11/20/1985 Meeting - Laserfiche WebLink

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~ M E M 0 RAN DUM - .f- November 22, 1985 e TO: Mayor and City Council FROM: Warren G. Wong, Finance Director Carol A. James, Audit Supervisor SUBJECT: 10TH AND OAK ASSESSMENT DISTRICT--ADJUSTMENT OF ASSESSMENTS On March 12, 1984, council adopted staff recommendations regarding a process for the resolution of long-standing issues related to the 10th and Oak Over- park Special Assessment District. This process included litigation which has been tentatively resolved by negotiated settlement. This tentative settle- ment involves the distribution of $2,642,389.92. This memo discusses the actions necessary to complete the last element in the settlernent process. Background On June 11, 1984, council adopted Ordinance #19253 which, arnong other things, declared the rebate of approximately $1.6 million accumulated excess net operating revenues from the Over park and set the stage for court action to confirm the council's interpretation of the Eugene Code relating to the rebate program. In August 1984, the City filed a petition with the Circuit Court requesting a judgment confirming the legality and correctness of Ordi- e nance #19253 and associated procedures related to its application. The petition as filed by the City involved only those funds related to the rebate of excess net operating revenues as required by the Eugene Code. The City's petition did not include issues related to the distribution of other funds which would remain in the Overpark Fund after the distribution of excess net operating revenues. Ten parties filed responses in objection to the proced- ures for the distribution of the excess net operating revenues as outlined in the Cityls petition. In an effort to expedite the resolution of the court case, in June 1985, staff and legal counsel initiated negotiations with the objectors. As discussed in the progress report to council dated September 12, 1985, these negotiations have led to a tentative settlement of the lawsuit. While not part of the original litigation, distribution of the funds remaining after the rebate of excess net operating revenues became a critical element in the negotiations and the resulting tentative settlement. Resolution #3868 During the negotiation process, staff was guided as to council IS intent with regard to these remaining funds by Resolution #3868, dated July 11, 1984. This resolution directed staff to return any funds remaining in the Overpark Fund, after the distribution of rebates and satisfaction of related adminis- trative and legal costs, to appropriate lOth and Oak assessment payers. It further directed staff to proceed in the distribution of these remaining funds in the manner required for the levying of assessments for off-street e parking facilities.