March 20, 2002

1:30 p.m.

Commissioners’ Conference Room



Commissioner Bill Dwyer presided with Commissioners Bobby Green, Sr., Anna Morrison and Peter Sorenson present.  Cindy Weeldreyer was present via telephone.  County Administrator Bill Van Vactor, County Counsel Teresa Wilson and Recording Secretary Melissa Zimmer were also present.




Dwyer stated they would take item 11. a. first on their regular agenda for discussion.  He noted that there would be two items added for Emergency Business, a letter to the PERS Board and a Board Order from the District Attorney.




a.  PUBLIC HEARING AND FINAL ORDER 02-3-20-1/In the Matter of Withdrawal of County Road Status (But Not the Public Road Status) of a Portion of Talbott Lane (County Road Number 200), Located Between Noraton Road and Payne Road in Section 8, Township 15 South, Range 4 West of the Willamette Meridian (15-04-08).


Bob Ezell, Land Management, explained the road was established in 1856 and it ran from Booneville, Benton County to the City of Eugene.  He noted in 1930, Noraton Road bypassed the segment of this road.  Continuing, he said since 1930 there had been little maintenance done on this segment of road and it is not part of the regularly maintained County road system.  He said Oregon Law provides that the County could withdraw county road status but could maintain public road status which requires a report from the Public Works Director.  He noted that Ollie Snowden was in support of the withdrawal.  He said Lane Manual 15.410 has criteria for withdrawal.  He noted one criteria is whether the road is maintained or if maintenance had stopped.  He explained that this road met all of the conditions of the Lane Manual.  He said it was reported that the adjacent landowners were not opposed to the proposed withdrawal. He noted the residents might continue to use the remainder of Talbott Lane to get to Noraton Road. 


Ezell said notice had been provided to the public by publication, certified mail and posting.


Dwyer asked what are the benefits to the County by withdrawing from county road status and keeping it a public road.


Ezell said they have a maintenance management book that tells which roads are County roads.  He said this takes it off the books because it is not maintained by Lane County.


Don Maddox, Public Works, reported that this segment came to their attention as part of reviewing a list for possible candidates to overlay.  He said upon review, it appeared that it would not be a good expenditure of funds to overlay that segment.  He added that Public Works had done minimal maintenance on the section.


Commissioner Dwyer opened up the Public Hearing.


Ray Jagger, 96107 Talbott Lane, was in agreement.


There being no one else signed up to speak, Commissioner Dwyer closed the Public Hearing


MOTION: to approve ORDER 02-3-20-1.


Morrison MOVED, Green SECONDED.


VOTE: 5-0.




Ed Kemp, 38708 Natures Garden, Springfield, discussed the Hynix situation.  He asked when Hynix’s privileges would end.  He suggested not granting them the tax credit.  He was concerned the Board is granting privileges to a company that is not abiding by what it originally said it would do.  He thought the Board has a responsibility to be consistent with economic development, by generation of employment in the community.






5.  EXECUTIVE SESSION as per ORS 192.660






a.  ORDER 02-3-20-2/In the Matter of Approving a Waiver of Employment Requirements for a Property Tax Exemption to Hynix Semiconductor Manufacturing America, Inc. for Its Operations in the West Eugene Enterprise Zone.


Denny Braud, City of Eugene, explained the Board was asked to consider a waiver of employment for Hynix up to $156 million.  He noted on March 13, the City Council approved such a waiver and that was subject to specific performance conditions described in the resolution.  He said the basic waiver criteria includes a requirement that Hynix maintain an annual employment of 650 employees.  He added that each year Hynix would be required to deposit into an escrow account an amount equal to the taxes they would have paid, had there not been a tax exemption.  He said out of that fund there would be a contribution each year to a local educational institution, including LCC, Lane ESD, 4J and Bethel School Districts. He noted that amount would be distributed based on the tax rates for those education districts.  He said this contribution represents new money for the school districts. He said the tax exemption that remains after their contribution to the schools would be a proportionate benefit for the company, based on their employment level.  He added without the waiver, the company would have to reach an employment level of 986 employees.  He said if they were at 650, they would be 66% of what would be required without the waiver.  He noted they would receive that benefit at the end of the three years after they had demonstrated that they had met all the criteria.  He noted that the schools would receive distribution before Hynix receives its benefit.


