Two years ago, the Oregon legislature approved the sale of $15 million in lottery bonds to help pay for a community center in Woodburn. Last year, the Department of Administrative Services decided against selling the bonds. The city of Woodburn filed suit. We talk to Woodburn mayor Frank Lonergan about what the community center would mean for the city, how much it will cost and what the lawsuit means for the future of the project.
Note: The following transcript was created by a computer and edited by a volunteer.
Geoff Norcross: This is Think Out Loud on OPB. I’m Geoff Norcross. The city of Woodburn has big plans for its pool on Oak Street. It wants to expand it by adding basketball courts, workout facilities and even services for the elderly and people experiencing homelessness, basically turning it from an aquatic center to more of a community center. Two years ago, the Oregon legislature approved the sale of $15 million in lottery bonds to help pay for the expansion. But last year the Department of Administrative Services said it was withholding the funds, saying the city has yet to come up with its share of the cost. Now the city has sued. Here to talk more about this is Woodburn Mayor Frank Lonergan. Mayor Lonergan, welcome to Think Out Loud.
Frank Lonergan: Thank you. Pleasure to be here.
Norcross: We’ll talk about the lawsuit in a minute, but first can you talk about why you wanted to expand the center? Why was that necessary?
Lonergan: This is a plan that’s been in the works for almost 20 years. We have a very culturally diverse community and looking at a place to help bring them together. A community center would bring seniors together. We’re looking at our Meals on Wheels program being run out of there [and] Boys and Girls Clubs after school. We did a survey a few years back and it showed that over about 60% of Woodburn citizens that answered the survey - and we had 250 good responses that came - supported it very actively, where only 12% were against it. We know the community sees the need, and we see it as our job, as the city, to try and put this together, to bring the city together.
Norcross: I get that people want it, but can you give me a better sense of how important a center like that will be to the community? What problems would it solve?
Lonergan: Well, we don’t have a senior center right now. So this certainly would help that. It is a place after school for kids coming in, certainly the athletic part of it is secondary - the sports, basketball courts and stuff. But yeah, a community center that could provide cultural programs I think is a huge asset to a city.
Norcross: I looked at some of the artistic renderings of the design and it looks good. But can you give us a better sense of what it will look like once it’s built?
Lonergan: We haven’t done a final economic structure yet or architectural plan, so I don’t know the exact cost or what the final look would be. It’s looking at the community center, which is going to have different meeting rooms in it, a place for classes. Certainly, the initial plans looked at an indoor track for walking; Woodburn weather, it isn’t any better than Oregon weather. So again, a place [for] the community to come inside and participate in any one of a number of activities.
Norcross: You said, you don’t know what the final cost is going to be at this point. But can you give me a ballpark estimate?
Lonergan: We’re looking at somewhere around $50 million.
Norcross: Okay, that is the crux of the issue here because that is considerably more than the $15 million the state promised you. How will you raise the rest?
Lonergan: We’ll look to see what we can do internally and look at private funding. But the big thing we’re looking at is a general obligation bond, that we’re looking at going out to our voters to support.
Norcross: Well, this is the crux of the issue here. Last fall, the Department of Administrative Services said it was not going to sell the $15 million in bonds and they basically said, you don’t have an adequate plan in place for raising your share of the funds yet. And at this point they aren’t reasonably assured that the center will actually be built. How do you respond to that?
Lonergan: When we went and asked the legislature for the support, they knew exactly what we’re looking at. Initially we were looking at funding the whole project and they recommended cutting it down. And so meeting with, at that point, Speaker of the House Kotek and Senator Courtney, there was a committee of our prior mayor and Representative Teresa Alonso Leon, that negotiated the $15 million. And it was easily supported by Senator Courtney and Representative Kotek to go forward with that. And the legislature passed it, along with their other projects for other cities. So we’ve been counting on that for the last two years to be able to start our community center.
Norcross: And according to the lawsuit, the $15 million from the state is only approved through the end of June. So given that hard deadline, why has there not been a bond put before your voters by now?
Lonergan: Well, we don’t know exactly what that the cost of that bond would be. And that’s where, looking at using part of that $15 million to do the architectural designs, to get the final figures. Building costs are going up all the time. And so, knowing exactly what we’d ask for from our voters, to me it’s academic until we do the final design and move forward then.
Norcross: What is your plan right now for getting a bond before voters and for raising your share of the funds, whatever they ultimately end up being?
Lonergan: We’re still trying to work politically. Senator Thatcher, who represents our area, has been extremely helpful and supportive of trying to work out an agreement with DAS, along with our Representative Tracy Cramer, [who] is also very, very interested and concerned. They see the need in this area. This would not just be a Woodburn community center, it would be a regional center, bringing in surrounding areas. I’m talking about Mount Angel, Gervais, but so certainly looking at that.
