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HomeMy WebLinkAbout07/08/1991 Meeting (2) e M I NUT E S Eugene City Council Council Chamber--Eugene City Hall July 8, 1991 7:30 p.m. COUNCILORS PRESENT: Shawn Boles, Ruth Bascom, Debra Ehrman, Kaye Robinette, Randy MacDonald, Paul Nicholson COUNCILORS ABSENT: Roger Rutan, Bobby Green The regular meeting of July 8, 1991, of the Eugene City Council was called to order by His Honor Mayor Jeff Miller. In light of the large number of people requesting to testify this evening, Mayor Miller asked those wishing to testify to limit their comments to three minutes. I. PUBLIC FORUM e William J. Mason, 1803 West 34th Avenue, said that he has not received an adequate response from the City Attorney's Office on questions he has asked regarding the provisions of the 8th and Willamette Request For Proposal (RFP). He noted that a memo of understanding between the City and the devel- oper was due in July 1991. II. CONSENT CALENDAR A. Approval of City Council Minutes of April 24, 1991, Lunch Work Session; April 29, 1991, Joint Meeting; and May 8, 1991, Lunch Work Session B. Approval of Findings and Recommendations of Hearings Official and Adoption of Resolution Forming a Local Improvement District for Paving, Curb, Gutters, and Storm Sewer on 2nd Avenue from Washing- ton Street to Lawrence Street (Job No. 2698) Res. No. 4256--A resolution forming a local improvement dis- trict for paving, curb, gutters, and storm sewer on 2nd Avenue from Washington Street to Lawrence Street. C. Approval of Minutes, Findings, and Recommendations of Hearings Official and Adoption of Resolution Forming a Local Improvement e MINUTES--Eugene City Council July 8, 1991 Page 1 e District for Street Paving and Storm Sewer Construction on Myers Road from Gilham Road to 600 Feet West (Job No. 2644) Res. No. 4257--A resolution forming a local improvement dis- trict for street paving and storm sewer con- struction on Myers Road from Gilham Road to 600 feet west. D. Approval of Minutes, Findings, and Recommendations of Hearings Official and Adoption of Resolution Forming a Local Improvement District for Paving, Sidewalks, and Sanitary and Storm Sewers on Patterson Street from 40th Avenue to 350 Feet South of 40th Avenue (Job No. 2697) Res. No. 4258--A resolution forming a local improvement dis- trict for paving, sidewalks, and sanitary and storm sewers on Patterson Street from 40th Avenue to 350 feet south of 40th Avenue. E. Adoption of a Resolution Authorizing Acceptance of a Loan From the State of Oregon Department of Energy Res. No. 4259--A resolution authorizing acceptance of a loan from the State of Oregon Department of Energy. Ms. Bascom requested that the council minutes of April 24, 1991, and Item 0 e be withdrawn from the consent calendar. Mr. Nicholson asked that the council minutes of May 8, 1991, and April 29, 1991, be removed from the consent calendar. Mr. Boles moved, seconded by Ms. Ehrman, to approve the re- maining items on the City Council consent calendar. Roll call vote; the motion carried unanimously, 6:0. III. PUBLIC HEARING: DOWNTOWN DEVELOPMENT DISTRICT (ODD) City Manager Mike Gleason introduced the topic. Lew Bowers, Planning and Development Department, briefly reviewed the parking proposal that is being considered. He noted that the Downtown Development District revenue has been declining over the past several years. Ballot Measure 5, recently passed by Oregon voters, has made it impossible for the City to continue to collect the ad valorem tax, one of the two major revenue-generating mechanisms for the ODD. If the district were to continue its present mix of services, it would experience a deficit of $325,000 next fiscal year. The ODD is currently working off its accumulated working capital and will have used all its funds by January 1992. Mr. Bowers said that recognizing the decline in ODD revenues in the last budget cycle, the council created a subcommittee to analyze different options e MINUTES--Eugene City Council July 8, 1991 Page 2 e for the district. The subcommittee considered several options for methods of continuing the ODD, including: 1) a gross receipts tax; 2) a square-footage tax; or 3} changing the mix of services downtown. The process involved sub- stantial opportunities for community involvement including several surveys and three public forums. The subcommittee forwarded a recommendation to the Downtown Commission, who reviewed the recommendation, held a public forum, and forwarded options to the council. Mr. Bowers noted that the cost of parking has been a significant issue in the proposal. For the City to cover operating, maintenance, and replacement reserve expenses for a single parking space costs, on average, $28 per month. Mr. Bowers said that the City has compared its costs with private parking operators; the only way to lower total costs would be to cut basic services, such as security and cleanliness. Mr. Bowers walked through the council's preferred proposal. The proposal deals with only the 800 parking spaces currently in the 3-hour free program-- those spaces designed to serve short-term parkers. The proposal is as fol- lows: l. Suspend the ODD tax collection. 