The Brief
• The City of Irrigon received $1 million in federal grant funding from the U.S. Small Business Administration for a new small business incubator project
• The facility will house three to four business tenants with shared facilities to keep startup costs low for entrepreneurs
• Construction on the first phase is expected to be completed by December
IRRIGON, Ore. — The City of Irrigon is set to launch a small business incubator project designed to grow its local economy and help entrepreneurs who cannot afford traditional brick-and-mortar locations.
The project, identified as a priority in the city’s five-year strategic plan, received $1 million in federal grant funding from the U.S. Small Business Administration in 2022, with assistance from the Port of Morrow. Additional local funding comes from the Columbia River Enterprise Zone, which generates economic development dollars from large industrial projects like data centers, wind and solar facilities rather than local taxes.
“An incubator is to help a business or an individual get started so that they can grow, because one of the hardest things to do is to start brick and mortar,” said Aaron Palmquist, City Manager for the City of Irrigon. “That’s the physical makeup of land and structure, and that is very costly. We made application in this program for women, minorities, and other individuals who are less fortunate.”
The building will be smaller than originally planned due to rising construction costs, but it will still house three to four business tenants, along with shared facilities designed to keep costs low for startups. The city will contribute an additional $300,000 to $400,000 to the project.
“We had to cut some things back because the economy of scale of everything went up,” Palmquist said. “So we received a million dollars, and the city will be putting in about three to four hundred thousand dollars.”
City officials say the incubator represents the first step in a long-term effort to turn Irrigon into its own economic hub. The goal is to attract essential services that would keep residents local instead of traveling to nearby cities like Hermiston or the Tri-Cities for basic needs.
“What if someone wanted to come open up a dental office? It’s a small business, and it keeps people local instead of driving to Hermiston or the Tri-Cities,” Palmquist said.
Residents have expressed interest in businesses like laundromats, salons and other essential services. While the city doesn’t yet know which businesses will move into the incubator, leaders say supporting small business growth is key to long-term economic stability.
“The strength of America is small business,” Palmquist said. “If we want to see stabilization and economic growth and development in Irrigon, that’s some of our small businesses. That’s the framework we’re going to be looking at.”
City leaders say the incubator is designed to keep investment, services and opportunity local. The first phase of construction on the incubator project is expected to be completed by December.
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