On the agenda: Hermiston packet — Hyperscale (Oct 12)

CITY COUNCIL
AGENDA
MONDAY, OCTOBER 12, 2026
COUNCIL CHAMBERS - 180 NE 2ND ST.
Meetings are always open to the public in-person. Other ways of viewing or participating in live
meetings are as follows:
View live meetings on YouTube at: https://bit.ly/HermistonYouTube
To participate in live meetings through Zoom, registration is required no later than 8am the day
of the meeting by emailing [email protected] and providing participants full name and
place of residence. The City Recorder will respond to sender with Zoom meeting details prior
to the start of the meeting.
Submit written electronic comments to [email protected] .
For written comments to be part of the official record, sender must provide their full name and
place of residence and comments must be received within the time frame given for the item
under discussion. The City Recorder will respond/confirm to sender that their electronic
comment was received and will be made part of the record; or, if their electronic comment is
not able to be made part of the record, the City Recorder will respond to the sender and state
the reason(s) why.
1. CALL COUNCIL/CITY MANAGER WORK SESSION MEETING TO ORDER - 6:00 PM
A. Housing Code Updates
2. ADJOURN WORK SESSION MEETING
3. CALL REGULAR MEETING TO ORDER – 7:00 PM
4. DECLARATION OF QUORUM
5. FLAG SALUTE
6. CITIZEN INPUT ON NON-AGENDA ITEMS
Anyone wishing to bring anything before the council that is not on the agenda is asked to
please do the following: 1. Please limit comments to not more than FIVE minutes; 2. State
your name and place of residence; 3. Direct your comments to the Chair.
7. CONSENT AGENDA

1

A. Appointment Recommendation of Hailey Beckwith to the Eastern Oregon Trade and
Event Center Advisory Committee, Position 3, Representing the Greater Hermiston
Hospitality & Tourism Committee- remaining 3-year term ending June 30, 2029.
B. Appointment Recommendation of Jigish S. Patel to the Recreation Projects Fund
Advisory Committee, Position 4, Representing the Greater Hermiston Hospitality &
Tourism Committee- 3-year term ending December 31, 2029.
C. Reappointment Recommendation of Lori Davis to the Budget Committee, Position 5,
3-year term ending December 31, 2029.
D. Reappointment Recommendation of Dan Burns to the Airport Advisory Committee,
Position 1, 3-year term ending October 31, 2029.
E. Minutes of the September 28th, Regular Meeting of the City Council
8. ITEMS REMOVED FROM CONSENT AGENDA
9. PUBLIC HEARING
A. Rezone - Celski Hermiston LLC - 1320 & 1340 NE 4th St 4N2802CD TL 400 & 600
(Ordinance No. 2387)
10. ORDINANCES
A. Ordinance No. 2385 – Amend Article V of Chapter 33 titled Initiative and ReferendumSECOND MEETING
B. Ordinance No. 2387- Rezone: Celski Hermiston, LLC - 1320 and 1340 NE 4th St
4N2802CD Tax Lots 400 and 600 (See Public Hearing Section)
11. OTHER
A. 2026 Quarterly Council Goal Setting Update.
12. COMMITTEE REPORTS
A. City Committee and Liaison:
Airport Advisory, Budget, Hispanic Advisory, Library Board, Parks and Recreation,
Planning Commission, Recreation Projects Fund, Faith-Based Advisory, Community
Accountability, Public Safety, Public Infrastructure, Transit Planning, EOTEC, Stepping
Stones Alliance (not a City Committee), Public Finance, Sanitary Disposal & Curbside
Recycling, Vacancy Review
B. Mayor's Report
C. Council President's Report
D. Council Report
E. Youth Advisory Report
2

F. Manager's Report
13. ADJOURN

** AMERICANS WITH DISABILITIES ACT NOTICE**
Please contact Hermiston City Hall, 180 NE 2nd Street, Hermiston, OR 97838 (Phone No.
541-567-5521) at least 48 hours prior to the scheduled meeting time if you need an
accommodation. TTY and TDD users please call Oregon Telecommunications Relay
Service at 1-800-735-2900 or 711.

3

Section 7, ItemE.

CITY COUNCIL

Regular Meeting Minutes
September 28, 2026
Mayor Primmer called the regular meeting to order at 7:00pm. Present were Councilors Hayward, Roberts,
McCarthy, Myers, Duron, Linton, Kelso, and Barron. City Staff in attendance included: City Manager Byron
Smith, Assistant City Manager Mark Morgan, City Attorney Richard Tovey, Finance Director Ignacio
Palacios, Police Chief Jason Edmiston, Planning Director Clint Spencer, and City Recorder Lilly AlarconStrong. The pledge of allegiance was given.
Proclamation- Water Professionals Appreciation Week. Recognizing the dedicated water-related city
staff for their role in supporting the public health, economy, and environment. – Mayor Primmer asked
members of the Water, Recycled Water, and Street Department present to come before the Council to be
recognized, read aloud the Water Professionals Appreciation Week Proclamation, and thanked these staff
members for their diligence and dedication to their professions that allow the City to have safe drinking
water and the like.
(Applause from all present.)
Presentation- Introduction of Youth Advisory Council
Hermiston High School Social Studies Department Teacher, Aaron Davis, stated the Youth Advisory Council
is in its sixth year with the goal to encourage and engage youth to become involved in their community
now and into the future, read aloud the Youth Advisory Council’s purpose statement, and stated members
of the Youth Advisory Council will also be attending the League of Oregon Cities Conference in October,
thanks to the City, and National League of Cities Conference in Washington DC in March, thanks to a
scholarship received from the Greater Hermiston Foundation.
Each Youth Advisory Council member introduced themselves stating their name, grade, and committees
they are involved in.
Mayor Primmer thanked Mr. Davis for his leadership helping students get involved and the students for
their civic engagement.
(Applause from all present.)
Presentation- Retail Strategies
Retail Strategies Portfolio Director Brooke Hill and Retail Development Manager John Mark Boozer
presented information (attached) regarding Retail Recruitment Update into the Hermiston Market by
bridging the gap between the private and public sector; this is done by obtaining data, working on-site
seeing what land and buildings are available and what is needed, attending trade shows to market
Hermiston, and more. Retail Strategies Team spoke regarding how important it is for municipalities to
invest in retail resources as retail attracts workforce, enhances quality of life and future community
growth. The Team spoke regarding past recruitment activity that led to new retail in Hermiston, leakage
report, and continued outreach with potential retail development, as well as answered questions from
the Council.
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Section 7, ItemE.

CITY COUNCIL

Regular Meeting Minutes
September 28, 2026

Citizen Input on Non-Agenda Items
Donna Romero and Tammy, Grace, and John Fisher- Spoke regarding their support of the proposed indoor
aquatic center stating the indoor facility will bring water skills and safety opportunities to individuals,
families and those with disabilities that are greatly needed in the area, help the Hermiston and Pendleton
Swim Teams, and help bring swim competitions to Hermiston bringing in tourism.
Linda Stark, Hemlock Ave- stated the High School Homecoming Fireworks show is getting bigger and
louder each year which causes disruptions for many people and animals and asked that this event be
toned down.
Consent Agenda Items
Councilor Duron moved and Councilor Hayward seconded to approve Consent Agenda items A-G to
include:
A. Liquor License Application- Change of Location- Ye Olde Pizza Shoppe to be located at 1823 S.
HWY 395.
B. Liquor License Application- Change of Owner- Grocery Outlet located at 1875 N 1st Street
C. Committee Vacancy Announcement
D. Minutes of the July 13th, Public Safety Committee Meeting
E. Minutes of the August 10th, Public Finance Committee
F. Minutes of the August 24th, City Council Regular Meeting
G. Minutes of the September 14th, City Council Regular Meeting
Motion carried unanimously with Councilors Hayward, Roberts, Myers, McCarthy, Duron, Linton, Kelso,
and Barron voting in favor.
Councilor Roberts recognized Eagle Scout Thomas Greenough for his gift of the Flag Retirement Box to the
City and congratulated him on his accomplishments as presented at the last City Council meeting.
Items Removed from the Consent Agenda
No items were removed.
Ordinance No. 2385- Amend Article V of Chapter 33 Titled Initiative and Referendum
After City Attorney Tovey read the ordinance by title only, City Manager Smith explained the proposed
Ordinance as provided in the agenda packet and answered questions from the Council, Youth Advisor
Gabriel Richards, and a member of the public Krista Van Veen.
A majority of the Council voiced their support for the ordinance stating that individuals living inside City
limits should be the only persons able to initiate laws that impact where they live, not people who do not
live in the City and therefore do not have to live with the consequences of their initiatives.
Councilor Barron and McCarthy disagreed, stating that any person should be able to bring initiatives and
referendums to the City as ultimately only City residents will vote on the issue at hand.
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Section 7, ItemE.

