HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 09/18/2001 - ITEMS RELATING TO THE LEASE FINANCING AGREEMENT FO AGENDA ITEM SUMMARY ITEM NUMBER: 8 A-C
DATE: September 18, 2001
FORT COLLINS CITY COUNCIL Alan xrcmarik
STAFF: Jerry P. Brown
SUBJECT:
Items Relating to the Lease Financing Agreement for the Public Safety and Recreational
Improvements
RECOMMENDATION:
Staff recommends adoption of the Ordinances on Second Reading.
FINANCIAL IMPACT:
The City will finance the improvements with $3,720,000 from a lease purchase transaction. $890,000 will be
used to acquire an off-site City Police Department facility. $2,830,000 will be used for replacement of the
Collindale Golf Course Clubhouse and other Golf Course improvements. The annual payments on the lease
transaction will average about $291,000 for 20 years. The Golf Fund will pay its share of the improvements
from a surcharge fee that will be implemented in 2002. After 2003 the Golf Fund will have up to an additional
$140,000 available annually when the debt service for the SouthRidge Golf Course is retired. The source of
payment for the Police facility will come from the City's General Fund and federal grant monies.
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EXECUTIVE SUMMARY:
A. Second Reading of Ordinance No. 130, 2001, Approving and Authorizing the City to
Enter into Agreements in Connection with the Execution and Delivery of Lease
Certificates of Participation for Public Safety and Recreational Improvements.
This Ordinance authorizes the City to execute deeds and agreements to provide funds to
acquire a facility for the Police Department and to construct a new clubhouse at the Collindale
Golf Course and to make additional Golf Course improvements. The Police Department and
Golf Fund projects will be financed through the use of a non-profit corporation, the Fort
Collins Capital Leasing Corporation. This is similar to the financing used for the parking
structure and City office building. Through an assignment of lease payments, the City will
transfer the properties to the Fort Collins Leasing Corporation. The Corporation will then
lease the properties back to the City for a term of 20-years. Upon payment of all lease
payments, the site lease will be terminated, and the property and improvements will be
conveyed to the City.
The full term of the lease transaction is 20 years. The City has the right to make early
payments in order to reduce the length of the lease term or to reduce annual costs. The City
expects to pay interest on the lease semi-annually, at a rate of 4.70% for the first 10 years at
DATE: September 18,2001 2 ITEM NUMBER: 8 A-C
which time the rate will be reset every five years based upon a lending index. Principal
payments will be made annually.
B. Second Reading of Ordinance No. 141, 2001, Appropriating Proceeds in the Golf
Enterprise Fund from the Lease Financing of Golf Course Improvements, Including
the Replacement of the Collindale Golf Course Clubhouse.
This Ordinance appropriates $2,830,000 in the Golf Fund. The funds will be used to
construct a new Collindale Golf Course Clubhouse and make additional golf course
improvements and pay for the costs associated with the lease financing.
C. Second Reading of Ordinance 142, 2001, Appropriating Unanticipated Revenue in the
Capital Projects Fund to be Used for the Purchase of a Police Facility
This Ordinance appropriates $890,000 in the Capital Projects Fund for the acquisition and
improvements for a Police facility and to pay for the costs associated with the lease financing.
BACKGROUND:
On August 21, Council unanimously adopted Ordinance No. 130, 2001, on First Reading. On
September 4, 2001, Council also unanimously adopted Ordinance No's. 141 and 142, 2001.
On September 7, the Finance Department received competitive bids on the lease transaction.
Zions First National Bank submitted the lowest interest rate of 4.70% for the first ten years
with repricing to occur at the end of the tenth year and to reset according to a floating index
for each of the remaining two five-year terms. Based on the terms of the bid from Zions, the
City has been able to reduce the original estimated cost of the transaction.
