HomeMy WebLinkAboutMINUTES-08/06/1985-RegularAugust 6, 1985
COUNCIL OF THE CITY OF FORT COLLINS, COLORADO
Council -Manager Form of Government
Regular Meeting - 6:30 p.m.
A regular meeting of the Council of the City of Fort Collins was held on
Tuesday, August 6, 1985, at 6:30 p.m. in the Council Chambers in the City
of Fort Collins City Hall. Roll call was answered by the following
Councilmembers: Clarke, Estrada, Horak, Knezovich, Ohlson, and Stoner.
Councilmembers Absent: Rutstein
Staff Members Present: Arnold, Huisjen, Shannon, M. Davis, Lewis, Hopkins
Agenda Review: City Manager
City Manager Arnold requested that Item #14, Hearing and First Reading of
Ordinance No. 86, 1985, Appropriating Unanticipated Revenue in the Capital
Projects Fund for the Timberline Road Repaving Project to Pay for the
Improvements to Timberline Road, be amended and adopted on the Consent
Calendar with the correct figure of $375,000. He also withdrew Item #17,
Resolution Calling Upon Larimer-Weld Council of Governments to Contact Hank
Brown to Assist in Poudre River Trail Project.
' Councilmember Knezovich withdrew Item #6, Second Reading of Ordinance No.
71, 1985, Amending the City's Massage Parlor Code, and Item #15, Resolution
Approving the Form of Application for Licensing of Massage Therapists, from
the Consent Calendar.
Consent Calendar
This Calendar is intended to allow the City Council to spend its time and
energy on the important items on a lengthy agenda. Staff recommends
approval of the Consent Calendar. Anyone may request an item on this
calendar be "pulled" off the Consent Calendar and considered separately.
Agenda items pulled from the Consent Calendar will be considered separately
under Agenda Item #31, Pulled Consent Items, except items pulled by anyone
in the audience or items that any member of the audience is present to
discuss that were pulled be staff or Council. These items will be
discussed immediately following the Consent Calendar.
4. Approval of the Minutes of Reaular
ings of July 2 and July 16
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5.
11
Second Reading of Ordinance No. 70, 1985, Amending the Code of the
City lins Reof Fort Collating to the Prohibition of Unreasonable
Noise.
This ordinance was unanimously adopted on First Reading on July 16.
Due to the problems involved with enforcing the City's noise
ordinance, staff recommends repealing Section 78-1 of the Code of the
City of Fort Collins and readopting a new Section 78-1 which prohibits
unreasonable noise.
Second Reading of Ordinance No. 71, 1985, Amending the City's Massage
ar or ode.
This ordinance was adopted on First Reading by a 5-1 vote on July 16.
The present Massage Parlor Code of the City contains provisions making
enforcement difficult. It is recommended that the City Code be
changed to conform to the present State Massage Parlor Code and to
establish a licensing fee.
7. Second Readin
lReserves for I
11
of Ordinance No. 78, 1985
iseho d azardous aste o
riating General Fund
1
This ordinance was unanimously adopted on First Reading on July 16.
Potentially harmful household wastes represent a hazard waiting to
become an accident. Fort Collins residents can be expected to
generate over 67,000 gallons of hazardous wastes on an annual basis.
Working with Larimer County and the City of Loveland it is planned to '
hold a "Household Hazardous Waste Collection Day" on Saturday,
September 28. 1985. A contract will be awarded by Larimer County to a
licensed company to receive and dispose of the hazardous material.
The total cost including the contract will be $25,000.
In order to help make this effort successful Fort Collins, Loveland
and Larimer County will share the cost. Fort Collins' share will be
$11,250. An ordinance has been prepared for Council consideration to
appropriate General Fund reserves for this purpose.
Second Reading of Ordinance No. 79, , Authorizing the Issuance of
a Sales & Use Tax Revenue Security to1985First Interstate Bank of Fort
Collins, N.A. in an Amount Not to Exceed 2,0 ,000 for construction
of South Lemay Avenue between Horsetooth Road and Harmonv.
This ordinance was unanimously adopted on First Reading on July 16.
Included in the 1985 annual budget was an appropriation to construct
Lemay Avenue between Horsetooth Road and Harmony. The funds for this
construction were to be provided by bond anticipation notes. This
borrowing will serve the same purpose as those bond 'anticipation notes
and provide the funds for the construction of the road. Adoption on
the Consent Calendar will cause the amendment of the ordinance to
include minor changes and adopt the ordinance as amended on second
reading.
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August 6, 1985
9. Second Reading of Ordinance No, 80, 1985, Authorizin the Issuance and
Sale of Industrial Deve opment Revenue Bonds, erles 1985, in the
Amount of $460,000 for the Engineering Professionals, Inc. Proiect.
This Ordinance was unanimously adopted on First Reading on July 16 and
authorizes the issuance and sale of Industrial Development Revenue
Bonds, Series 1985, in the amount of $460,000.
10. Hearing and First Reading of Ordinance No. 81, 1985, of the Council of
the ity of Fort ollins Amending the Local pplication ees for New
Liquor and %% ermented a t everage icenses and rans ers.
Senate Bill 112 was signed into law by Governor Richard Lamm on April
12, 1984 and went into effect on July 1 , 1984. This bi l l was the
result of a two year effort by a coalition of state, county and
municipal officials including Larimer County Commissioner Courtlyn
Hotchkiss and City Clerk Wanda Krajicek and is an effort to enhance
enforcement and administration of beer and liquor statutes.
