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HomeMy WebLinkAbout05/08/1991 Meeting e e e M I NUT E S Eugene City Council McNutt Room--City Hall May 8, 1991 11:30 a.m. COUNCILORS PRESENT: Roger Rutan, Shawn Boles, Ruth Bascom, Randy MacDonald, Kaye Robinette, Paul Nicholson, Debra Ehrman, Bobby Green. The regular meeting of May 8, 1991, of the Eugene City Council was called to order by His Honor Mayor Jeff Miller. I. ITEMS FROM THE CITY COUNCIL, MAYOR, AND CITY MANAGER A. Resolution to State Legislators Mr. Rutan circulated copies of a resolution that encourages State legislators to identify replacement revenues this session to replace monies lost due to Ballot Measure 5. Mr. Rutan moved, seconded by Mr. Boles, to approve the resolu- tion. Mr. MacDonald requested that the wording of the resolution be amended to include the words "during this session" to ensure that action takes place before the next session. The council agreed by consensus to Mr. MacDonald's suggestion. The motion carried unanimously, 8:0. B. Eugene Decisions Process Mr. Robinette noted that the Council Committee on Eugene Decisions is contin- uing to work on the Eugene Decisions process. He noted that the process will be on going. The object of the process is to gain community wide support for sustainable service and funding levels. He urged councilors to attend the committee meetings if they have questions or concerns about the process. C. Housing Issues Ms. Bascom noted that the night shelter component of the Interfaith Shelter Program has ended for this season. She explained that although this compo- MINUTES--Eugene City Council May 8, 1991 Page 1 e e e nent of the program was initially scheduled to continue until June, the need for shelter during May was not as great as anticipated. Ms. Bascom announced that an open house for the Laurel Grove housing project is scheduled for May 16 and she encouraged all councilors to attend. D. Parking Policy Reconsideration Ms. Ehrman said that she was recently contacted by a constituent concerned with the lack of available on-street parking in her neighborhood. She asked that the council consider extending the parking permit policy currently used in the west university neighborhood into her neighborhood. Ms. Ehrman sug- gested that staff also look at other areas around the City where this type of policy might benefit residents. The council agreed to preliminary staff work to determine the impacts on council/staff work load. E. Tax-Increment Financing Ms. Ehrman informed the council that she recently testified before the House Ways and Means Committee on a bill regarding Ballot Measure 5 and its impli- cations on tax increment financing. She said it appeared that the committee would not disassemble tax-increment financing entirely, but cautioned that the ultimate decision is still uncertain. F. Public Information Program Regarding Fire Protection in the South Hills Mr. MacDonald said that he has been working with the Department of Public Safety on a public education program for residents of the south hills on safe homeowner practices to mitigate fire hazards in the area. He noted that the south hills are particularly susceptible to fire because of their location and proximity to trees. Mr. MacDonald explained that, subject to Eugene Water & Electric Board (EWEB) approval, meeting announcements could be dis- tributed in the monthly EWEB billing statements; the City would need to cover only printing costs for those announcements. He asked for preliminary coun- cil approval of the concept before approaching the EWEB board for approval. Ms. Ehrman suggested that Mr. MacDonald consider extending this program to home owners citywide. Ms. Bascom asked for additional information on this program from the fire department and some further exploration about the best timing for the mailouts. Mr. Boles suggested that this issue go before the Tree Commission for feedback and preliminary approval of the process. The council offered conceptual approval to place inserts in the EWEB mailout, subject to final council approval of the idea. MINUTES--Eugene City Council May 8, 1991 Page 2 e e e G. Ballot Measure 20-02 Mr. Boles noted that Ballot Measure 20-02 is before the voters and suggested that the council reaffirm its commitment to all four components of the Retail Task Force (RTF) plan for downtown revitalization. He reminded the council of last year's commitment to use urban renewal funds to support the downtown redesign plan and noted that, contingent on voter approval of the plan, the County has also agreed to provide financial support for the plan through Road Fund revenues. Mr. Boles moved, seconded by Mr. Rutan, that the council reaf- firm its commitment to the four parts of the Retail Task Force plan. Mr. Nicholson voiced his opposition to the motion. He said that part four of the RTF plan is the only part of the plan that he can support; the council should wait for a more integrated plan that offers more certainty. Ms. Bascom noted that the council has been working on this issue for a long time and offered her support for the motion. Mr. MacDonald commented on the importance of a comprehensive plan for down- town that includes all four plan components. He echoed concerns for the lack of specificity of the land-use planning component, but said that part four of the plan would be more fully developed upon plan approval. He added that while he would not have included the downtown street redesign component as a part of the RTF plan, he recognized that it