2. Downtown management services (mall security, flowers, marketing, etc.) will be provided by DEI. They will be paid for by private service contracts that DEI negotiates with downtown businesses and property owners. 3. Replace the existing three-hour free program with paid parking. e Major lots and structures to be attended. Attended and pay lots at $.75 per hour; meters remain at $.50 per hour. Free parking Sundays and holidays. 4. Establish a validated parking program. Validations to be sold to businesses at a 50-percent discount of the $.75 rate by DEI. The City would provide the 50-percent discount to DEI in return for its effort to provide downtown management services. 5. Implement the program prior to October 31, 1991. Mr. Bowers noted that a major marketing effort would be provided to smooth the transition. Staff recognizes the multiple interests that need to be considered in crafting a parking proposal for downtown and is satisfied with this proposal. Mr. Bowers highlighted the strengths of the proposal: it would retain free parking for downtown customers and clients; make more spac- es available for short-term users; continue and privatize the downtown ser- vices; private service contracts would be more equitable than the tax that was in place; attended parking is believed to be more user-friendly to the parker; the parking system would become more uniform and thus, easier to understand by the parker; and the district would be financially self-suffi- ci ent. Mayor Miller opened the public hearing. e MINUTES--Eugene City Council July 8, 1991 Page 3 e Roger Neustadter, 135 West Broadway, testified in favor of the proposal. He commended the Downtown Commission and City Council for realizing that the current system is no longer an option and said that he is pleased that the City has recognized the need to contract for services with DEI. Recognizing that parking needs on Saturdays are different from weekdays, he asked that the council consider modifying the proposal to make parking free on Saturday as well. Russ Brink, 132 East Broadway, Suite 505, speaking on behalf of DEI, offered his support for the proposal. He recognized that gross receipts are insuffi- cient downtown to continue the current system and said that the recommenda- tion before the council is a long-term solution that would continue to pro- vide the necessary services and free parking for customers downtown. Mr. Brink indicated that DEI currently has 60 percent of its targeted budget in either signed contracts, letters of intent, or firm verbal commitments with downtown property owners. Mike Schwartz, 2390 Lariat Drive, speaking as chair of the Downtown Develop- ment District lask Force (ODOlF), offered the task force's support for the proposal. He emphasized the need for a marketing program to smooth the tran- sition into the proposed parking program. He said that retailers should support DEI and considering the costs of advertising the program, should be willing to provide validated stamps to the customers. He asked the council to reach closure on this recommendation as soon as possible. Peter Bartel, 2532 Nixon Street, testified in favor of the proposal and said e it is unfortunate that the downtown redesign plan did not receive voter ap- proval. He said that DEI involvement is an important aspect of the proposal and said that the downtown flowers component of DEI's services is signifi- cant. He asked that the City assist DEI in its provision of services by providing it with the basic needs, such as water. He also said that the metered parking lot on 8th and Pearl should be included in the proposal. J. A. Guse, 99 West Broadway, testified in opposition to the proposal. He said that he does not support validated parking. He noted that his clients do not like parking in the Parcade and the Overpark. He agreed that the 8th and Pearl lot should have been included and said that the lot on 11th and Oak should be included as well. He said that he would rather continue the exist- ing parking program with increased tax payments. John Stromberg, 2250 Lawrence Street, spoke against the proposal, noting that validated parking would make customers feel unwelcome downtown. He believes that the preservation of DEI is one of the goals of this proposal. As an alternative, he suggested that the City maintain the ad valorum tax and open- ly confront retailers about how many services they are willing to pay for. He provided the council with a more detailed copy of his suggestions. Cynthia Kokis, 2465 Jefferson Street, speaking on behalf of the Eugene Church of Women United, read from