This bill gives City Council the option to raise local application
fees for new licenses from the current $350 to the maximum of $450 and
to raise the fees for transfers of ownership or location from the
current $150 to the maximum of $250. The proposed ordinance would
accomplish these fee changes and would, by the addition of a new
subsection and the amendment of several others, correct certain
ambiguities in the present code regarding transfer fees for liquor
licenses and fees for the expansion of the premises of both liquor and
beer licenses.
11. Hearing and First Readingof
ort o11ins Museum, Janis
Boxelder Schoolhouse as a Lan
Ordinance No. 82, 1985, Designati
abin, untie tone a in, and
rK u1strict.
The original landmark, designation of the Museum, Janis Cabin and
Auntie Stone Cabin was done in 1978 by resolution. The Landmark
Ordinance requires that designation be done by Ordinance. This
Ordinance would replace and correct the original designation.
12. Hearing and First Reading of Ordinance No. 83, 1985, DesignatingF
ollins Birney Safety treetcar #21 as a Landmark.
The Fort Collins Municipal Railway Society is requesting landmark
designation for the Birney. Safety Streetcar #21, which has been
restored by the Society. Ownership of the car remains with the City
and consent for local landmark designation has been given by the
Deputy City Manager.
13. Items Relating to the Fossil+Greek Basin:
A. Hearing and First Reading of Ordinance No. 84, 1985, Adopting the
Fossil Creek Basin Master Plan and Establishing Storm Drainage
Fees for the Fossil Creek Basin.
EM
August 6, 1985
Approval of this Ordinance will set the fees for the Fossil Creek '
Basin. Development is moving faster than anticipated and the need
exists now to begin collecting fees to pay the City share for two
storm drainage improvements.
B. Hearing and First Reading of Ordinance No. 85, 1985, Appropriating
Funds from the Storm Drainage Fund Prior Year Reserves for
Transfer to the Capital Projects Fund for the Fossil Creek Basin.
This ordinance appropriates $300,000 to the Fossil Creek Basin for
anticipated expenditures on the Lemay Avenue bridge at Fossil
Creek and an additional crossing on Lemay Avenue south of Portner
Reservoir.
14. Hearing and First Reading of Ordinance No. 86, 1985, Appropriating
Unanticipated Revenue in the Capital Projects and for the imberline
Road Repaving Project to Pay for the Improvements to imberline Road.
In January, Larimer County and the City entered into an
Intergovernmental Agreement to reconstruct Timberline Road from
Harmony Road to Prospect. The agreement stated that the City would do
the work, and the County and City would share the $750,000 cost
equally, with each paying $375,000.
The purpose of this Ordinance is to appropriate the County share into
the City's project in order to cover the total project costs. I
According to the agreement the City will bill the County upon
completion of the work.
15. Resolution Approving the Form of Application for Licensing of Massage
Therapists.
Section 73-144 of the City's Massage Code provides that the
information required of an applicant shall be established by
resolution of the City Council. Accordingly, the staff has prepared a
form of application to be used for massage licenses, a copy of which
form is attached for your review.
16. Resolution Approving an Amendment to the Service Agreement with Westis Fort Collins Water Dtrict.
This Resolution would authorize the City Manager to sign an amendment
to the existing service agreement with West Fort Collins Water
District. Under the amendment, the District agrees to provide service
to City customers whose service will be discontinued as a result of
the water treatment plant relocation project, the City agrees to treat
additional water for the District, and both parties agree to amend the
cancellation clause in the agreement from three years to five years.
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August 6, 1985
17. Resolution Calling upon Larimer Weld Council of Governments to Contact
Hank Brown to Assist in Poudre River Trail Project.
This Resolution was suggested at a recent joint dinner meeting with
the City of Greeley. Larimer Weld Council of Governments Chair, Tom
Romero, reported that "both councils were enthused about the project
and a consensus was reached that both councils would go back to their
respective councils and issue forth a resolution to LWRCOG to move
forward in terms of contact with Congressman Hank Brown and do all
that is possible to get this project moving." This Resolution
implements that suggestion.
18. Resolution Authorizing the City Manager to Approve a Change Order to
Increase the mount of Plant Mix Seal Work in the Local Street
Maintenance Contract.
This resolution authorizes the City Manager to approve a change order
to increase the amount of plant mix seal work in the 1985 Local Street
Maintenance Contract. This change would be issued to Sterling
Paving, this year's contractor, for up to $90,000 to cover all streets
that received a chip seal treatment in 1984.
Negative comments from residents living on the streets that received
chip seals in 1984 have resulted in different types of treatments
being tried to provide a surface that would be more acceptable. The
only treatments that appear to be acceptable are a plant mix seal or
'
an overlay. The plant mix is selected as the corrective treatment
because it is the least costly of the two. A plant mix seal will
provide a smooth surface that is comparable to a new street, which has
been the basis for comparison used by the residents. •
The Capital Project Management Control System requires all change
orders in excess of $50,000 to be approved by City Council.
19. Resolution Directing the City Engineer to Initiate an Annual Sidewalk
Repair and Replacement Program, with aPilot Program Commencing this
Fall.
This resolution directs the City Engineer to initiate a comprehensive
program to improve the sidewalk system within the City. The goals of
the program are to construct new sidewalk where none presently exists,
bring damaged sidewalk up to good condition by repair",or replacement,
and maintain the total sidewalk system in'good conditi'6n.
A pilot program will be initiated this fall to install missing
sections of walk in the older areas of the City north of Mulberry.
