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Sunday, January 29, 2017

Article XI, sections 12 to 14 of the Oregon State Constitution

In this post, we look at Article XI, sections 12 to 14 of the Oregon State Constitution.  Article XI is about "Corporations and Internal Improvements".  The title is a bit of a euphemism since what most of this Article has been about is property taxes.  In the examined sections, it talks about structures (corporations) which are quasi-governmental such as Public Utility Districts, Public Transportation Systems and Metropolitan Areas.

Section 12

This section defines Public Utility Districts. This defines some specific rules for such a corporation.  An example is the Tualatin Valley Water District.  These corporations are set up for the greater good to provide services to all within their service area.  However, given the power of eminent domain and the fact that they provide water or power, it is conceivable that they can do an individual harm.  These corporations also have the power to impose ad valorem levies which have to be approved by the people during an election.

Section 13

This section states that if a city, county, political subdivision, public agency, or municipal corporation takes over a public transportation system, this change in ownership cannot be used to negate previous promises as to pay levels or retirement benefits.  This section was passed in 1966.  I don't know if there was a specific case that brought it up or if people in those time just had such leftist leanings that this kind of sentiment was popular.  The phrasing in this section has only subjective criteria to be fulfilled "fair and equitable", and as such anything prosecuted under this section of the Oregon State Constitution would be problematic.  I don't know if the Legislature then followed up with statutes that gave some specifics.  If there are, then any cases brought forward would rely on those.

Section 14

This section creates an ambiguous entity called a Metropolitan service districts.  The constitution doesn't really prescribe limits, it says that the specifics go into a charter which is then approved by the people during an election.  These entities are then equivalent to counties, but do not replace counties.  This section encompasses those entities that might have been created under Section 12.  In fact, it would, in my mind, be possible to have a PUD created under section 12 put a measure to the electors to approve an amended charter that now moves them to a status under section 14.

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