Madras approves $19,314 purchase to pave Olive Street as part of larger street project

Madras — The City Council authorized the purchase of a parcel from the Opportunity Foundation of Central Oregon for $19,314 to enable the city to finish design and construction work to pave Olive Street.

Public Works explained the purchase is required to align right‑of‑way and avoid offset driveway conflicts as the city prepares bids for the street project. The project stems from a previous developer condition and contributions; staff described a layered funding plan that includes a developer improvement fee, system development charges (SDCs), and a revised contribution from the MRC. Newer engineer estimates place the overall construction cost closer to $600,000.

Council debated whether the city should expect to recover funds if the property is later developed; Public Works said the city typically does not recoup costs when it builds a public street improvement and that a reimbursement district had not been successful in prior cases. Councilor Solis moved to approve the purchase and authorize the city administrator to sign; the motion passed unanimously.

Why it matters: acquiring the parcel removes a design constraint and allows the city to move forward with a larger paving project that staff say will improve connectivity and support potential redevelopment in the neighborhood.

What’s next: bids are underway; staff will return with contract awards and construction timeline. Funding will be applied from improvement fees, SDCs and the MRC contribution adjustment that the city outlined in the staff report.