A PUD FORMATION ELECTION
LINDA K. WILLIAMS

The Oregon Constitution, Article XI, § 12, authorizes the creation of people's utility districts (PUDs) "for the development of water power and/or electricity * * * and the sale of water, water power and electric energy." After several campaigns, this section was added by initiative adopted in 1930 known as the "Grange Amendment." See, Brown, People's Utility Districts in Oregon, 20 Or Law Rev 3 (1940), for discussion of the history of the amendment. Art. XI, § 12 provides that PUDs shall have the power:

(e) To exercise the power of eminent domain.

(f) To acquire and hold real property and other property necessary to or incident to the business of such districts.

(g) To acquire, develop and/or otherwise provide for a supply of water, water power and electric energy.

The last paragraph of Article XI, § 12 directs the legislature to pass implementing legislation.

Accordingly,:
The legislature met in January 1931 and promptly passed two separate but related bills. Oregon Laws 1931, Chapter 279, now ORS Chapter 261, implemented Article XI, section 12. The other, Oregon Laws 1931, Chapter 67, now ORS Chapter 543, created a comprehensive program regulating the use of any lake, stream or river "in connection with the development of any water-power project for the generation of electricity. Or Laws 1931, Chapter 67, §§ 2-3.

Emerald People's Utility District v. Pacific Power & Light Co., 302 Or 256, 261, __P.2d__ (1986).

Here is a timeline for a PUD formation, and an illustrative timeline of election events. It is important to remember that the formation of a new governmental unit--a PUD--is not governed by the statutes covering placing legislation through the initiative process on the ballot. Even though both initiatives and Peoples Utility Districts were amendments to the Oregon Constitution in the early part of this century, the enabling statutes are distinct. Thus certain requirements concerning initiatives do not apply to this formation petition.

The petition in this case is a request addressed to the County Commissioners to place the question of PUD formation on the ballot. The petitions must meet certain requirements but they are not "prefiled" with the elections office for preparation of a ballot title in the same way that initiative petitioners are, but instead are circulated and turned in for verification that sufficient signatures have been gathered.

Within 10 days of receipt of the petitions and signatures the Elections Office must certify if the sufficient signatures are collected and the date of certification becomes the beginning of the statutory timelines that follow. Upon certification the Office of Energy must hold a hearing (a very perfunctory matter when no energy facilities are involved) and prepare a report to the County. The County must hold a hearing within 2-3 months. The subject of the County hearing is boundary correction. The County may make boundary modifications or corrections, but has no authority to decline to hold an election, and it must place the matter on the next election ballot after the required hearing and time periods.

Minimum time from turning in signatures to calling election: 62 days.
Maximum time from turning in signatures to calling election: 110 days.

In addition to the statutory timeline for the steps in the PUD process, election law requires a statutory minimum notice period which the County must obey in placing a matter on the ballot: 61 days before the general election (thus notice must be given by September 5, 1996 for matters to appear on the November 5, 1995 election).

Thus the petitions with signatures for a PUD formation election which was intended for the November 5, 1996, general election ballot would have to filed with the Elections Office by mid- to late May. Turning the signatures in during May might result in the election being put on the September 17, 1996, special election mail ballot if the County holds the required hearing on the earliest possible date. You may decide that you prefer a mail ballot. Depending on your decision, it is helpful to state in your Petition that the "undersigned electors petition the Commissioners of Multnomah County to put the question of the formation of NAME Peoples Utility District on the DATE election ballot."

ILLUSTRATIVE TIMELINE OF EVENTS IN PUD FORMATION ELECTION

SIGNATURE SHEET

We, the undersigned electors, residents of NAME OF COUNTY, request that an election be held to form the NAME OF P.U.D. as described in the attached petition, and to authorize a one-time special levy of $ (modest amount must be identified).

I, _______________________________________________________, hereby certify that every person who signed this sheet did so in my presence, and that I believe that each individual is an elector.

Signature of Circulator: _______________________________Address: _____________________________________________

City: ________________________ Zip: ______________Phone: ____________________

ELECTORS' PETITION FOR FORMATION ELECTION FOR THE INTERLACHEN PEOPLE'S
UTILITY DISTRICT

To the ___________________County Commissioners:

The Chief Petitioners, electors residing in ________________County, request that an election be held at the time of the general election in 1996 to form the ______________ P.U.D., in the territory as described herein, and to authorize a one-time special levy of $________.00 under ORS ch 261.

DESCRIPTION OF THE TERRITORY OF INTERLACHEN P.U.D.

CAN BE STREET NAMES OR METES AND BOUNDS. CAN USE RECOGNIZED BOUNDARIES SUCH AS UP TO THE BOUNDARY WITH (NAME OF TOWN) ON THE NORTH.

CHIEF PETITIONERS