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Albany council upholds Planning Commission denial of proposed treatment center at 506 Ferry St.

Albany City Council · October 23, 2025
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Summary

The City Council upheld a Planning Commission denial of a conditional‑use application to operate an outpatient drug and alcohol treatment center at 506 Ferry Street SW, citing procedural concerns about a mid‑process change in the applicant’s corporate status despite councilors’ sympathy for the service’s mission.

The Albany City Council on Oct. 22 upheld the Planning Commission’s May 19 denial of a conditional‑use application for a proposed outpatient drug and alcohol treatment center at 506 Ferry Street SW.

The quasi‑judicial appeal centered on whether the entity before the council was the same applicant reviewed by the Planning Commission. City planning staff said the commission denied the application on the grounds that the use is permitted as a "community service" only when operated by government, a nonprofit or a charitable organization, and that the applicant before the commission was a for‑profit LLC. City records show the applicants later filed nonprofit articles of incorporation on Sept. 4, 2025; the city attorney advised the council to base its decision on the legal applicant that existed at the time of the planning hearing.

Supporters and opponents agreed the services are needed. Applicant representatives and supporters, including a social worker who submitted a written statement, argued the organization had converted to nonprofit status in response to staff feedback and stressed urgent local needs tied to fentanyl overdoses and homelessness. Project manager Celia Cicada said the nonprofit filing was "a direct response to the denial in May" and asked the council to consider conditions that would limit nonprofit operations to the house.

Opponents and several councilors raised neighborhood‑scale concerns: parking and traffic near the courthouse and a nearby childcare center, compatibility with the Hackleman‑Monteith historic district, and the risk that interior remodels for commercial operations would make the house unlikely to return to residential use. Longtime resident Bill Orger told the council the house is "a good service in the wrong place." Several councilors called the switch in corporate form a "shell game" and said approving the application despite that change could set a problematic precedent.

During deliberation, councilors were divided between enforcing the land‑use record and avoiding what some called a technical bar to a needed service. The council moved and seconded a motion to uphold the Planning Commission’s denial; the chair later stated the motion passed and the denial was upheld (the transcript does not record a roll‑call tally). The mayor reminded the public that the council’s decision can be appealed to the Land Use Board of Appeals (LUBA) by filing a notice of intent no later than 21 days after the final decision.

Next steps: The applicants may refile a new application under the nonprofit entity if they wish to pursue the same use; the city attorney and staff advised that a new applicant or materially new facts would normally return to the Planning Commission prior to a new appeal to council.