City council to consider bonds, land giveaway

Published 11:00 am Friday, August 7, 2020

HERMISTON — The Hermiston City Council will vote on authorizing the issuance of up to $9.6 million in full faith and credit bonds to pay for renovation of the basement of the Hermiston Public Library and, later, construction of a new city hall on the same site as the current city hall.

The city plans to repay the bonds using enterprise zone funds from major developments in the area, such as the expansion of Lamb Weston’s potato processing plant. So far, only the contract for renovation at the library has been awarded, and councilors have stated they do not want to go forward with the city hall part unless they feel confident the city will be able to repay any debt for it.

During its Monday, Aug. 10, meeting the council also plans to entertain a proposal to surplus 8 acres of property near the city’s recycled water treatment plant.

According to the proposal from Assistant City Manager Mark Morgan, included in the meeting’s agenda packet, the city purchased 20 acres of property south of the plant in 2005 for $420,000. The plan at the time, according to Morgan, was to apply the clean, recycled water coming out of the treatment plant to open trenches on the property, giving the water time to cool down before entering the nearby Umatilla River.

“After running two tests of this concept on the property in 2006, it was deemed that this solution was not viable, and it was abandoned,” he wrote.

Morgan’s proposal is for the city to use the 12 acres closest to the plant and to the river to preserve access to the river and leave room for a possible stormwater wetland treatment area. The 8 acres farthest from the plant, south of the Hermiston Ditch, could be offered up at an “incentive price” or possibly given away to a developer willing to commit to using it to expand housing options for senior citizens in the area.

Morgan wrote that simply auctioning off the unused land will make it unlikely the city would recoup the money it spent on the property, given its proximity to the treatment plant. If a developer were to put a 90-unit assisted living facility and 28 duplex units, he said, the development could generate as much as $3 million over 20 years for the city in property taxes and utilities, plus provide new jobs in the community.

The council will also vote on adopting the parks and recreation master plan that was previously presented to the council in a work session on July 13. The plan calls for a “wellness center” with indoor pool and several new parks and trails to be developed in Hermiston over the next 20 years.

The Hermiston City Council meeting begins at 7 p.m. on Monday, Aug. 10, at the Hermiston Community Center, 215 S Highway 395. 

A limited number of chairs will be available for residents to attend the meeting. Those attending must wear a mask and observe social distancing protocols.

It will also be streamed on the city of Hermiston YouTube page.

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