HomeMy WebLinkAbout11/26/1980 Meeting
. M I NUT E S
Eugene City Council
City Council Chamber
November 26, 1980
11:30 a.m.
COUNCILORS PRESENT: Bet~y Smith, Scott Lieuallen, Brian Obie, Jack Delay,
D. W. Hamel, Gretchen Miller, and Emily Schue. Councilor
Eric Haws was absent.
Adjourned meeting of the City Council of 'the City of Eugene, Oregon, was called
to order by His Honor Mayor Gus Keller.
I. ITEMS FROM MAYOR & COUNCIL, APPOINTMENTS, ANNOUNCEMENTS, AGENDA ADJUSTMENTS
A. Appointments
1. Consideration of appointment to Eugene Renewal Agency
Councilor Obie stated that Mr. Delay has applied for a citizen position on
ERA and already represents the council on ERA until his term of office is
finished in December. He would like to recommend that Mr. Delay be appointed
. and not interview any others. He is concerned about the legal implications.
Ms. Smith and Ms. Schue agreed that others should not be interviewed. After
receiving clarification from Keith Martin, City Attorney, council consensus
was to interview only Jack Delay for the opening on the Eugene Renewal Agency
on December 3, 1980.
B. Floating Interest Rates
Mr. Delay stated that banks are approving commercial loans whose interest rate
floats with the prime interest rate. This is also becoming common with mortgage
loans. He requested that staff pursue floating interest rates and the availa-
bilityor possibility of using them for bonds. Mr. Henry stated that this would
be researched.
C. Oak Park Planned Unit Development
Mr. Delay stated that he had received a letter from the Oak Park Tenants'
Association. Oak Park is a planned unit development where units with common
ground can be subdivided. These tenants are asking if the condominium conver-
sion ordinance would apply in this situation. The tenants' association sees
this situation as comparable to condominium conversion. He requested that staff
pursue this matter and report back to the council. This is a subdivision rather
than a condominium, but the same process for the individual tenants may apply.
Mr. Obie agreed that staff could take a cautious look at PUD's, but the City has
. been promoting PUD's for the past 12 years to promote higher density.
MINUTES--Eugene City Council November 26, 1980 Page 1
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Mr. Henry stated, that it would seem to be nearly impossible to meet this request
by the time required since December 10 is the deadline on the appeals process. .
The facts and issues should be looked at in the near future.
Jim Croteau, Planning Department, stated that staff sees a dissimilarity between
PUD's and condominiums. He will prepare a report to bring back to the council
in about two weeks. Ms. Schue agreed that a report should come back.
Mr. Delay stated that if PUD's were to be included, the scope of the resolution
would have to be adjusted to the scope of the problem. The City's condominium
ordinance is related to the State's condominium conversion process, but the
subdivision process is not. This problem's scope may be narrower. Most resi-
dents at Oak Park are single parents. If they must relocate in the middle of
the school year, it would be a hardship. He feels staff should research this
item quickly and report back sooner than within two weeks because December 10
is the deadline.
Mr. Croteau stated that unless an appeal is filed, the preliminary plat will be
approved December 10 with final approval later. An appeal could be filed then
which takes 45 to 60 days. All tenants have beEn notified which may take care
of the concern regarding lack ~f notice. Mr. DElay asked what would happen if
tenants filed an appeal. Mr. Croteau stated thEY would have to file an appeal
by the deadline, the appeal goes to the Plannin~ Commission, and then it goes
to the counc i 1 . This process would take about three months.
Consensus was to have a staff report back on th-s issue in two weeks.
D. Emergency Medical Services .
Mr. Delay stated that he might have to leave thf' meeting before it is over and
he wanted to let the council know that he is oPI~sed to the rate setting mech-
anism that is being proposed for emergency medical services. He feels it is
more important for the counci 1 to look at alterllat ive del ivery systems due to
the uncertainty of the Medical Services, Inc., (Iperation.
E. Metropol itan Wastewater Management Cor-1mi ssion
Ms. Smith stated that she was presenting to the City a check for $152,900 from
MWMC to repay a loan from the City for construction. They are proceeding and
have some funding loans for capital constructioll fund design. Construction
bonds equal i ng $9 mill i on were awarded at 7.38 percent.
F. Donation of Wingard House
Mr. L ieuallen stated he had received a letter from the Whiteaker Community
Council regarding the donation of the Wingard Hf)use to the City. The house was
given to the City to be used in the cooperative housing project. He would like
addit iona 1 i nformat ion. Mr. Henry stated that :he house was arranged to be
given to the City through the Parks and Recreation Department. He received
correspondence from Senator Wi ngard sayi ng he wt)ul d be pl eased if the house were
used for cooperative 'housing. The intent is to turn the house over to HCC and
the attorneys will be researching how it might be turned over to NEDCO.
