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support the TSMF. She said the council should be looking for another revenue source. Ms. Taylor would <br />only approve a motion to refer the issue to the voters. <br /> <br />In response to Ms. Taylor's comments, Mr. Corey clarified that in his response to her e-mail question, he <br />pointed out a council majority adopted the initial ordinance and then a council majority repealed the <br />ordinance primarily, not exclusively, because of concerns expressed by the chamber. He said he would <br />not characterize the chamber as now supporting the ordinance because he did not know if it did. <br /> <br />Mr. Kelly supported taking the gas tax increase to a public hearing. Speaking to the issue of the TSMF, <br />he said the rates associated with the fee were crucial to the discussion. He had defended the previous <br />TSMF ordinance on the basis the rates were based on science. Now the newly proposed TSMF raised <br />two-thirds the amount the former TSMF had been projected to raise. The rate charged to a single-family <br />house had not changed, but the rates charged to commercial users, such as Wal-Mart, had dropped <br />dramatically. Mr. Kelly said for that reason, he could not support the ordinance. He said the change <br />seemed like a conscious tax shift from businesses to individuals, and he could not support that. Mr. Kelly <br />indicated he would consider the ordinance if the rates were revised. <br /> <br />Ms. Nathanson appreciated the completeness of the meeting packet materials and presentation. However, <br />she was disappointed by the lack of information about what occurred between the repeal and reconsidera- <br />tion of the TSMF. She noted community opposition and Springfield's decision not to proceed with a <br />TSMF, which had influenced her decision to support the repeal of the fee. She said chamber members she <br />spoke with indicated support of the TSMF with a different rate structure. Ms. Nathanson asked what had <br />happened, as she thought there was to a good faith effort between the concerned parties to change the way <br />the fee was received by the public. In response, Mr. Corey said there was an effort by the chamber, Lane <br />County, the City, and many others to talk about transportation funding alternatives. He characterized the <br />results as a bit disappointing since no new revenue ideas had come forward and other ideas were not <br />pursued, although Lane County had agreed to transfer its component of the Oregon Transportation <br />Investment Act (OTIA) 3 moneys to the cities. <br /> <br />Ms. Bettman noted her continued opposition to the use of STP-U funds on the Friendly Street Bicycle <br />Project and said such projects were demonstrative of why she could not support a TSMF or gas tax <br />devoted to maintenance and preservation. As long as the City allocated funding that could be used for <br />preservation on new projects, she would oppose such taxes. The project in question was mostly signage <br />and striping. In response, Mr. Corey explained the funding discrepancies Ms. Bettman raised regarding <br />the Friendly Street project. <br /> <br />Ms. Bettman noted that the charts provided to the council regarding the gas tax were not comparable as <br />one was based on a four-cent tax and one was based on a five-cent tax. <br /> <br />Ms. Bettman said when the council repealed the TSMF it was because of the chamber's threat to send it to <br />the ballot. That gave the chamber the exclusive ability to negotiate lower rates for big business at the <br />expense of everyone else in the community. <br /> <br />Ms. Bettman thought the timeline being proposed was not sufficient to inform the public as it did not take <br />into consideration the upcoming holidays. <br /> <br />Mr. Meisner indicated he would move to divide the question. He supported the two-cent gas tax increase <br />and was also interested in exploring the exemption of diesel fuels. He did not support the TSMF at this <br />point in time, and had grave concerns about it. <br /> <br />MINUTES--Eugene City Council October 27, 2004 Page 10 <br /> Work Session <br /> <br /> <br />