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2008-848-Minutes for Meeting September 03,2008 Recorded 9/17/2008COUNTY NANCYUBLANKENSHIP,FCOUNTY CLERKDS CJ 7008.848 COMMISSIONERS' JOURNAL Og~11~Z008 11;55;41 AM IIII111111til IIII II111111111111 2008-8Do not remove this page from original document. Deschutes County Clerk Certificate Page If this instrument is being re-recorded, please complete the following statement, in accordance with ORS 205.244: Re-recorded to correct [give reason] previously recorded in Book or as Fee Number and Page Deschutes County Board of Commissioners 1300 NW Wall St., Bend, OR 97701-1960 (541) 388-6570 - Fax (541) 385-3202 - www.deschutes.orc MINUTES OF BUSINESS MEETING DESCHUTES COUNTY BOARD OF COMMISSIONERS WEDNESDAY, SEPTEMBER 39 2008 Commissioners' Hearing Room - Administration Building - 1300 NW Wall St., Bend Present were Commissioners Dennis R. Luke, Michael M. Daly and Tammy Melton. Also present were Dave Kanner, County Administrator; Erik Kropp, Deputy County Administrator; Susan Ross and Teresa Rozic, Property and Facilities; Dee Van Donselaar, Community Development; and fourteen other citizens, including representatives of the media. Chair Luke opened the meeting at 10: 00 a. m. 1. Before the Board was Citizen Input. None were offered. 2. Before the Board was Consideration of Chair Signature of Document No. 2008-465, an Intergovernmental Agreement with Crook County regarding FEMA Grant Funding to Treat Wildland Fuels in Crook County. Joe Stutter said that this allows the grant from FEMA to be spent as authorized. The County is overseeing the process and Crook County will be reimbursed for expenditures. MELTON: Move approval. DALY: Second. VOTE: MELTON: Yes. DALY: Yes. LUKE: Chair votes yes. Minuets of Board of Commissioners' Business Meeting Wednesday, September 3, 2008 Page 1 of 8 Pages On another note, Commissioner Luke asked about a log jam on the Deschutes near a foot bridge at Pringle Falls in the upper Deschutes River. Some people have complained about logs in the River backing up against bridges, creating a safety hazard. Mr. Stutter stated that last spring some logs were removed from around the bridges. Since then more have gathered up. There are a number of interests including the Army Corps. of Engineers, the State, Forest Service, private parties and the County, along with a few other entities that have concerns about this situation. Logs are being allowed in the River for fish and animal habitat and to keep erosion down, as this is the natural state. It is difficult to move any of the logs since a vehicle cannot get very close. They had to use winch lines previously. He added that even if all of the logs are removed, there will be more falling into the River in the future. Commissioner Melton pointed out that people do disregard the warning signs and the deaths this year were preventable. Perhaps more public education is needed, emphasizing the potential dangers. 3. Before the Board was Consideration of Signature of Document No. 2008- 503, a Notice of Intent to Award Contract Letter for the Sheriff Impound Building Project. Susan Ross gave a brief overview of the item, which would award the project to the low bidder, CS Construction. At this time impound articles have to be left outside. The new building will house various items used for evidence as well as impounded vehicles. She added that the bid came in under the estimated amount. MELTON: Move approval. DALY: Second. VOTE: MELTON: Yes. DALY: Yes. LUKE: Chair votes yes. 4. Before the Board was Consideration of Signature of Resolution No. 2008- 126, providing an Extension to Finalize Funding for an Affordable Housing Project in La Pine. Minuets of Board of Commissioners' Business Meeting Wednesday, September 3, 2008 Page 2 of 8 Pages Teresa Rozic explained that the entity working on the project has asked for additional time to address closing the funding gap. The State has allowed them until the end of October to finalize this, although Deschutes County will ask the State to reserve the funding for this project until the end of the year. MELTON: Move approval. DALY: Second. VOTE: MELTON: Yes. DALY: Yes. LUKE: Chair votes yes. 5. Before the Board was a Public Hearing (continued from August 6, 13, 18 & 27), and Consideration of First Reading of Ordinance No. 2008-025, Making Certain Determinations and Findings Relating to and Approving the Bend Municipal Airport Urban Renewal Plan. Dave Kanner said there was nothing new to add other than a few letters, calls and e-mails have been received this week. Gladys Biglor thanked the Board for its thoughtful deliberations, since there is a lot at stake. She wanted to acknowledge Commissioner Melton regarding her concerns about the master plan. Ms. Biglor has been getting calls from neighbors in the area who are starting to see her name in the newspaper. They are expressing concerns because they don't understand the process. The Airport did provide a meeting during the day for citizens to learn about the process. Many people were not able to come to the meeting, however. She asked that the Board ask the Airport to hold an evening meeting for these people to attend. John Russell, City of Bend, submitted a letter from Mayor Abernethy, responding to several issues before the Board. He read a few key points regarding funding for the Rural Fire Protection District. They are working closely with them on this issue. There is not enough time to come up with a hard and fast solution, which would then have to be approved by the Council; if it involved a user fee at the Airport, the tenants would also have to be involved. By making special accommodations for the RFPD now, it sets precedence with other districts and could negate potential benefits of the process. Minuets of Board of Commissioners' Business Meeting Wednesday, September 3, 2008 Page 3 of 8 Pages Even if the current master plan was not going to be revised, the projects are consistent with the existing plan. They have been proceeding with infrastructure work to benefit Cessna and other companies. Airports can expand by right according to Oregon law. With the two aircraft manufacturers and others at the Airport, there are important jobs at stake. If the County does not adopt the renewal plan until the master plan is complete, this would take several years and could negatively impact Epic Air and Cessna, as well as other potential employers. Commissioner Melton said that this is a wonderful tool and she cannot dictate to the City how it is utilized. Some of Juniper Ridge is in a renewal district. It may not impact anyone today, but she is worried about providing essential services in the future. This has to be balanced against potential jobs. Murphy Crossing cost about $2.2 million of Sheriff's Office funding. There are a lot of moving parts and it is hard to lock it up so that the impacts are known. As this tool is used, some thought needs to be given to future impacts. She does not want to miss an opportunity but wants to proceed cautiously. Mr. Russell said that they don't take this lightly. Police and Fire have concerns, but they are trying to build infrastructure and retain jobs. Eventually this property will go back on the tax rolls. Commissioner Luke stated that the City could very well take in the area around the Airport at some point, and there would be no guarantee as to whether the County will have any say on what happens at that point. Being no further testimony offered, Chair Luke closed the hearing at this time. Chair Luke read a statement to the audience, indicating that he is not supportive of approving the renewal plan at this time. Commissioner Melton referred to the balance needed, and she acknowledged that jobs are important. Changes can happen in the future. But she is concerned about the voices that need to be heard now, including local residents who may be impacted by various projects. She does see a link between the plan and what is to happen now. There doesn't seem to be a way at this point to mitigate the impacts to the service districts. The businesses already have the benefit of an enterprise zone. She wants to see proper planning to avoid negative impacts on residents and districts. Minuets of Board of Commissioners' Business Meeting Wednesday, September 3, 2008 Page 4 of 8 Pages Commissioner Daly said he is looking at it for the long term. He spoke with the Finance Director about potential impacts to the taxing districts. If the urban renewal district works like it should, it generates jobs and income, and these citizens spend money, and any negative impacts are balanced out by this. Clean manufacturing jobs are valuable and this is a win-win. Cessna is here and does not have to stay here, and should be encouraged to remain. It is not good for the community to lose that kind of employer. The other issue is the Sheriff's concern about losing funding; however, the airport projects are related to public safety as well. Improvements to Powell Butte Highway and Butler Market Road could be made with this funding in place. He also wants to encourage a partnership with the City of Bend; the two entities should work together on things that impact the region as a whole. He supports passing this ordinance. Commissioner Luke said he wants to support jobs but there would not be adequate services available for these citizens. And, if you pay someone to stay in the area, where do you stop. Commissioner Melton stated that the County gave Juniper Ridge to the City at no cost so that job creation would happen. She wants to work with the City and perhaps the City will be able to work something out with the Districts. No motion was made at this time. Before the Board was Consideration of Approval of the Consent Agenda. Commissioner Melton asked Ms. Rozic about item #6; she is concerned that political action committees may want to use County property for fundraising purposes. Ms. Rozic said that she looks at Code when these requests come in, and they also come before the Board. Mr. Kanner stated that the Oregon Supreme Court said that you can prohibit a class of activities on public property, and can have a policy regarding users. You have to allow all users of a particular type if you allow one. In regard to Historical Society appointments, Commissioner Daly explained that Doug Knight was recruited by Jon Sholes to take Mr. Sholes' place. Dee Van Donselaar stated that there are three positions that the County appoints, out of nine total. Minuets of Board of Commissioners' Business Meeting Wednesday, September 3, 2008 Page 5 of 8 Pages Commissioner Melton said that this is not necessarily an open process. Ms. Van Donselaar explained that there are ties with the Museum and the Pioneer Association, which made it a bit more complicated. MELTON: Move approval of the Consent Agenda. DALY: Second. VOTE: MELTON: Yes. DALY; LUKE: Consent Agenda Items Yes. Chair votes yes. 6. County Administrator Signature of Document No. 2008-490, a License for American Legion Post #45 to Use the County's La Pine Facility Parking Lot for Two Fundraising Events 7. Chair Signature of Document No. 2008-470, an Intergovernmental Agreement for the Oregon Department of Education Child Nutrition Program 8. Signature of a Letter Reappointing Toni Williams to the Vandevert Acres Special Road District Board, through December 31, 2010 9. Signature of a Letter Appointing Eric Beck to the Upper Deschutes Watershed Council, through January 31, 2011 10. Signature of Letters to Barbara Smiley and Jon Sholes, Accepting their Resignation from, and Thanking Them for their Service on, the Deschutes County Historic Landmarks Commission 11. Signature of a Letter Appointing Doug Knight as the Des Chutes County Historical Museum Representative on the Historic Landmarks Commission, through August 1, 2009 12. Approval of Minutes: • Business Meeting: July 9 and 21; August 27 • Work Sessions: August 13, 25 and 27 13. Economic Development Grant Request: Downtown Bend Business Association - Banners - Commissioner Melton granted $500. Minuets of Board of Commissioners' Business Meeting Wednesday, September 3, 2008 Page 6 of 8 Pages CONVENED AS THE GOVERNING BODY OF THE 9-1-1 COUNTY SERVICE DISTRICT 14. Before the Board was Consideration of Approval of Accounts Payable Vouchers for the 9-1-1 County Service District in the Amount of $4,157.41. MELTON: Move approval, subject to review. DALY: Second. VOTE: MELTON: Yes. DALY: Yes. LUKE: Chair votes yes. CONVENED AS THE GOVERNING BODY OF THE EXTENSION/4-11 COUNTY SERVICE DISTRICT 15. Before the Board was Consideration of Approval of Accounts Payable Vouchers for the Extension/4-11 County Service District, in the Amount of $10,543.06. DALY: Move approval, subject to review. MELTON: Second. VOTE: MELTON: Yes. DALY: Yes. LUKE: Chair votes yes. RECONVENED AS THE DESCHUTES COUNTY BOARD OF COMMISSIONERS 16. Before the Board was Consideration of Approval of Accounts Payable Vouchers for Deschutes County, in the Amount of $325,462.73. MELTON: Move approval, subject to review. DALY: Second. VOTE: MELTON: Yes. DALY: Yes. LUKE: Chair votes yes. Minuets of Board of Commissioners' Business Meeting Wednesday, September 3, 2008 Page 7 of 8 Pages 17. ADDITIONS TO THE AGENDA None were offered. Being no further discussion, the meeting adjourned at 11: OS a.m. DATED this 3rd Day of September 2008 for the of Commissioners. hutes County Board Dennis R. Luke, Chair Tan y ( aney) lton, ' 4ce Chair ATTEST: Recording Secretary y, CoXmissioner Minuets of Board of Commissioners' Business Meeting Wednesday, September 3, 2008 Page 8 of 8 Pages IF YOU WISH TO TESTIFY Please complete this card & turn it in to a County staff person. Name: - P vvu ~ Mailing Address: i k:m 0~_ y,~_IrPhone E-mail Address: Date: 9 - 3 - ® 9 Subject: A I P-Pvrz:-, U R 6,4" Remaf 0 ~y f IF YOU WISH TO TESTIFY Please complete this card & turn it in to a County staff person. Name: 61-Mo,.s 06 4- v 2 Mailing Address: 6 a1.7 9 Co^ g-a eeVd ®~Z 9 7l ei Phone Ise-- E-mail Address: Date: xcll- J;, A009, Subject: 41zPc>,,2_r- IF YOU WISH TO TESTIFY Please complete this card & turn it in to a County staff person. Name:o 4 , E,5~ztl Mailing Address: Phone : E-mail Address: Date: Subject: 710 WALL STREET P.O. BOX 431 September 3, 2008 BEND, OR 97709 [541] 388-5505 TEL [541] 388-5519 FAX www.ci.bend.or.us Deschutes County Commissioners BRUCE ABERNETHY 1300 Wall Street Mayor Bend, OR 97702 LINDA S. JOHNSON Dear Commissioners: Mayor Pro Tem At your meeting of August 27, you extended the public hearing on the MARK CAPELL City Councilor proposed Bend Municipal Airport Urban Renewal Plan to your meeting of September 3. There were a couple of general concerns raised by Board JIM CLINTON members and we will attempt to address them below. In addition, we have city councilor addressed several timing issues related to plan adoption for the Board's consideration. BILL FRIEDMAN City councilor 1. Work with the Rural Fire Protection District to reach a compromise on funding issues to support operations overtime. PETER GRAMLICH City Councilor We wholeheartedly agree to continue working with the RFPD in exploring CHRIS TELFER options for long-term, sustainable funding through our contractual city councilor relationship. However, the City cannot commit to anything at this time for two reasons. The first is that more time would be needed to do additional research on options and it would require direction/concurrence from City Council (and in some instances agreement by other airport tenants). The ERIC KING second reason is that by making special provisions for the Rural Fire city manager Protection District now - as part of the discussion around formation of the urban renewal district - we would be setting a precedent around making SONIAANDREWS Finance ance Directomctor F exceptions with affected property erty tax recipients. This would then have the potential for completely undermining the whole concept of an urban renewal SANDRA L BAXTER district. Interim Police Chief LARRY HUHN Fire Chief PATRICIA STELL City Recorder September 3, 2008 Page 2 As the Board is certainly aware, the City is in a very difficult financial position. Our very low tax rate (about $2.80/$1,000 assessed value) makes it extremely difficult to continue fully funding emergency services in the City as well as funding economic development and job growth at the airport. I intend to initiate a discussion with the City Council about a longer term strategy for stabilizing emergency service funding. While not directly providing funds to the RFPD, they have correctly stated that our relationship is closely intertwined, and assistance to and stable funding for City emergency services is also helpful to the RFPD. To reiterate, long term stable funding for the RFPD is important to the City, but we feel it needs to be addressed separately from the current discussion. 