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TC Resolution 26-09 Approving an Intergovernmental Agreement Between the Town of Avon and the Avon Downtown Development Authority Concerning the Remittance of Tax Increment Revenue from The Summit Development Through 2054Avon COLORADO RESOLUTION 26-09 APPROVING AN INTERGOVERNMENTAL AGREEMENT BETWEEN THE TOWN OF AVON AND THE AVON DOWNTOWN DEVELOPMENT AUTHORITY CONCERNING THE REMITTANCE OF TAX INCREMENT REVENUE FROM THE SUMMIT DEVELOPMENT THROUGH 2O54 WHEREAS, the Avon Downtown Development Authority ("DDA") was established by the Town of Avon pursuant to Ordinance No. 23-02 and in accordance with § 31-25-801, et seq., C.R.S., to support downtown economic development, community housing, and related public improvements within the Avon Downtown Development District; and, WHEREAS, the DDA adopted the Avon Downtown Development Authority Plan dated October 2, 2023 ("DDA Plan'); and, WHEREAS, pursuant to The Summit Development Agreement, the Town has committed substantial public investment in the project, including $6,000,000 for the construction of the commercial community space, adjacent patio, and dedicated parking spaces, and $4,000,000 toward the acquisition of sixteen (16) Community Housing Deed Restrictions; and, WHEREAS, the Town has also supported various public improvements and public benefits associated with The Summit, including contributions toward the pedestrian connection and dedication of land for completion of the Civic Plaza; and, WHEREAS, pursuant to the DDA Act and the DDA Plan, the DDA is authorized to receive tax increment revenue generated from property located within the DDA boundaries, including The Summit development; and, WHEREAS, the Town and the DDA have negotiated an Intergovernmental Agreement concerning the remittance of tax increment revenue generated by The Summit development through the year 2054; and, WHEREAS, under the proposed Intergovernmental Agreement, the DDA agrees to remit tax increment revenue -generated by The Summit to the Town through 2054 to reimburse the Town for its substantial investment in community housing units within the project; and, WHEREAS, the Avon Town Council finds that approval of the Intergovernmental Agreement promotes the public healthy, safety, and welfare by supporting Community Housing, facilitating economic development, and providing a mechanism to reimburse the Town for its investment in the commercial community space and Community Housing at The Summit. Resolution 26-09 July 28, 2026 Page 1 of 2 NOW, THEREFORE, BE IT RESOLVED BY THE TOWN OF AVON that the Intergovernmental Agreement Between the Town of Avon and the Avon Downtown Development Authority Concerning the Remittance of Tax Increment Revenue Until 2054, attached hereto as Exhibit A, is hereby approved. ADOPTED July 28, 2026, by the AVON TOWN COUNCIL By: Attest: Tamra N. Underwood, klayor Miguel Jauregui Resolution 26-09 July 28, 2026 Page 2 of 2 C'1'erk INTERGOVERNMENTAL AGREEMENT BETWEEN THE TOWN OF AVON, COLORADO AND THE AVON DOWNTOWN DEVELOPMENT AUTHORITY, CONCERNING THE REMITTANCE OF TAX INCREMENT REVENUE UNTIL 2054 This Intergovernmental Agreement concerning the Remittance of Tax Increments (the "Agreement") is entered into by and between the Town of Avon, Colorado ("Town"), a home rule municipality organized under the laws of the State of Colorado, and the Avon Downtown Development Authority (the "Authority") a Downtown Development Authority organized pursuant to C.R.S. § 31-25-801 et. seq., individually referred to as Party and collectively as Parties. RECITALS WHEREAS, the Town of Avon, Colorado, ("Town") is a home rule municipality duly organized and existing under Article XX of the Colorado Constitution and the Town of Avon Home Rule Charter of 1978 ("Charter"); and WHEREAS, the Authority is a Colorado downtown development authority established in accordance with§ 31-25-801, et. seq. (the "DDA Act"), with the purpose of developing Community Housing in the Avon Downtown Area to provide additional workforce housing and to sustain and enhance a critical mass of residents in the Avon Downtown Area necessary to support neighborhood businesses and to support the public infrastructure and public facilities which sustain and enhance the attractiveness of business investment in the Avon Downtown Area within the Town; and WHEREAS, pursuant to Ordinance No. 23-02, the Town Council adopted amendments to the Avon Municipal Code which created the Avon Downtown Development Authority; and WHEREAS, in furtherance of its organization and purpose, the Authority adopted the Avon Downtown Development Authority Plan, dated October 2, 2023 (the "DDA Plan"); and WHEREAS, pursuant to the DDA Act and the DDA Plan, the Authority has the ability and authority to collect and retain the District Tax Increment Revenue derived from taxes imposed on The Summit property which is within the boundaries of the Authority; and WHEREAS, GP Avon Developer, LLC, is a limited liability company who is entering into a Development Agreement with the Town for the development of a 164-unit residential project and an approximate 4,000-square foot commercial community space located on the approximately 1.7-acre real property located within the Town of Avon herein referred to as "The Summit;" and WHEREAS, pursuant to such Development Agreement, the Town is contributing $5,110,000 towards the purchase of 16 Community Housing Deed Restrictions; and WHEREAS, The Summit development is within the Avon Downtown Development District boundary limits; and WHEREAS, Article XIV, Section 18 of the Colorado Constitution and Sections 29-1-203 and 29-1-203.5, et seq., Colorado Revised Statutes, encourage governments to make the most efficient and effective use of their powers and responsibilities by cooperating and contracting among themselves, including forming a political subdivision to provide any public improvements, functions, services, or facilities that the governments can each provide individually; and WHEREAS, C.R.S. § 31-25-808(f) provides that the Authority is to "cooperate with the municipality in which the authority is located and any