CC Minutes - 08/08/05 WS - Laserfiche WebLink

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B. WORK SESSION: CITY COUNCIL PRIORITY ISSUE—HOSPITAL DEVELOPMENT IN THE CENTER CORE City Manager Taylor introduced the item, recalling that in 2004 the council had adopted as its only goal that nd the siting of a hospital in the center core, an area defined as a 2-1/2 mile area around 2 Avenue and Chambers Street on the south side of the river. That goal was carried forward in 2005. Staff had prepared an action plan for the goal (Attachment B in the meeting packet) that outlined a three-phase process—Site Selection, Planning and Design, and Construction—to accomplish the goal. He anticipated a three- to five- year process before a new hospital could be built. City Manager Taylor reminded the council that the City reached the outline of an agreement with the McKenzie-Willamette Health Center and with staff from the Eugene Water & Electric Board (EWEB) in Fall 2004. He recalled that one of the issues the council discussed at its December 2004 work session on the subject was the hospital’s stipulation that its location on the EWEB site depended on the construction of an underpass in the Patterson Street area. Staff had developed a financing and construction plan for that facility, anticipating the costs would be repaid by the tax increment generated by an $85 million hospital located in the urban renewal district. The council also discussed purchasing the riparian edge of the EWEB property to ensure it could control what occurred in that area with regard to pedestrian and bicycling connections. Funding was included in the fiscal year 2006 budget to support the staff work. At this point, City Manager Taylor said, all the elements under the City’s control were in place. The outstanding issue that remained was site selection and land assembly, which precluded the City from executing an agreement that allowed it to begin to design the underpass. The City lacked only a firm commitment or timeline from the hospital for the purchase of the EWEB site. Speaking to that issue, City Manager Taylor said that at the last EWEB meeting, EWEB staff recommended the commissioners pursue the move of some or all of its operations to a new site in a phased manner. The commissioners declined to adopt the staff recommendation, and instead directed staff to continue work on the engineering and architectural design necessary for a move that occurred either in phases or all at once. He anticipated that work would not be done until mid-November. City Manager Taylor acknowledged hope that the site transaction would have already occurred, clarifying the location of the hospital in time to influence the certificate of need process through which the hospital had to go, allowing EWEB to put forward a refinancing proposal this year. However, that would not be the case. The City’s plans remained in effect. Staff was prepared to move forward when necessary. He added that the work the City had done with regard to planning for the underpass had application not only for this project, but for other projects in the urban renewal district. City Manager Taylor acknowledged the work of Acting Planning and Development Director Susan Muir, Assistant City Manager Jim Carlson, Public Works Director Kurt Corey, Keli Osborn of the Planning and Development Department, and Sue Cutsogeorge of the Central Services Department, who were all present to answer questions if needed. Mayor Piercy called on the council for questions and comments. Ms. Ortiz determined from the manager that if the hospital did not succeed in securing the EWEB site, the council action plan would not go forward. MINUTES—Eugene City Council August 8, 2005 Page 3 Work Session