By Anne Scheck
By the time the budget committee for Independence had convened for the final time in May, the economic shift from the COVID-19 pandemic had intensified – and so had some of the questions by city councilors. What is the debt? What happens if the financial squeeze tightens? Should financial reports be more frequent and include more detail?
The financial forecast from the state economic office was alarming, indicating a sudden recession had led to “the largest downward revision to the quarterly forecast that our office has ever had to make,” one likely to affect all major revenue sources.
Councilor Jennifer Ranstrom-Smith was the first to address it. “Given today’s news and the long-term outlook on the state,” she posited, “are we looking at what we could cut?”
The lion’s share of the city’s planned spending is for infrastructure, noted City Manager Tom Pessemier. The current situation means “we are going to operate it very carefully,” he said.
At a time when the state’s economic indicators are heading down, the majority of the city councilors called for the city’s financial transparency to go up. Regardless of whether information is “good, bad or indifferent,” it’s important to make it available to the public, said Ms. Ranstrom-Smith. There’s a need “to let the citizens know where we’re at,” added Councilor Tom Takacs – a view echoed by Councilor Marilyn Morton.
And, unlike typical city budget meetings, the city debt recently became a subject of discussion – it hadn’t been listed in the budget packet given to councilors. But Councilor Shannon Corr observed that the level of debt seemed “excessive” for a city the size of Independence. It’s listed as about $43 million in “total direct and overlapping debt” in the city audit.
“Does the city have a debt policy?” asked Councilor Corr. “Yes,” said Gloria Butsch, the city finance director. “But these financial policies do need to be reviewed with council,” she said. In addition, quarterly reports with more detail will be presented, said City Manager Pessemier. If there’s a need for more updates, they’ll be given, he added.
The fiscal concern exhibited by the city councilors appeared to be unprecedented, at least in terms of recent history. The newest members of the council – Councilors Corr and Ranstrom-Smith – have initiated several finance-oriented discussions. The critical-eyed look by municipal leaders is one that increasingly is needed for what appears the worst financial situation for cities since the Great Recession, according to experts.
“When this crisis is over, the metrics of a government's performance will be measured in the minimization of human suffering, the timeliness of services provided and the confidence government inspired in its citizens through clear communication,” according to a recent editorial in Governing Magazine by Michael Imber, a managing director for the municipal consulting firm Conway MacKenzie.
“Strong leaders will take the time to assess their government unit's performance, to learn from the mistakes and to benefit from improvised solutions that could become new policy,” he stated.
In April, American City & County included a similar advisory. As a result of the COVID-19 crisis, municipalities facing fiscal
stress “need to engage in careful evaluations of their ability to reduce costs and increase revenues,” according to David Kupetz, a partner in Sulmeyer Kupetz, a Los Angeles firm specializing in financial restructuring.
“They should thoughtfully consider reductions in force, services, infrastructure spending, employee benefits, pension obligations, outsourcing and other means of cost cutting,” he wrote.
In Oregon, Tim Duy, who directs the Oregon Economic Forum, isn’t issuing such dire edicts. But he expressed deep caution in a recent talk for Salem’s Strategic Economic Development Corporation (SEDCOR).
Dr. Duy, a professor of economics at the University of Oregon, said he thinks the downturn will reverse after a vaccine or effective treatment for coronavirus becomes available, possibly a year-long process.
Meanwhile, social-distancing will be needed, continuing to affect businesses in the same way it already is: less restaurant patronage, more online ordering, reduced travel. The economy suffered “demand shock,” caused by the deliberate closure of businesses. And “it’s hard to see a rapid return,” he said. (see ‘poverty’ sidebar)
Will life under the current situation mean the establishment of new habits? Internet shopping
instead of use of retail stores? Video meetings instead of traveling to conference centers? New trends may emerge, he acknowledged.
One of those is loss to the hospitality industry, he suggested. If so, Independence may be hard hit. The city allocated about $5 million for redevelopment of riverfront parcels, with The Independence Hotel as the planned centerpiece. Despite cautionary language from the economist who was consulted on the project, the city’s economic development director, Shawn Irvine – among other city officials – predicted millions of dollars would be generated annually by the hotel. It opened in late summer, missing much of the tourist season last year. This year, the 4th of July is scaled down to reduce crowds.
Also, this year’s audit included a “doubtful account” – a name for likely uncollectable debt – of about $6 million from MINET, the city’s municipal broadband. When Don Patten, the general manager of MINET, and City Manager Pessemier were asked about it, Mr. Patten suggested they issue a joint statement since the information came from the city audit.
When Mr. Pessemier apparently didn’t respond, Mr. Patten declined to comment, due to the fact that the finding was by a city-contracted auditor and he wasn’t apprised of her reasoning or interpretation.
The COVID-19 Effect on Poverty
Poverty rates in Oregon had been trending downward from the high of 17.5% in 2011 to around 12%. This pandemic is seen as almost certainly pushing more people into poverty.It will lead to considerable economic constriction for the next year, and there’s a good chance the state may not fully recover a healthy economy until the mid-2020s, according to expert predictions.
