ODS COMPLEX TO INCLUDE HYGIENIST SCHOOL

Published 12:00 am Tuesday, December 9, 2003

By Bill Rautenstrauch

Observer Staff Writer

Plans have solidified for a downtown La Grande complex that will combine a city library, a claims and customer service office for ODS Companies, and a school for dental hygienists operated by ODS, Eastern Oregon University and Oregon Institute of Technology.

The partners in the project which is to go up on the old Safeway site at Fourth Street and Adams Avenue went public with their plans Monday afternoon, prior to a project work session hosted by the city council Monday evening.

"This project has been two years in the making and, in its latest form, represents a wonderful combination of business, education and a new library, all in a downtown environment," said La Grande Mayor Colleen Johnson.

The city and ODS have been trying to come to some sort of agreement to develop the property for some time, but funding issues have blocked the way.

ODS, which purchased the parcel from Safeway for about $600,000 and was reimbursed about half that by the city, at first proposed constructing a building that would house a claims and customer-service office plus retail space.

However, businesses to lease the retail space could not be found.

ODS, which currently has offices in the former Verizon building downtown, considered pulling out of the development deal altogether.

"We thought for a while the project was dead," Johnson said Monday night.

ODS heard and at first rejected a proposal from local dentists, EOU and OIT to add the dental hygienist school to the ODS building, but later changed its mind. The ODS Board of Directors approved the plan last month.

"We see this as a unique opportunity to help the City of La Grande with its longtime goal of building a new library, while at the same time meeting important goals of our own," said Robert Gootee, president and CEO of ODS.

Several important details need to be worked out before the project gets the final green light.

As noted at Monday’s work session, the city needs to decide what size to make the library.

Two designs have been proposed. A 14,700-square foot building will cost about $3.3 million, and a 19,000-square foot building $709,500 more.

The La Grande Library Commission, present at Monday’s work session, was unanimous and adamant in its contention that the smaller building would be inadequate for the community’s needs.

There is also the matter of development costs for the adjacent ODS building and hygienist school. In order for that project to go forward, the city has agreed to pay $750,000.

Adding in other costs of moving and equipping the library, the city which has secured $3.3 million in library project funding will need to raise between $800,000 and $1.5 million more, Johnson said.

The $3.3 million in secured funding includes a $2 million Oregon Economic and Community Development Department loan that the city may or may not use. That loan is backed by an anonymous bequest to the library project.

An additional $750,000 in OECDD loan money has been set aside for the ODS portion of the project.

Other library project funding sources include sales of assets, money from the La Grande Library Foundation, reserved funds and grants.

Metropolitan Group, a Portland-based fundraising agency, has submitted a proposal to the city and may take charge of fundraising activities if the council authorizes it. Metropolitan Group would raise the money mainly from grants and gifts.

The organization has been involved in fundraising for numerous library projects around Oregon, including one recently in Milton-Freewater.

The group raised about $1 million for that project, Johnson said.

Including a $12,000 feasibility study, the organization estimates a $17,000-$19,000 charge for raising funds for the library; it would charge about $12,500 more for fundraising for the dental hygienist school.

Two local dentists, James McMahan and Patrick Nearing, spoke in support of the hygienist school at Monday’s work session.

"This is a unique opportunity," McMahan said. "There aren’t very many schools like it in the country."

Nearing was also enthusiastic. "A student attending it will be making a great investment. They will spend $20,000 to $25,000 on tuition, and when they get out they’ll be earning $60,000 a year," he said.

The school would serve 24 students, beginning in the fall of 2005.

ODS would oversee clinical aspects of the program, EOU would be involved in prerequisites, and OIT the hands-on part of the training.

Johnson noted at the close of Monday’s work session

that the library/ODS project will do much for downtown revitalization.

"When you put this project together with the Telos project (to begin at the old Bohnenkamp site on Adams Avenue next year), $10 million is being invested in downtown at once. That hasn’t happened in the last 50 years," the mayor said.

No actions are taken at city council work sessions.

Johnson said a next step would be to meet with Metropolitan Group and get more details on fundraising.

According to a tentative schedule released this week by the city, final project design will be finished in April with groundbreaking to follow.

The project would be completed in mid-2005.