HomeMy WebLinkAbout09/13/1989 Meeting
e M I NUT E S
Eugene City Council
McNutt Room--City Hall
September 13, 1989
11 : 30 a. m .
COUNCILORS PRESENT: Ruth Bascom, Rob Bennett, Shawn Boles, Emily Schue,
Debra Ehrman, Freeman Holmer, Bobby Green, Roger
Rutan.
The adjourned meeting of September 11, 1989, of the Eugene City Council was
called to order by Mayor Jeff Miller.
1. ITEMS FROM THE CITY COUNCIL, MAYOR, AND CITY MANAGER
A. New City Park
Ms. Schue announced that Eugene may get a new park on Shasta Loop, along the
Ridgeline Trail. A piece of property that has been used as an informal park
for several years is currently for sale. One citizen in the area is
e particularly interested in the park and is committed to raising enough
private funds to purchase the property. Ms. Schue said the Joint Parks
Committee will be discussing this issue soon.
B. Parking Meters in the Overpark
Mr. Boles said he has been contacted by downtown area merchants who are
displeased with the enforcement of parking meters in the Overpark. He said
patrons are being ticketed when they are only a few minutes late and are
beginning to complain to merchants about the strict enforcement. Mr. Boles
asked for a report on why the City chose to install meters in the Overpark
rather than using attendant parking as originally planned. He felt that
attended parking would have solved this problem and would have added a
measure of security to the parking garage.
C. Garbage Rate Increases
Mr. Holmer submitted to the Mayor copies of a memorandum from himself
pertaining to the administrative rules for garbage collection, a list of
suggested changes to the rules, and a letter from the president of a local
sanitary service indicating that he did not approve of the rate increase for
a 90-gallon roll cart. Mr. Holmer expressed concern that a legal notice in
The Register-Guard had falsely indicated that the local sanitary service
providers had approved the rules.
e MINUTES--Eugene City Council September 13, 1989 Page 1
e Mr. Holmer said that he is particularly concerned about two aspects of the
administrative rules. One aspect is the rate increase for the 90-gallon
roll-cart service. Mr. Holmer said the recommended increase is 13.5 percent,
but according to the provisions in Eugene Code Section 3.275 ("Solid Waste
and Recycling--Rates") this increase should be no more than six percent. Mr.
Holmer's second concern was that no effort has been made to determine the
average rates of return for licensees; he said the City Manager is required
to consider this rate of return when setting garbage collection rates.
Mr. Boles asked that the City Manager consider the true cost of disposal as
we 11.
D. Council Discussion of Negotiations
Mr. Holmer noted that councilors have received memorandums from the City
Manager advising them of certain confidential negotiations. He indicated a
desire to have the entire council discuss these negotiations very soon--in an
executive session, if necessary. Mayor Miller said that the council would
address this issue at the earliest opportunity.
E. Hult Center Policy Regarding Infants
Ms. Ehrman stated that the Hult Center's admission policy requires parents to
pay full price for a ticket for their infants. She did not feel this policy
was justified since infants do not take up a seat and do not watch the show.
She asked for a report on this issue.
e F. Representation on the Budget Committee
Mr. Bennett said Don McCloud, his appointment to the Budget Committee, has
resigned. Mr. Bennett thanked Mr. McCloud for his time and energy on the
committee. He said he would appoint a new representative soon.
G. Dispersal of Mobile Home Parks
Mr. Green said that some of the residents in his ward are concerned that the
Bethe l-Danebo a rea is a "dumpi ng ground" for mobil e homes. Mr. Green said
while this may be more of a perception than a reality, he believes the City
should have a policy encouraging the dispersal of mobile homes. Mr. Green
added that mobile home parks also generate concern about congestion and
safety. He said he is working with the Transportation Division on this
issue, but would like the full council to discuss it during its next work
session with the division.
H. Council Endorsement of Parentsl Rally Against Substance Abuse
Mayor Miller said a Parentsl Rally Against Substance Abuse will be held on
October 3, 1989, at 7:30 p.m. at MacArthur Court. He said the organizers of
the event have requested an endorsement from the City Council.
. MINUTES--Eugene City Council September 13, 1989 Page 2
e Mr. Holmer moved, seconded by Ms. Schue, that the Eugene City
Council endorse the Parents' Rally Against Substance Abuse.
The motion carried unanimously, 8:0.
II. RESOLUTION CONCERNING TESTIMONY AND FUNDING APPLICATIONS
Jody Miller, Intergovernmental Relations, said the Legislative Committee
considered the suggestions made by councilors during its previous discussion
of this item. The Legislative Committee recommended that in Section 2, the
words "and, where possible the specific testimony and funding application" be
deleted. In Section 6, the words !Iafter consultation with the Legislative
Committee Chairperson" were added and liar if the issue concerns personnel or
collective bargaining matters," has been deleted. The personnel and
collective bargaining language has been put in a new Section 7 for clarity.
