HomeMy WebLinkAboutCC Minutes - 09/28/98 Work Session MINUTES
Eugene City Council
McNutt Room--City Hall
September 28, 1998
5:30 p.m.
COUNCILORS PRESENT: Pat Farr, Tim Laue, Bobby Lee, Scott Meisner, Nancy Nathanson,
Laurie Swanson Gribskov, Betty Taylor, Ken Tollenaar.
I. CALL TO ORDER
The adjourned September 23, 1998, Eugene City Council meeting was called to order at 5:30
p.m.; His Honor Mayor James D. Torrey presiding.
Mayor Torrey introduced Mike Sheppard, a former Eugene resident who is now a City Councilor
for the City of Bremerton, Washington. Mr. Sheppard thanked staff and the council for their
hospitality, adding that the purpose of his trip was to learn from Eugene's downtown urban
development/redevelopment and he has learned much.
II. CONTINGENCY REQUESTS
Ms. Nathanson asked the council to hold off approving any requests until the council has had a
chance to discuss, in general, the use of the Contingency Fund, adding she did not wish to keep
the council from receiving information from those requesting funds this evening. She recalled
that the fund historically was used for small allocations or for one-time key events. Lately, she
continued, the fund has been used by the City organization itself when there was an emergency
or some extraordinary expense. The other purpose the fund has been used for, she noted, has
been for social and cultural services and events. Ms. Nathanson said she has suggested using
the fund in a more planned way, adding that the ad hoc handling of the requests prevents the
council from weighing those needs against others.
Ms. Taylor agreed, saying she has been concerned about this for some time.
Mr. Tollenaar said the term "contingency fund" strongly implies that the money is to go for
contingencies related to City government needs that were unanticipated. He said the council
must first answer the question "Do we use it for City government or do we use it as a general
resource for social/recreational activities from the community at large?" Mr. Tollenaar said
another policy issue is whether the council should be processing non-City government requests
for needs outside the City of Eugene. He said he was in favor of processing the requests on the
agenda this evening and suggested a moratorium on further requests until the issue can be
discussed and policy developed.
Mayor Torrey noted that the item has been scheduled for council discussion on October 21.
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Mr. Meisner agreed with Ms. Nathanson than no more requests should be approved until after
the council discussion, adding that it is evident that there is no clarity on the part of the members
of the council about the purpose of the Contingency Fund. He said the application for funds
should request more information, specifically the contributions being made or sought from other
jurisdictions. He noted that one of the requests questions the City policy of charging for police
services at social/cultural events--something he says amounts to a "reconsider-the-City-policy
request." Mr. Meisner preferred to postpone approval of the requests until after the council
discussion.
Mr. Lee said the council should consider the requests on the agenda, adding that many of these
events are organized by lay people who do not understand the City government's process--
neither, apparently, does the council. He pointed out the error of placing these requests on the
agenda prior to the policy discussion, but said the organizations/applicants should not be
penalized for that.
Ms. Swanson Gribskov said it would be unfair to postpone the requests, adding it would be
tantamount to "changing the rules mid-stream." She was prepared to go along with the council
majority but wondered if any of the requests were time-sensitive.
Mr. Laue recalled that most of the fund has been used for council initiatives. He cautioned the
council not to limit its use, noting that this was the only discretionary money available to the
council.
Mr. Johnson indicated that to his knowledge none of the requests are time-sensitive.
Mr. Tollenaar said the requests had been made under the current process and the requests
should move forward under that process. Several councilors agreed.
A. Food for Lane County
Mr. Farr moved, seconded by Mr. Tollenaar, to approve the use of $35,972 in
contingency funds to offset the Systems Development Charges (SDCs) for
the 30,000 square-foot Food for Lane County warehouse at the Bailey Hill
Road site.
Saying she was concerned about setting a precedent, Ms. Swanson Gribskov asked if the fund
had been used to cover SDCs in similar circumstances before. She wondered what it meant if
the council did not approve the request.
Mr. Johnson said that the fund has been used to cover Iow-income housing permit fees and that
is the only method to "waive" those fees.