2. Address how the upcoming Airport Master Plan is impacted by the urban renewal plan. City staff is in the process of preparing a scope of work for creation of a new airport master plan. With significant outreach to the public, to which we are deeply committed, and taking into account the required processes for adoption by the County and the Federal Aviation Administration, we expect it to be 1'h - 2 years before a new master plan could be in effect. As stated by John Russell at the 8/27 public hearing, an urban renewal plan is clearly an estimate at a point in time of potential projects and their cost and timing. It is fully expected that this estimate will change over time. In fact, the draft renewal plan anticipates changes and defines a clear process for amendments in the plan itself. It would be absolutely appropriate, and expected, that the renewal plan would be amended after the master plan is complete. Please keep in mind, even if there were to be no master plan update, there is currently significant growth at the airport which is in conformance with the existing master plan. This current growth requires infrastructure, which requires funding. The City's ability to provide infrastructure, even the 5% match to an FAA grant, is severely limited at this time. As an example, we recently completed a new runway at a cost of about $10,000,000. Our match to this one project was $500,000. We also have created a line of credit, paid by the City's General Fund, of about $1,500,000 to provide infrastructure at the airport. This is in direct response to Cessna's location in Bend and its need for infrastructure. These costs are in addition to the approximately $100,000 annual transfer from the General Fund to the airport operations/debt service. To reiterate, all of these costs are tied to the existing approved master plan. Oregon State law allows airports to expand by right. We are committed to developing a master plan that will accommodate growth, but also takes into account the stakeholder input of airport users, airport neighbors, and the entire City of Bend and Deschutes County residents at large. With its two aircraft manufacturers producing clean family wage jobs, as well as the many other airport related jobs, the Bend Airport is a tremendous driver for economic stability in Deschutes County and all of Oregon. Our airport master plan will do the best job possible to blend these many interests. 3. What are the timing impacts related to plan adoption. September 3, 2008 Page 3 As noted in the hearing, we are well past the date to have the certified base being established at the January 1, 2008 assessed value. To have the certified base established at the January 1, 2009 assessed value, the plan needs to be effective by September 30, 2009. The City is asking that the plan be adopted by September 30, 2008, in order to be effective by December 31, 2008 (due to the 90 day period for a County ordinance to be effective). If the plan is effective by December 31, 2008, tax increment funds will be distributed in Fiscal Year 2009/10. If adopted after that date, funds will not be distributed until Fiscal Year 2010/11. Recognizing the hangar development by Aero Facilities that is now underway, this could be a significant loss of revenue next year. If the County were to not adopt the renewal plan until after the airport master plan is complete, a large amount of significant growth would be missed. Much if not all of Aero Facilities Phase 1 development would be complete, and not eligible for incremental growth. Additionally, the proposed expansion by Epic Air would not be eligible for incremental growth, nor would the potential expansion by Cessna: all potential growth over the next two years. This delay in adopting the plan would remove a significant amount of the incremental growth projected in the urban renewal plan/report. The delay, and resultant loss of revenue, would put the City in even a deeper hole in providing sufficient funding to maintain growth at the airport. We have a remarkable economic engine at the airport. We must provide a source to adequately support it, or we will be in danger of losing much of what we have gained in recent years. Sincerely, S4'cc"~ Bruce Abernethy Mayor, City of Bend I appreciate the City's efforts to answer our questions and concerns about the Urban Renewal District proposed for the Bend Airport. It is clear that if future expansion is to occur at the airport there is a need to expand the infrastructure. The question is how to pay for that expansion. There are several ways that can be accomplished, the city has proposed the Urban renewal district. Other options could include anA LID, revenue bonds, increased user assessments, and they could always go to the city voters and make their case for a GO bonds. While looking at the hit to other government agencies is viewed by some as minor, the money lost by the county and public safety agencies is money needed by those agencies. I attended many of the public forums with Sheriff Stiles and Under Sheriff Blanton and saw the support their department had from the public. I do not believe those citizens supported permanent funding for the Sheriff's office so that money could be used by the Bend Airport. The propose airport URD is but one of the districts formed by the City of Bend. In his e-mail exchange with Sheriff Blanton, Mr. Russell reminded us that the City has already approved the Murphy Road District, which includes a lot of commercial and residential property. The have also approved the Juniper Ridge which has a zero basis value which means the county and public safety will not receive one cent of money for services. Taken all together, these Urban Renewal Districts take a lot of money from all the citizens in Deschutes County for development in Bend. The Bend City Councilors talk about development paying its own way. Evidentially that is not true for them when the City is the Developer. When the urban growth boundary expansion is completed and more property comes within the city limits, the tax base for RFP district #2 will shrink even more. Another thing that concerns me if we form this district. I can foresee the city coming to us and saying we want to do this and this and expecting us to go along with anything they want without question or obj ection. That is not how I personally work. There are other options for the city to provide funding for their projected infrastructure at the Bend Airport. I can not support the formation of the URD. BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Deschutes County Document Reproduces Poorly (Archived) County Commission: Dennis Luke, Chair Tammy (Baney) Melton, Vice Chair Mike Daly, Commissioner County Planning Commission: Keith Cyrus, Chair, Sisters Area Richard Klyce, Redmond Area Brenda Pace, Bend Area Todd Turner, Vice Chair, Bend Area Kelly L. Smith, At Large Susan S. Quatre, At Large Robert A. Otteni, South County Area County Staff: Catherine Morrow, Planning Director Mark Pilliod, Legal Counsel David Kanner, Chief Administrative Officer City of Bend Staff: John Russell, AICP, Director, Urban Renewal, Economic Development Susan L Palmeri, Airport Manager Consultant Team: Tashman Johnson LLc Jeannette Launer, Attorney Elaine Howard Consulting LLC James Vanden Bos, planner TABLE OF CONTENTS 1. INTRODUCTION 4 II. MAP AND LEGAL DESCRIPTION OF URBAN RENEWAL AREA 8 III. OUTLINE OF MAJOR URBAN RENEWAL PROJECT ACTIVITIES 10 IV. URBAN RENEWAL PROJECTS V. PROPERTY ACQUISITION AND DISPOSITION VI. RELOCATION METHODS VII. TAX INCREMENT FINANCING OF PLAN VIII. FUTURE AMENDMENTS TO PLAN IX. RELATIONSHIP TO LOCAL OBJECTIVES 11 14 15 15 16 17 I. INTRODUCTION The Bend Municipal Airport Urban Renewal Plan (the "Plan") contains goals, objectives and projects for the development and redevelopment of the Bend Municipal Airport Urban Renewal Area ("Area"). Located northeast of the city of Bend, Oregon, the Bend Municipal Airport ("Airport") traces its history back to 1942. The country was at war and there was an immediate need across the western states for training sites for aviators for the war effort. To this purpose, a group of patriotic Bend citizens banded together to deed a small piece of farmland to the City of Bend for the express intent that a municipally owned and operated landing strip be established. The site was developed and used for pilot training throughout World War II. Following the war, the airstrip was maintained by the City of Bend for general use, where it experienced slow growth throughout the 1950's and 1960's. By the 1970's, it was clear that the Airport was becoming a part of the transportation network for Central Oregon and development of a comprehensive Airport Master Plan was undertaken in 1979. This plan established much of the direction for development at the Airport and forecasted significant growth in activity at the Airport in coming years. Today, in 2008, the Bend Municipal Airport stands poised to serve as the general aviation and corporate aviation gateway to Central Oregon, for now and into the future. Facilities at the Airport include a single runway 5,200 feet in length and a corresponding full parallel taxiway. The Airport is identified as a Category 2, High Activity Business and General Aviation airport by the Oregon Department of Aviation, and there are over 200 aircraft based there with approximately 50,000 estimated annual operations. Today, more than eighteen aviation-related businesses are located on the airport employing more than 1500 people, making the Bend Municipal Airport one of the largest sites of family-wage jobs in Deschutes County. In 2007 and 2008 substantial new growth has occurred and future new growth has been discussed at the Airport. Cessna Aircraft Company acquired the Columbia Aircraft Manufacturing Corporation facility in 2007 and Aero Facilities and Epic Aircraft are planning to develop additional facilities on the east side of the Airport. In March of 2008, Cessna announced they had hired an additional 100 employees and in April of 2008 they publicly discussed the need for a control tower at the Airport to support their burgeoning facility. However, the Airport requires substantial public investment in infrastructure and facilities to continue to accommodate aviation activity growth and aviation-related industrial development. In the spring of 2008, the City of Bend approached Deschutes County with a suggestion to consider an urban renewal plan for the Bend Municipal Airport to help address facility and infrastructure needs. In April of 2008, as a first step, the Deschutes County Commission activated an urban renewal agency and designated the County Commission to act as the Urban Renewal Agency board. 4 The Area, shown in Figure 1, contains approximately 526 acres including 22.63 acres of right of way. The Area includes all the land currently zoned for airport uses (approximately 415 acres) and, in addition, adjoining parcels which are either entirely or partially designated as being inside the "65 dBA DNL noise contours" which means that they are significantly affected by the noise of airport operations to the extent their use for non airport purposes is constrained. The additional properties are zoned Exclusive Farm Use (EFU). These additional EFU-zoned parcels are owned by the City of Bend, Deschutes County and one private individual. (See accompanying Report for maps and ownership information) The Plan would be administered by the Deschutes County Urban Renewal Agency ("Agency"). An advisory committee will be appointed to recommend actions to the Agency for implementation of the Plan. The advisory committee is anticipated to include representatives of the City of Bend. Major changes to the Plan, if necessary, must be approved by the County Commission as detailed in Section VIII Future Amendments to the Plan. The Plan is accompanied by an Urban Renewal Report ("Report") that contains additional information. Projects and programs under the Plan are anticipated to last approximately 25 years. The maximum amount of indebtedness (amount of tax increment financing for projects and programs) that may be issued for the Plan is $9,700,000. II. GOALS AND OBJECTIVES The goals of the Plan represent its basic intents and purposes. Accompanying each goal are objectives, which generally describe how the Agency intends to achieve the goals. The urban renewal projects identified in Chapter IV of the Plan are the specific means of meeting the objectives. Goal 1: ECONOMY Diversify the economic base in the Deschutes County and strengthen the Area's role as a regional economic center. Objectives: 1A: Support business development by completing improvements which will enhance local aviation-associated businesses, preserve current aviation uses, promote private investment, and provide for a mix of employment types and uses. 1 B: Promote job retention and job creation by targeting quality jobs and enhancing job opportunities for local residents, particularly in the aviation and aerospace cluster. 1 C: Assist in the financing and provision of transportation and infrastructure improvements to support the development of aviation uses. 1 D: Work with property owners to promote beneficial development of properties within the Area. 1 E: Increase the supply of buildable serviced land for aviation uses within and adjacent to the Airport. Goal 2: TRAFFIC AND TRANSPORTATION Implement transportation improvements that will maintain the ability of the Airport to serve general aviation and aviation-related development in Deschutes County, increase access to the Area and mitigate traffic impacts. Objectives: 2A: Provide the Airport with adequate facilities, services and safety features to serve the existing and projected levels of aviation activity or demand as specified in the Airport Master Plan as it may be amended from time to time. 213: Provide economic support to regional and local businesses by developing an Airport that provides sufficient access to the national air transportation system. 2C: Provide facilities that are accessible from the ground and air to meet the demands of users. 2D: Improve and construct streets to meet future development demands. 2E: Improve roads to the extent that improvements are required for growth at the Airport. Goal 3: LAND USE Ensure an adequate supply of appropriately zoned land to provide for the development of aviation uses. Objectives: 3A: Provide opportunities for aviation and aviation-related development at and adjacent to the Airport. 313: Disperse employment centers to parts of the County with access to adequate transportation routes and public utilities. 3C: Eliminate potential conflicts in Ldn 65 noise contour properties by acquiring properties as specified in the Airport Master Plan as it is amended from time to time. Goal 4: PUBLIC UTILITIES Ensure that new development is located in areas that can be adequately served by public infrastructure including access, circulation, water, sanitary sewer, storm drainage and other facilities and services. 6 Objectives: 4A: Develop public infrastructure improvements on parcels of underutilized land to encourage private development. 413: Develop water, sanitary sewer and storm drainage improvements to support aviation uses. Goal 5: PUBLIC INVOLVEMENT Maintain a citizen involvement program that ensures the opportunity for citizens to be involved in all phases of the urban renewal planning and implementation process. Oboectives: 5A: Use available media to inform citizens of projects and programs to be undertaken under the Plan. 513: Provide for public input as to implementation of the Plan and work to achieve consensus as a basis for proceeding. 