Property owners' participation in the program will be on a voluntary
basis, with the City paying half the cost -of the improvements as an
incentive. The budget for the pilot program is $30,000, and is funded
from Streets Minor Capital.
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August 6, 1985
20. Routine Deeds and Easements
The following are routine deeds and easements which require Council
approval:
a.
Easement dedication from Everitt Enterprises -
Oakridge.
b.
Right -of -Way dedication
for Cunningham Corners
SID (Stover).
c.
Easement dedication -
Prospect Industrial Park
(G B Ventures).
d.
Easements for Northeast
Loop Waterline from:
1. Lanham
7. H.W. Rogers & Associates
2. Clement
8. Union Pacific Land
Resources Corp.
3. Jordan
9. Giroux
4. Bush
10. M & V Investments
5. K&M Company
11. L & W Supply Corp.
6. Gardner
12. Jacobson
e.
Right -of -Way dedication
for Shields/Horsetooth Road
Improvements (Metcalf,
Ltd.)
Ordinances on Second Reading were read by title by Molly Davis, Deputy City
Clerk.
Item #5. Second Reading of Ordinance No. 70, 1985, Amending the Code of
1
the City of Fort —Collins Relating to the Prohibition o
Unreasonable Noise.
Item #6. Second Reading of Ordinance No. 71, 1985, Amending the City's '
Massage Parlor Code.
Item #7. Second Reading of Ordinance No. 78, 1985, Appropriating General
Fund eserves for ouseho d Hazardous Waste o ection ay.
Item #8. Second Reading of Ordinance No. 79, 1985, Authorizing the
ssuance of a a es & Use Tax evenue ecurIN to first
Interstate Bank of Fort Collins, N.A. in an Amount Not to Exceed
2,000,000 for construction of South Lemay ATenue between
orsetooth oad and armony.
Item #9. Second Reading of Ordinance No. 80, 1985, Authorizing the
ssuance and ale of Industrial Development Revenue onds, ertiE
1985, in the Amount of $460,000 for the Engineering
Professionals, Inc. Project.
Ordinances on First Reading were read by title by Molly Davis, Deputy City
Clerk.
Item #10. Hearing and First Reading of Ordinance No. 81, 1985, of the
Council of the City of Fort Collins Amending the Local
Application Fees for New Liquor and 3.2% Fermented Malt Beverage
Licenses and Transfers.
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August 6, 1985
' Item #11. Hearing and First Reading of Ordinance No. 82, 1985, Designating
the ort Collins Museum, Janis Cabin, untie Stone Cabin, and
Upper Boxelder Schoo house as a Tandmark District.
Item #12. Hearing and First Reading of Ordinance No. 83, 1985, Designating
Fort Collins Birney Safety Streetcar # 1 as a andmark.
Item #13. A. Hearing and First Reading of Ordinance No. 84, 1985,
Adopting the Fossil Creek Basin Master Plan and Establishing
Storm Drainage Fees for the Fossil Creek Basin.
B. Heand First Reading of Ordinance No. 85, 1985,
Appropriating Funds from the Storm Draina a Fund Prior Year
Reserves for Transfer to the Capital Projects Fund for the
Fossil Creek Basin.
Item #14. Hearing and First Reading of Ordinance No. 86, 1985, Appro-
ppriating Unantici ated Revenue in the Capital rojects and for
the�lmberline Road Repaving Project to Pay fort e Improvements
to ember —in e o—ad .
Councilmember Stoner made a motion, seconded by Councilmember Estrada, to
adopt and approve all items not removed from the Consent Calendar. Yeas:
Councilmembers Clarke, Estrada, Horak, Knezovich, Ohlson, and Stoner.
Nays: None.
I
THE MOTION CARRIED.
0
Resolution Adopting Findings of the
Appeal of the Planning and Zoning Board
Decision to Deny Preliminary Approval
of the Lake Street Village PUD, Adopted
Following is the staff's memorandum on this item:
"Executive Summar
On July 16, 1985, the Council heard an appeal of the June 26, 1985 Planning
and Zoning Board decision to deny preliminary approval to the Lake Street
Village PUD. The Council voted 5 to 1 to send the preliminary PUD back to
the P& Z Board for further review and consideration.
Background
Lake Street Village PUD is a proposal for 32 units(four 8-plex buildings),
enclosed garages, center swimming pool and active open space area on a 3.26
acre site on West Lake Street.
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August 6, 1985
Council discussion of the appeal indicated that Lake Street Village is a
quality in -fill plan and that the opposing Prospect -Shields Neighborhood I
Association has legitimate concerns.
Council proposed that the applicant and neighborhood continue to work for a
compromise solution and therefore voted 5 to 1 to send the Lake Street
Village PUD preliminary back to the Planning and Zoning Board for further
review and consideration."
Councilmember Stoner made a motion, seconded by Councilmember Horak, to
adopt Resolution 85-125.
Councilmember Knezovich spoke in opposition to the Resolution, stating it
does not give direction to the Planning and Zoning Board.
Councilmember Estrada spoke concerning development in the Shields -Prospect
area and supported the Resolution.
Councilmember Clarke supported sending the decision back to the Planning
and Zoning Board to provide an opportunity for the developer to work with
Planning and Zoning and the neighborhood.
Councilmember Stoner supported adoption of the Resolution, which he felt
reflects the decision made by Council at the time of the hearing on the
appeal.
