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2006-1028-Order No. 2006-161 Recorded 11/28/2006REVIEWED COUNTY OFFICIAL r i NANCYUBLANKENSHIP, COUNTY CLERKDS C 200661028 LEGAL COUNSEL COMMISSIONERS' JOURNAL 11/28/2046 43;44;28 PM 11111111111111111111111111 II III 2006-1028 BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON An Order Initiating the Dissolution of Special Road District No. 4 and Oregon Water * ORDER NO. 2006-161 Wonderland #1 Special Road District. WHEREAS, ORS 198.345(2) requires a county board to initiate proceedings to dissolve special districts for which the county board has received notice from the Oregon Secretary of State or Department of Revenue that the district has failed to file the reports required by ORS 294.555 or 297.405 to 297.555, and WHEREAS, the County Deputy Tax Collector contacted the Secretary of State's office and learned that the required reports have not been filed for more than ten years for Special Road District No. 4 and Oregon Water Wonderland #1 Special Road District ("Districts"), and WHEREAS, the Secretary of State assumes that such notices were sent to the Board sometime in the 1990s because that is the Secretary of State's standard process, although no record can be found of such notices sent to the Deschutes County Board of County Commissioners ("Board") because that time period is beyond the required archival retention schedule, and WHEREAS, County staff searched County records and could not find any record of appointment of any district board member for any of the above listed districts for at least ten years nor could staff find the district formation records, and WHEREAS, with this order, County Legal Counsel filed the financial statement required by ORS 198.350, which is attached as Exhibit "A" and incorporated by reference herein; now, therefore, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON, as follows: Section 1. The Board shall hold a hearing on the dissolution of the Special Road District No. 4 and Oregon Water Wonderland #1 Special Road District ("Districts") on January 31, 2007, at 10:00 a.m. at 1300 NW Wall Street, First Floor Hearing Room, Bend, Deschutes County, Oregon. Section 2. Notice of Hearing shall be given in substantially the form set forth in Exhibit "D," attached hereto and by this reference incorporated herein. County Legal Counsel shall cause the notice to be published in The Bulletin on January 10, 17 and 24, 2007 and posted on or before January 10, 2007, in three public locations within the county as follows: One notice shall be posted on or near the doors of the meeting room of the Board of County Commissioners; and one notice shall be posted upon any official public bulletin board customarily used for the purpose of posting public notices at the County courthouse. Notices posted shall be for not less than five (5) consecutive days. PAGE 1 OF2-ORDER NO. 2006-161 (11/20/06) Section 3. The Board adopts as its findings in support of this decision the Financial Statement attached as Exhibit "A" and incorporated by reference herein. DATED this 77 day of jb&t_ /l, , 2006. BOARD OF COUNTY COMMISSIONERS OF DESCHUTF4 COUNTY, OREGON .-t R. LUKE, Chair ATTEST: (1&1~ 4~~' Recording Secretary BEV eLARNO, Commissioner C AEL M. DALY, Commissi er PAGE 2 OF 2 - ORDER NO. 2006-161 (11/20/06) FINANCIAL STATEMENT FOR DISSOLVING SPECIAL ROAD DISTRICT NO. 4, OREGON WATER WONDERLAND #1 SPECIAL ROAD DISTRICT RIMROCK WEST SANITARY DISTRICT The Deschutes County Deputy Tax Collector requested that County Legal Counsel investigate the possiblity of dissolving the Special Road District No. 4 and Oregon Water Wonderland #1 Special Road District (collectively, "the Districts"). The Deputy Tax Collector made this request because the County has had on account collected taxes with accruing interests, the latest assessment for which ended at least by the 1987-1988 tax year. No County documentation, however, can be found of the dissolution of these districts. ORS 198.345(1) requires that the Oregon Secretary of State or Oregon Department of Revenue contact the county board of the county within which a special district's boundaries are locted if those agencies have not received from the special district the documents required by that statute for three consecutive years. The Deschutes County Legal Department staff contacted those agencies and learned that, for at least ten years, neither agency has received those required documents from Special Road District No. 4, Oregon Water Wonderland #1 Special Road District or the Rimrock West Sanitary District. Neither those state agencies nor Deschutes County has any record, however, of the dissolution of those districts and the County still has past assessments on account that have been accruing interest for several years. Additionally, although neither the state agencies nor the County have record of the required notice having been sent or received because of the expiration of the State Archives required retention period, the County assumes that such notice was sent by the State agencies and received by the County because that is required by the statute and County Legal staff verified that it is the standard procedure for the State Agencies. County staff did find, however, that the dissolution of the Special Road District No. 4 was initiated in 1998 but was not completed. Because the County considers the County Staff contact with the State agencies to be the required State agency notice to initiate the dissolution process, the Board is initiating that process in order to complete the dissolution of the Districts. Upon notice from the State agencies, ORS 198.350 requires the Board to prepare and submit to the County Clerk a financial statement for the districts to be dissolved. The following is the information relating to each of the required elements for the financial statement. 1. No records could be found regarding the formation date for Special Road District No.4 and Oregon Water Wonderland #1 Special Road District. 2. County records show that no district board members have been elected or appointed nor any district taxes levied or collected for the Districts since at least 1980. County staff also contacted the Oregon Secretary of State and Oregon Department of Revenue. For at least ten years, neither agency has received the documents required by ORS 198.345 3. County staff was unable to find any outstanding bond, coupon or other indebtedness of the Districts. 4. County staff was unable to find any real property that the Districts owned or in which they had any interest. Page 1 of 2 - Exhibit A - Order 2006-161 - Financial Statement For Dissolving Special Road District No. 4 and Oregon Water Wonderland #1 Special Road District 5. County staff was unable to find any uncollected charges, taxes or assessment of the Districts. 6. County staff was unable to find any personal property of the Districts. 7. The estimated cost of the dissolution is estimated to be only that of County Legal, Tax and Board staff and of Board time in researching, preparing and processing the appropriate documents for the dissolution hearing and in conducting the dissolution hearing. The County does have on account collected taxes for each of the Districts that have been accruing interests. As of November 1, 2006, those taxes and interests are: $10,978.19 in Special Road District No. 4 funds and $3,769.69 in Oregon Water Wonderland #1 Special Road District funds. Because the Districts failed to regularly elect district board members, provide services to the land owners or electors within the Districts, or levy taxes for properties within the Districst, no public need exists for the continuation of the Districts, no public need exists for the continuation of the Districts, it is in the best interest of the inhabitants of the Districts and the people of the County that the Districts be dissolved and liquidated, and Pursuant to ORS 198.930(5), because there are no district board members, the Board must act as the board for the Districts in initiating and finalizing the dissolution of the districts. In finalizing the dissolution,ORS 198.925(2) requires that the Board plan for the distribution of the funds remaining from the districts. ORS 198.365 requires that the funds of the Districts remaining must first go to pay any debts and dispose of any property of the Districts. The remaining funds are to be credited to the County's general fund. Given that the Districts have no debts or property, the entire $14,474.88 shall be credited to the County's general fund. Page 2 of 2 - Exhibit A - Order 2006-161 - Financial Statement For Dissolving Special Road District No. 4 and Oregon Water Wonderland #1 Special Road District