Troutdale’s Public Safety Services Delivery Working Group on Oct. 20 reviewed a proposed five-year extension to the intergovernmental agreement (IGA) with Gresham for fire and emergency services and recommended that staff continue negotiations while seeking clearer terms, including an exit clause and justification for a 10% first-year price increase.
The group’s review centered on a revised amendment that would set a 10% escalation in the first year followed by 7% annual increases for the next four years. A staff member told the group the revised proposal would put Troutdale’s share at roughly $4.6 million by the 2030–31 fiscal year compared with an earlier Gresham offer that would have approached $6 million in that period. "This is buying us some time. It doesn't fix our general fund problems, but it is more palatable than the prior offers," the staff member said.
Members said the extension would give Troutdale budget certainty while the multi-city task force explores longer-term options, including joining or forming a fire district (referred to in the discussion as options that included remaining with Gresham, joining Fire District 1 or 10, or creating a new district among the four cities). But several participants pressed for a written mechanism that would allow one or more cities to exit the agreement without being blocked by unanimous consent.
Why the first-year escalation is 10% drew repeated questions. Managers and elected officials said historical annual increases since 2015 have typically ranged about 6%–8%, and they asked Gresham to explain the larger first-year increase. Staff and city managers were directed to seek that explanation and to push for reinstating an exit provision similar to the earlier 2015 agreement, which included either a one- or two-year notice option and a 30-day termination for default by a participating city.
Participants also debated whether a two-year opt-out period would be feasible, with some saying one year would be too short for Troutdale to enact a viable plan B should the relationship end. City managers representing the three smaller cities (Troutdale, Fairview and Wood Village) asked that Troutdale retain the ability to leave without requiring agreement from all parties. "We're asking them to modify that," one manager said of the proposed language.
The working group reviewed elements of the Marinette Company (Gresham Fire District Financial Analysis) study that were discussed in prior packets. Members said portions of that analysis were inconsistent in public materials about whether the study modeled only Gresham city limits or a multi-city district; staff referenced a portion of the report that stated the analysis assumed an independent district would continue to provide the same level of service to Fairview, Wood Village and Troutdale. The study’s scenarios were cited in the meeting as showing a range of tax-rate estimates, including a baseline scenario that has been widely discussed at $3.73 per $1,000 of assessed value and enhanced scenarios that were higher.
The group discussed local service gaps and operational proposals that have been mentioned by Gresham, such as temporary or ‘‘pop-up’’ stations to improve response times in areas north of I‑84 and around Wood Village. Staff said a potential temporary site near Seventh and Gleeson (described during the meeting as close to the Wood Village–Fairview border) was a concept Gresham has raised to address a response-time gap in that area; the proposed IGA amendment itself does not guarantee new stations or capital projects.
Panel members noted the extension being discussed is an operations contract and does not include capital investments; capital would generally require separate funding such as bonds. Participants also discussed Troutdale’s assessed-value figures during the meeting, with at least one speaker citing an assessed value figure of "about $8,102,000" in one exchange and later describing Troutdale’s assessed value as "2.1 billion." The group acknowledged those numbers need clarification in staff follow-up.
At the end of the discussion the working group said it would recommend moving forward with the amended IGA subject to further negotiation on the 10% first-year escalation, reinstating an opt-out/exit clause (city managers asked for language allowing at least a two-year notice or a Troutdale-only exit mechanism), and obtaining clearer, documented analyses about district cost modeling and service levels. Staff were directed to return with answers after the multi-city task-force meeting on Nov. 6 and to bring revised contract language and supporting cost explanations to the council update slated after that meeting.
The working group did not take a formal vote to adopt the contract; members expressed general consensus to continue negotiations and to ask Gresham for the clarifications directed in the meeting.