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HomeMy WebLinkAboutCOUNCIL - COMPLETE AGENDA - 10/21/2014 - COMPLETE AGENDACity of Fort Collins Page 1 Karen Weitkunat, Mayor City Council Chambers Gerry Horak, District 6, Mayor Pro Tem City Hall West Bob Overbeck, District 1 300 LaPorte Avenue Lisa Poppaw, District 2 Fort Collins, Colorado Gino Campana, District 3 Wade Troxell, District 4 Cablecast on City Cable Channel 14 Ross Cunniff, District 5 on the Comcast cable system Carrie Daggett Darin Atteberry Wanda Nelson Interim City Attorney City Manager City Clerk The City of Fort Collins will make reasonable accommodations for access to City services, programs, and activities and will make special communication arrangements for persons with disabilities. Please call 221-6515 (TDD 224- 6001) for assistance. Regular Meeting October 21, 2014 Proclamations and Presentations 5:30 p.m. A. Proclamation Declaring October 20-26, 2014 as Colorado Cities & Towns Week. B. Proclamation Declaring October 21, 2014 as United Way of Larimer County's Give, Advocate, and Volunteer Day. Regular Meeting 6:00 p.m.  PLEDGE OF ALLEGIANCE  CALL MEETING TO ORDER  ROLL CALL  AGENDA REVIEW: CITY MANAGER  City Manager Review of Agenda. City of Fort Collins Page 2  Consent Calendar Review This Review provides an opportunity for Council and citizens to pull items from the Consent Calendar. Anyone may request an item on this calendar be “pulled” off the Consent Calendar and considered separately. o Council-pulled Consent Calendar items will be considered before Discussion Items. o Citizen-pulled Consent Calendar items will be considered after Discussion Items.  CITIZEN PARTICIPATION Individuals who wish to make comments regarding items scheduled on the Consent Calendar or wish to address the Council on items not specifically scheduled on the agenda must first be recognized by the Mayor or Mayor Pro Tem. Before speaking, please sign in at the table in the back of the room. The timer will buzz once when there are 30 seconds left and the light will turn yellow. The timer will buzz again at the end of the speaker’s time. Each speaker is allowed 5 minutes. If there are more than 6 individuals who wish to speak, the Mayor may reduce the time allowed for each individual. ● State your name and address for the record ● Applause, outbursts or other demonstrations by the audience is not allowed ● Keep comments brief; if available, provide a written copy of statement to City Clerk  CITIZEN PARTICIPATION FOLLOW-UP Consent Calendar The Consent Calendar is intended to allow the City Council to spend its time and energy on the important items on a lengthy agenda. Staff recommends approval of the Consent Calendar. Anyone may request an item on this calendar to be "pulled" off the Consent Calendar and considered separately. Agenda items pulled from the Consent Calendar will be considered separately under Pulled Consent Items. Items remaining on the Consent Calendar will be approved by City Council with one vote. The Consent Calendar consists of: ● Ordinances on First Reading that are routine; ● Ordinances on Second Reading that are routine; ● Those of no perceived controversy; ● Routine administrative actions. 1. Consideration and Approval of the Minutes of the September 23, 2014 Adjourned Council Meeting and the October 7, 2014 Regular Council Meeting. The purpose of this item is to approve the minutes from the September 23, 2014 Adjourned Council meeting and the October 7, 2014 Regular Council meeting. 2015 BUDGET-RELATED CONSENT ITEMS 2. First Reading of Ordinance No. 138, 2014, Authorizing the Appropriation of Fiscal Year 2015 Operating and Capital Improvement Funds for the Fort Collins-Loveland Municipal Airport. The 2015 annual operating budget for the Airport totals $844,530, and will be funded from Airport operating revenues, contributions from the Cities of Fort Collins and Loveland ($177,500 from each City), and interest earnings. This Ordinance authorizes the City of Loveland to appropriate the City of Fort Collins contribution, which is a 50% share of the 2015 Airport budget and totals $422,265. City of Fort Collins Page 3 This Ordinance also appropriates the City’s 50% share of capital funds, totaling $442,500 for the Airport from federal and state grants; contributions from Fort Collins and Loveland; and the Airport General Fund. Most of the 2014 Airport capital funds, totaling $885,000, will be used to complete major Airport improvements including the second phase of the construction of a snow removal equipment storage facility, and the rehabilitation of roadways. 3. First Reading of Ordinance No. 139, 2014 Being the Annual Appropriation Ordinance for the Fort Collins Downtown Development Authority Relating to the Annual Appropriations for Fiscal Year 2015 and Fixing the Mill Levy for the Downtown Development Authority for Fiscal Year 2015. The purpose of this item is to set the Downtown Development Authority (“DDA”) 2015 Operations and Maintenance Budget amount of $744,084 to be appropriated for fiscal year 2015 for the administrative operations budget, appropriate the 2015 Line of Credit Draw in the amount of $1,000,000, set the amount of $3,191,396 for debt service payments to be appropriated for fiscal year 2015 and set the 2015 Mill Levy for the Fort Collins DDA at five (5) mills, unchanged since tax year 2002. The approved Budget becomes the Downtown Development Authority’s financial plan for 2015. NON-BUDGET RELATED CONSENT ITEMS 4. Postponement of First Reading of Ordinance No. 128, 2014, Establishing Regulations for Persons Cultivating Marijuana in Non-Residential Structures Indefinitely. Staff requests postponement of this item indefinitely to allow time to review suggestions brought forward by caregivers and to ensure regulations are consistent with the Fire Code, Building Code, and the intent of the regulations. 5. Second Reading of Ordinance No. 129, 2014, Appropriating Unanticipated Revenue from the Colorado Department of Transportation into the Capital Projects Fund - City Bridge Program Project for the West Mulberry Street Bridge Replacement. This Ordinance, unanimously adopted on First Reading on October 7, 2014, appropriates grant funds received from the federally funded Colorado Off-System Bridge Program in the amount of $700,000. This funding is for the replacement of the West Mulberry Street Bridge over the New Mercer Ditch, a structurally deficient bridge owned by the City. 6. Items Relating to the Clydesdale Park First and Second Annexations. A. Second Reading of Ordinance No. 131, 2014, Annexing Property Known as the Clydesdale Park First Annexation. B. Second Reading of Ordinance No. 132, 2014, Amending the Zoning Map and Classifying for Zoning Purposes the Property included in the Clydesdale Park First Annexation. C. Second Reading of Ordinance No. 133, 2014, Annexing Property Known as the Clydesdale Park Second Annexation. D. Second Reading of Ordinance No. 134, 2014, Amending the Zoning Map and Classifying for Zoning Purposes the Property included in the Clydesdale Park Second Annexation. These Ordinances, unanimously adopted on First Reading on October 7, 2014, annex and zone the existing Clydesdale Park subdivision located east of Interstate 25, south of the intersection of East Mulberry Street and Carriage Parkway. Clydesdale Park includes 217 single-family residential lots on approximately 75 acres. Residents of the Clydesdale Park neighborhood have requested annexation. The requested zoning for these annexations is the Low Density Mixed-Use Neighborhood District (L-M-N), which is in compliance with the City of Fort Collins Structure Plan. City of Fort Collins Page 4 7. Second Reading of Ordinance No. 135, 2014, Appropriating Unanticipated Revenue in the General Fund and Authorizing the Transfer of Existing Appropriations From the General Fund to the Capital Projects Fund for the Woodward Related Transmission Line Relocation Project. This Ordinance, unanimously adopted on First Reading on October 7, 2014, appropriates an additional $254,000 for the Transmission Line Relocation portion of the Woodard Public Improvements Project. 8. Items Relating to Appropriating Prior Year Reserves and Unanticipated Revenue in Various City Funds and Authorizing the Transfer of Appropriated Amounts between Funds or Projects. A. First Reading of Ordinance No. 140, 2014, Appropriating Prior Year Reserves and Unanticipated Revenue in Various City Funds and Authorizing the Transfer of Appropriated Amounts Between Funds or Projects. B. First Reading of Ordinance No. 141, 2014, Appropriating Prior Year Reserves in the Benefits Fund for Unanticipated Expenditure Increases. C. First Reading of Ordinance No. 142, 2014, Appropriating Prior Year Reserves in the Transportation Services Fund to be Used to Cover Snow Removal Expenses. D. First Reading of Ordinance No. 143, 2014, Appropriating Prior Year Reserves in the Self- Insurance Fund for Insurance Expenses. The purpose of this item is for the Annual Year-End Adjustment. This year it is comprised of 4 separate ordinances. Ordinance No. 140, 2014, is for the appropriation of non-controversial expenses related to unanticipated revenue, grants, and unforeseen costs that had not previously been budgeted. Ordinance No. 141, 2014, appropriates funds from the Benefits Fund to cover unanticipated expenditures and employee benefits. Ordinance No. 142, 2014, appropriates funds for snow removal for the remainder of 2014 as the entire snow removal budget has been spent. Ordinance No. 143, 2014, appropriates prior year reserves for property and liability claims that are expected to exceed budget. 9. Items Relating to Ethics Review Board Code Changes A. First Reading of Ordinance No. 144, 2014, Amending Section 2-569 of the City Code Pertaining to Procedures of the Ethics Review Board. B. First Reading of Ordinance No. 145, 2014, Amending Section 2-568(a) of the City Code Pertaining to Definitions Applicable to Ethical Rules of Conduct. The purpose of the first ordinance is to adopt revisions to the City Code to simplify and expedite the process of initiating Ethics Review Board review of ethics complaints and to update provisions related to alternative composition of the Board in the event members of the Board are themselves the subject of a complaint. The second ordinance is intended to incorporate into the City Code the definitions related to conflicts of interest that are specified in the City Charter, and to add new definitions to assist in the interpretation and application of the conflicts of interest provisions in the City Charter and City Code. 10. First Reading of Ordinance No. 146, 2014, Revising Chapter 26 of the City Code Regarding Payments in Lieu of Taxes and Franchise Fees, and Specifying that the Operation and Maintenance of the Street Lighting System is an In Kind Payment by the Light & Power Fund in Lieu of Taxes and Franchise Fees. The purpose of this item is to codify the longstanding City policy and practice whereby the Light & Power Fund has been responsible for providing municipal street lighting as an in-kind payment to the General Fund as part of the Electric Utility’s payment in lieu of taxes and franchise fees. The Ordinance also revises the language related to the Water and Wastewater Funds’ required 6% payment to the General Fund to clarify that this is a payment in lieu of taxes and franchise fees (as City of Fort Collins Page 5 the City Charter and with the wording used in City Code to reference the same fee paid by the Light & Power Fund. 11. Items Relating to City Code Clarifications for Plant Investment Fees. A. First Reading of Ordinance No. 147, 2014, Amending Chapter 26 of the City Code to Revise Water Plant Investment Fees, Excess Water Surcharge Rates and Raw Water Requirements for Meters Larger Than Two Inches in Size. B. First Reading of Ordinance No. 148, 2014, Amending Section 26-284 of the City Code to Clarify the Calculation of Infiltration and Inflow in Determining Sewer Plant Investment Fees. The purpose of this item is to address several sections of Chapter 26 of the City Code relating to how plant investment fees are calculated and when the Excess Water Use Surcharge is applicable. These changes do not impact the amount charged for plant investment fees or the Excess Water Use Surcharge but rather seek to clarify the exact calculation of the fees. 12. First Reading of Ordinance No. 149, 2014 Approving a First Amendment to the Agreement with Woodward, Inc. The purpose of this item is to amend the Agreement with Woodward, Inc. and the Fort Collins Downtown Development Authority by changing a key date in the requirement of the City Manager to present City Council with a package to renew the Building on Basics dedicated sales tax including funding for Lincoln Boulevard Improvements. On April 2, 2013, City Council approved (6-1; Nays: Ohlson) on Second Reading the “Agreement with Woodward, Inc.” relating to the relocation and construction of the company’s headquarters and expanding its manufacturing and office facilities (the “Agreement”). The Fort Collins Downtown Development Authority (“DDA”) is also a party to the Agreement. The Agreement authorized a business assistance package that includes the reimbursement and rebate of taxes and contemplates construction of several public improvement projects. One aspect of the Agreement (Section 4.1(d)) relates specifically to improvements to Lincoln Boulevard. The Agreement contemplates that the City Manager will submit a package for City Council’s consideration that would help fund these improvements “by a renewal of the Building on Basics dedicated sales tax…on a schedule to allow consideration of that measure by voters no later than November 2014.” The current schedule contemplates consideration of a renewal of the Building on Basics dedicated sales tax in April 2015. Therefore, the Agreement requires amendment to reflect the new schedule and date. 13. First Reading of Ordinance No. 150, 2014, Vacating a City Trail Easement and Any Associated Rights on Colorado State University Property Between Centre Avenue and Bay Road. The purpose of this item is to vacate a trail easement, located between Centre Avenue and Bay Road, that was obtained from Colorado State University Research Foundation (CSURF) in 1979 (including any prescriptive rights that may exist). This segment of the Spring Creek trail was replaced with a new and superior alignment in 2013 from an additional trail easement obtained from Colorado State University (CSU) and Colorado State University Research Foundation. 14. Resolution 2014-096 Adopting an Updated Process for City Council Evaluation of the Performance of the City Manager, City Attorney and Municipal Judge. The purpose of this item is to modify the performance evaluation process for the City Manager, City Attorney and Municipal Judge (Employees) to allow for flexibility in the methods used to gather input from Councilmembers for the annual performance review and to remove the requirement for a separate meeting with the Mayor, Mayor Pro Tem and each Employee to discuss the Employee’s compensation and benefits. City of Fort Collins Page 6 END CONSENT  CONSENT CALENDAR FOLLOW-UP This is an opportunity for Councilmembers to comment on items adopted or approved on the Consent Calendar.  STAFF REPORTS A, Police Accreditation Award.  COUNCILMEMBER REPORTS  CONSIDERATION OF COUNCIL-PULLED CONSENT ITEMS Discussion Items The method of debate for discussion items is as follows: ● Mayor introduces the item number, and subject; asks if formal presentation will be made by staff ● Staff presentation (optional) ● Mayor requests citizen comment on the item (five minute limit for each citizen) ● Council questions of staff on the item ● Council motion on the item ● Council discussion ● Final Council comments ● Council vote on the item Note: Time limits for individual agenda items may be revised, at the discretion of the Mayor, to ensure all citizens have an opportunity to speak. Please sign in at the table in the back of the room. The timer will buzz when there are 30 seconds left and the light will turn yellow. It will buzz again at the end of the speaker’s time. NON-BUDGET RELATED DISCUSSION ITEMS 15. Items Relating to the Disposable Bags Referendum Petition. (staff: Wanda Nelson; 5 minute staff presentation; 45 minute discussion) A. Presentation of a Certified Petition Seeking to Repeal Ordinance No. 099, 2014, Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags. (No Action Needed) AND B. First Reading of Ordinance No. 151, 2014, Repealing Ordinance No. 099, 2014, Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags. OR C. First Reading of Ordinance No. 152, 2014, Calling a Special Election for the Purpose of Submitting to the Registered Electors a Citizen Referendum of Ordinance No. 099, 2014 City of Fort Collins Page 7 Amending Chapter 12 of the Code of the City of Fort Collins Establishing Regulations Regarding Disposable Bags OR D. Resolution 2014-097 Referring Ordinance No. 099, 2014, Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags to a Vote of the Registered Electors of the City at the Next Regular Municipal Election on April 7, 2015. On September 29, 2014, a referendum petition was filed with the City Clerk’s Office seeking to repeal Ordinance No. 099, 2014, Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags. On October 10, 2014, the City Clerk determined that the referendum petition was sufficient, absent a protest being filed by the October 9 deadline. Upon presentation to the Council of a petition certified as sufficient for referendum, the operation of the ordinance in question is automatically suspended pending repeal by the Council or final determination by the voters. If the ordinance is not repealed, the Council must refer the ordinance to a vote of the registered electors at the next regular or special City election scheduled for any other purpose. If the Council chooses to refer the measure to the voters, the Council may call a special election for this specific purpose. The earliest practical opportunity for a special election would be January 2015. If the Council chooses to wait until April 2015 to have the voters consider this issue, Resolution 2014-097 is presented to place the issue on the ballot and set the ballot language. If Council opts for a special election on another date, a revised Resolution will be presented to Council on November 4 in conjunction with Second Reading of the Ordinance calling the special election. 16. Resolution 2014-098 Establishing Priority Actions to Create Zero Waste in Fort Collins. (staff: Susie Gordon; 10 minute staff presentation; 20 minute discussion) The purpose of this item is to present a resolution that expresses commitment to Fort Collins’ goal of Zero Waste by 2030. The resolution enumerates strategic actions for the City to take now and in coming years, which were developed for the Road to Zero Waste Plan to deliberately and systematically drive progress forward over the next decades. 17. Second Reading of Ordinance No. 137, 2014, Appropriating Capital Project Funding in the Light and Power, Water, Wastewater, and Stormwater Drainage Enterprise Funds and Authorizing the Transfer of Appropriations to the Cultural Services and Facilities Fund for the Art in Public Places Program, for the Construction of a New Utilities Administration Building in Block 32 on LaPorte Avenue and Renovation of 700 Wood Street. (staff: Mike Beckstead, Kevin Gertig, Ken Mannon, Wendy Williams; no staff presentation; 20 minute discussion) This Ordinance, unanimously adopted on First Reading on October 14, 2014, provides funding for the construction of a new Utility Administration Building within Block 32 on LaPorte Avenue, as well as renovation of the existing Utility Service Center at 700 Wood Street. The total combined project costs are $23,411,000 with $4,500,000 already appropriated from Light and Power reserves, leaving $18,911,000 to be appropriated with this ordinance. City of Fort Collins Page 8 2015 BUDGET-RELATED DISCUSSION ITEMS 18. First Reading of Ordinance No. 153, 2014,Being the Annual Appropriation Ordinance Relating to the Annual Appropriations for the Fiscal Year 2015; Adopting the Budget for the Fiscal Years Beginning January 1, 2015, and Ending December 31, 2016; and Fixing the Mill levy for Fiscal year 2015. (staff: Darin Atteberry, Mike Beckstead; 5 minute staff presentation; 45 minute discussion) The purpose of this item is to present the Annual Appropriation Ordinance for First Reading. This Ordinance sets the City Budget for the two-year period (2015–16) which becomes the City’s financial plan for the next two fiscal years. This Ordinance sets the amount of $552,694,350 to be appropriated for fiscal year 2015. Including the 2015 adopted budgets for the General Improvement District (GID) #1 of $1,193,565 and General Improvement District (GID) #15 (Skyview) of $1,000 as well as the Urban Renewal Authority (URA) of $2,408,457 the total City operated appropriations amount to $556,297,372. This Ordinance also sets the 2015 City mill levy at 9.797 mills, unchanged since 1991. 19. Items Relating to Utility Rates, Fees and Charges for 2015. (staff: Lance Smith; 5 minute staff presentation; 20 minute discussion) A. First Reading of Ordinance No. 154, 2014, Amending Chapter 26 of the City Code to Revise Electric Rates, Fees and Charges. B. First Reading of Ordinance No. 155, 2014, Amending Chapter 26 of the City Code to Revise Electric Development Fees and Charges. C. First Reading of Ordinance No. 156, 2014, Amending Chapter 26 of the City Code to Revise Wastewater Rates, Fees, and Charges. The purpose of this item is to consider two Ordinances adjusting electric rates and fees and one Ordinance adjusting wastewater service rates for 2015. The City Manager’s Recommended 2015 City Budget includes small rate increases in the electric and wastewater utilities. The 1.9% electric rate increase is necessary due to increased operation and maintenance costs associated with the generation and transmission of the energy. The 3.0% wastewater rate increase is necessary to meet long term capital improvement needs due to anticipated regulatory changes and aging infrastructure. The table above shows the overall changes in the operational revenues for each utility due to the proposed rate increases. In the discussion below the rate class specific adjustments are given for electric service. The proposed wastewater rate increase would be the same for all rate classes based on the wastewater cost of service study adjustments which were made for 2014. 2015 Proposed Rate Adjustments Utility Proposed Adjustment Development Fees to Be Adjusted? Electric 1.9% Yes Water - - Wastewater 3.0% - Stormwater - - City of Fort Collins Page 9 Electric development fee changes are proposed due to changes in material costs. Water and wastewater plant investment fees were updated for 2014 and will not be updated again until 2016.  CONSIDERATION OF CITIZEN-PULLED CONSENT ITEMS  OTHER BUSINESS  ADJOURNMENT A. Council will consider a motion to adjourn to 6:00 p.m., Tuesday October 28, 2014 Every Council meeting will end no later than 10:30 p.m., except that: (1) any item of business commenced before 10:30 p.m. may be concluded before the meeting is adjourned and (2) the City Council may, by majority vote, extend a meeting until no later than 12:00 a.m. for the purpose of considering additional items of business. Any matter which has been commenced and is still pending at the conclusion of the Council meeting, and all matters scheduled for consideration at the meeting which have not yet been considered by the Council, will be continued to the next regular Council meeting and will be placed first on the discussion agenda for such meeting. PROCLAMATION WHEREAS, municipal government is the level of government closest to most citizens and the one with the most direct daily impact upon residents; and WHEREAS, municipal government is administered for and by the people and is dependent upon public commitment to and understanding of its many responsibilities; and WHEREAS, the City of Fort Collins provides high quality, efficient services in the areas of safety, transportation, culture and recreation opportunities, environmental health, neighborhood livability, economic health and a high performing government organization; and WHEREAS, the Colorado Municipal League’s member cities and towns have joined together to recognize the important role played by municipal government in our daily lives; and WHEREAS, Colorado Cities & Towns Week offers an opportunity to convey to all Colorado residents that they can shape and influence government through their civic involvement. NOW, THEREFORE, I, Karen Weitkunat, Mayor of the City of Fort Collins, do hereby proclaim October 20-26, 2014 to be COLORADO CITIES & TOWNS WEEK and encourage all Fort Collins residents to learn about the services the City provides, and engage with their municipal government. IN WITNESS WHEREOF, I have hereunto set my hand and the seal of the City of Fort Collins this 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _________________________________ City Clerk Packet Pg. 10 PROCLAMATION WHEREAS, for over 50 years United Way of Larimer County has strived to ensure that our community’s important health & human service needs are met in an atmosphere of mutual respect and trust; and WHEREAS, the historic roles of United Way include providing leadership in identifying and prioritizing health and human service issues in Larimer County, and conducting major fundraising campaigns to support solutions for those needs in our communities; and WHEREAS, the partnership role between the community-at-large and United Way of Larimer County is broadening to include an emphasis on long-lasting community solutions, charitable giving and volunteer contributions; and WHEREAS, United Way of Larimer County strives to improve our local community through their community impact initiatives, nationally recognized Make a Difference Day as well as through the annual fundraising campaign. NOW THEREFORE, I, Karen Weitkunat, Mayor of the City of Fort Collins, do hereby proclaim October 21, 2014 as United Way of Larimer County’s Give, Advocate, and Volunteer Day in Fort Collins and I urge all citizens of Larimer County to become actively involved in supporting United Way, through its campaign and volunteer initiatives. IN WITNESS WHEREOF, I have hereunto set my hand and the seal of the City of Fort Collins this 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _________________________________ City Clerk Packet Pg. 11 Agenda Item 1 Item # 1 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Wanda Nelson, City Clerk SUBJECT Consideration and Approval of the Minutes of the September 23, 2014 Adjourned Council Meeting and the October 7, 2014 Regular Council Meeting. EXECUTIVE SUMMARY The purpose of this item is to approve the minutes from the September 23, 2014 Adjourned Council meeting and the October 7, 2014 Regular Council meeting. ATTACHMENTS 1. September 23, 2014 (PDF) 2. October 7, 2014 (PDF) Packet Pg. 12 City of Fort Collins Page 405 September 23, 2014 COUNCIL OF THE CITY OF FORT COLLINS, COLORADO Council-Manager Form of Government Adjourned Meeting – 6:00 PM PRESENT: Weitkunat, Overbeck, Poppaw, Campana, Troxell, Cunniff, Horak ABSENT: None Staff present: Atteberry, Daggett, Jensen 1. Public Hearing on the 2015-2016 Recommended Biennial Budget for the City of Fort Collins. (Hearing was Held) This is the first official public hearing on the City Manager’s 2015-2016 Recommended Biennial Budget for the City of Fort Collins. The purpose of this public hearing is to gather public input on the 2015-2016 budget. In an effort to receive further public input, a second public hearing is scheduled for the Tuesday, October 7, 2014 Council meeting. Public input will also be taken during the budget adoption meetings on Tuesday, October 21 and Tuesday, November 18, 2014 at 6:00 p.m. in the Council Chambers. The City Manager’s 2015-2016 Recommended Budget can be reviewed at the Main Library, the Harmony Branch Library, Council Tree Library, or the City Clerk’s Office. The recommended budget can also be viewed online at www.fcgov.com/budget <http://www.fcgov.com/budget>. Chrissy Krumm, People First of Larimer County, discussed the importance of employment and transportation. Specifically, she requested funding for additional evening and Sunday Transfort service. Nancy York, 130 South Whitcomb, supported evening, Sunday and holiday Transfort service and suggested the budget should be evaluated, per offer, for carbon footprint impacts. Betsy Craig, 815 Courtenay Circle, Menu Nutrition Information, supported funding for small business services in the community. Bruce Henderson, Bike Fort Collins, supported funding for various bicycle-related offers necessary to implement the Low Stress Network. Additionally, he supported funding for two recreation offers. Shannell Sedgwick, Fort Collins Public Access Network President, supported funding for the FC-PAN Network. Mona Mazer, Fort Collins resident, supported funding for the Fort Collins Public Access Network. (Unintelligible name), Fort Collins resident, supported funding for the Fort Collins Public Access Network. Meghan Belaski, 1212 Southridge Drive, expressed concern regarding safety and cultural issues in the Avery Park neighborhood. Packet Pg. 13 Attachment1.1: September 23, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 406 April Johansen, Fort Collins Symphony musician, played her instrument in support of funding for the Symphony. Wes Kenney, 1033 Pinnacle Place, Fort Collins Symphony Director, supported funding for the Symphony. Rudy Burns, 914 Ridge Runner Drive, Babette's Feast, supported funding for the Larimer County Small Business Development Center and Fort Collins Symphony. Tina Mooney, The Fox and the Crow owner, supported funding for the Small Business Development Center. Glenn Plagens, Larimer Small Business Development Center Senior Director, supported funding for the Small Business Development Center. Mayor Weitkunat thanked the speakers and stated the second public hearing on the budget will be October 7th. RESULT: HEARING WAS HELD 2. Resolution 2014-082 Directing the Interim City Attorney and the City's Special Counsel to File an Appeal with the Colorado Court of Appeals in the Colorado Oil and Gas Association v. City of Fort Collins Lawsuit. (Adopted) The purpose of this item is to request Council’s direction to file an appeal with the Colorado Court of Appeals regarding the District Court’s recent decision in the Colorado Oil and Gas Association’s (COGA) lawsuit against the City. That decision declared the voter-approved five-year moratorium on hydraulic fracturing to be preempted by state law. This item also asks the Council for direction to file with the District Court, and the Court of Appeals if necessary, a motion to “stay” the effect of the Order pending the outcome of the appeal. Laurie Kadrich, Community Development and Neighborhood Services Director, stated this Resolution would direct staff to file an appeal regarding the District Court’s decision with the Colorado Oil and Gas Association’s lawsuit against the City. Additionally, the item would direct staff to ask for a stay, which would delay the effect of the District Court Judge’s ruling until such time that the appeal is heard. Kadrich went on to discuss the moratorium approved by voters and the subsequent lawsuit filed against the City by the Colorado Oil and Gas Association. The following citizens spoke in support of the appeal: Janice Lynne, Fort Collins resident Evelyn Carpenter, Fort Collins resident Tom Hoehn, 218 South Washington Tonya (no last name given) Stephen Wallace, Fort Collins resident, Dolores Williams, 415 Mason Court Harry Michaels, 5620 Fossil Creek Parkway Sharon Bringleson, Fort Collins resident Nancy York, 130 South Whitcomb Kelly Giddens, Citizens for a Healthy Fort Collins Kevin Cross, Fort Collins Sustainability Group Debra (no last name given), Fort Collins resident Packet Pg. 14 Attachment1.1: September 23, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 407 Patrick Padden, 3342 Pepperwood Lane Meghan Belaski, 1212 Southridge Drive Carolyn Carpenter, Liberty Commons student Elaine Branjord, 4720 Prairie Vista Drive J.D. Roybal, Windsor resident Claire Pratt, Fort Collins resident Jim Vassallo, Fort Collins resident Mayor Pro Tem Horak made a motion, seconded by Councilmember Poppaw, to adopt Resolution 2014-082. Councilmember Troxell asked about the status of the health study which was put in place as a result of the oil and gas operator agreement. Kadrich replied a third party was hired to examine the operator agreement and the operator was found to be in compliance. Additionally, Kadrich stated preliminary air quality and water baseline sampling are being completed, related to the operator agreement. Councilmember Troxell asked about the studies which were to be completed as part of the moratorium. Kadrich replied a preliminary analysis has been completed with regard to property values and the health impact report is in its draft stage; both of which are still occurring regardless of the Court action. Troxell asked if the City is participating with the real-time monitoring regarding oil and gas operations with the Colorado Water Watch. Kadrich replied she would report back. RESULT: RESOLUTION 2014-082 ADOPTED [6 TO 1] MOVER: Gerry Horak, District 6 SECONDER: Lisa Poppaw, District 2 AYES: Weitkunat, Overbeck, Poppaw, Campana, Cunniff, Horak NAYS: Troxell 3. Second Reading of Ordinance No. 123, 2014, Authorizing the Conveyance of a Waterline Easement, Access Easement, and Temporary Construction Easement on City property to the City of Greeley. (Adopted) This Ordinance, adopted on September 2, 2014, by a vote of 5-1 (Nays: Overbeck; Poppaw absent) authorizes the conveyance of easements to the City of Greeley across the City property known as the City Ditch. The City of Greeley is acquiring necessary easements for its Greeley Bellvue Pipeline Project. Greeley has requested easements for its project across a strip of property owned by the City’s Utility Department extending south from the Poudre River. The property lies outside City limits and is the location of the City Ditch. The Larimer County Canal No. 2 Irrigating Company utilizes this ditch through an existing easement agreement with the City. The easements requested by Greeley include a .19 acre (8,265 square feet) permanent waterline easement, a .133 acre (5,808 square feet) temporary construction easement, and an access easement across the existing ditch access road. Lindsay Kuntz, Real Estate Specialist, stated this item would convey several easements on City property to the City of Greeley. She discussed the location of the property and easements and reviewed the history of the easement request. Additionally, Kuntz discussed the land dispute issue and stated the title of the property was acquired by means of a rule in order in 1883, which was later recorded in the Larimer County public records in 1892. She noted the property owner’s deed, recorded in 1977, includes language excepting a tract to the City of Fort Collins. Packet Pg. 15 Attachment1.1: September 23, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 408 Councilmember Cunniff asked if the basic issue is the City of Greeley’s request to place a pipeline through Fort Collins’ property. Kuntz replied Greeley is requesting an easement, not a right-of-way. Councilmember Campana made a motion, seconded by Councilmember Troxell, to adopt Ordinance No. 123, 2014, on Second Reading. Councilmember Overbeck discussed his visit to the site and expressed concern the easement lies close to the Poudre River. Councilmember Cunniff expressed concern regarding the interests of the Brinks' property. Councilmember Troxell thanked staff for preparing the site visit and requested information. Mayor Weitkunat noted site visits were held several years ago and supported the motion. RESULT: ORDINANCE NO. 123, 2014 ADOPTED ON SECOND READING [5 TO 2] MOVER: Gino Campana, District 3 SECONDER: Wade Troxell, District 4 AYES: Weitkunat, Poppaw, Campana, Troxell, Horak NAYS: Overbeck, Cunniff  ADJOURNMENT The meeting adjourned at 7:15 PM. ______________________________ Mayor ATTEST: ________________________________ City Clerk Packet Pg. 16 Attachment1.1: September 23, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 409 October 7, 2014 COUNCIL OF THE CITY OF FORT COLLINS, COLORADO Council-Manager Form of Government Regular Meeting – 6:00 PM PRESENT: Weitkunat, Overbeck, Poppaw, Campana, Troxell, Cunniff, Horak ABSENT: None Staff: Atteberry, Daggett, Nelson  AGENDA REVIEW: CITY MANAGER City Manager Atteberry recommended postponement of Item No. 20, First Reading of Ordinance No. 137, 2014, Appropriating Capital Project Funding in the Light and Power, Water, Wastewater, and Stormwater Drainage Enterprise Funds and Authorizing the Transfer of Appropriations to the Cultural Services and Facilities Fund for the Art in Public Places Program, for the Construction of a New Utilities Administration Building in Block 32 on LaPorte Avenue and Renovation of 700 Wood Street, to the adjourned meeting scheduled for October 14.  CITIZEN PARTICIPATION Deborah Young, Women’s Commission, expressed appreciation for work done by the Social Sustainability Office. Lew Gaiter, Larimer County Commissioner, expressed appreciation for Council’s consideration of a Resolution supporting the jail sales tax extension. Lawrence Budd, 1436 Glen Haven, discussed the “water refugee” situation with regard to incoming residents from drought-stricken California. Cheryl Distaso, Fort Collins Community Action Network, discussed widening income gaps in Fort Collins, particularly related to the mall redevelopment, and requested Police stop ticketing homeless individuals. Additionally, she requested Council consider funding for lockers for homeless individuals. Devin Hirning, Fort Collins resident, presented a petition, signed by 977 Fort Collins residents, to reinstate aquatics in the southeast recreation and arts center. The following citizens spoke in favor of the inclusion of aquatics in the southeast recreation center: Emily Land, 637 Sandreed Court Heidi Early, 6314 Tilden Street Jenny McElwain, 2303 Chandler Street Josie McElwain, 2303 Chandler Street Jillian McElwain, 2303 Chandler Street Janelle McElwain, 2303 Chandler Street Matt Phillips, 6408 Tilden Street Marcus Phillips, 6408 Tilden Street Packet Pg. 17 Attachment1.2: October 7, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 410 Mark Morehouse, 2216 Vassar Jenna Lee, 1406 Twin Oak Drive Marty Jaskin, 2442 Hollingbourne Drive Desiree Fisk, Fort Collins Homeless Coalition, supported better solutions for the city’s homeless crisis and supported funding for lockers. Kim Larson, Catholic Charities, expressed appreciation for the Social Sustainability Department and stressed the need for winter shelter for homeless residents. Susan Wymer, Fort Collins resident, stated she is homeless and stressed the need for affordable housing in the city. Kristianne Gale, 1301 Cherry Street, stressed the need for affordable housing in the city. Tino Shiscler, 242 Conifer, stressed the need for affordable housing in the city. Jeff Baumgardner, FoCo Café, provided a brief update on the status of the café and commended City employees for their assistance.  CITIZEN PARTICIPATION FOLLOW-UP Councilmember Cunniff stated he does not currently support the inclusion of a pool at the southeast recreation center as pool budgets do not include funding for major renovations and maintenance. He stated the expectation that the City would be the only source of funding for a new pool facility is not practical. Councilmember Overbeck discussed the living wage and part-time employees in the community. Councilmember Troxell thanked Commissioner Gaiter and Jeff Baumgardner for their comments. Councilmember Campana thanked those who spoke regarding the pool. Mayor Weitkunat asked what will occur internally with the presented citizen petition regarding the pool. City Manager Atteberry replied the ultimate decision rests with Council, which will be considering projects to be placed before voters for the Building on Basics 2.0 tax. Mayor Pro Tem Horak noted there has been no approval of any type of plan for a southeast recreation facility. Additionally, he noted the creation of EPIC was started as a citizen initiative. He also requested follow-up regarding Ms. Wymer’s comments and concerns. Councilmember Poppaw noted Homeward 2020 and the Housing Authority have been funded to provide advocacy for homeless residents. Councilmember Campana asked if the southeast community center is already part of a plan to be located at Fossil Creek Park. City Manager Atteberry replied there will be many conversations upcoming regarding this issue.  CONSENT CALENDAR Packet Pg. 18 Attachment1.2: October 7, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 411 RESULT: CONSENT CALENDAR ADOPTED [UNANIMOUS] MOVER: Gerry Horak, District 6 SECONDER: Wade Troxell, District 4 AYES: Weitkunat, Overbeck, Poppaw, Campana, Troxell, Cunniff, Horak 1. Consideration and Approval of the Minutes of the September 16, 2014 Regular Council Meeting. (Adopted) The purpose of this item is to approve the minutes from the September 16, 2014 Regular Council meeting. 2. Second Reading of Ordinance No. 124, 2014, Appropriating Unanticipated Grant Revenue in the General Fund and Transferring and Appropriating Funds from the Community Development and Neighborhood Services Operating Budget for the Restorative Justice Program. (Adopted) This Ordinance, unanimously adopted on First Reading on September 16, 2014, appropriates grant money to fund Restorative Justice Services within Community Development and Neighborhood Services. A grant in the amount of $56,192 has been received from the Colorado Division of Criminal Justice (DCJ) Juvenile Diversion fund for the continued operation of Restorative Justice Services, which includes the RESTORE program for shoplifting offenses, and the Restorative Justice Conferencing Program (RJCP) for all other offenses. 3. Second Reading of Ordinance No. 125, 2014, Amending Section 1.3.4 of the Land Use Code to Conform the Text to Previously Adopted Revisions. (Adopted) This Ordinance, unanimously adopted on First Reading on September 16, 2014, expands prohibited uses in Section 1.3.4 of the Land Use Code to include the full scope of retail and medical marijuana uses that was defined in Ordinance No. 042 that were not included in Ordinance No. 086, 2014. 4. Second Reading of Ordinance No. 126, 2014, Designating the Bode Property, 220 Remington Street, Fort Collins, Colorado, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code. (Adopted) This Ordinance, unanimously adopted on First Reading on September 16, 2014, designates the Bode Property at 220 Remington Street a Fort Collins Landmark. The owner of the property, Colleen Scholz, initiated this request. 5. Second Reading of Ordinance No. 127, 2014, Designating the Juan and Mary Barraza Property, 412 Wood Street, Fort Collins, Colorado, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code. (Adopted) This Ordinance, unanimously adopted on First Reading on September 16, 2014, designates the Juan and Mary Barraza Property at 412 Wood Street as a Fort Collins Landmark. The owner of the property, Mary Barraza, initiated this request. 6. Items Relating to the West Mulberry Street Bridge Replacement Project. (Adopted) A. Resolution 2014-083 Authorizing the Mayor to Enter into a Contract with the Colorado Department of Transportation for the Construction of the West Mulberry Street Bridge Replacement. B. First Reading of Ordinance No. 129, 2014, Appropriating Unanticipated Revenue from the Colorado Department of Transportation into the Capital Projects Fund - City Bridge Program Project for the West Mulberry Street Bridge Replacement. Packet Pg. 19 Attachment1.2: October 7, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 412 The City has been awarded a grant from the federally funded Colorado Off-System Bridge Program in the amount of $700,000. This funding contract between the City and Colorado Department of Transportation is for the replacement of a structurally deficient bridge owned by the City. The bridge is the West Mulberry Street Bridge over the New Mercer Ditch. 7. Items Relating to the Clydesdale Park First and Second Annexations. (Adopted) A. Resolution 2014-084 Setting Forth Findings of Fact and Determinations Regarding the Clydesdale Park First Annexation. B. Hearing and First Reading of Ordinance No. 131, 2014, Annexing Property Known as the Clydesdale Park First Annexation. C. First Reading of Ordinance No. 132, 2014, Amending the Zoning Map and Classifying for Zoning Purposes the Property included in the Clydesdale Park First Annexation. D. Resolution 2014-085 Setting Forth Findings of Fact and Determinations Regarding the Clydesdale Park Second Annexation. E. Hearing and First Reading of Ordinance No. 133, 2014, Annexing Property Known as the Clydesdale Park Second Annexation. F. First Reading of Ordinance No. 134, 2014, Amending the Zoning Map and Classifying for Zoning Purposes the Property included in the Clydesdale Park Second Annexation. The purpose of this item is to consider the annexation of the existing Clydesdale Park subdivision located east of Interstate 25, south of the intersection of East Mulberry Street and Carriage Parkway. Clydesdale Park includes 217 single-family residential lots on approximately 75 acres. Residents of the Clydesdale Park neighborhood have requested annexation. Residents are also requesting a 5 year “phase-in” of the storm water utility fee for Clydesdale Park upon annexation. The stormwater fee phase-in request was brought to the Water Board on September 18, 2014 for its consideration. Stormwater utility staff and the Water Board are recommending denial of the request for a “phased-in” stormwater fee. 8. Resolution 2014-086 Expressing the City Council's Support for the Passage of Larimer County Proposition 100 Regarding Funding for Construction of a New Animal Shelter for Larimer County and Urging the Citizens of Fort Collins to Vote "Yes" on this Proposition. (Adopted) The purpose of this item is for the City Council to express its support of the passage of Larimer County Proposition 200 and urging the citizens of the City of Fort Collins to vote “yes” on this proposition supporting Larimer Humane Society and the construction of a new animal shelter for Larimer County. 9. Resolution 2014-087 Expressing the City Council's Support for the Passage of Larimer County Ballot Issue 1B Extending a Fifteen One-Hundredths of One Percent County-Wide Sales and use Tax for the Operation of the Larimer County Jail and Urging the Citizens of Fort Collins to Vote "YES" on this Ballot Issue. (Adopted) The purpose of this item is for City Council to express its support of the passage of the countywide jail tax renewal and to encourage the citizens of the City of Fort Collins to vote “yes” on this measure. Packet Pg. 20 Attachment1.2: October 7, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 413 10. Resolution 2014-088 Requesting That the Colorado Municipal League Sponsor Legislation Before the Colorado General Assembly That Would Provide Local Emergency Responders with Advance Information Regarding Hazardous Materials Shipments Being Made on Rail Freight Routes Within the State. (Adopted) The purpose of this item is to seek the Colorado Municipal League to sponsor legislation in the Colorado General Assembly that would provide local emergency responders with information about railroad hazardous material shipments. The City's 2014 Legislative Policy Agenda does not explicitly call for Fort Collins to take a leadership role on this issue and so the Legislative Review Committee has asked staff to present this Resolution for Council consideration. Fort Collins has many freight trains traveling through the community that carry hazardous materials. The proposed legislation would seek information from railroads for emergency in advance of shipments of hazardous materials so that they are best able to protect the community. 11. Resolution 2014-089 Adopting the 2014 Natural Areas Master Plan to Replace the "Land Conservation and Stewardship Master Plan" as a Component of the City's Comprehensive Plan. (Adopted) The purpose of this item is to seek Council adoption of the Natural Areas Master Plan (Plan). Council reviewed the draft Plan at its August 12, 2014 Work Session and staff has completed the changes to the Plan that were suggested by Council at that time. This ten-year Plan will replace the current “Land Conservation and Stewardship Master Plan” which was adopted by Council in 2004. Natural Areas staff spent the last two years gathering input from the citizens of Fort Collins and Larimer County as to the future of the City’s natural areas. The results of that research indicated a high level of community enthusiasm and satisfaction with the City’s land and habitat conservation and outdoor recreation efforts. In survey data and in public forums, citizens clearly expressed a desire for the City to continue its efforts to conserve diverse lands and to provide outdoor recreation opportunities, in particular opportunities for walking, hiking, and biking. The proposed Plan identifies a series of priorities that align with citizen desires, the foundational language of the citizen-initiated sales taxes, City Plan Principles and Policies, and the Department’s core conservation mission. 12. Resolution 2014-094 Approving the Midtown in Motion, College Avenue Transportation Study. (Adopted) The purpose of this item is to seek City Council approval of the Midtown in Motion, College Avenue Transportation Study. The limits of the Midtown in Motion study are College Avenue from Prospect Road to Harmony Road. The study addressed circulation for College Avenue, the adjacent frontage roads, and east/west connections to the MAX Bus Rapid Transit (BRT) stations. This study is the culmination of a year-long effort that included in-depth review of existing conditions and a comprehensive development of a variety of alternatives, ultimately resulting in recommendations for improved roadway, bicycle and pedestrian facilities for College Avenue. The study was conducted with extensive public input and feedback, and is a reflection of guidance from the community on the preferred future for College Avenue. 13. Resolution 2014-090 Approving an Exception to the Use of a Competitive Process for the Purchase of ESRI GIS Software Enterprise License Agreement. (Adopted) The purpose of the item is to request an exception to the competitive bid process for the purchase of a three year Enterprise License Agreement (ELA) from ESRI, as the alternative is contrary to the City’s interests. ESRI’s suite of Geographic Information System (GIS) software products are used throughout the organization by many departments. The software and its data are integral to several other software solutions. The ELA is a cost effective approach that allows for an unlimited number of users to make use of this software and also provides for access to future upgrades, updates and patches. ESRI’s software is proprietary and is only available through them; they do not work with resellers. Packet Pg. 21 Attachment1.2: October 7, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 414 14. Resolution 2014-091 Authorizing the Purchasing Agent to Enter Into a Professional Services Agreement With a Search Firm to Participate in the Recruitment and Selection of a City Attorney. (Adopted) The purpose of this resolution is for the Council Committee to identify its preferred option regarding the search firm to be chosen by the City Council and for the City Council to authorize the Purchasing Agent to enter into a professional services agreement with that search firm. 15. Resolution 2014-092 Reappointing Teresa Ablao as Temporary Judge and Authorizing the Execution of an Employment Agreement. (Adopted) The purpose of this item is to reappoint Teresa Ablao as the temporary judge for the Fort Collins Municipal Court. The City Charter provides for the appointment of a temporary judge (commonly referred to as the Assistant Municipal Judge) to serve in the absence of the Municipal Judge. Teresa Ablao has served in this capacity since mid-2012. Municipal Judge Kathleen M. Lane recommends that Ms. Ablao be reappointed as the Assistant Municipal Judge.  END CONSENT  CONSENT CALENDAR FOLLOW-UP Mayor Pro Tem Horak suggested supplementing the storm drainage fund with dollars from the Clydesdale Park residents, regarding Item No. 7, Items Relating to the Clydesdale Park First and Second Annexations. Additionally, he noted Council’s support for Item Nos. 8 and 9, Resolution 2014-086 Expressing the City Council's Support for the Passage of Larimer County Proposition 200 Regarding Funding for Construction of a New Animal Shelter for Larimer County and Urging the Citizens of Fort Collins to Vote "Yes" on this Proposition and Resolution 2014-087 Expressing the City Council's Support for the Passage of Larimer County Ballot Issue 1B Extending a Fifteen One-Hundredths of One Percent County-Wide Sales and use Tax for the Operation of the Larimer County Jail and Urging the Citizens of Fort Collins to Vote "YES" on this Ballot Issue. Mayor Pro Tem Horak also discussed and commended the passage of Item No. 12, Resolution 2014-094 Approving the Midtown in Motion, College Avenue Transportation Study.  STAFF REPORTS Rick Richter, Infrastructure Manager, briefly discussed the Mulberry bridge replacement project. Jim Hoffman, Colorado Department of Transportation, discussed the need for the bridge replacement and stated the project is being funded by Colorado Bridge Enterprise. He detailed the sidewalk, bike lane, travel lane, and median plans; additionally, he discussed the detour routes for eastbound traffic and public relations regarding the project and detours. Councilmember Cunniff asked if a link to the information has been provided on the City’s website. Hoffman replied in the affirmative. Councilmember Cunniff asked if there is a proactive means of communicating with truckers regarding the closure. Hoffman replied the Wyoming Department of Transportation has been contacted; however, they have not agreed to place a message up regarding the detour. Packet Pg. 22 Attachment1.2: October 7, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 415 Councilmember Overbeck encouraged the use of public service announcements via various media sources. Mayor Pro Tem Horak commended the use of double turn lanes from Riverside and suggested additional signage indicating those lanes. Hoffman replied signage will be added.  COUNCILMEMBER REPORTS Mayor Pro Tem Horak reported on the North Front Range Transportation Air Quality Metropolitan Planning Organization meeting regarding the possibility of adding a third lane to I- 25.  