A moratorium banning evictions is expected to expire by mid-summer. As tenants in Polk County face eviction, the Mid-Willamette Valley Community Action Agency – a private non-profit that administers government contracts that battle homelessness – is trying to help them stay in their rental units. It won't be easy. The rental market in the area was tight before COVID-19. At times it was "functionally zero, though it had been improving some the past year," said Jimmy Jones, executive director of the agency.
The agency’s ARCHES project helps with housing placement in Marion and Polk counties, particularly in "Class C" housing units, the lowest-cost tier. But, with so much job loss, many people aren't going to be able to afford even that, he said.
With about $2 million in aid for COVID relief, ARCHES will need to grow and add staff to meet the need in the community, he said.
Staff is working hard to make sure money is distributed in a way that helps the most families stay housed. "We want to work with landlords, set up payment plans" and do whatever it takes, he said. "If someone can't pay, we want them to be able to catch up," he said.
"We think we can help about 600 households," he added.
The Monmouth Independence Community Foundation (MICF) has its 20th anniversary this year – the non-profit organization benefits the entire Independence-Monmouth area. It was founded by Don Duncan and Scott McArthur. In the words of the current president of the MICF board, Vernon Wells, “It took great wisdom and vision on their part to create a foundation that is structured to be self-funded through earnings on investments.” Only the earnings on investments are used for programs, guaranteeing a perpetual revenue source for schools. Mr. Duncan was a driving force behind a concept that took time, commitment and remarkable fund-raising. He agreed earlier this year to be interviewed about his years as a local benefactor, and the fund he helped to start.
More than two decades ago, Don Duncan, a former professor of education at Western Oregon University, decided the community where he’d lived since the early 1960s deserved its own non-profit, independent, community-oriented foundation. His friend, Scott McArthur, an attorney who has written several books about the Willamette Valley, thought so, too. This is how the Monmouth-Independence Community Foundation (MICF) was established – and since that time it has helped scores of local students obtain higher-education scholarships and assisted all the schools here by providing extra money to Central School District 13J.
Now the Monmouth-Independence Community Foundation is celebrating its 20th anniversary in the same way it has every year since its inception – by awarding funds this spring to high school graduates on their way to more education.
With his wife, Verna, who was a teacher at Henry Hill Elementary School in the district, the Duncans started a special enrichment program that would help teachers with those “extras” that are so important – from transportation costs for field trips to special art supplies.
The way in which two married teachers – who once lived in a trailer to make ends meet – became among the largest educational donors in the area is a story that Mr. Duncan is reluctant to tell.
“I really don’t see anything different about me,” he said. However, many other people disagree.
“Don was an absolute dynamo working behind the scenes to assure our local school district was always improving,” said MICF Board President Vernon Wells, the former police chief of the Independence Police Department and 2020 Citizen of the Year for the area. “I attribute the success of at least two school district bond measures to the work Don did behind the scenes,” Mr. Wells said. A man with “a good heart, who has been a highly involved citizen for years” is the way Mr. Duncan is described by Steve Moser, former chair of the school board for Central School District 13J.
Mr. Duncan was asked to look back on his role as a founder of MICF and as a tireless advocate for education during a pre-COVID-19 interview this winter – an interview that included his daughters Laurie Hanson, of Monmouth, and Nancy Duncan, of Portland. Their mother, Verna, died two years ago, after nearly 65 years of marriage to their dad.
Both daughters, who are 1970-era graduates of Central High School, grew up knowing that helping others was a large part of everyday life.
“I watched my dad help neighbors shovel snow, saw him get hugged by struggling students he’d helped and always find a way to give time and money to what he considered good causes,” said Ms. Hanson. Her sister observed that it wasn’t always with “money they really had.” That didn't matter, “it always seemed that they found a way to give it,” said Ms. Duncan. Both feel it instilled them with the same sense of a need to contribute, or “give back” as Mr. Duncan puts it.
The reason for his generosity, he said, doesn’t really belong to him – it’s an “entity” to be passed along, and his own parents did just that, he explained. “I come from a long line of educators,” he said. His mother and father both believed passionately in education, and beyond that, they advocated it for everyone. The need for money was seen as a barrier that could be removed as an obstacle, he said.
After he and Verna graduated from Central Washington State, the Duncans eventually located in Monmouth in the 1960s, when Mr. Duncan landed a job as a faculty member at Western Oregon University (WOU). At the time, WOU was known as the Oregon College of Education. Mr. Duncan, a special education professor, also was interested in how young children learn – his daughter Nancy went to kindergarten on the WOU campus, in a special class that was aided by college students. Not long after that, he was approached by colleagues in education, including his dean, to put some ideas together on how children in this age group might receive some instruction through the relatively new media of television.
“Nobody was doing this for preschool education,” he said. “We had to enter dreamland to figure it out.”
