HomeMy WebLinkAbout003 - 02/04/1997 - APPROPRIATING PRIOR YEAR RESERVES IN THE SALES AND USE TAX FUND FOR A REBATE OF DEVELOPMENT FEES TO ORDINANCE NO. 3, 1997
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROPRIATING PRIOR YEAR RESERVES IN THE SALES & USE TAX FUND
FOR A REBATE OF DEVELOPMENT FEES TO HEWLETT-PACKARD
WHEREAS, pursuant to Ordinance No. 132, 1996, the City Council approved and
authorized a rebate of development fees associated with the construction of a new 180,000 square
foot office facility for Hewlett-Packard; and
WHEREAS, City Code Section 5-328(b) requires that the estimated amount of real
property, personal property and sales and use tax to be paid to the City by a rebate recipient over
the ensuing twenty-year period be at least twice the amount of total estimated direct cost to be
incurred by the City over that twenty-year period for the construction and maintenance of any new
street improvements or other infrastructure anticipated to be necessary to serve the relevant
operations of the rebate recipient; and
WHEREAS, City Code Section 5-328(c) requires that the threshold amount of taxes
required in Section 5-328(b) be received by the City prior to payment of a development fee rebate;
and
WHEREAS, twice the infrastructure costs for the project were estimated to be
approximately $40,000; and
WHEREAS, Hewlett-Packard has paid City tees and taxes in connection with its new
office facility in the amount of$484,566.02, of which amount $265,299.02 was paid in City use
tax and shall be retained by the City; and
WHEREAS, the amount of$265,299.02 is well in excess of$40,000, and thus is adequate
to meet the requirement of City Code Section 5-328(c); and
WHEREAS, the total amount of development fees to be rebated to Hewlett-Packard is
$219,267; and
WHEREAS, the funds necessary to pay said rebate amount are available in the Prior Year
Use Tax Carryover Reserve in the Sales and Use Tax Fund; and
WHEREAS, Hewlett-Packard intends to use the proceeds from this rebate to enhance the
technology assets within the Poudre School District; and
WHEREAS, Article V, Section 7, of the Charter of the City of Fort Collins authorizes the
City Council to provide by ordinance for payment of any expense from reserves accumulated in
prior years notwithstanding that such reserves were not appropriated for expenditure in the annual
appropriation ordinance.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that there is hereby appropriated for expenditure from the Prior Year Use Tax
Carryover Reserves in the Sales and Use Tax Fund the total sum of TWO HUNDRED
NINETEEN THOUSAND TWO HUNDRED SIXTY-SEVEN DOLLARS ($219,267) for the
rebate of development fees associated with the construction of a new 180,000 square foot office
facility for Hewlett-Packard.
Introduced, considered favorably on first reading, and ordered published this 21st day of
January, A.D. 1997, and to be presented for final passage on the 4th day of February, A.D.,
1997.
Mayor
ATTEST:
City Clerk
Passed and adopted on final reading this 4th day of February, A.D. 1997.
ayor
ATTEST:
City Clerk