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<br /> Mr. Gleason explained that a shift from the traditional fire response system <br /> to a "rapid attack systemll was started several years ago. This means that <br />e some stations need to be replaced with smaller class B pumpers that require <br /> less staff but are located closer to various zones. Firefighting costs can be <br /> reduced 20 percent by being closer to the fire and operating with the new <br /> system. A plan to phase into the more economic mode with a switch from A to <br /> B fire stations would take about three years, including land purchase, etc. <br /> Without beginning to switch to the new system, an inappropriate response <br /> pattern could result. A Fire Master Plan is in process to clarify this. A <br /> recent fire evaluation barely ranked Eugene's Fire Department as a IIclass 3.11 <br /> A lower rating could result in larger commercial structure rate increases. <br /> Mr. Gleason spoke of the importance of funds being available for the capital <br /> budget process. Even though some projects may be income-producing eventually, <br /> there is no start-up money. It usually takes from 24 to 36 months to build up <br /> a cash flow. Several opportunities may come up, but if there are no capital <br /> funds available for start-up work, these may be lost. <br /> In response to Ms. Ehrman's question, Mr. Gleason explained that the 6th/7th <br /> Avenue Widening project will be a federally-funded project, but the City <br /> has spent funds for the required planning. More preliminary work on an <br /> arterial system is required before this project can be completed. <br /> Mr. Hansen asked what the cost to the property owner would be if a $30 million <br /> bond measure was proposed for repayment over a ten-year period. The debt <br /> service rate will be going down over the next three-year period by 20 to 30 <br /> cents per $1,000 as certain bond measures will be expiring. Mr. Wong sugges- <br />e ted putting together a bond package for approval and scheduling it out over a <br /> five to ten year period, but issuing bonds only as funds are needed. In re- <br /> sponse to Mr. Obie's suggestion for a serial levy, Mr. Wong said he thought <br /> that there was a limit to the time these funds could be used. <br /> Mr. Holmer pursued the question of maintaining the current taxing level by <br /> issuing some new bonds to replace those expiring. This would raise $800,000 <br /> or $900,000 in a year. Mr. Obie felt Mr. Holmer's suggestion to fill the gap <br /> was most interesting. Mr. Wong said that approximately $.60 of the general <br /> obligation bond property tax levy goes to civic center bond repayment, while <br /> the remainder goes to smaller issues. The smaller issues will be paid off <br /> over the next ten years. The current tax rate for debt services is about <br /> $1.36 per $1,000. <br /> In response to Ms. Bascom's question on the effect of IISon of 311 passing, <br /> Mr. Wong said that all prior debt and any approved at that election would not <br /> be affected, but any new debt would come in under the 1-1/2 limitation. <br /> Ms. Bascom expressed interest in a bond issue being placed on the ballot. <br /> In response to Ms. Schue's question on the necessity to vote on a bond issue, <br /> Mr. Wong said that according to the City Attorney, a vote on a general obliga- <br /> tion bond issue is not required. However, Bond Counsel will not give a <br /> "clean" opinion because this issue has not been tested in court. Mr. Gleason <br /> clarified that authority to levy comes through the tax base or through bond <br /> capacity. Traditionally, the City of Eugene has gone to the public on general <br />e <br /> MINUTES--Eugene City Council July 10, 1984 Page 2 <br />