740-065-0000
Purpose

These rules are adopted by the Oregon Department of Transportation to:

(1) Promote the development and use of the latest technologies to improve the operating efficiencies of the state and trucking industries in Oregon;

(2) Promote the use and development of automated electronic systems operated by third party agents that accurately and reliably transmit, process and store operating data from motor carrier vehicles that allow the generation of tax reports and transmission of taxes and fees for the use of highways under Oregon Highway Use Tax, ORS 825.450, et seq.; and

(3) Specify the procedures and requirements for the third party agents that operate the automated electronic systems and the motor carriers that choose to participate in this voluntary program.

Statutory/Other Authority: ORS 184.616, 184.619 & 823.011
Statutes/Other Implemented: ORS 825.137, 825.139, 825.232, 825.450, 825.474, 825.480 & 825.490
History:
MCTD 7-2014, f. & cert. ef. 9-22-14

740-065-0005
Definitions

As used in these rules, unless the context requires otherwise:

(1) “Assessment” means an assessment for the highway use tax.

(2) “Department” means the Oregon Department of Transportation.

(3) “Electronic Highway Use Tax” or “EHUT” means taxes and fees payable to the Department under ORS Chapters 818, 825 and 826 for the use of public highways.

(4) “EHUT vehicle” means a motor vehicle equipped with technology provided by an electronic system provider.

(5) “EHUT information” means:

(a) Information that is generated or collected by an electronic system provider for any purpose relating to the provision of services of reporting taxes and fees; and

(b) Information relating to:

(A) The identity and business address of a motor carrier which is operating a vehicle;

(B) The distance travelled by a motor vehicle;

(C) The location of a motor vehicle for the purpose of verifying the taxable status of the distance travelled; and

(D) A fault with an electronic distance recorder or tampering (including suspected tampering) with an electronic distance recorder.

(6) “Electronic distance recorder” means an electronic device that conforms to published Departmental requirements and:

(a) Records in miles;

(b) Is of a nature and accuracy sufficient to provide a reliable record of the distance travelled by the Electronic Highway Use Tax (EHUT) vehicle; and

(c) Is an electronic distance recorder provided by an electronic system provider.

(7) “Electronic system” means a system involving the use of electronic equipment and other technology situated in, or fitted to, an EHUT vehicle and that has the capacity to measure, monitor, collect, store, display, analyze, communicate, and report information relating to:

(a) The identity, distance travelled by, and location of the EHUT vehicle; and

(b) The integrity, security, and normal operation of the system.

(8) “Electronic system provider” means a person or entity (primary provider, not their agent) that provides electronic distance recorders conforming to Departmental published standards.

(9) “Fail,” in relation to an electronic system, means:

(a) A failure of the system to perform as intended in terms of accuracy, security, reliability, verifiability, or any other performance indicator; and

(b) Includes a permanent failure, a temporary failure, or the failure of the system on a particular occasion or in particular circumstances.

(10) “Motor carrier” and “Carrier” have the meaning given in ORS 825.005(1), (7), and (11).

(11) “Motor vehicle” has the meaning given in ORS 825.005(9).

(12) “Reading,” in relation to a distance recorder, means the reading of distance recorded on the distance recorder at any particular time.

(13) “Records,” in relation to an EHUT vehicle, mean the following documents that relate to the use and maintenance of the vehicle or vehicles:

(a) Daily distance records as prescribed in OAR 740-055-0120; and

(b) Fuel invoice records as prescribed in OAR 740-055-0110; and

(c) Daily records as prescribed in OAR 740-200-0010 and 740-200-0040; and

(d) EHUT information as defined in these rules.

(14) “Public highway” has the meaning as defined in ORS 825.005(14).

(15) “Vehicle inspection” means an inspection of an EHUT vehicle for fitness.

(16) “Vehicle inspector” has the meaning defined in ORS 810.560.

(17) Vehicle management system, in relation to an EHUT vehicle, means an electronic control system situated in the vehicle that:

(a) Receives inputs from the engine of the EHUT vehicle; or

(b) May receive inputs from other sources or systems of the EHUT vehicle; or

(c) Controls one or more functions of the EHUT vehicle; or

(d) Stores data relating to the operation of the EHUT vehicle.

