Loading...
HomeMy WebLinkAbout07/16/1986 Meeting ~ c M I NUT E S e Eugene City Council City Council Chamber July 16, 1986 Noon COUNCILORS PRESENT: Richard Hansen, Debra Ehrman, Emily Schue, Cynthia Wooten, Freeman Holmer, Ruth Bascom, Roger Rutan, Jeff Mi 11 er. The adjourned meeting of July 14, 1986, of the City Council of the City of Eugene, Oregon, was called to order by Council President Richard Hansen in the absence of Mayor Brian B. Obie. I. ITEMS FROM MAYOR, COUNCIL, AND CITY MANAGER; ANNOUNCEMENTS; AGENDA ADJUSTMENTS A. Celebration of the Bicentennial of the U.S. Constitution Councilor Holmer suggested the City take an act:ve part in the celebration of the bicentennial of the United States constitution two years from now. He said the University of Oregon Hi story Department and Law Schoo 1 probably would want to be involved. Councilor Schue said she is a member of a local committee formed under the auspices of the University of Oregon to plan a local celebration of the bicentennial. She said the committee applied for a grant to fund several e projects. Coucilor Wooten said the Eugene Celebration is planning an exhibit about the centennial at the library. B. Initiative Petition to Declare Eugene a Nuclear Free Zone Mr. Holmer said City Recorder Karen Goldman informed the councilors she will present the council on July 28, 1986, an initiative petition to declare Eugene a Nuclear Free Zone. He discussed several options the council could consider at that time and said the council has a responsibility to endorse the measure explicitly as a councilor to oppose it explicitly as a council. He said he will be out of town on July 28. He asked that consideration of the petition be postponed until August 13, 1986. Replying to questions from Mr. Hansen and Ms. Wooten, City Manager Micheal Gleason said an item is usually postponed when a councilor requests it. He said the council's practice in the past has been to acknowledge and validate such petitions and place them on the ballot. City Attorney Tim Sercombe discussed the actions the council may take and said he will investigate the time periods for them as well as the last date the council can put a measure on the ballot. e MINUTES--Eugene City Council July 16, 1986 Page 1 I' I Answering a question from Ms. Wooten, Mr. Holmer said he does not intend to present an alternative ballot measure to the council. He said he may - suggest the council adopt a resolution endorsing or opposing the measure. Ms. Wooten said she would like the measure to be put on the ballot if sufficient, valid signatures have been gathered. Mr. Hansen said the matter will be postponed unless postponement will cause a problem. In that case, Mr. Gleason and Mr. Holmer will discuss a solution. C. Tour of Restroom Facilities in the Downtown Mall Councilor Bascom asked the City Manager to schedule a walking tour of the restroom facilities in the Downtown Mall. Councilor Ehrman stated she and Ms. Schue toured the mall with Development Department staff recently, so she is familiar with the area. D. Celebration of Martin Luther King's Birthday Counci lor Mi 11 er said it is very important for Pacifi c Northwest communities to affirm their positions on human rights. He said he has met with a committee planning the Eugene Celebration of Martin Luther King's birthday and is working with the City's Human Rights Commissions. E. Agenda Change e City Manager Micheal Gleason said consideration of the revisions to the solar access regulations was tak.en off the agenda and a counci 1 recommendation to the Oregon Department of Transportation regarding the West Eugene Park.way inserted in its place. F. Donna Isadore--Public Service Officer Mr. Gleason introduced Donna Isadore who will be the Publ ic Service Officer until January I, 1987. II. ROUTINE ITEMS FOR COUNCIL APPROVAL A. City Council Minutes of: Dinner/Work Session and Meeting of May 27, 1986; Dinner/Work Session of June 9, 1986; Dinner/Work Session and Meeting of June 16, 1986; Meeting of June 18, 1986; and Meeting of June 25, 1986 (minutes distributed Mr. Holmer made the following correction in the fifth full paragraph .on page 3 of the May 27, 1986, minutes (Material in parenthesis should be deleted. Underlined material should be added): e MINUTES--Eugene City Council July 16, 1986 Page 2 , , Mr. Holmer was concerned that enforcement. . .Mr. Tumidaj agreed that it is (a tested) an untested procedure. Mr. Gaydos added. . . e Ms. Ehrman moved, seconded by Ms. Schue, to approve the City Council minutes of May 27, 1986, June 9, 1986, June 16, 1986, June 18, 1986, and June 25, 1986, as corrected. Roll call vote; the motion carried unanimously, 8:0. B. Improvement Petitions 1. Alley Paving from 13th Avenue (assessible costs: alley paving--72.3 percent; City cost--$2,000) (Job No. 2248) Res. No. 3990--A resolution authorizing alley paving from 13th Avenue to 14th Avenue between High Street and Pearl Street. 