Eugene City leaders may hold off on deciding whether to approve a new fee meant to support emergency services until after the new year.
The fee is based on the square footage of structures and would cost the average homeowner $10 a month and the average business $38 a month. Anyone who has a stormwater account would pay the fee, which EWEB would collect on the city’s behalf.
After hearing testimony on Monday from several community members who raised concerns about the fee, some city council members said during a meeting Wednesday that they needed more time and information to decide.
Councilor Mike Clark said rushing to add a new fee could impact the other taxes the city relies on.
“We risk losing community trust when we do it, and I think the consequences could be a failure of the public safety levy,” Clark said.
City leaders estimate the fee will bring in roughly $10 million. Of that, $2 million would go to hiring additional firefighters. The tax will go into a dedicated fire fund - freeing up resources in the general fund to help close the shortfall.
Clark said he feared the community may see the fee as a bait and switch and may be frustrated when they realize how the funds are spent.
Councilor Alan Zelenka said if the city doesn’t do something, every city department, including fire, will likely see a reduction in funding.
“We’re not saying this is for increases in services,” Zelenka said. “This is to keep us from making big cuts. It's just a different way of doing it.”
Eugene gets a significant share of its funding from property taxes – which can only increase 3% a year in Oregon. Over the past several budget cycles, inflation, as well as unexpected or larger than anticipated costs, have outpaced property tax growth.
Eugene Library Foundation Executive Director Dana Fleming told KLCC that if Eugene doesn’t bring in more money she fears the library may end up bearing the brunt of cuts again.
She said over the last several budget cycles, the library has lost more than a dozen positions, as well as funding for new materials and programs.
“I hope people think of city revenue streams and funding as holistic, when you support one group, it helps enhance services for another,” she said.
Others, such as Tiffany Edwards, Vice President of Policy and Community Development at the Eugene Chamber of Commerce, testified on Monday that they had concerns about transparency.
“Addressing general fund shortfalls by introducing a new separate fee for what should already be a budgetary priority sets a concerning precedent,” she said. “It creates the illusion of solving the problem without addressing the structural issues within our current funding system.”
That concern was shared by several community members, who said they didn’t understand how the city came up with the fee structure or what it would actually pay for.
Eugene Fire Union President Kris Siewert also shared concerns about the proposal in testimony Monday, saying a few extra firefighters likely won’t significantly improve response times. He said the fee also likely won’t make a difference in the other issues the fire department is facing.
“This fire fee could be the beginning of a stronger, better fire department,” Siewert said. “But I would be remiss if I didn't take this opportunity to express our deep concerns about the future. Right now we're struggling to retain employees and haven't advanced staffing levels since the 80s. We're tired, we're burnt out and we need help.”
Eugene City Council is scheduled to get a presentation about the city’s finances and potential cuts on Dec. 11. City Council could make a decision then - or wait until after the holidays.
