The City of Portland wants small businesses to pay millions to improve north Portland

A massive development is meant to improve one Portland neighborhood, but a KATU investigation found the city is asking long-standing local businesses to pitch in millions of dollars.
It is called a "Local Improvement District" or LID. According to the city of Portland’s website, LIDs do not force people living in homes and apartments to pitch in, even if they benefit from the improvements.
KATU’s Victor Park has been digging into this story for several weeks now and what he found is that the city wants to improve the Cathedral Park Neighborhood. An out-of-state developer planning to build a massive project, but before they can start building, the city has to lay down some groundwork and that is what they are asking local businesses to pitch in for.
Take a drive down Crawford Street in the Cathedral Park area of north Portland and you are in for a bumpy ride. Potholes and broken sidewalks make the area unappealing.
"I'm not against cleaning this area up,” said Kevin Meader, Owner of St. John's Truck & Equipment. His business and another called St. John’s Marine, are the only ones still operating along this stretch of Crawford Street. The other businesses are abandoned and the city of Portland wants to change that.
In May, PBOT told city leaders to bring new development like housing units and retail, the city needs to move a sewer line away from underneath a railroad track, resurface streets, and build new sidewalks.
It would cost $15 million and this is where it becomes a problem for some like Meader. "For 20 years, we're going have to cough up half the income we drive off the property." That $15 million would be spread among commercial property owners in the area. "It was kind of a shock to us because we didn't hear anything about it until after the plans had already been laid out."
"All we would get is a nice street and that's it. We don't need that. We have very low traffic coming through the property,” Meader added.
"We shouldn't have to pay for a road a block away. We shouldn't have to pay for railroad crossings three blocks away,” said Brandon Peterson, a mechanic at St. Johns Marine.
In January PBOT sent him a letter saying he would have to pay $12,600 a month for 20 years, totaling about $3 million. "We don't even pull that kind of income. There is a couple of us here working. It'll absolutely close us down.”
Park asked Peterson, "Do you feel like they are trying to drive you out?" Peterson replied, "Yes! They are trying to tax us out of everything."
Meader said they were being asked to pay $7,000 a month for 20 years.
The two feel what the city is asking for is simply not fair and hired attorney Shaun Jillians to represent them, in an effort to try to negotiate with the city.
KATU sent numerous emails and made several calls to PBOT. In one instance, Park asked, “How is that amount decided when it’s not something they can afford?" PBOT responded:
Those numbers for monthly payments are out of date. We have said all along to Mr. Jillions and his clients that those numbers are being greatly reduced, and we expect them to be in the range of 26% to 70% less than those figures. We provided him with the updated numbers. We've already spent a lot of time with Mr. Jillions offering ways to reduce the amounts they're expected. Any further reduction would severely out of balance with the neighboring landowners.
According to a map sent to local businesses, PBOT wants to pave several new roads, but it would require a lot of work. It is the cost that is causing some of these businesses to become very worrisome.
Jillians hopes the city will pull back on that plan. "We will be submitting that. PBOT, I think, will be discussing that with the council."
katu.com/news/...
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[@seanlinne8383]

Portland needs to stop the war on small businesses. This is insane!

[@bubbajones4522]

The working people of these blue areas need to fight back against those waging war on them.

[@TheAlgomalo]

The city wastes millions on the Homeless Industrial Complex but tries to force small businesses to subsidize development.

[@walawala-fo7ds]

I agree. Let the homeless take over the front of businesses and let them deal with the problem

[@zdanger2kz]

Essentially it's the city bullying anyone they can to get what they want (tax payer funded dinner parties)

[@SisterSherryDoingStuff]

If a big developer wants to come in and create more unaffordable housing - let them pay for it. BTW - doesn't ANY of our tax dollars go to fixing the roads and sidewalks?

[@countbenjamin1442]

They tend to get fixed where people complain and vote. A bad sidewalk in a neighborhood is going to get a lot more voters upset than a road just truckers use. That's my guess on what happens.

[@SisterSherryDoingStuff]

@@countbenjamin1442 Thank you. That makes sense.

[@GrizzlyUrsusArctos]

Use the homeless millions. They didn’t use them anyway

[@bobcob3362]

Not true. They spent 515,000 on clean needles.

[@jeffdunnell6693]

Extortion by politicians

[@BeeKaye]

PBOT has other high traffic areas that need more immediate attention.

[@robertmatthews2009]

If the city is only asking, just say no.