The vote on Councilmember Stoner's motion to adopt Resolution 85-125 was as ,
follows: Yeas: Councilmembers Clarke; Estrada, Ohlson, and Stoner. Npys:
Councilmember Knezovich. Abstain: Councilmember Horak.
THE MOTION CARRIED.
Resolutions Authorizing Eminent Domain
Proceedings for Shields and Horsetooth
Road Improvements, Adopted
Following is the staff's memorandum on this item:
"Executive Summary
a. Resolution Authorizing Acquisition by Eminent Domain of Right -of -Way
for Shields and Horsetooth'Road Improvements (Clark).
b. Resolution Authorizing Acquisition by Eminent Domain of Right -of -Way
for Shields and Horsetooth Road Improvements (Warren).
The Resolutions authorize the acquisition of two rights -of -way through
eminent domain proceedings. Staff has been unable to reach agreements with
attorneys representing properties owned by Harl P. and Audria E. Clark, and
Gladys Ida Warren for the purchase of R.O.W. needed for the''construction of '
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August 6, 1985
Shields and Horsetooth Roads within and adjacent to SID #82. Staff is
' continuing to negotiate for these easements but immediate possession of
these R.O.W.s is needed to proceed with construction for completion this
year.
Background
The City has offered $300 for a 600 square foot easement to Gladys Ida
Warren based on the highest and best use of the property as determined by
the Land Development Guidance System. This small parcel is needed for the
anchor pedestal for the traffic signal which will be installed in the
southwest corner of Shields and Horsetooth. The attorney representing Mrs.
Warren has countered with $3000 which staff feels is excessive.
The City has offered $5160 for a 5160 square foot right-of-way to Harl P.
and Audria E. Clark based on the highest and best use of the property as
determined by the Land Development Guidance System. There has been
considerable discussion on this offer between staff and the Clarks'
attorney. The Clarks are concerned about receiving assurances that an
access be provided their property from Richmond Drive through the
Williamsburg PUD which currently is approved as a preliminary PUD. The P&Z
Board held a hearing on the extension of the preliminary approval of the
Williamsburg PUD on July 24, 1985 and voted to extend the approval to
September 24, 1986. One of the requirements of the extension was for the
preliminary site plan to show an access easement from Richmond Drive in
Williamsburg PUD to serve the Clarks' property. With this requirement, it
'
is hoped that the Clarks will sign the agreement to sell the needed
right -of -way.
Negotiations are continuing at this time with both parties. However, to
assure that we have right-of-way in time for construction we are continuing
with the eminent domain process. These R.O.W.'s are needed now to insure
that construction of Shields Street is completed this year."
Land Acquisition Agent Ron Mills summarized the status of negotiations for
the property and discussed the access issue on the Clark property.
Councilmember Stoner made a motion, seconded by Councilmember Estrada, to
adopt Resolution 85-126 (Clark property). Yeas: Councilmembers Clarke,
Estrada, Horak, Knezovich, Ohlson, and Stoner. Nays: None.
THE MOTION CARRIED.
Councilmember Clarke made a motion, seconded by Councilmember Stoner, to
adopt Resolution 85-127 (Warren property). Yeas: Councilmembers Clarke,
Estrada, Horak, Knezovich, Ohlson, and•Stoner. Nays: None.
THE MOTION CARRIED.
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August 6, 1985
Resolution Authorizing the City Manager to '
Execute a Second Modification Agreement to the
Master Agreement with Anheuser-Busch, Inc., Adopted
Following is the staff's memorandum on this item:
"Executive Summary
The proposed Second Modification Agreement to the Master Agreement with
Anheuser-Busch, Inc. provides for changes in the Agreement in regard to the
construction of wastewater treatment facilities to be constructed to treat
the Anheuser-Busch wastewater. Portions of the facilities would be
available for use generally by the Waste Water Utility. Additionally, the
Modification Agreement provides for a clarification to the Master Agreement
concerning supplemental user fee credits for sales and use taxes which have
been ear -marked for other specific projects. The Agreement also provides
for supplemental user fee credits on the investment earnings obtained by
the City on monies received by the City from A-B for later payment of the
debt for A-B improvements. Copies of the proposed Modification Agreement
are available for review at the City Clerk's office.
Background
I. As discussed in previous meetings and at the May 14th City
Council Worksession, the staff is recommending that the A-B wastewater
treatment design concept be modified. The original design concept ,
included in the Master Agreement involves utilizing the North Complex at
WWTP #2, whereas the new concept which the staff is recommending involves
utilizing the South Complex at WWTP #2.
The proposed modifications to the Master Agreement consist of deleting all
references to the original (North Complex) concept and including
appropriate discussion and description of the South complex concept. The
following is a summary of both concepts:
Original Concept (North Complex)
The original concept involves treating 1.4 to 2.8 million gallons per
day (mgd) of brewery wastes at A-B's pretreatment facility. The
pretreated wastes would then be discharged to the City's WWTP#2- North
Complex. Treatment of the"pretreated wastes at the City's facility
will require the construction.of facilities for:
1. Sludge thickening.
2. Sludge digestion.
3. Sludge dewatering.
4. Sludge disposal (land application).
5. Additional clarifier capacity (may be required).
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August 6, 1985
' In addition to these improvements at WWTP #2, the installation of
covers on the trickling filter and clarifiers at WWTP#1 may also be
required.
