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HomeMy WebLinkAboutMINUTES-01/04/1977-RegularJanuary 4, 1977 COUNCIL OF THE CITY OF FORT COLLINS, COLORADO Council - Manager Form of Government Regular Meeting - 5:30 P.M. A regular meeting of the Council of the City of Fort Collins was held on Tuesday, January 4, 1977 at 5:30 P.M. in the Council Chambers in the City of Fort Collins City Hall. Roll call was answered by Councilmembers Bloom, Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Staff Members Present: Brunton, Bingman, Kaplan, DiTullio, Smith and Lewis. Also: City Attorney Arthur March, Jr Ordinance Adopted on Second Reading Closing Out Surpluses and Deficiencies in Special Improvement Districts Following is the City Manager's memorandum on this item: "At its December 21, 1976, meeting the Fort Collins City Council adopted Ordinance No. 96, 1976, on first reading. This ordinance provides for the closing out of four special improvement districts and transferring the surpluses or deficiencies in the districts to the Surplus and Deficiency Account of the Special Improvement Fund. As we have mentioned, all securities for all districts have been paid and the figures in the ordinance are the final result of the district." Councilman Russell made a motion, seconded by Councilwoman Reeves to adopt Ordinance No. 96, 1976 on second reading. Yeas: Council - members Bloom, Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Nays: None. ORDINANCE NO. 96, 1976 BEING AN ORDINANCE TRANSFERRING SURPLUS FUNDS AND CORRECTING DEFICIENCIES FOR CERTAIN SPECIAL IMPROVEMENT DISTRICTS THROUGH THE SURPLUS AND DEFICIENCY ACCOUNT OF THE SPECIAL ASSESSMENT FUND WHEREAS, Section 20.6 of Article V of the Charter of the City of Fort Collins provides in part (b) thereof that surplus funds remaining in 144 1 a local improvement district shall be transferred to the Surplus and Defi- ciency Fund and when there is a deficiency in such a district it shall be paid out of such Surplus and Deficiency Fund; and. WHEREAS, the outstanding securities for the improvement districts hereinafter set forth have been paid and such special improvement districts still have to their credit (or deficit) the amounts hereinafter indicated, to -wit: Name of Improvement District Surplus Cash on Hand Street Improvement District No.58. $ 1,799.00 Storm Sewer District No. 15 (34.11) Sanitary Sewer District No. 58 (40.00) Street Light District No. 3 (74.97) and WHEREAS, such surplus funds should be transferred to the Surplus and Deficiency Fund, and the deficits should be paid out of the Surplus and Deficiency Fund. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that the deficits set forth above for Storm Sewer District No. 15, Sanitary Sewer District No. 58, and Street Light District No. 3 be transferred and paid from the Surplus and Deficiency Account of the Special Improvement Fund and that the surplus set forth above -in Street Improvement Dis trict No. 58 be transferred and paid to said Surplus and Deficiency Fund.. Introduced, considered favorably on first reading, and ordered pub- lished this 21st day of December, A.D. 1976, and to be presented for final reading on the 4th day of January, A.D. 1977. Mayor ATTEST: City Clerk (Deputy) Passed and adopted on final reading this 4th day of January, A.D. 1977. r 145 ATTEST: City Clerk First F.eading: December 21, 1976 (Vote: Yeas: 7, Mays: 0) Second Reading: January 4, 1977 (Vote: Yeas: 7, Nays: 0) Dates Published: December 26, 1976 and January 9, 1977 Attest: r- City Clerk Ordinance Adopted on Second Reading Authorizing the Issuance of Special Assessment Bonds Following is the City Manager's memorandum on this item: "Ordinance No. -97, 1976, was adopted on first reading at the December 21, 1976 meeting of the City Council. This ordinance provides for the issuance of $700,000 special assessment bonds to be used for the construction and installation of street and mall improvements included in the Downtown Redevelopment Project. Councilwoman Reeves made a motion, seconded by Councilman Bowling to adopt Ordinance No. 97, 1976 on second reading. Yeas: Council - members Bloom, Bowling, Cray, Reeves, Russell, Suinn and Wilkinson. Nays: None. ORDINANCE NO. 97' 1976 AN ORDINANCE AUTHORIZING THE ISSUANCE OF SPECIAL ASSESSMENT BONDS OF THE CITY OF FORT COLLINS, COLORADO, FOR DOWNTOWN IMPROVEMENT DISTRICT NO. 1, FOR THE CONSTRUCTION AND INSTALLATION OF STREET AND MALL IMPROVEMENTS IN SAID DISTRICT; PRESCRIBING THE FORM OF THE BONDS; AND PROVIDING FOR THE PAYMENT OF SAID BONDS AND THE INTEREST .THEREON. 146 WHEREAS, in accordance with the City Charter and Chapter 16 of the Code of the City of Fort Collins, the City Council has created Downtown Improvement District No. 1, for the purpose of constructing and installing street and mall improvements within the District, as described herein; and WHEREAS, such improvements are part of the proposed improvements to be constructed or installed in the downtown area of Fort Collins, which improvements will be financed in part by special assessment bonds for Downtown Improvement District No. 1, and by general obligation bonds of the City of Fort Collins General Improvement District No. 1; and WHEREAS, the construction and installation of such improvements will result in general benefits to the City and in special benefits to the assessable property to be assessed within the boundary of the District; and WHEREAS, the City Council has determined that the cost of the construction and installation of the street and mall improvements, together with necessary incidental costs, shall not exceed the amount of $700,000, and that bonds of the Gity for said District should be issued in this amount; and WHEREAS, in accordance with the City Charter and a resolution passed on December 21, 1976, the City Council has determined that it isinthe best interest of the City that special assessment bonds of the City in the principal amount of $700,000 should be issued and sold to Boettcher and Company, Denver, Colorado, in accordance with their proposal dated November 23, 1976; and WHEREAS, it is necessary to provide for the issuance of said bonds and the form and payment thereof; BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS, COLORADO: 147 11 Section 1. Improvements Ordered. The improvements .authorized to be constructed in accordance with Ordinance No. 76 1976, finally passed and adopted on October 26, 1976, which ordinance created Downtown Improvement District No. 1, include the following, and are referred to in this ordinance as "street and mall improvements": Improvements designated to improve the visual appearance of streets and other public ways within the district and to make such streets and other public ways better accommodate pedestrian and vehicular traffic, such improvements ingluding construction and reconstruction of sidewalks, curbs, gutters, and streets; installation of planters and landscaping; installation of benches in the sidewalk area; installation of plazas, installation of street lighting; signalization for traffic; and other allied improvements, the improvements to be located on streets within the district and principally upon College Avenue from the vicinity of Magnolia Street to the vicinity of. LaPorte Avenue and extending along intersecting streets and Linden Street. Section 2. Bond Details. By virtue of and pursuant to the City Charter and Chapter 16 of the Code of the City of Fort, Collins, Special Assessment Bonds of the City of Fort Collins, for Downtown Improvement District No. 1 shall be issued for the purpose of paying for local improvements constructed in'the District. The bonds shall be in the principal