HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 10/18/2011 - FIRST READING OF ORDINANCE NO. 137, 2011, MAKING ADATE: October 18, 2011
STAFF: Matt Robenalt
Kathy Cardona
AGENDA ITEM SUMMARY
FORT COLLINS CITY COUNCIL 19
SUBJECT
First Reading of Ordinance No. 137, 2011, Making Annual Appropriations for the Downtown Development Authority
for the Fiscal Year 2012 and Fixing the Mill Levy for Fiscal Year 2012.
EXECUTIVE SUMMARY
The Annual Appropriation Ordinance for the Downtown Development Authority is presented for First Reading.
Ordinance No. 137, 2011, sets the Downtown Development Authority 2012 budget amount of $814,380 to be
appropriated for fiscal year 2012 for the administrative operations budget; sets the amount of $1,652,346 for debt
service payments to be appropriated for fiscal year 2012; and sets the 2012 Mill Levy for the Fort Collins, Downtown
Development Authority at five (5) mills, unchanged since 2002. The approved budget becomes the Downtown
Development Authority’s financial plan for 2012.
This Ordinance does not appropriate funds for projects or programs of the DDA funded with bond proceeds. Examples
of projects and programs funded with bond proceeds include annual holiday light display, facade improvements, the
enhanced alley annual maintenance costs, ice rink, and participation in the river district improvement projects, etc.
BACKGROUND / DISCUSSION
The Downtown Development Authority (the “DDA”) was created in 1981 with the purpose, according to State statue,
of planning and implementing projects and programs within the boundaries of the DDA. By state statue the purpose
of the ad valorem tax levied on all real and personal property in the downtown development district, not to exceed five
(5) mills, shall be for the budgeted operations of the authority. The DDA and the City adopted a Plan of Development
that specifies the projects and programs the DDA would undertake. In order to carry out the purposes of the State
statue and the Plan of Development the City, on behalf of the DDA, has issued various tax increment bonds, which
require debt servicing.
The DDA staff and Budget Committee are very cognizant of the changed revenue environment of the organization and
economic conditions, and have made a strong effort to budget conservatively to reflect this climate.
FINANCIAL / ECONOMIC IMPACTS
The Fort Collins Downtown Development Authority is requesting approval of the DDA Operations and Maintenance
budget, for fiscal year 2012, in the amount of $814,380. It is also requesting approval of the DDA debt payment
commitments in the amount of $1,652,346 for 2012 obligations.
Uses:
Personnel Services: $452,768
Contractual Professional Services: 318,114
Purchased Supplies and Commodities: 23,635
Other: 19,863
Total $814,380
The DDA debt service fund is projected to have sufficient revenue to meet the required debt service payments for
2012.
Uses:
Debt Payment: 2012 $1,652,346
October 18, 2011 -2- ITEM 19
STAFF RECOMMENDATION
Staff recommends adoption of the Ordinance on First Reading.
BOARD / COMMISSION RECOMMENDATION
At its September 8, 2011 meeting, the Downtown Development Authority Board of Directors adopted its proposed
budget for 2012 totaling $2,466,726 and determined the mill levy necessary to provide for payment of administrative
costs incurred by the DDA.
ATTACHMENTS
1. Map of the Downtown Development Authority.
2. Fort Collins Downtown Development Authority Board Resolution 2011-03 Recommending to Council the
Determining and Fixing of the Mill Levy of the DDA for the Fiscal Year Ending December 31, 2012
3. Fort Collins Downtown Development Authority Board Resolution 2011-04 Recommending to Council the
Budget of the Estimated Amounts Required to Pay the Expenses of Conducting the Business of the DDA for
the Fiscal Year Ending December 31, 2012
4. Fort Collins Downtown Development Authority Board Resolution 2011-05 Recommending to Council the
Appropriation of $1,368,973 and $283,373 from the DDA Debt Service Fund for Payment of Debt Service and
the DDA’s Obligation for the Civic Center Parking Structure for the Fiscal Year Ending December 31, 2012
5. Powerpoint presentation
E VINE DR
RIVERSIDE AVE
SMITH ST
E ELIZABETH ST
S MASON ST
N COLLEGE AVE
S LEMAY AVE
MATHEWS ST
LOCUST ST
WHEDBEE ST
PETERSON ST
E LINCOLN AVE
E MYRTLE ST
LINDEN ST
STOVER ST
REMINGTON ST
S COLLEGE AVE
12TH ST
MAPLE ST
E PLUM ST
9TH ST
W OAK ST
S HOWES ST
CHERRY ST
E OLIVE ST
W OLIVE ST
CONIFER ST
E OAK ST
E MULBERRY ST
BUCKINGHAM ST
S MELDRUM ST
W LAUREL ST
W MYRTLE ST
LAPORTE AVE
HEMLOCK ST
WILLOW ST
S WHITCOMB ST
N LEMAY AVE
REDWOOD ST
1ST ST
3RD ST
2ND ST
W MAGNOLIA ST
N SHERWOOD ST
W MULBERRY ST
N WHITCOMB ST
W MOUNTAIN AVE
CA
J
E
TA
N
ST
10TH ST
COWAN ST
N MASON ST
O
S
I
A
ATTACHMENT 2
ATTACHMENT 3
ATTACHMENT 4
1
Ordinance No. 137, 2011 addresses the following:
a. Within DDA boundary, sets DDA property tax levy at 5 mills for 2012
b. Appropriation of DDA’s Operations & Maintenance (“O&M”) Budget
c. Appropriation of 2012 debt payment expenditures on existing bond
and lease obligations
DDA statute requires annual Council action on each item listed above.