The original financing plan contemplated an interest rate of 5.50% with estimated lease
payments of approximately $324,000 annually. The actual interest rate of 4.70% lowers the
annual lease payments to approximately $291,000 per year. Staff was also able to reduce the
cost of the financing by $55,000. The table below shows the actual breakout of the sources
and uses of funds.
Police
Facility Golf Total % of Total
Sources of Funds $890,000 $2,830,000 $3,720,000 100.00%
Uses of Funds
Construction $ ----- $2,289,000 $2,289,000 61.53%
Contingency 40,000 160,000 200,000 5.38%
Land-Facility Costs 835,000 351,000 1,186,000 31.88%
Total Construction Costs 875,000 2,800,000 3,675,000 98.79%
DATE: September 18, 2001 3 ITEM NUMBER: 8 A-C
Police
Facility Golf Total % of Total
Financing Costs
Cost of Issuance 15,000 30,000 45,000 1.21%
Accrued Interest -- - - --
Total Financing Costs 15,000 30,000 45,000 1.21%
Total Project Costs $890,000 $2,830,000 $3,720,000 100.00%
Recommendation
The tease transaction bid process resulted in lower costs to the City. Staff recommends
adoption of the ordinances on Second Reading.
AGENDA ITEM SUMMARY ITEM NUMBER: 23
DATE: August 21, 2001
FORT COLLINS CITY COUNCIL STAFF: Alan Krcmarik
Jerry P. Brown
SUBJECT:
First Reading of Ordinance No. 130, 2001, Approving and Authorizing the City to Enter into
Agreements in Connection with the Execution and Delivery of Lease Certificates of
Participation for Public Safety and Recreational Improvements. '-
RECOMMENDATION:
Staff recommends adoption of the Ordinance on First Reading
Agoillimma
Am mm"S66-d'A
FINANCIAL IMPACT: 77
The Citywill finance the improvements with
p approximately $3.865' million in tax-exempt certificates of
participation lease financing. Approximately $1.0 million')ffiW be used to acquire an off-site City Police facility.
Approximately $2.865 million will be used for replacement of tl3e Collindale Golf Course Clubhouse and other
Golf Course improvements. The annual payments on the certific icipation will average about $324,000.
The Golf Fund will pay most of its share,bf-did iM ativements fro irt ¢urcharge fee that will be implemented in
2002. After 2003, the Golf Fund will have up to an7liiiiional $140"" available annually when the debt service
for the SouthRidge Golf Course is retired. The source of payment for the Police facility will come from the City's
General Fund. The structure will also receive federal grant monies. Second Reading of this Ordinance will be on
September 18, due to pricing considerations.
EXECUTIVE SUMMARY:
w
This Ordinance authorizes the City to execute and deliver lease purchase certificates of
participation to provide funds to acquire a facility for the Police Department and to construct a
new clubhouse at the Collindale Golf Course and to make additional Golf Course improvements.
The 0olice Department and Golf Fund projects will be financed through the use of a non-profit
corpbtstion, the Fort Collins Capital Leasing Corporation. This is similar to the financing used
for the parking structure and City office building. Through a sale-leaseback arrangement, the
City willrtransfer the properties to the Fort Collins Leasing Corporation. The Corporation will
then lease the properties back to the City for a term of 20-years. The actual financing will be
accomplished through the sale of certificates of participation (COPS). Upon payment in full of
the COPS the site lease will be terminated.
The average life of the COPs is expected to be between 13 and 15 years. The City expects to
pay interest on the lease semi-annually, at an estimated rate of 5.50% for the first 10 years at
which time the rate will be reset for an additional 10-year period. Principal payments will be
made annually.
DATE: August 21,2001 2 ITEM NUMBER: 23
The City will select a trustee for this transaction. The Trustee will be assigned all rents to the
Corporation from the City and the Trustee will make payments to the investors that purchase the
COPS in the lease purchase transaction.