amount of $700,000, shall be dated December 1, 1976, and shall consist of 700 bonds in the denomination of $1,000 each, numbered 1 to 700, inclusive. The Bonds shall be payable to bearer, and shall be due and payable on December 1, 1991, subject to call and prior payment on any interest payment date, in direct numerical order, upon payment of par and accrued interest. Notice of prior redemption shall be given ty the Director of Finance by: (a) publication of such notice for five (5) days in an .official newspaper published in the City of Fort Collins; and KEM (b) forwarding a copy. of such notice by first class mail, postage prepaid to any bondholder who has furnished his or her post office address to the City Clerk,,within ten (10) days.after the publication required in (a) above. Such notice shall specify the number or numbers of the bonds to be so redeemed and the date fixed for redemption and such notice shall further state that on such redemption date there shall become due and payable upon each bond so to be redeemed at the office of the Director of Finance the principal amount thereof and accrued interest to the redemption date,'and from and after such date interest shall cease to accrue. The Bonds shall bear interest at the rate of 6-1/82 per annum, payable on December 1,. 1977, and semi-annually thereafter on June 1 and December 1, each year, as follows: Amount Bond Numbers interest Rate. $70,000 1 to 70, incl. 6-1/8% 45,000 71 to 115, incl. 6-1/88 45,000 116 to 160, incl. 6-1/8% 45,000 161 to 205, incl. 6-1/B% 45,000 206 to 250, incl. 6-1/8% $45,000 251 to 295, incl. 6-1/8% __ 45,000 296 to 340, incl. 6-1/88 -' 45,000 341 to 385, incl. 6-1/88 45,000 386 to 430, incl. 6-1/8% 45,000 431 to 475, incl. 6-1/8% $45,000 476 to 520, incl. 6-1/88 45,000 521 to 565, incl. 6-1/88 45,000 566 to 610, incl. 6-1/8% 45,000 611 to 655, incl. 6-1/88 45,000 656 to 700, incl. 16-1/88 The net effective interest rate of this issue of Bonds is 6.136% per annum. The principal of and interest on said bonds shall be payable at the office of the Director of Finance, in Fort Collins, Colorado. 149 Section 2. Execution of Bonds and Interest Coupons. The Bonds shall be signed with the facsimile signature of the Mayor of the City, attested by the manual signature of the City Clerk, countersigned with the facsimile signatgre of' the Director of Finance, with a facsimile of the seal of the City affixed 'thereto, and the interest coupons attached shall be signed with the facsimile signature of the City Clerk. When issued as afore— said as part of said bonds, the interest coupons shall be the binding obligations of. the City according to their import. Should any officer whose manual or facsimile signature appears on said bonds or the coupons attached thereto cease to be such officer before delivery of the bonds to the purchaser, such manual or facsimile signature shall nevertheless be valid and sufficient for all purposes. Section 3. Form of Bond and Interest Coupons. The bonds and the interest coupons to be attached thereto shall be in substantially the following form: (Form of Bond) UNITED STATES OF AMERICA STATE OF COLORADO COUNTY OF LARIMER s . CITY OF FORT COLLINS DOWNTOWN.IMPROVEMENT DISTRICT NO. 1 No. $1,000 t.. L The City of Fort Collins, in the County. of Larimer, State of Colorado, for value received, hereby promises to pay to the bearer hereof, out of the special fund hereinafter designated, but not•eotherwise, the principal sum of ONE THOUSAND DOLLARS in lawful money of the United States of America on the 1st day of December, 1991, with interest thereon at the rate of six and mif one-piahth Der centum (6-1/88) per annum from date until payment, payable on December 1, 1977 and semi-annually thereafter on June 1 and December 1 each year, both principal and interest being payable at the office of the Director of Finance, in Fort Collins, Colorado, upon presentation and surrender of the attached coupons and this Bond as they severally become due or are called for payment. This Bond is subject to call and redemption in. direct numerical order of the issue of which it is one, on any interest payment date, upon payment of par and accrued interest to the date of redemption. Notice of such prior redemption shall be published for 5 days in an official newspaper published in the, City. This Bond is issued for the purpose of paying the cost - of constructing and installing street and mall improvements, together with necessary incidentals in Downtown Improvement District No. 1, in the City of Fort Collins, Colorado, by virtue of and in full conformity with the Constitution and Laws of the State of Colorado, the'Charter of the City, Chapter 16 of the Code of the City of Fort Collins, and an Ordinance of the City duly adopted, approved, published and made a law of the City prior to the issuance hereof. Payment of this Bond and the interest thereon shall be made from, and'as security for such payment there is pledged, a special fund designated as the "Downtown Improvement District No -.'- 1 Bond and Interest Fund", which Fund shall contain initially any monies in the construction account remaining after the cost of improvements has been paid in full and thereafter to contain the proceeds from special assessments to be levied against the property included within the District and specially benefitedby the construction and installation of improvements therein. The assessments to be .levied will constitute a' lien. on and against each lot or tract of land in the respective amounts to belappor- tioned by an ordinance of the City. 151 Bonds of this issue, together with bonds of other local improvement districts of the City, shall be additionally secured by moneys in the special surplus and deficiency. fund authorized by the City Charter. Whenever there is a deficiency in the Bond and Interest Fund for the payment of principal and interest, the deficiency shall be paid out of the special surplus and deficiency fund. Whenever three -fourths of the bonds of this series have been paid and cancelled and for any reason the remain- ing assessments are not paid in time to redeem the remaining bonds and the interest thereon, and there are not sufficient funds in the special surplus and deficiency fund, then the City shall pay the remaining bonds when due and the interest thereon, and levy additional ad valorem taxes necessary therefor, and reimburse itself by collecting the unpaid assessments due the district. This Bond does not constitute a debt of the City of Fort Collins within the meaning of any constitutional, statutory or charter limitation or provision, and shall not be considered or held to be a general obligation of the City. This Bond and the interest thereon are payable solely from the special assessments and other funds and moneys pledged to the payment thereof, as indicated above.The payment of the Bond is not secured by an encumbrance, mortgage or other pledge of the City. No property of the City, subject to the above, shall be liable to be forfeited or to be taken in payment of the bonds of this issue. . It is hereby further certified and recited that all requirements of law have been fully complied with by the proper officers of the City in the issuance of this Bond, and that the total amount of this issue does not exceed the cost and expense of said improvements or any limitation prescribed by law. For the payment of this Bond and the interest thereon the City pledges all of its lawful corporate powers. 