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HomeMy WebLinkAbout11/16/1988 Meeting e M I NUT E S Eugene City Council McNutt Room--City Hall November 16, 1988 11:30 a.m. COUNCILORS PRESENT: Cynthia Wooten, Ruth Bascom, Rob Bennett, Debra Ehrman, Freeman Holmer, Jeff Miller, Roger Rutan, Emily Schue. The adjourned meeting of the Eugene City Council was called to order by Mayor Brian Obie. I. ITEMS FROM THE MAYOR, CITY COUNCIL, AND CITY MANAGER A. Work Plan for Council Committee on Economic Development Mr. Rutan said Ms. Bascom has joined the Council Committee on Economic Development (CCED). CCED is currently formulating a work plan to implement the ideas in the economic diversification plan. Mr. Rutan asked councilors for suggestions regarding CCED's work plan. e B. Process for Selecting a New Council Member Mr. Holmer requested that the council discuss the process for selecting a new council member. He felt it is important for councilors to advise staff on the format for the selection process. Mr. Holmer proposed that staff bring suggested application forms, time lines, and a possible interview format to the council by mid-December. City Attorney Tim Sercombe said the council is prohibited from making decisions which legally bind the operation of future councils. He said the council could discuss broad issues such as the type of application form it feels should be used. Mr. Sercombe said he would like to advise the council further on the legal constraints it faces if it decides to discuss the selection process. Ms. Bascom did not feel it would be wise to begin the selection process during the holiday season. She felt the council should begin the formal selection process in January. Ms. Schue agreed with Ms. Bascom. She also felt future councilor Shawn Boles should be allowed to participate in the selection process. Council members agreed not to start the selection process until January. e MINUTES--Eugene City Council November 16, 1988 Page 1 ---- e C. Update from the Mayor's Tree and Beautification Commission Ms. Bascom distributed a list of the 38 businesses receiving a City Pride Certificate this year. Ms. Bascom said most of the trees surrounding Sacred Heart Hospital's new development had to be removed because underground power lines are being installed. The gingko trees were left in place. Ms. Bascom said there were many negative feelings surrounding the post office project, which might have been avoided with more public education. She said one of the landscaper's machines was damaged by citizens who were angry because trees were cut down. D. Fairgrounds Transportation Report Ms. Ehrman said there is a plan for different entrances to the Fairgrounds. She asked to be notified of any committee formed to work on this issue and suggested that the council hold a joint session with the Fair Board about the proposed changes at some future time. Ms. Wooten said a major entrance is proposed off Jefferson Street which is in the middle of a residential area. She said this area already absorbs much traffic generated by the Fairgrounds. Mayor Obie said he has requested that additional data on parking be added to e the transportation report. He said parking has a major impact on the residential areas surrounding the Fairgrounds. E. Development of a Nursing Degree Program at the University of Oregon Ms. Ehrman has been serving on a task force formed to try to institute a nursing degree program at the University. She said the University does not feel it can provide such a program at this time due to over-enrollment and space constraints. Ms. Ehrman said the task force ;s now pursuing a more regional approach in which Oregon State University may be asked to offer the program with practicums available at local hospitals. F. League of Oregon Cities Conference Ms. Schue said the annual conference was held in Portland recently and went very well. The new board has been elected; the three officers are women from Astoria, Eugene, and Grants Pass. Mayor Obie congratulated Ms. Schue who was elected vice president of the organization and thanked her for her hard work for the league in the past. e MINUTES--Eugene City Council November 16, 1988 Page 2 e G. Review of the Ordinance Prohibiting Camping Ms. Wooten said 325 $100 citations have been issued for violations of the City's ordinance prohibiting camping. She said people are being cited because they have no place to live, which serves to escalate their problems. Ms. Wooten felt this should be decriminalized and asked for a review of the City ordi nance. Mayor Obie said there have routinely been available beds in the Mission for transient men. He felt transient men should be encouraged to utilize these beds rather than sleeping in City parks and felt any revisions to the ordinance should be made with