Oregon Revised Statutes

Or. Rev. Stat. § 261.305 (2026)

General powers of district

✓ current as of May 2026
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      261.305 General powers of district. People’s utility districts shall have power:

      (1) To have perpetual succession.

      (2) To adopt a seal and alter it at pleasure.

      (3) To sue and be sued, to plead and be impleaded.

      (4) To acquire and hold, including by lease-purchase agreement, real and other property necessary or incident to the business of the districts, within or without, or partly within or partly without, the district, and to sell or dispose of that property; to acquire, develop and otherwise provide for a supply of water for domestic and municipal purposes, waterpower and electric energy, or electric energy generated from any utility, and to distribute, sell and otherwise dispose of water, waterpower and electric energy, within or without the territory of such districts.

      (5) To acquire, own, trade, sell or otherwise transfer renewable energy certificates.

      (6) To exercise the power of eminent domain for the purpose of acquiring any property, within or without the district, necessary for the carrying out of the provisions of this chapter.

      (7) To borrow money and incur indebtedness; to issue, sell and assume evidences of indebtedness; to refund and retire any indebtedness that may exist against or be assumed by the district or that may exist against the revenues of the district; to pledge any part of its revenues; and to obtain letters of credit or similar financial instruments from banks or other financial institutions. Except as provided in ORS 261.355 and 261.380, no revenue or general obligation bonds shall be issued or sold without the approval of the electors. The board of directors may borrow from banks or other financial institutions such sums as the board of directors deems necessary or advisable. No indebtedness shall be incurred or assumed except for the development, purchase and operation of electric utility facilities or for the purchase of electricity, electrical capacity or renewable energy certificates.

      (8) To exercise the powers otherwise granted to districts by ORS 271.390.

      (9) To levy and collect, or cause to be levied and collected, subject to constitutional limitations, taxes for the purpose of carrying on the operations and paying the obligations of the district as provided in this chapter.

      (10) To make contracts, to employ labor and professional staff, to set wages in conformance with ORS 261.345, to set salaries and provide compensation for services rendered by employees and by directors, to provide for life insurance, hospitalization, disability, health and welfare and retirement plans for employees, and to do all things necessary and convenient for full exercise of the powers herein granted. The provision for life insurance, hospitalization, disability, health and welfare and retirement plans for employees shall be in addition to any other authority of people’s utility districts to participate in those plans and shall not repeal or modify any statutes except those that may be in conflict with the provision for life insurance, hospitalization, disability, health and welfare and retirement plans.

      (11) To enter into contracts with any person, any public or private corporation, the United States Government, the State of Oregon, or with any other state, municipality or utility district, and with any department of any of these, for carrying out any provisions of this chapter.

      (12) To enter into agreements with the State of Oregon or with any local governmental unit, utility, special district or private or public corporation for the purpose of promoting economic growth and the expansion or addition of business and industry within the territory of the people’s utility district. Before spending district funds under such an agreement, the board of directors shall enter on the written records of the district a brief statement that clearly indicates the purpose and amount of any proposed expenditure under the agreement.

      (13) To fix, maintain and collect rates and charges for any water, waterpower, electricity or other commodity or service furnished, developed or sold by the district.

      (14) To construct works across or along any street or public highway, or over any lands which are property of this state, or any subdivision thereof, and to have the same rights and privileges appertaining thereto as have been or may be granted to cities within the state, and to construct its works across and along any stream of water or watercourse. Any works across or along any state highway shall be constructed only with the permission of the Department of Transportation. Any works across or along any county highway shall be constructed only with the permission of the appropriate county court. Any works across or along any city street shall be constructed only with the permission of the city governing body and upon compliance with applicable city regulations and payment of any fees called for under applicable franchise agreements, intergovernmental agreements under ORS chapter 190 or contracts providing for payment of such fees. The district shall restore any such street or highway to its former state as near as may be, and shall not use the same in a manner unnecessarily to impair its usefulness.

