Loading...
HomeMy WebLinkAbout03/11/2002 Regular r; ',' i . MINUTES OF THE REGULAR SESSION MEETING OF THE SPRINGFIELD CITY COUNCIL HELD ON MONDAY, MARCH 11, 2002 The Springfield City Council met in Regular Session on Monday, March 11,2002 at Springfield City Hall, 225 Fifth Street, Springfield, Council Meeting Room, at 7:40 p.m., with Mayor Leiken presiding. ~ ATTENDANCE Present were Mayor Leiken, and Councilors Ballew, Fitch, Hatfield, Lundberg, Ralston, and Simmons. Also present were City Manager Mike Kelly, Assistant City Manager Gino Grimaldi, . City Attorney Joe Leahy, City Recorder Kim Krebs, Police Chief Jerry Smith, and members of staff. PLEDGE OF ALLEGIANCE Mayor Leiken led the Pledge of Allegiance. SPRINGFIELD UPBEAT CONSENT CALENDAR Councilor Fitch asked to remove item number 5-a from the Consent Calendar. . IT WAS MOVED BY COUNCILOR HATFIELD WITH A SECOND BY COUNCILOR FITCH TO ADOPT THE CONSENT CALENDAR WITH THE EXCEPTION OF ITEM 5- ,A. THE MOTION PASSED WITH A VOTE OF 6 IN FAVOR AND 0 AGAINST. 1. Claims 2. Minutes 3. Resolutions 4. Ordinances 5. Other Routine Matters a. Approval of the Assignment of the Loan Agreement and interim financing of $275,000 with Springfield Community Development Corporation for new construction of ten affordable units in the Fair Haven Subdivision. b. Authorize the Mayor ofthe City of Springfield to execute the Coverage Agreement and Integration Contract between the City of Springfield and Public Employees Retirement System (PERS). ITEMS REMOVED FROM THE CONSENT CALENDAR 8 Mayor Leiken declared a conflict of interest on item 5-a and removed himself from the discussion. , Springfield City Council Regular Session Minutes - March 11, 2002 Page - 2 o Councilor Fitch said she and Councilor Lundberg had a few questions related to this item and asked that staff come forward. Councilor Lundberg said she would like to clarify the amount of the interim financing, and also questioned the letter from St. Vincent DePaul Society (Attachment 2-4) of the Agenda Item Summary. She said it indicates that they will be receiving a letter of commitment from Key Bank. Housing Programs Assistant Jodi Peterson was present for the staff report on item 5-a. She said the interim loan that is in question is in lieu of a construction loan through a bank for St. Vincent DePaul. She said it would allow them to do more with the construction funds because they would not be paying loan or interest fees. She said the backup or commitment letter from Key Bank would be sent to staff on March 12, 2002. She said th~ purpose of that letter is in the event the City needs to call that loan and collect the funds for other projects. Councilor Fitch asked as they build and sell the houses will that money then go back into building the balance of the houses and is that part of the contract? ' Ms. Peterson said they will eventually obtain permanent financing for the properties, and will then pay the City back. She said it is an interim loan or a bridge for them to secure permanent financing. Councilor Simmons asked if the Key Bank letter that is being provided is similar to that of a guarantor, with a time specific, and if not, how will it be constructed? . Amanda Saul, Development Director from St. Vincent DePaul Society was present and said the letter works as a backup letter of credit, or a land line of credit. She said if the City of Springfield has to call their funds, Key Bank has guaranteed that they will step in and repay that money and they will then take a lien position on the land. City Attorney Joe Leahy referred to Attachment 1 page 2 paragraphs 4 and 5, and said it makes it clear that the responsibilities of the CDC are passed on to St. Vincent DePaul. He said it is very clear that they are stepping into responsibility of the CDC, and have to perform. Councilor Fitch said she appreciates the fact that St. Vincent DePaul has stepped forward to do this project, and it is vital that this project go forward. IT WAS MOVED BY COUNCILOR FITCH, WITH A SECOND BY COUNCILOR LUNDBERG TO APPROVE ITEM 5-A OF THE CONSENT CALENDAR. THE MOTION PASSED WITH A VOTE OF 6 IN FAVOR AND 0 AGAINST AND 1 ABSTAIN (LEIKEN). PUBLIC HEARINGS - 1. Public Hearing Regarding Possible Written Offers to Purchase 22 Acres of the City-Owned Sports Center Property. o John Tamulonis was present for the staff report on this item. He said the City has received two written offers to purchase the southern 22 acres of the 40-acre Sports Center site in the Gateway area. Arlie & Company's written offer of $5.35 million made on December 5,2001, with Springfield City Council Regular Session Minutes - March 11,2002 Page - 3 . conditions, including a required rezoning to Campus Industrial (CI), was withdrawn. The second offer made January 28,2002 from Pudding Creek Land Company to purchase for $5.4 million, with conditions, including required