The last thing we wanted to do was file a lawsuit, but we do not feel that we’ve been treated fairly by DAS. We have not yet gotten anything in writing on what they were basing their stop payment plan on, and we’ve asked several times, we’ve had meetings with them, we’ve tried to negotiate a couple times to see why they made this decision. We haven’t got an answer. So the last thing we want to do is file a lawsuit, but if we think we can get an answer that way, we feel that we must go ahead on that. So looking at any political means that we can and/or going forward with the lawsuit.
Norcross: What do you want from the Department of Administrative Services or DAS, as you call them? Do you want them to free up the $15 million dollars now, or do you want an extension?
Lonergan: The $15 million now. It’s simple. I mean, we are the only city out of over 50 communities with all different types of projects. Looking at something like $550, $450 million, that was going to be released in these lottery bonds. We’re the only city that they withheld these funds for. And again, we don’t know why.
Norcross: Well, the department is recommending that that $15 million dollars be reauthorized in the next biennium. Why is that not acceptable?
Lonergan: Because they do not have the authority to reauthorize it. That’s not their duty. It would take legislative action to reauthorize it. So we’d have to go back and start all over again. And I mean, again, the legislature has already guaranteed us this $15 million. Why do we have to go back and ask for it again?
Norcross: Are you not confident that lawmakers would reauthorize it again?
Lonergan: I have no idea. It’s a good project. They were certainly all in favor before. So I question why it is being withheld? We want to handle this now, instead of going forward and asking for it again.
Norcross: Well again, the department says it’s because there has not been a bond put out, there has not been money raised and they’re not reasonably assured that the project is even going to be paid for and they’re dealing with state funds from Oregon taxpayers. So what is your plan to address that?
Lonergan: So I don’t think they’re treating Woodburn fairly. We’re not a wealthy community, we’re very diverse. And are they treating us that way because we are a diverse community? I don’t agree with what they’re saying, by any means. I have faith in our citizens. That’s what we put out in the survey before and that showed support. I certainly have faith in Woodburn in being able to pass a bond again and we’ve done it before for the schools. It’s a community that wants to help each other internally. But I don’t think it should be DAS that is telling us that we cannot pass a bond or that we are not able to proceed with this. And again, I think after the Legislature committed this money to us, we want to go forward with that.
Norcross: This center has been in the works for a while, Mayor, what is your message to your citizens who have been waiting for it to be built?
Lonergan: We want to proceed. If we can get this $15 million, it certainly would help us pass a general obligation bond, but it certainly would be more difficult without that. I think our citizens realize the difference of a bond of $50 million compared to a bond of $30 to $35 million. So, my message to our citizens is we know what you want and we’re doing everything we can to proceed going forward.
Norcross: If the bond is $35 million or if it’s $50 million or it’s somewhere in between, how confident are you that it will pass once it’s finally put before voters?
Lonergan: Good question. I’m a whole lot more confident that we’d pass a $30 million than one at $50 million. It’s really that simple. I mean, the cost to the taxpayer would certainly be different at those rates.
Norcross: What would happen in your community? What would be the impact if ultimately the community center wasn’t built?
Lonergan: Well, I don’t know, to be honest. Every city that is growing needs city leaders to provide support and a place for people to gather. I’ve seen other communities smaller than Woodburn that have community centers. Again, I think that, being a diverse city, that it’s our job and obligation to do what we can to provide assets to our citizens to continue to grow and to bring the people together and try and see what we can do to make life easier for this great city of Woodburn.
Norcross: Last question, I’m wondering what lessons there might be for other cities who are looking at capital projects like this too and want to partner with the state in building them and are offering expanded services for their residents. Do you have any advice?
Lonergan: Not really. I mean, I’m so concerned about Woodburn and where we go. I don’t think it’s fair for me to try and give advice to another city. I trust our legislature, I believe that they intended for Woodburn to get this $15 million. We have good representation with Senator Thatcher and Tracy Cramer, our representative, utilizing their input and what they’re telling us. I think that the legislature says, and I want to believe and trust, that their intent was to give us the money and we should receive it.
Norcross: Mayor Lonergan, thank you so much for this.
Lonergan: Thank you, appreciate you reaching out to us and supporting Woodburn.
Norcross: Frank Lonergan is the mayor of Woodburn.
Contact “Think Out Loud®”
If you’d like to comment on any of the topics in this show, or suggest a topic of your own, please get in touch with us on Facebook or Twitter, send an email to thinkoutloud@opb.org, or you can leave a voicemail for us at 503-293-1983. The call-in phone number during the noon hour is 888-665-5865.