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HomeMy WebLinkAbout02/24/1986 Meeting (2) M I NUT E S e Eugene City Council City Council Chamber February 24, 1986 7:30 p.m. COUNCILORS PRESENT: Richard Hansen, Debra Ehrman, Emily Schue, Cynthia Wooten, Freeman Holmer, Jeff Miller, Roger Rutan COUNCILORS ABSENT: Ruth Bascom The adjourned meeting from February 19, 1986, of the City Council of the City of Eugene, Oregon, was called to order by His Honor Mayor Brian B. Obie. e I. COUNCIL-INITIATED IMPROVEMENT PROJECT FOR STREET IMPROVEMENTS (CURB AND SIDEWALK) ON NORTH SIDE OF 5TH AVENUE FROM WIllAMETTE STREET TO PEARL STREET (memo, map, resolution distributed) City Manager Michea1 Gleason introduced the discussion. City Engineer Bert Teitze1 gave the staff report. He said the improvement of Fifth Avenue between Wi11amette Street and Pearl Street is listed in the Downtown Plan, and the draft Capital Improvement Program (CIP) lists the improvement of Fifth Avenue as a project to be completed between 1990 and 1996. Mr. Teitze1 recommended council approval of the proposed project which will be financed with an assessment district. He said the project will result in the construction of curbs and a 12-foot wide sidewalk on the north side of Fifth Avenue from Wil1amette Street to Pearl Street. The assessment district will involve the Oregon E1ectic Station and the Burlington Northern Railroad. Mr. Teitzel said the eastern 167 feet of the project is within the Fifth Avenue Special District which requires brick sidewalks. Instead of a brick sidewalk along only part of the block, Mr. Teitze1 recommended that the entire sidewalk be composed of six-foot square modules with concrete centers lined with brick. The sidewalk will be similar to the sidewalks on Wi11amette Street between 10th and 11th avenues. Mr. Teitze1 said the Parks Department staff will plant trees in spaces in the sidewalk. The project will result in curbs, sidewalks, and trees along the north side of Fifth Avenue. He said street lights for the block would cost $40,000 and they are not in the proposed project. The adjacent property owners will be assessed about $30,000 for the project. The project will cost the City about $19,000 this year and about $40,000 in the future. He said property owners can discuss the project with the councilors at a public hearing before a contract is awarded. Councilor Wooten said the Downtown Plan intended the project to be intense. The plan was to make Wi11amette Street from the train station to Fifth Avenue ~ and Fifth Avenue from the Oregon Electric Station to High Street a unique, MINUTES--Eugene City Council February 24, 1986 Page 1 e - e very special district with sidewalks on both sides of the street, brick crossings, trees more often than every 35 feet, and pedestrian level lighting. She said the area should be distinctive to attract tourists. She wondered what process the City could use to make more improvements than in the proposed project. Mr. Teitzel responded that the improvements were planned with pedestrians in mind. He said he is working with the Planning Department, the Development Department, and the Parks Department to complete a design that will be compatible with a pedestrian corridor from the downtown to the Fifth Street Market. He said the CIP indicates that City funds will not be available for the project until at least 1990. The Public Works Department is trying to get some improvements accomplished with an assessment district. Answering questions from Councilor Holmer, Mr. Teitze1 said property owners on the south side of Fifth Avenue have not been contacted. The right-of-way on the north side of Fifth Avenue will accommodate a 12-feet-wide sidewalk which will be composed of two, six-foot modules. Trees will be planted in the modules and he will discuss appropriate spacing for the trees with the Parks Department staff. Responding to questions from Councilor Hansen, Mr. Teitze1 said the zoning on the properties requires a sidewalk from the curb to the property line and the Downtown Plan indicates that the wide sidewalk at the Oregon Electric Station will be continued down the block. If the properties on the south side of Fifth were developed now, a 12-foot sidewalk would be required. The property owners on the north side will pay for the 12-foot sidewalk through an assessment district. The code requires 12-foot sidewalks in commercial areas because there should be enough pedestrian traffic to warrant them. Mr. Hansen wondered if it is appropriate to take $19,000 from this year's budget and $40,000 in succeeding years when there may be a shortfall in this year's budget. Mr. Teitze1 said that most of the $19,000 would be from pavement rehabilitation funds. Ms. Wooten said she was excited about the potential for attracting tourists and for making the special district a delightful part of the community. She would like improvements for the entire area to be planned. She wants the area around the South Pacific Train Station to be a beautiful, interesting entrance to Eugene. She