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the proposed enterprise zone boundary, and apply j ob quality standards to all investments made within the zone. It is assumed that job quality standards will include provisions for attractive wages and benefits, and that all companies would receive a minimum of two-thirds of the tax exemption benefit. Companies not meeting the job quality standards would be subject to a payment of up to one-third of the tax exemption benefit. Experience suggests that larger companies with greater financial capacity are much more capable of meeting job quality standards. The largest companies (Hynix for example) would have the greatest opportunity to meet job quality standards, and would likely receive the full tax exemption benefit. Experience also suggests that smaller companies are much more challenged in meeting job quality standards. Therefore, it would be expected that these smaller companies would receive a smaller proportional tax exemption benefit. An objective included in the City's Growth Management Policies is the support and promotion of local small businesses. The enterprise zone short-term tax exemption is an incentive for companies to make capital expenditures that increase production capacity, increase employment, and ultimately elevate wages as a result of increased production. Small businesses typically experience greater financing and economic barriers associated with these capital expenditures. Therefore, the recapturing of a portion of the tax exemption benefit from these smaller companies could inhibit their ability to expand. It is important to recognize that any recaptured tax exemption benefit would come in the form of a payment in lieu of taxes directly to the zone sponsor, and that all investments would be fully tax exempt for tax assessment purposes (i.e. the tax assessor cannot grant a partial tax exemption under the enterprise zone program). A prior ruling in the Oregon Tax Court determined that dollars recaptured by the zone sponsor must be used for the public purpose of providing opportunities for groups of persons to obtain employment. Because a greater proportion of the recaptured dollars would likely come from smaller companies, the policy issue is whether or not these limited recaptured dollars are best used to support these smaller companies (i.e. granting a full tax exemption), or utilized for an employment- related public purpose considered to be a higher priority. It is also important to recognize that the City will be responsible for monitoring compliance with locally adopted job quality standards. Historically, there have been a significant number of new jobs created in the program. If all new jobs are required to be monitored over a three year period, City staff will need to spend a considerable amount of additional time and resources administering the program. 3. How "development ready" are the greenfield properties identified in the restricted boundary option? Awbre¥ Lane Property: The largest industrial greenfield site is the 229 acre Awbrey Lane property owned by Metropolitan Wastewater Management Commission, located at the northern most area of the proposed enterprise zone. The site has significant development constraints, including an estimated 100 acres of wetlands, which have not yet been designated. The City will be making recommendations regarding wetland designations for this area within the next twelve months. Future development of the site would require a more detailed study of the wetland areas, and most likely require significant mitigation costs. Development of the site would also require significant water, sewer and road infrastructure improvements.