Metro officials expect to start negotiations with hotel developers late next month, after final approval of the hotel's finance concept by the Portland City Council on Wednesday.
The Portland City Council voted 3-1, with Commissioner Dan Saltzman absent and Commissioner Steve Novick dissenting, to approve an agreement modifying a fund that handles regional tourism promotion.
Among the changes would be allowing room tax money collected at the proposed $198 million, 600-room Hyatt to pay off $60 million in bonds issued to support construction of the project.
In exchange for the financing offer, Hyatt would build a hotel next to the Oregon Convention Center, hold 500 rooms for recruiters trying to draw large conventions to Portland, employ a union staff and other agreements.
The Metro Council must vote on another agreement, called a memorandum of understanding, on Oct. 3, and other procedural work has to be completed before negotiations with Hyatt and Mortenson Development can start.
Last Wednesday, the city council voted 4-1 to approve the memorandum of understanding, and the Multnomah County Commission voted unanimously to approve the memorandum and the financial agreement on Thursday. The Metro Council approved the financial agreement on Aug. 15.
Metro officials hope the development agreement with Hyatt and Mortenson can be complete and approved by the end of the calendar year.