Mr. Holmer noted that one of the requests at the previous work session was
that a time limit of seven calendar days be imposed for the submission to
council of testimony to the Federal government or funding requests to
municipal corporations, the State, the Federal government, or private
foundations. Mr. Holmer said this was requested in several sections of the
resolution. Ms. Miller said the Legislative Committee discussed this and
elected not to include a time limit in the resolution. Because the council,
in advance of the session, adopts legislative policies and because the
Legislative Committee meets regularly during the session and provides a
bill-by-bill recommendation, very rarely is testimony submitted or are
e funding requests made without prior council approval. Ms. Miller added that
because the council adopts legislative policies in advance of the session,
the Legislative Committee now only meets about monthly during the legislative
session. She said imposing a time limit for submission of testimony to the
council would cause extra paper work and cause the Legislative Committee to
meet more often. Ms. Miller said that during the 1989 Legislative Session
all testimony had prior council approval. Ms. Schue agreed.
Mr. Holmer said the resolution indicates that a copy of all testimony
submitted to the Federal government will be sent to the council; he is merely
requesting that this testimony be sent to councilors in a reasonable period
of time. Ms. Schue said there has been no problem with the Legislative
Committee's current process and said the Legislative Committee needs the
trust of the council.
Agreeing with Mr. Holmer, Mr. Boles said the resolution as currently written
clearly states that copies of testimony and funding requests shall come to
council. He said that if the council does not receive this material, it will
stand in violation of this resolution. Mr. Boles suggested that Section 2 be
amended to require that testimony or funding applications come to council,
via the Council Legislative Committee, for prior approval, modification, or
disapproval.
e MINUTES--Eugene City Council September 13, 1989 Page 3
e Ms. Bascom moved, seconded by Mr. Rutan, to adopt the
resolution in its amended form as recommended by the
Legislative Committee.
Mr. Holmer moved, seconded by Ms. Ehrman, that the motion be
amended to delete Section 7 of the resolution.
Mr. Holmer explained his amendment. He said that if a legislative issue
concerns personnel or collective bargaining matters, the City Manager or his
designee is authorized to speak on behalf of the City of Eugene. He said
this Section is written on the mistaken assumption that personnel and
collective bargaining is the exclusive jurisdiction of the City Manager. Mr.
Holmer said that this is not true when a legislative issue is at stake. He
did not feel the council should delegate its responsibility for legislative
policy making to the City Manager.
City Attorney Bill Gary said the City Charter does provide that the City
Manager is responsible for representing the City in collective bargaining and
in personnel matters and it also gives the council the ability to make policy
decisions for the City, which could include taking positions on legislative
issues. He said the council needs to make a policy decision about how much
authority it wants to delegate to the City Manager in this area. If the
council wants to retain all of its policy-making authority in the area of
collective bargaining and personnel matters, it needs to be very careful to
avoid a conflict with the Charter's direct prohibition on the council's
interference with the City Manager's administration of personnel or
e collective bargaining. Mr. Gary added that Section 7 does not conflict with
the charter, although it does more to exclude the council from taking policy
positions before the legislature than is required.
Mr. Holmer said that the first paragraph of the resolution explicitly states
that "under the Eugene Charter, it is the exclusive role of the City Council
to set legislative policy for the City.1I He said that Section 7 of the
resolution contradicts this finding.
The motion to delete Section 7 from the resolution failed 3:5,
with Mr. Rutan, Mr. Holmer, and Ms. Ehrman voting in favor,
and Ms. Bascom, Mr. Boles, Mr. Green, Ms. Schue, and Mr.
Bennett voting opposed.
The motion to adopt the resolution in its amended form passed
unanimously, 8:0.
Mr. Holmer explained his vote, saying that the first finding--that it is the
exclusive role of the City Council to set legislative policy for the City--is
too important for him to vote against. Mr. Holmer said the council should
follow this finding more strictly in the future.
e MINUTES--Eugene City Council September 13, 1989 Page 4
. III . WORK SESSION ON THE FORMATION OF A HOSPITAL AUTHORITY
Mr. Rutan declared a conflict of interest with this issue and excused himself
from the discussion.
Ms. Bascom indicated that her husband is a physician at Sacred Heart General
Hospital but she did not feel this was a conflict of interest. Mr. Gary
agreed that Ms. Bascom did not have a conflict of interest since her husband
works for a nonprofit corporation in which he has no financial interest other
than his employment.