      (15) To elect a board of five directors to manage its affairs.

      (16) To enter into franchise agreements with cities and pay fees under negotiated franchise agreements, intergovernmental agreements under ORS chapter 190 and contracts providing for the payment of such fees.

      (17) To take any other actions necessary or convenient for the proper exercise of the powers granted to a district by this chapter and by section 12, Article XI of the Oregon Constitution. [Amended by 1953 c.627 §2; 1957 c.334 §1; 1979 c.558 §19; 1985 c.474 §1; 1987 c.245 §4; 1993 c.97 §1; 1995 c.333 §15; 2003 c.802 §76; 2007 c.301 §38; 2007 c.895 §9]

Notes of Decisions
Cited in 11 cases, 1982–2016 · leading case: DeFazio v. Washington Pub. Power Supply Sys., 679 P.2d 1316 (Or. 1984).
DeFazio v. Washington Pub. Power Supply Sys., 679 P.2d 1316 (Or. 1984). · cites it 16× “These powers are spelled out in greater detail in ORS 261.305 ÔÇö 261.390. *1340 As discussed in Part III of this opinion, additional provisions enacted in 1967 address the participation of PUDs in jointly owned power generating facilities.”
Nw. Nat. Gas Co. v. City of Gresham, 374 P.3d 829 (Or. 2016). · cites it 4× “The 1987 legislation amended ORS 261.305, governing PUDs, and added a provision specifically allowing them to enter into franchise agreements with cities, as well as adding PUDs to ORS 221.”
Emerald People's Util. Dist. v. Pac. Power & Light Co., 711 P.2d 179 (Or. Ct. App. 1985). · cites it 8× “) Plaintiff argues that “any property” means exactly what it says, so long as the property acquired is within the statutory objective of a PUD, which is: “* * * [T]o develop the water and energy resources of this state for the benefit of the people of this state and to supply…”
Emerald PUD v. PP & L, 711 P.2d 179 (Or. Ct. App. 1985). · cites it 8× “) Plaintiff argues that "any property" means exactly what it says, so long as the property acquired is within the statutory objective of a PUD, which is: "* * * [T]o develop the water and energy resources of this state for the benefit of the people of this state and to supply…”
Emerald PUD v. PP & L, 729 P.2d 552 (Or. 1986). · cites it 3× “Included in that legislation was section 29(d) and (e), codified as amended at ORS 261.305(4) and (5). It gave PUDs this authority: "(d) To acquire and hold real and other property necessary or incident to the business of such districts, within or without * * * the district; to…”
Springfield Util. Bd. v. Emerald People's Util. Dist., 84 P.3d 167 (Or. Ct. App. 2004). · cites it 2× “450 and ORS 261.305 to authorize cities to levy a privilege tax on PUDs as well as on privately owned public utilities and to authorize PUDs to enter into agreements with cities to pay fees for the use of city streets.”
Pacificorp v. City of Ashland, 744 P.2d 257 (Or. Ct. App. 1987). · cites it 2× “305(5) “[t]o exercise the power of eminent domain for the purpose of acquiring any property * * * necessary for the carrying out of the provisions of this chapter” was not specific enough under the Little Nestucca rule to authorize by necessary implication the condemnation of a…”
Emerald People's Util. Dist. v. Pac. Power & Light Co., 729 P.2d 552 (Or. 1986). · cites it 3× “Included in that legislation was section 29(d) and (e), *262 codified as amended at ORS 261.305(4) and (5). It gave PUDs this authority: “(d) To acquire and hold real and other property necessary or incident to the business of such districts, within or without * * * the…”
State Ex Rel. Eckles v. Livermore, 696 P.2d 1153 (Or. Ct. App. 1985). “That omission should be compared to the legislature’s specific authorization for such entities as people’s utility districts, ORS 261.305(1), mass transit districts, ORS 267.”
