Deciding downtown's fate.

Byline: The Register-Guard

Downtown Eugene is a complicated place - a failure in some respects and a success in others, and not everyone agrees on which is which. It's predictable that a large-scale plan for downtown redevelopment would be greeted with sharply differing views. As the campaigns for and against a November ballot measure to finance the plan begin, Eugene voters will be asked to judge contrasting claims about the measure's effects. Amid the confusion, it will help to bear a few facts in mind.

Measure 20-134 would allow the city of Eugene to spend up to $40 million on downtown redevelopment over the next quarter century. The money would come from property taxes on the increased value of development inside the city's downtown redevelopment district. The funds would pay for public improvements that would support private redevelopment projects along two blocks of West Broadway between Willamette and Charnelton streets.

Proponents claim large-scale investment will not occur downtown without priming the pump in the way Measure 20-134 would allow. They argue that only an ambitious plan can succeed in creating the critical mass of housing, retail and commercial space that would restore vitality to the city's core.

Opponents describe the city-funded projects as subsidies. They predict a big redevelopment plan would leave Eugene with a soulless strip of chain stores in its center.

Who's right? Weighing the claims and counterclaims will require clarity and perspective on a number of points.

First is the nature of subsidies. In a sense, someone is subsidized every time a public dollar is spent. Big box stores could not attract customers to the edge of town unless the public had paid for the construction of streets and utility systems to serve them - a subsidy for a particular type of development. Similarly, businesses can't afford to locate downtown without transportation, parking and other publicly provided infrastructure. Eugene's retail and housing needs will be met - either downtown with the means provided by Measure 20-134, or elsewhere by default.

A second point relates to the source of the $40 million in public redevelopment funds. Neither Eugene nor any other taxing district will have an extra $40 million to spend if Measure 20-134 is defeated. The $40 million is meant to be collected in property taxes flowing from increased property values downtown. The idea is somewhat like borrowing money to buy stock and repaying the loan with the dividends - dividends that would never appear without the initial investment.

A third point has to do with the nature of private investment. The developers who propose to build a commercial and residential complex on West Broadway wouldn't waste their time and money unless they had confidence that the project would succeed. By their standard, a successful project is one that turns a profit. That standard apparently can't be met without some level of public investment - see point one. But public investment alone, ranging from the construction of a new library to the reopening of downtown streets, has not kick-started development on West Broadway. The missing ingredient has been private investment. Now, private partners are ready to begin, and are awaiting a commitment from the public.

A final point is that no one can predict exactly what will take shape on West Broadway if Measure 20-134 is approved. Anyone can, however, get a good idea of what the street will look like if the measure fails. Just go there and see.