Loading...
City Council Packet - 04/17/2012 TIGARD City of Tigard TIGARD CITY COUNCIL BUSINESS MEETING April 17, 2012 COUNCIL MEETING WILL BE TELEVISED I:1Design & Communications1DonnalCity Councillccpktl 13125 SW Hall Blvd. • Tigard, Oregon 97223 • 503.639.4171 TTY Relay: 503.684.2772 • www.tigard- or.gov 40 City of Tigard Tigard Business Meeting - Agenda TIGARD TIGARD CITY COUNCIL MEETING DATE AND TIME: April 17, 2012 - 6:30 p.m. Business Meeting MEETING LOCATION: City of Tigard - Town Hall - 13125 SW Hall Blvd., Tigard, OR 97223 PUBLIC NOTICE: Anyone wishing to speak on an agenda item should sign on the appropriate sign -up sheet(s). If no sheet is available, ask to be recognized by the Mayor at the beginning of that agenda item. Citizen Communication items are asked to be two minutes or less. Longer matters can be set for a future Agenda by contacting either the Mayor or the City Manager. Times noted are estimated; it is recommended that persons interested in testifying be present by 7:15 p.m. to sign in on the testimony sign -in sheet. Business agenda items can be heard in any order after 7.•30 p.m. Assistive Listening Devices are available for persons with impaired hearing and should be scheduled for Council meetings by noon on the Monday prior to the Council meeting. Please call 503- 639 -4171, ext. 2410 (voice) or 503- 684 -2772 (TDD - Telecommunications Devices for the Deaf). Upon request, the City will also endeavor to arrange for the following services: • Qualified sign language interpreters for persons with speech or hearing impairments; and • Qualified bilingual interpreters. Since these services must be scheduled with outside service providers, it is important to allow as much lead time as possible. Please notify the City of your need by 5:00 p.m. on the Thursday preceding the meeting by calling: 503- 639 -4171, ext. 2410 (voice) or 503- 684 -2772 (TDD - Telecommunications Devices for the Deaf). SEE ATTACHED AGENDA VIEW LIVE VIDEO STREAMING ONLINE: http: / /www.tvctv.org /government - programming /government - meetings /tiga rd CABLE VIEWERS: The regular City Council meeting is shown live on Channel 28 at 7:30 p.m. The meeting will be rebroadcast at the following times on Channel 28: Thursday 6:00 p.m. Sunday 11 :00 a.m. Friday 10:00 p.m. Monday 6:00 a.m. 0 u City of Tigard T Business Meeting - Agenda TIGARD TIGARD CITY COUNCIL MEETING DATE AND TIME: April 17, 2012 - 6:30 p.m. Business Meeting MEETING LOCATION: City of Tigard - Town Hall - 13125 SW Hall Blvd., Tigard, OR 97223 6:30 PM 1. BUSINESS MEETING A. Call to Order B. Roll Call C. Pledge of Allegiance D. Council Communications & Liaison Reports E. Call to Council and Staff for Non - Agenda Items 2. CITIZEN COMMUNICATION (Two Minutes or Less, Please) A. Follow -up to Previous Citizen Communication B. Citizen Communication — Sign Up Sheet 3. JOINT MEETING WITH THE LIBRARY BOARD 6:35 p.m. estimated time 4. COUNCIL LIAISON REPORTS 6:55 p.m. estimated time 5. NON AGENDA ITEMS 6. EXECUTIVE SESSION: The Tigard City Council will go into Executive Session to discuss real property transaction negotiations, under ORS 192.660(2) (e). All discussions are confidential and those present may disclose nothing from the Session. Representatives of the news media are allowed to attend Executive Sessions, as provided by ORS 192.660(4), but must not disclose any information discussed. No Executive Session may be held for the purpose of taking any final action or making any final decision. 7. ADJOURNMENT 7:25 p.m. estimated time a SUPPLEMENTAL PACKET = FOR '4p fl/ 17 a / a May 2, 2012 (DATE OF MEETING) 11GARD City of Tigard z « 490 00t/1/C4 z50 Myron Robinson, President Portland Poker Players Association 11530 SW Pacific Highway Tigard, OR 97223 Dear Mr. Robinson: Thank you for attending the March 27 Tigard City Council meeting to offer support for Mr. Lee, owner of King's Buffet on Pacific Highway, in an effort to encourage the City Council to consider alloying social gaming in the City of Tigard. I am writing to share information about the law and process that would guide a decision to allow social gaming in Tigard. Oregon state law (ORS 167.121) allows cities and counties to authorize and regulate or license "social games" by city ordinance. The Gaming Division of the Oregon State Police defines "social games" as "A game, other than a lottery, between players in a private business, private club or place of public accommodation where no house player, house bank or house odds exist and there is no house income from the operation of the social game." If authorized, the owner of the social gaming establishment cannot participate or receive revenue generated directly from the social gaming. Although social gaming may be authorized by law, ultimately, it is up to Tigard's elected officials or Tigard's voters to determine whether the city wants to authorize the activity. Procedurally, there are two ways that an ordinance allowing the activity could be passed. Proponents could craft a ballot measure to be voted on by the Tigard citizens, or the ordinance could be adopted by the City Council subject to the provisions of Chapter VIII of the City of Tigard Charter. Putting the issue to a vote of the people would require the proponents to qualify an initiative for the ballot, craft the language of the measure and then submit it to the Tigard city recorder and city attorney's office for review. The proponents would then submit a petition (also subject to review) and collect voter signatures totaling 15 percent (currently 3,840) of those registered to vote in Tigard. If the signatures were collected and certified, the ballot measure would then go to the City Council to decide whether to enact the ballot measure or refer it to the Tigard voters for a vote. Beyond the law and procedures, it is unclear whether the Council would consider allowing social gaming in Tigard. The Tigard City Council could consider this type of ordinance once they have a better understanding of whether there is broad community support for the activity, or whether social gaming is aligned with community standards and Tigard's vision. Some kind of a public process would probably need to be done to assess the level of community support. Prior to pursuing an ordinance, it is important to gain an understanding of the economic development 13125 SW Hall Blvd. • Tigard, Oregon 97223 • 503.639.4171 TTY Relay: 503.684.2772 • www.tigard- or.gov potential or public good that would or would not be generated by a social gaming establishment. This would also give Council the opportunity to see if there were any reasonable restrictions to be addressed in the ordinance and whether social gaming is appropriate for the City of Tigard. I welcome your questions or concerns. Sincerely, Marty Wine, City Manager City of Tigard cc: City Council City Recorder City Attorney AGENDA ITEM NO. 2 -B CITIZEN COMMUNICATION DATE: April 17, 2012 (Limited to 2 minutes or less, please) The Council wishes to hear from you on other issues not on the agenda, but asks that you first try to resolve your concerns through staff. This is a City of Tigard public meeting, subject to the State of Oregon's public meeting and records laws. All written and oral testimony becomes part of the public record. The names and addresses of persons who attend or participate in City of Tigard public meetings will be included in the meeting minutes, which is a public record. NAME, ADDRESS & PHONE TOPIC STAFF Please Print CONTACTED Name: Also, please spell your name as it sounds, if it will / � help the presiding officer pronounce: I C 4 . 