The Hermiston City Council approved a resolution this week authorizing the Eastern Oregon Trade & Event Center Board to enter into financial agreements to help fill the funding gap needed to complete the facility.
The council voted unanimously on Monday night to give approval to the EOTEC board to take out loans of up to $1.5 million. Hermiston City Manager Byron Smith said both the city and Umatilla County have agreed to pay back the loan if it became necessary. The EOTEC board have been seeking individual and corporate donations to fill the $2 million funding gap. Approximately $600,000 has been donated so far.
The loan of up to $1.5 million will be used so large donors can spread their contributions out over two to five years.
Smith said the city is not worried that it would ever have to make good on the pledge to pay back the loans.
“We feel very comfortable the city will not ever have to act on that full faith and credit,” he said.
