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~ REtE11~~D <br />l~larion County ~EB 19 1998 <br />O R E G O N MARION WORK CENTER ECTIONS <br />OFFICE OF LEGAL COUNSEL <br />February 18, 1998 <br />LEGAL COUNSEL <br />Michaei ). Hansen MEIVIORANDUM <br />BOARD OF <br />COMMISSIONERS <br />Randall Franke ~ <br />Gary Heer TO: Craig Luedeman, Director <br />Mary 8. Pearmine Community Development <br />ASSISTANT LEGAI ' <br />BO eNT. Armstro~g FROM: Mike Hansen ~,~~J <br />Timothy T.A. Jensen Marion County Legal Counsel i~ <br />Gbria M. Roy <br />Jane Ellen Stonecipher <br />RE: Use of Lottery Funds for Courthouse Square Project <br />You have asked whether or not Marion County must repay lottery funds <br />cominitted to development of the Courthouse Square Project if the County does not <br />proceed with construction. <br />~ The answer is: no. There are no constitutional provisions, statutes, or <br />administrative regulations which require repayment of the funds. Furthermore, even <br />- if the County does not proceed with the Courdiouse Square Project, the Senator Block <br />can be put to other uses which would qualify for a grant from lottery revenue. <br />Article XV, Section 4(d) provides that lottery revenues aze to be spent for <br />activities creating jobs, furthering economic development or financing public <br />education. Marion County is one of the agencies required to report to the Joint <br />Legislative Committee on Trade and Economic Development on the economic <br />consequences of expenditures of lottery proceeds. ORS 171.845. The County <br />receives a portion of the net video lottery receipts from the State Lottery funds for <br />economic development activities. ORS 461.547. <br />There are no detailed guidelines in the constitution, Oregon Revised Statutes, <br />or Administrative Rules which advise the County on how it should expend monies <br />for economic development activities. There are no provisions for repayment of funds <br />expended. <br />However, it is clear that lottery procceds to fund activities in conjunction with <br />the Courthouse Square Project are reasonable and consistent with the expectations of <br />the state. The Courthouse Square Project is a joint economic development project of <br />~ <br />530 Center Street NE, Suite 312 • Salem, Oregon 97301-3670 •(503) 588-5220 • Fax (503) 373-4367 <br />