2. Improvements to Serve Cameo Estate (assessible costs: paving--lOO percent; sewers--41 percent; City costs--Parks propertY--$20,000 and intersection--$2,000) (Job No. 2257) Res. No. 3991--A resolution authorizing paving, sanitary sewer, and storm sewers to serve Cameo Estate, an area between Gilham Road to 300 feet east of Sarah Lane, from 2,000 feet north of Crescent Avenue to 1,300 feet north of Crescent Avenue. e Ms. Ehrman moved, seconded by Ms. Schue, to adopt the resolutions. Roll call vote; the motion carried unanimously, 8:0. III. REPORT FROM HISTORIC REVIEW BOARD (background information distributed) City Manager Micheal Gleason introduced Carole Daly, chairperson of the Historic Review Board (HRB). Ms. Daly discussed the reorganized of the HRB that took place about a year ago. She said the HRB is now a hearing body. Reviewing accomplishments, she sa i d the Kenne 11 Ellis Building was designated a City Historic Landmark. She said the HRB undertook a public awareness program with the result that board members participated in the tour of the East Skinner Butte area on Mother1s day and organized a historical tour by bicycle during the Eugene Celebration. Discussing the HRB1s work program, she said the board applied for a grant from the State Historic Preservation Office to survey the West University neighborhood and to complete Phase 2 of the College Hill/South University and Fairmount survey. Only part of the application was approved and the board decided to survey the West University neighborhood. She said a survey is important e MINUTES--Eugene City Council July 16, 1986 Page 3 , . because it identifies, evaluates, and ranks the historic value of structures. She said the HRB wants to encourage property owners to seek e historic nominations and wants to develop additional incentives for historic preservation. Ms. Daly said the HRB work program includes a revi ew of the code provisions for historic preservation. She reviewed the hi story of interest in historic preservation in Eugene. She said historic preservation is expensive and those who advocate it are not necessarily opposed to community growth. She said the Ax Billy Buildi ng and the McDonald Theater are good examples of preservation but they are not City Landmarks. They are on the National Register. She said coordination is needed to shorten the process for applying the City Landmark designation to structures on the National Register. She said the East Skinner Butte historical area has been protected by the City ordinance and has prospered. Answering a question from Ms. Wooten, Ms. Daly said the HRB may meet with the Planning Commission to discuss code changes or a subcommittee may recommend code changes to the HRB. Mr. Holmer commended the HRB for informing him of the basis for designating the Kennell Ellis Building a City Landmark. IV. RECOMMENDATION TO OREGON DEPARTMENT OF TRANSPORTATION REGARDING WEST EUGENE PARKWAY e City Manager Micheal Gleason introduced the item. Ms. Ehrman moved, seconded by Mr. Rutan, to recommend Alternative 1a at-grade to the Oregon Department of Transportation for the West Eugene Parkway. Answering a question from Mr. Hansen, Ms. Ehrman said her intent was to include all of the statement prepared by the staff in her motion. Mr. Rutan withdrew the second. Ms. Schue seconded the motion. The motion was: To recommend Alternative la at-grade for the West Eugene Parkway to the Department of Transportation with the following comments: Although the basic alignment should follow the general route depicted as Alternative 1a at-grade, consideration should be given during design of the project to some e MINUTES--Eugene City Council July 16, 1986 Page 4 , version of the elevated option between 5th and Highway 99. If the alignment and ramp geometry can be e modified to lessen the right-of-way impacts of an elevated section, it could result in substantial advantages: --provide unimpeded access between 5th Avenue and businesses north of 5th which are dependent on that access (the Barker/Cabax property and Pacific Petroleum Company) --provide a grade separation across two of the three rail spurs between Seneca and Highway 99, which would improve traffic operations and safety and would respond to concerns raised by Southern Pacific Transportation Company and by National Fire Fighter Corporation in regard to potential future abandonment of those