this in mind. Ms. Wooten said her intent is not to encourage sleeping in parks but to discourage the imposition of fines that people cannot afford simply because they cannot afford a home. The council requested more information on the ordinance and its application. It decided to refer the ordinance to the Public Safety Advisory Committee for review and possible revisions. H. Animal Control Program Ms. Wooten asked for a report on the City's animal control program. She has received several constituent calls regarding the non-enforcement of leash laws in Westmoreland Park before animal control officers are on duty. I. One Percent for Art Program e Ms. Wooten said the council has not set a clear policy about the circumstances under which a broad interpretation of the One Percent for Arts ordinance might apply. Mr. Holmer suggested that this issue be referred to the Cultural Affairs Committee for review. II. APPOINTMENTS: NOTIFICATION OF MAYOR'S APPOINTMENTS TO FERRY STREET BRIDGE ADVISORY COMMITTEE Mr. Holmer moved acceptance of the Mayor's appointments to the Ferry Street Bridge Advisory Committee with the addition of Mayor Obie as a member. Ms. Bascom seconded the motion which passed unanimously, 8:0. III. RECOMMENDATIONS FROM COUNCIL COMMITTEE ON LIBRARY FINANCING Mayor Obie gave a brief summary of the work of the Council Committee on Library Financing to date. He said he and Councilors Ehrman and Bascom were appointed to the subcommittee after the council had taken a position on the need for a library. The charge of the subcommittee was to generate viable financing options for the library. During the course of the subcommittee's discussion, the opportunity to develop the library in conjunction with the Pankow development surfaced as a viable financing option. Mayor Obie said e MINUTES--Eugene City Council November 16, 1988 Page 3 e the committee has been receiving feedback from Martha Rice, a representative of the library community. Mayor Obie said Ms. Ehrman attended an EWES Board meeting and he made a presentation to the Chamber of Commerce Board. Mayor Obie has also spoken with the League of Women Voters and representatives of the utility industry. He said the subcommittee has been making a major effort to involve these organizations in the discussions surrounding the library. Pat Decker, Planning staff, distributed a handout containing a series of motions the subcommittee unanimously adopted for council consideration. One set of motions recommended that the council hold a public hearing on December 19, 1988, and suggested several topics around which the hearing should focus. The second set of motions recommended that the council request the Library Board to sponsor two public information sessions on the proposed library plans and suggested several issues the public information sessions should address. Mayor Obie reviewed the motions. He said the subcommittee recommends that the council hold a public hearing to determine how the community would like the library issue to be processed. He said the funding proposal of the Council Committee on Library Financing Committee is for a one-percent utility consumption tax. Mayor Obie wanted the council to formally solicit input from the Chamber of Commerce, the League of Women Voters, and the Library Board on whether the council should impose a tax or whether development of the project should be delayed until a public vote can be held in March. e Mayor Obie asked councilors to keep an open mind on these options until they have heard from the public and these organizations. Mayor Obie also asked council members to seriously consider the utility consumption tax as a funding source for the library. He said if councilors or the community do not favor the imposition of a utility consumption tax, the subcommittee would welcome other suggestions. Mayor Obie added that if the community wants a library, it must be willing to pay for a library. Ms. Decker distributed background material on library financing from the subcommittee. The purpose of this material was to provide additional information on a utility consumption tax as a possible financing source for the funds needed to complete the project. Tony Mounts, Budget staff, reviewed the basis of the financing plan. He said in considering the library project in conjunction with the Pankow development, it was anticipated that the site development phase of the project would be a joint effort between the renewal agency and the developer, so the cost associated with site development and parking were not included in the original financing targets. Mr. Mounts said staff made a number of assumptions about the size of the project, its worth, and its added value in the downtown district. Based on these assumptions, staff estimated the amount of tax increment