REEDSPORT - A local mill owner is one step closer to developing a wood pellet factory on the industrially-zoned Bolon Island.

The Coastal Planning Advisory Committee has approved Paul Dailey's plan and the next is to take the project before the Douglas County Planning Commission.

For Dailey, owner of Oregon Western Lumber, the near-capacity crowd that showed up for the hearing was amazing.

"I was humbled by the support all those people gave for the project," Dailey said.

Dailey, who owns a small sawmill up the Smith River, would develop the $7.5 million facility on 10 acres and employ up to 25 people.

While nearly all those in the audience voiced their approval of the project, there were some detractors, including committee member Jan Tetreault, who cast the lone dissenting vote.

"There are fragile wetlands on the island and I think having a factory at the site will seriously impact them," she said. "There are several other areas in Douglas County that would be more suitable for an industrial structure."

Audience members Richard Davidson said he is concerned about the island possibly being in the flood plain.

"It boggles my mind that you would consider allowing development in an area that is potentially in a floodplain area," Davidson said.

 Douglas County Planning Department Coastal liaison Jonathan Wright said the Bolon Island site has been designated as industrial for years.

"Back in the 1960s, the island was zoned industrial," Wright said. "Anyone who's looking to develop there is aware of the wetland designation, but that's only a small piece of the parcel."

"I grew up here in Reedsport and I have to say, this town is dying," longtime resident Gary Waggoner said. "I'm in favor of the plant, because it's just what the town needs to bring jobs and help our economy."

Noting the ideal location of the proposed plant, with boat, truck and rail access nearby, Kent Abendroth said, "I'd like to commend the foresight of whoever was responsible for designating the island for industrial use. You couldn't pick a better location."

Dailey's next meeting will be April 16 before the county planning commission in Roseburg. The public has until April 8 to send letters in support or opposition to the project, Wright said.