CITY COUNCIL

Regular Meeting Minutes
September 28, 2026
After additional Council comments, Councilor Duron moved and Councilor Roberts seconded to adopt
Ordinance No. 2385 at a single meeting and become effective 30-days after adoption by the City Council.
Motion passed 6-2 with Councilors Hayward, Roberts, Myers, Duron, Linton, and Kelso voting in favor, and
Councilors McCarthy and Barron voting against. Mayor Primmer announced that because the vote was
not unanimous another motion would be needed to approve the first reading of Ordinance No. 2385 and
set for a second reading at the next City Council meeting. Councilor Roberts moved and Kelso seconded
this motion, which was approved unanimously with Councilors Hayward, Roberts, Myers, McCarthy,
Duron, Linton, Kelso, and Barron voting in favor.
Ordinance No. 2386- Annexation 4N2814 BC Tax Lot 400 Thomas Property 1250 SE 4th St
After City Attorney Tovey read the ordinance by title only and Planning Director Spencer presented
information about the annexation as provided in the agenda packet:
• Councilor McCarthy moved and Councilor Hayward seconded to approve the findings of fact as
presented in the staff report. Motion carried unanimously with Councilors Hayward, Roberts,
Myers, McCarthy, Duron, Linton, Kelso, and Barron voting in favor.
• Councilor McCarthy moved and Councilor Duron seconded to impose conditions of approval as
presented in the staff report. Motion carried unanimously with Councilors Hayward, Roberts,
Myers, McCarthy, Duron, Linton, Kelso, and Barron voting in favor.
• Councilor Myers moved and Councilor Kelso seconded to adopt Ordinance No. 2386 at a single
meeting and become effective 30-days after adoption by the City Council. Motion carried
unanimously with Councilors Hayward, Roberts, Myers, McCarthy, Duron, Linton, Kelso, and
Barron voting in favor.
Resolution No. 2441- Wastewater & Domestic Water utility Agreement
At 8:17pm Councilor Hayward stated he had a conflict of interest and excused himself from the Council
Chambers.
Assistant City Manager Morgan presented information (attached) and in the agenda packet regarding
finalizes the agreement terms with Amazon Web Services (AWS) related to a wastewater and domestic
water supply project which would install a new sewer main in Feedville Road and Highway 207 with 73.6%
of the project funding coming from AWS and the remainder coming from the City with State of Oregon
financing.
Mayor Primmer and Councilors Kelso and Roberts thanked AWS for their community contributions and
City management for being forward thinking.
After additional Council questions and comments, Councilor McCarthy moved and Councilor Myers
seconded to adopt Resolution No. 2441 and lay upon the record. Motion passed 6-1 with Councilors
Roberts, Myers, McCarthy, Duron, Kelso, and Barron voting in favor, and Councilor Linton voting against.
Councilor Hayward returned to the Council Chamber and dais at 8:40pm.
(Youth present excited the meeting at 8:44pm.)

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Section 7, ItemE.

CITY COUNCIL

Regular Meeting Minutes
September 28, 2026

TSP Final Revisions Briefing
Planning Director Spencer presented information (attached) and provided in the agenda packet regarding
the Transportation System Plan (TSP) being presented in advance of the adoption hearing. The TSP update
has been in progress for about 16 months with the feedback from the Council and Planning Commission
has been incorporated in the final plan.
After staff answered questions from the Council, Mayor Primmer stated no Council action is being
requested as this was presented as informational only.
Length of Loan Term on Local Improvement District Loans
City Manager Smith presented information as provided in the agenda packet regarding possibly offering
other length-of-loan options for property owners participating in a local improvement district where they
would like to take advantage of financing through the City.
Councilor Kelso spoke regarding other financing options property owners can utilize that does not involve
the City. Councilor Linton spoke regarding her thoughts that the City should pay for street and sidewalk
improvements in their entirety, so these improvements are not financial burdens to people. Councilor
Kelso responded that these LID improvements and payments will be made by businesses with owners who
do not live in the community, not people.
After additional Council questions and comments from Council members, Councilor McCarthy moved and
Councilor Hayward seconded to take no action. Motion passed 6-2 with Councilors Hayward, Myers,
McCarthy, Duron, Kelso, and Barron voting in favor, and Councilors Roberts and Linton voting against.
Continue the Meeting
At 9:27pm it was announced that a vote of the Council must be made to continue the meeting per Council
Rules as it was nearing 9:30pm. Councilor Linton moved and Councilor McCarthy seconded to extend the
meeting by one hour, motion carried 7-1 with Councilors Hayward, Roberts, McCarthy, Duron, Kelso,
Linton, and Barron voting to continue the meeting, Councilor Myers voting against.
August 2026 Monthly Financial Report
Councilor McCarthy moved and Councilor Hayward seconded to accept the August 2026 Monthly Financial
Report as presented (attached) by Finance Director Palacios, Assistant City Manager Morgan, and City
Manager Smith. Motion carried unanimously with Councilors Hayward, Roberts, Myers, McCarthy, Duron,
Linton, Kelso, and Barron voting in favor.
Committee Reports
Airport Advisory Committee: Councilor Roberts gave updates regarding fuel sales and changes with fuel
requirements in regard to high-performance engines and fuel needs, and the Airport’s 5-year plan.
Hispanic Advisory Committee: Councilor Duron encouraged the public to attend the Hispanic Heritage
Month Celebration on Saturday, October 3rd from 11am to 3pm at the Community Center.
Library Board: Councilor Roberts stated their most recent meeting was cancelled as there is not a Library
Director as of yet.
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Section 7, ItemE.

CITY COUNCIL

Regular Meeting Minutes
September 28, 2026

Mayor’s Report
Mayor Primmer spoke regarding:
• Many upcoming events that took place/are taking place in the City to include: Family Magic Night
and Alpaca Fest
• LOC Annual Conference that will be taking place next month
• Apologized for not being able to attend the last meeting, thanked Council President McCarthy for
leading the last meeting, and asked that Council members please let him know if they are unable
attend meetings as soon as they know.
Council President’s Report
Council President McCarthy encouraged the public to participate in Treats on Main on October 30th not
October 31st.
Council Reports
Councilor Duron spoke regarding attending the September 4th City Chat at the Food Pod stating she was
happy to witness the excitement on a high school students face when she met Hermiston’s Mayor.
Councilor Linton spoke regarding attending the Governors Luncheon stating it was a good meeting and
was well attended.
Councilor Kelso encouraged the Council to attend the Hispanic Heritage Month Celebration stating it is a
great way to speak with other community members and encouraged the public to attend the Stepping
Stones Alliance Annual Fundraising Banquet.
Councilor Barron thanked the Hispanic Advisory Committee for their work hosting the Hispanic Heritage
Month Celebration.
Youth Advisory Report
None present.
City Manager’s Report
City Manager Smith stated hats have been placed on the dais for each Council member as the City’s
sponsorship gift from the Farm-City Pro Rodeo.
Recess For Executive Session
At 9:51pm Mayor Primmer announced the City Council of the City of Hermiston will now meet in Executive
Session in the Executive Session Room on the first floor for the purpose of discussing preliminary
negotiations involving matters of trade or commerce.
The Executive Session is held pursuant to ORS 192.660 (2) (g) which allows the Council to meet in Executive
Session to consider preliminary negotiations involving matters of trade or commerce in which the
governing body is in competition with governing bodies in other states or nations.
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Section 7, ItemE.

CITY COUNCIL

Regular Meeting Minutes
September 28, 2026
Representatives of the news media and designated staff shall be allowed to attend the executive session.
All other members of the audience are excluded. Representatives of the news media are specifically
directed not to report on any of the deliberations during the executive session, except to state the general
subject of the session as previously announced. No final decision may be made in executive session. At
the end of the executive session, the council will return to open session which the audience may attend.
The executive session will last approximately 15 minutes.
Reconvene and Adjourn
There was no other business and Mayor Primmer reconvened and adjourned the regular City Council
meeting at 10:25pm.
SIGNED:
ATTEST:

Doug Primmer, Mayor

_________
Lilly Alarcon-Strong, CMC, City Recorder

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Section 7, ItemE.

Introduction

About us
Founded in 2011 as a full-service advisory firm that
works with municipalities on business recruitment
through commercial real estate connections and
networks.
• Retail Recruitment
• Retail Academy
• Downtown Strategies
• Small Business Support

Retail Recruitment Update

We actively recruit retail businesses into the markets we
serve by bridging the private/public gap.

Hermiston, Oregon

Our team employs a commercial broker’s mindset with a
fiduciary responsibility for our municipal clients.

www.retailstrategies.com
[email protected]
+1 (205) 313-3676

Partnership with Hermiston began in 2017.