[@adamwalsh6334]

You voted for it..... what do you expect.....😂

[@ThunderAppeal]

'Private equity' is greasing the palms of the local officials to drive local business out of the area so that 'private equity' can buy up all that property at below market value.

[@dearfinesoul]

lolololol😂 this just get more and more ridiculous every day

[@gary9080]

It’s to upgrade the neighborhood so it will be nice for low income housing.

[@oldschool1993]

Your answer is simple- the developer has paid his bribes and the local businesses have not.

[@RealDavidN]

City failed to maintain roads serving their businesses. Now an absurd bill.

[@DoudD]

"There is an out of state developer planning to build a massive project...." How much is this developer paying towards the necessary improvements?

[@jgcelliott1]

Probably less than nothing if you figure the likely tax breaks. .

[@marksartain5772]

Close all your businesses. Leave the cesspool. Wagons east.

[@wafflewafflegod]

Portland is such a dysfunctional city 😂

[@countbenjamin1442]

Why dont the big comapnies that make millions pay for the road and sidewlaks that woll benefit them. People need to stand up to big corporations and elected officals need to fight for the people not the big iut of state business

[@Charles-d4e3b]

Well bye

[@walawala-fo7ds]

And why not. Enough with the consumers paying the tax bill that businesses dodge with laws that are tilted against the people and benefit businesses

[@LouisMorganxb3]

Without a doubt, this year will be worse than the last. I lost a lot of money last year as a result of bad investment choices that I would not have made if I hadn't been so worried about my portfolio. I kept investing, but I couldn't determine whether to start paying for a house. In the end, I sold my positions, and the house needed more work than I had planned. I'm not sure how long I can keep going like this

[@bandboyAntonio]

We've all made mistakes at some point. You should consider financial planning

[@collins.l454]

True. My portfolio was diversified across several markets with the help of a financial planner, and were able to achieve over a million in net profit among high dividend yield equities, ETFs, and bonds. It is vital that you have a variety of exposure, including in firms that are currently generating cash flows.

[@LouisMorganxb3]

Please let me know who your adviser is if it's okay; I need some recommendations

[@collins.l454]

*Leah* *Foster* *Alderman*

[@collins.l454]

You are most likely to find more info when you look her up

[@nativestacker4185]

Have these small businesses been paying taxes already ? If so than the roads should already be paid for . It is not the business owners fault if Portland doesn't manage money very well .

[@kchaney56]

Keep voting blue you fools

[@hhggj7601]

They keep making the same mistake and expect different outcomes.

[@robertmatthews2009]

Why in the world are you still in Portland? Get out while you can.

[@enigma4029]

Insane! You can’t afford it don’t build it.

[@Fireguy97]

After years of woke City decisions, Portland is demanding fifteen million dollars of improvements. With those improvements the city will bring an out of state contractor to build a new development. That development will allow profits to go to that contractor only. So, in effect, the current business owners are being asked (or told) to contribute heavily to the profits of another company.

[@PodcastOnTheSpectrum]

West coast "liberalism" at its finests.. Just corruption with alternative motives

[@thecircleandthesquare8980]

‼️📢📢📢‼️ 1. A mysterious out-of-state developer wants to build a "massive project" in traditionally working class St Johns. 2. This mystery developer and the City Council wants the small businesses who will be displaced to pay for it‼️

[@anderander5662]

Kickbacks

[@Thomas63r2]

This is a massive development project with almost 400 new housing units and new retail business buildings. There will be a ton of money from the developer to pay for roads and infrastructure. The simple truth is that for the city of Portland the boatyard and truck company do not fit into the city's vision for the area - they want those businesses gone. The easiest way to get rid of them is to make it too expensive for them to stay.

[@anniesshenanigans3815]

you can bet that the city gave that big development a huge tax break incentive to do it.. they won't be paying a penny in taxes..

[@Thomas63r2]

@@anniesshenanigans3815 Yes, that's right - and they are trying to shift that tax burden to these two businesses that the city no longer wants located there.

[@-vv3rv]

How do most of you guys still make profit, even with the downturn of the economy and ever increasing life standards

[@Ethangray-cr5nd]

Well, I picked the challenge to put my finances in order. Then I invested in cryptocurrency, stocks, through the assistance of my discretionary fund manager

[@Ethangray-cr5nd]

Stephanie Aaron Trentham

[@Kelvin-rw4kb]

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[@KN0852]

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[@gaspardfigueroa]

It doesn't matter if you are a current hodler or a newbie. You can capitalize on the fluctuation of Bitcoin by trading with good strategy/signals

[@Chris-em4fl]

City’s responsibility

[@walawala-fo7ds]

Which is why they will tax the beneficiary to get it done 😂

[@anderander5662]

Keep at least a full state between you and Portland...

