HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 08/19/2008 - SECOND READING OF ORDINANCE NO. 076, 2008, APPROPR ITEM NUMBER: 7
AGENDA ITEM SUMMARY DATE: August19, 2008
FORT COLLINS CITY COUNCIL STAFF: Chip Steiner
Darin Atteberry
SUBJECT
Second Reading of Ordinance No. 076,2008,Appropriating Funds in the Downtown Development
Authority Fund for Expenditure in Accordance with the Downtown Plan of Development.
RECOMMENDATION
Staff recommends adoption of this Ordinance on Second Reading.
EXECUTIVE SUMMARY
Ordinance No. 076, 2008, unanimously adopted on First Reading on July 1, 2008, appropriates
$2,800,000 from the Downtown Development Authority Operations and Maintenance 2004A DDA
Bond Project and the 2007A Bond Project fund for the purchase of the Elks Building, 140 East Oak
Street. The DDA Board has authorized the expenditure on this project.
ATTACHMENTS
1. Copy of First Reading Agenda Item Summary - July 1, 2008.
(w/o original attachments)
ATTACHMENT
ITEM NUMBER: 22
AGENDA ITEM SUMMARY DATE: July 1, 2008
FORT COLLINS CITY COUNCIL
, STAFF: Chip Steiner
4'
Darin Atteberry
SUBJECT
First Reading of Ordinance No. 076, 2008, Appropriating Funds in the Downtown Development
Authority Fund for Expenditure in Accordance with the Downtown Plan of Development.
RECOMMENDATION
Staff recommends adoption of the Ordinance on First Reading.
At its April 10, 2008 meeting, the Downtown Development Authority Board voted to recommend
approval of the appropriation.
FINANCIAL IMPACT
rNl-op AL-
The DDA Board has authorized expenditure on the purchase of the Elks Building, 140 East Oak
Street, in the amount of$2,800,000. The funds are currently available but require appropriation by
City Council.
EXECUTIVE SUMMARY
The Downtown Development Authority(DDA) is asking Council to appropriate $2,800,000 from
the Downtown Development Authority Operations and Maintenance 2004A DDA Bond Project and
the 2007A Bond Project fund for the purchase of the Elks building. The DDA Board has authorized
the expenditure on this project.
BACKGROUND
The Downtown Development ority (`the "D ") was" Bated in 1981 with the purpose,
according to State statute, of planning and implementing projects and programs within the
boundaries of the DDA. The DDA and the City adopted a Plan of Development that specifies the
projects and programs the DDA would undertake. Subsequent to that Plan, the City has adopted
the Downtown Plan and the Downtown Strategic Plan. All three documents cite the need for and
the pursuit of a downtown hotel. The Elks building will be torn down(saving and recycling as much
material as possible and minimizing the impact of local landfills)and the surface area will become
public parking in conjunction with the hotel development. While the DDA originally intended to
July 1, 2008 -2- Item No. 22
build a convention center on the Elks site,the hotel developer has agreed to add 7,000 square feet
of meeting space within the hotel proper (in addition to the 5,000 square feet it has already
committed to build). The DDA intends, with City Council approval, to use the saved funds for
improvements to six alleys, th plann .in esign jnd. congtrun of a year-round community
market, and to ensure the D -plann amp"th ` to 's if 'lt to the maximum benefit of the
community.
ATTACHMENTS
1. Minutes from the April 10, 2008 meeting of the DDA.
2. Excerpts from the Downtown Development Authority Plan of Development, Downtown
Strategic Plan and the Downtown Plan.
PT
ORDINANCE NO. 076, 2008
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROPRIATING FUNDS IN THE
DOWNTOWN DEVELOPMENT AUTHORITY FUND
FOR EXPENDITURE IN ACCORDANCE WITH THE
DOWNTOWN PLAN OF DEVELOPMENT
WHEREAS, on April 21, 1981,the City of Fort Collins, Colorado, adopted Ordinance No.
046, 1981,establishing the Fort Collins,Colorado,Downtown Development Authority(the"DDA");
and
WHEREAS,the Downtown Development Authority's Plan of Development was approved
by the City on September 8, 1981,and established the purpose of the DDA and the types of projects
in which the DDA would participate; and
WHEREAS, through the adoption of Ordinance No. 088, 2004, the Council appropriated
proceeds from the issuance ofthe City of Fort Collins,Colorado Downtown Development Authority
Taxable Subordinate Tax Increment Revenue Bonds, Series 2004A, for expenditure on certain
capital improvements in the amount of$6,235,000; and
WHEREAS, through the adoption of Ordinance No. 016, 2007, the Council appropriated
proceeds from the issuance of the City of Fort Collins,Colorado Downtown Development Authority
Taxable Subordinate Tax Increment Revenue Bonds, Series 2007A, for expenditure on certain
capital improvements in the amount of$5,700,000; and
WHEREAS,the DDA requested and City Council appropriated funds in Ordinance No.089,
2004,of which$255,000 remains unexpended and appropriated funds in Ordinance No. 017,2007,
of which $2,545,000 remains expended for a combined total of$2,800,000; and
WHEREAS,the DDA wishes to purchase the Elks Building,located within DDA boundaries
at 140 East Oak Street, with$2,800,000 of unexpended funds, knowing that the DDA will request
the issuance of City of Fort Collins Colorado taxable subordinate tax increment revenue bonds in
2008 to fund project commitments; and
WHEREAS,Article V, Section 10,of the Charter authorizes the City Council to transfer by
ordinance any unexpended and unencumbered amount or portion thereof from one fund or capital
project to another fund or capital project,provided the purpose for which the transferred funds are
to be expended remains unchanged; and
WHEREAS,the Board of Directors of the Fort Collins Downtown Development Authority
passed and adopted at the regular meeting of the Board of Directors of the Fort Collins Downtown
Development Authority on the 1 Oth day of April, 2008, the desire and intent to purchase the Elks
Building; and
WHEREAS,the Board anticipates considering and passing a resolution at its July 10,2008
regular meeting asking that City Council appropriate funds for the purpose of buying the Elks
Building.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that there is hereby appropriated and reallocated for expenditure from reserves in the
Downtown Development Authority Fund the sum of TWO MILLION EIGHT HUNDRED
THOUSAND DOLLARS ($2,800,000)to be used for the purchase of the Elks Building.
Introduced,considered favorably on first reading,and ordered published this 1 st day of July,
A.D. 2008, and to be presented for final passage on the 19th day of August, A.D. 2008.
Mayor
ATTEST:
City Clerk
Passed and adopted on final reading on the 19th day of August, A.D. 2008.
Mayor
ATTEST:
City Clerk