June 1, 2005

1:30 p.m.

Commissionerís Conference Room 

APPROVED 10/26/05


Commissioner Anna Morrison presided with Commissioners Peter Sorenson and Faye Stewart present. Bill Dwyer and Bobby Green, Sr., were excused.County Administrator Bill Van Vactor, County Counsel Teresa Wilson and Recording Secretary Melissa Zimmer were also present.




a. SECOND READING AND PUBLIC HEARING/Ordinance No. 1-05/In the Matter of Creating the Metropolitan Wastewater Management Commission as an Intergovernmental Entity, Declaring an Emergency and Providing an Immediate Effective Date (NBA & PM 5/18/05).


Van Vactor explained the issues of financing the Metropolitan Wastewater services.He expressed concern that in the past the financier of the MWMC with the local match had been the county service district.He said the bonds have been paid off.He added that they are in the second stage where MWMC is going to be financed by a series of SDCís and those will be used to support revenue bonds that will finance the second phase of the necessary construction plan. He said each local government would have to enact its ordinance and process each bond issue.He thought they might have multiple entities and they might not agree.He said that after hearing from Eugene and Springfield, and how important it was to access the bond rates, they should go ahead and proceed.He added that Eugene and Springfield were willing to assume the risk.He noted that Finance and Audit accepted the proposal.


Wilson explained that the ordinance creates MWMC as an intergovernmental entity under statutes that were adopted between the time MWMC was originally created and now.She said by using the new statutes as a vehicle, MWMC gains an ability to do things like revenue bonds. She added the second matter is a public hearing on the issuance of revenue bonds that will allow them to take the next step as a commission to do their own public hearing at the time they are ready to do the issuance.She said they would do the public hearings by themselves and the citizens would have the ability to challenge whether or not the bond should be issued or not.She said if the Board wanted to exercise full control and authority, they have to determine the relationship the three governments want to have with respect to MWMC and how much they want to exercise the role within Metropolitan Wastewater Services.She noted as an area they had chosen to have a single commission that the Board makes an appointment to, and sits on to run the facility for the metropolitan area.


Van Vactor indicated that Lane County was positioned differently than Eugene and Springfield because they donít collect SDCs.He said it didnít make sense for Lane County to stay involved with financing when the new financing mechanism is based upon SDCís.


Morrison was comfortable with the current system, as there is an oversight of the body.She was concerned as to what would happen with Coburg and how that plays in the picture with Lane County.She commented that if they move forward with the ordinance to allow the MWMC the power to secure bonding, they wouldnít have any control.She asked what happens to the bonds they had sold with the outcome of the legal actions against the facilities plan and the SDC methodology, if the Homebuilders Association should prevail.


Wilson said that the MWMC in working with the bond council and the financial advisors and getting ready to market the revenue bonds.They are going to have to reassure the marketing people that they have an adequate contingency fund to protect MWMC in the event of successful litigation.She said the bond council and marketing people will evaluate and there might be a note in some of the bond marketing of a potential risk.


Van Vactor commented that, assuming these changes are adopted, the key future decision with impacts on citizens would be the facility plan.He added the IGA provides that when there are significant changes to the facilities plan, a significant notice period to the Board is given so they have time to evaluate it. He added they should be able to get projections with the bond rates.


Commissioner Morrison opened the Public Hearing.


There being no one signed up to speak, she closed the Public Hearing.


MOTION:to adopt Ordinance No. 1-05.


Sorenson MOVED, Stewart SECONDED.


Stewart thought it was important that they stay a part of the agreement.


Morrison supported the motion with reluctance.She didnít trust MWMC and questioned the facilities plan and the SDC methodology.She said if they are going to have any type of economic development, they have to deal with the infrastructure.She wished they had had a decision from LUBA before they got this far.




b. PUBLIC HEARING AND ORDER 05-6-1-22/In the Matter of Approving the Issuance of Revenue Bonds by the Metropolitan Wastewater Management Commission and Setting an Effective Date (NBA & PM 5/18/05).


Wilson indicated that this is the actual approval of the bonds.


Commissioner Morrison opened the Public Hearing.There being no one signed up to speak, she closed the Public Hearing.


MOTION:to approve ORDER 05-6-1-22.


Sorenson MOVED, Stewart SECONDED.


VOTE: 3-0.














There being no further business, Commissioner Morrison adjourned the meeting at 3:00 p.m.



Melissa Zimmer

Recording Secretary