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HomeMy WebLinkAbout07/24/1989 Meeting (2) e M I NUT E S Eugene City Council Amazon Community Center--2700 Hilyard July 24, 1989 7:30 p.m. COUNCILORS PRESENT: Ruth Bascom, Robert Bennett, Shawn Boles, Debra Ehrman, Freeman Holmer, Roger Rutan, Emily Schue. COUNCILORS ABSENT: Bobby Green. The meeting of the Eugene City Council was called to order by His Honor Mayor Jeff Mi 11 er. Mayor Miller explained that the council was holding its regular meeting away from the Council Chamber in an effort to bring the council and City government closer to the citizens. I. CONSENT CALENDAR A. Approval of City Council Minutes of May 22, June 12, June 26, e 1989, Dinner Work Sessions; and May 31, June 12, June 14, June 21, June 26, and June 28, 1989, City Council Meetings B. Appointments: Mayor's Nominations to the Eugene Celebration Steering Committee Dee Bridges, 2395 Snelling Drive...........(term ending . December 31, 1989) Guy DiTorrice, 97 West 26th Avenue.........(term ending December 31, 1990) Lynne Kaplowitz, 1105-1/2 North A Street, Springfield.............................(term ending December 31, 1991) Ms. Bascom moved, seconded by Mr. Rutan, to approve the items listed under the consent calendar on the City Council agenda. Roll call vote; the motion carried unanimously, 7:0. II. PUBLIC HEARING: EUGENE'S CITIZEN INVOLVEMENT PROGRAM FOR 1989/1990 City Manager Mike Gleason introduced the topic. e MINUTES--Eugene City Council July 24, 1989 Page 1 e Gretchen Schutz, Citizen Involvement Committee chair, thanked the council for holding its meeting in a neighborhood facility. Ms. Schutz said the draft program document contained some editorial changes in language and proposed a change relating to the role of the Metropolitan Area Planning Advisory Committee. She reported that the Citizen Involvement Committee works with neighborhood organizations and the Planning Commission to help ensure that the citizens of Eugene have an opportunity to participate in all phases and levels of planning. It is also charged with reviewing the City's public information and involvement programs beyond those dealing with land use planning. Mayor Miller opened the public hearing. Doug Card, 1272 Jackson Street, said neighborhood leaders and associations are becoming more active. Mr. Card quoted a report, saying that "public involvement should begin be seeking consensus on the need to solve a problem or take advantage of some opportunity." He referred to a recent council decision to approve a proposal for development of Lincoln School and said his neighborhood hoped for compromise and a consensus that will avoid a lengthy zoning dispute. Referring to a suggestion that a Westside Neighborhood youth center could be located at the fairgrounds, Mr. Card said activities allowed at the fairgrounds (specifically dancing by the Chippendales, whose reputation and character was one of the reasons a street name change was to be considered by the council later during the meeting) may not be appropriate. e Richard Reuter, treasurer of the Friends of Lincoln School, read a prepared statement in which he asked for balance between the community's needs and private development. Mr. Reuter said the Lincoln School situation creates an opportunity for a solution that will encourage positive citizen involvement. Mr. Reuter invited anyone interested to Lincoln School every Wednesday during the summer from 2 until 8 p.m. for a barbecue potluck. There being no additional requests to speak, Mayor Miller closed the public hearing. Ms. Bascom moved, seconded by Mr. Rutan, to adopt Eugene's Citizen Involvement Program for 1989/1990. Roll call vote; the motion carried unanimously, 7:0. III. PUBLIC HEARING: STREET NAME CHANGE OF CHIPPENDALE STREET TO CHATEAU DRIVE BY SHERI KINGSFORD (SC 89-1) City Manager Mike Gleason introduced the topic. Jim Croteau, Planning and Development Department, reported that the Planning Commission had considered the street name change being requested by property owners and residents and recommended approval. The original application contained signatures of all residents and owners along the affected street, but one of those signators is now opposed to the change. Subsequent to the Planning Commission action, Mr. e MINUTES--Eugene City Council July 24, 1989 Page 2 e Croteau said a duplication of names had been discovered with a street within two miles, so staff and the applicant recommend that the name Chateau Meadows Drive be considered instead of Chateau Drive. Answering Ms. Ehrman's question, Mr. Croteau said a new name is usually recommended by the applicant. Mr. Bennett reported calls from opponents of the name change who feel that the subdivision is not meeting its commitments to property owners there. He asked whether all subdivision requirements are being met and code issues being addressed in the area in question. Mr. Croteau said he was unaware of any outstanding violations, but would be happy to discuss the matter with concerned citizens. Answering a question from Mr. Holmer, Mr. Croteau