TO: Urban Renewal Agency Board
THROUGH: Keith Stahley, Executive Director
FROM: Kristin Retherford, Community and Urban Development Director
SUBJECT:
title
Minor amendment to the Fairview Urban Renewal Area Plan to modify the area boundary and project list.
Ward(s): Ward 3
Councilor(s): Board Member Phillips
Neighborhood(s): Morningside
Result Area(s): Reliable and Efficient Infrastructure; Strong and Diverse Economy
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SUMMARY:
summary
Minor amendment to the Fairview Urban Renewal Area Plan boundary to include portions of the Salem Airport for infrastructure and facility improvements to accommodate new development and commercial air service.
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ISSUE:
Shall the Urban Renewal Agency (Agency) adopt resolution 23-8 URA, minor amendment to the Fairview Urban Renewal Area (FURA) Plan modify the area boundary and project list to improve the Salem Airport (Airport)?
RECOMMENDATION:
recommendation
Adopt resolution 23-8 URA, minor amendment to the FURA Plan to modify the area boundary and project list to improve the Airport.
body
FACTS AND FINDINGS:
There is community interest in commercial air service at the Airport. Accommodating commercial air service requires improvements to the terminal building and airfield security improvements estimated in the millions of dollars. Additionally, new private sector development on Airport property will increase rent revenue to help support operations. Site preparation for new building construction and renovation of existing structures is also costly.
The FURA has $1.8 million remaining in project cost savings and stopped collecting tax increment funds in 2014. If this minor amendment is approved, these funds could be used for necessary terminal improvements or grants to support private sector investment on the airport
The proposed minor amendment includes a change to the FURA boundary (Attachment 1) of approximately four acres, or one percent of the FURA Plan’s area. Text changes to the FURA Plan (Attachment 2) will replace references to McNary Field with Salem Municipal Airport. Section I.B.3. will add a part b. for Salem Municipal Airport improvements to expand aviation services. Section III.B.2. will add a part d. for improvements to Salem Municipal Airport property and services. Section IV.B.1. will clarify that the new land area to the northeast in this plan is intended for Airport and industrial land development. Plan exhibits have been updated to include the new boundary area.
BACKGROUND:
The FURA plan was adopted on June 25, 1984. The Agency invested around $18 million for utilities, wetland mitigation, road construction, and other projects. The area transformed into a thriving business park where new building construction and building expansion work continue today. The area has increased in assessed property value by more than $170 million and benefits all respective jurisdictions.
In October 2022, the Agency directed staff to prepare materials for the FURA amendment so resources may be used to improve the Airport for commercial air service.
Tory Banford
Project Manager
Attachments:
1. FURA boundary change
2. Resolution 23-8 URA