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Local business owners intend legal action over transitional housing deal

Justin Werner
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Local business owners intend legal action over transitional housing deal
Helping Hands lincoln city
The red area highlights two tax lots recently purchased by The City of Lincoln City for transitional housing (Satellite image via Google Maps)

Lincoln Woods Apartments and Ashley Inn & Suites owners continue legal efforts to challenge a recent conditional use permit granted to the City of Lincoln City, allowing Helping Hands Reentry Outreach Centers to provide transitional housing for Lincoln City’s homeless population.

In a letter addressed to City Manager Ron Chandler and City Attorney Richard Appicello, Byron Farley of Martinis & Hill, lawyer for the business owners, expressed “concerns and objections” to the conditional use permit (CUP) despite a recent ruling from the Land Use Board of Appeals (LUBA) who ruled in favor of Lincoln City due to an untimely appeal.

The business owners said they had no idea about a $750,000 deal between the City of Lincoln City and Helping Hands Reentry — a nonprofit serving the homeless — where the City purchased land and two vacant buildings at 3454 NE Highway 101 & 2201 NE 34th Street, for $400,000 and gifted it to the nonprofit. A $350,000 urban renewal rehabilitation loan will be given to Helping Hands to bring both buildings up to code and both the purchase of the property and the loan are secured with promissory notes and trust deeds. If Helping Hands does not use the property for transitional housing, the building reverts back to the City.

Farley says he conducted a thorough review of the CUP, Application and the Final Order from LUBA. He focuses on part of the Application, saying a “departure from standard operating protocol and procedures for Helping Hands Reentry Outreach Centers will be expected and diligently verified throughout the operation of the transitional housing facility.”

Among the details included in the Application was the following statement:

There are strict guidelines for residents. They have to be clean and sober, actively employed, provide at least ten hours of volunteer service to the community, and attend self-improvement meetings and addiction meetings.

Because of the wording in the Application, Farley said his clients will expect strict enforcement to make sure people in the transitional housing facility are actively employed.

Farley’s letter further states Chandler, speaking as the Applicant at the Dec. 3, 2019 public hearing, expressly stated that the residents were required to be actively employed.

Following Chandler’s presentation, a concerned citizen, Robert Kilpatrick, testified somewhat in opposition to the CUP. Kilpatrick stated that his initial reaction when learning of the CUP was one of “panic.” He stated, however, that upon hearing from Chandler that the residents would be employed, his concern regarding the risks and dangers associated with transitional housing was mitigated. Following Kilpatrick’s comments, neither Chandler, nor anybody on behalf of Helping Hands, said anything in response to Kilpatrick’s statement and understanding that the residents were required to be actively employed.

Farley said enforcement of the actively employed component of the application would inevitably result in considerable legal expense for all parties involved and said his clients intend to vigorously protect their property rights, including the right to the peaceful enjoyment and use of their property by guests and tenants. Farley said this type of facility causes unreasonable disturbances, including crime, noise, violence and other events that will significantly and unreasonably interfere with nearby residents and vacationing guests.

Farley threatened “aggressive legal action” for each incidence of interference of his client’s property rights.

At the close of the letter, Farley points out Lincoln City is not immune to the current pandemic and said a considerable projected financial shortfall made it imprudent to give a $350,000 rehabilitation loan to Helping Hands and said the money would be better spent in areas of immediate need.

Farley said his clients would be willing to engage in dialogue with the City to avoid future legal challenges, alternate sites for transitional housing and other uses for the parcel that would benefit the City.

Previous coverage:

Apartment and hotel owners hire attorney over City’s transitional housing deal

Transitional housing: Helping Hands meet-and-greet at City Hall

Special Report: City of Lincoln City to close deal for transitional housing

City Council discusses transitional housing deal; storing vehicles on street

ALL COVERAGE

Oregon reports six COVID-19 deaths, 73 new cases

News Release
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Oregon reports six COVID-19 deaths, 73 new cases

COVID-19

COVID-19 has claimed six more lives in Oregon, raising the state’s death toll to 64, the Oregon Health Authority reported Thursday.

Oregon Health Authority also reported 73 new cases of COVID-19, bringing the state total to 1,736.

The new COVID-19 cases reported today are in the following counties: Benton (2), Clackamas (8), Deschutes (4), Douglas (2), Klamath (3), Lane (1), Linn (1), Malheur (1), Marion (15), Multnomah (18), Umatilla (5), Washington (12), and Yamhill (1).

