HomeMy WebLinkAbout1983-215-12/20/1983-SETTING FORTH THE INTENTION OF THE CITY OF FORT COLLINS, COLORADO TO ISSUE INDUSTRIAL DEVELOPMENT RE RESOLUTION 83- 215
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 DKW PARTNERSHIP
WHEREAS, representatives of DKW Partnership, a Colorado
partnersh-p ("DKW" ) have met with officials of the City of Fort
Collins, Colorado (the "City") , and have advised the City of the
interest of DKW in acquiring and renovating a commercial building
in the central 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, as
amended (the "Act") , and
WHEREAS, DRW 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 and
renovation of a commercial building designed to house
non-polluting businesses and offices which will create additional
jobs within the central busiress district of the Citv, 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 DKt' 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 One Million Four Hundred Thousand Dollars ($1 ,400 ,000)
or such lesser amount as shall be determined and agreed upon by
DKW 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
Hone 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 DKW
pursuant to financing agreements with the City
Section 2 No costs or expenses, whether incurred by the
City or any other party in cornection 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 DKW In addition
to the costs and expenses to be borne by DKW as described in the
preceding sentences, if the Project is approved by the City and
the Bonds are issued, DKW 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 of 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,
DKW shall provide the Citj with the opinion of a recogrized Bond
Counsel supporting the legality of the financing of the Project
ana the utilization of bond proceeds for said Project
Section 5 Nothirg contained it 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 liability of the City or a charge against its
general credit or ta..ing 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 DKW, 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
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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 hela to be invalid or unenforceable, the
invalidity or unenforceability of such section, paragraph, clause
or provision shall rot 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 this 2()th_ day of Dprpmhpr , A D 19_a3_
Q$�,
ATTEST M r
City Clerk
DKW1 1
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