Ms. Nathanson asked for an update on her previous request about support for the agency from
other jurisdictions since it serves the entire county. She said she understood that Lane County
and City staff were discussing these costs. She also asked for an update on her request for a
breakdown of SDCs to separate out those related to transportation.
Mr. Johnson said he has learned from County Administrator Bill Van Vactor that the County
Commissioners will consider a similar request in the near future. He added that the Board of
Commissioners was also considering a request for the use of Road Fund money for road-related
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5:30 p.m.
items that are not SDCs. Indications are that Food for Lane County's request will be approved
but the amount was unknown.
In response to a question from Ms. Swanson Gribskov, Food for Lane County Board Chair Don
Mack explained that every dollar invested on "brick and mortar" was one that could not be spent
on food to fill the facility so every dollar that was saved could be devoted to making the facility
one that will be the most efficient it can be to alleviate hunger in the community. Food for Lane
County Director Caroline Frengle said it was clear the building will be built but without the City's
support but it just made it more difficult.
Ms. Swanson Gribskov suggested funding the request at 50 percent.
Mr. Meisner moved, seconded by Ms. Swanson Gribskov, to amend the
motion by reducing the amount granted from the contingency fund to "up to
$18,000; i.e., the portion not to be paid by Lane County."
Mr. Meisner addressed comments made by Ms. Frengle and Mr. Mack, saying what has been
said is undeniable but it is also the case for everything in the fund. He said he hoped the council
would regularly and consistently address the point with respect to other jurisdictions'
responsibilities and support. He asked for a report that reflected, in addition to tracking the City's
Contingency Fund, how the City supports these agencies through the Intergovernmental Human
Services Committee (IHSC).
Ms. Taylor moved, seconded by Mr. Tollenaar, to table all requests until after
the council's October 21 discussion. The motion failed, 5:3; with councilors
Meisner, Tollenaar and Taylor voting in favor.
Mr. Tollenaar said the City, according to the staff summary, has drawn a narrow focus on the use
of the fund for SDCs (for publicly assisted housing). He said it was possible to make the logical
conclusion that any request for use for SDCs should be approved only for housing projects.
Mr. Farr said this raised the council's need to address a policy around "waiving" SDC fees as
opposed to paying them out of general fund dollars. He ascertained that Lane County Road
funds were targeted for road assessment fees for the project unless the County voted to pay the
SDCs associated with transportation. Given that, Mr. Farr said, he would vote against the motion
as he favored full support of the project.
Ms. Swanson Gribskov said she would support the motion because she believed the City has
encouraged the agency's growth in this direction.
Ms. Nathanson explained her vote against tabling, saying she would have supported it if it had
been made earlier in the discussion. She agreed with Mr. Lee's comment about being mindful of
these community agencies and said she supported the motion and hoped, with the support of
other jurisdictions, that the project would be funded in whole by the end of the year.
The motion to amend passed, 5:3; with councilors Farr, Laue, and Lee
opposed.
Mr. Farr indicated that he would support the amended motion, adding he hoped the other
jurisdictions also supported the project.
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Ms. Taylor reiterated her interest in holding the policy discussion first but added she would likely
support the amended motion.
Mr. Meisner said the council's history of approving requests in the full amount has provided no
impetus for other jurisdictions to support such projects.
The amended motion passed, 7:1; with Mr. Tollenaar opposed.
B. Adelante Si
Mr. Farr moved, seconded by Mr. Tollenaar, to authorize the expenditure of
$3,770 from the contingency fund for police services for the 1998 Fiesta
Latina.
Mr. Meisner said he could not support the request because the request did not meet current
standards, adding that the application does not reflect a loss from holding the event. He pointed
out minutes attached to the application that described continuing discussions between the
organization staff and its Board of Directors objecting to the City's policy of requiring events to
pay for police protection services. He said it was clear the organization wanted a policy change
and the application did not support the funding request.