152 IN TESTIMONY WHEREOF, The.. City of Fort Collins has caused this Bond to be signed with the facsimile signature of the Mayor of the City, attested by the manual signature of the City Clerk, countersigned with the facsimile signature of the Director of Finance, with a facsimile of the seal of the City affixed hereto, and the interest coupons attached hereto to be signed with the facsimile signature of the City Clerk, as of the 1st day of December, 1976. (FACSIMILE) ( S E A L ) ATTEST: (Manual Signature) City Clerk CITY OF FORT COLLINS, COLORADO By (Facsimile Signature) Mayor COUNTERSIGNED: 153 (Facsimile Signature) Director of Finance 1 r� 1 (Form of Interest Coupon) No. June, On the 1st day of December, 19_, unless the Bond to which this coupon is attached has been called for prior redemp- tion, the City of Fort Collins, in the County of Larimer and State of Colorado, will pay to bearer the amount shown hereon, in lawful money of the United States of America, solely, out of the special fund or funds referred to in the Bond to which this coupon is attached, at the office of the Director of Finance, in Fort Collins, Colorado, being interest then due on its Special Assess- ment Bond for Downtown• Improvement District No. 1, dated December 1, 1976, bearing No. (Facsimile Signature) City Clerk Section 4. Disposition of Bond Proceeds. The proceeds of said bonds shall be applied only to pay the costs and expenses of constructing and installing improvements in said District and all other costs and expenses incident thereto. In the event that all of the proceeds of said bonds are not required to pay such costs and expenses, any remaining amount shall be paid into the special assessment fund for the purpose of calling in and paying the principal of and interest on said bonds. Neither the pur- chasers of said bonds nor any subsequent holder of the same shall be responsible for the application of the proceeds of said bonds by the City or any of its officers. 154 I All or any portion of the bond proceeds may be tempor— arily invested, or reinvested, pending such use, in securities or obligations which are lawful investments for such municipalities in the State of Colorado. It is hereby covenanted and agreed by the City that the temporary investment or reinvestment of the bond proceeds, or any portion thereof, shall be of such nature and extent, and for such period, that the bonds of the City shall not become "arbitrage bonds" within the meaning of Section 103(c) of the Internal Revenue Code, and pertinent. regulations, and such proceeds, if so invested or reinvested, shall be subject to the limitations and restrictions of said Section 103(c), as the same now exists or may later be amended, and shall further be subject to any applicable regulations of the Internal Revenue Service. Section 5. Downtown Improvement District No. 1 Bond and Interest Fund. The bonds and the interest thereon shall be payable solely from a special sinking fund, designated as the Downtown Improvement District No. 1 Bond and Interest Fund, which shall contain initially any monies in the construction account remaining after the cost of improvements has been paid in full and thereafter to contain the proceeds from special assessments to be levied against the property within the District and specially benefited by the construction of improvements therein. When assessments are collected, including interest and any penalties; they shall be placed in the Bond and Interest Fund, and shall be deemed specially appropriated to the payment of the bonds author— ized herein, and the interest thereon, and shall not be used for any other purpose until the bonds and the interest are fully paid. When there is on hand a sufficient amount to pay six months' interest on outstanding bonds for the.'District, the City shall call. for payment, on the next interest payment date, out— standing bonds in direct numerical order with funds; available 155 therefor. Notice of call and redemption shall be given in ac- cordance with Section 16.29 of the Code of the City of Fort Collins,.as provided in Section 1 hereof. After the expiration of the period for cash payments of assessments in full, the City shall, to the extent possible, pay each year approximately 7% of the total amount of bonds outstand- ing after the payment of the bonds with the proceeds of such cash payments of assessments in full. Section 6. Additional Security for the Payment of Principal and Interest. Bonds of this issue, together with bonds of other local improvement districts of the City, shall be addi- tionally secured, by moneys in the special suplus and deficiency fund authorized by the City Charter. Whenever there is a defi- ciency in the Bond and Interest Fund for the payment of principal and interest, the deficiency shall be paid out of the special surplus and deficiency fund. Whenever three -fourths of the bonds of this series have been paid and cancelled and for any reason the remaining assessments are not paid in time to redeem the remaining;. bonds and the interest thereon, and there are not sufficient funds in the special surplus and deficiency fund, then the City shall pay the remaining bonds when due and the interest thereon, and levy additional ad valorem taxes necessary therefor, and reimburse itself by collecting the unpaid assessments due the district. Section 7. Assessment of Costs. The City Council covenants that upon completion of the local improvements and acceptance thereof by the City Council, it will cause a statement showing the whole cost of the improvements and as assessment roll to be prepared and filed. The City Council shall further cause assessments to be levied against the property included within the special improvement district and specially benefited by the construction and installation of such improvements, in accordance with law and the Charter of the City. 156 Section 8. Severability. That if any one or more sections or parts of this Ordinance shall be adjudged unenforce— able or invalid, such judgement shall not affect, impair or invalidate the remaining provisions of this Ordinance, it being the intention that the various provisions hereof are severable. Section 9. Repealer. All Ordinances or parts thereof in conflict with this Ordinance are hereby repealed. Section 10. Ordinance Irrepealable. After said bonds are issued, this Ordinance shall be and remain irrepealable until said bonds and the interest thereon shall have been fully paid, satisfied and discharged. Section 11. Recording and Authentication. This Ordinance, as adopted by the City Council, shall be numbered and recorded, and the adoption and publication shall be authenticated by the signature of the Mayor and the City Clerk, by the certificate of the publisher, respectively. Introduced, considered favorably on first reading, and ordered published this 21st day of December 1976, and to be presented for final passage on the 4th day of January; 1977. ATTEST: 4L City Clerk (Deputy) 157 1 1 1 1 Passed and adopted on final reading this 4th day of January, 1977. .. ATTEST: CJ � ity Clerk First Reading: December 21, 1976 (Vote: Yeas: 7, Nays: 0) Second Reading: January 4, 1977 (Vote: Yeas: 7, Nays: 0) Dates Published: December 26, 1976 and January 9, 1977. Attest: �J City Clerk Ordinance Adopted on Second Reading Relating to the Second Betz Riverside Avenue to the Second Betz Riverside Avenue Rezoning Following is the City Manager's memorandum on this item: "At its December 21, 1976, meeting the Fort Collins City Council adopted Ordinance No. 102, 1976 on first reading. This property is on the south side of Riverside Avenue between McHugh Street to the west and Montgomery Street to the east. The site is directly across from an I-L, Limited Industrial Zoning District and backs up to the rear lots of a row of houses on McHugh Street. The