Current through 2024 Regular Session legislation effective June 6, 2024
Section 319.052 - Conditions for increased bond amount; request and conditions for reduction; rules(1) The Department of Transportation shall increase a dealer's bond filed under ORS 319.050 to an amount that is equivalent to twice the dealer's estimated monthly license tax, as determined by the department, or $1 million, whichever is less, if, within a 24-month period, the dealer:(a) Was late three or more times in filing reports or making payments to the department;(b) Had three or more checks or electronic funds transfers to the department dishonored for lack of funds or credit;(c) Failed to maintain or make available a record of all purchases, receipts, sales and distribution of motor vehicle fuel as required under ORS 319.390; or(d) Had a motor vehicle fuel dealer license issued in this state or another jurisdiction revoked.(2) The department may waive an increase in the bond amount under subsection (1) of this section if the department determines that the dealer did not intend to avoid payment of license taxes when the dealer engaged in the conduct described in subsection (1)(a), (b) or (c) of this section or when the dealer engaged in the conduct that led to the license revocation described in subsection (1)(d) of this section. If the department waives an increase in the bond amount, the bond shall remain at an amount that is:(a) Required under ORS 319.051 for a dealer described in ORS 319.051; or(b) Required under ORS 319.050.(3) If the department increases the bond amount as provided in subsection (1) of this section, the dealer may, after 24 months, request in writing that the department reduce the bond amount. The department shall reduce the bond amount if the department determines that the dealer, in the 24 months prior to the dealer's written request: (a) Filed timely reports and made timely payments;(b) Had no checks or electronic funds transfers to the department dishonored for lack of funds or credit;(c) Maintained and made available a record of all purchases, receipts, sales and distribution of motor vehicle fuel as required under ORS 319.390; and(d) Did not have a motor vehicle fuel dealer license issued in this state or another jurisdiction revoked.(4) If the department determines that the dealer met all of the requirements under subsection (3) of this section, the department shall reduce the bond required of a dealer described in ORS 319.050 or a dealer described in ORS 319.051 to an amount that is equivalent to twice the dealer's estimated monthly license tax, as determined by the department, or $250,000, whichever is less.(5) If the department determines that the dealer failed to meet the requirements under subsection (3) of this section and that the failure was not due to the dealer's intent to avoid payment of license taxes, the department may reduce the bond required of a dealer described in ORS 319.050 or a dealer described in ORS 319.051 to an amount that is equivalent to twice the dealer's estimated monthly license tax, as determined by the department, or $250,000, whichever is less.(6) For purposes of this section, the department shall adopt rules establishing what constitutes evidence that a dealer did not intend to avoid payment of license taxes.