Several community members attended the Madras Aquatic Center Recreational District Board of Directors July 24 work session, nearly all concerned that the pool may have to close in light of recent financial developments.
On July 17, taxing districts in Jefferson County that received tax funds from Portland General Electric (the county's largest tax-payer) received a letter from County Assessor Ray Soliz that PGE had substantially overpaid its taxes due to a reporting error from PGE and later caught by the Oregon Department of Revenue. The error led to PGE paying $1.8 million in taxes more than they should have. The county's tax districts that include PGE are now required to refund the overpayment.
First on the agenda during the July 24 meeting was the explanation of the recent tax adjustment for PGE’s overpayment of taxes which the district must repay in November. Soliz's son Gabriel Soliz, Jefferson County finance director, displayed a spreadsheet showing the tax revenue impact, explained the reason and took questions.
Because the MACRD has no reserves to pay back their portion of the tax refund, and according to MACRD Executive Director Courtney Snead, the repayment would leave the district with a budgetary shortfall this year of $211,000.
The MACRD has three current streams of tax revenue to which PGE taxes are allocated: for operations, for a secondary operation levy, and for the construction bond.
The MACRD budget for 2024-2025 fiscal year already contained a funding gap of $65,000, noted Snead, and management had quickly applied for grants amounting to $138,000, which they hoped to receive and cover that projected deficit.
However, with the PGE tax adjustment and required repayment of $146,000, in addition to the $65,000 original projected loss, the board does not expect to be able to make up the total projected deficit of $211,000 with grant funds and will meet again August 14 to review a revised budget.
The board work session invited public comment as the board sought direction for proceeding under this financial burden. Two hours of public comment poured in as a total of 17 people offered suggestions for garnering additional funds for the facility or making a case for keeping the pool open. Of the 17, 15 testimonials were positive about the facilities and staff. Several were brought to tears concerned that the MACRD would have to shut down aquatic programs. Many commented they need water aerobics or lap swimming to stay mobile and maintain their health. Others reminded the board why the pool was opened – to teach kids to swim and prevent drownings in our lakes and canals.
The board thanked everyone for their comments, then convened their regular monthly meeting at 8 p.m. Most noteworthy on the agenda was the item to authorize the executive director to initiate staff layoffs, if necessary, effective August 31, which was approved by the board. The facility currently has a budgeted headcount of 13.25 full-time-equivalent persons.
Their final construction bond payment this year is $790,400, regardless of whether the pool is open or closed.
The August 14 board meeting will consider four options on how to proceed given the recent tax refund due:
Option A: Limited aquatics with land-based programs
Option B: Land-based programs only — no aquatics
Option C: MHS swim team and tackle football only — allows retention of lifeguards and pool operators.
Option D: Tackle football only — no aquatics
The options above require different staff levels, but could drop to 3.5 FTE under option C.
Other tax districts that will have to refund their share of the PGE overpayment include county government and the county jail, School District 509J, the Educational Service District, Central Oregon Community College and the Jefferson County Library.
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