State authorizes $4 million in connector road funding

Investment will open property for development

One of the biggest challenges to the development of property in Pendleton is access to flat land. Funding from the State of Oregon and Oregon Department of Transportation will help a project move forward to open up 250 acres of land.

“Building more housing has been one of Pendleton’s top goals for the past seven years,” Mayor John Turner said. “In 2024, we submitted to the Legislature a detailed funding request for help with building a road in eastern Pendleton that would open about 250 acres for new housing projects.  I am pleased to report that on 4 March, the Legislature approved SB 1530, which includes $ 4 million for this road and housing project in Pendleton.  This is a huge victory for the city and I want to thank Senator Hansell and Representative Levy for their enthusiastic support for this project.”

Commonly known as the Rees-Goad Project and the Highway 11/30 Connector Road, the City has been working for a number of years to build a new street that would link Oregon Highway 11 and Oregon Highway 30 through a large parcel of undeveloped property in southeast Pendleton near Interstate 84. The new street and related water line will open up 250 acres of land for development.

This week, the Oregon Legislature approved Senate Bill 1530, part of a package to invest $376 million in infrastructure and housing. Among the items in that bill is a one-time $4 million General Fund appropriation to support constructing this arterial road in Pendleton. The funding will be allocated to ODOT for distribution to the City, and it will cover a large portion of the cost to build the connector road.

The estimated cost to complete the entire connector road project is $10 million. The City previously received $1.5 million in federal funding for the Highway 11/30 Housing Expansion project in 2023, and the remaining expenses will be funded through the City’s Water Fund capital outlay and State Revolving Funds. Some City costs will also be recouped through the East End Reimbursement District, which will allow future development to reimburse the City for some of the expenses in building the road and necessary water system upgrades.

The City of Pendleton has received interest from developers looking to provide workforce housing and commercial development in the property once it is accessible.

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- March 8, 2024