North Bethany roads budget OK'd; staff to pursue design funds for Kaiser Road gap

The North Bethany County Service District for Roads budget committee approved the district's fiscal year 2025–26 budget and levied the district's permanent property tax rate, and staff recommended funding preliminary design work for two remaining road segments in the neighborhood.

The committee voted to adopt the proposed FY 2025–26 budget for the North Bethany County Service District for Roads and to levy the district's permanent property tax rate of $1.25 per $1,000 of assessed value, after a staff presentation on revenues, projects and risks. "A lot of what we're going to be talking about today is really not directly germane to adopting our task of adopting the budget today, but really a lot of background information," Washington County Director of Land Use and Transportation Steven Roberts told the committee during the presentation.

Roberts told the committee the district's primary revenue sources are property tax revenues, system development charges, and a Transportation Development Tax (TDT), and that the district is nearing buildout. Using the original 2011 estimate of roughly 4,200 total housing units, staff said the neighborhood is about 92 percent built out and that property tax revenues have risen accordingly. Roberts said staff expects about $1.5 million in property tax revenue for the upcoming budget year, and estimated approximately $4 million in unallocated or uncommitted district funds about a year from now while cautioning that system development charge and TDT receipts are tied to building permit activity and therefore uncertain.

Committee members pressed staff on remaining gaps in Kaiser Road and pedestrian connectivity to the nearby school. Member Dan Reed, tuning in remotely, asked whether the unfinished stretch between Shackleford and Sato Elementary would be addressed; Roberts replied the plan is to "finish off the final middle piece of Kaiser Road" and to extend sidewalks to connect with existing sidewalks near the school.

Staff recommended continuing a "pay-as-you-go" funding approach rather than borrowing against future revenues. As part of the proposed near-term work program, Roberts said staff is recommending allocating $500,000 for preliminary design and cost estimates for Kaiser Road Phase 2 (between Brugger and Shackleford) and $500,000 for design work related to the Shackleford gap; those allocations would require a supplemental budget adjustment in the fall to authorize the spending.

Roberts also reported a recent downward revision of the Springville Road Phase 4 estimate by about $900,000 from last year's projection and said Kaiser Road Phase 1 would likely need an increased allocation to cover updated cost estimates. He described two active projects: Springville Road Phase 4, nearing completion, and Kaiser Road Phase 1, currently in design; staff also identified locations where developer-built improvements may occur in the next 18–24 months.

During the public hearing period, Dale Fick, chair of the Washington County Citizen Action Network, urged the committee to consider impacts on lower-income residents in the Bethany area and to be mindful of equity. "Please consider in what you're doing in that Bethany area for low income people," Fick said.

After public comment, Budget Committee member Bruce Young moved to approve the FY 2025–26 budget for the North Bethany County Service District for Roads as proposed and to levy the permanent property tax rate; Commissioner Antrees seconded. The committee called the question and members voted in favor; the motion passed.

Staff told the committee they intend to reconvene an informal budget subcommittee later this year to refine priorities, update cost estimates and consider funding strategies for remaining projects. Roberts noted continued uncertainty in revenue projections because building permit–linked fees depend on market conditions and mortgage rates.

The committee adjourned after taking the fiscal vote. Staff will return in the fall with a supplemental budget request if the committee approves the proposed design allocations.