(18) Subscribing motor carrier means a motor carrier that owns or operates a motor vehicle that is fitted with a properly operating electronic distance recorder supplied by an electronic system provider.

Statutory/Other Authority: ORS 184.616, 184.619 & 823.011
Statutes/Other Implemented: ORS 818.225, 825.137, 825.139, 825.232, 825.490, 826.005 & 826.007
History:
MCTD 7-2014, f. & cert. ef. 9-22-14

740-065-0010
General Provisions

(1) Any motor carrier that has an EHUT vehicle equipped with an electronic distance recorder, as specified in sections (2) and (3), that is properly working and provides an accurate and reliable record relating to the identity, distance travelled by, and the location of the EHUT vehicle may file tax reports and transmit taxes for the Oregon Highway Use Tax using an electronic system. Mixed fleets containing both EHUT equipped vehicles and non-EHUT equipped vehicles may also file tax reports and transmit taxes for Oregon Highway Use Tax using an electronic system provider if at least 50 percent of the fleet are equipped with EHUT equipment and the provisions of section (1) are otherwise met. Electronic system providers must identify transmitted data originating from non-EHUT equipped vehicles.

(2) The EHUT vehicle must be fitted with an electronic distance recorder that:

(a) Is provided by an electronic system provider;

(b) Is fitted in accordance with these rules; and

(c) Accurately records the distance travelled by the EHUT vehicle at all times.

(3) A motor carrier is not eligible to file tax returns under these rules if the motor carrier:

(a) Operates the EHUT vehicle with an electronic distance recorder that has not been provided by an electronic system provider;

(b) Operates the EHUT vehicle with an electronic distance recorder not fitted to the motor vehicle in accordance with these rules;

(c) Operates the EHUT vehicle with an electronic distance recorder fitted to the vehicle that is not accurately recording the distance travelled by the motor vehicle;

(d) Wilfully alters, damages or tampers with an electronic distance recorder fitted to a EHUT vehicle, or any equipment that is required for the operation of the electronic distance recorder fitted to the vehicle, in a manner that affects, or is likely to affect, the accuracy of the electronic distance recorder;

(e) Operates the EHUT vehicle on a taxable road if the motor carrier knows, or should have known, that the electronic distance recorder fitted to the EHUT vehicle has been modified or repaired, except as authorized by these rules; or

(f) Modifies or attempts to modify or repair, any part of an electronic distance recorder fitted to the EHUT vehicle except as provided by these rules.

(4) Taxes for an EHUT vehicle are based on the declared combined weight of the EHUT vehicle in accordance with the weight group tax rates shown in the tables set forth in ORS 825.476. However, whenever a motor carrier operates an EHUT vehicle at a weight higher than its declared combined weight, the motor carrier must report and pay at the heaviest weight all miles operated in that configuration for the entire reporting period.

(5) The tax status of an EHUT vehicle operating under flat fees is determined by the weight of the vehicle, the commodity being transported, the purpose of the transportation and highways traveled. The tax status of the EHUT vehicle’s operation will be determined by the motor carrier pursuant to OAR 740-055-0035 and entered in the electronic system for that operation. Any changes in the tax status of the EHUT vehicle will also be determined by motor carrier pursuant to OAR 740-055-0035 and entered in the electronic system.

(6) If a motor carrier provides information that the motor carrier knows, or should have known, is incorrect regarding the declared weight or actual combined weight of an EHUT vehicle the motor carrier will be assessed taxes on the EHUT vehicle based on the higher combined weight, in addition to interest and penalties.

(7) Any motor carrier that operates an EHUT vehicle under these rules agrees that when the electronic system is properly working, the system’s records related to the identity, distance traveled by, and the location of the EHUT vehicle, may be used in calculating tax reports.

Statutory/Other Authority: ORS 184.616, 184.619 & 823.011
Statutes/Other Implemented: ORS 319.020, 319.530, 825.017, 825.474 & 825.480
History:
MCTD 7-2014, f. & cert. ef. 9-22-14

740-065-0015
Payment of Highway Use Taxes

All provisions of ORS Chapters 818, 825 and 826 apply to operations of EHUT vehicles.

