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• Transportation System Maintenance Fee (TSMF) - This funding option was recommended by the <br /> Citizen's Subcommittee on Transportation System Funding and was implemented by council <br /> ordinance but later repealed. The concept behind this fee is that the city's transportation infrastructure <br /> is a utility system, not unlike the stormwater utility system, which delivers transportation service to all <br /> users of developed real property throughout the city. Under this concept, a monthly fee is charged to <br /> each user to recover their attributed share of the overall system cost, including operations and <br /> maintenance activities. While council originally enacted the Eugene fee as a dedicated funding source <br /> for the Pavement Preservation Program, a portion of the revenue generated from a TSMF could be <br /> directed by policy to fund street O &M activities as well as pavement preservation efforts at the level <br /> so directed by council. (What attachments or additional information do we want to include with <br /> regard to this mechanism? Staff memo dated October 18, 2004? The old ordinance? An updated <br /> alternative revenue analysis on the Eugene TSMF ?) <br /> RELATED COUNCIL GOALS AND POLICIES <br /> The council's Vision and Goals Statement with respect to Fair, Stable and Adequate Financial Resources <br /> reaffirms commitment to "a local government whose ongoing financial resources are based on a fair and <br /> equitable system of taxation and other revenue sources and are adequate to maintain and deliver <br /> municipal services." In previous years, council has identified specific work plan items to "identify and <br /> implement funding sources (including possible reallocation of existing sources) for operation, <br /> maintenance and preservation of the transportation system." <br /> Additionally, the City's Financial Management Goals and Policy, A.4, states that the City's municipal <br /> service priority Level 2 (second only to the preservation of the public safety system) is to "maintain and <br /> replace the City's fixed assets, which includes... infrastructure... so as to optimize their life." <br /> COUNCIL OPTIONS <br /> The strategies contemplated here are intended to help achieve greater long -term financial stability for the <br /> operations, maintenance and preservation of the city's transportation service system. <br /> Option 1: Council could take no action at this time with regard to providing additional funding for the <br /> operations, maintenance and preservation of city streets, which would result in service <br /> reductions of approximately $2 million to be phased in during the FY07 and FY08 fiscal years. <br /> Option 2: Council could direct the city manager to include in the FY07 Proposed Budget a shift in <br /> funding for the Street Trees Program (approximately $1,370,000) from the Road Fund to the <br /> General Fund and the Stormwater Fund on a 50 %/50% funding basis. <br /> Option 3: Council could direct the city manager to bring back a proposal for the implementation of a <br /> city -wide Street Lighting Fee to fund the operation, maintenance and enhancement of the <br /> City's street lighting system along arterial, collector and neighborhood streets. <br /> Option 4: Council could direct the city manager to bring back a proposal for reestablishing the <br /> previously - repealed Transportation System Maintenance Fee to address not only the projected <br /> ongoing operating deficit in Road Fund street operations and maintenance, but also to generate <br /> additional revenue to address the remaining annual funding gap in the Pavement Preservation <br /> Program. <br /> 5 <br />