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Residents, school and public‑safety officials press Umatilla council to share enterprise‑zone revenue

5812552 · January 22, 2025
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Summary

Multiple speakers at the council meeting urged the City of Umatilla to develop a transparent plan to distribute enterprise‑zone tax receipts to taxing districts such as schools, the fire district, hospital and radio/data district; no formal action was taken.

Heidi Sipe, superintendent of the Umatilla School District, and more than a dozen other local officials and residents urged the Umatilla City Council to create a transparent, deadline‑driven plan to distribute enterprise‑zone tax receipts to taxing districts including schools, the fire district, the hospital district and radio/data communications.

The request came during the meeting’s public‑comment period, where speakers described repeated efforts since 2017 to get the city to convene a multi‑district work session and adopt criteria for sharing enterprise‑zone funds. “We don’t have a plan,” Sipe said, adding that neighboring Morrow County directed more than $1 million to its school district last year while, “Umatilla’s amount last year: zero.”

Why it matters: Enterprise zones are created to reduce some property tax obligations for incoming businesses in exchange for local economic development. Local taxing districts say the resulting shift of tax revenue into city and county coffers has left schools, fire protection, hospital and other districts without anticipated funding while those districts provide services to new developments inside the enterprise zone.

Speakers asked the council to set a deadline and convene a task force with all impacted taxing entities. Kyle Sipe, chair of the rural fire protection district board, said the district has had a 31% increase in emergency responses since 2020 and has received no enterprise‑zone funds, and argued the council’s previous policy choices deserve scrutiny. “We need to listen to each other and find a way to share the money so that everyone can do their jobs better,” he said.

Other presenters included Toby Cranston, a long‑time school board member who asked for “a transparent process so everyone understands how these funds are being used,” and Josiah Baron, executive director of the Umatilla Chamber of Commerce, who urged a collaborative task force. Mark Browning, president and CEO of Blue Mountain Community College, offered the college’s participation.

Several speakers described prior city staff comments and promises. Sipe quoted City Manager Dave Stockdale saying the city would prepare guidelines and bring back a rough draft before Thanksgiving; speakers said that follow‑up has not produced a final plan or scheduled work sessions. Multiple commenters contrasted Umatilla’s approach with Morrow and Wasco counties, which they said allocate enterprise‑zone proceeds to schools and other districts.

City staff did not present or adopt a distribution policy at the meeting; no council motion or vote on enterprise‑zone distribution occurred. Council members and staff acknowledged the topic requires more discussion; staff noted the matter had been discussed at prior meetings and that legal and intergovernmental details complicate any change. Several commenters asked the council to schedule a work session and to set a deadline for producing a distribution model.

The council did not schedule a work session or adopt a timeline during the meeting. Speakers said they will continue to press the council for a collaborative model that includes schools, public safety and other taxing districts.

Ending: Commenters asked the council to provide a concrete next step and deadline; those requests remained pending at the close of the meeting.