Okay, the Benn City Council will now meet an executive session pursuant to RS one nine two six six zero two E to conduct deliberations with persons designated to negotiate real property transactions.

Representatives of the news media and designated staff shall be allowed to attend the executive session.

Representatives of the news media are specifically directed not to report on any of the deliberations during the executive session, except to state the general subject of the session is previously announced.

No decision may be made in an executive session.

At the end of the executive session, we will return to open session.

Thanks.

All right, so we are going to go ahead and begin our business meeting for the evening for our city council with a roll call.

Let's go from your end, Council Rayleigh.

Mike Ryder, EM.

Megan Perkins, she, her.

Melanie Keebler, she, her.

Megan Norris, she, her.

Steve Platt, E him.

Gina Franzosa, she her.

Thank you.

And Councilor Mendes's excuse tonight.

Um, so we're gonna get into good of the order.

We do not have any proclamations tonight.

First up is going to be just um a reminder of our shared framework with BPRD.

Eric, did you want to talk about that just a little bit?

Yeah, email to council, a document that we've been working on with the leadership with Ben Parks and Recreation Board.

We meet on a monthly basis.

And based on, I think some just challenges over the last couple of months in agreeing to property tax exemptions, some challenges with SDC exemptions.

We had a joint meeting a while back.

We said let's let's uh think a little bit bigger picture about how we approach this relationship and create a document really meant for elected to elected board uh to uh have us or to create sideboards for staff then to develop more specific uh program tools, uh approaches that would result in ultimately a renewed intergovernmental agreement between the two agencies.

So I just wanted to make sure that you all have seen that if you have comments about that document, please just send me those uh comments and then our plan is if there's not really much in terms of changes that we need, I will move right forward.

I'll move forward to putting that on your agenda for meeting in August, and that would just be in the form of a resolution that would support that framework.

The park board is going to do the same thing that kind of just formalizes the ask.

So just wanted to make sure that you saw it, give me some feedback, and then if we feel like we're getting a substantive enough feedback, we might need an intervening work session or agenda item to talk about it.

Yeah, and we discussed this over several meetings this year with that small leadership group, and we did try to wordsmith it pretty hard.

So um, yeah, I would encourage if you have substantive comments, make sure we know about those.

If it's just wordsmithing, you know, that's maybe minor, and we can keep moving forward.

And just we're also working on a very similar effort with the school district as well.

So yeah, we're at the beginning stage of that.

Yeah, we'll behind.

All right, thank you.

Um okay, that moves us to council action and reports.

Um, we did not have any letters um at this point, and then um we do have one appointment.

We have um a member who was moved from alternate to the HREC, but needs a little more time, I think, to get familiar and wanted to go back to the alternate status.

So we're moving another alternate up.

Um so that's what you'll see that Morgan Farnall will be a voting member in uh Navi Hughes and back to alternate.

So look for a motion to approve that appointment.

Move to approve that appointment.

Sorry.

All right, move by uh Council Perkins, second by counselor Riley.

All those in favor?

Aye, aye.

Um and then that gets us to councillor reports.

Counselor Francis, you want to start us off?

Yeah.

Um, just two things.

Um June 30th, I, along with most of council, traveled to uh uh warm springs to the reservation and met with um the tribal council, and I thought that was a really great meeting.

Um, and I'm I'm so glad that we were able to do that and go up there.

I think the big takeaway for me um from that meeting is that um you know, in our high desert region, water is uh very scarce and a very precious resource.

Um, and we all need to use it, or we all need to have access to quality water, and so I'm hopeful that um our council can work with the tribe and meet the needs of our community without disadvantaging the tribe and their needs for um a healthy river.

So that was my takeaway from that meeting.

Um, I also attended the Central Oregon Villages open house at the Dean Swift property on um Saturday, and that was really wonderful.

It just reminded me what a great job.

That organization data is bringing joy um to folks who uh have had a really hard life um and are recovering.

So it was great.

And one of the things, you know, the reason why they have that open house is because um they are gonna be moving onto some city property, and um there's some folks, some neighbors in the community that came, and I just wanted to let council know that, like, of course, like a couple of folks have you know concerns about um central Oregon villages uh move.

And um, and I I mean for me it kind of and even freely was there, and she does such a tremendous job, you know.

Um, but I think it would be good for us to kind of be cognizant of that, and maybe for council to even participate in just some I don't know, any any kind of it doesn't, I don't think it has to be a full council, but like a couple of us maybe going to like a neighborhood association or a neighborhood group or something like that.

I don't know.

But um, I'm sure Amy is in touch with um central regime villages, and we'll probably hear if our support is needed, but um certainly happy to raise my hand to do that if needed.

That's all I have.

Great, thank you.

All right, uh councillor Mendes is not here, Councillor Rayleigh.

Sure, um, two things.

Um I uh a few days before the rest of the council went up for the meeting with the tribal council in Warm Springs.

I was able to attend the Paium Shah Treaty Day celebration along with um County Commissioner Bill Chang and Commissioner Elect Rick Russell, and if we were actually in the parade, it was pretty exciting to actually have a float in it.

And um, it was just a great, great day.

You know, we saw a lot of dancing, interacted and met with a lot of folks, talked to some of the other tribal council members informally.

And I was really struck by how uh I think a combination of both surprise and pleasure from people from the Native folks up there that we were there and participating um in that event for you know, and and part of the parade, and something I'd encourage the council in the future to consider being part of next year and going forward.

Um, and then I wanted to make a comment about some stuff that's been going on in our community.

Um, as many of you may know, because you've probably been reading about it in the media.

We've seen a lot of activity from ICE across the country and apprehending and detaining, and I would say uh clearly mistreating some folks in our country in central Oregon, but all over the nation this last week.

And you know, probably people know there's been two immigrants have been killed in the last week.

One in Maine was a 25-year-old.

Um Sebastian Guerrero is a married father of a three-year-old daughter who was actually not the target for that particular enforcement action that ICE undertook.

And it was a similar thing that happened in Texas a little earlier.

A 52-year-old man, Lorenzo Salgado Arahu, is a tax paying small business owner who lived here for 30 years and was on his way to work and was shot and killed.

And there's been rumors about another killing somewhere else in the country, although I haven't seen media reports about it.

Um I I just wanted to express two things.

One, my kind of combination of disappointment, dismay, and frankly, fury at the inhumanity and indiscriminate nature of the way that ICE and it looks like border patrol is also involved.

Um the difference between ICE's version of events and what all the actual witnesses, the people who are in the cars with these folks that were killed, um, the differences between their accounts of what actually happened.

And then also just acknowledge that we've also had a lot of activity here in Central Oregon.

There have been several people detained in the last week or so.

Um, and I know that what that means for immigrants in our community, and especially folks from south of the border, but really from anywhere in the country that are brown skinned.

There's just a lot of fear.

Um, and I'm not really sure what to say to those folks, other than I'm really sorry that this is happening, and um there's something I can do to support that community.

Please reach out to me.

And I know the mayor is gonna talk about a couple other resources for those folks as well.

Um I'm hoping that this will change.

It looks like it's getting some attention at the national level, and at least the vehicle stops maybe have been curtailed for at least a while.

Um, but we'll see what happens going forward.

Thank you.

Council Perkins.

Uh today we had a quick meeting for the League of Oregon City's Energy and Environment Um Committee, and um voted to support a uh legislation um in the upcoming session to uh conduct a feasibility study on nuclear energy development, but specifically small modular reactors.

And um, this is just a feasibility study, but it's something that um for the last few years has been uh in each session uh trying to advance a little bit farther to see you know Oregon has had a history of of um of uh not not allowing and and and being against uh nuclear, but there's a lot of different types of nuclear now that um is not sort of what you what you would picture uh the nuclear from the the 70s and 80s.

Um and so I'll keep you all posted on on how that goes as the session starts.

Um on Monday, I uh I serve on the homeless leadership coalition board, and we are finally coming to the end of a month-long process to develop a strategic framework.