The COPS will be paid through an annual appropriation. This financing technique does not
entail a multiple year fiscal obligation of the City under Article X, Section 20, of the State
Constitution, because the City's lease payments to the non-profit corporation will be subject to
annual appropriation. Under state law, the COPs are not considered debt of th °ity. Therefore,
the City is not required to obtain voter approval in order to finance capital " s or equipment
using lease purchase financing.
BACKGROUND:
Golf Improvements
Approximately $2.865 million of the lease purchase proceeds will be used ce the
clubhouse at Collindale Golf Course and make oth improvements.
the clubhouse will be completed between Dece a fall of 2002. The ' Ian
calls for a modem facility of approximately 14 square feet t
The Golf Board and the Golf Division staff have'atutlied the condition of the current clubhouse
and recommend replacement of the existing 30-Y -Wd, :7,700 square foot clubhouse. The
lr_Board and staff recommend the construction of a n6W-14,644 square foot, bi-level, modem
clubhouse building on the same.srte �` -
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The existing Collindale Clubhouse building had an original life expectancy of no more than 35
years. The construction of the building was done very inexpensively as a pre-fabricated design,
with many elements constructed minimally or sub-standard, such as the entire electrical system,
which does not currently meet Code. It has served its useful life. Over the years the City has
upgraded or replaced many pf the systems, such as HVAC, plumbing, lighting, etc. Staff and the
Golf Board„,,find the facr ;}tas essentially reached the functional limits of any further
improvements. It is not practical to spend a great deal of money on this old building and parking
lot, and now is the appropriate time to consider replacing them. The quality of the Golf Course
at Collindale is very high, but the quality°of the Collindale Clubhouse is very low. It does not
provide a positive image, nor is it the full-service facility customers seem to desire and deserve.
The'architect/consultants have estimated the total cost of the project to be $2,650,000; this
includes casts related to construction, contingency, furnishings, and all associated fees and
charges.b ',additional $215000 will be used for other necessary golf course improvements.
Drawings atbeproposed-project are on display at the Collindale Clubhouse. The new building
will be bi-level, and`is a'"Colorado lodge" look. The Pro Shop will have great visual access of
the 1st and 1Oth tees and the 9th and 18th greens. The full-service restaurant/bar/lounge/dining
area will provide seating for 142 people and 10 bar stools, and the 1,200 square foot patio facing
south with seating for 50, are all located on the upper level. The lower level will provide storage
for 50 golf carts, limited men's and women's day-use lockers and shower facilities, women's
lounge, long-term locker rentals, etc. The building also has more than twice as many restroom
facilities, and it will have a snack bar window access to the kitchen from outside for food and
beverage service "at the turn". The parking lot will be totally renovated to modern development
standards, including multi-modal access accommodations.
DATE: August 21, 2001 3 ITEM NUMBER: 23
Police Department Faciliri
The remaining $1.0 million will be used to acquire an offsite facility for the Fort Collins Police
Department.
The facility is located within the Loveland-Fort Collins Industrial Airpark. The site includes an
8,000 square foot building built in 1999. The building has all required i, ties and a fire
sprinkler system. The site includes paved parking for at least 20 vehicles.,,,—A ize of the lot is
177 feet by 265 feet. The building interior is mostly open. Part of the financi swill be used to
remodel the interior to add offices for the department.
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The Fort Collins Police Department works in conjunction rtX other local`olice forces,
including the Loveland and CSU Police Departments ty Sheriffs
Department. This location, which is outside City limits, provides a c the multi-
agency cooperation.