revenue that would be generated to support the project. He said the total shell and tenant improvements are anticipated to cost between $13 million and $15 million. Taking into account the annual bonded debt service requirement and - MINUTES--Eugene City Council November 16, 1988 Page 4 ~ e the annual operating costs) the total annual financing needed for the project would range between $2 million and $2.4 million. Mr. Mounts said the estimated annual tax increment revenue that would be generated by the new project would range between $600,000 and $800)000. This leaves a range of $1.2 million to $1.8 million in resources to be identified annually. Mr. Mounts reviewed several assumptions staff made when estimating the amount of revenue to be generated by a one-percent utility consumption tax. These assumptions included the following: governmental customers would not be charged a utility consumption tax; future annexations are not included in the revenue base; growth in the utility rates were taken into consideration; a portion of the utility tax proceeds would be used to offset collection costs for the utility companies; utilities included in the estimates are EWEB electric) steam) and water) City sewer, Northwest Natural Gas, TCI Cable, US West Communications, and potentially local electrical co-ops; and administrative costs for collecting unpaid taxes were included. Mr. Mounts reviewed staff's estimates of revenue to be generated by a one percent utility consumption tax. He said the forecast includes an optimistic and a pessimistic scenario. The tax would generate approximately $800,000 during FY90 which would have an annual impact of about $13.05 per household. If the $800,000 were to be raised through a property tax, the annual cost per household would be close to $19. Mr. Holmer said this financing proposal falls short of the annual costs of the project by approximately $400,000. He asked how the additional revenue e would be generated. Mayor Obie said the subcommittee would be working with the community to identify additional revenue sources. He added that there are several potential revenue sources which have not yet been taken into consideration, including selling the existing library building, selling the property under the development site to Pankow, and private fund-raising. Mayor Obie said he would also like the City Manager to negotiate a long-term lease for the library with Pankow. Referring to a letter councilors received from EWES, Ms. Ehrman said EWES's suggestion that the council consider utilizing the windfall in projected revenue increases as a source of funding for the library is not viable; the City has already built 2/3 of that windfall into the budget. Ms. Ehrman said the subcommittee feels one approach to meeting additional revenue requirements not generated by a one-percent utility consumption tax is a phasing of operations in the library building. Mr. Bennett said he was concerned by EWES's letter. He said the costs of City operation increase annually, so the money generated by increases in utility fees cannot be considered a windfall. Mr. Bennett felt the letter reflected an adversarial relationship between the City and EWEB which he does not feel is there and should not be there. Mayor Obie agreed with Mr. Bennett's assessment. He said he hopes EWEB will put aside its own interests and be supportive of the library project if it is in the best interests of the community. e MINUTES--Eugene City Council November 16, 1988 Page 5 e Mr. Bennett expressed concern about creating a new tax for this purpose, which he feels does not take into account the future operating and capital needs of the City. He said if such a tax is created, it will put the City in a position which makes it difficult to argue for additional revenue to meet operating and capital needs. Mr. Bennett felt that if this tax is taken before the public, the council should consider raising the tax rate to generate additional revenue to help meet future operating and pursue in the near future. Ms. Ehrman said she would not be proposing a tax at this time unless it was for a specific project. Ms. Ehrman said that at the EWEB Board meeting she attended, the merits of the targeted library project were not discussed; the board discussed the legal issues and inequities that might stem from a utility consumption tax. She felt the City should be prepared for the EWES Board to take a position against the utility consumption tax. Ms. Ehrman pointed out that EWEB and the City represent the same constituency and have the same population's interests in mind. Answering a question from Ms. Wooten, Ms. Ehrman said the EWEB Board opposed the proposed tax for several reasons. EWEB has been considering a rate increase and also does not want to play the role of tax collector. In