To change logos:

Introduction

Our Process
• Data & Demographic Analysis
• Boots on the Ground
• Pleasant Persistence
• Trade Show Representation
• Investment Multiplier
• Relationship Agent

Right click on logo,
select change image >
this device
Choose new logo file
from this folder:
Delete logos that are
not needed
If a logo is not already
saved, it can be
created by request
with the marketing
team

Hermiston, Oregon

Retail Recruitment Ladder
Why Should a Municipality Invest Resources in Retail?
Retail builds on retail. Retail
economic impact adds up quickly.
Retail attracts the workforce that
attracts the primary jobs. Retail
influences executives looking to
locate their company in your
community. Retail enhances the
quality of life. Quality of life
encourages the future growth of
your community.

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Section 7, ItemE.

Hermiston, Oregon

A Real Estate Deal

Our Toolbox

Timeline

Retail Strategies uses the following industry-standard
tools to help leverage opportunities in Hermiston

• Retailer Drives the Decision
• Small percentage of proposed sites equal new openings
• On average, this process takes 36 months or more.
Identify
Markets

Wall Street

Identify
Sites

Financial
Analysis
of the Deal

Real Estate
Committee

Custom Trade Area Design

Developer/
Construction

Gap Analysis (Leakage report)
Real Estate
Director

Local Tenant
Representation

Tenant Rep
Presents Site
to RED

Letter of
Intent

Lease/Purchase
Sales Agreement

Boots On The Ground Research

Partner with Developers and
Property Owners

Opening

ESRI Tapestry
Segmentation Profiles

It’s all about PROFIT!

Hermiston, Oregon

Hermiston, Oregon

Active Retail Interest

Recruitment In Action
Fall 2024 Presentation

Retailer

Status

National Grocer

In Negotiations

Soft Goods Retailer

Pending Win

National Hotel

Interested in the Market

Deli Fast-Casual Restaurant

Expressed interest

Burger Quick-Service Restaurant

Interested in Market

Burger Quick-Service Restaurant

Reviewing Market

Quick-Service Restaurant (multiple brands)

Needs Franchisee

Variety Discount Store

In Negotiations

National Coffee Brand

In Negotiations

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Section 7, ItemE.

Hermiston, Oregon

Hermiston, Oregon

Retail Recruitment Wins

Recruitment Focus
Retail Types

Brand

•
•
•
•
•
•

Panda Express
Marshalls
Famous Footwear

National & Regional Grocers
Full-service Restaurants
Fast-Casual Restaurants
Upgraded QSR Concepts
Experiential Retail
Clothing/Apparel Retailers

Chipotle

Big Picture Vision

Planet Fitness

•

Grocery Outlet

•

Sherwin Williams

•

•
•
•
•
•
•

Home Improvement Retailers
Home Goods Retailers
Beauty Retailers
Shoe Retailers
Hobby/Craft Retailers
Automotive Service Retailers

Establish Hermiston’s unique market position with national retailers, their
brokers, and developers.
Recruit large-market, OR-based developers to actively monitor market for
opportunities
Push regional brokers to see viability in Hermiston for clients.

Soft Goods Retailer (pending)

To change logos:
Right click on logo,
select change image >
this device
Choose new logo file
from this folder:

Industry Trends

Expanding Retailers

Delete logos that are
not needed
If a logo is not already
saved, it can be
created by request
with the marketing
team

Hermiston, Oregon

Continued Outreach
We share a common goal to generate new retail
communication that would not otherwise happen and
to create market influence in the retail industry.
We have conducted outreach to over 50 retail
prospects ranging from: grocers, entertainment
concepts, sit-down restaurants, coffee shops, quick
serve restaurants, fast casual restaurants, pet stores,
clothing and footwear, hotels, car service retailers,
home furnishings, and more.
Together, we continue to collaborate and strategize
with the Hermiston team to think creatively regarding
new-to-market retail and available sites.

Brooke Hill, Portfolio Director
[email protected]
214-499-6350

John Mark Boozer, Retail Development Manager
[email protected]
205-495-6979

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12

Section 7, ItemE.

Thank You
Hermiston, Oregon

Res. 2441: Utility Agreement
City Council: September 28, 2026

retailstrategies.com

+1 (205) 313-3676

[email protected]

Resolution 2441
• Permanent Drinking Water Supply
• Permanent Sewer Service
• Temporary Cooling Discharge

Birmingham/Fort Worth

Background
• UGB Expanded: Jan., 2026
• Hyperscale Data Center Zoning
• Approved Fall ‘25
• Extensive Utility Analysis

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Section 7, ItemE.

Background
• Sewer Options
• S 1st ($4.6M)
• SW 11th ($6.2M)

Background
• Sewer Options
• S 1st ($4.6M)
• SW 11th ($6.2M) = +26%

• March, 2026
• Council Approved SW 11th Route
• 74% from Developer

• Res. 2441 Ratifies 74/26 Split

Res. 2441: Agreement
• Employee Drinking Water
• Employee Sewage
• Temporary Cooling Discharge

Res. 2441: Agreement
• Employee Drinking Water
• Up to 7,500 Gallons Per Day (GPD)
• <Elementary School (50,000+ GPD)
• <Car Wash (~9,000 GPD)

• No infrastructure upgrades

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Section 7, ItemE.

Res. 2441: Agreement
• Permanent Sewer
• Up to 7,500GPD
• $4.6M Infrastructure Needed (piping/pumping)

Res. 2441: Fiscal
• Capital
• City to Construct SW 11th Sewer Route ($6.2M)
• Company to Pay for $4.6M

Res. 2441: Agreement
• Temporary Cooling Discharge
• No More than 2 Years
• No More than 75 Gallons Per Minute (Seasonally 0 GPM)
• Accepted Quality Governed by City Code

Res. 2441: Fiscal
• Capital
• City $1.6M Portion
• State CWSRF Loan (Undetermined portion ‘forgivable’)
• State Regional Infrastructure Fund Grant (requesting $1M)
• Long-Term Savings
• $600K(NPV) Lift Station Replacements Every 20-40 Years
• Avoided Lift Station Maintenance (Daily Checks)

• ~500 Acres of future residential development enabled

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Section 7, ItemE.

Res. 2441: Fiscal
• Future Housing

Res. 2441: Fiscal
• Operational

• ~500ac within UGB
• ~2,500 Housing Units (@5/ac)
• ~6,000 Residents
• ~$1.7M/yr: Sewer
• ~$12M/yr: Local Taxes

• Drinking Water: Standard City Water Rates
• Sewer: Standard City Sewer Rates
• Cooling: Standard City Sewer Rates + Any Applicable Industrial Fees
• All Rates as they may exist in the future
• Council retains full control over future rates

QUESTIONS

Transportation System Plan Update
September 28, 2026

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Section 7, ItemE.

Project Synopsis
• Existing TSP adopted in 1997

• Four project-oriented updates
• One major update in 2014 as part of periodic review process
• Has worked well guiding growth
• At end of planning life

• Project is intended to repeal and replace 1997 TSP
• Updates several TSP components
• Intersection plans
• Corridor plans
• Street classification plan
• Sidewalk and pedestrian plan
• Bike plan

• Updates development code

Project Goals

Project Team
• City staff
• Umatilla County
• ODOT
• DLCD
• First responders (Police and Fire)
• Hermiston School District
• Bike and Pedestrian Community
• Hermiston Chamber
• Citizen Representatives
• Kittelson and Associates (Transportation Engineers)
• Anderson Perry (Civil Engineers)
• Urbsworks (Land Use Planners)

Public Outreach
• City chat at HHS football game
• Open house at Festival Street Christmas tree lighting
• Three school events
• Two virtual open houses
• Work sessions with city council and planning commission
• Standard noticing in paper
• Social media outreach
• Bilingual noticing for all events

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Section 7, ItemE.

Street Classification

Road Projects

Intersection Projects

Pedestrian Projects

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Section 7, ItemE.

Bicycle Projects

Transit Updates

Development Code Update

Next Steps

• Amendment to zoning ordinance
• Current zoning ordinance does not establish a threshold for traffic
study related to development
• Public works standards require a traffic study at 1,000 trips per day
• 1,000 trip threshold is missing the majority of city development
• Zoning ordinance and public works standards are amended to require a
traffic study at 300 daily trips

• Adoption is planned for October 2026
• Planning commission hearing on October 14
• City council hearing on October 26
• Two ordinances to consider
• One resolution to consider

• Amendments to land division ordinance
• Lowers block length maximum from 600 to 350 feet
• Lowers cul-de-sac length from 400 to 200 feet
• Current block lengths do not encourage pedestrian activity and
discourage connectivity with adjacent parcels

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Section 7, ItemE.