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MINUTES--Eugene City Council Novembe~ 26, 1980 Page 2
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G. Mandatory Weatherization
. Ms. Miller stated that the mandatory weatherization public hearing must be
scheduled for December 22. Mr. Henry noted that the public hearing will be
December 22 and the initial staff presentation will be December 17. Ms. Mill er
stated that the current council has worked very hard developing this ordinance
and she is concerned about holding the public hearing so close to the holidays.
Mr. Delay stated that the information session would be presented prior to the
hearing. After that, people could provide advance written testimony prior to
December 22. Mr. Obie indicated that holding the public hearing near the holi-
days is a problem. If changes develop, they would need to be taken care of
after year end and there could be two councilors who have not heard testimony
from the public hearing. Energy conservation is important and the council will
be dealing with this field for a long time. Mr. Delay stated that it would be
good to see this strong priority taken care of before he leaves the council.
Discussion followed and council consensus was to hold the public hearing as
scheduled on December 22. Mr. Obie suggested sending a letter to the councilors-
elect asking them to attend the public hearing. Mr. Henry indicated that this
would be done.
H. Budget Committee Appointment
Ms. Schue stated that she would recommend that Joan Mazo be reappointed to the
Budget Committee.
. Ms. Smith moved, seconded by Mr. Lieuallen, to reappoint Joan Mazo
to the Budget Committee for a three-year term ending December 31,
1983. Roll call vote; motion carried unanimously.
1. Council Appointments to Boards and Commissions
Mayor Keller would appreciate a list from councilors as to their preference for
board and commission assignments for next year.
J. Commission on Rights of the Handicapped Appointment
Mr. Henry stated that Patrick Wallace, second alternate to the Handicapped
Commission, has been recommended to replace Jean Knight who has been terminated
due to three unexcused absences.
Ms. Smith moved, seconded by Mr. Lieuallen, to appoint Patrick Wallace,
2255 Garfield, to complete the term of Jean Knight ending January 1,
1982. Motion carried unanimously.
K. Room Tax Subcommittee Appointment
Mr. Henry stated that Mayor Keller is nominating Dale Munkers to the Room Tax
Subcommittee to replace Art Fairchild, whose term has expired.
Ms. Smith moved, seconded by Mr. Lieuallen, to appoint Dale
. Munkers, 1850 Happy Lane, to the Room Tax Subcommittee for a
three-year term ending July 27, 1983, replacing Art Fairchild,
whose term has expired. Roll call vote; motion carried
unanimous 1 y.
MINUTES--Eugene City Council November 26, 1980 Page 3
L. Balloting for Committee Interviewees
Mr. Henry stated that the council should ballot on interviewees for the Citizen .
Involvement Committee, the Community Development Committee, and the Joint
Housing Committee. The resuHs will t'1e annl'lInced at thp. ("no ()f thp mf'p.tinq.
These will be for three openings on the Cit izen Involvement Committee, two of
which should be citizens at large and one of which should be a neighborhood
1eader representative; three openings on the Community Development Committee;
and one opening on the Joint Housing Committee.
M. League of Oregon Cities Leadership
Mr. Henry stated that Mayor Keller has been elected President of the League
of Oregon Cities for the coming year. Mr'. Henry congratul ated him.
N. Legislative Delegation Dinner
Mr. Henry stated that a dinner will be held for the Eugene Legislative Delega-
tion on December 17 at the Valley River Inn, beginning at 6:30 p.m. Paget Engen
is the staff person in charge. He encouraged the council to attend this busi-
ness meeting.
O. Budget Committee Meeting
Mr. Henry stated that December 16, 7:30 p.m., there will be a Budget Committee
meeting to discuss revenue projections.
P. City Council Meeting Schedule for 1981 .
Mr. Henry stated that beginning in 1981, the council will hold no City Council
meetings the first week of each month. At the first evening City Council
meeting each month, there will be a 5:00-7:15 p.m. dinner meeting to consider
future agenda items. There will also be three two-week gaps with no City
Council meetings each year. These will occur at Christmas, spring vacation,
and in late August.
Mr. Delay stated that the new meeting schedule looks good. This will give three
time periods of 20+ days with no meetings, giving the council more opportunity
to plan their private lives around council business. He suggested that other
committee meetings be arranged around this same schedule so there would be no
meetings in the first week of each month. Council consensus was to approve the
meeting schedule for 1981 and to request that no board/commission or committee
meetings be held in the first week of the month.
II. ROUTINE ITEMS FOR COUNCIL APPROVAL
A. Approval of Council Minutes of October 22, 27, and 29, 1980
Ms. Smith moved, seconded by Mr. Lieuallen, to approve council
minutes of October 22, 27, and 29, 1980. Roll call vote; motion
carried unanimously.
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MINUTES--Eugene City Council November 26, 1980 Page 4.
