Newberg Graphic Online

Habitat will get shelter land

City government — Nonprofit agency wins out over a local developer for land on Blaine Street

• By: Amanda Newman  
• Published: 3/20/2010 12:00:00 PM

   The Newberg City Council advanced the city’s housing goals Monday night, moving forward with a land gift to Newberg Area Habitat for Humanity for affordable housing and beginning consideration of housing-related amendments to the comprehensive plan.
   While Habitat was grateful for the chance to extend homeownership to two more families that might not otherwise achieve it, not everyone gathered was as happy. A few citizens vocalized their opposition to the comprehensive plan changes and Habitat went up against another affordable housing developer before securing the city’s go-ahead; the developer, Roger Grahn, went away empty-handed.
   The Newberg Animal Shelter will move to a new facility on Sandoz Road, which the council saw as an opportunity to advance its goal to increase affordable housing in the area. In December 2009, the council asked city staff to request proposals for an affordable housing development on the Blaine Street property where the shelter is currently located.
   Habitat submitted a proposal for two attached owner-occupied units, which the group would construct with the help of volunteers and the low-income homebuyers. The families would be able to purchase the homes below market value with no-interest loans. The nonprofit asked for part or all of the development fees to be waived.
   Grahn’s proposal consisted of seven rental units, divided between two buildings. He didn’t ask for a fee waiver — “the land is enough” — but did request a zone change and would have needed to purchase about 2,000 square feet of land from a lot to the north. The property owner had indicated a willingness to sell.
   The council met with both applicants, asking about their plans. Grahn and Habitat executive director Rick Rogers sat side by side, sharing a microphone. The atmosphere was friendly, but it was clear both wanted to score the land, which the city was offering as a donation.
   Rogers explained that Habitat could do without the fee waiver if necessary and might be interested in purchasing the additional land if it meant they could fit three houses on the lot. When Grahn said he would complete street improvements for the now-gravel street, Rogers said his group could look into working on the streets as well. They agreed that Grahn’s proposal, with a higher assessed value, would likely bring more tax revenue to the city.
   Both stressed the dichotomy of their proposals. They weren’t comparing “apples to oranges,” as had been previously stated in the meeting, Grahn said — it was “more like comparing a pineapple to an avocado.”
   “You’re being asked ... if you’d like to see home ownership at that site or you’d like to see low-income rental housing. That’s essentially it,” Rogers said, bringing the issue down to basics.
   Councilor Marc Shelton proposed tabling the issue until the council could have more of the details — specifically the road plans and whether/how Habitat would use the property to the north — and Councilor Stephen McKinney agreed. But, with a lack of consensus from the rest of the council, they moved forward, casting the collective vote for homeownership.
   “I think we have before us two really great proposals ... (but) I see a greater good for the community with home ownership,” Councilor Bart Rierson said. However, he added, he would like to see the city partner with Grahn in the future. “Roger’s got to be the most creative developer we’ve met.”
   The council voted 5-1 to direct the city manager to prepare a development agreement with Habitat for Humanity. Councilor Denise Bacon recused herself to prevent an appearance of bias, due to her position on Habitat’s board of directors, and McKinney cast the nay vote, saying he was reluctant to support something without all the details before him.
   The council had already tabled one issue that evening for similar reasons. After receiving public testimony — mostly negative — on the comprehensive plan changes, they tabled the issue to the April 5 meeting because the findings portion of the staff report had been omitted from the council packet. The record remains open and public testimony will again be accepted at the next meeting.
   The proposed amendments would be to the housing element and the housing and institutional land needs and supply data element. Based on the most recent data, they would update population, demographic and housing data; future housing and residential land needs; institutional land needs; and land supply. The amendments are part of the overall recommendations of the Ad Hoc Committee on Newberg’s Future.
   In other business, the council:
   — Approved a list of three pro tem judges, set the rate for on-call pro tem services, and restructured judicial services.
   — Authorized the city manager to purchase the house and property at 211 N. School St. and transfer city funds necessary to make the $149,600 purchase. The house has been identified as an ideal site for further expansion of the Newberg Public Library, but would be used for city storage at present.
   — Voted to contribute $500 to the Newberg Farmers’ Market for marketing purposes.
   — Heard an update on the Chehalem Valley Transit.
   — Continued a discussion of the upcoming budget.

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