7 II. MAP AND LEGAL DESCRIPTION OF URBAN RENEWAL AREA The Area legal description is attached as Appendix A. (This will be attached once this goes to the County Commission) FIGURE 1. URBAN RENEWAL AREA BOUNDARY, ZONING AND COMPREHENSIVE PLAN DESIGNATIONS i Bend Airport AVIATION SUPPORT DIST AIRPORT OPS DIST = ASD- RESERVE AREA Urban Renewal Area EXCL. FARM USE (BLANK) Orthophoto: 2005 ~ AVIATION REL. IND DIST - ARID- RESERVE AREA MULT USE AGRIC 1 inch equals 500 feet 9 III. OUTLINE OF MAJOR URBAN RENEWAL PROJECT ACTIVITIES The major projects include taxiway and runway improvements, aviation safety improvements, development of new facilities, property acquisition, planning, public safety improvements and Airport area infrastructure improvements. The specific projects under those categories are as follows: A. Taxiway and Runway Improvements 1. Construct New Taxiway B 2. Reconstruct Taxiway A 3. Widen Runway 4. Lengthen Runway 5. Pavement Expansion: Westside Expand North Ramp 6. Pavement Expansion: Westside Expand South Ramp 7. Runway Upgrading B. Aviation Safety Improvements 1. Air Traffic Control Tower 2. Compass Rose 3. Fencing Improvements: Powell Butte Highway 4. Fending Improvements: Airport Frontage 5. Fencing Improvements: Install Perimeter Fencing 6. Auto Parking Improvements 7. Demolish Homes Acquired Inside 65 dBA DNL and 70 dBA DNL C. Development 1. Construct Airport Facilities Building: Administration, Maintenance, Meeting/Conference Room and Classroom 2. Construct Hangars for Airport to Own and Lease 3. Expand Heliport/Helipad D. Property Acquisition Purchase Property Inside 65 dBA DNL and 70 dBA DNL for Additional Airport Development and for Noise Buffer E. Planning 1. Airport Master Plan 2. Administration of Urban Renewal Plan F. Public Safety Improvements Construct Emergency Services Facility G. Airport Area Infrastructure Improvements 1. Road Improvement: Powell Butte Highway at Butler Market Road 10 2. Road Improvements: Powell Butte Highway IV. URBAN RENEWAL PROJECTS Urban renewal projects authorized by the Plan consist of public improvements that are described below. Public improvements authorized under the Plan include transportation and utility projects and other projects that will upgrade and expand the existing Airport. The actual scope, budget and priorities for urban renewal projects will be decided by the Agency as it administers the Plan. The majority of these projects are identified either in the current Bend Municipal Airport Master Plan (Master Plan) or in the 2002 Planning Update to the Master Plan. Where they are not identified in the Master Plan it is anticipated they will be included as activities in the upcoming Master Plan Update, scheduled for this year. Projects are expected to be undertaken after they have been included in the revised Master Plan. As shown in the Report, tax increment funds will be combined with existing and other future sources of funding to finance project costs. A. Taxiway and Runway Improvements Construct New Taxiway B Construct a 35-foot wide taxiway the length of the Airport at the east side of the Airport. This project would incorporate lighting, appropriate signage, and runup areas. 2. Reconstruct Taxiway A Reconstruction of taxiway on the west side of the Airport. This reconstruction includes widening the taxiway and adding appropriate lighting and signage, and runup areas. 3. Widen Runway The existing runway will be widened as determined in the Airport Master Plan update. 4. Lengthen Runway The existing runway will be lengthened as to be determined in the Airport Master Plan update. 5. Pavement Expansion The Westside north ramp will be expanded. 6. Pavement Expansion The Westside south ramp will be expanded. 11 7. Runway Upgrading The existing runway will have additional asphalt applied to increase its weight bearing capacity above 30,000 pounds as will be determined in the Airport Master Plan update. B. Safety Improvements Air Traffic Control Tower Construct an air traffic control tower for the Airport. 2. Compass Rose Construct a roadway for compass calibration/testing for aircraft. 3. Fencing Improvements: Powell Butte Highway Security fencing along Powell Butte Highway will be installed to protect both the Airport facilities and private property and to protect the safety of the public and wildlife. 4. Fencinq Improvements: Perimeter Fencing A perimeter security fence with gated openings will be installed to protect the Airport facilities and private property and to protect the safety of the public and wildlife. 5. Auto Parking Improvements Auto parking will be developed to meet increased demand and/or to resolve potential safety hazards. 6. Airport Perimeter Roadway: Install and Expand Perimeter Roadway A perimeter roadway will be constructed to provide access for fuel trucks to access both sides of the Airport without having to cross an active runway. 7. Demolish Homes Acquired Inside 65 dBA DNL and 70 dBA DNL After acquisition, the existing houses within the Area will be demolished. C. Development Construct Airport Facilities Building: Administration, Maintenance Meeting/Conference Room and Classroom Develop additional space for administrative offices, a maintenance facility, a meeting/conference room and the community college has requested a classroom. 12 2. Construct Airport Hangars Develop additional hangar space to meet growing demand. The Airport may construct those hangars to sell or to retain in public ownership and to lease to private individuals as an income source. 3. Expand Heliport/Helipad The existing heliport/helipad will be moved to another location on the Airport where there will be more room for this growing use, and fewer conflicts with fixed wing aircraft. D. Property Acquisition Purchase Property Inside 65 and 70 dBA DNL Noise Contours Parcels within the the 65 dBA DNL (4) and 70 (1) dBA DNL noise contours will be purchased for Airport and aviation-related uses. Where part of a parcel is within the contours, acquisition of the entire parcel is anticipated. E. Planning Airport Master Plan The present Airport Master Plan was adopted in 1994. An planning update was adopted in 2002. A new Master Plan will be undertaken that will provide specific direction on several of the projects included in the Plan. G. Public Safety 1. Construct Emergency Services Facility In cooperation with Rural Fire District # 2 a Emergency Services Facility in proximity to the Airport will be developed to serve the increase of facilities at the Airport. H. Infrastructure Improvements 1. Road Improvement: Powell Butte Highway at Butler Market Road A left turn lane on Powell Butte Highway to Butler Market Road will be constructed. 2. Road Improvement: Powell Butte Highway Improvements will be made to Powell Butte Highway as necessary for Airport operations. 13 V. PROPERTY ACQUISITION AND DISPOSITION The Plan authorizes the acquisition and disposition of property as described in this section. Property includes any and all interests in property, including fee simple ownership, lease, easements, licenses or other rights to use. A. Property Acquisition for Public Improvements The Agency may acquire any property within the Area for the public improvement projects undertaken pursuant to the Plan by all legal means, including use of eminent domain, without amendment to the Plan. The Agency will follow all procedures for acquisition as required by the funding source of the acquisition and by FAA, if applicable. Good faith negotiations for such acquisition must occur prior to institution of eminent domain procedures. The schedule for acquisition of land for a public improvement project will be determined based on the timing of the construction of the public improvement. B. ' Property Acquisition - From Willing Sellers The Plan authorizes the Agency acquisition of any interest in property within the Area that the Agency finds is necessary to support private redevelopment, but only in those cases where the property owner wishes to convey such interest to the Agency. The Plan does not authorize the Agency to use the power of eminent domain to acquire property for a private party to transfer property to another private party for private redevelopment. C. Property Acquisition for Noise Buffer The Agency may acquire any property within the Area for noise buffer projects undertaken pursuant to the Plan by all legal means, including use of eminent domain, without amendment to the Plan. The Agency will follow all procedures for acquisition as required by the funding source of the acquisition and by FAA, if applicable. Good faith negotiations for such acquisition must occur prior to institution of eminent domain procedures. The schedule for acquisition of land for a public improvement project will be determined based on the timing of the construction of the public improvement D. Land Disposition The Agency will dispose of property acquired for a public improvement project by conveyance to the appropriate public agency responsible for construction and/or maintenance of the public improvement. The Agency may retain such property during construction of the public improvement. The schedule for disposition of land for a public improvement project will be determined based on the timing of the construction of the public improvement. The Agency may dispose of property acquired under Subsection B of this Section V by conveying any interest in property acquired. The Agency will follow all procedures for disposition as required by the funding source of the acquisition 14 and by FAA, if applicable. The schedule for disposition of land acquired under Subsection B. of this Section V will be determined by the Agency when the Agency determines the acquisition is necessary pursuant to Section V.B above. These determinations may be made by Resolution of the Agency. Property shall be conveyed at its fair reuse value. Fair reuse value is the value, whether expressed in terms of rental or capital price, at which the urban renewal agency in its discretion determines such land, should be made available in order that it may be developed, redeveloped, cleared, conserved or rehabilitated for the purposes specified in such plan. Because fair reuse value reflects limitations on use of the property to those purposes specified in the Plan, the value may be lower than the property's fair market value. Where land is sold or leased, the purchaser or lessee must agree to use the land for the purposes designated in the Plan and to begin and complete the building of its improvements within a period of time that the Agency determines is reasonable. VI. RELOCATION METHODS When the Agency acquires occupied property under the Plan, residential or commercial occupants of such property shall be offered relocation assistance as required under applicable state and federal law. Prior to such acquisition, the Agency shall adopt rules and regulations as necessary for the administration of relocation assistance. VII. TAX INCREMENT FINANCING OF PLAN Tax increment financing consists of using annual tax increment revenues to make payments on loans, usually in the form of tax increment bonds. The proceeds of the bonds are used to finance the urban renewal projects authorized in the Plan. Bonds may be either long-term or short-term. Tax increment revenues equal most of the annual property taxes imposed on the cumulative increase in assessed value within an urban renewal area over the total assessed value at the time an urban renewal plan is adopted. [Under current law, the property taxes for general obligation ("GO") bonds and local option levies approved after October 6, 2001 are not part of the tax increment revenues.] A. General Description of the Proposed Financing Methods The Plan will be financed using a combination of revenue sources. These include: Tax increment revenues; • Advances, loans, grants and any other form of financial assistance from the Federal, State or local governments or other public body; 15 • Loans, grants, dedications or other contributions from private developers and property owners, including but not limited to assessment districts; and • Any other public or private source. Revenues obtained by the Agency will be used to pay or repay the costs, expenses, advancements and indebtedness incurred in (1) planning or undertaking project activities, or (2) otherwise exercising any of the powers granted by ORS Chapter 457 in connection with the implementation of this Plan. B. Tax Increment Financing and Maximum Indebtedness The Plan may be financed, in whole or in part, by tax increment revenues allocated to the Agency as provided in ORS Chapter 457. The ad valorem taxes, if any, levied by a taxing district in which all or a portion of the Area is located, shall be divided as provided in Section 1c, Article IX of the Oregon Constitution, and ORS 457.440. Amounts collected pursuant to ORS 457.440 shall be deposited into the unsegregated tax collections account and distributed to the Agency based upon the distribution schedule established under ORS 311.390. The maximum amount of indebtedness that may be issued or incurred under the Plan, based upon good faith estimates of the scope and costs of projects in the Plan and the schedule for their completion is Nine Million Seven Hundred Thousand Dollars ($9,700,000). This amount is the principal of such indebtedness and does not include interest or indebtedness incurred to refund or refinance existing indebtedness. C. Prior Indebtedness Any indebtedness permitted by law and incurred by the Agency in connection with the preparation of this Plan or prior planning efforts that support the preparation or implementation of this Plan may be repaid from tax increment revenues from the Area when and if such funds are available. VIII. FUTURE AMENDMENTS TO PLAN The Plan may be amended as described in this section. A. Substantial Amendments Substantial Amendments are solely amendments: • Adding land to the urban renewal area, except for an addition of land that totals not more than one percent of the existing area of the urban renewal area; or • Increasing the maximum amount of indebtedness that can be issued or incurred under the Plan. 16 Substantial Amendments, in accordance with ORS 457.085(2)(1), shall require the same notice, hearing and approval procedure required of the original Plan under ORS 457.095, including public involvement, consultation with taxing districts, presentation to the Planning Commission and adoption by the County Commission by non-emergency ordinance after a hearing. Notice of such hearing shall be provided to individuals or households within Deschutes County as required by ORS 457.120. Notice of adoption of a Substantial Amendment shall be provided in accordance with ORS 457.095 and .115. B. Commission Approved Amendments Commission Approved amendments consist solely of amendments which result in: • Material changes to the goals and objectives of the Plan; or • Addition or expansion of a project that is materially different from projects previously authorized in the Plan. Commission Approved amendments require approval by the Agency by resolution and by the County Commission by ordinance. C. Minor Amendments Minor Amendments are amendments that are not Substantial or Commission Approved Amendments in scope. Minor Amendments require approval by the Agency by resolution. D. Amendments to the Deschutes County Comprehensive Plan and/or Deschutes County Revised Code Amendments to the Deschutes County Comprehensive Plan and/or Deschutes County Development Code that affect the Plan and/or the Area shall be incorporated automatically within the Plan without any separate action required by the Agency or the County Commission. IX. RELATIONSHIP TO LOCAL OBJECTIVES The Plan relates to the local planning and development objectives contained within the Deschutes County Comprehensive Plan and Transportation System Plan. The following section describes the purpose and intent of these plans, the particular goals and policies within each planning document to which the proposed Plan relates and an explanation of how the Plan relates to these goals and policies. The original numbering of goals, policies and sections within the various plans were retained so that they may be referenced within the plans themselves. Therefore, numbering in this section of the Plan may not always fall in sequential order. The information in regular font is directly from the adopted document. The information in italics is how the urban renewal plan relates to this policy 17 A. Deschutes County Comprehensive Plan Purpose The purpose of the Comprehensive Plan for Deschutes County is not to provide a site- specific identification of the appropriate land uses which may take place on a particular piece of land but rather it is to consider the significant factors which affect or are affected by development in the County and provide a general guide to the various decisions which must be made to promote the greatest efficiency and equity possible, while managing the continuing growth and change of the area. Part of that process is identification of an appropriate land use plan, which is then interpreted to make decisions about specific sites (most often in zoning and subdivision administration) but the plan must also consider the sociological, economic and environmental consequences of various actions and provide guidelines and policies for activities which may have effects beyond physical changes of the land. The plan must also consider factors other than those of a strictly local nature because the policies must serve not only as an internal guide but also as a way of relating to the larger society of which we are a part. The planning process has to be oriented toward the production of the most beneficial long-range results possible for the residents community, not as an end to growth, but as a way to guide growth for the general welfare of the of the public. 