City of Bend seeks public input on new ‘Core Area’ urban renewal plan
City promises no new tax on residents; city council hearing Aug. 5
BEND, Ore. (KTVZ) -- The city of Bend told NewsChannel 21 Tuesday property owners will not face additional taxes as part of the proposed core area tax increment finance plan.
As a postcard recently sent to city residents explained, the projects are aimed at improving safety, access and mobility for drivers, pedestrians and bicyclists.
Matt Stuart, the urban renewal manager, said the plan is not intended to raise taxes for property owners.
“It’s just saying that we’re going to reinvest that money into specific projects identified in the plan,” he said. “It’s not a direct impact to the individual taxpayer, but it is an impact to the (other local) tax districts, because they potentially could have a reduced amount of revenue just from this specific area.”
Stuart said the Bend-La Pine Schools could feel a financial impact, but not as much as what is currently being estimated at $87 million.
He said that estimate is derived from a growth value the city bases on strategic investments in the area.
“Right now in this area, the market is really only creating growth at about 4%, which is less than the city average at 4.25%,” he said. “So, really the impact to Bend-La Pine Schools is less than $5 million.”
Some of the transportation projects included in the core area of Bend include bicycle and pedestrian crossings, wider sidewalks, undercrossings at Greenwood and Franklin avenues, and an overcrossing at Hawthorne Avenue.
An open house on the proposal was held in February.
Stuart said the plan will not go to voters and will be decided on by the council, after they gather more input from the community.
“In this case, Bend does not have it within its books that this has to go to voters,” he said. “Other jurisdictions do.”
Stuart said even if the plan is adopted this year, it could take two to three more years to go into effect. Once adopted, he said it could take up to 30 years to complete.
Bend already has two established urban renewal and tax-increment financing areas, at Juniper Ridge and Murphy Crossing.
Under tax-increment financing, a tool used by local governments to boost development in an area, a base amount of property tax revenue in the target area is set, or "frozen," and distributed to government agencies as before. Meanwhile, the increased revenue from higher property values in the district goes toward capital projects in the area, for the life of the program.
The Bend City Council is hosting a public hearing on the Core Area TIF proposal at its next meeting on Wednesday, August 5th.
