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DDA Packet 2025.11.03_____________________________________________________________________________________ MEETING AGENDAS AND PACKETS ARE FOUND AT: WWW.AVON.ORG MEETING NOTICES ARE POSTED AT AVON TOWN HALL, AVON RECREATION CENTER, AVON ELEMENTARY AND AVON PUBLIC LIBRARY IF YOU HAVE ANY SPECIAL ACCOMMODATION NEEDS, PLEASE, IN ADVANCE OF THE MEETING, CALL TOWN CLERK MIGUEL JAUREGUI CASANUEVA AT 970-748-4001 OR EMAIL MJAUREGUI@AVON.ORG WITH ANY SPECIAL REQUESTS. DOWNTOWN DEVELOPMENT AUTHORITY MEETING AGENDA Monday, November 3, 2025 MEETING BEGINS AT 3:00 PM Hybrid meeting: In person at Avon Town Hall, 100 Mikaela Way or virtually on Teams (registration instructions found on public notice) 1. CALL TO ORDER AND ROLL CALL 2. APPROVAL OF AGENDA 3. DISCLOSURE OF ANY CONFLICTS OF INTEREST RELATED TO AGENDA ITEMS 4. PUBLIC COMMENT – COMMENTS ARE WELCOME ON ITEMS NOT LISTED ON THE FOLLOWING AGENDA Public comments are limited to three (3) minutes. The speaker may be given one (1) additional minute subject to Board approval. 5. BUSINESS ITEMS 5.1. PUBLIC HEARING: for the Adoption of the 2026 DDA Budget (Chief Financial Officer Paul Redmond) • Resolution 25-02, Adopting the 2026 Avon Downtown Development Authorities Budget 5.2. PRESENTATION: Village PA-A update, Phase 1 Financial Projections (Chief Financial Officer Paul Redmond) 6. MINUTES 6.1. Approval of August 3, 2025 Downtown Development Authority Meeting Minutes (Chief Finance Officer Paul Redmond) 7. ADJOURN Public Comments: Avon DDA agendas shall include a general item labeled “Public Comment” near the beginning of all Board meetings. Members of the public who wish to provide comments to the Board greater than three minutes are encouraged to schedule time in advance on the agenda and to provide written comments and other appropriate materials to the Board in advance of the Board meeting. The Chairperson shall permit public comments for any action item or work session item and may permit public comment for any other agenda item, and may limit such public comment to three minutes per individual, which limitation may be waived or increased by a majority of the quorum present. Article VI. Public Comments, Avon Downtown Development Authority Simplified Rules of Order 1 of 1 TO: Chairperson Tony Emrick and DDA Board Members FROM: Paul Redmond, Chief Financial Officer RE: Public Hearing on 2026 Proposed Budget for Downtown Development Authority DATE: October 29, 2025 SUMMARY: This report presents the 2025 Budget for the Avon Downtown Development Authority (“Avon DDA”) to the Board of Directors for review and adoption. Adoption occurs by approval of the attached budget resolution 25-02. A public hearing is required with this agenda item. BACKGROUND: The Avon DDA is considered a separate legal entity from the Town authorized by Colorado State Statutes 31-25-801. The Avon DDA is required to adopt a budget each fiscal year (C.R.S. §31-25-816). In addition, the Local Government Budget Law of Colorado requires every local government to adopt a budget each year. 2026 BUDGET: The proposed 2026 Budget Fund Summary is attached as an exhibit to this memorandum. Note the summary is also included for informational purposes in the Town of Avon’s budget summary as a component of the Town. The Avon DDA collects TIF (tax increment financing) revenue from the increase valuation in the Avon DDA’s plan area. The proposed 2026 revenues of $510,192 are based off the assessed valuations for the increment of $9,391,063. This is an increase of $4,441,083 over the prior year’s valuation. This is largely due to the completion of the Spring Hill Suites. The Avon DDA is required to dedicate at least 50% of the revenues to community housing. In 2026, the Avon DDA will dedicate $200,000 for the construction of the Early Childhood Center. The budget also sets aside $75,000 for the planning and design of Planning Area B. Planning Area B is a 4-acre parcel in the Village at Avon which is planned to be a park area with a