DISCUSSION ITEMS 16. Public Hearing on the 2015-2016 Recommended Biennial Budget for the City of Fort Collins. (Hearing was Held) This is the second official public hearing on the City Manager’s 2015-2016 Recommended Biennial Budget for the City of Fort Collins. The purpose of this public hearing is to gather public input on the 2015-2016 Budget. Public input will also be taken during the budget adoption meetings on Tuesday, October 21 and Tuesday, November 18, 2012 at 6:00 p.m. in the Council Chambers. The City Manager’s 2015-2016 Recommended Budget can be reviewed at the Old Town Library, the Harmony Library, Council Tree Library, or the City Clerk’s Office. The recommended budget can also be viewed online at www.fcgov.com/budget. Stacy Poncelow, 620 Gilgalad Way, supported funding for Poudre School District’s after-school enrichment programs. Stacy Clark, Can Do, supported funding for the FC Walks program. Maria Ortiz, 3808 Celtic Lane, supported funding for Poudre School District’s after-school enrichment programs. Bruce Walthers, Front Range Community College, supported funding for the Small Business Development Center. Kevin Cross, Fort Collins Sustainability Group, supported funding for the LED street light replacement program and the community engagement and vision for a fossil-free future program. Bob Flynn, Green Ride Airport Shuttle, supported funding for the Small Business Development Center. Jeff Baumgardner, FoCo Café, supported additional funding for the Social Sustainability Department. Evan Rau, 2929 Ross Drive, Crankenstein owner, supported funding for the Small Business Development Center. Michael Murphy, Magic Bus Tours, supported funding for the Small Business Development Center. Packet Pg. 23 Attachment1.2: October 7, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 416 Michael O’Connell, Small Business Development Center Director, supported funding for the Small Business Development Center. Rob Cagen, Buttonwood Drive, supported funding for the Keep Fort Collins Great enhancement for Sustainability Services item. Bevin Campbell, 504 Duke Lane, supported funding for the Safe Routes to School budget offers. Irene Vernon, Northside Atzlan Advisory Community Board Chair, supported funding for Poudre School District’s after-school enrichment programs. Nancy York, 130 South Whitcomb, supported funding for Sunday MAX service and transit expansion. She suggested funding could be pulled from downtown landscaping and maintenance, convention and visitor’s services, and the utilities demand response program. Cheryl Distaso, Fort Collins Community Action Network, supported funding for the Poudre School District’s after-school enrichment programs, Sunday and evening transit service, the integrated pest management program for West Nile mitigation, the LED street light replacement program, the community engagement fossil-free future coordinator, and lockers for homeless individuals. Chris Winslow, 126 Sylvan Court, supported funding for the Executive Director position for the Fort Collins Public Access Network (FCPAN). Julian Wang, People First President, supported funding for Dial-a-Ride, Sunday and evening transit, and additional Harmony park-n-ride service. Eric Sutherland, 3520 Golden Currant, requested a budget book be placed in Council Chambers and questioned how the School District's budget would be affected given the existing use of tax increment financing. Additionally, he questioned the mall finance package. Liz Prussner, NRAB representative on the West Nile Virus Technical Advisory Committee, supported funding for the integrated pest manager position. Louis Sharp, Birky Place, spoke on behalf of Mike Devereaux, supported funding for Oak Street bathroom renovations. Phillip Mayer, Loveland resident, supported funding for FCPAN. Mayor Pro Tem Horak questioned the funding source options for the Poudre School District after-school enrichment programs. RESULT: HEARING WAS HELD 17. Resolution 2014-093 Adopting the 2014 Poudre River Downtown Master Plan. (Adopted as Amended) The purpose of this item is to review the final draft of the Poudre River Downtown Master Plan and to seek Council adoption by resolution. Councilmember Campana withdrew from the discussion of this item due to a conflict of interest. Packet Pg. 24 Attachment1.2: October 7, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 417 John Stokes, Natural Resources Director, discussed the major themes of the Poudre River Downtown Master Plan, including transitions, reconnecting habitat, sustainable river access, parking, and flood mitigation. Liz Prussner, Fort Collins resident, expressed support for the Plan and staff’s efforts. Councilmember Cunniff commended the improvements made to the Plan and asked if improved pedestrian access along College was considered rather than the construction of a new bridge structure. Stokes replied it was considered; however, was not chosen as a preferred alternative as the College bridge is not a particularly pleasant pedestrian experience. Councilmember Cunniff suggest placement of the pedestrian bridge as an option. Mayor Pro Tem Horak made a motion, seconded by Councilmember Troxell, to adopt Resolution 2014-093. Councilmember Troxell asked if the hydrology meets the needs of the proposed kayak park. Stokes replied in the affirmative. Councilmember Troxell expressed support for the pedestrian bridge. Councilmember Cunniff made a motion, seconded by Councilmember Overbeck, to modify the language to allow a pedestrian bridge option, but to give more planning flexibility as to the design. He suggested language changes to lessen the importance of the bridge and focus more on its connection. Councilmember Poppaw stated she has no problem with the wording changes, although it may not appreciably change the intent. Mayor Weitkunat commended the inclusion of people and the utilization of the river as a place for community access and recreation. Councilmember Poppaw commended the Plan's balance. Mayor Pro Tem Horak accepted the proposed language changes as a friendly amendment; however, Councilmember Troxell did not. The vote on the motion to amend was as follows: Yeas: Weitkunat, Poppaw, Cunniff, Overbeck and Horak. Nays: Troxell. THE MOTION CARRIED. Mayor Pro Tem Horak commended the overall Plan. Councilmember Troxell commended staff work and the Plan. Councilmember Cunniff commended staff work, the community, and Boards and Commissions' input. Packet Pg. 25 Attachment1.2: October 7, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 418 RESULT: RESOLUTION 2014-093 ADOPTED AS AMENDED [6 TO 0] MOVER: Gerry Horak, District 6 SECONDER: Wade Troxell, District 4 AYES: Weitkunat, Overbeck, Poppaw, Troxell, Cunniff, Horak RECUSED: Campana 18. First Reading of Ordinance No. 135, 2014, Appropriating Unanticipated Revenue in the General Fund and Authorizing the Transfer of Existing Appropriations From the General Fund to the Capital Projects Fund for the Woodward Related Transmission Line Relocation Project. (Adopted) The purpose of this item is to appropriate an additional $254,000 for the Transmission Line Relocation portion of the Woodard Public Improvements Project. Mike Beckstead, Chief Financial Officer, discussed the need for the appropriation. Councilmember Cunniff stated he would like to ensure cost overruns are accounted for in future agreements so as to avoid the use of general funds. Mayor Pro Tem Horak made a motion, seconded by Councilmember Troxell, to adopt Ordinance No. 135, 2014, on First Reading. Mayor Pro Tem Horak noted the original figures were estimates only. Councilmember Troxell expressed appreciation for the complexities of the project and for the explanation provided. RESULT: ORDINANCE NO. 135, 2014, ADOPTED ON FIRST READING [UNANIMOUS] MOVER: Gerry Horak, District 6 SECONDER: Wade Troxell, District 4 AYES: Weitkunat, Overbeck, Poppaw, Campana, Troxell, Cunniff, Horak (Secretary's note: The Council took a brief recess at this point in the meeting.) 19. First Reading of Ordinance No. 136, 2014, Amending Chapter 26 of the City Code Regarding Calculation and Collection of Development Fees Imposed for the Construction of New or Modified Electric Service Connections. (Option A or B) (Postponed to November 18, 2014) The purpose of this item is to revise (Option A) or clarify (Option B) the City Code provisions relating to Electric Development Fees, in particular, Electric Capacity Fee Charges. The Ordinances clarify that the fees due are based on the rates effective on the date of final payment but Council is presented with two options on how the fee is to be collected.  Option A: Option A is a timing change from current Code requirements. This option requires that 100% the Electric Capacity Fee (ECF) to be payable prior to the Utility initiating construction of the electric distribution system. Rates in effect at the time of payment would apply. Currently only 50% of the fee is payable prior to construction with the remainder due prior to the electric system being energized. Option A also addresses how invoices issued prior to the adoption of this ordinance would be addressed.  Option B: Option B does not change the timing of current Code requirements. It requires at least 50% of the Electric Capacity Fee (ECF) to be paid as a deposit prior to the Utility initiating construction of the electric distribution system. The remaining ECF (final payment) would be due prior to the system being energized. Rates in effect at the time of final payment would apply to Packet Pg. 26 Attachment1.2: October 7, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 419 the entire development. Because Option B is not a change from current practice or intent of the current code, it would apply to all invoices issued before or after the adoption. No changes to the Electric Development Fee amounts are proposed as part of this ordinance. The ordinance changes the verbiage only. 2015 Electric Development Fee rate amounts will be presented to City Council for first reading on October 21, 2014 as a separate item. Councilmember Campana withdrew from the discussion of this item due to a conflict of interest. Lance Smith, Utilities Strategic Financial Planning Manager, discussed the current City policy and detailed the options for Council consideration to adjust the policy. He stated the Energy Board expressed support for Option A. Councilmember Cunniff stated Option A has the benefit of simplicity; however, he questioned whether this option would result in a rush of fees being paid prior to a coming fee increase. Smith replied the fees are updated annually; therefore, each year does not have a substantial increase. Mayor Pro Tem Horak made a motion, seconded by Councilmember Cunniff, to adopt Ordinance No. 136, 2014, Option A, on First Reading. Councilmember Troxell asked what type of time delays would occur under Option B. Janet McTague, Utility Project Engineering Supervisor, replied Xcel is typically right behind the City in terms of installation, within a week. Councilmember Troxell asked about the current 50/50 payment policy. McTague replied the City installs its infrastructure once a developer pays the first 50% and the transformers are not energized until the second 50% is paid, which is typically within a week. She stated the proposed up-front 100% payment will likely be a convenience to most developers. Councilmember Cunniff expressed support for Option A. Mayor Weitkunat stated she would not support the motion stating she does not believe 100% up- front payments are the way to do business. Mayor Pro Tem Horak asked if any other development fees are paid in parts. McTague replied the only other fee paid in parts is the cost to run the secondary service from the transformer to the meter in a residential development. Interim City Attorney Daggett noted impact fees are generally paid in full for a building permit. Councilmember Troxell asked when the 100% payment would be due. Smith replied it would be due prior to scheduling the infrastructure construction. Councilmember Troxell asked what the expectation from developers should be in terms of timing of construction. McTague stated the 100% would not be expected to be paid until shovels are ready to be used based on the mutually-accepted design. Councilmember Troxell asked about the timeline between the beginning of construction and energizing. McTague replied projects are most always taken through to completion once they begin and will be energized as soon as they are complete. Packet Pg. 27 Attachment1.2: October 7, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 420 Councilmember Troxell stated he would like the Ordinance to include language relating to level of service expectations. City Manager Atteberry suggested possible changes could be made prior to Second Reading. Councilmember Poppaw asked if any developers have expressed concern regarding the proposed 100% payment. Additionally, she asked if there has ever been a concern relating to the City Utilities not delivering as promised. Mayor Pro Tem Horak appreciated Councilmember Troxell’s concerns and encouraged additional public outreach prior to Second Reading. Councilmember Cunniff asked if Council would have the purview to change from Option A to Option B between readings. Councilmembers and Mayor Weitkunat discussed the need for additional public outreach. Councilmember Poppaw made a motion, seconded by Councilmember Overbeck, to postpone First Reading of Ordinance No. 136, 2014 to November 18, 2014. RESULT: ORDINANCE NO. 136, 2014 POSTPONED TO NOVEMBER 18, 2014 [6 TO 0] MOVER: Lisa Poppaw, District 2 SECONDER: Bob Overbeck, District 1 AYES: Weitkunat, Overbeck, Poppaw, Troxell, Cunniff, Horak RECUSED: Campana 20. First Reading of Ordinance No. 137, 2014, Appropriating Capital Project Funding in the Light and Power, Water, Wastewater, and Stormwater Drainage Enterprise Funds and Authorizing the Transfer of Appropriations to the Cultural Services and Facilities Fund for the Art in Public Places Program, for the Construction of a New Utilities Administration Building in Block 32 on LaPorte Avenue and Renovation of 700 Wood Street. (Postponed to October 14, 2014) The purpose of this Appropriation Ordinance is to provide funding for the construction of a new Utility Administration Building within Block 32 on LaPorte Avenue, as well as renovation of the existing Utility Service Center at 700 Wood Street. The total combined project costs are $23,411,000 with $4,500,000 already appropriated from Light and Power reserves, leaving $18,911,000 to be appropriated with this ordinance. A Utility Building Team comprised of internal staff and external subject matter experts has worked with the architectural firm RNL and Adolfson and Peterson Construction to assess the best way to address the current building performance and space issues facing Fort Collins Utilities’ ongoing and future business operations. Balancing the city-wide goal to have high-performing office buildings with the need to be fiscally prudent has led the Building Team to recommend the two-pronged funding process proposed in this appropriation ordinance. The four Utility Enterprise Funds (Light and Power, Water, Wastewater and Stormwater) will share the costs of the projects. All appropriations will come from the existing reserves in these four funds. Packet Pg. 28 Attachment1.2: October 7, 2014 (2501 : Minutes-9/23, 10/7) City of Fort Collins Page 421 RESULT: ORDINANCE NO. 137, 2014, POSTPONED TO OCTOBER 14, 2014 [UNANIMOUS] MOVER: Gerry Horak, District 6 SECONDER: Wade Troxell, District 4 AYES: Weitkunat, Overbeck, Poppaw, Campana, Troxell, Cunniff, Horak  ADJOURNMENT Mayor Pro Tem Horak made a motion, seconded by Councilmember Cunniff, to adjourn to the end of the Council work session on Tuesday, October 14, 2014, to consider such matters as may come before the Council. RESULT: ADOPTED [UNANIMOUS] MOVER: Gerry Horak, District 6 SECONDER: Ross Cunniff, District 5 AYES: Weitkunat, Overbeck, Poppaw, Campana, Troxell, Cunniff, Horak The meeting adjourned at 9:14 PM. ______________________________ Mayor ATTEST: ________________________________ City Clerk Packet Pg. 29 Attachment1.2: October 7, 2014 (2501 : Minutes-9/23, 10/7) Agenda Item 2 Item # 2 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Jason Licon, Airport Director Mike Beckstead, Chief Financial Officer SUBJECT First Reading of Ordinance No. 138, 2014, Authorizing the Appropriation of Fiscal Year 2015 Operating and Capital Improvement Funds for the Fort Collins-Loveland Municipal Airport. EXECUTIVE SUMMARY The 2015 annual operating budget for the Airport totals $844,530, and will be funded from Airport operating revenues, contributions from the Cities of Fort Collins and Loveland ($177,500 from each City), and interest earnings. This Ordinance authorizes the City of Loveland to appropriate the City of Fort Collins contribution, which is a 50% share of the 2015 Airport budget and totals $422,265. This Ordinance also appropriates the City’s 50% share of capital funds, totaling $442,500 for the Airport from federal and state grants; contributions from Fort Collins and Loveland; and the Airport General Fund. Most of the 2014 Airport capital funds, totaling $885,000, will be used to complete major Airport improvements including the second phase of the construction of a snow removal equipment storage facility, and the rehabilitation of roadways. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. BACKGROUND / DISCUSSION In 1963, the City of Fort Collins and the City of Loveland agreed to the establishment of a regional aviation facility and became owners and operators of the Fort Collins-Loveland Municipal Airport, located approximately 16 miles southeast of downtown Fort Collins, just west of Interstate 25 on Earhart Road. The Airport is operated as a joint venture between the City of Fort Collins and the City of Loveland, with each City retaining a 50% ownership interest, sharing equally in policy-making and management, and with each assuming responsibility for 50% of the capital and operating costs associated with the Airport. The Airport’s mission is to provide a safe and efficient air transportation airport facility to the general public and aviation community by providing airport facilities that meet Federal Aviation Administration (FAA) safety standards and to implement a plan that ensures the efficient development of the Airport to meet the needs of the Fort Collins and Loveland communities. Airport revenues cover operating costs and capital projects. Each city contributes equal funding for Airport operating and capital costs. Airport development and improvement funds are also received, for eligible projects, from the FAA and the Colorado Department of Transportation, Division of Aeronautics. The annual operating costs for 2015 for the Airport are $844,530, and the City of Fort Collins contribution is $177,500. In addition, the Airport Manager is recommending additional capital expenditures and has identified the following funding sources: Packet Pg. 30 Agenda Item 2 Item # 2 Page 2 FAA Entitlement Grant $150,000 State Grant 400,000 Airport Revenues 335,000 Total $885,000 The additional capital expenditures will be used to complete major Airport improvement projects, such as the second phase of construction of a snow removal equipment storage facility, and the rehabilitation of roadways estimated at $885,000. Thus, the City of Fort Collins appropriation for the capital expenditures identified above is $442,500 (50% of the total). The Fort Collins - Loveland Airport Steering Committee, the Mayors and City Managers from each City, has reviewed and approved these recommendations for the 2015 Airport operational and capital improvement budget at its regularly scheduled meeting on May 22, 2014. FINANCIAL / ECONOMIC IMPACTS This Ordinance appropriates the City’s 50% share ($864,765) of the annual appropriation for fiscal year 2015 for the Fort Collins-Loveland Municipal Airport budget. The City of Loveland manages the Airport’s budget and finances; however, since the City of Fort Collins owns 50% of the Airport, it is necessary for the City to appropriate its 50% portion of the Airport budget. Packet Pg. 31 - 1 - ORDINANCE NO. 138, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS AUTHORIZING THE APPROPRIATION OF 2015 FISCAL YEAR OPERATING AND CAPITAL IMPROVEMENT FUNDS FOR THE FORT COLLINS-LOVELAND MUNICIPAL AIRPORT WHEREAS, in 1963, the City of Fort Collins and the City of Loveland (the “Cities”) agreed to establish a regional general aviation facility and became owners and operators of the Fort Collins-Loveland Municipal Airport (the “Airport”); and WHEREAS, the Airport is operated as a joint venture between the Cities, with each city retaining a 50% ownership interest, sharing equally in policy-making and management, and each assuming responsibility for 50% of the Airport’s capital and operating costs; and WHEREAS, in accordance with the Intergovernmental Agreement, dated May 16, 2000, between the Cities for joint operation of the Airport (the “IGA”), the Airport Manager is responsible for preparing the Airport’s annual operating budget and submitting it to the Cities for their approval; and WHEREAS, under the IGA, the City’s share of existing and unanticipated Airport revenue is to be held and disbursed by the City of Loveland as an agent on behalf of the Cities, since the City of Loveland provides finance and accounting services for the Airport; and WHEREAS, in accordance with Article V, Section 8(b), of the City Charter, any expense or liability entered into by an agent of the City on behalf of the City, shall not be made unless an appropriation for the same has been made by the City Council; and WHEREAS, the Airport Manager has submitted for City Council consideration a 2015 Airport operating budget totaling $844,530, of which the City’s share is $422,265; and WHEREAS, it is the desire of the City Council to authorize the City of Loveland to appropriate the City’s share of the necessary funds for the Airport’s operating costs, totaling $422,265, for the fiscal year beginning January 1, 2015, and ending December 31, 2015; and WHEREAS, the Airport Manager also recommends capital expenditures totaling $885,000 to complete major Airport improvement projects in 2015, including the rehabilitation of roadways and, the second phase of the construction of a snow removal equipment storage facility; and WHEREAS, funding for the 2015 capital improvements has been identified as follows: FAA Entitlement Grant $150,000 State Grant 400,000 Airport Revenue 335,000 Total $885,000 Packet Pg. 32 - 2 - WHEREAS, the City’s 50% share of the 2015 capital improvement costs is $442,500. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the City Council hereby adopts the 2015 Airport operating budget. Section 2. That the City Council hereby authorizes the appropriation of FOUR HUNDRED TWENTY-TWO THOUSAND TWO HUNDRED SIXTY-FIVE DOLLARS ($422,265) to be expended to defray the 2015 operating costs of the Fort Collins-Loveland Municipal Airport. Section 3. That the City Council hereby authorizes the appropriation of FOUR HUNDRED FORTY-TWO THOUSAND FIVE HUNDRED DOLLARS ($442,500) to be used for 2015 capital improvements at the Fort Collins-Loveland Municipal Airport. Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 18th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 18th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 33 Agenda Item 3 Item # 3 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Jennifer Hensley, Finance Coordinator Matt Robenalt, Executive Director SUBJECT First Reading of Ordinance No. 139, 2014 Being the Annual Appropriation Ordinance for the Fort Collins Downtown Development Authority Relating to the Annual Appropriations for Fiscal Year 2015 and Fixing the Mill Levy for the Downtown Development Authority for Fiscal Year 2015. EXECUTIVE SUMMARY The purpose of this item is to set the Downtown Development Authority (“DDA”) 2015 Operations and Maintenance Budget amount of $744,084 to be appropriated for fiscal year 2015 for the administrative operations budget, appropriate the 2015 Line of Credit Draw in the amount of $1,000,000, set the amount of $3,191,396 for debt service payments to be appropriated for fiscal year 2015 and set the 2015 Mill Levy for the Fort Collins DDA at five (5) mills, unchanged since tax year 2002. The approved Budget becomes the Downtown Development Authority’s financial plan for 2015. STAFF RECOMMENDATION The Downtown Development Authority Board of Directors and staff recommend adoption of the Ordinance on First Reading. BACKGROUND / DISCUSSION The Downtown Development Authority (DDA) was created in 1981 with the purpose, according to Colorado state statute, of planning and implementing projects and programs within the boundaries of the DDA. By state statute 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 statute and the Plan of Development the City, on behalf of the DDA, has issued various tax increment bonds, which require debt servicing. The City Council is also required by Section 31-25-807(3)(a)(IV)(B) of the Colorado Revised Statutes to certify to the Larimer County Assessor by August 1st of each calendar year the property tax distribution percentages for all affected governmental entities whose property taxes are to be allocated to the DDA tax increment fund. A resolution will be presented to Council in January for this certification. FINANCIAL / ECONOMIC IMPACTS The Fort Collins Downtown Development Authority is requesting approval of the DDA Operations and Maintenance budget for fiscal year 2015 in the amount of $744,084. It is requesting appropriation of up to $1,000,000 for the 2015 Line of Credit draw. It is also requesting approval of the DDA debt payment commitments in the amount of $3,191,396 for 2015 obligations. Packet Pg. 34 Agenda Item 3 Item # 3 Page 2 The 2015 Line of Credit draw, whose debt service payment will be made from the debt service fund, is projected to fund up to $1,000,000. Uses: Museum of Discovery $ 500,000 Multi-Year Reimbursement Payments 131,036 Future Public/Private Investments and Programs 368,214 Annual Line of Credit Financing Cost 750 Total $1,000,000 The DDA debt service fund is projected to have sufficient revenue to meet the required debt service payments for 2015. BOARD / COMMISSION RECOMMENDATION At its October 9, 2014 meeting, the Downtown Development Authority Board of Directors adopted its proposed budget for 2015 totaling $4,935,480 and determined the mill levy necessary to provide for payment of administrative costs incurred by the DDA. ATTACHMENTS 1. DDA Boundary Map (PDF) 2. Resolution 2014-01 Determining and Fixing the Mill Levy (PDF) 3. Resolution 2014-02 Budget of the Estimated Amounts Required to Pay the Expenses of Conducting Business (PDF) 4. Resolution 2014-03 2015 Revolving Line of Credit (PDF) 5. Resolution 2014-04 for Payment of Debt Service (PDF) Packet Pg. 35 Cache La Poudre River ³I ÕZYXW E Vine Dr Riverside Ave N College Ave E Lincoln Ave S Lemay Ave Remington St S College Ave 9th St S Mason St S Howes St E Mulberry St W Laurel St Laporte Ave W Mulberry St N Lemay Ave W Mountain Ave Jefferson St N Mason St N Howes St E Mountain Ave N L e may A v e Smith St E Elizabeth St Mathews St Locust St Peterson St E Myrtle St Stover St Whedbee St Linden St 12th St Maple St Cherry St Conifer St E Plum St W Oak St E Olive St W Olive St W Myrtle St Willow St Buckingham St E Oak St S Meldrum St Hemlock St 1st St Redwood St 3rd St S Whitcomb St 2nd St N Sherwood St W Magnolia St ATTACHMENT 2 Packet Pg. 37 Attachment3.2: Resolution 2014-01 Determining and Fixing the Mill Levy (2433 : DDA Budget) ATTACHMENT 3 Packet Pg. 38 Attachment3.3: Resolution 2014-02 Budget of the Estimated Amounts Required to Pay the Expenses of Conducting Business (2433 : DDA ATTACHMENT 4 Packet Pg. 39 Attachment3.4: Resolution 2014-03 2015 Revolving Line of Credit (2433 : DDA Budget) ATTACHMENT 5 Packet Pg. 40 Attachment3.5: Resolution 2014-04 for Payment of Debt Service (2433 : DDA Budget) - 1 - ORDINANCE NO. 139, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS BEING THE ANNUAL APPROPRIATION ORDINANCE FOR THE FORT COLLINS DOWNTOWN DEVELOPMENT AUTHORITY RELATING TO THE ANNUAL APPROPRIATIONS FOR FISCAL YEAR 2015 AND FIXING THE MILL LEVY FOR THE DOWNTOWN DEVELOPMENT AUTHORITY FOR FISCAL YEAR 2015 WHEREAS, the Fort Collins Downtown Development Authority (the “DDA”) has been duly organized in accordance with the Colorado Revised Statutes (C.R.S) 31-25-804, 1973 as amended; and WHEREAS, on October 9, 2014 DDA Board of Directors (the “DDA Board”), acting under the provisions of Colorado Revised Statutes Section 31-25-816, 1973, as amended, adopted a budget for the fiscal year beginning January 1, 2015 which included appropriation of the 2015 Line of Credit draw, and determined the mill levy necessary to provide for payment during fiscal year 2015 of properly authorized operational and maintenance expenditures to be incurred by the DDA; and WHEREAS, it is the desire of the Council to appropriate the sum of FOUR MILLION NINE HUNDRED THIRTY FIVE THOUSAND FOUR HUNDRED EIGHTY DOLLARS ($4,935,480) in the DDA Operation and Maintenance Fund and the Debt Service Fund for the fiscal year beginning January 1, 2015 and ending December 31, 2015, to be used as follows: DDA Operations & Maintenance $ 744,084 2015 Revolving Line of Credit Draw 1,000,000 DDA Debt Service Fund 3,191,396 $ 4,935,480 WHEREAS, the DDA Board has recommended to the Council a mill levy of five (5) 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 operational and maintenance 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, 2014. 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 SEVEN HUNDRED FORTY FOUR THOUSAND, EIGHTY FOUR DOLLARS ($744,084), to be expended for the authorized purposes of the DDA. Packet Pg. 41 - 2 - Section 2. That there is hereby appropriated for expenditure from the Downtown Development Authority 2015 Line of Credit draw the sum of up to ONE MILLION DOLLARS ($1,000,000), to be used to finance DDA projects or programs in accordance with the DDA Plan of Development including the 2015 Museum of Discovery payment and multi-year reimbursement payments. Section 3. That there is hereby appropriated for expenditure from the Downtown Development Authority Debt Service Fund the sum of THREE MILLION, ONE HUNDRED NINTY ONE THOUSAND, THREE HUNDRED AND NINETY SIX DOLLARS ($3,191,396), for payment of debt service on previously issued and outstanding bonds, to pay the City’s investment service charge, for payment on the 2015 Line of Credit draw, and to be used to cover the DDA’s one-third share of payment on the Civic Center Parking Structure. Section 4. That the 2015 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, 2014 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 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 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 42 Agenda Item 4 Item # 4 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Ginny Sawyer, Policy and Project Manager SUBJECT Postponement of First Reading of Ordinance No. 128, 2014, Establishing Regulations for Persons Cultivating Marijuana in Non-Residential Structures Indefinitely. EXECUTIVE SUMMARY Staff requests postponement of this item indefinitely to allow time to review suggestions brought forward by caregivers and to ensure regulations are consistent with the Fire Code, Building Code, and the intent of the regulations. STAFF RECOMMENDATION Staff recommends postponement of First Reading of this Ordinance indefinitely. Packet Pg. 43 Agenda Item 5 Item # 5 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Jin Wang, Civil Engineer Dean Klingner, Engineer & Capital Project Manager SUBJECT Second Reading of Ordinance No. 129, 2014, Appropriating Unanticipated Revenue from the Colorado Department of Transportation into the Capital Projects Fund - City Bridge Program Project for the West Mulberry Street Bridge Replacement. EXECUTIVE SUMMARY This Ordinance, unanimously adopted on First Reading on October 7, 2014, appropriates grant funds received from the federally funded Colorado Off-System Bridge Program in the amount of $700,000. This funding is for the replacement of the West Mulberry Street Bridge over the New Mercer Ditch, a structurally deficient bridge owned by the City. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on Second Reading. ATTACHMENTS 1. First Reading Agenda Item Summary, October 7, 2014 (w/o attachments) (PDF) 2. Ordinance No. 129, 2014 (PDF) Packet Pg. 44 Agenda Item 6 Item # 6 Page 1 AGENDA ITEM SUMMARY October 7, 2014 City Council STAFF Jin Wang, Civil Engineer Dean Klingner, Engineer & Capital Project Manager SUBJECT Items Relating to the West Mulberry Street Bridge Replacement Project. EXECUTIVE SUMMARY A. Resolution 2014-083 Authorizing the Mayor to Enter into a Contract with the Colorado Department of Transportation for the Construction of the West Mulberry Street Bridge Replacement. B. First Reading of Ordinance No. 129, 2014, Appropriating Unanticipated Revenue from the Colorado Department of Transportation into the Capital Projects Fund - City Bridge Program Project for the West Mulberry Street Bridge Replacement. The City has been awarded a grant from the federally funded Colorado Off-System Bridge Program in the amount of $700,000. This funding contract between the City and Colorado Department of Transportation is for the replacement of a structurally deficient bridge owned by the City. The bridge is the West Mulberry Street Bridge over the New Mercer Ditch. STAFF RECOMMENDATION Staff recommends adoption of the Resolution and the Ordinance on First Reading. BACKGROUND / DISCUSSION Bridges are an important element of the roadway network. An inadequate bridge can cause various capacity and safety problems on roadways. A road will not be able to function if it is disconnected because of a bridge that has failed. Based on federal bridge inspection standards, the West Mulberry Street Bridge is identified as structurally deficient. This means that the bridge is progressing toward deterioration and does not have the desired load carrying capacities. FINANCIAL / ECONOMIC IMPACTS Financial Impact The City was awarded a grant from federally funded Colorado Off-System Bridge Program in the amount of $700,000. The grant is for replacement of a qualifying bridge, West Mulberry Street Bridge near City Park. The federal grant award has presented the opportunity to offset the cost of this bridge replacement, and free up the offset funds for the design other high priority bridge projects. The estimated total cost of West Mulberry Street Bridge Replacement Project is $1,200,000, which is to be funded as follows: Federal Funds $ 700,000 ATTACHMENT 1 Packet Pg. 45 Attachment5.1: First Reading Agenda Item Summary, October 7, 2014 (w/o attachments) (2494 : SR 129 W Mulberry Bridge) Agenda Item 6 Item # 6 Page 2 Local Agency Matching Funds (City Bridge Program) $ 175,000 Local Agency Overmatch Funds (City Bridge Program) $ 325,000 Total Project Funds $ 1,200,000 Economic Impact The bridge is classified as structurally deficient. It is failing and need to be replaced. If allowed to fail, an emergency bridge replacement can cost up to 50% more than a planned bridge replacement. The proactive completion of the bridge replacement will provide continued accessibility to businesses, parks and residences. ENVIRONMENTAL IMPACTS The project will have a positive impact on long term air quality. Vehicles that are currently restricted by the bridge weight limit posted will be able to drive over the replacement bridge, instead of using a longer alternative route, thus reducing greenhouse gas emission. PUBLIC OUTREACH The Project Team has met with property owners adjacent to the bridge. They are also working with utility companies that have services over or under the existing bridge. Public outreach will be intensified prior to and during construction of the replacement bridge. ATTACHMENTS 1. Location map (PDF) Packet Pg. 46 Attachment5.1: First Reading Agenda Item Summary, October 7, 2014 (w/o attachments) (2494 : SR 129 W Mulberry Bridge) - 1 - ORDINANCE NO. 129, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROPRIATING UNANTICIPATED GRANT REVENUE INTO THE CAPITAL PROJECTS FUND FOR THE WEST MULBERRY STREET BRIDGE REPLACEMENT PROJECT WHEREAS, the City has been awarded a grant from the Colorado Department of Transportation’s Off-System Bridge Program for $700,000 (the Grant); and WHEREAS, the Grant is for the replacement of the West Mulberry Street Bridge near City Park; and WHEREAS, based on federal bridge inspection standards, the West Mulberry Street Bridge has been identified as structurally deficient because it is progressing toward deterioration and does not have the desired load carrying capacities; and WHEREAS, the total estimated cost of the West Mulberry Street Bridge Replacement is $1,200,000 which will be funded by the Grant ($700,000) and existing appropriations of $500,000 in the Keep Fort Collins Great Fund - City Bridge Program which will meet the required Local Match and Local Overmatch Funds; and WHEREAS, the City Council has adopted Resolution 2014-083 authorizing the City to enter into a contract with the Colorado Department of Transportation for the construction of the West Mulberry Street Bridge Replacement; and WHEREAS, Article V, Section 9, of the City 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, does not exceed the current estimate of actual and anticipated revenues to be received during the fiscal year; and WHEREAS, City staff have determined that the appropriation of grant funds described herein will not cause the total amount appropriated in the Capital Projects Fund to exceed the current estimate of actual and anticipated revenues to be received during the fiscal year. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that there is hereby appropriated for expenditure from unanticipated grant revenue in the Capital Projects Fund the sum of SEVEN HUNDRED THOUSAND DOLLARS ($700,000) for expenditure in the Capital Projects Fund for the West Mulberry Bridge Replacement Project. Packet Pg. 47 Attachment5.2: Ordinance No. 129, 2014 (2494 : SR 129 W Mulberry Bridge) - 2 - Introduced, considered favorably on first reading, and ordered published this 7th day of October, A.D. 2014, and to be presented for final passage on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 48 Attachment5.2: Ordinance No. 129, 2014 (2494 : SR 129 W Mulberry Bridge) Agenda Item 6 Item # 6 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Jason Holland, City Planner SUBJECT Items Relating to the Clydesdale Park First and Second Annexations. EXECUTIVE SUMMARY A. Second Reading of Ordinance No. 131, 2014, Annexing Property Known as the Clydesdale Park First Annexation. B. Second Reading of Ordinance No. 132, 2014, Amending the Zoning Map and Classifying for Zoning Purposes the Property included in the Clydesdale Park First Annexation. C. Second Reading of Ordinance No. 133, 2014, Annexing Property Known as the Clydesdale Park Second Annexation. D. Second Reading of Ordinance No. 134, 2014, Amending the Zoning Map and Classifying for Zoning Purposes the Property included in the Clydesdale Park Second Annexation. These Ordinances, unanimously adopted on First Reading on October 7, 2014, annex and zone the existing Clydesdale Park subdivision located east of Interstate 25, south of the intersection of East Mulberry Street and Carriage Parkway. Clydesdale Park includes 217 single-family residential lots on approximately 75 acres. Residents of the Clydesdale Park neighborhood have requested annexation. The requested zoning for these annexations is the Low Density Mixed-Use Neighborhood District (L-M-N), which is in compliance with the City of Fort Collins Structure Plan. STAFF RECOMMENDATION Staff recommends adoption of the Ordinances on Second Reading. BACKGROUND / DISCUSSION Refunding the Public Improvement District #50 (PID) balance to the Clydesdale Park property owners Ordinance No. 131, 2014 and Ordinance No. 133, 2014, have been revised between first and second reading to include direction to City staff to work with Larimer County staff to accomplish the fair and equitable refunding to the property owners in the property of all funds presently held in the County’s Public Improvement District No. 50. City staff is working with County staff to provide the City with the option of refunding the PID balance to the Clydesdale Park property owners. After discussions with County staff, the County does believe that the City can provide refunds to the owners, once the City automatically becomes the governing body for the P.I.D. upon completion of the annexation. Once the annexation is final, County staff will then determine the final account balance for the PID and can work with City staff to issue refunds to the 217 lot owners that are part of the PID. The current balance is Packet Pg. 49 Agenda Item 6 Item # 6 Page 2 approximately $85,500.00, but may be adjusted based on final accrued interest and expenses. The refunds could likely be distributed to the owners of record by a mailed refund, with a letter from the City explaining the details of the refund. Some variations in the refund amounts should be expected, as the payments are determined by the assessed value of each property and the mill levy for the PID. Once the PID balance is expended, the City can work with the County to dissolve the PID. ATTACHMENTS 1. First Reading Agenda Item Summary, October 7, 2014 (w/o attachments) (PDF) Packet Pg. 50 Agenda Item 7 Item # 7 Page 1 AGENDA ITEM SUMMARY October 7, 2014 City Council STAFF Jason Holland, City Planner SUBJECT Items Relating to the Clydesdale Park First and Second Annexations. EXECUTIVE SUMMARY A. Resolution 2014-084 Setting Forth Findings of Fact and Determinations Regarding the Clydesdale Park First Annexation. B. Hearing and First Reading of Ordinance No. 131, 2014, Annexing Property Known as the Clydesdale Park First Annexation. C. First Reading of Ordinance No. 132, 2014, Amending the Zoning Map and Classifying for Zoning Purposes the Property included in the Clydesdale Park First Annexation. D. Resolution 2014-085 Setting Forth Findings of Fact and Determinations Regarding the Clydesdale Park Second Annexation. E. Hearing and First Reading of Ordinance No. 133, 2014, Annexing Property Known as the Clydesdale Park Second Annexation. F. First Reading of Ordinance No. 134, 2014, Amending the Zoning Map and Classifying for Zoning Purposes the Property included in the Clydesdale Park Second Annexation. The purpose of this item is to consider the annexation of the existing Clydesdale Park subdivision located east of Interstate 25, south of the intersection of East Mulberry Street and Carriage Parkway. Clydesdale Park includes 217 single-family residential lots on approximately 75 acres. Residents of the Clydesdale Park neighborhood have requested annexation. Residents are also requesting a 5 year “phase-in” of the storm water utility fee for Clydesdale Park upon annexation. The stormwater fee phase-in request was brought to the Water Board on September 18, 2014 for its consideration. Stormwater utility staff and the Water Board are recommending denial of the request for a “phased-in” stormwater fee. These annexation requests are in conformance with the State of Colorado Revised Statutes as they relate to annexations, the City of Fort Collins Comprehensive Plan, and the Larimer County and City of Fort Collins Intergovernmental Agreements. STAFF RECOMMENDATION Staff recommends adoption of Resolutions and Ordinance on First Reading. Staff recommends denial of the request for a “phased-in” stormwater fee. Should a “phased-in” approach be proposed, staff recommends that the stormwater fee begin at an annual rate of $75 per lot and be increased to the full fee over a three year period. ATTACHMENT 1 Packet Pg. 51 Attachment6.1: First Reading Agenda Item Summary, October 7, 2014 (w/o attachments) (2495 : SR 131-134 Clydesdale Park 1st and 2nd Agenda Item 7 Item # 7 Page 2 BACKGROUND / DISCUSSION Annexation and Zoning The Clydesdale Park development was approved by the Larimer County Board of Commissioners in 2001. In accordance with Larimer County’s standard development approval procedures, an annexation agreement was recorded with the original development approval. This Annexation Agreement is typically required during the County development review process to facilitate annexations that may happen sometime in the future that don’t have the requisite amount of contiguity to the city limits to meet state requirements. This is the case with Clydesdale Park. When the Clydesdale Park subdivision was planned and approved, it could not be annexed into the city because it did not share a common boundary with the city limits at the time. Now that a common boundary does exist, the City may now initiate the annexation process through the Annexation Agreement. The approval of the annexations will enable the neighborhood’s streets, including Carriage Parkway, to be accepted into the City of Fort Collins' Street Maintenance Program. Clydesdale Park’s streets are currently maintained by the residents of Clydesdale Park through their Public Improvement District (PID). The establishment of the PID was necessary because Larimer County does not typically maintain roads that are developed as part of a residential subdivision. Carriage Parkway currently dead-ends at the southwest corner of the neighborhood and carries traffic predominantly for Clydesdale Park’s residents. With the new Fox Grove residential development proposed to the southwest, within the city limits, it now seems imminent that this parkway will be extended and serve as access for additional residents who have no obligation to pay into the Clydesdale Park PID. Residents have expressed concern that their continued maintenance responsibility for the existing portion of Carriage Parkway is no longer reasonable if the parkway is extended and used by future development to the south. Carriage Parkway is designated as a collector street on the City Master Street Plan, and will eventually be extended south to East Prospect Road. All portions of the future Carriage Parkway extension are within the city limits and will therefore be maintained by the City once constructed and accepted. Because all of Clydesdale Park’s streets are currently in good condition, the City Streets and Engineering Departments are in agreement that the streets can be accepted into the City of Fort Collins' Street Maintenance Program, should the annexations be approved. These annexations are located within the Growth Management Area (GMA). According to policies and agreements contained in the Larimer County and City of Fort Collins Intergovernmental Agreements, the City will agree to consider annexation of property in the GMA when the property is eligible for annexation, according to state law. In order to gain the 1/6 contiguity with a municipal boundary as required by state law, a series of two annexations are needed to annex the Clydesdale Park neighborhood. The Clydesdale Park First Annexation gains the required 1/6 contiguity to existing city limits from a common boundary with the City of Fort Collins through the Fox Grove property to the west, which was annexed in 2005. The Clydesdale Park Second Annexation gains the required 1/6 contiguity to existing city limits from a common boundary with the Clydesdale Park First Annexation, thus satisfying the requirement that no less than one-sixth of the perimeter boundaries be contiguous to the existing city boundary. The requested zoning for these annexations is the Low Density Mixed-Use Neighborhood District (L-M-N), which is in compliance with the City of Fort Collins Structure Plan. Stormwater Fee Phase-in The Clydesdale Park Homeowner’s Association (HOA) has requested annexation into the City of Fort Collins (City). The HOA is requesting that the City’s stormwater service fees be phased-in over 5 years. Review of the development plans and aerial photos confirm that the overall impervious surface area of Clydesdale Park falls within the limits of residential development (“light” category) as outlined in City Code. Packet Pg. 52 Attachment6.1: First Reading Agenda Item Summary, October 7, 2014 (w/o attachments) (2495 : SR 131-134 Clydesdale Park 1st and 2nd Agenda Item 7 Item # 7 Page 3 Section 26-514 (b) of City Code provides for (but does not require) City Council consideration of a temporary reduction in the stormwater utility fee if justified in order to mitigate the economic impacts to annexed properties in light of relevant circumstances. This could be accomplished through a “phased-in” approach. Staff does not generally support the concept of a “phased-in” stormwater service fee. The only time this has been used was with the Southwest Area Annexation in 2006. All other annexations (both voluntary and enclaves) have had full fees charged upon annexation. The Clydesdale Park subdivision is one of several within the Fort Collins Growth Management Area (GMA) that have a pre-annexation agreement in place (signed at the time of development) that allows annexation without the current residents’ approval. It helps to have neighborhood support but the annexation is City-initiated and does not require resident approval. In this case, the Clydesdale Park HOA is specifically requesting annexation. The Clydesdale Park HOA states there will be approximately $80,000 in the PID fund balance that will be transferred to the City of Fort Collins to use for maintenance of the road rights-of-way in the subdivision. The HOA had requested the reduction in stormwater fees as a way to offset that loss of funding. Staff has informed the Clydesdale Park HOA that Colorado State finance rules prohibit the comingling of taxes and utility service fees. The Clydesdale Park HOA currently pays approximately $75 annually per lot to Larimer County for stormwater fees associated with the Boxelder Basin Regional Stormwater Authority (BBRSA). If a phased implementation is approved, the stormwater service fee should start at approximately $75 or existing ratepayers would in effect be subsidizing this development for a period of time not just for the portion of stormwater fees that go toward maintaining the City-wide infrastructure but more specifically for the fees the City will be paying to the BBRSA. Should the Council approve a phase in of the fees, it is staff’s recommendation that this be over a three year period. Under current City rates, each lot in the subdivision would pay approximately $210-$240 annually depending on actual lot size with 2014 stormwater rates. FINANCIAL / ECONOMIC IMPACTS Because the neighborhood's streets are in good condition, significant initial financial / economic impacts are not anticipated. The annexations will allow this portion of the City Growth Management Area to be more integrated into the City Master Street Plan. The provision of water and wastewater utility services will not change. Electric service will be transferred from Poudre Valley REA to Fort Collins Light and Power over a period of several years. Stormwater Fee Phase-in Impacts There are 217 single-family residences. Based on an average of $225 per lot, annual stormwater service fees collected by the City of Fort Collins through its stormwater utility will be approximately $48,825. 3 Year Phase-In (Starting at $75) Loss of stormwater service fee revenue of approximately $61,845 5 Year Phase-In (Starting at $75) Loss of stormwater service fee revenue of approximately $92,225 ENVIRONMENTAL IMPACTS There are no significant environmental impacts anticipated with these annexations. BOARD / COMMISSION RECOMMENDATION The Planning and Zoning Board conducted a public hearing on the annexation and zoning requests on September 11, 2014 and voted 6-0 to recommend approval of the annexation and zoning. The minutes from the September 11, 2014 Planning and Zoning Board Hearing are attached. Packet Pg. 53 Attachment6.1: First Reading Agenda Item Summary, October 7, 2014 (w/o attachments) (2495 : SR 131-134 Clydesdale Park 1st and 2nd Agenda Item 7 Item # 7 Page 4 The storm water utility fee phase-in request was brought to the Water Board on September 18, 2014 for their consideration. The City Stormwater Utility does not generally support and finds no appropriate justification to recommend a phased-in approach to the stormwater service fees. Staff’s recommendation is to deny the request for a phased-in stormwater fee. Should a phased-in approach be proposed, staff recommends that the stormwater fee begin at an annual rate of $75 per lot and be increased to the full fee over a three year period. The Water Board made two motions: First Motion: The Water Board, having reviewed and discussed the Clydesdale Park HOA annexation request, support the staff recommendation to deny the request for a “phased-in” stormwater fee unless the Stormwater Fund is reimbursed. Second Motion: The Water Board recommends City Council consider other means to reimburse the homeowners of the Clydesdale Park HOA for the balance of the PID funds accepted by the City during annexation. Both motions passed unanimously. PUBLIC OUTREACH Planning staff has coordinated with the residents of Clydesdale Park over the past year to explain the annexation process and answer questions about how annexation into the City will affect the neighborhood’s taxes, fees, street maintenance and services. A letter from the Clydesdale Park Homeowner’s Association in support of annexation is attached (Attachment 6). A letter of notification for the Planning and Zoning Board public hearing was mailed to all Affected Property Owners within 800 feet of the property 14 days prior to the September 11, 2014 hearing. ATTACHMENTS 1. Clydesdale Park First Annexation Vicinity Map (PDF) 2. Clydesdale Park Second Annexation Vicinity Map (PDF) 3. Clydesdale Park Annexations Zoning Map (PDF) 4. Clydesdale Park Annexations Structure Plan Map (PDF) 5. City Master Street Plan (PDF) 6. Letter From Clydesdale Park HOA (PDF) 7. County Letter -- Clydesdale Park Annexations (PDF) 8. Timnath Letter -- Clydesdale Park Annexations (PDF) 9. P&Z Clydesdale Hearing Minutes - September 11, 2014 (PDF) 10. Water Board Meeting Minutes for Clydesdale stormwater fee phase-in (PDF) Packet Pg. 54 Attachment6.1: First Reading Agenda Item Summary, October 7, 2014 (w/o attachments) (2495 : SR 131-134 Clydesdale Park 1st and 2nd - 1 - ORDINANCE NO. 131, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS ANNEXING THE PROPERTY KNOWN AS THE CLYDESDALE PARK FIRST ANNEXATION TO THE CITY OF FORT COLLINS, COLORADO WHEREAS, Resolution 2014-067 finding substantial compliance and initiating annexation proceedings for the Property (as described below), has heretofore been adopted by the City Council; and WHEREAS, the City Council hereby has determined that it is in the best interests of the City to annex the Property to the City; and WHEREAS, the Property is located within the County’s Public Improvement District No. 50 (the “PID”) which was established for the maintenance of streets in the Property and which presently possesses approximately $85,000; and WHEREAS, the City will, upon annexation, accept the streets in the Property for maintenance; and WHEREAS, the City Council has determined that the funds being held in the PID should, following annexation, be refunded to the property owners in the Property in a fair and equitable manner. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the City Council hereby incorporates the findings of Resolution 2014-084 and further finds that it is in the best interests of the City to annex the Property to the City. Section 2. That the following described property (the “Property”), to wit: A TRACT OF LAND LOCATED IN THE NORTH HALF OF SECTION 15, TOWNSHIP 7 NORTH, RANGE 68 WEST OF THE SIXTH P.M.; COUNTY OF LARIMER, STATE OF COLORADO; BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT THE CENTER QUARTER CORNER OF SAID SECTION 15, AND CONSIDERING THE WEST LINE OF THE NORTHEAST QUARTER OF SAID SECTION 15 TO BEAR N00°07'27"E, SAID LINE BEING MONUMENTED ON ITS SOUTH END BY A 2-1/2" ALUMINUM CAP STAMPED LS 7839, AND ON ITS NORTH END BY A 2-1/2" ALUMINUM CAP STAMPED LS 31169, BASED UPON GPS OBSERVATIONS AND THE CITY OF FORT COLLINS COORDINATE SYSTEM, WITH ALL BEARINGS CONTAINED HEREIN RELATIVE THERETO; Packet Pg. 55 - 2 - THENCE ALONG THE EAST AND NORTH BOUNDARY OF THE STATE HIGHWAY 14 – EAST FRONTAGE ROAD ANNEXATION, THE FOLLOWING TWO (2) COURSES: 1. ALONG THE WEST LINE OF THE NORTHEAST QUARTER OF SAID SECTION 15, N00°07'27"E, A DISTANCE OF 612.47 FEET; 2. N89°40'35"W, A DISTANCE OF 209.46 FEET TO A POINT ON THE NORTHWESTERLY RIGHT-OF-WAY LINE OF CARRIAGE PARKWAY; THENCE ALONG SAID NORTHWESTERLY RIGHT-OF-WAY LINE AS DESCRIBED IN THE DEED OF DEDICATION RECORDED MARCH 21, 2007 AT RECEPTION NO. 20070021108, N62°53'42"E, A DISTANCE OF 235.56 FEET; THENCE CONTINUING ALONG SAID NORTHWESTERLY RIGHT-OF-WAY LINE AS SHOWN ON THE PLAT OF CLYDESDALE PARK P.U.D. FIRST FILING THE FOLLOWING TWO (2) COURSES: 1. N62°53'02"E, A DISTANCE OF 516.51 FEET; 2. 337.75 FEET ALONG THE ARC OF A CURVE TO THE LEFT, HAVING A RADIUS OF 507.72 FEET, A CENTRAL ANGLE OF 38°06'53", AND A CHORD WHICH BEARS N46°02'12"E A DISTANCE OF 331.56 FEET TO A POINT ON THE EXTENSION OF THE NORTHEASTERLY RIGHT-OF-WAY LINE OF MESSARA DRIVE AS SHOWN ON THE PLAT OF CLYDESDALE PARK P.U.D. SECOND FILING; THENCE ALONG SAID EXTENSION AND ALONG THE NORTHEASTERLY AND EASTERLY RIGHT-OF-WAY LINE OF MESSARA DRIVE THE FOLLOWING SIX (6) COURSES: 1. S58°06'23"E, A DISTANCE OF 440.40 FEET; 2. 272.04 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 267.00 FEET, A CENTRAL ANGLE OF 58°22'41", AND A CHORD WHICH BEARS S28°55'02"E A DISTANCE OF 260.43 FEET; 3. S00°16'18"W, A DISTANCE OF 342.91 FEET; 4. 70.70 FEET ALONG THE ARC OF A CURVE TO THE LEFT, HAVING A RADIUS OF 213.00 FEET, A CENTRAL ANGLE OF 19°01'03", AND A CHORD WHICH BEARS S09°14'14"E A DISTANCE OF 70.37 FEET; 5. S18°44'45"E, A DISTANCE OF 26.75 FEET; 6. 11.78 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 15.00 FEET, A CENTRAL ANGLE OF 45°00'00", AND A CHORD WHICH BEARS S03°45'15"W A DISTANCE OF 11.48 FEET TO THE NORTHEAST CORNER OF LOT 62 OF CLYDESDALE PARK P.U.D. SECOND FILING; THENCE S20°31'45"E, A DISTANCE OF 134.88 FEET TO THE SOUTHEAST CORNER OF SAID LOT 62; THENCE S19°41'26"E, A DISTANCE OF 166.45 FEET TO THE EAST SIXTEENTH CORNER OF SECTION 15; THENCE ALONG THE SOUTH LINE OF THE WEST HALF OF THE NORTHEAST QUARTER OF SECTION 15, N89°43'41"W, A DISTANCE OF 1,320.70 FEET TO THE POINT OF BEGINNING. Packet Pg. 56 - 3 - CONTAINING 1,182,485 SQUARE FEET (27.146 ACRES), MORE OR LESS is hereby annexed to the City of Fort Collins and made a part of said City, to be known as the Clydesdale Park First Annexation, which annexation shall become effective upon completion of the conditions contained in Section 31-12-113, C.R.S., including, without limitation, all required filings for recording with the Larimer County Clerk and Recorder. Section 3. That, in annexing the Property to the City, the City does not assume any obligation respecting the construction of water mains, sewer lines, gas mains, electric service lines, streets or any other services or utilities in connection with the Property hereby annexed except as may be provided by ordinances of the City. Section 4. That the City hereby consents, pursuant to Section 37-45-136(3.6), C.R.S., to the inclusion of the Property into the Municipal Subdistrict, Northern Colorado Water Conservancy District. Section 5. That City staff is directed to work with the Larimer County staff to accomplish the fair and equitable refunding to the property owners in the Property of all funds presently held in the County’s Public Improvement District No. 50. Introduced, considered favorably on first reading, and ordered published this 7th day of October, A.D. 2014, and to be presented for final passage on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 57 - 1 - ORDINANCE NO. 132, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING THE ZONING MAP OF THE CITY OF FORT COLLINS AND CLASSIFYING FOR ZONING PURPOSES THE PROPERTY INCLUDED IN THE CLYDESDALE PARK FIRST ANNEXATION TO THE CITY OF FORT COLLINS, COLORADO WHEREAS, Division 1.3 of the Land Use Code of the City of Fort Collins establishes the Zoning Map and Zone Districts of the City; and WHEREAS, Division 2.9 of the Land Use Code of the City of Fort Collins establishes procedures and criteria for reviewing the zoning of land; and WHEREAS, in accordance with the foregoing, the City Council has considered the zoning of the Property (as described below) and has determined that the Property should be zoned as hereafter provided. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the Zoning Map of the City of Fort Collins adopted pursuant to Section 1.3.2 of the Land Use Code of the City of Fort Collins is hereby changed and amended by including the property known as the Clydesdale Park First Annexation to the City of Fort Collins, Colorado, in the Low Density Mixed-Use Neighborhood (“L-M-N”) Zone District, which property (the “Property”) is more particularly described as: A TRACT OF LAND LOCATED IN THE NORTH HALF OF SECTION 15, TOWNSHIP 7 NORTH, RANGE 68 WEST OF THE SIXTH P.M.; COUNTY OF LARIMER, STATE OF COLORADO; BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT THE CENTER QUARTER CORNER OF SAID SECTION 15, AND CONSIDERING THE WEST LINE OF THE NORTHEAST QUARTER OF SAID SECTION 15 TO BEAR N00°07'27"E, SAID LINE BEING MONUMENTED ON ITS SOUTH END BY A 2-1/2" ALUMINUM CAP STAMPED LS 7839, AND ON ITS NORTH END BY A 2-1/2" ALUMINUM CAP STAMPED LS 31169, BASED UPON GPS OBSERVATIONS AND THE CITY OF FORT COLLINS COORDINATE SYSTEM, WITH ALL BEARINGS CONTAINED HEREIN RELATIVE THERETO; THENCE ALONG THE EAST AND NORTH BOUNDARY OF THE STATE HIGHWAY 14 – EAST FRONTAGE ROAD ANNEXATION, THE FOLLOWING TWO (2) COURSES: 1. ALONG THE WEST LINE OF THE NORTHEAST QUARTER OF SAID SECTION 15, N00°07'27"E, A DISTANCE OF 612.47 FEET; 2. N89°40'35"W, A DISTANCE OF 209.46 FEET TO A POINT ON THE NORTHWESTERLY RIGHT-OF-WAY LINE OF CARRIAGE PARKWAY; Packet Pg. 58 Attachment1: Ordinance No. 132, 2014 (2508 : SR 131 Clydesdale Park First Annex - ORD) - 2 - THENCE ALONG SAID NORTHWESTERLY RIGHT-OF-WAY LINE AS DESCRIBED IN THE DEED OF DEDICATION RECORDED MARCH 21, 2007 AT RECEPTION NO. 20070021108, N62°53'42"E, A DISTANCE OF 235.56 FEET; THENCE CONTINUING ALONG SAID NORTHWESTERLY RIGHT-OF-WAY LINE AS SHOWN ON THE PLAT OF CLYDESDALE PARK P.U.D. FIRST FILING THE FOLLOWING TWO (2) COURSES: 1. N62°53'02"E, A DISTANCE OF 516.51 FEET; 2. 