Council approves financing contract for Willow/Yucca LID

Benny Westcott

At the Aug. 22 Sweet Home City Council meeting at City Hall, the council unanimously approved a special public works fund development project financing contract with the state of Oregon’s Infrastructure Finance Authority of the Oregon Business Development Department to finance upcoming construction for the Willow and Yucca Street neighborhood at the end of 18th Avenue. The project will bring water service to all of the homes in that area, construct a complete street and sidewalks, and include stormwater improvements.

The council voted back in 2021 to form a local improvement district (LID) for the Willow and Yucca Street neighborhood at the end of 18th Avenue, after more than 50% of Willow Street neighborhood residents signed a petition requesting that the city act to make street, sidewalk, curb, gutter and storm drain improvements in the neighborhood. The LID will also improve the neighborhood’s water system and includes placing fire hydrants in the area, because firefighters currently have to lay long hoses to reach certain house fires in the neighborhood, delaying efforts to put out fires.

Now that the financing is arranged and approved, the city can put out a request for proposals for a firm to design and build the improvements. “That’s when the numbers really get finalized – when we get back those bids and get the project started,” Larsen said. At that point, the council will have to pass another ordinance that would assess the costs on the properties involved in the LID. The total project cost is estimated to be $2,359,815. The city has committed to putting about $300,000 into the project, with the remainder to be assessed on the properties based on property size and frontage on the streets.

“It is an expensive project,” said Community and Economic Development Director Blair Larsen. The loan amount outlined in the contract between the city and the state is $2,059,815 and will be paid over a period of 20 years, with interest accruing at 3.68% annually. The first payment would not be due until the Dec. 1 following the completion of the project, plus 90 days. Councilor Angelita Sanchez said, “I’m just a little concerned about the cost of construction exploding on this project.” President pro tem Greg Mahler said, “There’s gonna be sticker shock.” Councilor Dave Trask said, “One of my big concerns is, we’re going to be spending a lot of money in the next year or two. So it might be a little difficult for us to get there.” Mayor Susan Coleman said, “I think it’s a very large project, but as we all know, there are gravel roads and flooding that happens down there, and also a lack of fire hydrants. It’s really important to have this work done, just for the safety of those people in that area of our community.” Councilor Lisa Gourley said, “It’s really about water to that area and fire suppression. We are constantly reminded in the news how serious this is, and these people need the tools necessary. They’re part of our city. And as painful as this is, it’s only going to cost more the longer it goes.”

Mahler, who is a volunteer firefighter for the Sweet Home Fire and Ambulance District, said, “We had a fire down there recently. And if we’d had fire hydrants down there, it would have made things a little easier, but I don’t think people really realize how close that came to having some serious problems, with the fire we had.” Trask, a volunteer firefighter for 50 years himself, said, “When you need water, you have to get a hose from that last hydrant to even get close. You’re talking 600 feet or longer. And it’s horrible to try to get it done. And by the time you get that done, a lot of times it’s too late.” Larsen added that, “Not only is [the LID] needed, but it also will invest in the properties and add value to those properties. So the value will be in the ground. The value will be there. Certainly, it’s not an easy thing to pay off that amount. However, there will be financing over a long period of time.” He said that typically LIDs are paid for over a 10 year period, as opposed to the 20 year stretch for this one. Larsen added that, “The past two falls, we have been fielding a number of phone calls from the residents who know that this project is coming and are out of water. Their wells have gone dry or some other factors are preventing them from getting enough water. There is a lot of interest in the neighborhood, and people are eager for this to happen.”

Councilors Josh Thorstad and Dylan Richards were absent from the meeting and did not vote, Thorstad because of vacation and Richards because he had an interview, according to Coleman. The council voted unanimously to excuse both of their absences.

Also at the meeting: A moment of silence was held in the council chambers for those that lost their lives in Hawaii as a result of a series of wildfires that broke out there earlier this month. “It really hit home I think for the rest of us, knowing that they were experiencing a fire and we were also experiencing a fire,” Coleman said, referring to the Wiley Creek Fire nine miles southeast of Sweet Home, which was at 90% containment as of Friday, Aug. 25. Coleman said that a comment that stood out to her about the fires was from an individual directly involved with the mitigation efforts, who said they’d “never seen so much cooperation from all different entities.” City Manager Kelcey Young thanked everyone who supported the city through the fire, mentioning the Sweet Home Fire & Ambulance District, Linn County, Oregon Department of Forestry, the Forest Service (both local and national), and multiple private companies including Cascade Timber Consulting and other local forestry and milling companies as entities that were “really, really out there.” “This has been a very big piece for our community, and the type of outreach and support that we received here in Sweet Home was phenomenal,” Young said. “We had a huge outpouring of support for our firefighters, trying to provide food, and the school district was housing all of the fire district.”

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