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. B. Segregation of Assessment Located at 767 Willamette Street,
Suite 202; Applicant: John Matott for Muriel Roberts (SE 80-9)
Mr. Henry stated that everything is in order with this segregation of assessment
and approval is recommended.
Ms. Smith moved, seconded by Mr. Lieuallen, to approve the segre-
gation of assessment as noted. Roll call vote; motion carried
unanimously.
C. Call for Public Hearings
1. Street vacation for Duncan and Hammer (SV 80-3) (map distributed)
Mr. Henry stated that this application is not complete and must be held over.
2. Street vacation for City of Eugene: Public Works Department
(SV 80-4) (map distributed)
Mr. Henry stated that this vacation would be for the 30th and Hilyard improve-
ment project. There are several segments, but the major one is on 29th between
Amazon Parkway and Hilyard. They will be calling for bids this spring.
CB 2214--An ordinance calling for a public hearing for January 14, 1981;
re: street vacation for City of Eugene; Public Works Department
for properties located: a) 29th Avenue between Amazon Parkway
. and Hilyard Street; b) 32nd Avenue from the west margin of
Hilyard Street west a distance of 178 feet, and vacate the alley
located between 32nd Avenue and 33rd Avenue, from the west margin
of Hilyard Street west a distance of 176.5 feet; and c) alley
located between 33rd Avenue and 34th Avenue, from the west margin
of Hilyard Street west a distance of 176.93 feet.
Ms. Smith moved, seconded by Mr. Lieuallen, that the bill be read
the second time by council bill number only, with unanimous
consent of the council, and that enactment be considered at this
time. Roll call vote; motion carried unanimously.
Council Bill 2214 was read the second time by council bill number only.
Ms. Smith moved, seconded by Mr. Lieuallen, that the bill be
approved and given final passage. Roll call vote; all councilors
present voting aye, the bill was declared passed and numbered
18722.
3. Easement Vacation for Gary Bruntz (EV 80-5) (map distributed)
CB 2215--An ordinance calling for a public hearing for January 14, 1981;
re: easement vacation for Gary Bruntz for property located
between Danebo Street and Regina Street south of Barger Avenue.
. Ms. Smith moved, seconded by Mr. Lieuallen, that the bill be read
the second time by council bill number only, with unanimous
consent of the council, and that enactment be considered at this
time. Roll call vote; motion carried unanimously.
MINUTES--Eugene City Council November 26, 1980 Page 5
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Council Bill 2215 was read the second time by council bill number only. "-
Ms. Smith moved, seconded by Mr. Lieua11en, that the bill be .
approved and given final passage. Roll call vote; all councilors
present voting aye, the bill was declared passed and numbered
18723.
4. Easement Vacation for Allen L. Coburn (EV 80-6) (map distributed)
CB 2216--An ordinance calling for a public hearing for January 14, 1981;
re: easement vacation for Allen L. Coburn for property located
west and north of Luella Street.
Ms. Smith moved, seconded by Mr. Lieuallen, that the bill be read
the second time by counci'l 'bill number only, with unanimous
consent of the council, and that enactment be considered at this
time. Roll call vote; motion carried unanimously.
Council Bill 2216 was read the second time by counci~ bill number only.
Ms. Smith moved, seconded by Mr. Lieuallen, that the bill be
approved and given final passage. Roll call vote; all councilors
present voting aye, the bill was declared passed and numbered
18724.
D. Payment of Bills and Claims
Res. No. 3444--A resolution authorizing payment of bills and claims for .
the period November 10, 1980, through November 26, 1980.
Ms. Smith moved, seconded by Mr. Lieuallen, to adopt the resolu-
tion. Roll call vote; motion carried unanimously.
III. PUBLIC HEARINGS
A. New Liquor License Outlet--Bruno's Bistro (retail malt beverage);
located at Fifthpearl Building, 207 East 5th Avenue; applicant:
Thomas Bollag, Bolmac Corporation
Mr. Henry stated that approval is recommended and all is in order for this
proposed outlet.
Public hearing was opened.
Jeanelle McCullen stated that she is with the Bolmac Corporation and would urge
approval of this license.
Tom Bollag said he is one of the applicants and can answer questions.
There being no further testimony, public hearing was closed.
Ms. Smith moved, seconded by Mr. Lieuallen, to forward to OLCC
with recommendation for approval, subject to conditions, if any. .
Roll call vote; motion carried unanimously.
MINUTES--Eugene City Council November 26, 1980 Page 6
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B. New Liquor License Outlet--The Cactus Patch (retail malt beverage);
. located at 667 EAst 13th Avenue; applicant: Marianne Rakestraw
Mr. Henry stated that the Cactus Patch complies with City regulations, but the
adjacent shops have not received occupancy permits. He recommended this
outlet be approved, subject to these other shops meeting code requirements.