1 , ) Address City '■ � State Zip /'/ Phone No. / / Name: Also, please spell your name as it sounds, if it will help the presiding officer pronounce: Address City State Zip Phone No. Name: Also, please spell your name as it sounds, if it will help the presiding officer pronounce: Address City State Zip Phone No. CITIZEN COMMUNICATION AIS -776 3 Business Meeting • Meeting Date: 04/17/2012 Length (in minutes): 20 Minutes Agenda Title: Joint Meeting with the Library Board Prepared For: Margaret Barnes Submitted By: Alison Grimes, Library Item Type: Update, Discussion, Direct Staff Meeting Type: Council Workshop Mtg. Information ISSUE This is the regularly scheduled, annual joint meeting between City Council and the Library Board. STAFF RECOMMENDATION / ACTION REQUEST None requested. KEY FACTS AND INFORMATION SUMMARY Annual meeting with the Library Board to provide information to City Council. Update on overall library operations. *RFID Project (Radio Frequency Identification) * Programs for the Community * E -Books & E- Readers * Teen Volunteer Program OTHER ALTERNATIVES N/A COUNCIL GOALS, POLICIES, APPROVED MASTER PLANS N/A DATES OF PREVIOUS COUNCIL CONSIDERATION The Library Board last met with City Council for their annual joint meeting Tuesday, April 19, 2011. Attachments No file(s) attached. AgendaQuick©2005 - 2012 Destiny Software Inc., All Rights Reserved . Ayr ez_ i . l -le rn 3 T o '—iii 7/:2 1- I . t ° c c hout I ter = dasses .. pro rams P ones I f ; famil ., t fD IA Wi t t i Or -9— s � l earn convenient nient v.) hbrav __fp 'Uhl' ' ' eader mo ies • • � a vic read frieIdI "sure pl easa nt gym! ebooks —t C I mmun amaii °� . ; E! j " eXe I 1 e __ cu 0 building 3 tables -..- .. big '�� eti �{ CU � public w. T p � [ 771 • ^w a li cr S g p o le N ' ta l k vaw _E apprecia e IN • CLI • • i v o l un teer • visit — impressed [ fed _ ! i 0 Ie/ notkM 1 C � � r � �� bring m � � li 0 GI el:) =I o Ffi kids l i o • co uters I h rs1 ou = ve R4° 0 I POW. 1 or tI plug .... g won erful ) 'Y 1 1 /4-yew d4 / Pipe ' ^--- - - - - -- -- --- - -- - -- - - -- — Mitigation List Adopted 12/13/11 RNA Meeting line / Partnership Comments L , f 7/02 e also • Treatment Plant Mitigations — Design and Operation Insurance coverage will be maintained by LOTWP for long as the plant and pipeline g Y g P PP are Mej e i n operation to compensate local residents for any personal and real property Both the City and the Contractor will be insured against these types of losses. �� 7" 1 Idsses caused by accidents, malfunctions, crashes, or other incidents related to The City of LO will be responsible for any damages due to its negligence /// plant and pipeline operations, including chemical releases, pipeline leakage, or during construction or negligent operation of the system. (Not Feasible; Not water releases and spills, including flooding, erosion, and any form of ground Recommended) &6h4 movPmant and settline. er`r IThe City of LO has completed an appraisal of the value to neighbors of having Independent appraisal /evaluation of all homes in the vicinity of the plant and a 'non- family residential use' at the plant property on Mapleton due to the ) / / �v 2 pipeline to determine effect of proximity to industrial plant and pipeline on future x CCR issue. This appraisal found that the value is zero to lifting those (/J valuation requirements based on the site plan proposed. Neighbors will be next to a park -like setting. (Not Feasible. Not Recommended) The Municipal code will allow on -site and off -site mitigation. The City will / determine where it wants off site mitigation to occur. Payment in Lieu of is // i / / r -gp W / t also possible. The Parks Department has indicated that its preference is that G� `' we pay into a "Canopy replacement fund" (fee in lieu) for off site mitigation (1 3/4" tree = $175) which allows them to best manage where replacement 3 Mitigate lost tree canopy on site by removing invasives and planting native plants x trees go. Support with language change: Mitigate lost tree canopy on site by of the same caliper (size) on plant site or at a secondary site like Cedar Island Park. removing invasives and planting native trees and plants per the COWL Code requirements. For needed off -site mitigation, pay into the West Linn "Canopy Replacement Fund" so that that West Linn may determine the best location for replanting. Neighbors have expressed a desire for additional Trillium Creek mitigation within the neighborhood. of the same caliper (size) on plant Site or at a Secondary site like Cedar Island irk. 4 Fund established to attract matching funds for remodeling Robinwood Station x There is no direct benefit to the Partnership (Not Feasible. Not Recommended) 5 Fund established to attract matching funds for Trillium Creek restoration x Combined with no. 3, above. Move the treatment plant security perimeter away from adjacent properties so This language is in the Good Neighbor Plan (LANGUAGE CHANGE BY GNC to 6 there is room to buffer pedestrian paths with berms and landscaping. No pedestrian paths on property lines. this from prior GNC draft 12-5-11) • Language included in the Good Neighbor Plan based on GNC prior Draft: Require that LOTWP develop an Emergency Response Plan to address potential Hazard analysis and hazard response plan for all chemicals at the plant to be threats to surrounding properties that could be triggered by a natural disaster or an shared with West Linn Residents. Update neighbors and the Robinwood operation incident. Use this plan to help inform the plant design so that potential x Neighborhood Association on any changes in process chemicals or threats to adjoining properties may be avoided. e.g. release rates for emergency emergency procedures affecting neighbors. Continued use of the Tualatin water spills are metered at a rate that does not cause damage to downstream Valley Fire and Rescue reverse 911 alert system. The Partnership will prepare properties. a hazard management plan consistent with prior land use approvals and Treatment Plant - Construction Lake Oswego has a telephone hotline for the Water Partnership Project Construction /mitigation single point of contact with 24 hour hotline for reporting, which it recommends maintaining throughout construction. This worked 1 using LOCOM. Require contractor to report construction related complaints to the x well for the LOIS project. Outside of business hours, callers are referred to West Linn when they occur and summarize responses addressing complaints each the non - emergency LOCOM number. Language included in the Good month in a written report to the West Linn. Neighbor Plan: Provide 24/7 construction hotline telephone number that provides access to report problems. Independent mitigation compliance monitoring consultant selected by GNC and Lake Oswego will comply with Conditional Use and Design Review conditions paid by LOTWP, with all contractors subject to accelerating fine schedule for non- of approval. The City of West Linn will inspect for compliance with its codes 2 compliance with Conditions of Approval. Require that the contractor or x and conditions of approval. The West Linn City Manager has indicated that it construction manager hold regular meetings in the neighborhood to explain the is not in West Linn's best interest to give this responsibility to a third party. status of the project. (Not needed. Not recommended.) The following policies are contained in the Good Neighbor Plan: - Shut off idling equipment when not in use. - Schedule noisier construction operations to limit their duration. - Give advance notice to neighbors when noisy work will occur outside these times. 