said the Harlow neighborhood group was notified of the proposed change but no response has been received. Replying to Ms. Ehrman's inquiry about code provision requirements regarding name changes, Mr. Croteau explained that State statute sets forth the process of adopting a change by motion of the council, but no criteria are necessary. Mayor Miller opened the public hearing. Sheri Kingsford, 3715 Harlow Road, spoke on behalf of owners of 97 percent of the owners in the area who have indicated they have no objections to the name e change. Bill Kloos, 767 Willamette Street, #203, spoke as the representative of Bernie Wendtland who owns property on Chippendale and who opposes the proposed name change. Mr. Kloos distributed a two-page letter reviewing the legal ramifications of the proposed action, a copy of the relevant State statute, and a one-page resolution that would prevent the name change from occurring. Mr. Kloos maintained that the name change had not been found to be in the best interest of the City nor the surrounding six-mile area. Mr. Kloos said that the change is not supported by the Fire Division, the US Post Office, nor the City of Eugene Department of Public Works. He argued that the change would be for the benefit of the developer and would be costly to the public. Randall Brant, 3715 Harlow Road, spoke as the Marketing Director for Brant Custom Homes. Presently there are approximately five residences on Chippendale and Mr. Brant pointed out that Mr. Wendtland's is not one of them. Mr. Brant said the concern expressed by Fire personnel has been resolved, and the postal service has no objections to the proposed change. He added that street signs are often stolen when the Chippendale dancers are in the area, and he suggested that it may be easier and less costly for the Public Works Department to install new signs than to continue providing replacement signs. e MINUTES--Eugene City Council July 24, 1989 Page 3 e Dave Mart, 589 Lindley Lane, identified himself as a property owner in the Chippendale subdivision and said he was not notified of the proposed change. He complained of unfair treatment by the developer in this subdivision. Mike Brant, 1030 Chippendale Drive, said he was a builder in the subdivision and said his involvement in the name change was an attempt to placate residents. He suggested that the issue could be approached with humor. Mayor Miller closed the public hearing. Ms. Ehrman inquired about the assessed fees being inadequate to cover the City's costs to change the street signs. Mr. Croteau replied that costs for staff time exceed by four or five times the $215 application fee for requesting a street name change. He said staff will review the costs associated with this type of application and he anticipated a recommendation being made to increase the fee to more accurately reflect the costs. Ms. Ehrman wondered whether approval could be conditioned on payment of costs for the signs. City Attorney's Office representative Sharon Rudnick doubted whether ad hoc fees could be imposed after an applicant had complied with State statute and paid the established fees. Responding to a question from Mr. Holmer, Mr. Gleason said placement of the new signs would require approximately 60 days. Mr. Holmer questioned whether concern about the public's safety and welfare justifies the council bill's e use of the emergency clause. Ms. Ehrman said she felt that because there is a process allowing this type of change, in the absence of strong opposition, she could not justify denial of the request. She suggested that associated costs be examined before future requests are submitted. Mr. Boles expressed concern regarding trivializing of the emergency clause associated with ordinances. Mr. Gleason clarified that if the emergency clause is dropped and the council votes in favor of the bill, the ordinance would become effective in 30 days. Mr. Croteau explained that in the absence of unanimous consent on the first reading, a second reading would be held over to a subsequent meeting. Ms. Bascom moved, seconded by Mr. Bennett, to deny the request that the name of Chippendale Street be changed to Chateau Meadow Drive. Mr. Bennett stated that he hoped to see the City recover its costs. He also expressed concern regarding the similarity between the proposed name (Chateau Meadow) and an existing street in Springfield and the possibility of confusing the two names in emergency situations. Roll call vote; the motion failed, 6:1, with Councilor Bascom voting in favor. e MINUTES--Eugene City Council July 24, 1989 Page 4 e CB 4150--An ordinance concerning the change of name of Chippendale Street to Chateau Meadow Drive. Ms. Bascom moved, seconded by Mr. Rutan, that the bill, with unanimous consent of the council, be read the second time by council bill number only, and that enactment be considered at this time. Mr. Holmer clarified that the emergency clause was deleted from the motion made by Ms. Bascom. Ms. Ehrman asked about the action being "in the best interest" and questioned whether that