Financing-Plan Estimates
All of the figures in the table are subject to change,:due to changes to market conditions.
x
Tooke
Facty , . Golf Total % of Total
Sources of Funds $1,000,000 52,865,000 $3,865,000 100.00%
Uses of Funds
Construction ., S ----- $2,289,000 $2,289,000 59.22%
Contingency 40,000 160,000 200,000 5.17%
Land-Facility Costs 925,060 351,000 1,276,000 33.02%
Total Construction Costs 965,000 2,800,000 3,765,000 97.41%
Financing Costs
Cost of Issuance 35,000 65,000 100,000 2.59%
Accrued Interest
Total Financing Costs 35,000 65,000 100,000 2.59% f
Total Project Costs $1,000,000 $2,865,000 $3,865,000 100.00%
The Golf Fund will repay the bonds from proceeds of a $1.00 surcharge fee on each 9-hole golf
round and $2.00 surcharge fee on each 18-hole round that will be implemented in 2002. The
DATE: August 21,2001 4 ITEM NUMBER: 23
Golf Board has carefully reviewed the project and proposed financing plan. The Board has also
recommended the surcharge. Currently the total fees and charges at the three City Golf Courses
rank in the lower 25% of all comparable northern Colorado municipal and public courses, and
these new fees will not alter that position in the market. The surcharge fees are expected to raise
$180,500 in annual revenue for the Golf capital projects. Additionally, beginning in 2003, the
SouthRidge debt service will be retired thus providing a portion of the annual $140,000 for
repayment of the COPS.
The City will repay the Police Department share of the financing from G Fund revenue
and funds received from the federal government for law enforcement.
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AGENDA ITEM SUMMARY ITEM NUMBER: 20 A-B
DATE: September 4, 2001
FORT COLLINS CITY COUNCIL STAFF: Alan Krcmarik/
Jerry P. Brown
SUBJECT:
Items Relating to Appropriation of the Proceeds from Lease Financing for the Public Safety and
Recreational Improvements.
M:
RECOMMENDATION:
Staff recommends adoption of the Ordinances on First Reading
FINANCIAL IMPACT:
Through a lease financing transaction, the City-4be able to acquire or construct $2,865,000 of
improvements to the Collindale Golf Course CIA'd,iise and acquire or construct a $1,000,000
off site facility for use by the Police Department. The atimial payments are estimated to be about
$324,000. The Golf Fund will make ;annual payments of approximately $230,000 for its share of
the improvements over 20 yea OI'h approxuriaW' $90,000, for the Police Building
rx u g ,
will be made from the Geneiya'T Fund. Ordmanddee"3Vo. 141, 20'01;appropriates the proceeds from
the lease for the Golf improvements and for financing issuance costs and Ordinance No. 142,
2001, appropriates the proceeds for the Police building improvements and for financing issuance
costs.
EXECUTIVE SUM":
A_
A. First Reading of Ordinance� 141, 200`4 Appropriating Proceeds in the Golf Enterprise
Fund from the Lease Financing of Golf Course Improvements, Including the
Replacement of the Collindale Golf Course Clubhouse.
This'Ordinance appropriates $2,865,000 in the Golf Fund. The funds will be used to acquire and
construct a clubhouse facility at the Collindale Golf Course and to pay for the costs associated
with the;lease financing.
B. First` Reading, of Ordinance No. 142, 2001, Appropriating Proceeds in the Capital
Projects Fund From the Lease Financing of Police Facility Improvements.
This Ordinance appropriates $1,000,000 in the Capital Projects Fund for the acquisition and
construction of improvements to a Police facility and to pay for the costs associated with the
lease financing.
On August 21, 2001, Council unanimously adopted Ordinance No. 130, 2001 on First Reading.
The Finance Department will receive pricing bids on the lease transaction on September 7
through a competitive process. The Financial Officer will present the rates on the financing and
DATE: September 4,2001 2 ITEM NUMBER: 20 A-B
any changes to the financing documents to the Council at the time of Second Reading on
September 18. These Ordinances appropriate the proceeds from the lease transaction. The
Collindale Golf Course Clubhouse Project will be accounted for as a Capital Project within the
Golf Fund. The Police building will be accounted for in the Capital Projects Fund.
The Agenda Item Summary from August 21, 2001, is included as background information in
support of the two Ordinances.
T
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({iK
ORDINANCE NO. 130,2001
AN ORDINANCE AUTHORIZING THE CITY TO EXECUTE AND DELIVER
A QUITCLAIM DEED TO FORT COLLINS CAPITAL LEASING
CORPORATION AND ENTER INTO A LEASE AGREEMENT BETWEEN
THE CORPORATION AND THE CITY AND APPROVING SAID
DOCUMENTS, AND APPROVING AN ASSIGNMENT FROM THE
CORPORATION TO ZIONS FIRST NATIONAL BANK AND A DEED OF
TRUST FROM THE CORPORATION TO THE PUBLIC TRUSTEE OF
LARIMER COUNTY, COLORADO, FOR THE BENEFIT OF THE BANK.
WHEREAS, the City of Fort Collins, Colorado (the "City"), has need for and
desires to provide certain real and personal property for City purposes; and
WHEREAS, the City is authorized by Colo. Const. art. XX, § 6, its home rule
charter (the "Charter's and Section 23-111 of the City code to sell, convey or otherwise dispose
of City property; and
WHEREAS, the City is authorized by Colo. Const. art. XX, § 6, the Charter and
part 8 of article 15 of title 31, Colorado Revised Statutes, as amended (the "Act"), to enter into
rental or leasehold agreements in order to provide necessary land, buildings, equipment and
other property for governmental or proprietary purposes, and such agreements may include
options to purchase and acquire title to such leased or rented property; and
WHEREAS, the City currently owns certain real property (the "Golf Clubhouse
Site") that it desires to convey to Fort Collins Capital Leasing Corporation, a Colorado nonprofit
Corporation(the "Corporation"), by means of a Quitclaim Deed (the "Deed"); and
WHEREAS, the Corporation has offered to acquire the Golf Clubhouse Site and
certain other real and personal property (collectively, the "Leased Property") and lease the
Leased Property to the City under a Lease Agreement, dated its date of execution and delivery
(the "Lease"), between the Corporation, as lessor, and the City, as lessee; and
WHEREAS, the Lease does not constitute a "multiple-fiscal year direct or
indirect debt or other financial obligation' of the City within the meaning of Colo. Const. art. X,
§20(4)(b) and may therefore be entered into without voter approval; and
WHEREAS,the City has heretofore distributed to potential investors a request for
proposal to provide lease/purchase financing(the "Request for Proposal"); and
WHEREAS, in accordance with the Request for Proposal, the Corporation and the
City accepted the proposal (the "Proposal") of Zions First National Bank, affiliate of Vectra
Bank Colorado (the "Bank")to provide such lease/purchase financing; and
WHEREAS, in consideration of receiving from the Bank the amount set forth in
the Proposal (the "Loan") to acquire the Golf Clubhouse Site and acquire, construct and install
the other Leased Property, the Corporation will promise to repay the Loan and assign to the
Bank all its rights under the Lease, including its rights to receive rental payments thereunder,
pursuant to an Assignment, dated its date of execution and delivery (the "Assignment"), from the
Corporation, as assignor,to the Bank, as assignee; and
WHEREAS, in order to provide additional security to the Bank, the Corporation
proposes to grant a first lien upon and security interest in the Leased Property to the Bank,
pursuant to a Deed of Trust, Security Agreement and Financing Statement, dated its date of
execution and delivery (the "Deed of Trust"), between the Corporation, as grantor, and the
Public Trustee of Larimer County, Colorado, as grantee, for the benefit of the Bank, as
beneficiary; and
WHEREAS, the proceeds of the Loan are to be deposited in the Project Account
(as defined in the Lease) and disbursed by the City, on behalf of the Corporation, to pay costs of
acquiring the Golf Clubhouse Site and acquiring, constructing and installing the other Leased
Property and for other municipal purposes,pursuant to the provisions of the Lease;and
WHEREAS the forms of the Deed, the Lease, the Assignment and the Deed of
Trust have been filed with the City Clerk.