wants to encourage pedestrian use and activity along Fifth Avenue. She wondered if a local improvement district would be a better way to fund the improvements than an assessment district. Councilor Schue agreed that the improvements envisioned by Ms. Wooten would be nice from the train station to the Hu1t Center and on both sides of Fifth Avenue. Ms. Schue said she would agree to spending $19,000 for the project, but she did not think funds should be spent for a more elegant project because of budget constraints and the placement of the project in the CIP. She said starting the project now may encourage more improvements later. Answering questions from Councilor Miller, Mr. Teitzel said a preliminary design for both sides of Fifth Avenue will be completed before the improvements on the north side of Fifth are constructed. The design will ensure that the improvements are part of a comprehensive plan. MINUTES--Eugene City Council February 24, 1986 Page 2 e Councilor Ehrman said the project is needed and will start the development of Fifth Avenue into a boulevard. She said there are two parking lots and one building on the south side of Fifth Avenue from Willamette to Pearl; consequently, it is sensible to improvement the north side first. She hoped Willamette Street would be considered when the comprehensive plan is prepared. She was contacted several months ago by business people in the area who want the improvements. She said the improvements will conform to the EWEB Master Plan. Reponding to a request from Ms. Wooten, Mr. Gleason discussed a local improvement district. He said a committee should decide what is needed and then examine the code to find out what is assessable in a local improvement district. Other funds have to be found for the things that cannot be assessed in a local improvement district. He said the proposed project can be assessed to the adjacent property owners. Mr. Teitzel added that the code does not permit assessing the cost of trees and street lights to property owners. City Attorney Stan long said he will examine the proposed changes to Chapter Seven to see if they would permit assessments for street lights and other unusual improvements. He added that the charter includes a six-month delay before changes in the assessment sections of the code take effect. Answering a question from Mr. Hansen, Mr. Teitzel said the fence along the Electric Station parking lot is probably on the property line. The improvements should not affect the parking lot. e Ms. Wooten said it would be wise to make the area attractive, exquisite, and breathtaking. The proposed improvements will do it in part. She will support the proposed resolution, but she wants it clearly understood that a comprehensive plan will be completed and reviewed by the Downtown Commission and the Council. She suggested that more of the property owners might be involved. Mr. Hansen said he is not interested in spending more than $19,000 of City funds on the project. Answering a question from Ms. Ehrman, Mr. Teitzel said the preliminary plan will be for the whole area, but the council does not usually review preliminary plans. Mr. Gleason said any councilor can review plans. He pointed out that only the Special District has standards and said there are no standards for the rest of Fifth Avenue or Willamette Street. If the councilors want to extend the Special district standards, a special plan should be prepared. Res. No. 3965--A resolution authorizing street improvements (curb and sidewalks) on north side of 5th Avenue from Willamette Street to Pearl Street (Tax Lots 17-03-31-11--13801 and 17-03-31-11--13800) (2238). e Mr. Hansen moved, seconded by Ms. Ehrman, to adopt the resolution. Roll call vote; the motion carried 6:1 with Mr. Hansen, Ms. Ehrman, Ms. Schue, Mr. Holmer, Ms. Wooten, and Mr. Miller voting aye and Mr. Rutan voting nay. MINUTES--Eugene City Council February 24, 1986 Page 3 - Mayor Obie wondered if he had a conflict of interest. He pointed out that he had not participated in the council's deliberation or discussed the matter with the councilors or staff. Mr. Gleason said he did not think Mayor Obie had a conflict of interest. II. POSTPONEMENT OF CONSIDERATION OF APPEAL OF SIGN CODE BOARD OF APPEALS DECISION (memo distributed) City Manager Michea1 Gleason introduced the discussion. Jim Croteau of the Planning Department gave the staff report. He said a decision of the Sign Code Board of Appeals concerning the signs of three automobile dealerships was appealed to the council, and the council postponed a decision on the appeal until the Sign Code is updated. He said the Planning Commission completed its review of the Sign Code Update in January and the council will hold a public hearing on it in March. He said the Planning Commission tried to find a compromise for the automobile dealerships. Mr. Hansen moved, seconded by Ms. Ehrman, to postpone consideration of an appeal of various automobile dealerships (Kendall Ford, Inc., Dunham 01ds-Cadi11ac, and Valley River Dodge) to April 28, 