Current through Register Vol. 63, No. 9, September 1, 2024
(1) The
property owner must file an application and election form with the county
assessor to obtain a special assessment for government restricted multiunit
rental housing (LIH) provided by ORS
308.701 to
308.724. The application and
election form must be filed on or before April 1 of the assessment year. The
application and election form may be filed after April 1 and on or before
December 31, if accompanied by a late filing fee equal to the greater of $200
or one-tenth of one percent of the real market value (RMV) of the property
described in the application filed. Any application and election form that is
filed late must be accompanied with the late filing fee. If the fee is not
paid, the special assessment will not be granted. If the special assessment is
denied by the assessor, the late filing fee must be refunded to the applicant.
(2) At the time the application
and election form is filed, the property owner must elect the method the
assessor is to use to determine the specially assessed value (SAV) of the
property.
(a) If the property owner elects
the income approach method, the application and election form must be
accompanied by income and expense documentation. The required documents are:
(A) The rent roll for the month of December
immediately preceding the date of application. The rent roll must show the
rents charged for each unit and which units, if any, are vacant; and
(B) Annual income and expense statements for
at least the three most recent years. Audited statements should be submitted,
but unaudited statements may be provided if audited statements are not
available; or
(C) Pro forma income
and expense statements, but only if the project is new and historical documents
are not available; or
(D) A
combination of actual and pro forma income and expense statements for at least
three years, if the property is not more than three years old.
(E) For mixed-use property the applicant must
provide income and expense statements only for the portion of the property used
as government restricted multiunit rental housing. Mixed-use property is
property that consists of both government restricted multiunit rental housing
and property used for other purposes.
(b) If the property owner elects the ratio
method, the application and election form must be accompanied by the rent roll
for the month of December immediately preceding the date of application. The
rent roll must show the rents charged for each unit and which units, if any,
are vacant.
(3) When
one of the following events occurs after the initial application and election
form has been approved, the owner must submit additional information to the
assessor:
(a) The property owner wishes to
change the election of the method used to determine the SAV; or
(b) New property has been constructed at the
site, or new improvements are made to the government restricted multiunit
rental housing; or
(c) The county
assessor requests current income and expense statements.
(4) The county assessor will review the
application and election form and accompanying documentation and determine if
the property qualifies for special assessment.
(a) The application and election form must
contain the information required under ORS
308.709 for the assessor to
approve the special assessment. If the application and election forms are
incomplete, the assessor may request additional information from the applicant
in writing, as necessary, for completion or clarification. The applicant must
submit the requested information, in writing, to the assessor within 15 days of
the date of the request or by the filing deadline, whichever is later, for the
assessor to accept the application as a timely filing. If the applicant does
not submit the requested information within the time required, the assessor may
deny the application.
(b) The
assessor must notify the applicant of the determination, in writing, within 120
days of the date the application was filed with the assessor's office.
(A) If the application is denied, the notice
to the property owner must include the instructions for appealing a denial of
the special assessment by the assessor.
(B) If the application is approved, the
assessor must add the following notation to the tax and assessment rolls each
year: "LIH special assessment (potential penalty if disqualified)."
Stat. Auth.: ORS
305.100,
306.120,
308.709,
308.724
Stats. Implemented: ORS
308.709
