TC Council Packet 06-22-2010TOWN OF AVON, COLORADO
AVON
AVON REGULAR MEETING FOR TUESDAY, JUNE 22, 2010
__.____
MEETING BEGINS AT 5:30 PM
AVON TOWN HALL, ONE LAKE STREET
PRESIDING OFFICIALS
MAYOR RON WOLFE
MAYOR PRO TEM BRIAN SIPES
COUNCILORS RICHARD CARROLL, DAVE DANTAS, KRISTI FERRARO
AMY PHILLIPS, ALBERT "Buz" REYNOLDS, JR.
TOWN STAFF
TOWN ATTORNEY: ERIC HEIL TOWN MANAGER: LARRY BROOKS TOWN CLERK: PATTY MCKENNY
ALL REGULAR MEETINGS ARE OPEN TO THE PUBLIC EXCEPT EXECUTIVE SESSIONS
COMMENTS FROM THE PUBLIC ARE WELCOME DURING CITIZEN AND COMMUNITY INPUT AND PUBLIC HEARINGS
PLEASE VIEW AVON'S WEBSITE, HTTP: / /WWW.AVON.ORG, FOR MEETING AGENDAS AND MEETING MATERIALS
AGENDAS ARE POSTED AT AVON TOWN HALL AND RECREATION CENTER, ALPINE BANK, AND AVON LIBRARY
THE AVON TOWN COUNCIL MEETS ON THE SECOND AND FOURTH TUESDAYS OF EVERY MONTH
1. CALL TO ORDER AND ROLL CALL
2. APPROVAL OF AGENDA
3. DISCLOSURE OF POTENTIAL CONFLICT OF INTEREST
4. COMMUNITY & CITIZEN INPUT
5. CONSENT AGENDA
a. Minutes from June 8, 2010
b. First Amendment to Phase II Subdivision Improvements Agreement for Lots 2, 3 and 5, Buck
Creek Planned Unit Development (Justin Hildreth, Town Engineer) An amendment to the Buck Creek
PUD that would substitute a letter of credit with cash collateral for the project
c. Agreement between Town of Avon and Iron Kids Triathlon for Sponsorship (Danita Chirichillo,
Special Events Coordinator) Approve sponsorship agreement with World Triathlon Corporation to host
IronKids Triathlon event
d. Salute to U.S.A. Event Update & Distribution of Credentials (Danita Chirichillo, Special Events
Coordinator)
6. ORDINANCES
a. Public Hearing on Ordinance No 10 -10, Series of 2010, Second Reading, Ordinance
Amending Chapter 3.12 of the Avon Municipal Code to Revise the Exemptions from Real Estate
Transfer Taxes (Eric Heil, Town Attorney) Legislation that revises the exemptions from real estate
transfer taxes
7. RESOLUTIONS
a. Public Hearing on Resolution No. 10 -16, Series of 2010, Resolution of the Town of Avon
Authorizing a Tabor Election on November 2, 2010, Fixing the Ballot Title and Question, and
Setting Forth Other Details Relating Thereto (Scott Wright, Assistant Town Manager Finance)
Review ballot language for Avon CAN Proposal
8. TOWN MANAGER REPORT
9. TOWN ATTORNEY REPORT
10 MAYOR REPORT
11. ADJOURNMENT
FUTURE COUNCIL AGENDA DATES He PROPOSED TOPICS:
July 13, 2010: Light Ordinance Review, Community Funding, Medical Marijuana, Booting Ordinance
Amendments
Avon Council Meeting. 10.06.22
Page 3 of 3
MINUTES OF THE REGULAR MEETING OF THE AVON TOWN COUNCIL
HELD JUNE 8, 2010
A regular meeting of the Town of Avon, Colorado was held at the Avon Municipal Building, One
Lake Street, Avon, Colorado in the Council Chambers.
Mayor Ron Wolfe called the meeting to order at 5:30 PM. A roll call was taken and Council
members present were Rich Carroll, Dave Dantas Kristi Ferraro, Amy Phillips, Buz Reynolds
and Brian Sipes. Also present were Town Attorney Eric Heil, Town Manager Larry Brooks,
Asst. Town Manager Mgmt Services Patty McKenny, Assistant Town Manager Community
Development Sally Vecchio, Recreation Director Meryl Jacobs, Community Relations Officer
Jaime Walker as well as members of the public.
APPROVAL OF AGENDA & DISCLOSURE OF POTENTIAL CONFLICT OF INTEREST
Councilor Carroll asked to include the following item to the evening Executive Session agenda
due to some conversations on the topic during the earlier Executive Session:
a. Receiving legal advice pursuant to Colorado Revised Statute §24- 6- 402(4)(b),
developing a strategy for negotiations and instructing negotiators pursuant to Colorado
Revised Statute §24- 6- 402(4)(d), and for the discussion of potential transfer of real
property pursuant to Colorado Revised Statute §24- 6- 402(4)(a) specifically related to the
Upper Eagle River Water Authority Avon water treatment plant site
Mayor Pro Tern Sipes noted that he would not vote on the SIA amendment for Buck Creek PUD
due to a conflict of interest.
COMMUNITY & CITIZEN INPUT
a. Danita Chirichillo, Special Events Coordinator, presented a review of Avon's Summer
Events
b. Greg Hall, Public Works Director, Town of Vail, presented the award to Jenny Strehler,
Director PW &T from the Colorado Chapter of the American Public Works Association Award
to Avon Public Works Administration for "Small Community Category: Avon's Community
Heat Recovery Project"
CONSENT AGENDA
Mayor Wolfe asked for a motion on the consent agenda. Councilor Ferraro moved to approve
the consent agenda; Mayor Pro Tern Sipes seconded the motion and it passed unanimously:
a. Minutes from May 25, 2010
b. Revised Settlement Agreement Town of Avon Opposition To Case No. 05CW262 (Town
of Minturn Application For Changes of Water Rights) And Case No. 05CW263 (Town of
Minturn's Application for New Groundwater Rights) (Justin Hildreth, Town Engineer)
There were questions from Council on the following item and it was therefore removed from the
consent agenda.
c. First Amendment to Phase II Subdivision Improvements Agreement for Lots 2, 3 and 5,
Buck Creek Planned Unit Development (Justin Hildreth, Town Engineer) An amendment to
the Buck Creek PUD that would substitute a letter of credit with cash collateral for the project
Several revisions were suggested as a result of the council's questions and discussion. The
revised SIA addressed changing the surety from a letter of credit to a cash escrow account and
removing contradictory language dictating when permits can be issued. The further
recommended changes included the following:
✓ Placing the escrow account into a separate account to prevent comingling of funds
✓ Additional language that would be clearer as to the enforcement of the SIA
This item would be included on the next agenda.
NEW BUSINESS
Sally Vecchio, Assistant Town Manager Community Development, asked that the matter, the
2010 Intergovernmental Agreement for Building Inspection Services between the Town of Avon
and the County of Eagle, be continued until sometime in July as the Eagle County Attorney's
office has not yet had a chance to review the document. The IGA supports using Eagle County
Building Inspectors on occasion when Avon's Building Official is unable to perform the
inspections. It was discussed to revise the agreement so that the town could provide the same
services to the county if so needed, to create a more reciprocal IGA environment. Councilor
Dantas moved to continue the IGA until July; Mayor Pro Tern Sipes seconded the motion and it
passed unanimously.
ORDINANCES
Eric Heil, Town Attorney, presented Ordinance No 10 -10, Series of 2010, First Reading,
Ordinance Amending Chapter 3.12 of the Avon Municipal Code to Revise the Exemptions from
Real Estate Transfer Taxes. He noted that the legislation amends Chapter 3.12 Real Property
Transfer Tax by addressing the following items:
✓ Updating the exemption for transfer to, from and between business entities where no
consideration is provided
✓ Revising Section 3.12.070 regarding applications and appeals.
Further discussion resulted in some revisions as outlined in the motion. Councilor Ferraro
moved to approve Ordinance No 10 -10, Series of 2010, Ordinance Amending Chapter 3.12 of
the Avon Municipal Code to Revise the Exemptions from Real Estate Transfer Taxes with the
following changes:
1. WHEREAS, approval of this Ordinance on first reading is intended only to confirm that the Town
Council desires to comply with the requirements of the Avon Home Rule Charter by
2. Section 3.12.060(5) is repealed in its entirety and reenacted to read as follows:
"(5) Transfers made pursuant to capital investment, reorganization, merger, consolidation,
liquidation, dissolution or termination of corporations, partnerships, limited liability companies,
trusts, or other business entities recognized in Colorado for no consideration other than
acquisition or cancellation or surrender of stock or percentage ownership interest in such
business entity, ifto the extent that the relative ownership interest of such persons in the real
property or in the percentage ownership of the business entity are the same after the transfer
as immediately before the transfer and there is no monetary consideration� for that portion of
the transfer."
3. (c) Application Review. The Town Manager, or designee, shall review applications for
Exemption from Real Property Transfer Tax within thirty (30) days of receipt of a complete
application. The failure of the Town Manager, or designee, to review an application for
Exemption from Real Property Transfer Tax within thirty (30) days shall not be deemed to
constitute an approval of an application for Exemption from Real Property Transfer Tax;
however, the aatienapplicant may elect to appeal the application directly to the Town
Council according to the procedures set forth in sub - section (d) below. If the Town Manager,
or designee, determines that the application does not include adequate information to
determine whether the application complies with an exemption stated in Section 3.12.060 of
the Avon Municipal Code, the Town shall send a communication to the applicant stating that
the application ^a^ neith er be approved n^rshall be denied unless the applicant provides
additional information_ands shall state the required information neGessan, to nmmpl °f°
r pand shall provide a maximum of thirty (30) days for the appliGation. -9nce 4e2pplicant
to provide additional information h° r°^°"Ve f "° The Town Manager, or designee, shall
review the supplemented appliG additional information which is timely submitted within
Regular Council Meeting Page 2 of 4
10.06.08.doc
thirty (30) days of receipt. The Town Manager, or designee, shall approve, partially approve,
or deny the application in writing based upon compliance with the exemptions, or the intent of
the exemptions, set forth in Section 3.12.060. Inadequate or inaccurate information which
does not demonstrate compliance with the exemptions set forth in Section 3.12.060 shall be
grounds for denial of an application.
(d) Appeal to Council. Any person whose application for Exemption from Real Property Transfer Tax is
not acted upon with the timeframe set forth in sub - paragraph (c) above or whose application is denied
or partially approved may appeal such decision to the Town Council in accordance with the
procedures and requirements of this Section 3.12.070.
Councilor Phillips seconded the motion and it passed unanimously.
COMMUNITY & CITIZEN INPUT - CONTINUED
Mark Weinrich, ABA member, resident and business owner in Avon, commented on the Avon
CAN proposal, noting that the sentiment of the group is still resoundingly not in favor of
increasing the sales tax in Avon. He asked council to consider finding other revenue streams
instead of sales tax.
RESOLUTIONS
Scott Wright, Assistant Town Manager Finance, presented Resolution No 10 -15, Series of 2010,
Resolution in Opposition of Statewide Ballot Measures Proposition 101, Amendment 60 and
Amendment 61. He noted that the Resolution was drafted that stated Avon's Town Council
opposed the positions of the statewide ballot measures to be voted on in November. He also
described some of the devastating financial impacts that would be a result of passing the
measures:
Proposition 101:
✓ Reduction of specific ownership tax
✓ Elimination of vehicle rental taxes
✓ Elimination of communications tax
Amendment 60:
✓ Eliminates the debrucing vote in 1998 which allowed Avon to retain over $2M in property
tax; if passed would reduce Avon's ability to collect $300K in taxes
Amendment 61:
✓ Impacts town's taxes in relationship to its debt of $1.2M so that over a period of several
years when bonds mature, it would be forced to reduce its property taxes as well
Councilor Ferraro moved to approve Resolution No 10 -15, Series of 2010, Resolution in
Opposition of Statewide Ballot Measures Proposition 101, Amendment 60 and Amendment 61;
Mayor Pro Tern Sipes seconded the motion and it passed unanimously.
MAYOR REPORT
Ron Wolfe, Mayor, presented an update on the Eagle Valley Multi Party Land Exchange, noting
that some of the parties have agreed to assist with the land trades.
TOWN MANAGER REPORT
Larry Brooks, Town Manager, noted that he spent time with Eagle County Commissioners on
the Swift Gulch Regional Facility proposal.
Regular Council Meeting Page 3 of 4
10.06.08.doc
EXECUTIVE SESSION
Councilor Phillips moved to convene into an Executive Session at 6:35 PM to discuss the
following matters as outlined on the agenda; Councilor Carroll seconded the motion and it
passed unanimously.
a. Receiving legal advice pursuant to Colorado Revised Statute §24- 6- 402(4)(b) and for
developing a strategy for negotiations and instructing negotiators pursuant to Colorado
Revised Statute §24- 6- 402(4)(d) specifically related to pending litigation and settlement
discussions regarding Town of Avon v Traer Creek Metropolitan District, 2008 CV 0385
b. Receiving legal advice pursuant to Colorado Revised Statute §24- 6- 402(4)(b)
specifically related to pending litigation regarding Traer Creek, LLC, et.al. v Town of
Avon 2010 CV 316
c. Receiving legal advice pursuant to Colorado Revised Statute §24- 6- 402(4)(b),
developing a strategy for negotiations and instructing negotiators pursuant to Colorado
Revised Statute §24- 6- 402(4)(d), and for the discussion of potential transfer of real
property pursuant to Colorado Revised Statute §24- 6- 402(4)(a) specifically related to the
Upper Eagle River Water Authority Avon water treatment plant site
Councilor Ferraro moved to convene to the Regular Meeting at 8:15 pm; Mayor Pro Tern Sipes
seconded the motion and it passed unanimously.
There being no further business to come before the Council, the regular meeting adjourned at
8:15 PM.
RESPECTFULLY SUBMITTED:
Patty B. McKenny, Town Clerk
APPROVED:
Rich Carroll
Dave Dantas
Kristi Ferraro
Amy Phillips
Albert "Buz" Reynolds
Brian Sipes
Ron Wolfe
Regular Council Meeting Page 4 of 4
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Memo
To: Honorable Mayor and Town Council
Thru: Larry Brooks, Town Manager
Legal Review: Eric Heil, Town Attorney
Approved by: Sally Vecchio, Assistant Town Mgr /Director of Comm. Dev.
From
Date:
Re:
Justin Hildreth, P.E., Town Engineer
June 17, 2010
Initials
16`4
Revised Subdivision Improvement Agreements for Phase II Buck Creek PUD
Summary: The applicant, Tanavon Corporation, has submitted an amendment to the Phase II Subdivision
Improvement Agreement (SIA) for Lots 2, 3, and 5 of the Buck Creek PUD (Attachment A.) The SIA provides for
completion of improvements as depicted on the approved Buck Creek PUD plans.
The revisions to the SIA include: switching the surety from a letter of credit to a cash escrow account, and
removing contradictory language dictating when permits can be issued for the project during construction.
The revised SIA was presented to Town Council at the June 8, 2010 meeting at which Town Council requested
several changes including placing the escrow account into a separate account at a local bank to prevent co-
mingling of funds, and Town Council requested additional information on the enforcement of the SIA.
An escrow account has been set up at Alpine Bank and the following language has been added to the SIA:
"The cash escrow account ( "Cash Escrow Account ") shall be deposited at Alpine Bank, Avon,
Colorado. The Cash Escrow Account shall be maintained for the sole purpose of funding the
Improvements and no funds shall be withdrawn from such account except as provided for in
the Agreement as amended by the First Amendment to the Agreement, or the Cash Escrow
Agreement. The funds in the Cash Escrow Account shall not be comingled with any other
funds or used in any manner except as stated above."
The enforcement provisions of the SIA are outlined in sections 4(b) and 10 (Attachment B). In summary, the
provisions allow that in the event of default, the Town can withdraw funds from the escrow account to
complete improvements if it wants but is not obligated to do so. Also in the event of default, the Town can
recoup all fees, court costs & attorney's fees and withhold all permits and development applications for lots 2,
3 and 5. Staff is of the opinion that these provisions protect the town adequately if there is a default by the
developer of the project.
Previous Council Action: December 08, 2009 - Town Council approved the Phase II Subdivision Improvement
Agreement for Lots 2, 3 and 5, Buck Creek PUD First Amendment.
Recommendation: Approve the First Amendment to Phase II Subdivision Improvements Agreement for Lots
2, 3 and 5, Buck Creek PUD First Amendment as written and attached hereto.
Proposed Motion: "I move to approve the First Amendment to Phase II Subdivision Improvements
Agreement for Lots 2, 3 and 5, Buck Creek PUD First Amendment."
Town Manager Comments:
Attachments:
Attachment A - Revised Phase II SIA for lots 1A and 1B
Attachment B - Phase li Subdivision Improvement Agreement for Lots 2, 3 and 5, Buck Creek PUD First
Amendment
• Page 2
ATTACHMENT A
BUCK CREEK PUD
AGREEMENT FOR CASH ESCROW
FOR PHASE II
THIS AGREEMENT, made and entered into this 18th day of May, 2010, is by
and between Buck Creek Associates Ltd., a Colorado corporation, 108 S. Frontage
Road, Suite 208, Vail, CO 81657 ( "Buck Creek "), Gore Range Natural Science School
Non -Profit Corporation, 82 E. Beaver Creek Blvd., Suite 202, P.O. Box 9469, Avon,
CO 81620 ( "GRNSS ") (collectively the "Parties ").
RECITALS
WHEREAS, the Parties have entered into a Phase II Subdivision Improvements
Agreement ( "SIA ") for Lots 2, 3, and 5, Buck Creek PUD First Amendment, with the
Town of Avon ( "Town "), as provided for by Section 16.24. 100 of the Avon Municipal
Code, as amended (the "Code "); and
WHEREAS, pursuant to Section 16.24.100(2) of the Code, the Parties are
required to provide collateral which is sufficient to make reasonable provision for the
completion of the improvements ( "Improvements ") for Lots 2, 3, and 5 as depicted on the
plans approved by the Town for the Buck Creek PUD First Amendment, dated December
30, 2009, ( "Approved Plans ") and as set forth in Exhibit A attached hereto and
incorporated herein by reference, together with minor changes approved by the Town
Engineer; and
WHEREAS, Buck Creek and GRNSS have agreed to create a cash escrow for
payment of the parties' shared costs for Lots 2, 3, and 5 to be funded prior to
commencement of construction ( "Common Development Costs "). Currently the
Common Development Costs for Lots 2, 3, and 5 are estimated to be $457,343.77
( "Estimated Common Development Costs ") as set forth on the attached Exhibit "A."
Such costs shall be allocated as follows:
Buck Creek: Forty Percent (40 %)
GRNSS: Sixty Percent (60 %)
Exhibit A also contains an amount equal to a ten percent (10 %) of the Estimated
Common Development Costs as additional security ( "Contingency Fund ").
WHEREAS, the Parties have provided in the Second Amendment to the SIA that
this funded cash escrow and the Contingency Fund shall serve as the collateral required
by the Town to secure the completion of the Improvements for Lots 2, 3, and 5 in
accordance with the design and time specifications agreed to by the Parties and Section
16.24.100(2).a of the Code.
AGREEMENT
NOW THEREFORE, in consideration of the following mutual covenants,
conditions and promises, the parties hereby agree as follows:
1. Escrow Agent for Cash Escrow. The Parties hereby designate the GRNSS
as their Escrow Agent to hold the cash escrow, to disburse these funds to pay the
Common Development Costs for Lots 2, 3, and 5, and to make regular reports to the
Parties and to the Town of disbursements and funds available for payment of the
Common Development Costs which the Parties have agreed to fund from the cash
escrow. In acting as the Escrow Agent, GRNSS shall not receive any compensation for
its services. No disbursements for the costs of actual construction of the Improvements
shall be made from the cash escrow without written authorization from the Town
Engineer. Submittal of Letters of Construction Acceptance shall be required from the
deep utility provider for those facilities then under construction for which payment is then
being requested before such a disbursement may be approved and other infrastructure
constructed above such facilities. The Town Engineer shall approve or reject any
disbursement request within six (6) working days of receipt or the requirement for
approval is waived. In the event change orders or cost increases for the Improvements
occur, the Town shall be notified within two (2) working days and the cash escrow shall
be increased, if necessary, to maintain an amount equal to one hundred percent (100 %) of
the estimated costs of completion of the Improvements as set forth on Exhibit B, plus
such cost increases. The Contingency Fund provided by the Buck Creek shall not be
released until after completion of the Improvements and until after inspection and
approval of the Improvements by the Town.
The cash escrow account ( "Cash Escrow Account ") shall be deposited at Alpine Bank,
Avon, Colorado. The Cash Escrow Account shall be maintained for the sole purpose of
funding the Improvements and no funds shall be withdrawn from such account except as
provided for in the Agreement as amended by the First Amendment to the Agreement, or
the Cash Escrow Agreement. The funds in the Cash Escrow Account shall not be
comingled with any other funds or used in any manner except as stated above.
Upon completion of the Improvements and Final Payment of all costs, the
GRNSS as Escrow Agent shall issue a Final Report for the cash escrow to the Parties and
disburse any funds which may remain in the cash escrow to Buck Creek (40 %) and to
GRNSSS (60 %) and the cash escrow shall be closed. Buck Creek and GRNSS have
agreed that is these Common Development Costs for Lots 2, 3, and 5 exceed
$457,343.77, Buck Creek shall pay Forty percent (40 %) and GRNSS shall pay sixty
percent (60 %) of any amount in excess of $457,343.77. Buck Creek and GRNSS agree to
pay such excess amounts due by making additional payments of the necessary amounts to
the cash escrow held by GRNSS as Escrow Agent.
2. Contingency Fund. In addition to the Estimated Common Development
Costs to be held by GRNSS as Escrow Agent, Buck Creek and GRNSS shall transfer to
14
the escrow fund the sum of $45,734.38 which is the ten percent (10 %) of the Estimated
Common Development Costs. GRNSS shall hold the Contingency Fund during the
period of construction and to secure the Guarantee of Improvements for two (2) years
after the completion of the Improvements. In the alternative, Buck Creek and GRNSS
may provide a separate Irrevocable Letter of Credit in the amount of ten percent (10 %) of
the actual Common Development Costs during the two (2) year Guarantee of
Improvements period.
3. Completion of Work. GRNSS shall oversee the construction of the
Improvements for Lots 2, 3, and 5 as set forth in the Approved Plans and all work shall be
performed in accordance with the Approved Plans. GRNSS shall utilize the services of
J & K Engineering and Agett, LLC, as Engineers and as the Construction Consultant to
engineer, design, prepare cost estimates and a final construction budget, bid and supervise
all of the construction of the Improvements for Lots 2, 3, and 5, including
recommendations and approval of all disbursements by the Escrow Agent. GRNSS,
through J & K Engineering and Agett, LLC, shall provide development reports on a
regular basis to Buck Creek. Before awarding the bid for the construction of these
Improvements, GRNSS shall provide copies of all bids to Buck Creek with notification of
the party or parties that the GRNSS will award the bid to on the date provided in the Bid
Specifications. Each contractor entering into a contract for construction of the
Improvements shall be required to procure and maintain Commercial General Liability
Insurance during the duration of such contract in the amount of at least $2,000,000.00
each occurrence and $4,000,000.00 general aggregate. These policies shall be applicable
to all premises and operations. Such policies shall include Buck Creek and GRNSS as
named insureds and shall include a provision prohibiting cancellation or termination
without thirty (30) days prior written notice to the insureds. Such insurance shall provide
protection from all claims for bodily injury, including death, property damage, contractual
liability and completed operations. Each contractor shall be required to provide Builder's
Risk Insurance with minimum limits of not less than the insurable value of its work to be
performed. These policies shall be written on an "all risk" basis and shall name Buck
Creek and GRNSS as insureds. These policies shall contain a waiver of subrogation by
the issuer with respect to the insureds and their respective officers, agents and employees
while acting within the scope of their employment.
