HomeMy WebLinkAboutResolution No. 4529
RESOLUTION NO. 4529
A RESOLUTION ADOPTING ADDITIONAL LOCAL
CRITERIA APPLICABLE TO THE WEST EUGENE
ENTERPRISE ZONE, AND REPEALING RESOLUTION NO.
4518.
The City Council of the City of Eugene finds that:
A. On September 8, 1986, by Resolution No. 4001, the City Council authorized the City
Manager to prepare and submit an application to the State of Oregon for designation of a West
Eugene Enterprise Zone under the Oregon Enterprise Zone Act, which application was accepted and
the West Eugene Enterprise Zone designated by the Governor of the State of Oregon.
. B. The Council subsequently authorized the City Manager to seek redesignation of new
West Eugene Enterprise Zone boundaries in 1988 and 1994.
C. The current West Eugene Enterprise Zone will expire on June 30, 1997, and the City
has determined it will not apply to the State of Oregon for continuation of the Zone for FY98 as
authorized by State statutes. Under current State statutes, companies participating in the West
Eugene Enterprise Zone at the time it expires will continue to have access to exemptions (for a ten
year period) on future investments after the expiration of the Zone.
D. In addition to extending the Oregon Enterprise Zone Program for an additional ten
year period, the 1995 session of the Oregon Legislature amended the state statutes to allow local
employment-related conditions to be added to the program's eligibility criteria.
E. On May 28, 1997 the City Council adopted Resolution No. 4518 adopting additional
local criteria applicable to the West Eugene Enterprise Zone.
F. The Council specifically finds that it would be in the public interest to repeal
Resolution No. 4518 and adopt the additional local program criteria set forth below to be used in
determining exemptions for future investments made by companies participating in the West Eugene
Enterprise Zone at the time it expires, and to be applicable to any pending applications, or
applications filed prior to termination of the zone.
NOW, THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EUGENE, a
Municipal Corporation of the State of Oregon, as follows:
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Section 1. Based upon the above findings, which are adopted herein, Resolution No. 4518
adopted by the City Council on May 28, 1997 is hereby repealed, and the City Council adopts the
local criteria specified below. These local criteria shall govern all pending applications for pre-
certification filed by a company prior to the expiration of the zone, and all applications filed by a
company participating in the West Eugene Enterprise Zone at the time the zone expires when that
company seeks an exemption for future investments after expiration of the zone.
Section 2. Qualifying companies shall be required to make a public benefit contribution in
an amount determined by an Enterprise Zone Committee based on the criteria specified in Section
4 of this Resolution. In no event shall the amount of the contribution exceed 15% of the tax
exemption.
Section 3. The Enterprise Zone Committee shall include six members: two city councilors
chosen by the City Council; two county commissioners chosen by the Board of Commissioners; one
additional elected official chosen by the other four members; and a representative from the West
Eugene Enterprise Zone businesses mutually agreed to by the City Council and the Board of
Commissioners. The additional elected official shall be a member of a governing body of one of the
local educational institutions (i.e., a school district or community college). The Enterprise Zone
Committee shall be responsible for: (a) determining the amount of the public benefit contribution
based on the criteria in Section 4; and (b) determining how to allocate the funds received from the
public benefit contributions as provided in Section 5. In making these determinations, the
Committee shall follow the procedures specified in Section 6.
Section 4. The Enterprise Zone Committee shall base its determination on the amount of
public benefit contribution on the following criteria:
*
the extent to which the company hires from local training/referral agencies
*
the extent to which the company hires persons with barriers to employment
*
the extent to which the average compensation of new jobs is equal to or greater than
the average county wage
*
the extent to which the company dedicates funds for non-mandated training and
benefits
*
whether the company is utilizing a previously developed site, including expansion
at an existing site, or redevelopment of an industrial or brownfield site
*
the extent to which the assessed value of new investment exceeds $500,000 per acre
*
whether the company is a small and/or local business or small and/or local start-up
company
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Section 5. The Enterprise Zone Committee shall allocate the funds received as a result of
the public benefit contribution to the city, county and local educational institutions. Not less than
40% shall be allocated to the County, and not less than 40% shall be allocated to the City. The
balance shall be allocated by the Enterprise Zone Committee among the City, County and local
educational services, including Section 501(c)(3) tax exempt education foundations.
Section 6. Following receipt of a precertification application for the enterprise zone tax
exemption, the Enterprise Zone Committee shall hold a public hearing. The purpose of the public
hearing shall be to receive input about both the appropriate amount of a public benefit contribution,
and how the funds, if any, should be allocated among the city, county and local educational
institutions. Notice of the public hearing shall be published in a newspaper of general circulation
in Lane County. In addition, individual notices of the public hearing shall be provided to the local
educational institutions, requesting their input. Following the public hearing, the Enterprise Zone
Committee shall determine the amount of the public benefit contribution, and how the funds shall
be allocated. The Committee's decision shall be a recommendation forwarded to the Board of
Commissioners and the City Council. In the event the Board of Commissioners or the City Council
does not agree, the amount of the payment shall be the percentage recommended by the Committee
or 10%, whichever is less. The City Council and Board of Commissioners may by mutual agreement
select a percentage different than that recommended by the Committee, so long as the percentage
is less than 15%.
Section 7. If any section, subsection, clause or portion of this Resolution is for any reason
held invalid or unconstitutional by a court of competent jurisdiction, such portion shall be deemed
a separate, distinct, and independent provision and such holding shall not affect the validity of the
remaining portions hereof.
Section 8. This Resolution shall take effect immediately upon adoption by the Council and
adoption of a substantially similar resolution by the Board of County Commissioners.
The foregoing Resolution adopted the 30th day of June, 1997.
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