HomeMy WebLinkAbout05/08/1991 Meeting
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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-
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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.
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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.
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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
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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.
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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
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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.
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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.
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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.
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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.
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(Recorded by Traci Northman)
mncc 050891-1130
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