Dwyer asked about maximum tax credits Hynix could qualify for.


Braud responded there is a maximum time period of ten years after their enterprise zone expired.  He added they currently don’t have an enterprise zone.  He said it expired in 1997 and the sunset expires is 2007 for grandfathered companies.


Jim Gangle, Assessment and Taxation, explained that the property value for Hynix is under appeal for the 2001 year.  He said the value that was used to calculate the tax for the past fall had been under appeal.  He noted they were looking for a reduction value for the 2001 year.  He said they would be making a $120 million reduction in value.  He didn’t know what the implication would be.


MOTION: to approve ORDER 02-3-20-2.


Green MOVED, Morrison SECONDED.


Sorenson said it would be a bad idea to approve this.  He said they don’t know what the financial implication would be to the City of Eugene or to Lane County.  He said the proposal is to give the $1.5 million to 4J, Lane ESD and LCC.  He didn’t think the money wasn’t spread equally.  He noted the statutory purpose of a tax exemption is to encourage employment.  He was against this.


VOTE: 4-1 (Sorenson dissenting).


Dwyer stated the foreign chip market had a lot to do with the exemption.  He said they put in a large investment to bring their facility up to standard where they could be competitive on the world market.  He said this was about jobs and that is why he voted in the affirmative.


Weeldreyer stated the way this was crafted provided job incentives so the benefits go up with the jobs.  She said it was important in a recession that they send positive messages about these types of manufacturing jobs in the area.


b.  ORAL UPDATE/Forest Work Camp.


Jan Clements, Sheriff, reported the Forest Work Camp would be going to 95 beds no later than April 15.  He said it was a product of retirements and hiring recruitments.  He noted funding was there but staffing wasn’t.  He said the average daily population at the camp from December to February is 69.7.  He reported they had four federal crews and one community crew at the Community Corrections Center.  He added the expansion in April would include two federal crews and one community crew.  He said staffing was five deputies short.


Lt. Mark Graham, Sheriff’s Office, reported the federal forest crews had been putting in time in the national forests.  He said they fight fires in the summer time.  He said they also work for the Army Corps of Engineers and Oregon State Parks, University of Oregon, the fairgrounds as well as the Special Olympics and other events.


Clements stated they were still planning on moving two manufactured housing units from the Serbu facility to the camp.  He said they would be used for training, education and alcohol and drug classes.


Graham explained they currently have two wells at the camp.  He said they could no longer use one are going to drill another well.  He noted the north well would provide enough water.  He said they were in the process of getting bids. He added they had a recent fire inspection and it was noted that the current dormitory (built several years ago) is not hooked into the main enunciator panel inside their facility in the administration area.  He said that would have to be hooked up.


Clements said the camp is a positive experience for inmates.  He passed out a grid (copy in file) that explained the six-month forest work camp average with 30 beds.




a.  Announcements






a.  REPORT/Progress Toward Obtaining Necessary Environmental Permits for Proposed Traffic Circulation Improvements on Truck'N'Travel Parcel Adjacent to FY 01/02 Pearl Street Capital Improvement Project.


Sonny Chickering, Public Works, stated they received one permit.  He said it occurred much quicker than he expected.  He said the Corps of Engineers modified Lane County’s existing permit to do the County’s portion of the culverts.  He said they have permission from the Corps of Engineers to extend across Truck N Travel’s property.  He added the Division of State Lands would not modify their original general authorization permit. (That had limitations about the maximum amount of impact that could be performed under a general authorization).  He stated the new work puts the total amount of impact over that threshold so they are considering issuing a separate permit for the Truck N Travel portion.  He said the 30-day comment period expires tomorrow.


Morrison asked how soon DSL would issue the new permit.


Chickering responded they have a commitment from the regulator from DSL and he indicated they could issue the permit in five days if there are no major issues. He thought March 28 would be the earliest date.  He added they made arrangements for staging the pipe work prior to the April 15 goal date. He said they think they have a plan to make that happen.  He stated if the DSL does not issue the permit in time or if the irrigation district needs to run the water sooner than expected and they are not able to get the pipes in, they are finished until next year.  He noted an option would give them authority to move ahead with putting in just the pipes that are needed for the County roadwork and proceeding with that.  He asked the Board to approve recommendation 3.