Ms. Swanson Gribskov pointed out inconsistencies between the original, oral request and the
final application. She said the budget shortfall was not apparent from the application and if any
shortfall occurred as a result of the Immigration and Naturalization Services (INS) raids prior to
the event, she might feel differently.
Mayor Torrey said that when the agency first raised the request, it indicated that the Police
Department had required more police protection than "was necessary" and at the same time the
INS raid greatly reduced attendance, which was compounded by poor weather and cancellation
of a "headliner" band.
Ms. Swanson Gribskov said that given that explanation, she was inclined to support the motion.
Ms. Taylor said she opposed the request and believed the policy discussion should have
occurred prior to entertaining this request.
Ms. Nathanson expressed concern that the discussion and action taken tonight might be
construed as taking a position on whether the City should charge for police services at such
events. She said she did not support the request, but supported this very worthy organization
and the event. She recalled that the fund was not supposed to support ongoing events, adding
that annual events should be able to anticipate shortfalls and plan accordingly.
Mr. Meisner agreed, saying it is inappropriate to use contingency funds to pay debt. He noted
that the application's budget analysis did not show a deficit; however, it did show an
unwillingness or lack of interest in paying for police services. Mr. Meisner added that the agency
asked him to carry a contingency request to the council to cover police services for the event--
this was before the INS raid, before bad weather, and before the headliner band backed out--and
the application he sent out was never returned. He expressed concern with the City becoming a
"guarantor" of events.
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City Attorney Glenn Klein explained that when the council decides to expend public funds, it can
only do so if there is a public purpose, which is much like defining "essential benefit." He said
the City will not be second-guessed but it must articulate what the public purpose is. When the
City hands over money to an agency, the City must get something in return. Mr. Klein said the
request before the council can be looked at in two ways. First, the City will pay for the loss of
revenue that "did not happen." If the council is going to do that, he said, someone needs to
articulate what is the public purpose, given that the event has already happened. The other way
to look at it is to say: "there was a debt, we think this is a worthwhile organization, we want to
make sure the organization remains in existence and the payment of the debt will help the
organization to remain in existence to provide benefits to the community that we think are
important benefits."
Mr. Laue said "contingency" was whatever the council wished it to be, and in this case "it was a
reaching out to a continuing event that has an ethnic component to it that we think is important to
foster in this community.., and we would like to see it continue and we believe this may help
them to continue."
The motion passed, 5:3; with councilors Meisner, Taylor, and Tollenaar
opposed.
C. Willamette Livability Forum
Mr. Fart moved, seconded by Mr. Tollenaar, to authorize the expenditure of
$500 from the contingency fund for survey expenses.
Mr. Tollenaar noted that other communities and agencies including the Eugene Water & Electric
Board and the City of Corvallis ($3,000) were supporting the survey.
The motion passed unanimously, 8:0.
Ms. Swanson Gribskov asked staff to include information for the October 21 work session on
how other jurisdictions use their contingency funds.
III. WORK SESSION: FACILITY CONDITION REPORT
Vic Martin, Public Works, reviewed the report, highlighting the items staff believed were critical
and saying that the goal was to reduce or eliminate the backlog of deferred maintenance and
refine an investment strategy for the future. Mr. Martin said the report and work session were
meant to create a model for making decisions and determine alternatives methods of managing
the City's assets. The computer-based report, he noted, provides for reviewing and testing the
information for specific projects. He emphasized that the report covered general fund facilities
only, excluding parking garages, the airport, the waste treatment plant, and other facilities. He
noted that the report does not address Americans with Disabilities Act (ADA) issues, which will
be reported on separately. Mr. Martin indicated that the report is also the basis for the annual
Capital Improvement Program (CIP). He said the average expenditure for maintenance has been
slightly under one percent of the asset--the recommended amount is three to four percent and
some organizations allow up to eight percent.
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Mr. Johnson distributed a handout reflecting how the money has been spent on facilities over the
last three years.
Addressing a question about City Hall from Mayor Torrey, Mr. Martin said analysis of leasing
versus owning/building City offices was last done five years ago and it was probably time to
repeat it. Mr. Johnson noted he has met with the Lane Council of Governments (LCOG) and
Lane County around the topic of an office building and a report was expected in about two
weeks.