rezoning, remains in place. Mr. Tamulonis said council directed staff to seek additional proposals that provided more cash to the city prior to rezoning, since the 6 acres zoned Community Commercial and the 16 acres zoned Public Land and Open Space have substantial value with the current zoning designations. He said the Request for Proposal (RFP) Attachment 2 to the Agenda Item Summary (ATS) was distributed to several local development organizations with the potential to purchase and develop the Sports Center property for CI uses. He said the RFP asks for an initial payment of $3.2 million for the property "as is" and another payment for a total of at least $5.4 million once the 22 acres is zoned CI. Mr. Tamulonis said there has been one additional response since the staff report was prepared, and understands that response was delivered to council on Friday, May 8th. He said this new response is from the Carolyn S. Chambers Trust. The proposal is for $3.225 million cash as is with the current zoning, with an additional payment that would bring the total to $5.4 million dollars for the entire parcel once the rezoning took place. Mr. Tamulonis said staff is proposing several steps to be taken and has presented those steps for council consideration. They are 1) conduct the public hearing as required before the council considers potential sale of the 22 acres; 2) if needed, council could recess into executive session to consider this offer, or any other offers that have been presented; and 3) perhaps reconvene the regular session and provide staff direction regarding the proposals. . Mr. Leahy said ifthe City Council is going to consider any offers in Executive Session, those offers should have been presented by now in order to allow the Public an opportunity to comment before the City Council considers them. Councilor Hatfield asked if any Councilor received any offers other than the offer before them tonight. The Council responded no. Mayor Leiken opened the public hearing. 1. Dan Egan, 850 N. 6th Street, Springfield, Spoke in support of this project moving forward. He said the Chamber Board has not had an opportunity to discuss this issue, however he as a citizen is very supportive. He said the City of Springfield is changing rapidly, and the need for Springfield to offer a high quality of life for its citizens is all a part of community. He said it is time to take this opportunity and proceed, as this would indeed be the fate of the Sports Center or Complex. He concluded by saying that Springfield has a culture of rolling up its sleeves and getting things done, and encouraged the City Council to act on this opportunity. . 2. John Crane, 2268 Lassiter, Eugene, Represents Kidsports, and spoke in support of the sale of the Sports Center Property. He said having a regional sports facility in mid Springfield will help bring traffic through the downtown area, but the most important part of this project will provide the youth of this community the opportunity to have access for positive interaction Springfield City Council Regular Session Minutes - March II, 2002 Page - 4 . and recreation. He encouraged the City Council to take the opportunity now and vote to approve this offer. 3. Bob Keefer, 200 So. Mill Street, Springfield, Superintendent ofWillamalane Parks and Recreation District. He spoke in support of the proposed offer and sale of the Gateway property for the purposes of having the funds to develop a new facility at 32nd and Main Streets. He said with the ,sale of the 22 acres, 18 acres will remain that are prime natural resource properties and open space that will always be there for this community. He said there would be 19 acres of acreage in mid Springfield that is adjacent to a middle school that has property that leads to the Mill Race. He said this provides a great opportunity for Springfield. He thanked the City Council for the opportunity to once again partner with the City of Springfield, as he enjoys working with the staff and looks forward to many other projects in the future. o 4. Lauri Segal. 120 West Broadway, Eugene, Represents 1000 Friends of Oregon. She spoke in opposition of the proposed offer and sale. She said there is still a need for the costlbenefit analysis that really speaks to the proposal's merits or lack of merits, from both a fiscal and community development perspective. She said the issue is broader than just the value of the parcel. She said a thorough evaluation of any proposal to sell, trade, rezone, or otherwise impact the allowable uses of land parcels should account for a wide range of considerations other than merely potential family wage jobs. Traffic impacts, wellhead protections, and livable neighborhoods are examples of other important considerations. She said the actions leading up to bringing the sports way parcel into the UGB were not financial gain