Weeldreyer stated she received a phone call from Coburg Mayor Michael Dean, who emphasized the importance of doing this interchange correctly, allowing for the safest and most efficient ingress and egress from Truck N Travel.  He said it is important to the city and the industrial area of Coburg.  She understood that the Coburg City Council would meet and there was going to be a letter sent on this issue.  She said the City of Coburg was going to ask the County if it would consider delaying this project by a year to accommodate the intersection design because it is currently configured in case DSL doesn’t deliver the permit or if the water has to start flowing in the irrigation canal prior to the construction of the pipes.


Jim Anderson, Truck N Travel, reported that at the City Council meeting last night, the Coburg City Council voted unanimously to issue such a request to the Board of Commissioners should DSL not issue a favorable response.


Chickering believed they could get the work done by April 15 if everything goes okay.  He asked what he should do if there were any delays.


Weeldreyer recommended Alternative 2.  She wanted to postpone this for one year so it would allow the frontage road to be constructed at the same time as Lane County’s road construction project.  She opted for Option 1.


Anderson said that would also be their choice.  He said if the permit is not available, or time runs out, the entire project would be delayed a year.


Dwyer stated direction would be for Public Works to try their best and if time runs out, postponing this for one year.


Dwyer requested Chickering send a letter to the Board summarizing what the Board expected of him.


Anderson appreciated all the work that everyone had done to get this permit so quickly.


b.  ORDER 02-3-20-3/In the Matter of Modifying the Northern Limit for the Jasper Road Extension Project to Comply with Oregon Department of Transportation (ODOT) Requirements for Traffic Signal and Traffic Lane Reconfigurations North of State Highway 126 (Main Street) Along the Eugene-Springfield Highway.


Chickering explained that the Jasper Road Extension is a project they had been working on for many years.  He said they intend to construct the first part this summer from Main Street in Springfield, south to approximately the current crossing of 57th and 58th Street.  He noted for this project to go to construction, they need a facility permit from ODOT to connect Lane County’s roadway to the state highway.  He stated that ODOT has the right to require conditions for such a connection.  He said through their stakeholders process and the preliminary days of the project, the only improvements they anticipated at Main Street was a right turn lane, eastbound to southbound.  He stated there were minor traffic signal modifications.  He noted after they turned in their facility permit application, it was sent to Salem and reviewed by their geometric roadway design staff and it has evolved into a larger project.  He said they were looking at the addition of several traffic lanes and it increases the dimension of the intersection and the existing traffic signal design would no longer work.  He stated they have to redesign the entire traffic signal system at Main Street, which is a significant portion of the added $350,000.


Green asked if this redesign would have an impact on the future STIP funding dedicated to this region.


Chickering stated the $350,000 was just set up by Public Works, based on their last meeting with ODOT staff.  He didn’t know where they would be taking the money.


Morrison asked how this would impact the dollars in the CIP for this year.


Chickering said there were six major projects listed in the CIP, three of which are in jeopardy, including Pearl Street.  He noted that would free up the money for the additional $350,000.


Dwyer noted the City of Springfield was anticipating moving forward with this because it had been delayed.


MOTION:  to approve ORDER 02-3-20-3.


Weeldreyer MOVED, Morrison SECONDED.


Chickering advised of the changed condition.  He said they had been unsuccessful in convincing ODOT they could get away without doing the work north of Main and make the intersection operate. He suggested extending the north project limits.  He said doing so would require notification of their environmental permitting regulators.  He said they had a battle getting the permits in the first place and if they change the project boundary, they might elect to review their environment permits again.  He tried to work out a situation where they could convince ODOT that Lane County could make the initial connection and then come back in two years when they put the rest of Jasper Extension through the south and they would want to upgrade the intersection then, adding the lanes north of Main Street.  He said they were getting resistance from staff in Salem. He said negotiations are continuing and it is now bumping up to Ollie Snowden’s level to see if arrangements could be worked out.  He didn’t think they could meet the 2002 date, if they had to redesign the traffic signals.


