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Gas Tax Sunset
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Gas Tax Sunset
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Last modified
5/11/2010 9:58:12 AM
Creation date
10/10/2008 1:13:19 PM
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PW_Exec
PW_Division_Exec
Administration
PWA_Project_Area
Road Repair
PW_Subject
Gas Tax Sunset
Document_Date
1/28/2008
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that the State had decided to require that ethanol be combined with gasoline and this would result in a 30 <br />~ percent reduction of emissions. He said this was good for the State. He believed that the State would <br />choose to pursue a statewide remedy for transportation funding for the same reason. He underscored his <br />belief that a local gas tax only hurt local dealers. <br />Aaron Johnson, 2672 Canterbury Street, remarked that the City Council had an important decision <br />before it: to vote with the electors or to vote against them with "blatant disregard to those who" elected <br />them to office. He said it was up to the council to stand up and vote on behalf the people of the City. He <br />averred that the people needed the council's help to stop the "unfair tax burden." He acknowledged that <br />the roads were in a state of disrepair and that the 2 cent gas tax might sound like a good idea. He <br />believed, however, that it would cause problems "on further issues." He felt that a statewid~ fee would <br />cause all Oregonians to shoulder the burden equally. He thought a local tax would continue to hurt the <br />tax base. He questioned how the City could hope to repair the "decaying downtown" if people stopped <br />coming to Eugene for the goods and services available there. He believed continuing "down this road" <br />would hurt the people of Eugene. He predicted the coming recession would add to the strain. He related <br />that he had 24 employees when the tax began and he now had 16. He added that several of the former <br />employees were now on government assistance while they pursued other employment. He asserted that <br />the City was forcing small station owners to sign long contracts with "big oil," thus removing competition <br />and causing prices to rise unchecked. He commented that one owner had closed his stations and "walked <br />away." <br />Howard Bonnett, 1835 East 28`i' Avenue, suggested an alternative political strategy: extend the tax for <br />three more years in order to see if the State. would pursue another mode of funding. He said in the mean <br />time the gas tax would provide another $3 million more for the roads that need work. He invited anyone <br />who drove elsewhere to buy cheaper gasoline to consider how much the drive to purchase it costs. <br />~ Mayor Piercy closed the public hearing and operied the floor for councilor comments. <br />Councilor Ortiz commented that she did not look at the City of Eugene selling less gasoline as necessarily <br />a bad thing. She would surnuse that people were living within their footprint. She felt that spending <br />money locally in one's own community was a good thing. She had supported the gas tax in the past <br />because she heard the frustration of staff regarding not being able to address deteriorating roads and she <br />heard feedback from constituents regarding the roads. <br />Councilor Pryor thought the vote in November was something the council should pay attention to. He <br />was uncertain as to how he would vote on it at this point. He recalled that he had debated the last gas tax <br />with Mr. Romain and he believed Mr. Romain was sincere when he said he would work to pass a <br />statewide gas tax. He indicated his willingness to work with Mr. Romain and others on such a tax. He <br />had some concern that continuing the 2 cent tax would result in a situation where the council could find it <br />voted down as the proposed tax on the November ballot had been voted. He also found it difficult to walk <br />away from $1.4 million, which he believed was desperately needed. He wanted to have community <br />support for the larger elements of the transportation package the committee had worked on. He was <br />concerned that the gas tax could negatively impact a bond measure. He agreed that street repairs should <br />not be a"sidebar issue" when talking about the budget. <br />Councilor Bettman thanked everyone who testified. She said she did not "read" the election as the voters <br />rescinding the existing gas tax. She acknowledged that some would disagree with an action to extend the <br />gas tax and that those people would have a right to place it on the ballot. She appreciated hearing that <br />people were willing to "step up to the plate" to help at the state level "if [the council] did what they <br />~ wanted." She commented that the bond would not provide enough money to fund the backlog of street <br />repairs. She asked if it would be possible to modify the ordinance so that the sunset date could be <br />City Council Agenda page 177 <br />
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