05/20/1985 Meeting - Laserfiche WebLink

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e e . Answering questions from councilors, Mr. Wong said a personal income tax would be figured on a person's adjusted gross income (AGI) as reported on the Oregon income tax form. It could be collected from both residents and non-residents who work within the city. Employers could be empowered to withhold the tax on salaries or wages. Other income would be taxed when a personal income tax form is filed. A corporate income tax could be levied on an attorney who lives in Pleasant Hill and has an office in Eugene. The Oregon Department of Revenue will collect City income taxes, an employee payroll tax, or a corpo- rate income tax for a fee. It probably would be the most cost-efficient way to collect the tax. Answering other questions, Mr. Wong said a surcharge on the Oregon State in- come tax would be the easiest tax to administer. A surcharge could not be collected from non-residents. The exclusion of non-residents would reduce the projected yields by about 30 percent. Responding to questions, Mr. Wong said bank employees would pay the employee payroll tax. The yields for the income taxes were based on a flat one percent of AGI. A City tax could be deducted from State and Federal taxes. Responding to a question from Ms. Wooten, Mr. Wong said a 3t-a-gallon gas tax would generate about $1.5 million a year for Eugene. Assistant City Manager Dave Whitlow reviewed the assumptions and the capital requirements for the five Eugene Agenda projects, the library, and a swimming pool/community center. Responding to questions from councilors, Mr. Whitlow said the City's tax increment revenues will be higher if the voters do not approve a State sales tax. In that case, the general fund would be paid back sooner. In the downtown revitalization, it was assumed the City would buy land for $34 a square foot and sell it to a developer for $6 a square foot. There is no existing agreement about the price. Mr. Gleason noted that land with structures would be assembled and sold without structures. Mr. Whitlow said improvements in the Downtown Plan that are not included in the downtown revitalization and for which there is no known funding source total about $1 million. State funds, Federal funds, systems development charges, and assessments constitute the available $29.7 million for transportation improve- ments. Very few State transportation funds are assured. Answering questions, Ms. Wooten said the construction of a community center was included with the swimming pool in order to take advantage of the opportu- nity to replace Lincoln School. Mr. Whitlow said a new library in a new structure at 8th and High would permit the existing library to be converted to a swimming pool and community center. The new library would cost $9 million, and the conversion of the existing library to a pool would cost $4.2 million. Expansion of the existing library would cost about the same as a new library at 8th and High because much maintenance has been postponed on the existing library. A 100-space parking structure was included in the cost because the expansion will take some of the existing parking. An expansion of the exis- ting building will have to be constructed while the library operates, which complicates the construction. About 10 additional full-time people will be needed to staff the library if it is doubled in size. MINUTES--Eugene City Council Work Session May 20, 1985 Page 2