1. Chapter 23.52: Economy The Plan relates to the Chapter 23.52 Economy in the following ways: GOALS To diversify and improve the economy of the area. 2. To enhance and maintain the existing natural resource, commercial and industrial segments of the local economy. The Plan provides improvements which will enhance the Area's services thereby increasing employment opportunities within the Area. These improvements will enhance and maintain the existing aviation uses in the local economy. POLICIES Tourism a. The importance of tourism to the local economy is well known, but there also exists considerable potential for strengthening and improving this segment of the economy. The County shall assist in the development of a long-range plan to encourage tourism (including destination resorts) and recreation locally (see Recreation Chapter for additional information). This study will include consideration of the impacts likely to be created by increasingly expensive gasoline. 18 b. Private commercial activities consistent with other County policies which enhance tourism shall be encouraged by the County. The Plan relates to the goal to diversify and improve the economy and to enhance the existing economy. The Plan would support the current aviation uses, many of which are tourist related, and provide opportunities for those to expand. 3. Land a. Adequate lands for commercial and industrial requirements shall be set aside (see Rural Development and Urbanization chapters). b. In order that local residents have adequate employment the County shall encourage programs that appropriately increase employment opportunities and assist, where feasible, public plans and programs to develop industrial land. The Plan relates to the land section of the goal to diversify and improve the economy and to enhance the existing economy. The Plan would support the current aviation uses and provide opportunities for those to expand, providing increased employment opportunities. 2. Chapter 23.60: Transportation The Deschutes County Comprehensive Plan Transportation Chapter addresses both short and long-term transportation needs. This Chapter looks at the next 20 years in Deschutes County, and identifies through goals and policies, how best to efficiently move people and goods throughout the County. Planning for the transportation needs within the Bend, Redmond and Sisters urban growth boundaries are covered by those cities' respective comprehensive plan transportation elements. The purpose of Deschutes County Comprehensive Plan (DCC) section 23.60 is to develop a transportation system that meets the needs of Deschutes County residents, while also considering regional and state needs at the same time. This plan addresses a balanced transportation system that includes automobile, bicycle, rail, transit, air, pedestrian and pipelines. It reflects existing land use plans, policies and regulations that affect the transportation system. The Plan relates to the Chapter 23.60 Transportation in the following ways: B. Existing Road System Deschutes County is responsible for maintaining approximately 943 total miles within the County system. Out of the total miles maintained by the County, approximately 750 miles are paved and 193 are unpaved. An additional 1,200 miles of unpaved roads are dedicated to the public but not in the County system. Most of the rural roads are located in the western part of the County along the 19 major state highway corridors. In the other, mostly unpopulated areas, roads totaling approximately 410 miles are under the jurisdiction of the U.S. Forest Service, U.S. Bureau of Land Management, the Oregon State Forestry Division, or the Oregon State Parks Division. Of the 750 paved miles of public roads located in the County, many are controlled by the local jurisdictions within the three incorporated cities (Bend, Redmond and Sisters). However, the County maintains approximately 120 miles of urban roadways within Urban Growth Boundaries (UGB). Of the 120 urban road miles the County maintains, approximately 27 miles are within city limits. An additional 200 miles of roadways (state highway system) are controlled by ODOT. The Plan authorizes expenditures to upgrade the existing road system surrounding the Airport for projects related to Airport expansion. An Immediate Opportunity Fund (IOF) application has been made for the left turn lane on Powell Butte Highway to Butler Market Road. P. Air transportation With the passage of SB 1113 in 1995, Oregon Department of Transportation (ODOT) is proposing that the County establish an "airport zone" for each of the public use airports in the County to assure the continuation of airport and airport- related uses there. State Rule Oregon Administrative Rule (OAR) 660-13, was adopted in December 1996 by the Land Conservation and Development Commission (LCDC). In July 1997, the state passed House Bill (HB) 2605 which modified Oregon Statutes regarding airport planning and will have an as yet undetermined effect on OAR 660-13. 1. Public-Use Airports: Publicly-Owned (Municipal) a. Redmond Municipal Airport b. Bend Municipal Airport The Plan relates to the transportation goal to support the Bend Municipal Airport. The Plan would support the current aviation uses and provide opportunities for those to expand. 2. Chapter 23.64: Transportation System Plan In late 1994, the County initiated work on a long-range transportation system plan (TSP), which was a requirement of OAR 660-12, the Transportation Planning Rule (TPR). The State of Oregon approved the Rule in 1991. The purpose of the TSP is to guide the development of a safe, convenient and efficient transportation system that promotes economic prosperity and livability for all County residents. 20 B. The TSP makes recommendations regarding short-term and long-term transportation projects on state and County facilities that will be needed over the next 20 years. 1. The project list was based on: a. Evaluating the capacity of the County road system and the state highway network within Deschutes County. b. The results of state accident database analysis. C. Input from the County Road Department. d. Efforts to enhance alternative modes of transportation through compliance with the Transportation Planning Rule. e. The input received from the citizen review committee (County Planning Commission) and the public outreach process in general. The Plan authorizes expenditures to upgrade the existing road system surrounding the Airport for projects related to Airport expansion. An Immediate Opportunity Fund (IOF) application has been made for the left turn lane on Powell Butte Highway to Butler Market Road. A. 23.64.30 Arterial and Collector Roads. 1. County road Network. The findings in the TSP conclude that the County road network currently in place, except for several specific road segments, should be adequate to serve the County needs over the next twenty years. Given the rural nature of Deschutes County and the fact that the majority of new development will take place on existing lots with existing access, few additional roads are anticipated. New road corridors to isolated subdivisions and new roads linking urban and rural areas are the main exceptions. Any new roads that will be created most likely will be the result of new developments and would therefore be part of land use development review or would be for secondary access or emergency ingress/egress to isolated subdivisions. Unforeseen large developments such as destination resorts normally have a private road system but their impacts to the County road network would be assessed at the time of land use approval. The majority of road-related projects will consist of safety-related or other upgrades, maintenance and repair. Upgrades, maintenance and repair should be actively pursued to maintain the integrity of the system and not jeopardize the current conditions. Pedestrian, bicycle and transit modes of transportation require wider, smoother roadways. These improvements also benefit automobile and truck traffic by making the roads safer and more efficient. The main purpose of the County-owned road network is to move people and goods as efficiently as possible between and to the 21 incorporated cities in the County, not as a means of increasing urban scale developments in the unincorporated communities of the County. The County recognizes the importance of having a natural and seamless transition of jurisdiction for County roads within urban growth boundaries to their respective city jurisdictions as the cities continue to grow. a. Goal: Establish a transportation system, supportive of a geographically distributed and diversified industrial base, while also providing a safe, efficient network for residential mobility and tourism. b. Policies: Deschutes County shall: a. Consider the road network to be the most important and valuable component of the transportation system; and b. Consider the preservation and maintenance and repair of the County road network to be vital to the continued and future utility of the County's transportation system. 3. County roads. Several roads within the rural areas of the County road network are in need of reclassification. b. Upgrade Functional Class - Rural Local to Rural Collector 2. Nelson Road from Waugh Rd. to Powell Butte Highway. The Plan authorizes expenditures to upgrade the existing road system surrounding the Airport for projects related to Airport expansion. An Immediate Opportunity Fund (IOF) application has been made for the left tum lane on Powell Butte Highway to Butler Market Road. The Plan activities will not alter any road classifications. B. 23.64.200 Airports The continued operation and vitality of airports registered, licensed or otherwise recognized by the Department of Transportation is a matter of State and County concern. There are currently 18 registered airports in Deschutes County. Four of these are public use airports; two of which, Bend Municipal and Redmond Municipal-Roberts Field are publicly owned while Sisters Eagle Air and Sunriver airports are privately owned. These airports have improved (paved) runways, and offer a range of services, from the availability of commercial passenger flights arriving and departing daily 22 at Redmond Municipal Airport, to the Sisters (Eagle Air) Airport which offers no services or runway navigational aids. The Redmond Airport, which is located completely within the City limits of Redmond, is owned and controlled by the City of Redmond. It has a master plan, which was updated in 1998 and adopted by the City. The Plan guides the future land use(s) at the airport. The Master Plan includes an inventory of existing facilities, land uses, aviation forecasts, a demand/capacity analysis, airport layout plan and a development program. Unlike the Redmond Airport, the Bend Municipal Airport is located outside the Bend City limits and UGB, therefore the County has land use jurisdiction over it. In order to guide airport land uses, the County adopted and utilizes the 1994 Bend Municipal Airport Master Plan, as amended in 2002 the "Supplement to 1994 Airport Master Plan" incorporated by reference herein. This is the guiding document for airport planning and development. This document incorporates a range of facility improvements for the Bend Municipal Airport over the 20-year planning horizon (2021), including short, intermediate, and long-term projects to improve safety and function at the airport. Currently, LCDC has administrative regulations (OAR 660-13) which were adopted in 1996. These regulations apply to airports that, in 1994, were the base for three or more aircraft. However, with the passage of HB 2605, the regulations were revised by the 1997 Oregon Legislature, which will require LCDC to update the rules to incorporate the changes made by the Legislature. For purposes of this TSP, the County will not alter current land use regulations in response to the current regulations (OAR 660-13) which have been revised by the Oregon Legislature. While the content of the new regulations is not yet known, the County policy shall be to develop ordinances to comply with the new regulations once they are adopted by LCDC. The Plan relates to these goals and policies in the following ways: GOALS Protect the function and economic viability of the existing public-use airports, while ensuring public safety and compatibility between the airport uses and surrounding land uses for public use airports and for private airports with three or more based aircraft. The Plan relates to this goal by providing infrastructure and safety improvements specified in Section IV of the Plan. POLICIES a. Deschutes County shall protect public-use airports through the development of airport land use regulations. Efforts shall be made to regulate the land uses in designated areas surrounding the Redmond, 23 Bend, Sunriver and Sisters (Eagle Air) airports based upon adopted airport master plans or evidence of each airports specific level of risk and usage. The purpose of these regulations shall be to prevent the installation of airspace obstructions, additional airport hazards, and ensure the safety of the public and guide compatible land use. For the safety of those on the ground, only limited uses shall be allowed in specific noise impacted and crash hazard areas that have been identified for each specific airport. Protecting the privately owned, private-use airports, with three or more based aircraft, will be accomplished by development of specific land use regulations for these types of airports. The function and economic vitality of privately owned, private-use airports with two or fewer based aircraft will also be accomplished through land use planning. Each airport's specific level of risk and usage shall be used to guide the continued safe aeronautical access to and from these airports considering the type of aircraft approved to use the airfield. b. Deschutes County shall: Continue to recognize the Redmond (Roberts Field) Airport as the major commercial/passenger aviation facility in Deschutes County and an airport of regional significance. Its operation, free from conflicting land uses, is in the best interests of the citizens of Deschutes County. Incompatible land uses shall be prohibited on the County lands adjacent to the airport; 2. Cooperate with the cities of Bend, Redmond and Sisters in establishing uniform zoning standards, which will prevent the development of hazardous structures and incompatible land uses around airports; 3. Through adoption of appropriate zoning restrictions, take steps to ensure that any proposed uses shall not impact airborne aircraft because of height of structures, smoke, glare, lights which shine upward, radio interference from transmissions or any water impoundment's or sanitary landfills which would create potential hazards from waterfowl to airborne aircraft; 4. Through adoption of appropriate zoning restrictions, allow land uses around public-use airports that will not be adversely affected by noise and safety problems and will be compatible with the airports and their operations; 5. Work with, and encourage airport sponsors to work with the Federal Aviation Administration (FAA) to enforce FAA- registered flight patterns and FAA flight behavior regulations to protect the interests of County residents living near airports. 