3 Green construction practices, including: all construction vehicle using Ultra Low - A regular "Coffee with the Construction Manager" will be provided Sulfur Diesel, limited vehicle idling and limited use of generators. throughout construction as long as there is interest on the part of neighbors and others. - All off road construction equipment operating on site will use ultra low sulfur diesel, be in good working order and will comply with current emissions standards as applicable to new and used off -road diesel equipment and fuel. Fund to offset hardship residential sales during construction phase with defined 4 circumstances in which this could be applied, e.g. when a person is unable to delay There is no evidence that the plant construction will impact home sales the home sale until after construction is completed due to death, health crisis, exclusive of the economy or other factors. (Not Recommended) mandatory job relocation, etc. Separate the pathway, landscaping and perimeter screening /buffer contract from 5 the plant construction contract to ensure these improvements are not dropped as a x result of cost overruns. Construction workers may not park on local streets. Workers must park on -site or at designated off - street parking sites and bussed to the worksite. Delivery trucks The following policies are contained in the Good Neighbor Plan: 6 may not park or wait on residential streets. They must either enter the construction x - Provide off- street / off-site parking for construction workers during site or wait in designated off -site staging areas. Access to adjacent residential construction. Some on site parking for construction supervisor, inspector and properties shall maintained at all times. project management staff will be provided. Residential Streets - Design & Improvement It would be unlikely to have a break in a new pipeline. However, if a break were to occur, the City of Lake Oswego's pipeline procedure is very similar to the City of West Linn's. It involves isolating the leak or break with valves, 1 Hazard impact and response scenario for a pipeline break along the residential 'maintaining positive pressure in the water main at all times, excavating the route to be developed and approved by the neighborhood. trench, cleaning the pipe, putting out traffic control devices as needed, placing bio bags in storm drains as needed, repairing the leak, restoring the pavement. This procedure will be part of the required emergency response plan. Permeable path without swale or slightly wider pavement cross section with The City has submitted a plan for a full half street improvement as required 2 multiuse lane striped & signed on one side of Mapleton. Fee -in -lieu for Half Street by West Linn staff in the pre - application meeting, along the plant frontages. Improvement to be applied to an alternative amenity / cross - section on Mapleton, In subsequent meetings with staff, they have expressed interest in a or to be applied elsewhere in Robinwood Neighborhood. modified street section that The Partnership is committed to repairing roads to their previous condition Given that construction activity will likely compromise the entire street section, the for better, as stated in the GNP and will rebuild to COWL standards. GNP 3 entire width of the current street pavement section, including the subgrade, shall language : Lake Oswego will repair or rebuild, if required, all streets that are be rebuilt to the current City Public Works standards. damaged by Water Partnership projects to as good or better condition as prior to construction and according to COWL standards. 4 City ROW marked (survey stakes) ASAP to assist in design of final ROW. The pipeline route can be marked now that it is known. Concrete Asbestos water lines replaced on Mapleton and Kenthorpe in cooperation GNP Language: Coordinate with the City of West Linn on construction of 5 West Linn infrastructure projects during water project work to see if there with City of West Linn are opportunities for West Linn to save money. Residential Street Mitigations - Construction • These items will be accomplished to the extent feasible. 24 hour access to homes for emergency vehicles will be provided. There may be occasions Maintain daily access to all driveways / residences by vehicle with access closures when cars may not be able to park directly in front of their homes, but they limited to (DEFENSIBLE TIME HERE). Require the contractor to inform residents should be able to park in their driveways. GNP language: 1 about all planned access closures by telephone, email and in writing at least 10 Every effort will be made to maintain vehicle access to driveways during work days prior to a closure. Maintain one traffic lane open at all times on construction and minimize any road closures. Periodically, it may be residential streets for emergency vehicle access. necessary to close a road or to provide a detour. When this occurs, advance warning will occur and signage or flaggers will guide drivers through detour routes. Access to homes for emergency vehicles will always be maintained. It is not feasible to restrict staging/offloading to off road areas only, Off- street staging area required. No loading, unloading or staging of equipment or particularly during pipeline construction. The objectives will be to conduct materials on residential streets, except materials these tasks while minimizing traffic /pedestrian impacts. GNP language: 2 p (pipe and fill) for immediate Every effort will be made to load and unload equipment and materials on the placement into excavation. No equipment or materials in ROW after work hours, Water Treatment Plant property. In the event that materials need to be except construction safety and warning devices. unloaded on residential streets, flaggers will be used to ensure that the safety of the travelling public is the highest priority. 3 Temporary information signs and lights on Hwy43 and Nixon intersections to Included in GNP: Use informational signage and lights at Mapleton and Hwy indicate street closures and local access conditions on Mapleton and Kenthorpe. 43 and Nixon intersections to indicate closures and other road conditions. 4 Relocate Storm Water Grate at Hwy 43 & Mapleton to a location out of the If the pipeline route disrupts this area, the storm drain grate will be properly Mapleton travel lane. replaced. Hwy 43 — Design and Improvement Sidewalk or buffered multi -use path on one side of Hwy43 through the entire 1 No project- caused impact that would require this off -site improvement business district, north to West Linn city limits. 2 Left turn lanes at Arbor Dr., north and southbound No project- caused impact that would require this off -site improvement 3 Pedestrian safety islands at Cedaroak and Arbor. No project- caused impact that would require this off -site improvement Hwy 43 — Construction 1 Maintain 2 -way traffic with cones wherever width of ROW allows. Minimize 1 -way Two way traffic will be provide whenever possible. Since ODOT is requiring traffic and flagging to 'as absolutely necessary', not the default. work at night, traffic should flow smoothly. 2 Maintain bike and pedestrian lane during construction for children going to school This will be a requirement of the City of West Linn 3 GNC representative and City of West Linn invited to all LOTWP / ODOT Meetings I The neighborhood will be able to review any ODOT approved plans that are related to LOTWP transmission pipeline planning and permitting. submitted. .4yeridG tr _ o � / (ciu,i c'/ ie .. (/ e7 Lf /l 7/ ;0 / - Et, eh /6!7Sar1 Pepe' Marty Wine From: Councilmail Councilmail Sent: Tuesday, April 03, 2012 4:13 PM To: Craig Dirksen; Marland Henderson; Marc Woodard; Nick Wilson; Liz Newton; Marty Wine; Joanne Bengtson Subject: FW: LOC F &T Committee - materials for tomorrow's meeting Attachments: permanent tax rate - population table.xls; Local option levy data - 2005 - current summary 4.3.xlsx; Reset at sale - F &T Committee.pptx From: Gretchen Buehner Sent: Tuesday, April 03, 2012 4:13:08 PM (UTC- 08:00) Pacific Time (US & Canada) To: Councilmail Councilmail Subject: FW: LOC F &T Committee - materials for tomorrow's meeting From: Chris Fick Sent: Tuesday, April 03, 2012 4:13:02 PM (UTC- 08:00) Pacific Time (US & Canada) To: Andy Smith; Angela Carey; Bessie Johnson; Bessie Johnson; Carol Samuels; Chris Fick; Craig Gibons; Dave Waffle; David Brandt; David Sawyer; Don Hudson; Gary Williams; Gary Williams; Gretchen Buehner; Josh Harwood; Larry Hill; Nancy Brewer; Nolan Young; Paul Warr -King; Paul Warr -King; Preston Polasek; Ronald Brean; Ronald Brean; Sandra Montoya; Scott Derickson; Sherilyn Lombos; Steffeni Mendoza Gray; Suzanne Dufner; Thomas Johnston; Thomas Johnston; William Currier; William Peterson, Jr. Cc: Jenni Shepherd Subject: LOC F &T Committee - materials for tomorrow's meeting Members of the F &T Committee — Attached are three documents for tomorrow's committee meeting. Paper copies of these documents will be available for those of you attending in person, but those of you participating by phone will want to have access to the following: - A table showing city populations and permanent tax rates; - A summary of city local option levies that have passed since 2005; and - A presentation on a "reset at sale" scenario. Here is a link to the League's 2008 City Services Survey, which provides information on the level of services various cities offer: http: / /www.orcities.org/ Portals/ 17 /A- Z /CitvServicesSurvev Lastly, the call -in information for those of you participating by phone is below: Conference Call Number: 1- 800 - 504 -8071 Participant Pin: 3609215# Thanks. !