a letter submitted to the Downtown Commission in opposition to the proposal. She said that few citizens have the money to pay for these downtown services. Private merchants should not be relied upon to e MINUlES--Eugene City Council July 8, 1991 Page 4 e make decisions about public need. She urged the council to consider Mr. MacDonald's proposal which clearly addresses the needs of low-income people. William J. Mason, 1803 West 34th Avenue, testified in opposition to the pro- posal. He noted that he has attended numerous meetings as an observer on this issue. He said that the blame placed on Ballot Measure 5 is misleading and noted the DDD has been on a bankruptcy course for many years. He said that it is a fallacy that there is free parking anywhere in the City. He does not support a wholesale reduction of validated tickets; DEI's income might exceed its costs and not require subsidization. Anne Kern, 449 Howard Street, identified herself as an employee of B. Dalton Books and testified against the proposal. She felt that customers should not have to pay for parking downtown when parking in other areas around the City, particularly shopping centers, is free. She said that if the program is implemented, it is likely that B. Dalton would relocate to the Gateway Mall. Ann Herrick, 3411 Chaucer Way, spoke in opposition to validated parking. She felt that $.75 per hour is too expensive and suggested that if the program is implemented, the cost might be lowered to $.25 per hour on weekdays; parking should be free on Saturday. All metered lots should be $.50 per hour. Tom Slocum, 1950 Graham Drive, said that while he supports ceasing the taxing district downtown, he does not like validated parking. He noted that DEI represents downtown retailers, not offices. He recommended that the council select Option C or D; parking should be $.60 per hour on weekdays, and free e on Saturdays at the Overpark, Parcade, and the 8th and Pearl lot. Retailers could purchase tokens to distribute to customers. Bob (no last name given), 476 East Broadway, said that he is opposed to spending any money on the Eugene Mall. He suggested that the fountain be removed and that a dome be erected in its place for local bands to play un- der. He said that the current parking program is foolish; the City should be encouraging foot traffic, not cars, on the mall. Gene Joseph, 189 West 8th Avenue, identified himself as a co-owner of Pacific Nautilus and spoke against the proposal. He noted that the parking needs of Pacific Nautilus are unique from surrounding businesses and said that the proposed program would not suit the needs of its customers. He encouraged the council to examine further its options for downtown. He said Pacific Nautilus would be willing to pay an increased DDD tax. Bill Goldsmith, 390 East 30th Avenue, spoke as General Manager of the Satur- day Market against the parking proposal. He cautioned the council about the disastrous effects that terminating the free parking program would have on the downtown area. He asked the council to look at other parking alterna- tives, such as two-hour parking provided around the University and a permit program for local residents. He urged the council to look at the option of free downtown parking using criteria that give priority to the vitalization of a downtown civic area for Eugene citizens. e MINUTES--Eugene City Council July 8, 1991 Page 5 e Reverend Patricia Adams, 3345 Chambers Street, testified against the parking proposal. She cautioned the council that the downtown area can not be resus- citated after it has been destroyed. Issuing parking tickets for the privi- leged of parking downtown would be counter-productive and would encourage people to shop in malls where parking is free. There being no additional requests to speak, the public hearing was closed. Mayor Miller informed the public that the council would be making a decision on this issue when councilors Rutan and Green could be present at the July 17 council meeting. Mr. Bowers provided a staff response to public testimony. He said that it would be possible to provide free parking on Saturdays, and agreed to provide the council with the fiscal implications of such an option. He said that the 8th and Pearl parking lot was not originally included in the program because there were not enough spaces on that lot for short-term parking; he agreed to provide the council with financial estimates of that proposal. Regarding those who indicated a willingness to pay an increased gross receipts tax, he said that staff has conducted financial estimates on that possibility; in order to provide the existing service mix with the existing gross receipts base, downtown property owners would have to pay $7.20/$1000--a significant increase from the present $2.80/$1000. Mr. Bowers said that staff could run a variety of parking rates for the program; the existing rate