HomeMy WebLinkAboutCC Minutes - 01/28/98 Work Session MINUTES
Eugene City Council
McNutt Room--City Hall
January 28, 1998
11:30 a.m.
COUNCILORS PRESENT: Pat Farr, Tim Laue, Bobby Lee, Scott Meisner, Nancy Nathanson,
Laurie Swanson Gribskov, Betty Taylor, Ken Tollenaar.
The January 28, 1998, lunch work session of the Eugene City Council was called to order at
11:30 a.m.; Mayor Jim Torrey presiding. He recognized that the day was the birthday of
Councilor Scott Meisner.
I. NON-ACTION ITEMS
A. Work Session: Forecast of Non-General Funds
City Manager Vicki Elmer announced that the council would continue its discussion of the non-
general funds forecast begun on January 21.
1. Road Fund
Public Works Department Administrative Division Financial Analyst Glen Svendsen referred to a
document containing the Road Fund forecast attached to the agenda item summary distributed
with the agenda of the meeting. He displayed a map of City streets locating identified road
maintenance and rehabilitation projects. He distributed copies of a document entitled "Deferred
Street Rehabilitation Needs (Improved Streets)" together with a collection of photo reproductions
illustrating "good," "fair," "poor," and "very poor" street conditions.
Public Works Department Director Christine Andersen explained that the Road Fund lacks
sufficient resources to adequately maintain the existing level of street transportation services or
prevent street surfaces from deteriorating. She said the City currently had a backlog of major
rehabilitation and reconstruction needs estimated at $38 million, and that current funding
resources would not provide capacity for dealing with streets in "fair" or "poor" condition.
In response to a question from Ms. Nathanson, Mr. Svendsen explained that all streets identified
as having rehabilitation needs were built to City standards.
Mr. Meisner asked if it would be possible to redirect traffic patterns to control deterioration of
streets which were in "fair" or "poor" condition. Ms. Andersen replied that designated arterial
streets are intended to carry increased traffic loads under the policies in Transplan that call for
maximizing capacities of the existing arterial and collector street system rather than building new
facilities.
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Mr. Meisner stated that he would like to have additional discussion regarding traffic on 11th and
13th Avenues at another time. Ms. Andersen replied that reduction of traffic on the streets
identified was not projected.
Ms. Taylor asked if use of City streets by garbage trucks contributed to their deterioration. Ms.
Andersen replied that garbage trucks were considered heavy vehicles, but for streets constructed
according to City standards the volume of garbage truck trips on residential streets should not
create deterioration issues. She said that regular bus traffic on City streets created a more
significant problem.
Ms. Taylor asked if Systems Development Charges (SDCs) paid by Hyundai Corporation covered
the cost of City street construction required by its newly developed plant. Mr. Svendsen replied
that expenditure of SDC receipts was not site specific, but that adequate revenue was calculated
to be generated by such fees to pay for all anticipated road infrastructure development in the City.
In response to questions from Ms. Swanson Gribskov, Mr. Svendsen explained that it had been
estimated that $3 million needed to be budgeted each year for the City to maintain its streets, but
that the fiscal year 1999 budget included $900,000 for such projects.
2. Systems Development Charges Fund
Mr. Svendsen stated that Oregon statutes required that SDCs be maintained separately from
other funds. He said they could be used for storm water, wastewater, transportation, and park
infrastructure and that they were designed to recover the full cost of anticipated costs associated
with City growth. He explained that a SDC Rates Public Works Department Advisory Committee
had been formed which would consider policies determining the rates to ensure the City's system
is consistent with council goals and will receive community support.
Ms. Taylor asked if it was possible to compare SDC fees paid by Hyundai Corporation with the
cost of roads required by construction of its plant. Mr. Svendsen replied that, in general terms,
SDCs paid by Hyundai for Phase 1 of its development would not equal expenses for road
construction projects it required, but that those paid for Phase 2 would cover the expenses. He
said he would provide more detailed information to the council.
Mr. Tollenaar commented that SDCs were not anticipated to be a quid pro quo repayment for
infrastructure development, but were based on total anticipated growth requirements.
Ms. Nathanson observed that a significant amount of property zoned for residential, industrial,
and commercial use near the Hyundai plant was under development, would utilize the same
infrastructure, and would contribute additional SDC payments.
Ms. Swanson Gribskov commented that the SDC Fund was used for more than road
development, but that its use for purposes other than those identified by Mr. Svendsen was
currently not allowed.
Ms. Nathanson reported that she had learned that SDC-like fees in the Chicago area were
available for library construction. She said she was hopeful a way could be identified to make
SDC Fund contributions to the Road Fund.
