What is Measure 49?

Measure 49 is a legislative referral that will appear on the November 2007 ballot that clarifies 2004’s Measure 37.

Measure 49:

• Protects Oregon's farmlands, forests, water and the rights of families to build one or a few homes on their own property.
• Fixes flaws in Measure 37 that allow large housing subdivisions, big-box stores and strip malls where they don't belong.
• Restores balance by helping small property owners and preserving Oregon's special quality of life for future generations.

Why is Measure 49 better than Measure 37?

Measure 37 was advertised as an effort to protect the property rights of individuals who wanted to build a few houses on their land, if the law allowed them to do that when they purchased the property. Since then, however, Oregon has been inundated with claims to build huge subdivisions, strip malls, rock blasting operations and other commercial and industrial projects on sensitive farmland and forests, and in areas with limited water supplies.

Measure 49 actually will enhance the ability of small property owners to build a few more houses on their own property and establish a clear and fair development process for those property owners. It also protects from inappropriate commercial and industrial development as well as damaging over-development in Oregon’s most special places.

What happens if Measure 49 fails?

Without reforms of Measure 49, Measure 37’s flaws and loopholes permanently damage Oregon because:

• No limits exist on industrial and commercial development of farmland, forests, and places where water supplies are limited.
• No limits exist on the size of housing subdivisions, even in places that simply cannot handle such large-scale development.
• No requirements exist for M37 claimants to prove they have suffered losses that would trigger the right the build.
• No protections exist for the high-value farmlands and forests that make Oregon special, and which also happen to be critical for our economy.

Which groups support Measure 49?

Measure 49 is supported by a broad coalition of organizations and individuals who believe we must restore balance to the way Oregon grows, including four Oregon Governors (Kulongoski, Atiyeh, Roberts, Kitzhaber), business people, Republicans and Democrats, conservation groups, farm organizations and more.

Who opposes Measure 49?

Measure 49 is opposed largely by the large-scale development interests and some timber companies that filed claims under Measure 37. We face spending $15 billion in compensation to claimants or granting them the right to develop whatever they want on their property, no matter where it is. See what the opponents of Measure 49 say.

Oregon voters passed Measure 37 by a wide margin. Doesn’t Measure 49 try to undo the will of the voters?

Measure 37 was advertised as a way to help small individual landowners build a few houses on their property if they were allowed to when they bought their land. There was no mention of huge subdivisions on sensitive farmland and in forests, large-scale commercial and industrial development near homes and in neighborhoods, or the suspension of rules that protect our water supplies. Yet that is what Measure 37’s flaws and loopholes have unleashed. At the same time, flaws in Measure 37 have actually prevented many small landowners from getting what they were promised. Measure 49 modifies Measure 37 — it does not repeal it. Measure 49 restores the will of the voters by providing what voters were promised, and stopping the things they weren’t told about.

How will measure 49 ‘limit large developments?’

Measure 49 protects the property rights of small individual landowners who have a valid Measure 37 claim by fast-tracking development of up to three houses on their property, if the law allowed it when they bought their land. And it will pass those rights on to a surviving spouse—something Measure 37 alone does not do.

People who have a valid Measure 37 claim and can document a financial loss with an appraisal equal to the value of the additional houses since zoning was established on their land can develop sites for up to 10 homes. However, homesites are limited to three on high value farmland, forests or places where water supplies are limited water supplies (as defined in the bill).

Measure 49 establishes a limit of 20 homesites for anyone who is seeking development via Measure 37, regardless of the number of claims someone files or the pieces of property someone owns. Approval for more than 20 homesites must be obtained via Oregon’s regular land use processes.

Measure 49 narrows Measure 37 to apply only to residential development and prohibit industrial and commercial development. In this way, the measures will protect the places that make Oregon special and stop the abuse of huge housing subdivisions, strip malls and industrial development in places where they simply don’t belong. Following passage of Measure 49, commercial and industrial development, as well as large subdivisions, must proceed through the existing land use planning and development processes.

How do I find out how Measure 49 helps my area/neighborhood?

More than 7,500 Measure 37 claims have been filed, covering upwards of 750,000 acres in every part of Oregon. To see how the claims in your area or to see how Measure 49 will protect your part of Oregon, click here.

Will people who filed Measure 37 claims have to refile again if Measure 49 passes?

Assertions that claimants will have to start over are being made by the opposition and they are false. Read official testimony here. If a property owner has a valid Measure 37 claim, the process under Measure 49 is simple and straightforward. After M49 passes, claimants will receive a notice from the state of their options, and a form where they check off that they want the fast-track for up to three houses (with transferability). If the "fast track" option meets their needs, all they have to do is check that off, send back the form and proceed with the local process of obtaining a building permit — just like all construction projects.

Claimants who want more than three houses have to prove a loss equal to the value of the number of homesites they seek (up to ten). They must supplement their existing claim with an appraisal proving their loss, but they can add to the calculations up to $5,000 to reflect the cost of the appraisal. The appraisal is initiated and conducted by the property owner and required to meet Federal ‘Yellow Book’ standards (see below)

Measure 49 — referred by the state legislature — still allows development on farmland and forests across Oregon. If I want to stop that, why should I support it?

