HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 06/15/2010 - ITEMS RELATING TO THE POUDRE RIVER PUBLIC LIBRARY DATE: June 15, 2010 1
STAFF: Darin Atteberry • - • •
Items Relating to the Poudre River Public Library District.
A. Second Reading of Ordinance No. 064, 2010, Amending Chapter 7.5, Article II and Chapter 8, Article III of
the City Code to Discontinue the Library Capital Improvement Expansion Fee.
B. Second Reading of Ordinance No. 065, 2010, Repealing Chapter 23, Article VII of the City Code Regarding
the Care and Custody of the Library.
EXECUTIVE SUMMARY
Ordinance No. 064, 2010, discontinues the current library expansion fee imposed on residential properties in Fort
Collins, and eliminates the library capital improvement expansion account within the capital improvement expansion
fund. Ordinance No. 065, 2010, repeals the last remaining City Code reference to the library, dealing with the care
and custody of the library,which now belongs to the Library District. Both Ordinances were unanimously adopted on
First Reading on June 1, 2010.
STAFF RECOMMENDATION
Staff recommends adoption of the Ordinance on Second Reading.
ATTACHMENTS
1. Copy of First Reading Agenda Item Summary-June 1, 2010
(w/o attachments)
ATTACHMENT 1
DATE: June 1, 2010 AGENDA ITEM SUMMARY
STAFF: Darin Atteberry F FORTCOLLINS •
Aim
FIRM
Items Relating to the Poudre River Public Library District.
A. First Reading of Ordinance No. 064, 2010, Amending Chapter 7.5, Article II and Chapter 8, Article III of the
City Code to Discontinue the Library Capital Improvement Expansion Fee.
B. First Reading of Ordinance No,065v010�Repealing'Chapter�23,Article VII of the City Code Regarding the
Care and Custody of the Lib rla\ry. � U YYV, /
EXECUTIVE SUMMARY
Since 1996, the City has imposed an impact fee on residential building permits as a means of funding the increased
demand for library services that comes with a growing community. In 2006, voters approved the formation of a new
Library District funded primarily by property taxes and a portion of the Building on Basics sales tax. The
Intergovernmental Agreement between the City, Larimer County, and the Poudre River Public Library District notes
that following the opening of Council Tree Library, the Fort Collins City Council will consider whether to continue
imposing a library impact fee.
The Council Tree Library opened in Mach 2009.Since that time,-both Larimer•�County and the Town of Timnath have
chosen not to impose an impact fee for library services. Ordinan�No.064,,2010,will discontinue the current library
expansion fee imposed on residential properties in Fort Collins and) eliminate the library capital improvement
expansion account within the capital irnp�ro ment.e�x�nsion�fund. U
Ordinance No. 065, 2010 repeals the last remaining City Code reference to the library, dealing with the care and
custody of the library, which now belongs to the Library District.
BACKGROUND / DISCUSSION
In November 2006,voters approved the formation of what is now called the Poudre River Public Library District. The
District provides library services to approximately 10,000 re.sidence f�n\orthern Larimer County, 85%of which reside
inside the Fort Collins city limits. Funding'is`primarily p`ovided'by a�property tax rate of 3 mills and a portion of the
City's sales tax approved for the Building on 'Basics agenda: ng &,Basics funds run through 2015 and are
dedicated to library technology
Since 1996, the City has imposed an impact fee on residential building permits as a means of funding the increased
demand for library services that comes with a growing community. An Intergovernmental Agreement(IGA)clarifying
the rights, obligations and responsibilities of the City of Fort Collins, Larimer County and the District was signed in
December 2007. That IGA states that once the City makes final payment on the Council Tree Library, "...the City
Council will consider, after consultation with the District, continued imposition of the City Impact Fee and remittance
of such revenues to the District."
The Council Tree Library was completed and opened to the public on March 28, 2009. That same month, District
representatives met with Council and discussed the future of City impact fees. Council noted that, prior to making a
decision on whether or not the City will-continue wished to get some resolution as to
whether or not Larimer County intended to impose/an equitable fee on Coantyiresidents who live inside Library District
boundaries. (See Attachment 1) J I I—J� Y
District representatives also met with the•L_anmer Count) o�f mission in March 2009 and requested that
Commissioners consider imposing an impact fee on residential development within the District boundaries.
Commissioners responded that they would be willing to discuss a fee, but that the District would need to show a clear
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June 1, 2010 -2- ITEM 11
connection between a fee and the services received by residents living outside Fort Collins.