Dwyer amended the motion to state “if possible”.


Weeldreyer said they have to keep moving forward on this project.  She said it is also a safety issue.


VOTE: 5-0.


c.  TENTH READING AND SETTING ELEVENTH READING AND DELIBERATION/Ordinance No. 5-00/In the Matter of Amending Chapter 10 of Lane Code to Adopt a Revised and Updated Version of the Eugene Land Use Regulations for Application to the Urbanizable Lands Within the Eugene Urban Growth Boundary; and Adopting Savings and Severability.


Jan Childs, City of Eugene, explained when they were before the Board last, they were awaiting a decision from LUBA on the challenges to Eugene City Council’s adoption of the Land Use Code Update.  She noted since that time, they had received the decision from LUBA.  She stated LUBA upheld the City on some of the assignments and also upheld the appellants and they are working through them.


MOTION: to approve a Tenth Reading and Setting an Eleventh Reading and Deliberation on June 19, 2002 for Ordinance 5-00.


Green MOVED, Morrison SECONDED.


VOTE: 5-0.


d.  FIRST READING AND SETTING SECOND READING AND JOINT PUBLIC HEARING/Ordinance No. 4-02/In the Matter of Amending Chapters 10 and 16 of Lane Code to Revise and Add Telecommunication Facility Siting and Removal Regulations and Declaring an Emergency.


MOTION: to approve a First Reading and Setting a Second Reading and Joint Public Hearing on April 10, 02 at 5:30 p.m. on Ordinance No. 4-02.


Green MOVED, Morrison SECONDED.


VOTE:   5-0.




A.  Approval of Minutes:

September 25, 2001, Work Session, 9:00 a.m.

September 25, 2001, Work Session, 1:30 p.m.

November 28, 2001, Regular Meeting, 9:00 a.m

January 16, 2002, Regular Meeting, Following HACSA

February 20, 2002, Regular Meeting, 9:00 a.m.


B.  Public Works


1)  ORDER 02-3-20-4/In the Matter of Constructing Improvements to Prairie Road Between MP 1.59 and MP 2.03, Including Assessments and Notice of Pending Lien Against Adjacent Properties.


2)  ORDER 02-3-20-5/In the Matter of Authorizing the County Administrator to Sign an Option Agreement to Purchase Tax Lot 19-03-01-00 00100 and 19-03-01-00 00213.


3)  ORDER 02-3-20-6/In the Matter of Accepting a Deed of Land to be Used as a Public Road Easement for West Demming Road (County Road No. 596) (17-06-12).


4)  ORDER 02-3-20-7/In the Matter of Vacating the Exterior Boundary Line of Lot 3 and a Portion of the Westerly Exterior Boundary Line of Lot 4, Block 1 of Fawn Hills, as Platted and Recorded in Book 62, Page 5, Lane County, Oregon Plat Records, and Located in the Vicinity of Spencer Creek Road, West of Bailey Hill Road, Without a Public Hearing, and Adopting Findings of Fact (18-04-20).


5)  ORDER 02-3-12-5/In the Matter of Electing Whether or Not to Hear Arguments on an Appeal of a Hearings Official's Decision Denying an Application for a Home Occupation and Temporary Permit for a Special Event/Wedding Facility Within the Rural Residential Zone (RR-10) (Files PA 01-5803 and PA 01-5804/Neumann).


C.  Workforce Partnership


1)  ORDER 02-3-20-8/In the Matter of Re-Certifying of the Lane Workforce Partnership Board of Directors as the Local Workforce Investment Board Under the Workforce Investment Act of 1998.


D.  Youth Services


1)  ORDER 02-3-20-9/In the Matter of Authorizing Youth Services to Develop and Submit a Grant Application to the Office of Juvenile Justice and Delinquency Prevention (OJJDP) for Up to $220,000 for a Three Year Juvenile Mentoring Program (JUMP) to Serve Juvenile Offenders Attending the Centennial Education Center (Court School).


MOTION: to approve the Consent Calendar.


Morrison MOVED, Green SECONDED.