Planning Staff and the Planning and Zoning Board recommended rezoning to B-L.instead of R-H. The City Council concurred with this recommendation." Councilman Russell made a motion, seconded by Councilwoman Reeves to adopt Ordinance No. 102, 1976 on second reading. Yeas: Council - members Bloom, Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Nays: None. 158 �1 ORDINANCE NO. 102 1976 BEING AN ORDINANCE AMENDING THE ZONING ORDINANCE OF THE CITY OF FORT COLLINS BY CHANGING THE ZONING CLASSIFICATION FOR CERTAIN PROPERTY BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS: . That the zoning district map of the City of Fort Collins, Colorado, adopted by the zoning ordinance of the City of Fort Collins, is hereby amended by changing the zoning classification from R-P, Planned Residential District to B-L, Limited Business District for the following described property in the City, to -wit: Riverside Subdivision, Third Filing, Situate in the West 1/2 of Section 18, Township 7 North, Range 68 West of the Sixth P.M., Larimer County, Colorado. Introduced, considered favorably on first reading, and ordered published this 21st day of December, A.D. 1976, and - to be presented for final passage on the 4th day of January, A.D. 1977. Mayor =. ATTEST: (� City Clerk (Deputy) Passed and adopted. on final reading this 4th day of. January, A.D. 1977. a or ATTEST: Ci y Jerk , M& 1 First Reading: December 21, 1976 (Vote: Yeas: 7, Nays: 0) Second Reading: January 4, 1977 (Vote: Yeas: 7, Nays: 0) Dates Published: December 26, 1976 and January.9, 1977 Attest: City Clerk Ordinance Adopted on Second Reading Annexing Suitts First Annexation Following is the City Manager's memorandum on this item: "At its December 21, 1976, meeting the Fort Collins City Council adopted Ordinance No. 103, 1976, on first reading. This is a voluntary annexation of 139.5 acres adjacent to the south side of the Poudre River between Highway 14 and Prospect Street. This first annexation is for 68.3 acres. The second annexation of 71.2 acres will take place the latter part of January or first part of February 1977. The proposed zoning for the first 68.3 acres is I-P, Planned Industrial District." Councilman Bowling made a motion, seconded by Councilman Bloom to adopt Ordinance No. 103, 1976 on second reading. Yeas: Councilmembers Bloom, Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Nays: None. ORDINANCE NO. 103 , 1976 BEING AN ORDINANCE ANNEXING PROPERTY KNOWN AS THE SUITTS FIRST ANNEXATION TO THE CITY OF FORT COLLINS WHEREAS, heretofore, a written petition, together with four prints of an annexation map was filed with the City Clerk of the City of Fort Collins requesting the annexation of certain territory more particularly described below to the City, and WHEREAS, the City Council has found and determined.and does .hereby find and determine that said petition is in substantial compliance with the pro- visions of Colorado Revised Statutes, 1973, Section 31-8-107 as amended, and WHEREAS, the owners of 100% of .the property to be annexed have petitioned for said annexation, and 160 WHEREAS, not less than one -sixth (1/6th) of the perimeter of the area to be annexed is contiguous with.the City of Fort Collins and a community of interest exists between the territory to.be annexed and.the City of Fort Collins and the territory to be annexed.is urban or will be urbanized in the near future and such territory is integrated or is capable of being integrated with the City of Fort Collins, and WHEREAS, none of the provisions of Colorado Revised Statutes, 1973, Section 31-8-105 as amended, are violated by the annexation of this territory to the City, and WHEREAS, no election is required under the provisions of Colorado Revised Statutes, 1973, Section 31-8-107(2) as amended, and no.additonal terms and conditions are to be imposed in connection with this annexation, and WHEREAS, the territory.is eligible for annexation and the City Council desires to annex the same to the City of Fort Collins. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS: Section 1. That all of the territory more particularly described as situate in the County of Larimer, State of Colorado, to -wit: - A part of the West 1/2 of Section 17, Township 7 North, Rangc 68 West of the Sixth P.M., which considering the West line of said Section 17 as bearing N 00001' E and with all bearings contained herein, relative thereto, is contained within the boundary lines which begin at a point which bears N 000 01' E 759.00 feet and again S 840 55' E 1074.14 feet from the Southwest corner of said Section 17 and run thence N 000 01' E 100.00 feet; thence S 840 55' E 100.00 feet; thence N 000 01' E 2783.23 feet; thence S 390 30' E 129.71 feet; thence S 360 18' E 221.20 feet; thence S 470 38' E 60.00 feet; thence S 460 35' E 187.50 feet; thence S 610 31' _ E 186.90 feet; thence S 26° 00' E 148.00 feet; thence S 890 05' E 156.60 feet; thence S 350 52' W 140.20 feet; thence S 15° 46' E 190.20 feet; thence S 140 07' W 223.00 feet; thence S 350 43' E 354.70 feet; thence S 670 47' E 243.70 feet; thence N 670 29' E 372.81 feet to a point on the East line of the Southwest 1/4 of said Section 17; thence S 000 08' 30" E 1591.99 feet along said East line; thence N 840-55' W 1582.54 feet to the point of beginning containing 68.3171 acres, more or less. _ be and it hereby is annexed to the City of Fort Collins and made a part of said City, to be known as the Suitts First Annexation. Section 2. That in annexing said territory to the City of Fort Collins, the City of Fort Collins does not assume any obligation respecting the construction of water mains, sewer lines, gas mains,.electric service lines, streets or any other services or utilities in connection.with territory hereby annexed except as may be provided by the ordinances of.the City of`Fort Collins. 161 1 Section 3. Within ninety (90) days from the date this ordinance becomes effective, no building permit shall be issued for any of the lands herein des cribed. unless said lands have.been zoned under the zoning ordinances of the City. Introduced, considered favorably on first reading, and ordered published this 21st'day of.December A.D., 1976, and to -be presented for final passage on the 4th day of '.January A.D.*, 1977. ATTEST: City Clerk (Deputy) Passed and adopted on final reading this 4th day of January A.D., 1977. ATTEST: City Clerk First Reading: Second Reading: Dates Published Attest:_____ December 21, 1976 January 4, 1977 December 26, 1976 /51 City. Clerk 162 (Vote: Yeas: 7, Nays: 0) (Vote: Yeas: 7, Nays: 0) and January 9, 1977 Ordinance Adopted on Second Reading Annexing Certain Property Known as the Strachan Fourth Annexation Following is the City Manager's memorandum on this item: "Ordinance No. 104, 1976, was adopted on first reading at the December 21, 1976, meeting, The Strachan Fourth Annexation consists of 7.1 acres located on the northeast corner of East Horsetooth Road and Johnsmith Street. The requested zoning is H-B, Highway Business District. This 7.1 acres is part of a large tract of 21.5 acres which is at the present time outside the City Limits. The Planning and Zoning Board recommended that the City Council voluntarily petition to annex the 7.1 acres and that the City initiate involuntary annexation on the remaining 14.45 acres. Both the Administration and the Planning and zoning Board recom- mended that the question of zoning be tabled pending a study of the zoning in this area and the impact of additional H-B zoning on this area as well as the entire City. This report should be available to the City Council at the January 18, 1977 meeting." Councilman Bloom made a motion, seconded by