addition, Ms. Ehrman said EWEB Board members seemed to be genuinely concerned about the rate payers and felt the proposed tax is regressive. Ms. Wooten said in the past she had not favored a utility tax because they are regressive and unfairly impact elderly and lower income rate payers. She e said she feels using a utility tax for the library would be different. Mr. Rutan said the City can afford a library without imposing a utility tax and he distributed a proposal demonstrating how this would be possible. He reviewed his proposal which included dedicating a portion of the CIP, using tax increment flow, fund-raising, and the sale of the existing library building and the surrounding parking lot. To meet the operation costs of the library, Mr. Rutan suggested phasing use of the library, generating additional capital from land underneath the building, and instituting a user fee program. Mr. Rutan also recommended that the council put a five-year serial levy for $500,000 on the ballot in March. Mr. Rutan said he believes community members will be willing to pay a minimal fee for a library card. He felt that it is unrealistic to expect the City to build a major library without instituting library fees. Mr. Rutan said the community is willing to help finance the library but only if the council can exhibit that it has considered every possibility for reducing the costs of the library. Mr. Rutan recommended that the council commit to a portion of the Pankow development at this time, realizing that it may have to find another use for the space if attempts to finance the library fail. Mr. Rutan did not feel the council should proceed with a public hearing on the utility tax. He said the council does not really know what it needs in the way of financing. e MINUTES--Eugene City Council November 16, 1988 Page 6 e Ms. Bascom felt Mr. Rutan's estimation of the amount of money to be generated through donations was overly optimistic. She added that a public library is no longer a public library if user fees are charged. Mr. Holmer said while he feels the opportunity to develop the library in conjunction with the Pankow development should be further explored, the City is being forced to pull the project together too quickly. He did not feel the City knows exactly what it wants in the library, how much it will cost, and how the negotiations will be carried out. Mr. Holmer said one of the most important factors to be considered is the impact this project would have on the Central Eugene Project and the Urban Renewal Agency. Mr. Holmer felt the council should proceed with the public hearing and the information sessions, presenting all options the council can generate to the public for review and comment. Mr. Bennett said he appreciated Mr. Rutan's work but was unconvinced that the plan would succeed. He reiterated that the library is only one project among many the City must be involved in and stressed the need to address more than just the need for a library. Mr. Miller asked what constraints will be imposed to prohibit raising the one-percent utility consumption tax in the future. Ms. Schue felt there is an opportunity to generate funds through private donations. She said people will want to respond to a project they are very e excited about. Ms. Schue also suggested that the public hearing be structured in a way that permits feedback on specific options; she felt this would make the feedback more useful to the council. Mr. Rutan and Mayor Obie agreed with this suggestion. Ms. Wooten moved, seconded by Ms. Ehrman, that the Eugene City Council accept and forward the recommendations of the Council Committee on Library Financing, adding an item (1.6) which says the council may be referring additional proposals not included in the preliminary report to the citizens for comment. The motion passed unanimously, 8:0. Mayor Obie said the subcommittee will reconvene to consider Mr. Rutan's suggestion and report to the council. The council will then decide whether his proposal should be included in the agenda for the public hearing. Mr. Bennett asked that the subcommittee also consider how pursuing the library project will affect other capital needs in the City. At 1:10 p.m., Mayor Obie adjourned the meeting of the Eugene City Council and called the meeting of the Eugene Renewal Agency. e MINUTES--Eugene City Council November 16, 1988 Page 7 e V. WORK SESSION: MASTER PLAN FOR RIVERFRONT RESEARCH PARK R.A. Gus Keller, chair of the Riverfront Research Park Commission, introduced the item. He said the November election showed that if the council gets its message to the citizenry they will respond positively; he felt this should be encouraging to the council as it addresses the library project. Cathy Briner, Development staff, said the Eugene Renewal Agency (ERA) is