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<br />1/26/70
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<br />HUD explaining that there was a possibility that the Joint Housing Resolution could
<br />affect a request from the private sector, and the Joint Houslling Committee felt they
<br />should not in any way compete wEh the private sector.
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<br />The City manager distributed a letter from Breeden Bros. pertaining to construction
<br />of low rent housing by the private sector.
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<br />This matter will be discussed further at the regular meeting.
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<br />I: Hr. HcDonald,moved seconded by Hr. Teague that the Council approve the request f6r' 300 addHional
<br />Ii units of housing'. as set forth in-Resolution No. 1754.
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<br />" Councilman Hohr was not satisfied that this request shot.dcl be red,uced to 300 un'its. Hrs. Niven
<br />explained that the situation will be reviewed July 1, and the Committee will report back to the
<br />Council regarding the next years goal.
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<br />Hrs. Niven outlined the history of housing' for low income families, and ,formation of the Joint Housingl:
<br />Committee. In a report submitted July, 1968, the Committee outlined needs which were adopted by the
<br />Council as a resolution. She said the most impartial advice suggepted the Turnkey acquisition pro-
<br />gram to augment the leased housing program now in effect in the City, since HUD i's' presently looking
<br />on the Turnkey program favorably.. She commented on the effect this type housing would have on the
<br />tax rolls, its cost to residents of the City, and" the inability of th,e,public or private sectors
<br />to meet the housing needs. Hrs. Niven felt, however, because of the present Federal policies in
<br />this area, that it would be reasonable at this time to ask for 300 units, rather than the 400
<br />previously suggested.
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<br />Hrs. Bob Peters, Central Lane County League of Women 'Voters, read a statement suppprting the Joint
<br />Housing Committee request, and supporting private and government involvement to meet the housing
<br />crisis.
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<br />Teri White, Director of Housing Programs for Lane Human Resources, offered :support, and explained
<br />the plight of many families seeking pelp from that organiz~tion:
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<br />Hr. Ron Schmaedick, representative 'of Eugene Area Chamber of Commerce, asked to explain their
<br />position 'and that of the Eugene-Springfield Home Builders Association and the Eugene Realty Board,
<br />who have discussed this matter and are on record as opposing it. Their basic opposition is the
<br />issue of taxation. Hr. Schmaedick also'questioned that the need had been adequately established.
<br />He felt the Planning Commission had discouraged private developers by refusing to rezone land for
<br />such housing. He indicated that there is surplus low cost housiNg in the area, stating that Ya-Po-ah
<br />Terrace has ten units of rent supplement housing avail~ble.
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<br />Hr. Jame~ Sheppard, President, Eugene Board of Real t~rs, explained:' a' letter, to the Register Guard,
<br />and suggested that people should maintain a certain degree of independence.' He also objected to
<br />Turnkey housing not beimg on the tax rolls.
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<br />Mr. Robert Suess, builder, felt this housitg would be too costly to build, and consequently would
<br />not serve its intended purpose.
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<br />Hr. Ray Wiley, Vice" President, Breeden Bros., argued that the Joint HousihgCommittee estimate of
<br />growth was entirely too high, and that low-rent housing is available in Eugene. He' stated that
<br />there are,ten vacancies in Westmoreland University Housing.
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<br />In answer to Councilman Williams question, Hrs. Niven 'said the Council last summer requested Lane
<br />County Housing Authority to apply for 100 additional units of leased housing. The request was
<br />tabled, because of a low vacancy ratio and unfulfilled commitments for the other 600 units. Since
<br />developers are having trouble getting financing, or interest rates are too high, the lease prices
<br />exceed those authorized.
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<br />Hr. Suess said he had informed the Housing Authority he had three vacancies, but he had'not heard
<br />from them. He explained that 4 and 5 bedroom houses lease at too low rents to be profitable to the
<br />developer.
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<br />Hrs. Robin Cushmari~ Housing Expediter, outlined present needs, and explained that they could increase
<br />considerably in the next six months.
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<br />There was further council discussion and questions of those in favor and opposed.
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<br />Dr. Purdy suggested that',the Council could go ahead/with 200 Turnkey units ,and determine in six
<br />months what the need was; Hrs. Niven explained that the application for 100 units of leased
<br />housing had never been withdrawn from the Housing Authority. She explairied that in talking to FHA
<br />about the Lutheran request she had been told the applicant would receive only fifty units. She
<br />asked that ,the City 'Council witte to the Regional 'Office when it sends a copy of the Resolution
<br />which has, an explan'~~ion o'f ~he reductio~, and make it very clear that they should' give preference
<br />to the private sector which will make units available for the same income group.
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<br />After further discussion, Dr. Purdy seconded by Hr. Williams, amended the previous.~otion to approve
<br />200 Turnkey units and approve another 100 rent subsidy units and ask that the Council form a
<br />.commLt.t~e to meet with the Housing Authority, Joint Housing Committee and Home Builders and report
<br />back in six months on additional units that may be needed.
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<br />Councilman Gribskov asked for clarification whether the rent subsidy units would be those on file
<br />with the H . or an additional 100 units.
<br />OUslng Authority
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<br />1/26/70 - 2
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