was part of a comprehensive pack- age and would be accepting the plan in that context. Mr. Green highlighted the open process that was used in creating the model for downtown redesign and offered his support for the motion. Ms. Ehrman said that it was her understanding that the council would develop a work plan to address implementation of the land-use planning component, once the plan was approved. She expressed her support for the plan. Mr. Robinette echoed Ms. Ehrman's and Mr. Green's comments and offered his full support of the downtown plan. Mr. Rutan commented that Chapter 4 of the RTF plan was intended to provide general, rather than specific, land-use planning guidelines. While he oppos- es some of the guidelines presented in Chapter 4, there will be an opportuni- ty to debate them once the plan has been approved. He underscored the com- prehensive nature of the plan and the fact that funding revenues are avail- able without raising taxes. He also indicated his disappointment with the earlier decision not to have a public information campaign. Mayor Miller noted that the downtown redesign is intended to benefit all citizens, not just business owners in the downtown area. MINUTES--Eugene City Council May 8, 1991 Page 3 e Mr. Nicholson said that he is disappointed with the council's decision not to publish a voters pamphlet and said he believes that funds for this project would be in direct competition with library funding. Mr. Rutan moved, seconded by Ms. Bascom, to call the question. The motion carried 6:2; with councilors Rutan, Boles, Bascom, Ehrman, Green, and Robinette voting in favor; and councilors Nicholson and MacDonald voting opposed. Roll call vote; the motion carried 7:1, with councilors Rutan, Boles, Bascom, Ehrman, Green, Robinette, and MacDonald voting in favor, and Councilor Nicholson voting opposed. H. Radius Clauses in Leases Mr. Boles circulated copies of a letter from Al Johnson, a citizen, to the Planning Commission regarding the pOSSible implementation of radius clauses in leases. Mr. Boles asked for council support to have staff explore this issue before the council's work session on the Commercial Lands Study. Mr. Gleason said that the questions raised by Mr. Johnson are relevant to the Commercial Lands work program. By consensus, the council offered its approval for Mr. Boles' request. I. Public Notification of Meeting on Crowd Control tit Mr. Boles indicated that he received a call from a constituent concerned about the public notice given for a meeting held by the Department of Public Safety on crowd control issues. Noting that this issue is of concern to many, he asked that staff investigate this complaint and provide the council with a report. J. Bicycle Commute Day Diane Bishop, Public Works, announced that the council would be participating in Bicycle Commute Day on May 9. She provided participating councilors with a route plan and noted that the final destination would be the Park blocks downtown. II. COMMUNITY REINVESTMENT ACT (CRA) Mike Sullivan, Planning and Development Department, provided a brief history of the CRA. He reported that CRA was enacted in 1977 in response to communi- ty concerns over lack of investment in neighborhoods by banks. CRA was de- signed to encourage banks to meet the credit needs of an entire community, including low- and moderate-income neighborhoods. Mr. Sullivan noted that all Federally insured commercial banks and savings and loan associations chartered by a state or the Federal government are subject to eRA require- ments and said that institutions are regularly examined by Federal regulatory e MINUTES--Eugene City Council May 8, 1991 Page 4 agencies to evaluate CRA performance. The results of these examination are considered when an institution seeks approval for expansion and acquisition plans. Mr. Sullivan noted that the overall effectiveness and enforcement of CRA has been below expectations. However, recent changes in CRA have provid- ed a simplified rating system and public disclosure of examination results, resulting in renewed interest in CRA as a method of encouraging community- wide lending and reinvestment. Mr. Sullivan reviewed the performance categories and assessment factors for CRA which are included in the appendix of the report entitled "Increasing Community Reinvestment: A Practical Approach" included in the council's agenda packet. He said that the institution's overall performance rating is based on a review of the following areas: 1) Efforts to ascertain community credit needs; 2) marketing and types of credit extended; 3) geographic distribution and record of opening and closing offices; 4) discrimination and other illegal practices; and 5) community development. Mr. Sullivan provided a brief overview of the types of activities in which institutions could become involved to enhance their performance rating. These activities include, but are not limited to, participating in govern- ment-sponsored loan guarantee programs; demonstrating an active involvement in community credit issues; and participating and investing in community development projects and programs designed to enhance borrowing capacity. ~ Mr. Sullivan briefly described activities of financial institutions in other areas used to improve their CRA ratings. He said that banks and financial institutions have become involved in development corporations, involving a mix of public, private, and non-profit institutions. In addition, some intu- itions have become involved in bank-sponsored loan consortia