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Day: October 5, 2015

City, developer agree on reimbursement


Of the Keizertimes

It came down to two numbers: 24.45 percent and 12.08 percent.

KS Reim LLC, the company established by the developers of the new Mountain West apartments and the Bonaventure senior living center in Area C of Keizer Station, wanted to be reimbursed the higher rate for the extension of McLeod Lane.

In the end, however, company officials agreed on the lower amount. Keizer City Councilors unanimously approved the 12.08 percent on Sept. 21.

Total costs for the project are estimated at $3,233,931. Of that cost, the costs associated with extending McLeod are $683,476.83.

City leaders and company officials met to figure out trips generated from two areas along the current part of McLeod are expected to contribute 12.08 percent of the traffic along the new part of the road. That means KS Reim will be reimbursed for 12.08 percent of the $683,000, or $82,564. At the rate of 24.45 percent, the amount would have been $167,110.

“The main disagreement with the applicant is the reimbursement for McLeod extension, from 24.45 percent to 12.08 percent,” said Bill Lawyer, Public Works director for Keizer.

Dana Krawczuk, an attorney speaking on behalf of KS Reim, noted the reimbursement district issue was brought up in the spring.

“We are taking the risk that others will connect in and we get paid back,” Krawczuk said. “If the balance of Area C doesn’t develop, we don’t get paid back anything. This is a $3.2 million risk. Our prime directive was to be fair but also predictable.”

Krawczuk emphasized paying a fair share wasn’t an issue for her company.

“This will be a community asset and an Area C asset, so costs ought to be shared,” she said. “Apartments and senior homes are not required to put in a signal, but we’re going to pay our fair share of the signal. We ought to pay, the same thing for the McLeod extension. Just because we’re first on the property doesn’t mean there shouldn’t be a shared cost.”

John Eld from Bonaventure also pointed out the potential risk.

“We’re taking a risk here,” Eld said. “We’re willing to take a risk because we believe in the development. If Area C doesn’t develop in 20 years, we’re not being reimbursed.”

Lawyer said the percentage came from the Traffic Impact Analysis study done for the project. The $683,000 figure is an estimate at this point; whatever the final cost ends up being, 12.08 percent of that new number will be what KS Reim is reimbursed. As long as final costs are no more than 10 percent different in either direction, there will not have to be another public hearing on the topic.

In other business Sept. 21:

• Early sales of recreational marijuana will be allowed at medical marijuana facilities, effective Oct. 1 and going through the end of 2016.

Councilors unanimously approved a motion to amend the Keizer Development Code to align with Senate Bill 460. An ordinance to allow early sales on a medical marijuana facility permit had already been approved; last week’s motion revised the definition in the KDC.

A sunset clause calls for the amendment to end on Dec. 31, 2016. By that time, recreational marijuana facilities will be allowed to sell product.

• Lawyer gave an update on an August request from Keizer resident Scott Amlin to create a quiet zone at the Chemawa Road/Keizer Station railroad crossing between 10 p.m. and 6 a.m.

“I made some contacts,” Lawyer said. “I thought it would be a cumbersome process. I’m very pleased to report there is an Oct. 20 meeting with all the representatives that need to meet, on the site. It’s likely the only thing we’ll need are signs. All preliminary indications are positive.”

• Nate Brown, director of Community Development, said there were 21 applications for new single family residences in Keizer for the month of August.

“We went through the records and that’s the most we’ve ever had in an August,” Brown said. “There is building activity going on. Our economy is improving.”