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Home My WebLink About04/06/1998 Work Session . . . J .-:.( MINUTES OF THE WORK SESSION MEETING OF THE SPRINGFIELD CITY COUNCIL HELD MONDAY, APRIL 6, 1998 The city of Springfield council met in work session in the Jesse Maine Room, 225 Fifth Street, Springfield, Oregon, on Monday, April 6, 1998, at 6:00 p.m., with Mayor Morrisette presiding. ATTENDANCE Present were Mayor Morrisette, Councilors Ballew, Beyer, Burge (6:35 p.m.), Dahlquist, Maine and Shaver. Also present were City Manager Mike Kelly, City Attorney Joe Leahy, Senior Management Analyst Rosie Pryor, City Recorder Julie Wilson and members of the staff. 1. Revision to Housing Rehabilitation Program Policies. Housing Program Specialist Kevin Ko presented the staff report on this issue. The city of Springfield's Substantial Home Rehabilitation Loan Program is funded through a CDBG Grant from HUD, and administered by the city's Housing Division. Periodic review and revisions of the program policies are necessary to keep the program up to date with current HUD regulations. Additional changes were made to clarify procedures. The last review and revision of policies was in 1995. The current revisions deal most significantly with addressing target neighborhoods as a funding priority, raising the loan limit from $18,600 to $20,000, increasing the city's potential for program income by adding a low interest loan amortized over 15 years for some income categories, and the addition of language that allows the city the right to refuse subordination of a loan. The proposed revisions were reviewed by the CDAC on March 19, 1998. The revisions, as reviewed by the committee, would have made homes purchased under a Land Sales Contract ineligible for a Substantial Home Rehabilitation Loan. The committee directed staff to leave Land Sales Contracts in the policies and allocate 10 percent of budgeted funds for those type ofloans. The policies reflect this change. The committee recommends adoption of the revisions by council. Mr. Ko further discussed and explained the issue related to Land Sales Contract policies. Councilor Shaver liked the original language on the contract. He provided background regarding land sales contracts. He said in the past the city has lost money in conjunction with Land Sale Contracts. Audience member Joe Mathieu discussed land sales contracts and said they were high-risk. Mr. Ko said the city was not able to foreclose on property but would need to take other legal action related to problems associated with Land Sale Contracts. Mr. Leahy also provided information regarding legal issues surrounding problems with this issue. He also discussed legal transactions and transaction policies. He said it may be worth it to take this type of risk by setting limits. City Planner Robin Johnson answered questions from Councilors Ballew, Maine and Beyer. Ms. Johnson discussed loan processing, Section 5.01, Application Priorities, Section C, Rehabilitation Application Categories of 65-80 percent median income. She explained that funding for all rehabilitation programs will be determined annually. Budgeted funds will be . . . I Minutes ufthe 4/6/98 City Council Wark Session Page 2 allocated for each category at 50 percent of total funds for category A, 30 percent for category B, and 20 percent for category C. In addition, a maximum of 10 percent total funding will be available for loans on property purchased through land sales contracts. Mr. Ko explained that applications are a,ccepted on a first-come first-serve basis. All rehabilitation projects will be undertaken based on availability funding. Councilor DaWquist asked if there was a waiting list. Mr. Ko explained that applications are collected over a period of eight to ten months. July through September are when the applications are ranked. He was not sure if that was how the program would be ran. There is currently a backlog since the program has been on hold since September. j Councilor Maine wanted to override the CDAC's recommendation and follow staff's recommendation regarding land sales contract language. It was clarified that it was the desire of council to support and limit loans to purchases where loans are secured by title. Mr. Ko further discussed targeting of neighborhoods. He said when resources are concentrated in specific target areas, results are apparent. Councilor Ballew wondered if it was fair to concentrate assistance in specific target areas. She discussed the need to help in other areas as needed. Mr. Ko said funds were targeted for housing. Councilor Maine asked for periodic updates on the program. 2. 1998 Draft Oregon Highway Plan. City Engineer Al P~routka presented the staff report on this issue., He introduced Oregon Department of Transportation (ODOT) representatives. The draft 1998 Oregon Highway Plan was presented. Comments will be forwarded to the Metropolitan Policy Committee (MPC) representatives. ODOT has released for public comment the Draft 1998 Oregon Highway Plan. On April 2, MPC will discuss the plan and formulate formal comments to submit to ODOT. Direction to Springfield's MPC representatives is necessary to ensure the response reflects Springfield's priorities on statewide transportation matters. The Highway Plan will establish policy direction and investment strategies for the state highway system for the next 20 years. It further refmes the goals and policies of the Oregon Transportation Plan and is part of Oregon's Statewide Transportation Plan. The plan also applies ODOT's Integrated Land Use-Transportation Strategy by calling for different mobility and accessibility objectives, standards and improvements for six area types; special transportation areas (STAs), developed areas, urbanizable areas, urban fringe areas, unincorporated communities, and rural lands. Carolyn Gassaway, ODOT Highway Plan Manager, and Nick Amis, ODOT District Planner, were available to answer questions. Tom Schwetz, LCOG TransPlan Project Manager, briefed the council about comments received during the March 4 public meeting held at Lane County Public Service Building. . . . " Minutes of the 4/6/98 City Council Work Session Page 3 Staff comments and concerns on Draft 1998 Highway Plan were provided in the agenda item summary packet. Ms. Gassaway reviewed the draft plan. STIP programs were reviewed. It was the desire to tie the city, ODOT and STIP strategies together. It was explained that the investment strategies would be reviewed in August. Discussion would then occur next winter. The definitions to be used in the State Transportation Agreement were reviewed. She referenced a bar chart on page 24 of the draft plan. The chart provided a summary of highway needs and revenue projected over 20 years. She discussed linking land use and safety issues. Councilor Beyer asked about needs versus revenues. An ODOT representative replied that it was current needs based on capacity improvements projects. She discussed needs analysis and had a consultant reviewing investment strategies. It was again clarified that the numbers reflected a 20 year projection. Page 27 of the report was reviewed. Discussion included a review of the state highway classification system. The local interest roads are the portions of the state highway system that function as local streets or arterials and serve little or no purpose for through traffic mobility. Some are frontage roads; some are not eligible for federal funding. Policy lB, Special Purpose Highway Designation was defined as a policy of the State of Oregon to make special land use, freight route, scenic byway, and lifeline route designations part of the highway classification system to defme unique financing, management, and design needs and appropriate strategies. Page 47 of the report was also discussed. Items reviewed included Policy 2B, Off- System Improvements. Situations in which the State of Oregon consider providing state financial assistance to local jurisdictions to develop, enhance, and maintain off-system improvements was also discussed. Councilor Shaver referenced information contained in the March 30 memorandum included in the agenda item summary packet. Interjutisdictional transfer, traffic and funding issues were also discussed. He shared concerns raised in the March 30 memorandum. Information regarding freight routes and Level of Service (LOS) standards_were also discussed. Councilor Maine agreed with concerns raised by Councilor Shaver. Further process and information regarding the steering committee was discussed. The Special Transportation Areas (STA's) concept was discussed. Lowering of speed limits, available access for certain portions of NODAL development sites was also discussed. As more detailed discussion occurs, portions of Main Street / Highway 126 may need to be looked at in more detail as it relates to safety access, speed and operations. Councilors Ballew and Shaver appreciated feedback and joint cooperation on this project. . . . t' Minutes of the 4/6/98 City Council Work Session Page 4 ADJOURNMENT The meeting was adjourned at 7:00 p.m. Minutes Recorder - Julie Wilson f3d~ Bill Morrise e Mayor