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<br />~ RECEII~~D <br />1~larion Count~ ~EB 1 9 1998 <br />O R E G O N MARION COUNTY CORRECTIONS <br />OFFICE OF LEGAL COUNSEL WORK CENTER <br />February 18, 1998 <br />IEGAI COUNSEL <br />Michael ). Hansen MEIVIORANDiJM <br />BOARD OF <br />COMMISSIONERS <br />Randall Franke " <br />Gary Heer TO: Craig Luedeman, Director <br />Mary 8. Pearmine Community Development <br />ASSISTANT LEGAL <br />couNSE~ FROM: Mike Hansen ~ ~,~`~~J <br />Bruce T. Armstrong <br />Timothy TA. Jensen Marion County Legal Counsel i~ <br />Gloria 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 />committed 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 />~ <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 ~e 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 proc~eeds 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 />530 Center Street NE, Suite 312 • Salem, Oregon 97301-3670 •(503) 588-5220 • Fax (503) 373-4367 <br />