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS,
COLORADO:
1. The forms of the Deed, the Lease, the Assignment and the Deed of Trust are hereby
approved, together with any revisions thereto as may be considered necessary or desirable by the
Financial Officer in consultation with the City Attorney to carry out the purposes thereof.
2. The City Council (the "Council') hereby finds that the sale of the Golf Clubhouse
Site to the Corporation pursuant to the Deed and the lease of the Leased Property as provided in
the Lease are in the best interests of the City and its inhabitants. In addition, the determinations
set forth in Section 6.5 of the Lease are incorporated herein by this reference as if set forth in full
herein.
3. The Mayor and the City Clerk are hereby authorized and directed to execute and
deliver the Deed and the Lease and the Mayor, the City Clerk and the City Manager are hereby
authorized and directed to execute and deliver any other document, certificate or instrument that
in the opinion of the City Attorney is necessary to effect the transactions contemplated thereby
and not inconsistent therewith.
4. The City hereby waives any available defense of governmental immunity from
liability in tort for any failure to surrender possession of the Leased Property as provided in the
Lease.
5. If any section, paragraph, clause or provision of this Ordinance shall for any reason
be held to be invalid or unenforceable, the invalidity or unenforceability of such section,
paragraph, clause or provision shall not affect any of the remaining provisions of this Ordinance.
6. All action not inconsistent with the provisions of this Ordinance heretofore taken by
the City or its officers and otherwise by the City directed toward the completion of the
transactions described herein, including but not limited to the distribution of the Request for
Proposal and the acceptance of the Proposal, is hereby ratified,approved and confirmed.
7. All ordinances, resolutions and orders, or parts thereof, of the City inconsistent
herewith and with the documents approved hereby are hereby repealed to the extent only of such
inconsistency. This repealer shall not be construed as reviving any ordinance, resolution or
order, or part thereof.
Any inconsistency between the provisions of this Ordinance and those of the Act is intended by
the Council. To the extent of any such inconsistency the provisions of this Ordinance shall be
deemed made pursuant to the Charter and shall supersede to the extent permitted by law the
conflicting provisions of the Act.
READ, AMENDED, FINALLY PASSED AS AMENDED ON SECOND READING
AND ORDERED PUBLISHED BY NUMBER AND TITLE ONLY this 18th day of September,
A.D. 2001.
CITY OF FORT COLLINS, COLORADO
By:
Mayor
(CITY)
(SEAL)
ATTEST:
City Clerk
ORDINANCE NO. 141,2001
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROPRIATING PROCEEDS IN THE GOLF ENTERPRISE FUND FROM THE LEASE
FINANCING OF GOLF COURSE IMPROVEMENTS INCLUDING THE
REPLACEMENT OF THE COLLINDALE GOLF COURSE CLUBHOUSE
WHEREAS,the Golf Board and the Golf Division have studied the condition of the current
Collindale Golf Course clubhouse and recommend replacement of the existing 30-year old, 7,700
square foot clubhouse with a new 14,644 square foot, bi-level, modem clubhouse building on the
same site; and
WHEREAS,the existing Collindale Clubhouse building had an original life expectancy of
no more than 35 years and construction of the building was done very inexpensively with many
elements constructed minimally or substandard; and
WHEREAS,the estimated cost of replacing the Collindale Golf Course Clubhouse and other
golf course improvements is $2,830,000, with work on the clubhouse to be completed between
December 2001 and the fall of 2002; and
WHEREAS, by the adoption of Ordinance 130, 2001, the City Council has authorized the
execution and delivery of various agreements in connection with the lease financing of the above-
described improvements; and
WHEREAS,the appropriation of the proceeds of the lease financing is necessary to complete
the construction of the replacement of the Collindale Golf Course Clubhouse and other golf course
improvements, and to pay costs associated with said financing; and
WHEREAS,Article V, Section 9 of the Charter of the City of Fort Collins permits the City
Council to make supplemental appropriations by ordinance at any time during the fiscal year
provided that the total amount of such supplemental appropriations,in combination with all previous
appropriations for that fiscal year, does not exceed the current estimate of actual and anticipated
revenues to be received during the fiscal year; and
WHEREAS, it is the desire of the Council to appropriate the sum of $2,830,000 in
unanticipated revenue in the Golf Fund, representing proceeds from the lease financing described
herein,to be used for the replacement of the Collindale Golf Course Clubhouse and other golf course
improvements, and the payment of costs associated with said lease financing.
