*Accept and appropriate grant for $350,000 from Metro and authorize Intergovernmental Agreement to implement Portland Industrial Land Readiness Project
The City of Portland ordains:
Section 1. The Council finds:
Portland’s industrial districts span about 14,000 acres, Oregon’s largest market area for industrial jobs and industrial job growth. Portland’s industrial land supply is tightening, compared to the ample growth capacity of other business district types.
Portland’s Buildable Land Inventory (BLI) identified vacant and redevelopable industrial land that is unlikely to develop due to development constraints such as substandard infrastructure, brownfield cleanup costs, and compliance costs of regulations.
The target industry clusters identified in Advance Portland include a large share of manufacturing, warehousing, industrial service, and related supply-chain businesses that rely on industrial land to reinvest and grow. Portland’s target industry clusters include Green Cities, Athletic & Outdoor, Metals & Machinery, Food & Beverage, and Software & Media.
Accelerating middle-wage job growth in industrial districts supports more inclusive prosperity and reduces racial income disparities. The Bureau of Planning and Sustainability’s analysis found that industrial areas account for 60 percent of the middle-wage jobs that do not require a bachelor’s degree.
The City of Portland recognizes that expanding development readiness on vacant and redevelopable industrial sites is a critical opportunity to support industrial job growth, target cluster growth, and inclusive prosperity.
The City of Portland authorized in Ordinance No. 191397 an application to Metro’s 2040 Planning and Development Grant Program to fund the Portland Industrial Land Readiness project.
Metro has notified the City of Portland that it has been awarded a 2040 Planning and Development Grant (the Grant) for the Portland Industrial Land Readiness project (the Project) in the amount of $350,000.
The Portland Bureau of Planning and Sustainability (BPS), Prosper Portland, and the Columbia Corridor Association (CCA) will partner to manage the Portland Industrial Land Readiness project. This partnership integrates the city bureaus responsible for land use planning and economic development with the community organization representing most of project area.
Project tasks will include identification of development-ready sites suitable for target cluster industries and other industrial sectors; development feasibility analysis on a broad range of sites; and identification of strategic actions to expand Portland’s development-ready supply of constrained industrial sites.
The City of Portland intends to enter into a contract with Mackenzie through Metro’s Intergovernmental Cooperative Purchasing Program to undertake this work. Grant proceeds will also be allotted to the Columbia Corridor Association to support community outreach.
NOW, THEREFORE, the Council directs:
- The Director of the Bureau of Planning and Sustainability (BPS) is hereby authorized to accept on behalf of the City of Portland a grant from Metro in the amount of $350,000 for the Portland Industrial Land Readiness project and to execute an Intergovernmental Agreement substantially similar to Exhibit A.
- The FY2023-24 budget is hereby amended as follows. BPS will incorporate $350,000 in grant revenue into the Urban Design and Research – Housing and Economic Planning functional area budget. Unspent funds will carry over to the subsequent year budget. The scheduled end date for the grant is December 31, 2025.
GRANT FUND
Fund: 217
Business Area – PN00
Bureau Program Expenses - $350,000 - BPS and the Office of Management & Finance Grants Division are authorized to perform all administrative matters in relation to the grant application, grant agreement or amendments, requests for reimbursement from the grantor, and to submit required grant documents on the Director’s behalf.
- The Director of the Bureau of Planning and Sustainability is authorized to execute amendments to the scope of the services or the terms and conditions of the Metro grant agreement attached as Exhibit A and Exhibit B, provided the changes do not increase City’s financial risk. Any modifications that increase the City’s financial obligation or risk must be authorized by the City Council.
Section 2. The Council declares that an emergency exists because anti-displacement work is urgently needed to stabilize Portland communities; therefore, this Ordinance shall be in full force and effect from and after its passage by the Council.
Official Record (Efiles)
An ordinance when passed by the Council shall be signed by the Auditor. It shall be carefully filed and preserved
in the custody of the Auditor (City Charter Chapter 2 Article 1 Section 2-122)
Passed by Council
Auditor of the City of Portland
Simone Rede
Impact Statement
Purpose of Proposed Legislation and Background Information
The purpose of this legislation is to accept and appropriate a $350,000 grant from Metro to implement the Portland Industrial Land Readiness project. This project will analyze a strategic list of developable industrial sites to assist target-cluster businesses in locating and expanding in Portland and to strategize actions that will make more constrained industrial sites ready for development.
The project is an early implementation action for Advance Portland to support target industry growth and for the Portland Economic Opportunities Analysis (EOA) to expand growth opportunities in the city’s tightening industrial land supply. City Council adopted Advance Portland: A Call To Action For Inclusive Economic Growth in 2023 through Resolution 37617. The EOA Update underway is a state-mandated background report of the Portland Comprehensive Plan. The EOA analyzes and forecasts growth in the city’s industrial and other business districts, then designates an adequate 20-year supply of developable land for business and job growth.
Previous City Council action on the Industrial Land Readiness project was Ordinance No. 191397 that authorized an application to the Metro 2040 Planning and Development Grant Program to fund the project. The grant funding will pay for consultant contract services and community outreach assistance to prepare the Industrial Land Readiness analysis and report.
Financial and Budgetary Impacts
Metro has awarded a $350,000 grant to the City for this project, which will be incorporated into the BPS budgets for FY 2023-24, FY 2024-25, and FY 2025-26 under grant number PN000117. The Metro grant will fully fund the total costs of external materials and services for project.
This legislation will not create new City staff positions and will use existing General Fund funded positions for staff time associated with the project. The match requirement of the grant is a commitment of staff time and overhead as may be needed to successfully implement the grant project and deliver the grant outcomes. Total staff time and overhead are estimated in the grant application at $77,000 by BPS and $40,000 by Prosper Portland.
Community Impacts and Community Involvement
In response to Portland’s tightening industrial land supply, the Industrial Land Readiness project aims to make room for potential industrial job growth by supporting target cluster expansion and reducing development constraints on underutilized industrial sites.
Portland’s industrial districts are designated as Industrial and Employment land in the Portland Comprehensive Plan. The population of these industrial districts consists almost entirely of workers, totaling 104,000 in 2019. The industrial districts are generally buffered from nearby residential neighborhoods by wooded slopes, open spaces, and wide transportation corridors.
Industrial districts support inclusive prosperity by providing about 60 percent of the region’s middle-wage jobs that do not require bachelor’s degrees, which reduces income inequality and racial income disparities. The workers in Portland’s industrial districts typically live in East Portland and other moderate-income neighborhoods across the region, expanding income opportunities in these neighborhoods.
BPS will convene an advisory committee to guide project development, including interagency partners, infrastructure bureaus, industrial district representatives, expanding industrial businesses, and real estate professionals. Columbia Corridor Association (CCA), the community organization representing most of project area, will conduct community outreach activities and participate as a partner in the project. BPS will convene a community workshop to broaden participation in the project.
100% Renewable Goal
n/a
Budgetary Impact Worksheet
| Fund | Fund Center | Commitment Item | Functional Area | Funded Program | Grant | Sponsored Program | Amount |
|---|---|---|---|---|---|---|---|
| 217007 | PNCP000001 | 521100 | CDCPUDHE000000GC | NON-PROGRAM | PN000117 | PN01170001 | $350,000 |
| 217007 | PNCP000001 | 441100 | CDCPUDHE000000GC | NON-PROGRAM | PN000117 | PN01170001 | $350,000 |