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Umatilla council weighs relaunching police-station bond after May vote fails

5814600 · June 3, 2025
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Summary

Voters rejected a $19.8 million general-obligation bond to build a new police station; councilors discussed resubmitting the bond in November, offering a one-time utility credit tied to enterprise-zone contributions, or funding the project through a full‑faith and‑credit loan, and asked staff for legal review before next steps.

The Umatilla City Council discussed options Monday after voters rejected Measure 30‑167, a $19.8 million general‑obligation bond to build a new police station, by a 58–42 margin.

Council members and staff warned that the bond defeat carries opportunity costs: the bond was structured to unlock an estimated $33.8 million in enterprise‑zone contributions from a major commercial participant if voters approved the measure. Staff said the median household impact under the bond as presented would have been about $35 a year.

City staff summarized three paths: (1) return to voters in November with revised messaging and a proposed one‑time utility credit equal to the median household bond cost as a voter incentive; (2) finance construction immediately with a full‑faith and‑credit loan and absorb roughly $1.5 million in annual debt service inside the general fund budget; or (3) delay and pursue a later financing timeline that reduces near‑term budget pressure at the cost of higher escalation risk. A staff presentation estimated the full‑faith‑and‑credit repayment totals at roughly $32.1 million (20 years) or $36.8 million (25 years) depending on term and timing.

Legal counsel and staff flagged procedural and fiscal issues for the council to consider. Staff said a legal review is needed before pursuing a November ballot approach that would include a utility credit tied to enterprise‑zone revenues and that the city must also weigh operational tradeoffs if it borrows without voter approval. Council members said turnout in the May election was low — 478 ballots cast of more than 3,000 registered voters — and that further public outreach and clearer messaging may be required before returning to voters.

Council members did not take a formal vote on any funding route. Instead they directed staff to obtain the legal review and return with more detailed options and fiscal analysis. Several councilors expressed a preference to try a November ballot with improved outreach, while acknowledging that the legal review could prompt a different decision.

The council scheduled follow‑up discussion at upcoming meetings and a related workshop on municipal revenue options.