Item A: Downtown Financing Strategy

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ATTACHMENT G Downtown District No Longer Collects Tax Increment – Impact If the spending limit for the Downtown Urban Renewal Plan is not increased, the Downtown District will: 1)stop collecting tax increment funds, changing the on-going distribution of taxes; 2)provide any remaining tax increment cash in the Downtown District to the County for redistribution to the overlapping taxing districts (one-time funds); and 3)result in a very small reduction to the tax rates for bonded debt. Below is an explanation and the estimated amounts for each of the three types of impacts. 1 1. On-Going Impact The chart below sets out the estimated amount of forgone revenue that each of the overlapping taxing districts experienced in the current fiscal year as a result of the Downtown Urban Renewal District. These estimates take into account the effect of the early payment discount and delinquent taxpayers on revenues to each taxing district. Measure 5 Category District/Purpose Amount Schools * Eugene School District 4j $550,000 Eugene School District Local Option Levy 0 Lane Community College 70,000 Lane ESD 30,000 Total School Taxes 650,000 General Government City of Eugene 810,000 City of Eugene Library Local Option Levy 0 Lane County 150,000 Total General Government 960,000 Bonded Debt** City of Eugene Bonds I 40,000 City of Eugene Bonds II 0 Lane County Bonds 10,000 Eugene School District 4j Bonds I 70,000 Eugene School District 4j Bonds II 0 Lane Community College Bonds II 0 Total Bonded Debt 120,000 Total for All Districts $1,730,000 * Amounts listed for schools do not represent the net impact to their respective operating budgets. See “Impact on Schools” section below. **Bonds I were approved by voters prior to October 2001; Bonds II were approved by voters after October 2001. See item #3 for “Bond Rate Impact.” 1 The impact of the Downtown Urban Renewal District on overlapping taxing districts is explained in the report on the plan (Attachment L Chapter 9).