Hermiston Urban Renewal Agency (HURA)
• Hermiston URA

Monthly
Financial Report

• Second month of fiscal year

• North Hermiston Urban Renewal Area – Project awaits
bidding, anticipated to begin Spring/Summer 2027

September 28, 2026

General Fund

General Fund

• 2026-27 first month (16.7%) of fiscal year.
• Monthly Revenues ended under projection by ~$699k

• Monthly Expenses were under projection by ~$109k

• Timing of various revenues (franchise fees, etc.)
• Franchise Fee structure changed (7% to 4%) for power utilities
• Change in usage and ‘market forces’ altering trends and estimates
• Temporary reduction in transfers to street capital reserves

• Several departments over budget in comparison to
projection and further evaluated
• City Council – annual membership
• Airport – fuel purchases (offset by increased sales)
• Parks, Parks/Utility Landscape, Municipal Pool – seasonal
activity
• Municipal Buildings - repairs

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Section 7, ItemE.

Special Revenue Funds

Utility and Street Funds

• Observations:

• Observations

• EOTEC
• Event revenues and timing of project reimbursements
• RV project continues

Capital Projects
• Various projects in design or underway:
•
•
•
•
•
•
•
•
•
•
•
•
•
•

Geer/Harper Realignment –construction in progress
SE 10th Street Bridge – design proceeding, anticipated construction winter ‘26-’27 during off-season
Dogwood Street – construction proceeding – paving expected September 2026
RWS Backup Generators – site prep continued, 2027 estimated delivery and install
Aquifer Storage/Recovery – testing complete, initial recharge underway, anticipated April completion
Orchard Water Line replacement – project underway, anticipated paving in September 2026
E. Highland Avenue Line Replacement – design underway
View Drive Booster Upgrade – design begun
Well #6 Chlorination Structure – project underway anticipate completion by late fall
E. Evelyn Avenue gravity sewer line – project underway with paving anticipated September 2026
Lift Station #7 Rebuild – contract awarded, construction to begin fall 2026
Recycled Water Treatment Plant UV Upgrades – equipment contract awarded, install planned 2027
E. Theater Lane Lift Station – design begun
NW 2nd Street Paving – project underway with paving anticipated September 2026

• Street – Revenues under projection by ~$28k
• Timing of federal allocation turnover

• Regional Water Fund expenditures are ~$85k over projection – capital
reserve transfers.

Capital Projects
• Sherman Park – Project scope in review, updates
to come

• TBD (budgeted and part of CIP):
• Well #4 Controls – delays may require rescheduling project
• Lift Station #5 – design to begin

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Section 7, ItemE.

Discussion
Questions?

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Section 9, ItemA.

Mayor and Members of the City Council

STAFF REPORT
For the Meeting of October 12, 2026
Title/Subject
Rezone - 4N2802CD TL 400 & 600 - Celski Hermiston LLC 1320 & 1340 NE 4th St

Summary and Background
Celski Hermiston, LLC has submitted an application to amend the zoning map for land located
at 1340 NE 4th Street. The property consists of two parcels described as 4N 28 02CD Tax
Lots 400 and 600. The current zoning is Outlying Commercial (C-2) and the applicant
proposes to add the Neighborhood Commercial Overlay (NCO) to both parcels to facilitate
multi-family housing. The total lot area is 66,000 square feet (1.5 acres) with Tax Lot 400
encompassing 53,000 square feet and Tax Lot 600 encompassing 13,000 square feet. The
property is owned by Celski Hermiston, LLC. The amendment to the zoning map is a quasijudicial land use action. Land use actions are deemed quasi-judicial where it is determined
they have an impact on a specific site and do not have widespread and significant impact
beyond the immediate area of the proposed action.
The addition of the NCO zoning to the existing C-2 zoning adds two new uses to those
permitted conditionally. NCO allows for multi-family housing and mini-storage units through
the conditional use process. Upper story residential uses are also permitted outright. The
applicant has considered the need for adding the overlay in the application narrative. The
property abuts NE 4th Street, which is a mixed-use corridor classified as a minor arterial in the
city’s TSP. NE 4th Street is primarily a residential corridor but also contains a number of
commercial uses. This site in particular is directly adjacent to the Walmart store located at
1300 N 1st St. Lands to the north and south are commercially zoned with the land to the north
being vacant and the land to the south containing single-family residences. Impact to the
surrounding area and transportation infrastructure is considered in the application materials
and a trip generation letter prepared by Larry Frostad of Ardurra. The trip generation letter
notes that development is expected to add approximately 25 peak hour trips cumulatively to all
intersections servicing this development and that the addition of those trips will not impact the
functional classification of any intersection. The property is serviced exclusively by NE 4 th St.
The applicant notes that this property’s location on NE 4th Street provides opportunities for
housing within walking distance of commercial services. The site is also well serviced by
transportation and utility infrastructure providing opportunities for infill and mixed-use
development. The intent of the NCO overlay is to provide commercial areas that mix
23

Section 9, ItemA.

residential and commercial uses within walking distance of each other and application of the
NCO overlay at this location facilitates provision of that need. The provision of higher density
multi-unit housing on the NE 4th Street corridor will help provide needed housing in an area
well-suited to accommodate additional housing and to provide housing in a location well
situated to compatible services.
Four criteria are applicable to the decision to amend the zoning map. These criteria are
contained in §157.226 of the Hermiston Code of Ordinances and are as follows:
1. The change is in conformance with the Comprehensive Plan and also the goals and
policies of the plan;
2. The showing of public need for the rezoning and whether that public need is best served
by changing the zoning classification on that property under consideration;
3. The public need is best served by changing the classification of the subject site in
question as compared with other available property;
4. The potential impact upon the area resulting from the change has been considered.
The planning commission held a public hearing on the proposed rezone and issuance of a
conditional use permit for housing on Tax Lot 400 on September 30, 2026. After considering
both requests the planning commission made a unanimous recommendation that the city
council adopt the amend the zoning map and apply the NCO zoning to the subject property.
The planning commission also approved a conditional use permit for 22 multi-family housing
units on Tax Lot 400 contingent upon city council approval of the zoning map amendment.
The planning commission’s approval of the conditional use permit was subject to thirteen
conditions of approval. The adopted conditions of approval are attached to this report for
reference.
Tie-In to Council Goals
1.9 Attract market rate housing developments to increase middle housing inventory
Fiscal Information
Similar multi-family developments with approximately 20 units are valued between $1.5 and $3
million. It is anticipated this development will generate approximately $20,000 in city tax
revenue annually.
Alternatives and Recommendation
Alternatives
The city council may choose to adopt or reject Ordinance No. 2387.
Adoption of Ordinance 2387 will apply the Neighborhood Commercial Overlay to the subject
property adding multi-family housing and mini-storage as conditional uses. Adoption of the
ordinance will allow the conditional use permit for 22 housing units approved by the planning
commission to move forward.
Rejection of Ordinance 2387 will maintain the current C-2 zoning of the property and prohibit
residential use of the site.
Recommended Action/Motion
24

Section 9, ItemA.

Staff recommends that the city council adopt findings of fact supporting the zoning map
amendment and adopt Ordinance No. 2387 imposing the NCO zoning.
Submitted By:

25

Section 9, ItemA.

ORDINANCE NO. 2387
AN ORDINANCE AMENDING THE CITY OF HERMISTON ZONING MAP TO
INCLUDE THE NEIGHBORHOOD COMMERICAL OVERLAY FOR A 1.5 ACRE
TRACT LOCATED WEST OF NE 10TH ST AND NORTH OF E DIAGONAL BLVD.
THE CITY OF HERMISTON DOES ORDAIN AS FOLLOWS:

SECTION 1. The following described property shall be changed on the city zoning map to add
the Neighborhood Commercial Overlay (NCO), to-wit:
Parcel 1, Partition Plat 2005-20 and Parcel 1, Partition Plat 2007-44, each located in Section
02, Township 4 North, Range 28 East, City of Hermiston, County of Umatilla, State of Oregon

SECTION 2. The findings of fact as adopted by the City Council on October 12, 2026,
are marked as Exhibit A and incorporated herein by reference.

SECTION 3. The effective date of this ordinance shall be the thirtieth day after enactment.

ADOPTED by the Common Council this 12th day of October 2026.
SIGNED by the Mayor this 12th day of October 2026.
____________________________________
Doug Primmer, Mayor
ATTEST:
______________________________________
Lilly Alarcon-Strong, CMC, City Recorder

ORDINANCE NO. 2372

Page 1 of 1
26

Section 9, ItemA.