In December2009,the District made a presentation to the Timnath Town Council and was told thatexisting annexation
agreements preclude charging additional fees. Therefore,Timnath will not impose an additional fee for Library District
growth and expansion.
Fort Collins City Manager Darin Atteberry met with Library District Executive Director Holly Carroll in February 2010
to discuss the City Council taking action to discontinue the collection of a capital expansion fee for the District. Ms.
Carroll requested a delay of a City decision until the District could formally meet with County Commissioners about
imposing a capital expansion fee for non-city development in the District. In March 2010, Library District
representatives formally met with the Larimer County Board of County Commissioners and requested that it
implement a county impact fee. The Commissioners declined to do so, citing the current economic situation and the
fact that County residents living in the-unin orpora ed areascurrentlyNpay 25,/o of the property tax support of the
District. Commissioners stated thatadopting/n impact fee in addition�tothis 25%would place a financial burden
on the unincorporated residents that is not commensurate with-their share of library services."
Since the formation of the Poudre River Library District-the City has expressed the view that the same fee should be
charged by all jurisdictions within the District's boundaries, and that the City would consider repealing its fee should
that not be the case. City leaders have met with Library District Trustees and representatives about this issue on
several occasions and have maintained an open dialogue.
FINANCIAL IMPACT\
The library impact fee applies only to residential dwelling units and ranges from $292 to$682, depending on square
footage. Annual collections have rangedzfrom a low=of•$61,000:in"2009 to $729,000 in 2001.
t� " �� I-I )) .V)
The Library District has substantially Le revenue from its own-funding sources than it had as a City department.
As of December 31,2009, the District%had fund balances of approximately$7.1 million. However,various restrictions
on that balance reduce the amount that-is unrest`ricted'to $4�2 million. Of,the unrestricted balance, $2.3 million is
assigned for operating capital needs and capital improvements. The 3 mill property tax approved by the voters
provided for the improvement of services and the opening of the new library. It does not provide funding for the
construction of new facilities.
SUSTAINABILITY: ECONOMIC, ENVIRONMENTAL AND SOCIAL IMPACTS
The economic and social impacts of Ordinance No. 064, 2010 can be seen as positive or negative. From the
perspective of home buyers and those-n the hour ni g industryye`irr ating/tFis fee will reduce the cost of a new
residence. Library District leaders point out, however, that library capita needs still remain. It will be difficult to
renovate existing facilities and provi6l�new ser'ices andlfac�il�ities-as our community grows.
These Ordinances have few, if any, direct enviro�� aI impacts.
STAFF RECOMMENDATION
Staff recommends adoption of the Ordinances on First Reading.
ATTACHMENTS /y
1. March 24, 2009 City Council\Work�Session Su�mlr alIry[�."1 T
ORDINANCE NO. 064, 2010
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING CHAPTER 7.5, ARTICLE II AND CHAPTER 8, ARTICLE III
OF THE CODE OF THE CITY OF FORT COLLINS TO DISCONTINUE THE
LIBRARY CAPITAL IMPROVEMENT EXPANSION FEE
WHEREAS, on May 21, 1996, the City Council adopted Ordinance No. 051, 1996,
amending the City Code to establish certain capital improvement expansion fees,including a library
capital improvement expansion fee(the"Library Fee"),and to create accounts to receive the revenue
from such fees; and
WHEREAS, on November 7, 2006, the voters approved a citizen initiative to establish and
fund the Fort Collins Regional Library District,now called the Poudre River Public Library District
(the"Library District'),pursuant to Sections 24-90-101 to 606 of the Colorado Revised Statutes;and
WHEREAS, on December 4, 2007, the City Council approved Ordinance No. 139, 2007,
authorizing an Intergovernmental Agreement between the City,Larimer County("County")and the
Library District (the "IGA"), which IGA was executed on December 18, 2007; and
WHEREAS,since the formation of the Library District,City staff has indicated to the Library
District that the City is not likely to continue imposing the Library Fee on new development within
the City if the County is not willing to impose a similar fee on new development in unincorporated
areas of the Library District; and
WHEREAS, in the IGA the City agreed to continue collecting the Library Fee at least until
the new Southeast Branch Library was completed and fully paid for by the City,with any remaining
Library Fee proceeds going to the Library District on condition the funds be spent only on library
capital improvements located within the City of Fort Collins; and
WHEREAS, the City and the Library District further agreed in the IGA that following final
payment for the Southeast Branch Library by the City, the City Council would consider, after
consultation with the District, whether to continue imposition of the Library Fee and remittance of
Library Fee revenues to the District; and
WHEREAS, in March,2009,the Southeast Branch library was completed and opened to the .
