The Newberg School District board approved a resolution on Aug. 12, 2025, to revise the district’s construction‑excise tax (CET) rates to match the Oregon Department of Revenue’s indexed taxable rates for 2025–26 and 2026–27.
District business staff reported the district had charged $1 per square foot since adopting the tax in 2009 and had not updated the rate to follow the state index. Using the indexed rates the Department of Revenue published in July, district staff estimated the district would have collected about $250,000 more over the last two years if the rates had been indexed.
The board approved resolution 2026‑05 (as presented) by unanimous vote. Staff said the indexed rates, once adopted, apply when construction permits are issued and that construction‑excise tax revenues are restricted for school capital purposes: acquisition of land, equipment and furnishings, construction and improvements to school facilities, related professional services and debt issuance costs.
Why this matters: Indexing the CET aligns district permitting fees with state guidance and increases revenue available for capital projects related to school facilities. The board noted the district had not been capturing full indexed revenue since 2009.
What’s next: The superintendent will sign the resolution and staff will notify the city and county officials who collect construction permits so the indexed rates are applied going forward.
(Reporting note: Figures and resolution number are taken from staff presentation during the Aug. 12 board meeting.)