337.75 FEET ALONG THE ARC OF A CURVE TO THE LEFT, HAVING A RADIUS OF 507.72 FEET, A CENTRAL ANGLE OF 38°06'53", AND A CHORD WHICH BEARS N46°02'12"E A DISTANCE OF 331.56 FEET TO A POINT ON THE EXTENSION OF THE NORTHEASTERLY RIGHT-OF-WAY LINE OF MESSARA DRIVE AS SHOWN ON THE PLAT OF CLYDESDALE PARK P.U.D. SECOND FILING; THENCE ALONG SAID EXTENSION AND ALONG THE NORTHEASTERLY AND EASTERLY RIGHT-OF-WAY LINE OF MESSARA DRIVE THE FOLLOWING SIX (6) COURSES: 1. S58°06'23"E, A DISTANCE OF 440.40 FEET; 2. 272.04 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 267.00 FEET, A CENTRAL ANGLE OF 58°22'41", AND A CHORD WHICH BEARS S28°55'02"E A DISTANCE OF 260.43 FEET; 3. S00°16'18"W, A DISTANCE OF 342.91 FEET; 4. 70.70 FEET ALONG THE ARC OF A CURVE TO THE LEFT, HAVING A RADIUS OF 213.00 FEET, A CENTRAL ANGLE OF 19°01'03", AND A CHORD WHICH BEARS S09°14'14"E A DISTANCE OF 70.37 FEET; 5. S18°44'45"E, A DISTANCE OF 26.75 FEET; 6. 11.78 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 15.00 FEET, A CENTRAL ANGLE OF 45°00'00", AND A CHORD WHICH BEARS S03°45'15"W A DISTANCE OF 11.48 FEET TO THE NORTHEAST CORNER OF LOT 62 OF CLYDESDALE PARK P.U.D. SECOND FILING; THENCE S20°31'45"E, A DISTANCE OF 134.88 FEET TO THE SOUTHEAST CORNER OF SAID LOT 62; THENCE S19°41'26"E, A DISTANCE OF 166.45 FEET TO THE EAST SIXTEENTH CORNER OF SECTION 15; THENCE ALONG THE SOUTH LINE OF THE WEST HALF OF THE NORTHEAST QUARTER OF SECTION 15, N89°43'41"W, A DISTANCE OF 1,320.70 FEET TO THE POINT OF BEGINNING. CONTAINING 1,182,485 SQUARE FEET (27.146 ACRES), MORE OR LESS. Section 2. That the Sign District Map adopted pursuant to Section 3.8.7(E) of the Land Use Code of the City of Fort Collins is hereby changed and amended by showing that the Property is included in the Residential Neighborhood Sign District. Packet Pg. 59 Attachment1: Ordinance No. 132, 2014 (2508 : SR 131 Clydesdale Park First Annex - ORD) - 3 - Section 3. That the City Manager is hereby authorized and directed to amend said Zoning Map in accordance with this Ordinance. Introduced, considered favorably on first reading, and ordered published this 7th day of October, A.D. 2014, and to be presented for final passage on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 60 Attachment1: Ordinance No. 132, 2014 (2508 : SR 131 Clydesdale Park First Annex - ORD) - 1 - ORDINANCE NO. 133, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS ANNEXING THE PROPERTY KNOWN AS THE CLYDESDALE PARK SECOND ANNEXATION TO THE CITY OF FORT COLLINS, COLORADO WHEREAS, Resolution 2014-068, finding substantial compliance and initiating annexation proceedings for the Property (as described below), has heretofore been adopted by the City Council; and WHEREAS, the City Council has determined that it is in the best interests of the City to annex the Property to the City; and WHEREAS, the Property is located within the County’s Public Improvement District No. 50 (the “PID”) which was established for the maintenance of streets in the Property and which presently possesses approximately $85,000; and WHEREAS, the City will, upon annexation, accept the streets in the Property for maintenance; and WHEREAS, the City Council has determined that the funds being held in the PID should, following annexation, be refunded to the property owners in the Property in a fair and equitable manner. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the City Council hereby incorporates the findings of Resolution 2014-085 and further finds that it is in the best interests of the City to annex the Property to the City. Section 2. That the following described property (the “Property”), to wit: A TRACT OF LAND LOCATED IN THE NORTH HALF OF SECTION 15 AND IN THE SOUTH HALF OF SECTION 10, TOWNSHIP 7 NORTH, RANGE 68 WEST OF THE SIXTH P.M.; COUNTY OF LARIMER, STATE OF COLORADO; BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE CENTER QUARTER CORNER OF SAID SECTION 15, AND CONSIDERING THE WEST LINE OF THE NORTHEAST QUARTER OF SAID SECTION 15 TO BEAR N00°07'27"E, SAID LINE BEING MONUMENTED ON ITS SOUTH END BY A 2-1/2" ALUMINUM CAP STAMPED LS 7839, AND ON ITS NORTH END BY A 2-1/2" ALUMINUM CAP STAMPED LS 31169, BASED UPON GPS OBSERVATIONS AND THE CITY OF FORT COLLINS COORDINATE SYSTEM, WITH ALL BEARINGS CONTAINED HEREIN RELATIVE THERETO; Packet Pg. 61 - 2 - THENCE ALONG SAID WEST LINE OF THE NORTHEAST QUARTER OF SECTION 15, N00°07'27"E, A DISTANCE OF 720.98 FEET TO THE POINT OF BEGINNING; THENCE CONTINUING ALONG SAID WEST LINE, N00°07'27"E, A DISTANCE OF 1,706.44 FEET TO THE SOUTHWEST CORNER OF THAT PARCEL DESCRIBED IN THE WARRANTY DEED RECORDED IN BOOK 2236, PAGE 2533 IN THE OFFICE OF THE LARIMER COUNTY CLERK AND RECORDER; THENCE ALONG THE SOUTH LINE OF SAID PARCEL, S89°11'19"E, A DISTANCE OF 83.00 FEET; THENCE ALONG THE EAST LINE OF SAID PARCEL, N00°07'27"E, A DISTANCE OF 129.99 FEET TO A POINT ON THE SOUTH RIGHT-OF-WAY LINE OF COLORADO STATE HIGHWAY 14; THENCE ALONG SAID SOUTH RIGHT-OF-WAY LINE THE FOLLOWING FIVE (5) COURSES: 1. N89°10'59"W, A DISTANCE OF 58.00 FEET; 2. N00°07'27"E, A DISTANCE OF 10.00 FEET; 3. N89°10'59"W, A DISTANCE OF 25.00 FEET TO THE WEST LINE OF THE NORTHEAST QUARTER OF SECTION 15; 4. ALONG SAID WEST LINE, S00°07'27"W, A DISTANCE OF 10.00 FEET; 5. N89°10'59"W, A DISTANCE OF 313.06 FEET TO A POINT ON THE EAST LINE OF THE INTERCHANGE BUSINESS PARK SECOND ANNEXATION TO THE CITY OF FORT COLLINS; THENCE ALONG SAID EAST LINE THE FOLLOWING TWO (2) COURSES: 1. N00°37'00"E, A DISTANCE OF 109.15 FEET; 2. N00°48'59"E, A DISTANCE OF 40.85 FEET TO A POINT ON THE NORTH RIGHT-OF-WAY LINE OF SAID STATE HIGHWAY 14; THENCE ALONG SAID NORTH RIGHT-OF-WAY LINE, S89°10'59"E, A DISTANCE OF 1,238.09 FEET TO A POINT ON THE NORTHERLY EXTENSION OF THE EAST LINE OF CLYDESDALE PARK P.U.D. SECOND FILING; THENCE ALONG SAID NORTHERLY EXTENSION AND ALONG THE EAST LINE OF CLYDESDALE PARK P.U.D. SECOND FILING, S00°08'19"W, A DISTANCE OF 383.37 FEET; THENCE ALONG THE NORTH LINE OF CLYDESDALE PARK P.U.D. SECOND FILING, S89°23'18"E, A DISTANCE OF 395.00 FEET TO A POINT ON THE EAST LINE OF THE WEST HALF OF THE NORTHEAST QUARTER OF SECTION 15; THENCE ALONG SAID EAST LINE, S00°08'19"W, A DISTANCE OF 2,312.90 FEET TO THE EAST SIXTEENTH CORNER OF SECTION 15; THENCE N19°41'26"W, A DISTANCE OF 166.45 FEET TO THE SOUTHEAST CORNER OF LOT 62, CLYDESDALE PARK P.U.D. SECOND FILING; THENCE N20°31'45"W, A DISTANCE OF 134.88 FEET TO THE NORTHEAST CORNER OF SAID LOT 62; THENCE ALONG THE EASTERLY AND NORTHEASTERLY RIGHT-OF-WAY LINE OF MESSARA DRIVE AND ALONG ITS NORTHWESTERLY EXTENSION, THE FOLLOWING SIX (6) COURSES: Packet Pg. 62 - 3 - 1. 11.78 FEET ALONG THE ARC OF A NON-TANGENT CURVE TO THE LEFT, HAVING A RADIUS OF 15.00 FEET, A CENTRAL ANGLE OF 45°00'00", AND A CHORD WHICH BEARS N03°45'15"E A DISTANCE OF 11.48 FEET; 2. N18°44'45"W, A DISTANCE OF 26.75 FEET; 3. 70.70 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 213.00 FEET, A CENTRAL ANGLE OF 19°01'03", AND A CHORD WHICH BEARS N09°14'14"W A DISTANCE OF 70.37 FEET; 4. N00°16'18"E, A DISTANCE OF 342.91 FEET; 5. 272.04 FEET ALONG THE ARC OF A CURVE TO THE LEFT, HAVING A RADIUS OF 267.00 FEET, A CENTRAL ANGLE OF 58°22'41", AND A CHORD WHICH BEARS N28°55'02"W A DISTANCE OF 260.43 FEET; 6. N58°06'23"W, A DISTANCE OF 440.40 FEET TO A POINT ON THE NORTHWESTERLY RIGHT-OF-WAY LINE OF CARRIAGE PARKWAY; THENCE ALONG SAID NORTHWESTERLY RIGHT-OF-WAY LINE THE FOLLOWING TWO (2) COURSES: 1. 337.75 FEET ALONG THE ARC OF A NON-TANGENT CURVE TO THE RIGHT, HAVING A RADIUS OF 507.72 FEET, A CENTRAL ANGLE OF 38°06'53", AND A CHORD WHICH BEARS S46°02'12"W A DISTANCE OF 331.56 FEET; 2. S62°53'02"W, A DISTANCE OF 516.51 FEET TO THE POINT OF BEGINNING. CONTAINING 2,281,869 SQUARE FEET (52.385 ACRES), MORE OR LESS is hereby annexed to the City of Fort Collins and made a part of said City, to be known as the Clydesdale Park Second Annexation, which annexation shall become effective upon completion of the conditions contained in Section 31-12-113, C.R.S., including, without limitation, all required filings for recording with the Larimer County Clerk and Recorder. Section 3. That, in annexing the Property to the City, the City does not assume any obligation respecting the construction of water mains, sewer lines, gas mains, electric service lines, streets or any other services or utilities in connection with the Property hereby annexed except as may be provided by ordinances of the City. Section 4. That the City hereby consents, pursuant to Section 37-45-136(3.6), C.R.S., to the inclusion of the Property into the Municipal Subdistrict, Northern Colorado Water Conservancy District. Section 5. That City staff is directed to work with the Larimer County staff to accomplish the fair and equitable refunding to the property owners in the Property of all funds presently held in the County’s Public Improvement District No. 50. Packet Pg. 63 - 4 - Introduced, considered favorably on first reading, and ordered published this 7th day of October, A.D. 2014, and to be presented for final passage on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 64 - 1 - ORDINANCE NO. 134, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING THE ZONING MAP OF THE CITY OF FORT COLLINS AND CLASSIFYING FOR ZONING PURPOSES THE PROPERTY INCLUDED IN THE CLYDESDALE PARK SECOND ANNEXATION TO THE CITY OF FORT COLLINS, COLORADO WHEREAS, Division 1.3 of the Land Use Code of the City of Fort Collins establishes the Zoning Map and Zone Districts of the City; and WHEREAS, Division 2.9 of the Land Use Code of the City of Fort Collins establishes procedures and criteria for reviewing the zoning of land; and WHEREAS, in accordance with the foregoing, the City Council has considered the zoning of the Property (as described below) and has determined that the Property should be zoned as hereafter provided. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the Zoning Map of the City of Fort Collins adopted pursuant to Section 1.3.2 of the Land Use Code of the City of Fort Collins is hereby changed and amended by including the property known as the Clydesdale Park Second Annexation to the City of Fort Collins, Colorado, in the Low Density Mixed-Use Neighborhood (“L-M-N”) Zone District, which property (the “Property”) is more particularly described as: A TRACT OF LAND LOCATED IN THE NORTH HALF OF SECTION 15 AND IN THE SOUTH HALF OF SECTION 10, TOWNSHIP 7 NORTH, RANGE 68 WEST OF THE SIXTH P.M.; COUNTY OF LARIMER, STATE OF COLORADO; BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE CENTER QUARTER CORNER OF SAID SECTION 15, AND CONSIDERING THE WEST LINE OF THE NORTHEAST QUARTER OF SAID SECTION 15 TO BEAR N00°07'27"E, SAID LINE BEING MONUMENTED ON ITS SOUTH END BY A 2-1/2" ALUMINUM CAP STAMPED LS 7839, AND ON ITS NORTH END BY A 2-1/2" ALUMINUM CAP STAMPED LS 31169, BASED UPON GPS OBSERVATIONS AND THE CITY OF FORT COLLINS COORDINATE SYSTEM, WITH ALL BEARINGS CONTAINED HEREIN RELATIVE THERETO; THENCE ALONG SAID WEST LINE OF THE NORTHEAST QUARTER OF SECTION 15, N00°07'27"E, A DISTANCE OF 720.98 FEET TO THE POINT OF BEGINNING; THENCE CONTINUING ALONG SAID WEST LINE, N00°07'27"E, A DISTANCE OF 1,706.44 FEET TO THE SOUTHWEST CORNER OF THAT PARCEL Packet Pg. 65 Attachment1: Ordinance No. 134, 2014 (2509 : SR 133 Clydesdale Park Second Annex - ORD) - 2 - DESCRIBED IN THE WARRANTY DEED RECORDED IN BOOK 2236, PAGE 2533 IN THE OFFICE OF THE LARIMER COUNTY CLERK AND RECORDER; THENCE ALONG THE SOUTH LINE OF SAID PARCEL, S89°11'19"E, A DISTANCE OF 83.00 FEET; THENCE ALONG THE EAST LINE OF SAID PARCEL, N00°07'27"E, A DISTANCE OF 129.99 FEET TO A POINT ON THE SOUTH RIGHT-OF-WAY LINE OF COLORADO STATE HIGHWAY 14; THENCE ALONG SAID SOUTH RIGHT-OF-WAY LINE THE FOLLOWING FIVE (5) COURSES: 1. N89°10'59"W, A DISTANCE OF 58.00 FEET; 2. N00°07'27"E, A DISTANCE OF 10.00 FEET; 3. N89°10'59"W, A DISTANCE OF 25.00 FEET TO THE WEST LINE OF THE NORTHEAST QUARTER OF SECTION 15; 4. ALONG SAID WEST LINE, S00°07'27"W, A DISTANCE OF 10.00 FEET; 5. N89°10'59"W, A DISTANCE OF 313.06 FEET TO A POINT ON THE EAST LINE OF THE INTERCHANGE BUSINESS PARK SECOND ANNEXATION TO THE CITY OF FORT COLLINS; THENCE ALONG SAID EAST LINE THE FOLLOWING TWO (2) COURSES: 1. N00°37'00"E, A DISTANCE OF 109.15 FEET; 2. N00°48'59"E, A DISTANCE OF 40.85 FEET TO A POINT ON THE NORTH RIGHT-OF-WAY LINE OF SAID STATE HIGHWAY 14; THENCE ALONG SAID NORTH RIGHT-OF-WAY LINE, S89°10'59"E, A DISTANCE OF 1,238.09 FEET TO A POINT ON THE NORTHERLY EXTENSION OF THE EAST LINE OF CLYDESDALE PARK P.U.D. SECOND FILING; THENCE ALONG SAID NORTHERLY EXTENSION AND ALONG THE EAST LINE OF CLYDESDALE PARK P.U.D. SECOND FILING, S00°08'19"W, A DISTANCE OF 383.37 FEET; THENCE ALONG THE NORTH LINE OF CLYDESDALE PARK P.U.D. SECOND FILING, S89°23'18"E, A DISTANCE OF 395.00 FEET TO A POINT ON THE EAST LINE OF THE WEST HALF OF THE NORTHEAST QUARTER OF SECTION 15; THENCE ALONG SAID EAST LINE, S00°08'19"W, A DISTANCE OF 2,312.90 FEET TO THE EAST SIXTEENTH CORNER OF SECTION 15; THENCE N19°41'26"W, A DISTANCE OF 166.45 FEET TO THE SOUTHEAST CORNER OF LOT 62, CLYDESDALE PARK P.U.D. SECOND FILING; THENCE N20°31'45"W, A DISTANCE OF 134.88 FEET TO THE NORTHEAST CORNER OF SAID LOT 62; THENCE ALONG THE EASTERLY AND NORTHEASTERLY RIGHT-OF-WAY LINE OF MESSARA DRIVE AND ALONG ITS NORTHWESTERLY EXTENSION, THE FOLLOWING SIX (6) COURSES: 1. 11.78 FEET ALONG THE ARC OF A NON-TANGENT CURVE TO THE LEFT, HAVING A RADIUS OF 15.00 FEET, A CENTRAL ANGLE OF 45°00'00", AND A CHORD WHICH BEARS N03°45'15"E A DISTANCE OF 11.48 FEET; 2. N18°44'45"W, A DISTANCE OF 26.75 FEET; 3. 70.70 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A Packet Pg. 66 Attachment1: Ordinance No. 134, 2014 (2509 : SR 133 Clydesdale Park Second Annex - ORD) - 3 - RADIUS OF 213.00 FEET, A CENTRAL ANGLE OF 19°01'03", AND A CHORD WHICH BEARS N09°14'14"W A DISTANCE OF 70.37 FEET; 4. N00°16'18"E, A DISTANCE OF 342.91 FEET; 5. 272.04 FEET ALONG THE ARC OF A CURVE TO THE LEFT, HAVING A RADIUS OF 267.00 FEET, A CENTRAL ANGLE OF 58°22'41", AND A CHORD WHICH BEARS N28°55'02"W A DISTANCE OF 260.43 FEET; 6. N58°06'23"W, A DISTANCE OF 440.40 FEET TO A POINT ON THE NORTHWESTERLY RIGHT-OF-WAY LINE OF CARRIAGE PARKWAY; THENCE ALONG SAID NORTHWESTERLY RIGHT-OF-WAY LINE THE FOLLOWING TWO (2) COURSES: 1. 337.75 FEET ALONG THE ARC OF A NON-TANGENT CURVE TO THE RIGHT, HAVING A RADIUS OF 507.72 FEET, A CENTRAL ANGLE OF 38°06'53", AND A CHORD WHICH BEARS S46°02'12"W A DISTANCE OF 331.56 FEET; 2. S62°53'02"W, A DISTANCE OF 516.51 FEET TO THE POINT OF BEGINNING. CONTAINING 2,281,869 SQUARE FEET (52.385 ACRES), MORE OR LESS. Section 2. That the Sign District Map adopted pursuant to Section 3.8.7(E) of the Land Use Code of the City of Fort Collins is hereby changed and amended by showing that the Property is included in the Residential Neighborhood Sign District. Section 3. That the City Manager is hereby authorized and directed to amend said Zoning Map in accordance with this Ordinance. Introduced, considered favorably on first reading, and ordered published this 7th day of October, A.D. 2014, and to be presented for final passage on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 67 Attachment1: Ordinance No. 134, 2014 (2509 : SR 133 Clydesdale Park Second Annex - ORD) - 4 - Passed and adopted on final reading on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 68 Attachment1: Ordinance No. 134, 2014 (2509 : SR 133 Clydesdale Park Second Annex - ORD) Agenda Item 7 Item # 7 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF John Voss, Controller/Assistant Financial Officer Mike Beckstead, Chief Financial Officer SUBJECT Second Reading of Ordinance No. 135, 2014, Appropriating Unanticipated Revenue in the General Fund and Authorizing the Transfer of Existing Appropriations From the General Fund to the Capital Projects Fund for the Woodward Related Transmission Line Relocation Project. EXECUTIVE SUMMARY This Ordinance, unanimously adopted on First Reading on October 7, 2014, appropriates an additional $254,000 for the Transmission Line Relocation portion of the Woodard Public Improvements Project. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on Second Reading. ATTACHMENTS 1. First Reading Agenda Item Summary, October 7, 2014 (w/o attachments) (PDF) 2. Ordinance No. 135, 2014 (PDF) Packet Pg. 69 Agenda Item 18 Item # 18 Page 1 AGENDA ITEM SUMMARY October 7, 2014 City Council STAFF John Voss, Controller/Assistant Financial Officer Mike Beckstead, Chief Financial Officer SUBJECT First Reading of Ordinance No. 135, 2014, Appropriating Unanticipated Revenue in the General Fund and Authorizing the Transfer of Existing Appropriations From the General Fund to the Capital Projects Fund for the Woodward Related Transmission Line Relocation Project. EXECUTIVE SUMMARY The purpose of this item is to appropriate an additional $254,000 for the Transmission Line Relocation portion of the Woodard Public Improvements Project. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. BACKGROUND / DISCUSSION The Woodward Agreement defined 3 public improvement projects that were to be funded by DDA Tax Increment Financing (TIF) at an estimated cost of $6.05M plus an additional $0.5M from Natural Areas specifically to support the NA project. Individual project funding included: Project ($ millions) Original Est Current Est Transmission Line Relocation (TL) $1.30 $1.55 Right of Way Improvements (ROW) 1.75 1.75 Natural Areas Restoration (NA) 3.50 3.30 Total $6.55 $6.60 The natural area (NA) and right-of-way (ROW) improvements are estimated to come in at or under budget. The transmission line (TL) work is complete and the cost is over budget by $254k. The cost overrun on the TL was the result of additional costs associated with the footings/foundations of the towers of $332K. Contingencies and savings in other areas of the project offset the additional funding needed to only $254K. The original estimate on the TL was developed by Platte River Power Authority (PRPA); however, the agreement specified that the City bears the risk of any additional costs. Section 4 of the Agreement with Platte River Power Authority includes the following statement: “Subject to the limitations set forth herein, Fort Collins is responsible for the reimbursement of all reasonable costs incurred by Platte River to carry out the Work.” Staff has worked to identify offsets in other areas of the Public Improvement projects. Early in the year, cost savings anticipated in the NA and ROW would provide an offset to the Transmission Line additional cost; however, the spring flood plus construction cost escalation eliminated the possible offsets. Prior to the flood in May of 2014, the NA total cost was estimated at approximately $2.8M providing approximately $200k to offset ATTACHMENT 1 Packet Pg. 70 Attachment7.1: First Reading Agenda Item Summary, October 7, 2014 (w/o attachments) (2496 : SR 135 Woodward appropriation) Agenda Item 18 Item # 18 Page 2 the TL. Staff anticipated the remaining $54K would possibly be available after final bids for the ROW work had been received. Final bids have been received and no savings are available. Underspend anticipated in NA cannot be used to cover the cost overrun on the TL because the final $0.5M is from NA dedicated revenue. Section 1.4 of the IGA between the City and DDA reads as follows: “In the event that the total actual cost for the Transmission Line Relocation and/or the Right of Way Improvements exceeds the estimated cost for such Improvement Projects as described in Section I.I above, any such shortfall shall come from bond proceeds allocated to pay for the cost of the Open Space Improvements, and the amount of bond proceeds funding available for the Open Space Improvements will then be accordingly limited by the $6,050,000 cap on funding of the Improvement Projects. However, to the extent that the amount of bond proceeds to fund the Open Space Improvements is less than $3,000,000, the City has agreed to provide the additional funding necessary to complete the Open Space Improvements. The City will backfill any shortfall in the bond proceeds available for the Open Space Improvements using funds that are not dedicated to natural areas.” In the agreement with Woodward dated April 16, 2013 Section 4.1 states that Improvement Projects shall be funded in the following order; (a) Relocation of Transmission Lines, (b) Right of Way Improvements and (c) Open Space Improvements. In effect, the cost overruns in TL are resulting in a shortage of funds needed for NA. In the agreement with DDA dated September 16, 2013 the City agreed to backfill any shortfall in the $3M in bond proceeds if at least $3M were needed to complete the NA Project. Therefore, this appropriation is simply anticipating and covering now the shortfall in funds that would likely occur for the NA funding as a result of the actual costs for the TL relocation exceeding the original budget. Because of these requirements, the bond proceeds of $6.05M need to be reallocated as follows: Project ($ millions) New Funding Allocations Bonds General Fund Natural Areas Total Transmission Line Relocation (TL) $1.55 $1.55 Right of Way Improvements (ROW) 1.75 1.75 Natural Areas Restoration 2.75 0.25 0.30 3.30 Total $6.05 $0.25 $0.30 $6.60 FINANCIAL / ECONOMIC IMPACTS The appropriation increases the budget on the Transmission Line Relocation portion of the Woodward Public Improvement project by $254,000 in the Capital Projects Fund. The funding source is unanticipated revenue in the General Fund. ATTACHMENTS 1. Powerpoint presentation (PDF) Packet Pg. 71 Attachment7.1: First Reading Agenda Item Summary, October 7, 2014 (w/o attachments) (2496 : SR 135 Woodward appropriation) - 1 - ORDINANCE NO. 135, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROPRIATING UNANTICIPATED REVENUE IN THE GENERAL FUND AND AUTHORIZING THE TRANSFER OF EXISTING APPROPRIATIONS FROM THE GENERAL FUND TO THE CAPITAL PROJECTS FUND FOR THE WOODWARD RELATED TRANSMISSION LINE RELOCATION PROJECT WHEREAS, pursuant to Ordinance No. 055, 2013, the City, the Downtown Development Authority (“DDA”), and Woodward Inc. (“Woodward”) entered into an agreement which provides that Woodward will advance up to $6.05 million to the DDA to fund certain public improvements, to be made on or near the former Link-N-Greens Golf Course in connection with the redevelopment of that property (the “Woodward Site”) and the City will act as either the project manager or construct the public improvements; and WHEREAS, the public improvements include the following projects: (1) the relocation and installation of a Platte River Power Authority transmission line ($1,297,080) that currently crosses the Woodward Site, (2) right-of-way improvements ($1,750,000), and (3) open space restoration ($3,500,000), for a total cost of $6,547,080; and WHEREAS, Woodward has agreed to advance funds in the amount of $6,047,080 for these public improvements in the priority order stated above, and the Natural Areas Fund is providing an additional $500,000 for the open space restoration; and WHEREAS, the relocation and installation of the power transmission line has been completed and the actual cost is higher than the original estimate by $254,000; and WHEREAS, the agreements for funding the public improvements related to Woodward specify that the City bears the risk of any additional costs for them and that in the event of any shortfall in funding for these projects, the shortfall is not to reduce the budgeted funding for the open area restoration; and WHEREAS, this appropriation is therefore for the purpose of anticipating and covering now the shortfall in funding for the open space restoration that will likely occur as a result of the actual costs for the transmission line relocation exceeding the original budget; and WHEREAS, the General Fund has unanticipated sales and use tax revenue that is available to fund the additional transmission line cost; and WHEREAS, Article V, Section 9, of the City 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, does not exceed the current estimate of actual and anticipated revenues to be received during the fiscal year; and Packet Pg. 72 Attachment7.2: Ordinance No. 135, 2014 (2496 : SR 135 Woodward appropriation) - 2 - WHEREAS, City staff has determined that the appropriation of the revenue as described herein will not cause the total amount appropriated in the General Fund to exceed the current estimate of actual and anticipated revenues to be received in the General Fund during any fiscal year; and WHEREAS, Article V, Section 10, of the City Charter authorizes the City Council to transfer by ordinance any unexpended and unencumbered appropriated amount or portion thereof from one fund (project) to another fund (project), provided that the purpose for which the transferred funds are to be expended remains unchanged. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that the sum of TWO HUNDRED FIFTY-FOUR THOUSAND DOLLARS ($254,000) from unanticipated revenue in the General Fund is hereby appropriated for transfer to the Capital Projects Fund - Woodward Public Improvements-Transmission Line Project and appropriated therein. Introduced, considered favorably on first reading, and ordered published this 7th day of October, A.D. 2014, and to be presented for final passage on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 73 Attachment7.2: Ordinance No. 135, 2014 (2496 : SR 135 Woodward appropriation) Agenda Item 8 Item # 8 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Mike Beckstead, Chief Financial Officer Darin Atteberry, City Manager SUBJECT Items Relating to Appropriating Prior Year Reserves and Unanticipated Revenue in Various City Funds and Authorizing the Transfer of Appropriated Amounts between Funds or Projects. EXECUTIVE SUMMARY A. First Reading of Ordinance No. 140, 2014, Appropriating Prior Year Reserves and Unanticipated Revenue in Various City Funds and Authorizing the Transfer of Appropriated Amounts Between Funds or Projects. B. First Reading of Ordinance No. 141, 2014, Appropriating Prior Year Reserves in the Benefits Fund for Unanticipated Expenditure Increases. C. First Reading of Ordinance No. 142, 2014, Appropriating Prior Year Reserves in the Transportation Services Fund to be Used to Cover Snow Removal Expenses. D. First Reading of Ordinance No. 143, 2014, Appropriating Prior Year Reserves in the Self-Insurance Fund for Insurance Expenses. The purpose of this item is for the Annual Year-End Adjustment. This year it is comprised of 4 separate ordinances. Ordinance No. 140, 2014, is for the appropriation of non-controversial expenses related to unanticipated revenue, grants, and unforeseen costs that had not previously been budgeted. Ordinance No. 141, 2014, appropriates funds from the Benefits Fund to cover unanticipated expenditures and employee benefits. Ordinance No. 142, 2014, appropriates funds for snow removal for the remainder of 2014 as the entire snow removal budget has been spent. Ordinance No. 143, 2014, appropriates prior year reserves for property and liability claims that are expected to exceed budget. BACKGROUND / DISCUSSION Summary of Ordinances A. First Reading of Ordinance No. 140, 2014, Appropriating Prior Year Reserves and Unanticipated Revenue in Various City Funds and Authorizing the Transfer of Appropriated Amounts Between Funds or Projects. The annual Budget Adjustment Ordinance allows for the appropriation of expenses related to unanticipated revenue, grants and unforeseen costs that had not previously been budgeted. The purpose of this annual Budget Adjustment Ordinance is to combine dedicated and unanticipated revenues or reserves that need to be appropriated before the end of the year to cover the related expenses that were not anticipated and, therefore, not included in the 2014 budget appropriation. The unanticipated revenue is primarily from fees, charges, rents, contributions and grants that have been paid to City departments to offset specific expenses. Prior year reserves are primarily being appropriated for unanticipated operational expenses. Packet Pg. 74 Agenda Item 8 Item # 8 Page 2 The table below is a summary of the expenses in each fund that make up the increase in requested appropriations: Funding Unanticipated Revenue Reserves Increase to City Approp. General Fund $1,342,821 $446,826 $1,789,647 Capital Expansion Fund $60,000 $0 $60,000 Capital Projects Fund $481,297 $0 $481,297 Conservation Trust $190,000 $510,000 $700,000 Cultural Services & Facilities Fund $41,411 $1,019,793 $1,061,204 Golf Fund $98,000 $0 $98,000 KFCG Fund $0 $215,096 $215,096 Light & Power Fund $0 $100,000 $100,000 Natural Areas Fund $618,070 $0 $618,070 Recreation Fund $27,242 $0 $27,242 Sales & Use Tax Fund $0 $985,192 $985,192 Stormwater Fund $0 $106,125 $106,125 Timberline/Prospect SID #94 $60,048 $0 $60,048 Transit Services Fund $657,531 $0 $657,531 Transportation Fund $10,667 $0 $10,667 Wastewater Fund $0 $100,000 $100,000 Water Fund $0 $100,000 $100,000 Annual Year-End Adjustment Total $3,587,087 $3,583,032 $7,170,119 Note: This table summarizes the details of Ordinance No. 140, 2014. It does not include the amounts from the other 3 ordinances in this combined AIS. This Ordinance appropriates prior year reserves and unanticipated revenue in various City funds, and authorizes the transfer of appropriated amounts between funds. The City Charter permits the City Council to provide, by ordinance, for payment of any expense from prior year reserves. The Charter also permits the City Council to appropriate unanticipated revenue received as a result of rate or fee increases or new revenue sources. Additionally, it authorizes the City Council to transfer any unexpended appropriated amounts from one fund to another upon recommendation of the City Manager, provided that the purpose for which the transferred funds are to be expended remains unchanged; the purpose for which they were initially appropriated no longer exists; or the proposed transfer is from a fund or capital project account in which the amount appropriated exceeds the amount needed to accomplish the purpose specified in the appropriation ordinance. The other three ordinances are for significant cost overruns greater than the original 2014 budget appropriation as follows. These were reviewed with the Council Finance Committee on September 15, 2014: B. First Reading of Ordinance No. 141, 2014, Appropriating Prior Year Reserves in the Benefits Fund for Unanticipated Expenditure Increases. C. First Reading of Ordinance No. 142, 2014, Appropriating Prior Year Reserves in the Transportation Services Fund to be Used to Cover Snow Removal Expenses. D. First Reading of Ordinance No. 143, 2014, Appropriating Prior Year Reserves in the Self-Insurance Fund for Insurance Expenses. Packet Pg. 75 Agenda Item 8 Item # 8 Page 3 Funding Unanticipated Revenue Reserves Increase to City Appropriations Benefits Fund $0 $1,850,000 $1,850,000 Self-Insurance Fund $0 $610,000 $610,000 Transportation Fund $0 $800,000 $800,000 Additional Year-End Adjustments Total $0 $3,260,000 $3,260,000 APPROPRIATION DETAILS  First Reading of Ordinance No. 140, 2014, Appropriating Prior Year Reserves and Unanticipated Revenue in Various City Funds and Authorizing the Transfer of Appropriated Amounts Between Funds or Projects. A. GENERAL FUND 1. Fort Collins Police Services (FCPS) has received revenue from various sources which need to be appropriated to cover the related expenditures. A listing of these items follows: a. $28,800 - Chemical Test Fees & Driving w/o Insurance Penalty Assessments - Pursuant to C.R.S. 16- 11-501(2) (j), the costs of chemical tests (blood/breath tests) shall be reimbursed directly by the defendant to the law enforcement agency which administered and paid for the test. The driving without insurance law provides revenue to the law enforcement agency issuing the citation. It is projected that by the end of 2014, $28,800 will have been collected by the courts and passed on to Police Services under these provisions. The revenue is used to directly offset the actual cost of blood/breath testing for DUI and DUID (driving under the influence of drugs). Charges from local hospitals and the Colorado Bureau of Investigations laboratory total $27,000 thus far in 2014. b. $38,870 - High Intensity Drug Trafficking Area Grant - In 2014, the Rocky Mountain High Intensity Drug Trafficking Area increased the award of the 2013 FY grant by $38,870. The grant funds will be used by the Northern Colorado Drug Task Force to upgrade outdated equipment. No City match is required. c. $12,709 - Internet Crimes Against Persons Grant - In 2012-2013, Police Services was the subrecipient of grant funds from the Internet Crimes Against Persons Grant (ICAC). The grant paid for investigator training and software to assist in ICAC investigations. This item is to appropriate grant revenue in the amount of $12,709. No City match is required. d. $20,000 - 2014 Northern Colorado Drug Task Force Reserve Request - Fort Collins Police Services is the fiduciary agency for the Northern Colorado Drug Task Force. The multi-agency task force is a collaborative effort staffed by Fort Collins and Loveland law enforcement personnel. The budget for the task force was appropriated early in 2014. Since then, a computer server had to be replaced. This item appropriates money from the Task Force reserve the money to cover the expense. e. $2,600 - K-9 Donation - In 2014, a generous Fort Collins resident donated $2,600 to the Police K-9 program. City policy requires the donation be appropriated via this ordinance for transparency purposes. The money was used for handler travel and training to pick up a new K-9 that was purchased late in 2013. f. $172,839 - Police Overtime and Straight Time Reimbursement - In 2014, Police Services received reimbursement from various entities for overtime expenses. The different activities include: CSU football traffic control, Tour De Fat, Brew Fest, New West Fest, regional auto theft case investigations, Poudre School District school board meetings, MAX implementation, and noise ordinance violation workshops. Additionally, in 2014 FCPS partnered with Larimer County to staff events at The Ranch. Police receives reimbursement from Larimer County for officer hours worked at Ranch events. Packet Pg. 76 Agenda Item 8 Item # 8 Page 4 Additionally, Police Services implemented a new CAD system in conjunction with Larimer County where a significant amount of overtime was incurred to install the system, troubleshoot problems and train staff. g. $52,529 - Poudre Valley Hospital Dispatch Contract Revenue - In the beginning of 2013, Fort Collins Police Services renegotiated the contract for providing dispatching services for Poudre Valley Health Systems. This resulted in more revenue than was originally projected for 2014. In addition, the hospital reimbursed Police Services for a dispatch console that was replaced as part of the 800 MHz project late in 2013. h. $35,171 - Police Report Fees - Police reports purchased by the public and insurance agencies generate revenue of approximately $7.50 a report. For 2014, it is estimated that $35,170 will be collected. The revenue from this fee is used to subsidize the cost of copy machine rental expenses. i. $90,997 - Vehicle Loss Reimbursement - In 2013, Police vehicles were damaged in motor vehicle collisions. The cost recovered by insurance claims is used to offset the cost of repair and replace totaled vehicles. j. $3,290 - Miscellaneous Vendor Refunds - Police Services received $3,290 from miscellaneous sources for the reimbursement of lost employee gate FOB's, cancelled training, and other vendor refunds. The reimbursement of funds goes to offset the cost of the original items/services purchased and subsequently returned/cancelled. k. $3,250 - SWAT Training Fees - In 2014, the Fort Collins Police SWAT team hosted training for other agencies and charged attendees a fee. Fort Collins Police Services is proudly the home of nationally recognized trainers who are experts in their field. By hosting training, revenue is generated for the SWAT program and FCPS SWAT members get to train without incurring travel expenses. The registration revenue offsets the cost of the training materials for the class. l. $90,424 - Sale of Retired 800 MHz Radio Equipment - In early 2013, Police Services replaced portable and mobile radios. Police sold the old radios to Jefferson County for $78,600. Also in 2014, other City departments purchased equipment for Transit Officers. This revenue will be used to offset the cost of new computer and communications equipment. m. $15,000 - Sale of Traffic Unit Motorcycles to Larimer County Sheriff's Office - The revenue received from Larimer County needs to be returned to the Camera Radar fund since the original purchase came from that account. New motorcycles were purchased in 2014 and this revenue will offset the cost of the new units and equipment. n. $6,988 - 2014 Seatbelt Grant - In 2014, Fort Collins Police received a grant from the Colorado Department of Transportation for two waves of Seatbelt Grant Enforcement. The grant paid for officers to work overtime to conduct enforcement activities. o. $11,597 - DUI Enforcement Grant - In 2014, Fort Collins Police received $11,597 in grant funds from the Colorado Department of Transportation to pay for overtime for DUI enforcement. No City match is required. FROM: Unanticipated Revenue (Miscellaneous Police) $463,220 FROM: Prior Year Reserves - No. Colorado Drug Task Force $20,000 FROM: Prior Year Reserves - Police CAD $31,680 FROM: Unanticipated Revenue (High Intensity Drug Traffic Grant) $38,870 FROM: Unanticipated Revenue (Internet Crimes Against Persons Grant) $12,709 FROM: Unanticipated Revenue (DUI Enforcement Grant) $11,597 FROM: Unanticipated Revenue (Seatbelt Grant) $6,988 FOR: Police Services $514,900 FOR: High Intensity Drug Traffic Grant $38,870 Packet Pg. 77 Agenda Item 8 Item # 8 Page 5 FOR: Internet Crimes Against Persons Grant $12,709 FOR: DUI Enforcement Grant $11,597 FOR: Seatbelt Grant $6,988 2. The Community Development & Neighborhood Services (CDNS) department has received revenue from various sources which needs to be appropriated to cover the related expenditures. A listing of these items follows: a. $3,000 - National Alliance for Preservation Conference Grant - Request for an appropriation of $1,500 in Certified Local Government (CLG) funding and $1,500 of matching grant funds from existing City of Fort Collins appropriations. The $1,500 City match was previously appropriated, but per the City Charter the transfer of these funds to a grant project must be authorized by City Council. The grant awarded authorized sending two Landmark Preservation Commission members to this national conference in Philadelphia for training and education. A requirement of retaining CLG funding is continual education for commission members. b. $62,000 - CDNS Development Hourly and Overtime Reimbursement - This is a request for hourly and overtime expenses that have been and are expected to be incurred throughout this year in an effort to keep up with current Development Review and inspection service levels. The department covered as much as possible through existing personal services budgets but anticipate needing an additional $62,000 to fully cover additional expenses incurred. Development Review revenues that have come in over projections (in excess of $1M as of August 31, 2014) are the suggested funding source. c. $19,800 - Loomis Addition Grant - This request is for an appropriation of $9,900 in Certified Local Government (CLG) funding and $9,900 of matching grant funds from existing City of Fort Collins appropriations. The $9,900 City match was previously appropriated, but per the City Charter the transfer of these funds to a grant project must be authorized by City Council. The grant authorized the hiring of a professional consultant to develop a historic context for the Westside's Loomis Addition. This context development is the prelude to a historic property survey. d. $63,785 - Paramount Cottage III Grant - Request for an appropriation of $27,109 in Certified Local Government (CLG) funding, $26,676 of matching grant funds from the owner and $10,000 of matching grant funds from existing City of Fort Collins appropriations. The $10,000 City match was previously appropriated, but per the City Charter the transfer of these funds to a grant project must be authorized by City Council. The grant awarded authorized the final phase of rehabilitation of the Paramount Cottage Camp located at 1544 West Oak Street. e. $6,528 - Restorative Justice Accountability Incentive Block Grant - This is an appropriation request for $6,528 in grant funding from the Colorado Division of Criminal Justice, Juvenile Accountability Incentive Block Grant. No City match was required. The grant funds were awarded to Restorative Justice Services (RJS) to purchase the equipment and supplies needed to establish the processes and procedures for administering a new screening tool and making appropriate referrals for youth referred to RJS from the DAs Office. The implementation of this screening tool is intended to assure youth will receive the mental health and substance abuse help they need to deal with issues that likely underlie their criminal behavior. It is our hope that this support will help youth stay out of the justice system and lead productive lives. FROM: Unanticipated Revenue (Miscellaneous CDNS) $88,676 FROM: Unanticipated Revenue (National Alliance Preservation Grant) $1,500 FROM: Unanticipated Revenue (Loomis Addition Grant) $9,900 FROM: Unanticipated Revenue (Paramount Cottage III Grant) $27,109 FROM: Unanticipated Revenue (Restorative Justice Grant) $6,528 FROM: Transfer from Existing Operating Budgets $21,400 FOR: CDNS Hourly and Overtime Reimbursement $62,000 FOR: National Alliance Grant $3,000 FOR: Loomis Addition Grant $19,800 Packet Pg. 78 Agenda Item 8 Item # 8 Page 6 FOR: Paramount Cottage III Grant $63,785 FOR: Restorative Justice Accountability Incentive Block Grant $6,528 3. Operation Services is requesting to complete the Arthur ditch rehabilitation project at the Mulberry Pool site. Previously, $500,000 was appropriated based on initial design and construction estimates. However, after completion of the final design, it was determined that an additional $200,000 was necessary to complete the project. FROM: Unanticipated Revenue $200,000 FOR: Arthur Ditch Rehabilitation Project $200,000 4. Operations Services is requesting to appropriate $60,000 to perform minor building renovations including an ADA restroom and some HVAC replacements at the Carnegie building (old museum) located at 220 Mathews. FROM: Unanticipated Revenue $60,000 FOR: Carnegie Building Renovations $60,000 5. This request is to appropriate $100,000 to upgrade to LED lighting fixtures at the following facilities: Senior Center Gym, Northside Atzlan Center Gym and Parking Lot, 215 Mason Parking Lot, and Gardens at Spring Creek Parking Lot. Operation Services anticipates to complete all upgrades before the close of 2014. FROM: Unanticipated Revenue $100,000 FOR: LED Light Fixture Upgrades $100,000 6. The Forestry Department request to appropriate unanticipated revenue from reimbursement claims for damages to trees caused by accidents. FROM: Unanticipated Revenue $3,514 FOR: Forestry Maintenance $3,514 7. The Parks department is requesting the appropriation of $25,000 that was donated by Blue Ocean Enterprises / Richardson Foundation to the 4th of July celebration. This request appropriates these funds for this specified purpose. FROM: Unanticipated Revenue (Donations) $25,000 FOR: 4th of July Expenses $25,000 8. This is a request to appropriate $1,800 to help fund the acquisition of portable ramps in a joint effort with the Downtown Development Authority (DDA). The City and DDA have been asked by a number of Fort Collins residents to help find a solution to afford disabled access to businesses in the Old Town Historic District. Although front door wheelchair access to many of the historic buildings within the District is not required by federal law (Americans with Disabilities Act) or City land use code, there is a desire to make the downtown businesses more accessible to people in wheelchairs. Business owners will voluntarily pay $75 for a ramp, remote doorbell and accessibility sticker, the City and DDA will split the remaining costs and delivery fee. Ramps will be portable and each business will be able to deploy a ramp when needed and store it discreetly when not in use. FROM: Unanticipated Revenue $1,800 FOR: Portable Downtown Ramps Acquisition $1,800 9. The Social Sustainability department requests the appropriation of $51,086 to cover expenses related to Land Bank property maintenance needs for 2014. As expenses vary from year-to-year, funding is requested annually mid-year to cover these costs. This Land Bank reserve request will cover the Packet Pg. 79 Agenda Item 8 Item # 8 Page 7 expenses for 2014 including general maintenance of properties, raw water and sewer expenses, and property appraisals. FROM: Prior Year Reserves (Land Bank Reserve) $51,086 FOR: Land Bank Expenses $51,086 10. The Fort Collins Convention Center and Visitor's Bureau (FCCVB) has been awarded an $87,764 grant from the Colorado Welcome Center through the State of Colorado. These funds will be disbursed by the State of Colorado and directed through the City of Fort Collins, pursuant to State of Colorado requirements, then paid to the FCCVB. The grant period will run from July 1, 2014 through June 30, 2015. FROM: Unanticipated Revenue (Grants) $87,764 FOR: Fort Collins Convention and Visitors Bureau $87,764 11. Economic Development requests the appropriation of $344,060 to cover payment of rebates made in 2014. In accordance with Chapter 25, Article II, Division 5, Manufacturing Equipment Use Tax Rebates were paid out in March 2014 for the 2012 rebate program. The rebate program was established to encourage investment in new manufacturing equipment by local manufacturing firms. Vendors have until December 31st of the following year to file for the rebate. This item appropriates the use tax funds to cover the payment of the rebates. FROM: Prior Year Reserves (Manufacturing Use Tax Rebate) $344,060 FOR: Manufacturing Use Tax Rebates $344,060 12. Environmental Services sells radon test kits at cost as part of its program to reduce lung cancer risk from in-home radon exposure. This appropriation would recover kit sales revenue for the purpose of restocking radon test kits. FROM: Unanticipated Revenue $4,146 FOR: Radon Test Kits $4,146 13. The Gardens requests appropriations of unanticipated revenues resulting from increased programs and popularity of the Gardens. Appropriations are needed for the additional cost of expanded programs and needed improvements at the gardens. FROM: Unanticipated Revenue $40,500 FOR: Gardens on Spring Creek Programs and Operations $40,500 B. CAPITAL EXPANSION FUND 1. This item appropriates administrative fee revenue earned in the Capital Expansion Fund for transfer to the General Fund. The 2014 Budget appropriated $39,000 in administrative fees and through August over $65,000 has actually been received. Development review revenues are currently higher than 2013 year- end actual revenues when the actual 2013 administrative fee revenue was over $80,000. Staff is requesting the appropriation of an additional $60,000 of unanticipated revenue to enable the full amount of administrative fees received in 2014 to be transferred to the General Fund. FROM: Unanticipated Revenue (Administrative Fees) $60,000 FOR: Transfer to the General Fund $60,000 C. CAPITAL PROJECTS FUND 1. As part of the Harmony Road and Shields Street Intersection Improvements Project, funds were received from the Fort Collins Loveland Water District for necessary waterline improvements. This project has been completed and the contributed funds are needed to cover the remaining expenses. Packet Pg. 80 Agenda Item 8 Item # 8 Page 8 FROM: Unanticipated Revenue (Contributions in Aid) $63,590 FOR: Harmony & Shields Intersection Improv. Project $63,590 2. As part of the Linden Street Streetscape Improvements Project, funds have been received from the developer as a repay agreement for construction of local street improvements adjacent to their development. The address of the developers contributing to the project is 350 Linden and the amount contributed is $21,654. This project has been completed and the contributed funds are needed to cover the remaining expenses. . FROM: Unanticipated Revenue $21,654 FOR: Linden Street Improvements Project $21,654 3. As part of the Willow Street River District Improvements Project, funds have been received from developers as payment to construct the local street improvements adjacent to their development project. The addresses or names of the developers contributing to the projects are 405 Linden ($9,833), Feeder Supply ($96,928), Wolverine Farm Letterpress & Public House ($13,310), and Willow Street Lofts ($2,689). FROM: Unanticipated Revenue (Developer Contribution) $122,760 FOR: Willow Street River District Enhancements Project $122,760 4. Ridgeview Classical School has paid the City of Ft. Collins for the future installation of sidewalk along Welch Street in front of the school. The project is currently planned for late summer or early fall of 2015 pending any unforeseen circumstances. This item appropriates the revenue to fund the project. FROM: Unanticipated Revenue (Developer Charges) $3,375 FOR: BOB-Pedestrian Plan & ADA Improvements Project $3,375 5. Savings from operating budgets were identified at the end of 2013 in the Transportation Services Fund and deposited in the Capital Projects Fund. These savings are requested for appropriation to partially cover charges identified by the FTA as ineligible for reimbursement by the Federal grant for the MAX project. It is expected that at the close of the project, City matching funds will be available to provide for any expenses deemed ineligible. This appropriation ensures there are additional funds available if needed. If they are not needed, they will be returned to the Transportation Services Fund. FROM: Unanticipated Revenue (Transfer from Transportation) $110,846 FOR: MAX Ineligible Project Expenses $110,846 6. City residents approved a 0.25 cent tax to be used to finance projects identified in the Building Community Choices - Natural Areas and Park Improvement Capital Improvement Plan that went into effect on January 1, 1998, and expired on December 31, 2005. Per Ordinance No. 29, 1997 “Any excess revenues generated by the tax shall be used for natural areas and trails.” All projects in the plan have been completed and this item transfers the remaining interest earnings from the Capital Projects Fund to the Natural Areas Fund. FROM: Unanticipated Revenue (Interest) $125,474 FOR: Transfer to Natural Areas Fund $125,474 7. This item appropriates unanticipated revenue received for park construction projects. The City received unanticipated revenue from Larimer County Park Development Fees related to 2013 development that were received in 2014. This revenue will be applied towards the construction of the Southeast Community Park. FROM: Unanticipated Revenue (Development Fees) $33,598 FOR: Southeast Community Park Project $33,598 Packet Pg. 81 Agenda Item 8 Item # 8 Page 9 D. CONSERVATION TRUST FUND 1. Due to increases in constructions costs in northern Colorado over the last two years, two trail projects are over initial budget estimates. The Trilby Underpass was estimated to cost $900,000, but actual costs are $1,300,000 (increase of $400,000). The Poudre Trail at Lemay and Mulberry Project was originally estimated to be $900,000, but is now estimated to be $1,200,000 (increase of $300,000). The Conservation Trust Fund has approximately $1,000,000 in reserves. This item requests appropriating $510,000 of reserves and $190,000 of unanticipated revenue for these projects and to cover these additional construction costs. . FROM: Unanticipated Revenue (Lottery Proceeds) $190,000 FROM: Prior Year Reserves $510,000 FOR: Trail Acquisition and Development (Trilby Underpass, Poudre Trail) $700,000 2. This item transfers unused appropriations in the Conservation Trust Open Space Acquisitions Project, Fossil Creek Trail Project and Tri-City Trail Project to the Trail Acquisition /Development Project. The Open Space Acquisitions Project will be closed at year end. Transferred funds in the Trail Acquisition and Development Project will be used to cover unanticipated design and construction expenses for the Poudre Trail Project. FROM: Open Space Acquisitions Project unused appropriation $57,461 FROM: Fossil Creek Trail Project unused appropriation $90,000 FROM: Tri-City Trails Project unused appropriation $380,000 FOR: Trail Acquisition and Development Project $527,461 E. CULTURAL SERVICES AND FACILITIES FUND 1. This item appropriates $31,411 for two Art in Public Places (APP) projects: the Transformer Cabinet Project in the Light & Power Fund ($3,982) and the Pianos About Town Project in the Cultural Services Fund ($27,429). Funding has been received from the Bohemian Companies - $38,492, Downtown Development Authority - $8,000, and Downtown Business Association - $2,900. This revenue was also for the administration of the projects ($17,981), but additional administration appropriations are not needed in 2014. FROM: Unanticipated Revenue (Contributions - Cultural Services & Facilities Fund) $27,429 FROM: Unanticipated Revenue (Contributions-Light & Power Fund) $ 3,982 FOR: Art in Public Places Project (Cultural Services & Facilities Fund) $27,429 FOR: Art in Public Places Project (Light & Power Fund) $ 3,982 2. The Downtown Fort Collins Creative District was accepted as a Candidate District into the Colorado Creative Districts Program. Creative districts are accepted into this program as "candidates" and work toward certification for two years. This incubator-style program offers Candidate Creative Districts benefits in the form of direct funding and professional assistance, training, and networking with peers. Candidate districts can apply for certification at the end of two years. Each candidate district is awarded a $5,000 grant from both the Colorado Creative Industries and the Boettcher Foundation. This item appropriates the $10,000 in grant revenue for the District expenses. FROM: Unanticipated Revenue (Grants) $10,000 FOR: Downtown Creative District $10,000 3. The Museum Fund was created in 2013 to segregate the City’s revenue and expenditures for the Fort Collins Museum of Discovery which opened in November 2012. Final Museum revenue, expenditures, and reserve balances were determined at the end of 2013. This appropriates the Museum reserves from: Donations ($46,079), BOB Operations ($559,346), and Unassigned ($414,368), for a total of $1,019,793 for transfer from the Cultural Services and Facilities Fund to the Museum Fund. Packet Pg. 82 Agenda Item 8 Item # 8 Page 10 FROM: Prior Year Reserves (Cultural Services & Facilities Fund) $1,019,793 FOR: Transfer to the Museum Fund $1,019,793 F. GOLF FUND 1. This item is to appropriate unanticipated revenue in the Golf Fund from restructured golf concessionaire contracts. Through the restructuring, additional revenue came into the City, but a portion of that revenue needs to be paid to the Golf Pro concessionaires. FROM: Unanticipated Revenue (Golf Fees) $98,000 FOR: Golf Expenses $98,000 G. KEEP FORT COLLINS GREAT FUND 1. Following approval of the Amended and Restated Intergovernmental Agreement and Revenue Allocation Formula on July 15, 2014, it was decided that PFA would participate in the City's Annual Year-End Adjustment Ordinance at the end of each year to appropriate the remaining KFCG balance from the end of the prior year. Therefore, Poudre Fire Authority requests the balance in the City's KFCG reserve fund dedicated to fire protection and other emergency services. These funds are requested to purchase fire apparatus in 2015. FROM: Prior Year Reserves - Fire Reserve $215,096 FOR: Poudre Fire Authority Operations $215,096 H. LIGHT AND POWER FUND 1. The 2013 appropriation which funded the Computerized Maintenance Management System (CMMS) was based on a preliminary implementation scope and assumed that the mapping interface would be handled after the initial implementation. As the work on CMMS has proceeded, the system requirements grew and it became clear that the mapping interface should be an integral part of the initial implementation. These changes have resulted in a more comprehensive CMMS implementation, however, they have impacted the projected project cost. In order to realize all of the benefits associated with the full implementation of CMMS along with the GIS interface an additional appropriation is being requested for 2014. It is expected that the additional $400,000 appropriation, consisting of $100,000 from each of the four utility Enterprise Funds, will complete the implementation in the Water Field Operations area and the GIS connections, and result in a projected savings of at least $200,000 from less consulting for the on-going asset management program with the Utilities Customer Service and Administration Fund in 2014. FROM: Prior Year Reserves $100,000 FOR: CMMS Maintenance Management $100,000 I. NATURAL AREAS FUND 1. The sales and use tax revenue received in 2013 was higher than projected and the existing appropriations were not adequate to make the full transfer from the Sales and Use Tax Fund to the Natural Areas Fund for the one quarter cent Natural Areas tax. (See Sales & Use Tax Fund Item #1) This item appropriates additional funds in the amount of $492,596 transferred from the Sales and Use Tax Fund to the Natural Areas Fund for Land Conservation expenses. FROM: Unanticipated Revenue (Transfer In) $492,596 FOR: Natural Areas Expenses $492,596 2. City residents approved a 0.25 cent tax to be used to finance projects identified in the Building Community Choices - Natural Areas and Park Improvement Capital Improvement Plan that went into effect on January 1, 1998, and expired on December 31, 2005. (See Capital Project Fund item #6) This item appropriates Packet Pg. 83 Agenda Item 8 Item # 8 Page 11 the transfer from the Capital Projects Fund into the Natural Areas Fund for trail expenses. FROM: Unanticipated Revenue (Transfer In) $125,474 FOR: Natural Areas Trails Expense $125,474 J. RECREATION FUND 1. Adult Fitness and Child Development programs at the North Aztlan Center have seen a significant participation increase in 2014. An increase in demand for the number of programs offered results in increased cost, off-set by revenue generated by registrations and drop-in fees. FROM Unanticipated Revenue $27,242 FOR: Recreation Programs $27,242 K. SALES AND USE TAX FUND 1. The sales and use tax revenue received in 2013 was higher than projected and the existing appropriations were not adequate to make the full transfer from the Sales and Use Tax Fund to the Capital Projects Fund for the one quarter cent Building on Basics tax, and to the Natural Areas Fund for the one quarter cent Natural Areas tax. Adjustments to the General Fund, the Keep Fort Collins Great