Oregon City Economic Update 2020-2027

The Oregon City Economic Development presents this comprehensive update detailing the transformative efforts and initiatives shaping our community's economic landscape.

FOSTERING A DIVERSE, RESILIENT, AND VIBRANT ECONOMY Economic Development Update 2020-2027

ECONOMIC DEVELOPMENT UPDATE Table of Contents

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LEADERSHIP INSIGHTS: A Note from the Manager

COMMUNITY ENGAGEMENT: Strengthening the Social and Economic Fabric 2025-2027 BIENNIUM: Strategic Programs to Sustain and Promote Continued Growth

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INTRODUCTION: Fostering a Diverse, Resilient, and Vibrant Economy

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TOURISM: An Important Component of Economic Growth

OUR PARTNERS: Thank you!

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ECONOMIC DEVELOPMENT: An Overview of 2020-2024 Initiatives

MEET OUR TEAM: The Oregon City Economic Development Department

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URBAN RENEWAL: A Look at the Urban Renewal Plan

JOIN US: Your Involvement is Key

When I began my role as Economic Development Manager in January 2020, I looked forward to addressing the apparent and significant challenges ahead. Shortly after I arrived, the pandemic drastically impacted Oregon City. By March, the statewide shutdown left many local businesses, especially small ones, on the verge of closure. In response, we worked with the City Commission to develop the Debt Relief Initiative, which provided crucial financial resources to help local businesses manage their debt and avoid closure. This experience highlighted the need for a long-term strategy to foster a diverse, resilient, and vibrant economy. Our Economic Development Plan was created and implemented to help support the business sector within the community, including the tourism sector. The following pages provide an overview of the critical programs and partnerships we’ve developed and a preview of the exciting initiatives ahead. I would like to thank the City Manager, the City Commission, our partners, and the city staff, whose collective efforts have made these successes possible. As we look forward, we remain committed to building a resilient and prosperous Oregon City. LEADERSHIP INSIGHTS: A NOTE FROM THE MANAGER

James Graham, CEcD Economic Development Manager Oregon City

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DIVERSE RESILIENT VIBRANT

INTRODUCTION

FOSTERING A DIVERSE, RESILIENT, AND VIBRANT E CONOMY

The Oregon City Department of Economic Development proudly presents this comprehensive update detailing the transformative efforts and initiatives undertaken over the past four years. From navigating unprecedented challenges to creating new growth opportunities, this report showcases the resilience, innovation, and collaboration that have shaped our community's economic landscape. In these pages, you’ll learn about, and in some cases be reacquainted with, the impactful programs launched and the partnerships that have driven our success. More importantly, you’ll gain insights into how Oregon City Municipal Government is better positioned to address challenges to the business community and, as a consequence, better prepared to foster economic growth. As we look ahead, we focus on empowering businesses, supporting innovation, and paving the way for continued prosperity.

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TOURISM: AN IMPORTANT COMPONENT OF ECONOMIC GROWTH

Tourism in Oregon City is an important element that contributes to economic growth. As a strategy, tourism helps promote Oregon City as a gateway for visitors to experience its rich history, vibrant arts scene, and unique local attractions. During the past four years, the Economic Development Department has worked to elevate Oregon City’s profile as a must-visit destination through targeted programs and initiatives. Launched during the pandemic, the Community Showcase was created to keep Oregon City’s history and charm accessible to residents and visitors while in-person experiences were limited. This initiative brought historic sites to life through engaging virtual tours, allowing people to stay connected from home. To further support local businesses, participating families received gift certificates to local restaurants—providing both the community and struggling businesses with much-needed relief during a challenging time. The program exemplified Oregon City’s resilience, promoting community spirit and economic support when it was needed most. Programs like the Arts Treasure Trove have fostered community pride by enhancing local aesthetics and supporting the arts. Advertising efforts, including a Visitor’s Guide, TV broadcasts, and digital travel resources, expanded Oregon City’s reach, bringing in a steady influx of new visitors. These initiatives drove local spending, increased visitor engagement, and promoted a thriving tourism economy that benefited residents and businesses alike. By investing in tourism, Oregon City continues its efforts to build a sustainable economic foundation that draws visitors while enhancing the quality of life for the community.

