Summary

Four ordinances passed quickly at the start of the session. An emergency ordinance (Doc. 2026-218) corrected a clerical error in the sewer and stormwater rate ordinance approved last month: the 9% rate increase had been presented and approved in May but the numbers were not updated in the ordinance's Exhibit A. No new increase was imposed. Second readings also passed for two cable franchise ordinances — one authorizing a Bureau of Planning and Sustainability cable franchise fund and one updating city code to reflect the dissolution of the Mount Hood Cable Regulatory Commission — and for Councilor Novick's ordinance eliminating the sandwich board sign permit requirement for businesses.

The bulk of the session was the continuation of the Lloyd Center land use appeal hearing (LU 2025-091308CCMSAD). Approximately 30 remaining appellant-side witnesses testified, centering on the loss of the ice rink, the mall's role as a community gathering space and cooling center, concerns about carbon waste from demolition, and skepticism about whether development will actually occur given current market conditions. Urban Renaissance Group's Tom Kilbourne and ZGF Architects' Nolan Lenhart then presented the master plan's urban design framework — reconnecting the street grid, creating six acres of public open space, and establishing a flexible framework for housing, retail, and entertainment. Legal counsel Christy White argued that design guidelines cannot be used to mandate specific uses such as an ice rink, citing prior city council findings in the River Place master plan case. Supporters of the applicant included Metro, SEIU Local 49, the Irvington Community Association, the Lloyd Enhanced Service District, the Northeast Broadway Business Association, and various real estate and business interests. In rebuttal, appellant attorney Jeff Kleinman argued that mandatory goals and policies — not just guidelines — were cited and not properly addressed, and the Save Lloyd Campaign presented conceptual adaptive reuse diagrams showing the possibility of retaining the central mall section while redeveloping anchor store sites for housing.

During brief council questions, city attorney Lauren King confirmed the zoning code does not allow remand to the Design Commission. Councilor Smith asked whether the applicant would include an ice rink in new plans; legal counsel said the applicant would negotiate freely with any ice rink operator but cannot be required to include one through the land use process. Council will reconvene to deliberate and decide the appeals on July 8, 2026 at 10:00 AM. The TNC Driver Resource Center item and RECAP Package 11 were not heard and will be rescheduled.