To see more case and county-level data, Oregon Health updates its website once a day: www.healthoregon.org/coronavirus.

Oregon’s 59th COVID-19 death is an 84-year-old man in Multnomah County, who tested positive on March 24 and died on April 13 at his residence. He had underlying medical conditions.

Oregon’s 60th COVID-19 death is a 56-year-old man in Multnomah County, who tested positive on March 28 and died on April 14 at Legacy Mount Hood Medical Center. He had underlying medical conditions.

Oregon’s 61st COVID-19 death is a 78-year-old man in Multnomah County, who tested positive on March 30 and died on April 14 at his residence. He had underlying medical conditions.

Oregon’s 62nd COVID-19 death is a 69-year-old man in Multnomah County, who tested positive on April 13 and died on April 15 at Kaiser Sunnyside Medical Center. He had underlying medical conditions.

Oregon’s 63rd COVID-19 death is a 74-year-old woman in Benton County, who tested positive on April 2 and died on April 14 at Good Samaritan Regional Medical Center. She had underlying medical conditions.

Oregon’s 64th COVID-19 death is a 92-year-old man in Marion County, who tested positive on April 14 and died on April 11 at his residence. He had underlying medical conditions.

Oregon response: The Oregon Health Authority leads the state response.

United States response: The Centers for Disease Control and Prevention leads the U.S. response.

Global response: The World Health Organization guides the global response.

Code Orange called at Samaritan North Lincoln Hospital

Mary Jo Kerlin
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Code Orange called at Samaritan North Lincoln Hospital

On April 15, Samaritan North Lincoln Hospital was notified that there may be radioactive material at the demolition site of the old hospital, prompting a Code Orange to be called at the new hospital and some other buildings on campus.

“Our emergency services partners were stellar in taking steps to keep our patients and staff safe,” said Lesley Ogden, MD, CEO of Samaritan North Lincoln Hospital. “I’m relieved to know that we do not have hazardous materials at our job site or our new hospital, and so pleased at the quick response by all involved.”

Starting on March 30, the empty and abated old hospital building has been in the process of being torn down and hauled away. The waste transfer station near Corvallis recorded radiation coming from a truckload that arrived at the transfer station on Tuesday, April 14.

Out of caution, a Code Orange (hazardous materials spill) was called at the hospital at about 2:15 p.m. to alert staff to avoid the old hospital demolition zone.

A hazardous materials team from Salem arrived at the hospital at approximately 2:30 p.m. to begin searching for potential radioactive materials in the demolition zone and assess for safety in the hospital building. The team declared the perimeter of the demolition zone “clear,” with no detectable radiation, and they proceeded into the interior of the demolition zone which was also found to be clear. At about 3:45 p.m., an all-clear was announced to conclude the Code Orange.

Meanwhile, teams were attempting to locate the source of radiation inside the truck being held at the Coffin Butte Landfill.

During the Code Orange, patients and staff remained where they were, with patient care and other work proceeding as normal. Those who needed to leave the hospital were allowed to do so, and were asked to avoid the demolition zone. Staff were allowed to leave work at their regular scheduled times and parents were allowed to pick up their children from the nearby Samaritan Early Learning Center as usual.

Vandals seek better view

LCH Staff
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Vandals seek better view

True Stories of the Oregon State Police!

OSP Trooper Brian Eskridge
OSP Trooper Brian Eskridge

On April 15, Trooper Brian Eskridge of Oregon State Police responded to a report of vandalism at Devil’s Punch Bowl State Park.

Unknown person(s) removed a road closure barricade blocking the viewpoint access and threw it over the security fence and into Devil’s Punch Bowl.

The Oregon Department of Transportation and Oregon State Parks and Recreation Departments were notified.

Two involved in bank brouhaha

LCH Staff
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Two involved in bank brouhaha

True Stories of the Oregon State Police!

On April 15, Oregon State Police responded to assist the Lincoln County Sheriff’s Office for a domestic disturbance occurring at the Umpqua Bank in Waldport, OR.

A male and female were involved in a physical altercation in the bank parking lot. Both parties were located and interviewed.

The involved parties were issued criminal citations for Disorderly Conduct and Harassment by the Lincoln County Sheriff’s Office to Jeremy Daniel Noland, 43, and Casey Dawn Peoples, 27, both of Waldport.