His first act was to call a young man named Fred Rogers, who was hosting a show for this age group in Pittsburgh. The result was a carefully created teaching template that was passed around academically, eventually landing with the founding team of “Sesame Street.” Mr. Duncan said he doesn’t want any credit for that, however. “This was contributory, that’s all," he said. In fact, that’s the way he summed up everything he’s done. “Just a contribution,” he stated.
This downplaying of his enormous benefit the community is typical of Mr. Duncan, according to Mr. Wells. “He has done a lot to make other people and our local society great – yet he seeks no recognition for his work,” said Mr. Wells, adding that Mr. Duncan illustrates the message imparted in an ancient Greek proverb: “A society grows great when old men plant trees in whose shade they shall never sit.” -- AS
A Graduation Day of Dashed Expectations
This is a kid who overcame some tough challenges.
On the day she was born, we didn't know if she'd ever reach this milestone. Drew is our youngest child, and she pushed her way into the world a full seven weeks before her due date. At more than seven pounds, she wasn’t a tiny preemie, but she had problems with basic reflexes, like breathing and swallowing. She had to stay in the hospital for weeks after I went home.
There are no adequate words to describe just how painful it was for me to make a trip home while my fragile newborn was in the NICU. Eventually, she came home with us and we went on with life with our three kids.
But the health problems were far from over for Drew, who was eventually diagnosed with epilepsy and obsessive-compulsive disorder (OCD). It was debilitating for us all. Before she even finished elementary school, she underwent an intensive outpatient program at UCLA that specialized in the treatment of childhood OCD. And when I say "intensive" I mean it: five days a week, five hours a day, for five months. She missed half of her fourth-grade year. And, while she was undergoing all this treatment at UCLA, we were figuring out the medicine that she’d need to stop her epileptic seizures.
We're all tremendously proud of Drew.
Our entire family from California and Nevada had planned to come to the actual graduation ceremony to be here for her. And, as an employee of Central High School (CHS), I would have been able to hand this child her diploma. To be the person to hand this young lady her diploma, after watching her battle all that she's battled in her heretofore short life, meant more to me than I can describe.
Now the high school graduates will be allowed only two guests.
Groups of seven kids, in alphabetical order, will be met on the football field by the superintendent, the principal and a school board member. They will be handed the sleeve for their diploma, be given the opportunity to have a photo taken, and then – alone – be allowed to walk the halls of Central High School one last time as a student. There is no opportunity for them to say a final a good-bye to teachers; There is no opportunity for us to hug or “high-five” the graduates as they take the field for the ceremony.
Devastating is the best word I can come up with.
When we all left the building on March 13, no one knew we wouldn't be back this year. And now here we are.
Nothing can describe the sense of loss. I hope it goes away with time. I was asked how I could compare this to something that happened at the same time in my life. Obviously, there was no pandemic then. However, I was in LA when HIV arose, but I was only 18 years old when the first case was announced in Los Angeles. So, I was teenager – not paying attention to the global goings-on. Maybe this will just become a blip in her past for Drew, too.
Today the world in general puts more pressure on young people than ever before. Who knows how this pandemic will affect the economy in the long term? College costs are one example. The first year I went to a community college, in 1989, I paid seven dollars per credit. So, one three-credit class cost $21. Today, a single credit costs $105, so that same three-credit class now costs $315. That's one class. And now what will happen? Will tuition increase to make up for the shutdown?
Over the past weeks, Drew has been teaching herself to bake. So far, we've had made-from-scratch chocolate chip cookies, Disney-inspired treats, like the tarts from "Brave," and so much more. Dealing with the quarantine, she has been an inspiration. Just yesterday she was crowned CHS’s 2020 “Virtual” Prom Queen, as the kids lost out on their prom as well.
As the 2020 general election nears in early November, it isn’t just national offices that are up for election. The positions for Independence mayor, as well as three councilor positions, will appear on the ballot.
The filing period for interested candidates begins this June 3 and ends on August 25, 2020. To qualify, candidates need to be a registered voter of the City of Independence and a resident of Independence who’s resided continuously in the city during the year preceding the election.
All council positions are volunteer and unpaid. For more information, contact City Recorder Karin Johnson, who serves as the elections officer for the City of Independence. She can be reached at (503)837-1172 or by email at kjohnson@ci.independence.or.us
Look, up in the sky! It's a bird! It's a plane! ... No, it's a super-seeker!
That sounds like an appropriate term for a new county drone – and it's one not aimed at finding crime. It's for locating lost hikers and hunters; it’s a bigger, more sensitive version of the typical unmanned sky-high vision tool.
The drone was purchased recently by Polk County law enforcement with a grant. It's able to fly in rain, peruse thick timberland and even "see" into the darkest nights, thanks to thermal imaging, noted Sheriff Mark Garton.
"We can clear a lot more land a lot quicker," he said, explaining that on-foot forest searches can be relatively slow for trying to find those who lose their way in the woods. However, it's a sophisticated piece of machinery that requires a pilot's license, he pointed out.
The drone will be made available to any police department in the county who needs it, he added. -- AS