public and the City Council, in its March 24, 2009 Work Session, indicated that before deciding
whether to continue the Library Fee, the City Council would like to know whether the County is
willing to impose a similar fee on Library District residents who live in unincorporated areas of the
County; and
WHEREAS, in March, 2010,the County Commissioners declined to impose an impact fee
to benefit the Library District; and
WHEREAS, City staff is now recommending that the City Council discontinue the Library
Fee by amending Section 7.5-16 of the City Code, repealing Section 7.5-27 of the City Code
regarding the library capital improvement expansion fee,and repealing Section 8-94 of the City Code
establishing the library capital improvement expansion account.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That Section 7.5-16 of the Code of the City of Fort Collins is hereby amended
to read as follows:
Sec. 7.5-16. Intent.
The provisions of this Article are intended to impose certain fees to be collected
at the time of building permit issuance in an amount calculated as shown herein for
the purpose of funding the provisions of additional capital improvements as the City's
population increases. The imposition of said fees is intended to regulate the use and
development of land by ensuring that new growth and development in the City bear
a proportionate share of the costs of capital expenditures necessary to provide
community park, police, fire and general government and transportation capital
improvements. Said fees shall not be used to collect more than is necessary to fund
such capital improvements. The fees provided for in this Article are based on the
City's Capital Improvement Expansion Cost Study,dated May 21, 1996,as amended;
the City's Street Oversizing Impact Fee Study, dated July 15, 1997, and Street
Oversizing Impact Fee Study Update, dated November 28, 2000, as amended; and
The ITE Trip Generation Manual, 6th Edition, 1997, published by the Institute of
Traffic Engineers, as amended, which establish a fair and equitable allocation of
costs and recognize past and future payments for new development,as well as credits
for construction, dedication of land or cash contributions. Funds collected from said
fees shall not be used to remedy existing deficiencies,but only to provide new capital
improvements which are necessitated by new development. The amount of revenue
generated by said fees shall not exceed the cost of providing the capital
improvements for which they are imposed,and the same shall be expended solely to
provide the specified capital improvements.
Section 2. That Section 7.5-27 of the Code of the City of Fort Collins is hereby deleted
in its entirety:
Section 3. That Section 8-94 of the Code of the City of Fort Collins is hereby deleted in
its entirety:
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Introduced,considered favorably on first reading,and ordered published this 1 st day of June,
A.D. 2010, and to be presented for final passage on the 15th day e, A.D. 2010.
410
6;1
Mayor
ATTEST:
City Clerk
Passed and adopted on final reading on the 15th day of June, A.D. 2010.
Mayor
ATTEST:
City Clerk
ORDNANCE NO. 065, 2010
OF THE COUNCIL OF THE CITY OF FORT COLLINS
REPEALING CHAPTER 23, ARTICLE VII OF THE CODE OF THE CITY OF
FORT COLLINS REGARDING THE CARE AND CUSTODY OF THE LIBRARY.
WHEREAS, on November 7, 2006, the voters approved a citizen initiative to establish
and fund the Fort Collins Regional Library District, now called the Poudre River Public Library
District (the "Library District'),,pursuant to Sections 24-90-101 to 606 of the Colorado Revised
Statutes; and
WHEREAS, on December 4, 2007, the City Council approved Ordinance No. 139, 2007,
authorizing an Intergovernmental Agreement between the City, Larimer County and the Library
District (the "IGA"), which IGA was executed on December 18, 2007; and
WHEREAS, pursuant to the IGA, the City transferred the assets, liabilities, management
and operation of the Fort Collins Public Library (the "Library") to the Library District; and
WHEREAS, Article VII of Chapter 23 of the City Code governs the Library, and Section
23-171 states that the City has the supervision, care and custody of the Library; and
WHEREAS, City staff is recommending that Chapter 23, Article VII be repealed because
the Library District now has the supervision, care and custody of the Library instead of the City.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
FORT COLLINS that Article VII of Chapter 23 of the Code of the City of Fort Collins is hereby
deleted in its entirety:
Introduced, considered favorably on first reading, and ordered published this 1st day of
June, A.D. 2010, and to be presented for final passage on the 15th da f June, A.D. 2010.
Mayor
ATTEST:
City Clerk
Passed and adopted on final reading on the 15th day of June, A.D. 2010.
Mayor
ATTEST:
City Clerk