spurs. --result in separation of through and local traffic on the new highway, which would improve traffic operations and safety. --eliminate the need for the connector between 5th Avenue and the new highway at Wilson Street, thereby eliminating the impact on National Fire Fighter Corporation. e If the elevated section proves infeasible, the design of the at-grade highway should be modified, if possible, to relocate the Wilson Street Connector (to preserve National Fire Fighter Corp.) and the connector between 6th and 7th that would displace Ambassador Hair Salon. In addition, attention should be given to the need for traffic signals, auxiliary through lanes or turn lanes, and other design features to ensure the safe and efficient operation of the highway for both through and local traffic. Finally, we urge that the other concerns included in our motion of December 16, 1985, be addressed, especially the need for possible future expansion of the highway, and the importance of providing landscaping as an essential component of the project. Mr. Rutan said the council should not design the highway and some design issues are not included in the mot ion. He said the counci 1 should recommend an alignment only. He suggested the rest of the motion be submitted as some concerns of the council with the minutes of the July 15, 1986, hearing to the Department of Transportation. He said the motion implies that the highway can be designed lito make everyone happy.1I He did e MINUTES--Eugene City Council July 16, 1986 Page 5 . not think that is realistic. He said the changes that would save National Fire Fighter Corporation and Ambassador Hair Salon would be very e expensive. Ms. Schue agreed with Mr. Rutan. She said the motion did not reflect the testimony on July 15. She said she thought the council had agreed not to recommend the elevated option between 5th and Highway 99. She said she does not want to demand "unimpeded access between 5th Avenue and bus; nesses north of 5th. . ... or the other requi rements ; n the motion. Mr. Gleason suggested the council recommend Alternative 1a and consideration of elevating the segment between Fifth Avenue and Highway 99 to the Department of Transportation and forward the rest of the motion as design considerations in a letter from the Mayor and City Council. He said the Highway Division staff did not recommend the elevated alignment because of its cost; however, when the design is completed in two years, the Six-Year Highway Improvement Plan which the State Transportation Commi s s i on mu st approve wi 11 be updated. At that time, some of the mitigations the elevated section would accomplish might be funded. He said the elevated section would increase the capacity of Highway 99. Ms. Ehrman withdrew the motion with Ms. Schue's approval. Ms. Ehrman moved, seconded by Ms. Schue, to recommend Alternative 1a at-grade for the West Eugene Parkway to the Oregon Department of Transportation. e Ms. Ehrman suggested the staff report to the council later about referring concerns to the Department of Transportation. Ms. Bascom said she will support the motion. Mr. Miller said Mr. Gleason indicated the elevated section should be considered because it will increase the flow of traffic in the future. Mr. Gleason said the question of elevating a section of the highway is a design issue. It is not a route issue. He said the exact cost of the elevated section is not known now. He said the elevated section can be constructed in the Alternative 1a alignment. Answering a question from Mr. Miller, Mr. Gleason said the motion could be approved and then the council could indicate that the elevated section should be considered. Mr. Holmer said the council should act on the information it received which indicated that the at-grade alignment is preferable. He said the council could consider an elevated section later, but, in his opinion, the motion should be passed. e MINUTES--Eugene City Council July 16, 1986 Page 6 . Mr. Hansen said the design of a ramp system for the east-west connection to Highway 99 would provide good traffic flow. He said the City should e urge construction of the elevated section so that traffic on and off the parkway is not delayed. He said the community will benefit in the future from an elevated section. Mr. Hansen moved, seconded by Mr. Miller, to recommend a continuing review of an elevated grade in the final design of the West Eugene Parkway. Mr. Hansen said the elevated section should be considered. Mr. Rutan emphasized the importance of the wording of the council's recommendation to the Department of Transportation. Replying to a question from Mr. Rutan, Mr. Gleason