VOTE: 5-0.




a.  ORDER 02-3-20-10/In the Matter of Appointing One Member to the Farm Review Board Advisory Committee.


MOTION: to approve 02-3-20-10 appointing Chuck Stolsig.


Morrison MOVED, Sorenson SECONDED.


VOTE: 5-0.




a.  RESOLUTION AND ORDER 02-3-20-11/In the Matter of Appointing Two (2) New Members to the Lane County Commission on Children and Families.


Karen Gaffney, Children and Families, reported they were bringing two additional people to fill vacancies on the Commission on Children and Families.  She noted that Joaquin Schulz and Karen Hamilton were recommended.


MOTION:  to approve ORDER 02-3-20-11.


Weeldreyer MOVED, Green SECONDED.


VOTE: 5-0.




Sorenson reported he has been working on having more formal and public open office hours. It has been set up for September 17 and September 18.


Weeldreyer announced there was a reception for Pat Rogers at the Springfield School District.  She noted that tomorrow the LCOG Board was meeting in Creswell to see if there would be buy in from all of the cities to the definition for Economic Development.  She added the Economic Standing Committee meeting will be on Monday.








ORDER AND RESOLUTION 02-3-20-12/In the Matter of Accepting a U.S. Department of Justice Grant for $240,000 and Delegating Authority to the County Administrator to Execute the Grant


Doug Harcleroad, District Attorney, stated this was a placeholder for the budget process.  He said they successfully applied for this grant but it requires matching County dollars.  He suggested having it go through the budget process in the add packages. Harcleroad said they could accept it and not spend it before July 1, and if they decide not to do the add package in the budget process, they would take it back.


Harcleroad explained this that the Federal Government (through the Department of Justice) is giving away over $500 million to local prosecutors.  He said part of the strategy to control gun violence is to have prosecutors who would focus on gun violence and develop a strategy with the U.S. Attorney’s Office.  He noted the money is up to $40,000 per prosecutor, but they could appoint a more senior person to handle those cases, and hire a beginner.  He noted the add package was for two lawyers and clerical support.  He wanted to pass this now so they wouldn’t lose the opportunity for the funding.


MOTION: to approve ORDER 02-3-20-12.


Morrison MOVED, Green SECONDED.


VOTE: 5-0.


Emergency Letter – To  Don Morgan, Board Chair, PERS


Van Vactor reported last Friday, Mike Morgan, County Administrator in Jefferson County sponsored a meeting in Portland for county officials. He said at the meeting they worked on a development of a multi-pronged strategy.  He noted this Friday the PERS Board has on its agenda, the possibility of initiating Administrative Rule provisions regarding adjusting the actuarial tables.  He said that PERS hadn’t modified them since 1978 and they are out of date.  He noted that retirees are living four years longer than they were in 1978.  He said it was an opportunity to implement the revised tables and the net effect was not to reduce anyone’s overall retirement income, but it makes it a lower monthly payment because it is calculated that retirees are living four years longer.  He added it doesn’t affect the total retirement, but it affects the rate that it is drawn down.  He noted if PERS were to go to the current tables, it would save the system about $1 Billion, or a two percent annual contribution rate by the employer.  He said on Friday they are going to ask the PERS Board to either implement the current table, or if not, going to send out an Administrative Rule that would implement the current tables, to request a delay of action on Friday until there is further review. 


Dwyer asked if there was an average loss of income as a result of the change.


Tony Bieda, Intergovernmental Relations, reported they had calculated that in the past and have withdrawn that analysis from consideration. He added there needed to be further development and that is reflected in the request on number 2, on the bottom of the page.    He noted it would include the savings or reduction on employer rates and what the impact would be on employee retirement.


Van Vactor said they could ask for a delay until they have had time to study the three issues.


Dwyer stated that was his preference.


Sorenson shared Dwyer’s view on protection of Lane County government and taxpayers.  He asked if Lane County’s employees were involved.


Dwyer asked to delay this so they could have an opportunity to review with the people who would be impacted.  He wanted the letter modified.  He wanted Van Vactor to sign the letter with Bieda delivering it.


There being no further business, Commissioner Dwyer adjourned the meeting at 3:30 p.m.



Melissa Zimmer

Recording Secretary