Public hearing was opened; there being no testimony, public hearing was closed.
Ms. Miller stated that she has a potential financial interest with the Cactus
Patch and would abstain.
Ms. Smith moved, seconded by Mr. Lieuallen, to forward to OLCC
with recommendation for approval, subject to conditions, if any.
Roll call vote; motion carried unanimously with Ms. Miller abstaining.
IV. NEIGHBORHOOD DEVELOPMENT GRANTS PROGRAM (memo distributed)
Mr. Henry indicated he had a problem with the wording and he preferred it to
say "neighborhood development contracts program." This program is to develop
matching proposals to help support projects in neighborhoods that are not
eligible for Community Development Block Grant funds. The City would provide
50 percent of the resources with the neighborhood providing the other 50 per-
cent. The Community Development Committee is recommending this be included
in the Tier 2 budget proposals. This is subject to the review of the Budget
. Committee. The total cost would be $50,000, with a match from the neighbor-
hood of $50,000 and an additional $15,000 for administration; $65,000 would
be placed in Tier 2 to be considered by the Budget Committee. Mr. Henry
introduced Chris Hofmann, HCC staff, to provide additional information.
Ms. Hofmann stated that this program is outlined in the memo attached to the
agenda. It shows the Community Development Block Grant neighborhoods and those
neighborhoods which are not eligible for CD funding. This gives an opportunity
to those areas which are not eligible.
Deirdre Malarkey, 1131 East 20th Avenue, member of the Community Development
Committee, stated that the Community Development Block Grant program is a
demonstrative program, but many neighborhoods are not eligible for funding.
This would give a match of local resources to those neighborhoods not eligible
and would encQurage neighborhood involvement. Federal funding may be decreased
in the coming years and Eugene may be able to provide some of what would be
decreased.
Jon Stafford, 1060 Madison, member of the Community Development Committee,
stated that this is a way to get some small projects done around the city
and it would increase citizen participation.
Gary Gillespie, 914 East 18th Avenue, #5, President of South University Neigh-
borhood Association, stated that he is representing the Neighborhood Leaders
Group. This program would provide resources to those neighborhoods that are
. not eligible for CD funding, but some of these resources could also be made
available to eligible neighborhoods whose proposals are not approved for CD
funding.
MINUTES--Eugene City Council November 26, 1980 Page 7
Ms. Smith stated that the basic concept of involvement is good. She asked if by
approving this" the council is locking the Budget Committee into a position .
before seeing what else would be included in Tier 2. Mr. Henry stated that this
is only a strong recommendation that this program be considered. The City
Manager's Office could prepare the initial budget with this program included.
This is all subject, however, to review by the Budget Committe and the council.
Mr. Lieuallen stated that this would provide money for neighborhoods which
will promote involvement.
Mr. Delay stated that this program proposal was developed by the Community Devel-
opment Committee and HCC with the assistance of Sheila Arthur, Council Assistant.
This program makes sense in many ways for this community. This will provide an
opportunity for more involvement in neighborhoods which will create an ability
to effect change rather than simply react to land use planning decisions. The
only objection he has heard is whethert with such limited resources in the city,
money should go into non-CO-eligible areas. He thinks this program looks good
and will help balance other city needs. He thinks it will take about $10,000
more to wind down the program should it stop.
Mr. Obie asked if this would be refined and brought back in ordinance form. Mr.
Henry stated that if this program were in Tier 2 and approved, HCC and CDC would
establish guidelines. Neighborhoods would then submit proposals. Staff would
review the proposals and recommend those to be chosen for implementation. The
City Manager would approve each contract.
Mr. Obie stated that the council could request that the guidelines be approved .
by the council. He asked if this could include historic restoration. Ms.
Hofmann stated that it could. Projects should benefit the neighborhood in .
general, not just one person or group. Mr. Obie approved of the matching part
of the proposal, but would not want the matching resources from the neighbor-
hoods coming from other tax dollars. Ms. Hofmann stated they have suggested
$5,000 be the maximum for any project and, for example, it could supply VISTA
volunteer workers in a neighborhood with needed materials. Mr. Obie does not
want to see Federal tax dollars matching City tax dollars. Mr. Delay stated
that this is viewed as a small project operation similar to the CD-funded IFA's.
An evaluation process would be included. The Neighborhood Leaders' Association
will also evaluate this program. Contracts will be let about one month behind
CD contracts. The Community Development Committee did not address other tax
money being used as match, but this issue could be addressed. Preliminary'.
guidelines are included in the memo. Mr. Obie asked if other tax dollars could
be used as matching funds the way the guidelines are now written. Mr. Delay
stated they have made no restrictions regarding where the matching funds came
from. They had not considered excluding any forms of resources, but the council
could ask the committee to consider that. Mr. Obie does not want to approve the
program if it means matching tax dollars with tax dollars.