Exhibit A
Findings of Fact
Zoning Map Amendment
1320 and 1340 NE 4th St
October 12, 2026
Application to Amend the City of Hermiston Zoning Map, effecting a change to the
zoning of the subject property.
Owner:

Celski Hermiston LLC

Applicant:

Celski Hermiston LLC
6725 W Clearwater Ave
Kennewick, WA 99336

Purpose of This Application:
The applicant seeks to amend the zoning map for two parcels encompassing 1.5 acres
located at 1320 and 1340 NE 4th St. The property is described as 4N 28 02CD Tax Lots
400 and 600. The property is located within the Hermiston city limits and is designated
on the comprehensive plan map with a commercial map designation. Current zoning is
C-2 on the Hermiston zoning map.
The purpose of the application is to amend the Hermiston zoning map designation for this
property by adding the Neighborhood Commercial Overlay to the existing Outlying
Commercial designation. A conditional use permit to construct 21 multi-family units is
proposed if the NCO designation is applied.
Documents to be Modified:
 City of Hermiston Zoning Map.
Current Use of the Property:
Tax Lot 600 (15,000 square feet) is currently occupied with a single-family building and
garage which are used as a commercial office and accessory storage. Tax Lot 400
(53,000 square feet) is a vacant green field site.
Surrounding Uses: Lands to the south, east, and west are all zoned commercially. Land
to the west and east is developed with auto-oriented commercial use. Land immediately
to the south contains residential uses. Land to the north is zoned commercially and
residentially. The land immediately to the north is vacant commercial land. Land to the
north and east is developed with multi-family housing.

27

Section 9, ItemA.

Required Review:
The City of Hermiston Zoning provisions, found as part of Title XV Land Usage, in Chapter
157 Zoning part 157.226 Amendments provides the requirements for amendment to the
Zoning Map and at (E) provide the approval criteria.
The City of Hermiston also provides application forms with procedures for a zone change.
The application has several questions that reflect the Zoning ordinance provisions that
will also be included here. As this is also a request to amend the zoning map the 14
Statewide Planning Goals are also considered.
Zoning Map Amendment Findings
City of Hermiston Zoning 157.226 Amendments (E) Approval Criteria: The review criteria
are listed in bold with responses in regular text.

(E) Approval criteria.
(1) The following criteria must be followed in deciding upon a quasi-judicial
proceeding:
(a) The burden in all land use proceedings is upon the applicant, whether a
zone change, conditional use or variance is the subject of the hearing;
Response: The applicant has submitted a written application with supporting material to
provide evidence for the governing body to consider.
(b) The requested zone change or conditional use must be justified by proof
that:
1. The change is in conformance with the Comprehensive Plan and also
the goals and policies of the plan;
Response: The City of Hermiston Comprehensive Plan has been acknowledged by the
Land Conservation and Development Commission addressing the Statewide Land Use
Planning Goals. For this request Goals 1 Citizen Involvement, 2 Planning Process, 8
Recreational Needs, 9 Local Economy, 10 Housing, 11 Public Services and Facilities,
and 12 Transportation are applicable. Goals 3 Agricultural Lands, 4 Forest Lands, 5
Natural Resources, 6 Air, Water, and Land Resource Quality, 7 Areas Subject to Natural
Hazards, 13 Energy Conservation, 14 Urbanization, 15 Willamette River Greenway, 16,
Estuarine Resources, 17 Coastal Shorelands, 18 Beaches and Dunes, and 19 Ocean
Resources are not applicable.
The following City of Hermiston Comprehensive Plan Policies are considered:

28

Section 9, ItemA.



Policy 1: The City of Hermiston will insure that citizens have an adequate opportunity
to be involved in all phases of the planning process.

Response: As this request will be heard by both the Planning Commission and City
Council, with notice to adjoining landowners and affected agencies Goal 1 and Policy 1
are satisfied.


Policy 2: The City of Hermiston will monitor and update periodically its comprehensive
plan and implementing ordinances to respond to changing conditions.

Response: This request provides an opportunity for the City of Hermiston to evaluate this
area of the city and consider the potential impact provided by providing additional housing
opportunities in a developed mixed-use area. The city finds that the auto-oriented
commercial uses across NE 4th Street provide compatible services that are not an undue
burden on multi-family uses and that multi-family uses will utilize nearby services.


Policy 4: The City of Hermiston will promote compact urban development within and
adjacent to existing urban areas to insure efficient utilization of land resources and
facilitate economic provision of urban facilities and services.

Response: The proposal is within the existing city limits and served by adequate
infrastructure at this time. No annexation, urban growth boundary expansion, nor utility
extension is necessary to service this property.


Policy 19: The City of Hermiston will assure the availability of a sufficient supply of
commercial land to accommodate 20-year projected need and strive to achieve the
balanced distribution of commercial activities in neighborhoods, downtown, and along
outlaying highways.

Response: The 2024 Economic Opportunities Analysis provides the basis for determining
adequacy of economic land. The EOA notes that Hermiston has a 20-year need for 25
acres of small acreage commercial sites of 0-.99 acres and a supply of 39 acres. The
use of 1.5 acres of existing C-2 land to provide mixed use housing and commercial
development will not impact the city’s ability to meet the 25 acre projected demand.



Policy 20: The City of Hermiston supports economic development and job growth
which will diversify and strengthen the mix of economic activity in the local
marketplace and provide employment opportunities for local residents.
Policy 21: Housing Availability and Affordability: Having affordable, quality housing in
safe neighborhoods with access to community services is essential for all Oregonians.
Like other cities in Oregon, the City of Hermiston is responsible for helping to ensure
that its residents have access to a variety of housing types that meet the housing
needs of households and residents of all incomes, ages, and specific needs. The City
does this primarily by regulating residential land uses within the City, as well as
working with and supporting non-profit and market rate developers and other housing
agencies in developing needed housing.

29

Section 9, ItemA.

Response: The requested NCO designation is consistent with the City of Hermiston
comprehensive plan and stated purpose of the NCO district. The proposed development
will provide new residential housing opportunities within walking distance of existing
commercial services while maintaining the underlying commercial zoning designation.
The NCO district specifically encourages infill development, redevelopment, and mixeduse development in commercial areas. The project promotes efficient use of urban land,
utilizes existing infrastructure and public services, and supports the city’s goals of
accommodating growth while expanding housing opportunities for current and future
residents.
The proposed multi-family development represents an appropriate
redevelopment of under utilized commercial property and advances the city’s objectives
of encouraging compact development patterns, reducing vehicle trips, and supporting
pedestrian oriented neighborhoods.


Policy 23: The City of Hermiston will plan for the timely and efficient provision of a full
complement of urban services and facilities in all developed and developing areas
within the community. Timely means a point within the 20-year timeframe when the
city deems development appropriate for a given property based on factors including
but not limited to the need for additional urban development within the urban growth
boundary and the extent of undeveloped or undeveloped land between the existing
development and the subject property.

Response: Public services are available within the existing NE 4th Street right of way.
Utility capacity extends the full length of the property frontage and extends from the
intersection of NE 4th St/E Elm Ave north beyond the Hermiston Drain. No utility
extensions are necessary to accommodate development.


Policy 31: The City of Hermiston will promote a balanced, well-integrated local
transportation system which provides safe, convenient and energy-efficient access,
and facilitates the movement of commodities.

Response: The applicant has provided evidence from a professional engineer that the
affected intersections and roadway will not experience level of service decreases or other
congestion delays as a result of development. Redevelopment of the site will require
improvement of NE 4th Street to minor arterial standards along the east frontage of the
road thereby providing adequate pedestrian access to the site and to the pedestrian
crossing at NE 4th St/E Elm Ave.


Policy 34: The City of Hermiston will comply with the requirements of the
Transportation Planning Rule with the adoption of the Transportation System Plan and
related amendments to implementing ordinances.

Response: The applicant has commissioned a trip generation analysis compliant with the
Transportation Planning Rule. The findings of the trip generation analysis demonstrate
that the affected intersections and roadway will not experience level of service decreases
or other congestion delays as a result of development.

30

Section 9, ItemA.

2. The showing of public need for the rezoning and whether that public
need is best served by changing the zoning classification on that
property under consideration;
Response: Hermiston continues to experience population growth and increasing demand
for housing. The proposed NCO designation will facilitate development of a multi-family
townhome community that will provide additional housing opportunities for workforce
families, professionals, and residents seeking quality housing options within the city.
The NCO district was established to create commercial areas that support residential
uses within walking distance of goods and services. Application of the overlay district will
help address local housing needs while preserving the long-term commercial viability of
the area.
3. The public need is best served by changing the classification of the
subject site in question as compared with other available property.
Response: The subject property is uniquely positioned to serve the goals of the NCO
district due to its location along NE 4th Street, proximity to existing commercial services,
and access to public infrastructure. The property is located within an established urban
area where residential development can occur without requiring significant public
investment in new infrastructure.
Compared to other available properties, this site provides an opportunity to create a
walkable residential community adjacent to commercial services, consistent with the
purpose of the NCO district. Development of this property will support efficient land use
patterns and reduce transportation demands by allowing residents to live closer to
services and employment opportunities.
4. The potential impact upon the area resulting from the change has been
considered.
Response: Potential impacts associated with the proposed NCO designation and
residential development have been carefully considered. The proposed multi-family
townhome development will be designed and constructed in accordance with all
applicable City of Hermiston development standards regarding access, parking,
landscaping, setbacks, drainage, utility service, and building design.
The NCO district was established to encourage compatible mixed-use development in
commercial areas. The proposed project is consistent with that purpose and will provide
additional housing opportunities while maintaining compatibility with surround land uses.
The development will utilize existing infrastructure and public services, minimizing
impacts on adjacent properties and public facilities.
The 14 applicable Statewide Planning Goals are also considered.

