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DESCRIPTION <br />REC~ow-~ SuMn~r <br />The subject is located in the Salem/Keizer metropolitan qrea. Salem is the capital city of <br />Oregon, and is strategically located midway between Portland and Eugene on Interstate <br />5 in the hearf of the Willamette Valley. Keizer; incorporated in the 1982 general election, is <br />located adjacent to the northern Salem City limits. <br />According to the Portland State University Center for Population Research, the cities of <br />Salem and Keizer have 1999 populations of approximately 128.595 and 30,260, respecfively, <br />within their corporate limits. This represents a 1.55~ increase for Salem and a 3.51 ~ increase <br />for Keizer over the previous year. Salem has experienced steady growth over the past nine <br />years, and is currently the state's third most populous city. So far in the 1990s, the Salem- <br />Keizer area has grown at an annual compounded rate of 2.45%. The following table shows <br />the historic growth rates for both Oregon and the Salem MSA components: <br />of Oregon 2,847,000 3,217;000 3,267,550 3,299,600 <br />Marion Cou~y ?29,500 <br />Polk County 49,541 <br />City of Salem 108.200 <br />City of Keizer 21,950 <br />267.700 271.900 275.250 <br />57.400 59.500 60.100 <br />124,190 126,635 128,595 <br />28.340 29,235 30.260 <br />Source: PSU, Center for Population Research 1999 (`PreGminary Estimates) <br />1.77% <br />2.22% <br />2.37~ <br />2.0996 <br />4.21 % <br />Oregon is one of the few remaining ~states in the country without a sales tax. There have <br />been many efforts over the past decade to pass such a tax, but these efforts have been <br />defeated by popular vote. The primary source of revenue for the state comes from properfy <br />taxes and an income tax with a maximum rate of nine percent. <br />The dominant sectors of the Salem-Keizer economy have historically been govemment, <br />food processing and wood products. Being the state's capital and Marion County seat, a <br />large pofion of the local population is employed in govemment. Manufacturing has. <br />confinued to show steady growth away from the trdditional lumber and wood products, <br />toward a more diverse group of industries, including manufactured homes, silicon wafers, <br />metal products, and electronic equipment. <br />October 1999 figures showed a 5.1 % unemployment rate for the Salem MSA area. Historic <br />annual unemployment rates are summarized in the following table: <br />~alem MSA 4.7 5.7 6.9 6.7 5.4 4.9 5.6 5.4 5.5 5.1 <br />~regon 5.4 6.0 7.3 6.6 5.4 4.7 5.4 5.2 5.4 5.5 <br />National 5.5 6.7 7.4 6.4 6.1 5.2 5.0 4.4 4.1 4.1 <br />Source: Oregon Employment Department Labor Trends, Data as of October of 1999. <br />PALMER. G~to7~t 8~ Pi~xn, INC. 9 <br />P99239 <br />