Oregon Incentive Programs Challenges
While there are many strengths to the incentive programs offered in Oregon, several challenges exist that inhibit their effectiveness. This is a result of several factors:
Lack of habitat focus
Some state incentive programs are not designed to focus on habitat. Often they focus on one aspect of conservation (endangered species, reforestation) but lack the holistic approach that is crucial to habitat conservation and promoting biodiversity. For example, the Underproductive Forestland Tax Credit Program and Oregon Forest Resource Trust are two programs that provide great incentives for landowners to plant trees, but the primary focus is timber production with habitat conservation being secondary. Also, due to salmon Endangered Species Act listings and water quality problems, there is a tendency to emphasize aquatic resources, leaving upland habitats with little attention and insufficient funding.
Program confusion
While having a variety of programs available can be an advantage, at times it can lead to confusion. Landowners may not know where to look when interested in participating in a program. Coordination of programs becomes a challenge as each agency has a different set of objectives. Often the organizations become compartmentalized rather than working in cooperation. Efforts need to be coordinated across agencies to find common priorities and program information and assistance needs to be accessible to landowners in one location.
Lack of funding
The majority of state incentive programs are underfunded. Because of this, they are unable to target conservation priority areas or meet the program's goals for conservation, if the program has such goals. Each agency and organization in the state has its own mission and focus and therefore, funding tends to be fragmented. Greater coordination between agencies and organizations would improve the potential for strategic investment of limited funds.
Inefficient property tax incentive
Thus far, low participation in state property tax programs has proven to be a challenge for meeting conservation goals in the state. A great deal of rural land in Oregon is already in either forest or farm deferral with low property taxes that leave little room for further reductions. In order to qualify for these benefits (which are substantial) the landowner must produce timber or crops. There are property tax incentives for conservation as well; the Wildlife Habitat Conservation and Management Program offers a lower tax assessment for landowners with approved habitat conservation plans. However, participation in this program is low because prior to the recent legislative changes, it was difficult for landowners to move seamlessly from farm or forest deferral to conservation. Landowners may perceive the process as complex and providing uncertain or inadequate benefits. In addition, each county may choose whether to offer the program. Currently, more than half of Oregon's counties do not offer the program, further reducing participation levels. The Riparian Lands Tax Incentive Program is also characterized by low participation. Landowners involved in the program receive a property tax exemption on eligible land; however, this incentive is limited because of the narrow areas eligible and the small tax savings on land that is generally already specially assessed with reduced tax rates.
Lack of participation
Many of Oregon's state incentive programs are currently under capacity due to a combination of the factors listed above. Generally, programs are underfunded, there is a general lack of awareness and understanding of the application process, and sometimes the landowner simply feels the incentive offered is not large enough. Distrust of government agencies and conservation organizations deters certain landowners from participating as well. Clearly, the potential of programs in the state to achieve conservation goals is not possible without participation in the programs.