water feature and potential recreational and cultural amenities. TOWN MANAGER COMMENTS: The budgeted amounts are very general place holders. The potential to pursue a Community Housing project on the west side of Planning Area E and the adjacent Lot 8 is dependent upon finalizing an amendment to the Village (at Avon) Planned Unit Development, which requires concurrence and approval of Traer Creek, LLC. Any planning and design work on Planning Area B will need to coordinate with planning and design of development on Planning Area A. The Development Agreement and Village (at Avon) Planned Unit Development guide contemplate that the actual location and configuration of Planning Area B is likely to change to coordinate with and support the adjacent private development. Additional steps must occur before Avon commences planning and design work for either Community Housing or Planning Area B. RECOMMENDATION: Staff recommend the Board adopt the Resolution as presented. PROPOSED MOTION: “I move to approve Resolution 25-02 as listed on the Avon DDA’s meeting agenda of November 3, 2025, adopting the proposed 2025 Budget for the Avon Downtown Development Authority.” ATTACHMENT A: Resolution No. 25-02 Adopting 2026 Budget ATTACHMENT B: Avon Downtown Development Authority 2026 Budget Thank you, Paul Avon Downtown Development Authority Resolution No. 25-02 – Adopting 2026 Budget November 3, 2025 Page 1 of 1 AVON DOWNTOWN DEVELOPMENT AUTHORITY RESOLUTION 25-02 ADOPTING THE 2026 BUDGET WHEREAS, the Board of Directors of the Avon Downtown Development Authority has directed the Authority’s Executive Director to prepare and submit a proposed budget for its consideration; and WHEREAS, the proposed 2026 Budget has been presented to the Board and notice of a public hearing has been properly posted for 3pm on November 3, 2025; and WHEREAS, whatever increases may have been made in the expenditures, like increases were added to the revenues or planned to be expended from reserves/fund balances so that the budget remains in balance, as required by law. NOW, THEREFORE, BE IT RESOLVED BY THE AVON DOWNTOWN DEVELOPMENT AUTHORITY that the Board of Directors of the Avon Downtown Development Authority hereby adopt the following 2026 budget: 2026 Budget Avon Downtown Development Authority Beginning Fund Balance Revenues and Other Sources Expenditures and Other Uses $ 147,206 510,192 299,306 Ending Fund Balance $ 358,092 ADOPTED NOVEMBER 3, 2025 by the AVON DOWNTOWN DEVELOPMENT AUTHORITY BOARD OF DIRECTORS. By:______________________________ Attest:_____________________________ Tony Emrick, Chairman Chris Neuswanger, Secretary Final Original Revised Proposed Actual Budget Budget Budget 2024 2025 2025 2026 BUDGET SUMMARY: AVON DOWNTOWN DEVELOPMENT AUTHORITY The Avon Downtown Development Authority is authorized to capture the increment of new property taxes from new development and construction within the DDA area. The Avon Downtown Development Authority was created in 2023, and is the only downtown development authority within avon. The property tax increment can be pledged for the payment of municipal bonds to construct Community Housing and other approved public improvements. The plan area has a 30-year life for tax increment financing. ADMINISTRATION OF THE FUND The Avon Downtown Development Authority Fund is administered by the Avon DDA Treasurer / Town of Avon Chief Finance Officer. FINANCIAL SUMMARY SEE FUND SUMMARY EXPENDITURES BY CATEGORY Final Original Revised Projected Proposed Actual Budget Budget Actual Budget 2024 2025 2025 2025 2026 REVENUES Taxes 43,767$ 413,496$ 413,496$ 317,464$ 510,192$ Total Operating Revenues 43,767 413,496 413,496 317,464 510,192 TOTAL REVENUES 43,767 413,496 413,496 317,464 510,192 EXPENDITURES Current: Treasurer Fees - 12,405 12,405 9,525 15,306 Planning and Design - Community Housing - 150,000 - - - Planning and Design - Early Childhood Housing - 100,000 200,000 200,000 200,000 Planning and Desing - Planning Area B - 75,000 75,000 - 75,000 Misc Expense - 9,000 9,000 4,500 9,000 