Um some of the things that we're talking about are um our governance, um, who who does what and and how, um, the importance of really strong data, not only for um the people that are that are doing this work but for the community um and how to increase and strengthen capacity, and then of course um how to continually uh continue to fund um the the good work that's already being done and to find the the gaps um the things that are missing um in the in the the whole continuum and how to fill those gaps.

So um it's been a I'm I'm really proud of the framework, it's been a really um it's been a really great process and um uh look forward to actually getting to work on it now that we've we've completed it.

And then I'll just finish with um the Bend Economic Development Advisory Board um met on Monday and um univers like the unanimously approved the enterprise zone recommendation that you'll see tonight before you just wanted to say that.

Perfect, great council Norris.

Yes, um, I also attended the meeting um with the Warm Springs tribe, and just it's always nice getting together with members of the tribe, and just um you know, I think what struck me most is just the importance of being good stewards of um the land that we share, and um and I just echo uh Council Riley's um comments and really appreciate you making them and um I just think it's so important that we're vigilant and we do our part, and um you know, I know that you'll probably say more, Mayor.

But we have the Latino Community Association.

I know it's always great to reach out to them and see how we can help.

Um, with the travel council visit, I'm always struck with the the length of their vision, the long term, the seven-generation vision, and they emphasize that to us, and I really that really um uh works works for me.

share and um and I just should echo uh councilor Riley's um comments and really appreciate you making them and um I just think it's so important that we're vigilant and we do our part and um you know I know that you'll probably say more mayor but we have the Latino Community Association I know it's always great to reach out to them and see how we can help um that's it okay great council flatt with the travel council visit I'm always struck with the the length of their vision the long term the seven generation vision and they emphasize that to us and I really that really um uh works works for me I got an opportunity to go to the TSSA see the work the city's doing there as long as Central Oregon villages uh which was I'm very impressed very impressed with the care uh and with the service providers that are going out and meeting with our folks uh regularly our our neighbors to the to the north of us uh I had an opportunity to ride with uh Chief Grants folks um at night seeing uh with the police I had a chance to ride with the EMF or the EMS and I also had a ride uh chance to ride along with our camping code enforcement folks uh as well all of which all for those organizations uh I was just struck by the empathy um and the real understanding that those groups take when when our local EMS and and uh and providers interact with our public and they they really do care about keeping us safe and watching over us so I so kudos to chief chief grants and chief riley and for camping code forts for trying to work and still enforce the rules that we have in our community I had the opportunity to also sit down with Ben LaPine schools um and talk with them a little bit about their long-term planning for growth uh and how that compares to long-term planning planning for growth that our city is doing um and there are some differences and I was really interested in their perspective on the the growth of our community because it really goes along with what we're planning for our growth plan and so I think we're looking at at a little bit more common data sets and so I'm happy to hear that and I want them to be a part of our growth plan process to make sure we get it just as right as we can as we plan for the growth of our city over the next 20 years.

And then last but not least I want to emphasize that the Bend Climate coalition is doing a bunch of events this week I had the opportunity to climb pilot mute with them on Monday and talk about wildfire resiliency in our in our community I will be attending an honest discussion about the energy transition and the and the strains on our grid that's going to occur tomorrow night as well as geothermal review of energy.

So check them out I think there's some good opportunities for us to hear about our climate that we have and that's all I have thank you.

Thanks wanted to highlight the Central Oregon Cities Organization water meeting that happened the day before our tribal meeting this was a meeting with some of our legislators and cities from Central Oregon to really talk about water in the basin and specifically talk about the mitigation program that we've heard about before from our staff we um as the city uh central Oregon cities organization are supporting a bill to extend the um sunset date on that program to allow us to continue to work on it and use it to put water back into the river but also think about upgrading that program and making it better and was really pleased to have our tribal partners at that meeting for Central Oregon Cities organization who also were voicing their support um for extending that sunset and being involved in the update of that mitigation program so really good productive meeting for our legislators to hear that sort of united front and the next day we went up to warm springs and met um with the tribal council there as folks have described really great meeting I wanted to highlight that we um were given a flag of the warm springs tribes and so we are working on um where to put that flag up here in City Hall and really thankful to the tribes for their continued commitment to forming a relationship with us as a sovereign nation to our city government and look forward to continuing to work with them on issues of shared concern including water which we talked about a lot at that meeting finally just wanted to you know echo the thoughts of of previous counselors around the increase in immigration enforcement activity in Bend and just emphasize what that does to our community if we are seeing across the country folks who are innocent in basically bystanders not the targets of any kind of action being killed for driving to work you can imagine the kind of fear that puts into folks in our city and then we have seen activity happening here.

So I wanted to emphasize if you read the bulletin article it talked about um the way that our Latino community association provides support for the families if someone is taken or arrested and that also if you are considered concerned about activity of immigration enforcement officers or you see videos or you want to help get information out there to not react too strongly and to please reach out to the Portland immigrant rights coalition they have a hotline that you can call if you want to make reports or sightings if that's something that you want to do just trying to make sure we're not spreading misinformation in the community even though there are heightened concerns from definitely our immigrant neighbors and so I'm also really proud that we have you know actually ourselves as a city invested in LCA and supported them with a resolution in our in our full immigrant community earlier this year.

So that means we have um, I think just a couple people for um yeah, great.

Just a couple people for public comment tonight.

So we will um have our timer up here in front, and you'll have your two minutes.

You'll be able to see that right in front of me.

Um, and I will have you come up and sit at the diet and give us excuse me, give us your name and whether you live in the city of Bend.

Um, please know language or actions that are disruptive to the meeting.

And I'm gonna start with Michael Baker here in person, and then we have a couple online.

Good evening, Mayor Council.

My name is Michael Baker.

And I have the honor of being a CEO for the boys and girls clubs here in Central Oregon.

That's our official name now.

Uh we have uh because we will be expanding to other communities as well.

Very excited about that.

Uh, I did want to share with you that uh this summer we are extremely busy in a great way.

Uh, but we also still have room for children that you know, uh that any of you know that need a place to go, uh especially uh in the summertime.

Um, and we'll make we'll figure out a way to get them in our in our program and make sure we take care of those that need us the most.

Um so if you and I'm sure you get phone calls uh and emails and communication about families that are in need.

If you come across any of those families, please direct them to me, and uh we'll make sure we take care of them at the boys and girls come get them get them enrolled in our program.

Uh, one of the things I've shared with you uh consistently since uh November when I started here is our goal is more members more often with deep and um uh more impact.

Um the way we celebrate that is the gold card ceremony, which we've had, and we'll have another one coming up here this this fall, we'll have another one.

Uh the number last year, we had 38 kids that attended the club 105 days.

That's the magic number.

That's the number we want to try to achieve.

We are already at 67 kids this year.

Uh, and probably gonna, if I had a guess to make it we'll probably get close to 80 children that will attend the club 105 days, which is just fantastic.

It just proves that I've got the best staff in the world.

They're doing a great job uh working with the children and uh want to encourage each and every one of you if you get a chance to come on down.

I know some of you are gonna be participating during our civics week.

Uh we're having that on a Friday, uh July 31st.

Would love to see many of you come down there and uh any of you that would love to be on the panel, love to have you answer questions about the boys and girls, not boys and girls, but the community and community service and getting involved in your community.

So again, thank you very much for your support.

Thanks, Michael.

All right, so we'll go to our online commenters next.

Get that set up.

We had one um person, John Batista, but I don't see that person online.

So let's go to Jonathan Westmerland.

Jonathan, you can go ahead and unmute.

My name is Jonathan Westmoreland, and I'm speaking on behalf of BIM Privacy Alliance.

Uh, four months ago, I came in here and asked to start a discussion with you guys.

So I want to begin by thanking Public Works IT and engineering staff for engaging with our questions about project team and a Clara item on tonight's consent agenda.

I appreciate the response before the meeting, and that public works director Mike Butler and IT Director John Almeda are available tonight to answer what they can.

I understand that some follow-up questions may take more time.

I'm not here tonight to oppose useful technology.