Councilman Bowling to adopt Ordinance No. 104, 1976 on second reading. Yeas: Councilmembers Bloom, Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Nays: None. ORDINANCE NO. 104 , 1976 BEING AN ORDINANCE ANNEXING PROPERTY KNOWN AS THE STRACHAN FOURTH ANNEXATION TO THE CITY OF FORT COLLINS WHEREAS, heretofore, a written petition, together with four prints of an annexation map was filed with the City Clerk of the City of Fort Collins requesting the annexation of certain territory more particularly described below to the City, and WHEREAS, the City Council has found and determined and does hereby find and determine that said.petition is in substantial compliance with the pro- visions of Colorado Revised Statutes, 1973, Section 31-8-107 as amended, and WHEREAS, the owners of 100% of the property to be annexed have petitioned for said annexation, and WHEREAS, not less than one -sixth (1/6th) of the perimeter of the area to be annexed is contiguous with -the City of Fort Collins and:a,community of interest exists between the territory to be annexed and the City of Fort Collins and the territory to be annexed is urban or will be urbanized', in the near future and such territory is integrated or is capable of.being integrated with the City of Fort Collins, and _ 163 1 1 WHEREAS, none of the provisions of Colorado Revised Statutes, 1973, Section 31-8-105 as amended, are violated by the annexation of this territory to the City, and WHEREAS, no election is required under the provisions of Colorado Revised Statutues, 1973, Section 31-8-107(2) as amended, and no additonal terms and conditions are to be imposed in connection with this annexation, and WHEREAS, the territory is eligible for annexation and the City Council' desires to annex the same to the City of Fort Collins. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS: Section 1. That all of the territory more particularly described as situate in the County of Larimer, State of Colorado, to -wit: A portion of the Southwest 1/4 of Section 25, Township 7 North, Range 68 West of the Sixth P.M., Larimer County, Colorado, which, considering the West line of said Southwest 1/4 as bearing S 00 0 00' 45" E and with all bearings contained herein, relative thereto, is contained within the boundary lines which begin at a point which bears N 89045'30" E 421.79 feet from the Southwest corner of said Section 25 and run thence N 00024'45" W 592.00 feet; thence S 890 02' E 450.82 feet; thence along the arc of a 494.77 foot radius curve to the left a distance of 97.08 feet, the long chord of which bears S 17028'25" E 96.92 feet; thence S 23005'40" E 114.42 feet; thence along the arc of a 460.00 foot radius curve to the right a distance of 183.47 feet, the long chord of which bears S 11040'05" E 182.26 feet; thence S 00014'30" E 205.83 feet; thence S 89045'30" W 558.21 feet to the point of beginning, containing 7.1303 acres, more or less. be and it hereby is annexed to the City of Fort Collins and made a part of said City, to be known as the Strachan Fourth Annexation. Section 2. That in annexing said territory to the City of Fort Collins, the City of Fort Collins does not assume any obligation respecting the construction of water mains, sewer lines, gas mains, electric service lines, streets or any other services or utilities in connection with territory hereby annexed except as may.be provided by.the ordinances of -the City of Fort Collins.. Section 3. Within ninety (90) days from the date this ordinance becomes effective, no building permit shall be issued for any of the lands herein described unless said lands have been zoned under the zoning ordinances of the City.,.0 Introduced, considered favorably on first reading, and ordered published this 21st day of December. A.D.., .1976, and to be presented for final passage on the 4th'day of January A.D., 1977.' 164 Mayor ATTEST: City Clerk (Deputy) Passed and adopted.on final -reading this 4th day'of January A.D., 1977. ATTEST: City Clerk First Reading: December 21, 1976 (Vote: Yeas: 7, Nays: 0) Second Reading: January 4, 1977 (Vote: Yeas: 7, Nays: 0) Dates Published: December 26, 1976 and January 9, 1977 Attest: Ly City Clerk Ordinance Adopted on First Reading Zoning the Suitts First Annexation Following is the City Manager's memorandum on this item: "The Suitts First Annexation consists of 68.3 acres along the south side of the Poudre River between Highway 14 and Prospect Street. The requested zoning in this area is I-P, Planned Industrial District. Mr. Suitts had previously agreed to dedicate to the City at no cost enough right-of-way along the Poudre River for our Trails Program. The City is also negotiating for purchase of 50 acres in the southern portion previously used as gravel pits. The annexation ordinance for this property was passed on first reading at the December 21, 1976, meeting and on second reading at the January 4, 1977 meeting." 165 1 1 Councilmembers inquired into the dedication for the Trails Program and were advised by the City Manager that the admini- stration is pursuing the dedication and hopes to have it in hand before second reading of the ordinance. Councilman Bowling made a motion, seconded by Councilman Bloom to adopt Ordinance No. 1, 1977 on first reading. Yeas: Council - members Bloom, Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Nays: None. Ordinance Adopted on First Reading Amending the Zoning Ordinance with Regard to Requirements for Dav Care Centers Following is the City Manager's memorandum on this item: "At its December 21, 1976, meeting the Fort Collins City Council received a recommendation from the Planning and Zoning Board that an amendment be made to the Zoning. Ordinance requiring a 1500-foot separation by direct pedestrian access between day care centers in the R-M „ Medium Denisty Residential District. The whole status and question of Day Care Centers has been discussed by the City Council on many occasions. At the December 21 meeting the Fort Collins City Council requested the City Attorney to prepare the necessary ordinance." Councilwoman Gray made a motion, seconded by Councilman Bloom to adopt Ordinance No. 2, 1977 on first reading. Yeas: Council - members Bloom, Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Nays: None. Ordinance Adopted on First Reading Relating to the City Arborist Following is the City Manager's memorandum on this item: "The 1977 budget provides for a full-time City Arborist to head the Forestry Division of the Parks and Recreation Department. This Ordinance provides that the City Manager shall employ or contract for the services of a person to be known as the City Arborist. Dr. Carl Jorgenson has acted in the capacity of part-time Arborist since 1971. At the present time he has been working one day per week during the entire year except for the months of June through September when he works 4-2 days per week. With the many responsibilities and duties, we all recognize (including Dr. Jorgenson) the need at this time for a full-time City Arborist. 