| Oct 5 09 -- Oct 28 09 Tillamook County Hearing 9/24 on Port's Resort, Golf Course Project |  The Port of Tillamook Bay is proposing to site a major destination resort on 772 acres of its industrial park just a couple of miles south of the town of Tillamook. Here are the details.
In 2001, Tillamook County approved a Conditional Use Permit (CUP) for a golf course and convention center on the Port's industrial land. Unfortunately, those non-industrial uses are an allowed conditional use under the Industrial zone that covers the land. The CUP has been extended at least twice now. A hearing about its continued viability was held before the Tillamook County Planning Commission on September 24, 2009. The planning commission will be making a decision in the next month.
 Conference Center, centerpiece of proposed Bunkers Resort and Golf Course.
How do the Port of Tillamook and the Bunkers Group propose to pay for this massive project on forested land nowhere near the ocean, or even near Tillamook Bay? Through public money. The Port of Tillamook may receive approximately $44 million from the Federal Emergency Management Agency (FEMA), because the Port decided not to repair its coast range railroad line after the damage caused by last year's storms. The FEMA money may be spent on alternate projects under FEMA's policy for such projects. The Port Commissioners had voted to turn about $20 million of that FEMA money to building infrastructure for the proposed resort.
However, at their meeting in August, the Port rescinded their decision to use the FEMA money to help fund the Bunkers' resort. Now Bunkers is working on a new financing plan (not yet revealed) that will not include the FEMA money. They are also working on getting the myriad permits needed — including from the Federal Aviation Administration, as the site is near the local airport, and the FAA is very concerned about wildlife issues that could interfere with the planes.
But this is not the end of the story. In order to fully finance the project, Bunkers needs far more money than $20 million. Bunkers may propose to set up a public-private partnership with the Port to sell $110 million of Build America bonds to finance the entire project. The catch: the bonds must be sold by 2010 to be valid, which is not far away; and Bunkers has no other financing in place to date.
Tillamook County Department of Community Development has decided that the CUP has dragged on long enough — eight years! — and the Director recently ruled that the project must show full financing or the CUP would be voided, as of July 13, 2009. The Port and the Bunkers Group appealed, and there was a hearing before the Tillamook County Planning Commission on September 24 about whether the proponents are vested in the permit through their costs and expenditures, and therefore have the right to continue. The PC expects to decide on the resort CUP extension by November 12.
Oregon Shores considers this project a massive waste of public money and time. The Port would likely end up holding the bag if the bondholders default, and could be liable for tens of millions of dollars. The central problem is that the resort is completely unsuitable for this property. This is an area that heavily serves the dairy industry, and it smells like cows and dairy products; it is on an industrial park, which is dedicated to uses not at all compatible to a resort; and the land has no outstanding values of the sort necessary for a resort, nor a nearby audience who would patronize it.
For further information:
September 23, 2009: CRAG testimony supporting decision to let CUP expire
2009-2000: Archive of related letters from/to Port of Tillamook
Excellent map of proposed Resort and Golf Course
August 4, 2009: Tillamook Headlight-Herald article by LeeAnn Neal
June 27, 2009: Tillamook Community Development Decision that Bunkers Permit is Void
August 22, 2008: FEMA Policies Regarding Alternate Projects
 Contact: Cameron La Follette, Land Use, (503) 391-0210, or EMAIL
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