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. ~ IV. AUTHORIZATION OF GENERAL OBLIGATION BANCROFT BOND SERI ES II I II BOND SALE . (memo distributed) Mr. Whitlow introduced Warren Wong, Financial Services Director. Mr. Wong said that the resolution before the council would authorize the notice of sale of $4,555,000 in Series 11111 General Obligation Bancroft Improvement Bonds and that the ordinance would authorize the issuance and sale of the bonds. Mr. Wong said that sealed bids would be opened on September 29, 1982, and would be returned to the council for the award. He estimated that the rate would be approximately ten percent. Mr. Wong said it was important to take this action now 1} because the City has $4.4 million in warrants coming due in December and January; 2} because interest rates are favorable at this time; and 3} because passage of Ballot Measure 3 would preclude the issuance of Bancroft bonds, and the City must therefore act to cover its outstanding warrants before the general election. Mr. Wong then addressed the subject of delinquent payments on assessments. He said that approximately 5,800 accounts totaling $15.9 million are currently outstanding and that of that amount $3.5 million is delinquent. He said de 1 i n- quent accounts include 826 accounts with developers, totaling $3.2 million, and 85 accounts with private homeowners, totaling $263,000. He said the Budget Committee would be asked to take funds from the Bancroft funds ana put them in the operating budget to provide staffing for collection efforts. He sai d that collections staff would work with delinquent accounts to make arrangements for payments and would proceed with foreclosures if necessary. e Mr. Wong noted that, in light of Ballot Measure 3, the Public Works Department had agreed to put off all new Bancroft-eligible projects until after the election and to finish current projects by that time. Councilor Wooten said she felt that the solutions proposed by staff were good ones but that she was concerned that the City not foreclose on any owner-occupied dwellings. She wondered whether a long-term deferral program could be worked out for delinquent homeowners. Mr. Wong responded that foreclosure was only used as a last resort, that arrangements for at least token monthly payments could usually be made, and that the City did not have a record of foreclosing on private residential property. After some discussion, councilors indicated that while they shared Ms. Wooten's concern, they did not feel the need for action at this time, since the City was presently being extremely flexible in arrangements with delinquent accounts. Res. No. 3714--A resolution prescribing the form of notice of sale of $4,555,000 General Obligation Bancroft Improvement Bonds, Series 11111, of the City of Eugene, Oregon. Mr. Obie moved, seconded by Ms. Schue, to adopt the resolution. Roll call vote; motion carried unanimously. e MINUTES--Eugene City Council September 8, 1982 Page 8