Benton County eyes industrial future near Kennewick

Three years after Kennewick tried and failed to bring land for industrial development into the city’s urban growth area, Benton County is reviving the dream of attracting major employers to the Interstate 82 corridor.

This week, the commission voted unanimously to pursue $200,000 in grant money to begin recruiting industrial and light manufacturing employers to South Adair Road. The road parallels the freeway near the Locust Grove Road/Highway 397 freeway exit in unincorporated Benton County.

“We’re not ready to turn dirt. We’re ready to turn pages,” said Adam Fyall, the county’s sustainable development manager.

Benton County is one of 16 local jurisdictions eligible to apply for the rare Hanford Area Economic investment Fund dollars. Competition for the available $250,000 will be fierce, with applications expected from the cities of Pasco and Kennewick, as well as local port districts.

But if the county prevails, it will match the grant with $100,000 in rural economic development money to bring in a consultant to analyze the need for industrial land and to create an industrial master plan of the needed roads and utilities for the area.

The Adair Road industrial vision is in its infancy. Fyall said it could cover a few hundred acres, though the exact size is unknown.

Land in the area is zoned for agricultural use, but it’s part of the state’s conservation reserve program.

It is privately owned and not being used.

It’s also not in Kennewick’s urban growth area, but the Washington Growth Management Act allows industrial use in unincorporated areas, Fyall said.

The I-82 corridor along Kennewick’s western flank has long been viewed with an eye for industrial development because of its easy access to the interstate.

In 2014, the county approved expanding Kennewick’s urban growth area by 1,263 acres south of I-82, a little west of the Adair Road area. The city wanted the kinds of large parcels that attract large employers.

The expansion faltered after Futurewise, a Seattle advocacy group, appealed the decision to the Washington Growth Management Hearings Board. Futurewise argued the decision violated state law and the area was much too large for Kennewick’s expected population growth.

The board agreed with Futurewise and the city opted not to appeal. The subject has been an ongoing topic of conversation, but there has been little public progress toward bringing the area into the urban area.

In the intervening years, Kennewick has watched Richland and Pasco secure lucrative investments in warehousing and manufacturing.

This year alone, Pasco welcomed an AutoZone warehouse and distribution center near King City, and Richland welcomed an expansion that doubled Lamb Weston’s french fry production.

The companies invested a combined $250 million in the community and generated 350 direct jobs.

Fyall acknowledged land is available for industrial development in the Tri-Cities, but pointed out that Adair Road is uniquely well situated near city amenities and the Locust Grove freeway interchange.

Carl Adrian, president and CEO of the Tri-City Development Council, said industrial land along I-82 would be a welcome addition to the region for its easy access to the freeway. TRIDEC supported Kennewick’s earlier effort to bring the land near Highway 395 into the urban growth boundary for similar reasons.

“That area is pretty unique in the marketplace,” he said.

The 2017 round of grants from the Hanford fund offers a fresh opportunity to revisit the subject in Kennewick.

On Nov. 2, fund officials announced they would accept grant applications to support public infrastructure projects from 16 local municipalities and the Benton and Franklin public utility districts. The projects must support job creation, in keeping with fund’s mission to reduce the region’s dependance on Hanford.

Municipalities have until Dec. 1 to apply for the $250,000 available.

The fund is managed by Brian Kuest of CliftonLarsonAllen, the accounting firm that recently contracted to administer the program.

Kuest said he’s received no formal applications, but said there have been plenty of inquiries and he expects to receive several applications.

A committee will scrutinize the proposals after the holidays.

This story was originally published November 24, 2017 at 6:10 PM with the headline "Benton County eyes industrial future near Kennewick."