TO: Urban Renewal Agency Board
THROUGH: Keith Stahley, Executive Director
FROM: Kristin Retherford, Director, Urban Development Department
SUBJECT:
title
Start the process to change the Fairview Urban Renewal Area plan and boundary.
Ward(s): Wards 2 and 3.
Councilor(s): Phillips, Nishioka
Neighborhood(s): Morningside and SEMCA
Result Area(s): Safe, Reliable and Efficient Infrastructure; Strong and Diverse Economy
end
SUMMARY:
summary
Initiate the process for a substantial amendment to the Fairview Urban Renewal Area to expand the boundary to include portions of the Salem Airport permitting infrastructure and facility improvement projects to accommodate new development and commercial air service.
end
ISSUE:
Shall the Agency Board direct staff to initiate an amendment process for the Fairview Urban Renewal Area (FURA) to improve the Salem Airport (Airport)?
RECOMMENDATION:
recommendation
Direct staff to initiate an amendment process for the FURA to improve the Salem Airport.
body
FACTS AND FINDINGS:
There is community interest in commercial air service at the Airport. Initial research by staff found the need for building, terminal, and security improvements to provide this service.
The FURA has $1.8 million remaining in project cost savings. This urban renewal area ceased accruing tax increment funds in 2014. If the Agency directs staff to start the amendment process, the proposed boundary and urban renewal plan changes will be considered at public meetings by City Council, Planning Commission, and the Agency. If the amendment is approved, the project cost savings could be used to help fund the improvements.
BACKGROUND:
The FURA plan (Attachment 1) was adopted on June 25, 1984. The Agency invested around $18 million on 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 over $170 million that benefits all overlapping taxing jurisdictions.
In October 2021, the Agency approved resolution 21-10 that created a matching grant program, like other Salem urban renewal areas. One grant of $300,000 has been issued to Yamasa Corporation U.S.A. The company is under construction now with an expansion of their operations valued at over $10 million. The FURA grant program has $300,000 remaining for future qualified applicants. This is in addition to the $1.8 million in unallocated funds available for Airport improvements.
Tory Banford
Project Manager
Attachments:
1.FURA Plan