phrase was necessary. Ms. Rudnick responded that Tim Sercombe reviewed the ordinance before the council and reported that it meets the requirements of State statute. The motion carried unanimously, 7:0. Ms. Bascom moved, seconded by Mr. Rutan, that the amended bill, with unanimous consent of the council, be read the second time by number only, and that enactment be considered at this time. Roll call vote; the motion carried unanimously, 7:0. Council Bill 4150 was read the second time, as amended, by number only. e Ms. Bascom moved, seconded by Mr. Rutan, that the bill be approved and given final passage. Roll call vote; the motion carrying, 6:1, with Councilor Bascom voting nay, the bill was declared passed (and became Ordinance No. 19626). IV. PUBLIC HEARING: REQUEST FOR MULTIPLE-UNIT PROPERTY TAX EXEMPTION City Manager Mike Gleason introduced the topic. Richie Weinman, Planning and Development Department staff, reported that Eugene is suffering from a severe rental housing shortage. This application is the first received since the council's March 1989 adoption of th~ Multi-Unit Tax Exemption Program which is intended to provide an incentive to construct more rental housing in the core area of the city. Mr. Oscar Krumdieck proposed to construct a three-story, 28-unit medium- to moderate-income apartment structure at 15th and Olive. The project includes several public benefits: increased accessibility for the handicapped and elderly, increased solar access beyond that required by code, and greater outdoor living areas than required. In addition, the project will generate $3,220 annually, in years three through ten, to be allocated to low-income housing projects in other areas. The request has been reviewed by the Planning Commission which unanimously recommended its approval. An old house on the site, while not historically registered, does have architectural character and significance. Some e MINUTES--Eugene City Council July 24, 1989 Page 5 neighbors and the Historic Review Board recommend that efforts should be made . to move the house if possible. Mr. Weinman reported that Mr. Krumdieck is negotiating a possible move with an interested party. Answering questions from councilors, Mr. Weinman said that while the developer has already purchased the property, the project would not occur but for receiving the property tax exemption. Only the value of improvements would be exempted from property tax for the ten-year period. The fee mentioned earlier is based on a per-unit charge and would amount to approximately ten percent of the tax that would have been paid without the program. Ms. Bascom asked about site review and the change to R-4 zoning. She said street trees could be planted on the Olive Street side of the property. Mr. Weinman said the granting of a property tax exemption would not preclude the developers from meeting other permit, site review, and building code requirements. Ms. Bascom wondered if it would be possible to require removal of existing vegetation to better attract potential buyers of the historic structure. Saying it was desirable to save the structure, 'Mr. Boles wondered what constraints could be placed on the approval to assure that happened. Mr. Weinman pointed out that the building may not be sound enough to be moved. Answering Ms. Ehrman's request for clarification, Mr. Weinman said there is a public easement between the property and the adjacent Amazon channel. There e was some confusion as to whether the Amazon channel actually abutted the property or was across the street from it. Mayor Miller opened the public hearing. Oscar Krumdieck, 1728-1 Minda, spoke as the owner of the property. He commended the City for reinstating the property tax exemption program and said that it would encourage housing projects in the downtown area. He noted that the property is located on the corner of 15th Avenue and Olive Street and does not front on the Amazon slough. He confirmed that the tax exemption is necessary for the project to be possible. Mr. Krumdieck suggested that shrubbery which partially obscures the existing structure may also be supporting it. He expressed hope that construction might begin during the late summer or early fall and said if attempts to secure a buyer who will move the house are unsuccessful within the next couple of months, he would request a demolition permit to allow the project to move forward. Mary Bentsen, 950 West 16th Avenue, spoke on behalf of the Jefferson Area Neighborhood. She called councilors' attention to a letter she had submitted. Ms. Bentsen reported that she was unaware of neighborhood opposition to the proposed project, but she asked the council to consider three aspects of the situation which she considered important: 1) the fact that the Jefferson Refinement Plan lists the Italianate house on the property as one of two properties in the neighborhood whose preservation is in the interest of the neighborhood; 2) neighborhood residents are on record as . MINUTES--Eugene City Council July 24, 1989 Page 6 e favoring protection of the house and