IN THE CIRCUIT COURT OF THE STATE OF OREGON FOR THE COUNTY OF LINN

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CV 1 1 IN THE CIRCUIT COURT OF THE STATE OF OREGON LINN COUNTY, DOUGLAS COUNTY JEFFERSON COUNTY, MALHEUR COUNTY, MORROW COUNTY, POLK COUNTY, SHERMAN COUNTY, WALLOWA COUNTY, YAMHILL COUNTY, each a local government of the State of Oregon, v. Plaintiffs, KATE BROWN, in her official capacity as Governor of the State of Oregon, BRAD AVAKIAN, in his official capacity as Commissioner of the Oregon Bureau of Labor and Industries, Defendants. The Court FINDS that: FOR THE COUNTY OF LINN Case No. CV ORS.0 - State fees deferred at filing A) On December,, this Court granted plaintiffs motion for summary judgment on the legal question of whether SB (Oregon Laws, Ch. ), referred to herein as the Paid Sick Leave Law, is a Program within the meaning of Article XI, Section of the Oregon Constitution. Defendants object to this ruling. B) Following the December, ruling, the Court issued a subsequent opinion letter on January, allowing the parties to proceed with discovery on the question of whether the plaintiff counties satisfied the financial threshold set forth in Article XI, Section ()(b) (hereinafter financial threshold ) of the Oregon Constitution. Trial was set for July of. C) Following a period of discovery, the parties stipulated that during Fiscal Year -, Linn County, Douglas County, and Yamhill County satisfied the financial threshold in that Page 1 - SW/rh/-v1 Portland, OR 1 (1) -0 / Fax: (1) -000

1 the Paid Sick Leave Law had required them to spend, in the form of actual paid sick leave benefits paid out to employees, an amount that exceeded one-hundredth of one percent of the annual budget adopted by these counties for that fiscal year. The parties further stipulated that, based on currently available information, Linn County, Douglas County, and Yamhill County would be more likely than not to continue to satisfy the financial threshold in this manner in future years if they continued to comply with the paid sick leave law. D) On or about July, Plaintiffs Morrow County, Jefferson County, Polk County, Malheur County, Sherman County and Wallowa County filed voluntary notices of dismissal under ORCP, and a limited judgment of dismissal was entered thereafter. These dismissed parties are not included in the present judgment. Based on the Foregoing, the Court DECLARES AND ADJUDGES as follows: 1) For the reasons set forth in the Court s December, letter opinion, attached and incorporated herein, the Paid Sick Leave Law, is a Program within the meaning of Article XI, Section of the Oregon Constitution. Defendants do not waive their right to appeal the Court s ruling and judgment that the Paid Sick Leave Law is a Program. ) Plaintiffs Linn County, Douglas County and Yamhill County satisfy the financial threshold. ) Plaintiffs Linn County, Douglas County and Yamhill County may lawfully refuse to comply with the Paid Sick Leave Law unless and until the Legislative Assembly allocates sufficient funding for the Program, or identifies and directs the imposition of a fee or charge to be used by plaintiffs to recover the actual cost of the program, or circumstances change such that the cost of complying with the paid sick leave law would no longer require the county to spend more than the financial threshold. Page - SW/rh/-v1 Portland, OR 1 (1) -0 / Fax: (1) -000

It is so ADJUDGED. Plaintiffs Linn County, Douglas County and Yamhill County are the prevailing parties. Signed: // 0: AM Submitted by: Sarah Weston Assistant Attorney General Attorneys for Defendants 1 Page - SW/rh/-v1 Portland, OR 1 (1) -0 / Fax: (1) -000

1 CERTIFICATE OF READINESS This proposed General Judgment is ready for judicial signature because: 1. [ ] Each opposing party affected by this General Judgment has stipulated to the General Judgment, as shown by each opposing party's signature on the document being submitted.. [X] Each opposing party affected by this General Judgment has approved the General Judgment, as shown by signature on the document being submitted or by written confirmation of approval sent to me.. [ ] I have served a copy of this General Judgment on all parties entitled to service and provided written notice of the objection period, and: a. [ ] No objection has been served on me within that time frame. b. [ ] I received objections that I could not resolve with the opposing party despite reasonable efforts to do so. I have filed with the court a copy of the objections I received and indicated which objections remain unresolved. c. [ ] After conferring about objections, [role and name of opposing party] agreed to file any remaining objection with the court by [date], which predated my submission.. [ ] The relief sought is against an opposing party who has been found in default.. [ ] An order of default is being requested with this proposed judgment.. [ ] Service is not required by statute, rule, or otherwise. DATED July,. s/ Sarah Weston SARAH WESTON #00 Assistant Attorney General Trial Attorney Tel (1) -0 Fax (1) -000 Sarah.Weston@doj.state.or.us Of Attorneys for Defendants Page 1 - CERTIFICATE OF READINESS SW/kk/-v1 Portland, OR 1 (1) -0 / Fax: (1) -000

CERTIFICATE OF SERVICE I certify that on July,, I served the foregoing upon the parties hereto by the method indicated below, and addressed to the following: Nathan R. Rietmann HAND DELIVERY Rietmann & Rietmann, LLP x MAIL DELIVERY 0 Chemeketa St. NE OVERNIGHT MAIL Salem, OR 01 x SERVED BY EFILING Of Attorney for Plaintiffs s/ Sarah Weston SARAH WESTON #00 Assistant Attorney General CARLA SCOTT #0 Senior Assistant Attorney General Trial Attorneys Tel (1) -0/Fax (1) -000 sarah.weston@doj. state. or.us 1 earla. a. s cott@doj. state. or.us Of Attorneys for Defendants Page 1 - CERTIFICATE OF SERVICE SW/rh/1-v1 Portland, OR 1 (1) -0 / Fax: (1) -000