Mr. Obie also stated he has problems with the high administrative costs. Ms.
Hofmann stated that the administrative costs would .be for a half-time staff
person. Mr. Delay stated that $15,000 would be for staff and $10,000 of that
would be to wind-down the program should it be discontinued. A higher figure
for the amount of contracts could have been recommended, but they decided to go
with a lower figure to see how the program worked. A larger program might be .
run with the same administrative costs but this is experimental. He does not
MINUTES--Eugene City Council November 26, 1980 Page 8
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. see neighborhood projects using tax dollars to match other tax dollars in
Community Development IFA's. Mr. Obie asked if the administrative cost would
be the same if the City's share was $100,000. Mr. Delay thought it could be.
This is a minimal program and 15-percent administrative cost is not excessive
for $100,000. The total program as it is proposed is $100,000, not $50,000.
Mr. Obie felt 25-percent administrative costs are very high. He wondered if
it might be better to give the money directly to the neighborhoods, rather than
administer the program, or to contract out the administration. He would like
the committee to come up with a better idea for administration. Ms. Hofmann
noted that with HUD grants, the limitation is 20 percent for administrative
costs. They had discussed giving money directly to neighborhoods and could also
discuss having the administration done on a contract basis.
Ms. Schue thanked CDC for coming up with this idea. She felt this would be good
for neighborhoods but she would like CDC to report back regarding Mr. Obie's
concerns. She supports the idea and concept.
Ms. Smith moved, seconded by Mr. Lieuallen, to refer the Neighbor-
hood Development Contracts Program proposal to the City Manager's
Office and Eugene Budget Committee for consideration.
Mr. Martin stated that in regard to control of the program, the contractual
agreements and the way the council budgets the funds are adequate.
Mr. Obie said he assumed this motion included: that the council will approve
the guidelines; that historic restoration be included; that CDC will come back
. with a better recommendation for administration of the program; and that CDC
will come back with a report on matching resources, particularly as other
governmental grants are involved. He requested that this information be
brought back to the council prior to the budget process.
Roll call vote; motion carried unanimously.
V. PROPOSED COBURG/CRESCENT SPECIAL STUDY AREA (memo distributed)
Mr. Henry stated that this is a different approach to refinement planning in
implementing the Metropolitan Plan. This will consist of using privately
financed services. This will be privately financed and monitored by City
Planning staff. The need to move ahead has been mandated through adoption
of the Metropolitan Plan. Land use questions cannot be settled without pro-
ceeding with a refinement plan. He introduced Greg Byrne, Planning, to
provide additional information.
Mr. Byrne stated that refinement planning is required by the adoption of the
Metropolitan Plan. There will be no change in the land use designation and no
General Plan amendment. This would achieve compliance and would have concurrent
rezonings. This format is recommended by the CIC and Planning Commission. On
the map distributed, the Planning Commission did not establish exact boundaries
but rather left them loose. Jim Saul represents the major property owners and
Randall Hledik represents Wildish Land Company.
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MINUTES--Eugene City Council November 26, 1980 Page 9
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Mr. Obie asked why the Wildish property was left out. Mr. Byrne stated that the
map is the interpretation of the Metro Plan Diagram. They felt it would be .
appropriate to incorporate some property that would be affected even though it
is outside the city limits. They wanted to focus on the zone change for medium-
and high-density residential lands. He explained where the ,Wildish property was
located. Mr. Delay asked if all of the Wildish property is outside the city
1 imits. Mr. Byrne responded that it is and would be served under different
sewer distribution systems. Mr. Byrne stated that the boundaries are intended
to be loosely drawn and inclusion or exclusion of some properties would come
back to the council for adoption.
Ms. Smith said she would abstain from this item due to a conflict of interest.
Mr. Lieuallen moved, seconded by Mr. Hamel, to direct staff to
participate in and monitor the privately initiated special area
study in the Coburg/Crescent area, incorporating the land within
the boundaries described in the staff report and the citizen
involvement process approved by the Citizen Involvement Committee
for the purpose of complying with planning requirements contained
in the Metropolitan Area General Plan.
Discussion centered around whether or not to allow Mr. Hledik to speak; consen-
sus was to not allow him to speak. Mayor Keller stated that he had received a
letter from him.
Roll call vote; motion carried unanimously with Ms. Smith
abstaining. .
VI. PRESENTATION OF TOUCHE ROSS RATE-SETTING METHODOLOGY FOR AMBULANCE RATES
(memo distributed)
Mr. Henry stated that the purpose of this presentation is to review the method-
ology presented. This could be obsolete in a matter of days if the ambulance
service were to collapse. It is important for the task force to consider
alternative delivery systems. The task force approved this methodology and
they are asking the council to take action. The task force feels that the
asset-managed model appears to be the most appropriate. Advantages for allowing
a rate of return on managed assets as opposed to equity include: 1) assets used
are more easily identified than equity in a multiple division operation such as
that found at MSI; 2) since the service requirements and equipment needs are set
by the jurisdictions, the company is rewarded for having the required assets;
and 3) the company is neither rewarded nor punished for financing decisions.
