection and under ORS § 275.294 for:
(A) The maintenance and supervision of a lease or conveyance granting rights to explore, prospect for, mine or remove valuable minerals, oil or gas from the lands;
(B) The maintenance and supervision of a lease or conveyance granting rights to conduct underground storage, as defined in ORS § 520.005; and
(C) Litigation resulting from a lease or conveyance described in subparagraph (A) or (B) of this paragraph.
(3)(a) After a portion of the proceeds arising under ORS § 275.090 to 275.290 and 275.296 to 275.310 and a portion of the proceeds arising under ORS § 275.294 are applied as provided in subsections (1) and (2) of this section, the balance of the proceeds arising under ORS § 275.090 to 275.290 and 275.296 to 275.310 and the balance of the proceeds arising under ORS § 275.294, including the payments for land sold under contract pursuant to ORS § 275.190 or 275.200, must be distributed by the county treasurer as follows:
(A) First, to a municipal corporation that has filed a notice, in accordance with ORS § 275.130, relating to a local improvement lien against the property from which the sale proceeds are derived. The amount of the distribution to each municipal corporation must be in the principal amount of the lien, plus the interest and any penalties that accrued to the date of sale of the property.
(B) Second, to governmental units in accordance with the formula provided in ORS § 311.390 for the distribution of tax collections. The amount distributed to governmental units must be the amount remaining after the distribution, if any, under subparagraph (A) of this paragraph.
(b) Notwithstanding ORS § 294.080, as used in this subsection, ‘balance of the proceeds’ includes all accumulated interest earned on the proceeds arising under ORS § 275.294 that are segregated pursuant to subsection (2)(b) of this section, unless a court of competent jurisdiction rules otherwise.
(4) Distribution of moneys under subsections (2) and (3) of this section must be made on or before June 30 in each year.
(5) The county treasurer or auditor shall verify the costs and expenses to be reimbursed under subsection (2) of this section.
(6) The county treasurer shall distribute reimbursements under subsection (2) of this section in accordance with an order of the governing body of the county.
(7) Notwithstanding subsection (1) of this section, a county with a population of 650,000 or more may convey real property acquired by foreclosure of delinquent tax liens or by exchange for land originally acquired by foreclosure of delinquent tax liens as provided in ORS § 271.330. [1963 c.606 § 5; 1969 c.595 § 11; 1982 s.s.1 c.19 § 1; 1983 c.537 § 5; 1985 c.707 § 1; 1989 c.833 § 78; 1993 c.613 § 1; 1997 c.805 § 5; 2005 c.243 § 9; 2015 c.242 § 1; 2017 c.315 § 2; 2019 c.443 § 1; 2023 c.614 § 1]
[Repealed by 1969 c.595 § 17]
[1963 c.606 § 6; repealed by 1969 c.595 § 17]