GRNSS shall be required to encourage and consider the advice and
recommendations of Buck Creek in the exercise of its obligation to oversee construction
of the Improvements. The Parties agree to commence construction of the Improvements
for Lots 2, 3, and 5 prior to the issuance of a building permit for any improvements on
Lots 2, 3, and 5, and to complete the Improvements prior to the issuance of a Certificate
of Occupancy for any building on any of the aforementioned Lots served by the
Improvements.
4. Security for Completion of Improvements and Obligations. To secure
completion of the Improvements and the Parties' obligations to the Town, GRNSS as
Escrow Agent agrees to hold the cash escrow as the collateral required to secure the
3
Parties' respective obligations under this Agreement and the Phase II Subdivision
Improvements Agreement in accordance with Section 16.24.100 of the Code
( "Collateral "). Buck Creek and the GRNSS agree to maintain the Contingency Fund as
either a cash escrow or an Irrevocable Letter of Credit to secure its obligations to the
Town.
5. Common Development Costs.
(a) Improvements for Lots 2, 3, and 5. Common Development Costs
may include construction of a common pavement roadway system; utility extensions for
water, sewer, gas, electric, telephone and television; construction of drainage and
containment systems; construction of retaining walls; stream, flood and wetlands
mitigation; site improvement, preparation and earthwork; and all common costs,
administrative costs, fees, insurance and other expenses associated with the
Improvements.
(b) Progress Payments on Improvements. Upon completion of
itemized Improvements for which cost estimates have been set forth in Exhibit B and
upon receipt of the certifications as specified in paragraph 6 below verifying that itemized
portions of the Improvements have been completed, the amount of the cash escrow may
be reduced periodically by GRNSS, acting as Escrow Agent, making payments from the
cash escrow to those persons and firms that have performed and completed the work. No
disbursements for the costs of actual construction of the Improvements shall be made
from the cash escrow without written authorization from the Town Engineer. Submittal
of Letters of Construction Acceptance shall be required from the deep utility provider for
those facilities then under construction for which payment is then being requested before
such a disbursement may be approved and other infrastructure constructed above such
facilities. The Town Engineer shall approve or reject any disbursement request within six
(6) working days of receipt or the requirement for approval is waived. Lien waivers shall
be requested from the contractor when appropriate.
6. Warranty Period. The Bid Specifications shall require that the
Improvements be warranted to be free from defects in workmanship or quality for a
period of two (2) years after acceptance of all the work by the Town. Written warranties
shall be obtained and maintained by the Parties during the warranty period. In the event
of any such defect, GRNSS shall require the contractor warranting the work to correct the
defect in material or workmanship. The Contingency Fund equal to at least ten percent
(10 %) of the actual cost of completion of all Improvements, or an Irrevocable Letter of
Credit in the same amount, shall be provided to the Town as security during such two (2)
year period as a guaranty of performance of any work required pursuant to the above
described warranty. In the event any corrective work is performed during the two -year
warranty period, then the warranty on said corrected work secured by the Contingency
Fund shall be extended for two (2) years from the date on which the corrected work is
completed in an amount equal to 125% of the cost of any corrected work, as estimated by
the Town. If no defects in the corrected work are found, after two years GRNSS shall
request release of the Contingency Fund by the Town.
7. Engineering Certification. Upon completion of portions of the
Improvements, GRNSS will cause J & K Engineering to provide a written opinion, to the
satisfaction of the Town Engineer, that based upon on -site observation, review of
sufficient construction - observation reports, field test reports and material test reports and
certifications by qualified personnel, the installation of the Improvements for Lots 2, 3,
and 5, or portions thereof as may be completed from time to time, have been completed,
to the best of their knowledge and professional judgment, in conformance with all
standards, plans and specifications as submitted to and previously approved by the Town,
or the pertinent utility supplier, as depicted on the Approved Plans. Inspection reports,
test results, as- constructed plans and other supporting documentation shall be submitted
with the certification. The as- constructed plans shall be submitted on paper and in a
digital format, either AutoCad DWG, AutoCad DXF, or ESRI GIS shapefile.
8. Letter Certifying Completion and Final Acceptance of Improvements.
When all Improvements have been completed and accepted by the Town, or the pertinent
utility supplier, and the Warranty Period has expired and provided that the Parties are not
in default under any of their other obligations to the Town, the Parties shall request that
the Town issue a letter, in recordable form, certifying that all obligations of the Parties
under the Phase II Subdivision Improvements Agreement have been satisfied.
9. Amendments. This Agreement may be amended from time to time,
provided that such amendment is in writing and signed by the Parties.
10. Covenants Running with the Land. This Agreement and the obligations
hereof shall be deemed to be covenants running with the land known as the Buck Creek
PUD First Amendment and shall be binding on the successors and assigns of the parties
hereto.
11. Governing Law, Venue, and Enforcement. This Agreement shall be
governed by and interpreted according to the law of the State of Colorado. Venue for any
action arising under this Agreement shall be in the appropriate court for Eagle County,
Colorado. To reduce the cost of dispute resolution and to expedite the resolution of
disputes under this Agreement, the Parties hereby waive any and all right either may have
to request a jury trial in any civil action relating primarily to the enforcement of this
Agreement. The Parties agree that the rule that ambiguities in a contract are to be
construed against the drafting party shall not apply to the interpretation of this
Agreement. If there is any conflict between the language of this Agreement and any
exhibit or attachment, the language of this Agreement shall govern.
12. Incorporation of Exhibits. Unless otherwise stated in this Agreement,
exhibits, applications, or documents referenced in this Agreement shall be incorporated in
this Agreement for all purposes. In the event of a conflict between any incorporated
exhibit and this Agreement, the provisions of this Agreement shall govern and control.
13. No Third Party Beneficiaries. Nothing contained in this Agreement is
intended to or shall create a contractual relation with, cause of action in favor of, or claim
for relief for, any third parry, including any agent, sub - consultant or sub - contractor of the
Buck Creek or GRNSS. Absolutely no third party beneficiaries are intended by this
Agreement. Any third -party receiving a benefit from this Agreement is an incidental and
unintended beneficiary only. Notwithstanding the foregoing, the Parties expressly
acknowledge and agree that the Town of Avon is a third parry beneficiary of this
Agreement and that the purpose of this Agreement is to provide adequate financial
security to insure completion of the Phase II Subdivision Improvements which are
required to serve Lot 2, Lot 3, or Lot 5 of the Buck Creek PUD, Town of Avon, CO.
[ Signature pages follow ]
The parties hereto have executed this Agreement as of the date first above written.
BUCK CREEK ASSOCIATESS Ltd., a
Colorado Corporation ( "Buck Creek ")
In
President
GORE RANGE NATURAL SCIENCE
SCHOOL NON - PROFIT CORPORATION
( "GRNS S ")
Markian Feduschak
Executive Director
7
EXHIBIT A
Agreement for Cash Escrow
APPROVED PLANS:
Construction Drawings
Buck Creek PUD Lots 2, 3, ands, Town of Avon, Colorado
May 17, 2010
Sheets C0.1, C0.2, C1.1, C1.2, C1.3, C2.1, C2.2, C2.3, C3.1, C3.2, C3.3, C4.1, C4.2,
C5.1, C6.1, C6.2, C7.1, C7.2, C7.3, C7.4, and C7.5
Release Date: May 17, 2010
Prepared by: J &K, Inc.
EXHIBIT B
Agreement for Cash Escrow
IMPROVEMENTS CONSTRUCTION COST ESTIMATE
ATTACHMENT B
PHASE II SUBDIVISION IMPROVEMENTS AGREEMENT
FOR LOTS 2,3 AND 5, BUCK CREEK PUD FIRST AMENDMENT
THIS AGREEMENT, made and entered into this _ day of December, 2009, _
2005, is by and among Tanavon Corporation, a Colorado corporation, 108 S. Frontage
Road, Suite 208, Vail, CO 81657 ( "Subdivider "), Gore Range Natural Science School
Non - Profit Corporation, 82 E. Beaver Creek Blvd., Suite 202, P.O. Box 9469, Avon,
CO 81620 ( "GRNSS "), and the Town of Avon, a Colorado municipality, by and through
its Council (the "Town ").
RECITALS
WHEREAS, the Subdivider, in connection with the approval of the final plat for
the Buck Creek PUD First Amendment, consisting of 15.796 acres, formerly known as
Lots 1, 2, 3, and 4, Wildwood Resort, Town of Avon, Eagle County, Colorado (the
"Subdivision "), desires to enter into this Phase II Subdivision Improvements Agreement
( "Agreement ") for Lots 2, 3 and 5 with the Town as provided for by Section 16.24. 100 of
the Avon Municipal Code, as amended (the "Code "); and
WHEREAS, pursuant to the Code, the Town desires to make reasonable
provisions for completion of certain improvements ( "Improvements ") as depicted on the
plans approved by the Town for the Buck Creek PUD First Amendment, dated December
2009, ( "Approved Plans ") and as set forth in Exhibit A attached hereto and
incorporated herein by reference, together with minor changes approved by the Town
Engineer; and
WHEREAS, the Subdivider owns Lots 2 and 5 and GRNSS owns Lot 3 within
the Buck Creek PUD First Amendment, and have agreed to be jointly responsible for the
completion of the Improvements for Lots 2, 3 and 5 within the Subdivision; and
WHEREAS, Subdivider, GRNSS and the Eagle River Fire Protection District
have entered into a separate Phase I Subdivision Improvements Agreement for
Improvements for Lot I and Lot 1B within the Subdivision.
AGREEMENT
NOW THEREFORE, in consideration of the following mutual covenants,
conditions and promises, the parties hereby agree as follows:
1. Final Plat Approval. The Town agrees that subject to compliance with all
conditions of approval, specifically including the Conditions set forth in Exhibit C
attached hereto and incorporated herein by this reference, and subject to the terms and
conditions of this Agreement, the Final Plat of Buck Creek PUD First Amendment shall
be promptly filed for recording with the Office of the Eagle County Clerk and Recorder.
100 1 74650.DOC / 4 }
2. Completion of Work.
(a) Performance. Subdivider and GRNSS agree to furnish all
equipment, labor and material necessary to perform and complete, in a good and
workmanlike manner, all Improvements and work incidental thereto ( "the Work ") as
depicted on the Approved Plans for Lots 2, 3 and 5 as set forth in Exhibit A. Subdivider
and GRNSS further agree that each will be responsible for all costs of Improvements as
set forth in Exhibit B, Public Improvements Construction Cost Estimate, for Lots 2, 3 and
5. Said Work shall be performed in accordance with the Approved Plans. Subdivider
and GRNSS agree to commence construction of Improvements prior to the issuance of
any building permit for any improvements upon Lots 2, 3 and 5 and to complete the
Improvements prior to the issuance of a Certificate of Occupancy for any building upon
Lots 2, 3 or 5 served by the Improvements. Commencement of construction of
Improvements shall be deemed to mean the award and execution of contracts for the
construction of the Improvements as depicted on Exhibit A for Lots 2, 3 and 5.
(b) Inspection Procedures.
(1) All work shall be done under the inspection procedures and
standards established by the Town and Holy Cross Energy, Eagle River Water and
Sanitation District, Excel Energy, Qwest Communications, Comcast or any other utility
( "Utilities "), as applicable and shall be subject to the reasonable satisfaction of the Town
and applicable Utilities. All work shall not be deemed complete until the reasonable
approval and acceptance of the Improvements for Lots 2, 3 and 5 by the Town and/or the
Utilities. Such inspections by the Town and Utilities shall not relieve the Subdivider or
GRNSS or their agents from any responsibility or obligation to assure that all work is
completed in conformance with all standards, plans and specifications as submitted to and
previously approved by the Town and Utilities. No disbursements for the costs of actual
construction of the Improvements shall be made without written authorization from the
Town Engineer. Submittal of Letters of Construction Acceptance shall be required from
the deep utility provider for those facilities then under construction for which payment is
then being requested before such a disbursement may be approved and other
infrastructure constructed above such facilities. The Town Engineer shall approve or
reject any disbursement request within six (6) working days of receipt or the requirement
for approval is waived.
(2) Cost of Inspections. The cost, if any, of such inspections,
by Town employees, or an independent third party inspector, shall be paid by the
Subdivider and GRNSS, subject to the limitations set forth in paragraph 7 below.
(3) Notice of Non-Compliance. In the event that the Town
through its inspectors reasonably determines that the Improvements are not in compliance
with the Approved Plans, it shall give written notice of such non - compliance ( "Notice of
Non - Compliance ") to the Subdivider and GRNSS. The Notice of Non - Compliance shall
include a narrative describing the unsatisfactory construction work with specific reference
001 74650. DOC / 4 }
to the applicable construction plans and specifications. The Notice of Non- Compliance
must be provided to the Subdivider and GRNSS within two (2) working days of the date
of the inspection.
3. Security for Completion of Improvements and Obligations. To secure
completion of those Improvements which serve Lots 2, 3 and 5, the cost of which shall be
shared by Subdivider and GRNSS, the Subdivider and GRNSS hereby agree to secure
their respective obligations under this Agreement by separate Irrevocable Letters of
Credit from the Subdivider and GRNSS in an amount equal to one - hundred -ten percent
(110 %) of the estimated cost of completion of the Improvements as set forth on Exhibit B
and in a form acceptable to the Town, or by any other form of collateral authorized by
Section 16.24.100(2) of the Code ( "Collateral "), prior to the commencement of the
construction of any Improvements serving Lots 2, 3 and 5 by the Subdivider and GRNSS.
No disbursements for the costs of actual construction of the Improvements shall be made
without written authorization from the Town Engineer. Submittal of Letters of
Construction Acceptance shall be required from the deep utility provider for those
facilities then under construction for which payment is then being requested before such a
disbursement may be approved and other infrastructure constructed above such facilities.
The Town Engineer shall approve or reject any disbursement request within six (6)
working days of receipt or the requirement for approval is waived. In the event change
orders or cost increases for the Improvements occur, the Town shall be notified within
two (2) working days and the Collateral shall be increased, if necessary, to maintain an
amount equal to one hundred and ten percent (110 %) of the estimated costs of completion
of the Improvements as set forth on Exhibit B, plus such cost increases.
4. Subdivider Improvements.
(a) Security for Completion of Improvements. Subdivider and
GRNSS shall deliver to the Town Collateral in an amount equal to one hundred and ten
percent (110 %) of the estimated costs of completion of the Improvements for Lots 2, 3
and 5 as set forth on Exhibit B as determined by an engineer licensed in the State of
Colorado and as approved by the Town Engineer. Construction of such Improvements,
the cost of which shall be shared by Subdivider and GRNSS, shall be secured by separate
Irrevocable Letters of Credit from the Subdivider and GRNSS in a form and amounts
acceptable to the Town, or by any other form of collateral authorized by Section
16.24.100(2) of the Code, prior to the commencement of the construction of any such
Improvements serving Lots 2, 3 and 5 by the Subdivider and GRNSS. No disbursements
for the costs of actual construction of the Improvements shall be made without written
authorization from the Town Engineer. Submittal of Letters of Construction Acceptance
shall be required from the deep utility provider for those facilities then under construction
for which payment is then being requested before such a disbursement may be approved
and other infrastructure constructed above such facilities. The Town Engineer shall
approve or reject any disbursement request within six (6) working days of receipt or the
requirement for approval is waived.
100174650.DOC / 4} 3
(b) Progress Payments on Improvements. Upon completion of
itemized Improvements which serve Lots 2, 3 and 5 for which cost estimates have been
set forth in Exhibit B and upon receipt of the Certifications as specified in paragraph 7
below verifying that itemized portions of such Improvements have been completed and
provided that Subdivider and GRNSS are not in default under any of their other
obligations to the Town, the amount of Collateral may be reduced periodically; provided,
however, that in no event will any such reduction cause the amount of remaining
Collateral to be less than an amount equal to one hundred and ten percent (110 %) of the
estimated costs of completion of all remaining Improvements for Lots 2, 3 and 5. No
disbursements for the costs of actual construction of the Improvements shall be made
without written authorization from the Town Engineer. Submittal of Letters of
Construction Acceptance shall be required from the deep utility provider for those
facilities then under construction for which payment is then being requested before such a
disbursement may be approved and other infrastructure constructed above such facilities.
The Town Engineer shall approve or reject any disbursement request within six (6)
working days of receipt or the requirement for approval is waived. Upon completion of
all Work related to such Improvements and the Town's and Utility's acceptance of such
Improvements and provided Subdivider and GRNSS are not in default under any of their
other obligations to the Town, the entire amount of remaining Collateral less those
amounts described in paragraph 5 below shall be promptly released.
(c) Default by Subdivider or GRNSS. In the event of a default in
whole or in part by Subdivider or GRNSS in the completion of Improvements for Lots 2,
3 and 5, the Town shall be authorized, but not obligated, to draw on the Collateral for the
purpose of undertaking completion or remediation work on the Improvements for Lots 2,
3 and 5, or otherwise curing any default hereunder after providing thirty (30) days'
advance written notice of default and providing an opportunity during such period for
Subdivider and GRNSS to cure the default. The Town shall be entitled, but not
obligated, to draw on the Collateral by Resolution of the Town Council or Certificate of
the Town Engineer stating (i) that Subdivider or GRNSS is in default, and (ii) the funds
are required in order to complete or correct work on the Improvements for Lots 2, 3 or 5,
or to otherwise cure Subdivider's or GRNSS's default.
5. Warranty Period. The Improvements for Lots 2, 3 and 5 shall be
warranted to be free from defects in workmanship or quality for a period of two (2) years
after approval of the Work by the Town. In the event of any such defect, the Town may
require Subdivider and GRNSS to correct the defect in material or workmanship. Ten
percent (10 %) of the total actual cost of completion of all Improvements shall be retained
by the Town as Collateral during such two (2) year period as a guaranty of performance
of any work required pursuant to the above described warranty. In the event any
corrective work is performed during the two -year warranty period then the warranty on
said corrected work shall be extended for two (2) years from the date on which it is
completed. Collateral equal to 125% of the cost of any corrected work, as estimated by
the Town, shall be retained by the Town or immediately paid to the Town by the
Subdivider or GRNSS, if sufficient funds are not held by the Town, in accordance with
00174650. DOC / 4 } 4
Section 16.24. 100, for a period of two (2) years from the date of completion of the
corrected work.
6. Engineering Certification. Upon completion of portions of the
Improvements for Lots 2, 3 and 5, Subdivider and GRNSS will cause their engineers
(who shall have been actively engaged in observing the construction of the Improvements
and be registered in the State of Colorado) to provide a written opinion, to the satisfaction
of the Town Engineer, that based upon on -site observation, review of sufficient
construction - observation reports, field test reports and material test reports and
certifications by qualified personnel, the installation of the Improvements, or portions
thereof as may be completed from time to time, have been completed, to the best of their
knowledge and professional judgment, in conformance with all standards, plans and
specifications as submitted to and previously approved by the Town, or the pertinent
utility supplier, as depicted on the Approved Plans. Inspection reports, test results, as-
constructed plans and other supporting documentation shall be submitted with the
certification. The as- constructed plans shall be submitted on paper and in a digital
format, either AutoCad DWG, AutoCad DXF, or ESRI GIS shapefile.
7. Subdivision and Inspection Fees. Fees in accordance with the Town's
Subdivision Regulations for the review of Preliminary Plans and Final Plats have been
paid in full by Subdivider. Additional fees, if any, shall be paid by the Subdivider and
GRNSS within thirty (30) days after delivery of written invoice for such fees to cover the
cost of inspections by the Town. The fees, if any, will be based on direct (out -of- pocket)
costs of the Town plus an administrative fee in the amount of fifteen (15 %) percent of the
direct costs, but in no event will the total amount of such additional inspection fees
exceed five percent (5 %) of construction costs.
8. No Obligation of Town to Complete Improvements. Subdivider and
GRNSS agree that in the event they shall fail to perform their obligations as set forth
herein, the Town shall be under no obligation to complete any of the said Improvements
for Lots 2, 3 and 5 or to issue permits for development of these Lots within the
Subdivision and that the Town, in the exercise of its sole and absolute discretion, may
apply the Collateral to curing the default of Subdivider and GRNSS under any of their
other obligations to the Town under this Agreement.
9. Non - Liability of Town; Indemnification. The Town shall not, nor shall
any officer, agent, or employee thereof, be liable or responsible for any accident, loss or
damage related to the Work specified in this Agreement, nor shall the Town, nor any
officer, agent or employee thereof, be liable for any persons or property injured by reason
of the nature of said Work. To the extent permitted by law, Subdivider and GRNSS
hereby agree to indemnify and hold harmless the Town, and any of its officers, agents and
employees against any losses, claims, damages or liabilities to which the Town or any of
its officers, agents or employees may become subject, because of any losses, claims,
damages or liabilities (or actions in respect thereof) that arise out of, or are based upon,
any acts or omissions in the performance of the obligations of Subdivider or GRNSS, as
, 00174650. DOC / 4 }
hereinbefore stated. Furthermore, the Subdivider and GRNSS shall reimburse the Town
for any and all legal or other expenses reasonably incurred by the Town in connection
with investigating or defending any such loss or claim. Subdivider and GRNSS
acknowledge that Town's approval of the Final Plat shall not be construed as an approval
of the technical correctness of the Final Plat or any documentation related thereto.
10. Rights of Town in Event of Default. In the event that Subdivider or
GRNSS defaults in whole or in part in the performance of this Agreement, and after the
expiration of thirty (30) days after having given written notice to Subdivider and GRNSS
of such default during which period of time the Subdivider and GRNSS fail to correct
said default, the Town may, at its sole discretion, proceed with the construction or
completion of the Improvements for Lots 2, 3 and 5 specified on Exhibit A, or may, in its
sole discretion, take such steps, such as erosion control measures or safety measures,
which it deems necessary to secure the site in the event of abandonment of the Work..
