Lowers the interest rate imposed on unpaid property taxes to one-half of one percent per month.

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83rd OREGON LEGISLATIVE ASSEMBLY--2025 Regular Session
Senate Bill 675
Sponsored by Senator BONHAM (at the request of Senator Noah Robinson) (Presession filed.)
SUMMARY
The following summary is not prepared by the sponsors of the measure and is not a part of the body thereof subject
to consideration by the Legislative Assembly. It is an editor’s brief statement of the essential features of the
measure as introduced. The statement includes a measure digest written in compliance with applicable readability
standards.
Digest: The Act would lower the interest rate on unpaid property taxes to one-half of one per-
cent per month. (Flesch Readability Score: 67.3).
Lowers the interest rate imposed on unpaid property taxes to one-half of one percent per month.
Takes effect on the 91st day following adjournment sine die.
A BILL FOR AN ACT
Relating to interest on unpaid property taxes; creating new provisions; amending ORS 311.505; and
prescribing an effective date.
Be It Enacted by the People of the State of Oregon:
SECTION 1.
ORS 311.505 is amended to read:
311.505. (1) Except as provided in subsection (6) of this section, all taxes and other charges due
from the taxpayer or property, levied or imposed and charged on the latest tax roll, shall be paid
as follows:
(a) The first one-third on or before November 15;
(b) The second one-third on or before February 15; and
(c) The remaining one-third on or before May 15 next following.
(2) Interest shall begin to accrue, and shall be collected, at the rate of [ one and one-third ] one-
half of one percent per month, or fraction of a month, until paid, on any taxes on property, other
charges, and on any additional taxes or penalty imposed for disqualification of property for special
assessment or exemption, or installment thereof not paid on or before the following dates:
(a) December 15, for the first one-third;
(b) February 15, for the second one-third; and
(c) May 15 next following, for the remaining one-third.
(3) Discounts shall be allowed on partial or full payments of such taxes, made on or before No-
vember 15 as follows:
(a) Two percent on two-thirds of such taxes so paid.
(b) Three percent where all of such taxes are so paid.
(4) For purposes of this section, “taxes” includes all taxes on property as defined in ORS 310.140
and certified to the assessor under ORS 310.060 except taxes assessed on any other property which
have by any means become a lien against the property for which the payment was made.
(5) All interest collected and all discounts allowed shall be prorated to the several municipal
corporations, taxing districts and governmental agencies sharing in the taxes or assessments.
(6) If the total property tax is less than $40, no installment payment of taxes shall be allowed.
SECTION 2.
The amendments to ORS 311.505 by section 1 of this 2025 Act apply to in-
terest that begins to accrue on or after the effective date of this 2025 Act.
NOTE:Matter in boldfaced type in an amended section is new; matter [ italic and bracketed] is existing law to be omitted.
New sections are in boldfaced type.
LC 3387
SB 675
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SECTION 3.
This 2025 Act takes effect on the 91st day after the date on which the 2025
regular session of the Eighty-third Legislative Assembly adjourns sine die.
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