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Advertising and Outreach Critical advertising efforts included The Community Showcase Launched during the pandemic to foster community engagement, virtual tours of Oregon City’s historic sites were presented monthly. These tours allowed residents and visitors alike to explore the city’s rich history from the safety and comfort of their homes. TOURISM: 2020-2024 INITIATIVES

developing a Visitor’s Guide, an Oregon City Travel Planner, five TV commercials, city banners, a Seattle Mariners yearbook ad, and an official tourism website. The Concierge Institute In collaboration with the Chamber of Commerce, this program trained non- Travel Oregon City Website The city’s tourism website was enhanced with additional categories, a streamlined layout, and more detailed listings to attract visitors. profits engaged in tourist-facing activities, promoting greater professionalism and better customer service. Destination Ready: A New Approach to Tourism Development In recent years, it became clear that Oregon City needed a new approach to tourism development. While the private for- profit businesses did well with welcoming and serving visitors, the nonprofit tourism component struggled. No industry can grow and prosper by relying on volunteers only to guide its organizational development. A professional staff dedicated to managing and driving the tourism component is necessary. Therefore, the Economic Development Department recommended the creation of a Destination Management/Marketing Organization (“DMMO”) to coordinate and manage the tourism strategy for Oregon City. The new DMMO is projected to be up and running by Spring 2025. 05

The Arts Treasure Trove When the Arts Commission was initially established, it had no resources to support its work. The Arts Treasure Trove gave the Arts Commission the means to carry out programs and initiatives designed to support the Arts in Oregon City. This initiative provided $40,000 in funding to Oregon City’s arts community to enhance community aesthetics and encourage tourism. City-Sponsored Public Events The Economic Development Department devised a grant program facilitating grants for public events developed by local businesses and organizations, promoting community engagement and tourism. Oregon City Arts Commission After a sixteen-year hiatus, the Economic Development Department reinstituted the Oregon City Arts Commission. One of the commission's first actions was to support the development of more murals within the community. Through the newly created Arts Mural Initiative, a program encouraging community art, the Commission approved four new art murals in Oregon City.

ECONOMIC DEVELOPMENT: STRENGTHENING RESILIENCE

Oregon City’s Economic Development Department fosters a resilient local economy that supports businesses, empowers entrepreneurs, and expands employment opportunities. The department has laid the groundwork for sustainable growth through targeted programs addressing small business needs, workforce development, local industry retention, and business attraction. The Debt Relief Initiative , launched in response to the pandemic, provided essential support to small businesses. The Re-Imagine Opportunity Fund helped tourism-focused businesses and nonprofits adapt to challenges by offering forgivable loans of up to $60,000. Funded by a $275,000 Oregon State Tourism grant, the program enabled businesses to implement new technologies and processes, strengthening Oregon City’s visitor economy. During this time, the Talent Ready Oregon City program united nonprofit workforce development agencies, human resource organizations, and local businesses to collaborate in helping companies identify employment opportunities for residents while also supporting individuals in overcoming barriers to employment. Efforts to attract and retain businesses have brought new organizations like Advantis Credit Union into the community, creating over two hundred jobs (with benefits) and paying approximately $300,000 annually in local property taxes. Programs such as The Biz Pod and the Entrepreneurial Opportunity Loan Program offered financial and educational resources to emerging entrepreneurs, cultivating a culture of innovation and economic self-sufficiency. Oregon City’s balanced approach combines immediate recovery efforts with strategies for long-term growth, supporting a stable and prosperous future for the community.

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ECONOMIC DEVELOPMENT: 2020-2024 INITIATIVES The department prioritizes creating a business-friendly environment. Therefore, several new initiatives and approaches have been implemented.