All such costs paid by the Town to construct or complete the Improvements or to secure
the site, together with an administrative fee in the amount of fifteen percent (15 %) of total
direct costs including cost of personnel, equipment and other amounts expended by the
Town in furtherance of the construction responsibilities of Subdivider and GRNSS, shall
be paid by Subdivider and GRNSS in equal shares. Any such costs relating to such
Improvements, which have not been paid or reimbursed by Subdivider or GRNSS , shall
be a debt of Subdivider and GRNSS and a lien on any property in the Subdivision owned
by Subdivider or GRNSS at the time of default. Said lien may be foreclosed in the same
manner as a tax lien and shall entitle the Town to add its costs and reasonable attorneys'
fees in such foreclosure or other collection. In addition to or in lieu of the foregoing, the
Town may bring a mandatory injunction action against Subdivider and GRNSS to require
installation and construction of the Improvements. If any such action is brought by the
Town, the Town shall be awarded its court costs, attorneys' fees and an amount to
compensate the Town for the time of its employees in the preparation of and participation
in such action. The Town may also withhold any further permitting or processing of
development applications for Lots 2, 3 or 5 during any period of default.
11. Letter Certifying Completion and Final Acceptance of Improvements.
When all Improvements for Lots 2, 3 and 5 have been completed and accepted by the
Town, or the pertinent utility supplier, and the Warranty Period has expired and provided
that Subdiver and GRNSS are not in default under any of their other obligations to the
Town under this Agreement, the Town agrees that it will issue a letter, after consultation
with the pertinent utility supplier if necessary, in recordable form, certifying that all
obligations of Subdivider and GRNSS under this Agreement have been satisfied.
12. Amendments. This Agreement may be amended from time to time,
provided that such amendment is in writing and signed by all parties hereto.
13. Covenants Running with the Land. This Agreement and the obligations
hereof shall be deemed to be covenants running with the land and shall be binding on the
successors and assigns of the parties hereto.
(00 174650. DOC / 4 )
14. Governing Law Venue and Enforcement. This Agreement shall be
governed by and interpreted according to the law of the State of Colorado. Venue for any
action arising under this Agreement shall be in the appropriate court for Eagle County,
Colorado. To reduce the cost of dispute resolution and to expedite the resolution of
disputes under this Agreement, the Parties hereby waive any and all right either may have
to request a jury trial in any civil action relating primarily to the enforcement of this
Agreement. The Parties agree that the rule that ambiguities in a contract are to be
construed against the drafting party shall not apply to the interpretation of this
Agreement. If there is any conflict between the language of this Agreement and any
exhibit or attachment, the language of this Agreement shall govern.
15. Non - Liability of Town for Indirect or Consequential Damages or Lost
Profits. The Parties agree that the Town shall not be liable for indirect or consequential
damages, including lost profits that result from the Town's declaration that Subdivider or
GRNSS is in default of the Agreement, so long as the Town acts in good faith.
16. Incorporation of Exhibits. Unless otherwise stated in this Agreement,
exhibits, applications, or documents referenced in this Agreement shall be incorporated in
this Agreement for all purposes. In the event of a conflict between any incorporated
exhibit and this Agreement, the provisions of this Agreement shall govern and control.
17. Assignment and Release. All or part of the rights, duties, obligations,
responsibilities, or benefits set forth in this Agreement shall not be assigned by
Subdivider or GRNSS without the express written consent of the Town Council of the
Town. Any written assignment shall expressly refer to this Agreement, specify the
particular rights, duties, obligations, responsibilities, or benefits so assigned, and shall not
be effective unless approved by resolution or motion of the Town Council of the Town.
No assignment shall release Subdivider or GRNSS from performance of any duty,
obligation, or responsibility unless such release is clearly expressed in such written
document of assignment.
18. No Third Party Beneficiaries. Nothing contained in this Agreement is
intended to or shall create a contractual relation with, cause of action in favor of, or claim
for relief for, any third party, including any agent, sub - consultant or sub - contractor of the
Subdivider or GRNSS. Absolutely no third party beneficiaries are intended by this
Agreement. Any third -party receiving a benefit from this Agreement is an incidental and
unintended beneficiary only.
[ Signature pages follow )
100 1 74650.DOC / 4)
The parties hereto have executed this Agreement as of the date first above written.
APPROVED AS TO FORM:
" (
Town Attorney
(00174650. DOC / 4) 8
TOWN OF AVON, a Colorado Municipal
Corporation
By: L L--
Mayor
TANAVON CORPORATION, a Colorado
corporation ( "Subdivider ")
By: _�4_
President
GORE RANGE NATURAL SCIENCE
SCHOOL NON - PROFIT CORPORATION
( "GRNSS ")
By:
Markian Feduschak
Executive Director
EXHIBIT A
Subdivision Improvements Agreement for Lots 2, 3 and 5
APPROVED PLANS:
Construction Drawings
Town of Avon, Colorado
20
Sheets 1 through —
Release Date: , 20
Prepared by:
* As of the date of execution of this Subdivision Improvements Agreement, the
construction plans submitted to the Town of Avon have not been approved by the
Town Engineer. These construction plans shall be approved by the Town Engineer
before the commencement of actual construction of the Improvements therein
described.
{001 74650. UOC / 4 } 9
EXHIBIT B
Subdivision Improvements Agreement for Lots 2, 3 and 5
IMPROVEMENTS CONSTRUCTION COST ESTIMATE
;001 74650. DOC/ 4) 10
BUCK CREEK FINAL PLAT
8-Dec-09
Lots 1-5 Infrastructure SIA Cost Summary
'Total Lot 1 A Infrastructure Costs
Shared
Individual
$
FD Costs
$ 279,078.10
-Individual
79,449.50
$
358,527.60
GRNSS Costs
$ _226,135.85
...$.
$ -
$
226,135.85
Townhome Costs
$ 283,232.48
$ 9,745.25
$
$ 686,799.24
,.Total Infrastructure Costs $ 1,481,909.46
$522,231-03
Subtotal Lot 1A_
$
_292,977.73
Total Lots 2/5 Infrastructure Costs Shared
FD Costs $
GRNSS Costs $ 3461731,51
Townhorne Costs $ 346,731.51
Individual
Shared
Individual
$
$ 346,731.51
$ 47,090.00
......... ..... ....
$ 393,821.51
Subtotal Lots 2/5
$ 740,553.02
Total Lot 3 Infrastructure Costs
Shared
Individual
FD Costs
$
$
$
GRNSS Costs
Townhome Costs
$
$
$ 385,946.28
$ 385,946-28
$
$ 385,946.28
Subtotal Lot 3 $ 385,946.281
TOTAL COSTS
Shared —
Individual
Total
FD Costs (Lot 1 A)
$ 2791078.10
$ 79,449.50
$ 358,627.60
GRNSS Costs (Lot 5)
$ 572,867.36
$ 385,946.28
$ 958,813.65
Townhome Costs (Lo1,.s,.1 B, 2, 5)
$ 629,963.99
$ 56,835.26
$ 686,799.24
,.Total Infrastructure Costs $ 1,481,909.46
$522,231-03
$ 2,004,140.49--
The cost summary (opinion of probable construction costs) is only an order of magnitude estimate of infrastructure costs required for the
Buick Creek Plat. We have not yet completed plans and details, so that costs are subject to change, Earthwork quantities and costs
could vary, due to the poor soils conditions noted in the CTL and HP Soils reports. RA Nelsons unit Costs Were Predominately used for
the estimate, which will vary based upon current economic conditions (as wells as other factors).
An individual cast is an improvement that benefits only one party.
A shared cost is an improvement that benefits more than one party,
TfA01<;0 10 ",),(Z3 IiRNS'S -1 , is ets
EXHIBIT C
Subdivision Improvements Agreement for Lots 2, 3 and 5
CONDITIONS
1. Before commencement of any of the Work depicted on the Approved Plans for the
actual construction of Improvements for Lot IA and Lot 113, Subdivider, District and
GRNSS stipulate and agree that:
(a) Tanavon, the District and GRNSS shall secure approval from the U.S. Army
Corps of Engineers ( "Corps ") of the delineation of the wetlands areas within the
Buck Creek PUD First Amendment, Corps approval of mitigation of wetlands
impacts either on -site or from the Wetlands Bank, and shall obtain any required
404 Permit from the Corps for the construction activities proposed by the
Approved Plans. Copies of all such documentation shall be submitted to the
Town for acceptance by the Town Engineer. The Approved Plans may be updated
with the approval of the Town Engineer to include any modifications required for
wetlands delineation or mitigation required by the Corps.
(b) Tanavon, the District and GRNSS shall obtain written approval of the
Construction Plans for utilities from all utility providers and submit the approvals
to the Town Engineer.
(c) The Final Drainage Report shall be accepted by the Town Engineer.
(d) Tanavon and GRNSS shall dedicate to the Town a fifteen (15) foot wide
easement, generally following the "Buck Creek Connection" trail depicted on the
map (dated 4/13/09) produced by the Town's Community Development
Department through Lots 1 B, 2, and 3, Buck Creek PUD First Amendment, for
the construction and use by the general public of a recreation path. No Lot Owner
within the Buck Creek PUD First Amendment shall be responsible for
constructing or maintaining this recreation path. Colorado law with respect to
recreational trails shall be complied with by the Town and, to the extent permitted
by law, Town shall indemnify Tanavon and GRNSS, their successors and assigns,
against claims for injury, damage or loss by users of this recreation path. The
Town anticipates constructing and maintaining the recreation path, subject to
available funds and appropriations. Reference Ordinance 09 -08, Section 2.A.
2. Construction of Improvements for Lots 2, 3 and 5 pursuant to the Phase II
Subdivision Improvements Agreement cannot start before the construction of
Improvements for Lot 1 A and Lot 1 B pursuant to the Phase 1 Subdivision Improvements
Agreement, but may be constructed concurrently with the Improvements for Lot 1 A and
Lot 1B pursuant to the Phase I Subdivision Improvements Agreement
(00174650. DOC / 4 )
3. Prior to issuance of any building permit for Lot 2, Lot 3 or Lot 5, all of the
Improvements for Lot 1 A and Lot I B pursuant to the Phase I Subdivision Improvements
Agreement and all of the Improvements for Lots 2, 3 and 5 pursuant to the Phase II
Subdivision Improvements Agreement shall be completed, inspected and accepted by the
utility providers, and inspected and approved by the Town of Avon.
4. Prior to issuance of any building permit for Lots 2, 3 and 5, Buck Creek PUD First
Amendment, construction drawings of all proposed retaining walls (including retaining
walls necessary for Buck Creek Lane) and load calculations for retaining walls
demonstrating slope stability shall be submitted to the Town for approval by the Town
Engineer. Reference: Ordinance 09 -08, Section 2.13.
5. Lot IA and /or Lot 3 shall be constructed and shall receive a certificate of occupancy
prior to issuance of any residential permits for Lot 1 B or Lot 2. Reference: Ordinance
09 -08, Section I.A.
(00174650. DOC /4) 12
MEMO
To:
Thru:
Legal Review:
Approved By:
From:
Date:
Honorable Mayor and Town Council
Larry Brooks, Town Manager
Eric Heil, Town Attorney
Meryl Jacobs — Director of Recreation and Cultural Services
Danita Chirichillo — Special Events Supervisor �c
June 16, 2010
Re: World Triathlon Corporation Contract
Summary:
Attached for signature is the contract with World Triathlon Corporation (WTC) for the second
annual IronKids Avon triathlon event scheduled for July 10 —11, 2010. The Town Attorney
has reviewed and approved the contract adding the legal language required by the Town. The
Town Attorney has asked that the following contract points be brought to council's attention:
4. Obligations and Undertakings of Host:
b. No kids' triathlon for three years after hosting the event if the contract should
expire or not be renewed.
9. License and Use of WTC's Trademarks and/or Service Marks:
f. Restricts the use of the word "IRON" as it relates to trade mark.
15. Confidentiality:
WTC has proposed language regarding confidentiality which does not conflict with
the Colorado Open Records Act but places duties on the Town to preserve
confidentialities to the extent not in conflict with CORA.
Discussion:
The recreation staff is in full swing regarding the operations, selling, marketing and
promoting of the 2010 triathlon event. The Westin Riverfront Resort & Spa will be the
host hotel for the event weekend. IronKids Avon, Colorado is targeting 500 youth
athletes participating in one of three lengths depending on age. The swim portion of the
event will take place in Nottingham Lake, the bike course is on closed roads near the
park, finishing with a run through Nottingham Park.
Category
Age
Swim
Bike
Run
Junior
6-8
50 yards
2 mile
500 yards
Intermediate
9-11
150 yards
4 mile
1 mile
Senior
12-14
300 yards
8 mile
2 miles
Financial Implications:
The $9,500 rights fee to host a regional event is currently in the 2010 special events
budget. Staff will work towards recouping any additional operating costs through
sponsorship. Additional funds have been granted to support operations through the Holy
Cross Community Enhancement Program and Eagle County Community Grants.
Town Manager Comments:
HOST VENUE SPONSORSHIP AGREEMENT
This Host Agreement ( "Agreement ") is entered into this day of Mare;
2010 ( "Effective Date ") by and between WORLD TRIATHLON CORPORATION, a Florida,
USA corporation, whose principal business address is 2701 North Rocky Point Drive, Suite
1250, Tampa, Florida 33607, (hereafter referred to as "WTC ") and TOWN OF AVON, a
Colorado municipal corporation, with offices at 1 Lake Street, Avon, CO 81620 (hereafter
referred to as "Host "). (WTC and Host are referred to herein individually as "Party" and
collectively as the "Parties ").
WITNESSETH:
WHEREAS, WTC wishes to conduct an IronKids triathlon event, to be conducted over
the course of two (2) days to include an IronKids Expo and an IronKids Avon triathlon race (the
"Event ") to be held on July 10 and July 11, 2010 in Avon, Colorado at Nottingham Park and
Lake; and
WHEREAS, Host wishes to have WTC conduct the Event in Avon Colorado (the
"Venue "), upon the terms and conditions provided for in this Agreement.
NOW, THEREFORE, in consideration of the promises and mutual covenants set forth
herein, the Parties agree as follows:
1. The Event. WTC agrees to conduct the Event and Host grants to WTC the right to
conduct the Event in and around the Venue upon the terms and conditions as provided for herein.
2. Term. The term of this Agreement shall commence on the Effective Date and continue
through August 30, 2010 ( "Term "), unless sooner terminated in accordance with the provisions
contained herein. For the year 2011, WTC provides to Host the right of first refusal to host an
IronKids Event in Vail Valley, Colorado.
3. Host Sponsorship Fee. Host shall pay a host sponsorship fee to WTC in the amount of
$9,500.00 USD, with fifty percent (50 %) due upon the execution of this Agreement, and fifty
percent (50 %) due within thirty (30) days after the Event. Host agrees to make payments to WTC
by method of check or wire transfer to WTC's designated financial institution. Wire transfer
instructions are included herewith and attached hereto as Schedule "A ".
4. Obligations and Undertakings of Host.
a. In consideration of WTC selecting the Venue as the site for conducting the Event,
Host agrees to provide WTC those support services as more particularly described in Schedule
"B" of this Agreement.
b. Host agrees that in consideration of WTC staging the Event in the Venue, it shall
not contract with any other party but WTC to produce a children's triathlon event in and around
the Venue during the term of this Agreement.. and thereafter for three (3) years.
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5. Oblimations and Undertakings of WTC. WTC shall further fulfill the specific
obligations and undertakings identified in Schedule "C" hereto.
6. Additional Terms.
a. The Parties agree to conduct a meeting following the Event to "debrief' regarding
the Event, set forth the following year's plans, and review a report of the Event details and goals.
b. WTC shall retain the rights to all imagery, including but not limited to, television
broadcast or cablecast (live or tape - delay), radio broadcast, internet broadcast (audio or video),
videotaping, filming and photography of the event which is the sole property of WTC and may
not be reproduced, remarketed or otherwise distributed or publicly displayed without the written
permission of WTC. WTC may, at its sole discretion, award any or all of these rights to third
parties.
C. The obligations and support services required by WTC of Host may be modified,
changed or otherwise altered from time to time by WTC in its reasonable discretion, in
consultation with a designated representative of Host. Such alterations must be made not less
than seven (7) days prior to the applicable Event and shall be made in writing.
d. WTC may in its reasonable discretion, in order to improve the Event, institute
changes in the implementation or structure of the Event in any Event year. Provided, however,
that WTC must provide reasonable written notice of such change to Host prior thereto, and no
change shall be made to the date of any scheduled Event without the written consent of both
Parties hereto.
e. In order to ensure proper implementation of the Event, Host and its
representatives agree to take instruction from WTC or any other person designated by WTC. In
the event of a disagreement between Host and WTC regarding the obligations under this
Agreement with regard to conducting the Event, WTC's decision shall be final and binding.
7. Representations and Warranties of Host. Host represents, warrants and covenants to
WTC as follows:
a. Host has the full right and legal authority to enter into and fully perform this
Agreement in accordance with the terms and conditions contained herein.
b. Host will comply with all applicable laws, rules and regulations with regard to its
obligations under this Agreement.
C. This Agreement, when executed and delivered by Host, will be its legal, valid and
binding obligation enforceable against Host in accordance with the terms and conditions
contained herein.
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d. The execution, delivery and performance of this Agreement by Host does not and
will not violate or cause a breach of any other agreements or obligations to which it is a party or
to which it is bound, and no approval or other action by any governmental authority or agency is
required in connection herewith.
e. Each of the foregoing representations, warranties and covenants shall be true at all
times during the term hereof.
8. Representations and Warranties of WTC. WTC represents, warrants and covenants to
Host as follows:
a. WTC will comply with all applicable laws, rules and regulations with regard to its
obligations under this Agreement.
b. WTC represents and warrants that it has full right, power, and authority to enter
into and to perform its obligations under this Agreement, and to grant Host all rights and
interests as provided hereunder.
C. WTC hereby represents and warrants that WTC is the sole owner or controls all of
the rights granted hereunder in the Event and that it has full right, title and interest in and to the
Event granted in this Agreement.
9. License and Use of WTC's Trademarks and /or Service Marks.
a. WTC provides Host with the limited, non - assignable, non - transferable, non-
exclusive license to use the IronKids and K -Dot trademarks and /or service marks (the "Marks "),
in all reasonable forms of advertising and marketing. Any use of the Marks shall be in
conjunction with the Trademark Standards and Use Guidelines set forth in Schedule "D ". The
license granted herein shall be only for the Term of this Agreement and the territory of the
license shall be the Venue and the immediate surroundings areas. WTC must approve all uses of
the Marks prior to usage.
b. WTC must approve in writing all Host's advertising, marketing, press releases,
programs, websites, and all printed and electronic materials intended for public consumption
prior to use.
C. Host shall acknowledge in writing on its advertising and marketing materials the
existence of this Agreement by use of the language:
"IronKids is conducted by the World Triathlon Corporation and the IronKids and K -DOT
trademarks are used with permission of the World Triathlon Corporation."
d. Host may only use the Marks in connection with advertising and /or marketing
materials relating to each Event during the Term of this Agreement, and may not utilize the
Marks on any products, merchandise, event souvenirs, or other items unless pre- approved by
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WTC in writing, which approval may be granted or denied at WTC's sole and absolute
discretion.
e. Host may not authorize or license any third party to manufacture, sell, affix, or
use any of the Marks on any product, merchandise, event race souvenirs, or other items during
the Term of this Agreement.
f. Host acknowledges that WTC is the owner of all the Marks, and Host shall not
register any of the Marks, any service mark, trademark or a domain name that is similar in any
manner to any of WTC's Marks., including, but not limited to, any mark or domain name
containing the term "IRON" as associated with athletic competitions and related goods and services
thereto.
g. The Marks are and shall remain the property of WTC. Any and all rights under
the Marks, copyrights, or other intellectual property of WTC shall inure to the benefit of WTC.
10. Indemnification. Host agrees to defend, indemnify and hold WTC and its affiliates and
WTC's and its affiliates' respective officers, directors, equity holders, agents, employees,
successors and assigns harmless from any and all claims, liabilities, costs, losses, demands,
injuries, judgments, settlements, expenses and damages, including reasonable attorneys' fees, court
costs, and other legal expenses, arising out of or in connection with: (a) any breach or alleged
breach of any provision of this Agreement by Host or any representation or warranty made by Host
in this Agreement; or (b) any act or omission to act of Host or any of Host's or its affiliates'
respective officers, directors, equity holders, agents, employees and sponsors.
11. Records and Audit. Host agrees to keep complete and accurate books of account and
records covering all transactions and other matters relating to this Agreement. WTC and /or its
duly authorized representatives shall, after providing reasonable notice to Host, have the right to
examine such books of account and records in Host's possession or under its control for the
purpose of verifying any information provided or due hereunder and verifying compliance with
the terms and conditions of this Agreement, and shall have free and full access thereto for such
purposes and for the purpose of making copies thereof or extracts therefrom, which information
shall be subject to the confidentiality obligations set forth in this Agreement. All such records
shall be maintained and kept available for at least two (2) years after the expiration or
termination of this Agreement.
12. Insurance. Host and WTC shall, throughout the Term of this Agreement, obtain and
maintain its own comprehensive general liability insurance for each Event from a reputable
insurance company for, without limitation, any and all claims of bodily injury, death, property
damage, and advertising liability, and any and all litigation, arbitration and settlement costs,
related to any claims for or by any Event participants, volunteers, referees, officials,
scorekeepers, spectators, Event sponsors and/or Event staff with a minimum combined single
limit equal to but not less than one million dollars ($1,000,000.00 USD) per occurrence for any
one incident or accident, and two million dollars ($2,000,000.00 USD) aggregate. Each of the
Parties may require the other to obtain such insurance in a greater amount or scope by providing
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notice to the other Party at least one hundred twenty (120) calendar days prior to the date of the
Event. The Parties agree to have the other Party named as an additional insured in connection
with each Event. Certificates evidencing the foregoing required insurance must be provided,
upon request, to the other Party.
13. Termination.
a. This Agreement may be terminated by either Party upon thirty (30) days written
notice to the other Party in the event of a breach of a material provision of this Agreement by the
other Party, including a description thereof to the breaching Party, provided that, during the thirty
(30) day period, the breaching Party fails to cure such breach.
b. WTC shall have the right to immediately terminate this Agreement by giving
written notice to Host in the event that Host does any of the following: (i) files a petition in
bankruptcy or is adjudicated bankrupt or insolvent, or makes an assignment for the benefit of
creditors, or an arrangement pursuant to any bankruptcy law, or if the Host discontinues its
business or a receiver is appointed for the Host or for Host's business and such receiver is not
discharged within thirty (30) days or (ii) breaches any of the provisions of this Agreement
relating to the unauthorized assertion of rights in the Marks. Termination of this Agreement for
any reason provided herein shall not relieve either Party from its obligation to perform up to the
effective date of such termination.
C. Except as provided otherwise herein, each Party hereto reserves all other rights
and remedies hereunder and otherwise permitted by law, that have accrued at the date of
termination of this Agreement and does not waive any obligation under this Agreement by
reason of the exercise of such termination option.
14. Public Documents. Each Party acknowledges that the Host is a Colorado municipality
which is subject to the Colorado Open Records Act and that this Agreement and other public
documents related to this Agreement may be disclosed in'-pursuant to a request under the
Colorado Open Records Act, § 24 -72 -203, Colorado Revised Statute, to the extent that such
statute applies. Furthermore, nothing contained in this Agreement shall be construed to require
the Host to violate the Colorado Open Records Act and any conflict between this Agreement and
the Colorado Open Records Act shall be interpreted to allow the Host to comply with the
Colorado Open Records Act.