Some Oregonians would like to see Measure 37 repealed altogether, totally eliminating additional development on farmland and in forests. However, the intention of the voter in passing 37 should not be ignored — protecting the rights of property owners to build a few homesites on their land if there were allowed to do so when they purchased their property. Measure 49 is the best opportunity to strike the balance between limiting over-development and meeting the previous intentions of Oregon voters.

Supporters of Measure 37 oppose Measure 49. If Measure 49 helps the 'small landowner,' why would they oppose?

It’s not true that all Measure 37 supporters oppose Measure 49 — some small claimants support Measure 49. Look closely at the supporters and contributors to Measure 37 and you will find that many are the large-scale development and timber interests that have filed literally billions of dollars in claims for huge subdivisions and commercial and industrial projects. They were happy to use small landowners as “poster children” in order to pass Measure 37. The interests of these large developers and timber companies are very different than the needs of individuals who own property.

How does Measure 49 help improve Measure 37 for the small property owner?

Measure 37 actually leaves many owners of relatively small properties out in the cold, because it doesn’t provide for “transferability” of development rights. In simple terms, that means that although you might have a right to create homesites and build houses on your land, if you sell that land to someone else, the right to build does not transfer to that person. Even if you build, it is unclear whether a buyer could even own the house. As a result, banks are unwilling to lend money for construction to individual landowners.

Worse, Measure 37 doesn’t even provide for claim rights to be passed on to a surviving spouse! A widow who wasn’t on the deed since the purchase of the property has no right to development, even though they lived on the land together — and thought they owned it together — for years!

Measure 49 provides “transferability” to a surviving spouse, as well as a subsequent owner. It provides the rights that Measure 37 promised but never delivered.

I haven’t seen Measure 37 development harm farm and forest land. What’s behind your claim that it does?

The damage that Measure 37’s flaws and loopholes will inflict on Oregon is not a matter of speculation — it is all there in black and white, in every part of Oregon. More than 7,500 claims have been filed, covering more than 750,000 acres of land. 2,700 of these claims are for housing subdivisions and another 2,900 claims seek “unspecified” development. All told, approximately 640,000 acres could face housing subdivisions under Measure 37. As you read this, dirt is being turned on some of the first projects — with many, many more to come. Click here to see what is happening in your part of Oregon.

How do we know that government will allow Measure 37 claims to go forward if these amendments in Measure 49 pass?

Measure 49 actually expedites Measure 37 residential claims for up to ten homesites. As long as claimants conform to the rules of Measure 49, both state and local governments must let them proceed with their residential claims of that size. And if government is not responsive, the state Attorney General will represent the interest of the claimant in court.

How long will it take small property owners to begin to build up to three homes on their property?

The provision that allows property owners to build up to three homes is called the “express lane” for good reason. If they've already proven that they have a valid claim, they may start the development process immediately.

I heard that if Measure 49 passes, the state gets to determine how many houses you can put up. If that’s true, won’t they turn down most applications?

Under Measure 49, the state must follow strict rules in considering Measure 37 claims. If property owners are able to demonstrate they have suffered a loss using commonly accepted appraisal standards, the state MUST allow them to build up to 10 houses to compensate for that loss.

How is the appraisal of change in property value conducted?

Unlike Measure 37, Measure 49 lays out clear guidelines for property owners in conducting an appraisal of the change in their property value due to regulations.

Measure 49 instructs that valuation of a claim include both an appraisal indicating the value of the property one year before the regulation was enacted and one year after the regulation. If the value declined after enactment of the regulation, the amount of loss is then inflated to today’s dollars using the one-year Treasury Bill rate, which gives claimants a return on the loss equivalent to a standard low-risk investment. Any property tax breaks accrued over time are also inflated to today’s dollars in the same manner, and then subtracted from the amount lost. This final value is then used to allot homesites, based upon the value of homesites in today’s market.

Claimants may hire any certified appraiser who is trained to meet federal ‘Yellow Book’ standards and credit the cost of the appraisal, up to $5,000, toward the calculation of loss.

Why did Measure 37 pass?

Of course, what Measure 37 delivered was something very different than was promised — protection for the small property owner from government ‘takings.’ But it’s important to understand why it passed:

The Measure 37 ballot language was the stuff that dreams are made of — for the financial backers of the Yes side. It stated a simple, apple pie sentiment that everyone found appealing, with no mention of the actual impact 37 would have on our farms, forests, water and the zoning that helps protect our quality of life.

At the time, the threats of Measure 37 by those who opposed it were theoretical and easily dismissed as speculative.

And, frankly, the Yes side ran an effective campaign, using real people, simple stories and sympathy for the little guy. The No side didn’t yet have people, or places, under attack. Yet.

We’re in a completely different situation now — about 70% of Oregonians want to fix Measure 37 or repeal it altogether — because now the claims for uncontrolled development are real...in places it just doesn’t belong.

Facts about agriculture in Oregon:

• Agriculture is a $4 billion industry for the state;
• 2nd largest overall industry in the state;
• 2nd highest ‘traded’ sector — bringing money into the state;
• 2nd largest commodity going out through the Port of Portland;
• Produces 120,000 jobs and service jobs);
• Nursery is the leading ag industry;
• Growing wine industry;
• Fruit — berries, cherries, pears — we grow the 2nd most pears in the US — all on prime farmland (much threatened with M 37 development.

“We can build factories, malls and housing subdivisions.. but we can’t build farmland.”

Questions & answers by the State of Oregon about Measure 49 and Measure 37 were published on October 15, 2007.