Total Operating Expenditures - 346,405 296,405 214,025 299,306 TOTAL EXPENDITURES - 346,405 296,405 214,025 299,306 NET SOURCE (USE) OF FUNDS 43,767 67,091 117,091 103,439 210,886 FUND BALANCES, Beginning of Year - - 43,767 43,767 147,206 FUND BALANCES, End of Year 43,767$ 67,091$ 160,858$ 147,206$ 358,092$ Fund Summary Avon Downtown Development Authority 970.748.4088 predmond@avon.org TO: Chairperson Tony Emrick and DDA Board Members FROM: Paul Redmond, Chief Financial Officer RE: Planning Area A Financial Projections DATE: October 28, 2025 SUMMARY: The financial projections and development metrics for Planning Area A over the next five years outline assessed valuations, tax revenues, and fee structures for retail spaces, restaurant pads, and condominium phases. Key components include property tax calculations based on mill levy and assessment ratios (6.8% for residential, 25% for commercial), annual TIF contributions to the Avon Downtown Development Authority and cumulative tax revenues. It also specifies retail and accommodation sales fees, real estate transfer taxes and water/permit fees. Development phases feature major retail spaces (e.g., Whole Foods), multiple restaurant pads and condo/hotel units; projected buildout values exceed $281M. The model emphasizes incremental and cumulative impacts on local tax revenues, sales tax collections and infrastructure fees, illustrating the long-term economic contribution of Planning Area A to Avon’s growth. This report is informational only. Thank you, Paul ATTACHMENTS: Attachment A: Planning Area A 2026 Assessment Rates Non-Village Residential Commercial Mill Levy Assessment Ratio Assessment Ratio 56.942 6.80%25.00% Trear Creek Metro District Avon Downtown Development Authority BOSK Avondale Town of Avon WFM Pad #1 Pad #2 Skjol 1A Skjol 1B BOSK Avondale Number of Units 1 1 1 50 50 242 40 LSF 26,000 2,500 3,700 - - 45,000 20,000 Value per SF 550.00$ 800.00$ 800.00$ 2,000,000.00$ 2,200,000.00$ 800.00$ 800.00 Value 14,300,000.00$ 2,000,000.00$ 2,960,000.00$ 100,000,000.00$ 110,000,000.00$ 80,000,000.00$ 16,000,000 Assessed Value For Assessor 3,575,000.00$ 500,000.00$ 740,000.00$ 6,800,000.00$ 7,480,000.00$ 5,440,000.00$ 4,000,000$ Annual TIF Property Tax for DDA 170,322.06$ 17,082.60$ 25,054.48$ 387,205.60$ 425,926.16$ 309,764.48$ -$ Retail Sales Fee *880,000.00$ 60,000.00$ 80,000.00$ 27,918.80$ 27,918.80$ -$ -$ Accommodation Sales Fee -$ -$ -$ 27,918.80$ 27,918.80$ -$ -$ Add on Retail Sales Fee 165,000.00$ 11,250.00$ 15,000.00$ 5,234.78$ 5,234.78$ -$ -$ 4% TOA Sales Tax on Sales Fee 41,800.00$ 2,850.00$ 3,800.00$ 2,442.90$ 2,442.90$ -$ -$ RETT (Recorded at the time of sale)286,000.00$ 40,000.00$ 59,200.00$ 2,000,000.00$ 2,200,000.00$ 1,600,000.00$ -$ Water Tap Fees 51,500.00$ 4,000.00$ 6,900.00$ 180,000.00$ 180,000.00$ 368,000.00$ 180,000.00$ Water Usage Fee $3.25 per SFE 338.00$ 32.50$ 48.10$ 1,755.00$ 1,755.00$ 9,438.00$ 1,560.00$ Totals Traer Creek 1,217,500.00$ 104,000.00$ 146,100.00$ 2,235,837.60$ 2,435,837.60$ 1,968,000.00$ 180,000.00$ Avon DDA 170,322.06$ 17,082.60$ 25,054.48$ 387,205.60$ 425,926.16$ 309,764.48$ -$ Town of Avon 207,138.00$ 14,132.50$ 18,848.10$ 9,432.67$ 9,432.67$ 9,438.00$ 1,560.00$ Totals Traer Creek 8,287,275.20$ Avon DDA 1,335,355.38$ Town of Avon 269,981.94$ RETAIL:CONDO: One to Five Years DDA MEETING MINUTES MONDAY, AUGUST 4TH, 2025 HYBRID MEETING, IN PERSON AND VIRTUAL VIA MICROSOFT TEAMS Page 1 1. ROLL CALL The meeting was called to order at 3:00 p.m. Without objection from his fellow Board Members, former DDA Board Chair Tony Emrick presided over the meeting. There was quorum with eight Board Members present at the time. Present in Person: Board Members Tony Emrick, Wayne Hanson, Chris Neuswanger, and Lisa Mattis, who initially joined the meeting by phone at 3:00 and joined the meeting in person at 3:21 p.m. Present Virtually: Councilor Chico Thuon, Board Members Matthew Fitzgerald, Rob Tartre, Marcus Lindholm, and Gregg Cooper, who joined the meeting at 3:05 pm. Board Member Brandt Marott joined the meeting at 3:33 p.m. Absent: Board Member Scott Tarbet Staff: Town Manager Eric Heil, Deputy Town Manager Patty McKenny, Community Development Director Matt Pielsticker, Chief Financial Officer Paul Redmond, Chief Administrative Officer Ineke de Jong and Town Clerk Miguel Jauregui Casanueva. 