HomeMy WebLinkAbout046 - 05/05/2009 - APPROPRIATING FUNDS FROM THE CITY'S GENERAL FUND RESERVES FOR TRANSFER TO THE FORT COLLINS URBAN REN ORDINANCE NO. 046, 2009
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROPRIATING FUNDS FROM THE CITY'S GENERAL FUND RESERVES FOR
TRANSFER TO THE FORT COLLINS URBAN RENEWAL AUTHORITY FOR THE
PURPOSE OF PROVIDING A LOAN FOR THE NORTH COLLEGE
MARKETPLACE PROJECT
WHEREAS, the Fort Collins Urban Renewal Authority (the "Authority") was created on
January 5, 1982 to prevent and eliminate conditions related to certain blight factors in the City; and
WHEREAS, the City Council, by Resolution'2004-152, has made findings required by
Colorado Revised Statutes Part 1 of Title 31, Article 25 and declared the area described in
Resolution 2004-151 as blighted and approved the Urban Renewal Plan for the North College
Avenue Corridor(the "Plan"); and
WHEREAS,on August 15,2006,the City Council adopted Resolution 2006-082 authorizing
an intergovernmental agreement between the City and the Authority whereby the City will provide
support services to the Authority and will advance funds to the Authority so long as the advance of
such funds is evidenced in writing by a promissory note; and
WHEREAS,the 1908 North College,LLC(the"Developer")owns property in the Plan area
and has proposed the construction of the North College Marketplace on property located northeast
of the intersection of North College Avenue and East Willox Lane (the "Project"); and
WHEREAS,the Developer has requested that the Authority cover the cost of certain public
improvements (the "Improvements") utilizing tax increment funding generated by the increased
increment of property tax that will be collected because of the Project; and
WHEREAS,the Authority recognizes the benefit that will result to the Plan area because of
the Developer's redevelopment project and the installation of the Improvements and has determined
that it is in the best interest of the Authority to commit a portion of the additional increment of
property tax generated by the Developer's Project to funding the Improvements associated with the
Project; and
WHEREAS,on September 16, 2008 the Board of Commissioners of the Authority adopted
Resolution No. 011 approving a financial assistance agreement with 1908 North College,LLC(the
"Developer") for North College Marketplace; and
WHEREAS, the Authority must borrow funds to pay for its portion of the construction of
the Improvements related to the Project and agreed to in Resolution No. 011; and
WHEREAS, the City Council has adopted Resolution 2008-121, which updated the City's
Investment Policy to allow for interfund borrowing;
WHEREAS, City staff has prepared and placed on file in the office of the City Clerk a
proposed promissory note (the "Note") and loan agreement in the form entitled"Loan Agreement
Between the City of Fort Collins and the Fort Collins Urban Renewal Authority for Funding the
North College Marketplace Project(Phase One)" (the"Loan Agreement'); and
WHEREAS, the City has funds available in its General Fund Reserves to fund the loan to
the Authority and finds it is in the best interests of the City to authorize execution of the Loan
Agreement and certain related documents; and
WHEREAS,Article V, Section 9,of the 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, it is the desire of the Council to appropriate the sum of $5,000,000 from
General Funds Reserves for transfer to the Fort Collins Urban Renewal Authority, as a loan.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That there is hereby appropriated from General Fund Reserves the sum of FIVE
MILLION DOLLARS ($5,000,000) for transfer to the Fort Collins Urban Renewal Authority and
appropriated therein as an interest-bearing loan, to provide the Fort Collins Urban Renewal
Authority with the necessary financial support for urban renewal projects.
Section 2. That the Note,Loan Agreement and related documents are hereby approved by
the City Council on substantially the terms and conditions contained therein, subject to
modifications in form or substance as the Mayor may, in consultation with the City attorney, deem
to be desirable and necessary to protect the interests of the City.
Introduced, considered favorably on first reading, and ordered published this 21 st day of
April, A.D. 2009, and to be presented for final passage on the ay of May, A.D. 2009.
Mayo
ATTEST:
City Clerk `
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Passed and adopted on final reading on the 5th day of M D. 2009.
Mayor
ATTEST.-
City Clerk
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