CC Minutes - 11/10/10 Work Session

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MINUTES Eugene City Council McNutt Room — Eugene City Hall 777 Pearl Street—Eugene, Oregon November 10, 2010 Noon COUNCILORS PRESENT: Mike Clark, Betty Taylor, Andrea Ortiz, Chris Pryor, Alan Zelenka, George Brown. COUNCILORS ABSENT: Jennifer Solomon. Her Honor Mayor Kitty Piercy called the November 10, 2010, work session of the Eugene City Council to order. A. WORK SESSION: Eugene Water & Electric Board City Manager Ruiz introduced the item, reporting that the City Council was scheduled to hold a public hearing on the sale of water to Veneta, followed by a work session and action to occur in January 2011. Eugene Intergovernmental Relations Director Brenda Wilson reminded the council of the contract entered into by the Eugene Water & Electric Board (EWEB) and the City of Veneta in April 2010 regarding the provision of surplus water to Veneta. Subsequently, the council held a joint meeting with the EWEB commissioners on June 7 to discuss the contract. A public information forum was held on June 8 and a public hearing was held on June 14. Seven people testified at the public hearing and three people provided written testimony. Staff returned to the council for further direction on June 28, at which time the council postponed a decision on the sale of water to Veneta pending the outcome of the validation process. That process was now complete, and representatives of EWEB and the City of Veneta were present to discuss next steps. EWEB's Director of Employee, Customer, and Community Services Debra Smith emphasized how important it was to the community that EWEB secure at least a portion of the third McKenzie River water right. She cited economic development opportunities, an adequate water supply, and protection against an uncertain climate future as key reasons for securing the right. Ms. Smith suggested a regional water strategy was critical to managing the risk of EWEB's having a single source of drinking water. She believed that there was an opportunity for EWEB to partner with neighboring utilities and municipalities to mitigate that risk in a cost - effective manner. Ms. Smith noted that councilors had been provided with information about the cost of a secondary source versus the cost of a regional strategy. She acknowledged the large expense involved in either scenario. Ms. Smith said the engineering needed to implement a shared strategy was relatively simple, but the relationship building necessary to realize such a vision was complex. While the Veneta contract might seem somewhat out of order, the work that EWEB, Eugene, and Veneta were doing collaboratively was an important element in demonstrating community interest in pursuing the option. MINUTES— Eugene City Council November 10, 2010 Page 1 Work Session