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URA Res. 26-02 Approving an IGA Concerning Incremental Tax Revenue (Lot B) Among the Avon URA, the Avon DDA, and Avon Station Metropolitan DistrictAvon COLORADO RESOLUTION 26-02 APPROVING AN INTERGOVERNMENTAL AGREEMENT CONCERNING INCREMENTAL TAX REVENUE (LOT B) AMONG THE AVON URBAN RENEWAL AUTHORITY, THE AVON DOWNTOWN DEVELOPMENT AUTHORITY, AND AVON STATION METROPOLITAN DISTRICT WHEREAS, the Town of Avon established the Avon Urban Renewal Authority ("URA") pursuant to Article 25 of Title 31, Colorado Revised Statutes, to implement the Town Center West Urban Renewal Plan and undertake urban renewal activities within the urban renewal area; and WHEREAS, the Town of Avon established the Avon Downtown Development Authority ("DDA") pursuant to Article 25, Part 8 of Title 31, Colorado Revised Statutes, to support downtown economic development, public improvements, and community housing initiatives within the downtown area; and WHEREAS, the URA and the DDA have certain statutory rights to receive and retain tax increment revenues generated from property located within their respective plan areas; and WHEREAS, Lot B, located within Avon Station Metropolitan District, is the only property within Avon Station Metropolitan District that is also located within the boundaries of the DDA and is subject to tax increment provisions applicable to both the URA and the DDA; and WHEREAS, the Avon Urban Renewal Authority, the Avon Downtown Development Authority, and Avon Station Metropolitan District have negotiated an Intergovernmental Agreement Concerning Incremental Tax Revenue (Lot B) (the "Agreement") to establish the allocation, remittance, reporting, and administration of tax increment revenues generated from Lot B; and WHEREAS, the Agreement provides for the retention of Lot B tax increment revenues by the URA during the term of the Town Center West Urban Renewal Plan, establishes the treatment of debt service and operations mill levy revenues following expiration of the URA Plan, and creates reporting and audit procedures among the parties; and WHEREAS, the Avon Urban Renewal Authority Board finds that approval of the Agreement serves the public interest by providing certainty regarding the allocation and administration of incremental tax revenues associated with Lot B and supporting the orderly implementation of the URA Plan, the DDA Plan, and obligations of Avon Station Metropolitan District. NOW, THEREFORE, BE IT RESOLVED BY THE AVON URBAN RENEWAL AUTHORITY OF THE TOWN OF AVON, COLORADO, that the Intergovernmental Agreement Concerning Incremental Tax Revenue (Lot B) among the Avon Urban Renewal Authority, the Avon Downtown Development Authority, and Avon Station Metropolitan District, attached hereto as Exhibit A, is hereby approved. Resolution 26-02 July 28, 2026 Page 1 of 2 ADOPTED July 28, 2026, by the AVON URB By: Tamra N. Underwood, C airwoman AN RENEWAL AUT$OR�TY Attest: / - e CERTIFIED: Miguel JaureguP4nueva, Authority Clerk Resolution 26-02 July 28, 2026 Page 2 of 2 Paul Redmond, Treasurer INTERGOVERNMENTAL AGREEMENT CONCERNING INCREMENTAL TAX REVENUE (LOT B) THIS INTERGOVERNMENTAL AGREEMENT CONCERNING INCREMENTAL TAX REVENUE (LOT B) (the "Agreement") is made and entered into as of June 29, 2026, by and among the AVON URBAN RENEWAL AUTHORITY, an urban renewal authority and body corporate and politic of the State of Colorado (the "URA"), the AVON DOWNTOWN DEVELOPMENT AUTHORITY, a downtown development authority and body corporate of the State of Colorado (the "DDA"), and AVON STATION METROPOLITAN DISTRICT, a quasi - municipal corporation and political subdivision of the State of Colorado ("Avon Station"). The URA, the DDA, and Avon Station may be referred to herein individually as a "Party" and collectively as the "Parties." RECITALS WHEREAS, the URA is a Colorado urban renewal authority established by the Town of Avon, Colorado (the "Town") in accordance with § 31-25-101, et. seq., C.R.S. (the "URA Act"); and WHEREAS, the URA is authorized by the URA Act to provide for improvements and facilities and other functions of benefit to the Authority and its residents and taxpayers; and WHEREAS, pursuant to the URA Act and the Town Center West Urban Renewal Plan, approved by the Town (the "URA Plan'), the URA has the power to collect