The major disadvantage is that the percentage is not comparable to other busi-
nesses and cannot easily be compared to interest rates, stock market return
rates, and other measures normally used to measure the business rate of return.
This methodology would provide a guide to the council to assist in determining
the validity of annual rate requests. The information from Touche Ross is not
yet satisfactory and the City has not yet been paid all of their fees. He noted
that Carol James, Finance, and Eric Mellgren, Public Service Officer, could
provide additional i nformat ion.
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MINUTES--Eugene City Council November 26, 1980 Page 10
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Mr. Delay said his was the only vote against this recommendation from the task
. force. He felt this should go to the council because it is a basic method for
rate increases. When trying to analyze it, he did not know they would use the
model of a public utility. He is not in favor of that model. This model would
require considerable staff time to ensure that the methodology is followed.
Whenever the public has a reason to get this close to an industry, there is
reason to look at other service delivery mechanisms. He philosophically dis-
agrees with the model. MSI is multi-divisional and they are eliminating those
portions of the company that are not profitable. There is no method to evaluate
systems so that service requirements and equipment needs can be set by juris-
dictions. The appropriate return on assets managed is unknown. He does not
like this kind of mechanism. Feedback should be provided to the task force
requesting them to not look further at the percentage but to look at other
appropriate service delivery systems. . .
Councilor Obie noted that Mr. Delay sees this as regulation versus non-regula-
tion and does not find any measurement method acceptable but, in the interim,
standards are needed. Part of MSI's problem has been due to the political
environment and because there are no guidelines. This is a first step in estab-
lishing a process. He supports the methodology and it would assist MSI or other
service providers with rate determinations. As time passes, changes could/be
made as necessary.
Mr. Lieuallen asked if the recommendation includes a percentage. Mr. Henry
responded that Touche Ross talked about eight percent but went up to 14 per-
cent. Mr. Obie stated that the City sets a percentage based upon performance.
. Mr. Lieuallen asked if criteria are included. Mr. Obie stated that they are
not but should be. Mr. Obie asked whether public officials would be involved
in the rate setting if the service delivery were done by a private nonprofit,
organization. Mr. Delay stated there should be an evaluation system related to
service delivery. He thinks a nonprofit mechanism would be good. It could be
set up by local jurisdictions or hospitals. Cost overruns, poor decisions,
facility problems, etc., have caused MSI to keep coming back for rate increases
and he does not like that. There is nothing in the proposal to guarantee a
level of service delivery or to be able to remove a company if they are doing
badly.
Mr. Lieuallen stated that many issues are being raised and that he also has a
difficult time accepting this model. The more of an operation that is debt
financed, the more assets, thus better return. He is not in favor of approving
this report.
Mr. Obie stated that this will provide a guideline for the council to help it
determine how valid the rate requests are. Ms. Smith noted that the council is
being asked to approve the methodology in principle only as recommended by the
task force.
Ms. Smith moved, seconded by Mr. Lieuallen, to approve the Touche
Ross rate-setting methodology for ambulance rates in principle.
only.
Mr. Henry stated that the task force should be encouraged to pursue other
. delivery systems.
MINUTES--Eugene City Council November 26, 1980 Page 11
Mr. Delay stated that the task force seems to see the mechanism as more than
just a guideline because they are attempting to determine what the rate of .
return should be. If MSI does not get the rate it wants, it will be another
situation as before of them telling the City that they will shut down if they
do not receive the rate increase requested. Ms. Miller agreed that could
happen. She does not see how the methodology would make any difference.
Roll call vote; motion carried 4:3 with Councilors Delay,
Lieuallen, and Schue voting no.
Mr. Delay moved, seconded by Ms. Smith, that the council request
the task force make a priority of pursuing alternative delivery
systems.
. .
Mr. Obie asked if the council really wanted the task force to pursue alternate
service deliveries since the representatives on the task force represent areas
beyond the boundaries of Eugene. Mr. Delay stated that the problems go beyond
Eugene's boundaries. The task force can indicate if they cannot or do not
want to pursue alternatives. He noted that someone else would have to take his
place on the task force because he would no longer be a member of the council.
Mr. Obie asked if the intent of this motion is to request the other jurisdic-
tions to broaden the scope of the task force. Mr. Delay noted that the task
force already has this item as a future agenda item. They are asking that it
pe made a priority item.