driven, but rather a show of community support for a recreational facility meant to serve area youth and their families, providing the impetus necessary to make a dream a reality. The driving force behind the many contributions of time and money was that kids were being served. It would be a breach of public trust to set this parcel up for conversion to special light industrial or campus industrial zoning. Parkland and open space are valuable community commodities. At the same time, this valuable resource cannot be created just anywhere. Open space designations are usually made to protect resources from development pressures, or in some cases to restore impacted resource areas. To rezone industrial parcels to accommodate park and open space needs is an inappropriate action, and just does not make sense. She urged council to retain the sports way site as parkland and open space for its intended use as a recreational facility for youth and their families. Its uniqueness cannot be duplicated. 5. Senator Bill Morrisette, 348 G Street, Springfield, spoke in support of the proposed development, for a number of reasons. He said this is the best choice, as the mid-Springfield site will much better serve the youth of Springfield for many reasons. The traffic congestion in the Gateway area is something that needs to be considered. The site would generate a very large amount of traffic. Moving the Sports Center Complex to mid-Springfield will be an immediate success as a regional sports center for many reasons already sited. He said it is an ideal cooperative venture between Kidsports, Willamalane, City of Springfield, and Broadbase. He said these four organizations could work closely and develop an outstanding facility. He said he would like to pay tribute to his friend and colleague Roy Gray who has dedicated his life for the welfare of kids, and is willing to put his own assets up as collateral to see this venture through. He said Mike Kelly also deserves a tremendous amount of credit for seeing this whole process through as he has been here from the beginning and has dedicated city staff and resources to the success of this venture, and applauds him. . 6. Greg Vick 2023 Kimberly Drive. Eugene, Spoke on behalf of Broadbase. He noted that many members of the audience who were present have been involved in this venture for more Springfield City Council Regular Session Minutes - March 11, 2002 Page - 5 . than 10 years, but so has the City of Springfield and City Councilors in terms of support. He said he knows the council understands the importance of this venture, and are very close to having it become a reality. He said there is a tremendous value for a project of this magnitude, and urged the City Council to support this project, and thanked them for their support. Mayor Leiken closed the public hearing. Mayor Leiken thanked Mike Kelly and his team for a tremendous job. He said to Mike's credit, alternatives, ideas and options surfaced, and it brings us to where we are today. Partnering with the other agencies is a very good idea and brings the council to this golden opportunity for this community. He said he is happy to be the Mayor at this point in time to see this venture fmally becoming a reality. He thanked Arlie & Company for stepping up and purchasing the property, as well as donating the acreage needed for Broadbase to put the financing together. He knows the youth of the community are saying thank you to all the players as well for making this possible. Councilor Fitch asked with the acceptance of this offer is the city accepting the responsibility to initiate the rezoning. " Mr. Leahy said yes, that is correct. The city is accepting the responsibility. He said all of the discussions with the Chambers Trust have been very much in a partnership mode, they are very excited about Springfield, and one of their motivations is to help the city in making this happen. . Councilor Hatfield asked the council if there was a need to go into an executive session for further discussion, or can the issue be resolved in regular session. Councilor Simmons said he believes it can be resolved in Regular Session. He said when the agreement is constructed, it needs to have the dates outlined. It needs to be clear that if the prospective purchaser is undertaking that agreement with the concept that fulfillment of the rezoning is the ultimate goal, they would not impede it in any way. He said his concern is that if the prospective purchaser would threw roadblocks into the process that there be no substantial loss of net revenue to the city. He said it is important that the citizens received full value ofthe property as it is rezoned, and have the full cooperation of the purchaser on the rezoning effort. Mr. Leahy said there are two basic precepts in the contract that relate to what has been identified. He said 1) the