HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 03/20/2001 - FIRST READING OF ORDINANCE NO. 44, 2001, APPROPRIA AGENDA ITEM SUMMARY ITEM NUMBER: 14
FORT COLLINS CITY COUNCIL DATE: March 20, 2001
STAFF: Alan Krcmarik
SUBJECT:
First Reading of Ordinance No. 44, 2001, Appropriating Unanticipated Revenue in the General
Fund.
RECOMMENDATION:
Staff recommends adoption of the Ordinance on First Reading.
FINANCIAL IMPACT:
The City received a check from the Fort Collins Housing Authority in the amount of $14,823 as
a 2000 payment for public services and facilities. The revenue has been deposited in the City's
General Fund. This Ordinance appropriates the funds to be returned to the Housing Authority to
be used for affordable housing-related activities and upgrades.
EXECUTIVE SUMMARY:
The Fort Collins Housing Authority (the "Authority") made a payment to the City from its 2001
budget for the sum of $14,823 as a 'Payment in Lieu of Taxes" ('PILOT") for public services
and facilities. In the past the Authority has requested that the City refund the money "...to fund
sorely needed affordable housing related activities, to attend the low-income housing needs of
Fort Collins residents."
Resolution 92-93 reinstated the requirement by the City of the Authority to make the annual
PILOT payments to the City. The purpose of the Resolution was to clarify that these funds are
the property of the City and not excess Housing and Urban Development ("HUD") funds. The
City may spend the PILOT revenue as it deems appropriate in accordance with law, including
remitting the funds to the Authority if the Council determines that such remittal serves a valid
public purpose. The Council has remitted the PILOT to the Authority since 1992.
BACKGROUND:
On December 16, 1971, the City and the Authority entered into a Cooperative Agreement which
provided that the Authority must make annual PILOT payments to the City for the public
services and facilities fumished by the City. In 1986, upon request of the Authority, the City
DATE: March 20, 2001 2 ITEM NUMBER: 14
Council adopted a resolution which relieved the Authority of its obligation to make the PILOT
payments. Based on that resolution, the Authority did not make PILOT payments from 1987
through 1990. The Authority also received a refund from the City of PILOT payments for the
years 1984, 1985 and 1986.
In 1992, the City Council approved a change in the Cooperative Agreement to reinstate the
requirement for the Authority to pay the annual PILOT. The change was done to clarify that
such a payment was due to the City and to avoid the possibility that HUD might require the
PILOT to be returned to the federal government.
Since 1992, when the Authority has requested, the City has refunded PILOT payments. Staff
recommends that the 2001 PILOT payment of $14,813 similarly be appropriated as
unanticipated revenue in the General Fund and remitted to the Authority with the
recommendation that the Authority use the funds in the manner consistent with HUD guidelines.
The intended use for the funds is affordable housing and related activities.
I
ORDINANCE NO. 44, 2001
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROPRIATING UNANTICIPATED REVENUE IN THE GENERAL FUND
WHEREAS, Article V, Section 9 of the Charter of the City of Fort Collins permits the
City Council to appropriate by ordinance unanticipated revenue which is the result of rate or fee
increases or new revenue sources at any time during the year in which such revenue is received;
and
WHEREAS, the City has received a payment from the Fort Collins Housing Authority
(the "Authority") of$14,823 as a payment in lieu of taxes for 2000('PILOT"); and
WHEREAS, the Authority has requested that the PILOT payment be appropriated by the
Council for expenditure by the Authority to fund affordable housing related activities and to
attend to the housing needs of low-income Fort Collins residents; and
WHEREAS, said payment of $14,823 was not projected as a revenue source in the 2001
budget of the City; and
WHEREAS, the City Council has determined that the provision of affordable housing
serves an important public purpose and is an appropriate use of these funds.
• NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
FORT COLLINS that there is hereby appropriated from unanticipated revenue in the General
Fund the sum of FOURTEEN THOUSAND EIGHT HUNDRED TWENTY THREE DOLLARS
($14,823) to be returned to the Authority to fund affordable housing related activities for Fort
Collins residents consistent with Federal Department of Housing and Urban Development
guidelines.
Introduced and considered favorably on first reading and ordered published this 20th day
of March, A.D. 2001, and to be presented for final passage on the 17th day of April, A.D. 2001.
Mayor
ATTEST:
City Clerk
•
Passed and adopted on final reading this 17th day of April, A.D. 2001.
Mayor
ATTEST:
City Clerk