droski is essentially right;
Eugene is a fine college town (regardless of what he says, it's a solid academic institution and I don't know anybody who doesn't have a good time living down there during college) but Oregon is nowhere near any sort of recruiting hotbed.
Look at Oregon State. Their fans by and large have accepted the fact that the best their program can be is a perennial 7-8 win team that relies heavily on JuCo transfers and local talent. They know that competing for the Pac-10 title, maybe getting to one Rose Bowl a decade is the absolute best that program can do, they accept it and after a few more years here will probably be willing to give Mike Riley the lifetime contract.
The Ducks, while having a better lot in life due to being in an actual town that has reason to exist outside of the university and due to Phil Knight's money and high-level cache with virtually every athlete in America, are never going to be in a position to regularly compete for national titles or have that expectation. Boise State's title bid notwithstanding, Alabama and Ohio State look like the only two world-beaters in this years class. Maybe that'll put the Ducks in position to contend for the national title.
I think they jumped the gun on giving Kelly the contract, but who knows. He may have been snatched up. Find the guy that can get them to a Rose Bowl once a decade, play in the Holiday Bowl every three or four years, and you've got your man. That's UofO's lot in life.
Everything else is in place, but the Pacific NW will never produce the local talent pool to constitute the backbone of a consistently elite national program like you'd find at USC, Texas, Ohio State or Florida.