other governmental agency or other public body and to enter into contracts with any such agency or body;" and WHEREAS, the Authority has determined that it is in the best interests of the Authority and Town and the taxpayers that the tax increments received from The Summit be remitted back to the Town until 2054, to reimburse the Town for its significant investment in Community Housing units at The Summit. NOW, THEREFORE, in consideration of the mutual covenants and obligations herein expressed, it is agreed by and between the Parties hereto as follows: AGREEMENT Section 1. Purpose. The purpose of this Agreement is to establish that the Avon Downtown Development Authority commits to remitting any tax increments generated by The Summit property or development to the Town until 2054, the last year the Authority is projected to receive the full tax increment. Section 2. Collection and Remittance of Tax Increment. The tax increment revenue received by the Authority derived from taxes imposed on The Summit property through 2054 are hereby authorized and approved to be remitted to the Town, to reimburse the Town for its investment in Community Housing units at The Summit. Section 3. Governmental Immunity. Notwithstanding any provision in the Agreement, the Authority and Town are relying on and do not waive or intend to waive by any provision of this Amended and Restated Agreement, the monetary limitations or any other rights, immunities, defenses, and protections provided by the Colorado Governmental Immunity Act, § 24-10-101, et seq., C.R.S., as from time to time amended, or otherwise available to the Authority and Town or its officers or employees. Section 4. Liability. In the event the Town is named as a party in any legal action related to this Agreement and the Town's collection the incremental tax remittance, the Authority shall select legal counsel to represent the Town in such action. Such action shall be vigorously defended against, the Town shall be consulted as to all significant decisions involved in the action, and the action shall not be compromised or settled without the Town's consent, which consent shall not be unreasonably withheld. The Authority's liability shall be limited to those amounts not covered by the insurance carried by the Town. Under no circumstances shall the Authority be liable to the Town for special, punitive, indirect, or consequential damages suffered by the Town arising out of or in connection with the Agreement or any lawsuit brought under this Section. Section 5. Term of Agreement. 6.1 The Parties have determined that this Agreement, along with all of its terms, conditions, shall go into effect as of June 29, 2026, once approved by all Parties, and shall be in effect until 2054, the last year the Authority is projected to receive the full tax increment. Section 6. Enforcement. This Agreement and the terms and provisions hereof may be enforced by either Parry hereto and their successors and assigns. In the event legal or administrative proceedings are brought against any Party for the purpose of such enforcement, the prevailing Parry shall recover from the non -prevailing Party all costs associated therewith, including but not limited to reasonable attorney's fees. Section 7. Miscellaneous Provisions. 7.1 This Agreement may not be amended except by an instrument in writing signed on behalf of each of the Parties. 7.2 No waiver of any of the provisions of this Agreement shall be deemed, or will constitute, a waiver of any other provision, whether or not similar, nor will any waiver constitute a continuing waiver. No waiver shall be binding unless executed in writing by the party making the waiver. 7.3 This Agreement constitutes the entire agreement between the Parties regarding the subject matter thereof and shall be binding upon the Parties, their officers, employees, agents, and assigns, and may not be assigned by any Party without the express written consent of the other Party. 7.4 In the event that any of the terms or conditions of this Agreement or their application shall be held invalid as to any person, entity, or circumstance by any court having competent jurisdiction, the remainder of this Agreement and the application in effect of its terms or conditions to such persons, entities, or circumstances shall not be affected thereby and this Amended and Restated Agreement shall be interpreted as if such invalid term or condition is not contained herein. 7.5 By execution of this Agreement, the undersigned each individually represent that he or she is duly authorized to execute and deliver this Agreement and that the subject Party shall be bound by the signatory's execution of this Agreement. 7.6 The Parties to this Agreement do not intend to benefit any person not a party to this Agreement. No person or entity, other than the Parties to this Agreement, shall have any right, legal or equitable, to enforce any provision of this Agreement. 7.7 The laws of the State of Colorado, without regard to Colorado laws regarding conflicts of law, shall govern the construction, interpretation, execution and enforcement of this Agreement. Venue for any dispute arising out of or relating to the Agreement shall be in the State of Colorado District Court for Eagle County. 7.8 The section headings in this Agreement have been inserted for convenience of reference only and shall not affect the meaning or interpretation of any part of this Agreement. 7.9 This Agreement may be executed in multiple counterparts, each of which shall be an original, but all of which, together, shall constitute one and the same instrument. The Parties consent to the use of electronic signatures and agree that the transaction may be conducted electronically pursuant to the Uniform Electronic Transactions Act, § 24- 71.3-101, et seq., C.R.S. [Signature page follows] IN WITNESS WHEREOF, the Parties have executed this Amended and Restated Agreement the day and year first written above. TOWN OF AVON, COLORADO, by and through its Town Council By: ) //4A4 "/ Ta ra Underwood, Mayor Attest: Miguel Casanuev4/T/wn Clerk Avon Downtown Development Authority Tony Emrick, thairperson Attest: