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In response to a question from Mr. Farr regarding whether there would be more revenue available <br />if Hynix added to its complex of buildings, City Manager Johnson said that there would. <br /> <br />Mr. Fart clarified that even if a full exemption were granted there would be no loss of existing <br />revenue. He stressed that any money received would be above and beyond the six-year financial <br />forecast. <br /> <br />In response to a question from Mr. Farr regarding Hynix's level of interest in Option 2, Mr. Braud <br />said Hynix was uncommitted to that option. He stressed that the council could not demand an <br />option unless there was a mutual agreement with the company. <br /> <br />City Manager Johnson added that Lane County would also have to agree to the same terms and <br />conditions. <br /> <br />Mr. Fart stressed the importance of considering what happened after the council took action at <br />that meeting. <br /> <br />Ms. Nathanson stressed the importance of taking positive action. She said that none of the <br />options were giveaways with no strings attached. She supported Option 2. <br /> <br />Ms. Taylor did not favor any tax waiver. She said she had not supported the original waiver. <br /> <br />In response to a question from Ms. Taylor regarding whether the County could re-institute a tax <br />waiver if the City Council voted against it, City Manager Johnson said the County could not. <br /> <br />Ms. Taylor said City programs were more important than giving a benefit to Hynix. She said <br />everyone should pay the taxes they owed to help support the services all citizens used. <br /> <br />Mr. Rayor did not support a new enterprise zone. He said Hynix's major new development had <br />not met the rules for a tax abatement on that investment. He noted, however, that the firm <br />needed a sign that they were a respected part of the community. He said Option 2 was a fair way <br />to meet in the middle of the issue. <br /> <br />Mr. Meisner said the main question was whether to put all of the City's economic development <br />funds into a single firm or invest in long-term diversified economic development. He said granting <br />gifts on the basis of location had never made sense to him. He stressed the importance of <br />diversifying economic development and said he would support Option 1 as listed by Mr. Braud. <br /> <br />Ms. Bettman said she would support a modified Option 1. She said Eugene had already been <br />very generous to Hynix, but noted that the economics for the City had changed. She said that the <br />City's economic development strategy needed to be refocused and refined to provide more <br />reliable outcomes. <br /> <br />Mr. Kelly stressed that he wanted Hynix to succeed but noted that success was not the same as <br />receiving tax relief for a routine cost of doing business. He added that Hynix had cut jobs by 25 <br />percent. He expressed a preference for Hynix paying taxes on its capital equipment like every <br />other business in Eugene. He said the funds received by those taxes could help the City provide <br />broader economic development programs. <br /> <br />MINUTES--Eugene City Council February 20, 2002 Page 6 <br /> Work Session <br /> <br /> <br />