12/14/1988 Meeting - Laserfiche WebLink

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e Mr. Boles asked whether the projection of tax increment money was based on any projected increased valuation of the building. Mr. Gleason said the calculation of the building's value was based on Pankow's engineering reports which did not calculate any increase. He added that separate construction financing analysis supported those calculations. Mr. Boles asked whether Pankow or the City would own the physical space of the library. Mr. Farkas said that, in the end, the City would own the physical space with no additional investment beyond the financing package being presented. Mr. Gleason likened that ownership to a home mortgage in which someone owns his or her home after the mortgage has been closed. Ms. Bascom said there would be various decision points during 1989 at which times the City would have an opportunity to discontinue its participation in the project. She said she considered the utility consumption tax the preferred method of financing operation and maintenance and she hoped to hear the community's opinion about that sometime in 1989. If the community does not support the utility consumption tax, she said there are other options to consider and she felt it was not necessary to resolve the issue at this time. Ms. Bascom suggested presenting the design ideas offered at the public information sessions on some sort of summary sheet for review by those present at the December 19 meeting. She also asked for a summary of the reasons it is not practical to expand the library at its present site. Mr. Miller asked what would happen if there is agreement on the concept, the e building, and the shell, but the decision on tenant improvements, operation and maintenance is delayed. He also asked what would happen if the community reaches a decision not to fund operation and maintenance after construction of the shell is underway. Mr. Gleason said he thought as long as the City is paying 60 cents per square foot on the shell out of the increment on the tower, the developer would proceed with the project. He indicated that the developer feels it is an advantage to have the library be part of the project and the design characteristics of the building will be affected by the presence of the library. Mr. Miller asked whether there will be value to the community and to downtown in the City's having leased a 106,OOO-square-foot building to be used for a library or some other purpose. Mr. Gleason said his opinion was that there was value, but another chain of controversy is started by the question of what the City would do with that space. Mr. Holmer asked if the Council Committee on Library Financing was recommending referral of the utility tax to a vote. Mayor Obie responded that there would be three ordinances before the council December 19: one would be a motion to approve the construction and capital financing concept, another would be to adopt a utility tax, and the last would be to refer the utility tax to a vote. Mr. Holmer referred to Ms. Bascom's earlier comment about the various options available and commented that EWEB's adoption of a six-percent increase in the e MINUTES--Eugene City Council December 14, 1988 Page 13 .