In response to a question from Mr. Farr, Mr. Martin said another way to reduce the deferred
maintenance backlog without raising the budget would be to review the City's holding and sell
those assets that were dragging the asset base down.
Ms. Nathanson called attention to properties such as fire stations that were being replaced and
said she assumed that the old facilities remained on the report and wondered if those made a big
difference in the report. Mr. Martin said the square footage was small enough not to make a
great impact. Ms. Nathanson commended staff for the report and if the City had percentage
information based on the square footage under City operation. She said she hoped for similar
comparative information data over time for activity in the Permit and Information Center.
Mr. Tollenaar said the Council Committee on Finance had decided not to address the annual
preservation and maintenance budget (the $1.9 million) but the committee did not consider the
$21.6 million backlog and the council may wish to address that as a separate item in the multi-
year financial plan.
Mr. Laue said it is evident that the City was unable to keep up with preservation and maintenance
and a new revenue stream must be found to address this problem.
IV. WORK SESSION: REPORT ON YEAR 2000 PROBLEM
Jeff Kurtz, Information Services Division, referred the council to the report in the packet and said
the City was in a good position and now there was a need to focus on implementation of the plan
developed to address the problem.
Mr. Johnson noted that the clear comment in the staff notes was that 98 percent of the inventory
has been evaluated so the City has a good handle of the extent of the problem. Entities outside
the City organization who provide services to it, however, may create a problem.
Mr. Tollenaar said the report includes information on interfacing with other systems and asked if
the City had done as systematic an analysis on those systems to ensure compliance. Mr. Kurtz
said systems outside the City were not part of the analysis, but the next step was to begin
working closely with the City's suppliers.
Addressing a question from Ms. Swanson Gribskov, Mr. Kurtz said staff identified 565 objects
requiring evaluation.
In response to a question from Mayor Torrey, City Attorney Klein said that the general rule is that
if someone wants to sue a city for negligence, they have six months from the time of the
negligence to give notice to the city that they intend to file a suit.
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Mayor Torrey wondered if what the City is now doing sufficient to avoid negligence claims. Mr.
Klein said what the City is doing is exactly the type of action that both the leagues and the City
Attorneys Office are recommending to try to foresee any problems that might arise and deal with
them. Ultimately, he added, the question was whether the City acted responsively and
reasonably.
Mr. Lee emphasized the complexity of the problem, noting it impacts every facet of everyday life.
He said opinions vary on the severity of the problem, from "bump on the information highway" to
"a blind turn on the highway and we have no steering wheel." He asked the council to view a
video cassette on a June 2, 1998, speech by Senator Bennett who is the chair of the Senate
Special Committee on the Year 2000 Problem.
Senator Bennett's presentation included a review of actions already taken to address the problem
and suggestions for others. He noted that the greatest challenge was to get people "thinking
beyond the narrow lives of their own organizations because it is entirely possible that every
organization in American could get its own computers fixed, its own imbedded chips discovered
and replaced, and still have major problems." Mr. Bennett said the committee has identified
seven generic areas, in priority order, to perform two services: 1) make people aware of the
scope of the problem, create a place of accurate assessment, and disseminate information; and
2) recommend legislative fixes where appropriate. The following are the seven generic areas
identified by Senator Bennett: utilities, telecommunications, transportation, financial system,
general government services (includes health care), general business activities, and litigation
(placed last because not as time-sensitive).
Discussion of the video tape's content was postponed due to time constraints. Mayor Torrey
asked Mr. Lee to reach out to intergovernmental partners and pertinent organizations and
develop recommendations for the council. Mr. Lee said he needed more direction from the
council on the scope of the outreach effort. Given the time constraints, Mayor Torrey asked to
have the item placed on the council's October 14 agenda.
The meeting adjourned at 7:30 p.m.
Respectfully submitted,
James R. Johnson
City Manager
(Recorded by Yolanda Paule)
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