Oregon Senate unanimously passes Bend Sen. Broadman’s bill aimed at spurring homebuilding
SALEM, Ore. (KTVZ) -- Local Improvement Districts (LIDs) let groups of property owners share in the cost of infrastructure development collectively, instead of individually financing roads, sidewalks or stormwater.
They help finance the development necessary to get land ready for housing and job expansion, and after an Oregon Senate vote Monday, they are more attainable for Oregon cities seeking to build within their urban growth boundaries.
Senator Anthony Broadman (D–Bend) introduced Senate Bill 967 to expressly allow cities to enter into agreements with interested landowners to establish LIDs before annexation.
“We need to make everything less expensive. Infrastructure is a lynchpin to unlocking the abundant housing we need,” Broadman said in a news release. “This bill removes ambiguity in current law and ensures local governments and property owners have a straightforward, effective method to finance critical infrastructure upfront—enabling housing projects to advance more swiftly.”
Under current law, cities can use public funds to install infrastructure in urban growth areas before annexation, but that often requires large, up-front payments. The legal status of cities using LIDs instead wasn’t clear before Senator Broadman sponsored SB 967, the senator's office said in a news release.
The bill was inspired by challenges faced in Bend, where the city expanded its urban growth boundary in 2016 to accommodate 1,230 new homes and thousands of jobs. However, funding the necessary infrastructure was a major roadblock, delaying development for years.
“By giving local governments the tools they need to finance infrastructure effectively, we’re setting the stage for more housing, more jobs, and stronger communities,” said Senator Broadman.
The Central Oregon Builders Association, Central Oregon LandWatch, Oregon REALTORS, and Bend-Redmond Habitat for Humanity are among the measure’s supporters. The Senate voted unanimously to pass SB 967, and the measure goes next to the Oregon House of Representatives for consideration.