model is break- even for the City. e Responding to a question from Ms. Ehrman, Mr. Bowers said that staff could provide the council with an estimate of what the gross receipts tax would be for downtown property owners if they were willing to pay for parking services only. The costs would exceed the existing $2.80/$1000 rate. In response to testimony, Ms. Ehrman said that she believes the lot at 11th Avenue and Oak Street is monthly parking. Mayor Miller asked staff to pro- vide the council with information on the current status of that parking lot. Mr. Boles requested that the council be provided with a report on the propor- tion of property owners agreements that have be signed with DEI, its proposed budget, and the proportion of signed contracts representative of the proposed budget. Mr. Nicholson asked what percentage of the downtown merchants support the proposed option. In response, Mr. Boles said that a comprehensive survey was conducted of the downtown property owners. Only 29 percent responded. Based on the 29-percent respondent rate, Mayor Miller asked for statistics about the number of property owners who support the proposal. Mr. Nicholson suggested that the City contact those property owners who pay into the tax now to determine how many would prefer an increase in the gross receipts tax as opposed to this proposal. e MINUTES--Eugene City Council July 8, 1991 Page 6 --- e Noting that property owners have been given a sufficient opportunity to par- ticipate already, Mr. Boles said that they should not be asked further. Ms. Ehrman said that one of the goals of the revised parking program was to make it difficult for downtown employees to abuse the parking system by park- ing in the three-hour lots. She asked for an estimate of the number of em- ployees working downtown and the number of those who pay for monthly parking. Responding to a question from Ms. Bascom, Mr. Bowers said that downtown em- ployees are prohibited from parking in the three-hour free parking spaces; parking control officers monitor those spaces. However, staff estimates that there is a core of individuals who abuse the system. Mr. MacDonald asked for a report on how aggressive and effective the enforcement of abusers has been. (At 9:40, the council took a two-minute break.) IV. ORDINANCE CONCERNING INDUSTRIAL WASTE PRETREATMENT City Manager Mike Gleason introduced the topic. James Ollerenshaw, Public Works Wastewater Division, gave the staff presentation. He said that indus- trial pretreatment programs have their origin in the Clean Water Act of 1972. The four major objectives of the industrial pretreatment program are to pre- vent discharges to the sanitary sewer which will interfere with the biologi- cal treatment process, contaminate the resulting sewage sludge rendering it unsuitable for reuse, pass through the treatment plant into the Willamette e River and exceed water quality standards, and jeopardize the health and safe- ty of employees who work in and around the sewerage system. Mr. Ollerenshaw said that amendments and additions to the Eugene Code are necessary to bring the industrial pretreatment program regulations into agreement with the Metropolitan Wastewater Management Commission (MWMC) Model Pretreatment Ordinance, and into compliance with Federal regulations. The ordinance is identical to the MWMC Model Ordinance, which was recently ap- proved by MWMC following public hearings. An intergovernmental agreement requires the City to adopt, as a minimum, the standards in the MWMC Model Pretreatment Ordinance. Mr. Ollerenshaw said that the major ordinance changes include the following: I} a new section regarding permits and requirements for mobile waste haulers; 2} authorization of administrative penalties for permit non-compliance; 3} additions to the prohibited discharges list; 4) requirements for prior approval and reporting of hazardous waste discharges to the sewer system; 5) a revised list of local pollutant discharge limits; 6) changes to the crite- ria which resulted in an industry being publicly noticed in the newspaper for permit non-compliance; and 7) an increase in the minimum civil or criminal penalty from $500 to $1,000 per day. An emergency charge is present because of Environmental Protection Agency (EPA) requirements for compliance and the need to reissue expired discharge permits to industrial users. e MINUTES--Eugene City Council July 8, 1991 Page 7 e Responding to a question from Mr. MacDonald, Mr. Ollerenshaw said that the ordinance defines "significant industrial user" on page 10 of the ordinance. An industrial user must meet only one of the criteria to be considered under that definition. Mr. MacDonald voiced concern with the dumping of antifreeze (ethylene glycol) into the sewer system. He noted that a staff memo indicated that the dis- charges of this substance are not considered serious enough to take further