Statutory/Other Authority: ORS 184.616, 184.619 & 823.011
Statutes/Other Implemented: ORS 818.225, 825.494, 825.496, 825.500, 826.005 & 825.007
History:
MCTD 7-2014, f. & cert. ef. 9-22-14

740-065-0020
Electronic System Providers

(1) The Department may, upon application, allow an electronic system provider to participate in the automated electronic reporting system.

(2) Before allowing participation under section (1), the Department must be satisfied that:

(a) The applicant’s electronic system is secure and reliable; and

(b) Any electronic distance recorder provided by the applicant:

(A) Is fit for the purpose; and

(B) Meets any requirements specified in these rules.

(3) Allowance of participation of an electronic system provider is conditional and:

(a) May be on the terms and conditions imposed by the Department; and

(b) May be modified or revoked by the Department upon written notice to the participating electronic system provider.

(4) The Department will publish standards to assist electronic system providers in complying with the requirement in paragraph (2)(b)(A) for an electronic distance recorder to be fit for the purpose.

(5) An electronic system provider who knows or has reasonable grounds to suspect that any electronic system has been tampered with must report the matter to the Department in writing within five working days of becoming aware of the suspected tampering.

(6) If an electronic system provider makes a report to the Department under section (5), the electronic system provider must not disclose to any person other than the Department:

(a) That the electronic system provider has made the report; or

(b) Any information from which the person to whom the disclosure is made could reasonably infer that the electronic system provider has made the report.

(7) In this rule, tamper, in relation to an electronic system, means:

(a) To engage in conduct that results in, or is likely to result in:

(A) The system being altered;

(B) The system or any part of the system being used in a way that is not in accordance with the terms and conditions of the electronic system provider’s approval; or

(C) Any EHUT information that the system uses internally being altered.

(b) To engage in conduct with the intention of causing the electronic system to:

(A) Fail to collect information; or

(B) Fail to correctly record distances travelled by a vehicle; or

(C) Fail to correctly store or report information.

(8) An electronic system provider must collect and store all information regarding a motor carrier’s operations of an EHUT vehicle for the periods required by OAR 740-055-0120, OAR 740-200-0010 and OAR 740-200-0040.

Statutory/Other Authority: ORS 184.616, 184.619 & 823.011
Statutes/Other Implemented: ORS 825.212, 825.232, 825.474, 825.480, 825.490 & 825.515
History:
MCTD 7-2014, f. & cert. ef. 9-22-14

740-065-0025
Duties of Electronic System Providers Relating to Collection of EHUT Information

(1) An electronic system provider must collect and store all EHUT information.

(2) An electronic system provider must:

(a) Clearly identify the EHUT information it collects; and

(b) Keep the EHUT information separate from other commercial information.

(3) For purposes of this rule, “other commercial information” means information relating to any telematics services or location-based services, including associated communication services that are provided to the transport operator by an electronic system provider that are not related to EHUT information.

Statutory/Other Authority: ORS 184.616, 184.619 & 823.011
Statutes/Other Implemented: ORS 825.137, 825.139, 825.232, 825.474, 845.480 & 825.490
History:
MCTD 7-2014, f. & cert. ef. 9-22-14

740-065-0030
Duties of Electronic System Provider Relating to Use and Disclosure of EHUT Information

(1) An electronic system provider must not use or disclose EHUT information collected under a motor carrier except as provided by these rules or any other enactments.

(2) An electronic system provider must take reasonable steps to ensure that the EHUT information it collects is protected against unauthorized access or use, misuse, loss, modification, or unauthorized disclosure.

(3) Upon request from a motor carrier an electronic system provider must disclose EHUT information relating to the motor carrier’s EHUT vehicles to the motor carrier or to any other party authorized by the motor carrier to receive the EHUT information.