and retain ad valorem property tax revenue derived from the mill levies imposed by Avon Station and Confluence Metropolitan District ("Confluence" and together with Avon Station, the "Districts") as applied to any incremental increase in property values within the Districts above the assessed value as of the time the Town adopted the URA Plan (the "District Tax Increment Revenue"), as the same relates to property that is within the boundaries of the Districts and that is also within the URA Plan area; and WHEREAS, the URA, Avon Station and Confluence are parties to that certain Intergovernmental Agreement between Avon Urban Renewal Authority, Confluence Metropolitan District, and Avon Station Metropolitan District Concerning Incremental Taxes, dated October 9, e 2007 (th"URA Agreement') and WHEREAS, pursuant to the URA Agreement, the URA agreed to remit to the Districts the District Tax Increment Revenue it receives as a result of ad valorem property taxes and associated specific ownership taxes levied by the Districts within the current boundaries of the Districts, except for Lot B within Avon Station, as depicted in Exhibit A, attached hereto and incorporated herein ("Lot B"), and except for and to the extent of any incremental ad valorem property taxes or specific ownership taxes generated by an increase in the total number of permitted dwelling units or commercial square footage in the zoning entitlement existing as of February 27, 2007; and IGA — URA-DDA-Avon Station The Summit — Tax Increment Remittance July 28, 2026 Page I of 9 WHEREAS, subsequent to the date of the URA Agreement, the Town established the DDA as a Colorado downtown development authority established in accordance with § 31-25-801, et. seq. (the "DDA Act"); and WHEREAS, the DDA is authorized to provide organizational focus and financing to support downtown economic developments and improvements, including specifically development of 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; and WHEREAS, in furtherance of its organization and purpose, the DDA 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 DDA has the authority to collect and retain the District Tax Increment Revenue derived from the mill levies imposed Avon Station on property which is within the boundaries of Avon Station and that is also within the boundaries of the DDA; and WHEREAS, Confluence and Avon Station are parties to that certain Second Amended and Restated Joint Facilities Construction and Service Agreement, dated April 26, 2007, as amended (the "District IGA"), pursuant to which Confluence is to manage the construction, operation, and maintenance of public improvements, and Avon Station, through an assignment of revenue raised from mill levies imposed by Avon Station, is to provide funding for such construction, operation, and maintenance; and WHEREAS, in 2021, Confluence obtained two loans, consisting of its 2021A-1 Senior Loan and its 2021 A-2 Senior Loan, and issues its Subordinate Limited Tax Supported Revenue Refunding Bonds, Series 2021 B (collectively the "2021 Debt"), the proceeds of which were used to refund bonds issued by Confluence in 2007, which bonds were issued to fund the construction of public infrastructure; and WHEREAS, Confluence and Avon Station are parties to that certain Amended and Restated Capital -Pledge Agreement, -dated June 10, - 2021,- and that certain Capital - Pledge Agreement --- (Subordinate), also dated June 1, 2021 (collectively, the "2021 Pledge Agreements"), pursuant to which Avon Station has pledged certain revenue to Confluence to support the repayment of the 2021 Debt; and WHEREAS, all of the property within the boundaries of Avon Station is within the plan area of the URA; and WHEREAS, the only property within the boundaries of Avon Station that is also within the DDA is Lot B; and IGA — URA-DDA-Avon Station The Summit — Tax Increment Remittance July 28, 2026 Page 2 of 9 WHEREAS, for the avoidance of doubt, no property within Confluence is within the DDA, and as such the DDA has no right to any District Tax Increment Revenue derived from any mill levies imposed by Confluence; and WHEREAS, the Parties desire to enter into this Agreement to address the remittance of the District Tax Increment Revenue as the same relates to Lot B. NOW THEREFORE, in consideration of the mutual covenants