Or. Admin. R. 330-170-0050 - Application Process

(1) Applicants requesting a Biomass Producer or Collector Tax Credit must apply on the department approved form. The form must include the following information:
(a) The name of the applicant, address, phone number and email;
(b) The applicant's federal tax identification number or social security number, which may be shared with the Oregon Department of Revenue to facilitate the administration of state tax law;
(c) A description of the quantity and type of biomass produced or collected;
(d) The name of the biofuel producer that received the biomass for use as biofuel or to produce biofuel;
(e) The applicant's certification statement; and
(f) The name, address, email address and telephone number of the responsible party for the applicant.
(2) In addition to the information on the form, the applicant must provide all of the following information related to the amount of biomass claimed in the application:
(a) Evidence that the agricultural producer or biomass collector held title to the biomass at the time the biomass was delivered. Evidence of title that may be satisfactory to the department, includes, but is not limited to: contracts, receipts, settlement sheets.
(b) Documentation indicating the origination of the biomass, such as the physical address; township, range, section and quarter/quarter section; or other specific geographic indicator.
(c) A summary or settlement sheet for each shipment received by the biofuel producer. Each summary or settlement sheet must include the following:
(A) The name and address of the biofuel producer to which the biomass was delivered;
(B) The date of delivery for each shipment of biomass;
(C) The type of biomass included in each shipment and the applicable tax credit rate for each shipment;
(D) The amount of biomass delivered in each shipment;
(E) The delivered price for each shipment of biomass, including the dry ton payment rate if applicable;
(F) The weight ticket number or a similar unique identifier for each shipment; and
(G) For woody biomass and vegetative biomass from agricultural crops, the dry ton weight equivalent of the actual tonnage in each shipment, calculated in a manner acceptable to the department.
(d) A receipt of qualifying biomass that includes the type of biomass, name and address of biomass producer or collector, name and address of the person receiving the biomass from the applicant, type of biofuel facility, dates delivered, amount of biomass received and a statement attesting to the receipt and use of biomass. An applicant may complete the department approved Receipt of Qualifying Biomass form or provide a receipt satisfactory to the department.
(e) All calculations used to convert one measure of the biomass to another measure and source references for the calculations and all variables.
(f) An application fee of $100 plus 3.8 percent of the total amount of tax credit.
(g) If eligible biomass is stored or aggregated with other biomass or materials after the initial production or collection activities and prior to delivery to a biofuel producer, the biomass producer or collector must provide detailed records certifying the amount and source of each type of biomass.
(h) Agricultural producers or biomass collectors that produce or collect animal manure must use the department approved worksheet or the following formula to calculate the amount of eligible manure:
(A) A x b x c / 2000; where:
(i) A is equal to the number of 1,000 pound animal units contributing manure during the period,
(ii) B is equal to the average animal manure production value from the Natural Resources Conservation Service Agricultural Waste Management Field Handbook Revision 2, March 2008, and
(iii) C is equal to the number of days in the period.
(B) The following documentation must be included with the application:
(i) The log of animal numbers and calculation of 1,000 pound animal units: [Number of animals contributing manure, by classification, (conduct a separate calculation for milkers, dry cows, heifers, calves)] multiplied by [the average lbs./1,000] = number of 1,000 pound animal units;
(ii) Documentation indicating the manure was used or is to be used as biofuel in Oregon or to produce biofuel in Oregon; and
(iii) A copy of the Oregon Confined Animal Feeding Operation (CAFO) National Pollutant Discharge Elimination System (NPDES) General Permit Summary; and
(iv) The most recent Oregon Confined Animal Feeding Operation (CAFO) National Pollutant Discharge Elimination System (NPDES) General Permit Annual Report.
(i) When it is not practicable to produce weight tickets for deliveries to a biofuel producer, agricultural producers that produce oil seed crops, grain crops, grass, wheat, straw or other vegetative biomass must include the following records with their application:
(A) Documentation demonstrating the quantity of biomass produced, which must include one or more of the following:
(i) Acreage report(s) or yield data submitted to the United States Department of Agriculture;
(ii) Crop insurance records of acreage planted and quantity harvested of biofuel crop; or
(iii) Additional documentation showing the actual yields of the biomass crop.
(B) Receipts or equivalent documentation indicating the biomass was used or is to be used as biofuel in Oregon, or to produce biofuel.
(j) If the applicant is transferring biomass that cannot be weighed or calculated, the applicant must supply documentation indicating the amount of biomass as measured by metering equipment or a similar device.
(A) Applicants must provide documentation, including manufacturer's specifications that indicate the measurements are accurate and reliable.
(B) Metering equipment or similar devices must be calibrated according to the manufacturer's specifications and the calibration records must be maintained for a period of no less than five years.
(3) The department may require the applicant to provide further information to complete a review of the application and verify compliance with statute and these rules. This information may include, but is not limited to, demonstration that the biomass is used as biofuel in an eligible manner. The department will notify the applicant in writing requesting additional information. If the department does not receive the requested information within 30 calendar days of the date of the notice, the department may deny the application.
(4) If a biomass collector requests a tax credit in place of the agricultural producer that produced the biomass, the application must include a signed statement from the agricultural producer that they are aware the biomass collector will be applying for the credit and that the agricultural producer will not apply for a tax credit for the same unit of biomass.
(5) Applications must be received within 60 days following the end of the applicant's tax year during which the biomass is delivered to a biofuel producer. Applications received after this date will be returned and any application fee will be fully refunded.
(6) The department may refund up to 75 percent of the application fee if the application is withdrawn prior to review by the department. Only refunds that are $100 or greater will be issued.
(7) The department may require the applicant to pay reasonable costs, not to exceed actual costs, incurred in connection with reviewing the application that exceed the original application fee and which the Director determines are incurred solely in connection with processing the application. The department shall advise the applicant of any additional costs the applicant must pay before the department incurs the costs.

Notes

Or. Admin. R. 330-170-0050
DOE 9-2010(Temp), f. & cert. ef. 7-1-10 thru 12-28-10; DOE 13-2010, f. & cert. ef. 11-2-10; DOE 8-2011, f. 11-4-11, cert. ef. 1-1-12; DOE 5-2013, f. 12-20-13, cert. ef. 1-1-14; DOE 1-2016, f. & cert. ef. 3/1/2016

Stat. Auth.: ORS 351.141

Stats. Implemented: ORS 315.141 & 469B.403

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