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Gilliam County court discusses proposed Arlington economic-incentive IGA, directs legal review and broader county approach

5134153 · July 3, 2025
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Summary

Gilliam County Court asked legal counsel to review a draft intergovernmental agreement July 2 that would let Arlington use county economic-development funds to incentivize downtown development, and discussed a countywide alternative of earmarking funds to cities.

Gilliam County Court discussed July 2 a draft intergovernmental agreement (IGA) proposed by the city of Arlington to use county economic-development funds to incentivize private development on a city-owned commercial parcel.

The draft IGA would allow the city to offer incentives to developers who purchase and build on the property, with stipulations such as reimbursing the developer only after construction begins and not using funds for land purchase. Councilor Raven and Kayla Rayburn (identified in the transcript as city representatives) described the proposal as a tool to promote downtown business development, workforce housing and community services such as a laundromat.

Commissioners raised questions about legal liability, whether the program would be available to other cities in the county, and how the county’s economic enhancement ordinance and existing city allocations are administered. "If we're going to do something like this, is it available to all both other cities?" one commissioner asked. Several commissioners discussed the county's existing split of economic enhancement percentages — a portion set aside for cities — and the possibility of increasing those allocations this fiscal year rather than administering project-level IGAs from the county.

After substantial discussion about program design, possible caps and reporting requirements, the court directed staff to send the draft IGA to county legal counsel for review, incorporate the questions raised (insurance/liability, eligible uses, reporting, reimbursement timing), and to follow up with the city of Arlington and the other county cities. Commissioners suggested potential interim steps: earmark $200,000 for each city in the current year as an initial incentive pool and consider ordinance amendments in a later budget cycle to adjust allocations.

The court did not approve the IGA at the July 2 meeting. Instead, it tabled formal action pending legal review and requested that staff return a revised draft for a future meeting, with the earliest possible consideration at the court's next session in mid-July. Commissioners emphasized the need for clear terms, equitable access for each city, and reporting requirements to ensure money is used for economic development as intended.