the authority for the riverfront tax increment district and, as such, the agency is being asked to review the master plan as it relates to infrastructure. Ms. Briner said the ERA also has an opportunity to review the plan and offer comments to University of Oregon (UO) President Paul Olum before he, as the landowner's representative, finalizes the plan and submits for a Conditional Use Permit (CUP). Ms. Briner stressed that the ERA is not reviewing the plan in a land use capacity; this will be the role of the Hearings Official during the CUP process. Ms. Briner said the ERA may hold a public hearing on the master plan. The public hearing would be to discuss issues of infrastructure and to suggest comments to be relayed to President Olum. Diane Wiley, University Planning staff, said both the written and visual portions of the master plan reflect and have incorporated many of the concerns that have been raised throughout planning for the project. She said both the Design Advisory Committee (DAC) and the Riverfront Research Park Commission (RRPC) have tried to be sensitive to the public input received. e Ms. Wiley said both the DAC and RRPC have reviewed and endorsed the master plan which is in four parts: the design guidelines, the master site plan map, the master site plan text, and a parcel plan. Ms. Wiley described the material included in each part of the master plan and briefly reviewed the master site plan map. Ms. Wiley said parking for the site will be developed along the railroad tracks. She said some members of the public have testified that too much parking is being planned for the site. Ms. Wiley said the parking planned for the site is only what is required by code and is a fairly conservative amount. She said this parking will be developed in phases. If it appears that park tenants are using alternative modes of transportation and all the parking structures are not needed, the City may be asked to reduce the code requirements for parking. Joanne Hugi, chair of the Design Advisory Committee, said the committee unanimously endorsed the master site plan for the research park. She complimented staff on its responsiveness to comments from both the public and committee members regarding the master site plan. Ms. Hugi said most of the suggestions made by the DAC to the RRPC were enhancements or minor modifications to the document. She reviewed the most significant of these recommendations. Ms. Hugi said the committee has enjoyed working on the master site plan and looks forward to its implementation. Mayor Obie e MINUTES--Eugene City Council November 16, 1988 Page 8 e expressed appreciation to Ms. Hugi and the DAC for the committee's work on the master site plan. Mr. Keller said the RRPC reviewed and endorsed the recommendations and suggestions of the DAC. He said the commission recommends approval of the plan to the council. Mr. Rutan left the meeting at 1:45 p.m. In response to a question from Ms. Ehrman, Mr. Keller said the public has been given much opportunity to comment and felt most of the public's concerns have been addressed. Ms. Wooten expressed appreciation for the level of public involvement encouraged by the DAC and RRPC, but felt the council has an obligation to hold a public hearing. Ms. Schue agreed. Ms. Wooten moved, seconded by Ms. Bascom, that the Eugene Renewal Agency accept the recommendations of the Riverfront Research Park Commission and the Design Advisory Committee. The motion passed unanimously, 7:0. Ms. Wooten moved, seconded by Ms. Bascom, that the Eugene Renewal agency conduct a public hearing on the recommendations of the Riverfront Research Park Commission and the Design Advisory Committee relative to the master site plan for the e research park. Ms. Bascom said individual councilors have attended a number of public hearings previously held by the DAC and RRPC and did not feel it was necessary for the Eugene Renewal Agency to hold another one. Ms. Schue pointed out that not all councilors have attended the public hearings. Mr. Bennett felt the issue has been discussed adequately already and that there was no need to hold a hearing. The motion failed 3:4, with Ms. Ehrman, Ms. Schue, and Ms. Wooten voting aye, and Ms. Bascom, Mr. Holmer, Mr. Bennett, and Mr. Miller voting no. Mayor Obie thanked Mr. Keller and the RRPC for the commissionls work on the research park project. Mr. Keller thanked each council member and Mr. Gleason for unified support of the project. e MINUTES--Eugene City Council November 16, 1988 Page 9 e Mayor Obie adjourned the meeting of the Eugene Renewal Agency at 1:50 p.m. Respe;>!ull~svbrpi(tt1!~.9 /';>~~ ... . -<9:"':';>". /'< (, .". c./ .,.//-.:-:;...~' Micheal Gleasont City Manager (Recorded by Tanya Northman) MNCC 111688 e e MINUTES--Eugene City Council November 16t 1988 Page 10