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Mr. Kelly agreed with Chief Lehner that substations could be an attractive way to deliver services in the future, but commented that the City had struggled in past years to keep "storefront" satellite police facilities open. He did not feel that Option D eliminated the option of substations. He agreed with Mayor Torrey's remarks that the incidents of police officer misconduct was a separate matter, but was concerned that it was not separate in the voters' minds. He agreed with earlier comments regarding the difficulty of putting a City Hall replacement measure on the ballot in November 2004 and the suggestion that it be postponed until 2006. He asked whether police personnel could be temporarily located in a facility that did not meet seismic code requirements while a new facility was being built. Mike Penwell with Facilities Management replied that under Oregon law that was not possible. Mr. Taylor drew the council's attention to other finance measures scheduled for the ballot in 2006, specifically the possibility of a parks and open space bond issue and the library levy, and a tentatively scheduled discussion in 2008 about replacement of City Hall. He suggested that there was time to fully investigate the question of whether to renovate the current facility or move forward with a new facility and to have that conversation with the community well in advance of placing the issue on the ballot. Ms. Bettman moved, seconded by Mr. Poling, to direct staff to develop a bond measure for the November ballot based on the Civic Center Option A+, as described in new Attachment A. Ms. Bettman stated that she could not support the motion and was in favor of a modified Option D. She said that even if Option D failed in 2004, rebuilding City Hall was a new issue for the voters and the option could be returned to the ballot in 2006. She said that replacement of City Hall was the top capital project for the City and moving forward with Option A+ jeopardized the ability to rebuild City Hall in the future because internal funds would be exhausted. She said she preferred to have nothing on the ballot in 2004 in order to increase internal funds. She said she did not believe that $100,000 was necessary to campaign for Option D as there was not likely to be an organized opposition and if council members showed leadership by advocating for the measure and educating the community they could build momentum. She said there was no longer an urgent need to move personnel out of City Hall and no pressure to move forward immediately, allowing the opportunity to wait two years if necessary to increase internal funding. Mr. Pap~ referred to the recent parks and open space bond issue, which was well-publicized and well-received in the community, and noted that $70,000 was spent on that campaign. He agreed with Mayor Torrey's assessment of the estimated cost of $100,000 for a bond measure campaign. He asked if the project would be easier to finance if other agencies were paying market rate rents. Mr. Carlson said that charging agencies more rent would not generate a sufficient revenue stream to make up the difference of $6.79 million. Mr. Pap~ agreed that it was prudent to fully investigate a lease-to-own financing mechanism. He noted that Option D would use up to 98 percent of the City's bonding capacity. He asked how that would limit a parks and open space bond in two years. Mr. Carlson said the council would have to change the current policy established by the Budget Committee of one percent of real market value. He said the State law was three percent of real market value. Mr. Pap~ asked if changes to the policy would affect the City's bond rating. Finance and Court Services Director Cindi Hamm responded that the City's bond rating was very high because it was conservative with debt and the debt capacity policy was only one of the factors that MINUTES--Eugene City Council July 21, 2004 Page 6 Work Session