New Concept (South Complex)
The new concept involves treating 1.2 to 1.8 million gallons per
day (mgd) of brewery wastes at the City's WWTP #2 - South Complex
and treating the remainder of the brewery wastes at AB's proposed
land application facility. Treatment of the 1.2 to 1.8 mgd of
brewery wastes at the City's facility will require the following:
1. Upgrading the aeration system and increasing the depth of the
primary clarifier, secondary clarifier, and the aeration
basin at the South Complex.
2. Construction of sludge thickening, digestion, and dewatering
facilities.
3. Construction of sludge composting facilities.
The estimated cost of these facilities is $15 to $16 million
which will be paid for by A-B via supplemental user fees and base
formula calculations.
' The City intends to oversize, on an incremental basis, the sludge
thickening, digestion, and dewatering facilities for future City
needs. The City's cost to oversize these facilities is estimated
at $1.66 million.
The staff believes there is sufficient benefit to the City to pursue the
new concept and the corresponding modifications to the Master Agreement.
These benefits consist of: (1) approximately $2.7 million worth of
treatment capacity; (2) approximately $3.7 in savings by oversizing, on an
incremental cost basis, the sludge thickening, digestion, and dewatering
facilities; (3) greater operation flexibility; and (4) a commitment from
A-B to build composting facilities.
The Fort Collins Water Board has reviewed and recommended approval of the
new concept.
II. The original Master Agreement provided that Anheuser-Busch would pay a
Supplemental User Fee for the debt service incurred by the,City for certain
public improvements to the Anheuser-Busch plant site. In the calculation
of the Supplemental User Fee Anheuser-Busch received a credit for "100% of
the total of all City use, sales and property taxes which shall have been
received by the City during the period of construction ... and to have ended
one year after the first production from the plant is shipped for
commercial sale." Since the execution of the Master Agreement there have
been two sales and use tax increases wherein the revenues were specifically
' pledged to certain public improvements. It is readily apparent that the
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August 6, 1985
Anheuser-Busch sales and use taxes specifically pledged to other public
improvements cannot be used for public improvements at the Anheuser-Busch
plant site. As a separate matter, Anheuser-Busch is to pay for the City's
debt service to provide the public improvements to the plant site.
However, Anheuser-Busch does not receive a credit from the investment
earnings on the monies received by the City from A-B, identified for later
payment of the debt for A-B improvements. A solution has been negotiated
which provides equity to the City and to Anheuser-Busch as follows:
1. Anheuser-Busch will not receive any credit for sales and use taxes
which become effective after December 31, 1982, wherein the proceeds of
such sales and use taxes are allocated and legally restricted to a
specific purpose pursuant to an ordinance establishing such taxes.
2. Anheuser-Busch will receive a credit toward the supplemental user
fee for all interest earned on monies received by the City from A-B,
identified for later repayment of the debt for A-B public improvements.
Currently the restricted sales and use tax revenues and the investment
earnings are about equal. The City gains in terms of the sales and use
taxes and does not lose on the investment earnings since we would not have
had the amounts to invest without the capitalized interest being included
in the bond issues.
Both the City staff and the Anheuser-Busch representatives agree with the
proposed modifications to the Master Agreement. These modifications
reflect the current expectations in regard to the Anheuser-Busch project. ,
The changes in the agreement concerning Wastewater Service provide
opportunities to the City which were not available in the original design
for wastewater treatment facilities. The changes in the Master Agreement
to the section regarding Finance represent clarifications to that portion
of the agreement, providing further definition where needed to deal with
matters which were not present at the time of the execution of the
agreement, that of .increases in sales tax for specific project and
investment earnings on monies received for later bond payments.
Upon approval of the proposed Resolution, the City Manager would be
authorized to execute the Modification Agreement. The most immediate
result would be the redesign of the wastewater treatment facilities."
City Attorney Huisjen gave a brief overview of the modification agreement.
Councilmember Clarke made a motion, seconded by Councilmember Stoner, to
adopt Resolution 85-118. Yeas: Councilmembers Clarke, Estrada, Horak,
Knezovich, Ohlson, and Stoner. Nays: None.
THE MOTION CARRIED.
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August 6, 1985
Ordinance Amending the City's Massage
' Parlor Code, Adopted on Second Reading
Following is the staff's memorandum on this item:
"This ordinance was adopted on First Reading by a 5-1 vote on July 16. The
present Massage Parlor Code of the City contains provisions making
enforcement difficult. It is recommended that the City Code be changed to
conform to the present State Massage Parlor Code and to establish a
licensing fee."
Assistant City Attorney Paul Eckman highlighted changes to the massage
therapist application form, and discussed the State Code.
Councilmember Knezovich spoke in opposition to licensing professions such
as massage therapists and to legislating morality.
Councilmember Clarke made a motion, seconded by Councilmember Estrada, to
adopt Ordinance No. 71, 1985 on Second Reading.
Councilmember Clarke noted that the State has delegated this licensing to
local government because a potential problem exists for massage parlors to
be used for illicit purposes. He noted that massage therapists need a
license to obtain insurance.
Assistant Mayor Ohlson stated the Ordinance was requested by
representatives of the massage therapist profession, and one purpose is to
eliminate some of the degrading requirements of the current ordinance.
The vote on Councilmember Clarke's motion to adopt Ordinance No. 71, 1985
on Second Reading was:as follows: Yeas: Councilmembers Clarke, Estrada,
Horak, Ohlson, and Stoner. Nays: Councilmember Knezovich.
THE MOTION CARRIED.