15. Confidentiality.
a. In all cases subject to anew applicable to the Host with regard to open records
(including but not limited to the Colorado Open Records Act), during the term of this
Agreement, each Party shall keep confidential, and other than as provided herein shall not use or
disclose, directly or indirectly, the terms and conditions of this Agreement, any trade secrets,
confidential or proprietary information, or any other knowledge, information, documents or
materials, owned, developed or possessed by the other Party, whether in tangible or intangible
form, the confidentiality of which such other Party takes reasonable measures to protect. Each
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Party shall take any and all lawful measures to prevent the unauthorized use and disclosure of
such information, and to prevent unauthorized persons or entities from obtaining or using such
information. Each Party further agrees to refrain from directly or indirectly taking any action
which would constitute or facilitate the unauthorized use or disclosure of such information. Each
Party disclose such information to its officers and employees to the extent necessary to
enable such Party to perform its obligations hereunder, provided, that such officers and
employees have entered into an appropriate confidentialityagreement for secrecy and nonuse of
such information which by its terms shall be enforceable by injunctive relief at the instance of
the disclosing_ Party. Each Party shall be liable for any unauthorized use and disclosure of such
information by its officers and employees. Should a Party be required to disclose such
information in order to comply with applicable governmental acts, requirements or regulations or
a court order, the other Party agrees to provide reasonable advance written notice to the other
Party in order to provide reasonable advance notice of any such disclosure so that the Parties
may use their reasonable efforts to secure confidential treatment of the information to be
disclosed (whether through protective orders or otherwise) and to ensure that only the minimum
amount of information necessary to comply with such requirements is disclosed.
b. Notwithstanding the foregoing the provisions of section (a) hereof shall not apply
to knowledge, information, documents or materials which the receiving Party can conclusively
establish: (i) have entered the public domain without such Party's breach of any obligation owed
to the disclosing Party; (ii) have become known to the receiving Party prior to the disclosing
Party's disclosure of such information to such receiving Party; (iii) are permitted to be disclosed
by the prior written consent of the disclosing Party(iv) have become known to the receiving
Party from a source other than the disclosing Party other than by breach of an obligation of
confidentiality owed to the disclosing Party; or (vi) are independently developed by the receiving
Party without breach of this agreement.
4-5-.16. Assignment. This Agreement is personal to Host and may not be assigned or transferred
without the prior written consent of WTC. This Agreement may be freely assigned by WTC.
4-6-.17. Relationship of the Parties. The Parties are acting herein as independent contractors.
Nothing herein contained will create or be construed as creating a partnership, joint venture or
agency relationship between the Parties. Each party acknowledges and agrees that it neither has
nor will give the appearance or impression of having any legal authority to bind or commit the
other Party in any way. Each Party will be solely responsible for all wages, income taxes,
worker's compensation and any other requirements for all personnel it supplies pursuant to this
Agreement.
4-18. Successor and Assigns. All of the terms of this Agreement will apply to, be binding
upon and inure to the benefit of the Parties hereto, their successors, assigns, heirs and legal
representatives, and all other persons claiming by, through or under them.
419. Limitation of Liability. Notwithstanding anything else in this Agreement or otherwise,
in no event will WTC be liable to Host or any other person or entity with respect to any subject
matter of this Agreement (including, without limitation, with respect to the license or any other
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rights granted by WTC under this Agreement) under any contract, negligence, strict liability or
other legal or equitable theory for any (i) indirect, incidental, special or consequential damages,
(ii) lost profits, lost business or lost savings, (iii) interruption of business, or (iv) loss of
goodwill. The foregoing limitation applies regardless of whether the remedies provided for in
this Agreement fail of their essential purpose and even if either Party has been advised of the
possibility or probability of any such damages.
4-9.20. No Waiver of Governmental Immunity. Nothing in this Agreement shall be construed
to waive, limit, or otherwise modify any governmental immunity that may be available by law to
the Host, its officials, employees, contractors, or agents, or any other person acting on behalf of
the Host and, in particular, governmental immunity afforded or available pursuant to the
Colorado Governmental Immunity Act, Title 24, Article 10, Part 1 of the Colorado Revised
Statutes.
?421. Jurisdiction and Dispute Resolution.
a. Governing Law. Notwithstanding the place where this Agreement may be
executed by either party, this Agreement and any claim, controversy, dispute or other matter
arising hereunder or related hereto (whether by contract, tort or otherwise) shall be governed in
accordance with the laws of the State of Florida, United States of America, without regard to the
conflict of laws provisions thereof. In any litigation arising out of or relating to this Agreement,
the Parties agree that venue shall be in the United States District Court, Middle District of
Florida, Tampa Division, or the Circuit Court located in Pinellas County, Florida.
b. Mediation. If a dispute, claim or controversy, with the exception of claims for
injunctive and /or other equitable relief for intellectual property violations, unfair competition
and /or the use and /or unauthorized disclosure of trade secrets or confidential information
( "Dispute ") arises out of, relates to, or is in connection with this Agreement, any amendment of
this Agreement or any breach of this Agreement, and if the Dispute cannot be settled through
direct discussions between the Parties, the Parties agree first to try in good faith to settle the
Dispute by mediation administered by the American Arbitration Association ( "AAA ") under its
then current Commercial Mediation Rules before resorting to arbitration. An AAA mediator
acceptable to both Parties knowledgeable in the field and commercial matters shall conduct the
mediation. The mediation shall take place in Tampa, Florida, United States of America. Each
Party shall bear its own costs with respect to such mediation, except that any fees charged by
such mediator or AAA in connection with such mediation shall be allocated as set forth below.
C. Arbitration. Any Dispute, with the exception of claims for injunctive and /or other
equitable relief for intellectual property violations, unfair competition and/or the use and/or
unauthorized disclosure of trade secrets or confidential information, arising out of, relating to or
in connection with this Agreement, including any amendment of this Agreement, breach of this
Agreement, questions regarding issues of jurisdiction, the existence, scope, validity,
performance, interpretation, termination, as well as entitlement to and amount of attorneys' fees
and costs to the prevailing Party, that cannot be settled through negotiation or mediation as set
forth above, shall be referred to a sole arbitrator selected by the Parties within thirty (30) days of
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the mediation, or in the absence of such selection, to AAA arbitration as the sole remedy as to all
matters in Dispute, administered by the AAA in accordance with applicable Arbitration Rules to
include the Optional Rules for Emergency Measures of Protection and Optional Procedures for
Large, Complex Commercial Disputes, as interpreted and governed by the Florida Arbitration
Code. The venue of any such arbitration shall be Tampa, Florida, United States of America.
Judgment on the award rendered by the arbitrator may be entered in any court having jurisdiction
thereof. The arbitrator shall not have authority to award punitive or other damages in excess of
compensatory damages and each party irrevocably waives any claim thereto.
d. Enforcement. Other than the costs and expenses of Mediation, if either Party
brings any arbitration or other action under this Agreement (including, without limitation, any
challenge or appeal), the prevailing Party shall be entitled to recover reasonable attorneys' fees
and costs (including, without limitation, the cost of such arbitration or other action). The Parties
agree to authorize the arbitrator to determine both the entitlement and apportionment of such fees
and costs.
e. Mediation/Arbitration Charges. Each Party shall initially bear an equal share of
the mediator's and arbitrator's compensation and administrative charges of the mediation or
arbitration and shall make deposits with the American Arbitration Association of its share of the
amounts requested by the American Arbitration Association. Failure or refusal by a Party to
timely pay its share of the deposits for the mediator or arbitrator(s)' compensation and
administrative charges shall constitute a waiver by that Party of its rights to be heard, present
evidence, cross - examine witnesses, and assert counterclaims. Informing the mediator or
arbitrator of a Party's failure to pay its share of the deposits for the mediator's or arbitrator's
compensation and administrative charges for the purpose of implementing this provision shall
not be deemed to affect the mediator's or arbitrator(s)' impartiality or ability to proceed with the
mediation or arbitration.
f. General. The requirement for mediation and arbitration shall not be deemed a
waiver of any right of termination under this Agreement and the arbitrator is not empowered to
act or make any award other than based solely on the rights and obligations of the Parties prior to
any such termination. The Parties, their representatives, other participants and the mediator and
arbitrator shall hold the existence, content and result of mediation and arbitration in confidence.
Any provisions of this Agreement not found to be in compliance with applicable law may be
waived without effect to the agreement by the Parties to arbitrate as provided herein.
Notwithstanding the foregoing, in the event of breach by a Party of any of its obligations
hereunder, the non- breaching Party may seek injunctive or other equitable relief in any court of
competent jurisdiction. A request by a Party to a court for interim measures shall not be deemed
a waiver of the obligation to mediate and arbitrate.
X22. Rights and Remedies. The rights and remedies provided by this Agreement are given in
addition to any other rights and remedies either Party may have by law, statute, ordinance or
otherwise. All such rights and remedies are intended to be cumulative, and the use of any one right
or remedy by either Parry shall not preclude or waive its right to any or all other rights or remedies.
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I 23. Force Majeure. In the event either Party is prevented from performing any of the
obligations or duties required under this Agreement by reason of any event outside of such
Party's control, including, without limitation, fire, weather, volcano, explosion, flood, epidemic,
acts of God, war or other hostilities, strike, civil commotion, domestic or foreign governmental
acts, orders or regulations ( "Force Majeure Event "), then the obligations or duties of such Party
during the period of such Force Majeure Event, and for a reasonable time thereafter shall be
suspended. If, due to a Force Majeure Event, the Event is canceled and cannot reasonably be
rescheduled or the Event is not held in its entirety, then Host shall not be deemed to be in breach
of this Agreement. In the case of cancellation due to a Force Majeure Event, the Parties agree to
negotiate a date to reschedule the Event if practicable.
2x24. Notices. All notices, requests, demands and other communications under this Agreement
will be in writing and will be deemed to have been given if hand delivered, or mailed via
certified mail, return receipt requested, sent by facsimile, or sent by overnight courier such as
Federal Express or DHL, if sent to the parties as follows:
If to Host:
With Copy to:
Town of Avon
Eric Heil, Town Attorney
1 Lake Street
Heil Law & Planning, LLC
Avon, CO 81620
1499 Blake Street, Unit 1- GAttn: Larry
Brooks, Town Manager
Denver, CO 80202
(or to such other person or address as Host shall furnish to WTC in writing)
If to WTC:
World Triathlon Corporation
2701 North Rocky Point Drive, Suite 1250
Tampa, FL 33607
Attn: Lisa Herbst, General Counsel /Legal Department
(or to such other person or address as WTC shall furnish to Host in writing)
?x.25. No Waiver of Rights. If either Party fails to enforce any of the provisions of this
Agreement or any rights hereunder or fails to exercise any election provided in the Agreement, it
will not be considered to be a waiver of those provisions, rights or elections or in any way affect
the validity of the Agreement. The failure of either Party to exercise any of these provisions,
rights or elections will not preclude or prejudice such Party from later enforcing or exercising the
same or any other provisions, rights or elections which it may have under the Agreement.
X26. Severability. If any term, clause, or provision hereof is held invalid or unenforceable by
a court of competent jurisdiction, such invalidity shall not affect the validity or operation of any
other term, clause or provision and such invalid term, clause or provision shall be deemed to be
severed from the Agreement.
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2-627. No Oral Modifications. No modifications to this Agreement shall be binding upon the
parties unless modified, amended, cancelled, renewed or extended in writing and signed by both
parties.
228. Entire Agreement. This Agreement sets forth the entire agreement and understanding of
the parties relating to the subject matter hereof, and supersedes all prior agreements,
arrangements and understandings, written or oral, between or among the parties, except as
specifically provided herein. Except as explicitly set forth herein, there are no promises,
conditions, representations, understanding, interpretations or terms of any kind as conditions or
inducement to the execution hereof or in effect among the parties.
2-8-.29. Headings. The section headings included in this Agreement are for convenience of
reference only and shall not affect or be utilized in construing or interpreting this Agreement.
230. Counterparts. This Agreement may be executed in counterparts, each of which shall be
deemed an original binding document but all of which shall constitute one and the same
instrument.
38:31. Article X, Section 20 /TABOR. The Parties understand and acknowledge that the Town
is subject to Article X, § 20 of the Colorado Constitution ( "TABOR "). The Parties do not intend
to violate the terms and requirements of TABOR by the execution of this Agreement. It is
understood and agreed that this Agreement does not create a multi - fiscal year direct or indirect
debt or obligation within the meaning of TABOR and, therefore, notwithstanding anything in
this Agreement to the contrary, all payment obligations of the Town are expressly dependent and
conditioned upon the continuing availability of funds beyond the term of the Town's current
fiscal period ending upon the next succeeding December 31. Financial obligations of the Town
payable after the current fiscal year are contingent upon funds for that purpose being
appropriated, budgeted, and otherwise made available in accordance with the rules, regulations,
and resolutions of Town of Avon, and other applicable law. Upon the failure to appropriate such
funds, this Agreement shall be terminated.
IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and
year last written below as mutual acceptance of the terms, conditions and consideration
contained herein.
WORLD TRIATHLON CORPORATION TOWN OF AVON
Michelle Payette
Director of IronKids
Date:
By
Ron Wolfe
Mayor
Date:
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SCHEDULE A
WIRING INSTRUCTIONS TO LICENSOR'S FINANCIAL INSTITUTION
Bank Wire Transfer to:
Bank Name: Bank of America, NY NY
Routing Number: 026009593
Account Name: World Triathlon Corporation
Account Number: 898023633213
SWIFT Code: BOFAUS3N
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SCHEDULE B
Obligations and Undertakings of Host. For the Event, Host shall comply with providing the
following, at no expense to WTC, unless otherwise agreed to in this Agreement, in its
performance under this Agreement:
➢ Provide lifeguards for the swim portion in Nottingham Lake (not exceeding 6)
➢ Provide trash & recycle containers and removal for the site (excluding dumpsters)
➢ Provide a team for cone placement, road sweeping and road closure assistance.
➢ Complimentary electricity in park (where outlets pre- exist)
➢ Assist in IronKids Avon poster distribution in Avon and Vail (IronKids to supply posters)
➢ Have one designated staff member to present /speak at town council meetings on behalf of
IronKids
➢ Assist in the coordination and communications between the different Town service
departments
➢ Have one designated staff member to be on -site for the day before and day of the event
➢ To assist in communications plan for impact of race on the Town and its residents and
hotels
➢ Host city rights fee for marketing of the event: $9,500.00 USD
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SCHEDULE C
Obligations and Undertakino by WTC. For the Event WTC shall comply with providing the
following, at no expense to Host, in its performance under this Agreement:
➢ Naming rights as official IronKids Avon sponsor
➢ Brand exposure through all IronKids print and electronic media relating to the event
One partner - supplied article to be distributed as part of the monthly IronKids newsletter
➢ Brand placement on the IronKids Avon race course
➢ Town of Avon specific consumer research (survey) distributed directly through the
IronKids database
➢ Opportunity to sell sponsorship against the event (regulations to be discussed)
Provide all race operations to perform a safe and quality event including: Chip timing
company (results), race announcer, registration process, triathlon clinic, race course
(design, signs, cones), volunteers (in conjunction with Town of Avon assistance for call -
out), staff (Swim, Bike, Run, Transition, Finish Line, Volunteer, Registration, Awards,
Merchandise Coordinators), transition area, communications plan, finishers medals, t-
shirts & bags, awards ceremony, media, etc.
➢ Provide all course and venue equipment (barricades, cones, bike racks, signage, finish
line structure, light towers, tables, tents, etc.,)
➢ Contract and pay for required EMS and Police
➢ Coordinate with Town departments for effective communication plan, venue design, road
closure plan, load - in/out plan
➢ Provide significant impact notices via door hangers, direct mail and electronic road signs
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SCHEDULE D
Trademark Standards
and Usage Guidelines
•
IRONKI
•
K,-
sY
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Brand Logo Specifications
World Triathlon Corporation's ( "WTC's) IRONKIDS and K -DOT trademarks (the "Marks ")
must be used consistently and not altered. Modifications, variations and incorrect use of the
Marks can dilute the distinctiveness of the Marks and create consumer confusion and are not
permitted. You play a vital role in protecting the integrity of the Marks. Please familiarize
yourself with the following Trademark Standards and Usage Guidelines and follow them
diligently when using the Marks in connection with your retail marketing, advertising and
promotions and licensed products. All uses of the Marks must be approved by WTC prior to
use, including use on materials, products, apparel or other items.
If you have any questions regarding the use of the
IRONKIDS or K -DOT trademarks, please contact one of the following:
Michelle Payette
813.868.5908 or Michelle(?
ironman.com
Lisa Herbst
813.868.5937 or Lisakironman.com
Carolyn Richards
813.868.5922 or Carolyn(c.�ironman.com
Approvals Process
Mark Approval Process
WTC must approve all uses of the Marks prior to usage, without exception. All approval
requests for use of the Marks on all printed materials, manuals, products, catalogs, brochures,
website content, or anything that contains a Mark are to be forwarded to the following:
approvalsgironman. com
Digital images of printed materials and websites, etc. should be included with your emailed
approval requests.
Samples Approval Process (If applicable)
After the final Mark Approval Process is complete, and no later than forty -five (45) days prior to
the sale, distribution, promotion or other public disclosure or exploitation of any such printed
materials, manuals, products, catalogs, brochures, website content, or any item that contains the
Marks, LICENSEE shall furnish to WTC, free of cost, for WTC's written approval, three (3)
samples of such item. Any proposed item submitted to WTC's for its approval that is not
approved by WTC in writing within fifteen (15) days after receipt thereof shall be deemed
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disapproved by WTC. The preferred method of providing these samples is via email in the form
of a digital image or photograph of the item. Please forward all samples to the following:
trademarksamples@ironman.com
General Guidelines
Listed below are guidelines for usage of the K -DOT and IRONKIDS logo on all items.
1. IRONKIDS must be a single word, never hyphenated.
2. "IronKids" is always capital letter "I" and capital letter "K" when used in title case.
3. The K -DOT in the IRONKIDS logo must be offset via color differentiation.
4. The IRONKIDS logo must be displayed in its entirety as described above, with no portion
omitted.
4. The IRONKIDS logo may be reduced or enlarged as needed.
5. Nothing may be added or superimposed to the IRONKIDS logo.
6. WTC uses PMS Reflex 286 Blue with the K -DOT in the IRONKIDS logo and alone, and
PMS 186 Red for the "IRON" "IDS" as part of the IRONKIDS logo. "IRON" and "IDS"
must be printed in a solid color and the K -DOT must be in a different solid color. WTC must
pre - approve the use of colors other than the standard Blue and Red.
7. The K -DOT may be used in a stand -alone form in PMS 286 Blue.
8. WTC must approve all uses of the IRONKIDS and K -DOT trademarks prior to usage.
Trademark Claim Notice
Notice must be given to the consuming public that World Triathlon Corporation (WTC) claims
ownership of the IRONKIDS stylized logo and the K -DOT logo. Therefore, both of the
following legal notices must appear on all packaging, printed materials and websites and should
be no smaller than 6pt type.
IRONKIDS® and K -DOT TM are trademarks of World Triathlon Corporation.
Used here by permission.
IRONKIDS® should be displayed using the ®. K -DOTTM should be displayed using the TM.
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HOST VENUE SPONSORSHIP AGREEMENT
This Host Agreement ( "Agreement ") is entered into this day of , 2010
( "Effective Date ") by and between WORLD TRIATHLON CORPORATION, a Florida, USA
corporation, whose principal business address is 2701 North Rocky Point Drive, Suite 1250,
Tampa, Florida 33607, (hereafter referred to as "WTC ") and TOWN OF AVON, a Colorado
municipal corporation, with offices at 1 Lake Street, Avon, CO 81620 (hereafter referred to as
"Host "). (WTC and Host are referred to herein individually as "Party" and collectively as the
"Parties ").
WITNESSETH:
WHEREAS, WTC wishes to conduct an IronKids triathlon event, to be conducted over
the course of two (2) days to include an IronKids Expo and an IronKids Avon triathlon race (the
"Event ") to be held on July 10 and July 11, 2010 in Avon, Colorado at Nottingham Park and
Lake; and
WHEREAS, Host wishes to have WTC conduct the Event in Avon Colorado (the
"Venue "), upon the terms and conditions provided for in this Agreement.
NOW, THEREFORE, in consideration of the promises and mutual covenants set forth
herein, the Parties agree as follows:
1. The Event. WTC agrees to conduct the Event and Host grants to WTC the right to
conduct the Event in and around the Venue upon the terms and conditions as provided for herein.
2. Term. The term of this Agreement shall commence on the Effective Date and continue
through August 30, 2010 ( "Term "), unless sooner terminated in accordance with the provisions
contained herein. For the year 2011, WTC provides to Host the right of first refusal to host an
IronKids Event in Vail Valley, Colorado.
3. Host Sponsorship Fee. Host shall pay a host sponsorship fee to WTC in the amount of
$9,500.00 USD, with fifty percent (50 %) due upon the execution of this Agreement, and fifty
percent (50 %) due within thirty (30) days after the Event. Host agrees to make payments to WTC
by method of check or wire transfer to WTC's designated financial institution. Wire transfer
instructions are included herewith and attached hereto as Schedule "A ".
4. Obligations and Undertakings of Host.
a. In consideration of WTC selecting the Venue as the site for conducting the Event,
Host agrees to provide WTC those support services as more particularly described in Schedule
"B" of this Agreement.
b. Host agrees that in consideration of WTC staging the Event in the Venue, it shall
not contract with any other party but WTC to produce a children's triathlon event in and around
the Venue during the term of this Agreement and thereafter for three (3) years.
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5. Obligations and Undertakings of WTC. WTC shall further fulfill the specific
obligations and undertakings identified in Schedule "C" hereto.
6. Additional Terms.
a. The Parties agree to conduct a meeting following the Event to "debrief' regarding
the Event, set forth the following year's plans, and review a report of the Event details and goals.
b. WTC shall retain the rights to all imagery, including but not limited to, television
broadcast or cablecast (live or tape - delay), radio broadcast, internet broadcast (audio or video),
videotaping, filming and photography of the event which is the sole property of WTC and may
not be reproduced, remarketed or otherwise distributed or publicly displayed without the written
permission of WTC. WTC may, at its sole discretion, award any or all of these rights to third
parties.
C. The obligations and support services required by WTC of Host may be modified,
changed or otherwise altered from time to time by WTC in its reasonable discretion, in
consultation with a designated representative of Host. Such alterations must be made not less
than seven (7) days prior to the applicable Event and shall be made in writing.
d. WTC may in its reasonable discretion, in order to improve the Event, institute
changes in the implementation or structure of the Event in any Event year. Provided, however,
that WTC must provide reasonable written notice of such change to Host prior thereto, and no
change shall be made to the date of any scheduled Event without the written consent of both
Parties hereto.
e. In order to ensure proper implementation of the Event, Host and its
representatives agree to take instruction from WTC or any other person designated by WTC. In
the event of a disagreement between Host and WTC regarding the obligations under this
Agreement with regard to conducting the Event, WIC's decision shall be final and binding.
