Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Capital Projects topic
No spam. Unsubscribe anytime.
Clackamas County directs staff to draft loan amendment to finish Fair & Event Center construction
Summary
After hearing that unanticipated overruns threaten completion of the multi‑use fairgrounds building, the Clackamas County Board voted unanimously to have staff prepare an intergovernmental agreement amendment and loan terms (up to $700,000) for future approval.
The Clackamas County Board of Commissioners voted June 23 to direct staff to draft an amendment to the intergovernmental agreement with the fair board that would outline terms for a one‑time, below‑market loan to finish construction of the county’s new Fair & Event Center.
Dan Johnson, the county’s director of transportation and development, told the board that the 45,000‑square‑foot multi‑use building has run into unanticipated costs driven by material escalation, permitting delays and change orders. “There are several unanticipated circumstances that have resulted in the need for additional funding,” Johnson said, explaining that county ARPA money and an existing low‑interest Business Oregon loan have been used and that a final gap loan of “up to $700,000” could finish the project while preserving agreed order of funding sources.
The proposal the county staff outlined would require the fair board to exhaust ARPA and other committed sources before the county loan would be tapped, and would include conditions that increase county project‑management oversight. Johnson said the county would seek authority to review and approve change orders, payment invoices and other construction decisions if the loan is used.
Commissioners pressed staff on accountability and repayment. Commissioner Shrader asked whether the fair board would have sufficient contingency to cover annual debt service; Johnson said the loan would be secured in part by holding back certain transient lodging transfers and that the fair board’s executive director, Brian Crow, expects lease and naming‑rights revenue to help meet debt service. “According to Brian Crow … this additional debt service shouldn’t have any impact on their ability to operate the fair,” Johnson said.
After discussion the board voted 5–0 to instruct staff to prepare an amendment for future board approval. Commissioner Shrader made the motion and Commissioner Helm seconded it.
What’s next: staff will draft the proposed IGA amendment with loan terms and return it to the board at a future business meeting for final approval; staff said a supplemental budget would be required if the loan proceeds and would be processed later in the year.