1986. e Answering a question from Ms. Ehrman, Mr. Croteau said the postponement is agreeable to the dealers. Mr. Hansen said he has been contacted by other people whose signs may violate the Sign Code. He would like the Update to address their concerns as well as the concerns of the automobile dealerships. Roll call vote; the motion carried unanimously, 7:0. III. lEGISLATIVE SUBCOMMITTEE MINUTES/FEDERAL PRIORITY POSITION ON CDBG FUNDING (minutes distributed) A. Consideration of legislative Subcommittee Minutes of February 14, 1986 (minutes distributed) City Manager Michea1 Gleason introduced the topic. Ms. Schue discussed the Legislative Subcommittee minutes of February 14, 1986, which were before the council for approval. She said the subcommittee discussed legislative priorities at that meeting. The priorities are important, she said, because a group of councilors is going to Washington, D.C., soon. She said the subcommittee rules indicate that a decision to which the three members all agree and in which the alternate member participates will become the council's position unless another councilor objects. The rules also indicate that issues on which the members do not all agree will be refered to the whole council. e MINUTES--Eugene City Council February 24, 1986 Page 4 e - e Ms. Schue said the subcommittee made some changes in a secondary list of priorities which the City will support with other organizations. The discussion of the list is reported in the second paragraph on page 3 of the minutes. She said counciiors might want to discuss the list at another time. Ms. Schue said subcommittee members did not agree on the fourth priority for immediate action which concerned Community Development Block Grants (CDBG). She said Congress proposed cuts in the program or elimination of it. The staff recommended the City attempt to have the program continued or, if it is eliminated, to have it phased out so that the City can adequately adjust to its elimination. Mr. Hansen moved, seconded by Ms. Ehrman, to approve the Legislative Subcommittee minutes of February 14, 1986. Mr. Holmer said he will vote to approve the minutes, but he would like to qualify that vote somewhat with observations about the minutes and the priority list. He said the priorities for Federal lobbying efforts were developed with the advise of the City's Executive Managers. The airport terminal expansion was the top priority, and the subcommittee members unanimously supported lobbying efforts for it. Mr. Holmer said the second item was called tax reform and included a suggestion that the City lobby to maintain the tax exempt status of municipal bonds. He and the other subcommittee members agreed with the proposal, but his agreement was qualified and, although the qualification was indicated in the minutes, he would like to emphasize it. He said municipal bonds have been used for private as well as public purposes. He said tax reform should address the abuses, but it should not penalize the use of municipal bonds for traditional municipal purposes. If that is not clearly understood to be City policy, the council should debate it. He said the same should be said about tax increment financing. If there are transition problems, the City should seek tax reforms that will facilitate the transition. He said the council should be more explicit about those than the subcommittee was. Mr. Holmer said all subcommittee members agreed that appropriations for the University of Oregon Science Building should be monitored. He emphasized that City representatives should lobby for things such as the airport and the University on which they can have an impact. He does not disagree about seeking authorized Federal funds for structures or programs. Mr. Holmer said the list of secondary priorities included industrial revenue bonds, urban development action grants, and the revival of revenue sharing. He said the subcommittee did not take a position on those items, but it recommended support for four less controversial items. He said the Executive Managers reportedly recommended that the subcommittee take no action on the industrial revenue bonds. Mr. Holmer said cities have the image of being monolithic opponents of a balanced Federal budget and meaningful tax reform. He would not like Eugene City Councilors to try to undermine overdue efforts to balance the national budget or reform the tax structure. He does not want City officials or hired MINUTES--Eugene City Council February 24, 1986 Page 5 e lobbyists to urge the increase of the national debt, taxes, inflation, and unemployment. He said the nation is a debtor nation which has an unfavorable balance of trade. To advocate less than compliance with Gramm-Rudmann- Hollings or anything other than a revenue-neutral tax reform is an invitation to economic, political, and social disaster, he said. Mr. Holmer said defense spending, social security, and federal pensions do not have to be exempted from reductions in the Federal budget, but we should not recommend that everything should be cut