7. Representations and Warranties of Host. Host represents, warrants and covenants to
WTC as follows:
a. Host has the full right and legal authority to enter into and fully perform this
Agreement in accordance with the terms and conditions contained herein.
b. Host will comply with all applicable laws, rules and regulations with regard to its
obligations under this Agreement.
C. This Agreement, when executed and delivered by Host, will be its legal, valid and
binding obligation enforceable against Host in accordance with the terms and conditions
contained herein.
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d. The execution, delivery and performance of this Agreement by Host does not and
will not violate or cause a breach of any other agreements or obligations to which it is a party or
to which it is bound, and no approval or other action by any governmental authority or agency is
required in connection herewith.
e. Each of the foregoing representations, warranties and covenants shall be true at all
times during the term hereof.
8. Representations and Warranties of WTC. WTC represents, warrants and covenants to
Host as follows:
a. WTC will comply with all applicable laws, rules and regulations with regard to its
obligations under this Agreement.
b. WTC represents and warrants that it has full right, power, and authority to enter
into and to perform its obligations under this Agreement, and to grant Host all rights and
interests as provided hereunder.
C. WTC hereby represents and warrants that WTC is the sole owner or controls all of
the rights granted hereunder in the Event and that it has full right, title and interest in and to the
Event granted in this Agreement.
9. License and Use of WTC's Trademarks and /or Service Marks.
a. WTC provides Host with the limited, non- assignable, non- transferable, non-
exclusive license to use the IronKids and K -Dot trademarks and /or service marks (the "Marks "),
in all reasonable forms of advertising and marketing. Any use of the Marks shall be in
conjunction with the Trademark Standards and Use Guidelines set forth in Schedule "D ". The
license granted herein shall be only for the Term of this Agreement and the territory of the
license shall be the Venue and the immediate surroundings areas. WTC must approve all uses of
the Marks prior to usage.
b. WTC must approve in writing all Host's advertising, marketing, press releases,
programs, websites, and all printed and electronic materials intended for public consumption
prior to use.
C. Host shall acknowledge in writing on its advertising and marketing materials the
existence of this Agreement by use of the language:
"IronKids is conducted by the World Triathlon Corporation and the IronKids and K -DOT
trademarks are used with permission of the World Triathlon Corporation."
d. Host may only use the Marks in connection with advertising and /or marketing
materials relating to each Event during the Term of this Agreement, and may not utilize the
Marks on any products, merchandise, event souvenirs, or other items unless pre- approved by
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WTC in writing, which approval may be granted or denied at WTC's sole and absolute
discretion.
e. Host may not authorize or license any third party to manufacture, sell, affix, or
use any of the Marks on any product, merchandise, event race souvenirs, or other items during
the Term of this Agreement.
f. Host acknowledges that WTC is the owner of all the Marks, and Host shall not
register any of the Marks, any service mark, trademark or a domain name that is similar in any
manner to any of WTC's Marks, including, but not limited to, any mark or domain name containing
the term "IRON" as associated with athletic competitions and related goods and services thereto.
g. The Marks are and shall remain the property of WTC. Any and all rights under
the Marks, copyrights, or other intellectual property of WTC shall inure to the benefit of WTC.
10. Indemnification. Host agrees to defend, indemnify and hold WTC and its affiliates and
WTC's and its affiliates' respective officers, directors, equity holders, agents, employees,
successors and assigns harmless from any and all claims, liabilities, costs, losses, demands,
injuries, judgments, settlements, expenses and damages, including reasonable attorneys' fees, court
costs, and other legal expenses, arising out of or in connection with: (a) any breach or alleged
breach of any provision of this Agreement by Host or any representation or warranty made by Host
in this Agreement; or (b) any act or omission to act of Host or any of Host's or its affiliates'
respective officers, directors, equity holders, agents, employees and sponsors.
11. Records and Audit. Host agrees to keep complete and accurate books of account and
records covering all transactions and other matters relating to this Agreement. WTC and /or its
duly authorized representatives shall, after providing reasonable notice to Host, have the right to
examine such books of account and records in Host's possession or under its control for the
purpose of verifying any information provided or due hereunder and verifying compliance with
the terms and conditions of this Agreement, and shall have free and full access thereto for such
purposes and for the purpose of making copies thereof or extracts therefrom, which information
shall be subject to the confidentiality obligations set forth in this Agreement. All such records
shall be maintained and kept available for at least two (2) years after the expiration or
termination of this Agreement.
12. Insurance. Host and WTC shall, throughout the Term of this Agreement, obtain and
maintain its own comprehensive general liability insurance for each Event from a reputable
insurance company for, without limitation, any and all claims of bodily injury, death, property
damage, and advertising liability, and any and all litigation, arbitration and settlement costs,
related to any claims for or by any Event participants, volunteers, referees, officials,
scorekeepers, spectators, Event sponsors and/or Event staff with a minimum combined single
limit equal to but not less than one million dollars ($1,000,000.00 USD) per occurrence for any
one incident or accident, and two million dollars ($2,000,000.00 USD) aggregate. Each of the
Parties may require the other to obtain such insurance in a greater amount or scope by providing
notice to the other Party at least one hundred twenty (120) calendar days prior to the date of the
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Event. The Parties agree to have the other Party named as an additional insured in connection
with each Event. Certificates evidencing the foregoing required insurance must be provided,
upon request, to the other Party.
13. Termination.
a. This Agreement may be terminated by either Party upon thirty (30) days written
notice to the other Party in the event of a breach of a material provision of this Agreement by the
other Party, including a description thereof to the breaching Parry, provided that, during the thirty
(30) day period, the breaching Party fails to cure such breach.
b. WTC shall have the right to immediately terminate this Agreement by giving
written notice to Host in the event that Host does any of the following: (i) files a petition in
bankruptcy or is adjudicated bankrupt or insolvent, or makes an assignment for the benefit of
creditors, or an arrangement pursuant to any bankruptcy law, or if the Host discontinues its
business or a receiver is appointed for the Host or for Host's business and such receiver is not
discharged within thirty (30) days or (ii) breaches any of the provisions of this Agreement
relating to the unauthorized assertion of rights in the Marks. Termination of this Agreement for
any reason provided herein shall not relieve either Party from its obligation to perform up to the
effective date of such termination.
C. Except as provided otherwise herein, each Party hereto reserves all other rights
and remedies hereunder and otherwise permitted by law, that have accrued at the date of
termination of this Agreement and does not waive any obligation under this Agreement by
reason of the exercise of such termination option.
14. Public Documents. Each Party acknowledges that the Host is a Colorado municipality
which is subject to the Colorado Open Records Act and that this Agreement and other public
documents related to this Agreement may be disclosed pursuant to a request under the Colorado
Open Records Act, § 24 -72 -203, Colorado Revised Statute, to the extent that such statute applies.
Furthermore, nothing contained in this Agreement shall be construed to require the Host to
violate the Colorado Open Records Act and any conflict between this Agreement and the
Colorado Open Records Act shall be interpreted to allow the Host to comply with the Colorado
Open Records Act.
15. Confidentiality.
a. In all cases subject to any law applicable to the Host with regard to open records
(including but not limited to the Colorado Open Records Act), during the term of this
Agreement, each Party shall keep confidential, and other than as provided herein shall not use or
disclose, directly or indirectly, the terms and conditions of this Agreement, any trade secrets,
confidential or proprietary information, or any other knowledge, information, documents or
materials, owned, developed or possessed by the other Party, whether in tangible or intangible
form, the confidentiality of which such other Party takes reasonable measures to protect. Each
Party shall take any and all lawful measures to prevent the unauthorized use and disclosure of
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such information, and to prevent unauthorized persons or entities from obtaining or using such
information. Each Party further agrees to refrain from directly or indirectly taking any action
which would constitute or facilitate the unauthorized use or disclosure of such information. Each
Party may disclose such information to its officers and employees to the extent necessary to
enable such Party to perform its obligations hereunder; provided, that such officers and
employees have entered into an appropriate confidentiality agreement for secrecy and nonuse of
such information which by its terms shall be enforceable by injunctive relief at the instance of
the disclosing Party. Each Party shall be liable for any unauthorized use and disclosure of such
information by its officers and employees. Should a Party be required to disclose such
information in order to comply with applicable governmental acts, requirements or regulations or
a court order, the other Party agrees to provide reasonable advance written notice to the other
Party in order to provide reasonable advance notice of any such disclosure so that the Parties
may use their reasonable efforts to secure confidential treatment of the information to be
disclosed (whether through protective orders or otherwise) and to ensure that only the minimum
amount of information necessary to comply with such requirements is disclosed.
b. Notwithstanding the foregoing, the provisions of section (a) hereof shall not apply
to knowledge, information, documents or materials which the receiving Party can conclusively
establish: (i) have entered the public domain without such Party's breach of any obligation owed
to the disclosing Party; (ii) have become known to the receiving Party prior to the disclosing
Party's disclosure of such information to such receiving Party; (iii) are permitted to be disclosed
by the prior written consent of the disclosing Party; (iv) have become known to the receiving
Party from a source other than the disclosing Party other than by breach of an obligation of
confidentiality owed to the disclosing Party; or (vi) are independently developed by the receiving
Party without breach of this agreement.
16. Assignment. This Agreement is personal to Host and may not be assigned or transferred
without the prior written consent of WTC. This Agreement may be freely assigned by WTC.
17. Relationship of the Parties. The Parties are acting herein as independent contractors.
Nothing herein contained will create or be construed as creating a partnership, joint venture or
agency relationship between the Parties. Each party acknowledges and agrees that it neither has
nor will give the appearance or impression of having any legal authority to bind or commit the
other Party in any way. Each Party will be solely responsible for all wages, income taxes,
worker's compensation and any other requirements for all personnel it supplies pursuant to this
Agreement.
18. Successor and Assigns. All of the terms of this Agreement will apply to, be binding
upon and inure to the benefit of the Parties hereto, their successors, assigns, heirs and legal
representatives, and all other persons claiming by, through or under them.
19. Limitation of Liability. Notwithstanding anything else in this Agreement or otherwise,
in no event will WTC be liable to Host or any other person or entity with respect to any subject
matter of this Agreement (including, without limitation, with respect to the license or any other
rights granted by WTC under this Agreement) under any contract, negligence, strict liability or
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other legal or equitable theory for any (i) indirect, incidental, special or consequential damages,
(ii) lost profits, lost business or lost savings, (iii) interruption of business, or (iv) loss of
goodwill. The foregoing limitation applies regardless of whether the remedies provided for in
this Agreement fail of their essential purpose and even if either Party has been advised of the
possibility or probability of any such damages.
20. No Waiver of Governmental Immunity. Nothing in this Agreement shall be construed
to waive, limit, or otherwise modify any governmental immunity that may be available by law to
the Host, its officials, employees, contractors, or agents, or any other person acting on behalf of
the Host and, in particular, governmental immunity afforded or available pursuant to the
Colorado Governmental Immunity Act, Title 24, Article 10, Part 1 of the Colorado Revised
Statutes.
21. Jurisdiction and Dispute Resolution.
a. Governing Law. Notwithstanding the place where this Agreement may be
executed by either party, this Agreement and any claim, controversy, dispute or other matter
arising hereunder or related hereto (whether by contract, tort or otherwise) shall be governed in
accordance with the laws of the State of Florida, United States of America, without regard to the
conflict of laws provisions thereof. In any litigation arising out of or relating to this Agreement,
the Parties agree that venue shall be in the United States District Court, Middle District of
Florida, Tampa Division, or the Circuit Court located in Pinellas County, Florida.
b. Mediation. If a dispute, claim or controversy, with the exception of claims for
injunctive and /or other equitable relief for intellectual property violations, unfair competition
and /or the use and /or unauthorized disclosure of trade secrets or confidential information
( "Dispute ") arises out of, relates to, or is in connection with this Agreement, any amendment of
this Agreement or any breach of this Agreement, and if the Dispute cannot be settled through
direct discussions between the Parties, the Parties agree first to try in good faith to settle the
Dispute by mediation administered by the American Arbitration Association ( "AAA ") under its
then current Commercial Mediation Rules before resorting to arbitration. An AAA mediator
acceptable to both Parties knowledgeable in the field and commercial matters shall conduct the
mediation. The mediation shall take place in Tampa, Florida, United States of America. Each
Party shall bear its own costs with respect to such mediation, except that any fees charged by
such mediator or AAA in connection with such mediation shall be allocated as set forth below.
C. Arbitration. Any Dispute, with the exception of claims for injunctive and /or other
equitable relief for intellectual property violations, unfair competition and /or the use and /or
unauthorized disclosure of trade secrets or confidential information, arising out of, relating to or
in connection with this Agreement, including any amendment of this Agreement, breach of this
Agreement, questions regarding issues of jurisdiction, the existence, scope, validity,
performance, interpretation, termination, as well as entitlement to and amount of attorneys' fees
and costs to the prevailing Party, that cannot be settled through negotiation or mediation as set
forth above, shall be referred to a sole arbitrator selected by the Parties within thirty (30) days of
the mediation, or in the absence of such selection, to AAA arbitration as the sole remedy as to all
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matters in Dispute, administered by the AAA in accordance with applicable Arbitration Rules to
include the Optional Rules for Emergency Measures of Protection and Optional Procedures for
Large, Complex Commercial Disputes, as interpreted and governed by the Florida Arbitration
Code. The venue of any such arbitration shall be Tampa, Florida, United States of America.
Judgment on the award rendered by the arbitrator may be entered in any court having jurisdiction
thereof. The arbitrator shall not have authority to award punitive or other damages in excess of
compensatory damages and each party irrevocably waives any claim thereto.
d. Enforcement. Other than the costs and expenses of Mediation, if either Party
brings any arbitration or other action under this Agreement (including, without limitation, any
challenge or appeal), the prevailing Party shall be entitled to recover reasonable attorneys' fees
and costs (including, without limitation, the cost of such arbitration or other action). The Parties
agree to authorize the arbitrator to determine both the entitlement and apportionment of such fees
and costs.
e. Mediation/Arbitration Charges. Each Party shall initially bear an equal share of
the mediator's and arbitrator's compensation and administrative charges of the mediation or
arbitration and shall make deposits with the American Arbitration Association of its share of the
amounts requested by the American Arbitration Association. Failure or refusal by a Party to
timely pay its share of the deposits for the mediator or arbitrator(s)' compensation and
administrative charges shall constitute a waiver by that Party of its rights to be heard, present
evidence, cross - examine witnesses, and assert counterclaims. Informing the mediator or
arbitrator of a Party's failure to pay its share of the deposits for the mediator's or arbitrator's
compensation and administrative charges for the purpose of implementing this provision shall
not be deemed to affect the mediator's or arbitrator(s)' impartiality or ability to proceed with the
mediation or arbitration.
f. General. The requirement for mediation and arbitration shall not be deemed a
waiver of any right of termination under this Agreement and the arbitrator is not empowered to
act or make any award other than based solely on the rights and obligations of the Parties prior to
any such termination. The Parties, their representatives, other participants and the mediator and
arbitrator shall hold the existence, content and result of mediation and arbitration in confidence.
Any provisions of this Agreement not found to be in compliance with applicable law may be
waived without effect to the agreement by the Parties to arbitrate as provided herein.
Notwithstanding the foregoing, in the event of breach by a Party of any of its obligations
hereunder, the non - breaching Party may seek injunctive or other equitable relief in any court of
competent jurisdiction. A request by a Party to a court for interim measures shall not be deemed
a waiver of the obligation to mediate and arbitrate.
22. Rights and Remedies. The rights and remedies provided by this Agreement are given in
addition to any other rights and remedies either Party may have by law, statute, ordinance or
otherwise. All such rights and remedies are intended to be cumulative, and the use of any one right
or remedy by either Party shall not preclude or waive its right to any or all other rights or remedies.
23. Force Maieure. In the event either Party is prevented from performing any of the
obligations or duties required under this Agreement by reason of any event outside of such
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Party's control, including, without limitation, fire, weather, volcano, explosion, flood, epidemic,
acts of God, war or other hostilities, strike, civil commotion, domestic or foreign governmental
acts, orders or regulations ( "Force Majeure Event "), then the obligations or duties of such Party
during the period of such Force Majeure Event, and for a reasonable time thereafter shall be
suspended. If, due to a Force Majeure Event, the Event is canceled and cannot reasonably be
rescheduled or the Event is not held in its entirety, then Host shall not be deemed to be in breach
of this Agreement. In the case of cancellation due to a Force Majeure Event, the Parties agree to
negotiate a date to reschedule the Event if practicable.
24. Notices. All notices, requests, demands and other communications under this Agreement
will be in writing and will be deemed to have been given if hand delivered, or mailed via
certified mail, return receipt requested, sent by facsimile, or sent by overnight courier such as
Federal Express or DHL, if sent to the parties as follows:
If to Host:
With Copy to:
Town of Avon Eric Heil, Town Attorney
1 Lake Street Heil Law & Planning, LLC
Avon, CO 81620 1499 Blake Street, Unit 1- GAttn: Larry
Brooks, Town Manager Denver, CO 80202
(or to such other person or address as Host shall furnish to WTC in writing)
If to WTC:
World Triathlon Corporation
2701 North Rocky Point Drive, Suite 1250
Tampa, FL 33607
Attn: Lisa Herbst, General Counsel /Legal Department
(or to such other person or address as WTC shall furnish to Host in writing)
25. No Waiver of Rights. If either Party fails to enforce any of the provisions of this
Agreement or any rights hereunder or fails to exercise any election provided in the Agreement, it
will not be considered to be a waiver of those provisions, rights or elections or in any way affect
the validity of the Agreement. The failure of either Party to exercise any of these provisions,
rights or elections will not preclude or prejudice such Party from later enforcing or exercising the
same or any other provisions, rights or elections which it may have under the Agreement.
26. Severability. If any term, clause, or provision hereof is held invalid or unenforceable by
a court of competent jurisdiction, such invalidity shall not affect the validity or operation of any
other term, clause or provision and such invalid term, clause or provision shall be deemed to be
severed from the Agreement.
27. No Oral Modifications. No modifications to this Agreement shall be binding upon the
parties unless modified, amended, cancelled, renewed or extended in writing and signed by both
parties.
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28. Entire Agreement. This Agreement sets forth the entire agreement and understanding of
the parties relating to the subject matter hereof, and supersedes all prior agreements,
arrangements and understandings, written or oral, between or among the parties, except as
specifically provided herein. Except as explicitly set forth herein, there are no promises,
conditions, representations, understanding, interpretations or terms of any kind as conditions or
inducement to the execution hereof or in effect among the parties.
29. Headings. The section headings included in this Agreement are for convenience of
reference only and shall not affect or be utilized in construing or interpreting this Agreement.
30. Counterparts. This Agreement may be executed in counterparts, each of which shall be
deemed an original binding document but all of which shall constitute one and the same
instrument.
31. Article X, Section 20 /TABOR. The Parties understand and acknowledge that the Town
is subject to Article X, § 20 of the Colorado Constitution ( "TABOR "). The Parties do not intend
to violate the terms and requirements of TABOR by the execution of this Agreement. It is
understood and agreed that this Agreement does not create a multi - fiscal year direct or indirect
debt or obligation within the meaning of TABOR and, therefore, notwithstanding anything in
this Agreement to the contrary, all payment obligations of the Town are expressly dependent and
conditioned upon the continuing availability of funds beyond the term of the Town's current
fiscal period ending upon the next succeeding December 31. Financial obligations of the Town
payable after the current fiscal year are contingent upon funds for that purpose being
appropriated, budgeted, and otherwise made available in accordance with the rules, regulations,
and resolutions of Town of Avon, and other applicable law. Upon the failure to appropriate such
funds, this Agreement shall be terminated.
IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and
year last written below as mutual acceptance of the terms, conditions and consideration
contained herein.
WORLD TRIATHLON CORPORATION TOWN OF AVON
I'M
Michelle Payette
Director of IronKids
in
Date: Date:
Ron Wolfe
Mayor
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SCHEDULE A
WIRING INSTRUCTIONS TO LICENSOR'S FINANCIAL INSTITUTION
Bank Wire Transfer to:
Bank Name: Bank of America, NY NY
Routing Number: 026009593
Account Name: World Triathlon Corporation
Account Number: 898023633213
SWIFT Code: BOFAUS3N
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SCHEDULE B
Obligations and Undertakings of Host. For the Event, Host shall comply with providing the
following, at no expense to WTC, unless otherwise agreed to in this Agreement, in its
performance under this Agreement:
➢ Provide lifeguards for the swim portion in Nottingham Lake (not exceeding 6)
➢ Provide trash & recycle containers and removal for the site (excluding dumpsters)
➢ Provide a team for cone placement, road sweeping and road closure assistance.
➢ Complimentary electricity in park (where outlets pre- exist)
➢ Assist in IronKids Avon poster distribution in Avon and Vail (IronKids to supply posters)
➢ Have one designated staff member to present /speak at town council meetings on behalf of
IronKids
➢ Assist in the coordination and communications between the different Town service
departments
➢ Have one designated staff member to be on -site for the day before and day of the event
➢ To assist in communications plan for impact of race on the Town and its residents and
hotels
➢ Host city rights fee for marketing of the event: $9,500.00 USD
Page 12 of 16
WTC's Initials:
Host's Initials:
SCHEDULE C
Obligations and Undertakings by WTC. For the Event WTC shall comply with providing the
following, at no expense to Host, in its performance under this Agreement:
➢ Naming rights as official IronKids Avon sponsor
➢ Brand exposure through all IronKids print and electronic media relating to the event
➢ One partner - supplied article to be distributed as part of the monthly IronKids newsletter
➢ Brand placement on the IronKids Avon race course
➢ Town of Avon specific consumer research (survey) distributed directly through the
IronKids database
➢ Opportunity to sell sponsorship against the event (regulations to be discussed)
➢ Provide all race operations to perform a safe and quality event including: Chip timing
company (results), race announcer, registration process, triathlon clinic, race course
(design, signs, cones), volunteers (in conjunction with Town of Avon assistance for call -
out), staff (Swim, Bike, Run, Transition, Finish Line, Volunteer, Registration, Awards,
Merchandise Coordinators), transition area, communications plan, finishers medals, t-
shirts & bags, awards ceremony, media, etc.
➢ Provide all course and venue equipment (barricades, cones, bike racks, signage, finish
line structure, light towers, tables, tents, etc.,)
➢ Contract and pay for required EMS and Police
➢ Coordinate with Town departments for effective communication plan, venue design, road
closure plan, load - in/out plan
➢ Provide significant impact notices via door hangers, direct mail and electronic road signs
Page 13 of 16
WTC's Initials:
Host's Initials:
SCHEDULE D
Trademark Standards
and Usage Guidelines
•
K
Page 14 of 16
WIC's Initials:
Host's Initials:
Brand Logo Specifications
World Triathlon Corporation's ( "WTC's) IRONKIDS and K -DOT trademarks (the "Marks ")
must be used consistently and not altered. Modifications, variations and incorrect use of the
Marks can dilute the distinctiveness of the Marks and create consumer confusion and are not
permitted. You play a vital role in protecting the integrity of the Marks. Please familiarize
yourself with the following Trademark Standards and Usage Guidelines and follow them
diligently when using the Marks in connection with your retail marketing, advertising and
promotions and licensed products. All uses of the Marks must be approved by WTC prior to
use, including use on materials, products, apparel or other items.