FOSTERING A RESILIENT LOCAL ECONOMY

Business Attraction The department actively works to attract new businesses to Oregon City, fostering local job creation and strengthening the community’s economic landscape. We aim to expand local opportunities and build a thriving business environment by welcoming key employers, such as Advantis Credit Union, and supporting industry growth. Business Licensing Program Changes to the business licensing program, making it less expensive and more user- friendly, was a significant undertaking. Changes included waiving some fees for new businesses, introducing temporary business licenses, and reducing fees by 50% for existing businesses. DRIVING BUSINESS RETENTION, EXPANSION AND ATTRACTION Economic Development Website The department launched a new website that provides essential information on financial resources, business development tools, and job placement. Talent Ready Oregon City There can be many obstacles to eventually being employed, such as challenges with mental health, lack of childcare, lack of proper job skills, and drug/alcohol addiction, to name a few. Talent Ready was created by the Economic Development Department to bring together human resource and private employers to help Oregon City residents overcome barriers to employment and become ready for work. The Biz Pod This six-week curriculum-based program supports emerging entrepreneurs by providing training and technical assistance to program participants. Graduates of the program receive $3,000 in grant funding to jumpstart their businesses.

“We needed to find a new space that fit our needs for future growth and innovation,” said Keli Myers, Advantis’ SVP/Chief Credit Officer. “The 12-acre space in Oregon City allowed us to create an inspiring and modern campus that fosters creativity and collaboration.”

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ECONOMIC DEVELOPMENT: 2020-2024 INITIATIVES

ENTREPRENEURIAL AND SMALL BUSINESS FINANCING

Entrepreneurial Opportunity Loan Program (EOLP) The EOLP program, a public/private partnership with EMBOLD Community Credit Union, is designed only for start-up businesses. It provides loans of up to $20,000 at an exceptionally low 0.5% interest rate and defers the first year’s principal payment. This program empowers small business startups to access affordable funding, making critical growth and expansion goals achievable. Micro Enterprise Grant Program In partnership with Oregon BIZ, Oregon’s state economic development agency, and the Micro-Enterprise Services of Oregon (MESO), this grant program provides essential grant funding of up to $10,000 for low-to-moderate income business owners of existing micro-enterprise businesses with five or fewer employees. It helps entrepreneurs overcome financial barriers and invest in their success. Mt. Hood Economic Alliance Program Oregon City Economic Development Department’s representation on the board of this regional collaboration strengthens its commitment to small businesses by supporting entrepreneurs across Clackamas, Hood River, and Wasco counties, enhancing opportunities and resources for local entrepreneurs.

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Oregon City is building a foundation for sustainable growth that aligns with community needs by revitalizing infrastructure and offering development incentives. The city prioritizes infrastructure upgrades, beautification projects, and business- friendly zoning to drive economic growth. Initiatives like the development of Quiet Zones enhance downtown appeal, while tax abatement programs, including the Enterprise Zone Program and Vertical Housing Tax Credit, incentivize business investment and mixed-use development. DEVELOPMENT ASSISTANCE FOR COMMERCIAL PROJECTS ECONOMIC DEVELOPMENT: 2020-2024 INITIATIVES Enterprise Zone Program Through strategic tax incentives like the Enterprise Zone Program, the department attracts key businesses to Oregon City, fostering economic growth and expanding job opportunities. This program offers up to three years of property tax abatement on new property and equipment investments. The creation of quality jobs is an important prerequisite to program approval. An example is Advantis Community Credit Union’s three-year property tax abatement. Vertical Housing Tax Credit This program facilitates mixed-use developments, enhancing the city’s commercial and residential landscape. By supporting projects like Edgewater at the Cove, the department promotes balanced growth that benefits businesses and residents, enriching Oregon City’s urban environment.

The Quiet Zone This project will enable a quieter downtown by silencing the train whistle as it travels through the Oregon City area. This will make living on the upper floors of downtown buildings more appealing.

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DIVERSE RESILIENT VIBRANT

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URBAN RENEWAL: 2020-2024 INITIATIVES

Urban Renewal District Plan Urban Renewal is the most impactful economic development incentive to attract new development in Oregon City. It is also a major contributor to infrastructure development associated with new projects and a strategic commitment to revitalizing key areas and transforming underutilized spaces into thriving hubs of commerce and community. The department developed the 11th amendment to the Urban Renewal Plan, setting the stage for possible future voter approval to secure bonds to fund impactful projects in the district.

