Council hears informational update on potential deanexation and land-swap alternative

City planning staff briefed the council May 4 on a proposed deanexation (withdrawal of territory) being considered as an alternative to a one-time UGB expansion or a land-swap. The properties include four parcels of roughly 20 acres, 2.3 acres, 5 acres and 0.98 acres, all zoned R2 (medium-density residential) and constrained by the stream-corridor and special-flood-hazard overlays, staff said.

Staff described the withdrawal process: council would adopt a resolution initiating withdrawal, conduct a public hearing within 30 days, consider an order and a final public hearing (not less than 20 days and not more than 50 days after the order), and then declare territory detached by resolution or ordinance if approved. Staff said Yamhill County would be referred and initial county comments suggest the parcels would revert to prior county zoning; staff also noted the parcels are inside the city's urban renewal boundary and discussed potential minor urban-renewal amendments or county approvals if the land is deanexed.

Staff recommended a potential condition of approval that would prevent property owners from objecting to future UGB removals (to avoid small single-family developments consuming UGB capacity). Council discussed riverfront master-plan connections, fiscal impacts to urban renewal, and whether to wait for ongoing state determinations; no council action was requested at the meeting.

Next steps, if the applicant proceeds, include referral and hearings in June–July under the tentative schedule staff provided.