Mr. Henry noted that the task force has adopted three tasks: 1) the rate-setting
need; 2) establishing service level monitoring system; and 3) establishing a
monitoring body if the present system continues. They did not talk about con- .
sidering other delivery systems originally, but sentiment to include that seems
to be increasing. They have not formally adopted this as a task force work
program but staff was directed to bring back alternatives. Mr. Delay stated
that it should be made a priority.
Roll call vote; motion carried unanimously.
VII. STATUS REPORT ON DOWNTOWN SHUTTLE SERVICE (memo distributed)
Mr. Henry noted that this item was on the agenda at the request of Ms. Schue
because of petitions she received. The downtown shuttle is a complex issue and
is scheduled to be discontinued December 31. The funding for the shuttle comes
from the Downtown Development Board which has decided to discontinue the program
because of revenue shortfalls. Navarre Davis was present to present the DDB
position. He felt the council should have more information if they wanted to
provide the DDB with direction. This item could be discussed further two weeks
from today.
Navarre Davis, 2112 Brookhaven, stated that he is on the Downtown Development
Board and has worked on the parking subcommittee. The decision was not complex,
but was based on financial reasons. He understands the frustration of the
shuttle riders. The DDB started this program because of a lack of monthly and
daily parking permits. Also, ridesharing and carpooling were not available
and LTD did not have a viable program. DDB has a projected income shortfall of .
MINUTES--Eugene City Council November 26, 1980 Page 12
.
approximately $100,000 and the only way the shuttle can continue is to raise
. taxes in the district. They have considered various options: 1) LTD could take
over the service, but an initial study showed that would cost $120,000 but
now LTD is looking at updated information that may be better; 2) Federal funding
which looks impossible; 3) riders paying a user fee, but that would" not pay for
the service. Apparently, there are legal problems with charging fees; and 4)
LTD is beginning work in early spring on a Park and Ride program for some sites.
The DDB ha~ authorized use of the remaining shuttle funds to purchase January
and February LTD fast passes for identified shuttle users. It reached its
decision to discontinue the shuttle based on the income projections shortfall
and it feels LTD could provide better alternatives. The DDB does not feel it
should dip further into its remaining reserve fund to continue this program.
Elaine Stewart, Paratransit Coordinator" stated that the issue is a conflict
between immediate budgetary constraints and long-range transportation goals.
Six hundred people are participating in the paratransit program which is related
to the fewer parking permits being sold. LTD has suggested with its 18 new
buses, it could add commuter routes from the two sites. These plans are in the
preliminary stages. She indicated that a representative from the League of
Women Voters was present.
Mary Sherriffs, 137 West 37th Avenue, stated that she is from the League of
Women Voters. She hoped the council would fund the shuttle through the fiscal
year. Programs like this need more than a year to become established. She is
aware of budgetary constraints. There are concerns about long-term parking
costs.
. Mr. Lieuallen asked if LTD would be adding a shuttle in June. Ed Burgeron,
LTD, said he hoped they would be able to. Mr. Lieuallen stated that there
is a lack of parking for employees and the shuttle was a response to long-
range transportation goals and not limited to a lack of parking spaces. It would
be bad to discontinue this demonstration project. DDB revenues go not only to
this project but also to Eugene Downtown Association's promotion of the downtown
area. He asked how much Eugene Downtown Association's budget is. Mr. Davis
responded that it is approximately $175,000. Mr. Lieuallen noted that he would
like a history of the amount of money given to EDA. He felt a close look should
be taken at the money given EDA for promotion. The long-range goals are not
just to deal with parking permits. He asked at the council goal session what
the financial relationship is between downtown parking and paratransit alter-
natives. He was told by staff that there is no relationship. However, he feels
there is a relationship between the shuttle and parking revenues. He thinks the
shuttle's success has caused revenues to decline and fewer parking permits to
be sold. He wanted staff to clarify what the relationship is.
Ms. Miller would like more discussion of this later and she would like more
background on how the shuttle ties into the Park and Ride system proposed by
LTD. If the Park and Ride system will start soon, perhaps funding can be found
for the interim period. Ms. Schue agreed with Ms. Miller. She indicated that
two City programs seem to be in conflict. The ending of one system should be
coordinated with the beginning of another. This is in accordance with long-
range transportation goals.
.
MINUTES--Eugene City Council November 26, 1980 Page 13
"-
Mr. Delay stated that he would like a staff response to: 1) why there is a
shortfall of $100,000 and where it came from; 2) a brief history of the expenses .
and how much of an increase in taxes in ODD there has been in the past three or
four years; 3) if the number of riders is increasing slowly and steadily; and 4)
if the shuttle were continued, how coordination would be implemented with LTD.
Mr. Henry stated that you cannot easily say that if the LTD system were now in
place people would automatically use it since there would be a charge. They
would not run their buses all day and the hours would be different. He would
like to know what the nature of working hours are for riders currently riding
the shuttle and what they would be willing to pay.
