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Lawmakers advance bill meant to support housing infrastructure in smaller cities

A small building. A sign in front says "Adair Village Community Building." There is a flagpole in front of the building, and trees to the side and rear.
Chris Lehman
/
KLCC
The Adair Village municipal building, as seen on April 11, 2025.

Oregon lawmakers are considering a bill aimed at creating affordable housing in smaller cities, such as Adair Village.

The bill would extend the Oregon Business Development Department’s residential infrastructure grant program, a program centered around supporting infrastructure projects that help build more housing. If passed, it would fund development projects in small cities like Wilsonville, Grants Pass, and Burns.

One potential project is expanding the wastewater treatment plant in the Benton County town of Adair Village. According to Rep. Sarah Finger McDonald, D-Corvallis, Adair Village has developers ready to build housing units but are limited by an insufficient wastewater treatment facility.

“They really want to grow. They have land within their urban growth boundary that's ready to be built on,” said Finger McDonald.

Projects like these are meant to help expand housing options, she said.

“As a state, we've been talking about that exact thing being something we want to invest in,” said Finger McDonald. “I feel like this bill can stand out because every project included in the bill, including the Adair Village project, just meets those state needs in a very clear way.”

In a written testimony in support of the bill, Finger McDonald said an updated treatment facility would help create 800 new building units, and could serve as potential housing for employees of the Corvallis School district, Oregon State University, and Good Samaritan Hospital.

The House Committee On Housing and Homelessness approved the measure without opposition last week. It awaits a vote in the legislative budget-writing committee.

Sajina Shrestha joined the KLCC news team in 2025. She is the KLCC Public Radio Foundation Journalism Fellow. She has a masters in Journalism from the Newmark Graduate School of Journalism, CUNY, where she studied audio and data journalism. She previously interned at Connecticut Public and Milk Street Radio. In her free time, Sajina enjoys painting and analyzing data in Python.
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