Statutory/Other Authority: ORS 184.616, 184.619 & 823.011
Statutes/Other Implemented: ORS 825.137, 825.139, 825.232, 825.474, 845.480 & 825.490
History:
MCTD 7-2014, f. & cert. ef. 9-22-14

740-065-0035
Information from Vehicle Management System

The Department may take information from the vehicle management system for the purpose of issuing an assessment or for other matters related to the regulation of the EHUT vehicle. The Department may:

(1) Apply an electronic device to an EHUT vehicle to download information from the vehicle's vehicle management system; and

(2) Retain information taken from the vehicle management system for any purpose related to the operation of the EHUT vehicle.

Statutory/Other Authority: ORS 184.616, 184.619 & 823.011
Statutes/Other Implemented: ORS 825.137, 825.139, 825.232, 825.474, 825.480 & 825.490
History:
MCTD 7-2014, f. & cert. ef. 9-22-14

740-065-0040
Motor Carriers Must Make and Retain Records

(1) A motor carrier must:

(a) Keep records in relation to each EHUT vehicle that the motor carrier owns or operates; and

(b) Retain those records for the purposes of this rule.

(2) Motor carriers must maintain records as defined in OAR 740-065-0005 that show operations of any vehicles in accordance 740-055-0120, 740-200-0010 and 740-200-0040.

(3) Motor carriers must produce the EHUT records for inspection and copying if required by the Department.

(4) A motor carrier that fails to provide required information to the Department for the purposes of an assessment or that is related to the operation of an EHUT vehicle may no longer be eligible to participate in the automated electronic reporting system. Readmission to the automated electronic reporting system will be conditioned upon satisfactorily responding to Department information requests.

Statutory/Other Authority: ORS 184.616, 184.619 & 823.011
Statutes/Other Implemented: ORS 825.137, 825.139, 825.232, 825.474, 845.480 & 825.490
History:
MCTD 7-2014, f. & cert. ef. 9-22-14

740-065-0045
Inspection of Records or Other Information

(1) For the purpose of issuing an assessment under these rules, or otherwise ascertaining whether the provisions of this rule have been, or are being, complied with by any motor carrier to whom these rules apply, the Department may require that motor carrier to produce for inspection any records or other information in that motor carrier’s possession or control including records required to be kept by a motor carrier that are relevant to the use and maintenance of an EHUT vehicle.

(2) The Department may, in relation to any records or other information produced under section

(a) Extract information from records; and

(b) Make copies of the records or other information at the place of inspection; and

(c) Remove the records or other information if it is impracticable to copy the records or other information at the place of inspection.

(3) If the Department removes any records or other information under subsection (2)(c), the Department must:

(a) Issue a receipt for the records or other information to the person from whom the records or other information was taken; and

(b) Return the records or other information as soon as practicable; and

(c) For as long as the records or other information is held by the Department, allow the person from whom the records or other information was taken, at any reasonable time, to inspect, and obtain copies of, the records or other information at the premises where the records or other information is held.

Statutory/Other Authority: ORS 184.616, 184.619 & 823.011
Statutes/Other Implemented: ORS 825.137, 825.139, 825.232, 825.474, 845.480 & 825.490
History:
MCTD 7-2014, f. & cert. ef. 9-22-14

740-065-0050
Due Date of Taxes, Fees, and Reports

(1) The electronic system provider must electronically submit tax reports required under ORS 818.225, 825.480, 825.490 and 825.492 for each subscribing motor carrier on or before the statutorily defined due dates. A subscribing motor carrier that remits taxes and fees to the electronic system provider on or before the statutorily defined due date will be deemed to have met statutory due date for such taxes and fees.

(2) The electronic system provider must electronically convey payments, along with the detail by motor carrier of taxes and fees received from subscribing motor carriers to the Department no later than five (5) business days following the statutorily defined due dates.

(3) The subscribing motor carrier’s tax liability is not satisfied until the electronic service provider has transmitted the funds to the Department.

Statutory/Other Authority: ORS 184.616, 184.619 & 823.011
Statutes/Other Implemented: ORS 818.225, 825.137, 825.139, 825.232, 825.480 & 825.490
History:
MCTD 7-2014, f. & cert. ef. 9-22-14