Portland approves historic settlement agreement for displaced Albina residents

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PORTLAND, Ore. (KPTV) - The Portland City Council approved an $8.5 million settlement on Thursday for a group of Albina residents and their families who were displaced during a 1970s urban renewal project.

From the late 1950s to the early 1970s, Legacy Emmanuel Hospital, the City of Portland, and Prosper Portland forcibly displaced hundreds of black residents from their homes in the Central Albina neighborhood during an urban renewal project.

“We have been battling with this hospital ever since this hospital invaded our community,” Rashaan Muhammad, one of the plaintiffs, told the City Council on Thursday.

Last week, the Council decided on a $2 million settlement. However, after hearing from plaintiffs during Thursday’s city council meeting, the Council said these families deserved more. Councilor Loretta Smith, who represents District 1, kickstarted the conversation about upping the original settlement’s dollar amount.

“I urge each of us to consider, ‘How can justice be adequately and appropriately quantified, and what measures can we implement to prevent future displacements?’ So, our collective responsibility is clear: to advance efforts toward community recovery and healing and to pursue restorative justice that lays the groundwork for a more equitable Portland for everyone,” Smith said.

There are 27 plaintiffs included in this case, 26 of whom are family members of displaced residents. While financial compensation is necessary, plaintiffs said the most important part was hearing the City admit to its wrongdoings, even if that admission came more than 50 years late.

“What we are here for is redress, the acknowledgment of harm that includes a reversal from that practice and includes the true and proper compensation for that victimization,” said Royal Harris, another plaintiff.

Thursday’s unprecedented city council meeting ran after 5 p.m., to allow both the council and plaintiffs to consult with their attorneys.

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The Council’s decision to increase the settlement amount to $8.5 million came with an emotional response from both the plaintiffs and many of the council members. In its closing remarks, the Council made it clear that it was long overdue for these families to get the justice they deserve.

“These rooms have not had people like me and Councilor Smith,” said Councilor Candace Avalos, who represents District 1. “But we’re here now, and we’re going to fight for you. This is the beginning.”

After Thursday’s meeting ended, many of the plaintiffs gathered in solidarity outside City Hall. While the money may be just the beginning of righting more than five decades’ worth of wrongs, the families and their close friends said it shows what happens when a community comes together.

“I want people to know, black folks in Portland, community can make things happen,” said Byrd, a close friend of the plaintiffs who has been covering this case for years. “That’s the message.”

Meanwhile, the City of Portland is currently facing a historic budget deficit. In a statement, the city said it’s “Self-insured for liabilities of this nature, and the cost will be allocated across all bureaus. The city’s Budget Office will assess financial options and explore potential pathways forward.

Prosper Portland released a statement:

“We are aware of the council action, and we are coordinating closely with the mayor’s office on both the city’s plan as well as our anticipated settlement contribution of approximately $3.3M in cash and potential property transfers. As part of our broader commitment to acknowledging past harms, we remain dedicated to investing in inclusive economic development throughout Portland. This includes our long term partnership with the Williams and Russell CDC , which recently broke ground on a reparative development project at the Williams and Russell site previously owned by Legacy Health.”

FOX 12 reached out to Legacy Emmanuel Medical Center and Prosper Portland for statements. Legacy chose not to comment.

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