Fund and the Transportation Services Fund are not needed because the tax revenues are recorded directly into those funds. This item appropriates additional funds in the amount of $985,192 from prior year reserves to increase the transfer from the Sales and Use Tax Fund to the Capital Projects Fund for the Building on Basics tax by $492,596, and to increase the transfer to the Natural Areas Fund for the Natural Areas tax by $492,596. FROM: Prior Year Reserves (Sales & Use Tax Fund) $985,192 FOR: Transfer to Capital Projects - Building on Basics $492,596 FOR: Transfer to Natural Areas Fund $492,596 L. STORMWATER FUND 1. This item appropriates 1% of the West Vine Channel Outfall project in the amount of $6,125 for Art in Public Places. The total capital project was appropriated in November, 2013 Ordinance No. 156 but did not include the Art in Public Places appropriation. Of the $6,125, 78% remains in the Stormwater Fund for the artwork ($4,778) and 22% is transferred to the Cultural Services and Facilities Fund for operations ($1,225) and for maintenance ($122). This is funded from the Stormwater Fund Reserves. FROM: Prior Year Reserves $6,125 FOR: Art in Public Places Project - Stormwater Fund $4,778 FOR: APP Project - Transfer to Cultural Services & Facilities Fund $1,347 2. The 2013 appropriation which funded the Computerized Maintenance Management System (CMMS) was based on a preliminary implementation scope and assumed that the mapping interface would be handled after the initial implementation. As the work on CMMS has proceeded, the system requirements grew and it became clear that the mapping interface should be an integral part of the initial implementation. These changes have resulted in a more comprehensive CMMS implementation, however, they have impacted the projected project cost. In order to realize all of the benefits associated with the full implementation of CMMS along with the GIS interface an additional appropriation is being requested for 2014. It is expected that the additional $400,000 appropriation, consisting of $100,000 from each of the four utility Enterprise Funds, will complete the implementation in the Water Field Operations area and the GIS connections, and result in a projected savings of at least $200,000 from less consulting for the on-going asset management program with the Utilities Customer Service and Administration Fund in 2014. FROM: Prior Year Reserves $100,000 FOR: CMMS Maintenance Management $100,000 Packet Pg. 84 Agenda Item 8 Item # 8 Page 12 M. TIMBERLINE/PROSPECT SID #94 FUND 1. The SID was established in 2007 and payments are being made over 10 years. The City bills annually and forwards payments to a developer who fronted initial capital for the improvements. In 2014 revenues exceeded projects due to early payoffs made by property owners thus an appropriation is needed to forward payment to the developer FROM: Unanticipated Revenue $60,048 FOR: Timberline/Prospect SID #94 Expenses $60,048 N. TRANSIT SERVICES FUND 1. The City of Fort Collins has entered into agreements with each of its three Transportation Management Area (TMA) partners (Loveland, Berthoud, & the NFRMPO) to transfer local funds to the partners in exchange for the partner's allocation of federal formula funding. These agreements are specific to Federal Fiscal Year (FFY) 2013 FTA Section 5307 and Section 5339 formula grants. This request for additional appropriations to match the sum of the agreed-upon local funds exchange is fully funded with additional federal funding. FROM: Unanticipated Revenue (Grants) $657,531 FOR: Pass-Thru Funding to Transportation Management Area $657,531 O. TRANSPORTATION SERVICES FUND 1. FC Moves was awarded a $10,667 grant from The Denver Foundation (Kaiser Permanente) for the Fort Collins Walk and Wheel Demonstration Project. This funding will be used to design and implement a temporary protected bike lane demonstration project in 2015. Project site selection and planning will occur in late 2014. Funding will also be used for project evaluation to help inform future bikeway design across the City. This item appropriates the funds that have been received by the City. FROM: Unanticipated Revenue (Contribution) $10,667 FOR: FC Moves Program $10,667 P. WASTEWATER FUND 1. The 2013 appropriation which funded the Computerized Maintenance Management System (CMMS) was based on a preliminary implementation scope and assumed that the mapping interface would be handled after the initial implementation. As the work on CMMS has proceeded, the system requirements grew and it became clear that the mapping interface should be an integral part of the initial implementation. These changes have resulted in a more comprehensive CMMS implementation, however, they have impacted the projected project cost. In order to realize all of the benefits associated with the full implementation of CMMS along with the GIS interface an additional appropriation is being requested for 2014. It is expected that the additional $400,000 appropriation, consisting of $100,000 from each of the four utility Enterprise Funds, will complete the implementation in the Water Field Operations area and the GIS connections, and result in a projected savings of at least $200,000 from less consulting for the on-going asset management program with the Utilities Customer Service and Administration Fund in 2014. FROM: Prior Year Reserves $100,000 FOR: CMMS Maintenance Management $100,000 Q. WATER FUND 1. The 2013 appropriation which funded the Computerized Maintenance Management System (CMMS) was based on a preliminary implementation scope and assumed that the mapping interface would be handled after the initial implementation. As the work on CMMS has proceeded, the system requirements grew and Packet Pg. 85 Agenda Item 8 Item # 8 Page 13 it became clear that the mapping interface should be an integral part of the initial implementation. These changes have resulted in a more comprehensive CMMS implementation, however, they have impacted the projected project cost. In order to realize all of the benefits associated with the full implementation of CMMS along with the GIS interface an additional appropriation is being requested for 2014. It is expected that the additional $400,000 appropriation, consisting of $100,000 from each of the four utility Enterprise Funds, will complete the implementation in the Water Field Operations area and the GIS connections, and result in a projected savings of at least $200,000 from less consulting for the on-going asset management program with the Utilities Customer Service and Administration Fund in 2014. FROM: Prior Year Reserves $100,000 FOR: CMMS Maintenance Management $100,000 ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~  First Reading of Ordinance No. 141, 2014, Appropriating Prior Year Reserves in the Benefits Fund for Unanticipated Expenditure Increases. Medical claims grew approximately 6% a year from 2009 through 2012. In 2013, claims increased 9% over 2012. In looking at the first eight months of 2014, the growth in medical claims is trending toward another increase of 9% or more, compared to 2013. Claims expenditures are anticipated to exceed budgeted appropriations by $1.3M Additional appropriations are also needed to cover unanticipated increases in other employee benefits, including Long-Term Disability, Life Insurance premiums, FPPA premiums and increased participation by employees in Flex Spending accounts (medical & daycare). An additional appropriation of approximately $1,850K is requested from reserves in the Benefits Fund. The Benefits Fund ended 2013 with a balance of $10.5M, above the targeted minimum balance of $6M. Similar to the Transportation Fund, if the additional appropriations requested are not expended, it will accrue to the Benefits Fund reserves. FROM: Prior Years Reserves $1,850,000 FOR: Benefit Fund Expenses $1,850,000 ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~  First Reading of Ordinance No. 142, 2014, Appropriating Prior Year Reserves in the Transportation Services Fund to be Used to Cover Snow Removal Expenses. The budget for snow removal is based on the historical average annual cost of snow removal which is $1.5M. A contributing factor to the shortfall in 2014 is the 2013 calendar year snow and ice season. Deicing product was purchased in 2013 for the 2013-2014 snow season. The supply was depleted due to the severity and number of storms in winter 2013. The first quarter of 2014 was an above average snow season and many of the storms were multi-day and/or weekend events which added to the total cost of snow removal. The entire snow removal budget of $1.3M for 2014 has been spent. As is anticipated in heavy snow years, additional funding is being requested within the Annual Year-End Adjustment Ordinance using existing Transportation Fund reserves. The Transportation Fund ended 2013 with a balance of $15M of which $5.1M is available for additional costs such as this. If there are remaining funds, they will return to the Transportation Fund reserves. FROM: Prior Years Reserves $800,000 FOR: Snow removal in the Transportation Fund $800,000 ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~  First Reading of Ordinance No. 143, 2014, Appropriating Prior Year Reserves in the Self-Insurance Fund for Insurance Expenses. Packet Pg. 86 Agenda Item 8 Item # 8 Page 14 Workers Compensation claims and Property Liability claims are budgeted based on the average claims over the past several years. As the attached charts illustrate, claims vary significantly from year to year. Property and Liability payments year to date of $322K compare to a full year budget of $450K. Because of several events during the year, Staff anticipates total payments will be approximately $596K and exceed budget by $274K. Property & Liability claims are expected to exceed budget driven by:  $195K loss on two large dump trucks that were totaled in 2014  $150K from oil & gas litigation costs that were not included in the budget  $70K loss from two police vehicles that were totaled in 2014 Workers Compensation payments year to date are essentially at the full year budget of $750K. The average annual payment over the past 5 years is $733k. Forecasting claims payments is difficult, as illustrated by $447K of the year to date payments are for claims from prior years and the historical volatility in annual payments. Staff anticipates total payments for workers compensation will be approximately $1,122K and exceed budget by $336K. The Self Insurance Fund ended 2013 with a $3.6M fund balance of which $2.8M is surplus. Additional funding of approximately $610K will be requested from the Self Insurance Fund and if not expended will be returned at year end. FROM: Prior Years Reserves $610,000 FOR: Workers Compensation $336,000 FOR: Property and Liability $274,000 FINANCIAL / ECONOMIC IMPACTS Ordinance No. 140, 2014, increases total City 2014 appropriations by $7,017,119. Of that amount, this Ordinance increases General Fund 2014 appropriations by $1,636,647 including the use of $446,826 in prior year reserves. Funding for the total City appropriations is $2,705,171 from additional revenue, $3,583,032 from prior year reserves, and $728,916 transferred from other funds. In addition, $21,400 is being transferred from an operating budget to a grant project and another $527,461 is being transferred from one project to another project. These transfers, however, do not increase overall City appropriations. Ordinance No. 141, 2014, increases Benefits Fund 2014 appropriations by $1,850,000. That amount is coming solely from Benefit Fund reserves. Ordinance No. 142, 2014, increases Transportation Fund 2014 appropriations by $800,000. That amount is coming solely from Transportation Fund reserves. Ordinance No. 143, 2014, increases Self Insurance Fund 2014 appropriations by $610,000. That amount is coming solely from Self Insurance Fund reserves. The table below is a summary of the items requesting prior year reserves. Item # Fund Use Amount Citywide (Ordinance No. 140, 2014) A.1.d. General 2014 Northern Colorado Drug Task Force Reserve Request 20,000 A.1.f. General Overtime & Straight Time Reimbursement 31,680 Packet Pg. 87 Agenda Item 8 Item # 8 Page 15 A.9. General Land Bank Property Maintenance 51,086 A.11. General Manufacturing Equipment Use Tax Rebate $344,060 D.1. Conservation Trust Appropriation of Reserves and Unanticipated Conservation Trust Revenue for Trail Construction 510,000 E.3. Cultural Services Transfer of Museum Reserves to Museum Fund 1,019,793 G.1. KFCG - Fire Poudre Fire Authority 215,096 H.1. Light and Power CMMS Maintenance Management 100,000 K.1. Sales & Use Tax Transfer to BOB & Natural Areas 985,192 L.1. Stormwater West Vine Channel Outfall project APP 6,125 L.2. Stormwater CMMS Maintenance Management 100,000 P.1. Wastewater CMMS Maintenance Management 100,000 Q.1. Water CMMS Maintenance Management 100,000 Benefits Ordinance (Ordinance No. 141, 2014) Benefits Unanticipated Benefit Expenditure Increases $1,850,000 Transportation (Ordinance No. 142, 2014) Transportation Snow Removal 800,000 Self Insurance (Ordinance No. 143, 2014) Self Insurance Workers Compensation and Property Liability Claims 610,000 Total Use of Prior Year Reserves: $6,843,032 * The table above includes all Ordinances for this Agenda Item Summary If these transfers and appropriations are not approved, the City will have to reduce budgetary expenditures even though adequate revenue and reimbursements are actually available to cover those expenditures. ATTACHMENTS 1. Graphs depicting Workers Compensation and Property & Liability Claim Payments (PDF) Packet Pg. 88 Property & Liability Claim Payments Workers Compensation Claim Payments ATTACHMENT 1 Packet Pg. 89 Attachment8.1: Graphs depicting Workers Compensation and Property & Liability Claim Payments (2490 : Annual Budget Adjustment) - 1 - ORDINANCE NO. 140, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROPRIATING PRIOR YEAR RESERVES AND UNANTICIPATED REVENUE IN VARIOUS CITY FUNDS AND AUTHORIZING THE TRANSFER OF APPROPRIATED AMOUNTS BETWEEN FUNDS OR PROJECTS WHEREAS, the City has prior year reserves, excess revenue, and unanticipated revenue available to appropriate; and WHEREAS, in accordance with Article V, Section 8(b) of the City Charter, any expense or liability entered into by an agent of the City, on behalf of the City, shall not be made unless an appropriation therefor shall have been made by the City Council; and WHEREAS, Article V, Section 9 of the City Charter permits the City Council to appropriate by ordinance at any time during the fiscal year such funds for expenditure as may be available from reserves accumulated in prior years, notwithstanding that such reserves were not previously appropriated; and WHEREAS, Article V, Section 9, of the City Charter also 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, Article V, Section 10, of the City 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 City wishes to provide for the expenditures listed below and the City Manager recommends that these expenditures be made. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that the following funds are hereby authorized for transfer and appropriated for expenditure for the purposes stated below: A. GENERAL FUND 1. APP. FROM: Unanticipated Revenue (Miscellaneous Police) $463,220 APP. FROM: Prior Year Reserves - No. Colorado Drug Task Force $20,000 APP. FROM: Prior Year Reserves - Police CAD $31,680 APP. FROM: Unanticipated Revenue (High Intensity Drug Traffic Grant) $38,870 APP. FROM: Unanticipated Revenue (Internet Crimes Against Persons Grant) $12,709 Packet Pg. 90 - 2 - APP. FROM: Unanticipated Revenue (DUI Enforcement Grant) $11,597 APP. FROM: Unanticipated Revenue (Seatbelt Grant) $6,988 FOR: Police Services $514,900 FOR: High Intensity Drug Traffic Grant $38,870 FOR: Internet Crimes Against Persons Grant $12,709 FOR: DUI Enforcement Grant $11,597 FOR: Seatbelt Grant $6,988 2. APP. FROM: Unanticipated Revenue (Miscellaneous CDNS) $88,676 APP. FROM: Unanticipated Revenue (National Alliance Preservation Grant) $1,500 APP. FROM: Unanticipated Revenue (Loomis Addition Grant) $9,900 APP. FROM: Unanticipated Revenue (Paramount Cottage III Grant) $27,109 APP. FROM: Unanticipated Revenue (Restorative Justice Grant) $6,528 FROM: Transfer from Existing Operating Budgets $21,400 FOR: CDNS Hourly and Overtime Reimbursement $62,000 FOR: National Alliance Grant $3,000 FOR: Loomis Addition Grant $19,800 FOR: Paramount Cottage III Grant $63,785 FOR: Restorative Justice Accountability Incentive Block Grant $6,528 3. APP. FROM: Unanticipated Revenue $200,000 FOR: Arthur Ditch Rehabilitation Project $200,000 4. APP. FROM: Unanticipated Revenue $60,000 FOR: Carnegie Building Renovations $60,000 5. APP. FROM: Unanticipated Revenue $100,000 FOR: LED Light Fixture Upgrades $100,000 6. APP. FROM: Unanticipated Revenue $3,514 FOR: Forestry Maintenance $3,514 7. APP. FROM: Unanticipated Revenue (Donations) $25,000 FOR: 4th of July Expenses $25,000 8. APP. FROM: Unanticipated Revenue $1,800 FOR: Portable Downtown Ramps Acquisition $1,800 9. APP. FROM: Prior Year Reserves (Land Bank Reserve) $51,086 FOR: Land Bank Expenses $51,086 10. APP. FROM: Unanticipated Revenue (Grants) $87,764 FOR: Fort Collins Convention and Visitors Bureau $87,764 11. APP. FROM: Prior Year Reserves (Manufacturing Use Tax Rebate) $344,060 FOR: Manufacturing Use Tax Rebates $344,060 Packet Pg. 91 - 3 - 12. APP. FROM: Unanticipated Revenue $4,146 FOR: Radon Test Kits $4,146 13. APP. FROM: Unanticipated Revenue $40,500 FOR: Gardens on Spring Creek Programs and Operations $40,500 B. CAPITAL EXPANSION FUND 1. FROM: Unanticipated Revenue (Administrative Fees) $60,000 FOR: Transfer to the General Fund $60,000 C. CAPITAL PROJECTS FUND 1. APP. FROM: Unanticipated Revenue (Contributions in Aid) $63,590 FOR: Harmony & Shields Intersection Improvements Project $63,590 2. APP. FROM: Unanticipated Revenue $21,654 FOR: Linden Street Improvements Project $21,654 3. APP. FROM: Unanticipated Revenue (Developer Contribution) $122,760 FOR: Willow Street River District Enhancements Project $122,760 4. APP. FROM: Unanticipated Revenue (Developer Charges) $3,375 FOR: BOB-Pedestrian Plan & ADA Improvements Project $3,375 5. APP. FROM: Unanticipated Revenue (Transfers from Transportation) $110,846 FOR: MAX Ineligible Project Expenses $110,846 6. APP. FROM: Unanticipated Revenue (Interest) $125,474 FOR: Transfer to Natural Areas Fund $125,474 7. APP. FROM: Unanticipated Revenue (Development Fees) $33,598 FOR: Southeast Community Park Project $33,598 D. CONSERVATION TRUST FUND 1. APP. FROM: Unanticipated Revenue (Lottery Proceeds) $190,000 APP. FROM: Prior Year Reserves $510,000 FOR: Trail Acquisition and Development (Trilby Underpass, Poudre Trail) $700,000 2. FROM: Open Space Acquisitions Project unused appropriation $57,461 FROM: Fossil Creek Trail Project unused appropriation $90,000 Packet Pg. 92 - 4 - FROM: Tri-City Trails Project unused appropriation $380,000 FOR: Trail Acquisition and Development Project $527,461 E. CULTURAL SERVICES AND FACILITIES FUND 1. APP. FROM: Unanticipated Revenue (Contributions-Cultural Services & Facilities Fund) $27,429 APP. FROM: Unanticipated Revenue (Contributions-Light & Power Fund) $3,982 FOR: Art in Public Places (Cultural Services & Facilities Fund) $27,429 FOR: Art in Public Places (Light & Power Fund) $3,982 2. APP. FROM: Unanticipated Revenue (Grants) $10,000 FOR: Downtown Creative District $10,000 3. APP. FROM: Prior Year Reserves (Cultural Services & Facilities Fund) $1,019,793 FOR: Transfer to the Museum Fund $1,019,793 F. GOLF FUND 1. APP. FROM: Unanticipated Revenue (Golf Fees) $98,000 FOR: Golf Expenses $98,000 G. KFCG 1. APP. FROM: Prior Year Reserves (Fire Services) $215,096 FOR: Poudre Fire Authority $215,096 H. LIGHT AND POWER FUND 1. APP. FROM: Prior Year Reserves $100,000 FOR: CMMS Maintenance Management $100,000 I. NATURAL AREAS FUND 1. APP. FROM: Unanticipated Revenue (Transfer In) $492,596 FOR: Natural Areas Expenses $492,596 2. APP. FROM: Unanticipated Revenue (Transfer In) $125,474 FOR: Natural Areas Trails Expense $125,474 Packet Pg. 93 - 5 - J. RECREATION FUND 1. APP. FROM: Unanticipated Revenue (Recreation Fees) $27,242 FOR: Recreation Programs $27,242 K. SALES AND USE TAX FUND 1. APP. FROM: Prior Year Reserves (Sales & Use Tax Fund) $985,192 FOR: Transfer to Capital Projects - Building on Basics $492,596 FOR: Transfer to Natural Areas Fund $492,596 L. STORMWATER FUND 1. APP. FROM: Prior Year Reserves $6,125 FOR: Art in Public Places Project - Stormwater Fund $4,778 FOR: APP Project - Transfer to Cultural Services & Facilities Fund $1,347 2. APP. FROM: Prior Year Reserves $100,000 FOR: CMMS Maintenance Management $100,000 M. TIMBERLINE/PROSPECT SID #94 FUND 1. APP. FROM: Unanticipated Revenue $60,048 FOR: Timberline/Prospect SID #94 Expenses $60,048 N. TRANSIT SERVICES FUND 1. APP. FROM: Unanticipated Revenue (Grants $657,531 FOR: Pass-Thru Funding to Transportation Management Area $657,531 O. TRANSPORTATION SERVICES FUND 1. APP. FROM: Unanticipated Revenue (Contribution) $10,667 FOR: FC Moves Program $10,667 P. WASTEWATER FUND 1. APP. FROM: Prior Year Reserves $100,000 FOR: CMMS Maintenance Management $100,000 Packet Pg. 94 - 6 - Q. WATER FUND 1. APP. FROM: Prior Year Reserves $100,000 FOR: CMMS Maintenance Management $100,000 Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 95 - 1 - ORDINANCE NO. 141, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROPRIATING PRIOR YEAR RESERVES IN THE BENEFITS FUND FOR UNANTICIPATED EXPENDITURE INCREASES WHEREAS, the City of Fort Collins, through the Benefits Fund, provides employees with a full flexible benefit package including choices in insurance plans for health, life, vision, dental, long-term disability, and accidental death and dismemberment insurance; health care and dependent care reimbursement accounts; employee assistance program; and other employee benefits; and WHEREAS, the City is self-insured for employee health care benefits, collecting revenues associated with providing medical, dental, and employee-paid vision benefits to employees and budgets for the payment of all medical insurance claims, including administration costs for claims processing; and WHEREAS, the City’s Benefits Fund is sufficiently funded to cover claims and administration costs, and adequate reserves are maintained for use in the event that fund expenditures exceed the revenues received in the fund; and WHEREAS, staff projects the need for additional appropriations, totaling $1.85 million, to cover unanticipated expenditure increases for employee benefits, including medical claims, flex spending reimbursements, long-term disability, life insurance premiums and Fire & Police Pension Association (“FPPA”) contributions; and WHEREAS, an appropriation of $1,850,000 from prior year reserves within the Benefits Fund will still leave a reserve balance above the targeted minimum balance of $6 million; and WHEREAS, Article V, Section 9 of the City Charter permits the City Council to appropriate by ordinance at any time during the fiscal year such funds for expenditure as may be available from reserves accumulated in prior years, notwithstanding that such reserves were not previously appropriated. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that there is hereby appropriated for expenditure from prior year reserves in the Benefits Fund the sum of ONE MILLION EIGHT HUNDRED FIFTY THOUSAND DOLLARS ($1,850,000) for unanticipated Benefits Fund expenditures. Packet Pg. 96 - 2 - Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. _________________________________ Mayor ATTEST: _____________________________ City Clerk Passed and adopted on final reading on the 4th day of November, A.D. 2014. _________________________________ Mayor ATTEST: _____________________________ City Clerk Packet Pg. 97 - 1 - ORDINANCE NO. 142, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROPRIATING PRIOR YEAR RESERVES IN THE TRANSPORTATION SERVICES FUND TO BE USED TO COVER SNOW REMOVAL EXPENSES WHEREAS, the Transportation Services Fund budgets for snow removal expenses based on the historical average annual cost; and WHEREAS, due to the number and severity of winter storms in 2013 and the above average snow season in the first quarter of 2014, the entire 2014 snow removal budget has been spent; and WHEREAS, funds in the amount of $800,000 are requested from Transportation Services Fund prior year reserves for snow removal costs for the remainder of 2014 and any unspent appropriations at the end of the year will be returned to reserves; and WHEREAS, the Transportation Services Fund has $15 million in reserves at year-end 2013 and $5.1 million of the total is available for additional costs such as snow removal; and WHEREAS, Article V, Section 9 of the City Charter permits the City Council to appropriate by ordinance at any time during the fiscal year such funds for expenditure as may be available from reserves accumulated in prior years, notwithstanding that such reserves were not previously appropriated. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that there is hereby appropriated for expenditure from prior year reserves in the Transportation Services Fund the sum of EIGHT HUNDRED THOUSAND DOLLARS ($800,000) for snow removal expenditures. Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. _________________________________ Mayor ATTEST: _____________________________ City Clerk Packet Pg. 98 - 2 - Passed and adopted on final reading on the 4th day of November, A.D. 2014. _________________________________ Mayor ATTEST: _____________________________ City Clerk Packet Pg. 99 - 1 - ORDINANCE NO. 143, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROPRIATING PRIOR YEAR RESERVES IN THE SELF INSURANCE FUND FOR INSURANCE EXPENSES WHEREAS, property, liability and workers compensation claims are budgeted based on average claims over the past several years; and WHEREAS, City staff anticipates total property and liability payments for 2014 to be approximately $596,000, which is $274,000 over and above the 2014 budget for these payments; and WHEREAS, staff also anticipates total payments for workers compensation for 2014 to be $1.12M, which is approximately $336,000 over and above the 2014 budget for these payments; and WHEREAS, the request of $610,000 from prior years reserves in the Self Insurance Fund will fund the unforeseen expenditures from both the workers compensation and property and liability claims; and WHEREAS, Article V, Section 9 of the City Charter permits the City Council to appropriate by ordinance at any time during the fiscal year such funds for expenditure as may be available from reserves accumulated in prior years, notwithstanding that such reserves were not previously appropriated. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that there is hereby appropriated for expenditure from prior year reserves in the General Fund the sum of SIX HUNDRED TEN THOUSAND DOLLARS ($610,000) to fund property, liability, and workers compensation payments for 2014. Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 100 - 2 - Passed and adopted on final reading on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 101 Agenda Item 9 Item # 9 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Carrie Daggett, Interim City Attorney SUBJECT Items Relating to Ethics Review Board Code Changes EXECUTIVE SUMMARY A. First Reading of Ordinance No. 144, 2014, Amending Section 2-569 of the City Code Pertaining to Procedures of the Ethics Review Board. B. First Reading of Ordinance No. 145, 2014, Amending Section 2-568(a) of the City Code Pertaining to Definitions Applicable to Ethical Rules of Conduct. The purpose of the first ordinance is to adopt revisions to the City Code to simplify and expedite the process of initiating Ethics Review Board review of ethics complaints and to update provisions related to alternative composition of the Board in the event members of the Board are themselves the subject of a complaint. The second ordinance is intended to incorporate into the City Code the definitions related to conflicts of interest that are specified in the City Charter, and to add new definitions to assist in the interpretation and application of the conflicts of interest provisions in the City Charter and City Code. STAFF RECOMMENDATION Staff recommends adoption of the Ordinances on First Reading. BACKGROUND / DISCUSSION Introduction The Ethics Review Board (the “Board”) met on June 11, 2014, to discuss possible amendments to City Code Sections 2-568 and 2-569. It met again on September 19, 2014, and voted to recommend to Council the amendments to Section 2-568 and 2-569 as set out in the proposed ordinances. Code Section 2-568 establishes certain “ethical rules of conduct” that apply to the City’s councilmembers, board and commission members, and employees. Subparagraph (a) of Section 2-568 defines several of the words and terms used in both Sections 2-568 and 2-569. Code Section 2-569 creates the Board and defines its duties and procedures in providing advisory opinions concerning conflicts of interest and other ethical matters that pertain to councilmembers and board and commission members that arise under the City’s Charter and Code and under state law. The Board does not hear complaints related to employees. Proposed Amendments A. First Reading of Ordinance No. 144, 2014, Amending Section 2-569 of the City Code Pertaining to Procedures of the Ethics Review Board. Packet Pg. 102 Agenda Item 9 Item # 9 Page 2 The amendments proposed for Section 2-569 relate primarily to changing the Board’s procedures for considering an ethics complaint and how that process would be initiated:  The proposed process would eliminate the currently required review of each complaint by the City Council prior to consideration by the Board. Instead, the City Clerk would notify the chairperson of the Board, the persons (Councilmembers or board and commission members) named in the complaint, and the City Council of the complaint.  Then the Board would meet (after notice of at least three days to the complainant and subjects of the complaint, and after required public notice of the meeting) within ten days to determine whether to formally investigate the complaint, based on whether the allegations, if true, would constitute an ethics violation, the reliability and sufficiency of the supporting facts, and any other relevant facts or circumstances.  If the Board determines that an investigation is not warranted, written notice of the determination and the Board’s reasoning for it would be provided to the complainant, the subjects of the complaint, and the City Council.  If the Board determines that a formal investigation is warranted, the Board would proceed to review and investigate the complaint as in the past. Ordinance No. 144 also adds a clear statement of the Board’s power to compel by subpoena the attendance and testimony of witnesses and production of documents. It also provides for the appointment of an alternate Board in the event that members of the Board are the subject of an ethics complaint. B. First Reading of Ordinance No. 145, 2014, Amending Section 2-568(a) of the City Code Pertaining to Definitions Applicable to Ethical Rules of Conduct. The amendments proposed for Section 2-568 add several new definitions to subparagraph (a) of the section. These new definitions will help clarify and facilitate the enforcement of the conflicts-of-interest provisions in Section 9 of Article IV of the City Charter. More specifically, they are intended to reduce the difficulty the Board and Council have experienced in the past in understanding and applying the term “personal interest” as it is used in Section 9(b)(3) of Charter Article IV. It is therefore also being proposed that Code Section 2-568 be amended to expressly provide that the new and existing definitions in Section 2-568(a) be applied to the conflicts-of-interest provisions in Section 9 of Charter Article IV. Personal Interest Section 9(b)(3) of Charter Article IV makes it a misdemeanor offense for any councilmember, board or commission member, or City employee to vote on, attempt to influence, or otherwise participate in any manner as a City official in any decision of any City body or office of which he or she is member or to which he or she makes recommendations if he or she, or a “relative”, has a “personal interest” in that decision. If convicted under Section 9(b)(3), the maximum penalties are a $2,650 fine or 180 days imprisonment, or both such fine and imprisonment. In addition, the convicted City official is deprived of his or her office or employment and is ineligible for any City office or employment for two years after conviction. “Personal interest” is defined in Section 9(a) of Charter Article IV to mean “any interest . . . by reason of which an officer or employee, or a relative of such officer or employee, would, in the judgment of a reasonably prudent person, realize or experience some direct and substantial benefit or detriment different in kind from that experienced by the general public.” The words and terms in this definition in bold that have created the difficulty in understanding and applying Section 9(b)(3). Consequently, it is for these words and terms that definitions have been proposed for adoption in Section 2-568(a). It should also be noted that two of the new definitions are terms used in the second of the three exceptions to a “personal interest” as set out in Section 9(a). This second exception excludes from the definition of “personal interest” the interest a City official, or his or her relative, “has in the receipt of public services when such services are generally provided by the City on the same terms and conditions to all similarly situated citizens.” Approach To Drafting Definitions Packet Pg. 103 Agenda Item 9 Item # 9 Page 3 The approach that has been followed in drafting the proposed definitions has been to give the defined words and terms the meaning that the Colorado courts are likely to give them. Since the newly defined words and terms from the “personal interest” definition that are being proposed are words and terms used, but not defined, in the City Charter, the meaning given to them are hopefully consistent with how the Colorado courts would interpret and apply them. In other words, the proposed amendments define these words and terms in the “personal interest” definition in a way consistent with how the courts would likely define or use them. Recommended Definitions Based on the foregoing, the Board and the City Attorney’s Office are recommending the following new definitions be added to Code Section 2-568(a). (Because “public services” and “similarly situated citizens,” are the key terms used in the second exception to the “personal interest” definition, definitions for these terms have also been recommended.) • Benefit shall mean an advantage or gain. • Different in kind from that experienced by the general public shall mean of a different type or nature not shared by the public generally and that is not merely different in degree from that experienced by the public generally. • Direct shall mean resulting immediately and proximately from the circumstances and not from an intervening cause. • Detriment shall mean disadvantage, injury, damage or loss. • Public services shall mean city services provided to or made available for the public’s benefit. • Similarly situated citizens shall mean citizens in like circumstances having comparable legal rights and obligations. • Substantial shall mean more than nominal in value, degree, amount or extent. ATTACHMENTS 1. Ethics Review Board minutes, June 11, 2014 (PDF) 2. Ethics Review Board minutes, September 9, 2014 (PDF) Packet Pg. 104 ATTACHMENT 1 Packet Pg. 105 Attachment9.1: Ethics Review Board minutes, June 11, 2014 (2484 : Ethics Review Board Code Changes) Packet Pg. 106 Attachment9.1: Ethics Review Board minutes, June 11, 2014 (2484 : Ethics Review Board Code Changes) Packet Pg. 107 Attachment9.1: Ethics Review Board minutes, June 11, 2014 (2484 : Ethics Review Board Code Changes) ATTACHMENT 2 Packet Pg. 108 Attachment9.2: Ethics Review Board minutes, September 9, 2014 (2484 : Ethics Review Board Code Changes) Packet Pg. 109 Attachment9.2: Ethics Review Board minutes, September 9, 2014 (2484 : Ethics Review Board Code Changes) Packet Pg. 110 Attachment9.2: Ethics Review Board minutes, September 9, 2014 (2484 : Ethics Review Board Code Changes) Packet Pg. 111 Attachment9.2: Ethics Review Board minutes, September 9, 2014 (2484 : Ethics Review Board Code Changes) - 1 - ORDINANCE NO. 144, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING SECTION 2-569 OF THE CODE OF THE CITY OF FORT COLLINS PERTAINING TO PROCEDURES OF THE ETHICS REVIEW BOARD WHEREAS, Section 2-569 of the Code of the City of Fort Collins establishes the Ethics Review Board (the “Review Board”) and establishes the procedures under which the Review Board operates, including the process for considering and making advisory recommendations to the City Council regarding ethics complaints; and WHEREAS, the Review Board has met and discussed the process for initiating and considering complaints pursuant to Section 2-569, and has developed recommendations for modifying the process for initiating complaints to expedite and simplify the initial review to determine whether a Review Board investigation of the complaint is warranted, along with other process improvements; and WHEREAS, the Review Board discussed specific revisions to Section 2-569 at meetings on June 11, 2014, and September 19, 2014, and on both occasions recommended that the Council adopt the proposed amendments to the City Code, as set forth herein; and WHEREAS, the City Council therefore finds and intends that these amendments be adopted to further the purposes of Section 9 and to facilitate the enforcement of its provisions and the provisions of the City Code. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that Section 2-569 of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 2-569. Board of ethics. (a) In order to assist the Councilmembers and board and commission members in interpreting and applying the definitions, rules and procedures pertaining to ethics established by the Charter and Code and by the applicable provisions of state statute, there is hereby created a Board of the City to be known as the Ethics Review Board, hereafter referred to in this Division as the "Review Board." (b) The Review Board shall consist of three (3) Councilmembers elected by the City Council, one (1) of whom shall be elected by the Review Board to serve as a chairperson. One (1) alternate shall also be appointed elected by the City Council to serve in the event that a regular member of the Review Board is unavailable or in the event that any particular complaint or inquiry is directed towards a member of the Review Board. (c) Subject to the provisions of Subsection (d) below, the duties and responsibilities of the Review Board shall be as follows: Packet Pg. 112 - 2 - (1) To review and investigate complaints of unethical conduct filed against Councilmembers or board and commission members by any person; (2) To review and investigate actual or hypothetical situations involving potential conflicts of interest presented by individual Councilmembers or board and commission members; (3) After review and investigation, to render advisory opinions or interpretations pertaining to such complaints or inquiries under the relevant provisions of the Charter and Code and the applicable provisions of state law, if any, and to make written recommendations to the City Council and any affected board or commission concerning the same; and (4) To propose any revisions to the provisions of the Charter or Code or other regulations, rules or policies of the City pertaining to ethical conduct as the Review Board may deem necessary and appropriate in the best interests of the City. (d) Complaints and inquiries shall be submitted to the Review Board only according to the following procedures: (1) Complaints. a. Any person who believes that a Councilmember or board and commission member has violated any provision of state law or the Charter or Code pertaining to ethical conduct may file a complaint with the City Clerk, Mayor, who shall immediately notify the chairperson of the Review Board, the Councilmembers or board and commission members named in the complaint and the City Council. The complaint shall be promptly scheduled for consideration by the Review Board. placed on the agenda for the next special or regular City Council meeting for review and possible action by the City Council. No more than ten (10) working days after the date of filing of the complaint, the Review Board shall meet and consider the complaint. All Councilmembers or board and commission members named in the complaint, as well as the complainant, shall be given written notice of such meeting at least three (3) working days prior to the meeting. A notice of the complaint, including the identity of the complainant shall be posted along with the meeting notice. b. Upon receipt of any such complaint, the Review Board shall, after consultation with the City Attorney, City Council shall decide by majority vote whether to submit the complaint to the Review Board for an advisory opinion as to formally investigate whether the violation alleged in the complaint. In making such determination, the Review Board shall consider the following: (1) whether the allegations in the complaint, if true, would constitute a violation of state or local ethical rules; (2) the Packet Pg. 113 - 3 - reliability and sufficiency of any facts asserted in support of the allegations; and (3) any other facts or circumstances that the Review Board may consider relevant. If the Review Board determines that the complaint does not warrant investigation, the Review Board shall send written notice to the complainant of its determination and the reasoning behind that determination, and shall provide a copy of such notice, together with a copy of the complaint, to all Councilmembers or board or commission members named in the complaint, as well as the City Council. has occurred and, if so, the action, if any, that should be taken with regard to such violation. In the event that such complaint is not submitted to the Review Board, the City Council may decide what, if any, other action pertaining to the same is appropriate. c. In the event that a complaint is filed with the City Clerk Mayor under the provisions of this Subsection which alleges a violation on the part of two (2) or more members of the Review Board (including the alternate), four (4) or more Councilmembers, such complaint shall not be referred to the regular Review Board City Council for review but shall instead be submitted to an alternate Review Board consisting . Said Board shall consist of all any remaining Councilmembers who are not named in the complaint; provided, however, that if five (5) or more Councilmembers are named in the complaint, and the alternate Review Board shall also include as many members of City boards and commissions as are necessary to constitute a seven-member board. Said bBoard and commission members shall be selected at random by the City Clerk within ten (10) working days of the date upon which the complaint is filed with the City Clerk Mayor. Any board and commission members selected by the City Clerk who elect not to serve on the alternate Review Board shall immediately so notify the City Clerk, who shall thereafter select as many additional board and commission members as are necessary to constitute the seven-member alternate Review Board. The procedures utilized by the alternate Review Board for reviewing and investigating the complaint and rendering an advisory opinion and recommendation shall be as provided in Subsections (b) and (e) of this Section below, except that: (i) the opinion and recommendation of such Board shall be final and shall not be submitted to the City Council for review or adoption by the City Council unless at least three (3) Councilmembers remain available, without a conflict of interest, and are able to consider and take action on the opinion and recommendation; and (ii) the City Council and City staff shall, upon request by the alternate Review Board, make available to such Board all information in the possession of the city that is relevant to the bBoard's investigation, including, without limitation, tape recordings of any relevant executive sessions, unless the release of said information is prohibited by state or federal law; and, in reviewing and discussing such information, the Board shall abide by any local, state or federal Packet Pg. 114 - 4 - confidentiality requirements that might limit or prohibit the release of such information to third parties. (2) City Council inquiries. Any Councilmember may present directly to the Review Board any inquiry or complaint regarding the application of ethical rules of conduct under state statute or the Charter or Code to any actual or hypothetical situation of a Councilmember or board and commission member. (e) In performing its review and investigation of any complaint or inquiry submitted in accordance with Subsection (d) hereof, the Review Board shall afford all affected Councilmembers or board and commission members an opportunity to present their interpretations of the facts at issue and of the applicable provisions of law before rendering its opinion and recommendation. The Review Board may also request such additional materials or information from City staff or members of the public which it considers reasonably necessary or helpful to its deliberations. In addition, in the case of a complaint, the Review Board shall have the power to compel by subpoena the attendance and testimony of witnesses and the production of such documents as the Review Board may consider necessary to its investigation. After investigation, the Review Board shall forthwith issue an advisory opinion and recommendation to the City Council, which shall immediately thereafter be filed with the City Clerk and be available for public inspection. Said opinion and recommendation shall be placed on the agenda for the next special or submitted to city Council at a regular City Council meeting, at which time the City Council shall determine whether to adopt the same. Any Councilmember having a personal or financial interest in whose conduct or circumstance is the subject of the opinion shall refrain from participating in any deliberations of the City Council regarding the same opinion. (f) The City Attorney shall provide legal advice to the Review Board and shall prepare and execute all advisory opinions and recommendations of the review board. (g) Compliance with the applicable provisions of the Charter and Code and the provisions of state law, as well as decisions regarding the existence or nonexistence of conflicts of interest and the appropriate actions to be taken in relation thereto, shall be the responsibility of each individual Councilmember or board and commission member, except as provided in Subparagraph 2- 568(c)(1)(g). An opinion adopted by the City Council under Subsection (e) of this Section shall constitute an affirmative defense to any civil or criminal action or any other sanction against a Councilmember or board or commission member acting in reliance thereon. Packet Pg. 115 - 5 - Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 116 - 1 - ORDINANCE NO. 145, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING SECTION 2-568(a) OF THE CODE OF THE CITY OF FORT COLLINS PERTAINING TO DEFINITIONS APPLICABLE TO ETHICAL RULES OF CONDUCT WHEREAS, Section 2-568(a) of the City Code currently defines a number of words and terms as they are used in the ethical rules of conduct set out in Section 2-568(c) and as they are used in City Code Section 2-569, which establishes the Ethics Review Board (the “Review Board”) and sets out the procedures under which the Review Board operates; and WHEREAS, after reviewing the definitions contained in Section 2-568 of the City Code, the Review Board believes that several new definitions should be added to this Section to clarify the meaning of “personal interest” as this term is used in Section 9(a) of Article IV of the City Charter and in Section 2-569; and WHEREAS, the City Council therefore finds and intends that these new definitions be applied to and used in Section 9 of Article IV of the City Charter to further the purposes of Section 9 and to facilitate the enforcement of its provisions. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that Section 2-568(a) of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 2-568. Ethical rules of conduct. (a) Definitions. The following words, terms and phrases, when used in this Section, Section 2-569 and in Section 9 of the Charter Article IV, shall have the following meanings: (1) Benefit shall mean an advantage or gain. (12) Board and commission member shall mean a member of any appointive board or commission of the City. (23) Confidential information or information received in confidence shall mean: a. Information contained in any writing that may properly be withheld from public inspection under the provisions of the Colorado Open Records Act and that is marked "confidential" when provided to the officer or employee; b. All information exchanged or discussed in any executive session properly convened under § 2-31 or 2-71 of the Code, except to the extent that such information is also contained in a public record available to the general public under the provisions of the Colorado Open Records Act; or Packet Pg. 117 - 2 - c. All communications between attorneys representing the City and officers or employees of the City that are subject to the attorney-client privilege, whether oral or written, unless the privilege has been waived. (34) Councilmember shall mean a member of the City Council. (5) Different in kind from that experienced by the general public shall mean of a different type or nature not shared by the public generally and that is not merely different in degree from that experienced by the public generally. (6) Direct shall mean resulting immediately and proximately from the circumstances and not from an intervening cause. (7) Detriment shall mean disadvantage, injury, damage or loss. (8) Financial interest shall have the meaning given to this term in Section 9(a) of Charter Article IV, which states: Financial interest means any interest equated with money or its equivalent. Financial interest shall not include: a. the interest that an officer, employee or relative has as an employee of a business, or as a holder of an ownership interest in such business, in a decision of any public body, when the decision financially benefits or otherwise affects such business but entails no foreseeable, measurable financial benefit to the officer, employee or relative; b. the interest that an officer, employee or relative has as a nonsalaried officer or member of a nonprofit corporation or association or of an educational, religious, charitable, fraternal or civic organization in the holdings of such corporation, association or organization; c. the interest that an officer, employee or relative has as a recipient of public services when such services are generally provided by the city on the same terms and conditions to all similarly situated citizens, regardless of whether such recipient is an officer, employee or relative; d. the interest that an officer, employee or relative has as a recipient of a commercially reasonable loan made in the ordinary course of business by a lending institution, in such lending institution; e. the interest that an officer, employee or relative has as a shareholder in a mutual or common investment fund in the holdings of such fund unless the shareholder actively participates in the management of such fund; Packet Pg. 118 - 3 - f. the interest that an officer, employee or relative has as a policyholder in an insurance company, a depositor in a duly established savings association or bank, or a similar interest-holder, unless the discretionary act of such person, as an officer or employee, could immediately, definitely and measurably affect the value of such policy, deposit or similar interest; g. the interest that an officer, employee or relative has as an owner of government-issued securities unless the discretionary act of such owner, as an officer or employee, could immediately, definitely and measurably affect the value of such securities; or h. the interest that an officer or employee has in the compensation received from the city for personal services provided to the city as an officer or employee. (49) Officer or employee shall mean any person holding a position by election, appointment or employment in the service of the City, whether part-time or full- time, including any member of the City Council and any member of any authority, board, committee or commission of the City, other than an authority that is: a. Established under the provisions of the Colorado Revised Statutes; b. Governed by state statutory rules of ethical conduct; and c. Expressly exempted from the provisions of Article IV of the City Charter by ordinance of the City Council. (10) Personal interest shall have the meaning given to this term in Section 9(a) of the Charter Article IV, which states: Personal interest means any interest (other than a financial interest) by reason of which an officer or employee, or a relative of such officer or employee, would, in the judgment of a reasonably prudent person, realize or experience some direct and substantial benefit or detriment different in kind from that experienced by the general public. Personal interest shall not include: a. the interest that an officer, employee or relative has as a member of a board, commission, committee, or authority of another governmental entity or of a nonprofit corporation or association or of an educational, religious, charitable, fraternal, or civic organization; Packet Pg. 119 - 4 - b. the interest that an officer, employee or relative has in the receipt of public services when such services are generally provided by the city on the same terms and conditions to all similarly situated citizens; or c. the interest that an officer or employee has in the compensation, benefits, or terms and conditions of his or her employment with the city. (11) Public body shall have the meaning given to this term in Section 9(a) of Charter Article IV, which states: Public body means the Council or any authority, board, committee, commission, service area, department or office of the city. (12) Public services shall mean city services provided to or made available for the public’s benefit. (13) Relative shall have the meaning given to this word in Section 9(a) of Charter Article IV, which states: Relative means the spouse or minor child of the officer or employee, any person claimed by the officer or employee as a dependent for income tax purposes, or any person residing in and sharing with the officer or employee the expenses of the household. (14) Similarly situated citizens shall mean citizens in like circumstances having comparable legal rights and obligations. (15) Substantial shall mean more than nominal in value, degree, amount or extent. . . . Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 120 - 5 - Passed and adopted on final reading on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 121 Agenda Item 10 Item # 10 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Ellen Switzer, Utilities Financial Operations Manager Lance Smith, Strategic Financial Planning Manager Kevin Gertig, Utilities Executive Director SUBJECT First Reading of Ordinance No. 146, 2014, Revising Chapter 26 of the City Code Regarding Payments in Lieu of Taxes and Franchise Fees, and Specifying that the Operation and Maintenance of the Street Lighting System is an In Kind Payment by the Light & Power Fund in Lieu of Taxes and Franchise Fees. EXECUTIVE SUMMARY The purpose of this item is to codify the longstanding City policy and practice whereby the Light & Power Fund has been responsible for providing municipal street lighting as an in-kind payment to the General Fund as part of the Electric Utility’s payment in lieu of taxes and franchise fees. The Ordinance also revises the language related to the Water and Wastewater Funds’ required 6% payment to the General Fund to clarify that this is a payment in lieu of taxes and franchise fees (as opposed to just a payment in lieu of taxes). This change is consistent with Article V, Section 23 of the City Charter and with the wording used in City Code to reference the same fee paid by the Light & Power Fund. