URA Res. No. 2007-05AVON URBAN RENEWAL AUTHORITY
RESOLUTION NO. 07-05
SERIES OF 2007
A RESOLUTION TO APPROVE AN INTERGOVERNMENTAL AGREEMENT
BETWEEN THE AVON URBAN RENEWAL AUTHORITY, CONFLUENCE
METROPOLITAN DISTRICT, AND AVON STATION METROPOLITAN DISTRICT
. CONCERNING INCREMENTAL TAXES
WHEREAS, the Avon Urban Renewal Authority (the "Authority") is a duly organized
body corporate and politic under and by virtue of the laws of the State of Colorado including the
Urban Renewal Law, constituting Part 1 of Article 25 of Title 31, Colorado Revised Statutes
("C.R.S."); and
WHEREAS, pursuant Section 31-25-105(l)(b), C.R.S., the Authority may make and
execute any and all contracts and other instruments which it may deem necessary or convenient
for the exercise of its powers under the Urban Renewal Law; and
WHEREAS, pursuant to Section 31-25-112(1)(d), C.R.S., the Authority may enter into
agreements with other public bodies respecting action to be taken pursuant to any of the powers
set forth in the Urban Renewal Law; and
WHEREAS, a proposed Intergovernmental Agreement (the "IGA") between the
Authority, Confluence Metropolitan District ("Confluence") and Avon Station Metropolitan
District ("Avon Station" and, together with Confluence, the "Districts") is on file with the
Secretary of the Authority, a copy of which is attached hereto as Exhibit A; and
WHEREAS, it is in the best interest of the Authority, its residents and its taxpayers that
the Authority allow the Districts to utilize certain tax increment revenues that will be remitted to
the Authority as part of the Town Center West Area Urban Renewal Plan.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF
COMMISSIONERS OF THE AVON URBAN RENEWAL AUTHORITY:
The Authority shall enter into the IGA, substantially in the form of such document as is
on file with the Secretary of the Authority, provided that the IGA may be completed, corrected or
revised as deemed necessary by the parties thereto in order to carry out the purposes of thereof.
The IGA shall be executed and attested as provided in the Authority's bylaws. Such execution
shall be conclusive evidence of the approval by the Board of the IGA in accordance with the
terms hereof and thereof. The officers and employees of the Authority are authorized and
directed to perform the responsibilities of the Authority as set forth in the IGA and to carry out
the purposes thereof.
00 1 02404 8\BUS RE\1395223.2
ADOPTED THIS 9TH DAY OF OCTOBER, 2007.
hL
A ~N....rP'4 h I
ATTEST:
01101, G
P ty Kenny, Auth rity Clerk
001 024 04 8\BUS RE\1395223.2
EXHIBIT A
Intergovernmental Agreement
00 1 02404 8\BUS RG\1395223.2
INTERGOVERNMENTAL AGREEMENT
BETWEEN AVON URBAN RENEWAL AUTHORITY, CONFLUENCE
METROPOLITAN DISTRICT, AND AVON STATION METROPOLITAN
DISTRICT CONCERNING INCREMENTAL TAXES
THIS INTERGOVERNMENTAL AGREEMENT is made and entered into as
of this 9th day of October, 2007, by and between the AVON URBAN RENEWAL
AUTHORITY, a body corporate and politic of the State of Colorado (the "Authority"),
the CONFLUENCE METROPOLITAN DISTRICT, a quasi-municipal corporation of the
State of Colorado ("Confluence"), and the AVON STATION. METROPOLITAN
DISTRICT, a quasi-municipal corporation of the State of Colorado ("Avon Station" and,
together with Confluence, the "Districts").