Warren Wong, Finance Director, gave the staff report. He distributed copies
of a memorandum from Public Financial Management--the City's financial
advisor--listing existing hospital authorities in Oregon and the debt issues
that are currently outstanding. Mr. Wong said a petition has been submitted
by five citizens to the City Council requesting that the council establish a
hospital authority for Eugene. Oregon Revised Statutes (ORS) 441.535(1)
obligates the council to consider the petition and to take formal action on
it.
Mr. Wong said ORS 441.525-595 authorizes a municipality to create a "hospital
authority" to acquire, own, lease, or sell (but not to operate) hospital-type
facil ities. It also allows an authority to issue debt for qualified
applicants under the assumption that this will facilitate the provision of
medical care to the residents of that jurisdiction. Indirectly, hospital
e authorities can also assist the community in achieving certain desirable
targets such as land use goals and economic diversification.
Mr. Wong explained that debt issued by a hospital authority for an applicant
health care provider is tax exempt and is backed solely by revenues generated
by the applicant. The debt is not a legal obligation of the municipality but
of the applicant. However, the perspective of the investment community and
credit rating agencies may be that the City is "lending its name" to the
authority.s debt. This may have ramifications for existing or future debt
issues of the municipality if the authority (that is, applicant) defaults or
fails to comply with the debt indenture.
Mr. Wong reviewed key policy and administrative uses involved in the
formation and operation of a hospital authority. (See memorandum dated
September 1, 1989.)
Ms. Ehrman asked why staff is recommending that the Board of Directors for
the authority contain five elected officials. She thought that this was too
many and that the board should contain some noncouncil members. Mr. Wong
said this recommendation is intended to parallel other related organizations
such as the Eugene Renewal Agency and the renewal agency for the Riverfront
Research Park. He added that having councilors serve as the Board of
Directors will help protect the bond rating of the City. Mr. Boles and Mr.
e MINUTES--Eugene City Council September 13, 1989 Page 5
e Holmer both favored a board comprising at least five councilors. They
pointed out that the board can easily solicit advice from the larger
community.
Ms. Ehrman expressed reservations about including only councilors on the
Board of Directors. She said that while councilors may understand the
separation between their roles on the board and their roles on the City
Council, members of the community may not. Community members may mistakenly
assume that councilors have power over hospital practices. Ms. Ehrman also
thought that it would be valuable to have community members serve on the
board.
In response to a question, Mr. Wong said staff recommends that the authority
be limited to acute care facilities because the default rate on non-acute
care facilities is higher than for acute care facilities. He said staff
believes that the council should limit the scope of the authority initially,
expanding the scope later if desired. Mr. Gleason added that by limiting the
scope of the authority to acute care facilities, the risk that an applicant
would default and create a secondary credit risk for the City is
substantially reduced.
Mr. Bennett asked whether debts could be issued for projects (e.g., parking
structures) associated with acute care facilities. Mr. Gary said this type
of project would be permissible--the definition of hospital facility is very
broad and includes anything that is incidental to the provision of hospital
services.
e Mr. Holmer said that if applications were not limited to acute care
facilities, the hospital authority could help meet the health care needs of
Eugene's increasing population of senior citizens.
Ms. Schue voiced concern about making a public contribution to an institution
that does not offer all legal medical procedures to people who require them.
Mr. Boles expressed concern that the hospital authority could issue debt for
projects that are only indirectly related to the provision of health care.
He said the council may want to consider restricting debt issuance to
projects which are directly related to the provision of health care.
Ms. Bascom moved, seconded by Ms. Schue, to direct staff to
draft an ordinance establishing a hospital authority, with
optional sections pertaining to the composition of the Board
of Directors.
Councilors agreed to hold another work session on this issue before holding a
public hearing. Mr. Gleason cautioned that the council should not delay its
action too long; Sacred Heart General Hospital has capital expansion and
equipment acquisition plans and is hoping to secure tax exempt debt from the
newly formed authority.
The motion carried 7:0:1, with Mr. Rutan abstaining.
e MINUTES--Eugene City Council September 13, 1989 Page 6
~ IV. COMMUNITY RESPONSE TEAM--BUDGET UPDATE
Tony Mounts, Finance Division, referred councilors to the budget update
included in the agenda packet. There were no questions or comments.
The meeting adjourned at 1:30 p.m.
Respe.~.t.fU,l .1Y SUbm:~~. ,.'
7;Y/-
Mi"~e~so ..;., 1
City Manager '
(Recorded by Tanya Northman)
MNCC 091389
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~ MINUTES--Eugene City Council September 13, 1989 Page 7