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Council opts to take the money for Edgewood lien due to foreclosure

Scott Swanson

The Sweet Home City Council decided Tuesday, May 28, to accept an offer to settle a lien for water supplied to the Edgewater RV Park, which is being foreclosed by OSU Federal Credit Union.

The nearly four-acre park, on the northwest corner of 60th Avenue and Highway 20, was built in 2008 by Foster Lake Investments, headed by Dan McGarry and Steve Leith. It is being foreclosed by the credit union and City Attorney Robert Snyder reported to the council that although $13,947.05 interest is owed on the original lien of $34,052, the city risked losing everything if it held out for a court to decide if it should get more.

The lien is money the park owners owe for a System Development Charge associated with the construction of the park.

“OSU (the credit union) is first time with the County Recorder, and so in this case a judge will have to interpret the relevant Oregon Revised Statutes and if the judge were to decide the city does not have priority, then in all likelihood the city would receive nothing for its SDC lien,” Snyder wrote.

The council held an executive session May 14 to discuss its options and Snyder said Tuesday that it needed to take action in open session.

Councilman Craig Fentiman moved to accept the offer, noting the “possibility that not accepting this could cause us to lose the entire sum.”

Council members Marybeth Angulo, Fentiman, Mayor Jim Gourley and Scott McKee voted 4-0 to accept the offer. Members Bruce Hobbs, Greg Mahler and Dave Trask were absent.

The council also voted 4-0 to appoint James Goble to a vacant position created by the resignation of Al Culver from the Planning Commission. Council members interviewed Goble and Dennis Dean in an executive work session prior to the main meeting.

McKee said that the interview results were “very close.”

“It’s important for both applicants to understand that they were good-quality applicants,” he said.

Goble’s application listed his address as 1305 Clark Mill Road and his occupation as a molder/assembler at Ti Square, across the street from his home.

Dean, who operates Judy’s Gallery and Art Supplies with his wife, is a three-year Sweet Home resident who lives at 1145 43rd Ave.

“Thank you. I’m honored. I’ll do my best,” Goble said after being appointed.

Gourley urged Dean not to lose interest in serving.

“ We’re going to have these positions open up from time to time, and we want to make sure that if other positions open up, that our candidates would stay in touch with the city and be part of that,” he said.

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