suggested the councilors recommend Alternative 1a at-grade and suggest the State Highway Division continue to consider and discuss mitigations which include elevating the section between Fifth Avenue and Highway 99. He said it is extremely important that all the counci lors agree on the message that is sent to the Department of Transportation. Ms. Schue said there was much discussion on July 15 about Alternative la at-grade, but there was almost no testimony about an elevated section although it probably is a good idea. She said people probably thought it was not a topic for discussion because the Highway Division did not recommend it. e Mr. Gleason reiterated that a decision to elevate the highway will depend on how it can be designed. He said the ballot measure will be a vote on the route. He said it would be short-sighted to eliminate the possibility of elevating the highway. Ms. Bascom said she will vote against the amendment, but she would like to forward the concerns in the longer motion in a memo. The amendment failed 3:5 with Councilors Schue, Miller, and Hansen voting aye and Councilors Wooten, Rutan, Holmer, Bascom, and Ehrman voting nay. The main motion carried unanimously, 8:0. Mr. Hansen said the comments in the longer motion will be forwarded to the Department of Transportation. He asked the staff to recommend an election date at another meeting of the council. Responding to a comment from Ms. Ehrman, Mr. Gleason said he will present a draft of the formal communication to the Department of Transportation- to the councilors for review. e MINUTES--Eugene City Council July 16, 1986 Page 7 V. COMMERCIAL REVITALIZATION LOAN: RECAPITALIZATION PROGRAM (memo distributed e City Manager Micheal Gleason introduced the item. Jesse Smith of the Development Department gave the staff report. He said the Commercial Revitalization Loan Program of the City provides leverage financing for improvements to commercial buildings within the urban renewal boundary. He said the program has loaned $460,000 in the last four years and it has leveraged $5 million in private financing. He said Title I Grant Funds were used for the program and there are no new funds available. Mr. Smith said the Recapitalization Program will sell seven of the nine loans in the program to local lenders, especially lenders who provided the original private financing. He said the sale will net between $270,000 and $300,000 for the City. He said the recapitalization program is a standard tool in banking and will provide an opportunity for the City to cooperate with lending institutions. Answering questions from Ms. Ehrman and Mr. Hansen, Mr. Smith said the City will retain two of the nine loans. One of the two loans is due now because the business was closed and the City is negotiating for the payment of the other loan because the business was sold. He said the payments for all the loans were deferred for three years and the interest was zero. The payments are now due. Ms. Wooten said the Council Committee on Economic Development (CCED) discussed the recapitalization program. She said CCED members agreed the recapitalization program should be approved thi s year. They had some e concerns about the future. She said the mechanism has been used in other cities successfully. Mr. Smith discussed how other cities use the program. He said the local lenders view the recapitalization program as an opportunity to fund the commercial revitalization loan program. Answering questions from Mr. Hansen, Mr. Smith said the City has not established a discount rate for selling the loans but the staff has the right to reject any bids. He said the staff expects the best bid from the lending institution that made the initial loan to the business. Mr. Holmer said he admires the work of the staff and lending officials in the program, but he is concerned because the proposal is to sell $450,000 worth of loans for $250,000 to $300,000 which will be loaned again. He said the City should look ahead to 1989 or 1990. He said the City should use the $30,000 a month which will be repaid to establish a permanent revolving fund for loans. He said he does not favor discounting loans at this time because the proposal does not recognize future needs as much as he would like to have them recognized. Responding to Mr. Holmer, Mr. Smith said the repayments for Commercial Revitalization loans are made annually for ten years. He said a revolving loan program is important and the funds that the City will receive from the Recapitalization Program e MINUTES--Eugene City Council July 16, 1986 Page 8 will be used for such a program. They will be used very much like the