166 k The City of Fort Collins was extremely fortunate in obtaining the services of Dr. Carl Jorgenson. At the time he took the position he agreed to stay approximately five years. During that period the City has developed an outstanding program. We have received national prominence for our various tree - related programs, and our Dutch Elm disease preventative program has been second to none. Dr. Jorgenson will spend next summer in Alaska and has asked that his services be terminated no later than June 1, 1977. He would be available when needed to work for us on a consultant basis. We are now in the process of recruiting for a full-time arborist." Councilman Bloom inquired if Dr. Jorgenson would be available to provide consultation on tree planting in the downtown project. City Manager Brunton responded that Dr. Jorgenson would stay on until a new person is hired. Councilman Russell expressed his desire to have the administration explore contracting for service rather than employing a full time. City Arborist. Councilwoman Cray made a motion, seconded by Councilwoman Reeves to adopt Ordinance No. 3, 1977 on first reading. Yeas: Council = members Bloom, Bowling, Cray, Reeves, Suinn and Wilkinson. Nays: Councilman Russell. Resolution Tabled Approving Agreement with Board of County Commissioners of Larimer County Regarding Library Facilities Following is the City Manager's memorandum on this item: "The Larimer County Library Board and system was created in 1939._, At that time the County library books were located in the base- ment of the City library. Fifty percent of the director's salaries and fifty percent of various employees' salaries were charged both to the City and to the County. In 1967, the County library was dissolved and merged with the City library. However, the County Library Board was kept to coordinate the library facilities in the County. In the original 1967 agreement, the City received $13,500 to maintain a bookmobile for the County and $10,500 to pay for free library service for people in Larimer County wanting to use the library facilities. The amount of money that the City received is based on a•formula worked out by the County Library Board of which Larry Webber acts as the County Librarian. Initially, the County Commissioners determine how much can be allocated for library services in a fiscal year. From this amount, money is deducted for the bookmobile, for the operation of the Red Feather Lakes Library, and for"Board expenses. The remaining money is divided on a formula basis'as follows: 167 Iq I 1 1 Fort Collins 50%, Loveland 30Z Estes Park 12% Berthoud 8% Listed below is a summary of the allocations for 1974, 1975, 1976, and the final allocation for 1977: 1974 1975 1976 1977 Bookmobile Reimburse- ment $20,000 $23,000 $23,000 $36,475 Free Library Service Reimbursement 22,298 27,700 27,700 33,000 Total $42,298 $50,700$50,700 $69,475 The $69,475 figure was used for estimating.and projecting the 1977 revenue." Councilman Bowling stated he would like to have a report on the cost of this service that the City provides, prior to taking action on this item. Councilman Bowling made a motion, seconded by Councilwoman Gray to table this item until the next regularly scheduled meeting and ask the City Manager to provide Council with a cost of service figure. Yeas: Councilmembers Bloom, Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Nays: None. Resolution Adopted Withdrawing the City Manager from the City Retirement Plan Following is the City Manager's memorandum on this item: "At the City Manager evaluation sessions this fall a request was made to allow the City Manager and a small group of additional employees to withdraw from the City Retirement Plan and substitute participation in the ICMA Deferred Compensation,Plan. The City Council at that time authorized the City Manager only to with- draw from the City Retirement Plan and deferred consideration of other employees withdrawing to a later date. The resolution provides that in the future all comparable payments provided for other City employees for the City Manager will be placed in the Deferred Compensation Plan. It also provides that the principal payment only for prior years will be withdrawn from the City's Retirement Plan and paid into the Deferred Compensation Plan. The City Manager is required to execute a waiver on all sources of benefits or rights under the City Retirement Plan. I In the near future we will be discuss;ing.all three of our retirement programs. It is hoped at 'the time we can review the status of several_ additional employees that .I feel are in a similar category and should be considered transferring from the City Retirement Plan to the ICMA Deferred Compensation Plan." Councilwoman Gray made a motion, seconded by Councilwoman Reeves to adopt the resolution. Yeas: Councilmembers Bloom, Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Nays: None. RESOLUTION 77-1 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROVING THE WITHDRAWAL OF THE CITY MANAGER FROM THE CITY RETIREMENT PLAN AND SUBSTITUTING PARTICIPATION ON BEHALF OF THE CITY MANAGER IN THE ICMA RETIREMENT CORPORATION'S DEFERRED COMPENSATION PLAN WHEREAS, heretofore on March 4, 1971, the City Council established a retirement plan for employees of the City; and WHEREAS, the City Manager is .included as a participant in that retirement plan; and WHEREAS, the City Council recognizes that the City Manager's position is unique among City employees and normally involves employment of individuals with previous experience in other municipalities at later stages of such individual's careers and also individuals employed as City Manager are subject to dismissal at the will of the City Council at any time; and WHEREAS, because of these unique aspects of this position, it is the opinion of the City Council that retirement benefits for the City Manager should not be provided through the City retirement plan but would better be provided through partici- pation in the Deferred Compensation Plan of the ICMA Retire- ment Corporation. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY'.OF FORT COLLINS: 1. That the City retirement plan adopted by,resolution of the City Council on March 4, 1971, is amended to delete the City Manager as a participating City employee in such plan. 169 1 2. Any amount which would have been.payable by the City into the City retirement plan on the behalf of the City Manager, if he were a participant in such plan, shall instead be paid into the Deferred Compensation Plan established for the City Manager with the ICMA Retirement Corporation. 3. All amounts heretofore paid into the City retirement plan on behalf of Robert L. Brunton, the City Manager, shall be withdrawn from the City retirement plan and paid into the Deferred Compensation Plan established for the City Manager with the ICMA Retirement Corporation. The amount to be so withdrawn shall be only the amount actually paid in and not any increase which has been earned on such amount. 4. This resolution shall be effective at such time as the City Managerexecutes a waiver of all claim to benefits or rights. under the City Retirement Plan. Passed and adopted at a regular meeting of the City Council held this 4th day of January, A.D. 1977. ATTEST• Mayor City Clerk Agreement for City to Provide Maintenance for Detention Pond in the Stagecoach Subdivision Approved Conditionally Following is the City Manager's memorandum on this item: "The United Bank is the owner of the Stagecoach Subdivision which is an approved subdivision being developed outside the City. In order to provide for storm drainage, a detention pond has been designed which will ultimately drain into an adjoining irrigation ditch. The Bank has requested that the Cit agree to provide maintenance of the detention pond area. The enclosed agreement has been negotiated which will provide for the City supplying this maintenance but requires the developer to put up a Certificate of Deposit in the amount of $5,000 and which limits the City's expenditure to the amount available from the Certificate of Deposit. As the area ultimately is annexed to the City, the detention pond will be 170 owned by the City and the Certificate:.of.Deposit will be turned over to the City." Councilmembers inquired into the desirability of accepting the detention