North Bend council adopts Ordinance 2083 to amend Urban Renewal Plan, cites $4 million for housing

The North Bend City Council voted to adopt Ordinance 2083, approving an amendment to the North Bend Urban Renewal Plan that staff said prioritizes a workforce housing project and clarifies program priorities downtown.

Staff presented a two-year review of the plan and described the largest project in the amendment as a housing effort involving demolition and reconstruction of properties the agency acquired in 2021. Staff said the city secured $4,000,000 from the federal delegation to support that housing project and cited the original property purchase price of $125,000. "This is not a tax increase," staff told the council, explaining the amendment continues the shared revenue structure that allows tax increment to stay local rather than raising maximum indebtedness in a way that would directly increase current property tax rates.

Councilors asked questions about timing and local impacts; staff estimated construction could begin within about 18 months if permitting and funding proceed as planned. The council approved first and second readings by title and then adopted the ordinance in roll-call votes. The city attorney stated the ordinance will be effective 30 days after adoption.

City staff said the amendment maintains funding for downtown façade grants and urban revitalization in the district and that staff will return later this year with specific program proposals for how to use program income and grants once the amendment takes effect.

What happens next: the ordinance takes effect 30 days after adoption and staff will bring program-level proposals and grant recommendations to the council later in the year.