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. BACKGROUND / DISCUSSION Prior to 1986 the operation and maintenance costs related to street lighting were paid by the City’s General Fund. In 1986, City Council determined that the Electric Utility should assume fiscal responsibility for operating and maintaining the street lighting system. Ordinance No. 095, 1986 deleted the municipal street lighting rate schedule from the City Code and street lighting costs were no longer billed to the General Fund. The City Council in 1986 deemed this change to be consistent with the then-current Charter, which stated that the utility was responsible for the “designing, construction, reconstruction, addition, repair, replacement, maintenance, supervision, and operation of the water and light plants, and the street lighting system and equipment.” The Agenda Item Summary presented with Ordinance No. 095, 1986 referenced this expense as an additional payment in lieu of taxes. In 1987, voters approved changes to the City Charter which eliminated the specific duties of many departments. At that time, all references to which department or fund bore the responsibility for street lighting were removed from the Charter. The Charter change was not intended to change the Electric Utility’s responsibility for the street lighting system, but rather to remove the specific codified list of duties and responsibilities for various funds and departments from the Charter to allow more administrative flexibility. The Charter has been silent on street lighting since 1987. The Light & Power Fund has maintained fiscal responsibility for the street lighting system since 1986. In addition, City Council has set the Light & Power Fund’s cash payment in lieu of taxes and franchise fees at 6% of the Fund’s operating revenues. (The cash payment was increased from 5% in 1989.) The proposed Packet Pg. 122 Agenda Item 10 Item # 10 Page 2 Ordinance codifies the current practice of requiring the Electric Utility to maintain fiscal responsibility for the operation and maintenance of the street lighting system in addition to payment of taxes and franchise fees. No changes are proposed for the cash payment of 6% of operating revenues. The Ordinance is consistent with the direction given by City Council when adopting Ordinance No. 095, 1986 and does not change any current practice or policy. Since the costs of street lighting have been built into the electric rates since 1986 there will be no rate impact to rate payers related to the Ordinance. The Light & Power Fund, Water Fund, and Wastewater Fund each pay 6% of operating revenues to the General Fund. In the City Code this payment is referred to as a “payment in lieu of taxes and franchise” in the Light and Power Fund, but as a “payment in lieu of taxes” in the Water and Wastewater Funds. The City Charter at Article V, Section 23 characterizes the payments as “payment to the general fund in lieu of taxes and franchise fees”. The omission of the reference to franchise fees appears to have been inadvertent. This Ordinance also changes the wording in the Water and Wastewater Funds to be consistent with the Charter and with similar references to the same payments by the Light & Power Fund in the City Code. The Stormwater Fund is not subject to a payment in lieu of taxes and franchise fees, so no corresponding update is required to that portion of the City Code. FINANCIAL / ECONOMIC IMPACTS In 2013, the cost of operating and maintaining the street light system totaled $1.3 million. The costs of street lighting have been built into the electric cost of service and electric rates since 1986, and the current request to amend the City Code under this Ordinance will have no rate impact. Payments in lieu of taxes and franchise fees vary among Colorado cities and throughout the country as do in kind services. The amounts paid to the General Fund by the Light & Power, Water, and Wastewater Funds are within normal ranges. A 2012 survey of the fees and free services is attached for reference. ENVIRONMENTAL IMPACTS None identified. BOARD / COMMISSION RECOMMENDATION Since there are no policy changes proposed, and this Ordinance substantially addresses issues of clarification of existing practices, this item was not reviewed by the Energy or Water Boards. PUBLIC OUTREACH Out-of-city customers were notified of the proposed ordinance and a public notice was issued in the Coloradoan. ATTACHMENTS 1. Survey of Municipalities (PDF) 2. Ordinance No. 095, 1986 (PDF) Packet Pg. 123 ATTACHMENT 1 Packet Pg. 124 Attachment10.1: Survey of Municipalities (2435 : PILOTs / Street Lighting Revision) Packet Pg. 125 Attachment10.1: Survey of Municipalities (2435 : PILOTs / Street Lighting Revision) Packet Pg. 126 Attachment10.1: Survey of Municipalities (2435 : PILOTs / Street Lighting Revision) Packet Pg. 127 Attachment10.1: Survey of Municipalities (2435 : PILOTs / Street Lighting Revision) ATTACHMENT 2 Packet Pg. 128 Attachment10.2: Ordinance No. 095, 1986 (2435 : PILOTs / Street Lighting Revision) Packet Pg. 129 Attachment10.2: Ordinance No. 095, 1986 (2435 : PILOTs / Street Lighting Revision) Packet Pg. 130 Attachment10.2: Ordinance No. 095, 1986 (2435 : PILOTs / Street Lighting Revision) - 1 - ORDINANCE NO. 146, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS REVISING CHAPTER 26 OF THE CODE OF THE CITY OF FORT COLLINS REGARDING PAYMENTS IN LIEU OF TAXES AND FRANCHISE FEES, AND SPECIFYING THAT THE OPERATION AND MAINTENANCE OF THE STREET LIGHTING SYSTEM IS AN IN KIND PAYMENT BY THE LIGHT & POWER FUND IN LIEU OF TAXES AND FRANCHISE FEES WHEREAS, prior to July 1, 1986, the operation and maintenance costs related to the City’s street lighting system were paid by the City’s General Fund; and WHEREAS, on July 1, 1986, City Council adopted Ordinance No. 095, 1986, which removed the municipal street lighting rate schedule from City Code and stopped internal billing of street lighting costs to the General Fund; and WHEREAS, City Council at the time determined it was consistent with Article IX, Section 2 (B) of City Charter, as it existed in 1986, for the Electric Utility to assume fiscal responsibility for operating and maintaining the street lighting system; and WHEREAS, the agenda materials accompanying Ordinance No. 095, 1986, characterized the shift in fiscal obligation as an additional payment by the Electric Utility in lieu of taxes; and WHEREAS, voters in the City approved City Charter revisions in 1987 that eliminated the specific duties of many City departments and created broader administrative flexibility in fund and department management; and WHEREAS, in streamlining the statements of department’s duties, the 1987 Charter revisions also removed any reference to which department(s) or fund(s) bore responsibility for street lighting costs; and WHEREAS, since 1987, the Light & Power Fund has maintained fiscal responsibility for the street lighting system, and the costs of street lighting have been incorporated into the electric rates paid by customers of the Electric Utility; and WHEREAS, City Council has established, pursuant to Article V, Section 23 and Article XII, Section 6 of the City Charter, that an annual cash payment in lieu of taxes and franchise fees is owed by the Light & Power Fund, Water Fund, and Wastewater Fund in the amount of 6% of the operating revenues in each fund; and WHEREAS, staff recommends clarifying descriptions of the annual operating revenues payment made by the Water Fund in Article III, Chapter 26 of the City Code, and by the Wastewater Fund in Article IV, Chapter 26 to be consistent with how the annual Light & Power Fund payment is described in Article VI, Chapter 26, to reflect that such funds are collected in lieu of taxes and franchise fees; and WHEREAS, staff also recommends updating the City Code to codify the longstanding custom and practice of the Electric Utility bearing fiscal responsibility for the operation and Packet Pg. 131 - 2 - maintenance of the street lighting system in addition its annual payment in lieu of taxes and franchise fees; and WHEREAS, this revision to the City Code will not affect the rates paid by customers of the Electric Utility nor increase the amount of operating revenues paid by the Light & Power Fund in lieu of taxes and franchise fees. NOW, THEREFORE BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That updating descriptions in the City Code to reflect the consistent purposes for which the Light & Power Fund, Water Fund, and Wastewater Fund designate a portion of operating revenues for payments in lieu of taxes and franchise fees is in the best interest of the customers of the respective utility services and of the City. Section 2. That amending the City Code to reflect the custom and practice of providing street lighting system operation and maintenance as an additional in-kind component of the franchise fee paid by the Electric Utility in its annual payments in lieu of taxes and franchise fees is in the best interest of the customers of the Electric Utility and of the City. Section 3. That Section 26-118(c) of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-118. Determination of user rates. . . . (c) In addition to the monthly service charges set forth in §§ 26-126 and 26-127, there shall be a charge for payments in lieu of taxes and franchise. The charge shall be six and zero-tenths (6.0) percent of said monthly service charges billed pursuant to said §§ 26-126 and 26-127. . . . Section 4. That Section 26-277(c) of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-277. Determination of user rates; annual adjustment. . . . (c) In addition to the monthly service charges set forth in §§ 26-279, 26-280 and 26- 282, there shall be a charge for payments in lieu of taxes and franchise. The charge shall be six and zero-tenths (6.0) percent of said monthly service charges billed pursuant to said §§ 26-279, 26-280 and 26-282. Packet Pg. 132 - 3 - Section 5. That Section 26-392 of the Code of the City of Fort Collins is hereby amended by the addition of a new Subsection (e) to read as follows: Sec. 26-392. Utility considered a City-owned enterprise. (e) The enterprise shall annually operate and maintain the City street lighting system as an additional payment in lieu of franchise fees otherwise paid by the enterprise pursuant to Article V, Section 23 of the City Charter. Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 133 Agenda Item 11 Item # 11 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Lance Smith, Strategic Financial Planning Manager SUBJECT Items Relating to City Code Clarifications for Plant Investment Fees. EXECUTIVE SUMMARY A. First Reading of Ordinance No. 147, 2014, Amending Chapter 26 of the City Code to Revise Water Plant Investment Fees, Excess Water Surcharge Rates and Raw Water Requirements for Meters Larger Than Two Inches in Size. B. First Reading of Ordinance No. 148, 2014, Amending Section 26-284 of the City Code to Clarify the Calculation of Infiltration and Inflow in Determining Sewer Plant Investment Fees. The purpose of this item is to address several sections of Chapter 26 of the City Code relating to how plant investment fees are calculated and when the Excess Water Use Surcharge is applicable. These changes do not impact the amount charged for plant investment fees or the Excess Water Use Surcharge but rather seek to clarify the exact calculation of the fees. STAFF RECOMMENDATION Staff recommends adoption of these ordinances on First Reading. BACKGROUND / DISCUSSION A. Proposed Changes on Water Plant Investment Fees, Excess Water Use Surcharge Rates, and Raw Water Requirements for Meters Larger than Two Inches The current City Code Section 26-128 (5) paragraph (b) suggests that plant investment fees for water connections larger than two inches are negotiated with the Utilities Executive Director. Plant investment fees are not negotiated but rather determined by a cost allocation method. The plant investment fees are determined based on the peak day demand of the connection and a gallon per day charge of $4.43. The change proposed here makes this explicit in the Code so that a customer may calculate the fee independently and does not reflect any change in the current plant investment fee charge. The current City Code Section 26-129 paragraph (c) refers to the “surcharge” which may not be descriptive enough to a customer to understand what surcharge is being referenced. The proposed changes make it clear that the surcharge is the Excess Water Use surcharge. The same clarification is being proposed for Sec 26- 149 paragraphs (d) and (e). In 2013 a change was made to the City Code to recognize that water taps larger than two inches are unique enough to the development that the fees and allotments associated with such taps should be determined on a development specific basis using a standard allocation methodology. The three inch meter size was eliminated from the table in Sec. 26-128 paragraph (5) at that time. The three inch meter size should have also been eliminated from the table in Sec. 26-129 paragraph (c) (3) and Sec. 26-149 paragraph (b) at that time. This ordinance addresses these issues. Sec. 26-149 paragraph (c) should have been modified as well. Packet Pg. 134 Agenda Item 11 Item # 11 Page 2 Modification of Sec. 26-149 paragraph (c) may change the amount of raw water required for service from the fixed amount currently listed in the table. The new amount may be higher or lower than the current fixed requirement depending on the specific development needs for water. B. Clarifying the Calculation of Infiltration and Inflow in Sewer Plant Investment Fees The current City Code Section 26-284 paragraph (d) presents a formula for calculating the plant investment fees associated with Category H non-residential development. The formula references the infiltration and inflow (I&I flow) but does not state what that value is for purposes of the calculation. This Ordinance will allow a customer to calculate the associated plant investment fees directly by stating that the I&I Flow is equal to 46.5% of the site flow. FINANCIAL / ECONOMIC IMPACTS The proposed changes will not have any financial impact on customers as these changes are only intended to clarify how current charges are calculated. ENVIRONMENTAL IMPACTS The proposed changes will not have any environmental impacts. BOARD / COMMISSION RECOMMENDATION Because these ordinances are only intended to clarify existing language these ordinances were not presented to any Boards for their consideration. PUBLIC OUTREACH No public outreach has been done with respect to these ordinances. Packet Pg. 135 - 1 - ORDINANCE NO. 147, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING CHAPTER 26 OF THE CODE OF THE CITY OF FORT COLLINS TO REVISE WATER PLANT INVESTMENT FEES, EXCESS WATER SURCHARGE RATES, AND RAW WATER REQUIREMENTS FOR METERS LARGER THAN TWO INCHES IN SIZE WHEREAS, the City Council is empowered and directed by Article XII, Section 6, of the City Charter to fix, establish, maintain, and provide for the collection of such rates, fees, or charges for utility services furnished by the City as will produce revenues sufficient to pay the costs, expenses, and other obligations of the water utility, as set forth therein; and WHEREAS, City Code Section 26-120 provides for water plant investment fees to be based on and used for growth-related capital expansion costs of water supply, storage, transmission, treatment and distribution facilities, and related factors; and WHEREAS, City Code Section 26-120 further requires that the City Manager annually review the parameters and rates of the water plant investment fees and also requires that the City Manager present such fees to the City Council for approval no less frequently than biennially; and WHEREAS, City Code Sections 26-128, 26-129, and 26-149 concern various fees, rates, and requirements applicable to water service with meters larger than two inches in size; and WHEREAS, it would be beneficial to revise certain portions of the City Code with respect to two-inch and three-inch meters so that the City Code is consistent in this respect; and WHEREAS, it would be beneficial to set forth a specific calculation for the water plant investment fee for meters larger than two inches in size to ensure equal application of the fee; and WHEREAS, the City Manager and City staff have recommended to the City Council that the following changes be made. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That Section 26-128 of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-128. Schedule C, water plant investment fees. The water plant investment fee prescribed in § 26-120 shall be payable by users both inside and outside of the City, as follows: Packet Pg. 136 - 2 - … (5) Nonresidential service: a. Service to all nonresidential taps, including, but not limited to, taps for commercial and industrial service, shall be charged according to the size of the meter pursuant to the following schedule: Meter Size (inches) Nonresidential Plant Investment Fee ¾ $ 7,000 1 19,050 1½ 41,600 2 64,410 b. The fee for all meters larger than two (2) inches shall negotiated with the Utilities Executive Director and shall be based on estimated peak day demand, be calculated by multiplying the estimated peak demand by $4.43 / gallons per day, but shall not be less than the charge for a two-inch meter. Section 2. That Section 26-129 of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-129. Schedule D, miscellaneous fees and charges. … (c) The fees and requirements for raw water shall be as follows: (1) To satisfy raw water requirements (RWR) with in-lieu cash payments, the rate per acre-foot of RWR is sixty-five hundred dollars ($6,500). (2) The surcharge for water used Excess Water Use Surcharge assessed on commercial and irrigation taps when water use is in excess of the applicable annual allotment shall be three dollars and six cents ($3.06) per one thousand (1,000) gallons. (3) The annual water allotment without surcharge, based on the minimum RWR shall be as follows: Packet Pg. 137 - 3 - Meter Size (inches) Annual Allotment (gallons/year) ¾ 293,270 1 977,550 1½ 1,955,110 2 3,128,170 3 4,692,250 Above 32 325,851 gallons per acre foot RWR . . . Section 3. That Section 26-149 of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-149. Raw water requirement; nonresidential service. … (b) The minimum RWR for water meters up to threetwo and zero tenths (32.0) inches in diameter are as follows: Meter Size (inches) RWR (acre-feet) ¾ .90 1.0 3.00 1.5 6.00 2.0 9.60 3.0 14.40 (c) The RWR for customers requiring a meter larger than threetwo and zero tenths (32.0) inches, and for customers requiring two (2) or more meters, shall be determined by multiplying the applicant's estimate of peak annual use, or the total annual allotment for the meter or meters, whichever is greater, by one and ninety-two one-hundredths (1.92), provided that such estimate is first approved and accepted by the Utilities Executive Director. (d) Upon application for a water service permit after March 1, 1984, each applicant who is a nonresidential user shall be assigned an annual allotment of water equal to the greater of the RWR as determined pursuant to this Section and any RWR that was satisfied at the time of application for nonresidential water service. Further, in the event Packet Pg. 138 - 4 - that, pursuant to Subsection (f) below, a nonresidential user submits more raw water than required under the provisions of this Subsection, then the annual allotment shall be determined pursuant to said Subsection (f). When a user uses more water than the annual allotment, as determined by monthly billing records in a given calendar year, a raw water surchargean Excess Water Use Surcharge in the amount prescribed in § 26-129 will be assessed on the volume of water used in excess of the annual allotment. (e) In the event an applicant applying for a nonresidential water service permit has, prior to March 1, 1984, surrendered water rights or otherwise satisfied the requirements of the City under an earlier water development program, then the minimum RWR for that property shall be considered satisfied under this Section. However, such nonresidential user shall be subject to the raw water surchargeExcess Water Use Surcharge when the annual allotment is exceeded. … Section 4. That the amendments to Chapter 26 of the Code of the City of Fort Collins contained herein shall go into effect on January 1, 2015. Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 139 - 1 - ORDINANCE NO. 148, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING SECTION 26-284 OF THE CODE OF THE CITY OF FORT COLLINS TO CLARIFY THE CALCULATION OF INFILTRATION AND INFLOW IN DETERMINING SEWER PLANT INVESTMENT FEES WHEREAS, the City Council is empowered and directed by Article XII, Section 6, of the City Charter to fix, establish, maintain, and provide for the collection of such rates, fees, or charges for utility services furnished by the City as will produce revenues sufficient to pay the costs, expenses, and other obligations of the water utility, as set forth therein; and WHEREAS, City Code Sections 26-284 concerns sewer plant investment fees, which are to be based on and used for growth-related capital expansion costs of wastewater collection, transmission and treatment facilities; and WHEREAS, it would be beneficial to clarify the manner in which the infiltration and inflow factor is calculated for the purpose of sewer plant investment fees in the City Code; and WHEREAS, the City Manager and City staff have recommended to the City Council that the following changes to Section 26-284 be adopted. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That Section 26-284 of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-284. Sewer plant investment fees and surcharges established. … (d) The amount of the plant investment fee and surcharge for each nonresidential surcharged user, users in Category H and any user that is expected to generate greater than its proportionate share of peak day flow at the treatment plant for the applicable category (including both contributed wastewater volume and volume related to infiltration and inflow), shall be calculated utilizing the following formula: SPIF = Site Flow x [Flow$ + (BOD x BOD$ ) + (TSS x TSS$)] + I&I Flow x [Flow$ + (200 mg/l x BOD$) + (250 mg/l x TSS$ )] Where: SPIF = Plant investment fee for Category H users and users discharging wastewater with average concentrations of BOD and/or TSS which exceed those average concentrations which are set forth in § 26-282(b) under Category E- 34 Packet Pg. 140 - 2 - Site Flow = The user's proportionate share of peak day flow at the treatment plant based on site flow discharge from user’s site I&I Flow = That proportionate share of peak day flow due to infiltration and inflow as allocated to user's site flow discharge. I&I Flow is calculated to be 46.5% of Site Flow. Flow$ = $6.26 per gallon (unit cost of facilities attributable to treating wastewater flow) BOD = Average BOD concentration for user category or measured BOD concentration for the user as determined in accordance with Subsection (c) of this Section, but not less than 200 mg/l BOD$ = $0.0152 per mg/l (unit cost of facilities attributable to treating BOD) TSS = Average TSS concentration for user category or measured TSS concentration for the user as determined in accordance with Subsection (c) of this Section, but not less than 250 mg/l TSS$ = $0.0122 per mg/l (unit cost of facilities attributable to treating TSS) … Section 2. That the amendments to Section 26-284 of the Code of the City of Fort Collins contained herein shall go into effect on January 1, 2015. Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 141 - 3 - Passed and adopted on final reading on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 142 Agenda Item 12 Item # 12 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Josh Birks, Economic Health Director Darin Atteberry, City Manager Mike Beckstead, Chief Financial Officer SUBJECT First Reading of Ordinance No. 149, 2014 Approving a First Amendment to the Agreement with Woodward, Inc. EXECUTIVE SUMMARY The purpose of this item is to amend the Agreement with Woodward, Inc. and the Fort Collins Downtown Development Authority by changing a key date in the requirement of the City Manager to present City Council with a package to renew the Building on Basics dedicated sales tax including funding for Lincoln Boulevard Improvements. On April 2, 2013, City Council approved (6-1; Nays: Ohlson) on Second Reading the “Agreement with Woodward, Inc.” relating to the relocation and construction of the company’s headquarters and expanding its manufacturing and office facilities (the “Agreement”). The Fort Collins Downtown Development Authority (“DDA”) is also a party to the Agreement. The Agreement authorized a business assistance package that includes the reimbursement and rebate of taxes and contemplates construction of several public improvement projects. One aspect of the Agreement (Section 4.1(d)) relates specifically to improvements to Lincoln Boulevard. The Agreement contemplates that the City Manager will submit a package for City Council’s consideration that would help fund these improvements “by a renewal of the Building on Basics dedicated sales tax…on a schedule to allow consideration of that measure by voters no later than November 2014.” The current schedule contemplates consideration of a renewal of the Building on Basics dedicated sales tax in April 2015. Therefore, the Agreement requires amendment to reflect the new schedule and date. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. BACKGROUND / DISCUSSION Woodward is a global company and has been in Fort Collins since 1955. It has continued to experience growth in sales and breadth of market of its products. The company serves two major market sectors including aerospace and energy. It is Woodward’s intent to expand their facilities to meet the growing demand for their products and to expand in northern Colorado. Over time, the Link-N-Greens site will be home to its international headquarters and for the global headquarters of up to two of its businesses: Industrial Turbomachinery Systems (ITS) and Engine Systems (ES). Woodward has outgrown its Drake facility and needs to expand its overall facilities to accommodate continued growth. Woodward is developing a campus of office, manufacturing, and testing facilities on the Link-N-Greens site. The campus will include a collection of buildings with parking areas served by private drives. In Agenda Item 12 Item # 12 Page 2 conjunction with the campus, a retail and commercial center is proposed to be located in the southeast corner of the site. Approximately 70,000 square feet of office and commercial development is planned for this area. The combined building footprint of the industrial/manufacturing facility is projected to be 600,500 square feet in buildings ranging from one to three stories. A future phase of construction will contain an unknown amount of commercial development including service based restaurant, retail and office for the benefit of the general public and Woodward employees. On April 2, 2013, City Council approved the Agreement on Second Reading (6-1, Nays: Ohlson). The Agreement authorizes a business assistance package that includes the reimbursement and rebate of taxes and contemplates construction of several public improvements. One aspect of the Agreement (Section 4.1(d)) relates specifically to improvements to Lincoln Boulevard. The intent of the improvements is to transform the standard street cross section into a boulevard similar to Mountain Avenue west of Old Town. The specific details of these improvements are not set but may include construction of new or improved street and intersections, sidewalks and benches, bicycle lanes and racks, trees and other landscaping, gateway features, transit related infrastructure, storm water improvements, directional signage, public art and other project for a positive neighborhood image, and interpretive features of culture and history relevant to the area. The Agreement stipulates that the City must use reasonable best efforts to complete a study of possible designs for the Lincoln Boulevard Improvements no later than April 30, 2014. This study has been completed and a final design was reviewed by City Council during work session on April 22, 2014 and approved as elements of the comprehensive plan of the City on May 20, 2014. In addition, the Agreement contemplates the City Manager submitting a package for City Council’s consideration that would fund the Lincoln Boulevard Improvements “by renewal of the Building on Basics dedicated sales tax…on a schedule to allow consideration of that measure by voters no later than November 2014.” The current schedule contemplates consideration of a renewal of the Building on Basics dedicated sales tax to be submitted for voter consideration in April 2015. The proposed amendment changes the “November 2014” deadline to “April 2015” to reflect the current schedule. FINANCIAL / ECONOMIC IMPACTS None. - 1 - ORDINANCE NO. 149, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROVING A FIRST AMENDMENT TO THE AGREEMENT WITH WOODWARD, INC. WHEREAS, the City, the Fort Collins, Colorado Downtown Development Authority (the “Authority”), and Woodward, Inc. (“Woodward”) previously entered into that certain “Agreement with Woodward, Inc.,” dated April 16, 2013 (the “Agreement”); and WHEREAS, the Agreement was approved by the City Council by Ordinance No. 055, 2013, on second reading on April 2, 2013; and WHEREAS, the Agreement authorizes a business assistance package from the City and the Authority to Woodward relating to Woodward’s relocation and construction of its company headquarters and the expansion of its manufacturing and office facilities on a new corporate campus site within Fort Collins; and WHEREAS, in Section 4(d) of the Agreement the City agreed to consider in the future the construction of significant public improvements to Lincoln Avenue, which avenue abuts and is adjacent to the campus site Woodward is now developing, referred to as the “Lincoln Boulevard Improvements” in the Agreement (the “Lincoln Boulevard Improvements”); and WHEREAS, in connection with the City’s future consideration of the Lincoln Boulevard Improvements, Section 4(d) of the Agreement also provides that the City Manager will “. . . present a package to the City Council of improvements to be funded by a renewal of the Building on Basics dedicated sales tax, including a portion of the Lincoln Boulevard Improvements valued at approximately $8 million, on a schedule to allow consideration of that measure by the voters no later than November 2014.”; and WHEREAS, the City, the Authority and Woodward now agree that the City Manager does not need to submit the Building on Basics ballot measure to the Council for its consideration until the time needed to place the measure before the voters at the City’s next regular election on April 7, 2015; and WHEREAS, the City, the Authority and Woodward therefore desire to enter into the “First Amendment to Agreement with Woodward, Inc.” attached and incorporated herein as Exhibit “A” (the “First Amendment”) to so amend the Agreement. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that the First Amendment is hereby approved and the Mayor and City Manager are hereby authorized to execute the First Amendment, with such additional terms and conditions as the City Manager, in consultation with the City Attorney, determines to be necessary and appropriate to protect the interests of the City or effectuate the purpose of this Ordinance. - 2 - Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 146 1 FIRST AMENDMENT TO AGREEMENT WITH WOODWARD, INC. THIS FIRST AMENDMENT TO THE AGREEMENT WITH WOODWARD, INC. (the “First Amendment”) is entered into this ___ day of ________, 2014, by and among the City of Fort Collins, Colorado, a home rule municipal corporation (the “City”), the Fort Collins, Colorado Downtown Development Authority, a duly organized and existing downtown development authority under the Constitution and laws of the State of Colorado, including, particularly, Title 31, Article 25, Part 8, Colorado Revised Statutes, as amended (the “Authority”), and Woodward, Inc., a Delaware corporation (“Woodward”). RECITALS WHEREAS, the City, the Authority and Woodward have previously entered into that certain “Agreement with Woodward, Inc.” dated April 16, 2013 (the “Agreement”); and WHEREAS, the Agreement was approved by the Fort Collins City Council (the “Council”) by Ordinance No. 055, 2013, on second reading on April 2, 2013; and WHEREAS, the Agreement authorizes a business assistance package from the City and the Authority to Woodward relating to Woodward’s relocation and construction of its company headquarters and the expansion of its manufacturing and office facilities on a new corporate campus site in Fort Collins; and WHEREAS, included in the Agreement is the City’s agreement in Section 4(d) of the Agreement to consider in the future the construction of significant public improvements to Lincoln Avenue, which avenue abuts and is adjacent to the campus site Woodward is now developing, referred to as the “Lincoln Boulevard Improvements” in the Agreement (the “Lincoln Boulevard Improvements”); and WHEREAS, in connection with the City’s future consideration of the Lincoln Boulevard Improvements, Section 4(d) of the Agreement also provides that the City Manager will “. . . present a package to the City Council of improvements to be funded by a renewal of the Building on Basics dedicated sales tax, including a portion of the Lincoln Boulevard Improvements valued at approximately $8 million, on a schedule to allow consideration of that measure by the voters no later than November 2014.”; and WHEREAS, the City, the Authority and Woodward now agree that the City Manager does not need to submit the Building on Basics ballot measure to the Council for its consideration until the time needed to place the measure before the voters at the City’s next regular election on April 7, 2015; and WHEREAS, the City, the Authority and Woodward therefore desire to enter into this First Amendment to so amend the Agreement. EXHIBIT A Packet Pg. 147 Attachment1: Exhibit A (2480 : Woodward Agreement Amendment ORD) 2 NOW, THEREFORE, in consideration of the promises contained in this First Amendment, and other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties hereto agree as follows: Section 1. That the first sentence of the second paragraph in Section 4(d) of the Agreement is hereby amended to read in full as follows: “In addition, the City Manager agrees to present a package to the City Council of improvements to be funded by a renewal of the Building on Basics dedicated sales tax, including a portion of the Lincoln Boulevard Improvements valued at approximately $8 million, on a schedule to allow consideration of that measure by the voters at the City’s next regular municipal election on April 7, 2015.” Section 2. That the City, the Authority and Woodward agree that, except as amended herein, all other provisions of the Agreement shall remain unchanged and in full force and effect. IN WITNESS WHEREOF, the City, the Authority and Woodward have executed this First Amendment as of the date first above written. CITY OF FORT COLLINS, COLORADO a municipal corporation By: _______________________________ Karen Weitkunat, Mayor By: _______________________________ Darin A. Atteberry, City Manager Attest: _____________________________ City Clerk Approved as to form: _____________________________ Senior Assistant City Attorney STATE OF COLORADO ) ) ss. COUNTY OF LARIMER ) The foregoing First Amendment to Agreement with Woodward, Inc. was executed before me this ____ day of _____________, 2014, by Karen Weitkunat, as Mayor, by Wanda Nelson, as City Clerk, and by Darin Atteberry, City Manager, of the CITY OF FORT COLLINS, COLORADO, a municipal corporation. Packet Pg. 148 Attachment1: Exhibit A (2480 : Woodward Agreement Amendment ORD) 3 WITNESS my hand and official seal. My commission expires: ______________ ____________________________________ Notary Public THE FORT COLLINS, COLORADO, DOWNTOWN DEVELOPMENT AUTHORITY ________________________________________ Wynne Odell, Chairperson (SEAL) Attest: ___________________________ Janet Bramhall, Secretary STATE OF COLORADO ) ) ss. COUNTY OF LARIMER ) The foregoing First Amendment to Agreement with Woodward, Inc. was executed before me this ____ day of _____________, 2014, by Wynne Odell, as Chairperson, and by Janet Bramhall as Secretary of THE FORT COLLINS, COLORADO, DOWNTOWN DEVELOPMENT AUTHORITY. WITNESS my hand and official seal. My commission expires: ______________ ____________________________________ Notary Public WOODWARD, INC. a Delaware corporation By: __________________________________ Tom Gendron, Chairman and CEO Packet Pg. 149 Attachment1: Exhibit A (2480 : Woodward Agreement Amendment ORD) 4 STATE OF COLORADO ) ) ss. COUNTY OF LARIMER ) The First Second Amendment to Agreement with Woodward, Inc. was executed before me this ____ day of _____________, 2014, by Tom Gendron as Chairman and CEO of WOODWARD, INC. a Delaware corporation. WITNESS my hand and official seal. My commission expires: ______________ ____________________________________ Notary Public Packet Pg. 150 Attachment1: Exhibit A (2480 : Woodward Agreement Amendment ORD) Agenda Item 13 Item # 13 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Patrick Rowe, Real Estate Specialist Kurt Friesen, Director of Park Planning & Development SUBJECT First Reading of Ordinance No. 150, 2014, Vacating a City Trail Easement and Any Associated Rights on Colorado State University Property Between Centre Avenue and Bay Road. EXECUTIVE SUMMARY The purpose of this item is to vacate a trail easement, located between Centre Avenue and Bay Road, that was obtained from Colorado State University Research Foundation (CSURF) in 1979 (including any prescriptive rights that may exist). This segment of the Spring Creek trail was replaced with a new and superior alignment in 2013 from an additional trail easement obtained from Colorado State University (CSU) and Colorado State University Research Foundation. STAFF RECOMMENDATION Staff recommends the adoption of the Ordinance on First Reading. BACKGROUND / DISCUSSION In 2013, the City obtained an easement for a new trail alignment from CSU and CSURF between Centre Avenue and Bay Road south of Prospect Road. This alignment replaced a previous trail easement that was obtained from CSURF in 1979, though a majority of the old trail was built outside of the area specified by the easement agreement. A different alignment was selected for the replacement trail in order to place the trail closer to Spring Creek and provide a superior connection to the Mason Trail. Additionally, the previous trail was constructed of asphalt and was inferior in its condition and size as compared to current City trail standards; thus the new trail provided an opportunity to reconstruct the trail according to current standards. In the course of replacing the previous 1979 trail, City staff agreed to seek the vacation of the City’s prior alignments, both the legal easement and the alignment as actually constructed (again, as the prior trail was not constructed within its easement). No utilities were permitted within the prior trail easement, thus none were notified of the proposed vacation. FINANCIAL / ECONOMIC IMPACTS There are no financial impacts associated with the vacation of this trail easement. Additionally, no consideration was paid for the replacement trail easements: only a nominal, $550 administrative charge was paid to CSU. Agenda Item 13 Item # 13 Page 2 ENVIRONMENTAL IMPACTS There are no environmental impacts associated with the vacation of the trail alignments. ATTACHMENTS 1. Location Map (PDF) ATTACHMENT 1 Packet Pg. 153 Attachment13.1: Location Map (2364 : Vacation of Trail Easement on CSU) - 1 - ORDINANCE NO. 150, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS VACATING A CITY TRAIL EASEMENT AND ANY ASSOCIATED RIGHTS ON COLORADO STATE UNIVERSITY PROPERTY BETWEEN CENTRE AVENUE AND BAY ROAD WHEREAS, in 1979 the CSU Research Foundation (“CSURF”) granted the City an easement for open space use, including installation and maintenance of bike and pedestrian trails (the “1979 Easement”), on property owned by CSURF between Centre Avenue and Bay Road (the “CSURF Property”); and WHEREAS, a copy of the 1979 Easement is attached and incorporate herein as Exhibit “A”; and WHEREAS, the City then constructed a section of the Spring Creek Trail on the CSURF Property, but most of the trail was built outside the 1979 Easement; and WHEREAS, in 2013 CSURF conveyed the CSURF Property to the Board of Governors of the Colorado State University System, acting by and through Colorado State University (“CSU”); and WHEREAS, in 2013, the City acquired a new trail easement from CSU and CSURF in a different location to provide a better connection between the Spring Creek Trail and the Mason Trail, and the old trail improvements were removed; and WHEREAS, the City has no further need for the 1979 Easement; and WHEREAS City staff is recommending that the 1979 Easement be vacated, and that the City also vacate and abandon any associated rights in the CSURF Property that the City may have acquired through construction of the former trail alignment outside the 1979 Easement; and WHEREAS, such vacation is in the best interests of the City. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the 1979 Easement, more particularly described on Exhibit “A”, is hereby vacated, terminated and abandoned, along with any easement or other property rights the City may have acquired through construction of the former trail alignment pursuant to the 1979 Easement but outside the area described in the 1979 Easement. Section 2. That the Mayor is hereby authorized to execute such documents as the City Manager, in consultation with the City Attorney, determines to be reasonable and appropriate to further document the vacation, termination and abandonment of the easement and other property rights as described in this Ordinance. - 2 - Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 155 EXHIBIT A Packet Pg. 156 Attachment1: Exhibit A (2407 : Vacation of Trail Easement on CSU - ORD) Packet Pg. 157 Attachment1: Exhibit A (2407 : Vacation of Trail Easement on CSU - ORD) Packet Pg. 158 Attachment1: Exhibit A (2407 : Vacation of Trail Easement on CSU - ORD) Packet Pg. 159 Attachment1: Exhibit A (2407 : Vacation of Trail Easement on CSU - ORD) Packet Pg. 160 Attachment1: Exhibit A (2407 : Vacation of Trail Easement on CSU - ORD) Packet Pg. 161 Attachment1: Exhibit A (2407 : Vacation of Trail Easement on CSU - ORD) Packet Pg. 162 Attachment1: Exhibit A (2407 : Vacation of Trail Easement on CSU - ORD) Packet Pg. 163 Attachment1: Exhibit A (2407 : Vacation of Trail Easement on CSU - ORD) Agenda Item 14 Item # 14 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Janet Miller, Human Resources Director SUBJECT Resolution 2014-096 Adopting an Updated Process for City Council Evaluation of the Performance of the City Manager, City Attorney and Municipal Judge. EXECUTIVE SUMMARY The purpose of this item is to modify the performance evaluation process for the City Manager, City Attorney and Municipal Judge (Employees) to allow for flexibility in the methods used to gather input from Councilmembers for the annual performance review and to remove the requirement for a separate meeting with the Mayor, Mayor Pro Tem and each Employee to discuss the Employee’s compensation and benefits. STAFF RECOMMENDATION Staff recommends adoption of the Resolution. BACKGROUND / DISCUSSION Each year, Council conducts a formal performance evaluation of the City Manager, City Attorney and Municipal Judge (Employees). The current process is outlined in Resolution 2012-091 and requires that a “form” be developed and distributed to Councilmembers, that the “form” be returned to the Human Resources Director and summarized prior to the performance evaluation discussion with each Employee. The proposed modification to the process used by the City Manager and City Attorney allows for a designated facilitator to interview each Councilmember, gather input and provide a summary report to all Councilmembers and to the City Manager and the City Attorney. Additionally, it eliminates the requirement that the Mayor and Mayor Pro Tem hold a separate meeting to discuss compensation and benefits with the Employees prior to Council’s discussion of these items. Finally, this Resolution removes specific reference to the Human Resources “Director” as the individual who provides support throughout this process and changes this reference to the Human Resources “Department”. This allows appropriate staff within the department to assist with this process. Packet Pg. 164 - 1 - RESOLUTION 2014-096 OF THE COUNCIL OF THE CITY OF FORT COLLINS ADOPTING AN UPDATED PROCESS FOR CITY COUNCIL EVALUATION OF THE PERFORMANCE OF THE CITY MANAGER, CITY ATTORNEY AND MUNICIPAL JUDGE WHEREAS, the City Manager, City Attorney and Municipal Judge are appointed by the City Council under the provisions of the City Charter; and WHEREAS, the Municipal Judge is appointed for a two-year term, and the City Manager and City Attorney serve terms of indefinite duration; and WHEREAS, the City Council is responsible for supervising the performance of all three of these employees and fixing their compensation; and WHEREAS, it is essential that these employees perform their duties with integrity, professionalism and effectiveness; and WHEREAS, the City Council meets with these employees semi-annually in executive session to review their performance; and WHEREAS, the more formal review of these employees’ performance (the “Annual Review”) takes place in November of each year; and WHEREAS, the City Council has by resolution developed and approved a process for conducting the annual reviews, which Council has from time to time updated and revised; and WHEREAS, the City Council wishes to supersede all prior resolutions establishing such review procedures, and adopt the procedures set forth below, which revise that process to allow the use of facilitation services to assist with the gathering and exchange of information related to the Annual Reviews. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS that the annual, formal evaluation of the City Manager, City Attorney and Municipal Judge shall be conducted in accordance with the following guidelines: Section 1. The annual, formal evaluation of the City Manager and City Attorney (the “Employees”) shall be conducted as follows: A. Each year, a form for evaluation of each Employee’s performance, based on the Employee’s job duties, shall be prepared by the Human Resources DirectorDepartment in consultation with the Mayor, Mayor Pro Tem and the Employees. That form shall be distributed to each Councilmember no less than twenty (20) days prior to the date of the Employee's annual review. Alternatively, if the Employee has designated a facilitator to assist with the review process, the Packet Pg. 165 - 2 - Employee shall work with the facilitator to prepare questions to be used as the basis for the facilitator’s interview with each Councilmember, which questions shall be provided to each Councilmember no less than twenty (20) days prior to the date of the Employee’s annual review. B. Not later than twenty (20) days prior to the annual review, the Employees shall provide their self-evaluations and additional information they may consider appropriate to the Council. with their self-evaluations, using the form that has been provided to Councilmembers, together with such additional information as they may consider appropriate, and The Employees shall also provide their compensation requests for the ensuing year and any proposed contract revisions. C. No later than ten (10) days prior to the annual review, all Councilmembers shall submit completed evaluation forms to the Human Resources DirectorDepartment. Alternatively, if the Employee has designated a facilitator to assist with the review process, the facilitator shall meet with each Councilmember individually to obtain evaluation input, to allow for completion of a summary report. D. Not later than five (5) days prior to the annual review, the Human Resources DirectorDepartment or designated facilitator, if applicable, shall distribute to all Councilmembers and the appropriate Employee: (1) copies of each completed evaluation form; (2) a composite of all such forms; and (3) any additional information requested by a Councilmember or considered pertinent information regarding the total compensation paid to the persons holding comparable positions of employment in other comparable Colorado Front Range cities; and (4) any other information that may be considered pertinent by the Human Resources DirectorDepartment, the designated facilitatorCouncil or the Employees. E. Prior to Council’s discussion of the proposed compensation and benefits of the Employees, the Mayor and Mayor Pro Tem shall meet with each Employee to discuss the Employee’s compensation request. F. Any change in the compensation of the Employees for the ensuing calendar year shall be approved by the Council by ordinance. That ordinance shall be adopted by the Council in sufficient time for the change in compensation to take effect as of the first full pay period of the ensuing year. In the event that the Council and either Employee agree upon any revisions to the Employee’s employment contract for the ensuing year, a resolution approving such revision(s) shall be adopted upon first or second reading of the ordinance. GF. All Councilmembers, irrespective of their evaluation of the Employees, are encouraged to meet individually with the Employees to discuss their performance. Section 2. The annual, formal evaluation of the Municipal Judge shall be conducted in accordance with the following guidelines: Packet Pg. 166 - 3 - A. A form for evaluation of the Municipal Judge’s performance shall be prepared by the Human Resources DirectorDepartment in consultation with the Mayor, Mayor Pro Tem and Municipal Judge and distributed to each Councilmember no less than twenty (20) calendar days prior to the Municipal Judge’s annual review. The form shall address the Municipal Judge’s judicial duties, administrative duties and Liquor Licensing Authority duties. B. On or before October 15 of each year in which the Municipal Judge is requesting reappointment, Municipal Court prosecutors, defense attorneys who have worked on Municipal Court cases, and attorneys who have appeared at Liquor Licensing Authority meetings shall be provided with copies of an evaluation form and asked to evaluate the performance of the Municipal Judge. The form shall be prepared by the Municipal Judge and the Human Resources DirectorDepartment in consultation with the Mayor and Mayor Pro Tem. The names of all persons submitting completed forms shall be provided to the Municipal Judge, together with a composite of the ratings and comments on the completed forms. C. Not later than twenty (20) days prior to the annual review, the Municipal Judge shall provide to the City Council a self-evaluation containing such information as he or she may consider appropriate, together with his or her compensation request for the ensuing year and any proposed contract revisions. D. Not later than ten (10) days prior to the annual review of the Municipal Judge, all completed evaluation forms and supplemental materials referenced in Section A and B above shall be submitted to the Human Resources DirectorDepartment for distribution to the Council and the Municipal Judge together with: (1) a composite of the forms completed by the Councilmembers; (2) pertinent information regarding the total compensation paid to the municipal judges of other comparable Colorado Front Range cities; and (3) any other information that may be considered pertinent by the Human Resources DirectorDepartment, the Council or the Municipal Judge. E. Throughout each year, “customer comment” forms shall also be made available, through means recommended by the Municipal Judge, to defendants, prosecution and defense witnesses, attorneys and other participants in the Municipal Court and liquor licensing processes. The forms for this purpose shall be prepared by the Municipal Judge in consultation with the Human Resources DirectorDepartment, Mayor and Mayor Pro Tem. All persons completing such forms shall be asked to sign their names if they wish to have their comments forwarded to the City Council for its use in reviewing the performance of the Municipal Judge. They shall also be told that the Human Resources DirectorDepartment and the members of the City Council will be provided with copies of their signed, completed forms, and that the Municipal Judge will receive a composite of all completed forms, together with the names of those persons submitting the forms. A copy of each signed, completed form shall be provided to the City Council on a quarterly basis. At the same time, the Municipal Judge shall receive a composite of the ratings Packet Pg. 167 - 4 - and comments contained in such forms, together with the names of the persons submitting the forms. F. Prior to Council’s discussion of the proposed compensation and benefits of the Employees, the Mayor and Mayor Pro Tem shall meet with the Municipal Judge to discuss the Judge’s compensation request. G. Any change in the compensation of the Municipal Judge for the ensuing calendar year shall be approved by the Council by ordinance. That ordinance shall be adopted by the Council in sufficient time for the change in compensation to take effect as of the first full pay period of the ensuing year. In the event that the Council and the Municipal Judge agree upon any revisions to the Municipal Judge’s employment contract for the ensuing year, a resolution approving such revision(s) shall be adopted upon first or second reading of the ordinance. HG. All Councilmembers, irrespective of their evaluation of the Municipal Judge, are encouraged to meet individually with the Municipal Judge to discuss the Municipal Judge's performance. Passed and adopted at a regular meeting of the Council of the City of Fort Collins this 21st day of October, A.D. 2014. _________________________________ Mayor ATTEST: _____________________________ City Clerk Packet Pg. 168 Agenda Item 15 Item # 15 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Wanda Nelson, City Clerk SUBJECT Items Relating to the Disposable Bags Referendum Petition. EXECUTIVE SUMMARY A. Presentation of a Certified Petition Seeking to Repeal Ordinance No. 099, 2014, Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags. (No Action Needed) AND B. First Reading of Ordinance No. 151, 2014, Repealing Ordinance No. 099, 2014, Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags. OR C. First Reading of Ordinance No. 152, 2014, Calling a Special Election for the Purpose of Submitting to the Registered Electors a Citizen Referendum of Ordinance No. 099, 2014 Amending Chapter 12 of the Code of the City of Fort Collins Establishing Regulations Regarding Disposable Bags OR D. Resolution 2014-097 Referring Ordinance No. 099, 2014, Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags to a Vote of the Registered Electors of the City at the Next Regular Municipal Election on April 7, 2015. On September 29, 2014, a referendum petition was filed with the City Clerk’s Office seeking to repeal Ordinance No. 099, 2014, Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags. On October 10, 2014, the City Clerk determined that the referendum petition was sufficient, absent a protest being filed by the October 9 deadline. Upon presentation to the Council of a petition certified as sufficient for referendum, the operation of the ordinance in question is automatically suspended pending repeal by the Council or final determination by the voters. If the ordinance is not repealed, the Council must refer the ordinance to a vote of the registered electors at the next regular or special City election scheduled for any other purpose. If the Council chooses to refer the measure to the voters, the Council may call a special election for this specific purpose. The earliest practical opportunity for a special election would be January 2015. If the Council chooses to wait until April 2015 to have the voters consider this issue, Resolution 2014-097 is presented to place the issue on the ballot and set the ballot language. If Council opts for a special election on another date, a revised Resolution will be presented to Council on November 4 in conjunction with Second Reading of the Ordinance calling the special election. Packet Pg. 169 Agenda Item 15 Item # 15 Page 2 STAFF RECOMMENDATION Staff recommends Council select among the options provided. FINANCIAL / ECONOMIC IMPACTS The cost for a special election would exceed $100,000. ATTACHMENTS 1. Certification of Referendum Petition (PDF) 2. Ordinance No. 099, 2014 Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags (PDF) 3. Powerpoint presentation (PDF) Packet Pg. 170 ATTACHMENT 1 Packet Pg. 171 Attachment15.1: Certification of Referendum Petition (2455 : Disposable Bags Referendum) ATTACHMENT 2 Packet Pg. 172 Attachment15.2: Ordinance No. 099, 2014 Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags (2455 : Packet Pg. 173 Attachment15.2: Ordinance No. 099, 2014 Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags (2455 : Packet Pg. 174 Attachment15.2: Ordinance No. 099, 2014 Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags (2455 : Packet Pg. 175 Attachment15.2: Ordinance No. 099, 2014 Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags (2455 : Packet Pg. 176 Attachment15.2: Ordinance No. 099, 2014 Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags (2455 : Packet Pg. 177 Attachment15.2: Ordinance No. 099, 2014 Amending Chapter 12 of City Code to Establish Regulations Regarding Disposable Bags (2455 : 1 Timeline Disposable Bag Ordinance Aug Sep Oct 2014 Presentation of Certified Petition Oct. 21 Petition Found Sufficient Oct. 6 Referendum Petition Filed Sep. 29 Form of Petition Approved Sep. 9 Notice of Protest Filed Aug. 26 Adoption of Ord. 99 Aug. 19 ATTACHMENT 3 Packet Pg. 178 Attachment15.3: Powerpoint presentation (2455 : Disposable Bags Referendum) 2 City Council Options • Repeal Ordinance No. 099, 2014 • Refer the Ordinance to the April 7 Regular City election • Refer the Ordinance to a Special Election Packet Pg. 179 Attachment15.3: Powerpoint presentation (2455 : Disposable Bags Referendum) - 1 - ORDINANCE NO. 151, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS REPEALING ORDINANCE NO. 099, 2014, AMENDING CHAPTER 12 OF THE CODE OF THE CITY OF FORT COLLINS TO ESTABLISH REGULATIONS REGARDING DISPOSABLE BAGS WHEREAS, on August 19, 2014, the City Council adopted on second reading Ordinance No. 099, 2014, Amending Chapter 12 of the Code of the City of Fort Collins Regarding Disposable Bags (the “Ordinance”); and WHEREAS, on August 26, 2014, a registered elector commenced referendum proceedings by filing with the City Clerk a notice of protest against the Ordinance; and WHEREAS, on September 9, 2014, the City Clerk approved the form of the referendum petition relating to the Ordinance (the “Referendum Petition”); and WHEREAS, on September 29, 2014, the Referendum Petition was filed with the City Clerk; and WHEREAS, on October 10, 2014, the City Clerk determined that the Referendum Petition did contain the requisite number of signatures (at least 2,604) to warrant further action by the City Council and that such petition was sufficient within the meaning of Article X, Section 5(f) of the City Charter; and WHEREAS, under Article X, Section 2(e) of the City Charter, the presentation to the City Council of a petition certified by the City Clerk as sufficient for referendum automatically suspends the operation of the ordinance in question pending repeal by the Council or final determination by the electors; and WHEREAS, Council has determined that the Ordinance should be repealed. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that Ordinance No. 099, 2014, Amending Chapter 12 of the Code of the City of Fort Collins to Establish Regulations Regarding Disposable Bags, is hereby repealed in its entirety. Packet Pg. 180 - 2 - Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 181 - 1 - ORDINANCE NO. 152, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS CALLING A SPECIAL MUNICIPAL ELECTION FOR THE PURPOSE OF SUBMITTING TO THE REGISTERED ELECTORS A CITIZEN REFERENDUM OF ORDINANCE NO. 099, 2014, AMENDING CHAPTER 12 OF THE CODE OF THE CITY OF FORT COLLINS ESTABLISHING REGULATIONS REGARDING DISPOSABLE BAGS WHEREAS, on August 19, 2014, the City Council adopted on second reading Ordinance No. 099, 2014, Amending Chapter 12 of the Code of the City of Fort Collins Establishing Regulations Regarding Disposable Bags (the “Ordinance”); and WHEREAS, on August 26, 2014, a registered elector commenced referendum proceedings by filing with the City Clerk a notice of protest against the Ordinance; and WHEREAS, on September 9, 2014, the City Clerk approved the form of the referendum petition relating to the Ordinance (the “Referendum Petition”); and WHEREAS, on September 29, 2014, the Referendum Petition was filed with the City Clerk; and WHEREAS, on October 10, 2014, the City Clerk determined that the Referendum Petition contained the requisite number of signatures (at least 2,604) to warrant further action by the City Council, and; WHEREAS, under Article X, Section 2(e) of the City Charter, the presentation to the City Council of a petition certified by the City Clerk as sufficient for referendum automatically suspends the operation of the Ordinance pending repeal by the Council or final determination by the electors; and WHEREAS, under Article X, Section 2(e) of the City Charter, if the Ordinance is not repealed, the Council must refer the same to a vote of the registered electors at the next regular or special city election, or, in the alternative, call a special election for that purpose; and WHEREAS, the Council has, this same date, determined that the Ordinance should not be repealed by the Council but should instead be referred to the registered electors; and WHEREAS, the Council has further determined that it would be in the best interest of the City to call a special municipal election on the date specified below in order to submit the Ordinance to a vote of the registered electors of the City at such special election. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That a Special Municipal Election in the City is hereby called for Tuesday, _________________. Packet Pg. 182 - 2 - Section 2. That the use of an electronic system to record the votes at said election is hereby authorized. Section 3. That, no later than November 4, 2014, the City Manager shall present for Council’s consideration a resolution specifying the form of the ballot language for the above- described referred measure. Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 4th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 183 - 1 - RESOLUTION 2014-097 OF THE COUNCIL OF THE CITY OF FORT COLLINS REFERRING ORDINANCE NO. 099, 2014, AMENDING CHAPTER 12 OF THE CODE OF THE CITY OF FORT COLLINS TO ESTABLISH REGULATIONS REGARDING DISPOSABLE BAGS, TO A VOTE OF THE REGISTERED ELECTORS OF THE CITY AT THE NEXT REGULAR MUNICIPAL ELECTION ON APRIL 7, 2015 WHEREAS, on August 19, 2014, the City Council adopted on second reading Ordinance No. 099, 2014, Amending Chapter 12 of the Code of the City of Fort Collins to Establish Regulations Regarding Disposable Bags (the “Ordinance”); and WHEREAS, on August 26, 2014, a registered elector commenced referendum proceedings by filing with the City Clerk a notice of protest against the Ordinance; and WHEREAS, on September 9, 2014, the City Clerk approved the form of the referendum petition relating to the Ordinance (the “Referendum Petition”); and WHEREAS, on September 29, 2014, the Referendum Petition was filed with the City Clerk; and WHEREAS, on October 10, 2014, the City Clerk determined that the Referendum Petition contained the requisite number of signatures (at least 2,604) to warrant further action by the City Council; and WHEREAS, under Article X, Section 2(e) of the City Charter, the presentation to the City Council of a petition certified by the City Clerk as sufficient for referendum automatically suspends the operation of the Ordinance pending repeal by the Council or final determination by the electors; and WHEREAS, under Article X, Section 2(e) of the City Charter, if the Ordinance is not repealed, the Council must refer the same to a vote of the registered electors at the next regular or special city election, or, in the alternative, call a special election for that purpose; and WHEREAS, the City Council has determined that the Ordinance should not be repealed by the Council but should instead be referred to the registered electors at the next regular City election. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That Ordinance No. 099, 2014, Amending Chapter 12 of the Code of the City of Fort Collins to Establish Regulations Regarding Disposable Bags, is hereby referred to the registered electors of the City of Fort Collins at the next regular city election to be held on Tuesday, April 7, 2015, in the following form: Packet Pg. 184 - 2 - CITIZEN-REFERRED ORDINANCE On August 19, 2014, the City Council adopted on second reading Ordinance No. 099, 2014, Amending Chapter 12 of the Code of the City of Fort Collins to Establish Regulations Regarding Disposable Bags (the “Ordinance”), which established certain regulations regarding the use of disposable bags, including disposable bag charge requirements, and the retention and administration of the disposable bag charge. A petition signed by a sufficient number of registered electors was submitted to the City Clerk seeking the repeal of the Ordinance. On October 21, 2014, the City Council referred the Ordinance to the registered electors of the City at this election, as permitted by the City Charter. Shall the Ordinance be repealed? YES _____ NO _____ Passed and adopted at a regular meeting of the Council of the City of Fort Collins this 21st day of October, A.D. 2014. _________________________________ Mayor ATTEST: _____________________________ City Clerk Packet Pg. 185 Agenda Item 16 Item # 16 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Susie Gordon, Senior Environmental Planner SUBJECT Resolution 2014-098 Establishing Priority Actions to Create Zero Waste in Fort Collins. EXECUTIVE SUMMARY The purpose of this item is to present a resolution that expresses commitment to Fort Collins’ goal of Zero Waste by 2030. The resolution enumerates strategic actions for the City to take now and in coming years, which were developed for the Road to Zero Waste Plan to deliberately and systematically drive progress forward over the next decades. STAFF RECOMMENDATION Staff recommends adoption of the Resolution. BACKGROUND / DISCUSSION Since 1996, the City has measured the amount of waste diverted from landfill disposal through citizens’ efforts to reduce, reuse, recycle, and compost, documenting a gradual increase from 17% to a communitywide level of 64.6% diversion in 2013. Getting to the ultimate goal of Zero Waste will become possible only by laying groundwork now for the type of infrastructure, policies, and incentives that will create a major shift away from outmoded ways of managing waste. Communitywide awareness about reducing waste will be critical in stemming the flow of materials into local landfills. A culture change is called for in the resolution, using education and information to help citizens establish alternative practices in their lives that will help shrink the waste stream and reroute it to beneficial end uses. A priority will be placed on completing the construction of a new Community Recycling Center by early 2016, where a one-stop-shop service will be available to the public for a range of recyclables, including electronic waste, certain household hazardous wastes, and other “hard to recycle” materials. Sustainable Materials Management (SMM) principles developed by the Environmental Protection Agency will be applied to create a systems approach for new regional pathways for discarded materials to take. Among techniques intrinsic to SMM that will be evaluated and applied in Fort Collins, where appropriate, are materials substitution, cleaner technologies, reuse systems, redesigning to reduce toxics pollution and waste, in-situ treatment, waste conversion to clean energy, and reduction of transport in the supply chain. In the process of creating new ways of handling waste materials as commodities, economic opportunities will emerge for job creation and increased local income and sales revenues. By developing a forward-thinking, model SMM environment, Fort Collins can become a destination for advanced companies to become established where Zero Waste standards can be met by local services and programs. The resolution recognizes the valuable role that can be played by the City’s Economic Health program in assisting industrial symbiosis to occur, such as by-product exchange/reuse within regional business clusters. Packet Pg. 186 Agenda Item 16 Item # 16 Page 2 Additional policy measures are called for in the resolution. The City will pursue adoption of a Universal Recycling Ordinance, which will re-tool Fort Collins’ highly successful pay-as-you-throw structure in order to give all residents and businesses access to recycling and organics composting that is convenient and affordable, as well as further prohibitions on types of materials that may be placed in the waste stream. Actions will be explored for programs to recycle disposable containers and packaging materials, including potential requirements for some retailers to offer on-site collection. Critical infrastructure that was identified in 2013’s Road to Zero Waste planning are prioritized for construction in the resolution, starting with a facility that will intercept organic materials (clean lumber discards, food scraps, yard debris, tree limbs, soiled paper products, compostable food ware, manure, brewery by-products, and agricultural trimmings). The City will collaborate with Larimer County and neighboring communities such as the City of Loveland, as well as private-sector stakeholders, to develop an implementation plan for capturing as much organic material as feasible based on recognition of the fact that approximately 2/3 of the waste going into local landfills is comprised of bio-degradable materials. Creating a collection/diversion system for organics will provide substantial results in reducing the amount of trash that accumulates in our landfills. Once systems are in place for source-separated organics to be collected, various technologies for processing it to obtain highest-and-best-use will be employed, including but not limited to anaerobic digestion, clean energy conversion, or landscape materials manufacturing (mulch, compost, “bio-char” soil amendments). Other types of infrastructure are recognized in the resolution as playing pivotal roles in optimal waste management systems for Fort Collins and the region, to be funded and constructed as quickly as they become feasible. They include pilot projects with Colorado State University supported by federal grants that demonstrate waste-to-clean-energy technology innovations, a construction/demolition-waste sorting facility, and a reuse warehouse. Finally, the resolution calls for new sources of funding or revenues to be evaluated that will enable the City to pursue new initiatives in waste diversion and financially support ongoing projects. Staff sent a draft of Resolution 2014-098 to Council on Monday, October 13. The Resolution with the revisions suggested by Councilmember Cunniff is provided as Attachment 1. FINANCIAL / ECONOMIC IMPACTS This Resolution indicates an intention to take action and to seek funding, resources and partnerships to enable actions. The implementation schedule will be dependent on budget and resource availability. ENVIRONMENTAL IMPACTS This Resolution clarifies key steps in making progress on the ultimate goal of achieving Zero Waste by 2030. ATTACHMENTS 1. Resolution 2014-098 with Councilmember Cunniff's revisions (PDF) Packet Pg. 187 - 1 - RESOLUTION 2014-098 OF THE COUNCIL OF THE CITY OF FORT COLLINS ESTABLISHING PRIORITY ACTIONS TO CREATE ZERO WASTE IN FORT COLLINS WHEREAS, on December 17, 2013, the City Council adopted Resolution 2013-011, establishing a waste diversion policy with the ultimate goal of achieving zero waste (“Zero Waste goals”); and WHEREAS, the City Council recognizes the importance of prolonging the life span of the Larimer County Landfill, now estimated at 10 years, through waste diversion measures to further delay its closure; and WHEREAS, the City Council further recognizes that increased and sustained waste reduction and recycling have direct economic and environmental benefits to the local and global community; and WHEREAS, the City Council wishes to proceed with implementing waste reduction strategies that systematically address the flow of waste materials in the community; and WHEREAS, waste streams, and facilities for managing them, are regional in nature, and thus, regional partnerships and systems are important to create; and WHEREAS, City Plan policy ENV 15.5 calls for applying a systems-based approach to managing waste materials that flow into the community, as well as their post-consumer destinations, in order to establish alternatives to landfill disposal; and WHEREAS, City Plan policy ENV 15.6 calls for an analysis of life-cycle costs and benefits by viewing the generation of discards, by-products, and waste materials, and techniques for managing these resources as an integrated system in order to put materials to their highest and best reuse; and WHEREAS, the City Council wishes to operationalize the vision articulated in the Zero Waste goals and sketched out in the Road to Zero Waste plan by taking a three-pronged approach to: a) identify near-term concrete steps towards Fort Collins’ zero waste objectives for 2030; b) foster regional discussions and partnerships; and c) further investigate waste stream flows and energy-related opportunities. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the City Council hereby directs the City Manager to take specific short-term steps toward reducing and preventing waste by December 31, 2016, by: Packet Pg. 188 - 2 - a. Expanding communitywide awareness of measures to prevent waste from being created; b. Subject to funding approval, beginning construction on a Community Recycling Center that offers a one-stop shop for recycling and addresses hard-to- recycle materials; c. Presenting for Council consideration a “universal recycling ordinance” that would improve access to recycling and organics (compostable materials) collection for all residents and businesses; and d. Advancing the organizational readiness of the City to engage in waste-to- clean energy practices. Section 2. That the City Council hereby directs the City Manager to take steps toward reducing and preventing regional waste generation by: a. Convening a regional materials management roundtable group to discuss regional treatment facilities and systems; b. Assisting Colorado State University’s efforts to research and develop innovative waste conversion systems/facilities; and c. Working through the City’s Economic Health and Environmental Services Departments with regional businesses to: i. Support by-product reuse within regional business clusters; and ii. Help evaluate and assess the potential for industrial symbiosis in Fort Collins and Northern Colorado. Section 3. That the City Council hereby directs the City Manager to systematically evaluate waste materials using Sustainable Materials Management (“SMM”) principles by: a. Applying the U.S. Environmental Protection Agency’s newly emerging SMM principles as part of a systems approach in order to evaluate and prioritize a variety of new programs for the City to implement; and b. Identifying specific sub-streams of materials being generated in the community to evaluate optimal waste management systems and specific types of technology to be developed. Packet Pg. 189 - 3 - Passed and adopted at a regular meeting of the Council of the City of Fort Collins this 21st day of October, A.D. 2014. _________________________________ Mayor ATTEST: _____________________________ City Clerk Packet Pg. 190 Agenda Item 17 Item # 17 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Lance Smith, Strategic Financial Planning Manager Kevin Gertig, Utilities Executive Director Mike Beckstead, Chief Financial Officer Wendy Williams, Assistant City Manager SUBJECT Second Reading of Ordinance No. 137, 2014, Appropriating Capital Project Funding in the Light and Power, Water, Wastewater, and Stormwater Drainage Enterprise Funds and Authorizing the Transfer of Appropriations to the Cultural Services and Facilities Fund for the Art in Public Places Program, for the Construction of a New Utilities Administration Building in Block 32 on LaPorte Avenue and Renovation of 700 Wood Street. EXECUTIVE SUMMARY This Ordinance, unanimously adopted on First Reading on October 14, 2014, provides funding for the construction of a new Utility Administration Building within Block 32 on LaPorte Avenue, as well as renovation of the existing Utility Service Center at 700 Wood Street. The total combined project costs are $23,411,000 with $4,500,000 already appropriated from Light and Power reserves, leaving $18,911,000 to be appropriated with this ordinance. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on Second Reading. ATTACHMENTS 1. First Reading Agenda Item Summary, October 14, 2014 (w/o attachments) (PDF) 2. Ordinance No. 137, 2014 (PDF) Packet Pg. 191 Agenda Item 1 Item # 1 Page 1 AGENDA ITEM SUMMARY October 14, 2014 City Council STAFF Lance Smith, Strategic Financial Planning Manager Kevin Gertig, Utilities Executive Director Mike Beckstead, Chief Financial Officer Wendy Williams, Assistant City Manager SUBJECT Items Relating to the Construction of a New Utilities Administration Building and Renovation of 700 Wood Street. EXECUTIVE SUMMARY A. First Reading of Ordinance No. 137, 2014, Appropriating Capital Project Funding in the Light and Power, Water, Wastewater, and Stormwater Drainage Enterprise Funds and Authorizing the Transfer of Appropriations to the Cultural Services and Facilities Fund for the Art in Public Places Program, for the Construction of a New Utilities Administration Building in Block 32 on LaPorte Avenue and Renovation of 700 Wood Street. B. Resolution 2014-095 Directing the City Manager to Review Funding for Utilities Capital Improvements, Including Utilities Plant Investment Fees and Other Related Matters, and Report the Results of that Review for Further Council Consideration. The purpose of this item is to provide funding for the construction of a new Utility Administration Building within Block 32 on LaPorte Avenue, as well as renovation of the existing Utility Service Center at 700 Wood Street. The total combined project costs are $23,411,000 with $4,500,000 already appropriated from Light and Power reserves, leaving $18,911,000 to be appropriated with this ordinance. A Utility Building Team comprised of internal staff and external subject matter experts has worked with the architectural firm RNL and Adolfson and Peterson Construction to assess the best way to address the current building performance and space issues facing Fort Collins Utilities’ ongoing and future business operations. Balancing the city-wide goal to have high-performing office buildings with the need to be fiscally prudent has led the Building Team to recommend the two-pronged funding process proposed in this appropriation ordinance. The four Utility Enterprise Funds (Light and Power, Water, Wastewater and Stormwater) will share the costs of the projects. All appropriations will come from the existing reserves in these four funds. A Resolution is also being presented directing staff to investigate the use of development fees for additional types of capital needs such as facilities, modifying the information provided on customer utility bills to increase transparency and to evaluate the long term rate impacts of capital improvements. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. ATTACHMENT 1 Packet Pg. 192 Attachment17.1: First Reading Agenda Item Summary, October 14, 2014 (w/o attachments) (2497 : SR 137 Utilities Building Appropriation) Agenda Item 1 Item # 1 Page 2 BACKGROUND / DISCUSSION Staff has discussed this project twice previously within the last year with the City Council Finance Committee, and with the whole City Council at its November 19, 2013 Work Session and most recently at the September 30, 2014 City Council Work Sessions, each time providing information regarding the Utility Service Center (USC) at 700 Wood Street and the proposed Utility Administration Building (UAB). During the September 30, 2014 Work Session, Council asked questions that required additional research. The first Attachment is a historical timeline that identifies key dates and decisions related to the recommended improvements to 700 Wood Street and the proposed new Utility Administration Building. A Resolution is included that directs staff to: 1. investigate the options for modifying the Utilities development fees to fund additional types of capital needs for the operation of Utilities, including administrative facilities and other facilities not currently included, and to report the results of this investigation to the City Council no later than March 24, 2015; 2. investigate the options for modifying the Utilities billing system so as to increase the transparency associated with Utilities capital expenses by including additional information on customer utility bills, and to report the results of this investigation to the City Council no later than April 28, 2015; 3. evaluate the expected future rate impacts of funding the long-term capital improvements plans for each of the Utilities, and to report the results of this evaluation to the City Council no later than April 28, 2015. So far, the City of Fort Collins has spent $874,697 and encumbered another $1,413,159 under the Capital Project 501.5010020000 Questions from September 30, 2014 Work Session When did City Council authorize the use of funds to begin the design of a new building? Answer: The City Council authorized the use of such funds in the 2008-09 City Budget. The attached pages (Attachment 2) are taken from the 2008-09 Operating and Capital Improvement Budget documents which reflect the budget approved by the City Council. The offer summary on page 58 of the Capital Improvement Budget document describes the use of the $4,957,977 for “a capital project to replace the existing Light and Power crew building, construct covered line truck parking, and to build a wash-down area for service vehicles. Also included are Light and Power’s portion of the funds needed for energy improvements to the existing service center and initial funds for the purchase of a new customer service center.” [emphasis added] Also attached (Attachment 3) please find the Agenda Item Summary and Ordinance No. 149, 2006, from the September 19, 2006 City Council meeting authorizing the transfer of properties between the General Fund and the Wastewater Fund. One of the properties being exchanged was the Police Annex on LaPorte for a future Utilities Customer Information Services office. How are Stormwater Capital Projects prioritized? Utilities uses a long range Master Planning process to determine the Capital Project needs for the Stormwater Enterprise. This is our guide for what is requested each cycle in the Budgeting for Outcomes process. As a result of the Stormwater Repurposing work conducted from 2009-2012, this Master Planning process incorporated a three pronged approach to project prioritization: (1) the existing flood protection and mitigation ranking, (2), the addition of Stream Restoration/Rehabilitation funding, and (3) Unranked projects such as cooperative projects, redevelopment, or Council directives. The amount of revenue requested each cycle varies to allow the Stormwater Enterprise to build up the unappropriated reserves and fund larger multi-million dollar projects in future years. Packet Pg. 193 Attachment17.1: First Reading Agenda Item Summary, October 14, 2014 (w/o attachments) (2497 : SR 137 Utilities Building Appropriation) Agenda Item 1 Item # 1 Page 3 How did the Utility Administration Building fit into this prioritization? The Utility Administration Building (UAB) would be funded under the third criteria – Unranked Redevelopment Projects. The September 30, 2014 AIS regarding this item showed that the Stormwater Enterprise had approximately $6.9M in unappropriated reserves (working capital) from which staff is requesting the use of $2.9M for construction of the UAB. How are Stormwater Reserve funds prioritized? Utilities Master Planning process identifies unappropriated reserves to be requested in a future budget cycle for the completion of the next highest priority projects, namely completion of the North East College Corridor Outfall (NECCO), the Jefferson St/Lincoln St Drainage system to serve the River District, or the Magnolia St Outfall the serve the southern portion of Old Town. The Mail Creek project is ranked as number 3 under the second criteria – Stream Restoration/Rehabilitation. Based on our Master Planning process, we would request funds in the 2017-18 BFO process to construct this project. Council Options Council certainly has the discretion to change the timing or amounts of any of these projects. Staff can provide any requested information on how such change would impact the completion of the overall system needs. The USC has grown through seven additions to its current 108,000 square foot capacity over the past 45 years. Key drivers that support the renovation of the USC and addition of a new building to house Customer Service are:  Space needs – Space is in poor condition and inadequate for growing business operations necessary to support current Fort Collins community service delivery expectations;  Energy Efficiency – The USC building is one of the least energy efficient buildings owned by the City; HVAC system replacement and building envelop improvements are necessary;  Customer Service - Customer Service has been located in leased space for over 20 years; customer parking is inadequate at current location. Initially, to address the immediate need for additional crew space and to provide some funding for a new office space for customer service, the Light and Power Enterprise Fund appropriated $4.5M. Recognizing ongoing space needs will impact Fort Collins Utilities’ effectiveness to maintain current levels for customer service and customer satisfaction in the near future, it was determined as far back as at least 2006 that it is highly desirable to relocate several external customer-focused departments at a single location downtown. A comparison of the costs associated with the USC addition to the costs of new construction led to the recommendation of a more limited renovation at 700 Wood Street and building a new Utilities Administration Building downtown as part of the development of Block 32 on LaPorte Avenue as discussed at the November 19, 2013 Work Session. Capital projects are prioritized within each utility. Ten year capital improvement plans have been updated in 2014 for three of the four utilities with Light & Power scheduled for 2015. This project has the distinction among capital projects of spanning all four utilities. While it is possible to build part of the buildings now to meet the immediate needs of Light and Power and then part of it in a few years to meet the Water utility’s anticipated space needs, and then later for Wastewater and Stormwater, such a piece mill approach is not optimal. This infrastructure project will not require redeployment of utility staff from other capital projects to complete. Based on historical and anticipated capital spending, staff anticipates that all other capital projects will proceed as planned. The ratepayers of the four utilities will benefit from this appropriation as this project provides:  Office space owned by the utilities to house the entire Customer Service department in a single location thereby allowing for efficient and effective customer service  Adequate, more modern facilities for utility personnel to perform front office and back office duties Packet Pg. 194 Attachment17.1: First Reading Agenda Item Summary, October 14, 2014 (w/o attachments) (2497 : SR 137 Utilities Building Appropriation) Agenda Item 1 Item # 1 Page 4 necessary to maintain and operate utility infrastructure to meet customer service level expectations  An opportunity for the utilities to demonstrate to the community how the City is meeting Green Building initiatives The vision for both the UAB construction and the USC renovation is one that will demonstrate how facilities can serve as a model in environmental stewardship to the Fort Collins community. Sustainability for the 21st Century is a defining focus of Utilities core services; delivering a level of service our customers expect and in an environmentally and socially responsible way while making the best economic choices for the long-term. The Building Team recommended the two projects be combined into one design and funding process in order to align the vision and results of both projects and optimize economies of scale. These projects present an excellent opportunity for Utilities to “walk the talk” by demonstrating best practices in high performance new construction and retrofit projects. Based on energy studies at the USC and what is being accomplished in new construction, it is proposed that these two facilities be designed to be “net zero energy ready.” This means that the buildings will be designed and constructed to have very low energy use, such that the addition of on-site renewable energy would result in net zero energy consumption on an annual basis. The new UAB will achieve a LEED Gold certification at a minimum. Utility Administration Building (UAB) This new building would house the entire Customer Connections Department and some senior management of Fort Collins Utilities. At 37,500 square feet, this building will meet the long term space requirements of the Customer Connections department and administrative functions that would be relocated from the Utility Service Center and space currently leased by Fort Collins Utilities from the City’s General Fund at 117 North Mason. Space initially unused by Utility staff would be leased in this building to the City’s Sustainability Services Area until it is needed by Fort Collins Utilities. The construction of the 37,500 square foot Utility Administration Building is expected to cost $14.1M as shown in the table below: The $14.1M provides sufficient funding for the new construction and providing a rooftop solar photovoltaic system to make the UAB at or near a Net Zero building. There may be an opportunity in the future to add a ground source geo-thermal heat exchange system within Block 32 which would also improve the energy efficiency of this building. This appropriation request, however, does not provide sufficient funding to also install high efficiency fiberglass windows, implement a ground source geothermal heat pump, or furnishings for an external plaza area. The costs associated with these additional energy efficiency improvements are: UAB Budget $14,100,000 Includes… Capacity for staff through 2028 Water source heat pump system Open office environment LEED Gold certification PV system on roof for Net Zero building 1% for Art in Public Places Packet Pg. 195 Attachment17.1: First Reading Agenda Item Summary, October 14, 2014 (w/o attachments) (2497 : SR 137 Utilities Building Appropriation) Agenda Item 1 Item # 1 Page 5 Diagonal and parallel parking has been added along Howes Street increasing the number of spaces available by 25 spaces between LaPorte Avenue and Cherry Street. Most of the employees who will be occupying this building already work downtown at 117 North Mason. It is anticipated there will be 41 employees relocating from 700 Wood Street to this building. Parking Services has indicated there is sufficient capacity in the parking garages during business hours for these 41 employees. Utility Service Center (USC) The new building on LaPorte Avenue would relieve some of the space needs at the USC. However, there remain operational needs which would best be met by also renovating the existing space at the USC. Such a renovation would modify some existing space to meet the Light & Power crew needs as well as improve the building’s security and energy efficiency. The current HVAC system is at the end of its life and will require significant investment over the next few years even without this renovation. Incorporating the HVAC investment into a more comprehensive renovation of the entire building envelope will substantially improve the energy efficiency of the building. The renovation of existing space at the USC is expected to cost $9.3M as shown in the table below: The budget provides sufficient funding to fully address the Light & Power crew space needs, replace the current HVAC system, renovate the entrance area, improve building security, and provide extensive building envelope improvements. Building envelope improvements include replacing the current exterior windows, repairing the existing skylights, and adding roof insulation. Making these improvements will result in a lower cost HVAC system and long-term energy savings as well as move the building closer to being a net zero energy building. There may be an opportunity in the future to add a ground sourced geo-thermal heat exchange system within Block 32 that would improve the energy efficiency of this building even more. This appropriation request, however, does not provide sufficient funding to also implement a geothermal heat exchange system, remove existing interior walls to create an open office environment, acquire new furnishings or provide a solar array to achieve net zero energy consumption. The costs associated with these additional energy efficiency improvements are: Additional Energy Efficiency Improvements Added Cost… Install Alpen 725 Series fiberglass windows $220,000 Ground Source Geo-thermal system for heat pumps $300,000 Add additional site furnishings for exterior plaza area $120,000 $640,000 USC Budget $9,311,000 Includes… L&P Crew Space HVAC Replacement to water source heat pump Renovated entrance area Security Enhancements Window replacement Skylight repair & solatubes Additional roof insulation 1% for Art in Public Places Packet Pg. 196 Attachment17.1: First Reading Agenda Item Summary, October 14, 2014 (w/o attachments) (2497 : SR 137 Utilities Building Appropriation) Agenda Item 1 Item # 1 Page 6 The baseline budgets for both projects include all permit and development fees, deconstruction costs and sufficient contingency funding for reasonable contingencies. Combining the two projects into the single appropriation being requested herein of $18.9M includes the associated 1% appropriation for Art in Public Places. The appropriation request is allocated to the four utilities as follows: A memorandum dated January 23, 2014 to the Council Finance Committee outlined the rationale behind recommending that the appropriation be made from the cash reserves of the four utility Enterprise Funds rather than through a debt issuance as had been previously discussed with the City Council. Funding with available cash is preferred based on the collective healthy balance of the utility Enterprise Fund Reserves, consistency with historical facility improvement funding, consistency with the City’s “pay as you go” philosophy, the relatively low yield of these cash reserves compared to the current borrowing rate, and the complication of issuing debt across the four utilities. Council Finance Committee was supportive of using cash at the January 27, 2014 committee meeting. Additional Energy Efficiency Improvements Added Cost… Lake GeoExchange system * $150,000 Open office environment, new finishes $2,300,000 PV system for Net Zero $2,000,000 $4,450,000 * Does not include lease agreement for access to the pond Combined Projects Summary Staff Recommendation for new UAB: $14,100,000 Staff Recommendation for USC Renovation: $9,311,000 Total Construction Budget $23,411,000 Less Prior Appropriation $4,500,000 Proposed Appropriation $18,911,000 Enterprise Fund Project Share Share of Projects Cost Less Existing Appropriation Funds Being Requested Here Light & Power 50.0% $11,705,500 $4,500,000 $7,205,500 Water 25.0% $5,852,750 $5,852,750 Wastewater 12.5% $2,926,375 $2,926,375 Storm Drainage 12.5% $2,926,375 $2,926,375 100.0% $23,411,000 $4,500,000 $18,911,000 Packet Pg. 197 Attachment17.1: First Reading Agenda Item Summary, October 14, 2014 (w/o attachments) (2497 : SR 137 Utilities Building Appropriation) Agenda Item 1 Item # 1 Page 7 FINANCIAL / ECONOMIC IMPACTS The financial impact of this appropriation on the short term financial health of the four utility Enterprise Funds will be to reduce the amount of unappropriated cash reserves held by each utility. These reserves are used for capital projects associated with aging infrastructure replacement and renewal, growth, and new regulatory requirements. The reserves grow through development fees and operating revenues in excess of actual operating expenses. Higher than projected development fee revenues in 2013 allowed three of the four utilities to increase reserves in 2013. The Water Enterprise Fund reserves decreased from $67.0M at the end of 2012 to $65.5M through 2013. However, higher than budgeted development fees, along with additional revenue from the sale of excess treatment capacity, should increase the working capital for the Water Fund by $5-8M in 2014. No capital projects identified and submitted for consideration in the 2015-16 Budgets are being impacted by this appropriation. Plant Investment Fee Revenue Chapter 26 of the City Code contains three sections that define the purpose for which PIF revenue can be used. In summary, the Water, Wastewater and Stormwater PIFs are essentially “used for growth-related capital expansion costs” related to operational facilities and infrastructure and not office facilities. Light and Power fees cover the cost of extending infrastructure to the specific development that paid the fees. Because office facility and building needs are not specifically included in any of the PIF calculations, based on the stated purposes within the City Code, PIF revenues are not to be used to finance the construction of a new UAB. Staff understood from the September 30th Work Session that Council may be interested in changing the City Code to allow for PIF revenues to be used for such purposes in the future. Reserve Balances The table below summarizes the reserve balances for these Enterprise Funds at the end of 2013 and after this appropriation. Fort Collins Utilities has historically used cash reserves to fund facility improvements. The USC was initially acquired and built using cash reserves and multiple remodels and additions have occurred over the past 45 years at a total cost of $18.2M with funding from cash reserves. Several of these expansions were funded across multiple utilities when expansion needs occurred simultaneously. Use of these reserves will not trigger a rate increase for customers of any of the four utilities. The projected increases in Light and Power rates in 2015 and 2016 are driven entirely by the increased costs associated with generating the power from Platte River Power Authority. The proposed rate increases of 3% in 2015 and 2016 in the Wastewater Enterprise Fund have been planned ahead of the decision to recommend this appropriation. Enterprise Fund Cash & Investments (12/31/13) Available Working Capital (12/31/13) Funds Being Requested Here Available Working Capital After This Appropriation Light & Power $55.3 $26.6 $7.2 $19.4 Water $65.5 $8.5 $5.8 $2.7 Wastewater $33.1 $17.8 $2.9 $14.9 Storm Drainage $17.2 $6.9 $2.9 $4.0 $171.1 $59.8 $18.9 $40.9 $ in millions Packet Pg. 198 Attachment17.1: First Reading Agenda Item Summary, October 14, 2014 (w/o attachments) (2497 : SR 137 Utilities Building Appropriation) Agenda Item 1 Item # 1 Page 8 The increased revenues from the proposed increases to the Wastewater utility are consistent with the long term financial requirements and strategic planning based on the 10 year capital improvement plan for this utility. It is anticipated that gradual, moderate rate increases may be required for some of the utilities over the next few years which may be delayed by a year or two without this appropriation but the need for any such rate increase will persist even without the appropriation, as it is driven by a longer term perspective of revenue requirements and capital project planning. ENVIRONMENTAL IMPACTS Currently, energy use at the USC is responsible for over 1,000 tons/year CO2e in greenhouse gas emissions. With efficiency upgrades at the USC (envelope and HVAC improvements) and high performance design at the UAB, energy modeling shows the combined emissions for the two buildings at 850 tons/year CO2e, lower than current emissions at the USC alone. The addition of solar PV systems will further lower these emissions. Attention to water efficient design elements at UAB will optimize water use inside and out. Energy and water systems for the UAB are being designed in context with the future build-out of the Civic Center complex. As such, the potential exists for developing campus-wide energy and water systems. For example, heat pumps in the building will be able to tie into a campus wide GeoExchange well field to exchange energy with the earth and adjacent buildings. PV systems on one building or a parking garage can share energy with all Civic Center buildings, or possibly a larger energy district. BOARD / COMMISSION RECOMMENDATION At its August 7, 2014 meeting, the Energy Board (Attachment 7) unanimously approved the following motion: “The Energy Board recommends to City Council approval of the Utility Buildings Appropriation Ordinance scheduled for City Council First Reading on August 19, 2014 appropriating capital project funding from the Light & Power, Water, Wastewater, and Stormwater Funds, for construction of a new Utilities Administration Building at the corner of Laporte and Howes and renovation of 700 Wood Street.” At its August 21, 2014 meeting, the Water Board (Attachment 8), 2014 unanimously approved the following motion: “In response to Staff’s request for consideration of the Appropriation Ordinance regarding the Utility Buildings Appropriation Ordinance, being presented to City Council on September 2, 2014, I move that the Water Board communicate to City Council that the expenditure proposed does not appear to compromise Utilities’ financial position. Based on the lack of information provided to the Board regarding needs, alternatives, and implications, a lack of time to consider what has been presented, the Board cannot comment on the wisdom of the course forward despite their trust in staff. Because this appropriation was not part of the Budgeting for Outcomes process, the Water Board is concerned about the lack of transparency in the public process.” Packet Pg. 199 Attachment17.1: First Reading Agenda Item Summary, October 14, 2014 (w/o attachments) (2497 : SR 137 Utilities Building Appropriation) Agenda Item 1 Item # 1 Page 9 ATTACHMENTS 1. Proposed Utilities Customer Service Building Timeline (PDF) 2. 2008-09 Operating and Capital Improvement Budget documents (PDF) 3. Agenda Item Summary and Ordinance No. 149, 2006, September 19, 2006 (PDF) 4. Council Finance Committe minutes, September 16, 2013 (PDF) 5. Council Finance Committee minutes, January 27, 2014 (PDF) 6. Staff Memo re: Building Funding - Cash vs. Bonds, January 23, 2014 (PDF) 7. Energy Board minutes, August 7, 2014 (draft) (PDF) 8. Water Board minutes, August 21, 2014 (draft) (PDF) 9. Triple Bottom Line Analysis (PDF) 10. Council Work Session Summary, November 19, 2013 (PDF) 11. November 19, 2013 Work Session Agenda Materials (PDF) 12. Powerpoint presentation (PDF) Packet Pg. 200 Attachment17.1: First Reading Agenda Item Summary, October 14, 2014 (w/o attachments) (2497 : SR 137 Utilities Building Appropriation) - 1 - ORDINANCE NO. 137, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROPRIATING PRIOR YEAR RESERVES PROJECT FUNDING IN THE LIGHT AND POWER, WATER, WASTEWATER, AND STORM DRAINAGE FUNDS, AND AUTHORIZING THE TRANSFER OF APPROPRIATIONS TO THE CULTURAL SERVICES AND FACILITIES FUND FOR THE ART IN PUBLIC PLACES PROGRAM, FOR THE CONSTRUCTION OF A NEW UTILITIES ADMINISTRATION BUILDING IN BLOCK 32 ON LAPORTE AVENUE AND A RENOVATION OF THE UTILITIES SERVICE CENTER AT 700 WOOD STREET WHEREAS, the Utility Service Center (USC) at 700 Wood Street has grown over its lifetime through seven major additions to its current 108,000 square foot capacity, resulting in an energy inefficient building that lacks sufficient security; and WHEREAS, a new 37,500 square foot Utilities Administration Building (UAB), to be located in Block 32 on LaPorte Avenue downtown, has been proposed to house the entire Customer Connections Department and some senior management of Fort Collins Utilities, satisfying the long term space requirements of the Customer Connections Department and administrative functions to be relocated from the Utility Service Center and space currently leased by Fort Collins Utilities from the City’s General Fund at 117 North Mason; and WHEREAS, space initially unused by Utility staff in the UAB would also be leased to the City’s Sustainability Services Area until it is needed by Fort Collins Utilities; and WHEREAS, there remain operational needs for Utilities that would best be met by also renovating the existing space at the USC, including modification of existing space to meet the Light & Power crew needs, improving the building’s security and energy efficiency, and replacing the current HVAC system, which is at the end of its life and its replacement will substantially improve the energy efficiency of the building; and WHEREAS, the total cost of the construction of the new UAB is $14,100,000; and WHEREAS, the total cost of the renovation of the USC is $9,311,000, which includes $4,500,000 previously appropriated in the 2011-2012 budget from Light & Power reserves to address growth and space needs of the Electric Utility and $45,000 that was transferred to the Cultural Services and Facilities Fund for the Art in Public Place (APP) projects; and WHEREAS, of the total remaining $18,911,000 appropriation, $189,111 represents the additional appropriation for the two projects that must be transferred into the Cultural Services and Facilities Fund for the APP projects from the four utility funds; $41,604 (22%) of which will be transferred to the Cultural Services Fund for reserve for the maintenance of the artwork and operations of the APP program; and Packet Pg. 201 Attachment17.2: Ordinance No. 137, 2014 (2497 : SR 137 Utilities Building Appropriation) - 2 - WHEREAS, Article V, Section 9 of the City Charter permits the City Council to appropriate by ordinance at any time during the fiscal year such funds for expenditure as may be available from reserves accumulated in prior years, notwithstanding that such reserves were not previously appropriated; and WHEREAS, Article V, Section 10, of the City Charter authorizes the City Council to transfer by ordinance any unexpended and unencumbered appropriated amount or portion thereof from one fund (project) to another fund (project), provided that the purpose for which the transferred funds are to be expended remains unchanged. WHEREAS, City staff recommends appropriating from prior year reserves in the Light & Power Fund $7,205,500, the Water Fund $5,852,750, the Wastewater Fund $2,926,375, and the Storm Drainage Fund $2,926,375 for a total amount of $18,911,000 to be used for the construction of a new Utilities Administration Building in Block 32 on LaPorte Avenue, a renovation of the Utilities Service Center at 700 Wood Street, and the required funding for Art in Public Places. 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 prior year reserves in the Light & Power Fund the sum of $7,205,500 as follows: New Utilities Administration Building and renovation of 700 Wood Street Project $7,133,445 Art in Public Places Project 72,055 TOTAL $7,205,500 Section 2. That there is hereby appropriated for expenditure from prior year reserves in the Water Fund the sum of $5,852,750 as follows: New Utilities Administration Building and renovation of 700 Wood Street Project $5,794,222 Art in Public Places Project 58,528 TOTAL $5,852,750 Section 3. That there is hereby appropriated for expenditure from prior year reserves in the Wastewater Fund the sum of $2,926,375 as follows: New Utilities Administration Building and renovation of 700 Wood Street Project $2,897,111 Art in Public Places Project 29,264 TOTAL $2,926,375 Section 4. That there is hereby appropriated for expenditure from prior year reserves in the Storm Drainage Fund the sum of $2,926,375 as follows: Packet Pg. 202 Attachment17.2: Ordinance No. 137, 2014 (2497 : SR 137 Utilities Building Appropriation) - 3 - New Utilities Administration Building and renovation of 700 Wood Street Project $2,897,111 Art in Public Places Project 29,264 TOTAL $2,926,375 Section 5. That the unexpended appropriated amount of FORTY-ONE THOUSAND, SIX HUNDRED AND FOUR DOLLARS ($41,604) is authorized for transfer in the Art in Public Places Projects from the Light & Power, Water, Wastewater and Storm Drainage Funds to the Cultural Services and Facilities Fund and appropriated therein for the Art in Public Places Program Maintenance and Operations and transferred as follows: Light & Power $15,852 Water 12,876 Wastewater 6,438 Storm Drainage 6,438 TOTAL $41,604 Introduced, considered favorably on first reading, and ordered published this 14th day of October, A.D. 2014, and to be presented for final passage on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 21st day of October, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 203 Attachment17.2: Ordinance No. 137, 2014 (2497 : SR 137 Utilities Building Appropriation) Agenda Item 18 Item # 18 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Lawrence Pollack, Budget & Performance Measurement Manager Darin Atteberry, City Manager Mike Beckstead, Chief Financial Officer SUBJECT First Reading of Ordinance No. 153, 2014,Being the Annual Appropriation Ordinance Relating to the Annual Appropriations for the Fiscal Year 2015; Adopting the Budget for the Fiscal Years Beginning January 1, 2015, and Ending December 31, 2016; and Fixing the Mill levy for Fiscal year 2015. EXECUTIVE SUMMARY The purpose of this item is to present the Annual Appropriation Ordinance for First Reading. This Ordinance sets the City Budget for the two-year period (2015–16) which becomes the City’s financial plan for the next two fiscal years. This Ordinance sets the amount of $552,694,350 to be appropriated for fiscal year 2015. Including the 2015 adopted budgets for the General Improvement District (GID) #1 of $1,193,565 and General Improvement District (GID) #15 (Skyview) of $1,000 as well as the Urban Renewal Authority (URA) of $2,408,457 the total City operated appropriations amount to $556,297,372. This Ordinance also sets the 2015 City mill levy at 9.797 mills, unchanged since 1991. STAFF RECOMMENDATION Staff recommends adoption of this Ordinance on First Reading. BACKGROUND / DISCUSSION For the sixth time the City has used a budgeting process called Budgeting for Outcomes (BFO). This process is a recommended best practice by the Government Finance Officers Association (GFOA). It is a systematic process driven by goals and performance, to provide information that relates budgeting to planning and results. Its purpose is to better align the services delivered by the City with the things that are most important to the community. The 2015-16 City Manager’s Recommended Budget was delivered to Council in August. The Recommended Budget strengthens key services related to transportation, police, fire, parks and recreation and other community priorities such as the environment, economic development and social sustainability, delivering on the commitment made to voters who approved the Keep Fort Collins Great sales tax increase in 2010. The budget reflects community needs and council priorities as identified in the 2014 Strategic Plan. City Council reviewed the Recommended Budget during four Council Work Sessions. In addition, citizens have been able to provide input to Councilmembers through two public hearings. From these discussions and additional information provided by staff, City Council has provided direction and guidance for changes to be incorporated into 1st reading of the 2015-16 Biennial Budget. The following table summarizes the Offers not originally included in the Recommended Budget. Packet Pg. 204 Agenda Item 18 Item # 18 Page 2 Outcome Offers Funded per Council Direction 2015 2016 Funding Sources CNL 17.1 - Green Street Implementation: Remington Greenway Extension $150 $0 GF - One Time Revenue CNL 101.4 - Additional Medians and Streetscapes Maintenance 200 200 GF - Reserves C&R 22.1 - Trees along Paved Recreational Trails 95 30 Con Trust - Reduced Offer 8.1 C&R 83.6 - Poudre School District (PSD) After School Enrichment 70 70 GF - One Time Revenue C&R 160.7 - EPIC Pool Improvements (previously in BOB 2.0) 1,500 0 GF - Reserves ECON 46.15 - Support CSU Ventures - Advanced Industries Proof of Concept Prog. 50 50 GF - One Time Revenue ECON 46.17 - Fort Collins Public Access Network Expanded Support 40 40 KFCG Other Comm. - Reserves ECON 46.7 - Support Larimer Small Business Development Center 40 40 GF - One Time Revenue ECON 100.6 - Downtown Bathrooms (previously in BOB 2.0) 350 0 GF - Reserves ECON 62.X - Alta Vista Sub-area Plan 40 0 GF - Reserves ENVIRO 47.7 - Enviro Planner & Meeting the Challenge of Zero Waste - 0.5 FTE 53 51 GF - Ongoing ENVIRO 47.9 - Municipal Sustainability Projects - Green to Gold 20 20 GF - Reserves ENVIRO 174.1 - Advanced Waste Stream Optimization 58 350 GF - Ongoing & Res./Utility Res. SAFE 42.4 - Environmental Project Consultant for Stormwater Projects 0 0 Not Applicable TRANS 2.18 - Bicycle Infrastructure Investments 75 75 GF - Reserves TRANS 25.24 - MAX/BRT Snow Removal 200 200 GF - Ongoing TRANS 141.1 - Transportation Air Quality Impacts Guidance Manual 35 10 GF - Reserves TRANS 165.3 - Safe Routes to School Strategic Traffic Infrastructure Program 100 100 GF - Ongoing TRANS 169.3 - W. Elizabeth Enhanced Travel Corridor Master Plan (previously 18.3) 300 0 GF - Reserves HPG 49.3 - Grant Development Specialist - 1.0 FTE 84 84 GF - Ongoing HPG 53.2 - Telling our Story Offer Video Outreach 35 35 GF - Ongoing $3,495 $1,355 Note: $ in thousands and GF = General Fund To fund these Offers requires a combination of funding sources. The first prudent place to evaluate is Offers that have a lower priority from Council’s perspective and, thus, should not be funded or should have the amount reduced. The table below lists Offers that were eliminated or modified. Eliminations and Modifications 2015 Amount 2016 Amount Offers Unfunded per Council Direction - 46.3 Economic Health Reserve Fund $ (50) $ (50) - 106.2 USA Pro Cycling Challenge (50) - Offers Reduced per Council Direction 17.1 - Green Street Implementation: Remington Greenway Extension (180) (500) 8.1: Paved Recreational Trail Development (95) (30) 46.17 - Fort Collins Public Access Network Expanded Support (10) (10) 47.9 - Municipal Sustainability Projects - Green to Gold (80) (30) 2.18 - Bicycle Infrastructure Investments (45) (45) 53.2: KFCG ENHANCEMENT: Telling Our Stories Strategic Video (100) (96) 63.6: ENHANCEMENT: On-Street Pay Parking 50 (750) Total Eliminations and Modifications $ (560) $ (1,511) Note: $ in thousands The gap between Offers funded per Council direction and Offers eliminated or modified is addressed by other funding sources. As the table below indicates, the gap was addressed through increased use of General Fund one-time revenue, reserves, increased 2015-16 Sales Tax projections, and a small amount of other funding. The increase of the Sales Tax forecast is based on the strong results we continue to see through the end of the third quarter of 2014 and the increased base upon which the 2015 and 2016 forecasts are based. Some of the Offers, either unfunded or modified, offset the need for additional funding. Packet Pg. 205 Agenda Item 18 Item # 18 Page 3 Changes to Funding Assumptions 2015 Amount 2016 Amount - Use of General Fund 1-time Funding & Reserves 2,830 715 - Use of Increased Sales Tax Forecast 472 470 - Other 193 170 Utilized Changes to Funding Assumptions $ 3,495 $ 1,355 This annual Appropriation Ordinance sets the amount of $552,694,350 to be appropriated for fiscal year 2015. Including the 2015 adopted budgets for the General Improvement District (GID) No.1 of $1,193,565 and General Improvement District (GID) No. 15 (Skyview) of $1,000 as well as the Urban Renewal Authority (URA) of $2,408,457 the total City operated appropriations amount to $556,297,372. Below is a summary of the proposed 2015-16 City budget: City Budget (in $ million) Adopted 2015 Adopted 2016 Operations $490.0 $477.8 Debt Service 21.2 21.4 Capital 45.1 36.2 Total City Operated Appropriations * $556.3 $535.4 Less General Improvement District (GID) No.1 (1.2) (0.2) Less General Improvement District (GID) No. 15 (Skyview)** (0.0) (0.0) Less Urban Renewal Authority (URA) (2.4) (4.9) Total City of Fort Collins Appropriation $552.7 $530.3 * This includes GID No. 1, Skyview South GID No. 15 and URA which are appropriated in separate ordinances ** The appropriation for Skyview South GID No. 15 is $1,000 which rounds to $0 in millions FINANCIAL / ECONOMIC IMPACTS This Ordinance sets the annual appropriation for fiscal year 2015 in the amount of $552,694,350. The Ordinance also sets the City mill levy at 9.797 mills, unchanged since 1991. ENVIRONMENTAL IMPACTS The Budget contains multiple offers that will have positive environmental impacts, particularly those funded by the Environmental Health Result Area. PUBLIC OUTREACH In preparation for First Reading of the 2015-16 Budget, City Council held two public hearings. Additionally, during the budget development, there were 2 citizens on each BFO Teams; as well as significant public outreach conducted to gather citizen feedback from a broad demographic of our community. During a 6-week period, over 20 community events or meetings were conducted at locations across the City. Additional input was obtained from online tools. All data was then shared with the BFO Teams to assist with their evaluation of Offers. ATTACHMENTS 1. BFO Letters for Council (PDF) Packet Pg. 206 Council Appointed Boards & Commissions Affordable Housing Board ...............................1 Air Quality Advisory Board ...........................2-4 Downtown Development Authority ................5-6 Energy Board ..................................................7 Fort Collins Housing Authority .........................8 Human Relations Commission ........................9 Natural Resources Advisory Board .................10 Parking Advisory Board ............................11-12 Parks & Recreation Board .............................13 Planning and Zoning Board ....................14-15 Transportation Board ...............................16-18 Water Board .............................................19-22 Community Organizations CanDo University of Colorado Health .......23-35 Downtown Fort Collins Business Association ....................................36 Foothills Gateway ....................................37-38 Old Town North HOA Board .......................39-40 BFO Letters for Council ATTACHMENT 1 Packet Pg. 207 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) To: Fort Collins City Council From: Troy Jones, Chairman, Affordable Housing Board (AHB) Date: 10/7/2014 Re: BFO Items 48.1 and 48.8 - City Budget for Affordable Housing At our October 2, 2014 Affordable Housing Board meeting, the board voted 7-0 to support the funding of item 48.8 on the Budgeting For Outcomes (BFO) consideration list, the $200,000 Enhancement to Affordable Housing Fund, with the following clarification offered by the board: The AHB acknowledges that all city departments necessarily had to tighten their belts when the recent economic downturn so drastically affected our City’s budget, and therefore, when the City’s contribution to the Affordable Housing Fund (AHF) went from a high of $883,962 in 2002, to a 2014 budget of $333,047, we on the AHB understood why such a reduction was necessary. As you know, a lot of positive things have happened to the economy since the 2013-2014 budget cycle was approved, and we are so happy to see that City is finally in a position to have a little more money in the coffers to work with. We at the AHB are happy to see that the Council will be considering increasing the AHF by $200,000 for both 2015 and 2016, and we would like to whole heartedly support the inclusion of this item in the current budget cycle. We do, however, want to take this opportunity to suggest that as the City’s financial picture continues to improve, that Council might be well served to strive toward the goal of substantially increasing the City’s contribution to the AHF in the very near future. Furthermore, the AHB would like to suggest , that because the Fort Collins citizens identified affordable housing as their most critical issue in the 2013 Citizen Survey, we would like to encourage the Council to consider adopting a goal to meet and even exceed the 2002 level of AHF funding as soon as possible. Additionally, the Affordable Housing Board acknowledges the important work of the Social Sustainability Department and supports their on-going budget offer for current programs and services, item 48.1. Thank you for your consideration on these items. Sincerely, Troy W. Jones 1 Packet Pg. 208 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) Environmental Services 215 North Mason PO Box 580 Fort Collins, CO 80522 970.221.6600 970.224.6177 Fax fcgov.com/environmental services MEMORANDUM DATE: July 30, 2014 TO: Budget Lead Team CC: Lawrence Pollack, Budget and Performance Measurement Manager Michael Beckstead, Chief Financial Officer Ross Cunniff, Council Liaison to AQAB FROM: Tom Moore, Chair Air Quality Advisory Board RE: 2015-2016 BFO Process and Proposed Offers The Air Quality Advisory Board (AQAB) welcomes the opportunity provided by the City Council to provide input to the Budget Lead Team and inform the development of the 2015-16 budget that the Team will propose to the Council. At our July 21, 2014 meeting, the AQAB reviewed the budget enhancement offers that we felt were the most likely offers to have an impact on air quality. The AQAB subsequently voted 6 to 0 to approve this memorandum to identify priority offers which we recommend the Budget Lead Team address and include as it develops a proposed budget. To begin with, the AQAB believes that the entire budgeting process – and not just the review of specific budget enhancement offers – should proceed with an eye toward serious, ongoing air quality issues that substantially impact the health, economic well-being, and quality of life of Fort Collins residents, businesses, and visitors. The AQAB is concerned that air quality in Colorado’s northern Front Range, including in the City of Fort Collins, currently fails to meet National Ambient Air Quality Standards (NAAQS). In particular, air quality monitors within the City limits continue to register “exceedances” of the 75 parts per billion (ppb) NAAQS for ozone pollution (aka “smog”). Although we believe City leaders are well aware of our city’s current “nonattainment” status for ozone pollution, they may not be aware that the United States Environmental Protection Agency (EPA) is under a court order to decide by December 1, 2014 whether to propose revisions to the Ozone NAAQS. EPA’s decision will be informed by the findings of an independent Clean Air Scientific Advisory Committee (CASAC). On June 26, 2014, CASAC sent a letter to the EPA Administrator advising EPA that, “based on the scientific evidence, a level of 70 ppb provides little margin of safety for the protection of public health... Thus, our policy advice is to set the level of the standard lower than 70 ppb within a range down to 60 ppb.” 2 Packet Pg. 209 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) The AQAB recognizes that ozone pollution is a regional problem that is not entirely caused by, and cannot be completely solved by, activities that occur in Fort Collins. However, given the strong evidence that the ozone standard which our City already exceeds is not protecting public health with an adequate margin of safety, and the distinct possibility that federal regulatory requirements may be made even more stringent in the future, the AQAB feels that the City of Fort Collins should refrain to the greatest possible extent from including in its budget any public investments or expenditures that will directly or indirectly increase air pollution, particularly the types of pollution that contribute to smog (e.g., motor vehicle emissions). We recommend that the City enhance its investments in infrastructure and programs that directly or indirectly reduce air pollution. Foremost among those investments should be those that reduce emissions from the City’s own infrastructure projects, equipment, and operations. We can’t control everything, but it makes sense to control what we can. In particular, transportation- related actions which lead to fewer and cleaner motor vehicle trips will reduce ozone-forming emissions and reduce greenhouse gas emissions. The AQAB also wishes to express a strong preference for direct action over additional planning activities. With those over-arching recommendations in mind, the AQAB offers its support for the following budget offers (sorted by offer #, not priority): • (8.1) Paved Recreational Trail Development: These trails encourage greater use of bicycles as a transportation alternative and thus reduce emissions. It will also enable travel that exposes riders to less vehicle exhaust. • (17.1) KFCG Green Street Implementation Project: The AQAB feels that the value of this approach is as yet unproven but is worthy of testing/demonstrating. If successful, it will encourage greater use of bicycles as a transportation alternative to vehicles and thus reduce emissions. • (25.1) Alleys Improvement Program: This program would directly reduce fugitive dust emissions in densely developed neighborhoods. • (47.4) Healthy Sustainable Homes Program Expansion: This program is a proven success and directly addresses indoor air quality, which can have even greater impacts on public health than outdoor air quality. • (47.11) Air Quality Program Support: The AQAB has first-hand experience with the unforeseeable nature of air quality programs and appreciates the need for City staff to have more resources at their disposal to address urgent, unforeseen air quality issues without detracting from important planned and ongoing work. • (47.13) KFCG Municipal Energy Efficiency Fund: The AQAB feels that this program is especially important because it can directly reduce emissions from buildings (mostly due to natural gas space heating), indirectly reduce power plant emissions by reducing electricity demand, and do so in a way that reduces the long term energy bills for City operations. 