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PORTLAND, Ore. (AP) — The city of John Day is creating a housing district to spur new home construction within city limits.

City manager Nick Green tells Oregon Public Broadcasting that John Day’s rental vacancy rate is less than 1 percent, creating an obstacle for employers trying to recruit workers.

The city has secured state funding to create a housing district, and Green wants to incentivize new home building by waiving city fees.

Other eastern and central Oregon communities are seeing similar housing shortages.

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Information from: KOPB-, http://www.opb.org