and stipulations set forth herein, the receipt and sufficiency of which are hereby acknowledged, the Parties hereto agree as follows: Section 1. TERMS AND CONDITIONS Definitions. Capitalized terms used but not defined herein shall have the meanings ascribed to them in the Recitals above, as applicable. In addition, the following definitions shall apply: (a) "Debt Service Mill Levy" means the mill levy imposed by Avon Station for the purpose of paying debt service on bonds or other obligations of Avon Station, as certified by Avon Station to the Eagle County assessor annually. (b) "Operations Mill Levy" means the mill levy imposed by Avon Station for the purpose of funding operations, maintenance, administrative expenses of Avon Station other than debt service, as certified by Avon Station to the Eagle County assessor annually. (c) "Lot B Tax Increment Revenue" means the District Tax Increment Revenue derived from both the Debt Service Mill Levy and the Operations Mill Levy imposed by Avon Station, as applied to the assessed valuation of Lot B in excess of the base assessed value established pursuant to the URA Plan. (d) "URA Plan Termination Date" means the date upon which the URA West Town Center Investment Plan expires or is otherwise terminated in accordance with the URA Act and the URA West Town Center Investment Plan. (e) "DDA Plan Termination Date" means the date upon which the DDA Plan expires or is otherwise terminated in accor ance with the DDA Act and the DDAlan. Section 2. Debt Service Mill Levy Lot B Tax Increment Revenue. (a) From the date of this Agreement until the URA Plan Termination Date, after which time the URA no longer has the right to retain the Lot B Tax Increment Revenue, the URA shall retain all Lot B Tax Increment Revenue, and associated specific ownership taxes, derived from Avon Station's Debt Service Mill Levy. Such retained revenue shall be used by the URA in furtherance of the URA Plan and for such purposes as are authorized under the URA Act. IGA — URA-DDA-Avon Station The Summit —Tax Increment Remittance July 28, 2026 Page 3 of 9 (b) From the URA Plan Termination Date and until the DDA Plan Termination Date, after which time the DDA no longer has the right to retain the Lot B Tax Increment Revenue, the DDA shall remit to Confluence, on behalf of Avon Station in furtherance of the District IGA and the 2021 Pledge Agreements, all Lot B Tax Increment Revenue, and associated specific ownership taxes, derived from Avon Station's Debt Service Mill Levy. Such remittance shall be made no later than thirty (30) days from the DDA's receipt of any such Lot B Tax Increment Revenue from the Eagle County treasurer. (c) After the DDA Plan Termination Date, all Lot B Tax Increment Revenue, and associated specific ownership taxes, derived for Avon Station's Debt Service Mill Levy shall be remitted directly to Avon Station from the Eagle County treasurer, and neither the URA nor the DDA shall have any right to any such Lot B Tax Increment Revenue. Section 3. Operations Mill Levy Lot B Tax Increment Revenue. (a) From the effective date of this Agreement until the URA Plan Termination Date, after which time the URA no longer has the right to retain the Lot B Tax Increment Revenue, the URA shall retain all Lot B Tax Increment Revenue, and associated specific ownership taxes, derived from the Operations Mill Levy imposed Avon Station. Such retained revenue shall be used by the URA in furtherance of the URA Plan and for such purposes as are authorized under the URA Act. (b) From the URA Plan Termination Date and until the DDA Plan Termination Date, after which time the DDA no longer has the right to retain the Lot B Tax Increment Revenue, the DDA shall retain all Lot B Tax Increment Revenue, and associated specific ownership taxes, derived from the Operations Mill Levy imposed by Avon Station. Such retained revenue shall be used by the DDA in furtherance of the DDA Plan and for such purposes as are authorized under the DDA Act. (c) After the DDA Plan Termination Date, all Lot B Tax Increment Revenue, and associated specific ownership taxes, derived from Avon Station's Operations Mill Levy shall be remitted directly to Avon Station from the Eagle County treasurer, and neither the URA nor the DDA shall have any right to any such Lot B Tax Increment Revenue. Section-4. -Audit