24 6. Adopt zoning restrictions to ensure that developments in the airport approach areas will not be visually distracting, create electrical interference or cause other safety problems for aircraft or persons on the ground. In addition, efforts shall be made to minimize population densities and prohibit places of public assembly in the approach areas; 7. Continue efforts to prevent additional residential encroachment within critical noise contours or safety areas without informed consent; 8. Specifically designate any proposed airport facility relocations or expansions within County jurisdiction on an airport master plan or airport layout plan map, as amended, and establish the appropriate airport zoning designation to assure a compatible association of airport growth with surrounding urban or rural development; 9. Maintain geographic information system (GIS) mapping of the Airport Safety Combining Zones and provide timely updates; 10. For those airports in Deschutes County without adopted master plans, the County shall, as a minimum, base any land use decisions involving airports on LCDC airport regulations, upon adoption of those regulations by LCDC, which implement HB 2605; 11. Participate in and encourage the County-adoption of airport master plans for all public use airports and at least an airport layout plan for the remaining ODOT-recognized airfields in Deschutes County; 12. Encourage appropriate federal, state and local funding for airport improvements at public-owned airports; and 13. Discourage future development of private landing fields when they are in proximity to one another, near other public airports and potential airspace conflicts have been determined to exist by the Federal Aviation administration (FAA) or ODOT Aeronautics. (Ord. 2003-035 §1, 2003; Ord. 2002-005 §1, 2002; Ord. 2000-017 §1, 2000; Ord. 98-044, 1998) The Plan relates to the Transportation Systems Plan's goals and policies for the Bend Municipal Airport. It implements the existing Airport Master Plan and provides for updating the Master Plan. It provides strategies for protecting the airport and surrounding uses in the critical noise contours. It proposes development within the confines on the existing zoning for the area. 25 3. Chapter 23.68: Public Facilities and Services In a County growing as fast as Deschutes County the provision of public services is a major issue. Adequate services at the right locations are the result of planning, hard work and money. The present growth rate has exceeded the previous plans and hard work by local governments has not always been able to keep up with the demand, especially since there is a growing reluctance to pay the higher taxes it takes to obtain the public services. In addition, the scattered low- density development that has occurred in some places is so inefficient in supplying services that the needed facilities are excessively expensive or completely unprofitable. The Plan relates to Chapter 23.68 Public facilities in the following ways: E. Fire Perhaps the public service most often forgotten is fire protection. In many areas of the County no fire agency is responsible for fires which occur. To solve this problem fire districts are often formed in rural areas or fire protection contracts signed with fire protection agencies. As the County continues to grow many firefighting agencies are becoming increasingly concerned about the lack of proper controls to reduce fires in subdivisions, the inadequacy of firefighting equipment and training, and the need for more cooperation and mutual aid agreements between the various agencies. Proper planning and subdivision control is seen as critical in dealing with the situation. GOALS To plan and develop a timely, orderly and efficient arrangement of public facilities and services to serve as framework for urban and rural development, and thereby a system or plan that coordinates the type, location and delivery of public facilities and services in a manner that best supports the existing and proposed land uses. POLICIES 1. General a. Public facilities and services shall be provided at levels and in areas appropriate for such uses based upon the carrying capacity of the land, air and water, as well as the important distinction that must be made between urban and rural services. In this way public services may guide development while remaining in concert with the public's needs. C. Future development shall depend on the availability of adequate local services in close proximity to the proposed site. Higher densities may permit the construction of more adequate services 26 than might otherwise be true. Cluster and planned development shall be encouraged. Deschutes County shall coordinate with the cities and other service providers in urban areas to assure that all urban services are provided in an equitable manner and construction phased, based upon the time required to provide the service, the reliability of the service, the financial cost, and the levels of service needed. All services shall be provided consistent with the provisions of all other required services. 6. Fire a. Land for a fire station shall be dedicated in large developments. Fire stations should be built in an architectural style that will blend into the area of location. The Plan relates to the goal to provide public services by including funding for the future development of an emergency services facility to serve both the Airport and surrounding areas. Financing for emergency services facility from the Plan can include only capital expenditures. 4. Chapter 23.72: Recreation GOALS 1. To satisfy the recreational needs of the residents of and visitors to Deschutes County. 2. To maximize utilization of economic and personnel resources through increasing intergovernmental and public-private cooperation in the provision of recreation facilities and services. The Plan relates to the recreation goal by supporting the aviation uses at the Airport, recognizing that many of those uses are for recreation purposes. The Plan would support the current aviation uses and provide opportunities for those to expand. 5. Chapter 23.88: Agricultural Lands GOAL 1. To preserve and maintain agricultural land. The Plan relates to the Agricultural Lands goal as there is EFU property in the Area. The Plan includes some EFU zoned property on which a portion of the property is in the 65 d8A DNL DNL noise contour. The property is included in the Area to allow the future acquisition of the property to both protect the airport and to minimize impact on adjacent 27 uses which is an airport-related use. Because the County is using the Supplement to "guide airport land uses, "and the Supplement states that the property which is within the Ldn65 contour shall be considered committed for airport-related or accessory commercial or industrial uses including the property which is within the Ldn65 contour in the Area is in conformance with the Comprehensive Plan. Although not all of each EFU parcel is within the Ldn65 contour, urban renewal best practice is to follow property lines for an urban renewal Area boundary because this eliminates the necessity for afield survey of the Area boundary. It also informs a property owner of the Agency's intended future use of the property and reduces the possibility of creating a divided, uneconomic remaining parcel. The Plan supports the 1994 Bend Municipal Airport Master Plan and 2002 Bend Municipal Airport Master Plan Planning Update by including Ldn 65 noise contour properties identified in the Plan Update. Until such time that acquisition is completed, the Plan will not interfere with the present use of the parcels. Airport related uses would not be placed on the EFU properties until such time as a Goal Exception was taken. The majority of this property is in public ownership as shown in the accompanying Report. A small portion of the property on the south end of the Airport is in private ownership. No aviation uses would be placed on these EFU parcels until a LCDC Goal 2 Exception is taken. 6. Chapter 23.124: Citizen Involvement GOALS A. To promote and maintain better communication between the community's various segments (i.e., governmental agencies, business groups, special districts and the general public). B. To provide the opportunity for the public to identify issues of concern and encourage their involvement in planning to addresses those issues. The Plan relates to the citizen involvement goal. There will be public input on the drafting of the Plan through public meetings. B. 1994 Bend Municipal Airport Master Plan Update and 2002 Supplement to the 1994 Bend Municipal Airport Planning Update PURPOSE The Bend Municipal Airport Master Plan (Master Plan) was developed in 1994 to examine the needs at the Airport and provide guidance for airport development for the next 20 years. The 2002 Supplement to the Bend Municipal Airport Planning Update (Supplement) documents changes in facilities, activity and facility needs that have occurred since the Master Plan was last updated. 28 By adoption of Ordinance No. 2003-035, effective January 1, 2004, Deschutes County incorporated the 1994 Bend Municipal Airport Master Plan, as amended in 2002 by the Supplement to 1994 Airport Master Plan. Deschutes County Comprehensive Plan §23.64.200. The Plan relates to the Bend Airport Master Plan by implementing planned improvement projects identified in the Master Plan and the Supplement. It also provides for the completion of a new Master Plan. Supplement Chapter 1 of the Supplement, Inventory, quotes Policy 27 of the Transportation Element of the Comprehensive Plan applicable to the Bend Airport: "27(a). The Bend Municipal Airport will grow along with the rest of Deschutes County, and the following additional policies shall apply to the properties shown on the components of the airport overlay-zones within the area of average Ldn 65 contour (substantial impact area): "1. Property within the average Ldn 65 contour (substantial impact area) shall be considered committed for airport-related or accessory commercial or industrial uses. At such time as an exception to LCDC Goal 2 (Agricultural Lands) is taken, such properties shall be available to be rezoned to A-D Airport Development, provided public need is demonstrated for the exception, in accordance with LCDC Goal 2 (Land Use Planning) and public need is demonstrated for the zone to be placed upon the property...." The current version of the County's Comprehensive Plan, and the Transportation Element, has been revised since the Supplement was drafted in 2002. Policy #27 is not in the current County Comprehensive Plan. Nonetheless, the Supplement still remains part of the Comprehensive Plan by reference. DCC 23.64.200 states, "in order to guide airport land uses, the County adopted and utilizes the 1994 Bend Municipal Airport Master Plan, as amended in 2002 the "Supplement to 1994 Airport Master Plan" incorporated by reference herein. This is the guiding document for airport planning and development." The Plan includes some EFU zoned property on which a portion of the property is in the 65 dBA DNL noise contour. The property is included in the Area to allow the future acquisition of the property to both protect the airport and to minimize impact on adjacent uses which is an airport-related use. Because the County is using the Supplement to "guide airport land uses," and the Supplement states that the property which is within the Ldn65 contour shall be considered committed for airport-related or accessory commercial or industrial uses 29 including the property which is within the Ldn65 contour in the Area is in conformance with the Comprehensive Plan. Although not all of each EFU parcel is within the Ldn65 contour, urban renewal best practice is to follow property lines for an urban renewal Area boundary because this eliminates the necessity for a field survey of the Area boundary. It also informs a property owner of the Agency's intended future use of the property and reduces the possibility of creating a divided, uneconomic remaining parcel. The Plan supports the 1994 Bend Municipal Airport Master Plan and 2002 Bend Municipal Airport Master Plan Planning Update by including Ldn 65 noise contour properties identified in the Plan Update. Until such time that acquisition is completed, the Plan will not interfere with the present use of the parcels. An exception to LCDC Goal 2 would be taken prior to any airport related use being placed on the property. The majority of this property is in public ownership as shown in the accompanying Report. A small portion of the property on the south end of the Airport bordered by Nelson Road is in private ownership. C. Deschutes County Planning Code PURPOSE A. The intent or purpose of DCC Title 18 is to promote the public health, safety and general welfare and to carry out the Deschutes County Comprehensive Plan, the provisions of ORS 215 and the Statewide Planning Goals adopted pursuant to ORS 197. DCC Title 18 is to establish zoning districts and regulations governing the development and use of land within portions of Deschutes County, Oregon; B. To provide regulations governing nonconforming uses and structures; to establish and provide for the collection of fees; to provide for the administration of DCC Title 18 and for the officials whose duty it shall be to enforce the provisions thereof; to provide penalties for the violations of DCC Title 18; and to provide for resolution of conflicts; C. To regulate the placement, height and bulk of buildings; and the placement and growth of vegetation within the County to ensure access to solar energy by reasonably regulating interests in property within the County, as authorized under ORS 215.044 and ORS 105.880 through 105.890, to promote and maximize the conservation of energy by preserving the option to utilize solar energy and to implement the Comprehensive Plan polices relating to solar energy; and D. To encourage the design of new buildings, structures and developments which use solar energy and protect future options to use solar energy by protecting solar access. 30 The Plan relates to the Deschutes County Planning Code in the following ways: 1. Chapter 18.16: Exclusive Farm Use PURPOSE A. The purpose of the Exclusive Farm Use zones is to preserve and maintain agricultural lands and to serve as a sanctuary for farm uses. B. The purposes of this zone are served by the land use restrictions set forth in the Comprehensive Plan and in DCC 18.16 and by the restrictions on private civil actions and enforcement actions set forth in ORS 30.930 through 30.947. The Plan includes some EFU zoned property on which a portion of the property is in the 65dBA DNL noise contour. The property is included in the Area to allow the future acquisition of the property to both protect the airport and to minimize impact on adjacent uses which is an airport-related use. The 2002 Supplement to the Master Plan contemplates acquisition of this property by the City. Until that acquisition, no projects would occur on these parcels which would interrupt their present use as EFU zoned properties. 