Posted: Wednesday, October 1, 2008 12:00 am
Mayor Ken Toombs and City Administrator John Hitt told the crowd at the Chamber Forum Lunch on Friday that Lebanon's financial situation is sound and the future is optimistic.
"God's favor is upon Lebanon," Toombs said. "Each year Lebanon grows a little stronger."
Inquiries continue to come in from businesses looking for a new location. Over the past several months, the city has been on the initial list for a half dozen projects. Of those, three remain active and Lebanon is on the short list for "Project Grizzly," which Hitt described as a distribution center smaller than Lowe's. He expects a decision early in 2009.
The city owes its consideration by Project Grizzly to its relationship with the site selector. Toombs said the selector insisted Lebanon be considered.
"Relationship are crucial," he said.
"The city is known for its ability to establish and maintain healthy relationships."
Still, Toombs said development activity has slowed down a bit, which has allowed the city to get caught up on bigger projects, such as the Samaritan medical campus.
New residential construction has dropped from the last few years. Single family building permits were 99 in 2003, 127 in 2006, 90 in 2007 and 15 so far in 2008. Still, that's more than the one single family home permit issued in 1982, Hitt said.
Overall property values in the city have risen from $627 million in 2003 to $1.046 billion in 2007, Hitt said, citing figures from the Linn County assessor.
"Other cities have not enjoyed as much increase," he said.
The city of Lebanon's financial position is good, Toombs and Hitt said. Its general fund contingency has risen to more than $1 million in the past five years, near to fulfilling a city council goal of 10 percent annually in unencumbered funds. The city also has more than $15 million in earmarked funds set aside for capital projects and future equipment purchases, Hitt said.
"I can tell you Lebanon is solid," Toombs said.
The city worked diligently on a five-year council goal to build a 10 percent contingency fund.