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David G. Hinkley, 1350 Lawrence Street, Apartment 1, objected to the Mayor Torrey's earlier comment <br />that EWEB paid no property taxes. He pointed out that EWEB paid a six-percent contribution in lieu of <br />tax (CILT) to the City. He felt that, should the City feel this was insignificant, he would prefer as a <br />ratepayer not to pay it. He opined that spending money on design work prior to the certificate of need <br />process was "putting the cart before the horse." He recommended the City wait until there was a proposal <br />on the table. He said there was no guarantee at this point that there would be a hospital. He averred that <br />the hospital should pay for such improvements and should not be subsidized by the City. He thought it <br />contradictory that the City had money for this project but was seeking an increase in the gas tax to pay for <br />road maintenance. <br /> <br />Zachary Vishanoff, Patterson Street, felt that the council had time to discuss urban renewal with the <br />public. He felt it was linked to "smart growth" like the gentrification of the City of Portland. He called <br />the project "corporate welfare." <br /> <br />City Manager Taylor clarified that the supplemental budget had simple transactions: $400,000 to <br />demolish the Sears building, $245,000 for eligible projects in the urban renewal district, and a loan from <br />McKenzie-Willamette Medical Center which would not be repaid if there was no project and would <br />simply result in that entity funding the preliminary design and engineering work. <br /> <br /> Councilor Bettman, seconded by Councilor Nathanson, moved to approve <br /> Resolution 1033 adopting a Supplemental Budget; making appropriations <br /> for the Urban Renewal Agency of the City of Eugene for the Fiscal Year <br /> beginning Julyl, 2004 and ending June 30, 2005. <br /> <br />Councilor Kelly underscored that the proposed agreement was that the initial design work would not use <br />taxpayer dollars and only in the case that the hospital was then built at the site would the City have to <br />repay the money from tax increment dollars from the hospital. <br /> <br />In response to a question from Councilor Pap~, City Manager Taylor affirmed that the money for the <br />razing of the Sears building would only be used if there was a signed sales agreement and the City did not <br />have such an agreement yet. <br /> <br />In response to a question from Councilor Bettman, Ms. Murdoch said the $245,000 was for initiating <br />capital projects in the downtown area. City Manager Taylor clarified that it provided authority for the <br />Urban Renewal Advisory Council to move forward with projects within the district. <br /> <br />Councilor Bettman requested a list of projects as they were known. <br /> <br />Councilor Bettman stated, for the public record, that the hospital had to have a site prior to being able to <br />obtain a certificate of need. <br /> <br /> Roll call vote; the motion passed unanimously, 7:0. <br /> <br />Mayor Torrey adjourned the meeting of the Eugene Urban Renewal Agency. <br /> <br />MINUTES--Eugene City Council December 6, 2004 Page 14 <br /> Regular Session <br /> <br /> <br />