31

Section 9, ItemA.

Goal 1 Citizen Involvement: To develop a citizen involvement program that insures
the opportunity for citizens to be involved in all phases of the planning process.
Response: The City of Hermiston Comprehensive Plan and Zoning Ordinance outlines
the City’s citizen involvement program that includes the activities of the Planning
Commission and provides for the public hearing process with its required notice
provisions. These notice provisions provide for adjoining and affected property owner
notice; notice to interested local, state, and federal agencies; and allows for public
comment to the process.
The city finds that this application is consistent with Goal 1.
Goal 2 Planning: To establish a land use planning process and policy framework
as a basis for all decisions and actions related to use of land and to assure an
adequate factual base for such decisions and actions.
Response: Goal 2 establishes the underlining process that a county or a city needs to
utilize when considering changes to their Comprehensive Plans and development codes.
This requested change of Comprehensive Plan and Zoning designation is also guided by
Goal 2 requirements. This application meets those requirements for this request.
The city finds that this application is consistent with Goal 2.
Goal 3 Agricultural Lands: To preserve and maintain agricultural lands.
Response: The Goal 3 requires counties to preserve and maintain agricultural lands for
farm uses. Counties must inventory agricultural lands and protect them by adopting
exclusive farm use zones consistent with Oregon Revised Statute 215.203 et. seq. Goal
3 does not allow nonfarm uses like industrial development on lands zoned for exclusive
farm use. This application is to consider modifications to the application of the Outlying
Commercial zone within the city limits on lands that have already been identified for urban
industrial and commercial uses. Per OAR 660-033-0020(1)(c), "Agricultural Land" does
not include land within acknowledged urban growth boundaries or land within
acknowledged exception areas for Goal 3 or 4.
Goal 3 does not apply to this action.
Goal 4 Forest Lands: To conserve forest lands by maintaining the forest land base
and to protect the state’s forest economy by making possible economically
efficient forest practices that assure the continuous growing and harvesting of
forest tree species as the leading use on forest land consistent with sound
management of soil, air, water, and fish and wildlife resources and to provide for
recreational opportunities and agriculture.
Response: There are no forest lands in the City of Hermiston.

32

Section 9, ItemA.

Goal 4 does not apply to this action.
Goal 5 Open Spaces, Scenic and Historic Areas, and Natural Resources: To protect
natural resources and conserve scenic and historic areas and open spaces.
Response: The subject property has a Development Hazard overlay and no other known
cultural or historical sites. There are no known wetlands inventoried on the subject
property.
The city finds that this application is consistent with Goal 5.
Goal 6 Air, Water and Land Resources Quality: To maintain and improve the quality
of the air, water and land resources of the state.
Response: Goal 6 addresses the quality of air, water, and land resources. In the context
of comprehensive plan amendments, a local government complies with Goal 6 by
explaining why it is reasonable to expect that the proposed uses authorized by the plan
amendment will be able to satisfy applicable federal and state environmental standards,
including air and water quality standards.
All development within the Hermiston urban growth boundary is required to comply with
federal and state environmental standards (157.004). Compliance is a requirement of all
land use applications.
Goal 6 does not apply to this action.
Goal 7 Areas Subject to Natural Hazards and Disasters: To protect people and
property from natural hazards.
Response: There are no known natural hazards on the subject property, and it is located
significantly above and outside the influence of the Umatilla River which has a history of
flooding.
Goal 7 does not apply to this action.
Goal 8 Recreation Needs: To satisfy the recreational needs of the citizens of the
state and visitors and, where appropriate, to provide for the siting of necessary
recreational facilities including destination resorts.
Response: This proposal does not propose new recreational facilities. The city’s park
and open space master plan does not call for new recreational facilities within this area.
Goal 8 does not apply to this action.

33

Section 9, ItemA.

Goal 9 Economy: To provide adequate opportunities throughout the state for a
variety of economic activities vital to the health, welfare, and prosperity of
Oregon’s citizens.
Response: Goal 9 requires local governments to adopt comprehensive plans and policies
that contribute to a stable and healthy economy. Hermiston has a Comprehensive Plan
that has been acknowledged to comply with Goal 9. Specifically, the city has adopted an
economic opportunities analysis as of 2024 which has been acknowledged by the State
of Oregon. The 2024 EOA specifically identifies this site as a location for economic
development. In the absence of development as a housing site, the proposed change
still designates this land for commercial use, thereby implementing the comprehensive
planning of this site for future commercial and industrial development.
The city finds that this application is consistent with Goal 9.
Goal 10 Housing: To provide for the housing needs of citizens of the state.
Response: The Oregon Legislature in 2019 passed HB 2001 which amended certain
housing rules relating to provision of housing in commercial zones. Specifically, OAR
660-046-0330 states that cities adopting comprehensive plan amendments shall adopt
findings regarding increase or decrease in housing capacity. This proposal specifically
plans for the provision of market rate workforce housing within a commercial zone.
Twenty-one new units are proposed. The city’s acknowledge Housing Needs Analysis
notes that over the 20-year planning horizon slightly more than 500 additional multi-family
units are needed. This proposal provides units towards the city’s documented need and
provides those units at the acknowledged maximum density for multi-family units (21 units
per acre).
The city finds that this application is consistent with Goal 10.
Goal 11 Public Services: To plan and develop a timely, orderly and efficient
arrangement of public facilities and services to serve as a framework for urban and
rural development.
Response: Goal 11 requires local governments to plan and develop a timely, orderly, and
efficient arrangement of public facilities and services. The city has adopted a public
facilities plan as of September 2025. The public facilities plan demonstrates that there is
adequate capacity to service development within the urban growth boundary through the
20-year planning horizon with minor system upgrades. System upgrades are planned
within the city capital improvement plan and funded through the city-wide system
development charge fee. Development is required to pay into the SDC fees at the time
of permitting thereby paying a proportionate share into future system upgrades.
The city finds that this application is consistent with Goal 11.

34

Section 9, ItemA.

Goal 12 Transportation: To provide and encourage a safe, convenient and
economic transportation system.
Response: Goal 12 requires local governments to provide and encourage a safe,
convenient, and economic transportation system, implemented through the
Transportation Planning Rule. A trip generation report prepared by a registered traffic
engineer is attached to these findings as evidence of compliance with the Transportation
Planning Rule. As noted in the report, no significant change in trip generation is
generated between those uses permitted in the C-2 and NCO zones.
The city finds that this application is consistent with Goal 12.
Goal 13 Energy: To conserve energy.
Response: Goal 13 directs local jurisdictions to manage and control land and uses
developed on the land to maximize the conservation of all forms of energy, based on
sound economic principles. The site provides new housing opportunities within walking
distance of commercial services thereby minimizing the need for new vehicle trips to meet
basic commercial needs.
The city finds that this application is consistent with Goal 13.
Goal 14 Urbanization: To provide for an orderly and efficient transition from rural
to urban land use, to accommodate urban population and urban employment inside
urban growth boundaries, to ensure efficient use of land, and to provide for livable
communities.
Response: This proposal is within the existing city limits of the City of Hermiston. No
annexation or urban growth boundary expansion is proposed.
Goal 14 does not apply to this action.
Conclusion: This narrative provides evidence that the proposal complies with the
Statewide Planning Goals and with the City of Hermiston Comprehensive Plan.

35

Section 9, ItemA.

Exhibit B
Conditions of Approval
Zoning Map Amendment and Conditional Use Permit
1320 and 1340 NE 4th St
September 30, 2026
Subject to the deliberations of the planning commission and public testimony submitted
to the planning commission, the following draft conditions of approval are presented.
1.

2.

3.

4.
5.

6.

7.

Comprehensive Plan Figure 12 identifies this site as an area subject to
development hazards due to a high water table. Therefore, the City will prohibit
the outdoor storage of hazardous chemicals and underground storage of
gasoline and diesel fuels. At the discretion of the Planning Commission, an
applicant whose property is located in the DH overlay area may obtain an
exemption from this condition if he can demonstrate the proposed development
is not constrained by development limitations and/or will not contribute to
potential groundwater pollution. To obtain an exemption, the applicant must
present documentation to this effect prepared by a registered engineer.
The applicant shall receive approval from the Hermiston Irrigation District
specifying whether the property is located within the boundary of the Hermiston
Irrigation District and subject to water rights prior to issuance of any building
permit.
All storm water shall be retained on site. Use of private dry wells and/or private
swales as necessary is required. The city engineer will review the proposed
drainage plan and storm report as part of the civil drawing review process.
Parking lot and exterior lighting, where proposed, shall be designed not to
interfere with adjacent residential uses to the south.
Consistent with §157.164(D)(2) of the Hermiston Code of Ordinances the
applicant shall be required to improve the NE 4th St frontage of the development
site with infill paving, curb, gutter, sidewalk, and drainage improvements.
Design of the NE 4th St improvements shall be reviewed and approved by the
city engineer.
Civil drawings shall be submitted to the city engineer for review and approval
prior to issuance of a building permit. Civil drawings shall be prepared in
accordance with the design guidelines for plan preparation contained in the
city’s
standard
plans
and
specifications
located
at:
https://www.hermiston.or.us/commdev/page/hermiston-design-standardsspecifications-and-plans
Signage shall be installed consistent with the provisions of §155.37 of the
Hermiston Code of Ordinances (relating to installation of signage in commercial
and industrial zones).