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Mr. Laue asked why actual population growth data and not projected figures, why forecasted
needs were based on the Federal Consumer Price Index, and why such conservative investment
interest rates were used in calculating SDC rates. Ms. Elmer replied that responses to Mr.
Laue's questions would be provided.
3. Wastewater Funds
Mr. Svendsen referred to information regarding the Wastewater Fund distributed with the agenda
of the meeting. He explained that funds for operation of the Wastewater Treatment Facility were
managed by the intergovernmental Metropolitan Wastewater Management Commission
(MWMC). He said that holding rates constant would likely create funding issues in Fiscal Year
2002.
In response to questions from Ms. Swanson Gribskov and Ms. Taylor, Mr. Svendsen explained
how wastewater fees collected by the Eugene Water & Electric Board were a combination of
MWMC and City charges. He said the MWMC portion of the fee had increased in recent years
and that they were currently anticipated to provide adequate operational resources for the
foreseeable future. He said all anticipated capital expenditures were included in current City
fees.
4. Airport Fund
Airport Manager Mike Boggs distributed copies of a document entitled "Airport Fund (510) Six-
Year Financial Forecast Summary--January 27, 1998." He said the document summarized
information distributed with the agenda of the meeting. He reviewed the document which
indicated that 55 percent of airport revenue came from passenger and airline fees, that revenue
generated was growing faster than operational expenses, and that fees charged to airlines at the
Eugene Airport were approximately 20 percent below the national average.
In response to questions from Mr. Lee, Ms. Swanson Gribskov, and Mayor Torrey, Mr. Boggs
explained that the Federal Airport Improvement Program (ALP) had historically largely financed
capital improvements at the airport, that 20-year bonds which financed previous expansion of the
airport were approximately one-half repaid, and that the proposed parallel runway would be
delayed until aircraft operations required additional runway capacity.
In response to questions from Mr. Meisner, Mr. Boggs explained that airport costs were relatively
unchanged over the years, were down when compared to inflation adjustments, and that the
number of employees per passenger use of the airport was down.
Mr. Meisner asked why taxpayers were paying for airport expansion bonds. Ms. Andersen replied
that it was clear that the expansion would be paid by General Obligation bonds at the time they
were approved by voters. She said that the City Council had begun to seek alternate ways to pay
for the bonds before circumstances changed as the result of the passage of Ballot Measure
47/50. She said the council had not given direction to eliminate the airport debt and that there
had been a strong commitment to appropriate airport maintenance and operational
improvements.
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Ms. Nathanson asked if there was consideration of ways to use airport property to generate
revenue through commercial operations. Mr. Boggs replied that such revenue generation effects
began in 1991, that the field was very competitive, and that a general aviation service center and
hotel development were currently under consideration. Ms. Andersen added that marketing
advertising programs were also a source of airport revenue.
Mayor Torrey asked if Salem and Albany passengers were increasingly using the Portland Airport
because of limited services at Eugene. Mr. Boggs replied that the most recent year had shown a
six percent increase in the market share of the Eugene Airport, and that improvements at the
Portland Airport would likely continue to push traffic to Eugene Airport. However, airfare
differences between Portland and Eugene are an issue
5. Public Safety Answering Point Fund
Municipal Court Administrator Marilyn Nelson explained that she would report on the Public
Safety Answering Point (PSAP) Fund despite her recent transition from being manager of the
program. She explained that the fund received revenue from the State telephone tax, that the
revenue had been unstable until the most recent fiscal year, and that PSAP paid for 9-1-1
emergency call taking only. She said that the telephone tax was scheduled to sunset in 2001 and
support for renewal of it or determination of a different source of revenue needed to be
expressed to the State Legislature.
In response to questions from Mr. Meisner, Ms. Nelson explained that Central Lane was the only
PSAP in the State to fund its operations solely with the telephone tax. She also said that Eugene
non-emergency call taking and regional dispatch functions were paid for from General Revenue
resources. Several fire agencies contract for dispatch serices and pay full direct and indirect
costs to offset this operating expense.
In response to a question from Ms. Swanson Gribskov, Ms. Nelson explained that Lane Council
of Governments (LCOG) coordinates 9-1-1 call taking for the entire county, pools the tax moneys
from all jurisdictions, and that the Public Safety Coordinating Council had issued a Request for
Proposals for a study of all communications functions in the county.
B. City Manager's Response to Requests from the Mayor and City Council
Ms. Elmer responded to questions raised by the Mayor and councilors at the January 21 council
meeting. She said she would first answer the question about whether she had comments she
wished to make about personnel issues.