If you have any questions regarding the use of the
IRONKIDS or K -DOT trademarks, please contact one of the following:
Michelle Payette
813.868.5908 or Michellegironman.com
Lisa Herbst
813.868.5937 or Lisa@iromnan.com
Carolyn Richards
813.868.5922 or Carolyngironman.com
Approvals Process
Mark Approval Process
WTC must approve all uses of the Marks prior to usage, without exception. All approval
requests for use of the Marks on all printed materials, manuals, products, catalogs, brochures,
website content, or anything that contains a Mark are to be forwarded to the following:
approval s gironman. c om
Digital images of printed materials and websites, etc. should be included with your emailed
approval requests.
Samples Approval Process (If applicable)
After the final Mark Approval Process is complete, and no later than forty -five (45) days prior to
the sale, distribution, promotion or other public disclosure or exploitation of any such printed
materials, manuals, products, catalogs, brochures, website content, or any item that contains the
Marks, LICENSEE shall furnish to WTC, free of cost, for WTC's written approval, three (3)
samples of such item. Any proposed item submitted to WTC's for its approval that is not
approved by WTC in writing within fifteen (15) days after receipt thereof shall be deemed
Page 15 of 16
WTC's Initials:
Host's Initials:
disapproved by WTC. The preferred method of providing these samples is via email in the form
of a digital image or photograph of the item. Please forward all samples to the following:
trademarksamples@ironman.com
General Guidelines
Listed below are guidelines for usage of the K -DOT and IRONKIDS logo on all items.
1. IRONKIDS must be a single word, never hyphenated.
2. "IronKids" is always capital letter "I" and capital letter "K" when used in title case.
3. The K -DOT in the IRONKIDS logo must be offset via color differentiation.
4. The IRONKIDS logo must be displayed in its entirety as described above, with no portion
omitted.
4. The IRONKIDS logo may be reduced or enlarged as needed.
5. Nothing may be added or superimposed to the IRONKIDS logo.
6. WTC uses PMS Reflex 286 Blue with the K -DOT in the IRONKIDS logo and alone, and
PMS 186 Red for the "IRON" "IDS" as part of the IRONKIDS logo. "IRON" and "IDS"
must be printed in a solid color and the K -DOT must be in a different solid color. WTC must
pre- approve the use of colors other than the standard Blue and Red.
7. The K -DOT may be used in a stand -alone form in PMS 286 Blue.
8. WTC must approve all uses of the IRONKIDS and K -DOT trademarks prior to usage.
Trademark Claim Notice
Notice must be given to the consuming public that World Triathlon Corporation (WTC) claims
ownership of the IRONKIDS stylized logo and the K -DOT logo. Therefore, both of the
following legal notices must appear on all packaging, printed materials and websites and should
be no smaller than 6pt type.
IRONKIDS® and K -DOT TM are trademarks of World Triathlon Corporation.
Used here by permission.
IRONKIDS° should be displayed using the °. K -DOT TM should be displayed using the TM
Page 16 of 16
WTC's Initials:
Host's Initials:
HEIL LAW
& PLANNING, LLC
MEMORANDUM
TO: Honorable Mayor Wolfe and Town Council members
CC: Larry Brooks, Town Manager
FROM: Eric Heil, Town Attorney
DATE: June 16, 2010
SUBJECT: Ordinance No. 10 -10 Amending Chapter 3.12
Summary: Ordinance No. 10 -10 amends Chapter 3.12 Real Property Transfer Tax.
The two amendments include (1) updating the exemption for transfers to, from and
between business entities where no consideration is provided, and (2) revising Section
3.12.070 regarding applications and appeals. Revisions were made to the ordinance
presented on first reading as moved and directed by Town Council. The attached
ordinance is a legal black -line which identifies the changes approved by Town Council
on first reading.
3.12.060(5): The revisions to Section 3.12.060(5) expand this definition to include
transfers from a business entity to an individual where no change in the proportion of
ownership occurs (i.e. 100% owner of property to 100% owner of entity which owns
property). The Town has received numerous applications which include transfers to
and from partnerships and limited liability companies that are related to estate planning
and federal income tax planning but where no consideration is provided. The definition
is also revised to acknowledge limited liability companies.
3.12.070: The revisions to Section 3.12.070 address the procedures and review criteria
for processing applications for Exemption from Real Property Transfer Taax. The
revisions are significant such that a red -line strike -out is not practical. Substantive
revisions are highlighted as follows:
• 3.12.070(a) An application must be submitted and approved for all transfers which
claim exemption. An absolute deadline to file an application is established as 75
days after the transfer.
• 3.12.070(b) The Town Manager may determine the form of the application (there is
no need to include a draft of the form of application in the municipal code).
• 3.12.070(c) Town Manager has 30 days to review an application rather than the
current 10 days. Failure to review no longer results in an automatic approval;
however, failure to review will enable the applicant to appeal directly to the Town
Council.
Heil Law & Planning, IIC Eric Heil, Esq_ A.I.C.P.
1499 Blake Street, Unit 1 -G Tel: 303.975.6120
Denver, CO 80202 eheil @avon.org
Town Council
RE: Ord 10 -10
June 16, 2010
Page 2 of 2
• 3.12.070(d) The timeframe for Town Council to act upon an appeal is revised to
simply state that the Council shall act on an appeal within 45 days of receipt by the
Town.
• 3.12.070(e) False /inaccurate information voids an approval of an application.
• 3.12.070(f) Duration of Approval is specified to address approvals which granted
prior to a transfer.
• 3.12.070(g) The ability to adopt fees for the processing of applications has been
added. Based upon our experience with review of RETT exemption applications, a
fee in the range of $75 -$125 would be appropriate to cover the Town's cost to
process these applications.
Legal Issues: The amendments proposed in Ordinance No. 10 -10 do not present any
"tax policy changes" which would require voter authorization under TABOR.
Requested Town Council Action: Approval of first reading of Ordinance No. 10 -10.
Thanks, Eric
TOWN OF AVON, COLORADO
ORDINANCE 10 -10
SERIES OF 2010
AN ORDINANCE CHAPTER 3.12 OF THE AVON MUNICIPAL CODE
WHEREAS, the Town of Avon ( "Town ") is a home rule authority municipal corporation
and body politic organized under the laws of the State of Colorado and possessing the maximum
powers, authority and privileges to which it is entitled under Colorado law; and
WHEREAS, the Town imposes a transfer tax on certain transfers of real property in the
Town of Avon; and
WHEREAS, the Town desires to amend the exemption concerning transfers to and from
business entities for no consideration to reflect business organization practices and desires to
amend the requirements and procedures for processing of applications for exemptions; and
WHEREAS, it is the Town Council's opinion that the health, safety and welfare of the
citizens of the Town of Avon would be enhanced and promoted by the adoption of this ordinance
through the orderly and efficient administration of real property transfer tax collections and
processing of applications for exemption thereto;
WHEREAS, approval of this Ordinance on first reading is intended only to confirm that the
Town Council desires to comply with the requirements of the Avon Home Rule Charter by
setting a public hearing in order to provide the public an opportunity to present testimony and
evidence regarding the application and that approval of this Ordinance on first reading does not
constitute a representation that the Town Council, or any member of the Town Council, supports,
approves, rejects, or denies this ordinance;
NOW THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE
TOWN OF AVON, COLORADO, the following:
Section 1. Recitals Incorporated. The above and foregoing recitals are incorporated herein by
reference and adopted as findings and determinations of the Town Council.
Section 2. Amendments to Chapter 3.12. Chapter 3.12 of the Avon Municipal Code is
amended as follows:
A. Section 3.12.060(5) is repealed in its entirety and reenacted to read as follows:
"(5) Transfers made pursuant to capital investment, reorganization, merger,
consolidation, liquidation, dissolution or termination of corporations,
partnerships, limited liability companies, trusts, or other business entities
recognized in Colorado for no consideration other than acquisition or cancellation
or surrender of stock or percentage ownership interest in such business entity, ifto
the extent that the relative ownership interest of such persons in the real property
Ord 2010 -10 RETT Application
Page 1 of 5
VIV2 6- 316 -10
or in the percentage ownership of the business entity are the same after the
transfer as immediately before the transfer and there is no monetary
consideration;" for that portion of the transfer;"
13. Section 3.12.070 is repealed in its entirety and reenacted to read as follows:
"3.12.070 Application for exemption — Appeal.
(a) Application Required. No transfer of real property shall be exempt from the
imposition of the real estate transfer tax imposed in Section 3.12.030 unless a
complete application for exemptions is filed with the Town and such application is
approved by the Town. An application may be filed prior to a transfer of real
property or within seventy -five (75) days after the transfer of real property. No
application for Exemption from Real Property Transfer Tax shall be received and
no such application shall be approved if submitted to the Town more than seventy -
five (75) after the date of transfer.
(b) Form of Application. The form of Application for Exemption from Real
Property Transfer Tax, the form for an appeal, and any other forms related to this
Chapter shall be determined by the Town Manager. The form of Application shall
require the applicant to provide all information necessary to determine if such
application complies with the definition and intent of the exemptions set forth in
Section 3.12.060 above.
(c) Application Review. The Town Manager, or designee, shall review
applications for Exemption from Real Property Transfer Tax within thirty (30)
days of receipt of a complete application. The failure of the Town Manager, or
designee, to review an application for Exemption from Real Property Transfer Tax
within thirty (30) days shall not be deemed to constitute an approval of an
application for Exemption from Real Property Transfer Tax; however, the
app}ie-tionapplicant may elect to appeal the application directly to the Town
Council according to the procedures set forth in sub - section (d) below. If the
Town Manager, or designee, determines that the application does not include
adequate information to determine whether the application complies with an
exemption stated in Section 3.12.060 of the Avon Municipal Code, the Town shall
send a communication to the applicant stating that the application ear neither'�°
appr-eved norshall be denied unless the applicant provides additional information
ands shall state the required information neeessar-y to complete review and shall
provide a maximum of thirty 30) days for the application. Once heapplicant to
provide additional information is received, the. The Town Manager, or designee,
shall review the supplemented appli^ additional information which is timely
submitted within thirty (30) days of receipt. The Town Manager, or designee,
shall approve, partially approve, or deny the application in writing based upon
compliance with the exemptions, or the intent of the exemptions, set forth in
Section 3.12.060. Inadequate or inaccurate information which does not
Ord 2010 -10 RETT Application
Page 2 of 5
V4V2 6- 316 -10
demonstrate compliance with the exemptions set forth in Section 3.12.060 shall be
grounds for denial of an application.
(d) Appeal to Council. Any person whose application for Exemption from Real
Property Transfer Tax is not acted upon with the timeframe set forth in sub-
paragraph above or whose application is denied or partially approved may
appeal such decision to the Town Council in accordance with the procedures and
requirements of this Section 3.12.070. The applicant shall file a written appeal in
writing with the Town Clerk within thirty (30) days after the date of transmittal of
the decision of the Town Manager, or designee, to deny such application. The
failure to file a written appeal within thirty (30) days after the date of transmittal of
the decision to deny the application shall bar any further consideration of the
application, shall bar any appeal to the Town Council, and shall bar any judicial
review by a Colorado court. The written appeal shall state the reasons for the
appeal. An appeal which is filed timely shall be considered and acted upon by the
Town Council within forty -five (45) days after the date of receipt. The Town shall
provide at least three (3) days prior notice to the applicant stating the date, time
and location where the Town Council will consider the appeal. The decision of the
Town Council shall be in writing. The Town Council shall determine whether to
approve, partially approve, or deny the application based on upon compliance with
the exemptions, or the intent of the exemptions, set forth in Section 3.12.060.
Inadequate or inaccurate information which does not demonstrate compliance with
the exemptions set forth in Section 3.12.060 shall be grounds for denial of an
application. The failure by the Town Council to hear and decide an appeal within
forty -five (45) days after the receipt of the appeal shall result in the approval of the
application.
(e) False or Inaccurate Information. Any approval of an application for
Exemption from Real Property Transfer Tax which is based upon false or
inaccurate information provided by the applicant shall be void ab initio and such
transfer shall be subject to all real property transfer tax imposed along with
penalties and interest calculated from the date of such transfer.
(f) Duration of Approval. An approval for Exemption from Real Property
Transfer Tax which is granted prior to a transfer shall be valid for seventy -five
(75) days and shall then expire if the transfer has not occurred.
(f) Fees. The Town Council may adopt a resolution setting fees for the processing
and reviewing of applications and appeals as is determined reasonably necessary to
recover the costs incurred by the Town."
Section 3. Codification Amendments. The codifier of the Town's Municipal Code, Colorado
Code Publishing, is hereby authorized to make such numerical and formatting changes as may be
necessary to incorporate the provisions of this Ordinance within the Avon Municipal Code. The
Town Clerk is authorized to correct, or approve the correction by the codifier, of any
typographical error in the enacted regulations, provided that such correction shall not
Ord 2010 -10 RETT Application
Page 3 of 5
W�'Q 6- 316 -10
substantively change any provision of the regulations adopted in this Ordinance. Such
corrections may include spelling, reference, citation, enumeration, and grammatical errors.
Section 4. Severability. If any provision of this Ordinance, or the application of such provision
to any person or circumstance, is for any reason held to be invalid, such invalidity shall not affect
other provisions or applications of this Ordinance which can be given effect without the invalid
provision or application, and to this end the provisions of this Ordinance are declared to be
severable. The Town Council hereby declares that it would have passed this Ordinance and each
provision thereof, even though any one of the provisions might be declared unconstitutional or
invalid. As used in this Section, the term "provision" means and includes any part, division,
subdivision, section, subsection, sentence, clause or phrase; the term "application" means and
includes an application of an ordinance or any part thereof, whether considered or construed
alone or together with another ordinance or ordinances, or part thereof, of the Town.
Section 5. Effective Date. This Ordinance shall take effect seven days after public notice
following final passage in accordance with Section 6.4 of the Avon Home Rule Charter.
Section 6. Safety Clause. The Town Council hereby finds, determines and declares that this
Ordinance is promulgated under the general police power of the Town of Avon, that it is
promulgated for the health, safety and welfare of the public, and that this Ordinance is necessary
for the preservation of health and safety and for the protection of public convenience and
welfare. The Town Council further determines that the Ordinance bears a rational relation to the
proper legislative object sought to be obtained.
Section 7. No Existing Violation Affected. Nothing in this Ordinance shall be construed to
release, extinguish, alter, modify, or change in whole or in part any penalty, liability or right or
affect any audit, suit, or proceeding pending in any court, or any rights acquired, or liability
incurred, or any cause or causes of action acquired or existing which may have been incurred or
obtained under any ordinance or provision hereby repealed or amended by this Ordinance. Any
such ordinance or provision thereof so amended, repealed, or superseded by this Ordinance shall
be treated and held as remaining in force for the purpose of sustaining any and all proper actions,
suits, proceedings and prosecutions, for the enforcement of such penalty, liability, or right, and
for the purpose of sustaining any judgment, decree or order which can or may be rendered,
entered, or made in such actions, suits or proceedings, or prosecutions imposing, inflicting, or
declaring such penalty or liability or enforcing such right, and shall be treated and held as
remaining in force for the purpose of sustaining any and all proceedings, actions, hearings, and
appeals pending before any court or administrative tribunal.
Section 8. Publication by Posting. The Town Clerk is ordered to publish this Ordinance by
posting notice of adoption of this Ordinance on final reading by title in at least three public
places within the Town and posting at the office of the Town Clerk, which notice shall contain a
statement that a copy of the ordinance in full is available for public inspection in the office of the
Town Clerk during normal business hours.
[signature page follows]
Ord 2010 -10 RETT Application
Page 4 of 5
1 V2 6- 316 -10
INTRODUCED, APPROVED, PASSED ON FIRST READING, ORDERED POSTED
AND REFERRED TO PUBLIC HEARING and setting such public hearing for June 22, 2010
at the Council Chambers of the Avon Municipal Building, located at one Lake Street, Avon,
Colorado, on June 8, 2010.
Ronald C. Wolfe, Mayor
Published by posting in at least three public places in Town and posting at the office of the Town
Clerk at least seven days prior to final action by the Town Council.
ATTEST:
APPROVED AS TO FORM:
Patty McKenny, Town Clerk Eric Heil, Town Attorney
INTRODUCED, FINALLY APPROVED, AND PASSED ON SECOND READING, AND
ORDERED PUBLISHED BY POSTING on June 8, 2010.
Ronald C. Wolfe, Mayor
Published by posting by title in at least three public places in Town and posting by title at the
office of the Town Clerk.
ATTEST:
Patty McKenny, Town Clerk
Ord 2010 -10 RETT Application
Page 5 of 5
IV2 6- 31_6 -10
Memo
To: Honorable Mayor and Town Council
Thru: Larry Brooks, Town Manager
From: Eric Heil, Town Attorney
Scott Wright, Assistant Town Manager /Finance
Sally Veccio, Assistant Town Manager /Community Developmer
Jennifer Strehler, Director of Public Works and Transportation
Justin Hildreth, Town Engineer
Jaime Walker, Community Relations Officer
Date: June 22, 2010
Re: Resolution 10 -16. Referral of Connect Avon Now Projectto a Public Vote
Connect Avon Now (CAN) is a package of local
improvements to mass transit, pedestrian and bicycle
trails, and parking which would allow Avon to build
toward the community's vision for great connectivity
and an economically vibrant downtown.
Work on the CAN project was initiated in March 2009. The
goal was to find a new revenue source to stabilize the Avon
Transit's budget and allow for consistency of bus service and
route expansion to areas of need. It quickly became
apparent to the Council that pedestrian and bicycle
connections were also needed to link transit stops and neighborhoods. Then, as a result of
discussions related to land use and urban renewal considerations, Town Council requested
inclusion of a public parking facility in Connect Avon Now project because it is seen as an
important public improvement and catalyst to promoting the type of compact, mixed use
development that is essential to creating the vibrant, community core envisioned in Avon
Comprehensive Plan. Community members confirmed during focus group discussions held in
March 2010 that the proposed improvements to transit, trails, and parking support each other in
creating better connectivity and mobility within the town. To date, the project has included
financial and legal analysis from Stan Bernstein and Associates and Piper Jaffrey, LLC.
It is important to understand that the improvements included in the Connect Avon Now Project
do not have an alternative source of funding and are unlikely to occur unless additional funding
sources are approved by the public. During this meeting, the Town Council will decide
whether to refer the project to a public vote for the November 2010 election. The goal
of this memo is to provide sufficient information so that the Town Council can make an informed
decision.
Page 1
Previous Council Actions:
Approximately 20 meetings with the public and /or the Avon Town Council have been held on the
Connect Avon Now Project specifically. See attached for chronology of previous Council Actions.
Background
A variety of transportation improvements were identified during preparation of the Avon
Comprehensive Plan (2006), The East Town Center District Plan (2006), The West Town Center
Investment Plan(2007), The Community Survey (2008), and the Avon Comprehensive
Transportation Plan(2009). These plans support the need to make Avon a more walkable, urban -
village community where commercial areas, affordable housing, and recreational amenities are
easily accessible without a car. The town has spent over $900,000 in outsourced consulting
costs for these studies - all of which are based on a transit - oriented land plan with centralized
parking in the town core. Feedback provided by the community during preparation of these
foundational plans was consistent with purpose and scope of this Connect Avon Now Project.
The Avon Comprehensive Transportation Plan provided the engineering and cost - estimate basis
of the specific project components included in the Connect Avon Now Project. That engineering
document was developed from the broad vision and goal statements adopted with
Comprehensive Plan. Where the Transportation Plan included recommendations for
improvements needed through 2035 and costing over $100 million, the Town Council decided to
scope the Connect Avon Now Project to focus on those improvements that are most critically
needed within the next 10 -15 years and can realistically be funded through new, voter - approved
revenue sources.
Discussion
This memo discusses the following:
1. a brief overview of the project
2. a description of the project scope
3. the financial plan to pay for these improvements,
4. an explanation of the public outreach
5. a summary of the community feedback received thus far
6. a description, in layman's terms, of the proposed ballot language
7. information about the Fair Campaign Practices Act
1. Project Overview
The Connect Avon Now Project is the implementation step of many earlier plans, studies, and
analysis. It is a pro- active effort by the community to create a more vibrant commercial core
which is transit - oriented with better and safer pedestrian and bicycle connections, and easily
accessible public parking. It is intended to accommodate additional development in the Town
core while reducing automobile dependency and traffic impacts as well as promoting a
competitive environment for visitor based economic development. Funding the Connect Avon
Now Project requires a commitment to this vision and a willingness to invest in our local
infrastructure. Today's investment will result in:
• increased frequency of fare -free bus service,
• extension of bus routes to Beaver Creek and to shops at the Village at Avon,
• construction of 15+ miles of new pedestrian bridges and bike trails,
• construction of parking to promote commercial development in the town core with a
cohesive look, feel, and inter - connectedness,
• economic stimulation through creation of an estimated 800+ local jobs.
Page 2
The Connect Avon Now Project is funded by an incremental sales tax increase of 0.85% and a
4.500 mill levy property tax. The mill levy would be phased -in in 2011 and 2017 (to replace two
expiring levies) such that most Avon residents will not see a change on their property taxes as
compared to today. The mill levy results in a continued average payment of about $7.50 /month
1
in 2011 on property taxes. Approximately 2 /3rds of all
sales tax collected in Avon is actually generated by
visitors, therefore, approximately $3 in sales tax
revenue would be generated for every $1 of sales tax
that is paid by local residents. The Project is intended
to enhance the attractiveness and vitality of the Town
core which will benefit lodges, restaurants, shops, and
other commercial businesses. The relative cost to a
consumer spending $400 per month on taxable goods in
Avon would be to pay an additional $3.40 in sales tax,
which is less than the average commuter pays to ride
ECO Transit for just one day.
Ames gmavlkers Uwrspsrtm*n denw=1 . CAN
*Axft Lwo sWn tw so OM Aftm p" OW hk dwre.
2. Project ScoRe '
The three main project components of the Connect Avon Now Project are transit,
pedestrian /bicycle trails, and parking. Each component is described here.
Transit
Scope, budget, and ridership trends are presented below. The Village at Avon and the impact to
Avon Transit's service if the Connect Avon Now Project is not approved area also discussed.
Scope - The Connect Avon Now Project will allow for improved bus service and route
extension to the Village at Avon stores, Buffalo Ridge Affordable Housing Complex, and
Beaver Creek Ski Area. It funds construction of new bus stop pullouts and improvements
at existing bus stops (e.g., street lighting, signage, benches) to improve safety and create
a more cohesive appearance. These transit improvements would be implemented as soon
as possible, with all service extensions in place no later than the start of the 2011 -12 ski
season. Additionally, the Connect Avon Now Project would allow for increased frequency
of buses to meet increasing demands as the town population grows.