Business Development Fund is used. They will probably be loaned at six e percent interest. In that case, the City will recapture most of the discount and probably double the number of loans. He said Mr. Holmer seemed to be referri ng to the Business Development Fund which is a revolving fund of $15,000 to $25,000. It has accumulated over $300,000 in revenue from $1.4 million in loans. He said the Commercial Revitalization Program and the Business Development Fund are different. Replying to a question from Ms. Ehrman, Mr. Smith said the Loan Advisory Committee is composed of Jean Names, Tom Fuller, Bruce Riddle, Steve Mayes, Bruce Anderson, and Kay Anthony. The committee reviews the staff recommendations for Business Development Fund loans. Ms. Wooten urged other council ors to approve the Recapitalization Program. She said it will provide the City with funds to invest in local businesses. Ms. Bascom agreed with Ms. Wooten. Mr. Smith introduced Tom Fuller of the Oregon Bank who is a member of the Loan Advisory Committee. Mr. Fuller said he was mislead when he talked to Mr. Holmer this morning. Mr. Fuller said the City will not sell any of the 33 Business Development loans. He said 11 of the Business Development loans are for $10,000 or less. They help small businesses which provide 80 percent of the community's jobs and a comparatively stable economic base. He said the proposed Recapitalization Program will provide the City with immediate new funds to loan in the Business Development Loan program. e Otherwise, the City will have to wait until the loans in the Commercial Revitalization Program are repaid. He said the community will benefit in the future if many loans can be made now. He said the City's loan program sends the message that Eugene will help existing and new businesses. He said there is some risk. but he recommended approval of the recapitalization program. Mr. Fuller discussed the $200 million Private Lender Program which was developed a year ago. He said the program is important. He also discussed bank loans. Ms. Ehrman moved, seconded by Ms. Schue, to approve the Recapitalization Program. Ms. Ehrman said she wi 11 support the mot ion but she understood Mr. Holmer's concern and she is concerned about future actions. She said she is bothered-that only nine loans were made. Mr. Hansen suggested the discounts be evaluated by the council later. The motion carried 7:1 with Councilors Schue, Hansen, Wooten, Bascom, Miller, Rutan, and Ehrman voting aye e MINUTES--Eugene City Council July 16, 1986 Page 9 and Councilor Holmer voting nay. e Mr. Hansen recessed the meeting of the Eugene City Council and convened a meeting of the Eugene Urban Renewal Agency. VI. RESOLUTIONS CONCERNING DOWNTOWN SITE DEVELOPMENT (memo, resolutions distributed City Manager Micheal Gleason introduced the agenda item. Finance Director Warren Wong gave the staff report. He said the proposed resolutions reaffirm the intent of the Urban Renewal Agency and the City Council to market publicly-owned property in the downtown for deve 1 opment. The resolutions also provide evidence that tax increment financing will be used for public improvements and they will assist the City if the Tax Reform Act is passed by the United States Congress. Answering questions from Ms. Schue, Mr. Wong said the proposed resolutions will provide financing for parking structures in the downtown. He said the resolutions ~o not authorize bond issues or contracts for public improvements. Replying to questions from Mr. Rutan, Mr. Wong said tax increment funds will be used for public capital improvements. He said the City might agree that a specific developer could use a certain number of parking spaces in a parking structure. The resolutions indicate that the City will provide such things as open spaces, relocate utilities, or prepare e the site. Responding to questions from Mr. Holmer, Mr. Gleason said the Bancroft system finances improvements for residential properties. Mr. Wong said the Sewer Fund or the Systems Development Fund pays for the public share of improvements for which the Bancroft system finances the private share. He said the City may not be able to issue tax exempt bonds for the improvements if, for example, a part of a parking structure is reserved for a specific developer. Answering a question from Ms. Wooten, Mr. Wong said the Senate Tax Reform Bill contains a transition rule that will exempt the Riverfront Research Park from the new requirements of the Tax Reform Act. Res. No. 0922--A resolution declaring the intent to continue financing of redevelopment of publicly owned sites in the Central Eugene Project area through issuance