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<br />e <br /> <br />Mayor Obie said he was concerned that only 2~ of 10~ in taxes would be returned <br />to Eugene, and he suggested that a 6~ tax imposed by the County might solve <br />more problems for the City and the County. <br /> <br />Ms. Schue noted that the study had been discussed by and was likely to receive <br />support from the League of Oregon Cities. <br /> <br />Mr. Gleason said the 20 percent allocation was a baseline figure, and with the <br />share for arterials and State highways added, the actual receipts might be <br />closer to 30 percent. He added that discussion at the State level was not <br />ended. Mr. Gleason said he thought the most important first step was to <br />obtain approval for the concept of the needs study, and further negotiations <br />then could occur. <br /> <br />Responding to Ms. Ehrman's question, Mr. Smith said the allocation formula had <br />been agreed to by the policy committee. He said the historical allocation had <br />been 68-20-12, and the 50-30-20 shares had been a compromise. He said the <br />City Council could disagree with those shares, but he thought the allocation <br />was reasonable in order to allow State problems to be addressed during the <br />first six years. <br /> <br />Mr. Miller noted that revenues were not expected to be sufficient, and he <br />suggested that waiting six years might exacerbate the situation. He said he <br />thought creative alternatives were needed in the planning process. He also <br />noted that annexation could result in increased road problems. Mr. Gleason <br />said discussion of annexation still needed to be held between representatives <br />of the City and the County. He noted that the County road fund this year would <br />include $6 million more than expected.' He also noted that a local gas tax had <br />~ been discussed but had not yet been implemented. <br /> <br />Ms. Ehrman and Ms.. Schue suggested that the legislative subcommittee revisit <br />the issue. <br /> <br />Mayor Obie excused himself and turned the chair over to Council President <br />Debra Ehrman at 1 p.m. <br /> <br />III. CHANGES TO THE ANNEXATION PROGRAM TAX DIFFERENTIAL PLAN <br /> <br />City Manager Mike Gleason introduced the item. Planning Director Susan Brody <br />presented the staff report, noting that the last two agenda items were <br />summarized in attachments. She said numerous meetings had been held in the <br />River Road/Santa Clara area, in addition to telephone and mail contacts. She <br />added that staff members currently were helping property owners initiate two <br />commercial land annexations, which were to come before the council in February <br />and Ma rch. <br /> <br />Mr. Holmer moved, seconded by Ms. Schue, that the <br />tax differential annexation rates applicable to <br />annexations in the River Road Parks District, the <br />remainder of Santa Clara, and the Highway 99 area <br />be extended through March 31, 1988. Roll call <br />vote; the motion carried 5:0. <br /> <br />- <br /> <br />MINUTES--Eugene City Council <br /> <br />January 21, 1987 <br /> <br />Page 8 <br />