Ms. Elmer reviewed changes required of City government in Eugene by passage of Ballot
Measures 47/50. She highlighted goals of the council, including a humane response to the
measure, public safety, and growth management. She said that the council had indicated a
desire to also begin work on acquiring additional parks and improving library services; that the
council wanted respect for citizens, concern about fiscal responsibility, intergovernmental
cooperation, and open and accessible government; and that the council had respect and
admiration for staff.
Ms. Elmer described three directions she had initiated to implement directions of the council: to
place citizens first, to deliver quality services at the least possible cost, and to make government
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open. She updated councilors on what she called key changes in city government:
reorganization of the City Manager's Office and deconsolidation of the Department of Public
Safety into a Police and Fire/EMS Departments. She described recruitment for the position of
Director of Planning and Development Services and four challenges/goals for the department.
Ms. Elmer said guiding changes underway in democratic institutions and responding to demands
of citizens will require commitment of employees and support of citizens and sister agencies.
She said that the changes would only be made with pain, that the previous year had been
extremely difficult, and that she was challenged to build trust and confidence within the
organization and in the community.
Ms. Elmer said she would address questions raised by the mayor and councilors regarding her
short-term, interim plans, and long-term objectives for the Police Department.
Ms. Elmer stated that Leonard Cooke would remain the Chief of Police until he left the
employment of the City of Eugene. She said he had been a fine chief and thanked him for his
accomplishments, which she described as his legacy.
Ms. Elmer said her primary long-term Police Department objective was implementation of the
Community Policing action plan. She reviewed the seven strategies of the plan. She said her
priorities for implementing the plan in the next year were to provide a fully operational and
expanded interdepartmental problem-solving team, expand social service partnerships, increase
officer time spent on problem-solving, and expand community involvement efforts.
Ms. Elmer said her primary short-term Police Department objective was that the transition to a
new chief not have an effect on the delivery of services to the community. She described her
plan to identify a police captain to serve as acting-in-capacity chief and the hiring process to find
a new chief. She said her short-term priorities were to participate in helping shape the regional
public safety revenue plan, to integrate funding needs of Eugene with the work of the Public
Safety Coordinating Council (PSCC), and to implement International Association of Chiefs of
Police (IACP) and Police Executive Research Forum (PERF) recommendations.
Ms. Elmer said she believed the reaction of the community to the resignation of Police Chief
Cooke emphasized his legacy of community relationship building. She said she was saddened
that some had said he was their only avenue of communication into City Hall. She suggested
that the Human Rights staff would continue the legacy of the chief.
Mr. Lee stated that he did not understand the City Manager's use of terms such as "customer
service" and "community based service delivery" and that the unclearness should be part of her
year-end job performance evaluation. Ms. Elmer replied that she intended to involve the council
in processes to implement what she means by the terms.
Mr. Meisner asked that additional information be provided regarding how temporary placement of
personnel reduced the financial impacts of the loss of senior staff. Ms. Elmer said she would
prepare a report in response to the request.
Mr. Meisner asked that the City Manager provide additional information regarding her statement
that elimination of Department of Public Safety administration resulted in new front-line police
staffing. Ms. Elmer said that she would get back to the council in response to the request.
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Mr. Fart stated that he was impressed with the direction being taken by City services such as the
Permit and Information Center in the face of crises brought on by revenue reductions. He said
he looked forward to realization of other savings brought about by operating the City like a
business.
Mr. Meisner said he did not believe the City was doing a good job communicating with citizens
regarding changes in personnel. He said he believed even members of the City Council did not
fully understand the changes. He said lack of details about the changes would create frustrated
perceptions and could effect the evaluation given of the City Manager.
Mr. Laue said he believed the council had worked hard on development of its goals but that
objectives/benchmarks to measure progress were missing. He said he was concerned that the
direction in which the City was going was unclear.
Ms. Swanson Gribskov said she believed the extraordinary effort of the council in dealing with
Ballot Measure 50 effects had created a cloud which made the direction in which the City was
going unclear.
Mr. Meisner said that he wanted to hear a sense of vision from the City Manager, but that he
believed current experiences had led to unpredictability.
Mr. Lee said he believed there needed to be strong support of the City Manager by the City
Council in order for termination of her employment to not be considered.
Ms. Taylor said she did not believe a routine evaluation of the City Manager would appropriately
consider termination of her employment.
The meeting adjourned at 1:45 p.m.
Respectfully submitted,
Vicki Elmer
City Manager
(Recorded by Dan Lindstrom)
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