I'm here to talk about process.

When people hear privacy, they often think about police cameras, license plate readers, drones or facial recognition.

Those are important issues, but privacy and cybersecurity concerns also arise in ordinary city systems.

Water meters, cloud software, permitting systems, contractor platforms, transit technology, and utility systems.

For example, staff's response explained that Ben's water meter system includes time-stamped household usage data.

The declar retained about three years of history in the cloud, and that the city's on-premises database currently retains that data indefinitely.

Staff also clarify that the data is integrated with WaterSmart, a platform not discussed in the public agenda packet.

Those details matter because granular household utility data can reveal more than billing information over time.

It may show occupancy patterns, vacations, changes in household routine, caregiving patterns, or whether a residence appears vacant.

That does not mean the city intends misuse of data.

It means the city should have clear rules before data is collected, retained, shared, or integrated with other systems.

That is why Ben Privacy Alliance is asking the city to adopt a standard privacy and cybersecurity process for technology procurement and renewals.

These questions should not depend on a resident noticing an item on a consent agenda.

They should be part of the city's normal contracting workflow.

Strong privacy rules are not anti-technology, they are good governance.

They protect residents, reduce cybersecurity risk, and build public trust before problems occur.

Thank you.

Thanks, Jonathan.

And so that will do it for our visitor section for tonight.

So that moves us to the consent agenda.

And as on our notes, I'd like to pull item D from the consent agenda.

Okay.

Um so I'll I'll move to approve, assuming that's the only poll.

I move to approve the consent agenda with the exception of item D.

Second.

All right.

Uh motion to prove the consent agenda without item D, seconded by Councilor Riley.

All those in favor?

Aye.

Okay, and then let's go to item D, please.

Council is asked to authorize a professional services contract with Consor North America Inc.

for owner's representation for the only and reviewer intersections project in an amount not to exceed 255,306, and to authorize the city manager to an approve amendment for an additional anticipated fees of 900,000 for a total not to exceed amount of 1,155,000, $36.

Okay.

Council Franzola, do you have a question about this item?

Yes, I am just curious why uh we're using an owner's rep on thank you, Ashley.

For moving the camera, I can see you right.

Um why are we using an owner's rep on this project?

Because it it seems like a pretty straightforward roads and utilities project.

Yeah, great question.

Thank you, Councilor Franzosa.

So the main reason we're doing this is because in the alternative delivery method, contracting method we're using, we don't have direct control over the design engineer.

They're a sub to the contractor.

So an owner's advisor is actually kind of that impartial third party um that helps advise us in terms of are we getting what we need from the designer?

They help us do things like independent cost estimates, uh specialty reviews of structural designs and things that the city staff really isn't uh the best to look at in terms of a professional structural engineers.

So it's a bunch of stuff uh that basically encapsulates kind of the the gaps in what the city staff can do personally, and it really offers that independent third party protection for us since we don't have a direct contract with the designer.

Got it.

Um I it's a I mean it's gonna end up being a 1.1 million dollar um cost to the project, and I'm just really kind of conscious of our dwindling resources to make all the improvements we need to be making to our roads as our community grows.

So is there an option to reduce the scope so that it's not that much?

Can you do that?

Yeah, no, great question.

Yeah, and and and this kind of contract is billed on on time and material, as we say.

So just because we're authorizing this contract tonight, doesn't mean we're gonna spend every penny of that.

If we if we don't get a lot of say structural design to review, we just won't execute that portion of the contract.

So our goal is to of course spend as little as we as we have to, as long as we're making sure we're protecting the city and being safe.

So um with do you use owners' reps on um all projects?

No, just alternative delivery ones, because in most projects, we typically have a direct contract with the design engineer, and and we kind of we hold the power on that contract, and then we have a separate contract with the with the builder.

And in this case, we just have one contract with the builder and nothing directly with the design engineer.

So only on alternative delivery method projects do we go out for an owner's advisor.

Are we using progressive design build on this one?

This one is correct.

Yeah, my my understanding of the progressive design build is that um, I mean, we don't control the designer, but I mean, you're st we're still kind of at the table, so it's the idea I thought was that it was supposed to be kind of more efficient.

Um sorry, I'm getting some feedback in my on my end here.

It's not your fault.

Um, Ashley, I think you did something.

Um you didn't do anything.

I don't know what's going on.

Okay.

Um anyway, yeah.

I just I um yeah, I I was kind of I was honestly really surprised to see that because my understanding of progressive design build is that really the owner is kind of working hand in hand with the design team and with the contractor, and so that there should be a lot of efficiencies gained in communication there.

But if we're bringing in a third party, then that um kind of makes me wonder if there's really efficiencies um to that process.

Great question.

Yeah, no, it is it is nationwide industry standard for design build projects to have an owner's advisor.

A good example would be when we're negotiating our GMP or a guaranteed maximum price.

That this uh owner's rep can reach out to other builders and contractors, and so our builder comes to the table with a fee estimate, and we come up with our own independent estimate, and we've in the past we we've saved millions of dollars by lowering that GMP by having an independent cost estimator at the table with us.

Okay, any other questions or motion.

I move adoption of um consent agenda item D.

A second.

All right, move by Councillor Relly, second by counselor Perkins.

All those in favor?

Aye.

Any opposed.

Sorry, counselor, I didn't catch that.

I said I.

Okay, gotcha.

Great.

Okay, um that moves us on to item number five.

This is deliberation and a first reading of a quasi-judicial ordinance to amend the Venn Development Code, Chapter 2.7, special planned districts, refinement plans, area plans, and master plans to create the cavity master plan development and approximately 45 acre major community master plan.

So I don't actually need to open the public hearing because the public hearing was closed, and we are just still in deliberation, and we continued that so that uh Nicholas could present to us a couple of revised findings based on our conversation at the last hearing.

Correct am I go my good to present?

You are ready to go.

All right, all right.

Uh good evening, council and uh mayor and council.

Uh Nicholas Lenar's associate planner, City Bend Division, and uh as you mentioned, the uh the purpose of this presentation is simply to clarify some changes that have been made to specifically exhibit B of the record of this public hearing that was held last meeting on June 17th.

Um this is only for uh deliberation and not for the hearing purpose.

So a couple changes are made to exhibit B.

Um, as discussed at the last hearing, there was support for the deviation to the block perimeter, the large block in the center of the master plan that was 3100 linear feet.

So the findings in exhibit B have been updated to reflect support for that deviation that was previously recommended to be amended.

Um the other deviations remain in support.

Those ones are listed here.

Um to remind this is the caviar master plan and open space plan in particular.

Uh the other major change to the exhibit B is for the composition of the open space.

There was a lot of discussion at the last hearing and during deliberation about the composition of the open space.

The the master plan complies with the minimum 10% without utilizing any of the canal lands, specifically required to have 4.53 acres and provides 4.53 total acres.

4.11 of those acres are located outside of the canal easement entirely.

The remaining 0.42 are located within the canal easement, but within those trails and easements that are uh existing and to be improved some some existingly improved to the to the south and and east to meet that 10% minimum.

Those are the only changes.

There's no change to the proposal, no new evidence uh has been submitted to the record.

This is the same exact proposal as was before, simply an updated findings, uh recommended findings to accompany the ordinance.

And so the recommended motion has uh correspondingly been adjusted slightly for the first reading of the ordinance with the recommendation that the uh applicant submit a final master plan to the city that depicts the proposal as approved and incorporates all conditions of approval contained in this decision, should any conditions be requested or recommended.

Okay, and as I recall, we also were talking about having the multi-use trap payout trail sort of line up, and it looks like that is also a change.

Well, so no changes well, no, no, there's no change that has been submitted.

Uh that is something the council could condition if they so wish that a specific alignment can be made.

Um this is also something that staff can work with the applicant on with the subsequent phases of the master plan as the phases come in.

Uh the requirement is that the phases of the master plan be substantially in conformance.

