09/24/1980 Meeting - Laserfiche WebLink

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Mr. Osborn stated that US National Bank is the lead lender in the e agreement. Mr. Haws asked how it is determined what share each lender will receive. Mr. Osborn stated that US National Bank and First National Bank split the major share equally, and each of the others took a'$50,000 share. Mr. Haws asked if that is being done as a favor to the City or as a favor to the lenders. Mr. Osborn stated that it is a favor to the lenders. They requested a consortium since this is tax-exempt borrowing. Mr. Haws asked if cheaper interest rates could be obtained. Mr. Osborn stated he feels this is close to the market at this time. Portland has an agreement with a floating interest rate, with a minimum of eight percent and a maximum of ten percent. Mr. Haws asked if this could be put out for bid. Mr. Osborn stated that this could have been, but in the past there were few bidders. Mr. Haws noted that Veneta just received a loan for seven percent interest. Mr. Osborn stated that that is probably for a short-term loan, but Eugene's is a long-term situation--for ten years. Mr. Obie indicated that he would abstain as he has money owed to him by those banks. He said the banks are working with the community when entering into this type of agreement. Res. No. 3424--A resolution authorizing the City to use Community Develop- ment Block Grant funds to enter into a $600,000 rehabilita- tion loan agreement with local lenders. Ms. Smith moved, seconded by Mr. Lieuallen, to adopt the resolu- e tion. Roll call vote; motion carried unanimously with Mr. Obie abstaining. VII. COUNCIL REVIEW OF RIVER ROAD TABLOID DRAFT (memo distributed) Mr. Henry introduced Pat Decker, Planning, to provide background informa- tion. Ms. Decker stated that the process of developing this tabloid has been going on a long time, and is being done because the residents needed more information regarding annexation. Changes from the first draft presented to the council are listed in the memo. Some feedback has been received from the Citizen Involvement Committee and from the Planning Commission to make language more easily understood. With the passage of the Tier 2 Budget, any items noted as "contingent on Tier 2" have had that portion of their language deleted. There will be some adjustments regarding the sewer user fees since the council recently passed that item. Ms. Smith cautioned against finalizing information regarding sewer user fees until it is known what action Springfield will take. Mr. Lieuallen noted that the section called "City Perspective" was well written. He feels that the last paragraph should be deleted, or that this information could be summed up in some other fashion. Ms. Miller indicated agreement with Mr. Lieuallen. She feels that the tabloid reads better now and appreciates the time that was spent. e 9/24/80--9