FAQs

Urban Renewal

Does urban renewal affect property tax bills?

The formation of an urban renewal district does not result in new taxes or an increase in existing taxes. In fact, an urban renewal agency cannot impose taxes at all. Bonds finance urban renewal activities. These bonds are repaid from the property taxes generated by the increase in value, over time, of properties within the boundary. A property taxpayer pays the same amount in taxes with or without urban renewal. If urban renewal went away, property taxes would not be reduced.

Does Wilsonville's urban renewal agency offer grant or loan programs?

Currently, the agency does not offer any grant or loan programs.

How is urban renewal funded?

Urban renewal is funded by tax increment revenue. The private investment attracted by public urban renewal investments results in increased property values within the district. These increased property values bring in greater property taxes within the district, which are then used to pay off bonds sold to finance the revitalization efforts. This unique funding mechanism is called tax increment financing.

What has urban renewal accomplished in Wilsonville?

In the East Side District, assessed value has increased over $300 million since it was established in the early 1990s. Projects included:

  • Wilsonville Road interchange improvements
  • Wilsonville Road improvements from the west city limit to Town Center Loop West
  • Improvements to Parkway Avenue, Main Street, Boones Ferry Road, Bailey Street, and construction of Memorial Drive and Courtside Drive - all in support of local development
  • Contributions to assist public improvements at the high school and primary school
  • Town Center and Murase Plaza park improvements
  • City Hall
What is blight?

Blight consists of physical and/or economic conditions within an area that cause a reduction of, or lack of, proper utilization of that area. Due to our farming history here in Wilsonville, blight has predominantly been defined as lack of infrastructure to serve development.

What other resources are there to fund new roads and such besides urban renewal?

Specific public improvement projects can be paid for by local, state and federal grants, private investment and donations, city general fund allocations, and other sources of public financing. Each of these options has its place. Competition for projects funded by the city's general fund is intense. Grant money is similarly competitive, time consuming to obtain and usually arrives with strings attached. Most often grants require a local government to match the grant funds with local revenues.

Passing a local option levy or general obligation bond to fund such improvements increases everyone's property taxes. Urban renewal or tax-increment financing is a reliable financing tool that has been used for more than 30 years to fund public improvements with little impact on the taxes paid by existing residents and businesses.

What will urban renewal accomplish in the future in Wilsonville?

Most of the currently approved projects (West Side Plan area) will improve the transportation grid in Wilsonville. In addition to new street connections, improvements are also planned for bike and pedestrian connections, utilities, sidewalks, curbs, storm sewers and related infrastructure. 
Primary projects in the plan include:

  • A Barber Street extension to serve as an additional east-west connector north of Wilsonville Road
  • A Kinsman Road extension to serve as a new north-south connector between Wilsonville Road and Boeckman Road
  • A second route to connect Old Town to Wilsonville Road west of the railroad tracks
  • Development of new parks, playfields and open space
  • Purchase of a new elementary school site
  • The Boeckman Road extension to Tooze Road for which the city has already obtained $6 million in state and federal grants
Why can't private enterprise do it alone?

Community development is usually accomplished by forming a partnership of public and private enterprise. Public funds are used to lay the foundation and provide the pre-conditions that are necessary for private developers to be interested in and capable of investing their financial resources.

Why does an urban renewal line item appear on property tax statements?

The urban renewal line item shown on tax statements received by property owners within the City of Wilsonville is not a separate assessment or additional tax. It represents the Urban Renewal portion of the division of taxes that corresponds to the allocation to the city’s Urban Renewal Districts.

Why is urban renewal important?

Urban renewal is one of the most effective ways to breathe life into areas that have conditions which act as a barrier to new investment by private enterprise.