Philomath eyes reuse of cleaned brownfield at 14th & Main; urban renewal funds, RFP process discussed

Philomath Finance & Administration Committee · November 19, 2025

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Summary

City staff briefed the Finance & Admin Committee on urban renewal history, progress toward paying down earlier projects, cleanup of a brownfield at 14th & Main (1348 Main Street), and options — including mixed‑use development, a small hotel, or a public plaza — to pursue via an RFP and public‑private partnerships.

City staff updated the Finance & Administration Committee on Philomath’s urban renewal district, the near‑term budget capacity of tax‑increment funds, and options for reuse of a contaminated downtown parcel near 14th & Main.

Staff recounted the district’s history: created in 1990 to support Main Street improvements, expanded in 2010 alongside an Oregon Department of Transportation (ODOT) highway realignment to add streetscape work, and amended in 2015 to cover replacement of aging water and sewer lines. In 2016 the city added a blighted parcel in downtown—identified as having underground storage tanks—into the renewal plan to allow acquisition and remediation under urban renewal authority.

The presenter said the city secured grants for environmental assessment (phase 1/2) but not for full cleanup; as a result the city is using urban renewal dollars for voluntary cleanup under Oregon Department of Environmental Quality (DEQ) oversight. Staff identified the site in inventory material as 1348 Main Street (high‑priority brownfield) and said the contractor will sample soils, groundwater and soil vapor and submit results to DEQ before remediation is complete.

Staff described reuse options drawn from the Philomath downtown revitalization plan: a mixed‑use building with ground‑floor retail and two to three floors of housing (affordable, market rate or a combination); a small boutique hotel (roughly 15–20 rooms); or a public plaza and event space (for farmers markets and festivals). Staff recommended preparing an RFP with design requirements (the city’s "timbertown" aesthetic is a noted preference) and seeking private partners to build a project that meets the city’s objectives; alternatively, the city could retain public ownership and program the space.

Financial constraints were highlighted: staff said the urban renewal maximum indebtedness cap leaves roughly $360,000 of unused borrowing capacity and that most remaining activity will focus on completing cleanup and prioritizing smaller projects such as lighting and streetscape work on 13th Street. Staff proposed a council work session to prioritize projects, instruct staff on an RFP if desired, and keep momentum while cleanup proceeds.

Committee discussion emphasized parking and leveraging the active 13th Street corridor for festival and pedestrian activity; staff noted plans to add side‑street parking on 11th and 12th Streets to support downtown events. Design standards and a facade grant program that incentivizes the timbertown materials approach were cited as tools to ensure compatible development if the city offers the site through an RFP.

Staff did not make any final land‑disposition decisions at the meeting; instead the committee agreed to pursue a work session and to return with a clearer list of priority projects and next steps for an RFP or other procurement process once cleanup is complete.