3 Packet Pg. 210 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) • (47.16) Regional Air Quality Council: Fort Collins needs to be part of regional air quality discussions. This is the forum for those discussions and we need to fund this to have a seat at the table. • (59.2) Utilities Community Renewables: This is another example of our preference for action over planning. This offer would accelerate the deployment of renewables that can indirectly reduce emissions from regional fossil fuel power plants. • (63.6) 1.0 FTE - Program Manager, On-Street Pay Parking: The AQAB feels that parking in congested parts of the City is provided as a public service but it should be paid for by users. Free parking encourages the use of vehicles for short trips that could be taken via alternative, less polluting modes of transportation. • (141.1) Transportation Air Quality Impacts Guidance Manual: This has been a high priority for the AQAB for some time. When our Board hears presentations about transportation projects, the presenters are invariably unable to discuss the expected air quality impacts in anything other than vague, qualitative terms. We believe it is essential for City staff to develop the ability to assess transportation air quality impacts in a more rigorous and (ideally) quantitative way. The items listed above were identified by the AQAB as high priority items. The Board at this time is not taking a position in support or opposition to any other budget offers. If you have any questions concerning the AQAB’s recommendations, please don’t hesitate to contact me at 970.988.4055 or tmoore@westar.org. We appreciate the opportunity from the Council to provide input to the Budget Lead Team input and look forward to continued public discussion of the City’s budget and priorities. 4 Packet Pg. 211 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 5 Packet Pg. 212 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 6 Packet Pg. 213 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) Agenda Item #1 7 Packet Pg. 214 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 8 Packet Pg. 215 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 9 Packet Pg. 216 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) The Natural Resources Advisory Board has discussed the preliminary proposals that have been submitted to the Budgeting for Outcomes process and would like to endorse the following offers: 148.2 NISP Analysis 148.4 In-stream Flow Specialist 21.1 Downtown Poudre Project 47.8 Integrated Pest Manager 47.5 Phase 2 of Integrated Recycling Facility 47.6 Regional Organics Transfer Station 47.7 Zero Waste Planning Staff 148.1 Poudre River Restoration 22.1 Trees Along Paved Recreation Trails 47.2 Climate Adaptation Planning 120.1 Sustainable Theatrical Lighting 10 Packet Pg. 217 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 11 Packet Pg. 218 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 12 Packet Pg. 219 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 13 Packet Pg. 220 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 14 Packet Pg. 221 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 15 Packet Pg. 222 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 16 Packet Pg. 223 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 17 Packet Pg. 224 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 18 Packet Pg. 225 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 19 Packet Pg. 226 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 20 Packet Pg. 227 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 21 Packet Pg. 228 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 22 Packet Pg. 229 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 23 Packet Pg. 230 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 24 Packet Pg. 231 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 25 Packet Pg. 232 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 26 Packet Pg. 233 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 27 Packet Pg. 234 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 28 Packet Pg. 235 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 29 Packet Pg. 236 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 30 Packet Pg. 237 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 31 Packet Pg. 238 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 32 Packet Pg. 239 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 33 Packet Pg. 240 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 34 Packet Pg. 241 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 35 Packet Pg. 242 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) ! From: Mike Short [mailto:mike@downtownfortcollins.com] Sent: Tuesday, October 14, 2014 10:35 AM To: City Leaders Subject: BFO offers affecting Downtown Dear Mayor, City Manager, and City Council members, As a representative of the Downtown Fort Collins Business Association, we endorse the inclusion of the following BFO offers into the final 2015/2016 Budget: Program Manager for On-Street Pay Parking Daytime Specialized Police Resources Poudre River Downtown Project General Improvement District Old Town Square We believe that these initiatives will greatly enhance the success of Downtown and member businesses and will ultimately enrich the quality of life for every member of the Fort Collins community. Please feel free to call me with any questions at 970-372-8800. Thank you for your support of Downtown. Sincerely, Michael Short Executive Director Downtown Fort Collins Business Association -- Michael Short Downtown Fort Collins Business Association 19 Old Town Square Suite 230 Fort Collins, Colorado 80524 Phone (970)484-6500 Direct (970)419-4384 36 Packet Pg. 243 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 37 Packet Pg. 244 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) 38 Packet Pg. 245 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) Old Town North HOA Board 749 Jerome Street Fort Collins, CO 80524 970-482-1014 August 15, 2014 Dear Mr. Overbeck, Madame Mayor, and Fellow City Council Members, We represent the community of Old Town North Homeowners Association, and are writing in support of the current Draft Plan for significant improvements along the Poudre River. Of particular interest to us is the section closest to our neighborhood, Reach 3 of the Draft Plan. We feel these improvements would have a major, positive impact and broad benefit to the city, the downtown area, and the residents in our area’s new and old neighborhoods. We would like to encourage the initiation of Reach 3’s first stage, the removal of the Coy Ditch diversion, narrowing and deepening the channel, as well as providing improved access to the water. These improvements will reinforce the North College Sub Area Plan by softening the perceived barrier between Old Town and the North College Area. These improvements would have the added benefit of providing flood mitigation for the area. Thankfully, our homes have survived the recent Poudre River flooding in part due to the city’s $10 million investment in the Dry Creek Drainage Improvement project. We see the proposed improvements for Reach 3 (and 4) as a continuation of the 2004 vision that spurred that investment. With the flood mitigation, the vision for an urban river park east of College between Vine and the river has potential to be realized. We understand the business owners along this reach would be willing to relocate, provided they are given alternate facilities, as the city has suggested. These river improvements would have a significant impact on commercial and residential development in the blighted North College Area. Since Old Town North’s original developer’s bankruptcy, primarily two new developers are purchasing and building on the properties in the neighborhood. FR plans to build out most of the single-family residential lots by 2015. RMH has acquired most of the commercial property and several residential lots. RMH is considering expanding commercial acquisitions beyond the property, west to College, so they 39 Packet Pg. 246 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) can develop a compatible commercial “front door” to Old Town North. The vision includes denser commercial along College and mixed use (similar to Penny Flats) along the new east/west streets as proposed in the city’s subarea plan that would connect our neighborhood to College Avenue. We are optimistic that the Reach 3 river improvements will further motivate developers to invest in North College, accelerating it’s transformation into a destination community near downtown. Lastly, the pedestrian bridge in Reach 3 would provide an important link to the Poudre trail for all the north Fort Collins bike commuters and would further support north Fort Collins development. Thank you for your time. Please let us know if we can do anything to help promote the initiation of renovations to the river, especially in Reach 3. Sincerely, OTN Homeowners Association Board of Directors Jim Beal Christine Dianni Michael Bello David Jones Todd Parker Andrew Rauch 40 Packet Pg. 247 Attachment18.1: BFO Letters for Council (2505 : 2015 Annual Appropriation AIS) - 1 - ORDINANCE NO. 153, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS BEING THE ANNUAL APPROPRIATION ORDINANCE RELATING TO THE ANNUAL APPROPRIATIONS FOR THE FISCAL YEAR 2015; ADOPTING THE BUDGET FOR THE FISCAL YEARS BEGINNING JANUARY 1, 2015, AND ENDING DECEMBER 31, 2016; AND FIXING THE MILL LEVY FOR FISCAL YEAR 2015 WHEREAS, the City Manager has, prior to the first Monday in September, 2014, submitted to the City Council a proposed budget for the next ensuing budget term, along with an explanatory and complete financial plan for each fund of the City, pursuant to the provisions of Article V, Section 2, of the City Charter; and WHEREAS, within ten days after the filing of said budget estimate, the City Council set September 23rd and October 7th, 2014, as the dates for the public hearings thereon and caused notice of such public hearings to be given by publication pursuant to Article V, Section 3, of the City Charter; and WHEREAS, the public hearings were held on those dates and persons were given the opportunity to appear and object to any or all items and estimates in the proposed budget; and WHEREAS, Article V, Section 4, of the City Charter requires that, before the last day of November of each fiscal year, the City Council adopt the budget for the ensuing term by ordinance and appropriate such sums of money as the Council deems necessary to defray all expenditures of the City during the ensuing fiscal year; and WHEREAS, Article V, Section 5, of the City Charter provides that the annual appropriation ordinance shall also fix the tax levy upon each dollar of the assessed valuation of all taxable property within the City, such levy representing the amount of taxes for City purposes necessary to provide for payment during the ensuing fiscal year for all properly authorized expenditures to be incurred by the City; and WHEREAS, Article XII, Section 6, of the City Charter permits the City Council to fix, establish, maintain, and provide for the collection of such rates, fees, or charges for water and electricity, and for other utility services furnished by the City as will produce revenues sufficient to pay into the General Fund in lieu of taxes on account of the City-owned utilities such amount as may be established by City Council. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. Budget a. That the City Council has reviewed the City Manager's 2015-2016 Recommended Budget, a copy of which is on file with the office of the City Packet Pg. 248 - 2 - Clerk, and has approved certain amendments thereto. b. That the City Manager’s 2015-2016 Recommended Budget, as amended by the Council, is hereby adopted, in accordance with the provisions of Article V, Section 4, of the City Charter and incorporated herein by reference; provided, however, that the comparative figures contained in the adopted budget may be subsequently revised as deemed necessary by the City Manager to reflect actual revenues and expenditures for the fiscal year 2014. c. That the adopted budget, as amended, shall be maintained in the office of the City Clerk and identified as "The Budget for the City of Fort Collins for the Fiscal Years Ending December 31, 2015, and December 31, 2016, as Adopted by the City Council on November 18, 2014." Section 2. Appropriations. That there is hereby appropriated out of the revenues of the City of Fort Collins, for the fiscal year beginning January 1, 2015, and ending December 31, 2015, the sum of FIVE HUNDRED FIFTY TWO MILLION SIX HUNDRED NINETY FOUR THOUSAND THREE HUNDRED FIFTY DOLLARS ($552,694,350) to be raised by taxation and otherwise, which sum is deemed by the City Council to be necessary to defray all expenditures of the City during said budget year, to be divided and appropriated for the following purposes, to wit: GENERAL FUND $129,738,228 ENTERPRISE FUNDS Golf $3,246,424 Light & Power Operating Total $132,127,984 Capital Projects: Art in Public Places 87,642 Computerized Maintenance Mgmt System 163,000 Emergency Operations Center 18,750 Utilities Vehicle Storage Building 1,868,614 Capital Projects Total 2,138,006 Total Light & Power $134,265,990 Storm Drainage Operating Total $11,272,324 Capital Projects: Art in Public Places 47,636 Computerized Maintenance Mgmt System 40,750 Cooper Slough and Boxelder Basins 330,000 Crushing & Recycling Facility 100,000 Emergency Operations Center 18,750 Stormwater Basin Improvements 3,500,000 Stormwater Developer Repayments 100,000 Stormwater Drainage System Improvements 360,000 Stormwater Master Planning 275,000 Stream Restoration 650,000 Utilities Vehicle Storage Building 253,593 Packet Pg. 249 - 3 - Capital Projects Total 5,675,729 Total Storm Drainage $16,948,053 Wastewater Operating Total $18,000,232 Capital Projects: Art in Public Places 74,456 Computerized Maintenance Mgmt System 40,750 Crushing & Recycling Facility 75,000 Drake Water Reclamation Facility Improvements 5,400,000 Emergency Operations Center 18,750 Utilities Vehicle Storage Building 253,593 Wastewater Collection System Replacement 1,492,000 Water Reclamation Facility Replacement 300,000 Capital Projects Total 7,654,549 Total Wastewater $25,654,781 Water Operating Total $26,289,608 Capital Projects: Art in Public Places 44,298 Chlorine Contact Basin 1,000,000 Computerized Maintenance Mgmt System 81,500 Crushing & Recycling Facility 125,000 Emergency Operations Center 18,750 Utilities Vehicle Storage Building 253,593 Water Distribution System Replacement 500,000 Water Meter Replacement & Rehabilitation 800,000 Water Production - Energy Optimization 285,000 Water Production Replacement Program 1,091,205 Water Source of Supply Replacements 500,000 Capital Projects Total 4,699,346 Total Water $30,988,954 TOTAL ENTERPRISE FUNDS $211,104,202 INTERNAL SERVICE FUNDS Benefits $24,429,049 Data & Communications 9,125,113 Equipment 11,566,546 Self Insurance 3,405,515 Utility Customer Service & Administration 17,197,847 TOTAL INTERNAL SERVICE FUNDS $65,724,070 SPECIAL REVENUE & DEBT SERVICE FUNDS Capital Improvement Expansion $9,135,412 Capital Leasing Corporation 4,636,235 Cemeteries 645,940 Cultural Services & Facilities Operating Total $3,933,058 Capital Projects - Art in Public Places 162,016 Total Cultural Services & Facilities $4,095,074 Packet Pg. 250 - 4 - General Employees' Retirement $3,827,763 Keeping Fort Collins Great Operating Total $22,838,192 Capital Projects: City Bridge Program 2,022,700 Lincoln Neighborhood Projects 380,000 Mulberry Bridge Urban Design 750,000 Pedestrian Sidewalk & ADA Improvements 150,000 Vine & Lemay Intersection 500,000 Capital Projects Total 3,802,700 Total Keeping Fort Collins Great $26,640,892 Museum $1,038,186 Natural Areas 11,147,489 Parking 2,523,660 Perpetual Care 17,428 Recreation 6,667,881 Sales & Use Tax 14,098,200 Street Oversizing 2,636,576 Timberline/Prospect SID 56,000 Transit Services 13,562,429 Transportation Services 24,444,203 SPECIAL REVENUE & DEBT $125,173,368 SERVICE FUNDS CAPITAL PROJECTS FUND General City Capital Projects: Arthur Ditch Master Plan Alternative Analysis $185,000 City Bridge Program 277,300 Community Recycling Facility 1,000,000 Downtown Poudre River Improvements 1,000,000 Epic Pool Improvements 1,500,000 Green Street Implementation 150,000 Linden Street - Walnut to Jefferson 300,000 Northeast Community Park 250,000 Oak Street Public Restroom Replacement 350,000 Railroad Crossing Replacement 150,000 Southeast Community Park 7,900,000 Total General City Capital Projects $13,062,300 1/4 Cent Building on Basics Operating - Administrative Charge $59,900 Capital Projects: Bicycle Plan Implementation 125,000 Intersection Improvements & Traffic Signals 2,220,000 Park Improvements 1,703,622 Pedestrian Sidewalk and ADA Improvements 300,000 Capital Projects Total 4,348,622 Total 1/4 Cent Building on Basics $4,408,522 Conservation Trust Operating Total - Administration & Parks Maint $275,649 Packet Pg. 251 - 5 - Capital Projects: Trail Acquisition/Development 1,191,694 Capital Projects Total 1,191,694 Total Conservation Trust $1,467,343 Neighborhood Parkland Fund Operating Total - Administration $488,317 Capital Projects: Golden Meadows Park 250,000 Lee Martinez Park Improvements 350,000 New Park Site Development 100,000 New Site Acquisition 320,000 Side Hill Neighborhood Park 200,000 Trailhead Park 8,000 Waterfield Nieghborhood Park 300,000 Capital Projects Total 1,528,000 Total Neighborhood Parkland $2,016,317 TOTAL CAPITAL PROJECTS FUNDS $20,954,482 TOTAL CITY FUNDS $552,694,350 Section 3. Mill Levy a. That the 2015 mill levy rate for the taxation upon each dollar of the assessed valuation of all the taxable property within the City of Fort Collins as of December 31, 2014, shall be 9.797 mills, which levy represents the amount of taxes for City purposes necessary to provide for payment during the aforementioned budget year of all properly authorized expenditures to be incurred by the City. b. That the City Clerk shall certify this levy of 9.797 mills to the County Assessor and the Board of Commissioners of Larimer County, Colorado, in accordance with the applicable provisions of law, as required by Article V, Section 5, of the Charter of the City of Fort Collins. Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 18th day of November, A.D. 2014. _________________________________ Mayor ATTEST: _____________________________ City Clerk Packet Pg. 252 - 6 - Passed and adopted on final reading on the 18th day of November, A.D. 2014. _________________________________ Mayor ATTEST: _____________________________ City Clerk Packet Pg. 253 Agenda Item 20 Item # 20 Page 1 AGENDA ITEM SUMMARY October 21, 2014 City Council STAFF Lance Smith, Strategic Financial Planning Manager SUBJECT Items Relating to Utility Rates, Fees and Charges for 2015. EXECUTIVE SUMMARY A. First Reading of Ordinance No. 154, 2014, Amending Chapter 26 of the City Code to Revise Electric Rates, Fees and Charges. B. First Reading of Ordinance No. 155, 2014, Amending Chapter 26 of the City Code to Revise Electric Development Fees and Charges. C. First Reading of Ordinance No. 156, 2014, Amending Chapter 26 of the City Code to Revise Wastewater Rates, Fees, and Charges. The purpose of this item is to consider two Ordinances adjusting electric rates and fees and one Ordinance adjusting wastewater service rates for 2015. The City Manager’s Recommended 2015 City Budget includes small rate increases in the electric and wastewater utilities. The 1.9% electric rate increase is necessary due to increased operation and maintenance costs associated with the generation and transmission of the energy. The 3.0% wastewater rate increase is necessary to meet long term capital improvement needs due to anticipated regulatory changes and aging infrastructure. 2015 Proposed Rate Adjustments Utility Proposed Adjustment Development Fees to Be Adjusted? Electric 1.9% Yes Water - - Wastewater 3.0% - Stormwater - - The table above shows the overall changes in the operational revenues for each utility due to the proposed rate increases. In the discussion below the rate class specific adjustments are given for electric service. The proposed wastewater rate increase would be the same for all rate classes based on the wastewater cost of service study adjustments which were made for 2014. Electric development fee changes are proposed due to changes in material costs. Water and wastewater plant investment fees were updated for 2014 and will not be updated again until 2016. Packet Pg. 254 Agenda Item 20 Item # 20 Page 2 STAFF RECOMMENDATION Staff recommends adoption of the Ordinances on First Reading. BACKGROUND / DISCUSSION A. Proposed Monthly Utility Rate Adjustments The recommended 2015 rate changes are consistent with the City Manager’s Recommended 2015-16 Budget. Individual customer changes will vary by rate class and season for electricity rates and be the same for all wastewater customers. All proposed rates would be effective for meter readings on or after January 1, 2015. Electric Rates - First Reading of Ordinance No. 154, 2014, Amending Chapter 26 of the City Code to Revise Electric Rates, Fees and Charges. Staff proposes a 1.9% increase in electric rates. This increase is due to Platte River Power Authority passing on higher operation costs associated with the generation and transmission of electricity. Fuel costs are expected to increase and there will be 60 MW of new wind power added to the base generation portfolio. The increased costs for purchased power are passed through to all customer classes in the energy charge of each rate schedule with no change in the associated demand charges. In addition, the 2015 increase varies by rate class to reflect the updated Cost of Service Study. The significant decrease in the residential demand rate is attributable to the changing demographics of this rate class following a change in the City Code in 2013 making this rate class available only to all electric households and the availability of actual customer demand data through the Advanced Metering Infrastructure for the 2014 Cost of Service Study. This new data is also behind the cost shift seen in the chart between the small and medium commercial rate classes which had been a single rate class until 2012. The Advanced Metering Infrastructure has decreased the cost of meter reading, which is reflected in lower fixed charges for the commercial rate classes. The following graph shows the proposed retail rate change for each customer class. Packet Pg. 255 Agenda Item 20 Item # 20 Page 3 Wastewater Rates - First Reading of Ordinance No. 156, 2014, Amending Chapter 26 of the City Code to Revise Wastewater Rates, Fees, and Charges. The 3.0% overall rate increase being proposed here for wastewater is necessary to ensure sufficient revenues are being collected for the long term capital costs associated with renewing the wastewater collection system and anticipated treatment plant modifications that will be necessary due to changing regulatory requirements in the near future. The City Manager’s Recommended 2015-16 Budget includes these higher capital investments and the rate increase proposed herein. The Cost of Service Study was updated for 2014 so the proposed 3.0% increase will be consistent across all rate classes in 2015. Water Rates No changes are being proposed for 2015 water monthly rates. Stormwater Rates No changes are being proposed for 2015 stormwater monthly rates. B. Proposed Utility Development Fee Changes Electric Development Fees - First Reading of Ordinance No. 155, 2014, Amending Chapter 26 of the City Code to Revise Electric Development Fees and Charges The annual review of the Electric Development Fees indicates that small fee adjustments are necessary to ensure that development costs are reimbursed fairly and fully by development in 2015. Current 2014 Proposed 2015 $ Change % Change $3,366 $3,389 $23 0.68% Current 2014 Proposed 2015 $ Change % Change $32,895 $32,624 ($271) -0.82% Single Family Lot 8,600 square feet, 70 feet of street frontage, 150 amp service, 4/0 secondary service Model Commercial Development 82,000 sq feet, 190 ft of street frontage, 250 ft primary service, 600 amps, 208 Volt, 3-phase, 1 transformer Packet Pg. 256 Agenda Item 20 Item # 20 Page 4 Category 2014 2015 % Change Per square foot $ 0.05036 $ 0.05121 1.7% Per lineal front foot $ 10.35 $ 10.36 0.1% 150 amp Single Family (non electric heat) 200 amp Single Family (electric heat 150 amp) 150 amp Multi-Family (non electric heat) 200 amp Multi-Family (electric heat 150 amp) 1/0 $ 672 $ 680 1.2% 4/0 $ 810 $ 819 1.1% 350 kCM $ 903 $ 919 1.8% Residential $ 1,398 $ 1,404 0.4% $ 1,638 $ 1,643 0.3% $ 936 0.3% Charge Charge per Dwelling Unit Electric Capactity Fee Building Site Charges Secondary Service $ 933 $ 2,329 $ 2,334 0.2% Category 2014 2015 % Change Per square foot $ 0.05036 $ 0.05121 1.7% Per lineal front foot $ 41.25 $ 40.21 -2.5% Utility Owned Transformers Customer Owned Transformers $ 9.53 $ 9.55 0.2% $ 18.33 $ 18.38 0.3% $ 1,372 $ 1,389 1.2% $ 2,442 $ 2,458 0.7% Charge Commercial Electric Capactity Fee Service Entrance (per kilowatt- amp) $ 64.32 $ 63.53 -1.2% $ 53.87 $ 54.35 0.9% Transformer Install 1 phase Transformer Install 3 phase Building Site Charges Primary Circuit 1 phase Primary Circuit 3 phase An additional clarification relating to Residential Building Site Charges is also being made. The Secondary Service Charge, which provides the electric service line from the primary system in street right of way to the customer’s meter is collected on the building permit. This was previously the only building site charge listed for residential development. The proposed change now more clearly labels this charge as Secondary Service Agenda Item 20 Item # 20 Page 5 Current Estimated $ % 2014 2015 Increase Increase Electric 700 kWh/mo Stormwater 8,600 sq.ft. lot, light runoff Wastewater 4,800 gal/mo WQA Water 15,000 gal/mo Total Estimated Average Monthly Utility Bill $176.43 $178.04 $1.61 0.9% Current Estimated $ % 2014 2015 Increase Increase Electric 700 kWh/mo Stormwater 8,600 sq.ft. lot, light runoff Wastewater 4,800 gal/mo $33.21 $34.21 WQA Water 5,000 gal/mo Total Estimated Average Monthly Utility Bill $139.66 $141.77 $2.12 1.5% $0.00 $0.60 0.9% $0.00 0.0% $1.00 3.0% $0.00 0.0% 1.8% $1.00 3.0% $0.00 $63.21 $71.40 $1.11 $33.21 $34.21 $14.26 Typical Residential Customer – Monthly Utility Bill 0.0% $28.98 $28.98 0.0% $14.26 $58.16 SUMMER WINTER $64.32 $14.26 $14.26 $58.16 $70.80 The next two tables provide some comparison of the utility bills for customers of Fort Collins Utilities with the proposed 2015 rate adjustments and neighboring communities based on the current 2014 rates in those communities. Packet Pg. 258 Agenda Item 20 Item # 20 Page 6 FINANCIAL / ECONOMIC IMPACTS The proposed rate ordinances will increase costs of the typical residential customer receiving electric service by $0.60 per month in the Summer and $1.11 per month for the remainder of the year. The Summer increase is less than the non-Summer increase because the wholesale demand charges which are higher in the Summer are not changing in 2015. The typical residential customer receiving wastewater service will see an increase of $1.00 per month for this service. In general, more frequent and modest rate adjustments minimize the financial impacts of such adjustments to the community. Fort Collins Utilities strives to have such rate adjustments through intermediate and long term financial planning so as to avoid larger or more intermittent rate adjustments which can have more severe impacts to commercial customers on non-calendar fiscal years and residential customers on fixed incomes. Packet Pg. 259 Agenda Item 20 Item # 20 Page 7 ENVIRONMENTAL IMPACTS Funding from the proposed electric rate increase will directly increase the amount of wind energy utilized in Fort Collins and allow the Utilities to continue programs and services aimed at meeting the goals and objectives of the Energy Policy and Climate Action Plan. Wastewater rate increases provide funding for environmental regulatory compliance. BOARD / COMMISSION RECOMMENDATION At its September 18, 2014 meeting, the Water Board voted to recommend approval of the proposed 2015 wastewater rate increase. The draft Board minutes are attached. At its September 4, 2014, meeting, the Energy Board voted unanimously to support the 2015 Electric rate and development fee increases. The approved Board minutes are attached. PUBLIC OUTREACH Notice of the proposed electric rate changes was published in the Coloradoan, and a mailing was sent to all city electric customers residing outside of the city limits in accordance with state requirements. Commercial customers have been advised of the proposed increases through community presentations and individual meetings and communications. Staff plans to conduct outreach to all customers following the adoption of the Ordinances. Each customer’s rate class specific adjustments will be presented along with the system average adjustment through social media, print media, and meetings. Commercial customers may contact customer service for specifically their estimated rate adjustments. Residential customers may do a rate comparison through the utility website. A public meeting was held in September for commercial Key Accounts. ATTACHMENTS 1. Energy Board minutes, September 4, 2014 (PDF) 2. Water Board minutes (draft), September 18, 2014 (PDF) 3. Powerpoint presentation (PDF) Packet Pg. 260 Excerpt from Approved Energy Board Minutes September 4, 2014 2015 Utility Rates (Attachments available upon request) Rate Analyst Randy Reuscher presented information on the 2015 Electric Rate Increase. An electric rate increase is required in 2015 due to an increase in purchase power rates from Platte River Power Authority. The average increase projected for Fort Collins Utilities customers is 1.9%. Over a three-year period (2015-17), the operations and maintenance expense will increase and estimated $10.1 million for Platte River, which is partially driving the needed increase. Staff completed the 2014 cost of service study, including updating the usage history for all rate classes. The Residential Demand (RD) rate is for all electric customers. Mr. Catanach stated the goal of the cost of service rate structure is to be completely fair, which is attainable because we now have better data, and a more accurate representation across the different classes. Strategic Financial Planning Manager Lance Smith stated the fixed charge should be close to $20; one reason for a low fixed charge is that lower income does indicate to some extent lower consumption, and a lower fixed charge may benefit this group, as well as encourage energy conservation overall. Mr. Smith stated ordinances are required for the rate increase and for the development fee. Board Member Moore moved to prepare a letter to council in advance of first reading of “Utility Rate Ordinances” on Oct. 21, 2014, stating the Energy Board’s position on the proposed 2015 electric rate increases and the electric development fees. Chairperson Behm suggested a friendly amendment, which Board Member Moore agreed to: revise the language from the Energy Board’s “position on” to “support of.” Board Member Moore moved to prepare a letter to council in advance of first reading of “Utility Rate Ordinances” on Oct. 21, 2014, stating the Energy Board’s support of the proposed 2015 electric rate increases and the electric development fees. Board Member Baumgarn Stacy seconded the motion.  A board member inquired about whether there were any complaints about the rate increase at the Key Accounts meeting today. Mr. Reuscher stated there were none.  A board member inquired if a 2% rate increase is typical. Mr. Reuscher stated that compared to last five to six years, it’s a minimal increase. Mr. Phelan stated the half percent increase each year over that period was for the Fort Collins Community Solar Garden. Vote on the motion: It passed unanimously. ATTACHMENT 1 Packet Pg. 261 Attachment20.1: Energy Board minutes, September 4, 2014 (2489 : Utility Rates, Fees and Charges for 2015) ATTACHMENT 2 Packet Pg. 262 Attachment20.2: Water Board minutes (draft), September 18, 2014 (2489 : Utility Rates, Fees and Charges for 2015) Packet Pg. 263 Attachment20.2: Water Board minutes (draft), September 18, 2014 (2489 : Utility Rates, Fees and Charges for 2015) 1 2015 Utility Rates City Council October 21, 2014 1st Reading ATTACHMENT 3 Packet Pg. 264 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 2 2015 Rates and Fee Ordinances § Ordinance No. , 2014 increases electric rates by 1.9% overall for 2015 § Ordinance No. , 2014 adjusts electric development fees slightly § Ordinance No. ,2014 increases wastewater rates by 3.0% overall in 2015 Packet Pg. 265 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 3 Electric Rate Increase for 2015 • Increased costs associated with generation and transmission require a 1.9% overall rate increase – O&M increase of $10.1 million for transmission expenses and planned outages – Purchase Power increase of $6.2 million • Spring Canyon PPA (60 MW wind) • Western Hydro rate increases § Fuel costs to increase by $2.7 million Packet Pg. 266 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 4 Electric Adjustments by Rate Class 1.6% -11.3% 6.5% -0.2% 2.0% 1.8% 1.6% Residential Residential Demand Small Commercial Medium Commercial Large Commercial Industrial Substation % Rate Increase 2015 Proposed Electric Rate Changes Based on the 2014 Cost of Service Study Packet Pg. 267 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 5 CAMU Residential Packet Pg. 268 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 6 CAMU Small Commercial Packet Pg. 269 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 7 CAMU Large Commercial Packet Pg. 270 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 8 CAMU Industrial Packet Pg. 271 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 9 Proposed Utility Development Fee Changes Current 2014 Proposed 2015 $ Change % Change $3,366 $ 3,389 $23 0.68% Current 2014 Proposed 2015 $ Change % Change $32,895 $ 32,624 ($271) -0.82% Single Family Lot 8,600 square feet, 70 feet of street frontage, 150 amp service, 4/0 secondary service Model Commercial Development 82,000 sq feet, 190 ft of street frontage, 250 ft primary service, 600 amps, 208 Volt, 3-phase, 1 transformer Packet Pg. 272 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 10 Wastewater Rate Increase § Proposed 3% increase for 2015 § Driven by Capital Improvement Plan § Cost of service updated in 2013 § Increase is the same for all rate classes Packet Pg. 273 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 11 No 2015 Rate Changes § Water Rates § Stormwater Rates § PIFs ØWater ØWastewater ØStormwater Packet Pg. 274 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 12 Typical Residential Utility Bill Packet Pg. 275 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 13 Typical Residential Summer Utility Bill Current Estimated $ % 2014 2015 Increase Increase Electric 700 kWh/mo Stormwater 8,600 sq.ft. lot, light runoff Wastewater 4,800 gal/mo WQA Water 15,000 gal/mo Total Estimated Average Monthly Utility Bill $176.43 $178.04 $1.61 0.9% $0.60 0.9% $0.00 0.0% $1.00 3.0% $0.00 0.0% $71.40 $33.21 $34.21 $14.26 Typical Residential Customer – Monthly Utility Bill $14.26 $58.16 SUMMER $58.16 $70.80 Packet Pg. 276 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 14 Typical Residential Winter Utility Bill Current Estimated $ % 2014 2015 Increase Increase Electric 700 kWh/mo Stormwater 8,600 sq.ft. lot, light runoff Wastewater 4,800 gal/mo $33.21 $34.21 WQA Water 5,000 gal/mo Total Estimated Average Monthly Utility Bill $139.66 $141.77 $2.12 1.5% $0.00 1.8% $1.00 3.0% $0.00 $63.21 $1.11 Typical Residential Customer – Monthly Utility Bill 0.0% $28.98 $28.98 0.0% WINTER $64.32 $14.26 $14.26 Packet Pg. 277 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) 15 Thank You Packet Pg. 278 Attachment20.3: Powerpoint presentation (2489 : Utility Rates, Fees and Charges for 2015) - 1 - ORDINANCE NO. 154, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING CHAPTER 26 OF THE CODE OF THE CITY OF FORT COLLINS TO REVISE ELECTRIC RATES, FEES AND CHARGES WHEREAS, the City Council is empowered and directed by Article XII, Section 6, of the City Charter to fix, establish, maintain and provide for the collection of such rates, fees or charges for utility services furnished by the City as will produce revenues sufficient to pay the costs, expenses and other obligations of the electric utility, as set forth therein; and WHEREAS, the City purchases bulk wholesale electric power from Platte River Power Authority (“PRPA”) pursuant to an Amended Contract for Supply of Electric Power and Energy, dated September 1, 2010; and WHEREAS, PRPA costs are increasing due to reduced wholesale market prices and surplus sales, increased costs for coal, and increased operating costs for aging plants; and WHEREAS, PRPA will increase the City’s wholesale cost of power approximately 2.5% in 2015; and WHEREAS, the increased wholesale power costs will require an average 1.9% increase in the City’s electric rates; and WHEREAS, the proposed rate increase will vary by customer class based on the cost of service to each class; and WHEREAS, the Energy Board considered the proposed electric rates, fees and changes for 2015 at its September 4, 2014, meeting and recommended approval of the rate changes by an unanimous vote; and WHEREAS, the City Manager and staff have recommended to the City Council the following electric rate adjustments for all billings issued with meter readings on or after January 1, 2015; and WHEREAS, based on the foregoing, it is the desire of the City Council to amend Chapter 26 of the City Code to revise the electric rates, fees and charges. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That Sections 26-464(c), (d), (p) and (r) of the Code of the City of Fort Collins are hereby amended to read as follows: Sec. 26-464. Residential energy service, schedule R. (c) Monthly rate. The monthly rates for this schedule are as follows: Packet Pg. 279 - 2 - (1) Fixed charge, per account: four five dollars and forty-eightseven cents ($4.48$5.07). (2) Distribution facilities charge, per kilowatt-hour: two and sixty-twothirty- eight one-hundreds cents ($0.0262$0.0238). (3) Energy and demand charge, during the summer season billing months of June, July and August, with the summer season billing month determined by the month the meter is read, and provided that no customer shall be billed more than three (3) full billing cycles at the summer rate. The energy and demand charge shall be billed as follows: a. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: five six and eighty-threefive one-hundredths cents ($0.0583$0.0605). b. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: seven and forty-onesixty-nine one-hundredths cents ($0.0741$0.0769). c. For all additional kilowatt hours per month, per kilowatt hour: ten and fifty-sevenninety-seven one-hundredths cents ($0.1057$0.1097). (4) Energy and demand charge, during the non-summer season billing months of January through May and September through December: a. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: five and fifteenforty-five one-hundredths cents ($0.0515$0.0545). b. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: five and fifty-threeeighty-five one-hundredths cents ($0.0553$0.0585). c. For all additional kilowatt hours per month, per kilowatt hour: six and thirty-sixseventy-three one-hundredths cents ($0.0636$0.0673). (5) In lieu of taxes and franchise: a charge at the rate of six and zero-tenths (6.0) percent of all monthly service charges billed pursuant to this Section. … (d) Medical assistance program. (1) The rates described in Subsection (c) above shall be discounted for those electric customers to whom this rate schedule applies and who apply for such discount, as long as: Packet Pg. 280 - 3 - a. the applicant's annual household income falls below sixty (60) percent of the Larimer County Area Median Income (as determined by the Federal Housing Authority); and b. the application is accompanied by a certified, signed statement from a licensed physician that electrical durable medical equipment used at the residential premises is medically necessary and that such medical equipment has been assigned a Healthcare Common Procedure Coding System number; and/or c. a certified, signed statement from a licensed physician that air conditioning at the residential premises is medically necessary for a resident thereof who, in the absence of the air conditioning, may suffer medical deterioration due to a severe immune-compromising medical condition, including, but not limited to, multiple sclerosis, quadriplegia, paraplegia, scleroderma or hemiplegia; and d. the application is accompanied by a sworn affidavit from the applicant verifying that all information contained in the application, including, if applicable, the representation that air conditioning will be operational at the applicant's address during the summer billing months, is true and correct. (2) Applications for rate discounts under this Section must be submitted annually in accordance with an administratively established schedule. (3) The discounted rates for customers with electrical durable medical equipment only shall be calculated as follows: a. Fixed charge, per account: fourfive dollars and forty-eightseven cents ($4.48$5.07). b. Distribution facilities charge, per kilowatt hour: two and sixty- twothirty-eight one-hundredths cents ($0.0262$0.0238). c. Energy and demand charge, during the summer season billing months of June, July and August, with the summer season billing month determined by the month the meter is read, and provided that no customer shall be billed more than three (3) full billing cycles at the summer rate. The energy demand charge shall be billed as follows: 1. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: three and twenty-nineforty-two one-hundredths cents ($0.0329$0.0342). 2. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: seven and forty-onesixty-nine one-hundredths cents ($ 0.0741$0.0769). Packet Pg. 281 - 4 - 3. For all additional kilowatt hours per month, per kilowatt hour: ten and fifty-sevenninety-seven one-hundredths cents: ($0.1057$0.1097). d. Energy and demand charge, during the non-summer season billing months of January through May and September through December: 1. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: two and eighty-twoninety-eight one-hundredths cents ($0.0282$0.0298). 2. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: five and fifty-threeeighty-five one-hundredths cents ($0.0553$0.0585). 3. For all additional kilowatt hours per month, per kilowatt hour: six and thirty-sixseventy-three one-hundredths ($0.0636$0.0673). e. In lieu of taxes and franchise: a charge at the rate of six and zero- tenths (6.0) percent of all monthly service charges billed pursuant to this Section. (4) The discounted rates for customers with medical needs requiring air conditioning only shall be calculated as follows: a. Fixed charge, per account: fourfive dollars and forty-eightseven cents ($4.48$5.07). b. Distribution facilities charge, per kilowatt hour: two and sixty- twothirty-eight one-hundredths cents ($0.0262$0.0238). c. Energy and demand charge, during the summer season billing months of June, July and August, with the summer season billing month determined by the month the meter is read, and provided that no customer shall be billed more than three (3) full billing cycles at the summer rate. The energy and demand charge shall be billed as follows: 1. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: three and twenty-twothirty-five one-hundredths cents ($0.0322$0.0335). 2. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: four and tentwenty-five one-hundredths cents ($0.0410$0.0425). Packet Pg. 282 - 5 - 3. For all additional kilowatt hours per month, per kilowatt hour: ten and fifty-sevenninety-seven one-hundredths cents ($0.1057$0.1097). d. Energy and demand charge, during the non-summer season billing months of January through May and September through December: 1. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: five and fifteenforty-five one-hundredths cents ($ 0.0515$0.0545). 2. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: five and fifty-threeeighty-five one-hundredths cents ($0.0553$0.0585). 3. For all additional kilowatt hours per month, per kilowatt hour: six and thirty-sixseventy-three one-hundredths cents ($0.0636$0.0673). e. In lieu of taxes and franchise: a charge at the rate of six and zero- tenths (6.0) percent of all monthly service charges billed pursuant to this Section. (5) The discounted rates for customers with electrical durable medical equipment and medical needs requiring air conditioning shall be calculated as follows: a. Fixed charge, per account: fourfive dollars and forty-eightseven cents ($4.48$5.07). b. Distribution facilities charge, per kilowatt hour: two and sixty- twothirty-eight one-hundredths cents ($0.0262$0.0238). c. Energy and demand charge, during the summer season billing months of June, July and August, with the summer season billing month determined by the month the meter is read, and provided that no customer shall be billed more than three (3) full billing cycles at the summer rate. The energy and demand charge shall be billed as follows: 1. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: two and elevennineteen one-hundredths cents ($0.0211$0.0219). 2. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: two and sixty-eightseventy-eight one-hundredths cents ($ 0.0268$0.0278). Packet Pg. 283 - 6 - 3. For all additional kilowatt hours per month, per kilowatt hour: ten and fifty-sevenninety-seven one-hundredths cents ($0.1057$0.1097). d. Energy and demand charge, during the non-summer season billing months of January through May and September through December: 1. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: two and eighty-twoninety-eight one-hundredths cents ($0. 0.0282$0.0298). 2. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: five and fifty-threeeighty-five one-hundredths cents ($ 0.0553$0.0585). 3. For all additional kilowatt hours per month, per kilowatt hour: six and thirty-sixseventy-three one-hundredth cents ($ 0.0636$0.0673). e. In lieu of taxes and franchise: a charge at the rate of six and zero- tenths (6.0) percent of all monthly service charges billed pursuant to this Section. (6) Notwithstanding the foregoing, no rate established under this Subsection shall reflect a discount exceeding an amount consistent with the use of one hundred fifty (150) kilowatt hours per month for the operation of electrical durable medical equipment or, if applicable, an additional amount consistent with the use of three hundred fifty (350) kilowatt hours per month for air conditioning. (7) A decision that an applicant does not qualify to participate in this program for a medical or financial reason may be appealed to the Utilities Executive Director, who shall, prior to making his or her decision, and as he or she deems appropriate, confer with one (1) or more medical or financial experts in reviewing such appeal. … (p) Net metering. (1) Net metering service is available to a customer-generator producing electric energy exclusively with a qualifying facility using a qualifying renewable technology when the generating capacity of the customer-generator's qualifying facility meets the following two (2) criteria: a. the qualifying facility is sized to supply no more than one hundred twenty (120) percent of the customer-generator's average annual electricity consumption at that site, including all contiguous property owned or Packet Pg. 284 - 7 - leased by the customer-generator, without regard to interruptions in contiguity caused by easements, public thoroughfares, transportation rights-of-way or utility rights-of-way; and b. the rated capacity of the qualifying facility does not exceed the customer-generator's service entrance capacity. (2) The energy generated by an on-site qualifying facility and delivered to the utility's electric distribution facility shall be used to offset energy provided by the utility to the customer-generator during the applicable billing period. (3) The customer-generator and electric service arrangements shall be subject to the requirements and conditions described in the City of Fort Collins Utility Services Interconnection Standards for Generating Facilities Connected to the Fort Collins Distribution System. (4) A customer-generator who receives approval from the electric utility to obtain net metering service shall be subject to the monthly rates described above in this rate schedule section. (5) The customer-generator's consumption of energy from the utility and production of energy that flows into the utility's distribution system shall be measured on a monthly basis. The energy consumed from the utility by the customer-generator shall be billed at the applicable seasonal tiered rate as outlined in Subsection (c) of this Section. The energy produced by the customer-generator shall be credited to the customer as follows: a. Distribution facilities charge, per kilowatt-hour: two and sixty- twothirty-eight one-hundredths cents ($0.0262$0.0238). b. The energy and demand credit, per kilowatt-hour: fivesix and eighty-threefive one-hundredths cents ($0.0583$0.0605). … (r) Net metering-community solar projects. (1) Net metering service is available to a customer who holds an exclusive interest in a portion of the electric energy generated by a community solar project when the generating capacity of the customer’s interest is sized to supply no more than one hundred twenty (120) percent of the customer's average annual electricity consumption at the customer’s point of service, including all Packet Pg. 285 - 8 - contiguous property owned or leased by the customer, without regard to interruptions in contiguity caused by easements, public thoroughfares, transportation rights-of-way or utility rights-of-way. (2) The community solar project-generator and electric service arrangements shall be subject to the requirements and conditions described in the City of Fort Collins Utility Services Interconnection Standards for Generating Facilities Connected to the Fort Collins Distribution System. (3) Both the customer's consumption of energy from Fort Collins Utilities and interest in the production of energy that flows into Fort Collins Utilities’ distribution system shall be measured on a monthly basis. The energy consumed from Fort Collins Utilities by the customer shall be billed at the applicable seasonal tiered rate as outlined in Subsections (c) and (d) of this Section. The energy produced by the customer’s portion of the qualifying facility shall be credited to the customer as follows: 1. Distribution facilities charge, per kilowatt-hour: one and thirty-onenineteen one-hundredths cents ($0.0131$0.0119). 