except Federal borrowing to save city officials from hard fiscal decisions. The motion passed unanimously, 7:0. B. Federal Priority Position on Community Development Block Grant (CDBG) Funding (memo distributed) Responding to a question from Ms. Schue, Development Director Abe Farkas discussed ways CDBG funds have been used in Eugene. He said the City has received about $1.3 million in CDBG funds annually that have been critical in leveraging jobs, private funds, tax funds, and community improvements. He said the City proposal for 1986 CDBG funds is to use 30 percent for economic development primarily in the business development loan program, 30 percent for housing rehabilitation, 12 percent for joint social services, 10 percent for neighborhood improvements, and 18 percent for planning, implementation, and administration. e Discussing the business development fund, he said $1.3 million of CDBG funds has leveraged $7.2 million in private funds and created 359 new jobs in 30 businesses. He said people with low and moderate incomes got about 80 percent of the new jobs which resulted in a payroll of $10.6 million and tax payments of about $2.2 million in two years. He also discussed other things accomplished with CDBG funds. He said $1.3 million in taxes received resulted in $2.2 million in taxes returned. Elizabeth Cherry of the Intergovernmental Relations Division said the staff had anticipated cuts of about ten percent in the CDBG program, but additional deferrals of about 20 percent have been proposed. She said there is strong national support for maintaining the CDBG program and lobbying efforts may be successful. Discussing relationships with other organizations, she said the elimination of the deferrals is a core item in the league of Oregon Cities legislative priorities, one of the top concerns of Portland officials, and a top priority of the National League of Cities. She said other western cities will be lobbying against the deferrals and those cities will count on support from Oregon cities. She said unity and Eugene's relationship with other cities is an important consideration. She said the council must decide about including the item in the priorities and about lobbying for it when the councilors go to Washington. She said the Executive Managers recommended that the council give the retention of CDBG funding a top priority and that councilors lobby for it in Washington. e MINUTES--Eugene City Council February 24, 1986 Page 6 e e e Answering a question from Ms. Wooten, Mr. Farkas said the Development Department has 39.7 full-time employees. About 10 full-time positions are funded with CDSG funds which are split amond 15 or 16 employees. The greatest impact of the proposed 20 percent deferrals would be in the department's ability to deliver programs. Ms. Cherry added that the City's two loan programs cannot end if CDSG funds are reduced because loan repayments will continue to come in; consequently, City staff paid with other funds would have to administer those programs. Mr. Miller is a member of the Community Development Committee. He said the COSG program is vital and important. He said the COSG program is a locally controlled one which provides services that cannot be provided in other ways. He said the proposed COSG deferrals could be taken out of the military budget without hurting it. He said Eugene and many other cities cannot qualify for Urban Development Action Grants (UDAG) funds now, but they can still qualify for COSG funds. He hoped the Federal budget would not be balanced on the backs of the poor. He said the COSG funds come from local citizens, but there is no proposal to return the deferrals to the local jurisdictions for distribution. Mr. Rutan said no one questions that COSG funds have been administered well in Eugene and the City would like to continue receiving them; but the limited time City Councilors have to address the congressional delegation and the City's limited resources in Washington, O.C. should be used as effectively as possible. He said City Councilors should lobby for projects which directly affect Eugene. He suggested Eugene officials indicate that the retention of COSG funds is a national problem and suggest alternatives to the congressional delegation. Ms. Ehrman said City officials should indicate that deferrals in COSG funds will hurt the City badly. She said the City is losing Federal Revenue Sharing funds, and City representatives should indicate the true situation to congressional delegates. She said maintaining COSG funding should be a top priority for the City and lobbying for it can be done constructively. Ms. Schue agreed with Ms. Ehrman. She said the majority of the subcommittee members recommended that the COSG funds be a top priority of the City. She emphasized that the City has lost Revenue Sharing Funds. She said the COSG program meets the special needs of people with low and moderate incomes. She said City officials should make it clear to congressional representatives that the program is valuable and the City would