Item 3A: Approval of City Council Minutes

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Councilor Bettman declared the methodology that allocated the impacts to be inadequate. She was certain the methodology could be changed, as she had served on a committee that recommended SDC rates. She maintained that there was a “huge disconnect” between the SDCs collected and the capacity that would require funding. Councilor Papé asked if it would be possible for development to occur more rapidly than had been predicted and for the SDC revenues to exceed the immediate need for capacity enhancement. Mr. McVey replied that it would be possible to recover revenue more quickly than anticipated or than would be needed to pay for the projects as planned. He said any excess revenue would be placed in the reserve fund and used for later capacity enhancement projects. Councilor Bettman asked if she understood correctly that there was “quite a reserve” in SDCs. She noted that the Lane County Home Builders Association filed litigation against the MWMC. Ms. Smith responded that the budget for contingency reserves for the reimbursement fee was $1.1 million and the budget for the improvement fee was $1.75 million for the upcoming year. Councilor Bettman asked what the entire balance in the litigation reserve for the improvement fee. Ms. Smith reiterated that it was approximately $3 million. Councilor Bettman asked what portion of the projects that were required in order to maintain the NPDES permit were related to capacity enhancement. Ms. Smith replied that she would have to analyze the whole project list in order to make that determination. She explained that the 20-year project list was composed of numerous projects, each of which allocated a certain percentage to performance, i.e. compliance to capacity, including expansion and rehabilitation of existing facilities. She said each project had an engineer’s review that delineated how much of the project related to performance. She underscored that the first priority would be to retrofit existing equipment before building or installing new facilities for every project. She felt it would be very challenging to conduct the level of analysis that Councilor Bettman was requesting because the projects were all integrated and one project could not be pulled out of the mix. She stressed that the whole treatment process was connected. Councilor Bettman took issue with the population projections on which the project list had been based, as the actual certified population growth was 5,730 below the projection. Mayor Piercy called for a five-minute break at 9 p.m. 5. PUBLIC HEARING: Resolution 4876 Amending Local Stormwater Systems Development Charge Methodology Con- cerning Credits; and Amending Resolution No. 4740 City Manager Taylor said Fred McVey would present this item. Mr. McVey stated that the public hearing sought input on modifications to the stormwater SDC methodol- ogy. He said the modification incorporated credits for construction of water quality facilities associated with new development. Mayor Piercy opened the public hearing. MINUTES—Eugene City Council May 22, 2006 Page 10 Regular Meeting