opposing a high-rise project on that property; and 3) there are three units of low-income housing on the site (the Ita1ianate house and a small duplex) and the developer is proposing moderate-income housing. Ms. Bentsen suggested requiring the developer to move the existing low-income units to preserve the stock of available low-income housing. She said lack of maintenance by the owner could have contributed to the possible unsoundness of the structure. Lloyd Slonecker, 1362 West Broadway, described the $3,200 annual fee that would be produced by the project as "a joke" and said private developers are profiting unfairly at the expense of rental property owners and homeowners in Eugene. There being no additional requests to speak, Mayor Miller closed the public hearing. Mr. Gleason clarified that the historic preservation ordinance passed by the council earlier in the year protects designated structures. He added that the City's vegetation ordinance focuses mostly on dry fields as a fire hazard and said that he would check the record to see if there were any reports on the property in question. Ms. Ehrman said she was familiar with the area and considered the proposed project an improvement to the appearance of the neighborhood. She described the tax exemption program as one of the tools approved by the council in its effort to encourage more housing in the downtown area. e Mr. Rutan encouraged support of the project which he said would help realize the council's housing goal. Ms. Schue commented that without the tax exemption, the project would not be built and the City would receive no additional taxes on the property. Mr. Boles said more precise definitions of low- and moderate-income housing are needed. He directed a question to Mr. Bennett about the accuracy of the stabilized projection with property taxes at true cash value, items relating to property management, and on-site management/landscaping. Mr. Bennett replied that these costs are normally higher than those projected for this project. Finally, Mr. Boles wondered how rental housing could be allowed to deteriorate to the extent of the house on this property and he questioned the nonexistence of rental housing code standards. Councilors reached consensus that the resolution under consideration would be amended to reflect the council's concern that the Italianate house be preserved if possible. Res. No. 4130--A resolution approving a multiple-unit property tax exemption for property located at 15th Avenue and Olive Street; and requiring that the property owner actively seek a buyer to move the residential structure at 195 West 15th Avenue, with a time limit of October 1; e MINUTfS--fugene City Council July 24, 1989 Page 7 e and that the vegetation presently obstructing the view of the structure from the street be removed. Mr. Gleason read the resolution by number and title only. Ms. Bascom moved, seconded by Mr. Rutan, to adopt the amended resolution. Roll call vote; the motion carried unanimously, 7:0. V. PUBLIC HEARING: CHARTER FOR SOUTHEAST NEIGHBORS City Manager Mike Gleason introduced the topic. Christine Donahue, City Manager's Office, reported that residents who attended a May 9 joint meeting unanimously approved the merger of the Dunn, Oak Hills, Southeast Firs, and South Hills neighborhoods into a single neighborhood organization (Southeast Neighbors) that will include approximately 5,300 dwelling units within its boundaries. Answering a question from Mr. Holmer, Ms. Donahue said this action is not related to attempts to create neighborhood boundaries that are coterminous with ward boundaries. In fact, she said the ward boundaries bisect the newly merged neighborhood. Ms. Schue observed that ward boundaries in the area make little sense geographically. e Mr. Holmer inquired about the meaning of the term "official voice." Mayor Miller opened the pubic hearing. Bob Swank, 4050 Dillard Road, spoke as a member of the Southeast Neighbors Board of Directors. He said the merger would combine the resources of four different organizations and make them more viable. There being no additional requests to speak, Mayor Miller closed the public hearing. Res. No. 4131--A resolution repealing resolutions number 3101, 3796, 3 817, and 3871; withdrawing recognition of the Dunn, Southeast Firs, Oak Hills, and South Hills Neighborhood Organizations; and approving their merger into Southeast Neighbors. Mr. Gleason read the resolution by number and title only. Ms. Bascom moved, seconded by Mr. Rutan, to adopt the resolution. Roll call vote; the motion carried unanimously, 7:0. e MINUTES--Eugene City Council July 24, 1989 Page 8 / VI. ORDINANCE CONCERNING THE CONFERENCE CENTER REFINANCING e City Manager Mike Gleason introduced the topic. Warren Wong, Finance Director, gave the staff report. Mr. Wong said the 1989 Advance Refunding is designed to generate debt service savings on outstanding debt and to allow the City more flexibility in retiring the outstanding debt in the event the Hilton Hotel owners exercise their option to purchase the Conference Center