Resolution Approving the Form of Application
for Licensing of Massage Therapists, Adopted
Following is the staff's memorandum on this item:
"Section 73-144 of the City's Massage Code provides that the information
required of an applicant shall be established by resolution of the City
Council. Accordingly, the staff has prepared a form of application to be
used for massage licenses, a copy of which form is attached for your
review."
Councilmember Stoner made a motion, seconded by Councilmember Horak, to
adopt Resolution 85-120. Yeas: Councilmembers Clarke, Estrada, Horak,
Ohlson, and Stoner: Nays: Councilmember Knezovich.
' THE MOTION CARRIED.
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August 6, 1985
City Manager's Report I
City Manager Arnold reported on the success of the Lee Martinez Park Farm.
He also reported that Engineering has begun a Road Watch Program to let the
public know about road construction problems.
Councilmembers' Reports
Councilmember Estrada commented on the potential for nuclear destruction
and reflected on the use of the A-bomb at Hiroshima.
Councilmember Horak reported that a public meeting was scheduled at the
Lincoln Center at 7:30 p.m. on the Poudre River Study.
Councilmember Knezovich commented on litigation relating to the MX missile
and environmental studies.
Citizen Participation
A. Proclamation Designating Horizon '85 Days was read by Assistant Mayor
h son and reciv eed by onia osario on behalf of Camp Fire, Inc.
Resolution Authorizing an Intergovernmental '
Agreement with Larimer County
Pertaining to the Corridor, Adopted
Following is the staff's memorandum on this item:
"Executive Summary
Following the conclusion of the Corridor Task Force, City Council, the
County Commissioners and the Loveland City Council met on June 3rd, 1985 to
finalize plans for the Corridor. The Intergovernmental Agreement reflects
the approach aoreed upon at that meeting and formalizes the County's
commitment to contribute funds for acquisition of the Corridor.
Background
The Corridor Agreement between the City of Fort Collins and Larimer County
formalizes a mutual commitment to acquire the Corridor. The basic terms of
the agreement include that the City will attempt to enact a 1/4 cent five
year sales and use tax on non-food items for acquisition and development of
L'he Corridor, and that once such a sales tax is approved, the County will
contribute at least $100,000 annually for five years.
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August 6, 1985
This Agreement represents a significant first step in the City's efforts to
implement a Corridor program and is crucial to the success of passing a
sales tax."
Councilmember Stoner made a motion, seconded by Councilmember Horak, to
adopt Resolution 85-128 with an amendment in the fourth WHEREAS clause to
change the word "food" to "non -grocery".
Councilmember Stoner commented on the purpose of the agreement and the
corridor committee's work.
Councilmember Knezovich suggested that the name should be changed from
"Fort Collins -Loveland Corridor" to "Fort Collins Corridor".
City Manager Arnold stated that a proposed agreement with Loveland would
reserve Loveland's right to participate in the project at a later date.
Councilmember Knezovich asked how many acres would be purchased and what is
the estimated fair market value.
Assistant Mayor Ohlson stated the Corridor Committee estimates 2,416 acres
with an estimated cost of $3.8 to $6.5 million.
Councilmember Knezovich noted the average cost per
acre at the high
figure
would be $2,690 and suggested that the fair market
value could be
as high
'
as $15 million. He asked how much revenue would be
sales tax on non-food items for the next five years,
generated with a
assuming a 10%
1/4¢
rate of
growth, in sales and use taxes.
Acting Community Development Director Linda Hopkins
stated that the
tax on
non-food items would generate approximately $10 million
over five years.
Councilmember Stoner noted that the agreement with
the County has a
sunset
clause in the event the City does not enact a sales
tax.
Assistant Mayor Ohlson noted the Resolution authorizes an agreement with
the County and does not enact a sales tax.
Lynn Hammond, attorney representing the corridor owners, expressed concerns
about whether sufficient revenue will be available to purchase the
property. He estimated that the cost could be higher than $11 million, and
stated that funding from both the County and Loveland will,be needed.
Councilmember Stoner noted that a formal fee appraisal will need to be
made, and that if sufficient funds are not available the corridor could be
shortened.
Councilmember Estrada asked about Loveland's commitment to the corridor.
Bart Vratil, 1401 Shamrock, asked about the purpose of the corridor. He
' stated the citizens cannot afford it, and he opposed the sales tax.
Im
August 6, 1985
Councilmember Knezovich stated the main purpose of the corridor is to
maintain the individual identities and a visual separation for Front Range
cities.
Bruce Lockhart, 2500 East Harmony Road, asked if the agreement with the
County would lock the City into a 1/40 sales tax and stated the tax
should be placed on a ballot. He suggested using lottery money for the
corridor, or raising money though private donations.
Assistant Mayor Ohlson stated the Resolution expresses the City's intent to
work with the County, and the agreement states the City's intent to work
toward a 1/4% sales tax.
Alan Apt, 2301 Sheffield Drive, supported the Resolution and stated the
community supports open space and the corridor.
Dick Albrecht, Executive Vice -President of the Chamber of Commerce, stated
the corridor is a priority for the Chambers of both Fort Collins and
Loveland. He encouraged enactment of a sales tax without placing it on a
ballot, stating that widespread community support for the corridor will be
demonstrated through a petition drive. He noted the corridor could be cut
back if sufficient funds are not generated for the entire project.
Arlen Stokes, Larimer County Administrator, stated the Board of County
Commissioners has passed a Resolution in support of the corridor and
expressed a commitment to provide $100,000 per year for five years from '
lottery funds.
