CC Minutes - 01/28/98 Work Session

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Mr. Meisner stated that he would like to have additional discussion regarding traffic on 11th and 13th Avenues at another time. Ms. Andersen replied that reduction of traffic on the streets identified was not projected. Ms. Taylor asked if use of City streets by garbage trucks contributed to their deterioration. Ms. Andersen replied that garbage trucks were considered heavy vehicles, but for streets constructed according to City standards the volume of garbage truck trips on residential streets should not create deterioration issues. She said that regular bus traffic on City streets created a more significant problem. Ms. Taylor asked if Systems Development Charges (SDCs) paid by Hyundai Corporation covered the cost of City street construction required by its newly developed plant. Mr. Svendsen replied that expenditure of SDC receipts was not site specific, but that adequate revenue was calculated to be generated by such fees to pay for all anticipated road infrastructure development in the City. In response to questions from Ms. Swanson Gribskov, Mr. Svendsen explained that it had been estimated that $3 million needed to be budgeted each year for the City to maintain its streets, but that the fiscal year 1999 budget included $900,000 for such projects. 2. Systems Development Charges Fund Mr. Svendsen stated that Oregon statutes required that SDCs be maintained separately from other funds. He said they could be used for storm water, wastewater, transportation, and park infrastructure and that they were designed to recover the full cost of anticipated costs associated with City growth. He explained that a SDC Rates Public Works Department Advisory Committee had been formed which would consider policies determining the rates to ensure the City's system is consistent with council goals and will receive community support. Ms. Taylor asked if it was possible to compare SDC fees paid by Hyundai Corporation with the cost of roads required by construction of its plant. Mr. Svendsen replied that, in general terms, SDCs paid by Hyundai for Phase 1 of its development would not equal expenses for road construction projects it required, but that those paid for Phase 2 would cover the expenses. He said he would provide more detailed information to the council. Mr. Tollenaar commented that SDCs were not anticipated to be a quid pro quo repayment for infrastructure development, but were based on total anticipated growth requirements. Ms. Nathanson observed that a significant amount of property zoned for residential, industrial, and commercial use near the Hyundai plant was under development, would utilize the same infrastructure, and would contribute additional SDC payments. Ms. Swanson Gribskov commented that the SDC Fund was used for more than road development, but that its use for purposes other than those identified by Mr. Svendsen was currently not allowed. Ms. Nathanson reported that she had learned that SDC-like fees in the Chicago area were available for library construction. She said she was hopeful a way could be identified to make SDC Fund contributions to the Road Fund. MINUTES--Eugene City Council January 28, 1998 Page 2 11:30 a.m. Lunch Work Session