Mr. Lieua11en wanted to know: 1) what the financial relationship is between
ridership of the shuttle and the ability of DDB to fund it; 2) history of EDA
funding; and 3) if they should be thinking of changing their priorities.
Mayor Keller stated the answers would be provided from the DDB. Unless the City
can find funding for the shuttle, DDB is making a sound financial decision. One
charge to them has been to keep the downtown area a viable retail center. One
charge to EDA has been to have downtown compete with major shopping centers in
the area. It was not the counci1's idea to have a shutt1e--it was DOBis. It
was believed that it could be viable.
VIII. BALLOTING FOR INTERVIEWS FOR EUGENE RENEWAL AGENCY, CITIZEN INVOLVEMENT
COMMITTEE, JOINT HOUSING COMMITTEE, AND COMMUNITY DEVELOPMENT COMMITTEE
Ballots were cast as follows for the one opening on the Eugene Urban Renewal .
Agency:
Brian Obie: Jack Delay
Emil y Sch ue : Jack Delay
Gretchen Mill er: Jack Delay
Scott L ieuallen: Jack Delay
D. W. H ame 1 : Jack Delay
Betty Smith: Jack Delay
Jack Delay: Jack Delay
Ballots were cast as follows for the three openings on the Citizen Involvement
Committee:
Brian Obie: William Blitz D. W. Hamel: William Blitz
Randall Douglass Carol Cogswell
Gary Gillespi e Gary Gill espi e
Howard Lindstrom Howard Lindstrom
Katherine Murdoch Katherine Murdoch
Emily Schue: Katherine Murdoch Betty Smith: William Blitz
Gary Gillespie Randall Dougl ass
Herta Tschersich Gary Gillespie
Mary Walston Howard Lindstrom
Howard Lindstrom Katherine Murdoch
.
MINUTES--Eugene City Council November 26, 1980 Page 14
Grethen Miller: Katherine Murdoch Jack Delay: Katherine Murdoch
,..-----, Haro 1 d Gausman Gary Gillespie
- Michael Fox Eugene Albert
Caro 1 Cogswell Carol Cogswell
Gary Gillespie Michael Fox
Scott L i eua 11 en: Katherine Murdoch
Michael Fox
Mary Walston
Howard Lindstrom
Ballots were cast as follows for the one opening on the Joint Housing Committee:
Brian Obie: Robert Bennett D. W. Hamel: Robert Bennett
Jean Grossman .Jean Grossman
Hugh Prichard Hugh Pr i ch ard
Emily Schue: Robert Bennett Betty Smith: Robert Bennett
Carol Cogswell Jean Grossman
Hugh Prichard Hugh Prichard
Gretchen Miller: Caro 1 Cogswell Jack Delay: Jean Grossman
Hugh Pr i ch ard Martha Fil er
Martha Fi 1 er Robert Bennett
Scott Lieuallen: Martha Fi 1 er
Hugh Prichard
e Carl Hosticka
Ballots were cast as follows for the three openings on the Community Development
Comittee:
Brian Obie: Paul Harri son D. W. Hamel: Kelly Beckley
David Hawkins Paul Harrison
Stephen Robinson David Hawkins
Jonathan Stafford Stephen Robinson
Spencer Wyant Spencer Wyant
Emily Schue: Jonathan Stafford Betty Smith: Paul Harri son
Alan Garten David Hawkins
Mary Walston Stephen Robinson
David Hawkins Jonathan Stafford
Stephen Robinson Spencer Wyant
Gretchen Miller: Kathleen Clark Jack Del ay: Jonathan Stafford
Stephen Robinson Carol Cogswell
Jonathan Stafford Paul Bogen
Caro 1 Cogswe 11 Mary Walston
David Hawkins A 1 an Garten
Scott Lieuallen: Jonathan Stafford
Alan Garten
e David Webb
Stephen Robinson
Paul Harrison
MINUTES--Eugene City Council November 26, 1980 Page 15
'- Ms. Smith moved, seconded by Mr. Lieuallen, that Mr. Delay be
interviewed for the one opening on the Eugene Renewal Agency
December 3; Robert Bennett, Jean Grossman, and Hugh Prichard be
interviewed on December 3 for the one opening on the Joint Housing
Committee; William Blitz, Carol Cogswell, Randall Douglass,
Michael Fox, Gary Gillespie, Howard Lindstrom, and Katherine
Murdoch be interviewed December 10 for three openings on the
Citizen Involvement Committee; and Alan Garten, Paul Harrison,
David Hawkins, Stephen Robinson, Jonathan Stafford, and Spencer
Wyant be interviewed December 10 for the three openings on the
Community Development Committee. Motion carried unanimously.
The meeting was adjourned to December 3, 1980.
Respectfully submitted,
~ )
Charles T. Henry
City Manager
(Recorded by Lynda Nelson)
LN:so/CM7b9
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