prior to 1994. Specifically, the ordinance represents a savings of approximately one-quarter million dollars to the Eugene Renewal Agency and provides for an extraordinary call procedure should the hotel owners exercise their option. Mr. Holmer said he appreciated receiving the memorandum from Public Financial Management, Inc., which recommended proceeding with the advance refunding of the 1985 certificates. He favored taking advantage of the probable future direction of interest rates which indicates that the present value savings would be an additional $240,000 if the rate went down a percentage point between now and October 1. While he said he would support the staff recommendation, Mr. Holmer preferred deferring the decision to a later time. Referring to the extraordinary call feature, Mr. Boles asked whether it would be transferrable if ownership of the hotel changes. Mr. Wong responded that the agreement requires the payment of at least the value of the outstanding debt if the hotel owners choose to exercise their option. Mr. Gleason added that the City's relationship with the hotel has a survivable agreement, and the conditions of the relationship between the Conference Center, parking e structure, and the hotel would have to be renegotiated with new owners. The call provision allows the City to receive full payment to extinguish the debt. Mr. Boles asked if a change in conference center ownership would jeopardize the City's advance refunding. Mr. Wong responded that this has been factored into the price the City will receive for the advance refunding, with the additional call provision costing an additional two percent (i.e., the bonds are selling at 102 percent). CB 4151--An ordinance concerning the refinancing of the Eugene Conference Center; authorizing execution of documents; and declaring an emergency. Ms. Bascom moved, seconded by Mr. Rutan, that the bill, with unanimous consent of the council, be read the second time by council bill number only, and that enactment be considered at this time. Roll call vote; the motion carried unanimously, 7:0. Council Bill 4151 was read the second time by number only. Ms. Bascom moved, seconded by Mr. Rutan, that the bill be approved and given final passage. Roll call vote; all e MINUTES--Eugene City Council July 24, 1989 Page 9 councilors present voting aye, the bill was declared passed e (and became Ordinance No. 19627). Mayor Miller recessed the meeting of the Eugene City Council and convened the meeting of the Eugene Renewal Agency. VII. RESOLUTION CONCERNING THE CONFERENCE CENTER REFINANCING Res. No. 938--A resolution concerning the refinancing of the Eugene Conference Center and authorizing the execution of a second amendment to the Intergovernmental Agreement. Ms. Bascom moved, seconded by Mr. Rutan, to adopt the resolution. Roll call vote; the motion carried unanimously, 7:0. Mayor Miller adjourned the meeting of the Eugene Renewal Agency and reconvened the meeting of the Eugene City Council. VIII. RESOLUTION REGARDING DEPARTMENT OF ENVIRONMENTAL QUALITY SEWER CONSTRUCTION LOAN FUND Mr. Gleason said this resolution would state to the Department of e Environmental Quality (DEQ) that the Eugene City Council is interested in the loan program for water pollution control, but would not commit the City to proceeding. Glen Svendsen, Public Works Department, was available to answer questions. Ms. Bascom asked for additional information about how the loan funds would be used to reduce costs to River Road residents. Mr. Svendsen explained that the intent of applying for the funds is to reduce the interim costs of construction of sanitary sewers in the River Road and Santa Clara areas. By reducing the City's costs of construction financing, the sewer assessment levied on properties in the pruject area could be decreased regardless of whether annexation occurs. The DEQ administers the funds it receives from the Environmental Protection Agency through a revolving loan fund that offers short-term loans at zero-percent interest for five years, or 20-year loans at three-percent interest. Mr. Svendsen said that the City would pursue the short-term loan and would repay the State DEQ at the time properties are assessed for the sewer construction. He added that the exact amount to be available from the DEQ is unclear at this time. Res. No. 4132--A resolution declaring the City's intent to accept State revolving fund loans for projects addressing water quality problems. Ms. Bascom moved, seconded by Mr. Rutan, to adopt the resolution. Roll call vote; the motion carried unanimously, 7:0. e MINUTES--Eugene City Council July 24, 1989 Page 10 e IX. APPOINTMENTS: NOTIFICATION OF MAYOR'S APPOINTMENT TO THE ALTON BAKER PARK CITIZEN REVIEW COMMITTEE Mayor Miller notified the council of his appointment of Roscoe Divine to the Lane County Alton Baker Park Review Committee which will review an amendment to the Parks Master Plan. The meeting adjourned to July 26, 1989, at 9:10 p.m. (Recorded by Mary Feldman) mncc 072489-730 e e MINUTES--Eugene City Council July 24, 1989 Page 11