Nw. Nat. Gas Co. v. City of Gresham (Or. 2016). · cites it 4× “Helens in the underlying litigation. He explained some of the back- ground of the dispute to the committee as follows: “[U]nder the arrangement before this lawsuit * * * both private utility companies that sell electricity and PUDs that sell electricity pay the same three and a…”
Pac. Power & Light Co. v. Emerald People's Util. Dist., 646 P.2d 1360 (Or. Ct. App. 1982). “See ORS 261.305, 261.355. Neither the resolution nor the notice is facially invalid.”
— Or. Rev. Stat. § 261.305(1) — 1 case
State Ex Rel. Eckles v. Livermore, 696 P.2d 1153 (Or. Ct. App. 1985). “That omission should be compared to the legislature’s specific authorization for such entities as people’s utility districts, ORS 261.305(1), mass transit districts, ORS 267.”
— Or. Rev. Stat. § 261.305(12) — 1 case
Springfield Util. Bd. v. Emerald People's Util. Dist., 84 P.3d 167 (Or. Ct. App. 2004). “450 and ORS 261.305 to authorize cities to levy a privilege tax on PUDs as well as on privately owned public utilities and to authorize PUDs to enter into agreements with cities to pay fees for the use of city streets.”
— Or. Rev. Stat. § 261.305(4) — 2 cases
Emerald PUD v. PP & L, 729 P.2d 552 (Or. 1986). “Included in that legislation was section 29(d) and (e), codified as amended at ORS 261.305(4) and (5). It gave PUDs this authority: "(d) To acquire and hold real and other property necessary or incident to the business of such districts, within or without * * * the district; to…”
Emerald People's Util. Dist. v. Pac. Power & Light Co., 729 P.2d 552 (Or. 1986). “Included in that legislation was section 29(d) and (e), *262 codified as amended at ORS 261.305(4) and (5). It gave PUDs this authority: “(d) To acquire and hold real and other property necessary or incident to the business of such districts, within or without * * * the…”
— Or. Rev. Stat. § 261.305(5) — 5 cases
Emerald People's Util. Dist. v. Pac. Power & Light Co., 711 P.2d 179 (Or. Ct. App. 1985). “) Plaintiff argues that “any property” means exactly what it says, so long as the property acquired is within the statutory objective of a PUD, which is: “* * * [T]o develop the water and energy resources of this state for the benefit of the people of this state and to supply…”
Emerald PUD v. PP & L, 711 P.2d 179 (Or. Ct. App. 1985). “) Plaintiff argues that "any property" means exactly what it says, so long as the property acquired is within the statutory objective of a PUD, which is: "* * * [T]o develop the water and energy resources of this state for the benefit of the people of this state and to supply…”
Emerald PUD v. PP & L, 729 P.2d 552 (Or. 1986). “Included in that legislation was section 29(d) and (e), codified as amended at ORS 261.305(4) and (5). It gave PUDs this authority: "(d) To acquire and hold real and other property necessary or incident to the business of such districts, within or without * * * the district; to…”
Pacificorp v. City of Ashland, 744 P.2d 257 (Or. Ct. App. 1987). “305(5) “[t]o exercise the power of eminent domain for the purpose of acquiring any property * * * necessary for the carrying out of the provisions of this chapter” was not specific enough under the Little Nestucca rule to authorize by necessary implication the condemnation of a…”
Emerald People's Util. Dist. v. Pac. Power & Light Co., 729 P.2d 552 (Or. 1986). “Included in that legislation was section 29(d) and (e), *262 codified as amended at ORS 261.305(4) and (5). It gave PUDs this authority: “(d) To acquire and hold real and other property necessary or incident to the business of such districts, within or without * * * the…”
— Or. Rev. Stat. § 261.305(6) — 1 case
DeFazio v. Washington Pub. Power Supply Sys., 679 P.2d 1316 (Or. 1984). “These powers are spelled out in greater detail in ORS 261.305 ÔÇö 261.390. *1340 As discussed in Part III of this opinion, additional provisions enacted in 1967 address the participation of PUDs in jointly owned power generating facilities.”
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.