pond, the obligation for maintenance and the means by which the $5,000 had been determined. Director of Engineering Services, Roy A. Bingman, stated the Bank would submit plans which would require approval by the Engineering Department; they (Engineering Department) had determined that the $5,000 was adequate for the maintenance proposed. Councilman Russell made a motion, seconded by 'Councilman Bowling that -the agreement be sent back to the United Bank for re -negoti- ation from $5,000 to $10,000. Yeas: Councilmembers Bloom, - Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Nays: None. (Secretary's Note: This item was again considered under "Other Business" at this meeting.) Fines for Overtime Parkin Following is the City Manager's memorandum and recommendation on this item: "Under the Traffic Code the Municipal Court establishes the "cafeteria" court fine schedule. This includes the fines for overtime parking. The current fine for overtime parking is $1.00 if the fine is paid within eight days of the violation and $10 if paid thereafter. The Traffic Committee has reviewed this matter and has recommended that the fine be changed to $3.00 if paid in the first eight days and $10 thereafter. We have discussed this with Municipal Court and the Judge has indicated that he will increase the minimum fine in accordance with this recommendation but desired that we first inform the Council of this change. Recommendation: This item is included for information only and no action is required by Council unless Council objects to the change in the fine schedule." Application Approved for United StatesCivilService Commission Intergovernmental Personnel. Agency Discretionary Grant Following is the City Manager's memorandum on this item: "Enclosed is an application for $3,350.from the Intergovernmental Personnel Agency. Also enclosed is a summary of the grant application. The overall objective of this project is to improve 171 1 1 1 selection procedure and other related appraisal procedures in the City of Fort Collins. It is 8n integral part of our normal and legal personnel program. The total local match will be indirect of the personnel that would be used as program would be working in this area money would give us the opportunity to and more comprehensive program in this procedure." or soft match. All soft match for this anyway. This grant do a better, extended vital area of personnel Councilman Bloom stated he had no objection to the goals set forth but expressed the following two concerns: 1. that all federal grant money comes from the individual taxpayer, and 2. that the staff had already prepared a 16 page docu- ment in submitting the grant and additional reporting would be required; therefore, he questioned whether the grant of $3,350 is worth it. Councilman Bowling stated it was his understanding that it was not cost effective to submit for any grant under $7,500. City Manager Brunton stated he would report on the new grant procedure at the January 11, 1977 work session. Councilwoman Reeves made a motion, seconded by Councilwoman Gray to authorize the submission and authorize the Mayor to sign the application on behalf of the City. Yeas: Council - members Gray, Reeves, Suinn and Wilkinson. Nays: Council - members Bloom, Bowling and Russell. Consider Various Easements and Rights -of -Way Dedications Following is the City Manager's memorandum on this item: "The following easements and rights -of -way have been negotiated and require Council approval: (1) Easement for sidewalk on property owned by Don M. Metzger located on Taft Hill Road; (2) Easement for sidewalk on property owned by Jerry A. Breiner located on Taft Hill Road; .(3) Slope Easement on property owned by Luella G. Ogier on Taft Hill Road. This easement being to slope the ground from the sidewalk and street improvements being installed; (4) Right-of-way dedication from Gerald J. Edelen and Beulah M. Edelen to extend Hibdon Court west of North College Avenue; 172 14 u (5) Right-of-way dedication from R.D. Brew to extend Hibdon Court west of North College Avenue; (6) Right-of-way dedication from William V. and Catherine B. Thompson to extend Hibdon Court west of North College Avenue. All of these easements and rights -of -way have been obtained without cost to the City." Councilwoman Gray made a motion, seconded by Councilman Bloom that the Council accept the above easements and rights -of -way. Yeas: Councilmembers Bloom, Bowling, Gray, -Reeves, Russell, Suinn and Wilkinson. Nays: None. Report from City Manager a. City Manager Brunton stated a bid had been awarded to Leo Payne Imports Inc. for the new bus for Transfort in the amount of $25,865.00. b. City Manager Brunton reported that, he, and the City Attorney had been in touch with the Colorado and Southern Railroad, and they will be available to meet the Council in January. C. City Manager Brunton distributed copies of the proposed Electrical Rate Study. This item will be on the January 11, 1977 work session. Report from City Council on Committees Councilman Russell reported on the PRPA Board meeting where the site selection of the new plant was discussed. Other Business Councilman Bowling stated Council had received;a letter from Mr. John Clarke, 1405 South College Avenue, concerning a request for a zoning variance in the 1400 block of South College Avenue. Councilman Bowling read the following portion of Mr. Clarke's letter: "I am therefore asking the Council to take action to, adopt an affirmative plan for the transition of the 1400 block of South College Avenue before it is too late to adequately control the change to business." 173 Councilman Bowling stated the specific request was that Council refer this block to the Planning and Zoning Board and the Planning Department for an overall plan, before the zones are changed. Councilman Bowling made a motion, seconded by Councilman Russell that Council refer the plan for the 1400 block of South College Avenue be referred to the Planning Department and that a mora- torium be established on any variances in this block until a new plan is approved. Yeas: Councilmembers Bloom, Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Nays: None. Proposed New T Transition Zoning District Following is the City Attorney's memorandum and recommendation on this item: "From time to time property is annexed into the City which is not yet ready for development. In such case the property must be zoned within 90 days. This requires that the property owner request a designation before such owner is prepared to begin development or before he knows what his ultimate develop- ment plans may be. It also requires that the City forecast' the proper development for such areas ahead of the time they are ready for development. Recent examples of properties where this has been a problem are the Vance Annexation, the area in the vicinity of Riverside, Lemay and Watts at the intersection of Prospect and Shields. The City Attorney's office has suggested that a new zone could be added for these transition properties which would allow no new development but which would not require a determination at the time of annexation of the proper zoning. As long as the property owner has the right to request that the property be removed from this zone and placed in another zone, it is felt that this would be a valid legal zone. The attached ordinance is a draft proposal which would meet the purposes proposed. Recommendation: The Administration recommends that the Council refer this proposal to the Planning and Zoning Board to be considered at the Board's January meeting and a recommendation be requested from the Board to the City Council." Councilman