Lincoln City ‘lockdown protesters’ on Highway 101

Justin Werner
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Lincoln City ‘lockdown protesters’ on Highway 101

Lincoln City Protesters

A group of people lined Highway 101 in Lincoln City Wednesday to display signs with different messages in protest of Governor Kate Brown’s Executive Order and other actions which shut down Oregon amid the COVID-19 pandemic.

At a time when most Lincoln City residents — and people across the globe — are staying at home, this group of protesters is taking to the streets to demand businesses be allowed to open up and for people to go back to work.

Don Williams Protesting
Don Williams Protesting

The protesters gave on camera interviews, including former Lincoln City Mayor Don Williams, who held a sign that read: I’d rather be FREE than safe!

Ten people were involved with the effort and stood in front of Starbucks, Lil’ Sambos, Robben Heating and Coastline Auto Detail. One gentleman, a Veteran, stopped his truck and joined the protesters, who happened to have extra signs ready.

Protester

Most of the sign-holders said they were getting encouragement in the form of honking vehicles and thumbs-ups, but said some people were giving them the finger.

Protest in Lincoln City

A group of women held signs and screamed as passing cars and trucks honked. One lady had a sign that read: I woke up this morning and it’s 1984, a reference to English author George Orwell’s dystopian novel 1984.

More Protesting

The protesters said they plan to “keep at it everyday at noon” until they are allowed to go back to “normal life.”

Trump 2020 Lincoln City

Hall wags finger but mangles the message

Rick Beasley
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Hall wags finger but mangles the message

RICK BEASLEY Depoe Bay

Lincoln Co. Commissioner Claire Hall continues her Quixotic quest to channel the late Republican governor Tom McCall in a cynical warning to second-home owners in “Scram!”

Emulating a famous McCall punchline, Hall blames out-of-towners for using a pesky loophole to defy the commission’s best efforts to halt the Wuhan Bat Virus at the county border.

“One group of people isn’t getting that message, though — the absentee property owners,” opined Hall, who urged to the county lawyer to ban vacation homeowners but was saddened to learn “there’s no way we can keep people away from their own property.”

In a flourish of Voodoo Science, Hall deduces the link between between the contagion and “parking lots full of out-of-state plates.” She stokes the “anger and fear” her constituents claim to suffer but overlooks the likelihood that Lincoln County’s Patient Zero could be a neighbor who drove east to shop at Costco, pick up a friend at PDX or get a rectal exam at Samaritan Corvallis. Hundreds of cars exit Lincoln County every day for a round trip to the hot zones.

But Hall speaks less for McCall than a resident anti-tourist crowd who, until they moved or retired to the Oregon coast, were themselves “outsiders.” These were precisely the kind of people McCall talked about in a 1971 speech where he concluded, “Come visit, but for heaven’s sake don’t move here to live!”

Lured by a comfortable infrastructure of health care, big-box shopping and otherwise outsized services for such a remote outpost, these strident NIMBYs dislike much about the Oregon coast’s roaring tourist economy: distracted sightseers, slow lines at the checkout, braking for traffic and short-term rentals. Of course, they discount the reality that tourism and the wealth it generates erected the conveniences that drew them here in the first place.

The late Depoe Bay restaurateur Gracie Strom attributed a pithy slogan to this sourpuss faction: “I’m aboard, so let’s pull up the ladder!”

But here is a truth that will linger, like Hall’s internet trope, long after the pandemic passes: elected officials face the sudden collapse and slow recovery of a crucial industry that filled public coffers with $15 million-or-so in taxes for cities such as Newport and Lincoln City, and nearly $1.8 million for county government.

The losses will be more profound in smaller tourist towns such as Depoe Bay, where 60 percent of the general fund budget relies on taxes from a now-shuttered resort. At stake are other revenues, such as property taxes paid by tourism-related businesses that may not survive. We can only hope these politicians have more solutions than wagging their fingers at outsiders.

No doubt Tom McCall, who led with buoyant optimism and wry humor, is twirling in his grave at Commissioner Hall’s brazen scapegoating. But then, he wasn’t running for another term on the Lincoln County commission.

City of Lincoln City discusses relief program, creates sub-committee

Justin Werner
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City of Lincoln City discusses relief program, creates sub-committee

Lincoln City Relief

Lincoln City Councilors decided to put a list of priorities created last year on hold during Monday’s video conference meeting in favor of addressing the COVID-19 situation and what they could do to help beleaguered businesses.