of tax increment bonds. Ms. Ehrman moved, seconded by Ms. Schue, to adopt the resolution. Roll call vote; the motion carried 7:1 with e MINUTES--Eugene City Council July 16, 1986 Page 10 . Councilors Schue, Hansen, Wooten, Bascom, Ehrman, Miller, and Rutan voting aye and Councilor Holmer voting nay. -- Mr. Hansen adjourned the meeting of the Eugene Urban Renewal Agency and reconvened the meeting of the Eugene City Council. Res. No. 3992--A resolution concerning redevelopment of publicly owned sites through the issuance of tax increment bonds. Ms. Ehrman moved, seconded by Ms. Schue, to adopt the resolution. The motion carried 7:1 with Councilors Schue, Hansen, Wooten, Bascom, Ehrman, Miller, and Rutan voting aye and Councilor Holmer voting nay. VII. ELECTRICAL SERVICE WITHIN WILLOW CREEK AREA (memo, background information distributed) City Manager Micheal Gleason introduced the item. Bill Sloat, manager of the Business Development Division of the Development Department gave the staff report. He said Norm Oakley, Rick Crinklaw, Ed Fadeley, and Rich Butler from Lane Electric Cooperative and Mel Damewood from Eugene Water and Electric Board (EWEB) were present. Mr. Sloat said the council asked staff to investigate electrical service issues in the Willow Creek area. He said the owners of Willow Creek Park One have asked the City Council to act so that electrical service in the e Willow Creek area will be provided by EWEB instead of Lane Electric Coop. He said both utilities provide service in the area now so facilities are duplicated. He said Lane Electric Coop rates to industrial users are about 30 percent higher than EWEB rates to industrial users. He said Lane Electric Coop has traditionally provided cooperative service to rural users and EWEB has traditionally provided service to many types of urban users. He said the Metropolitan General Plan states that EWEB and the Springfield Utility Board shall provide electrical service within the Urban Growth Boundary. Mr. Sloat said that one option for the City Council would be to condemn the facilities of Lane Electric Coop in the Willow Creek area with the result that EWEB would serve the area. However, the preferred course of action might be for EWEB and Lane Electirc Coop to negotiate a change in the boundaries. He emphasized that Lane Electric Coop officials and EWEB officials have been very cooperative in providing information to the council for this report. Answering a question from Mr. Hansen, Mr. Gleason said the council will study electrical service in the Willow Creek area at a work session in August before acting on the formal request from the owners of Willow Creek Park One. e MINUTES--Eugene City Council July 16, 1986 Page 11 -- . , Mr. Rutan wondered why EWEB had not responded to the request from the owners of Willow Creek Park One. Mr. Gleason an swered that EWEB is e willing to serve Willow Creek but EWES officials have indicated that the issue is a land development one and, consequently, the council should decide which company will provide electrical service. Mr. Holmer suggested that EWEB and Lane Electric Coop representatives be present to answer questions at the council's work session. He suggested that a representative of the Public Utility Commission be present also. Ms. Ehrman said she indicated previously she was not interested in the Ci ty getting involved in the service delivery boundary dispute. Mr. Gleason responded that a majority of the councilors asked for a report on the matter. Ms. Bascom said she would like information at the work session about Lane Electric Coop service to the southeast section of her ward and about the quality of industrial service. Mr. Hansen asked for information at the work session about other areas within the city limits that are not ~erved by EWEB and about what other urban services may cause boundary disputes. Mr. Hansen asked if a Lane Electric Cooperative representative would like to address the council. Norm Oakley, general manager of Lane Electric Cooperative, said EWEB has not contacted hi s company about the Willow Creek a rea. He sa i d an e agreement in the late 1960's indicated that Willow Creek should be served by Lane Electric Coop. He said condemnation is a serious matter and he did not think the Lane Electric ratepayers or Eugene citizens would want to pay for the litigation. He said he will cooperate with the councilors. Mr. Hansen adjourned the meeting at 1:33 p.m. - ~ /i J- ~'Y .~ -..::"''".J" Ar... ;tI' /.iJ' .'-,... ..6;;~;"7 ;6'0" p::?"-<'-6.-. ~ /' Mic eal Gleason City Manager (Recorded by Betty Lou Rarick) mncc0716 - MINUTES--Eugene City Council July 16, 1986 Page 12