36

Section 9, ItemA.

8.
9.

10.
11.

12.

13.

All areas for the standing and maneuvering of vehicles shall be paved with a
hard surface of concrete or asphalt prior to the occupancy of any dwelling.
Applicant shall comply with all provisions of §92.12 of the Hermiston Code of
Ordinances (relating to the control of blowing dust) during all phases of
development.
Bicycle parking shall be installed in accordance with 157.150(L)(4) of the
Hermiston Code of Ordinances.
The south property line of the site is adjacent to residentially zoned property
which is residentially occupied. Consistent with 157.179(B) of the Hermiston
Code of Ordinances (Minimal Resident Disturbance), a sight-obscuring fence
of at least five feet in height and not more than six feet in height shall be
installed along the south property line of Tax Lot 400.
In accordance with §157.043(E)(1) of the Hermiston Code of Ordinances, solid
ground cover landscaping shall be provided between each building fronting NE
4th Street in order to maintain a 10-foot setback.
Applicant shall coordinate emergency vehicle turnaround with fire marshal as
part of civil design.

37

Section 9, ItemA.

Notice of Proposed Land Use Action

1900

200

1493

1520

2000

NE ASPEN DR
1300

1489

101

2900
1485

R-3

3000

M

1481

1477

3100
C-2

1453

C
NE 4TH ST

401

1455

400

1410

1380 500

3200
3900
4000

530

1447

600
1340

700

NCO

800

M
455

400

104

103

105

106

107

400

400

400

E ELM AVE

400

203

202

400

201

R-4

300

100

320

330

112

102

310

111
315

1404

R-2

325

MH

360

340

110
345

400

365

300
E DOGWOOD AVE
1408
1410
L
1405 1407 1401 1409

400

400

460

1100

550

600

400

R-1
300

1600

310 355 320

1501
315

375

1502

385

350

1503

360

1500

395
1050

402 1100

495A

Legend

1200 R-3

Property Line

0

100

200
Feet

300

400

City Limits
Area of Proposed NCO Rezone

1400 565A

1700 1800

±
38

Section 9, ItemA.

Notice of Proposed Land Use Action

1900

200

1493

1520

2000

NE ASPEN DR
1300

1489

101

2900
1485

3000
1481

1477

3100
1453

NE 4TH ST

401

1455

400

1410

1380 500

3200
3900
4000

530

1447

600
1340

700

800

455

400

104
300

100

103
320

330

102

315

1404
300

1600

106

112

310

111

105

107

1501
315

375

1502

400

E ELM AVE

400

203

202

400

385

350

1503

400

365

345

1408

360

1500

300

400

400

460

1100

200
Feet

300

400

600

395
1050

402 1100

495A

1200 505A 525A 1400 565A

Area of Proposed NCO Rezone

100

550

400

Legend
0

201

110

E DOGWOOD AVE
1410
1405 1407 1401 1409
310 355 320

400

360

340

325

400

Property Line
City Limits

1700 1800

±
39

Section 9, ItemA.

40

Section 9, ItemA.

41

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1

2

3

4

5

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PARKING ANALYSIS

NORTH

TYPE

REQUIREMENT

MULTI-FAMILY DWELLINGS2/DWELLING
TOTAL PARKING REQUIRED: 40 SPACES
TOTAL GARAGE SPACES: 20 UNITS
TOTAL DRIVEWAY SPACE: 20 UNITS
GUEST PARKING SPACES: 2 UNITS

QUANTITY

20

40

5401 RIDGELINE DR.
SUITE 160

D
(E)FIRE HYDRANT

(E)FIRE HYDRANT

UNITS

D

KENNEWICK, WA 99338
1-509-222-0959

SS

(E)36" SS

(E)12" W

(E)SD

D

NE 4TH ST

S

D

(E)SD

D

6" S
(E)3

(E)36" SS

S

(E)12" W

DATE

(E)OHP

S

(E)OHP

DESIGN CHKD APPD

www.knutzenengineering.com

N00°16'43"W
(E)O
HP

OT
(E)

S

T

W

228.55'

REVISIONS

130.00'

12.1'

C
No.

30.0'

20.0'

24.2'

100.00'

PARCEL 1
PP 2005-20

24.2'

C

S89°41'13"W 100.00'

(E)BLDG

(E)OHP

PARCEL 1
PP 2007-44
20.0'

SS

PARALLEL GUEST
PARKING

CITY OF HERMISTON, OREGON

4TH AVENUE APARTMENTS

~(E)

19.3'

100.00'

'
.0
'
.0

20

CELSKI HERMISTON LLC

MIST
HER

60

24.2'

PARKING PLAN

~
ITCH
ON D

24.0'

SS

TRASH
ENCLOSURE

B

H

S
BRU

\2026\26070-Celski 4th Ave Hermiston Project\DWG\26070SP01.dwg - Sep 21,2026 - 04:35pm - egi

NOT FOR CONSTRUCTION

(E)FENCE

N00°16'43"W 130.00'

SS

B

/

PARCEL 2
(CITY OF HERMISON)
PP 2007-44

2'∅

N89°41'13"E 200.00'

/

S00°16'43"E 304.92'
(E)FENCE

APPROVAL

A

DESIGN

ELG 09/21/26

CHECKED

PTK 09/21/26

APPROVED PTK
SCALE:

10'

20'

40'

A

AS NOTED

CADFILE: 26070SP01

CALL 811
2 BUSINESS DAYS
BEFORE YOU DIG
0'

09/21/26

JOB No.

REV.

26070

.

60'
DWG. No.

SP01

1" = 20'

A1 CITY SITE PLAN
SCALE: 1" = 20'-0"

1

2

3

4

5

6

7

47

Section 10, ItemA.

Mayor and Members of the City Council

STAFF REPORT
For the Meeting of October 12, 2026
Title/Subject
Second Meeting - Ordinance No. 2385 – Amend Article V of Chapter 33 titled Initiative and
Referendum
Summary and Background
The City Council met on September 28, 2026, and was asked to consider a proposed
ordinance that amends Article V of Chapter 33 of the Hermiston Municipal Code to establish a
residency requirement for persons filing initiative or referendum petitions for City measures.
The amendment clarifies that a person filing such a petition must be a resident of the City of
Hermiston.
Oregon Constitution, Article IV, section 1(5), reserves the initiative and referendum powers to
the qualified voters of each municipality as to all local, special, and municipal legislation.
Section 33.60 of the Hermiston Municipal Code provides that, except as otherwise provided in
Chapter 33, the general laws of the State of Oregon concerning initiative and referendum apply
to any initiative or referendum of a City measure.
ORS 250.265 through 250.346 establish the procedures for initiative and referendum petitions
relating to city measures. Under ORS 250.265, before circulating a petition to initiate or refer a
city measure, the petitioner must file a prospective petition with the city elections officer. The
statute designates chief petitioners but does not specify residency or other qualifications for
the person filing the prospective petition.
Currently the only additional requirement related to initiatives and referendums is HMC 33.62
which establishes certain filing deadlines and procedures for initiative petitions.
Chapter 33 does not expressly identify who is qualified to file an initiative or referendum for a
City measure. ORS 250.005(2) defines "elector" as "an individual qualified to vote under
section 2, Article II, Oregon Constitution.
Requiring a person filing an initiative petition or referendum petition for a City measure to be a
resident of the City of Hermiston promotes local accountability and ensures that those seeking
to place measures on the City ballot have a direct stake in the outcome of such measures. It
will ensure that local legislation is initiated and referred by members of the community who will
be governed by the resulting enactments and who are directly affected by City policies. The
48

Section 10, ItemA.

proposed resident requirement will apply only to the person filing the prospective petition with
the City elections officer, not to petition circulators or signers.
At the September 28 meeting, the city council heard from staff, asked questions, and provided
comments regarding the amendment. The council was not unanimous in a roll call vote to
approve the proposed ordinance at a single meeting. The council did vote unanimously to
move the proposed ordinance to a second meeting for possible approval at the next meeting.

Tie-In to Council Goals
N/A
Fiscal Information
N/A
Alternatives and Recommendation
Alternatives
1. Adopt Ordinance No. 2385
2. Amend Ordinance No. 2385
3. Reject Ordinance No. 2385
Recommended Action/Motion
Motion to approve Ordinance No. 2385 as presented
Submitted By:
Richard Tovey
Byron Smith

49

Section 10, ItemA.