A slight adjustment of a multi-use path location is not a major deviation from the approval, so that is something that could be uh worked out through the specific phase that authorizes that master plan or that that part of the subdivision, but it also could be explicitly conditioned if so desired.

Okay, so mayor, you're talking about sort of aligning it with the parts of the multi trailing left and over here.

And just having that path line up.

And so I think that would reflect our discussion from the last time that that would be one of the conditions of approval is that we'd like to see that path lined up, which the they said that that would not be a problem for them to do.

So I think that's covered in the motion as our decision contains that condition of approval.

Okay.

He's nodding.

Okay.

Thank you, Nicholas.

Okay.

Thank you.

Okay.

I move for the first reading of an ordinance to amend the Bend Development Code Chapter 2.7 special plan districts, refinement plans, area plans, and master plans to create the CAVI Master Plan Development with the condition that the applicant submit a final major community master plan to the city that depicts the proposal as approved and incorporates all conditions of approval contained in the decision.

Second.

All right, move by Council Cook and second by Councillor Norris.

Any further discussion?

All right, all those in favor.

Aye.

And any opposed.

Okay, none opposed.

All right.

Thank you very much, Nicholas, for making those changes and bringing that back to us, and we will be done with that item now.

Speaking.

Yeah.

Now we'll move us on to item number six.

This is a public hearing to adopt a resolution of assessment on commercial property in the Bend Central District Economic Improvement District and to levy assessments.

Alright, so I will open this public hearing.

And invite our staff to come on up and present, and then we will have public comment after the presentation.

Alrighty, good evening, Council.

I am Sarah Smooney.

I'm the business development manager in the economic development department here at the city of Bend, and alongside me, we have Brook Olsen with the city attorney's office.

And as mentioned tonight, we're going to talk about a proposal for the economic improvement district.

This resolution would be to levy the assessments in the existing economic improvement district within the Bend Central District.

And a few details about the process for today's meeting.

A lot of times it can be referred to as a remonstrance hearing.

It is a public hearing and is a statutory requirement for the EID following the adoption of the ordinance that established the district, which was passed on May 20th of 2026, a little bit earlier this year.

Again, the public hearing today is for the levying of the assessments to actually fund the economic improvements within the existing EID that was created through that ordinance on May 20th.

And the owners of the impacted properties may provide written objections to the economic improvement project and assessment.

And to date, we've received roughly 59% of that opposition to not move forward with levying the assessments for the economic improvement district.

There is a requirement that if council and staff receive more than 33%, then those uh fees cannot be levied.

So that's the point in which we're at today.

We've received a ton of correspondence from the property owners within the district and have worked hard to reconcile all of the feedback heard to date, and those numbers have risen since the presentation was originally posted.

So it has continued to rise in the past several hours, and this is what we have to date.

And so just to clarify when we're talking about those numbers, that's a percentage of the commercial square footage in the BC.

Within the proposed boundary.

If you own a house in this area, you are not getting a say here, but if you own commercial property, 59% of the square footage, people who are in charge of that have said they oppose this.

Yes, thank you for the clarification.

Just to be clear about the square footage thing.

Okay.

I'm a little bit of a timeline, and I would just like to make a point to really clarify that this was something that was brought forward to council by the Bend Central District Association.

They asked for council to consider moving forward in this process, and council did ultimately with a majority of the counselors decide to do that.

So it was at the request of the BCDBA that this process be initiated, and that request was honored.

Um started in January with a work session to talk about the proposed boundary assessment rate and scope of work associated with the economic improvements.

May 6th is when we had the first uh public hearing and reading of the ordinance establishing the EID, second reading on May 20th, and here we are today for the remonstrance hearing and resolution to levy the assessments.

Again, you've seen this map multiple times.

This is the proposed boundary uh that has been submitted throughout the process.

The proposed rates would start at 10 cents per square foot, and to Mayor Keebler's point, this is only for commercial square footage that it would be applied starting at 10 cents and in each subsequent year uh go up by a cent for a three-year term period.

The city does retain five percent of those funds for administrative costs.

Um we have various staff that have different responsibilities and components of administering the EID funds.

The scope of work that was presented to you from the Bend Central District Association.

The scope of work that was presented to you from the Bent Central District Association, you can kind of think of the anticipated funding going into these three separate buckets for marketing and events within the district, beautification of the area into potential staffing, and the purpose that was presented by the Bent Central District Association is that they feel like the funding for these three buckets would directly maximize the urban renewal investments that are um that could be maintained through the revenues of the economic improvement district.

It could help stabilize the organic momentum that's already garnered some traction within the district currently, and it could help expedite development by further activating the district.

And again, this is the scope of work that was presented by the VCDBA at that work session back in January.

Okay.

Again, some more details just about the remonstrance hearing itself and uh the objections and counting under Oregon law.

If the council receives written remonstrances at today's hearing from the property owners representing more than 33% of the total amount of proposed assessments, the assessments cannot be made, and the economic improvement district project will be terminated.

Again, that's that 33 threshold.

We're at roughly 59% to date.

Since March 2026, city staff, including members of the economic development, finance, legal, city recorder, and office of performance management teams have been collecting and recording objection emails, postage letters, and other documents associated with the EID and all objections received to date have been counted to date.

The city's received over 60 written objections that equate to again roughly 59% of the ownership of commercial square footage within the proposed boundary and ongoing reconciliation can and will occur depending on the public comment that we hear during this public hearing.

That is what we have.

Okay, great.

Um, so we will move to the public comment next as part of this hearing.

Um and we will do similar to what you just saw with a two-minute timer right here and have folks come up one at a time to address us.

I do want to emphasize if if you didn't get it from Cyrus's presentation, is this is not going to be moving forward tonight because we've received over the threshold for um not being able to levy these assessments, so we're not going to be moving it forward.

So I know um folks are here in opposition.

If you'd still like a make a to make a comment, I'm happy to allow you to, but um, the result has been shown to us that we're not going to be moving forward with the EID at this point.

So I'll start with James Floyd.

If James would you like to make a comment?

If you do want to make a comment, you do have to come up where the mic is.

Um, and please feel free if you'd like to, that's totally fine.

Well, I don't have a lot of comments about it since we're not moving forward with it.

Um, and that's why it was here.

Uh yeah, so I don't want to spend a lot of time on that.

My wife and I have owned commercial property and been since 1980s, and we own Cascade Professional Center with multiple businesses in there, and and um so this is good good news.

We don't need any more taxes, is difficult enough with the taxes that we pay, which is significant.

Um that's about all I have to say, other than I want to make a suggestion because I've been to a number of meetings here, and you need some professional sound equipment in here for these meetings.

I can barely understand anything that was said, and I was sitting right there.

This is not a professional way to handle business.

You need to have microphones for each one of you and have properly equipped.

Um very unprofessional, and I've been involved in that situation for over 50 years with speakers, professionals, speakers, other people, like all of you, very knowledgeable people.

You need to do something about it.

You I shouldn't have to walk in here and wonder what in the world you're saying.

I don't know about these people sitting back here, but I uh I've sat back there in the past, and now I'm up in the front.

But this needs to be taken care of with your meetings.

Thank you, James.

Mayor, can I just ask real quick?

Do we need to double check with each person to make sure they filed an objection?

And if they are objecting tonight, just to make sure we have the record complete.

So you know, I think this is just for late.

Very loudly.

Like Mr.

Riley here.

Thank you, James.

Thank you for the feedback.

And we do we do actually have assistive hearing devices.

If that would be helpful for you, we can give you a headset that might make it easier to hear as well.

Well, next time I'll like to please ask for that.

Yes.

Yeah, thank you.

I'm surely not the only one in here that we can barely hear what's going on.

So thank you.

So thank you.

Yeah.

Um, Jack Holt, would you like to make a comment?

Thank you.

How are you, anybody?

The guy is cast, and I I think that the process was good, and I think there was an awful lot of conversation in the Benn Central District about what's going on.

And the district has struggled because there has been a lot of effort put into it.

There has been a lot of conversation about it.