� Chris Fick, Intergovernmental Relations Associate r • r If r Cfick orcities ora 1 �9- � 14e1)-1 y/, 7/-2 ,,La oUhcr p �S tc hi t Aner� � � �rrdh 62 r / �, +' /2 „ ... ., f ,„ e Fiscal Challenges for O regon s � �ies Summary ti n� O regon s cities are home to 70 ` pe r cent of th state's population and 80 „L','.,,,,'.'44-- , p ercent of i l o b s Mun " governm ent s prov core s - ,,, incl pu "safety and infrastructure - that`citizens and businesse , - ; value an d that support economi grow t h£ ; .� x ,- roc 3.F, • h The pas two decades presented unprecedented challenges to cities a - abilities to _ pay,for these; services. Property tax Imutations, which were ., adopted during�the 1990s, abruptly reduced cities' main • source of revenue for,core services;such as pu bhe. safety In fact, some Oregon cities now , spend more i c e , nubile safety th the receive i ri property tax: Then; as long £3`h £1 1 � � v cities -were stil adjust t those limitations, Oreg entered a proed ` economic; downturn m tlielate;1990s` punctuated by two recessions: ` ,, 1 a Subpar g r h owth in personal income indirectly slowed pr operty tax receipt , w � � � , ": - . - t , .":; ,4- ,t. - 11 5 , ..„ / - ' To day, as= regon's econom slowly recovers cities find themselves on th � ' doorstep of challenges. Pension and health care � $ cost for.municipal workers are ex p ec ted to continue 4_,,s outpace the ;'k�_ grow of pr oper ty taxes and the economy as a whole. Personnel costs s have a s imp on mun fi nance because city ser ar r highly l intensive T trends are n unique to Oregon cities an . rt.,� - will be a c c h a llenge for mayors and city councils` across the � ; country But wi s . prop taxes locke i fixed annual rates, • o f gr owth;.accelerated growth in compensation will be especially d ifficult t o manage here r � r c ., � .ter r Limits on property taxes and rising compensation c ost s pose formidabl ,,, - challenges for cities' g e n eral funds, but those are not the only problems �_ Street funct.revenues have lagge beh g rowthin incomes and the '�r o verall e conomy, making' it difficult to mainta s transportation ,, ' _ system Cities have struggled to keep up with the`dem n a for cap ital ,---t, g r. ex p e nditures, and c costs are increasin at an above- average , , r ate. Or cities. do not have sufficient funds to replace a gi n g fa -� and inves in new infrastructure to acco mmodat e growth. u k These fiscal challenges are significant but not i In this report we, inves the roots of the current situation as a first step t 6 towar ientifying colla statewide solutions . s -,..-.',...44'.,-,, .a ' , t � w r ,te sr"�e s ,, ,-,-,- ' 1 \";,;'=*: , , 4 J 1 a i 3a' '#°`� _ 5 5',..,',1/44`.,-4.., 4 *4 ' � ZC 1 .i Y z ' . k vJ, pw�as�a 4 s : 5 k ' v 2 F sm r " - u t 1* ECONOMICS :A. S ECONorthwest Nx 2i ...,� , .+k + 9ArvsA� '. ? s t" ... .. ,..a a. e ta. , ;.,,. �N-..4..--' ' : hwest ECONOMICS • FINANCE • PLANNING r' tom" t" i"ax s .r +5 4.,:, i t �'F '' used for their prescribed purpose (i.e., they l %� i ,, ; ° , are not fungible). To keep track of which E � XpenaItures ° by Purpose vs revenues can be used for which purposes, . - p, cities establish multiple funds. Each fund 4fiFXpen by Object . r� operates like a separate bank account, with �' specified revenues accruing to each fund. � ��� sector expend can be �? m d in two ways: by the broad Though some cities may have dozens of P '�� ® � o th expend or the unique funds, they can generally be `-' ect of the expenditure. Police, fire, , organized into four main categories: an sportation, and parks are ex amples of expenditures by ➢ General Funds z ; ° t °,''' e ➢ Enterprise Funds _ ii r - ' ® ° ,�� 6 escr e w h a t t money is ➢ Capital Projects Funds i s' 1 ardless'of" u ose. P 1 1, t ira.. in u �"de personn , capital ➢ Special Revenue and Other Funds r � vials - a n a l ser ,, Cities' general funds are unique and perhaps ` ` 0 6 rt , W e focus on the most important of all city funds. Most " '' " s object'becatise all general fund revenues are not tied to specific w G � ' � r bas , - . ects'ut common expenditures and are critical for funding xU� P g i' - x b' y purpo eneral overnment o erations. In theo �� g g P '' P r .across citie ( e g., som general funds have a great deal of flexibility, .�, '� ' Pjk7 r = but in practice, most cities use nearly all 1 � � ents;and others do general fund revenues for public safety _ tp t services (police and fire). Other common ; .. ` N ; services supported in part by city general funds are libraries, planning, central services, through charges for services. Examples and administration. include water, wastewater, waste disposal, golf courses, and pools. With no sales or income tax revenues, city general funds in Oregon are funded Capital projects funds are for new primarily by property taxes, franchise fees, construction of public buildings and transient lodging taxes (also known as hotel- infrastructure. Capital fund revenues come motel or room taxes), some state - shared from intergovernmental sources (i.e., state revenues (e.g., cigarette tax and liquor tax and federal grants), systems development revenues), and some charges /fees for charges, and bond proceeds backed by services. Property taxes are the largest single general obligation bonds (i.e., property taxes). source of general fund revenues for Oregon cities. This heavy dependence on property In addition to the funds described above, taxes puts property taxes at the center of city cities may have several other funds that deal fiscal challenges in Oregon. with specific sources of revenues or categories of expenditures. City street funds, In contrast to the general fund, cities' other for example, are used exclusively to maintain funds all have various restrictions and transportation infrastructure. While a limitations on what their revenues can be significant source of revenue comes from the used for. Enterprise funds are used for allocation of State Highway Fund revenues, operations that are financed and operated in there is a substantial gap between the cost of a manner similar to a private business. The streets and what cities receive. intent is for ongoing costs to be financed ECONorthwest September 2011 Page 2 revenues are not directly linked to the at a particular disadvantage during periods general rate of inflation, putting Oregon cities of high inflation. Figure 1: Local government property taxes as a percent of personal income, Oregon, 1977 -2008 6.0% — 5.0% — — 4.0% -- 3.0% -- -- — .r,�•� 2.0% 1.0%- — -- — 0.0% 1 I I I I I I I I I II 1977 1982 1987 1992 1997 2002 2007 Local Property Tax Revenues Source: The Urban Institute- Brookings Institution Tax Policy Center. Data from U.S. Census Bureau Figure 2: Local government expenditures on police and fire as a percent of personal income, Oregon, 1977 -2008 1.2% — — -- 1.0% -- 0.8% 0.6% 0.4% 0.2% - — -- 0.0% r i i i 1977 1982 1987 1992 1997 2002 2007 — Local Expenditures on Police and Fire Source: The Urban Institute- Brookings Institution Tax Policy Center. Data from U.S. Census Bureau ECONorthwest September 2011 Page 4 grown rapidly, with costs