parties will deal in good faith; and 2) neither party to the contract will take any action to deny the other party of the benefit of his or her bargain, and that will be written into the contract. He said that is a fundamental tenant of the law. Council consensus was they had no desire to adjourn into Executive Session for this discussion and would dispose of the issue at this time. . Councilor Hatfield said he looks at this as a quintessential Springfield project. He talked about the purpose of this project from the beginning, and cannot imagine the hours, and effort that has gone into trying to make this happen. He said city staff has been a very important part of this as well as prior councils in their support of the project. He said this benefits the citizens ofthis community. He thanked Arlie & Company for their donation of property, and thanked the Chambers Trust for stepping forward. He concluded by saying this is a fulfillment of trust, not a breach of trust. Springfield City Council Regular Session Minutes - March 11, 2002 Page ~ 6 . IT WAS MOVED BY COUNCILOR HATFIELD, WITH A SECOND BY COUNCILOR FITCH TO ACCEPT THE OFFER FROM CHAMBERS TRUST FOR THE PURCHASE OF THE 22 ACRES IN THE GATEWAY ACRE. THE MOTION PASSED WITH A VOTE OF 6 IN FAVOR AND 0 AGAINST. Mr. Leahy said that is subject to arriving at a contract iri alignment with the direction of Councilor Simmons earlier. Councilor Hatfield said yes that is correct. BUSINESS FROM THE AUDIENCE 1. Larry Reed, Arlie and Company, 722 Country Club Road, Eugene. He said as the property owner at 32nd and Main Street, and on behalf of Arlie & Company, John Musemeci, and Susan Arlie he thanked the City Council for their kind words. He said later on the City Manager would be seeking approval to do the metro plan and rezoning of the property at 32nd and Main Street. He said for the record that request has Arlie & Company's full support, and , will work with staff to do what is necessary in order to provide the city with a complete application for all of those planning items. COUNCIL RESPONSE CORRESPONDENCE AND PETITIONS . IT WAS MOVED BY COUNCILOR HATFIELD WITH A SECOND BY COUNCILOR FITCH TO ACCEPT THE TWO ITEMS OF CORRESPONDENCE SUBMITTED EARLIER IN THE MEETING RELATED TO THE SALE AND REZONING OF THE SPORTS WAY PROPERTY. THE MOTION PASSED WITH A VOTE OF 6 IN FAVOR AND 0 AGAINST. BIDS ORDINANCES BUSINESS FROM THE CITY COUNCIL L Committee Appointments 2. Business from Council a. Committee Reports b. Other Business 1. Councilor Hatfield said in response to a memorandum council received from City Attorney Joe Leahy, he would like to discuss the South 79th Street property owner's request for extraterritorial water line extension. He said each of the councilors received the memorandum from Mr. Leahy regarding a revised Declaration. . Mr. Leahy said he has met with staff and some ofthe neighbors, and said the Declaration developed meets the needs of the citizens of Springfield. He said as stated, this Springfield City Council Regular Session Minutes - March 11,2002 Page - 7 . information was made available to the City Council via a memorandum from the City Attorney's office. Councilor Hatfield said it does meet the council's needs to protect the citizens of Springfield, and if the Council feels this matter can be disposed of tonight, he would like to move forward. Councilor Simmons asked if this Declaration would be recorded on the Deeds. Mr. Leahy said yes it would be recorded, and the property owner or organization would pay for the recording. He said he has not received any feedback, and asked Development Services Director Cynthia Pappas if she had received any feedback on this issue. Ms. Pappas said this item is scheduled to come back to the Council at the March 18, 2002 City Council Meeting, however if they chose to resolve it tonight that would be fine. She said the Declaration does meet with everyone's approval and they are ready to take it forward. Councilor Lundberg thanked staff and the neighbors for stepping up and working hard towards a resolution ofthis matter. . IT WAS MOVED BY COUNCILOR HATFIELD WITH A SECOND BY COUNCILOR LUNDBERG, TO ACCEPT THE SOUTH 79TH STREET PROPERTY OWNERS FOR EXTRATERRITORIAL WATER LINE EXTENSION, AND THE DECLARATION TO BE RECORDED. THE MOTION PASSED WITH A VOTE OF 6 IN FAVOR AND 0 AGAINST. 2. Councilor Lundberg said the LCOG Board met recently and the focus of that discussion was around education and schools. She said this is an important discussion and consideration because some of the rural communities are really struggling, and how they see themselves and manage to survive, sometimes has to do with their economic place. It is important to look beyond our civic responsibility. She said there would be further discussions about this in the future. 