By Anne Scheck
RECESSION DRIVES NEW CITY BUDGET
A new city budget that includes $11 million in expenditures already reflects the financial strain of a recession – the bulk of the spending plan is for improvements in needed water projects ranging from a recycling system to a new well.
“We recognize that we’re in a recession,” said City Manager Tom Pessemier. “I think the only thing we don’t know is how long that recession will go on and how deep it will be,” he said.
One staff lay-off has occurred so far, and the economic situation caused by the COVID-19 pandemic may necessitate more staff reductions, said Gloria Butsch, the city finance director. State revenue to the city, particularly from the gas tax, is going to be substantially less, she noted. Though liquor sales and marijuana taxes are predicted to increase, it will not offset the loss, she added.
The Independence Hotel, once predicted to bring significant revenue from the lodging tax, hasn’t met expectations. For funding economic development and tourism promotion, “we had counted on that heavily,” Ms. Butsch said.
This year, the city population should tick up to 10,000 – if it hasn’t done so already, she said. However, the construction of new houses – previously considered at a brisk pace – probably will proceed more slowly. The scaled-down estimate is now 45 new homes, Ms. Butsch said. [NOTE: Budget hearings are underway and will be reported as they occur]
CITY OKAYS RE-FI OF MINET BONDS
A far lower interest rate for refinancing MINET bonds – one for $575,000, the other for $4,570,000 – will save the city at least $347,000, according to a resolution passed by the Independence City Council this month.
The cost of refinancing, including underwriter reviews and bond insurance, was $122,000. The price to the city for bond refinancing, known as a “re-funding” process, has been included in reports since about two years ago, when former City Councilor Ken Day made it part of the public protocol.
MUSEUM MOVES AHEAD ON PLANS
Offices, a board room, an exhibit area and onsite storage are included in architectural renderings for the Heritage Museum’s relocation to a corner property in downtown Independence, according to a presentation last week to the city council by the museum’s manager, Carly Annable.
Moving the museum to the new site – across from the Independence Post Office – so far has costs estimated close to $700,000, a sum that includes purchase of the space, refurbishment of it and the architectural plans. The Heritage Museum currently is housed in a historic church on 3rd street, but so far that building hasn’t been put on the market for sale.
POLK COUNTY ADVOCATES LIKELY to SUPPORT RULING
A ruling from a circuit judge that voids Gov. Kate Brown’s restrictions on social gatherings and stay-at-home orders is likely to find support at meetings this week of the Polk County Board of Commissioners – many recent attendees there have made a similar argument before the board.
In making the decision, Judge Matthew Shirtcliff said “the balance of equities tips in the favor of the plaintiffs,” who had asserted, in part, that citizens have the freedom to worship and practice religion as they choose in Baker County, where the suit was filed. Several business owners who attended Polk County meetings in recent weeks alleged the governor had overstepped her statutory authority, by issuing shelter-in-place orders that exceeded a 28-day limit.
However, two attorneys who were asked in those meetings whether this was the case – Dallas attorney Lane Shetterly and Polk County counsel Morgan Smith – shared on-the-spot opinions during different sessions that the governor was within the legal bounds to do so.
Last Wednesday, the Polk County Board of Commissioners extended their emergency declaration for another 60 days. In a news release, the commissioners stated that this “in no way indicates, on the part of Polk County, a reduced effort to pursue the re-opening phases of recovery from the pandemic event.” County Administrator Greg Hansen said the action was taken to provide more flexibility in county management during the COVID-19 crisis.
FINAL NOTE: Included in the last Linking Letter were restaurants open for take-out in Independence. Several committed citizens sent emails stating the list didn’t include all local restaurants – an accurate observation. The Linking Letter, The Linking Loop and The Independent have coverage limited to Independence. However, two different Independence eateries that were closed now are open for curbside pick-up. They are: Pink House Café, 242 D St, Independence, OR 97351, (503) 837-0900; Territory 201 Osprey Ln, Independence, OR 97351 (503) 837-0203
RECESSION DRIVES NEW CITY BUDGET
A new city budget that includes $11 million in expenditures already reflects the financial strain of a recession – the bulk of the spending plan is for improvements in needed water projects ranging from a recycling system to a new well.
