The Hermiston City Council will consider an expansion to the city’s enterprise zone Monday.
The Hermiston Enterprise Zone — which staff recommend renaming the “Greater Hermiston Enterprise Zone” — gives certain types of companies a three- to five-year exemption from property taxes on new buildings and equipment if those capital investments result in at least a 10 percent increase in employees. The council will be asked to consider expanding the zone to industrial land outside city limits near the intersection of Interstate 84 and Interstate 82.
According to information in the council’s agenda packet, the enterprise zone has been an “extremely valuable incentive” that has been “directly involved in attracting $83 million of new capital investment, 362 new jobs, and total new annual cash payroll of $9.65 million from 2008 through the end of 2016.”
The zone has been expanded outside city limits before, including the property where Shearer’s Foods now sits, when a company was considering investment in the property. Umatilla County, a co-sponsor of the site, would also have to sign off on the new expansion.
On Monday the council will also consider approval of a $1.5 million construction contract with Stettler Supply Company for dewatering equipment at the Recycled Water Treatment Plant. The city received four bids, all below the city engineer’s estimate of $1.79 million. The equipment will allow the city to dispose of solids from the plant more effectively and at a lower cost.
The council meets Monday at 7 p.m. at city hall, 180 N.E. Second St. in Hermiston.