The City of Lincoln City discussed a means test where businesses could show how the coronavirus pandemic has impacted them so the City could gather information on how to best proceed with a relief program to be further discussed and possibly voted on April 27.

Stories of businesses struggling to survive are circulating throughout Lincoln City with some adapting to the global emergency with online ordering and makeshift drive-thrus. Businesses who once never dreamed of delivering food are now forced to figure out the logistics of such an operation that has become the norm.

With the government shutdown of most businesses in Oregon, coastal proprietors have done about all they can without outside help. Help is being deployed by the federal government by way of the Paycheck Protection Program, Economic Impact Payments and the CARES Act.

Lincoln City officials discussed means testing, where business owners could tell the City how they have been affected by the government shutdown and what they need to survive. No word was given on how this would play out and some officials suggested applications or online forms. A sub-committee will be created — which may include Lincoln City Chamber of Commerce Executive Director Lori Arce-Torres — and will come back April 27 with more information and details.

Arce-Torres sent a letter to City Manager Ron Chandler, who included the letter in the council’s agenda packet. In the letter, Arce-Torres showed how the City of Beaverton created an Emergency Business Assistance Program which is giving applicants grants up to $2,500 per establishment to help with commercial rent or mortgage payments.

From Arce-Torres’ letter:

Dear Mayor Anderson and Members of the City Council,

Thank you for your time and consideration,

The Lincoln City Chamber has been writing letters and sending personal stories of how COVID-19 has affected local businesses here in Lincoln City. The letters and personal stories have been sent to the Coronavirus Economic Advisory Committee organized by Gov. Brown. The information has been requested to help determine the need, and I don’t want our businesses to be forgotten in the process. I feel like it is making a difference as they have responded to my emails and are keeping me up-to-date as the committees meets and needs additional information. I’ve also attached the letter sent from the Chamber as a collective voice.

The Chamber has been actively working to organize a much needed Take/Out Delivery list which also includes Retail Businesses that are remaining open for business. Our social media platforms have been very active in sharing this information reaching a vast number of users. We’ve also added a COVID-19 link to our website that is updated daily.

The Chamber office will remain open as long as possible to offer the much needed “Visitor Center” information as well as fielding the many phone calls from our locals and tourists with a variety of questions and needs. Rest assured that we are diligently cleaning the office to try and keep everyone safe.

I know you are all working hard to find solutions locally for our businesses but I wanted to speak to you directly on behalf of our business community whether they are Chamber Members or not.

Buying Gift Cards with TRT money to support local businesses is a short term fix, however if we don’t offer immediate assistance, those businesses will NOT be open to honor the gift cards in the future.

As I know you are aware, the situation that we find ourselves in is a dire one. I’m hearing from businesses that they either cannot pay their bills, or in one case, had already paid his bills and now his account is in a deficit. They need help and they need it now!

We are in unprecedented times and need to take action to ensure our local businesses and economy can recover from this crisis. I’m asking you to consider an Emergency Business Assistance Program similar to the one recently implemented by the city of Beaverton referenced below:

From the official council communication in the city council agenda packet:

COVID-19 Potential Aid

The City has received one or more request for financial assistance in the following areas. Grants or loans to businesses through an emergency business assistance program.

Beaverton provides up to $2,500 and uses a means test of 50 employees or less. The business must be directly affected by the mandatory service changes and national chains are excluded. Lincoln City has issued 2,618 occupational tax permits. 2,604 have 50 employees or less. It is unknown how many are directly affected by the COVID-19 emergency. Using the Beaverton model, the potential financial impact = $6,510,000.

Implement a “non-shutoff” policy for Lincoln City utility bills during emergency.

This is in place

Waive late fees for delinquent Lincoln City utility bills during the emergency.

This is in place.

Defer or waive City utility bills.

During the summer the average, monthly water & sewer revenue is approximately $725,000. The average monthly water & sewer revenue for the year is approximately $656,000. The fund balance in the water and sewer funds is insufficient to carry this cost and still meet cash flow. Using general fund balance would be necessary to cover this cost.

Estimated monthly deferred or waived revenue = $725,000

Defer or waive payments for City property that is leased.

The City leases seven properties – the Lincoln City Cultural Center, Career Tech, BFEY, Mckay’s Markets, Salmon Drift Creek Watershed Council, North Pacific (Mo’s land lease) and the Lincoln City Glass Center. The estimated monthly revenue from all leases is approximately $21,515.

