01/26/1987 Meeting - Laserfiche WebLink

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Schue, Bascom, and Bennett voting aye and Councilors Holmer, Wooten, Rutan, and Miller voting nay. e Before votihg, Mayor Obie said he supports the motion because the Police, Fire and Emergency Services Department indicated that a diverter would hinder its service while there is construction in the area. He said he will consider a better solution than the test diverter in 1988 if one is presented. He said he is concerned about access to businesses on the Chambers Connector. He said he and the community are committed to retaining the neighborhoods on 5th and 8th avenues. The motion passed, 5:4 with Mayor Obie and Councilors Ehrman, Schue, Bascom, and Bennett voting aye and Councilors Holmer, Wooten, Rutan, and Miller voting nay. Mayor Obie recessed the meeting at 8:55 p.m. and reconvened it about 9 p.m. II. CALL FOR ELECTION--AIRPORT IMPROVEMENT BONDS Assistant City Manager Dave Whitlow said the resolution before the council calls for an election on March 31, 1987, on General Obligation Bonds to finance improvements at Mahlon Sweet Airport. He said the council approved $5,719,000 on December 17, 1986, as the City's share of the improvements. He said $111,000 of bond issuance costs were added, bringing the total to $5,830,000. He said the amount approved by the council includes only $5 million from the airlines, does not include money from the Skipper Well grant program, and assumes receipt of Lane County Road Fund money. He said the ~ council may lower the amount of bonds actually issued if the measure passes. Mr. Whitlow said the question and purpose sections of the Notice of Bond Election are controlled by statute. He said the City's Bond Counsel does not recommend that the question or purpose sections of the Notice of Bond Election include statements about the council's intention to use capital budget funds and airport funds to pay the debt service on the bonds. He said legal problems might develop if the statement were included in the notice and the City had to levy a property tax in the future to pay the debt service. Answering questions from Ms. Wooten, Mr. Whitlow discussed the breakdown of funding sources approved by the council on December 17, 1986. He said all the $4.228 million in Federal funds is from the Federal Aviation Authority (FAA) and the $720,000 in State funds is from the lottery. Those funds are all committed. The City has summitted another application for $1,574,000 in Lane County Road Funds and the Ci ty hopes the Ci rcui t Court will approve the application. He said the $500,000 in revenue/expenditure adjustments will come from $200,000 in the Fleet Fund (savings in gas prices) and $300,000 from the Pacific Northwest Bell (PNB) franchise fee. Replying to questions from Mr. Holmer and Mayor Obie, Mr. Whitlow said the airlines that serve Eugene will fund their share of the airport improvements by a revenue bond that will be issued by the City and paid by the airlines. That bond will be separate from the General Obligation Bond for the City's e MINUTES--Eugene City Council January 26, 1987 Page 8