which provide the advantages of pooled resources and shared risks among institutions. Also, communities have instituted CRA programs such as lender commitment programs and research and intervention efforts. e e Mr. Sullivan said that one way to acknowledge an institution that makes a good effort toward community reinvestment is by placing a letter in an insti- tution's public file. This file is reviewed by the Federal government in its investigation of CRA compliance. Mr. Sullivan noted that Pittsburg, Pennsylvania, has a unique CRA program that has been very successful in that area. He explained that the City of Pittsburgh has developed its own CRA rating system with stringent criteria and a linked deposit program with the local banks. Mr. Sullivan noted that in formulating such criteria, every effort must be made to ensure the fair- ness of the criteria. Mr. Sullivan briefly described a work plan model for CRA program development. The first step involves the formation of a task team to review community credit needs. The next step is to seek the active participation of community MINUTES--Eugene City Council May 8, 1991 Page 5 e groups and financial institutions in developing a unified position on commu- nity credit needs. Mr. Sullivan suggested that Eugene work cooperatively with the City of Springfield in developing a single program. The final step of the model involves the presentation of all findings and recommendation to the Eugene City Council for revision and final approval. Mr. MacDonald noted that implementing a CRA will become more important in the community as the result of Ballot Measure 5 becomes more clear. He also noted that such a program provides a good way for the public sector to reward financial institutions that are willing to invest in the community. Ms. Bascom suggested that the City ensure that it does not duplicate the efforts of the Housing Policy Board, particularly with respect to the deter- mination of community credit needs. Ms. Ehrman suggested that the Loan Advisory Committee might be the most ap- propriate body to develop a CRA program. Mr. Boles pointed out the importance of promoting CRA activities in the com- munity without increasing competition between banks, which might ultimately increase loan costs. e Mr. Gleason commented on the importance of cooperation between the City and the financial institutions in developing a CRA program and said that the community should assist financial institutions in determining community cred- it needs. Responding to a question from Mr. Green, Mr. Sullivan noted that the struc- ture of this process will help prioritize community credit needs, thus pro- tecting institutions from being burdened by an unreasonable list of credit needs. Responding to a question from Mr. Nicholson, Mr. Sullivan noted that under the typical CRA program, financial institutions do not receive rewards for complying with the criteria. Ms. Bascom asked how instituting a CRA program would assist the City in ac- quiring funds for housing construction. In response, Mr. Sullivan said that affordable housing would be specifically identified in the analysis of commu- nity credit needs. A bank that was involved in affordable housing loans would be recognized within the community. Its participation would be noted in its regular performance evaluation. Mr. Gleason said that if the council is interested in moving forward with this program, staff would bring a recommendation for the composition of the task team and a work plan back to the council. Mr. Boles asked that the Citizen Involvement Committee (CIC) be involved in the development of a task team. e MINUTES--Eugene City Council May 8, 1991 Page 6 e Ms. Ehrman noted that this is a partnership effort and said that staff from participating financial intuitions should also become involved. Mr. Sullivan said that this idea is worthy of discussion, but has not been discussed be- fore. Ms. Bascom also suggested that this item be brought before the Housing Policy Board for its input. III. APPOINTMENTS: CONSIDERATION OF MAYOR MILLER'S NOMINATIONS TO THE HISTORIC REVIEW BOARD AND THE TREE COMMISSION Mr. Rutan moved, seconded by Mr. Boles, to approve the Mayor's nomination to the Historic Review Board. Ms. Ehrman said that she has concerns with appointing Mr. Downey to the His- toric Review Board because of the lack of time he had been in the community. However, it is her understanding that he is the only person to fill particu- lar needs on this commission. e Responding to a question from Ms. Bascom, Mayor Miller indicated that he appointed Mr. Downey because he has a lot of experience on these issues. Roll call vote; the motion carried unanimously, 8:0. Mr. Rutan moved, seconded by Mr. Boles, to appoint the Mayor's nomination to the Tree Commission. Responding to a question from Ms. Ehrman, Mayor Miller said that he has talked with several persons about Ms. Tate and has received favorable re- sponses on her ability to be objective on the issues. Mr. Boles said he is deeply concerned with appointing a person to the commit- tee who cannot put the interests of the group which they represent subservi- ent to the larger community. Roll call vote; the motion carried 7:1, with councilors Rutan, Boles, Bascom, Ehrman, Green, Robinette, and MacDonald voting in favor; and Councilor Nicholson voting opposed. The meeting adjourned at 1:15 p.m. e MINUTES--Eugene City Council May 8, 1991 Page 7 e e e (Recorded by Traci Northman) mncc 050891-1130 MINUTES--Eugene City Council May 8, 1991 Page 8