HomeMy WebLinkAbout1984-159-10/02/1984-SETTING FORTH THE INTENTION OF THE CITYTO ISSUE INDUSTRIAL DEVELOPMENT REVENUE BONDS FOR OPERA HOUSE RESOLUTION 84- 159
OF THE COUNCIL OF THE CITY OF FORT COLLINS
SETTING FORTH THE INTENTION
OF THE CITY OF FORT COLLINS , COLORADO
TO ISSUE INDUSTRIAL DEVELOPMENT REVENUE BONDS
FOR OPERA HOUSE BLOCK BUILDING PARTNERSHIP
WHEREAS, representatives of Opera House Block Building
Partnership ( the Partnership" ) have met with officials of the City
of Fort Collins, Colorado (the "City" ) , and have advised the City
of the interest of the Partnership in acquiring, renovating , and
constructing a historic building in the downtown business district
of the City, subject to the willingness of the City to finance the
project ( the "Project" ) as an industrial development revenue bond
project , pursuant to the Colorado County and Municipality
Development Revenue Bond Act constituting Article 3, Title 29,
Colorado Revised Statutes, 1973, as amended ( the "Act" ) ; and
WHEREAS, the Partnership has represented to the City that the
Project will qualify as a project within the meaning of the Act;
and
WHEREAS, the Project consists of the acquisition, renovation ,
and construction of a historic commercial building which will be
used by businesses and offices creating additional jobs within the
downtown business district of the City; and
WHEREAS, the City Council has considered the proposal and has
concluded that the economic benefits to be derived therefrom by
the City will be substantial; and
WHEREAS, the City Council has determined the Project to be
consistent with the goals and objectives of the City; and
WHEREAS, the City Council desires to indicate its intent to
proceed with financing the Project through the issuance of such
revenue bonds .
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF
FORT COLLINS, COLORADO:
Section 1 . In order to induce the Partnership to locate and
construct the Project within the City, the City shall , subject to
the provisions hereof, take all necessary and advisable steps to
effect the issuance of industrial development revenue bonds (the
"Bonds" ) pursuant to the Act in the maximum aggregate principal
amount of Two Million Six Hundred Fifty Thousand Dollars
( $2, 650,000.00 ) or such lesser amount as shall be determined and
agreed upon by the Partnership and the City to finance the
Project .
The Bonds will not be general obligations of the City.
Neither shall the Bonds , including interest thereon , constitute
the debt or indebtedness of the City within the meaning of any
limitation of the Constitution or statutes of the State of
Colorado or the Home Rule Charter of the City, nor give rise to a
pecuniary liability of the City or a charge against its general
credit or taxing powers . The Bonds shall be payable solely from
and secured by a pledge of revenues derived from and payable by
the Partnership pursuant to financing agreements with the City.
Section 2. No costs or expenses, whether incurred by the
City or any other party in connection with the issuance of the
Bonds or the preparation of any documents by any legal or
financial consultants retained in connection therewith, shall be
borne by the City. All such costs or expenses shall be paid from
the proceeds of the Bonds or otherwise borne by the Partnership.
In addition to the costs and expenses to be borne by the Partner-
ship as described in the preceding sentences, if the Project is
approved by the City and the Bonds are issued , the Partnership
shall pay to the City a fee of 1/16 of 1% of the unpaid principal
amount of the Bonds at the end of each bond year.
Section 3. Prior to any execution of a financing agreement,
mortgage , indenture or trust, bond purchase agreement or any other
necessary documents and agreements in connection with such Bonds,
such documents and/or agreements shall be submitted for approval
to the City, and , if satisfactory to the City, their execution
shall be authorized by ordinance of the City Council pursuant to
law.
Section 4. Prior to any further action by the City Council ,
the Partnership shall provide the City with the opinion of a
recognized Bond Counsel supporting the legality of the financing
of the Project and the utilization of loan proceeds for said
Project.
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Section 5. Nothing contained in this resolution shall
constitute the debt or indebtedness of the City within the meaning
of any limitation of the Constitution or statutes of the State of
Colorado or the Home Rule Charter of the City, nor give rise to a
pecuniary liablity of the City or a charge against its general
credit or taxing powers.
Section 6. All commitments of the City contained herein are
subject to the condition that within twelve ( 12 ) months of the
date hereof, unless otherwise extended by agreement between the
City and the Partnership the Bonds to be issued pursuant hereto
shall be issued and sold. In the event that said Bonds to be
issued pursuant hereto are not issued within twelve ( 12 ) months,
the City of Fort Collins shall be under no obligation to perform
any of the terms and conditions contained herein.
Section 7. All ordinances, orders, bylaws, and resolutions,
or parts thereof , in conflict with this resolution are hereby
repealed to the extent of such conflict. This repealer shall not
be construed to revive any order, ordinance, bylaw, or resolution,
or part thereof, heretofore repealed.
Section 8. If any section , paragraph, clause, or provision
of this resolution with the exception of any section, paragraph,
clause, or provision limiting the City' s financial obligation
shall for any reason be held to be invalid or unenforceable, the
invalidity or unenforceability of such section, paragraph, clause,
or provision shall not affect any of the remaining provisions of
this resolution.
Section 9. This resolution shall take effect immediately
upon its introduction and passage.
Passed and adopted at a regular meeting of the City Council
held this2nd day of October, 1984.
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ATTEST:
City Cle
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