3. Councilor Lundberg said Food for Lane County has secured a site at the Salvation Army for the dinner's program. She thanked Arlie & Company for a donation of $10,500 that allowed this program to go forward, and assistance in securing a permanent home for the program. The location of the Salvation Army is at the corner of Centennial Blvd and Mill Street. 4. Councilor Ralston said the Housing Policy Board and the Human Services Commission have been meeting jointly and as the Council Liaison for both of these committees he is representing both. He said in light of the downturn in the economy, there is a great concern about the homeless issues. They have appointed a Homeless Prevention Task Force. He said he attended the first meeting of the Task Force today, and he was appointed Chair of that Committee. . 5. Councilor Ballew said the Metro Wastewater Management Commission is currently working on their budget process. Springfield City Council Regular Session Minutes - March 11, 2002 Page - 8 . 6. Councilor Hatfield said he and Mayor Leiken traveled to Washington, D.C. on the United Front trip. He said it was a successful trip for Springfield, and thinks with a little more effort he believes the full funding for the Springfield Station can be secured, as well as funding for the restoration of the Mill Race. 7. Mayor Leiken said he agrees with Councilor Hatfield on the success of the trip. 8. Mayor Leiken said he was able to be involved in international relations on Sunday, March 10th, as he was invited to join Judge Michael Hogan in welcoming 5 Judges from the Russian Federation. BUSINESS FROM THE CITY MANAGER 1. Council Initiation of an Amendment to the Metropolitan Area General Plan Diagram, Gateway Refinement Plan Diagram, and Concurrent Rezoning (Journal No. 2002-03-0062). Planning Manager Greg Mott was present for the staff report. He said he would waive the reading of the staff report. He said if the council takes the action this evening, it is tentatively targeted for the June 4th for the Planning Commission Public Hearing. . IT WAS MOVED BY COUNCILOR HATFIELD, WITH A SECOND BYCOUNCILOR FITCH TO APPROVE INITIATION OF A METROPOLITAN AREA GENERAL PLAN DIAGRAM AMENDMENT TO REDESIGNATE TAX LOT 100, ASSESSOR'S MAP 17- 03-15-3, FROM COMMERCIAL TO CAMPUS INDUSTRIAL, AND REDESIGNATE A PORTION OF TAX LOT 1000, ASSESSOR'S MAP 17-03-15, FROM PARK AND OPEN SPACE TO CAMPUS INDUSTRIAL CONSISTENT WITH THE PROVISIONS FOR SUCH AMENDMENT FOUND IN ARTICLE 7, SECTION 7.040 OF THE SPRINGFIELD DEVELOPMENT CODE. IT IS UNDERSTOOD THAT THIS MOTION INCLUDES THE INITIATION OF IDENTICAL AND CONCURRENT AMENDMENTS IN THE GATEWAY REFINEMENT PLAN DIAGRAM AND ZONING DISTRICTS FOR THE SAME PROPERTIES, AS SPECIFIED IN SECTION 7.110(4) OF THE SDC. THE MOTION PASSED WITH A VOTE OF 6 IN FAVOR AND 0 AGAINST. Councilor Simmons said with the provision that the natural area to the north identified by the County Survey is protected. 2. Council Initiation of an Amendment to the Metropolitan Area General Plan Diagram, Mid- Springfield Refinement Plan Diagram, and Concurrent Rezoning (Journal No. 2002-03- 0063). Planning Manager Greg Mott was present for the staff report. He said he again would waive the staff report, and said this will also be presented to the Planning Commission on June 4th. . IT WAS MOVED BY COUNCILOR HATFIELD WITH A SECOND BY COUNCILOR FITCH TO APPROVE INITIATION OF A METROPOLITAN AREA GENERAL PLAN DIAGRAM AMENDMENT TO REDESIGNATE TAX LOT 500, ASSESSOR'S MAP 17- 02-3, FROM LIGHT -MEDIUM AND HEAVY INDUSTRIAL TO COMMERCIAL AND PARK AND OPEN SPACE CONSISTENT WITH THE PROVISIONS FOR SUCH AMENDMENT FOUND IN ARTICLE 7, SECTION 7.040 OF THE SPRINGFIELD DEVELOPMENT CODE. IT IS UNDERSTOOD THAT TillS MOTION INCLUDES . . . Springfield City Council Regular Session Minutes - March 11, 2002 Page - 9 THE INITIATION OF IDENTICAL AND CONCURRENT AMENDMENTS TO THE MID-SPRINGFIELD REFINEMENT PLAN DIAGRAM AND ZONING DISTRICTS FOR THE SAME PROPERTIES, AS SPECIFIED IN SECTION 7.110(4) OF THE SDC. THE MOTION PASSED WITH A VOTE OF 6 IN FAVOR AND 0 AGAINST. 3. Other Business BUSINESS FROM THE CITY ATTORNEY I. Councilor Hatfield asked before adjourning the meeting if council members thought there was a need to go into Executive Session for discussion of the second topic on the agenda for executive discussion. Mr. Leahy said if council chooses riot to adjourn into Executive Session, staff will assume that the document as corrected and provided to council with all the changes, subject to his memorandum that we need to be certain that we follow the council's direction to obtain adequate security of performance, will be taken care of. He said at that time staff will provide that information to the council prior to the signing of the document. Council Consensus was not to adjourn into Executive Session and agreed with Mr. Leahy's comments. ADJOURNMENT The meeting was adjourned at 8:45 p.m. Minutes Recorder - Kim Krebs ('