And you guys have spent a whole bunch of money, or somebody has spent a whole bunch of money on 2nd Street from Greenwood and a real nice sidewalk up to Shepherd's house.

I think this might be a case where it is better.

Uh the the question is it the chicken or the egg.

And I think it is probably at this point with the result we've had, where one big development has folded its tent, and another one has put a for sale sign out in front, that there is a message there.

And I think we have to be very careful adding taxes.

I can tell you that the tenants are not happy, nor are the landlords who have leases that say if you get something like this, you can't pass it on.

So it is it is uh something that really I think was a good message, and um I I sent my uh comment, my email in to Cyrus Mooney, so he has that, but I appreciate the process and I appreciate the ability to talk about it, and I think to show a real feeling of what's going on in the central district.

Yeah, thank you, Jack.

Thank you for your comments.

Megan Martin, would you like to make a comment?

Good evening.

Thank you for hearing our comments this evening, counselors and Mayor Keebler.

Um, I'm the executive director of Furnish Hope, and we recently acquired the building next to Biomart, which is um just one skip away from the navigation center.

We are a nonprofit that exists to bring hope to people in our community by furnishing homes when they're restarting.

We work hand in hand with um those that are struggling to get back on their feet and to get into permanent housing.

We are investing every dollar very very wisely in trying to be good stewards of of those funds that we raise to um to change the face of this property that we purchased, it's about a hundred years old, and to um to bring something really beautiful to the central district.

If this EID were to go through, it would be an additional burden that would take away from the work that we do as a mission, and it would also take away from the work that we'll be doing to just cultivate beauty in that area and market and create events ourselves.

So I appreciate the process that we've gone through, but I also want to say that as somebody representing a property now that's over 20,000 square feet in the central district, we will be doing our part to add beauty and um light and hope to that area.

Thank you.

Thank you for comments, Randy Woodlinks.

Hello, I think you guys all know who I am.

So I just want to close with the comments.

Praise God, it's over.

But I will make the comments to put it in perspective.

This is what we had a total of 943,457 square feet of objections to the EID.

This should have never happened.

If the Benn Central District Board done their homework in conjunction with the city of Bend, you would have known that this 59% was lingering out there.

So this was just abject waste of time.

I wasted five months collecting these opinions, and there's more than this out there.

And I'm actually insulted by the way the city has treated me as a property owner and the rest of us where you tried to bowl this thing through.

And we should have shut this down May 6th.

I brought 800,000 at that time.

We added another 150,000, and you guys didn't have ears to hear.

So I implore you, pay attention to the property owners.

We're the core of this community.

And without us paying our taxes and providing opportunity to our tenants, this city is going to fail.

Thank you.

Thank you, Andy.

Oh, I want to submit this to the right.

Can you hand that to Ashley?

Yeah, she'll take that.

Thanks.

Put that on your trophy case.

So I do want to say I'm I really appreciate everyone who did weigh in and write in and let us know how you felt about this and provide feedback.

I think that's very helpful.

I really appreciate your comments about how this has started a conversation.

And I want to encourage folks to continue to be engaged.

We have a core area advisory board that is meeting monthly and talking about issues that are going on in the core area and the Benn Central District.

They also are a place that you can learn about a lot of the programs that we have to help businesses, including small business grants, facade improvements, and other things that we're trying to do to invest directly into businesses and properties in the Benn Central District.

When Furnish Hope is talking about beautification, I'm thinking about that facade improvement or other things that we could work together on.

And I do want to say that we me personally for moving this forward was wanting to get this conversation starting and want and listening to the BCDBA and saying, hey, we want to try to do this.

We think we can do this.

Obviously, that's not what happened.

And so I think what can come out of this is further conversation.

So I hope folks will stay engaged because we have heard you, and you know, we we're gonna have the results tonight because of your input, and we really value that.

Um, and we want you to just keep giving us input and keep thinking about how this area is going to change and evolve and how you can be involved in that conversation.

Um with that, I will close the public hearing, and we kind of have one way to go here because of the um because of the response that we've gotten.

But if anyone wants to make any comments at this point, I'm happy to have that as well.

Mike, I mean, I'll just make the comment that the core area advisory board meets here tomorrow at three o'clock.

It meets um once a month, right on whatever the Thursday is.

Um, and there's a lot of discussion about you know, really focused on the core of the core, if you will, but the core area is obviously bigger than that.

Um, but I think it is an opportunity for folks in this room who are within the designated urban renewal area to come and get engaged.

I do think that perhaps one of the things that happened here is not a broad enough sector of the community was involved in the Benn Central District Business Association.

I do think that it's unfortunate that um we um have this outcome, but I think as the mayor said, this is the how the process was designed to hear from the property owners in this area, and we've heard loud and clear and are not obviously not going to move forward because those are the rules.

But I hope that people will stay engaged, as the mayor said, um, because it's an important part of our community, we want it to thrive, we want it to become more of an economic hub for the community, more of a housing hub for the community, and we're gonna need all of you to engage in that process as it starts to begin and change and to learn about the programs available to businesses, which may or may not be the business the property owner, right, to help businesses thrive in the central district, and that's really an outcome that we do want to achieve.

So I encourage all of you to continue to engage in different ways in the community around the central district.

All right, any further comments or motion?

I just have a I have a question about the motion.

Um why are we directing staff to prepare an ordinance to rescind the EID?

I thought when we took the vote to continue to move forward with it, the rationale was well, we can just leave the EID in place, we don't have to implement the assessment, and then we can just come back with an assessment when the district is ready.

Yeah, it's a great uh question, Councillor Francis.

I think after consulting with legal, because the ordinance has existing language around the square footage, the scope of work, the rate, the boundary, all of those details would likely change in the future if this were to be pursued again, and so for that reason it wouldn't maybe be best practice to keep the existing ordinance as is.

Ian Yeah, that I think that's a good description.

I mean, this this didn't put um the most straightforward way.

Can this didn't pass because of what it was, and that could include the geographic boundary, the description of the project, um there it the opposition was strong enough that it certainly suggests that all of that should be looked at again, and if it comes back, it's probably going to come back different.

Map may be different, description of the project may be different, the rate of the assessment may be different.

So that suggested to us that we should probably recommend to council that uh the motion include direction to to rescind and potentially start again, start fresh in the future.

It is council's discretion whether they want to do that, but that was staff's recommendation.

Thank you.

Any other questions?

Okay.

I moved to certify that objections have been received from owners of property within the Bend Central District economic improvement district, upon which more than 33% of the total 33% of the total amount of assessments would be levied for the district.

Therefore, the assessments will not be made, and the economic improvement project will be terminated.

I further move to direct staff to prepare an ordinance rescinding the economic improvement district.

Second.

All right, moved by Council Perkins, second by Councillor Platt.

Any further discussion?

All right.

All those in favor?

Aye.

Any opposed?

None.

Okay.

Great.

Thank you.

That will conclude item number six.

Thanks everyone for being here.

Yeah.

Moving us on to item number seven.

Council has to adopt a resolution authorizing an extended tax abatement period of up to seven years for eligible businesses, business firms in the Bend Enterprise Zone.

A little bit of a different topic.

A little bit of a different topic.

Good evening, Mayor, Mayor Pro Tem Council.

I'm Katie Brooks.

I'm the economic development officer here at the city.

And I'm with Cyrus, whom you've already met and hopefully know quite well by now.

Tonight we're going to talk about the enterprise zone and some changes that happened.

These changes came out of the 2026 legislative session.

This is part and parcel of the governor's economic prosperity roadmap and a legislative change to the uh the enterprise zones that effectively makes a couple of different uh changes that Cyrus is going to get into here in a moment.

Um of the things I really want to point out that I think is a most salient to this council is the work that you have done on housing and the work that we are also doing on creating jobs that match the housing prices and the affordability with jobs that actually bring the AMI area mean income levels up to match what it costs to live here.

So essentially, this matches council goals of economic prosperity for all, creating an opportunity to really generate some of those jobs in that higher AMI level, might have access to housing and better life.

