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e and handling sign code violations would be dropped. In the Parks and Recreation Department, what would happen to the fee-supported programs is not clear, but the pools and centers would be closed for a portion of the year. Unless some other method of financing would be found, the closures could result in a 4-6 month closure per facility per year. The pools could be sold to a private interest. A 35-percent cut in the Library would reduce their open hours to 35 per week. These programs make up about three quarters of the City's general operating budget. Mr. Hamel asked what the difference is between the 30-percent refund currently given and Ballot Measure 6. Mr. Engen responded that because the State program is only for principal residences, that benefit is more advantageous to residents but not to the commercial or industrial sector. Mr. Henry noted that about one third of these cuts would be moneys retained by the State and Federal govern- ments, instead of locally, which would give the State and Federal governments more money because property taxes would be less. Ms. Engen stated that there would be a long-range impact on community use of credit. Ballot Measure 6 limits a community's ability to go into debt to pay for capital projects. Debt that is already incurred (bonds that have already been sold) would be exempted. Future bonds would be subject to the tax limita- tion. State laws regarding tax increments from the urban renewal area would have to be reviewed. The City of Eugene would lose about $770,000 of the current $1.1 million. There would be an impact on many other City projects. The Hilton Hotel/conference center contract would need to be renegotiated. The e Metro Wastewater Project may be terminated. Because of federal requirements and difficulty with EPA grants, only $8 million of these bonds have been sold. Unfortunately, the Legislative Revenue Committee assumed there were no special districts within cities, but Metropolitan Wastewater is a special district. The City assists in financing public improvements by selling construction warrants and then sells Bancrofting bonds to pay the warrants. Bancroft and general obligation bonds will not be allowed with Ballot Measure 6. Housing and develop- ment costs would rise. This would require assessments to be passed by a two- thirds vote and the City would be liable for payment of the warrants. Another way would have to be found to finance public improvements. The decision to make regarding Ballot Measure 6 is whether the savings in property-tax charges would be worth the lack of services. Mr. Delay stated that the facts indicate that the community would be unable to handle its own affairs and the decision making would be given to the State and Federal government. A minority of the people, due to the two-thirds vote requirement, would tyrannize the majority. Ms. Smith moved, seconded by Mr. Hamel, that the City Council go on record in opposition to Ballot Measure 6. Ms. Smith noted that this council is concerned about the amount of moneys being spent. She is not happy to think that fire and police protection can become serious problems. She is also concerned about funding for immediate projects such as Metro Wastewater. She feels the council should continue to present good budgets that are not excessive to the citizens. She hopes the council will e support the motion. MINUTES--Eugene City Council October 27, 1980 Page 3