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DIVERSE RESILIENT VIBRANT

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2020-2024 INITIATIVES COMMUNITY ENGAGEMENT:

Economic Development Newsletter In the ongoing work of implementing an economic development strategy, communication with the public is important. With this in mind, the department has launched a quarterly newsletter to inform the public on issues, programs, and economic conditions impacting the community. Metro Community Enhancement Grant The Community Enhancement Grant Program (CEGP) supports projects in Oregon City that improve the community’s overall quality of life by investing in people and places. The Economic Development Department, a partner with Metro, administers this program. Nonprofit organizations can receive up to $50,000 in grant funding to improve and address the community's social, economic, and environmental challenges. department supports programs that address community needs and promote economic opportunity by fostering partnerships with non-profit organizations, educational institutions, and local businesses. 2020-2024 Initiatives Community Engagement initiatives in Oregon City underscore the Economic Development Department’s commitment to inclusivity, resilience, and shared growth. Empowering local nonprofit organizations to improve recreational spaces, wildlife areas, and neighborhood amenities enhance livability for all residents. The STRENGTHENING THE SOCIAL AND ECONOMIC FABRIC

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NEW INITIATIVES FOR THE NEXT BIENNIUM: 2025-2027

The Oregon City Economic Development Department is committed to establishing a resilient economic foundation through strategic programs that support local businesses, attract new investments, and enhance community well-being.

As we move forward, the department will continue to lead the charge on new, forward-thinking initiatives designed to sustain and promote more growth.

The Oregon City Economic Development Department will be launching the following new initiatives during the City’s next biennium fiscal year, FY 25/27.

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Ombudsman Program An ombudsman is an advocate, a proactive partner who works to mitigate issues between business and government concerning regulatory-related programs. Oregon City’s Economic Development staff and other City staff will serve the community’s businesses by providing timely information and supporting efforts to access development resources and information. The department will meet with businesses to direct requests for assistance and attend meetings of interest to local business leaders. By advancing a systemic method of communication, the department is advancing a positive and responsive partnership approach between the City government and the community’s business investors. Small Business Procurement Initiative With input from all of Oregon City’s municipal departments, the Economic Development Department will implement an initiative to give Oregon City’s small businesses with twenty-five or fewer employees special status to sell goods and services to the Oregon City Municipal Government. Re-Use Building Rehabilitation 2.0 The Economic Development Department is introducing a forgivable loan program within the Urban Renewal District to support revitalizing older commercial buildings. This initiative assists property owners in rehabilitating 40-year-old or older commercial structures, with eligible project costs ranging from $300,000 to $1 million. This program promotes long-term economic growth and investment in Oregon City’s commercial districts by preserving and enhancing existing buildings. 2025-2027 NEW INITIATIVES

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The Oregon City Economic Development Department has fostered collaborations with local non-profits, workforce organizations, and businesses, building a solid foundation for ongoing community and economic development. THANK YOU TO OUR PARTNERS!

For-profit entities include the following: Embold Community Credit Union Avamere Rehabilitation of Oregon City Providence Willamette Falls Medical Center Oregon State University Extension State of Oregon, Office of Economic Development State of Oregon, Employment Department Oregon City Municipal Court Downtown Oregon City Association Non-profit and governmental entities include: Micro-Enterprise Services of Oregon Worksource Clackamas Clackamas Workforce Partnership Clackamas Community College Workforce Development Center Children, Family, and Community Connection, Clackamas County Clackamas County Behavioral Health Oregon Department of Human Services Oregon City Chamber of Commerce Oregon City School District

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MEET OUR TEAM!

James Graham, CEcD Economic Development Manager Email: jgraham@orcity.org Phone: 503-496-1552

Ann Griffin Economic Development Coordinator Email: agriffin@orcity.org Phone: 503-974-5517

JOIN US IN BUILDING A STRONGER OREGON CITY

As we look to the future, the Oregon City Economic Development Department invites all stakeholders— business owners, community members, and partners—to join us in building a resilient, diverse, and vibrant economy in Oregon City. We can create a dynamic environment where businesses thrive, innovation flourishes, and our community grows stronger. Your involvement is key, whether you’re a local entrepreneur, a resident, or an organization committed to Oregon City’s success. Let’s work together to ensure that Oregon City remains a place of opportunity, collaboration, and growth for future generations. Visit our website or contact us today to get involved! 625 Center Street/P.O. Box 3040 Oregon City, OR 97045 www.oregoncitybusiness.com

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www.oregoncitybusiness.com

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