Shortage of business-zoned land a problem for local economy.

Byline: The Register-Guard

An adequate supply of commercial and industrial land on which our local businesses can expand and new businesses can locate is essential to a healthy local economy.

Currently, Eugene is experiencing a serious shortage in land supply, and that threatens the vitality of our community's future.

That's why the issue remains a top priority for the Eugene Area Chamber of Commerce.

We're committed to finding a solution that fits the values of our community, and this will require a good understanding of state land use laws, current land supplies and the steps needed to reach a solution.

Oregon statewide planning Goal 9 requires incorporated cities to inventory commercial and industrial lands within their urban growth boundaries. Moreover, it requires cities to maintain inventories of commercial and industrial lands sufficient to accommodate 20 years of growth.

Eugene's urban growth boundary has remained virtually unchanged since it was established in 1980.

In 2006, the city of Eugene partnered with the city of Springfield, Lane County and the Lane Metro Partnership to undertake a portion of the work required under Goal 9.

In an "Analysis of the Supply of Commercial and Industrial Land," published in September 2006, experts at ECONorthwest reported that:

A total of 1,925 acres of vacant commercial and industrial land exist in Eugene. Of that, only 597 acres are unconstrained. Constrained lands may include those in floodplains, wetlands and with steep slopes making it more difficult to develop.

Of the 1,925 acres of vacant commercial and industrial land in Eugene, approximately 900 acres are in government ownership, including large parcels in west Eugene that are owned by the Bureau of Land Management and other government agencies for wetlands preservation and restoration. These parcels are never to be used for their intended purposes.

Most of the remaining land in the inventory consists of smaller, disjointed parcels.

To put these numbers in perspective, a 2002 Chamber-sponsored study of commercial and industrial lands estimated that approximately 1,350 acres of industrial land were absorbed during the decade of the 1990s.

By any measurement we are on the brink of running out of job-producing land.

With a relatively strong local economy, some may wonder why commercial and industrial land supplies are such an important issue. Here's why:

Increasingly there isn't room for local companies, many of which started and grew up in Eugene, to expand, forcing some to leave Eugene. At the same time, exciting new employers - who might otherwise consider Eugene as a place to do business - pass us by because there are limited or no sites for their operation.

And, on the residential side, not addressing the land supply issue will contribute to the declining number of families living here in Eugene, and thus further reductions in Eugene School District enrollment and bring on more school closures.

We'll see significant limitations to our tax base. In Oregon, the primary means for a city to create new resources are growing the tax base or adding new taxes and fees. New investment means more resources for needed public services.

Great communities have vibrant economies.

And while things are good for us today, if we do not have the courage to have some thorny discussions very soon that lead to a responsible solution to the challenge of adequate land supply, I think that will change. In order to move the community forward in addressing this challenge, three things must happen:

City leaders must acknowledge that providing adequate lands for job-producing purposes is important to the future livability of the community.

The city must perform a commercial and industrial lands demand analysis that determines the amount of land needed to meet the community's economic goals.

The city must use the information from the demand analysis to craft a sensible solution that fits for Eugene.

Dave Hauser is the president of the Eugene Area Chamber of Commerce, a 1,200-member organization dedicated to promoting a healthy local economy.