Bowling made a motion, seconded by Councilman Bloom to a3opt the recommendation of the administration. Yeas: Councilmembers Bloom, Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Nays: None. Mayor Wilkinson declared a recess to 7:15 p.m. 174 Citizen Participation Certificates of Appreciation Mayor Wilkinson read the following names of recipients for certificates of appreciation for retiring members of Boards and Commissions: 1. Ginny Aragon, Coordinating Commission for Senior Citizens 2. Ann Manvel, Library Board 3. Edward Ted Johnson, Parks and Recreation Board. Ordinance Adopted on First Reading Rezoning Foothills Apartments on Shields Street Following is the City Manager's memorandum on this item "At its December 21, 1976, meeting the Fort Collins City Council,. tabled Ordinance No. 99. This tabling was at the request of the: petitioner. The Foothills Apartments -Shields Street rezoning consists of 2.3 acres located on the west side of South Shields Street between Stuart Street and Spring Creek. The requested -" rezoning is from R-M, Medium Density Residential District, to B-P, Planned Business District. At its December 6, 1976 meeting the Planning and Zoning Board recommended for approval of this rezoning." Petitioner, Gene Fischer, spoke to the petition for rezoning. The Director of Planning spoke to the Staff and the Planning and Zoning Board's recommendation for approval. Councilman Suinn expressed concern regarding this petition, and the similarity to a previously denied request for rezoning for similar uses. Councilman Bloom made a motion, seconded by Councilman Bowling to adopt Ordinance No. 99, 1976 on first reading. Yeas: Council - members Bloom, Bowling, Russell and Wilkinson. Nays: Council - members Gray, Reeves and Suinn. Consider Certain Agreements with the Fort Collins Housing Authoritv Following is the City Manager's memorandum and`frecommendation on this item: 175 "This item was on the December 21, 1,976, Council meeting agenda. Unfortunately, two of the agreements were omitted from the agenda and were received by Council members too late for any ' substantive review; therefore, this entire matter was tabled until this meeting. The enclosed package includes three separate agreements: (1) the updated Management Contract for the Low -Rent Housing Project; (2) the,Management Contract for the Section VIII Housing Program, and (3) a new lease agree- ment for the use of land where the present Housing Authority Administration and Recreation Building is located. Also enclosed are memos from John McCraw on the need for continuing management and administrative services and a memo from Lucia Liley, Assistant City Attorney, summarizing, the major Doints in the three aforementioned contracts.. Council should recall that the City is reimbursed for all expenses in connection with this project. Although the staff of the Housing Authority is listed on our City payroll for fringe benefit purposes, costs are reimbursed by the Housing Authority. Recommendation: The Administration recommends that the City Council approve the three aforementioned agreements and authorize the City Manager and City Clerk to sign the agreements on behalf of the City." Also included and made a part hereof is the summary of the contracts set forth by Assistant City Attorney Lucia Liley: "I have reviewed the proposed management contracts and the lease agreement between the Housing Authority and the City and have made some revisions to these. In their final forms, the major provisions of each can be summarized as follows: 1. Management Contract - Low -rent Housing, Project The Housing Authority has constructed and owns fifty dwelling units for rent to eligible persons and a facility for the management and recreational aspects of the project. This contract would be effective January, 1977, and provides that: a) City manage the project under the auspices of the Director of Human Resources; b) All management shall be according to policies of the Housing Authority and the Authority shall have access to all records of the City dealing with the project; c) City must annually submit a budget and operational plan for Authority approval; 176 2 d) City may use any office or other non -dwelling, facilities for municipal purposes with Authority approval; e) City would collect all rents and other income and supervise the maintenance required by the project; f) City must initiate, sponsor and coordinate speci- fied social service activities needed by the tenants; g) City shall be responsible for it's employees, shall observe principles of non-discrimination and affirmative action and shall pay specified minimum wage; h) Authority shall pay the City the sum of $1368.31 per month for its management services in addition to any other payments specified in the contract; i) The term of the contract is one year with automatic. annual renewal and with the ability to terminate the contract on 60 days notice or upon sale of the project ._ by the Authority or upon non-performance by the City. Lease Agreement The lease agreement between the Authority and the City has these major provisions: a) The City will lease to the Authority the piece of property upon which the management and recreational facility of the Housing Authority is located. b) Rent is $1.00 Der year. c) Term is forty years with a ninety day cancellation - provision. d) Housing Authority will Drovide hazard insurance, pay any taxes on property and,be responsible for maintenance and repair. e) If the Housing Authority desires to charge the public for the use of its facilities, it must get Council approval to do so. . f) On expiration of lease, all Housing Authority facili- ties will become sole property of the :City. 177 1 1 1 3. Management Contract - Section 8 Housing This contract is very similar to the first management ' contract for the low -rent housing project. The major differences are as follows; a) The City must enter into contracts with the owners of the Section 8 housing and housing assistance payments will then be paid to selected eligible tenants as per these contracts. b) The City will receive from the Housing Authority the sum of $1,536.22 per month for administrative services rendered in accordance with this contract." Councilmembers inquired into specific areas of the contracts and expressed the following concerns: 1. Complaints regarding the poor maintenance of the 50 units owned by the Housing Authority. 2. The automatic renewal clause in the contract. 3. The need to keep administrative costs down as low as possible. 4. The need to provide for evaluation of the outcome of the ' program, specifically the administrative counseling. 5. The need to meet with the Housing Authority to discuss the issues raised this evening. Councilwoman Gray made a motion, seconded by Councilman Suinn to adopt the recommendation of the Administration. Yeas: Councilmembers Bloom, Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Nays: None. Other Business City Attorney March requested Council go back to the agreement with United Bank regarding Stagecoach Subdivision. He inquired if Council would consider acceptance of the agreement and the signing of it if the figure is changed from $5,000 to $10,000. Councilman Russell made a motion, seconded by Councilman Bowling to approve the agreement with the United Bank and authorize the Mayor and City Clerk to execute the agreement on behalf of the City contingent upon the changing of the $5,000 figure to $10,000. Yeas: Councilmembers Bloom, Bowling, Gray, Reeves, Russell, Suinn and Wilkinson. Nays: None. ' The Mayor then declared the Council meeting adjourned, 178 ATTEST: City Clerk 179 14 qq f I