This ordinance does not appropriate funds for projects or programs of the
DDA funded with bond proceeds.
1
DDA Funding Sources
5 mill Property Tax Levy
Funds O&M budget to operate organization.
•personnel •contractual •professional •purchased services supplies services services
Property Tax Increment
Services debt on bonds and leases approved by City Council on behalf of
the DDA Board. Bond proceeds used to fulfill Board commitments to:
•facade •capital •grants •maintenance •art •project and to projects planning - culture public the city obligations investments private improvements
2
ATTACHMENT 5
2
Questions for DDA Staff?
3
ORDINANCE NO. 137, 2011
OF THE COUNCIL OF THE CITY OF FORT COLLINS
MAKING ANNUAL APPROPRIATIONS FOR THE DOWNTOWN DEVELOPMENT
AUTHORITY FOR THE FISCAL YEAR 2012 AND FIXING THE MILL LEVY
FOR FISCAL YEAR 2012
WHEREAS, the Fort Collins Downtown Development Authority (the “DDA”) has been duly
organized in accordance with Section 31-25-804, C.R.S.; and
WHEREAS, on September 8, 2011, the DDA Board of Directors (the “DDA Board”), acting
under the provisions of Section 31-25-816, C.R.S., adopted a budget for the fiscal year beginning
January 1, 2012 and determined the mill levy necessary to provide for payment during fiscal year
2012 of all properly authorized expenditures to be incurred by the DDA; and
WHEREAS, it is the desire of the City Council to appropriate the sum of TWO MLLION,
FOUR HUNDRED SIXTY SIX THOUSAND, SEVEN HUNDRED TWENTY SIX DOLLARS
($2,466,726) in the DDA Operation and Maintenance Fund and the Debt Service Fund for the fiscal
year beginning January 1, 2012 and ending December 31, 2012, to be used as follows:
DDA Operations & Maintenance $ 814,380
DDA Debt Service Fund 1,652,346
$2,466,726
WHEREAS, the DDA Board has recommended to the City Council a mill levy of five mills
upon each dollar of assessed valuation on all taxable property within the DDA District, such levy
representing the amount of taxes for DDA purposes necessary to provide for payment during the
ensuing fiscal year for all properly authorized expenditures to be incurred by the DDA; and
WHEREAS, Section 39-5-128(1), C.R.S., requires certification of any tax levy to the Board
of County Commissioners no later than December 15, 2011.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS, as follows:
Section 1. That there is hereby appropriated for expenditure from the Downtown
Development Authority Operations and Maintenance Fund the sum of EIGHT HUNDRED
FOURTEEN THOUSAND, THREE HUNDRED AND EIGHTY DOLLARS ($814,380), to be
expended for the authorized purposes of the DDA.
Section 2. That there is hereby appropriated for expenditure from the Downtown
Development Authority Debt Service Fund the sum of ONE MILLION, SIX HUNDRED FIFTY
TWO THOUSAND, THREE HUNDRED AND FORTY SIX DOLLARS ($1,652,346), for payment
of debt service on previously issued and outstanding bonds, to pay the City’s investment service
charge, and to be used to cover the DDA’s one-third share of payment on the Civic Center Parking
Structure.
Section 3. That the 2012 mill levy rate for the taxation upon each dollar of the assessed
valuation of all taxable property within the DDA District as of December 31, 2011 shall be five (5)
mills, which levy represents the amount of taxes for the District purposes to provide for payment
during the aforementioned fiscal year of all properly authorized expenditures to be incurred by the
DDA. Said mill levy shall be certified to the County Assessor and the Board of County
Commissioners of Larimer County, Colorado, by the City Clerk as provided by law.
Introduced, considered favorably on first reading, and ordered published this 18th day of
October, A.D. 2011, and to be presented for final passage on the 1st day of November, A.D. 2011.
_________________________________
Mayor
ATTEST:
_____________________________
City Clerk
Passed and adopted on final reading on the 1st day of November, A.D. 2011.
_________________________________
Mayor
ATTEST:
_____________________________
City Clerk
N
DE
R
ST
N HOWES ST
JEFFERSON ST
J
E
R
O
M
E
S
T
MAIN ST
COLORADO ST
HO
F
FM
A
N MI
L
L RD
P
A
S
C
A
L
S
T
WALNUT ST
O
V
A
L
D
R
S SHERWOOD ST
E MOUNTAIN AVE
ENDICOTT ST
11TH ST
SYCAMORE ST
MU
L
L
E
I
N
DR
EAST DR
E LAUREL
S
T
FRONTAGE RD
PINE ST
WOO
D
L
AW
N
DR
LESSER DR
BEL
L
F
L
OWE
R
D
R
WEST DR
OLD MAIN DR
E MAGNOLIA ST
LILAC LN
MONTEZUMA FULLER ALLEY
PENNOCK PL
MARTINEZ ST
ELM
S
T
TENNEY CT
LINCOLN AVE
LOPEZ CT
EASTDALE DR
TRUJILLO ST
LINDE
N
C
ENTER DR
BAUM ST
S SHERWOOD ST
E LAUREL ST
FRONTAGE RD
N
LEMAY A
V
E
N MASON ST
Downtown Development Authority Boundary Map
Legend
Parcels
Downtown Development Authority Boundary 1 inch = 1,320 feet
.
Amended: April 1, 2008 Printed: 1/20/2011
ATTACHMENT 1