Bart Vratil asked about projected sales tax revenue to cover other City
expenditures and about population and industry projections.
City Manager Arnold stated the Council is concerned with cutting costs and
holding the line on ,taxes. He noted that part of the current sales tax
will sunset in five years.
Councilmember Knezovich expressed the concern that the citizens understand
what will be needed to accomplish the project. He estimated that the
acreage could cost $5,000'to $6,000 per acre, with a total cost of $12.5 to
$15 million. He stated'a 5% growth rate is realistic, and a 5% growth rate
with a tax on groceries would generate $11.5 million. He stated the
corridor is not worth the investment if significant cutbacks will need to
be made because of insufficient revenue. Sufficient funding would be
possible only if all items are taxed. He opposed the Resolution, while
endorsing the corridor concept.
Councilmember Estrada noted that a commitment from Loveland is needed and
opposed the Resolution.
Councilmember Stoner stated that the actual cost will be under $10 million
and noted that Loveland cannot commit funds at this time.
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August 6, 1985
' Councilmember Clarke spoke in support of the Resolution.
Councilmember Horak noted that sales tax is generated from all persons who
buy in Fort Collins, not just Fort Collins residents. He spoke concerning
the possibility of leasing the property for some uses, which would generate
revenue for the City. He stated implementation of a corridor would also
encourage the schools to work toward a logical school district boundary.
Assistant Mayor Ohlson spoke in favor of the corridor and stated that the
corridor would be an economic development tool. He emphasized the intent
is to pay fair market value.
The vote on Councilmember Stoner's motion to adopt Resolution 85-128 with
the amendment was as follows: Yeas: Councilmembers Clarke, Horak, Ohlson,
and Stoner. Nays: Councilmembers Estrada and Knezovich.
THE MOTION CARRIED.
Councilmember Stoner made a motion, seconded by Councilmember Knezovich, to
direct staff to prepare a proposed sales tax ordinance relating to the
corridor for the September 3 meeting as the basis for a public hearing.
Councilmember Knezovich asked whether the proposed ordinance would include
a tax on grocery items.
' Councilmember Stoner stated the ordinance would not include a tax on
groceries.
Councilmember Horak asked if the decision whether to refer the ordinance to
the public would be made on September 3.
Councilmember Stoner suggested that the public hearing be held on September
3 and any action would be taken at a later date.
Councilmember Ohlson noted that an election could be held in early to
mid -November if one is called.
City Manager Arnold stated that at least 60 days would be required after
first reading of an ordinance calling an election to make the needed
preparations.
The vote on Councilmember Stoner's motion to direct staff to prepare a
proposed sales tax ordinance was as follows: Yeas: Councilmembers Clarke,
Estrada, Horak, Knezovich., Ohlson, and Stoner. Nays: None.
THE MOTION CARRIED.
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August 6, 1985
Resolution Directing the City Manager
to Award Bid Package #5 and Continue
with the Indoor Pool/Ice Arena, Adopte
Following is the staff's memorandum on this item:
"Executive Summary
The bids for Package #5 were $53,087 less than estimated. Attachment #1
shows the current summary of project costs-- both known and estimated. The
figures show that the project is now $26,908 below our estimate. That
money is reflected in an increased project contingency-- going from
$548,298 to $575,206. This amounts to a total project contingency of 7%.
The Construction Manager continues to be of the opinion that the market
will be favorable for the remaining bid packages. This information
supports continuation of the project as currently proposed.
Background
On July 2, the Council directed the Staff to modify the project scheduling
for the Indoor Pool/Ice Arena. This modification included delaying the
awarding of footings/foundations/structural steel bid packages until the
Council had an opportunity to review the Project further. This review
would occur on August 6, 1985. The bid packages that had already been
received--overlot grading, utilities, bridge over Spring Creek, site
concrete, paving, hollow metal frames (material only), brick (material
only) were to continue.
If the Council was not comfortable with the project after reviewing the
footings/foundations/structural steel bids, they could delay the awarding
of the bids another forty-five days beyond the normal requirement, and
review the total package in October, 1985. Council would then have the
certainty of knowing the actual construction costs, eliminating the concern
we are getting overcommitted before knowing the total amount. This
additional delay until October, 1985, could increase the cost as much as
$125,000 and delay the construction until May, 1987.
Bids have now been received on the footings/foundation/structural steel.
All the bid packages are itemized in the enclosed Attachment #2. Bid
packages 1-5 represent 38% of the total project cost.
The footings/foundation/structural steel package contains five deduct
alternates. Based' on the information in Bid Package #5, we now estimate
the potential cost reductions as follows:
Alternate
1. Delete meeting room and kitchen
2. Delete therapeutic pool and
wading pool
3. Delete skylights
Cost
$ 75,.000
37,'5bO .
30,000
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August 6, 1985
4. Delete solar collector framing 30,000
5. Reduce seating to total of 1000 140,000
TEE, 5 00
The remaining packages #6 & #7 will be received in September 1985, and
ready for issuance in October, 1985.
At this time Council has the following options:
a) Award all bid #5 and continue as planned
b) Award bid #5 but eliminate one or more of the deduct
alternates.
c) Do not award bids at this time. Wait until October, 1985.
Finally, Council would also have the option in October to delete some or
all of the following without altering the design.
1. Transferring payment of $133,600
development fees.
2.
Office Equipment
21,300
3.
Capital Tools & Equipment
396,100
'
4.
5.
