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Item C: Downtown Projects
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CC Agenda - 12/14/09 Council Work Session and Meeting of the Eugene Urban Renewal Agency
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Item C: Downtown Projects
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12/11/2009 9:20:09 AM
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Agenda Item Summary
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12/14/2009
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ATTACHMENT D <br />Veterans Affairs Clinic – project description <br /> <br /> <br />GENERAL BACKGROUND <br />The Department of Veterans Affairs (VA) is planning <br />to locate an expanded clinic in leased space in the <br />Eugene area. Downtown Eugene may be an ideal <br />area for the clinic because of its central location and <br />proximity to Lane Transit District’s Eugene Station <br />and the Greyhound Station. PeaceHealth is poised to <br />submit a proposal for the use of their clinic property <br />th <br />at 12 and Willamette. The building is large enough <br />to accommodate the size desired by the VA (an <br />estimated 110,000 - 120,000 square feet). The site <br />also has adequate on-site parking. <br /> <br /> <br /> <br /> <br />JOBS/ECONOMIC DEVELOPMENT IMPACT <br /> <br /> <br />ImpactDescriptionTotal <br /> <br />Temporary Construction Jobs related to construction project cost, business purchases related to <br /> <br />148 <br /> <br />Related Jobsconstruction, and employee purchases <br /> <br />Permanent JobsJobs relocated to downtown & newly created57-100 <br />Better health services for area residents and influx of businesses and <br /> <br />Indirect Economic Impactsservices related to the clinic's relocation to downtown (jobs from VA 33 <br /> <br />permanent job purchases) <br /> <br />1 <br />Temporary Construction Related Jobs: <br /> Retrofitting the downtown PeaceHealth medical clinic into <br />a modern VA Clinic will result in temporary construction jobs. The estimated construction costs <br />associated with the VA Clinic project are estimated to be as much as $12 million. The private <br />investment in this project will result in 120 temporary construction jobs that would last approximately <br />one year and 28 jobs related to indirect business purchases. <br /> <br />Permanent Jobs: <br /> According to the US Census Bureau’s North American Industry Classification <br />System (NAICS), a clinic like the proposed VA Clinic project has the potential to create as many as <br />2 <br />370 jobs. The existing VA Clinic has 57 full-time equivalent (FTE) employees on staff. The new <br />facility is expected to approximately double the current staff size when it opens in 2012, with an <br /> <br /> <br />1 <br /> Temporary construction jobs were calculated based on the estimated costs of construction. Staff applied the U.S. <br />Department of Energy standard: for every $92,000 invested in a project one temporary construction job will be created. <br />Staff provided the estimated construction costs to the Oregon Employment Department to calculate the number of <br />temporary construction jobs that would be created by “new” money flowing into the local economy. <br />2 <br /> Employment density of up to one permanent employee for every 400 square feet, with an estimated 148,000 in total <br />square feet (western section 72,000 sq. ft.; eastern section 69,000 sq. ft.; annex building 7,000 sq. ft.), at full-use the VA <br />Clinic project would result in as many as 370 jobs. <br /> <br /> <br />
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