CC Minutes - 04/06/98 Work Session

Home Browse Search

· Undertake downtown projects only--Resources of the renewal district would be directed toward projects identified to address the Downtown Urban Renewal Plan's objectives, but not the library. Mr. Bowers reviewed funding options for each of the outcomes, noting the annual average net change in a tax bill over the life of the district. He mentioned that the scenarios reflect current State law but a vote on May 19 may change the requirement for a double majority on tax measures. Addressing a question from Mayor Torrey, Mr. Bowers said that under the terminate option, the $520,000 returned to the State would go to school districts other than our own. In response to a question from Mr. Meisner, staff indicated that the calculations for the terminate options included the tax increment. Addressing a question from Ms. Swanson Gribskov, City Attorney Glenn Klein said the council could amend the Urban Renewal Plan but one of the difficulties is that the district would terminate at a date certain so there would not be an ongoing revenue source. Also there is a debate statewide about whether urban renewal dollars can be used for ongoing operations as opposed to capital projects--something that has not been addressed by the courts. Ms. Taylor wondered if the library would then belong to the renewal district. Mr. Klein said ownership could be transferred for a nominal price. In response to a follow-up question from Ms. Taylor, Mr. Bowers said the net effect on the taxpayer for the terminate option was the same as the base option; however, the difference was that continuing with the base option eliminated the need to distribute funds to the other taxing districts. Mr. Bowers said it appears that urban renewal is a viable tool to finance a new library. And for each outcome, there seems to be one or more urban renewal actions that made the most sense: 1) for no projects, terminate; 2) for library only, grandfather option 1 with a separate local option levy; 3) for a library plus projects, either the base or the grandfather option 1 (but the latter is similar on the votes); and 4) for projects only, the base is the best option. Mr. Bowers added that when the council decides to build a library and what the optimal size and services will be, staff will explore various other funding tools such as the sale of the Sears and/or the current library site. He noted that the iimpacts on the taxpayer among the options would not change however. Addressing a question from Ms. Nathanson, Mr. Bowers said that any money returned to the County would be "unrestricted GF" money and the distribution to the other taxing districts is mandatory. Mr. Bowers produced a listing of potential downtown projects, which was generated by a group of stakeholders organized by the local chapter of the American Institute of Architects. He Minutes--Eugene City Council April 6, 1998 Page 2 5:30 p.m.