Elevator Equipment
Ceramic tile on pool deck
35,000
45,000
TOTAL $631,000
CONCLUSION
In short, we can now say that we have hard figures on 38% of the projected
costs. At this point we are slightly below the estimate, allowing the
contingency to grow to $575,206. In addition, the 5 year revenue
projections show a cash balance of $593,000 in 1990.
Thus, it would take a combination of events (reduced revenues, high bids on
packages #6 & #7, other unanticipated problems) totalling over $1 million
before the project would exceed the revenues authorized by the 1/4 cent
sales tax vote. Conversely, if everything went smoothly (which seldom
happens) that money would be available to•offset 0 & M costs."
City Manager Arnold summarized the available options.
Councilmember Horak made a motion, seconded by Councilmember Clarke, to
adopt Resolution 85-129 with Option A (Direct the City Manager to award Bid
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August 6, 1985
Package H5 - footings, foundation and structural steel - with no deductions
and continue as planned).
Luke Santangelo, 708 Smith, supported adoption of Option A.
Bruce Lockhart, 2500 East Harmony Road, spoke against Option A and in favor
of Option C, with cutbacks to be made.
Councilmember Clarke stated that the facility has been planned to meet the
needs of the citizenry and spoke against making cuts.
Councilmember Estrada stated that the delete options will not cut the cost
significantly and supported the concept of a southside community center
that would be accessible to all populations in the city.
Councilmember Stoner stated that the proposed seating capacity is more than
the facility needs and proposed cutting the total seating to 1000.
Councilmember Knezovich supported cutbacks in the scale and cost of the
facility.
Councilmember Stoner made a motion, seconded by Councilmember Knezovich, to
amend the motion to approve Option B (Direct the City Manager to award Bid
Package H5 with a reduction in seating to 1000).
Councilmember Clarke noted that cutting the seating capacity would limit
useage of the facility. I
Councilmember Knezovich noted that other agencies with similar facilities
do not often attract large crowds.
Councilmember Horak noted the facility will have spin-off benefits for the
community, and he opposed cuts to the facility.
The vote on the motion to amend the main motion was as follows: Yeas:
Councilmembers Knezovich and Stoner. Nays: Councilmembers Clarke,
Estrada, Horak, and Ohlson.
THE MOTION FAILED.
The vote on Councilmember Horak's motion to adopt Resolution 85-129 with
Option A was as follows: Yeas: Councilmembers Clarke, Estrada, Horak,
Ohlson, and Stoner. Nays: Councilmember Knezovich.
THE MOTION CARRIED.
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August 6, 1985
Ordinance Authorizing an Interfund Loan from
' the Water Fund to Provide Construction Monies
for the Natatorium and Ice Arena until Other
Financing is Obtained, Adopted on First Reading
Following is the staff's memorandum on this item:
"Executive Summary
This Ordinance provides construction monies for the Natatorium and Ice
Arena as needed for progress payments until other financing is obtained so
as not to hold up construction.
Background
Staff has been waiting until the total construction cost of the Natatorium
and Ice Arena was authorized before proceeding with its debt financing. We
now need to provide monies for construction contracts. We are working with
local banks on interim financing but were unable to put a deal together in
time for the August 6th award of the construction contracts. Instead of
holding up the construction we recommend using a draw down interfund loan
from the Water Fund to provide monies needed for progress payments until
either interim or permanent financing is obtained. The Water Fund has
these monies designated for future capital improvements. We will pay
interest on drawn monies equal to what the fund would have made had the
monies been invested. Interest expense to the Natatorium and Ice Arena
' Project will be higher than what we could obtain from outside borrowing and
therefore we do not want to use the interfund monies any longer than
necessary; and in no event longer than six months. Today 80% of Prime is
7.6% and our short term investments are yielding about 8%.
As of June 30 we have collected $441,500 in Sales and Use Taxes and have
expended $260,700 on the Project.
We currently have an outstanding interfund loan from the Water Fund for the
Acquisition of Block 31. We will be retiring that loan this fall with
permanent financing in the form of Sales and Use Tax Revenue Bonds.
As soon as the final cost of the facility is determined we will issue the
permanent financing.
In practice, we do not expect to draw down more than $500,000 in the next
30 - 60 days'. Interim financing through a local bank should be obtained
within that time.
We prefer not to use interfund loans; however, instead of holding up
construction and since the Water Fund will not be harmed, we recommend
adoption of this Ordinance."
City Manager Arnold stated the purpose of the Ordinance is to meet Charter
requirements.
M91932
August 6, 1985
Bruce Lockhart, 2500 East Harmony Road, asked about the dollar amount of
the loan and questioned borrowing from the Water Fund.
Finance Director Jim Harmon stated the loan is open-ended since interim
financing will be in place within 30 days.
Bart Vratil, 1401 Shamrock, asked about the amount of the loan.
Councilmember Horak stated that it is anticipated that no more than
$500,000 would be loaned from the Water Fund.
Councilmember Horak made a motion, seconded by Councilmember Stoner, to
adopt Ordinance No. 87, 1985 on First Reading. Yeas: Councilmembers
Clarke, Estrada, Horak, Ohlson, and Stoner. Nays: Councilmember
Knezovich.
THE MOTION CARRIED.
Adjournment
Councilmember Stoner made a motion, seconded by Councilmember Horak, to
adjourn the meeting. Yeas: Councilmembers Clarke, Estrada, Horak,
Knezovich, Ohlson, and Stoner. Nays: None.
The meeting adjourned at 10:25 p.m.
City Cleric',k
1
Pi
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