action. In response, Mr. Ollerenshaw said that a small radiator shop discharging some antifreeze would not likely fit the definition of significant industrial user. He said that there are two major types of pollutants in used anti- freeze--ethylene glycol and heavy metals. Ethylene glycol is an organic compound that is easily biodegraded at the treatment plan and would not pass into the river. At the request of the EPA, the City has tested waste streams discharged into the system, and has determined that concentrations of those metals in the waste stream are below the proposed local limits. Mr. Ollerenshaw explained that local limits are established based on a number of potential pathways for the pollutant. The City uses the most restrictive calculation and adds a 25-percent margin of error. Mr. Ollerenshaw described the calculation process for a pollutant and said that the calculation in- cludes an additional margin of error to account for potential undocumented discharges. e Responding to a question from Mr. MacDonald, Mr. Ollerenshaw said that if this were a storm sewer issue, the dumping of antifreeze into the system would be more critical. The City Code prohibits the discharge of antifreeze into the storm sewer system. CB 4322--An ordinance amending Sections 6.400, 6.405, 6.410, 6.415, 6.420, 6.425, 6.430, 6.435, 6.440, 6.445, 6.450, 6.455, 6.460, 6.465, 6.470, and 6.690 of the Eugene Code, 1971; addition of Sections 6.427, 6.432, 6.434, 6.462, 6.463, and 6.464 to that Code; and declaring an emergency. Mr. Boles moved, seconded by Ms. Ehrman, 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, 6:0. Council Bill 4322 was read the second time by number only. Mr. Boles moved, seconded by Ms. Ehrman, that the bill be approved and given final passage. Mr. Boles asked about the City's procedure for listing significant violators. In response, Mr. Ollerenshaw said that significant violators are listed on an e MINUTES--Eugene City Council July 8, 1991 Page 8 -- ---- e annual basis in the newspaper. He agreed to provide the council with a list of the industry's most recently cited violators. Mr. Boles asked whether the proposed ordinance reinforces the movement toward point-source control mechanisms for discharge. Mr. Ollerenshaw said that the ordinance does not address point-source discharges. Responding to a question from Mr. Boles, Mr. Ollerenshaw said that in his opinion, the standards that are set in the ordinance would be adequate to protect the health and safety of the community. Roll call vote; the motion carried unanimously, 6:0. (Ordi- nance No. 19791). II. CONSENT CALENDAR (Contd.) A. Approval of City Council Minutes of April 24, 1991, Lunch Work Session; April 29, 1991, Joint Meeting; and May 8, 1991, Lunch Work Session Ms. Bascom asked that page 2 of the council minutes of April 24, 1991, be amended to indicated that there are "15" rather than "50" new units of hous- ing at Laurel Grove. She also said that "the first stage of landscape de- sign" has been initiated on the Walnut Grove site. e Referring to the council minutes of April 29, 1991, page 14, Mr. Nicholson said that at his request, he was provided with a verbatim transcript of the minutes. He said he does not feel that the summary of the testimony between Mr. Defoe and Mr. Rust is adequately captured in the minutes and asked that paragraph 4, sentence 2 of that page be amended to read "In response, Mr. Defoe said that this piece of land was chosen because of its affordable price and isolation." Mr. Boles suggested that the full council be given an opportunity to review the verbatim transcript and make a decision at another meeting. He said that if the council is not satisfied with Mr. Nicholson's wording, then the coun- cil might consider placing the verbatim text in this portion of the minutes. Mayor Miller stated his concern with placing a verbatim transcript in the text, noting that a portion of the discussion may be misconstrued if taken out of context of the full discussion. Responding to a question from Mr. MacDonald, Mr. Gary said that if the case were appealed to the Land Use Board of Appeals (LUBA) and a party requested a verbatim copy of the entire minutes, it would have to be provided and would be considered legally admissible in that hearing. The council agreed to withhold approval of the April 24, 1991, council min- utes until the full council has had an opportunity to review the verbatim transcri pt. e MINUTES--Eugene City Council July 8, 1991 Page 9 e Referring to page 3 of the minutes of May 8, 1991, Mr. Nicholson said that paragraph 2 should be amended to reflect that he only supports part 4 of the Retail Task Force plan for downtown. Mr. MacDonald asked that page 2, paragraph 4, of the May 8 minutes be amended to include the following statement: "Mr. MacDonald said 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 package and would be