and Reporting. (a) Annual Reporting. The URA and the DDA, during the period which each is entitled to receive and retain Lot B Tax Increment Revenue pursuant to this Agreement, shall provide Avon Station with an annual written report no later than ninety (90) days following the end of each calendar year, which report shall include: (i) The total amount of Lot B Tax Increment Revenue received by the reporting Party during the prior calendar year, itemized separately the Lot B Tax Increment Revenue attributable to the Debt Service Mill Levy and to the Operations Mill Levy; IGA — URA-DDA-Avon Station The Summit —Tax Increment Remittance July 28, 2026 Page 4 of 9 (ii) The total amount of Lot B Tax Increment Revenue remitted to Avon Station during the prior calendar year, including the date(s) of such remittance(s); (iii) The total amount of Lot B Tax Increment Revenue retained by the reporting Parry during the prior calendar year; and (iv) The cumulative total of all Lot B Tax Increment Revenue received, remitted, and retained since the effective date of this Agreement or the date such Parry first began receiving Lot B Tax Increment Revenue, whichever is later. (b) Audit Rights. Avon Station shall have the right, upon not less than thirty (30) days' prior written notice to the applicable Party, to audit the financial records of the URA or the DDA, as applicable, solely as they relate to the receipt, retention, and remittance of Lot B Tax Increment Revenue by such Party. Such audits shall be conducted at Avon Station's sole cost and expense, except as provided in subsection (c) below, and shall be conducted during normal business hours at the principal offices of the audited Party. Avon Station shall not conduct more than one (1) such audit of any Party in any calendar year, unless a prior audit has revealed a material discrepancy, in which case an additional audit may be conducted with respect to the period covered by such discrepancy. (c) Audit Discrepancies. If an audit conducted pursuant to subsection (b) above reveals that the URA or the DDA, as applicable, has failed to remit any Lot B Tax Increment Revenue to Avon Station in the amounts and within the timeframes required under this Agreement, the applicable Party shall remit the deficient amount to Avon Station within thirty (30) days of the date the discrepancy is confirmed in writing by the audited Party or, if disputed, within thirty (30) days of a final resolution of such dispute. If the audit reveals an underpayment exceeding five percent (5%) of the total amount required to have been remitted during the audited period, the audited Party shall also reimburse Avon Station for the reasonable costs of the audit. (d) Record Retention. The URA and the DDA shall each maintain complete and accurate financial records relating to all Lot B Tax Increment Revenue received, retained, and remitted for a period of not less than seven (7) years following the end of the calendar year to which such records relate, or for such longer period as may be required by applicable law. Such records shall be made available to Avon Station upon request in connection with any audit conducted pursuant to this Section. (e) Plan Termination Notice. The URA and the DDA shall each provide written notice to Avon Station and to each other no later than one hundred eighty (180) days prior to the anticipated termination date of their respective plan, or as soon as practicable if such termination is not anticipated in advance. Such notice shall include the anticipated or actual termination date and a final accounting of all Lot B Tax Increment Revenue received, retained, and remitted through the date of termination. Section 5. Cooperation. The Parties agree to cooperate in good faith and take all reasonable actions necessary to effectuate the intent of this Agreement, including executing such IGA — URA-DDA-Avon Station The Summit — Tax Increment Remittance July 28, 2026 Page 5 of 9 additional documents, instruments, or agreements as may be necessary or desirable to carry out the purposes hereof. Section 6. Notices. Any notice or communication required under this Agreement must be in writing, and may be given personally, sent via nationally recognized overnight carrier service, or by registered or certified mail, return receipt requested. If given by