increasing 56 The increases in the costs of benefits are _ _ _ percent since 2001 — twice as fast as driven by the combination of rising health inflation. And cities typically have little care costs across America and the growing direct control over the level of benefits for costs of retirement benefits for former public strike - prohibited employees (e.g., police and employees with defined- benefit retirement fire) because they are set by an arbitrator. The plans. From 1999 to 2009, national health care expanding costs of health insurance and costs per capita grew at an average annual pensions are responsible for most of the rate of 5.8 percent, roughly double the rate of growth in state and local employment costs. inflation. This rapid growth is actually slower Figure 3: Oregon employment by sector, 1992 -2007 1,800 v 1,200 c O L 0 600 0 1992 1997 2002 2007 • Private • Local Government ® Non -Local Government Source: Oregon Labor Market Information System, Covered Employment and Wages Summary Report, 2010 Figure 4: Cumulative percent change in state and local government wages and benefits compared to the Consumer Price Index, United States, 2001 -2010 60 % 40% - 20% 0% 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 —Wages --Benefits —CPI Source: Calculated by ECONorthwest with data from BLS, 2011. ECONorthwest September 2011 Page 6 Figure 5: Comparison of trends affecting cities in Oregon, 1995 -2025 1000 - 900 - 800 - —PERS Expenditures — Health Care Expenditures L 700 - 3 — Property Tax Revenues a 600 - — Personal Income U 500 - a, _ro 400 - 7 E 7 U 300 - 200 - 41110„,. 100 0 1 I 1 I 1 1 I 1 1 1 1 I 1 I 1 I 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1995 2000 2005 2010 2015 2020 2025 Year Source: Calculated by ECONorthwest with source data from BEA, OEA, DOR, and Mercer. Cities will also experience unequal property or accepting the higher benefit costs by tax growth. Cities able to capture new making service cuts in other areas. residents and employment growth will Oregon cities are not alone in struggling with experience more property tax growth, this situation; states and cities across the whereas cities unable to attract residents and country are facing the issue as well. In jobs will experience personnel costs that far response to an 11.7 percent growth forecast in exceed any growth in property tax revenue. health care costs this year, the State Public Over the past decade many cities have not Employee's Benefits Board is considering experienced annual 5.4 percent growth in cutting health care benefits for state property tax revenue. For example, average employees. Governor Kitzhaber summed up annual growth in assessed value since 2000 the situation, saying, "The cost of health care was 3.5 percent for the Portland, 3.2 percent is just eating everything else alive, and it's for Gresham, and 3.8 percent for Gladstone. not going to change." Public agencies have two options to affect the Oregon cities also have limited control over cost of health care benefits for their PERS policy changes; reforms need to occur employees: (1) enact policies to lower the cost at the state level. But cities remain on the of health care or (2) reduce employee benefits. hook to make the benefit payments to retirees Any successful policies to lower health care with guaranteed benefits. PERS has been costs need to be implemented at a broader reformed numerous times over the past level (some policies are possible at the state level but federal policies would be of greatest decades, but these reforms generally apply impact), and there is little cities can do in this only to new hires, as courts have protected arena. That leaves cities with the undesirable the promised benefits of current employees options of making cuts to employee benefits and retirees. This means that PERS reform efforts take many years to realize their full ECONorthwest September 2011 Page 8 traveled are tied to economic growth, and As with most government spending, capital average miles per gallon depend on expenditures are influenced by population consumer demand for fuel- efficient vehicles, and employment. As cities grow, adding federal mandates for fleet fuel efficiency more homes and businesses, they need more standards, fuel prices, and technological infrastructure: roads to support the flow of innovations that allow the auto industry to commerce, pipes to provide water and build more fuel- efficient vehicles. Rising fuel sewerage to homes, and fire and police prices and the public's increasing interest in stations to keep neighborhoods safe. City sustainability are likely to continue putting departments with increased workloads need downward pressure on gas tax revenues in additional office space, computers, and Oregon. vehicle fleets to support increased staffing levels. Capital expenditures are limited by Construction costs Capital investments tend to be dominated by large -scale construction projects, with costs Capital expenditures are for fixed assets and closely tied to the construction cost index. durable goods with a life expectancy greater Figure 7 shows the annual growth for 20 than one year, or ones intended to extend an years for construction costs (3.2 percent existing asset's useful life and /or improve its average) versus the CPI (2.6 percent average). efficiency, capacity, or usability. Oregon cities For most of the 1990s, construction costs spend more than $1 billion annually on grew at a similar pace to general inflation, capital projects, roughly 30 percent of total but since 2004, construction costs have grown city expenditures. Capital spending is the faster than the CPI. fastest growing category of expenditures for , Oregon s cities are not unique in this regard; Oregon cities, yet cities are still falling behind all governments across the nation have less because construction costs are outpacing buying power for capital projects. With inflation, and cities strapped for cash have limited revenues, governments have deferred major maintenance and put off costly capital projects. prioritized operating expenditures and deferred capital expenditures to later years. Figure 7: Construction costs versus inflation (CPI -U), United States, 1990 -2000 7% 5% ilkk A. 1% - 1 990 1995 2000 2005 2010 -1% — Construction Cost —CPI -U Source: Engineering News Record Construction Cost Index 2011, and US Department of Economic Analysis Consumer Price Index for all Urban Workers, 2011 ECONorthwest September 2011 Page 10 Conclusions state) policies regarding health care are necessary to change this trend. Likewise, Oregon's cities face critical challenges due to policy actions to control public employee revenue constraints and factors pushing benefit costs need to occur at the state or certain government expenditures rapidly federal level. Unless action is taken, higher. While the recent recession added expenditures on public employee benefits additional stress to city budgets, the will continue to squeeze other categories of underlying problems are systemic and long- government spending. term. The ability of cities to react to these Finally, capital expenditures are increasing in problems (making cuts to services, improving efficiencies, deferring capital projects, raising Oregon cities, but not quickly enough to keep up with demand. The gas tax, a major charges and fees) has hidden the magnitude component of local street funds, is providing of the situation. decreased revenues relative to overall Property tax revenues, a critical source of economic growth. And construction costs are cities' general funds, were reduced by outpacing inflation, forcing cities to delay statewide reforms in the 1990s. Without sales costly capital projects and defer maintenance or local income taxes to rely on, Oregon cities of buildings and infrastructure. Cities will are left with an unbalanced tax structure with need to increase their capital expenditures if a single broad -based tax and state - mandated they want to remain competitive in the