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Board directs one‑time correction to PILOT payments for Molalla and its fire district

Clackamas County Board of County Commissioners · December 17, 2025
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Summary

Commissioner Helm moved and the board approved a one‑time allocation to correct a PILOT miscalculation that left the City of Molalla and the Molalla Fire District undercompensated for two fiscal years; staff will draft an intergovernmental agreement to formalize the payment.

Commissioner Helm reported a tax‑PILOT pilot program error that left payments due to the City of Molalla and the Molalla Fire District unpaid for two fiscal years. Helm moved to allocate retroactive payments of $6,302.36 to the City of Molalla and $776.23 to the Molalla Fire District for FY 2022‑23 and FY 2023‑24, and to direct staff to draft a one‑time intergovernmental agreement documenting the correction and citing the error. Commissioner Savas seconded the motion. Commissioners discussed limiting the action to a one‑time correction and requiring an IGA to avoid setting a precedent for backfilling other programs; staff confirmed the housing PILOT is a housing‑authority program and that the county board had approved the authority project four years earlier.

The clerk called the poll; the motion passed 4–0. Commissioner Savas asked staff to prepare a ‘rolling red list’ of current areas in which the county is overdrawn so the board can track exposure and funding sources.

Next steps: staff will prepare an intergovernmental agreement to formalize the one‑time payment and return with the document for approval as appropriate.