registered or certified mail, the same will be deemed to have been given and received on the first to occur of: (i) actual receipt by any of the addressees designated below as the parry to whom notices are to be sent; or (ii) three days after a registered or certified letter containing such notice, properly addressed, with postage prepaid, is deposited in the United States mail. If personally delivered or sent via nationally recognized overnight carrier service, a notice will be deemed to have been given and received on the first to occur of. (i) one business day after being deposited with a nationally recognized overnight air courier service; or (ii) delivery to the party to whom it is addressed. Any parry hereto may at any time, by giving written notice to the other party hereto as provided in this Section 6 of this Agreement, designate additional persons to whom notices or communications will be given, and designate any other address in substitution of the address to which such notice or communication will be given. Such notices or communications will be given to the parties at their addresses set forth below: The URA: The Avon Urban Renewal Authority With a copy to: Attention: Phone: E-mail: Attention: Phone: E-mail: The DDA: The Avon Downtown Development Authority With a copy to: Attention: Phone: E-mail: Attention: Phone: _ E-mail: IGA — URA-DDA-Avon Station The Summit —Tax Increment Remittance July 28, 2026 Page 6 of 9 Avon Station: Avon Station Metropolitan District c/o Marchetti & Weaver, LLC 28 Second Street, Suite 213 Edwards, CO 81632 Attention: Jon Erickson Phone: (970) 926-6060 E-mail: jon@mwcpaa.com With a copy to: WBA, PC 2154 E. Commons Avenue, Suite 2000 Centennial, CO 80122 Attention: Trisha K. Harris, Esq. Phone: (303) 858-1800 E-mail: tharris@wbapc.com Section 7. Amendment. This Agreement may not be amended, modified, or supplemented except by a written instrument duly executed by all Parties. Section 8. Entire Agreement. This Agreement, and all exhibits attached hereto, constitutes the entire agreement of the Parties with respect to the subject matter hereof and supersedes all prior and contemporaneous negotiations, representations, warranties, and understandings of the Parties with respect to the subject matter hereof. Section 9. Governing Law; Venue. This Agreement shall be governed by and construed in accordance with the laws of the State of Colorado. Venue for any dispute arising hereunder shall be in the district court of Eagle County, Colorado. Section 10. Counterparts. This Agreement may be executed in several counterparts, each of which may be deemed an original, but all of which together shall constitute one and the same instrument. Executed copies hereof may be delivered by facsimile or email of a PDF document, and, upon receipt, shall be deemed originals and binding upon the signatories hereto, and shall have the full force and effect of the original for all purposes, including the rules of evidence applicable to court proceedings. Section 11. Severability. If any provision of this Agreement is held to be invalid or unenforceable, the remaining provisions shall continue in full force and effect. Section 12. No Third -Party Beneficiaries. This Agreement is for the sole and exclusive benefit of the Parties and their respective successors and assigns. Nothing herein, express or implied, is intended to or shall confer upon any other person or entity any legal or equitable right, benefit, or remedy of any nature whatsoever under or by reason of this Agreement. IGA—URA-DDA-Avon Station The Summit —Tax Increment Remittance July 28, 2026 Page 7 of 9 Section 13. Authority. Each Party represents and warrants that it has full power and authority to enter into this Agreement and to perform its obligations hereunder, and that this Agreement has been duly authorized by all necessary action of such Party. IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first written above. ATTEST: cAt `&) C',1., -- VrL AV( By: _ Name Title: c.'! AVON DOWNTOWN DEVELOPMENT AUTHORITY By: Name: Title: ATTEST: AVON STATION METROPOLITAN DISTRICT By: Name: Title: ATTEST: IGA— URA-DDA-Avon Station The Summit —Tax Increment Remittance July 28, 2026 Page 8 of 9 EXHIBIT A Depiction of Lot B WV lE Wl� IN 0 ko M M 10311 \.' WNW W, CT#W NOW 1.% m D � OIMO C x Z 5 on 1 H a) m CO CO < CO 0 z