global limits. Future property tax growth in Oregon economy, but funding sources have not been is anticipated to average 5.4 percent per year, able to keep up with increasing costs. with significant variation among cities The fiscal challenges faced by Oregon's cities depending on growth in population and employment. This rate is on pace with are significant but not insurmountable. Cities personal income growth but falls far short of keep finding ways to make ends meet, doing meeting rapidly increasing employee benefit better with the resources they have to costs. provide services to their citizens. But these ad hoc solutions can only go so far, and City revenues are also constrained by state statewide, systemic policy changes are law preemptions that limit the ability of cities necessary to ensure long -term fiscal health of to raise revenues. Intergovernmental funds Oregon's cities. Since all levels of government are insufficient to keep pace with population across the country are dealing with similar growth and inflation and are unlikely to issues, cities may find willing and eager increase in the near future. partners at the county, state, and federal level to help tackle these problems. As Health insurance premiums and pension policymakers search for the best solutions, costs are requiring more and more of city cities will continue to do their best to provide budgets. Health care costs have shown valuable services to the community and expansive growth for half a century, with no sustain the high quality of life that end in sight. Federal (and to a lesser extent, Oregonians deserve. ECONorthwest September 2011 Page 12 1 Fisher, R. C. (1997, March /April). "The Effects of State and Local Public Services on Economic Development." New England Economic Review, 53 -66. 2 Godin, K. (2003, May). "Don't Let the Economy Pass You By: Transportation Needs in the 21st Century." Transportation Research Circular, 12. Accessed at http: / /onlinepubs.trb.org /onlinepubs /circulars /ec050.pdf 3 League of Oregon Cities, Transportation Funding Gap 2010, fact sheet, 2011. 4 Note that throughout this report, local government refers to cities, counties, school districts, and other special districts. 5 The Urban Institute - Brookings Institution Tax Policy Center. Data from U.S. Census Bureau. 6 United States Bureau of Economic Analysis, September 2010. 7 The average annual growth in property tax revenue of 6.0 percent from 2002 to 2007 may be initially surprising (increases in assessed value are limited to 3 percent per year). The excess growth is due to taxes levied on new development and voter - approved increases in tax rates for local option levies and general obligation bonds. 8 These data are for all local governments, not just cities. Roughly 24 percent of property tax revenues go to cities. 9 These challenges were identified by the 2009 Oregon Task Force on Comprehensive Revenue Restructuring, commissioned to develop a blueprint for a state and local tax system that would provide stable revenue and support the state economy. 10 2009 Regular Session of the 75th Oregon Legislative Assembly (2009). "Budget Report and Measure Summary for HB 5027 - A," p.2. Retrieved from http:/ /www.leg.state.or.us /comm /Ifo /budget /agency_reports /OLCC.pdf 11 The United States Bureau of Labor Statistics compiles quarterly data on compensation for various industries, including state and local government. 12 The rapid growth in employment costs is based on national data for all levels of state and local government. It is likely that actual growth in employment costs differ for Oregon cities. However, Oregon cities are affected by the same general trends as government agencies across the country, and if state - specific data were available, it would likely tell the same story: Personnel costs are increasing more rapidly than inflation. 13 United States Department of Health & Human Services: Centers for Medicare & Medicaid Services, National Health Expenditure Data, 2010. 14 We used population and employment data to construct a simple model for forecasting property tax revenue in Oregon. We used a panel dataset of historical data on population, employment, assessed value (AV), and real market value for all Oregon counties, population forecasts from the Oregon Office of Demographic Analysis, and employment forecasts from the Oregon Workforce Department. Property taxes are not immune from economic cycles. During periods of economic growth, AV growth can exceed 6 percent per year, whereas during recessions, AV growth will be closer to 4 percent. Also, due to the process of appraising property and collecting taxes, there is a lag between when a recession occurs and when that recession negatively affects property tax revenues. Thus, our model may not fully capture the impact of the recent recession in the short term. However, the model paints a reasonable picture of what should be expected for long -term trends. Cities that do a better job of capturing population and employment growth— and the new development that comes with it —will experience more robust growth in AV than cities with less development. 15 "Health Care Benefit Cuts Look Likely For State Workers: National Health Care Reform Is Blamed For Some Increased Costs," The Register Guard, Feb. 17, 2011. Accessed at http:/ / www.registerguard.com /web / newslocalnews /25899999 -41 / health- board -ca re- benefit- changes.html. csp ECONorthwest September 2011 Page 14 . _ A rn € ik /kn 44 C, (r lino/ / n`sa,,/?f . gl�;4/ r rg 7 ....7. • 1?f /2 ' : : :: BUSINESS.I.OBITUARIES _ , . 4/ 1 4■ A 9 - - .>. .:- „- � . - Itzen. Residents, evenoneshe ' Property tax rates, by county ,, , � described asTeaPartysympa - . • y. ' .iR :. 4 } • • r $1,000 of, assessedvalue. ranked lowest to hi esr thizers and mo cons Rate pe s an the st er ” '� 58671 hy� 2 , ` vative.Republicans, have told • • J ose p h i ne . a , M'a1 a ,58 . they 2 `him II give the idea fair • Curry =.' 05994 in& IYi hY;.; :Zd8Z02 v - consideration Theylike:the • 887: ide o tou helping payfor . • Coos 10799 Um at[Ila services. Douglas 11124 Un[o n ; y � ; r28515r i �, �- Neighboring _Josephine 1 .. ....:, i Linn 12736 Gre t .,,;,:, % -..411 1q,, County, which has the state's • Deschute ' 1 2783 CiaCk4it"i i fr- t irai'; -a 666` lowest. property, tax rate at i • La 1. Mario 1 39252` ▪ 59 cents per $1,000 of .as • ` Columbia : 1,3956 Jefferson 62 . , essed value, will. ask voters . _ : o approve sour -year public Hood River: I 4171, Baker , Q4,• R • Tina 986 L e �u-5�1 . ` - �76i -3" slue wo d increase crate i lamook '` 14 a : • Clatso 1.5338 Gilliam F ' ii - 80 • • : • • , •• . p ` �,, . _ „�� x by' $1 99 per $1,000, still be • I16 ' 0 i C ro Y e c e state ll cu g 0percent e If itfails, • Klamath 1732'6 _ Morrow '';*-"':-*•':*".'"'-'''''' • t the state a ra �' 4 ti5 �L? ' 3 fro its sheriff's office, distract .• Jackson 2 0099 Wesca , ' - 2523 it. i male ,., 4 mey,: jail budg is uvenile justice and i. Benton 2:2052. M atto :' I •`, Washington = 22484' f arn e �. 4f59 Its � D in g to. be a world of • • -. a wn eter a Clackamas (city) 2 4042, _ r e s �A'"�`" �, •8 526 hurt," commissioner Don : 'Wallowa • s 253'66 `�5h at c{ '8•' 1 f... Reedy said. h i { x , Douglas` County isn't p • . Y amhi l l � - 2.5 � � � �,�� ' sr : 4. t sx' s , tt sum eithero tion,COm>nis : ` r nar ocr ederal } nest 5 r �fuptr SouF 2004 Dover Sk rove si Doug Robertson said. Servic �m ccuss very co g fr s t we nigh a • • • `Reedsport to:,Coos County • • • = Merged • counties wou • timber harvest .rather than to farther away II add their tax rates to pro- revenue in years p but I Roseburg. Lane, Dou as and y duce more revenue, or even nothing appears certain. Coos counties plight ly •••• joint tax property at an average of fund restaurant ectiont t Cut or taxP • • the two rates, lawyers said. In- "...But Robert son : said those ... stead, state lawrequires • uires anew • Oregon. is one of. a handful q • 4 are small fixes. The oludon, 1. -. I rate that produces the same of states witfiouta sales tax, ; • he said, 'lies in.the fe make { i amount of money previous voters turned it own nine •• • p Q P • •. • j • ests that e.0 . 