accepting the plan in that context." Mr. Boles moved, seconded by Ms. Ehrman, to approve the coun- cil minutes of April 24, and May 8, 1991, as amended. The motion carried unanimously, 6:0. D. Approval of Minutes, Findings, and Recommendations of Hearings Official and Adoption of Resolution Forming a Local Improvement District for Paving, Sidewalks, and Sanitary and Storm Sewers on Patterson Street from 40th Avenue to 350 Feet South of 40th Avenue (Job No. 2697) Res. No. 4258--A resolution forming a local improvement district for paving, sidewalks, and sanitary and storm sewers on Patterson Street from 40th Avenue to 350 feet south of 40th Avenue. e Ms. Bascom voiced concern that when there is a substantive disagreement among councilors about an issue such as sidewalks, it should not be put on the consent calendar for routine adoption. She said that as the motion is word- ed, staff is asking that sidewalks be included in the motion but are not requiring that they be built at this time. In response, Les Lyle, Public Works, said that the resolution is worded incorrectly; it should be amended to reflect that sidewalks not be required at this time. He clarified fur- ther that the Hearings Official is recommending that sidewalks not be in- stalled at this time. However, this does not preclude sidewalks being re- qUired in the future. Mr. MacDonald said that he supports staff recommendation to waive the side- walk requirement because this is a dead-end road, the close proximity of the houses to each other, and because of the significant negotiation which has occurred between staff and the residents. He noted that it is a shame that the oak tree in the center of the road must be removed and said that access to an undeveloped parcel at the top of Edgewood Hill would be a concern in the future. He felt that the City should agree to participate to a greater extent in road construction costs because of the condition of the road. Responding to a question, Mr. Lyle said that the contracts on this issue are ready to be executed based on the council's decision this evening. He recom- mended that the resolution be modified stating that sidewalks not be included as part of the improvement project. e MINUTES--Eugene City Council July 8, 1991 Page 10 - -- ---- - -- Responding to a question, Mr. Gary suggested that Section 2 of the resolution be amended to delete the reference to paving and constructing sidewalks. Mr. Boles said that waiving the sidewalk requirement at this time would be incon- gruent with the council's past policy for similar LID'S and would fail to support its implicit intention to move toward a particular set of street standards around schools. The council should require sidewalks at this time. Mr. Lyle said that while the council could choose to require sidewalks at this time, the City does not usually require concurrent sidewalk construction when its receives a petition project. He added that it was made clear to property owners in the hearing that the City might require sidewalks at some time in the future. Mr. Nicholson questioned the equity of the council's sidewalk policy. He wondered why the council should waive the sidewalk requirement on this project when it recently chose not to waive the requirement on a similar project. He felt that the council's policy with respect to sidewalks has not been consistent. Mr. Robinette asked whether a person purchasing this property in the future would be informed of the sidewalk requirement during the course of the real estate transaction. In response, Mr. Gary said that it is unlikely that the property owner would be informed of the sidewalk requirement during the course of a real estate transaction. Mr. Boles moved, seconded by Ms. Ehrman, to adopt Resolution e 4258 with a change in Section 2 deleting any reference to paving and sidewalk construction. Ms. Ehrman asked that the property owners be informed that it may be more cost-effective to construct sidewalks now than in the future. Mr. Boles noted that councilors Rutan, Nicholson, and himself are working on street standards and asked staff to factor into future discussion some of the issues raised today: property owner notification of sidewalk standards, understanding the consequences of past agreements at the point of purchase of property, and the possibility of dropping below the 28-foot-wide curb-and- gutter road standard. Mr. MacDonald said that while consistent street standards are important, it is also valuable to retain some flexibility for negotiation between residents and staff to satisfy the unique characteristics of parcels. Roll call vote; the motion carried 5:1, with Councilor Nicholson dissenting. The meeting adjourned at 9:20 p.m. - MINUTES--Eugene City Council July 8, 1991 Page 11 - - --- .~~- Micheal Gleason City Manager (Recorded by Traci Northman) mncc 070891-730 e e MINUTES--Eugene City Council July 8, 1991 Page 12