[@EM-re5xq]

The balls on PBOT. Portland is a failed city and another example. So glad I moved to CO five years ago

[@Charles-d4e3b]

Tell me you didn’t further California Colorado

[@bengaltiger96]

Ugh. The year and change I spent in Denver is a year and change I'm never getting back. That's how I see it. Overpriced, overrated.

[@bengaltiger96]

@@Charles-d4e3b For all the talk I hear about Californians moving to these other states and ruining them, they sure don't seem to mind the money the Californians pay them for their properties. They could say "whoa, no, hey, you're paying me waaaaay too much money for this property! I couldn't possibly accept that!" Instead, your neighbors in Oregon, Washington, Colorado, Montana, Arizona, and New Mexico took the cash and left their neighbors high and dry with higher property taxes and changing politics.

[@Smoretomato]

Yet something like 500m was spent on the unhoused

[@DG-oq8hj]

And from the reports I read, that was for fiscal year 2023 alone.

[@msmoe8687]

NO 🤬

[@jamesklaatu9359]

Lol................. I hope the businesses move.

[@drewkoenen8334]

Doesn’t the business’s already pay taxes . And the city isn’t even keeping up the road …wow!

[@ethansprofile6670]

The new name for a Ponzi Scheme. Remember you paid taxes for all those years and after all there was an increase in the cost of light bulbs.

[@miche568]

That's crazy. And it doesn't even seem legal. The out of state developer can't cover the costs?

[@tazpupper7828]

So this business don’t pay income taxes, business taxes, property taxes ?. I’m sure they’ve been paying their fair share lol

[@jobe8764]

You are ignorant about business.

[@Maria___28]

lol. DEMONRATS. 😂😂😂

[@anniesshenanigans3815]

it seems like communities are trying to put assessments on the locals instead of using the taxes to pay for it. Where are the taxes going? I live in Cape Coral Florida and we seem to have a lot of city employees making big bucks for this area, yet anything that needs improvement results in a tax or a toll. I am sick of paying taxes, tolls, and assessments. We are all told before we go to the polls to vote on taxes that it will cover infrastructure, but it never does.... all we see is raises for the local politicians, new trucks, trees and flowers planted in the downtown areas and plans to beautify or totally remodel parks that are perfectly fine the way they are. When you drive out of those areas, everything is still the same.

[@preshisify1]

☕🇺🇲🗽😷

[@davej7458]

Small heritage businesses are expected to build and pay for huge real-estate developments infrastructure. A twenty year manditory tax obligation as a gift for real estate developers. Our elected leaders and bureaucrats are always finding new ways to drive people and their businesses out of Portland and Oregon.

[@rr8960]

I see a bunch of businesses moving out of Portland. The city of Portland runs backwards!

[@patriciafreels299]

The problem with these city governments they want more and more taxes for projects that should have been done earlier. Most of the money they want will be stolen by corrupt city officials and the work will never get done. Also these big developers coming in should help pay for the work.

[@Nelu88]

It happens everywhere, I live in Lake Oswego and they want $240k to hook me up to city water that is 100’ from my home

[@jgcelliott1]

15 million the developer doesn't have to spend... See the con? Follow the money. .

[@dottier3145]

Portland city is to maintain streets from the taxes they get , not make anyone on the street pay it! Deplorable! Sue them

[@tazpupper7828]

If they are paying business taxes, income, taxes, property, taxes, technically, they are paying their fair share, aren’t they?.

[@walawala-fo7ds]

Depends on the rates. And with businesses getting ever increasing amount of tax cuts and lower rates, fair share is far from what they pay considering they are the main beneficiary as people are priced out of cities

[@daniels.3062]

Good reporting is the only way to expose the corruption. Keep it up.

[@PhonyBalagna]

They had to make it thru the summer of 2020 and now this

[@brucestark48]

You get what the main stream media tells you how to vote

[@nilessnyder3308]

Recall time!

[@Astinsan]

you know what would pay for these things? a sales tax. something Portland doesn't have. Most of oregon is in disrepair from mismanagement and neglect

[@jgcelliott1]

San Francisco solution. Look how well that works. More money, bigger con job, no change. .

[@Daniinthecity_]

I’m glad this neighborhood is being highlighted. Let me tell you, it’s been a long time coming.