6 ercent • :. - andYachats•tax fate's lan • .:... • . s prepared m ,-but a county g - .. : • 1. raised by a counties in � • pally. The coon ep cols � . e rate probablywould decrease, wide tax would be a first , jobs r dsevenue to Io pro'ia while the disappearingcoun- ' Curry commissioners say a a :.. ty's rate would increase. And ' 3. percent tax. on most goods em The .. he said r n ul $ "The way out of this to . •••• .•. meal wo w •o ob b a i >� ... .. • .. .:.:.. - o t dQ 3 t o ur } ase, andtlat " , i of merging. be no sera fici p , je there serious and s cover .... .....: : . .• • . >7�� n ' ed fox means •mama ®n '.our er talk ':' de ':':- .. eanwhile, Goy:. John • 2(1 4.4. "oc eri es, :prescn , S Kitzl aber has told counties- tions e ar and rea esta 11!•,...**. ` ▪ res he said " cant t . , ot ;:' ,change_ our..ge me gu y or t • • • , the tat his e. se sp its own money chases wiid be i�xempt �s � avhere w Th our so :. problems and cant help oar- wo jet.boaL f es,,. quirk - a Io os als m Congress .,thattrades.tore tioatrade. lotion- J P P >, f would extend federal timb er on the Rogue.Rivei , ,. :,.41,....r. ' , z ; •' ' ... : payments to the counties for We have a c` lanc e, said = E ncMortenson, 503- 294 -z . . . another year or i the . Commission (�rinan.David � erreorten nia • @d How to place an:,obitua ` ' ce Joy M Whitby ., `, a ;, Obituaries can be order or by contacting a Customer Care Auk 25 1943 Feb 2 8 , 20j2 Representative Complete details about obits are available at Biinal "atwillametieNatlonal • http:/ /biz.oregoniari.com keyword search "Obits": Ceme , FortlantL vlemarial •at m:, ° hard 1'Q� at • t e' ` Obits can be urch ed b :the columra-inch a can'incl[ide ho to "s: � P' ��. . ::: ', Obi s ca p .. as , X _ P , , , t and/or emblems. All'nclude'.the very L ea .corn o nline Bil l e Church 2Q>3�liiW • and / J N 9 cY guest book. Purchasers can specify publication dates for obits mellRordanii foyc ; r su Eo rvived,{ d:.P ty two 's s eas, sorr, # ; • The •first.two inches, approximately 45 words, will incur a $ 50 00 Jbh, four:daughters, Sf ieni, minimum charge and requires. prepayment. Families have•control , Tammy, and 06i two . ovef the content as long as it is.appropriateand in goodii The :, a dopted gtandchildr, At* Me Oregonian reserves the spelling nght.to edit for grammar, punctuation and and Michael, andhii . r 3 0 = ; �, Yea>� Rijn. 4 .. .. .... T — — —__. -- _lei.. —_. . • ..•r• . .. .. — r - ... •.: r..'_.�+r._ - _+v'.- . : �1 4 � LZ `t Scenario Reset at Sae LOC Finance and Taxation Policy Committee S April 4, 2012 Current System Established nei.hborhood 2008 2045 RMV in 2008: $316,630 AV in 2008: $216,090 AV in 2045: $645,078 Property Tax Liability: $4,577 Property Tax Liability: $13,604 9931 SW 61St Ave. Gentri in neighborhood RMV in 2008: $313,530 AV in 2008: $47,410 AV in 2045: $141,530 Property Tax Liability: $1,007 Property Tax Liability: $3,006 PIN tot t4i4 ;- Difference in property taxes 5117 NE 16th Ave. 2008: $3,570 2045: $10,598 Axis Title tn in N N N N Q A Ol 9° O N J=. m i/• O O O O o O O O 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2 2024 -' 2025 CD 2026 2027 V1 2028 2029 C Di 2030 2031 2032 = 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 l i 2045 1 N cu CT `� N 7 (7 aq Q Reset at Sale Scenario — 3.1% annual growth Assumptions: •AII homes have 2015 RMV of $300,000 and values grow at an annual rate of 3.1% •Total property tax rate equals $14 per $1,000 of AV 5 a 1e at 00- ge se K re 40 Year sold: 2014 Year sold: 2015 Year sold: 2022 Sale price: $300,000 (AV $240,000) Sale price: $300,000 Sale price: $371,477 Years spent in home: 31 Years spent in home: 30 Years spent in home: 23 Property tax liability in 2045: $4,227 Property tax liability in 2045: $10,195 Property tax liability in 2045: $10,263 t iitAt a '1'43 C - ; Year sold: 2030 Year sold: 2037 Year sold: 2045 Sale price: $459,984 Sale price: $569.578 Sale price: $749,689 Years spent in home: 15 Years spent in home: 8 Years spent in home: 0 Property tax liability in 2045: $10,334 Property tax liability in 2045: $10,404 Property tax liability in 2045: $10,496 Assuming 3.1% annual RMV growth $12,000 $10,000 $8,000 - 2014 pre -reset —2015 $6,000 — ---- --2022 ai o —2029 - 2037 $4,000 - -2045 $2,000 ti) ti t , ,ti's 1,3 , , , , , ( ,)'\ 3? � t?' ph Scenario -4 %annual growth Reset at Sale Assumptions: •All homes have 2015 RMV of $300,000 and values grow at an annual rate of 4% •Total property tax rate equals $14 per $1,000 of AV le `' Year sold: 2014 Year sold: 2015 Year sold: 2022 Sale price: $300,000 (AV $240,000) Sale price: $300,000 Sale price: $376,161 Years spent in home: 31 Years spent in home: 30 Years spent in home: 23 Property tax liability in 2045: $4,227 Property tax liability in 2045: $10,195 Property tax liability in 2045: $10,393 ill .,,,,....„., . ,. _ . ., is Year sold: 2030 Year sold: 2037 Year sold: 2045 Sale price: $495,003 Sale price: $651,390 Sale price: $936,045 Years spent in home: 15 Years spent in home: 8 Years spent in home: 0 Property tax liability in 2045: $11,121 Property tax liability in 2045: $11,889 Property tax liability in 2045: $13,105 Property Taxes N A O Oo O in O O O O O 0 O O O O O 2015 2016 2017 2018 2019 2020 2021 2022 2023 t 2024 2025 2026 2027 Gq 2028 2029 0a LIJ 2030 2031 2032 2033 2034 2035 2036 OQ 2037 0 2038 r 2039 3- 2040 2041 2042 2043 2044 2045 II 111 I N N N N N N O O O O O O V A i V 1 .0 la �-r at Sale Scenario — 5% annual Reset growth Assumptions: •All homes have 2015 RMV of $300,000 and values grow at an annual rate of 5% •Total property tax rate equals $14 per $1,000 of AV ,, T5 `la Ie ir x� t qt.. at � • e'''.40 - ''''' ' Ilri Lk 1 V.A 14 Iti s c .4 ; 41 i. Year sold: 2014 Year sold: 2015 Year sold: 2022 Sale price: $300,000 (AV $240,000) Sale price: $300,000 Sale price: $422,130 Years spent in home: 31 Years spent in home: 30 Years spent in home: 23 Property tax liability in 2045: $4,227 Property tax liability in 2045: $10,195 Property tax liability in 2045: $11,664 I n � . ,g i � II . i s ".^ W, , , mot Year sold: 2030 Year sold: 2037 Year sold: 2045 Sale price: $593,979 Sale price: $835,789 Sale price: $1,296,582 Years spent in home: 15 Years spent in home: 8 Years spent in home: 0 Property tax liability in 2045: $13,344 Property tax liability in 2045: $15,267 Property tax liability in 2045: $18,152 Assuming 5% annual RMV growth $20,000 $18,000 $16,000 $14,000 $12,000 2014 pre -reset —2015 $10,000 — 2022 c --2029 a $8,000 - - -2037 2045 $6,000 $4,000 $2,000 $- e o tiA 0 oti� 6 ooh 6),A ,1,0) O" o''� o"� bA o o o� o ti ti ti ti ti ti ti ti 1 ti ti ti ti ti ti ti Estimated Additional Annual City Revenues from Current Residential Property Only After one year: Average Turnover 2 - '11 yrs. 9 yrs. 7 yrs. ..c 3.1% $28 million $34 million $44 million CD +-' . ' _ C 0 3.5% $28 million $35 million $45 million c wo aA 4% $29 million $35 million $45 million Q 5% $30 million $36 million $46 million After twenty years Average Turnover 2 11 yrs. 9 yrs. 7 yrs. cc 3.1% $54 million $66 million $84 million C 0 3.5% $66 million $81 million $104 million c 03 40 , az A 4% $83 million $102 million $131 million Q 5% $123 million $150 million $192 million 49eliz4 liem i4kV 9/i7/., e / :).