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HomeMy WebLinkAbout260622 WSMINUTES Eugene City Council Work Session and Eugene Urban Renewal Agency Meeting Eugene, Oregon 97401 June 22, 2026 5:30 p.m. Councilors Present: Eliza Kashinsky, Matt Keating, Alan Zelenka, Jennifer Yeh, Mike Clark, Greg Evans, Lyndsie Leech, and Randy Groves Mayor Kaarin Knudson opened the June 22, 2026, work session of the Eugene City Council in a hybrid format at 500 E 4th Avenue, North Building, Eugene OR 97401. 1. EXECUTIVE SESSION: Pursuant to ORS 192.660(2)(f)(exempt public records) Mayor Knudson closed the June 22, 2026 work session of the Eugene City Council and convened a meeting of the Eugene Urban Renewal Agency. 2. WORK SESSION: A. 1059 Willamette Redevelopment-Financial Assistance Agency Director Jenny Haruyama introduced Amanda D'Souza Development Programs Manager, Anne Fifield, Economic Development Manager, and Will Dowdy, Community Development Director, who provided an update on 1059 Willamette redevelopment project. Councilor Discussion: ■ ■ Councilor Zelenka -noted housing and homelessness are the biggest problems facing the city; stated homelessness is a symptom of the lack of affordable housing and mental health programs; stated the city needs more affordable housing; noted the 1059 Willamette project is unique because it combines affordable housing with market-rate housing; noted no affordable housing is built in the city without subsidies; noted there are not many affordable housing projects built for households making 60 to 80 percent of area median income (AMI); noted the affordable housing term for this project is 35 years instead of the usual 20; stated he is in support of using Downtown Urban Renewal funds for this project. Councilor Groves -stated his support for this project; noted the project will pay prevailing wage; asked about the private equity investment group involved; noted the group is pushing for green construction and is taking a lower return than other groups might; noted two of the city's biggest issues are housing and homelessness; stated this project may incentivize other downtown investment; noted it is not unusual for projects to start late and cost more in the current business climate; noted it is a local developer. MINUTES -Eugene City Council Work Session June 22, 2026 Page 1 • Councilor Keating -noted his support for this mixed-use affordable and market- rate housing project built on a transit line in the heart of downtown; asked if there is a project labor agreement (PLA) or community benefits agreement requiring prevailing wage and responsible labor practices for Urban Renewal or other City projects; asked about the Downtown Loan program; asked how long the affordable units are guaranteed to be offered at reduced rates. • Councilor Yeh -stated her support for the project; noted while the price tag has increased, she believes this is a worthwhile project that reflects Eugene's values; asked if staff needed direction on the loan financing. • Councilor Kashinsky -noted the request for increased funding is coming at the end of the process and the project will fail without it; asked about the possibility of extending the term of the affordable housing requirement from 35 years; asked why the funding increase was coming from the Urban Renewal emerging projects bucket instead of the housing bucket; stated support for the project; noted she looks forward to seeing what is learned from this mixed-use affordable and market-rate housing pilot project. • Councilor Clark -noted he had previously voted to expand the Downtown Urban Renewal District to fund housing projects like 1059 Willamette; stated his support for the project; noted the project will provide a strong community benefit. MOTION: Councilor Leech, seconded by Councilor Kashinsky, moved to approve the use of up to $8.66 million additional Downtown Urban Renewal tax increment funds to support the 1059 Willamette project. VOTE: 8:0 PASSED IN FAVOR: Kashinsky, Keating, Zelenka, Yeh, Clark, Evans, Leech, and Groves. OPPOSED: None. Mayor Knudson closed the June 22, 2026 meeting of the Eugene Urban Renewal Agency and convened a work session of the Eugene City Council. B. 1059 Willamette Redevelopment -Revised Terms MOTION: Councilor Leech, seconded by Councilor Kashinsky, moved to approve the revised terms shown in strikethrough and bold text in Attachment A. VOTE: 8:0 PASSED IN FAVOR: Kashinsky, Keating, Zelenka, Yeh, Clark, Evans, Leech, and Groves. OPPOSED: None. Council Discussion: • Mayor Knudson -stated this project represents decades of work towards dense, transit-oriented, urban housing built working with local teams; noted she is excited to see the project move forward. MINUTES -Eugene City Council Work Session June 22, 2026 Page 2 The meeting was adjourned at 6:53 p.m. Respectfully submitted, Katie LaSala City Recorder (Recorded by Cherish Bradshaw) Link to the webcast of this City Council meeting here. MINUTES -Eugene City Council Work Session June 22, 2026 Page 3