Budget - The Connect Avon Now Project will change the way Avon Transit is funded, at
least in part. The General Fund would still contribute funds for operations, but would cap
this expenditure at $1,000,000 per year or 9% of the general fund revenues. A portion of
the new tax - generated revenue will be dedicated to transit, providing a means to deliver a
stable service level in future years. This predictability in route location and service
frequency would give residents, guests, and developers more confidence to make
investment decisions in Avon. It will also assist in making parking - related decisions for
development projects. The Connect Avon Now Project proposes to fund transit operations
primarily from the sales tax with a smaller contribution from the new property tax
revenue (see "Financial Plan "). Avon Transit also incurs capital expenses for equipment
replacement, bus stop construction, and other facility needs. Based on projections for
capital costs, $2.5M has been included in the Debt Question for the Connect Avon Now
Project.
1 Assumes residence with assessed value of $500,000.
Page 3
Ridership Trends - Ridership data for Avon Transit was requested by Town Council
during the May 25th meeting. Table 1 provides this information. The usual trend,
that public transit ridership drops when the service level drops, is observed here.
The impacts of the economic recession combined with the transit service reduction
can be seen by comparing the 2008 and 2010 ski season ridership. The number of
riders dropped 34% on all routes and 31% on the Gondola Express (lodging guests)
during this 2 -year period when service was simultaneously reduced by about 28 %.
The "riders per service hour" metric is generally more informative than the absolute
numbers of riders. This performance metric looks reasonable. Overall, trends
indicate continued proportionate use of Avon Transit by workers and guests alike.
Table
1. Avon Transit Ridership Data
Year
Ridership
Service Hours
Riders per
service hour
2006
538,116
18,749
28.7
2007
582,906
17,703
32.9
2008
400,692
14,388
27.8
2009
348,040
13,547
25.7
2010
166,535
(thru 4/13/10)
6,342
(thru 4/13/10)
26.3
Table Notes:
The level of transit service dropped in 2010 and is projected to be
10,658 hr by end of October. November and December are budgeted
in the next calendar year (2011)
Considerations Regarding the Village at Avon (VAA) - Table 1 shows that Avon Transit
ridership and the number of riders per service hour were the highest in 2006 and 2007
when Avon Transit served Buffalo Ridge and the WalMart commercial area. Over 500
riders per day were, on average, recorded at VAA transit stops during May 2006 - April
2007, demonstrating a clear need for bus service to this area. Polarstar" Buffalo Ridge
property managers, and Town Council members alike have requested re- instatement of
Avon Transit bus service to serve affordable housing residents at Buffalo Ridge. The
Connect Avon Now Project would enable the Town to provide bus service to the VAA
properties, thereby serving the VAA residents, connecting the VAA residents with the
WalMart, Home Depot and VAA stores, and connecting the VAA residents with the Town
core.
If the Connect Avon Now Project is Not Approved - If the Connect Avon Now Project does
not pass and the town caps the subsidy from the General Fund to Avon Transit at
$1,000,000 per year as expected, some cuts in transit service will be needed as compared
to current levels. Avon Transit had been receiving about $1,400,000 from the General
Fund. Cuts occurred in 2009 and 2010 which reduced service hours and funding for fleet
replacement, resulting in a $1,225,000 subsidy in 2009 and expected similar value for
2010. If the Connect Avon Now Project is not approved, a $1,000,000 subsidy in 2011
would provide for only about 7,500 bus in- service hours, in addition to the required
expenses for gondola operations, bus maintenance, bus replacement, and bus stop
maintenance. Due to federal and license requirements, year -round (i.e., not seasonal)
service must be provided by public transit. To fit these constraints, one reasonable bus
service scenario would be to provide 1 bus in the town core during the hours of
approximately 6:30am- 7:30pm using the figure -eight black route (30- minute interval)
Page 4
daily, plus a weekend lodging shuttle connecting to Avon Station during ski season.
However, no funding would be available for evening service or weekday peak season
needs, nor would funding be available to contribute to a Beaver Creek Shuttle, to extend
routes, or to replace fleet. The potential negative impacts to Town core businesses from a
reduced level of service is not known. This reduced level of service would not meet
existing demands or fund bus replacement for future use.
Pedestrian, Bicycle Improvements
Scope and funding are presented below. If the Connect Avon Now Project is not implemented,
the pedestrian and bicycle improvements listed here would be delayed indefinitely until we can
determine a funding source for these projects.
Scope - Many desired pedestrian, bicycle and trail improvements were identified in the
"Comprehensive Transportation Plan ". Town Council reviewed the list of recommended
projects and prioritized the list in Table 2; this is the basis for the anticipated pedestrian
and bicycle trail expenditures in the Connect Avon Now Project.
Table 2. Sample Pedestrian and Bicycle Project Components
Project
CAN Allowance
Neighborhood
Singletree/Nottingham Trailhead (new)
$ 148,500
Nottingham
Trail Connector (Nottingham to Buck Cr.)
$ 50,000
Nottingham
West Beaver Creek Blvd Pedestrian Improvements
$ 50,000
West Avon
Metcalf Bike Lane /Trail (new)
$ 500,000
Wildwood /Wildridge /Mountain Star
Chapel Place Pedestrian Improvements
$ 50,000
East Avon
Ped RR Ped Crossing @ Eagle Bend Dr.*
$ 185,000
East Avon /Eaglebend /Stone Bridge
Lower Buck Cr. Trail (new)
$ 100,000
Nottingham
Upper Buck Cr. Trail (improvements)
$ 55,000
Nottingham /Mountain Star
Beaver Cr. Overlook Trail (improvements)
$ 251,000
Wildridge
Metcalf Recreational Trail and Trailhead (new)
$ 245,000
Wildwood /Wildridge /Mountain Star
Saddle Ridge Trail (new, restore)
$ 38,000
Wildridge
Misc. Recreational Trail Restorations
$ 33,000
All
Paved path from W. Beaver Cr Blvd to Lake St.
$ 350,000
West Avon
HWY 6 Pedestrian underpass @ Beaver Creek*
$ 1,000,000
All
Hwy 6 sidewalks*
$ 500,000
All
1 -70 Ped underpass @ Metcalf*
$ 1,500,000
West Avon /Nottingham
1 -70 Ped Overpass @ Buffalo Ridge*
$ 2,000,000
Village at Avon
Total
$ 7,055,500
Average annual funding generated to trails
$ 313,000
approximate amount per year
Years to complete all w/o debt funding
23
years
Percentage of project costs completed within 5 years
22%
Possible number of projects completed within 5 years
8 -12
projects to be done
*Indicates that this is a portion of the total cost; funding from other stakeholders is anticipated due to mutual benefit. See Table 3.
Budget - Planning level costs estimates prepared by licensed civil engineers have been
used as the basis for a budget for pedestrian and bicycle trail improvements. New
sidewalks, bridges, trails, paths and crosswalks could be funded on either a "pay- as -you-
go" basis or via debt authorization. Several of the larger pedestrian, bicycle, and trail
projects will require grant funding, developer contributions, or contributions from other
stakeholders (e.g., Eagle County, state). An estimate of the range of costs for these
Page 5
larger projects and the funding which would be available from the Connect Avon Now
Project is shown in Table 3. A minimum of $7.5M in debt service for design and
construction of pedestrian and bicycle trail project components has been included in the
Debt Question. Debt service allows these components to be planned, designed, and
constructed in the most cost - effective manner. Authorization for debt service for these
components also increases the town's opportunity to obtain grants for a portion of the
costs.
Table 3. Share of Total Project Cost Included in Financial Estimate for the
Projected Larger Pedestrian and Bicycle Projects
Larger Pedestrian Projects
Low Range
High Range
CAN Allowance
Ped RR Ped Crossing @ Eagle Bend Dr.
$
500,000
$
2,000,000
$
185,000
Hwy 6 Pedestrian underpass @ Beaver Creek
$
1,000,000
$
2,000,000
$
1,000,000
Hwy 6 sidewalks
$
1,000,000
$
1,200,000
$
500,000
1 -70 Ped underpass @ Metcalf
$
1,800,000
$
2,500,000
$
1,500,000
1 -70 Ped Overpass @ Buffalo Ridge
$
2,000,000
$
3,000,000
$
2,000,000
Total
$
6,300,000
$
10,700,000
$
5,185,000
Parking
Scope and funding are presented below relevant to the parking component. Implications
of not passing the Connect Avon Now project are also discussed.
Scope - Public parking is needed on both east
and west sides of Avon Road in the town core in
order to accommodate the planned density. The
Connect Avon Now Project could help fund a
town -wide parking study and if approved by
voters, construct approximately 500 stalls of
structured parking.
The long range plans for "West Town Center
Plan" envision a vibrant, mixed -use commercial
district that services as the social, cultural,
political and recreational gathering place in
overall town center. In order to realize the
vision for this area, the Plan recommends a
redevelopment program for the District
consisting 125,000 sq ft of new commercial and
retail square footage and 500 to 750 new
residential units. The Plan also identifies a
number of public improvements needed to
catalyze the redevelopment program, including a
269 space public parking garage to be located
next to the Recreation Center. To date, the
Town has completed more than $11 million in
public improvements and design work identified
in the "West Town Center Plan ".
The "East Town Center District Plan" was drafted in 2008 for the purpose of
Page 6
directing public and private redevelopment projects in the district. The Plan
recommends that municipal involvement focus on actions that will produce the
most public benefit, including a public plaza above 240 underground parking
spaces, road improvements and streetscape work. The Plan anticipates that the
revenue to pay for a public garage would be shared between the Town and
developers through a parking payment -in -lieu fee.
"There is a general understanding from a
Budget - The Tax Question includes market perspective that the initial public
sufficient revenue to defease debt to improvements must be made by the Town to
allocate up to $20M to a parking structure instill confidence in the vision for West Town
or combination of parking structures. Center District and to demonstrate a
Depending on design (e.g. above or below commitment to the revitalization of the
district. Redevelopment of each of the
ground) and location (e.g., land costs), infill parcels is unlikely to occur in the
this is approximately sufficient to fund a manner envisioned for the district
500 stall garage. The Town's strategy is absent this upfront commitment from
to create a parking overlay district and the Town. Conversely, these parcels are
likely to accelerate their own redevelopment
match developer pay -in -lieu contributions schedule once the public improvements are
with public contributions, and use public in place and the redevelopment potential for
financing such as general authorization the area is clearly evidenced.
bonds to take advantage of low interest The public improvements most
financing. This creates a mechanism to important to catalyze the redevelopment
motivate private development while also of the area include the transit center,
producing a desired downtown land layout the main street pedestrian
improvements and the parking
where residents can easily find convenient component of the parking structure."
and affordable parking. Note that the West Town Center District Plan, 2007. (A.3
Debt Question does not include Planning Considerations, pg 4).
authorization for construction of a parking
garage. Bond consultants recommend that the Town wait on making this request of
voters after the result of the parking planning study are complete (see Financial
Plan).
If the Connect Avon Now Project is Not Approved - The density of private
development in the Town core is likely to be restricted by the minimum off- street
parking requirement. The probable effect is that the Town core will not achieve
the desired minimum critical mass of density envisioned to create a vibrant Town
core.
3. Financial Plan
Town Council has considered several options to fund this project. The selected option is an
incremental sales tax increase of 0.85% and a 4.500 mill levy which is to be phased -in over
time. The new mill levies replace the expiring ones such that most Avon residents will not see a
change on their property taxes as compared to today. The relationship of revenue generated to
project component expenditures is shown graphically on the next page.
Page 7
Sales Tax
A portion of funding from sales tax was selected for inclusion in the Connect Avon Now
Project because it recognizes the transportation demand created by visitors, guests,
lodges, restaurants, and other local businesses. Also, many of the key benefits of the
Connect Avon Now Project are aimed at and will be received by local lodges, restaurants,
and other the business community. Town Council felt it would be inappropriate to fund all
of the project costs from just a sales tax increase, however, because of the resulting total
sales tax. Thus, an incremental sales tax increase of 0.85% was included in the Tax
Question. This increment will increase the total sales tax rate from 8.40% to 9.25 %. This
higher rate is considered reasonable because it is consistent with other incorporated ski
towns and regional shopping districts such as Glenwood.Z A family spending $400 /month
in Avon would pay an additional $3.40 in sales tax. As a point of comparison, the cost of
riding ECO Transit for just 1 day is $6.00.
Mill Levy
A mill levy of 2.250 in 2011 plus another
2.250 mills in 2017 is included in the Tax
Question. This phasing plan was selected
to minimize the burden to property
owners. The dates for phasing in the new
levy correspond to expiration dates for two
existing mill levies. These two expiring
mill levies are: (1) 2.535 mills for the
water system which expires on
12/31/2010 and (2) 2.252 mills (currently)
for the Avon Road roundabouts which
expires 12/31/2016. Collectively, these
expiring levies are slightly higher than the
replacement levy included in the
Project(4.500). Most properties in Avon
would not experience a mill levy or
Aspen
9.00%
2.1%
Awn
Current
8.40%
0%
With Connect Awn Now
9.25%
0%
Beaver Creek
9.75%
0% .
Crested Butte
8.50%
4%
Frisco
7.775%
0%
Glenwood Springs
0%
Meadows Shopping District
10.10%
0%
Other areas
8.60%
0%
Silverthome
7.775%
0%
Snowmass Village
10.40%
00/0
Steamboat Springs
8.40%
4.5%
Telluride
8.40%
0%
Vail
8.40%
4%
`Also applied to motor vehicles.
property tax Increase, however, properties
which were not within the Avon Metropolitan District would be subject to a 2.5 mill levy
2 It is inconsistent to compare Avon's or Vail's sales tax rate to that in unincorporated Eagle County
because municipal services are considerably lower.
Page 8
increase. Note that some neighborhoods did not participate in the older levies; they will
see an increase in 2.250 mills property tax assessment as a result during both 2011 and
2017. The net result is small - the proposed Project levy equates to about $7.50 /month
on a property valued at $500,000 in 2011 and about $15 /month for the same property by
2017.
Geographically, the majority (81 %) of the new revenue for this project will primarily come from
the land areas comprised of the town core area and VAA. This is same area which will enjoy
new parking facilities and the concentration of bus service as a result of the Connect Avon Now
Project. Pedestrian and bicycle trails are located throughout Avon, including Eaglebend, West
Beaver Creek Blvd, and into outlying neighborhoods such as Wildridge and Mountain Star. (See
Table 2)
Connect Avon • •
4. Public Outreach and Involvement I http.I/www.avon.org /index.aspx ?NID =713
A high degree of public involvement occurred
during the early planning work in 2006 -2009 which formed the foundation of this project (see
"Background" above). Such outreach included meetings, workshops, surveys, and open houses
to discuss land use, motorized and non - motorized transportation, transit, and parking.
Feedback was provided by the community at that time which was consistent with the intent and
scope of the Connect Avon Now Project.
As a cohesive project package, the Connect Avon Now Project was initially proposed in March
2009. Since last spring, feedback from the public and town council has shaped and refined the
project size and scope. Fifteen public Town Council meetings, five focus groups, and one open
house were held - all open to the public. A short (2 -page) information sheet was prepared and
distributed at these meetings. A web page on the project was created and a list of Frequently
Asked Questions and factual answers was provided. A DVD of the focus group presentation was
made available to the public on this web site. The Vail Daily and the Mountaineer have together
printed about 6 articles on this project. Town staff conducted an interview on TV Channel 8 to
describe the project and answer questions from reporter Tricia Swensen. Town staff have
responded to calls and a -mails from the public on this project. All of this public outreach was
conducted in order to inform the community, stimulate involvement from local residents and
businesses, and glean their input on the project as it has evolved.
S. Community Feedback
Feedback from the community received thus far suggests that there is majority support for the
Connect Avon Now Project. Focus group and open house attendees were surveyed and 80%
stated that they felt the project was "scoped well" and 75% stating that the "funding package
was appropriate ". On a graduated scale intended to measure opinion, 70% stated that they
would either "definitely support" or "probably support" the tax and debt ballot questions
associated with this project. Leaders at Avon businesses including Vail Resorts, East -West
Partners, the Westin Riverfront, Lakeside Terrace, the Sheraton Mountain Vista, and R.A. Nelson,
have openly stated their support. Public agencies including Polarstar Properties and Avon
Elementary have also stated support.
Page 9
A minority has stated opposition to the Connect Avon
Now Project. Two durable goods merchants within
the Avon Business Association (e.g., Ruggs Benedict,
Venture Sports) have offered public comment at
Town Council meetings. They voiced concern
regarding their business's competitive position, in
comparison with similar businesses located in nearby
unincorporated areas, if Avon's sales tax is increased
for this project from 8.40 to 9•.25 %. At least one
such merchant has expressed support for the overall
project concept and the property, tax component of
the Connect Avon Now Project:
The Community Survey conducted in 2008 showed
"On behalf of Sheraton Mountain Vista,
Lakeside Terrace Resorf and the Westin
Riverfront Mountain Villas I would like to
encourage the Council 'to push-for a public
vote regarding the Connect Avon Now
project. I represent and speak on behalf
300+ employees, 6 HOA (couple of
thousand owners), and the developer
Starwood Vacation Ouvnership. We feel
that this will be beneficial for our
community and future growth. "'-
- Sheriff Masry, General Manager Sheraton !vlountain Vista;
Lakeside Terrace Resort, & The-Westin Riverfront Mountain
Villas, in an e -mail to Jaime Walker, Avon Community Relations
Officer, June 8. 2090.
over 70% support by Avon voters for a sales tax increase "...to fund transit and trails" without
being provided with any further details or project definition. Although this survey is two year's
old and economic conditions have changed for many residents, it still provides one indication of
public opinion.
6. Proposed Ballot Language
Proposed ballot language is attached. The two proposed questions are summarized below.
1. Create dedicated revenue sources (aka "Tax Question ")
2. Authorize the Town to issue debt (aka "Debt Question ")
Tax Question - The sales tax increment and the mill levy are combined into one question
referred to as The Tax Question. These two taxes can be combined in one question
because they are for the same single purpose: to fund the Connect Avon Now Project, a
transportation project. The Tax Question is explained in more detail under "Financial
Plan" above.
Debt Question - The Debt Question includes up to $10M for debt authorization. Such
authorization is valid for 10 years from the date of voter approval. Revenue generated
from passage of the Tax Question would be used to defease debt for the Connect Avon
Now Project capital improvements. Passage of the Debt Question would allow the town to
use low interest public financing such as general obligation bonds or Build America Bonds.
$10M is expected to be sufficient to build transit and trail capital components, and cover
the cost for planning and design of the first parking structure. However, because costs for
parking can vary considerably (based on number of sites and design), bond counsel
recommends that Avon wait to ask voters for authorization to funding construction of
parking infrastructure once design -level cost estimates are available (e.g., by 2014). For
this reason, the Debt Question limit of $10M does not include funding for construction of a
parking garage.
The Town will most cost - effectively be able to deliver results in a shorter period of
time if both questions are approved by voters in November 2010. This scenario would
provide sufficient new revenue to deliver the benefits and services described for the Connect
Avon Now Project in a timely and with the lowest financing and implementation costs.
If the Tax Question passes but the Debt Question fails, then components in the Connect Avon
Now Project will have to be implemented as fund balance is accumulated. It will be very
Page 10
difficult to construct the larger improvements (e.g., grade- separated pedestrian /bike
crossings, parking garages) without use of debt. Inflation will have greater influence. Avon
will not compete well for state and federal transportation grants without debt authority or a
large fund balance. Current federal incentives like Build America Bonds and economic job -
stimulus packages will likely dry up before Avon has accumulated sufficient local match.
Consequently, it will take much more time and more local money to deliver the same
resulting transportation connectivity than if both questions pass. In this situation, the Town
would likely return to the voters in subsequent years to re -ask for debt authorization.
If the Debt Question passes but the Tax Question fails, then the project has essentially been
rejected by the voters. Although debt authorization is available, no lender or bonding
company would be able to issue debt because there would be no assigned revenue to defease
it. An analogy to this situation is trying to get a home mortgage when you don't have a job.
In this situation, the Town would likely return to the voters in November 2011 to re -ask the
Tax Question.
7. Fair Campaign Practices Act
A review of the Fair Campaign Practices Act is provided here to assist Council with their efforts to
discuss this project with their constituents.
Colorado's Fair Campaign Practices Act ("'Act") is set forth in in Title 1, Article 45 of the
Colorado Revised Statutes. The Act restricts the Town from expending Town funds to
urge voters to vote for or against a ballot issue once the Town Council takes action to
refer the ballot issue to an election (i.e. upon adoption of the proposed Resolution).
Expenditures includes the use of Town equipment as well as Town staff time. CRS §1-45 -
117(b)(I) states, "Nothing in this subsection (1) shall be construed as prohibiting an
agency, department, board, division, bureau, commission, or council of the state, or any
political subdivision thereof from expending public moneys or making contributions to
dispense a factual summary, which shall include arguments both for and against the
proposal, on any issue of official concern before the electorate in the jurisdiction. Such
summary shall not contain a conclusion or opinion in favor of or against any particular
issue." The Town Council may also choose to adopt a Resolution endorsing voter approval
of a ballot question and may post such Resolution in the same manner as posting of other
resolutions. The Fair Campaign Practices Act does not restrict the Town Council members
from expressing their personal opinion nor does the Act restrict Town Council members
from the expenditure of personal monies to advocate for or against a ballot measure.
Financial Implications:
See section above entitled "Financial Plan ".
Motion
I move to approve Resolution 10 -16, A resolution of the town of Avon authorizing a TABOR
election of November 2, 2010, fixing the ballot title and question, and setting forth other details
relating thereto for the Connect Avon Now Project.
Town Manager Comments
Page 11
Attachment A
Chronology of Previous Council Actions
2006- Town Council adopted the Avon Comprehensive Plan. Established the vision, goals,
policies, and land use plan which calls for transit - oriented density in the town core.
August 2007- Town Council adopted the Avon West Town Center Plan (Design Workshop, 2007).
This plan includes provision of a 300 -350 stall parking garage located on or near Main Street.
July 2008 - Community survey was conducted which showed strong public support (over 70% of
voters surveyed) for funding transit and trails via a sales tax increase.
Marchl0, 2009 - The concepts which were later embedded in the Strategic Transit Plan portion of
the Transportation Comprehensive Plan were presented to Town Council. This presentation
described historic financial performance of the Avon Transit enterprise fund and offered a long-
term vision for transit which included the new routes and services. Funding options were also
discussed, including sales tax increase, hotel /motel tax increase, property tax increase, and
formation of a general improvement district (GID).
June 23, 2009 - Second presentation on the 2008 Community Survey to Town Council which
discussed more details and cross - tabulations regarding the high level of support found for funding
expansion of transit and trails via a sales tax increase in that survey.
July 14, 2009 - Staff highlighted the specific transit services and a sample list of trail /pedestrian
project components that could be funded under a new project initiative. Note that this meeting
initially introduced this project as the "Avon Walkable Community Project" but, after some
discussion, Council expressed a preference for re- naming the project to Connect Avon Now. Town
Council directed staff to 1) notify the County Clerk of Avon's intent to have a ballot question in
November 2009 and 2) provide more information about options for funding the project.
July 28, 2009 - Presentation of Preliminary Financial Modeling for Sales Tax increase to fund
transit and trails. Discussion of possible use of hotel /motel tax and /or GID was explored further.
August 11, 2009 -Town Council decided to delay plans to place a transit /trails question on the
November 2009 ballot in order to allow more time to carefully study the issues. Preference for a
November 2010 ballot date was expressed.