So this aligns not only with council goals, this aligns with goal one of the economic development strategic plan that you folks were kind enough to pass last February that aligns recruitment, retention, and uh attraction, and it also aligns with the goal.

I think it's number three, which is prosperity for all, equitable prosperity.

So those two goals are embedded in the economic development plan, and this matches up.

This does focus on 150% AMI jobs.

So this is definitely a level of employment that we are very interested in.

And tonight we're considering participating in the plan.

There are other changes to it, but I just wanted to emphasize the employment piece of it.

So participation means participation, it means entertaining each opportunity one at a time as they come before the council.

This allows you to have those discussions if and when the opportunities come up to welcome new uh businesses here or expanding businesses to take advantage of the enterprise zone, the expansion, and the new programs within it.

I'll also let you know that our partners are very supportive of this.

This was recommended by BDAB and uh the Chamber of Commerce OSU Cascades also supports it.

The folks who really manage this program on our behalf is EdCO.

They're here tonight as well, and um, I know that they rely on this as one of the few tools that we have in the state to actually attract retain and grow businesses within our community.

And with that, I'd like to hand it over to Cyrus.

Thanks, Katie.

Um just looking at the existing program as it stands today as a reminder for folks, and if this isn't something you're you've been familiar with.

Uh currently the City of Bend as the zone sponsor in coordination with Edco, who is the zone manager, um, can offer three to five-year uh tax exemptions for companies that are making minimum site investments.

They have to be geographically located in the enterprise zone for the city of Bend, which is included in that map uh on the screen.

They currently, as it stands in the program, requirements need to be a traded sector business.

And for the extended exemptions, so anything three year above above three years, they must provide that new higher salaries at or above 150% of the average uh annual wage for the county, which equates to a little over 99,000 currently.

Some statistics at the production of the Benn Enterprise Zone since 2016.

Our zone here in Bend has or has plans to support 25 companies, over 317 million dollars of local investments, and over 600 newer expected employees.

We currently have 14 uh active enterprise zone agreements, two of those of which are the extended agreements that are uh submitting the administrative school support fee.

Uh so that was a new piece of legislation that the city adopted in 2023.

We have two active agreements uh with companies that will be submitting those in the future.

More specifically to the legislation that Katie referred to in House Bill 4084 and the changes that we're recommending the city pursue in the resolution that's before you this evening for the extended abatement extensions.

Um, this is something that we've also worked in coordination with business Oregon.

Um, this is a new program uh flexibility that's being offered to cities.

I think uh the city of Bend is kind of at the forefront of what uh the state's willing to offer related to this, and zone sponsors can now elect for six to ten year extended abatements to be approved.

Again, previously the maximum was only five years, um so a longer duration period for the term.

Zone sponsors being the city of Bend must pass to resolution to establish the allowance for a 10-year exemption.

That's what we're here uh here for tonight uh to have that resolution be considered for adoption.

And per state statute, the allowance for eligible business firms that demonstrate the project involves substantial capital investment, regional economic impact, or alignment with local development goals.

And once in place, the zone managers and sponsors would then process that tenure exemption just as we do currently for the extended options for the four or five years that we have existing within the Bend Enterprise Zone today.

Um again, this means that those existing policies would be applicable, the school support fee would still be applicable for those extended agreements moving forward.

Again, this this kind of reiterates all of the same requirements and criteria for what is required for the extended abatements that we have existing today.

Some key considerations for council is that as Katie mentioned in her opening statements, all of these extended enterprise zone agreements do have to be approved by council on a case-by-case basis.

Um if there are unique characteristics of a project, those will be discussed at council.

It's not an automatic approval.

House Bill 4084 has a lot of different opportunities for flexibilities that weren't previously offered within the enterprise zone program within the state.

Today in the resolution, we are just focused on allowing for the 10-year extended option.

Um, I think at a later point, we can work with our partners with EdCO in the chamber and other economic development partners to talk about what might be most advantageous for us to pursue locally and have some more specific criteria to what we're looking for here in Bend.

Uh, but for tonight, that 10-year option is really what we're we're hoping can be adopted in the resolution.

And again, multiple partners and our city advisory board for economic development unanimously approved this.

I will make mention that there is a moratorium on data centers being an eligible use, and that will be in place until at least 90 days after the next legislative session.

So we have a lot of time obviously before that moratorium is lifted, and there are actions that we can take at the localized level for that specific use if the council would like to talk further about that, but that is not a permitted use within this program, at least again until 90 days after the next legislative session.

All right.

Questions on this topic from anybody?

Steve.

So which remind me does the 15% school support fee kick in at year four?

Correct.

Okay.

And that is 15% of what they would otherwise get.

Is that okay?

That's correct.

And and Ben Le Pine schools are kind of okay with this.

We've we've discussed this with them.

Yep.

Yeah.

This is something that was approved in 2023 after it was approved through the legislation.

And actually, the companies and Edco kind of works in the middle of them, but the companies and the school district administer that transaction directly.

Great.

Thank you very much.

Yep.

Other questions?

Council Francis?

Yeah, um this the enterprise zone does not necessarily look at need.

Is that is that right?

It's not like a but for this um exemption, the investments wouldn't happen.

Is that right?

No, there are performance-based criteria that are evaluated, and if a business within their application meets those criteria, then it can come to council for approval and discussed at that point.

So there is like kind of a financial like demonstrating a financial need kind of company.

Not necessarily a financial need, there is a minimum capital investment currently that needs to be made as part of the performance criteria.

And right now within the program standards as they are today, that capital investment and job creation piece are the the two kind of main components of what needs to be included in the application.

Moving forward within the House bill that we just discussed, 4084, there are different performance criteria around job retention or wage increases that the city could include in the valuations for future applications.

Uh, but that's not something that we feel prepared to pursue in today's resolution.

Today's resolution is really about allowing for that 10-year application.

Okay, and then um I think because of the school impact fee, this answers my question, but I'll ask it anyway.

Is it a full property tax?

So all taxing all taxing districts receive no revenue from properties that benefit from this on the property that would be included in the improvements, they would not receive anything from that other than the school support fee, which is the 15%.

And I think to further um emphasize the point that counselor Platt made around that, if the city were to say approve a 10-year uh application, that school support fee would apply in years four, five, six all the way up to two ten.

Um, and previously it was just included in years four and five.

So that is a change.

Does the and did the geographic areas change much?

Don't they have to kind of reevaluate it?

No, um, through this process, our existing boundaries and designation did not change, and it is gonna be that way until 2032.

Um, we are in the temporary rules process of this, so until the permanent rules are published in December, we won't necessarily know definitively, but that's our assumption is that the boundaries will remain the same.

Could you put the map up one more time just so we can take a look at it?

And our last question I had was um are there um uh are there like how how often is this used per year?

Like how many you know projects do we see happening per year using this?

Yeah, um in a different slide I mentioned since 2016, 25 different companies have utilized it.

Some companies utilize it more than once.

Um, but I would say comparatively Bend has one of the most active zones across the state, it's been a very successful program for us here.

Thanks Cyrus, can you also mind me how are those how is this map chosen?

How is what are the criteria for these little patches here?

Yeah, they're their census tracts is how they're designated and it works in coordination with opportunity zones that we have existing.

Um so I know that there is talk of increased flexibility with the designations that are at least being discussed within the temporary rulemaking process.

We just don't know right now at this point in time what those might look like, but you could think of OSU Cascades as an example of something that the city might be interested in pursuing in the future before 2032 if possible.

I think originally they were looking at it as um census data, socioeconomic information, but to generate jobs for specific communities, and as this thing is matured, they've also looked at that and the fact that folks are coming from all over to go to work in these these communities.

It's just a tool to create the kind of jobs you're looking for, period, no matter where these people live and they're coming from.

So the community um using some criteria that may come from the state in the final rules, will have the ability to change this map if it wants to, a future count the future council.

We're we're not sure of what the designation processes might change for flexibility right now.

This is the existing boundaries we have until 2032.

Okay, and then um you made a comment about there is a minimum investment that has to be made.

What is that number?

25 million of capital investment currently.

Okay.

So if you don't, you're not doing an investment at that scale, you're not eligible.

For the extended program for the just for the extended, is there a minimum for the base or no?

It's that would be maybe 50,000.

Thank you.

And that's still for just a three-year period.

Correct.

And the three-year agreements don't need to be approved by council, it's only the extended options.

So can I clarify one other point?

It's the tax exemption is only on the improvement, right?

So the base base property taxes are still being paid.

Correct.

Just to clarify that for the public.

Yes.

Right.

So it's not a complete exemption.

Okay, great.

Thanks.

Thank you for the clarification.

So I this is the right time to do it.

I have a proposed um change to the resolution itself, and I think Cyrus has the language.

Um so uh for paragraph D in the resolution.

I I'd like to propose this language here.

Um, and it's a little bit different, and here's why I think it's important.

I think what I'm trying to focus on is the benefits of this are really about current and future residents of Bend and what how this is going to support both um job growth and income growth and employment opportunities as well as support the success of local businesses and the way it was written before kind of flipped that on its head.

I I just think that this kind of statement is very consistent with what Katie said at the beginning of the presentation that what this is really about is having important um new employment opportunities in the community, in particular in the context for our community where affordability is really about two things.

It's about a combination of the rapid rise that we've seen in housing costs, and that there's they're stubbornly staying pretty high, but we haven't had a corresponding rise in income levels in our community, and we have to be addressing both of those.

And I think that this tool really effectively helps us get at the employment side of that situation.

And so I'm just asking that we frame up um the sort of why behind this to be more focused on that job part of it and income potential for people in our community and and how that's connected to business success as well.

So just a slightly alternative way of framing um the why behind this.

We're okay with that language change.

That's fine.

Looks good.

Okay.

All right.

Any other questions before we move to the motion?

I move to adopt a resolution authorizing an extended tax abatement period for up to seven years for eligible business firms in the Bend Enterprise Zone as amended.

Second.

All right, moved by Council Riley, and second by Councilor Norris.

All those in favor?

Okay.

Aye.

Thank you.

All right, and none opposed.

Thank you.

Thank you, Cyrus and Katie.

Thank you.

Thank you, Edco members, for attending and being here tonight.

Appreciate that.

All right, um, on to item number eight.

Council is asked to approve an intergovernmental agreement with Central Oregon Intergovernmental Council, COIC to allocate 2020 Go Bond funds for transit supported and transit enhancing capital projects.

Okay.

This is you, Eric.

This is me.

Um Sarah and I know.

Yes.

Yes.

All right.

Uh this is a an IGA that will replace the memorandum of understanding with Central Oregon Intergovernmental Council, which operates Cascade East Transit or Transit Service here in Bend.

Um this is really tied to council goals to improve our transit system.

We've been talking about this.

We recently formed a transit visioning work group that includes Councillor Riley and Councillor Mendez.

Um and this is also tied to the 2020 voter-approved general obligation bond, the that uh dedicated 8 million towards transit.

This is capital dollars towards transit.

Uh so this uh IgA is sort of the first uh installment of that 8 million.

Uh so there if as you see in the attached uh both issue summary and uh IGA is that million is really focused on uh bus stop improvements, uh some examples that you see here, uh, really in concert with the transit visioning work group uh to make improvements to make the system more uh attractive to to writers to expand the system.

Really, the full vision is that micro-mobility hubs, which we've been talking about.

We've uh pilot coming up here on Troy Field.

We also have uh a concept that was uh that's up here on the screen for the north end of town, so working on a site plan for a much larger uh site that includes a place where folks can uh access bike share, uh writer uh uh ride share uh services, uh, and then of course the traditional bus stops as well.

And uh you know, this this money that was dedicated in that geobond is to help facilitate uh that move to a not just the centralized Hawthorne station model but a decentralized uh hub and smoke model that can be accessed by folks coming into to Benz or commuting here uh for employment, as well as helping to move people around in all different modes uh throughout the city.

Uh so this idea just helps to kind of get things moving in that direction.

And that's it, pretty short and sweet, unless there's questions, and I uh Bob Townsend.

There he is.

Um in his service as the uh manager for our transit services at CYC.

Bob is uh moving on from the position.

Just want to thank him for his service and all you've done to put the transit system in a good spot here in Bend.

Thank you.

I wanted to do that as well.

Um I also serve as a COIC board chair, which is what the CET you know is housed within COIC, and just want to thank you, Bob, for your attention to really kind of um, I think providing a level of performance and professionalism and helping us move through the rate discussion and looking at routes critically and how can we improve service?

And I know that's happening in other communities, but um, you know, here in Bend and being part of this transit vision working group to kind of help us think through some of the ways to get at our goals of improving improving service in the community.

I think you've made a real difference while you're here.

So thank you for that.

Yeah.

Yeah, thanks, Bob.

We remember working with you at ODOT and now working with you at CAT, so we'll see what you do next.

Yeah.

Thank you.

All right, any questions from council on this?

Okay, ready for a motion.

I move to authorize the city manager to enter into an intergovernmental agreement with Central Oregon Intergovernment governmental council to allocate up to 8 million in 2020 general obligation funds for transit supportive and transit enhancing capital projects, including an initial transfer of one million dollars.

Second.

All right, move by council Norris, second by counselor Platt.

All those in favor.

Okay, great.

Thank you.

On to it number nine, which is a second reading.

And Councilor Morris, I think you're out on this one.

I have to declare an actual conflict like they did on the first reading.

This would have a financial impact on my employer, Hayden Home, so I will leave the diaspora's vote.

This is the second reading of an ordinance to annex 10 acres of land in the Southeast Urban Growth Boundary UGB expansion area.

I move for the second reading and adoption by roll call vote of the ordinance annexing 10 acres in the Southeast Urban Growth Boundary Expansion Area and assigning Sign District 5.

Second.

All right.

Move by Council Riley, second by Councillor Perkins roll call votes.

Counselor Francesa.

Yes.

Counselor Riley.

Yes.

Mayor Proton Perkins.

Yes.

Counselor Platt.

Hi.

Mayor Keebler.

Yes.

Okay.

And then over to the city manager's report.

Yes, I've got a couple of items.

Um why don't I start with I think start with the one with Hayden Home since that's on an item that counselor has previously recused on.

Right.

So I'd like to call up Russ Grayson to talk about Legacy Village, which has been approved by council.

Um and there's some concerns of that viability of that project and the financing associated with it.

So I wanted Russ to talk through some options for us to consider as we look to try to bring more homes online, more affordable housing associated with that project.

Thanks, Eric.

Russ Grayson, Chief Operations Officer.

So on the agenda, you will see the letter that we received after having conversations with Hayden Holmes.

They're working through their kind of performa and kind of development feasibility on the project.

And with that, they're asking the city to look at several things, several different tools.

So the first part of the letter was around the creation of a local improvement district.

That is technically already on our books.

We have codes around that.

Staff can initiate that.

That would come in front of council for creation.

We also want to explore the potential for what we call reimbursement district, supplemental SDCs, which council's already um talked about in relationship to other developments.

So we want to bring the full full kind of platform of financial tools that we have around that.

So we'll begin to have conversations with them on that.

And if there's something that is wanting to come forward, we'll bring that to you.

And that involves potentially just their property, just the legacy village project, or it could involve other properties.

So we want to make sure that we scope that correctly before we bring it.

The second part of that letter was in reference to looking at uh specific improvement that they are required to do at ReMarket in 27.

So right now that's a three-legged signalized intersection with both the development of Stevens Ranch and Legacy Village.

Um we are we're requiring them to build an intersection improvement there.

Right now it's a roundabout.

It is a rather complicated um project that would have to be done.

Um they typically how it's arranged now as a condition of approval, both with Legacy Village and the adjoining Stevens Ranch, they have trigger thresholds at uh unit or certain phase of development that they have to go build that, and then they would receive full STC credits for that project.

So it's on our SDC list as 100% reimbursable.

They've asked us would the city be interested in actually doing that project instead of them doing it.

There's a lot of questions that come with that in terms of well, what's your timing of when you need that, the triggers to your development that you need it, um, when the city could possibly deliver that project for you, as well as there is a there could be a potential impact to our near or long-term capital improvement plan because in order for the city to do it, we would that means that we actually front the money for it through STC revenue, and that may mean that we don't do other projects.

And that may mean that we don't do other projects.

So before I start those discussions with with Hayden Homes, adjacent developers, our engineering group and and start a lot of staff time and with finance and figuring out how that would work.

I'm just looking for some head nods from council if there's interest in city for this for city staff to explore that idea and we probably bring that back to you in concert we give you an update in concert with the CIP update that Ryan's planning to bring in September.

I just don't want to if we want development to to to build that improvement I would like to know now.

Otherwise if there's interest I will explore that and bring back options but I don't want to waste a lot of staff time if there's not interest.

Yeah I'm I'm supportive of exploring I think we've talked about L IDs before so I think that's makes a lot of sense to help them in that way if that's what they want to do and then exploring that intersection I'm interested in that.

So same any other thoughts well so Russ, what's the um what's the reason for them wanting for Hayden wanting the city to build around about it reading 27th.

One one the complexity of it's a very large project there might be right away acquisition that's needed to make that a happen.

The other thing it's really when you it's a cash flow question it's an upfront capital and cash flow question.

So if the city builds it then they don't then that development doesn't have to come up with the initial capital to build that pro that that project and they would receive credits over time but that could be anywhere from five to ten years over the life cycle of that project how they would get that back.

So it's they're trying to I would say look at their their overall cash flow of the project and see if there's ways that um if there's other opportunities that maybe the city could take some of that responsibility on to help that development move forward.

Because that requirement that improvement is required relatively earlier at the very pretty much the beginning of the process is that right well the the development is triggered that that project is triggered by either a certain phase of development that needs to occur number or certain number of homes so I've had preliminary conversations with both Hayden Homes and the Stevens Ranch developer.

There's interest by both parties for them to look at it.

And right now they're telling me they think it may be five years plus before they need that but I really need to dig into that because in some aspects it's it's a develop that project is needed to open up a certain segment of the development and they need to understand if we do that then they are tied to the city's schedule to deliver that and there's future council decisions that would affect that and then it would be part of our CIP development and future budgets on that project.

So there's risk that they would need to understand as well if the city takes that on.

Okay I think we also need to look at supplemental SDCs andor that reimbursement all those things need to be on the table.

And I've already had conversations with them and we we're coming with I would say the the full palette of options around infrastructure financing many of them are all those are on our books it depends on what financial structure they need and what they're trying to do and we want to bring the appropriate tool for the impact on the home buyer there is going to be if it's a supplemental SDC they're going to pay a little bit more up front on that SDC.

If it's an L ID they're going to have a long term tax burden right associated with that home because if Aiden essentially is going to transfer the tax burden from themselves to the new property owner as they sell properties.

Yeah and it's also a question for the city in terms of what our finances look like what is our revenue source for that improvement and a supplemental SDC works differently than a an LID in terms of timing and kind of if you can like what we're doing in the Southeast area with the supplemental SDC is we have time to build what I call built a kitty you know over time that we can build enough to to get around about as that development needs the roundabout we deploy the cash and we do it.

If you need to build that before you can build those funds up through a supplemental then the city's taking on additional we need to come up with the revenue to go build that improvement I think I think what we're looking at here is they're trying to figure out ways to to have a signal from the city that we want to work with them on this and we're going to consider these things and I think that's helpful them to take back to Department of State Lands and some of their funders and say here's how we're going to make this work financially.

And from staff perspective these are all tools that we want to figure out how to deploy.

So we we have interest in figuring this out we need to understand the implications of this stuff right yeah yeah and what does it mean for the rest of the CIP list and how that might impact other projects that other developments are dependent upon potentially great.

Yeah and just know if we if we we'll get we'll get other requests too if we if we start going down the road but also you know as everyone knows project fee feasibility is really tough.

So it's a question of how does the city want to interact in that conversation.

And I'm thinking a lot about the 20 acres of land for affordable housing for educators that's part of this neighborhood that's you know we want to see sooner than later so I think there's an incentive there to try to see if we can make this work.

Okay.

So will you come back at a council meeting we'll come back we'll try to come back when when Ryan comes back and talks about the CIP kind of rearrangement as one stop on that conversation we'll continue the conversations on all the other funding sources and then in theory if we're gonna if it's it needs to be within the five year CIP we will start to talk about that with the next budget development most likely.

And then in theory, if we're gonna if it's it needs to be within the five-year CIP, we will start to talk about that with the next budget development, most likely.

Okay.

Okay.

So I I just want to say I think it's really important.

I mean, I've been asking for us to look at LIDs more closely.

Um because I think it's the more equitable way to distribute the cost for developing this infrastructure.

We've we've talked about it many times.

Like, you know, the developer that triggers the requirement has to bear the burden when you know developers that come before and come after basically don't have to um take on that uh complexity and risk of building that infrastructure.

Um so I like I like the intention here.

I just I just hope that the LAD is looked at um with as wide a uh lens as possible um and and pulling in as many of the potential developments there as possible.

I don't want to see us doing these because we've already done one deal now, like the supplemental SDC for a handful of developers, and then we got another developer saying, hey, let's do this.

Like it will be nice to have you know a strategy that works for the whole Southeast area so we don't have to keep having these discussions because then it makes me wonder like, well, you know, are we are we you know giving favorable deals to some developers and not others?

I I think equity is a real it's a real concern here.

So okay.

All right, all right.

Sounds like can we do just uh a letter back to them, or how do we want to communicate back that would be helpful for them?

So they need a lot of they what they really wanted to have, just have a quick conversation with council to see if there's interest, and I think that's enough for them.

If we need something else, I will work for our to come back to you.

Yeah, okay, okay.

Thank you.

Thanks.

Uh quickly just to get Councilor Norris back out of here.

Hold on, come back.

Titanic, right?

All right, just to wrap up with some of the projects that are uh folks are seeing around town right now.

We're actively in uh paving season, our slurry seal, which is mainly on residential roads, is all complete.

Uh we were on on time on time and on budget.

Uh micro seal on third street.

I actually drove it today.

It looks really good.

We're gonna be striping, it's mostly done, a couple more days done by the end of the week, and then we'll strike that.

Uh and then our paving contract's about 80% complete.

Uh just have to finish up Roble Road on the north end of town, that little connection to the Parkway on ramp, and then the chip seal portion of our street preservation work uh starting on July 20th with the completion by the end of this month.

So really getting after it.

And then on the CIP, the capital improvement project side, our coolie pump decommissioning project is uh has started Monday this week.

So there's been some minor traffic detours on the north end of town for that.

Uh and then F quarter Park uh project starts next week.

That's the multi-use path.

Um that will um yeah, start next week and it shouldn't have a lot of major traffic impacts, but just uh for awareness.

And then uh Broster house closure near Caldera High School starts on July 27th for a septic pursuer project.

It'll take about a month or so to complete.

So that should be fine by the time school opens.

Good, right.

Okay, good uh and then the butler wells.

We're really conscious of the school season trying to get those projects done before uh is back in session.

And then really good news to end on with the FRA grant for remarket.

I got to hit the accept buttons that's pretty cool.

Yeah, we're that uh last week.

So that's all yeah.

Okay, one quick comment.

I'm just pleased to see the um stuff happening on Galveston with all the little block improvements and it's not really disrupted from what I can tell.

Maybe some pedestrians a little bit, but but it's just great to see that happening, you know, in pieces of the not to not to take away credit for Ryan, but it's actually David's work route.

Yes, well, no, we'll pass it on.

I will pass it on.

Sorry, Ryan.

Good point.

We do good stuff too.

Yeah, so please pass that on to David.

Well, yeah.

All right, thanks.

That's it.

We're adjourned.

Thank you.

Oh my god.