HomeMy WebLinkAbout1994-140-09/06/1994-MULTI-FAMILY HOUSING REVENUE BONDS TAX-EXEMPT BONDS WOODLANDS APARTMENTS WOODLANDS PARTNERSHIP RESOLUTION 94-140
OF THE COUNCIL OF THE CITY OF FORT COLLINS
DECLARING THE INTENT OF THE COUNCIL OF THE
CITY OF FORT COLLINS TO ISSUE MULTI-FAMILY HOUSING
REVENUE BONDS FOR WOODLANDS APARTMENTS; AND
DECLARING ITS INTENT TO REIMBURSE CERTAIN
CAPITAL EXPENDITURES BY ISSUING BONDS
WHEREAS, Woodlands Partnership (the "Company") has requested that the City
of Fort Collins, Colorado (the "City") issue tax-exempt bonds and loan the
proceeds of such bonds to the Company to finance the costs of constructing a 120-
unit multifamily residential housing facility located on 8.2 acres at the
northeast corner of South Shields Street and West Harmony Road within the City
(the "Project") to be owned and operated by the Company; and
WHEREAS, the City desires to encourage the Company to proceed with the
Project in order to further the purposes of the County and Municipality
Development Revenue Bond Act, as amended (the "Act") ;
WHEREAS, no costs of the Project to be paid or reimbursed with proceeds of
the proposed bonds were paid by the Company more than 60 days prior to the date
of this Resolution, other than preliminary expenditures (not exceeding 20% of the
aggregate issue price of the tax-exempt bonds to be issued to finance the
Project) , and such preliminary expenditures shall not include costs of land
acquisition or site preparation or other costs of construction or acquisition of
the Project.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS,
COLORADO, AS FOLLOWS:
Section 1. Approval of the Pro.iect: Findings. Based upon the information
supplied by the Company,_ the City hereby approves_ the Project and makes the
following findings in connection therewith:
a. The Project constitutes a "project" for purposes of the Act in
that it consists of properties (other than inventories, raw materials and other
working capital ) , whether or not in existence, to be used for or in connection
with residential facilities for low- and middle-income families or persons
intended for use as the sole place of residence by the occupants; and
b. The Project will promote the public purposes of the Act and the
health, welfare, safety, convenience and prosperity of the inhabitants of the
State of Colorado by providing more adequate residential housing facilities for
low- and middle-income families and persons through the inducement of the Company
to construct the Project in the City of Fort Collins, Colorado.
Section 2. Declaration of Official Intent to Finance Capital Expenditures.
The City hereby approves the Company's request and the issuance of bonds for the
Project and declares its intention and reasonable expectation to use proceeds of
tax-exempt bonds (the "Reimbursement Bonds") to reimburse the Company for
expenditures for costs of the Project to the extent permitted by federal tax
regulations and the Act, such bonds and Reimbursement Bonds to be issued in
compliance with the Act, and to be payable solely from the revenues of the City
to be derived from loan payments or other payments by the Company. The City
anticipates that the maximum principal amount of bonds issued to finance the
Project, including Reimbursement Bonds, will not exceed Seven Million Dollars
($7,000,000) .
Section 3. No Liability of City. Bonds issued by the City for the Project
shall be special , limited obligations of the City and shall never constitute the
debt or indebtedness of the City within the meaning of any provision or
limitation of the State Constitution, statutes, or the home rule charter of the
city, and shall not constitute nor give rise to a pecuniary liability or
financial obligation of the City or a charge against the City's general credit
or taxing powers, nor shall such bonds ever be deemed to be an obligation of any
officer, agent or employee of the City in such person's individual capacity, and
no such person shall be subject to personal liability by reason of the issuance
of such bonds.
Section 4. Indemnity and Costs. The Company will indemnify and hold
harmless the City and all of its officers, agents or employees as will be set
forth in the transaction documents. No costs are to be borne by the City in
connection with this transaction.
Section 5. Full Authority: No Action to Contest. For purposes of the Act,
the bonds for the Project shall be issued pursuant to an ordinance of the City
Council hereafter to be adopted.
Section 6. Incidental Action. The proper officials of the City are hereby
authorized and directed to take or approve the taking of such actions as may be
necessary or appropriate on its part in order to accomplish the purposes of this
Resolution and to preserve the ability of the Company to finance its capital
expenditures in accordance with the federal tax regulations, including applying
to the Colorado Department of Local Affairs for an allocation of the private
activity bond ceiling from the statewide balance.
Section 7. No Obligation of City. The agreements of the City set forth
above are expressly conditioned upon the ability and willingness of the City to
issue the bonds and the Reimbursement Bonds as tax-exempt obligations under the
Internal Revenue Code of 1986, as amended, and the regulations promulgated
thereunder as existing on the date of the issuance of the bonds and the
Reimbursement Bonds. Nothing contained in this Resolution shall be construed as
requiring the City to issue the bonds and the Reimbursement Bonds, and the
decision to issue the bonds and the Reimbursement Bonds shall be in the complete
discretion of the City.
Section 8. Effective Date: Reveal . This Resolution shall take effect
immediately upon its adoption, and all prior resolutions or portions thereof
inconsistent herewith are hereby repealed.
Passed and adopted at a regular meeting of the Co of the Cit rt
Collins held this 6th day of September, A.D. 1994.
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ATTEST:
CityCity Clerk