August 28, 2009 - The 2010 Transit Division Budget was proposed.
September 22, 2009 -The Transportation Comprehensive Plan (FHU, 2009) was adopted by
Town Council on this date. This document describes a near -term plan to expand transit bus service
to connect the Village at Avon and Beaver Creek Ski Area by modifying routes and frequency to
add another 6,000 service hours. The plan includes a list of over $7,000,000 worth of
recommended pedestrian, bicycle, and recreational trail capital improvements. Associated transit
capital improvements and fleet replacement needs are also identified in that document.
October 20, 2009 - 2010 Budget Retreat, Final Transit Division budget for 2010, focus Transit
and Trails funding strategy. Town Council requested addition of public parking into the shared
vision for the project.
November 10, 2009 - Town Council developed a consensus about the shared vision for Connect
Avon Now. This vision included the scope, schedule, and budget implications of transit, trails, and
parking project components included in the project.
December 8, 2009 - Public finance experts described their experience on similar ballot questions.
They emphasized the important role of Town Council with respect to public outreach.
Page Al of 2
January 26, 2010- Staff provided an update on Connect Avon Now, which included a schedule of
activities planned for spring 2010.
February 23, 2010- Staff offered a status report on the work being done to assemble factual
information for Connect Avon Now.
March - April, 2010- Five focus group meetings were held with members of the community and
town staff to describe and discuss Connect Avon Now.
April 13, 2010 - Focus Group feedback presentation to Town Council. In general, most attendees
were comfortable with the project scope and financial proposal.
April 29, 2010 - A public open house was held on Connect Avon Now.
May 25, 2010 - Staff presented draft ballot language on Connect Avon Now.
Page A2 of 2
Attachment B
Resolution 10 -16
Page B -1
TOWN OF AVON, COLORADO
RESOLUTION NO. 10 -16
A RESOLUTION OF THE TOWN OF AVON AUTHORIZING A TABOR ELECTION ON
NOVEMBER 2, 2010, FIXING THE BALLOT TITLE AND QUESTION, AND SETTING FORTH
OTHER DETAILS RELATING THERETO.
WHEREAS, the Town of Avon (the "Town "), is a duly organized and existing home rule municipality of
the State of Colorado, created and operating pursuant to Article XX of the Constitution of the State of Colorado
and the home rule charter of the Town; and
WHEREAS, the members of the Town Council of Town of Avon (the "Council ") have been duly elected
and qualified; and
WHEREAS, Article X, Section 20 of the Colorado Constitution ( "TABOR") requires voter approval for
any new tax, the creation of any debt and for spending certain moneys above limits established by TABOR; and
WHEREAS, TABOR requires the Town to submit ballot issues (as defined in TABOR) to the Town's
electors on limited election days before action can be taken on such ballot issues; and
WHEREAS, November 2, 2010, is the date of the regular election in the Town and one of the election dates
at which ballot issues may be submitted to the eligible electors of the Town pursuant to TABOR; and
WHEREAS, §31 -11- 111(2) authorizes the Town to submit any question to the vote of the registered voters
of the municipality by adoption of a resolution; and
WHEREAS, the Council hereby determines that it is necessary to submit to the electors of the Town, at the
regular election to be held on November 2, 2010, the questions of (i) increasing the Town sales tax and Town
property tax and (2) incurring debt to finance certain multi -modal mobility improvements (the "Project "); and
WHEREAS, Section 3.1 of the Avon Home Rule Charter ( "Charter ") states that special and general
municipal elections shall be governed by the Colorado Municipal Election Code of 1965 as now existing or
hereafter amended or modified, except as otherwise provided in the Charter or as Council may prescribe by
ordinance; and
WHEREAS, pursuant to §31 -10- 102.7, C.R.S., of the Colorado Municipal Election Code of 1965 and
Section 1.12.010 of the Avon Municipal Code, the Town has determined to utilize the requirements of the
Uniform Election Code of 1992, Articles 1 to 13 of Title 1, C.R.S. (the "Uniform Election Code "), and to
coordinate a regular municipal election with Eagle County;
WHEREAS, it is necessary to set forth certain procedures concerning the conduct of the election.
NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF AVON,
COLORADO, AS FOLLOWS:
Section 1. All action heretofore taken (not inconsistent with the provisions of this resolution) by the Town
and the officers thereof, directed towards the election and the objects and purposes herein stated is hereby
ratified, approved and confirmed.
Page B -1
Section 2. Unless otherwise defined herein, all terms used herein shall have the meanings defined in the
Uniform Election Code.
Section 3. The regular municipal election of the Town to be held on November 2, 2010, shall be held and
conducted as a coordinated election to be conducted by the County Clerk and Recorder in accordance with the
Uniform Election Code.
Section 4. Pursuant to the applicable provisions of the laws of the State of Colorado and the Town Charter,
the Town Council hereby submits to the registered electors of the Town, at such regular Town election to be
held on November 2, 2010 (the "election") the ballot issues specified in Section 5 below.
Section 5. The following ballot issues, certified in substantially the forms set forth below, are hereby
referred to the registered electors of the Town and shall appear on the ballot of the Town of Avon at the
election:
QUESTION 1 - CONNECT AVON NOW PROJECT: TAX INCREASE
SHALL TOWN OF AVON TAXES BE INCREASED $3.5 MILLION ANNUALLY BEGINNING IN
2011 AND CONTINUING THROUGH 2016 AND BY WHATEVER ADDITIONAL AMOUNTS
ARE RAISED ANNUALLY IN EACH SUBSEQUENT YEAR FROM THE FOLLOWING TAXES
FOR THE PURPOSE OF FINANCING, DESIGNING, CONSTRUCTING, ACQUIRING,
OPERATING AND MAINTAINING OF MULTI -MODAL MOBILITY IMPROVEMENTS
INCLUDING:
• RECREATIONAL TRAILS FOR NON - MOTORIZED USE;
• PEDESTRIAN SIDEWALKS;
• BICYCLE PATHS, BRIDGES, CONNECTIONS AND PLAZAS;
• MASS TRANSPORTATION FACILITIES, VEHICLES, EQUIPMENT AND SYSTEMS;
AND,
• PUBLIC PARKING FACILITIES:
(1) BY AN INCREASE IN THE TOWN SALES TAX RATE OF 0.85% (EIGHTY -FIVE ONE -
HUNDREDTHS OF ONE PERCENT, INCREASING THE TOTAL SALES TAX RATE
IMPOSED BY THE TOWN OF AVON FROM 4.0% TO 4.85 %), SUCH CHANGE TO BE IN
EFFECT AS OF JANUARY 1, 2011;
(2) BY AN INCREASE IN THE TOWN'S MILL LEVY OF UP TO 2.250 MILLS WHICH
INCREASE MAY NOT TAKE EFFECT UNTIL JANUARY 1, 2011 AFTER THE DECREASE
IN THE AVON METROPOLITAN DISTRICT MILL LEVY UPON PAYMENT OF THE
AVON METROPOLITAN DISTRICT'S BONDS, PROVIDED THAT SUCH MILL LEVY
RATE MAY BE ADJUSTED IN ANY FISCAL YEAR DOWNWARDS OR UPWARDS BY
THE TOWN COUNCIL IN ITS DISCRETION SO LONG AS THE TOTAL MILL LEVY
IMPOSED BY THIS SUB - PARAGRAPH (2) DOES NOT EXCEED 2.250 MILLS;
(3) BY CONTINUATION OF THE TOWN'S MILL LEVY OF UP TO 2.250 MILLS WHICH
IS CURRENTLY USED TO PAY DEBT SERVICE ON THE TOWN'S GENERAL
OBLIGATION BONDS WHICH CONTINUATION MAY NOT TAKE EFFECT UNTIL
Page B -2
SUCH BONDS ARE PAID, PROVIDED THAT SUCH MILL LEVY RATE MAY BE
ADJUSTED IN ANY FISCAL YEAR DOWNWARDS OR UPWARDS BY THE TOWN
COUNCIL IN ITS DISCRETION SO LONG AS THE TOTAL MILL LEVY IMPOSED BY
THIS SUB - PARAGRAPH (3) DOES NOT EXCEED 2.250 MILLS;
(4) IF AMENDMENT 60 TO THE COLORADO CONSTITUTION IS PASSED BY THE
VOTERS OF THE STATE ON NOVEMBER 2, 2010, THE MAXIMUM DOLLAR AMOUNT
WHICH MAY BE COLLECTED BY THE TOWN PURSUANT TO THE MILL LEVIES
DESCRIBED ABOVE IN SUB - PARAGRAPHS (2) AND (3) MAY NOT EXCEED $3.5
MILLION IN ANY YEAR.
AND SHALL THE TOWN BE AUTHORIZED TO COLLECT, RETAIN AND SPEND ALL
REVENUES FROM SUCH TAXES AND THE EARNINGS FROM THE INVESTMENT OF SUCH
REVENUES AS A VOTER APPROVED REVENUE CHANGE UNDER ARTICLE X, SECTION 20
OF THE COLORADO CONSTITUTION OR ANY OTHER LAW?
QUESTION 2- CONNECT AVON NOW PROJECT: DEBT INCREASE
SHALL TOWN OF AVON DEBT BE INCREASED BY UP TO $10 MILLION DOLLARS WITH A
MAXIMUM REPAYMENT COST OF UP TO $21 MILLION AS FOLLOWS:
(1) SUCH DEBT MAY BE ISSUED FOR THE PURPOSE OF FINANCING, DESIGNING,
CONSTRUCTING, ACQUIRING, OPERATING AND MAINTAINING MULTI -MODAL
MOBILITY IMPROVEMENTS INCLUDING:
• RECREATIONAL TRAILS FOR NON - MOTORIZED USE;
• PEDESTRIAN SIDEWALKS;
• BICYCLE PATHS, BRIDGES, CONNECTIONS AND PLAZAS;
• MASS TRANSPORTATION FACILITIES, VEHICLES, EQUIPMENT AND SYSTEMS;
AND,
• PUBLIC PARKING FACILITIES:
AND ANY COSTS NECESSARY OR INCIDENTAL THERETO, INCLUDING ANY COSTS
WHICH THE TOWN MAY INCUR IN CONNECTION WITH THE DEBT OR
IMPROVEMENTS TO BE FINANCED AND THE COST OF ESTABLISHING RESERVES
TO SECURE THE PAYMENT OF SUCH DEBT;
(2) SUCH DEBT MAY BE EVIDENCED BY THE ISSUANCE OF BONDS, LOAN
AGREEMENTS, INTERGOVERNMENTAL AGREEMENTS OR OTHER MULTIPLE
FISCAL YEAR FINANCIAL OBLIGATIONS PAYABLE FROM ANY TOWN REVENUES
AS THE TOWN COUNCIL MAY PLEDGE TO THE PAYMENT OF THE DEBT;
(3) SUCH DEBT MAY BE SOLD OR ENTERED INTO FROM TIME TO TIME AT A PRICE
ABOVE, BELOW OR EQUAL TO THE PRINCIPAL AMOUNT OF SUCH DEBT, ON SUCH
Page B -3
TERMS AND CONDITIONS AS THE TOWN MAY DETERMINE, INCLUDING
PROVISIONS FOR REDEMPTION OF THE DEBT PRIOR TO MATURITY WITH OR
WITHOUT PAYMENT OF PREMIUM;
AND SHALL THE TOWN BE AUTHORIZED TO ISSUE DEBT TO REFUND THE DEBT
AUTHORIZED IN THIS QUESTION, PROVIDED THAT AFTER THE ISSUANCE OF SUCH
REFUNDING DEBT THE TOTAL OUTSTANDING PRINCIPAL AMOUNT OF ALL DEBT
ISSUED PURSUANT TO THIS QUESTION DOES NOT EXCEED THE MAXIMUM PRINCIPAL
AMOUNT SET FORTH ABOVE, AND PROVIDED FURTHER THAT ALL DEBT ISSUED BY THE
TOWN PURSUANT TO THIS QUESTION IS ISSUED ON TERMS THAT DO NOT EXCEED THE
REPAYMENT COSTS AUTHORIZED IN THIS QUESTION; AND SHALL THE PROCEEDS OF
SUCH DEBT AND ANY INVESTMENT INCOME THEREON BE COLLECTED, RETAINED, AND
SPENT AS A VOTER APPROVED REVENUE CHANGE UNDER ARTICLE X, SECTION 20 OF
THE COLORADO CONSTITUTION OR ANY OTHER LAW?
Section 6. The Town Clerk is hereby appointed as the designated election official of the Town for purposes
of performing acts required or permitted by law in connection with the election.
Section 7. If a majority of the votes cast on the question to authorize the bonds and the increase of taxes
submitted at the election shall be in favor of issuance of the bonds and the increase of taxes as provided in such
question, the Town acting through the Council shall be authorized to proceed with the necessary action to issue
the bonds and the increase such sales tax in accordance with such question. Any authority to issue the bonds
and increase in tax, if conferred by the results of the election, shall be deemed and considered a continuing
authority to issue the bonds and increase taxes so authorized at any one time, or from time to time, and neither
the partial exercise of the authority so conferred, nor any lapse of time, shall be considered as exhausting or
limiting the full authority so conferred.
Section 8. If a majority of the votes cast on the ballot question authorize the issuance of bonds, the Town
intends to issue such bonds in the approximate aggregate principal amount of $10,000,000.00 to pay the costs of
the Project, including the reimbursement of certain costs incurred by the Town prior to the execution and
delivery of such bonds, upon terms acceptable to the Town, as authorized in an ordinance to be hereafter
adopted and to take all further action which is necessary or desirable in connection therewith. The Town shall
not use reimbursed moneys for purposes prohibited by Treasury Regulation §1.150 -2(h). This resolution is
intended to be a declaration of "official intent" to reimburse expenditures within the meaning of Treasury
Regulation §1.150 -2.
Section 9. Pursuant to the Uniform Election Code, any election contest arising out of a ballot issue or ballot
question election concerning the order of the ballot or the form or content of the ballot title shall be commenced
by petition filed with the proper court within five days after the title of the ballot issue or ballot question is set.
Section 10. If any section, paragraph, clause or provision of this resolution shall for any reason be held to be
invalid or unenforceable, the invalidity or unenforceability of such section, paragraph, clause or provision shall
in no manner affect any remaining provisions of this resolution.
Section 11. All resolutions or parts of resolutions inconsistent herewith are hereby repealed to the extent only
of such inconsistency. This repealer shall not be construed to revive any resolution or part of any resolution
heretofore repealed.
Section 12. The effective date of this resolution shall be immediately upon adoption
Page B -4
INTRODUCED, PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Avon,
Colorado, on June 22, 2010.
TOWN COUNCIL:
By: Ronald C. Wolfe, Mayor
ATTEST:
By: Patty McKenny, Town Clerk
[seal]
APPROVED AS TO FORM:
By: Eric Heil, Town Attorney
Page B -5
STATE OF COLORADO )
COUNTY OF EAGLE ) SS.
TOWN OF AVON )
certify:
I, Patty McKenny„ the Town Clerk of the Town of Avon, Colorado (the "Town "), do hereby
1. The foregoing pages are a true and correct copy of a resolution (the "Resolution ") passed
and adopted by the Town Council of the Town (the "Council ") at a regular meeting of the Council held on June
22, 2010.
2. The Resolution was duly introduced, moved and seconded and passed on at the regular
meeting of June 22, 2010, by an affirmative vote of a majority of the members of the Council present at the
meeting as follows:
Name
"Yes"
"No"
Absent
Abstain
Ronald C. Wolfe, Mayor
Brian Sipes, Mayor Pro Tem
Richard Carroll
David Dantas
Kristi Ferraro
Amy Phillips
Buz Reynolds
3. The members of the Council were present at the meeting and voted on the passage of
such Resolution as set forth above.
4. The Resolution was approved and authenticated by the signature of the Mayor, sealed
with the Town seal, attested by the Town Clerk and recorded in the minutes of the Council.
5. There are no bylaws, rules or regulations of the Council which might prohibit the
adoption of said Resolution.
Page B -6
6. Notice of the regular meeting of June 22, 2010, in the form attached hereto as Exhibit A
was posted at the Avon Town Hall, 400 Benchmark Road, Avon, Colorado, not less than twenty -four hours
prior to the meeting in accordance with law.
(SEAL)
Page B -7
Town Clerk
EXHIBIT I
(Attach Notice of Meeting)
Page B -8
Flamm
TOWN OF AVON, COLORADO RV O N
AVON WORK SESSION MEETING FOR TUESDAY, JUNE 22, 2010 llll
MEETING BEGINS AT 3 PM
AVON TOWN HALL, ONE LAKE STREET
PRESIDING OFFICIALS
MAYOR RON WOLFE
MAYOR PRO TEM BRIAN SIPES
COUNCILORS RICHARD CARROLL, DAVE DANTAS, KRISTI FERRARO
AMY PHILLIPS, ALBERT "Buz" REYNOLDS, JR.
TOWN STAFF
TOWN ATTORNEY: ERIC HEIL TOWN MANAGER: LARRY BROOKS TOWN CLERK: PATTY MCKENNY
ALL WORK SESSION MEETINGS ARE OPEN TO THE PUBLIC EXCEPT EXECUTIVE SESSIONS
COMMENTS FROM THE PUBLIC ARE WELCOME; PLEASE TELL THE MAYOR YOU WOULD LIKE TO SPEAK UNDER No. 2 BELOW
ESTIMATED TIMES ARE SHOWN FOR INFORMATIONAL PURPOSES ONLY, SUBJECT TO CHANGE WITHOUT NOTICE
PLEASE VIEW AVON'S WEBSITE, HTTP: / /WWW.AVON.ORG, FOR MEETING AGENDAS AND MEETING MATERIALS
AGENDAS ARE POSTED AT AVON TOWN HALL AND RECREATION CENTER, ALPINE BANK, AND AVON LIBRARY
THE AVON TOWN COUNCIL MEETS ON THE SECOND AND FOURTH TUESDAYS OF EVERY MONTH
3:00 PM — 3:45 PM 1. EXECUTIVE SESSION:
a. Receiving legal advice pursuant to Colorado Revised Statute §24-6 -
402(4)(b) and for developing a strategy for negotiations and instructing
negotiators pursuant to Colorado Revised Statute §24- 6- 402(4)(d)
specifically related to pending litigation and settlement discussions
regarding Town of Avon v Traer Creek Metropolitan District, 2008 CV
0385
b. Receiving legal advice pursuant to Colorado Revised Statute §24-6 -
402(4)(b) specifically related to pending litigation regarding Traer Creek,
LLC, et. al. v Town of Avon 2010 CV 316
c. Receiving legal advice pursuant to Colorado Revised Statute §24-6 -
402(4)(b), developing a strategy for negotiations and instructing
negotiators pursuant to Colorado Revised Statute §24- 6- 402(4)(d), and
for the discussion of potential transfer of real property pursuant to
Colorado Revised Statute §24- 6- 402(4)(a) specifically related to the
Upper Eagle River Water Authority Avon water treatment plant site
d. Receiving legal advice pursuant to Colorado Revised Statute §24-6 -
402(4)(b), developing a strategy for negotiations and instructing
negotiators pursuant to Colorado Revised Statute §24- 6- 402(4)(d), and
for the discussion of potential transfer of real property pursuant to
Colorado Revised Statute §24- 6- 402(4)(a) specifically related to the Swift
Gulch Regional Transit Site
3:45 PM — 3:45 PM 2. INQUIRY OF THE PUBLIC FOR COMMENT AND APPROVAL OF AGENDA
3:45 PM — 4:00 PM 3. COUNCIL COMMITTEE AND STAFF UPDATES
a. Financial Matters (Finance) Memo Only
4:00 PM — 5:00 PM 4. STATEWIDE OF THE REAL ESTATE INDUSTRY — A PRESENTATION BY ANNE
RICKER (Anne Ricker, Leland Consulting) A Presentation of the State of the Real
Estate Industry and its Implications for Cities and Towns
5:00 PM 5. ADJOURNMENT
Avon Council Meeting. 10.06.22
Page 1 of 3
FINANCIAL MATTERS
June 22, 2010
1. YTD Building Revenue Report Actual vs Budget — May
2. Detail -Real Estate Transfer Taxes — May
3. Accommodations Tax Worksheet Actual vs Budget — April
4. Sales Tax Worksheet Actual vs Budget — April
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Town of Avon
Real Estate Transfer Tax
Calendar Year 2010
The Gates at
Purchaser Name Property Amount Received Riverfront PUD Beaver Creek
Apr -10 $ 194,857.87 $ 899,423.30 $ -
Land Title Guarantee
Falcon Pointe 108 -29
$26.00
Land Title Guarantee
Falcon Pointe 112 -04
$140.00
Land Title Guarantee
Falcon Pointe 202 -04
36.00
Land Title Guarantee
Falcon Pointe 205 -28
15.00
Land Title Guarantee
Falcon Pointe 301 -06
60.00
Land Title Guarantee
Falcon Pointe 301 -30
22.00
Land Title Guarantee
Falcon Pointe 303 -08
50.00
Land Title Guarantee
Falcon Pointe 304 -09
35.00
Land Title Guarantee
Falcon Pointe 405 -12
50.00
Title Company Rockies
Mtn. Vista 18 -10
1,185.00
Title Company Rockies
Mtn. Vista 19 -10
913.00
Title Company Rockies
Mtn. Vista 20 -10
398.00
Title Company Rockies
Mtn. Vista 21 -10
757.00
Steve, Vincent & Clare Clark
Avon Crossing 111 4104
2,200.00
George & Jon Honore
Canyon Run A -102
8,740.00
TW Columbia LLC
Canyon Run B -102
9,000.00
Edward Greenspan
Mtn. Star Lot 73
18,500.00
Graig Kornbluth & Daniel Siegal
2625 Beartrap Rd # B
13,500.00
Patricia Reynolds
Mtn. View Townhomes # 2
5,424.00
Ticor Title Ins
Riverfront 18 -10
7,610.20
Ticor Title Ins
Riverfront 19 -10
6,986.70
Ticor Title Ins
Riverfront 20 -10
12,309.70
Ticor Title Ins
Riverfront 21 -10
8,933.70
Liu Xiaoshan
Riverfront 148
15,540.00
Total May Revenue $61,051.00 $51,380.30
Total YTD Revenue
Total 2010 Budget
255, 908.87
1,000,000.00
950,803.60 -
1,091,798.00
Variance, Favorable (Unfavorable) $ (744,091.13) $ (140,994.40) $ -
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To: Honorable Mayor and Town Council
Thru: Larry Brooks, Town Manager Initials
Legal: Eric Heil, Town Attorney
From: Scott Wright, Asst. Town Manager — Finance
Date: June 17, 2010
Re: State of the Real Estate Industry — a Presentation by Anne Ricker
Summary:
Anne Ricker from Leland Consulting Group will be here next Tuesday to give Council and
staff a presentation of the current state of the real estate industry from a national perspective
and its implications for local cities and towns, as well as Avon's initiatives.
Anne was instrumental in the creation of the Avon Urban Renewal Authority, the Town
Center West Area Urban Renewal Plan and our Community Revitalization Policy and will
have some very relevant comments and themes for discussion.
Town Manager Comments:
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