2. Chapter 18.76: Airport Development Zone PURPOSE The purpose of the Airport Development (AD) Zone is to allow for development compatible with ongoing airport use consistent with the Deschutes County Year 2000 Comprehensive Plan and the 1994 Bend Airport Master Plan (as amended by a 2002 supplement), while providing for public review of proposed development likely to have significant impact on surrounding lands. The AD Zone is composed of three separate zoning districts, each with its own set of allowed uses and distinct regulations, as further set forth in DCC 18.76. The Plan relates to the following sub chapters of the Airport Development Zone in the following ways: Airfield Operations District (AOD) Uses Permitted Outright. The following uses and their accessory uses are permitted outright: A. Runway, taxiway, service road, fuel storage and sales and emergency repair. B. Facilities approved or mandated by the FAA or Oregon State Aeronautics Division specifically supporting airport operations. (Ord. 2003-036 §2, 2003) The Plan relates to the AOD zone as Plan projects including runway and taxiway improvements within this zone are permitted uses. 31 Aviation Support District (ASD) A. Uses Permitted Outright. The following uses and their accessory uses are permitted outright: 1. Runway, taxiway, service road, fuel storage and sales and emergency repair. 2. Facilities approved or mandated by the FAA or Oregon State Aeronautics Division. 3. Related uses which are customarily appurtenant to airports, including but not limited to hangars, tie-down areas and parking facilities. B. Conditional Uses Permitted. The following conditional uses may be permitted subject to DCC 18.128 and a conditional use permit: 1. Restaurants, which may include a bar or cocktail lounge as an accessory use. One restaurant per airport. Restaurants, including any accessory use, are to be 2,500 square feet or less in size. 2. Airport or aviation-related businesses that benefit from an on-airport location. (Ord. 2004-013 §8, 2004; Ord. 2003-036 §2, 2003) The Plan relates to the ASD zone as projects within this zone are permitted uses. Aviation-Related Industrial District (ARID) A. Uses Permitted Outright. The following uses and their accessory uses are permitted outright: 1. Runway, taxiway, service road, fuel storage and sales and emergency repair. 2. Facilities approved or mandated by the FAA or Oregon State Aeronautics Division. 3. Related uses which are customarily appurtenant to airports, including but not limited to hangars, tie-down areas and parking facilities. 4. Airport or aviation-related commercial or industrial businesses that benefit from an on-airport location The Plan relates to the ARID zone as projects within this zone are permitted uses. 3. Chapter 18.80: Airport Safety Combining Zone Imaginary Surface and Noise Impact Boundaries For the Redmond, Bend, Sunriver, and Sisters airports, the airport elevation, the airport noise impact boundary, and the location and dimensions of the runway, primary surface, runway protection zone, approach surface, horizontal surface, conical surface and 32 transitional surface shall be delineated for each airport subject to this overlay zone and shall be made part of the official Zoning Map. All lands, waters and airspace, or portions thereof, that are located within these boundaries (including direct and secondary impact boundaries) or surfaces shall be subject to the requirements of this overlay zone. Height Limitations All uses permitted by the underlying zone shall comply with the height limitations in DCC 18.80.028. When height limitations of the underlying zone are more restrictive than those of this overlay zone, the underlying zone height limitations shall control. [ORS 836.619; OAR 660-013-0070] A. Except as provided in DCC 18.80.028(B) and (C), no structure or tree, plant or other object of natural growth shall penetrate an airport imaginary surface. [ORS 836.619; OAR 660-013-0070(1)] B. For areas within airport imaginary surfaces but outside the approach and transition surfaces, where the terrain is at higher elevations than the airport runway surfaces such that existing structures and permitted development penetrate or would penetrate the airport imaginary surfaces, a local government may authorize structures up to 35 feet in height. C. Other height exceptions or variances may be permitted when supported in writing by the airport sponsor, the Department of Aviation and the FAA. Applications for height variances shall follow the procedures for other variances and shall be subject to such conditions and terms as recommended by the Department of Aviation and the FAA (for Redmond, Bend and Sunriver.) The Plan relates to the Airport Safety Combining zone as projects within this zone are permitted uses. Bend Municipal Airport Bend Municipal Airport is a Category 2, Business or High Activity General Aviation Airport. The 5,200 foot long by 75 foot wide paved runway is located at an elevation is 3,456 feet. Imaginary surface dimensions for the Bend Airport are based on planned improved operational characteristics, and an upgrade from a "utility" to "other than utility" runway, but do not reflect any planned extension to.the existing runway. A. Primary Surface: For Bend, the primary surface is 500 feet wide by 5,405 feet long. B. Runway Protection Zone (RPZ): Both Runway #16 and #34 have, or are proposed to have non-precision approaches. Both RPZs begin 200 feet off the ends of the runway. The non-precision RPZs form 500 foot wide by 1,700 foot long by 1,010 foot wide trapezoids. 33 C. Approach Surface: The non-precision approach surfaces are 500 feet wide by 10,000 feet long by 3,500 feet wide, with an upward approach slope ratio of 34:1 (one-foot vertical for each 34 feet horizontal). D. Horizontal Surface: The surface boundary is comprised of connected arcs drawn 10,000 feet outward and centered on the ends of the primary surface. The height of the horizontal surface for the Bend Airport is 3,603 feet. Land Use Compatibility Applications for land use or building permits for properties within the boundaries of this overlay zone shall comply with the requirements of DCC 18.80 as provided herein. When compatibility issues arise, the Planning Director or Hearings Body is required to take actions that eliminate or minimize the incompatibility by choosing the most compatible location or design for the boundary or use. Where compatibility issues persist, despite actions or conditions intended to eliminate or minimize the incompatibility, the Planning Director or Hearings Body may disallow the use or expansion, except where the action results in loss of current operational levels and/or the ability of the airport to grow to meet future community needs. Reasonable conditions to protect the public safety may be imposed by the Planning Director or Hearings Body. [ORS 836.619; ORS 836.623(1); OAR 660-013-0080] A. Noise Within airport noise impact boundaries, land uses shall be established consistent with the levels identified in OAR 660, Division 13, Exhibit 5 (Table 2 of DCC 18.80). Applicants for any subdivision or partition approval or other land use approval or building permit affecting land within airport noise impact boundaries, shall sign and record in the Deschutes County Book of Records, a Declaration of Anticipated Noise declaring that the applicant and his successors will not now, or in the future complain about the allowed airport activities at the adjacent airport. In areas where the noise level is anticipated to be at or above 55 Ldn, prior to issuance of a building permit for construction of a noise sensitive land use (real property normally used for sleeping or as a school, church, hospital, public library or similar use), the permit applicant shall be required to demonstrate that a noise abatement strategy will be incorporated into the building design that will achieve an indoor noise level equal to or less than 55 Ldn. [NOTE: FAA Order 5100.38A, Chapter 7 provides that interior noise levels should not exceed 45 decibels in all habitable zones.] B. Outdoor lighting No new or expanded industrial, commercial or recreational use shall project lighting directly onto an existing runway or taxiway or into existing airport approach surfaces except where necessary for safe and convenient air travel. Lighting for these uses shall incorporate shielding in their designs to reflect light away from airport approach surfaces. No use shall imitate airport lighting or impede the ability of pilots to distinguish between airport lighting and other lighting. 34 C. Glare No glare producing material, including but not limited to unpainted metal or reflective glass, shall be used on the exterior of structures located within an approach surface or on nearby lands where glare could impede a pilot's vision. D. Industrial emissions No new industrial, mining or similar use, or expansion of an existing industrial, mining or similar use, shall, as part of its regular operations, cause emissions of smoke, dust or steam that could obscure visibility within airport approach surfaces, except upon demonstration, supported by substantial evidence, that mitigation measures imposed as approval conditions will reduce the potential for safety risk or incompatibility with airport operations to an insignificant level. The review authority shall impose such conditions as necessary to ensure that the use does not obscure visibility. E. Communications Facilities and Electrical Interference No use shall cause or create electrical interference with navigational signals or radio communications between an airport and aircraft. Proposals for the location of new or expanded radio, radiotelephone, and television transmission facilities and electrical transmission lines within this overlay zone shall be coordinated with the Department of Aviation and the FAA prior to approval. Approval of cellular and other telephone or radio communication towers on leased property located within airport imaginary surfaces shall be conditioned to require their removal within 90 days following the expiration of the lease agreement. A bond or other security shall be required to ensure this result. F. Limitations and Restrictions on Allowed Uses in the RPZ, Approach Surface, and Airport Direct and Secondary Impact Areas For the Redmond, Bend, Sunriver, and Sisters airports, the land uses identified in DCC 18.80 Table 1, and their accessory uses, are permitted, permitted under limited circumstances, or prohibited in the manner therein described. In the event of conflict with the underlying zone, the more restrictive provisions shall control. As used in DCC 18.80.044, a limited use means a use that is allowed subject to special standards specific to that use. The proposed Plan relates to the general objectives and specific development standards prescribed for each of these zoning districts. The Plan will support the development of underdeveloped aviation land, thereby providing employment opportunities, which will in turn encourage development on adjacent parcels. D. FAA Policy on Property Acquisition In a US Department of Transportation Federal Aviation Administration Brochure Land Acquisition for Public Airports "How and Why your Local Government Acquires Real Property for Public Airports" there is the following policy statement about acquisition of properties. The brochure is in reference to Public Law 91- 646 The Uniform Relocation Assistance and Real Property Acquisition Policies 35 Act of 1970 (P.L. 91-646) which was signed into law and made effective on January 2, 1971. This document in full can be found at: http://www.faa. gov/airports_airtraffic/airports/environmental/relocation_assistance/ Can The Airport Owner Take Only A Part Of Your Property? Yes. However, if the acquisition of your property reduces the value of the remainder, you will be compensated for such reduction in value. Occasionally, a project or action will increase the value of a remaining parcel. When this occurs, generally no reduction is made from the purchase price of the parcel acquired by the airport owner; however, the determination of damages and/or benefits to the remainder depends on the provision of the State law in which the property is located. If the acquisition of a portion of your property leaves an "uneconomic remnant," the Uniform Act requires that the airport owner offer to acquire the remnant at its fair market value. What Is An Uneconomic Remnant? An "uneconomic remnant" is that portion of a property remaining after acquisition, the retention of which provides little utility or economic benefit to the owner. This can result from difficulty of access, a changed highest and best use, remoteness, or other reasons which burden the owner with expenses and responsibilities not commensurate with the benefit of keeping the remaining remnant. The Plan relates to this policy by authorizing purchase of entire parcels of land instead of portions of parcels so as to eliminate any controversy about leaving an uneconomic remnant. 36 APPENDIX A: BEND MUNICIPAL AIRPORT BOUNDARY DESCRIPTION Beginning at the Southwest corner of Section 17, Township 17 South, Range 13 East of the Willamette Meridian, Deschutes County, Oregon; thence North 00°00'38" West 2640.63 feet along the west line of said section to the West quarter corner of Section 17; thence continuing North 00°01'40" West 2640.79 feet along the west line of Section 17 to the Northwest corner thereof, thence North 89°48'28" East 1324.71 feet to the Northeast corner of the Northwest quarter of the Northwest quarter of said Section 17; thence South 00°02'08" East to the southerly right-of-way line of Powell Butte Highway; thence Easterly along said right-of-way to the point of intersection with the westerly right-of-way line of McGrath Road; thence Southeasterly along said right-of-way line to the East-West centerline of said Section 17; thence West along said centerline to the center of said section; thence South 00°02'36" East 2640.95 feet to the Southeast corner of the Southwest quarter of said Section 17 and being the North quarter corner of Section 20 of said Township and Range; thence South 00°03'56" West 2633.72 feet to the Southeast corner of the Northwest quarter of said Section 20; thence South 89°57'47" West 224.60 feet along the south line of said quarter to a point on the arc of a 630.00 foot radius non- tangent curve, concave to the Southeast; thence Southwesterly along the arc of said curve (the chord of which bears South 65°05'35" West 156.08 feet) 156.48 feet to the beginning of a 40.00 foot radius curve to the right; thence along the arc of said curve (the chord of which bears North 80°18'26" West 53.23 feet) 58.24 feet to the beginning of a 230.00 foot radius curve to the left; thence along the arc of said curve (the chord of which bears North 49°31'08" West 87.17 feet) 87.70 feet to the south line of the Northwest quarter of said Section 20; thence South 89°57'47" West 1028.39 feet along said south line to a point on the arc of a 60.00 foot radius non-tangent curve, concave to the east; thence Southeasterly along the arc of said curve (the chord of which bears South 20°55' 10" East 42.81 feet) 43.78 feet; thence South 89°57'47" West 2.01 feet; thence South 00'01'14" East 308.91 feet; thence South 89°58'46" West 44.00 feet; thence South 05°43'52" East 844.19 feet; thence South 89°58'46" West 700.00 feet; thence North 05°41'24" East 179.62 feet; thence South 89°57'45" West 103.37 feet; thence North 00°01' 14" West 1010.00 feet to the south line of said Northwest quarter of Section 20; thence South 89°57'47" West 403.75 feet along said south line to the Southwest corner of said Northwest quarter; thence North 00°00'43" West 2641.51 feet along the west line of said quarter to the point of beginning. SAVE & EXCEPT that portion within public rights of way. 37 r REPORT ACCOMPANYING THE BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Deschutes County August 27, 2008 TABLE OF CONTENTS INTRODUCTION .......................................................................................................1 II. EXISTING PHYSICAL, SOCIAL AND ECONOMIC CONDITIONS AND IMPACT ON MUNICIPAL SERVICES ............................................................................................2 A. PHYSICAL CONDITIONS ......................................................................................2 B. INFRASTRUCTURE ..............................................................................................6 C. SOCIAL CONDITIONS ..........................................................................................8 D. ECONOMIC CONDITIONS ....................................................................................8 E. IMPACT ON SERVICES (MUNICIPAL AND COUNTY) ........................................9 III. REASONS FOR SELECTION OF EACH URBAN RENEWAL AREA IN THE PLAN ................................................................................................................................10 IV. THE RELATIONSHIP BETWEEN URBAN RENEWAL PROJECTS AND THE EXISTING CONDITIONS IN THE URBAN RENEWAL AREA .................................10 A. TAXIWAY AND RUNWAY IMPROVEMENTS .....................................................10 B. SAFETY IMPROVEMENTS .................................................................................11 C. DEVELOPMENT ..................................................................................................13 D. PROPERTY ACQUISITION .................................................................................13 E. PLANNING ..........................................................................................................17 F. NON-AIRPORT PUBLIC SAFETY .......................................................................17 G. INFRASTRUCTURE IMPROVEMENTS ..............................................................17 V. THE ESTIMATED TOTAL COST OF EACH PROJECT AND THE SOURCES OF MONEYS TO PAY SUCH COSTS ..........................................................................18 VI. THE ANTICIPATED COMPLETION DATE FOR EACH PROJECT ........................21 VII. THE ESTIMATED AMOUNT OF TAX INCREMENT REVENUES REQUIRED AND THE ANTICIPATED YEAR IN WHICH INDEBTEDNESS WILL BE RETIRED 21 VIII.FINANCIAL ANALYSIS OF THE PLAN ...................................................................26 IX. IMPACT OF THE TAX INCREMENT FINANCING, BOTH UNTIL AND AFTER THE INDEBTEDNESS IS REPAID, UPON ALL ENTITIES LEVYING TAXES UPON PROPERTY IN THE URBAN RENEWAL AREA .....................................................28 X. RELOCATION REPORT .........................................................................................29 XI. COMPLIANCE WITH STATUTORY LIMITS ON ASSESSED VALUE AND SIZE OF URBAN RENEWAL AREA ......................................................................................29 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN 1. INTRODUCTION The Bend Municipal Airport Urban Renewal Report (the "Report") contains background information and project details for the Bend Municipal Airport Urban Renewal Plan (the "Plan"). The Report is not a legal part of the Plan but is intended to provide public information and a basis for the findings made by the County Commission as part of its approval of the Plan. The Report provides the information required in ORS 457.085(3). The format of the Report is based on this statute. Deschutes County 1 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN 11. EXISTING PHYSICAL. SOCIALAND ECONOMIC CONDITIONS AND IMPACT ON MUNICIPAL SERVICES This section of the Report describes existing conditions within the Bend Municipal Airport Urban Renewal Area (the "Area"), documenting the occurrence of "blighted areas" as defined by ORS 457.010(1). A. Physical Conditions 1. Land Use The Area, shown in Figure 1 below, contains approximately 526.44 acres, 22.63 of which are right of way. It includes fifteen individual tax accounts with the following use classifications as determined by the County assessor: Vacant, Improved Land Receiving Farm Use Value (FUV): Exclusive Farm Use (EFU) zone, Industrial Improvement, Condominiums: Leased Land (hangars) and State Appraised Accounts. An analysis of property classification data from Deschutes County's 2007-08 Assessment and Taxation database was used to determine the land use designation of parcels in the Area. The largest portion (74.70 percent) of the Area is classified as Industrial Improvement and is some type of Airport use. Table 1. Existing Land Use of Proposed Area (FY 2007-2008) Land Use Parcels Acres % of Total Acres Vacant 2 78.50 15.58% Improved Land Receiving Farm Use Value: EFU zone 2 34.32 6.81% Industrial Improvement 4 376.34 74.70% Condominiums: Leased Land (hangars) 9 .34 .07% State Appraised Accounts 1 14.31 2.84% Total 15 503.81 100% Source: Bend GIS from Deschutes County Assessor Deschutes County 2 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN 2. Zoning As illustrated in Table 2 and Figure 1, 334.13 acres (66.32 percent) of the Area are zoned for Airport uses. As shown on the Figure 2, some lots have more than one specific airport zone. When comparing the actual land use with the zoning, only 6.81 % is classified as farm use by the assessor's office, while 33.68 percent is zoned as Exclusive Farm Use. Table 2. Existing Zoning of Proposed Area Zoning Parcels Acres % of Total Acres Aviation Uses: multiple categories 10 334.13 66.32% Exclusive Farm Use 5 169.68 33.68% Total 15 503.81 100.00% Source: Bend GIS Deschutes County 3 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Figure 1. Urban Renewal Area Boundary r Send Airport REI mwA ' rm7-Std sLppcF r m r Urban Renewal Area L=i Au msr ~ ASO-Et EARFA ass d1MJ Mt1 REL LIB DIST ~ E CL FARM USE @LAmq Far Dkigap Purpd Lt dr 9d?t to Sm* ARD- AWA MU LA5EAWM Deschutes County 4 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Figure 1. Urban Renewal Area Boundary j y -,7 u.: y-yC' c tr r g a`'f*y,7,i .y r h r 1 _ 1 s Z. A, j KL> L4, 2z: T its ~ f.a:t~ ` t~n yil 1` + 1, r w~ o- f~ t,. a ~jj 1. } Y eLJ - 1 l) c ft_., 1,. J6'- rF S=am fi t-1 _ - 'ri cY Bend Airport ORENEMLAREABOIN"M ASNMMSUaPOWDW Urban Renewal Area D AIRPORT Cps DIRT RESMEA► mo5 AllMON REL ND DIST Q EXrL FARM USE (9 AMq lror Dh*ay Aurpo9et Only: Abt 00 Sm ~ ARID-RESERVE AREA MOLT USEAGRIG ~ .'.lrrr.r....r Deschutes County 4 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Figure 2. Zoning/Comprehensive Plan Designations e >i t K' ~ M .41 a ~ e I 0 Bend Airport AVIATIONSUPPORTDIST Urban Renewal Area AIRPORT OPS DIST ASD- RESERVE AREA Orthophoto: 2005 AVIATION REL. IND DIST 0 EXCL. FARM USE (BLANK) _ ARID- RESERVE AREA MOLT USE AGRIC 1 inch equals 500 feet Deschutes County 5 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Figure 2. Zoning/Comprehensive Plan Designations i Deschutes County 5 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN B. Infrastructure 1. Airport Facilities The Airport currently has one taxiway which is in need of reconstruction. The Airport requires an additional taxiway on the east side of the Airport to support expansion of facilities on the east side. There is an existing 75 foot runway. The runway needs to be lengthened and widened and needs additional weight bearing capacity to serve demand at the Airport. There is no air traffic control tower. One of the current users of the Airport, Cessna Aircraft has recently testified at the Bend City Council regarding the need for an air traffic control tower. There is an existing compass rose which does not meet certification standards and has deteriorated. There is existing barb wire fencing along Powell Butte Highway which is both unsightly and does not provide adequate security. The Airport administrative office is in the current Fixed Base Operator (FBO) building. The office is too small to serve the needs of the staff and there is no conference room space. There is no maintenance facility operated by the Airport. There are existing hangars, but the demand for hangar space exceeds the supply of hangars. 2. Transportation a) External Transportation System The Bend Municipal Airport (the "Airport") is served by Powell Butte Highway. Powell Butte Highway is a two lane rural highway that runs north-south along the western boundary of the airport. Powell Butte Highway connects the Airport to Highway 20, the principal access road to and from the Bend area. Butler Market Road approaches the Airport from the west and intersects Powell Butte Highway near the central terminal area. Nelson Road runs east and west near the southern Airport property line. b) Internal Transportation System A frontage road paralleling Powell Butte Highway facilitates access to the west side Airport facilities. There is an access road on the eastside of the Airport, however, the property on the east side does not have adequate access to facilitate full development. There is no full perimeter road at the Airport. The Airport provides transportation services to small aircraft entering Deschutes County for both pleasure and business trips. The Airport is identified as a Category 2, High Activity Business and General Aviation airport by the Oregon Department of Aviation. It is the only Category 2 located east of the Cascade Mountains. There are over 200 aircraft based at Deschutes County 6 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN the airport with over 42,000 estimated annual operations in 2007. More than 18 aviation-related businesses are located on the Airport, employing more than 1000 people, making the Airport one of the largest concentrations of family-wage jobs in the metropolitan Bend area. However, it is anticipated, that future demand for general aviation facilities and aviation-related industrial sites will exceed the capacity of the current Airport and the supply of serviced industrial land. 3. Water, Sewer and Storm Drainage Facilities The Airport's water supply system contains three ground level storage reservoirs with a total combined storage capacity of .41 million gallons. Reservoirs 1 and 2 are located on the west side of the Airport adjacent to the west side production facility. They are ground level concrete tanks with a storage capacity of 77,500 gallons apiece. Reservoir 3 is located on the east side of the Airport adjacent to the east side production facility. It is a ground level tank with a storage capacity of 250,000 gallons. The draft Airport Water Master Plan, yet to be adopted by the Bend City Council, has identified inadequacies. The Airport is connected to the Bend sanitary sewer system and the wastewater treatment plant, located about one mile north of the airport. Sanitary sewer service is provided along the entire west side of the airport and a primary line was extended to the east side of the airport. 4. Parks and Open Space There are no parks or open spaces in the Area. 5. Public Spaces There are no public spaces other than the Airport in the Area. 6. Public Parking There is public parking along the frontage road to the Airport. Approximately 25 paved parking spaces are located adjacent to the Fixed Base Operator (the "FBO")!Terminal building with additional unpaved spaces adjacent to the frontage road. Approximately 100 new parking spaces have been added to the north end of the airport in conjunction with hangar construction. Parking has also been added in conjunction with hangar development at the south end of the airport. Even with the addition of parking, existing parking facilities are inadequate for serving current and future planned activity at the Airport. 7. Public Buildings The public building in the Area is the FBO building, which provides office space, a restaurant, flight training, and pilot services. (Hangars owned by the City of Bend are leased to private entities for storage of aircraft and Deschutes County 7 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN related aviation related office space and are not considered public buildings). This building is integral to the operation of the Airport. 8. Fire Station The fire station serving the Airport is Station 304 located at 62420 Hamby Road. It was built in 2003 and is the newest station in the Bend area. The Fire Department voices concern that this station may not be able to adequately serve the airport when future development occurs. The Fire Department also voices needs for an Emergency Services Facility. C. Social Conditions According to the Assessor's data, the Area contains 5 residential dwellings. However, the property owner states there are only three residential dwellings. These are rental units and are all under one ownership. Therefore social conditions are not a significant aspect of the Area and are not examined in detail. D. Economic Conditions 1. Taxable Value of Property within the Area The estimated total assessed value of the Area in FY 07/08, including all real, personal, personal manufactured and utility properties, is $7,453,493 or 0.05% of Deschutes County's total assessed value of $15,823,948,426 this Fiscal Year. 2. Building to Land Value Ratio An analysis of property values can be used to evaluate the economic condition of real estate investments in a given area. The relationship of a property's improvement value (the value of buildings and other improvements to the property) to its land value is generally an accurate indicator of the condition of real estate investments. This relationship is referred to as the "Improvement to Land Ratio" or "11". The values used are real market values. In urban renewal areas, the I:L may be used to measure the intensity of development or the extent to which an area has achieved its short- and long-term development objectives. The I:L ratio for fully developed industrial property has a very wide range because of the value of machinery and equipment. Table 3 below, "Improvement to Land Ratio," shows the improvement to land ratios for properties within the study area. Deschutes County 8 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Table 3. I:L Ratio of Parcels in Proposed Area I:L-Ratio Parcels % of Total Acres Acerage No Improvements 6 243.50 48.40% 0.0 - 10 3 245.32 48.76% 10-20 0 0% 20 - 30 0 0% 30 - 40 0 0% >40 _ 1 14.31 2.84% Total 10 503.13 100fl0`/ i Source: Deschutes County Assessor No land value: leased property on 8 parcels:.68acres allocated The most relevant aspect of development in the Area is that almost half the Area is undeveloped. E. Impact on Services (Municipal and County) The fiscal impact of tax increment financing on taxing districts that levy taxes within the Area ("affected taxing districts") is described in section IX of this Report. This subsection discusses the fiscal impacts resulting from potential increases in demand for municipal services. Increases in industrial/aviation occupancies within the Area will generally result in higher demand for fire; life safety and public safety services. The increased occupancies within the Area will also increase the demand for water, sewer and storm drainage services. These impacts will be partially offset by the funding from the Plan for improvements to the road system which assist providers of fire, life safety and public safety services. Airport facilities improvements, including a Fire Station, will provide incentives for developing sites which in turn will provide employment opportunities for the citizens of Deschutes County. This development will generate additional municipal revenues in fees and property taxes. Deschutes County 9 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN III. REASONS FOR SELECTION OF EACH URBAN RENEWAL AREA IN THE PLAN There is one urban renewal area in the Plan and it was selected to improve and prevent the future occurrence of blighted areas as defined in ORS 457.010(1). IV. THE RELATIONSHIP BETWEEN URBAN RENEWAL PROJECTS AND THE EXISTING CONDITIONS IN THE URBAN RENEWAL AREA This section describes the relationship between the urban renewal projects called for in the Plan and conditions generally described in Section II of this Report and more particularly described below. A. Taxiway and Runway Improvements 1. Construct New Taxiway B. Construct a 35 foot wide taxiway the length of the airport at the east side of the airport. Lights would be a component of the taxiway. Relationship to Existing Conditions Airport facilities are inadequate in relationship to future activity. 