Estimated monthly deferred or waived revenue = $21,515.

Defer or waive Urban Renewal improvement loans.

Urban Renewal has twelve outstanding Urban Renewal loans with a total outstanding, balance of $422,994. The total monthly payment for all loans is approximately = $7,400.

Estimated monthly deferred or waived revenue = $7,400

Defer or waive the TRT quarterly tax payment.

The next quarterly tax payment is due on April 15th. The City was asked to defer, delay or waive the TRT payment. This would improve cash flow due to the loss of revenue from spring break. The estimated monthly TRT revenue is approximately $635,000.

Estimated monthly deferred or waived revenue = $635,000

Reallocation of grant funds to support non-profit organizations. Cultural Center – use of grant funds.

Included is a letter of request from the Lincoln City Cultural Center. The City budgeted $200,000.

Estimated monthly deferred or waived revenue = $200,000.

Recovery loans – childcare.

Federal Assistance for childcare. The federal legislation provides $3.5 billion in emergency funding to child care providers. These funds can be used for payroll, healthcare, emergency, and sanitation.

It’s unknown the extent of financial commitment requested of the City.

City’s Financial Condition

The City is losing an estimated $635,000 in TRT revenue for each month the hotels, motels & VRDs are closed. The staff delayed or cut approximately $1,800,000 in the FY 2020 budget to offset the loss of revenue if the lodging industry remain closed for this quarter.

The Community Center is losing approximately $35,000 for each month it is closed.

The daily water and sewer processing is down by approximately 40%. We won’t know the full financial impact of this reduction until after the next billing cycle.

The fund balance for the general fund is $2,000,000 contingency and $6,059,630 unappropriated. The City used $300,460 of the GF contingency for the PERS pay down program. The $350,000 rehabilitation loan for 3454 NE Hwy 101 will come from the GF contingency. The City requires approximately $3,000,000 in reserve for cash flow due to the timing of property tax revenue.

MEETING VIDEO

AGENDA PACKET

Residential yard debris service to roll out next spring

Justin Werner
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Residential yard debris service to roll out next spring

Lincoln City Councilors voted Monday to institute a composting service with North Lincoln Sanitary Service which will provide a yard debris/food waste can and increase the cost of service by $6.85 in March 2021.

Resolution 2020-07, Mandatory Composting, saw North Lincoln Sanitary Service proposing multiple rate structures for providing yard debris cans for both residential and commercial customers.

The proposal councilors initially considered would have increased fees by 10 percent and give residential and commercial customers a 96 gallon roll cart. Commercial could only place yard debris in the cart while residential customers could dispose of yard debris and food waste. City Attorney Richard Appicello said the disparity in fees should be addressed and questions were raised on justifying a rate increase with no increase in service for commercial customers.

Councilor Rick Mark said he wanted to educate the public on how they could save money with the new service with suggestions such as a smaller cart.

In an email to City Manager Ron Chandler, North Lincoln Sanitary Service’s Tina French said:

By doing it this way the cost is spread out over the commercial and residential customer base, keeping the rate much lower than a residential rate increase only ($6.85). This way the commercial customers are getting something for their 10% increase, and we do not have to worry about increased expenses from PRC for having a commercial food waste collection program.

After much discussion, the City Council voted down the first proposal that included commercial customers and voted to accept an alternative proposal which sees residential customers receiving the service with a $6.85 per month increase.

Councilor Mitch Parsons was the lone “no” vote.

“I can’t add more to peoples cost of living in a time like this,” he said.

The service is expected to roll out March 2021.

Spear diver finds hot guns

LCH Staff
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Spear diver finds hot guns
OSP Newport Commander Carie Boyd
OSP Newport Commander Carie Boyd

True Stories of the Oregon State Police!

On April, 11 at approximately 10:13 a.m., the Oregon State Police was contacted by a spear fisherman who had located three firearms in the ocean near Rocky Creek State Park.

The three corroded firearms were turned over to the Oregon State Police. The firearms were examined and appeared related to a previous similar incident at the same location (SP20025593) from January of this year. The firearms matched one’s stolen during a burglary in Lincoln County, Oregon, and the owner was notified.

The firearms were placed into evidence at the OSP Newport Area Command Office, and the information will be forwarded to the Lincoln County Sheriff’s Office.

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