2. The energy and demand credit, per kilowatt-hour: fivesix and eighty-threefive one-hundredths cents ($0.0583$0.0605). Section 2. That Sections 26-465 (c), (f), (q), and (r) of the Code of the City of Fort Collins are hereby amended to read as follows: Sec. 26-465. Residential demand service, schedule RD (c) Monthly rate. The monthly rates are as follows: (1) Fixed charge, per account: sevenfive dollars and twenty-fourseven cents ($7.24$5.07). (2) Demand charge, per kilowatt: two dollars and fiftytwenty-six cents ($2.50$2.26). (3) Distribution facilities charge, per kilowatt-hour: two and ninety-foureleven one-hundredths cents ($ 0.0294$0.0211). (4) Energy charge, per kilowatt-hour: a. During the summer season billing months of June, July and August: four and threesixteen one-hundredths cents ($ 0.0403$0.0416). b. During the non-summer season billing months of January through May and September through December: threefour and eighty-sevenzero one-hundredths cents ($ 0.0387$0.0400). Packet Pg. 286 - 9 - c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (5) In lieu of taxes and franchise: a charge at the rate of six and zero-tenths (6.0) percent of monthly service charges billed pursuant to this Section. … (f) Standby service charges. Standby service, if available, will be provided on an annual contract basis at a level at least sufficient to meet probable service demand (in kilowatts) as determined by the customer and approved by the utility according to the following: (1) The monthly standby distribution charge shall be onetwo dollars and twenty-threethirty-three cents ($1.23$2.33) per kilowatt of contracted standby service. This charge shall be in lieu of the distribution facilities charge. For all metered kilowatts in excess of the contracted amount, the standby distribution charge shall be threesix dollars and seventy-oneninety-nine cents ($3.71$6.99) per kilowatt. (2) In the event the contractual kilowatt amount is exceeded, the beginning date of the contract period will be reset. The first month of the new contract period will become the current billing month and such month's metered demand shall become the minimum allowable contract demand for the standby service. Requests for standby service may be subject to a waiting period. An operation and maintenance charge may be added for special facilities required to provide standby service. … (q) Net metering. (1) Net metering service is available to a customer-generator producing electric energy exclusively with a qualifying facility using a qualifying renewable technology when the generating capacity of the customer-generator's qualifying facility meets the following two (2) criteria: a. the qualifying facility is sized to supply no more than one hundred twenty (120) percent of the customer-generator's average annual electricity consumption at that site, including all contiguous property owned or leased by the customer-generator, without regard to interruptions in contiguity caused by easements, public thoroughfares, transportation rights-of-way or utility rights-of-way; and Packet Pg. 287 - 10 - b. the rated capacity of the qualifying facility does not exceed the customer-generator's service entrance capacity. (2) The energy generated by an on-site qualifying facility and delivered to the utility's electric distribution facility shall be used to offset energy provided by the utility to the customer-generator during the applicable billing period. (3) The customer-generator and electric service arrangements shall be subject to the requirements and conditions described in the City of Fort Collins Utility Services Interconnection Standards for Generating Facilities Connected to the Fort Collins Distribution System. (4) A customer-generator who receives approval from the electric utility to obtain net metering service shall be subject to the monthly rates described above in this rate schedule section. (5) The customer-generator's consumption of energy from the utility and production of energy that flows into the utility’s distribution system shall be measured on a monthly basis. The energy consumed from the utility by the customer-generator shall be billed at the applicable seasonal tiered rate as outlined in Section Subsection (c) of this Section. The energy produced by the customer- generator shall be credited to the customer as follows: a. Distribution facilities charge, per kilowatt hour: two and sixty- twothirty-eight one-hundredths cents ($0.0262$0.0238). b. The energy and demand credit, per kilowatt-hour: fivesix and eighty- threefive one-hundredths cents ($0.0583$0.0605). … (r) Net metering-community solar projects. (1) Net metering service is available to a customer who holds an exclusive interest in a portion of the electric energy generated by a community solar project when the generating capacity of the customer’s interest is sized to supply no more than one hundred twenty (120) percent of the customer's average annual electricity consumption at the customer’s point of service, including all contiguous property owned or leased by the customer, without regard to interruptions in contiguity caused by easements, public thoroughfares, transportation rights-of-way or utility rights-of-way. (2) The community solar project-generator and electric service arrangements shall be subject to the requirements and conditions described in the City of Fort Collins Utility Services Interconnection Standards for Generating Facilities Connected to the Fort Collins Distribution System. Packet Pg. 288 - 11 - (3) Both the customer's consumption of energy from Fort Collins Utilities and interest in the production of energy that flows into Fort Collins Utilities’ distribution system shall be measured on a monthly basis. The energy consumed from Fort Collins Utilities by the customer shall be billed at the applicable seasonal tiered rate as outlined in Subsection (c) of this Section. The energy produced by the customer’s portion of the qualifying facility shall be credited to the customer as follows: 1. Distribution facilities charge, per kilowatt-hour: one and thirty- onenineteen one-hundredths cents ($0.0131$0.0119). 2. The energy and demand credit, per kilowatt-hour: fivesix and eighty-threefive one-hundredths cents ($0.0583$0.0605). Section 3. That Section 26-466 (c) and (r) of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-466. General service, schedule GS. (c) Monthly rate. The monthly rates for this schedule are as follows: (1) Fixed charge, per account: a. Single-phase, two-hundred-ampere service: three dollars and sixty- eighttwenty-six cents ($3.68$3.26). b. Single-phase, above two-hundred-ampere service: tennine dollars and eighty-threesixty cents ($10.83$9.60). c. Three-phase, two-hundred-ampere service: fivefour dollars and fifty-nineninety-six cents ($5.594.96). d. Three-phase, above two-hundred-ampere service: thirteeneleven dollars and twenty-fourseventy-four cents ($13.24$11.74). (2) Demand charge, per kilowatt-hour: a. During the summer season billing months of June, July and August: two and eighty-nineseventy-seven one-hundredths cents ($0.0289$0.0277). b. During the non-summer season billing months of January through May and September through December: one and fortyforty-nine one- hundredths cents ($0.0140$0.0149). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. Packet Pg. 289 - 12 - (3) Distribution facilities charge, per kilowatt-hour: OneTwo and eighty- seventwenty-seven one-hundredths cents ($0.0187$0.0227). (4) Energy charge, per kilowatt-hour: a. During the summer season billing months of June, July and August: four and threesixteen one-hundredths cents ($0.0403$0.0416). b. During the non-summer season billing months of January through May and September through December: threefour and eighty-sevenzero one-hundredths cents ($0.0387$0.0400). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (5) In lieu of taxes and franchise: a charge at the rate of six and zero-tenths (6.0) percent of all monthly service charges billed pursuant to this Section. … (r) Net metering-community solar projects. (1) Net metering service is available to a customer who holds an exclusive interest in a portion of the electric energy generated by a community solar project when the generating capacity of the customer’s interest is sized to supply no more than one hundred twenty (120) percent of the customer's average annual electricity consumption at the customer’s point of service, including all contiguous property owned or leased by the customer, without regard to interruptions in contiguity caused by easements, public thoroughfares, transportation rights-of-way or utility rights-of-way. (2) The community solar project-generator and electric service arrangements shall be subject to the requirements and conditions described in the City of Fort Collins Utility Services Interconnection Standards for Generating Facilities Connected to the Fort Collins Distribution System. (3) Both the customer's consumption of energy from Fort Collins Utilities and interest in the production of energy that flows into Fort Collins Utilities’ distribution system shall be measured on a monthly basis. The energy consumed from Fort Collins Utilities by the customer shall be billed at the applicable seasonal tiered rate as outlined in Subsection (c) of this Section. The energy produced by the customer’s portion of the qualifying facility shall be credited to the customer as follows: 1. Distribution facilities charge, per kilowatt-hour: ninety-fourone and Packet Pg. 290 - 13 - fourteen one-hundredths one-thousandths cents ($0.0094$0.0114). 2. The energy and demand credit, per kilowatt-hour: four and threesixteen one-hundredths cents ($0.0403$0.0416). Section 4. That Sections 26-467 (c) and (f) of the Code of the City of Fort Collins are hereby amended to read as follows: Sec. 26-467. General service 25, schedule GS25. (c) Monthly rate. The monthly rates for this schedule are as follows: (1) Fixed charge, per account: a. Single-phase, two-hundred-ampere service: three dollars and sixty- eighttwenty-six cents ($3.68$3.26). b. Single-phase, above two-hundred-ampere service: tennine dollars and eighty-threesixty cents ($10.83$9.60). c. Three-phase, two-hundred-ampere service: fivefour dollars and fifty-nineninety-six cents ($5.59$4.96). d. Three-phase, above two-hundred-ampere service: thirteeneleven dollars and twenty-fourseventy-four cents ($13.24$11.74). (2) Demand charge, per kilowatt: a. During the summer season billing months of June, July and August: seven dollars and sixty-fourfifty-two cents ($7.64$7.52). b. During the non-summer season billing months of January through May and September through December: four dollars and thirty-eightthirty- seven cents ($4.38$4.37). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (3) Distribution facilities charge, per kilowatt-hour: one and eighty- sevenseventy-six one-hundredths cents ($0.0187$0.0176). (4) Energy charge, per kilowatt-hour: a. During the summer season billing months of June, July and August: four and threesixteen one-hundredths cents ($0.0403$0.0416). Packet Pg. 291 - 14 - b. During the non-summer season billing months of January through May and September through December: threefour and eighty-sevenzero one-hundredths cents ($ 0.0387$0.0400). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (5) In lieu of taxes and franchise: a charge at the rate of six and zero-tenths (6.0) percent of all monthly service charges billed pursuant to this Section. … (f) Standby service charges. Standby service, if available, will be provided on an annual contract basis at a level at least sufficient to meet probable service demand (in kilowatts) as determined by the customer and approved by the utility according to the following: (1) The monthly standby distribution charge shall be fourthree dollars and forty-threeeighty-two cents ($4.43$3.82) per kilowatt of contracted standby service. This charge shall be in lieu of the distribution facilities charge. For all metered kilowatts in excess of the contracted amount, the standby distribution charge shall be thirteeneleven dollars and twenty-nineforty-five cents ($13.29$11.45) per kilowatt. (2) In the event the contractual kilowatt amount is exceeded, the beginning date of the contract period will be reset. The first month of the new contract period will become the current billing month and such month's metered demand shall become the minimum allowable contract demand for the standby service. Requests for standby service may be subject to a waiting period. An operation and maintenance charge may be added for special facilities required to provide standby service. Section 5. That numbered Section 26-468 (c), (f) and (g) of the Code of the City of Fort Collins are hereby amended to read as follows: Sec. 26-468. General service 50, schedule GS50. (c) Monthly rate. The monthly rates for this schedule are as follows: (1) Fixed charge, per account: twenty-onenine dollars and twoforty-five cents ($21.02$9.45). An additional charge of forty dollars and zero cents ($40.) may be assessed if telephone communication service is not provided by the customer. (2) Coincident demand charge, per kilowatt: a. During the summer season billing months of June, July and August: eleven and eighteen cents ($11.18). Packet Pg. 292 - 15 - b. During the non-summer season billing months of January through May and September through December: seven dollars and eighty cents ($7.80). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (3) Distribution facilities demand charge, per kilowatt: five dollars and seventy-eightninety cents ($5.78$5.90). (4) Energy charge, per kilowatt-hour: a. During the summer season billing months of June, July and August: four and threesixteen one-hundredths cents ($0.0403$0.0416). b. During the non-summer season billing months of January through May and September through December: threefour and eighty-sevenzero one-hundredths cents ($0.0387$0.0400). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (5) In lieu of taxes and franchise: a charge at the rate of six and zero-tenths (6.0) percent of all monthly service charges billed pursuant to this Section. … (f) Standby service charges. Standby service, if available, will be provided on an annual contract basis at a level at least sufficient to meet probable service demand (in kilowatts) as determined by the customer and approved by the utility according to the following: (1) Standby distribution charge. a. The monthly standby distribution charge shall be four dollars and seventyseventy-two cents ($4.70$4.72) per kilowatt of contracted standby service. This charge shall be in lieu of the distribution facilities charge. For all metered kilowatts in excess of the contracted amount, the standby distribution charge shall be fourteen dollars and eightsixteen cents ($14.08$14.16) per kilowatt. b. In the event the contractual kilowatt amount is exceeded, the beginning date of the contract period will be reset. The first month of the new contract period will become the current billing month and such month's metered demand shall become the minimum allowable contract Packet Pg. 293 - 16 - demand for the standby service. Requests for standby service may be subject to a waiting period. An operation and maintenance charge may be added for special facilities required to provide standby service. (2) Standby generation and transmission charge. All charges incurred by the utility under Platte River Power Authority's applicable tariffs, as may be amended from time to time, will be billed to the customer as a standby generation and transmission charge. … (g) Excess circuit charge. In the event a utility customer in this rate class desires excess circuit capacity for the purpose of controlling the available electric capacity of a backup circuit connection, this service, if available, will be provided on an annual contract basis at a level at least sufficient to meet probable backup demand (in kilowatts) as determined by the customer and approved by the utility according to the following: (1) The excess circuit charge shall be ninety-nineeighty-six cents ($0.99$0.86) per contracted kilowatt of backup capacity per month. For any metered kilowatts in excess of the contracted amount, the excess circuit charge shall be two dollars and ninety-ninefifty-eight cents ($2.99$2.58) per kilowatt. (2) In the event the contractual kilowatt limit is exceeded, a new annual contract period will automatically begin as of the month the limit is exceeded. The metered demand in the month of exceedance shall become the minimum contracted demand level for the excess circuit charge. Section 6. That numbered Sections 26-469 (c), (f) and (g) of the Code of the City of Fort Collins are hereby amended to read as follows: Sec. 26-469. General service 750, schedule GS750. (c) Monthly rate. The monthly rates for this schedule are as follows: (1) Fixed charge, per account: sixty-onefifteen dollars and ninety-sixtwenty- four cents ($61.96$15.24). a. Additional charge for each additional metering point: fifty- fournine dollars and seventy-fourfifty cents ($54.74$9.50). b. An additional charge of forty dollars and zero cents ($40.) for each metering point may be assessed if telephone communication service is not provided by the customer. (2) Coincident demand charge, per kilowatt: a. During the summer season billing months of June, July and August: eleven and one cent ($11.01). Packet Pg. 294 - 17 - b. During the non-summer season billing months of January through May and September through December: seven dollars and sixty-nine cents ($7.69). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (3) Distribution facilities demand charge, per kilowatt: a. First seven hundred fifty (750) kilowatts: sixfive dollars and twoeighty-five cents ($6.02$5.85). b. All additional kilowatts: three dollars and fifty-nineforty-eight cents ($3.59$3.48). (4) Energy charge, per kilowatt-hour: a. During the summer season billing months of June, July and August: threefour and ninety-seventen one-hundredths cents ($0.0397$0.0410). b. During the non-summer season billing months of January through May and September through December: three and eighty-oneninety-four one-hundredths cents ($0.0381$0.0394). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (5) In lieu of taxes and franchise: a charge at the rate of six and zero-tenths (6.0) percent of all monthly service charges billed pursuant to this Section. … (f) Standby service charges. Standby service, if available, will be provided on an annual contract basis at a level at least sufficient to meet probable service demand (in kilowatts) as determined by the customer and approved by the utility according to the following: (1) Standby distribution charge. a. The monthly standby distribution charge shall be three dollars and seventy-sixfifty-two cents ($3.76$3.52) per kilowatt of contracted standby service. This charge shall be in lieu of the distribution facilities charge. For all metered kilowatts in excess of the contracted amount, the standby Packet Pg. 295 - 18 - distribution charge shall be eleventen dollars and twenty-ninefifty-six cents ($11.29$10.56) per kilowatt. b. In the event the contractual kilowatt amount is exceeded, the beginning date of the contract period will be reset. The first month of the new contract period will become the current billing month and such month's metered demand shall become the minimum allowable contract demand for the standby service. Requests for standby service may be subject to a waiting period. An operation and maintenance charge may be added for special facilities required to provide standby service. (2) Standby generation and transmission charge. All charges incurred by the utility under the Platte River Power Authority's applicable tariffs, as may be amended from time to time, will be billed to the customer as a standby generation and transmission charge. … (g) Excess circuit charge. In the event a utility customer in this rate class desires excess circuit capacity for the purpose of controlling the available electric capacity of a backup circuit connection, this service, if available, will be provided on an annual contract basis at a level at least sufficient to meet probable backup demand (in kilowatts) as determined by the customer and approved by the utility according to the following: (1) The excess circuit charge shall be eightysixty-four cents ($0.80$0.64) per contracted kilowatt of backup capacity per month. For any metered kilowatts in excess of the contracted amount, the excess circuit charge shall be twoone dollars and forty-oneninety-two cents ($2.41$1.92) per kilowatt. (2) In the event the contractual kilowatt limit is exceeded, a new annual contract period will automatically begin as of the month the limit is exceeded. The metered demand in the month of exceedance shall become the minimum contracted demand level for the excess circuit charge. Section 7. That 26-470 (b), (c) and (e) of the Code of the City of Fort Collins are hereby amended to read as follows: Sec. 26-470. Substation service, schedule SS. (b) Applicability. This schedule applies to customers served directly from a City substation who do not utilize any part of the City's electric distribution circuitssystem (including, but not limited to, duct banks, circuits or conduits) to receive service. This schedule applies only to individual services with an average metered demand of seven hundred fifty (750) kilowatts or greater. … (c) Monthly rate. The monthly rates for this schedule are as follows: Packet Pg. 296 - 19 - (1) Fixed charge, per account: sixty-onethirty-nine dollars and ninety-sixforty- seven cents ($61.96$39.47). (2) Coincident demand charge, per kilowatt: a. During the summer season billing months of June, July and August: ten dollars and eighty-four cents ($10.84). b. During the non-summer season billing months of January through May and September through December: seven dollars and fifty-seven cents ($7.57). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (3) Distribution facilities demand charge, per kilowatt: two dollars and seventy-fivefifty cents ($2.75$2.50). (4) Energy charge, per kilowatt-hour: a. During the summer season billing months of June, July and August: threefour and ninety-onefour one-hundredths cents ($0.0391$0.0404). b. During the non-summer season billing months of January through May and September through December: three and seventy-fiveeighty- eight one-hundredths cents ($0.0375$0.0388). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (5) In lieu of taxes and franchise: a charge at the rate of six and zero-tenths (6.0) percent of all monthly service charges billed pursuant to this Section. … (e) Standby service charges. Standby service, if available, will be provided on an annual contract basis at a level at least sufficient to meet probable service demand (in kilowatts) as determined by the customer and approved by the utility according to the following: (1) Standby distribution charge. a. The monthly standby distribution charge shall be two dollars and fiftytwenty-two cents ($2.50$2.22) per kilowatt of contracted standby service. This charge shall be in lieu of the distribution facilities charge. Packet Pg. 297 - 20 - For all metered kilowatts in excess of the contracted amount, the standby distribution charge shall be sevensix dollars and fortysixty-six cents ($7.40$6.66) per kilowatt. b. In the event the contractual kilowatt amount is exceeded, the beginning date of the contract period will be reset. The first month of the new contract period will become the current billing month and such month's metered demand shall become the minimum allowable contract demand for the standby service. Requests for standby service may be subject to a waiting period. An operation and maintenance charge may be added for special facilities required to provide standby service. (2) Standby generation and transmission charge. All charges incurred by the utility under the Platte River Power Authority's applicable tariffs, as may be amended from time to time, will be billed to the customer as a standby generation and transmission charge. Section 8. That the amendments herein are effective shall go into effect for all bills issued with meter readings on or after January 1, 2015. Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 18th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 18th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 298 - 1 - ORDINANCE NO. 155, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING CHAPTER 26 OF THE CODE OF THE CITY OF FORT COLLINS TO REVISE ELECTRIC DEVELOPMENT FEES AND CHARGES WHEREAS, the City Council is empowered and directed by Article XII, Section 6, of the City Charter to fix, establish, maintain and provide for the collection of such rates, fees or charges for utility services furnished by the City as will produce revenues sufficient to pay the costs, expenses and other obligations of the electric utility, as set forth therein; and WHEREAS, the City Council has determined that it is appropriate for new development to contribute its proportionate share of providing capital improvements; and WHEREAS, Section 26-471 of the City Code requires the electric development fees to be reviewed annually by the City Manager and presented to the City Council for approval no less than biennially; and WHEREAS, on November 5, 2013 the City Council adopted Ordinance No. 147, 2013, which established the electric development fees in effect for 2014; and WHEREAS, Electric Utility staff has determined that capital improvement costs required to meet the demands of anticipated new development will increase in 2015; and WHEREAS, the City Manager and Electric Utilities staff have recommended to the City Council adjustments to the electric development fees and charges for all invoices paid on or after January 1, 2015; and WHEREAS, Electric Utilities staff have recommended to the City Council that the description of the Building Site Charge (“BSC”) at Section 26-474 of the City Code be amended to distinguish between the charge applicable when connection to an on-site transformer is required to serve a residential structure and the charge when an on-site transformer is not required for electric service; and WHEREAS, based on the foregoing, the City Council has determined that amending Chapter 26 of the City Code to revise electric development fees and charges for 2015 is in the best interests of the customers of the Electric Utility and the City in general. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That Section 26-474 (b) and (c), “Residential electric development fees and charges” of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-474. Residential electric development fees and charges. . . . Packet Pg. 299 - 2 - (b) The ECF shall be the total of the site footage charge, dwelling charge and systems modification charge, to be determined as follows: (1) The site footage charge shall be the combined total of: a. five and thirty-sixone hundred twenty-one thousandths cents ($0.05036$0.05121) per square foot of developed site square footage, including all applicable tracts but excluding the area of dedicated public rights-of-way and excluding areas dedicated to the city as parkland, however, specific areas within city owned parks that require electric service will be charged; and b. ten dollars and thirty-fivethirty-six cents ($10.35$10.36) per lineal foot of the developed site abutting a dedicated street or roadway. (2) The dwelling unit charge shall be as follows: a. For a single-family panel size with one-hundred-fifty-amp service (nonelectric heat), one thousand three four hundred and ninety-eightfour dollars ($1,398.$1,404) per dwelling unit; b. For a single-family panel size with two-hundred-amp service or with one-hundred-fifty-amp service (electric heat), two thousand three hundred twenty-nine thirty-four dollars ($2,329.$2,334) per dwelling unit; c. For a multi-family panel size with one-hundred-fifty-amp service (nonelectric heat), nine hundred thirty-threethirty-six dollars ($933.$936) per dwelling unit; d. For a multi-family panel size with two-hundred-amp service or with one-hundred-fifty-amp service (electric heat), one thousand six hundred thirty-eightforty-three dollars ($1,638.$1,643) per dwelling unit. (3) A system modifications charge will apply when a new or modified service will require infrastructure in addition to or different from the standard base electrical system model. The differential costs associated with such system modifications will be included in the calculated ECF. (c) A Building Site Charge ("BSC") for any new or modified residential service shall consist of the total of the applicable charges as described in this subsection (c), and shall be paid as specified hereinprior to issuance of a building permit for the related construction or modification. (1) When any new or modified multi-family service requires extending primary circuitry to an on-site transformer, this component of the BSC charge shall be invoiced and paid in the same manner and at the same time as the ECF is Packet Pg. 300 - 3 - invoiced and paid pursuant to Subsection (a) of this Section, and. The BSC shall be the total of the primary circuit charge, transformer installation charge and any additional charges. The amounts shall be the same as the BSC for nonresidential development, as shown in Section 26-475 (c). (2) When any new or modified residential service requires installation by the Utility of secondary service,. Thethe BSC shall include a secondary service charge (SSC), and shall be paid at the time of building permit and based upon the current rates as of the time of issuance of the building permit. The BSCSSC shall be the total of the secondary service charges, and any additional charges, determined as follows: (1)a. The secondary service charge shall be as follows: Secondary Service Size Charge (up to 65 feet) Plus Per Foot Charge For Each Foot Over 65 1/0 service $ 672.00$ 680.00 $4.93$4.98/Foot 4/0 service $ 810.00$ 819.00 $5.68$5.72/Foot 350 kCM Service $ 903.00$ 919.00 $7.24$7.29/Foot 1/0 Mobile Home Service $ 524.00$ 531.00 N/A 4/0 Mobile Home Service $ 640.00$ 647.00 N/A (23) Actual special costs to the utility of installation of primary or secondary service resulting from site conditions shall be included in the BSC as additional charges. Such conditions may include, but are not limited to, frozen or rocky soil, concrete cutting and asphalt replacement. Section 2. That Section 26-475 (b) and (c), “Nonresidential electric development fees and charges” of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-475. Nonresidential electric development fees and charges. (b) The ECF shall be the total of the site footage charge, kVA service charge and systems modification charge, to be determined as follows: Packet Pg. 301 - 4 - (1) The site footage charge shall be the combined total of: a. five and thirty-sixone hundred twenty-one thousandths cents ($0.05036$0.05121) per square foot of developed site square footage, including all applicable tracts but excluding the area of dedicated public rights-of-way and excluding areas dedicated to the city as parkland, however, specific areas within city owned parks that require electric service will be charged; and b. forty-one forty dollars and twenty-five twenty-one cents ($41.25$40.21) per lineal foot of the developed site abutting a dedicated street or roadway. (2) The kVA service charge shall be determined as follows. a. For customer electric loads served by the utility the kVA service charge shall be: 1. Utility-owned transformers: the kVA service charge shall be sixty-foursixty-three dollars and thirty-twofifty-three cents ($64.32$63.53) per kilovolt-amp (kVA) of service load rating. 2. Customer owned transformers: the kVA service charge shall be fifty-threefifty-four dollars and eighty-seventhirty-five cents ($53.87$54.35) per kilovolt-amp (kVA) of service load rating. b. For the utility to receive customer generation in excess of the customer’s electric service provided by the utility, the following KVA service charge will also apply: 1. Utility-owned transformers: the kVA service charge shall be fifty-threefifty-four dollars and eighty-seventhirty-five cents ( $53.87$54.35) per kilovolt-amp (kVA) of generation service rating in excess of the service load rating as paid per subparagraph (2)a.1. above. Such ratings shall be determined by the Utilities Executive Director. 2. Customer owned transformers: the kVA service charge shall be forty-three dollars and thirty-seveneighty-five cents ($43.37$43.85) per kilovolt-amp (kVA) of generation service rating in excess of the service load rating paid per subparagraph (2)a.2. above. Such ratings shall be determined by the Utilities Executive Director. Packet Pg. 302 - 5 - (3) A system modifications charge will apply when a new or modified service will require infrastructure in addition to or different from the standard base electrical system model. The differential costs associated with such system modifications will be included in the calculated ECF. (c) A Building Site Charge ("BSC") for extending primary circuitry to the transformer for any new or modified nonresidential service shall be invoiced and paid in the same manner and at the same time as the ECF is invoiced and paid pursuant to Subsection (a) of this Section. The BSC shall be the total of the primary circuit charge, transformer installation charge and any additional charges, determined as follows: (1) The primary circuit charge for service from the utility source to the transformer shall be as follows: a. for single-phase service, a charge of nine dollars and fifty-three fifty-five cents ($9.53$9.55) per foot of primary circuit; b. for three-phase service, a charge of eighteen dollars and thirty- threethirty-eight cents ($18.33$18.38) per foot of primary circuit. (2) The transformer installation charge shall be as follows: a. for single-phase service, a charge of one thousand three hundred seventy-twoeighty-nine dollars ($1,372$1,389) per transformer; b. for three-phase service, a charge of two thousand four hundred forty-twofifty-eight dollars ($2,442$2,458) per transformer. (3) Actual special costs to the utility of installation of service resulting from site conditions shall be included in the BSC as additional charges. Such conditions may include, but are not limited to, frozen or rocky soil, concrete cutting and asphalt replacement. Section 3. That the amendments to Chapter 26 of the City Code contained herein shall go into effect for all invoices paid on or after January 1, 2015. Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 18th day of November, A.D. 2014. _________________________________ Mayor ATTEST: _____________________________ City Clerk Packet Pg. 303 - 6 - Passed and adopted on final reading on the 18th day of November, A.D. 2014. _________________________________ Mayor ATTEST: _____________________________ City Clerk Packet Pg. 304 - 1 - ORDINANCE NO. 156, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING CHAPTER 26 OF THE CODE OF THE CITY OF FORT COLLINS TO REVISE WASTEWATER RATES, FEES, AND CHARGES WHEREAS, the City Council is empowered and directed by Article XII, Section 6, of the City Charter to fix, establish, maintain, and provide for the collection of such rates, fees, or charges for utility services furnished by the City as will produce revenues sufficient to pay the costs, expenses, and other obligations of the wastewater utility, as set forth therein; and WHEREAS, City Code Section 26-277 requires that the City Manager analyze the operating and financial records of the wastewater utility during each calendar year and recommend to the City Council the user rate fees or adjustments to be in effect for the following year; and WHEREAS, City Code Section 26-277 further requires that the user rates be revised as necessary to assure equity of the rate system established and to assure that sufficient funds are obtained to adequately operate and maintain the wastewater system; and WHEREAS, the Water Board considered the proposed wastewater rates, fees, and changes for 2015 at its September 18, 2014 meeting and recommended approval of the changes by unanimous vote; and WHEREAS, the City Manager has recommended to the City Council that the following wastewater rates be imposed for the billing year beginning January 1, 2015. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That Section 26-280 of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-280. Service charges established by category. The schedule of rates for each category described in § 26-279 shall be as follows: Category Class of Customer Rate A Single-family residential user (flat rate) $36.2937.38 per month Single-family residential user (metered water use) $16.2116.70 per month plus $3.1503.245 per 1,000 gallons of either winter quarter water use or 3,000 gallons, whichever is greater. For single family Packet Pg. 305 - 2 - customers who have not established a winter quarter water use at the service address, a system average of 4,800 gallons per month shall be billed. B Duplex (two-family) residential users (flat rate) $49.7151.20 per month Duplex (two-family) residential users (metered water use) $18.4218.97 per month plus $2.7642.847 per 1,000 gallons of either winter quarter water use or 4,000 gallons, whichever is greater. For duplex customers who have not established a winter quarter water use at the service address, a system average 7,200 gallons shall be billed. C Multi-family residential user (more than two dwelling units including mobile home parks) and winter quarter based nonresidential user $3.0513.143 per 1,000 gallons of winter quarter water use, plus a base charge of $2.402.47 per month per dwelling unit served. For multi-family customers who have not established a winter quarter water use at the service address, a system average of 3,400 gallons per living unit shall be billed. However, Category D rates will apply to multi- family residential units under construction during the period of service from the installation of the water meter to the date the certificate of occupancy is issued. D Minor nonresidential user $2.8232.908 per 1,000 gallons of water use, measured sewage flow or winter quarter water use, whichever is applicable, plus the following applicable base charge: Size of water meter (inches) Base charge ¾ or smaller $8.158.39 1 18.8119.37 1½ 37.8538.99 2 64.7766.71 3 103.48106.58 4 163.43168.33 6 716.42737.91 8 827.20852.02 Packet Pg. 306 - 3 - E and F Intermediate nonresidential user and Significant industrial user $2.8232.908 per 1,000 gallons of water use, measured wastewater flow or winter quarter water use, whichever is applicable; plus a surcharge of $3.1203.214 per million gallons for each milligram per liter of suspended solids in excess of 235 milligrams per liter; plus a surcharge of $2.5992.677 per million gallons for each milligram per liter of BOD in excess of 265 milligrams per liter or a surcharge of $1.6411.690 per million gallons for each milligram per liter of COD in excess of 400 milligrams per liter, or a surcharge of $4.8575.003 per million gallons for each milligram per liter of TOC in excess of 130 milligrams per liter, whichever is applicable. The user shall pay this calculated amount plus the applicable base charge set forth below: Size of water meter (inches) Base charge ¾ or smaller $ 8.158.39 1 18.8119.37 1½ 37.8538.99 2 64.7766.71 3 103.48106.58 4 163.43168.33 6 716.42737.91 8 827.20852.02 G User outside City limits The rate for users outside the City limits shall be the same as for like service inside the City limits as is specified in Categories A—F and H in this Section H Special with agreement The rate pursuant to a special wastewater services agreement approved by the City Council pursuant to § 26-290 shall be set forth in said agreement. Section 2. That Section 26-282 (a) of the Code of the City of Fort Collins is hereby amended to read as follows: Packet Pg. 307 - 4 - Sec. 26-282. Wastewater strength or industrial surcharges and categories established. (a) The schedule of wastewater strength surcharge for customers located either inside or outside the City limits shall be as follows: Parameter Excess over (mg/l) Rate per gallon BOD 265 $ 0.0025990.002677 COD 400 0.0016410.001690 TOC 130 0.0048570.005003 TSS 235 0.0031200.003214 . . . Section 3. That the amendments to the Chapter 26 of the City Code contained herein shall go into effect for all bills issued on or after January 1, 2015. Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 18th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 18th day of November, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk Packet Pg. 308 City of Fort Collins Page 1 Karen Weitkunat, President City Council Chambers Gerry Horak, District 6, Vice President City Hall West Bob Overbeck, District 1 300 LaPorte Avenue Lisa Poppaw, District 2 Fort Collins, Colorado Gino Campana, District 3 Wade Troxell, District 4 Cablecast on City Cable Channel 14 Ross Cunniff, District 5 on the Comcast cable system Carrie Daggett Darin Atteberry Wanda Nelson Interim City Attorney Executive Director Secretary The City of Fort Collins will make reasonable accommodations for access to City services, programs, and activities and will make special communication arrangements for persons with disabilities. Please call 221-6515 (TDD 224- 6001) for assistance. General Improvement District No. 1 Meeting October 21, 2014 (after the Regular Council Meeting)  CALL MEETING TO ORDER  ROLL CALL 1. First Reading of Ordinance No. 066, Determining and Fixing the Mill Levy for the General Improvement District No. 1 for the Fiscal Year 2015; Directing the Secretary of the District to Certify such Levy to the Board of Commissioners of Larimer County; and Making the Fiscal Year 2015 Annual Appropriation (staff: Mike Beckstead; 3 minute staff presentation; 5 minute discussion) The sum of $276,000 is anticipated to be collected from the mill levy of 4.924 mills for fiscal year 2015 imposed within the General Improvement District No. 1 (GID) boundaries. Additional revenue for GID No. 1 from automobile specific ownership taxes, ad valorem taxes, and interest earnings are anticipated to total $38,000 resulting in an expected revenue total of $314,000 for 2015. In addition, the 2015 budget will include the use of $920,000 from GID No. 1 reserves to contribute to the $3 million makeover of Old Town Square that is being led by the Downtown Development Authority (DDA).  OTHER BUSINESS  ADJOURNMENT GENERAL IMPROVEMENT DISTRICT NO. 1 BOARD Agenda Item 1 Item # 1 Page 1 AGENDA ITEM SUMMARY October 21, 2014 General Improvement District No. 1 Board STAFF Mike Beckstead, Chief Financial Officer SUBJECT First Reading of Ordinance No. 066, Determining and Fixing the Mill Levy for the General Improvement District No. 1 for the Fiscal Year 2015; Directing the Secretary of the District to Certify such Levy to the Board of Commissioners of Larimer County; and Making the Fiscal Year 2015 Annual Appropriation EXECUTIVE SUMMARY The sum of $276,000 is anticipated to be collected from the mill levy of 4.924 mills for fiscal year 2015 imposed within the General Improvement District No. 1 (GID) boundaries. Additional revenue for GID No. 1 from automobile specific ownership taxes, ad valorem taxes, and interest earnings are anticipated to total $38,000 resulting in an expected revenue total of $314,000 for 2015. In addition, the 2015 budget will include the use of $920,000 from GID No. 1 reserves to contribute to the $3 million makeover of Old Town Square that is being led by the Downtown Development Authority (DDA). STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. BACKGROUND / DISCUSSION The recommended appropriations for this amount are as follows: Capital Improvement Projects: $1,000,000 to contribute to the $3 million makeover of Old Town Square $ 26,000 to be used for other capital improvements in the downtown area $1,026,000 Total Other GID Expenses: $ 14,005 for staffing $ 11,500 for the Larimer County Treasurer's fee for collecting the property tax $ 23,000 for property tax rebate program $ 2,500 for estimated electrical costs for downtown lighting and water $ 1,560 for miscellaneous expenses $115,000 for transfer to other funds $167,565 Total Packet Pg. 2 Agenda Item 1 Item # 1 Page 2 FINANCIAL / ECONOMIC IMPACTS This Ordinance includes the annual appropriation for 2015 at $1,193,565. This item also sets the GID No. 1 mill levy at 4.924 mills, which will generate approximately $276,000 for fiscal year 2015. The mill levy remains unchanged from previous years. Additional 2015 revenue includes automobile specific ownership taxes, ad valorem taxes, and interest which together are projected to be $38,000 in fiscal year 2015. ATTACHMENTS 1. Boundary map (PDF) Packet Pg. 3 ATTACHMENT 1 Packet Pg. 4 Attachment1.1: Boundary map (2439 : GID No.1 2015 Mill Levy and Budget Appropriation) - 1 - ORDINANCE NO. 066 OF THE COUNCIL OF THE CITY OF FORT COLLINS, COLORADO EX-OFFICIO THE BOARD OF DIRECTORS OF GENERAL IMPROVEMENT DISTRICT NO. 1, DETERMINING AND FIXING THE MILL LEVY FOR THE GENERAL IMPROVEMENT DISTRICT NO. 1 FOR THE FISCAL YEAR 2015; DIRECTING THE SECRETARY OF THE DISTRICT TO CERTIFY SUCH LEVY TO THE BOARD OF COMMISSIONERS OF LARIMER COUNTY; AND MAKING THE FISCAL YEAR 2015 ANNUAL APPROPRIATION WHEREAS, City of Fort Collins General Improvement District No. 1 (the “GID”) in Fort Collins, Colorado, has been duly organized in accordance with the ordinances of the City and the statutes of the State of Colorado; and WHEREAS, the GID staff has considered the amount of money to be raised by a levy on the taxable property in the GID and recommends that a levy of 4.924 mills upon each dollar of the assessed valuation of all taxable property within the limits of the GID is required during 2015 to pay the cost of operating the GID; and WHEREAS, the GID staff estimates a levy of 4.924 mill will result in $276,000 of revenue; and WHEREAS, the amount of this proposed mill levy is not an increase over prior years so that prior voter approval of the levy is not required under Article X, Section 20 of the State Constitution; and WHEREAS, Section 39-5-128(1) of the Colorado Revised Statutes requires certification of any tax levy to the Board of County Commissioners no later than December 15; and WHEREAS, additional revenue is collected by the GID from such sources as the automobile ownership tax, ad valorem taxes, and interest earnings and that revenue for 2015 is anticipated to be $38,000; and WHEREAS, the City Council, acting as the ex-officio Board of Directors of the GID, desires to appropriate the necessary funds for operating costs and capital improvements of the GID for the fiscal year beginning January 1, 2015, and ending December 31, 2015. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS, Ex-Officio the Board of Directors of City of Fort Collins General Improvement District No. 1, as follows: Section 1. That, for the purpose of providing the necessary funds to meet the expenses to be incurred in the General Improvement District No. 1 in 2015, 4.924 mills is hereby levied upon each dollar of the assessed valuation of all taxable property within the General Improvement District No.1 as of December 31, 2014. Packet Pg. 5 - 2 - Section 2. That the City Clerk is hereby designated as the Secretary of the General Improvement District No. 1 and is hereby authorized and directed to certify such levy to the Board of Larimer County Commissioners as provided by law. Section 3. That the City Council, acting ex-officio as the Board of Directors of City of Fort Collins General Improvement District No. 1, hereby appropriates out of the revenues of General Improvement District No. 1 for the fiscal year beginning January 1, 2015, and ending December 31, 2015, the sum of TWO HUNDRED SEVENTY THREE THOUSAND FIVE HUNDRED SIXTY FIVE DOLLARS ($273,565) to be raised by taxation and additional revenue to be expended for the authorized purposes of the General Improvement District No.1. Section 4. That the City Council, acting ex-officio as the Board of Directors of City of Fort Collins General Improvement District No. 1, hereby appropriates out of prior year reserves of the General Improvement District No. 1 for the fiscal year beginning January 1, 2015, and ending December 31, 2015, the sum of NINE HUNDRED TWENTY THOUSAND DOLLARS ($920,000) for authorized purposes of the General Improvement District No.1. Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 18th day of November, A.D. 2014. _________________________________ Mayor, Ex Officio President ATTEST: _____________________________ City Clerk, Ex Officio Secretary Passed and adopted on final reading on the 18th day of November, A.D. 2014. _________________________________ Mayor, Ex Officio President ATTEST: _____________________________ City Clerk, Ex Officio Secretary Packet Pg. 6 City of Fort Collins Page 1 Karen Weitkunat, President City Council Chambers Gerry Horak, District 6, Vice President City Hall West Bob Overbeck, District 1 300 LaPorte Avenue Lisa Poppaw, District 2 Fort Collins, Colorado Gino Campana, District 3 Wade Troxell, District 4 Cablecast on City Cable Channel 14 Ross Cunniff, District 5 on the Comcast cable system Carrie Daggett Darin Atteberry Wanda Nelson Interim City Attorney Executive Director Secretary The City of Fort Collins will make reasonable accommodations for access to City services, programs, and activities and will make special communication arrangements for persons with disabilities. Please call 221-6515 (TDD 224- 6001) for assistance. Skyview South General Improvement District No. 15 Meeting October 21, 2014 (after the General Improvement District No. 1 Meeting)  CALL MEETING TO ORDER 1. First Reading of Ordinance No. 006, Determining and Fixing the Mill Levy for the Skyview South General Improvement District No. 15 for the Fiscal Year 2015; Directing the Secretary of the District to Certify Such Levy to the Board of Commissioners of Larimer County; and Making the Fiscal Year 2015 Annual Appropriation. (staff: Mike Beckstead; 3 minute staff presentation; 5 minute discussion) This Ordinance includes the annual appropriation for 2015 of $1,000. The sum of $24,700 is anticipated to be collected from the mill levy of 10.0 mills for fiscal year 2015. Additional revenue for the General Improvement District (GID) No. 15 ("GID No. 15") from interest earnings is anticipated to generate $370. The total 2015 revenue for GID No. 15 is expected to be $25,070. The total amount will be used in the future to maintain and repair roads in the Skyview subdivision.  OTHER BUSINESS  ADJOURNMENT SKYVIEW SOUTH GENERAL IMPROVEMENT DISTRICT NO. 15 BOARD Agenda Item 1 Item # 1 Page 1 AGENDA ITEM SUMMARY October 21, 2014 Skyview South General Improvement District No. 15 Board STAFF Mike Beckstead, Chief Financial Officer SUBJECT First Reading of Ordinance No. 006, Determining and Fixing the Mill Levy for the Skyview South General Improvement District No. 15 for the Fiscal Year 2015; Directing the Secretary of the District to Certify Such Levy to the Board of Commissioners of Larimer County; and Making the Fiscal Year 2015 Annual Appropriation. EXECUTIVE SUMMARY This Ordinance includes the annual appropriation for 2015 of $1,000. The sum of $24,700 is anticipated to be collected from the mill levy of 10.0 mills for fiscal year 2015. Additional revenue for the General Improvement District (GID) No. 15 ("GID No. 15") from interest earnings is anticipated to generate $370. The total 2015 revenue for GID No. 15 is expected to be $25,070. The total amount will be used in the future to maintain and repair roads in the Skyview subdivision. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. BACKGROUND / DISCUSSION In 2009, the City annexed Phase 3 of the Southwest Enclave Annexation. The area annexed included the entire Larimer County Skyview South General Improvement District No. 15 (GID No.15). A map of the GID No. 15 is attached. Larimer County organized GID No. 15 in 1997. Pursuant to Section 31-25-603, C.R.S., since the annexation area included the entire area within the improvement district boundaries, upon annexation, GID No.15 became a City-operated district and Council has thereafter acted as the ex officio Board of Directors of the District. Under State law, the City is required to set the annual mill levy for the GID No. 15 and to certify the amount of the levy to the Board of County Commissioners for Larimer County. This Ordinance continues the establishment, as in years past, of a mill levy of 10.0. FINANCIAL / ECONOMIC IMPACTS This Ordinance sets the Skyview South General Improvement District No. 15 mill levy at 10.0 mills, which will generate approximately $24,700 for fiscal year 2015. Additional 2015 revenue for the GID No. 15 includes interest earnings, which are projected to be $370 in fiscal year 2015. In addition the 2015 Budget will include the use of $1,000 for the Larimer County Treasurer’s fee for collecting the property tax. ATTACHMENTS 1. Boundary map (PDF) Packet Pg. 2 W TRILBY RD S COLLEGE AVE W SKYWAY DR CONSTELLATION DR MARS DR VENUS AVE ARAN ST ORBIT WAY DEBRA DR H OLYOKE C T P O L A R I S DR S T A R W A Y S T AV O NDALE R D RAMA H D R N E P T U N E D R GALA X Y W A Y URANUS ST F LA G L E R R D - 1 - ORDINANCE NO. 006 OF THE COUNCIL OF THE CITY OF FORT COLLINS, COLORADO ACTING AS THE EX-OFFICIO BOARD OF DIRECTORS OF SKYVIEW SOUTH GENERAL IMPROVEMENT DISTRICT NO. 15, DETERMINING AND FIXING THE MILL LEVY FOR THE SKYVIEW SOUTH GENERAL IMPROVEMENT DISTRICT NO. 15 FOR THE FISCAL YEAR 2015; DIRECTING THE SECRETARY OF THE DISTRICT TO CERTIFY SUCH LEVY TO THE BOARD OF COMMISSIONERS OF LARIMER COUNTY; AND MAKING THE FISCAL YEAR 2015 ANNUAL APPROPRIATION WHEREAS, the Skyview South General Improvement District No. 15 (the “GID”) was created by Larimer County in 1997 and annexed into the City by Phase Three of the Southwest Enclave Annexation in 2009; and WHEREAS, pursuant to Sections 31-25-603 and 37-25-609, C.R.S., as a result of the annexation of the entire GID into the City, the GID is now a district of the City and the City Council is to act as the ex-officio board of directors of the GID; and WHEREAS, GID staff has considered the amount of revenue to be raised by a levy on the taxable real property within the GID boundaries, and recommends imposing a levy of 10.0 mills upon each dollar of the assessed valuation of all such taxable real property for 2015; and WHEREAS, GID staff estimates a levy of 10.0 mills will result in $24,700 of revenue; and WHEREAS, the amount of this proposed mill levy is not an increase over prior years; as such, prior voter approval of the proposed levy is not required under Article X, Section 20 of the State Constitution; and WHEREAS, Section 39-5-128(1) of the Colorado Revised Statutues requires certification of any tax levy to the Board of Commissioners of Larimer County no later than December 15; and WHEREAS, additional revenue totaling $370 for 2015 is expected to be collected by the GID from interest earnings; and NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS, acting ex-officio as the Board of Directors of the City of Fort Collins Skyview South General Improvement District No. 15, as follows: Section 1. That the 2015 mill levy rate for taxation upon each dollar of the assessed valuation of taxable real property within the GID boundaries shall be 10.0 mills. Section 2. That the City Clerk is hereby designated as the Secretary for the GID and shall certify this levy of 10.0 mills to the County Assessor and the Board of Larimer County Commissioners as provided by law. Packet Pg. 4 - 2 - Section 3. That the City Council, acting ex-officio as the Board of Directors of the City of Fort Collins General Improvement District No. 15, hereby appropriates out of the revenues of the GID for the fiscal year beginning January 1, 2015, and ending December 31, 2015, the sum of ONE THOUSAND DOLLARS ($1,000). Section 4. That revenue to be raised by taxation and additional revenue of the GID will be reserved in fund balance until such future time as authorized by the Board of Directors for the purposes of the General Improvement District No. 15. Introduced, considered favorably on first reading, and ordered published this 21st day of October, A.D. 2014, and to be presented for final passage on the 18th day of November, A.D. 2014. _________________________________ Mayor, Ex Officio President ATTEST: _____________________________ City Clerk, Ex Officio Secretary Passed and adopted on final reading on the 18th day of November, A.D. 2014. _________________________________ Mayor, Ex Officio President ATTEST: _____________________________ City Clerk, Ex Officio Secretary Packet Pg. 5 IDALIA DR Y U M A CT I D A L I A CT RICK DR SOLAR CT M E R C U R Y D R W SATURN DR F O S S IL CREST DR E TRILBY RD E SATURN DR G A L A X Y CT E SKYWAY DR PLATEAU CT AURORA WAY LEO CT OR I O N CT PLUTO CT SUNDOWN CT FL A G L E R RD General Improvement Skyview South District No. 15 Legend General Improvement District #15 Parcels 1 inch = 600 feet ATTACHMENT 1 Packet Pg. 3 Attachment1.1: Boundary map (2449 : Skyview GID 15 Mill Levy) Charge. In addition, some multi-family developments require an internal primary service system (cable, conduit and transformers) within the development on private property. These costs are calculated in the same manner as for non-residential Building Site Charges. The proposed change makes this clarification for Residential Building Site Charges. There are no changes in practice or policy as a result of these clarifications. C. Utility Bill Comparisons The standard residential customer’s bill will increase in 2015 under the proposed rate changes by 0.9% in the summer. During the rest of the year the increase is 1.5%. The tables below show the impacts of each of the proposed rate changes on the overall utility bill. Packet Pg. 257 N Whitcomb St C a j e tan S t 10th St Canyon Ave O s i a nde r S t Cowan St N Meldrum St S Mason St Jerome St Colorado St Main St Walnut St H o ffm an Mil l Rd P a scal S t O v al D r Endicott St S Sherwood St 11th St Mull e i n D r Sycamore St Bellflower Dr East Dr Frontage Rd E Laurel St Woo d l awn D r Lesser Dr West Dr Pine St E Magnolia St Lilac Ln Duff Dr Lupine Dr Martinez St N Mason St El m St W Plum St Trujillo St Mas o n Ct Rivend a l Dr Lopez Ct Eastdal e D r Poudre River Dr Li n d e n Ce n ter Dr Rembrandt Dr Locust Ct Baum St Kenroy Ct Pine St Frontage Rd E Laurel St E Magnolia St Downtown Development Authority Boundary Parcels DDA Boundary Amended: September 17, 2013 Printed: November 07, 2013 1 inch = 1,320 feet . 0 0.125 0.25 0.5 Miles ATTACHMENT 1 Packet Pg. 36 Attachment3.1: DDA Boundary Map (2433 : DDA Budget)