-. , ,_ -e C 4/mG% 19ie.Sic 4t4 7 L 24'e %ii e r-.r 2/a /5 A /C ep,0 r 71—P Year Local Government Tax Measure Election Results Name Type Service - Report Service - Detail Yes No 2005 St. Paul Levy General Operations Operations 74 39 2006 Canby Levy Pool Pool 3,492 2,040 2006 Happy Valley Levy Police Police 2,538 1,238 2006 Eugene Levy Library Library 31,842 29,247 2006 Springfield Levy Public Safety Fire & Life Safety 9,833 7,040 2006 Springfield Levy Public Safety Police & Jail 8,542 8,377 2006 Albany Levy Emergency Services Ambulance, Fire, Police 10,261 5,721 2006 Lyons Levy Law Enforcement Law Enforcement 245 217 2006 Sweet Home Levy Library Library 1,440 906 2006 Sweet Home Levy Police Police 1,389 1,035 2006 Banks Levy Law Enforcement Law Enforcement 312 201 2006 Hillsboro Levy Multiple Services Police, Fire, Parks Maintenan 12,899 10,024 2006 Dayton Levy Law Enforcement Law Enforcement 331 315 2007 Wheeler Levy Fire Fire 92 32 2007 Ashland Levy Library Library 5,329 1,820 2007 Seaside Levy Fire Fire 1,152 625 2007 Warrenton Levy Library Library 913 602 2007 Forest Grove Levy Multiple Services Public Safety & Community S 3,422 2,027 2008 Stayton Levy Multiple Services Library and Pool 1137 1012 2008 Bay City Levy Fire Fire 264 188 2008 Gladstone Levy Police Police 2889 2480 2008 Gladstone Levy Fire and Medical Services 3260 2101 2008 Ashland Levy Library Library 7357 4379 2008 St. Paul Levy General Operations City operations 107 84 2008 Portland Levy Children's Services 203616 77384 2008 Milton - Freewater Levy Transportation Public Transportation 861 692 2009 Gearhart Levy Fire Fire Truck Replacement 317 126 2009 Warrenton Levy Police Police 641 436 2009 Port Orford Levy Police Police 266 169 2009 Grants Pass Levy Public Safety Police & Fire 5403 2699 2009 King City Levy Police Police 685 465 2010 Dayton Levy Police Police 241 238 1. 2010 Sweet Home Levy Public Safety Police & Fire 1029 668 2010 Sweet Home Levy Library Library 948 743 2010 Happy Valley Levy Police Police 3384 1466 2010 Grants Pass Levy Public Safety Police & Fire 7210 3846 2010 Springfield Levy Public Safety Fire & Life Safety 12088 5065 2010 Lexington Levy Fire Fire 91 19 2011 Bandon Levy Streets /Pedestrian Facil Streets 644 190 2011 Corvallis Levy General Operations Library, Aquatic Center, Senic 8684 4603 2011 Banks Levy Law Enforcement Law Enforcement 166 144 2011 Canby Levy Pool Pool 2054 1538 2011 Columbia City Levy Police Police 403 385 2011 St. Paul Levy General Operations Operations 48 38 Total number of cities passing local option levies since 2005: 31 Types of Levies: Police /Law Enforcement 18 Cities passing the same levy more than once: Fire 13 St. Paul General operations 2005, 2008, 2011 Library 8 Happy Valley Police 2006, 2010 Pool 4 Springfield Fire &Life Safety 2006, 2010 Operations 3 Sweet Home Public Safety 2006, 2010 Streets 1 Sweet Home Library 2006, 2010 Dayton Police 2006, 2010 Local operating levy success rate: Ashland Library 2007, 2008 Cities 44% Grants Pass Public Safety 2009, 2010 Passed 44 Banks Law Enforcement 2006, 2011 Failed 56 Canby Pool 2006, 2011 Counties 45% Passed 23 Failed 28 Cities passing more than one separate levy: School District 43% Springfield Fire & Life Safety (2x); and Police 2006,2010; 2006 Passed 23 Warrenton Library; Police 2007; 2009 Failed 31 Gladstone Police; Fire and Medical 2008; 2008 Special District 63% Passed 113 Failed 67 1/... 9 /3i/0Lt h e rr - / / mil -Sever e/ v ,-74 �7 ‘ -l�'I Cl / ✓�S'i7t Permanent 2010 City Tax Rate Population Special Districts More than 50,000 Full Service Police Fire Water Parks Others Notes: Portland 4.58 _ 583,775 x Eugene 7.01 156,295 x? x Provides local library Salem 5.83 155,100 x Gresham 3.61 105,595 x . Hillsboro 3.67 91,970 x Beaverton 3.97 89,925 x Bend _ 2.80 76,740 x Medford 5.30 74,980 x Springfield 4.74 59,425 x x? Provides local library Corvallis 5.11 54,460 x Partners with county for library services Albany 6.40 50,325 x Average a 4.82 , 49,999- 20,000 Tigard 2.51 48,090 x Lake Oswego* 4.59 36,620 x Keizer 2.08 36,570 x Grants Pass _ 34,555 x I McMinnville 5.02 32,240 x Provides local library Oregon City 4.16 31,995 x Provides local library Redmond 6.16 26,225 x Tualatin 2.27 26,060 x x x West Linn 2.12 25,150 x Provides local library Woodburn 6.05 24,085 x Newberg 4.38 22,110 Roseburg* 4.24 21,660 Forest Grove 3.96 21,130 x Klamath Falls* 0.80 20,925 x Milwaukie 4.07 20,290 Ashland _ 4.21 20,095 _ Subsidizes county library services A 3.80 19,999- 10,000 Wilsonville 2.52 19,525 . Sherwood 3.30 18,205 Central Point 4.47 17,185 . Hermiston 6.09 16,795 Pendleton 6.58 16,605 Troutdale 3.77 15,980 Coos Bay 6.36 15,970 . Canby 3.49 15,830 Lebanon 5.14 15,525 Dallas 4.20 14,590 Happy Valley 0.67 14,100 The Dalles 3.02 13,630 La Grande 7.44 13,095 St. Helens 1.91 12,905 Cornelius 3.98 11,875 Gladstone 4.82 11,495 Ontario 4.83 11,365 Damascus 3.30 10,540 Newport 5.59 10,030 Average 4.29 9,999 -5,000 Baker City 6.33 9,830 Cottage Grove 7.21 9,705 North Bend 6.18 9,695 Sandy 4.12 9,655 Monmouth 3.61 9,545 Astoria 8.17 9,475 Prineville 3.02 9,260 Silverton 3.67 9,230 Sweet Home 1.42 8,945 Fairview 3.49 8,920 Independence 4.59 8,600 Eagle Point 2.46 8,470 Florence 2.86 8,465 Molalla 5.31 8,110 Lincoln City 4.10 7,935 Sutherlin 5.63 _ 7,840 Stayton 3.33 7,645 Hood River 2.81 7,180 Milton - Freewater 3.75 7,045 Umatilla 2.92 6,905 Scappoose 3.23 6,630 Seaside 3.17 6,460 Brookings 3.76 6,350 Sheridan 2.13 6,125 Talent 3.23 6,070 Madras* 4.13 6,050 Junction City 6.04 5,430 Winston 4.27 5,385 Creswell 2.67 5,030 Warrenton 1.67 5,000 Average 3.98 4,999 -1,000 Tillamook 1.80 4,920 Philomath 5.30 4,590 Veneta 5.64 4,565 Phoenix 3.65 4,540 Reedsport 6.19 4,150 Wood Village 3.13 3,875 Coquille 6.10 3,865 Lafayette 3.49 3,740 Aumsville 3.63 3,605 Harrisburg 3.19 3,565 Toledo 5.18 3,470 Myrtle Creek 6.51 3,440 Mt. Angel 4.19 3,285 Nyssa 6.51 3,265 Boardman 4.21 3,220 Oakridge 7.20 3,205 Hubbard 3.98 3,175 Dundee 2.31 3,170 Jefferson 2.16 3,115 King City 1.53 3,115 Bandon 0.46 3,075 Shady Cove 0.55 2,905 Burns 4.64 2,805 Jacksonville 1.84 2,785 Estacada 2.67 2,730 Sublimity 0.71 2,680 Dayton 1.71 2,535 Myrtle Point 8.00 2,515 Gervais 8.09 2,510 Lakeview 6.54 2,295 Gold Beach 2.34 2,255 Vernonia 5.82 2,155 Rogue River 3.15 2,135 Union 1.58 2,130 Stanfield 2.59 2,045 Sisters 2.64 2,040 Waldport 2.33 2,035 Willamina 4.20 2,025 Cascade Locks 2.71 2,015 North Plains 2.17 1,970 Columbia City 1.13 1,945 Enterprise 5.01 1,940 Rainier 5.20 1,895 Canyonville 3.23 1,885 Carlton 4.66 1,885 Vale 7.68 1,875 Mill City 4.16 1,855 Turner 3.51 1,855 Irrigon 3.68 1,825 Banks 1.97 1,775 John Day 2.99 1,750 Clatskanie 6.21 1,735 Elgin 6.94 1,710 Cannon Beach 0.70 1,695 Lakeside 0.00 1,695 Brownsville 6.96 1,670 La Pine 1.80 1,660 Amity 3.61 1,615 Hines 4.29 1,565 Pilot Rock 2.90 1,505 Gearhart 1.01 1,465 Depoe Bay 0.00 1,400 Culver 6.26 1,365 Durham 0.49 1,355 Millersburg 1.70 1,345 Rockaway Beach 0.99 1,315 Bay City 1.54 1,290 Heppner 10.62 1,290 Gold Hill 1.68 1,220 Siletz 0.24 1,210 Riddle 6.49 1,185 Tangent 0.00 1,165 Lyons 1.89 1,160 Drain 1.52 1,155 Cave Junction 1.90 1,145 Port Orford 2.27 1,135 Athena 7.57 1,125 Joseph 2.99 1,085 Yoncalla 1.46 1,050 Lowell 2.16 1,045 Coburg 3.75 1,040 Yamhill 3.74 1,020 Island City 1.52 1,000 Average 3.48 Less than 999 Donald 0.88 980 Falls City 2.92 945 Oakland 6.41 925 Aurora 2.48 920 Halsey 5.60 910 Prairie City 4.08 910 Glendale 4.71 875 Merrill 3.12 845 Adair Village 2.59 840 Scio 4.91 840 Wallowa 3.76 810 Malin 5.06 805 Garibaldi 2.85 780 Maywood Park 1.51 750 Chiloquin 5.28 735 Metolius 3.63 710 Canyon City 4.00 705 Echo 4.23 700 Powers 7.39 690 Yachats 0.17 690 Condon 7.28 685 Weston 5.66 670 Gaston 6.61 635 Monroe 3.56 615 Dufur 2.04 605 Manzanita 0.42 600 Arlington 7.12 585 Cove 0.40 550 Mt. Vernon 2.53 525 Fossil 4.85 475 Gates 0.28 475 Huntington 9.60 440 North Powder 4.31 440 Mosier 1.41 435 Butte Falls 7.25 425 Maupin 5.36 420 St. Paul 0.62 420 Bonanza 1.77 415 Haines 1.76 415 Wheeler 2.22 415 Wasco 3.03 410 Scotts Mills 0.43 355 Adams 4.12 350 lone 4.43 330 Moro 5.52 325 Sodaville 0.46 310 lmbler 0.37 305 Halfway 1.04 290 Rivergrove 0.00 290 Nehalem 1.47 270 Westfir 9.30 255 Rufus 2.84 250 Paisley 1.57 245 Lexington 0.73 240 . Waterloo 0.00 230 Lostine 0.35 215 Detroit 1.15 205 Sumpter 0.80 205 Seneca _ 6.00 200 Elkton 2.33 195 Long Creek 2.28 195 Helix 6.80 185 Ukiah 2.68 185 Jordan Valley 1.17 180 Adrian 0.00 175 Grass Valley 3.14 165 Spray 6.09 160 Richland 1.16 155 Dayville 1.16 150 Barlow 0.59 135 Idanha 2.50 135 Summerville 0.40 135 Mitchell 2.54 130 Monument 2.71 130 Prescott 0.31 55 Antelope 1.69 45 Shaniko 0.00 35 Average 3.01