like to see as much of it preserved as possible. Answering questions from Mr. Hansen, Mr. Farkas said a combination of the deferrals and Gramm-Rudman-Hollings cuts would reduce the COSG funds the City receives to about $650,000 and reduce the programs about 50 percent. Ms. Cherry said some congressional caucuses which will not support the reauthorization of revenue Sharing will support maintaining the COSG program. She emphasized that the COSG program will be considered in the next three or four months. MINUTES--Eugene City Council February 24, 1986 Page 7 e Mr. Holmer said Eugene has used COBG funds wisely. He said whether taking money from the private sector and returning it to cities to leverage private funds is more productive for economic development than leaving the money in the private sector to leverage funds can be questioned. He said the COBG program will probably be eliminated and the City should advocate phasing the COBG program out over a period of time which will allow the City to find ways to replace the funds. He said the risks the nation runs if local governments do not show restraint are severe. e Ms. Wooten said she appreciated Mr. Holmer's position, but she does not support the Gramm-Rudman-Hollings proposal. She said the U.S. Congress should decide how to lower the Federal deficit. She said local jurisdictions will be self-reliant by the year 2000, and Eugene is making progress in economic development, job creation, the physical assets of the community, and self-reliance. She said it would be short-sighted to indicate in Washington that the COBG program should be phased out. She did not think the community would support that should it be the council's position. She said lobbying for the continuance of the CDBG should be a high priority of the City. She said the City has an obligation to other cities to do so. Mr. Hansen moved, seconded by Ms. Ehrman, to accept the position of the majority of the Legislative Subcommittee and give continued COBG funding a top priority in the City's lobbying efforts in Washington, O.C. Mr. Rutan pointed out that the Legislative Subcommittee did not vote on the issue. Ms. Ehrman and Ms. Schue said an informal poll was taken, and when agreement could not be reached, the matter was referred to the council. Mayor Obie ruled that the motion indicated that lobbying in Washington, O.C. in favor of continuing the COBG program will be a top priority of the City. Mr. Hansen said the Federal government should balance its budget, and the City has an opportunity to dedicate about $600,000 to that although some of the City's programs for people with low and moderate incomes will be decreased. He said other cities are lobbying for the COBG and he would rather not have it as a Eugene priority. He will reluctantly vote against the motion. Mayor Obie said he will be happy to lobby as indicated in the motion, but he personally believes the necessary cuts should be made in the military budget or other ratcheted programs. He said Congress would be short-sighted to cut the COBG program. The motion carried 5:2 with Councilors Schue, Ehrman, Miller, Rutan, and Wooten voting aye and Councilors Holmer and Hansen voting nay. e MINUTES--Eugene City Council February 24, 1986 Page 8 e e - IV. QUARTERLY REPORT ON EUGENE/SPRINGFIELD METROPOLITAN PARTNERSHIP City Manager Micheal Gleason introduced Vicki Dietmeyer, Executive Director of the Eugene/Springfield Metropolitan Partnership, who reported on activities from October to December 1985. She determined that the councilors had received the Quarterly Report. She discussed the partnership's budget, her efforts to learn about the community, the Partnership's work plan which includes recommissioning the Fantas Company, participation in trade shows and meetings, the Ambassador Program, direct mail and industrial-specific advertising campaigns, meetings with EWEB, and recruitment activities. Ms. Dietmeyer said the the area needs exposure, and it will take time to turn the economy around; but progress is being made. She discussed plans to invite realtors, representatives of financial institutions, site selection consultants, business prospects, and representatives of major construction companies to Eugene in the fall. She said the Partnership has contracted with a firm to contact businesses in Japan. She also reviewed expectations for the next quarter. V. CITY COUNCIL MINUTES OF: DINNER/WORK SESSION OF JANUARY 27, 1986, AND lUNCH/WORK SESSION OF JANUARY 29, 1986, (minutes distributed) Mr. Hansen moved, seconded by Ms. Ehrman, to approve the City Council minutes of January 27, 1986, and January 29, 1986. Roll call vote; the motion carried unanimously, 7:0. IV. APPOINTMENTS: MAYOR1S APPOINTMENT TO SOUTHERN WIllAMETTE PRIVATE INDUSTRY COUNCIL (memo distributed) Mayor Obie announced that he appointed Mr. Rutan as his replacement on the Southern Willamette Private Industry Council. R~~ .~.~~ -- Micheal Gleason Ci ty Manager (Recorded by Betty lou Rarick) BLR:je/1991C MINUTES--Eugene City Council February 24, 1986 Page 9