Every region’s economic development toolbox looks a bit different. Assets like location, infrastructure, available land and recruitable workforce affect how cities cultivate and sustain growth.

Hermiston has prioritized strategic economic growth for many years, and we have done so by playing to our strengths. Our location at the crossroads of the Pacific Northwest, large swaths of developable land and access to nearby electricity and water sources have caught the eye of many developers. Our community is built on blue collar work ethic and shrewd economic investment. By building on these assets and following these principles, we’ve diversified our job market, expanded our tax base and stayed competitive with larger cities in attracting new investment.

One of the best and only financial tools that cities like Hermiston have at the ready is the enterprise zone. It’s a locally controlled option to give large businesses a pre-determined multi-year exemption from property tax payments if their development meets certain parameters. This financial tool alone made it possible for us to be among the finalists for two large projects that ultimately ended up in the Pasco, Washington area. The only way Pasco won this competition was with direct allocations from the state of Washington.

Instead of a tax payment based on the value of new facilities, zone sponsors like cities, counties and ports negotiate a set annual payment. This can also include payments or one-time investments to other local special districts like schools and emergency service districts to ensure their costs are covered.

It’s a win-win, especially in rural Oregon or in underserved communities. Cities can offer competitive incentive packages to large employers that invest in their communities while still bringing in millions of dollars that can be used on public projects.

The enterprise zone fee payments are only the first form of funding that results from an enterprise zone related project. The second form is in direct investments in infrastructure to serve the proposed development. These investments serve the affected businesses, but that infrastructure can then be used for future development in the areas surrounding the project.

Another form of funding comes through the increase in family wage jobs in the community. All those employees live and shop in the area and that benefits the many other businesses in the community.

Finally, many other businesses are formed or grow to serve the company making the initial investment. In our region one example of this is a company locating to the area to provide air filters to the Amazon data centers. These jobs are also high-quality jobs, but they received no direct long-term rural enterprise zone benefits.

Hermiston has used the enterprise zone tool to attract new Amazon data centers and a large expansion of a Lamb Weston food processing plant in recent years. These have added family wage jobs to Hermiston while paying for community assets including a water tower and new city hall without the use of additional taxpayer dollars.

My primary goal as the elected mayor is to advocate for Hermiston. I work with city council and city staff with the future in mind, looking for opportunities to create a more prosperous and successful city. Change is inevitable, and we want to be ready for anything.

Because enterprise zone tools are in local hands, Hermiston and communities like us across the state are empowered to negotiate in our own best interest. We’re protective of those tools as they are our best option for cultivating our desired business climate and community.

The statewide enterprise zone policy will sunset this year unless the Legislature acts, and we want to work with them to make sure that doesn’t happen.

We hope you’ll join us in asking our legislators to invest in communities around the state and extend the program.