“We recognize that we’re in a recession,” said City Manager Tom Pessemier. “I think the only thing we don’t know is how long that recession will go on and how deep it will be,” he said.
One staff lay-off has occurred so far, and the economic situation caused by the COVID-19 pandemic may necessitate more staff reductions, said Gloria Butsch, the city finance director. State revenue to the city, particularly from the gas tax, is going to be substantially less, she noted. Though liquor sales and marijuana taxes are predicted to increase, it will not offset the loss, she added.
The Independence Hotel, once predicted to bring significant revenue from the lodging tax, hasn’t met expectations. For funding economic development and tourism promotion, “we had counted on that heavily,” Ms. Butsch said.
This year, the city population should tick up to 10,000 – if it hasn’t done so already, she said. However, the construction of new houses – previously considered at a brisk pace – probably will proceed more slowly. The scaled-down estimate is now 45 new homes, Ms. Butsch said. [NOTE: Budget hearings are underway and will be reported as they occur]
CITY OKAYS RE-FI OF MINET BONDS
A far lower interest rate for refinancing MINET bonds – one for $575,000, the other for $4,570,000 – will save the city at least $347,000, according to a resolution passed by the Independence City Council this month.
The cost of refinancing, including underwriter reviews and bond insurance, was $122,000. The price to the city for bond refinancing, known as a “re-funding” process, has been included in reports since about two years ago, when former City Councilor Ken Day made it part of the public protocol.
MUSEUM MOVES AHEAD ON PLANS
Offices, a board room, an exhibit area and onsite storage are included in architectural renderings for the Heritage Museum’s relocation to a corner property in downtown Independence, according to a presentation last week to the city council by the museum’s manager, Carly Annable.
Moving the museum to the new site – across from the Independence Post Office – so far has costs estimated close to $700,000, a sum that includes purchase of the space, refurbishment of it and the architectural plans. The Heritage Museum currently is housed in a historic church on 3rd street, but so far that building hasn’t been put on the market for sale.
POLK COUNTY ADVOCATES LIKELY to SUPPORT RULING
A ruling from a circuit judge that voids Gov. Kate Brown’s restrictions on social gatherings and stay-at-home orders is likely to find support at meetings this week of the Polk County Board of Commissioners – many recent attendees there have made a similar argument before the board.
In making the decision, Judge Matthew Shirtcliff said “the balance of equities tips in the favor of the plaintiffs,” who had asserted, in part, that citizens have the freedom to worship and practice religion as they choose in Baker County, where the suit was filed. Several business owners who attended Polk County meetings in recent weeks alleged the governor had overstepped her statutory authority, by issuing shelter-in-place orders that exceeded a 28-day limit.
However, two attorneys who were asked in those meetings whether this was the case – Dallas attorney Lane Shetterly and Polk County counsel Morgan Smith – shared on-the-spot opinions during different sessions that the governor was within the legal bounds to do so.
Last Wednesday, the Polk County Board of Commissioners extended their emergency declaration for another 60 days. In a news release, the commissioners stated that this “in no way indicates, on the part of Polk County, a reduced effort to pursue the re-opening phases of recovery from the pandemic event.” County Administrator Greg Hansen said the action was taken to provide more flexibility in county management during the COVID-19 crisis.
FINAL NOTE: Included in the last Linking Letter were restaurants open for take-out in Independence. Several committed citizens sent emails stating the list didn’t include all local restaurants – an accurate observation. The Linking Letter, The Linking Loop and The Independent have coverage limited to Independence. However, two different Independence eateries that were closed now are open for curbside pick-up. They are: Pink House Café, 242 D St, Independence, OR 97351, (503) 837-0900; Territory 201 Osprey Ln, Independence, OR 97351 (503) 837-0203
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