2. APPROVAL OF AGENDA Town Manager Eric Heil requested that the Board remove Item 5.6 from the Agenda. Board Member Rob Tartre motioned to approve the agenda, as amended. Board Member Wayne Hanson seconded the motion. The motion passed unanimously with a 9-0 vote of those present. 3. DISCLOSURE OF ANY CONFLICTS OF INTEREST RELATED TO AGENDA ITEMS Board Chair Emrick asked if there were any conflicts of interest, and none were disclosed. 4. PUBLIC COMMENT No public comments were made in person nor virtually. 5. BUSINESS ITEMS 5.1 ACTION: Swearing In of re-appointed Board Members (Deputy Town Clerk Brenda Torres) Tony Emrick and Greg Cooper were sworn-in by Deputy Town Clerk Brenda Torres. 5.2 ACTION: Appointment of DDA Chairperson (Chief Administrative Officer Ineke de Jong) Board Member Wayne Hanson motioned to nominate Tony Emrick to be reappointed as DDA Board Chair. Gregg Cooper seconded the motion. The motion passed unanimously with a 9-0 vote of those present. 5.3 PRESENTATION: Walgreens Purchase Update (Chief Finance Officer Paul Redmond) Town Manager Eric Heil updated Board Members on the topic of the Town’s purchase of the Walgreens property. Board Member Rob Tartre asked questions about the bond offering. It was indicated that Council supports the purchase, with a partial payment from the Town’s reserves. Board Member Chris Neuswanger asked questions regarding the rent schedule which is fixed. DDA MEETING MINUTES MONDAY, AUGUST 4TH, 2025 HYBRID MEETING, IN PERSON AND VIRTUAL VIA MICROSOFT TEAMS Page 2 After all questions were answered by staff, the DDA Board unanimously supported the acquisition and directed Staff to move forward with the acquisition. 5.4 PRESENTATION: Conceptual Planning for Sun Road Redevelopment Update (Town Manager Eric Heil) Town Manager Eric Heil updated the Board on the Conceptual planning of the Sun Road’s redevelopment. There was discussion around the ideal mix of housing types, cost to build, and grants available, noting this project aligns with the DDA and the Town’s goals for housing. 5.5 PRESENTATION: Wholefoods/Phase I Development Update (Town Manager Eric Heil) Town Manager Eric Heil delivered a presentation and update regarding the Wholefoods Phase I redevelopment. Board Member Marcus Lindholm joined Town Manager Heil in adding additional information related to the development. Board Member Cooper expressed excitement over the development and thanked Town Manager Heil and staff for their hard work. 5.6 WORK SESSION: Park Planning and Funding in Village (at Avon) (Town Manager Eric Heil) 5.7 WORK SESSION: Lot B Apartment Projects (Town Manager Eric Heil) Town Manager Eric Heil introduced and moderated the Lot B Apartments work session. 6. MINUTES Board Member Gregg Cooper motioned to approve the Minutes from Avon DDA Board Meeting held June 2nd, 2025. Chris Neuswanger seconded the motion. The motion passed unanimously with a 9-0 vote of those present. Board Member Marcus Lindholm added that David S. O’Leary, Partner of Spencer Fane LLP would reach out to discuss the documentation related to the Mill Levy for the Metro District that is collected by the DDA and through an IGA is then sent to the Metro District. 8. ADJOURNMENT DDA Board Chair Emrick adjourned the meeting at 4:26 p.m. Respectfully submitted by: Miguel Jauregui Casanueva Town Clerk DDA MEETING MINUTES MONDAY, AUGUST 4TH, 2025 HYBRID MEETING, IN PERSON AND VIRTUAL VIA MICROSOFT TEAMS Page 3 These minutes are only a summary of the proceedings of the meeting. They are not intended to be comprehensive or to include each statement, person speaking or to portray with complete accuracy. The most accurate records of the meeting are the audio of the meeting, which is housed in the Town Clerk' s office.