2. Reconstruct Taxiway A Reconstruction of the taxiway on the west side of the Airport. This reconstruction includes widening the taxiway and adding appropriate lighting and signage, and runup areas. Relationship to Existing Conditions Airport facilities are inadequate in relationship to future activity. 3. Widen Runway. The existing runway will be widened as determined in the Airport Master Plan update. Relationship to Existing Conditions Airport facilities are inadequate in relationship to future activity. The runway is presently 75 feet wide and will not serve future activity. 4. Lengthen Runway. The existing runway will be lengthened as determined in the Airport Master Plan update. Deschutes County 10 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Relationship to Existing Conditions Airport facilities are inadequate in relationship to future activity. The present runway is 5200 feet. The Airport Master Plan update will include specification of needed improvements to the runway. 5. Pavement Expansion (1). The Westside north ramp will be expanded. Relationship to Existing Conditions The Westside north ramp is not presently paved and is inadequate for serving existing and future activity. 6. Pavement Expansion (2). The Westside south ramp will be expanded. Relationship to Existing Conditions The Westside south ramp is not presently paved and is inadequate for serving existing and future activity. 7. Runway Upgrading. The existing runway will have an additional 2 inches of asphalt to increase weight bearing capacity above 30,000 pounds. Relationship to Existing Conditions The present runway has a weight bearing capacity of 15,000 pounds and is inadequate for serving some existing and future activity. The Master Plan update is anticipated to address the demand, timing, and cost. . B. Safety Improvements 1. Air Traffic Control Tower. Construct an air traffic control tower. Relationship to Existing Conditions Airport facilities are inadequate in relationship to future activity. There is not currently an air traffic control tower. 2. Compass Rose. Construct a roadway for compass calibration/ testing of aircraft. Deschutes County I I August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Relationship to Existing Conditions The existing compass rose does not meet certification standards and has deteriorated. The compass rose is inadequate in relationship to future activity. 3. Fencing Improvements: Airport Frontage. Security fencing along the airport frontage will be installed to protect both the Airport facilities and private property but to also protect the safety of the public and wildlife. Relationship to Existing Conditions The current frontage fencing is along Powell Butte Highway only. It is barbwire. The fencing is inadequate in relationship to current and future activity. 4. Fencing Improvements: Install perimeter fencing. A perimeter security fence with. gated openings will be installed to protect both the airport facilities and private property but to also protect the safety of the public and wildlife. Relationship to Existing Conditions There is currently no perimeter fencing, only the barb wire fencing along the Powell Butte Highway frontage. The perimeter fencing is inadequate in relationship to current and future activity. 5. Auto Parking Improvements. Auto parking will be developed to meet increased demand and/or to resolve potential safety hazards. Relationship to Existing Conditions The auto parking is insufficient to meet the current demands and is unstructured. The auto parking is inadequate in relationship to future activity. 6. Demolition of Existing Houses After acquisition, the existing houses within the Area will be demolished. Relationship to Existing Conditions There are three homes within the existing 65dBA DNL noise contour. Deschutes County 12 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN C. Development 1. Construct Airport Facilities Building: Administration, Maintenance, Meeting/Conference room and Classroom. Develop additional space for administrative offices, a maintenance facility, a meeting/conference room and the community college has requested a classroom. Relationship to Existing Conditions The airport management is currently housed in a small office in the FBO. The management needs additional office space and space for meetings, maintenance and classroom space. The existing facilities are inadequate at this time and in relationship to future activity. 2. Construct Hangars for Airport to Own and Lease. Develop additional hangar space to meet growing demand. The Airport may construct those hangars for public ownership and to lease to private individuals for an income source. Relationship to Existing Conditions The hangars which are owned by the Airport are fully leased. There is additional demand for hangars. The supply of hangars will be inadequate in relationship to future activity. 3. Expand Heliport/Helipad. The existing heliport/helipad will be moved to another location on the Airport where there will be more room for this growing use, and fewer conflicts with fixed wing aircraft. Relationship to Existing Conditions The heliport/helipad is not currently large enough for the demand and could be in a safer location. The heliport/helipad is inadequate in relationship to current and future activity. D. Property Acquisition Purchase Property Inside 65 dBA DNL and 70 dBA DNL. Parcels within the the 65 dBA DNL (4) and 70 (1) dBA DNL noise contours will be purchased for Airport and aviation-related uses. Where part of a parcel is within the contours, acquisition of the entire parcel is anticipated. The homes on these properties may be demolished. Deschutes County 13 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Relationship to Existing Conditions There are currently properties, including five homes, within these noise contours. To reduce the impact of the airport on these uses, the properties should be purchased. A noise contour map is included for reference as Exhibit 3. These parcels are identified by parcel # in Exhibit 4. Deschutes County 14 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Figure 3. Noise Contour Map Deschutes County 15 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Figure 4. Property Ownership Bend Airport AORENEWALAREA BOUNDARY Urban Renewal Area ow„emh` CITY OF BEND Land Ownership DESCHUTES COUNTY For Malay Awposes Only_ Not to Scale GIBBON AIRPARK LLC Deschutes County 16 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN E. Planning 1. Airport Master Plan. The present Airport Master Plan was adopted in 1994. A Planning Update was adopted in 2002. A new Master Plan will be undertaken that will provide specifications for several of the projects included in the Plan. Relationship to Existing Conditions The Master Plan was updated in 2002. It is already outdated and in need of updating. The demand for aviation space and uses is increasing at a phenomenal rate, requiring updating of the Master Plan. The present Master Plan is inadequate in relationship to current and future activity. 2. Administration of Urban Renewal Plan. Staffing will be required to implement the projects in the urban renewal plan. Relationship to Existing Conditions There is presently no urban renewal area, so no administration required. F. Non-Airport Public Safety 1. Construct Fire Station In cooperation with Rural Fire District # 2 a fire station in proximity to the Airport will be developed to serve the increase of facilities at the Airport. Relationship to Existing Conditions The Airport is presently served by fire station 304 located at 62420 Hamby Road. There is presently no fire station on the airport facility and fire and life safety services will be inadequate with future development at the Airport. G. Infrastructure Improvements 1. Left Turn lane at Butler Market Road. A left turn lane from Powell Butte Highway to Butler Market Road will be constructed. Relationship to Existing Conditions The transportation analysis in the TSP calls for this additional capacity to avoid congestion and improve safety. The existing conditions will be inadequate with anticipated future development. Deschutes County 17 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN 2. Powell Butte Highway Road Improvements. Improvements will be made to Powell Butte Highway as necessary for Airport operations. Relationship to Existing Conditions Powell Butte Highway is presently a two lane road. Increased uses at the Airport require upgrading of the road. The existing conditions will be inadequate with anticipated future development. V. THE ESTIMATED TOTAL COST OF EACH PROJECT AND THE SOURCES OF MONEYS TO PAY SUCH COSTS Table 5 below shows the estimated total cost of each project and the estimated sources of funds to address such costs, with all figures in year of expenditure dollars. This analysis is based on known projects at the time of preparation of the Plan and does not include projects authorized by the Plan, but unknown at this time. Deschutes County 18 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Table 5. Estimated Project Costs and URA Share of Costs ESTIMATED URBAN PROJECT & ESTIMATED RENEWAL ESTIMATED DESCRIPTION COST SHARE START DATE Taxiway and Runway Improvements Engineering - 2008 Construct New Taxiway Construction - B --Eastside of airport $5,400,000 $270,000 2009 Reconstruct Taxiway A - Spring/Summer Westside of Airport $1,200,000 $60,000 2010 Widen Runway 75 ft. to 100 ft. $5,000,000 $250,000 2015 * Lengthen 5200 Ft. Runway $8,000,000 $400,000 2020 * Pavement Expansion - Westside Expand North Spring/Summer Ram $108,000 $5,400 2009/10 Pavement Expansion - Westside Expand South Spring/Summer Ram $330,000 $16,500 2010/11 Runway Upgrading: add 2" of asphalt $1,000,000 $1,000,000 2014 Safety Improvements Air Traffic Control Tower $4,000,000 $200,000 2010 Spring/Summer Compass Rose $200,000 $10,000 2009 Fencing Improvements - Spring/Summer Powell Butte H $83,333 $4,167 2011/12 Fencing Improvements - Airport Frontage $100,000 $100,000 2010 Fencing Improvements - Install perimeter fencing $250,000 $12,500 2011 Auto Parking Improvements $50,000 $2,500 2009 Deschutes County 19 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN Demolition of Existing Houses $30,000 $30,000 2010 Development Construct Airport Facilities Building: Administration, Maintenance, Meeting/Conference Room, and Classroom $400,000 $400,000 2011 Construct Hangars for Airport to Own and Lease $2,000,000 $2,000,000 2012 Expand Heli ort/Heli ad $66,000 $3,300 2013 Property Acquisition Purchase property around airport within 65 dBA DNL and higher $2,500,000 $1,075,000 2010 Planning Spring/Summer Airport Master Plan $100,000 $100,000 2008 Non-Airport - Public Safe Fire: Emergency Services Facility $1,300,000 $845,000 Non-Airport Infrastructure Improvements Road Improvement - Powell Butte Hwy at Butler Market $393,625 $196,813 2008 Other Road Improvements - Powell Butte H $300,000 $300,000 2012 Contingency/ Admin 8.9% $718,820 Total $32,780,958 $9,700,000 Leverage of FAA dollars to TI dollars: On FAA participation, FAA will pay 95% of the expected cost. Deschutes County 20 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBAN RENEWAL PLAN VI. THE ANTICIPATED COMPLETION DATE FOR EACH PROJECT Projects will be ongoing and accomplished in increments. Estimated timeframes for the projects are shown in the Table 5 above. The anticipated completion date for each project is the latest year in which expenditures for the project is shown. VII. THE ESTIMATED AMOUNT OF TAX INCREMENT REVENUES REQUIRED AND THE ANTICIPATED YEAR IN WHICH INDEBTEDNESS WILL BE RETIRED A total of $14,739,987 will be needed for payment of debt service on the $9,700,000 in maximum indebtedness. Table 6 shows the yearly tax increment revenues and their allocation to loan repayments, reimbursements, debt service and debt service reserve funds. It is anticipated that all debt will be retired by the end of FY 35/36. 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Q (L) Z 0 F- U > Q co F- 00 O 0 N t` N bA N O U U N Ca REPORT ON BEND MUNICIPAL AIRPORT URBANRENEWAL PLAN IX, IMPACT OF THE TAX INCREMENT FINANCING, BOTH UNTIL AND AFTER THE INDEBTEDNESS IS REPAID, UPON ALL ENTITIES LEVYING TAXES UPON PROPERTY IN THE URBAN RENEWAL AREA The impact of tax increment financing on overlapping taxing districts consists primarily of the property tax revenues foregone on permanent rate levies as applied to the growth in assessed value. Although the tables below show impacts on the School District 1 and the Educational Service District, under current school funding law, property tax revenues are combined with State School Fund revenues to achieve per-student funding targets. Under this system, property taxes foregone are replaced with State School Fund revenues. Table 8. Projected Impact on Taxing District Permanent Rate Levies During Use of Tax Increment Financinq - I i Present Value Revenues Foregone, FY 09/10 - FY 35/36 tal Y 07/08 Average Permanent Annual Rate Levy Avg Revs. Foregone as % of FY 07/08 Levy Deschutes Co 753,061 28,964 19,913,846 0.1% County Libra 324,011 12,462 8,568,110 0.1% County Law Enforcement 559,656 21,525 14,799,463 0.1% Rural Law Enforcement 824,756 31,721 7,209,301 0.4% County Extension 13,196 508 348,956 0.1% 911 95,318 3,666 2,520,582 0.1% Rural Fire Dist 2 846,318 32,551 2,544,286 1.3% SD 1 2,806,586 107,946 52,240,483 0.2% ESD 56,790 2,184 1,501,756 0.1% COCC 365,485 14,057 9,664,828 0.1% The average impact of foregone revenues as a percentage of the total permanent rate levy of each taxing district is shown in Table 8 above. Table 9 shows in the increase in permanent rate levy revenues that would occur after termination of the tax increment financing in FY 2034. By FY 2043/44, revenues added to the permanent rate levies would exceed the revenues foregone during the use of tax increment financing. Deschutes County 28 August 27, 2008. REPORT ON BEND MUNICIPAL AIRPORT URBANRENEWAL PLAN Table 9. Additional Revenues Obtained After Termination of Tax Increment Financing Present Value Revenues Gained, FY 35/36 - FY 43144 Deschutes Co $805,813 Count Libra $346,708 Count Law Enforcement $598,860 Rural Law Enforcement $882,530 Count Extension $14,120 911 $101,995 Rural Fire Dist 2 $905,602 SD 1 $3,003,188 ESD $60,769 COCC $391,087 X. RELOCATION REPORT There are no businesses to be relocated. There is a potential for residential relocation. As described in Section VII, the Plan authorizes the acquisition of property by willing sellers only. Relocation benefits must be paid for any public acquisition, whether the acquisition is voluntary or involuntary. Therefore, before the Agency acquires any property, the Agency will adopt relocation regulations that are consistent with applicable State and Federal law. XI. COMPLIANCE WITH STATUTORY LIMITS ON ASSESSED VALUE AND SIZE OF URBAN RENEWAL AREA State law limits the percentage of both a municipality's total assessed value and the total land area that can be contained in an urban renewal area at the time of its establishment to 15% for municipalities over 50,000 in population. As noted above, the estimated total assessed value of the Area, including all real, personal, personal manufactured and utility properties is $7,453,493. The total assessed value of Deschutes County is $15,823,948,426 making .05% of the county's assessed value in urban renewal, well within the 15% statutory limitation. The estimated total acreage of the Area is 526.44 acres. Deschutes County is 1,955,200 acres. Therefore, .03% of the acreage in the County would be in an urban renewal area. This is also well below the statutory limitation of 15%. Deschutes County 29 August 27, 2008 REPORT ON BEND MUNICIPAL AIRPORT URBANRENEWAL PLAN Tahle 10_ Assessed Value and Acreage Calculations Urban Renewal Area Assessed Value Acres" Bend Municipal Airport 7,453,493 526 Deschutes County 15,823,948,426 1,955,200 Percent in Urban Renewal .05% .03% Deschutes County 30 August 27, 2008