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10/22/1980 Meeting
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10/22/1980 Meeting
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10/22/1980
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<br />e Mr. Haws stated that a vote for the temporary rate increase is a vote of desper- <br /> ation. He thought a six-month rate increase would be revocable and asked if the <br /> council could lower the rates prior to the end of six months. Mr. Henry stated <br /> that the City has never undertaken the approach of lowering approved rates and <br /> it would depend on future actions. The council does have the legal authority to <br /> revoke the rates. He noted that City representatives would be attending the <br /> court proceedings. <br /> Mr. Haws stated he is still concerned with the $100,000+ that is owed from <br /> Amarillo because it came from public money locally. He asked if the rate <br /> increase could be structured so that it would be a loan contingent upon <br /> receiving that money back from Amarillo. Stan Long, City Attorney, stated that <br /> it might be possible if enough information were available. The rate schedule <br /> could be changed when certain events would occur that would reach that result. <br /> Mr. Haws stated that he does not mind allowing the rate increase and working on <br /> a contingency plan but he would like for the City to get that money back. <br /> Mr. Delay noted that the $80 rate increase previously approved by the City of <br /> Eugene was not approved by the City of Springfield. There was always a cloud <br /> around Mr. Leonardis approach in requesting increases. Representatives of both <br /> cities had asked him if a rate increase was needed so they need not feel they <br /> are responsible. Mobilchair was regulated originally at the request of MSI. <br /> He feels they are not accountable for their actions. He cannot support the <br /> temporary increase. There is not adequate justification. If the council has no <br /> choice now, when will they ever have a choice and what assurances for accounta- <br />e bility are there from MSI? He asked how they will know more in the next six <br /> months. <br /> Mr. Hamel stated that he was against the rate increase in July. However, that <br /> was listening to the old management and that is not the case any longer. The <br /> ambulance service is needed. He has been in favor of there being two services <br /> in this area for some time and he feels competition is needed. He was not in <br /> favor of granting a rate increase previously but feels there is no choice at <br /> this time. <br /> Mr. Haws moved to amend the motion so that the City of Eugene <br /> would be reimbursed for the difference in the rate increase either <br /> in the plan for MSI or upon liquidation and that the money be <br /> received back in total. <br /> Mayor Keller asked why the money should come back to the City. Mr. Haws stated <br /> it could be held in trust for those people who paid it. <br /> The motion died for lack of a second. <br /> Mr. Lieuallen noted that this sounds as though it could be a class action suit <br /> and perhaps that is what should be done. <br />e <br /> MINUTES--City Council October 22, 1980 Page 9 <br />
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