ORDINANCE NO. 2385
AN ORDINANCE AMENDING ARTICLE V “INITIATIVE AND REFERENDUM” OF
CHAPTER 33 OF THE HERMISTON MUNICIPAL CODE
WHEREAS, Article V of Chapter 33 of the Hermiston Municipal Code is titled Initiative
and Referendum; and
WHEREAS, §33.60 of the Hermiston Municipal Code provides that, except as
provided in Chapter 33, the general laws of the state concerning initiative and referendum
apply to any initiative or referendum of a city measure; and
WHEREAS, Chapter 33 further establishes filing deadlines for initiative petitions but
nothing regarding who may file an initiative or referendum of a city measure; and
WHEREAS, the City Council finds it necessary to define the qualifications of a
petitioner to file an initiative petition or referendum of a city measure; and
WHEREAS, the City Council finds that requiring a person filing an initiative or
referendum for a city measure to be a resident of the City of Hermiston promotes local
accountability and is in the best interest of the City. Now therefore,
THE CITY OF HERMISTON ORDAINS AS FOLLOWS:
(New language is in red and underlined and repealed language has a line through it.)
Section 1. Article V of Chapter 33 of the Hermiston Municipal Code is amended as
follows:
ARTICLE V INITIATIVE AND REFERENDUM
§ 33.60 ADOPTION OF STATE LAW.
Except as provided in this chapter, the general laws and administrative rules of the state
concerning initiative and referendum shall apply to any initiative or referendum of a city
measure.
§ 33.61 FILING DEADLINE FOR INITIATIVE PETITIONS.
The date the first signature of an initiative petition is affixed shall be no later than 90 days
after the issuance of the ballot title for the measure, and the initiative petition shall be filed with
the City Recorder for certification and approval no later than 180 days after the date the first
signature on the petition has been affixed.
§ 33.62 CHIEF PETITIONERS FOR INITIATIVE, REFERENDUM TO BE ELECTORS
OF THE CITY OF HERMISTON
No petition for initiative or referendum filed with the city shall be valid unless all Chief
Petitioners are qualified electors under state law and reside within the city at the time of filing
ORDINANCE NO. 2385

Page 1 of 2
50

Section 10, ItemA.

and remain qualified electors and a resident of the city through the entire initiative or referendum
process, including the election.
Section 2. All other provisions of the Hermiston Municipal Code remain unchanged and in
full effect.
Section 3. The City Recorder is hereby authorized to correct any scrivener’s errors and to
conform the revisions to the Hermiston Municipal Code with appropriate numbering.
Section 4. This ordinance shall take effect on the 30th day after its adoption.

ADOPTED by the Common Council this 12th day of October 2026.
SIGNED by the Mayor this 12th day of October 2026.

____________________________________
Doug Primmer, Mayor

ATTEST:
______________________________________
Lilly Alarcon-Strong, CMC City Recorder

ORDINANCE NO. 2385

Page 2 of 2
51

Section 11, ItemA.

Mayor and Members of the City Council

STAFF REPORT
For the Meeting of October 12, 2026
Title/Subject
2026 Quarterly Council Goal Setting Update.
Summary and Background
Attached is a report including status updates on council goals formulated in a 1.5-day retreat
held January 22-23, 2026 at Hermiston City Hall.
Tie-In to Council Goals
N/A
Fiscal Information
N/A
Alternatives and Recommendation
No action needed provided as information only.
Submitted By:
Byron D. Smith

52

Section 11, ItemA.

Hermiston City Council Goals 2026

2040 Vision Goal Area

rev. 10/7/2026

Focus Area

Action

Council
Prioritization

Timeline (1-2
Project Lead

years, 3-4 years,

Status

5+)

Growing + Prosperous
1.1 Update downtown Urban Renewal
Plan to improve downtown core
1.2 Pursue additional retail investments
Economic Development: Expand,
strengthen, and diversify the local
economy

and educate on retail efforts and
processes

Planning

1 -2 years

Presentation from Retail Strategies
Planning/City Manager's
Office

1-2 years

Downtown Strategies building a
Held Stakeholder meeting with

City Manager's Office

1-2 years

City Manager's Office

1-2 years

In Process

1-2 years

Scheduled for Adoption Nov. 9

1-2 years

In Process

1-2 years

Evaluating various projects.

3-4 years

In Process

Hermiston
1.4 Partner with Chamber to evaluate
how the City can support a workforce

in September.
plan with Downtown District

1.3 Explore/ evaluate strategies to
increase tourism and entertainment in

Underway

EOTEC Advisory Committee.

pipeline
1.5 Complete Transportation System Plan

Hermiston is cultivating a vibrant

Update (will include sidewalks)

community with a thriving economy,

1.6 Update the City's sidewalk plan and

assortment of housing opportunities, highquality education, and support services to

Transportation: Improve mobility and

preserve the small-town feel

transportation

prioritize student travel
1.7 Continue to pursue safe streets grant
1.8 Work with regional partners to
improve transportation access and
circulation
1.9 Attract market-rate rental housing
developments to increase middle

Housing: Increase senior, workforce, and housing inventory
1.10 Continue to fund infrastructure
affordable housing, market rate rentals,
improvements to support new housing
and prevent people from becoming
and other developments
unhousesd
1.11 Evaluate a commercial/retail
incentive opportunities

Hermiston ensures a healthy and
safe environment for all through

Wellness: a healthy community

the HAWC + determine next steps with

2.2 Complete street light study

care, collaboration with community Public Safety: Improve traffic safety and
attractive built environment

City Manager's Office
Planning/City Manager's
Office
Planning/City Manager's
Office
Planning/City Manager's
Office
Planning/City Manager's
Office
City Manager's Office

Ongoing

align public safety resources with
community needs

2.3 Develop a security plan for parks +
trails (cameras, lighting, etc.)
2.4 Implement red light photo
enforcements along Hwy 395

Office

Hub development.

In Process

Ongoing

In Process
Report and recommendations

Parks and Recreation/City
Manager's Office

Working on projects around The

Ongoing

1-2 years

Planning/City Manager's

opportunities, high-quality health
partners, and a healthy and

Office

2.1 Complete the feasibility analysis of
partnerships and securing land

abundant recreation and wellness

Planning/City Manager's

1-2 years

Parks and Recreation/City
Manager's Office

1-2 years

Police/City Attorney

1-2 years

scheduled for October 26 meeting.
In Process
In Process
Final RFP draft preparing to be
released.

53

Section 11, ItemA.

Hermiston City Council Goals 2026

2040 Vision Goal Area

rev. 10/7/2026

Focus Area

Action

Council
Prioritization

Timeline (1-2
Project Lead

years, 3-4 years,

Status

5+)

Sustainable
3.1 Conduct public engagement to

Preparing Historic Register

identify use scenarios, evaluate all

1-2 years

options, and finalize plan for Carnegie
City Facilities: Public facilities that meet Building
the community needs of today and the
future

3.2 Finalize water allocation for EOTEC

City Manager's Office

direction on next steps related to digital

in community infrastructure and the built

infrastructure
3.4 Develop five-year financial plan to

environment to support the critical needs

support sustainable staffing and

of daily life and sustainable growth for the

operations

future
Fiscal: Maintain service levels, strengthen
internal operations to support
sustainability, accountability, and
transparency

3.5 Finalize records digitization
3.6 Evaluate Senior Center partnerships

City Manager/EOTEC

1-2 years

City Manager's Office

1-2 years

City Manager/Finance

1-2 years

City Manager's Office

1-2 years

to align with the needs of the aging
community
3.7 Evaluate partnership with the Greater
Hermiston Chamber to align with

Parks and Recreation/City
Manager's Office
City Manager's Office

business needs
3.8 Study potential general fund projects

City Manager's

and funding streams

Office/Finance

improvements and finalizing
operational agreement.

3.3 Finalize data and seek Council
Hermiston responsibly plans and invests

Application, Planning infrastructure

1-2 years

1-2 years
1-2 years

2027 Irrigation Year will be first with
all city owned rights.
Individual reports to council
complete.
In Process
Part-time records clerk scanning
and organizing digital records.
Updated agreement approved with
the Senior Board.
Updated agreement nearly
complete.
In Process

Connected + Engaged
Hermiston provides opportunities for
strong social connections, celebrates
diversity, and honors our historic and

Community Engagement: Improve
engagement and connection with the
community

cultural heritage to foster a welcoming

Good governance: Evaluate core

and inclusive community for all

governing documents and processes

4.1 Develop a communication and
engagement plan identifying goals and

City Manager's Office

1-2 years

City Manager's Office

1-2 years

metrics
4.2 Finalize charter review

Initial draft completed and under
review
Proposed Changes on November
2026 ballot.

54