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<br /> <br />At first Councilor Taylor stated she thought we should oppose the bill. <br />Senior Management Analyst for the <br />Finance Division, Larry Hill, explained that he had recommended that they adopt a Support position because the <br />bill was consistent with the City’s legislative policies document. He related that the document specifically called <br />for enterprise zones to be made more flexible and the bill would do that. He explained that the bill would also <br />limit the flexibility so that, for instance, should the City suffer a loss of jobs for two consecutive quarters and be <br />two points below the state unemployment rate, then the bill would kick in and the council would have the option to <br />review individual enterprise zone agreements and decide whether to extend an agreement or to change the number <br />of jobs required under an agreement. <br /> <br />Ms. Ortiz asked if it would stop the tax exemption. Mr. Hill replied that it would not negate it. <br /> <br />Ms. Ortiz recalled a committee effort regarding enterprise zone expansion. She understood that the process at that <br />point had been that the City had been required to go to the state for approval of the language changes that had been <br />proposed. She thought that if the City wanted to do something similar, the bill would allow the City to do so <br />potentially without state approval. Mr. Hill responded that this would only be so if the exact conditions specified <br />in the bill were present and only to the extent that it would allow the change in the existing agreement. He said <br />this particular change in the statute was highly qualified; the City would have to be in a recession and it would <br />only be allowed to make two changes to the enterprise zone agreement. <br /> <br />Mr. Poling ascertained that the bill would not change any of the other requirements specified in the City’s <br />enterprise zone; the bill specifically addressed what would happen during an economic downturn. <br /> <br />Councilor Taylor then moved to take a Neutral position on the bill; Councilor Ortiz seconded the bill for <br />discussion. <br />Mayor Piercy did not share Ms. Taylor’s view of enterprise zones. She felt the zone had worked the <br />way the council intended it to. She preferred to start out monitoring the bill in order to hear some of the <br />arguments. <br /> <br />Councilor Taylor then amended her motion to Monitor; Councilor Ortiz indicated she was amenable to <br />the position. Councilor Poling voted against the motion. <br /> <br /> <br />RELATED CITY POLICIES <br />Ratification of IGR Committee actions is the making or affirming of the City of Eugene’s policy with <br />respect to Federal and State legislative issues or such other matters as may come to the council from the <br />committee. <br /> <br /> <br />COUNCIL OPTIONS <br /> <br />The council may ratify or decline to ratify the IGR Committee’s unanimous actions and approval of staff <br />recommendations. Actions on which the IGR committee is not unanimous must be addressed by the full <br />council in order to provide direction to staff in Salem. <br /> <br /> <br />CITY MANAGER’S RECOMMENDATION <br /> <br />The City Manager recommends ratification of the IGR Committee's actions and that there be a discussion <br />on the actions that were not unanimous. <br /> <br /> <br /> <br /> Z:\CMO\2010 Council Agendas\M100222\S1002223.doc <br /> <br /> <br />