NOW, THEREFORE,BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that there is hereby appropriated for expenditure from unanticipated revenue in the Golf
Fund the amount of TWO MILLION EIGHT HUNDRED THIRTY THOUSAND DOLLARS
($2,830,000)upon receipt of the proceeds from the lease financing described in Ordinance No. 130,
2001, for the purpose of replacing the Collindale Golf Course Clubhouse, and other golf course
improvements, and for the costs associated with said lease financing.
Introduced, considered favorably on first reading and ordered published this 4th day of
September, A.D. 2001, and to be presented for final passage on the 18th day of September, A.D.
2001.
Mayor
ATTEST:
City Clerk
Passed and adopted on final reading this 18th day of September, A.D. 2001.
Mayor
ATTEST:
City Clerk
ORDINANCE NO. 142,2001
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROPRIATING PROCEEDS IN THE CAPITAL PROJECTS FUND
FROM THE LEASE FINANCING OF POLICE FACILITY IMPROVEMENTS
WHEREAS,the Fort Collins Police Department works in conjunction with other local law
enforcement agencies including the Loveland and Colorado State University Police Departments and
the Larimer County Sheriff's Department; and
WHEREAS, the aforementioned agencies having been looking for a facility that would
provide a central location for the multi-agency cooperation; and
WHEREAS,a site has been identified which includes the land and building,with sufficient
space to meet the needs of the participating agencies; and
WHEREAS,the estimated cost for acquisition of the aforementioned off-site police facility,
including some remodeling costs, is $890,000; and
WHEREAS,on August 21,2001,the City Council approved on first reading Ordinance No.
130,2001,approved on second reading of even date herewith,authorizing the execution and delivery
of various agreements in connection with the lease financing of said off-site police facility and other
city improvements,thereby providing a mechanism to secure funding for improvements associated
with public safety, and to pay costs associated with said financing; and
WHEREAS, Article V, Section 9 of the Charter of the City of Fort Collins (the "Charter")
permits the City Council to make supplemental appropriations by ordinance at any time during the
fiscal year,provided that the total amount of such supplemental appropriations,in combination with
all previous appropriations for that fiscal year,do not exceed the then current estimate of actual and
anticipated revenues to be received during the fiscal year; and
WHEREAS, it is the desire of the Council to appropriate the sum of $890,000 in
unanticipated revenue in the Capital Projects Fund, representing the proceeds from the lease
financing described above, to be used for the acquisition of an off-site police facility, and the
payment of costs associated with said lease financing.
NOW, THEREFORE,BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that there is hereby appropriated for expenditure from unanticipated revenue in the
Capital Projects Fund, Off-Site Police Facility capital project, the sum of EIGHT HUNDRED
NINETY THOUSAND DOLLARS($890,000)upon receipt of the proceeds from the lease financing
described in Ordinance No. 130, 2001,to be used for the acquisition of a police facility and for the
costs associated with said lease financing.
Introduced, considered favorably on first reading and ordered published this 4th day of
September, A.D. 2001, and to be presented for final passage on the 18th day of September, A.D.
2001.
Mayor
ATTEST:
City Clerk
Passed and adopted on final reading this 18th day of September,A.D. 2001.
Mayor
ATTEST:
City Clerk