RECITALS
WHEREAS, the Authority is a Colorado urban renewal authority established in
accordance with Section 31-25-101, et seq., C.R.S. (the "Act"); and
WHEREAS, the Authority is authorized by the Act to provide for improvements,
facilities and other functions of benefit to the Authority and its residents and taxpayers;
and
WHEREAS, the Districts are quasi-municipal corporations organized to provide
certain public improvements for the benefit of a development project known as
"Riverfront;" and
WHEREAS, the Town of Avon, Colorado (the "Town") approved an "Amended
and Restated Consolidated Service Plan" for the Districts on March 28, 2006 (the
"Service Plan"), which Service Plan authorized the Districts to issue bonds to finance
such public improvements; and
WHEREAS, the public improvements to be provided by the Districts under the
Service Plan will be of benefit to the Authority; and
WHEREAS, Confluence has issued its $24,665,000 Tax Supported Revenue
Bonds, Series 2007 (the "Bonds"), and the payment of the Bonds by the Districts is
dependent upon the Districts' ability to utilize the revenues from the ad valorem property
taxes imposed by the Districts within the boundaries of the Districts; and
WHEREAS, the execution of this Intergovernmental Agreement is necessary to
assure the payment of principal and interest on such Bonds; and
WHEREAS, in order to perform certain operations and maintenance functions
with respect to public improvements not dedicated to the Town, and to pay the costs of
general administrative expenses of the Districts, the Districts will also depend on the
imposition and collection of ad valorem property taxes; and
WHEREAS, the Authority has the power to collect certain ad valorem property
taxes imposed by the Districts, as approved by the Town as part of the Town Center West
Area Urban Renewal Plan (the "Urban Renewal Plan"), based on the incremental
increase in property values within the Districts, and to apply such revenues for the
purposes of the Authority; and
WHEREAS, the public improvements being funded by the Districts will assist the
Authority and reduce the burden on the Town or the Authority to directly fund such
public improvements; and
WHEREAS, the Districts' ability to issue Bonds and otherwise fund operations,
maintenance and administrative expenses will be impaired if the Districts are not able to
utilize revenues from ad valorem property taxes, and associated specific ownership taxes;
and
WHEREAS, it is consistent with the Town's approval of the Districts' Service
Plan to preserve the Districts' ability to utilize revenues from ad valorem property taxes
levied by the Districts, together with the associated specific ownership taxes, during the
40-year potential term of the Districts' Bonds; and
WHEREAS, the Authority is willing to remit to the Districts the incremental
revenues it receives as a result of ad valorem property taxes and associated specific
ownership taxes levied by the Districts within the current boundaries of the Districts,
except Lot B within Avon Station, as described on Exhibit A, and except for and to the
extent of any incremental ad valorem property taxes or specific ownership taxes
generated by an increase in the total number of permitted dwelling units or commercial
square footage in the zoning entitlements existing as of February 27, 2007 (the "District
Tax Increment Revenues"); and
WHEREAS, the parties desire to establish their agreement relating to collection of
the District Tax Increment Revenues by the Authority and the remittance of such
revenues to the Districts;
NOW, THEREFORE, in consideration of the covenants and mutual agreements
herein contained, and of the receipt of other good and valuable consideration, the amount
and sufficiency of which is hereby acknowledged, the parties hereto agree as follows:
COVENANTS AND AGREEMENTS
Authority to Remit District Tax Increment Revenues.
(a) In accordance with the Act and the Urban Renewal Plan, the
District Tax Increment Revenues will be remitted to the Authority by the County
Treasurer of Eagle County, Colorado (the "County Treasurer"). Within 30 days of
receiving District Tax Increment Revenues, the Authority shall remit to Confluence the
2
amount of the District Tax Increment Revenues the Authority receives with respect to
Avon Station and Confluence.
(b) The Authority's obligation to remit moneys to Confluence is
limited solely to the amount of District Tax Increment Revenues the Authority actually
receives from the County Treasurer. The Authority shall have no obligation to remit any
moneys to Confluence beyond such District Tax Increment Revenues actually received.
(c) It shall be the responsibility of the Districts to address any claims
made by the County Treasurer or any other party seeking the return of, or payment in
respect of, any District Tax Increment Revenues remitted to Confluence by the Authority.
The Districts hereby agree to protect, indemnify, defend and hold the Authority harmless
from and against any and all claims that may be sought against or recovered or obtained
from the Authority demanding the return of, or any damages in respect of, District Tax
Increment Revenues that have been remitted to Confluence by the Authority.
(d) The Authority's obligation to remit District Tax Increment
Revenues to the Districts pursuant to this agreement shall terminate on December 31,
2047.
2. Funding of Public Improvements. The Districts shall use any District Tax
Increment Revenues remitted by the Authority only for those purposes permitted by the
Service Plan, including paying for public improvements to serve property within the
Districts.
3. Miscellaneous. This Agreement shall be enforceable in accordance with
the laws of the State of Colorado and may be specifically enforced by either party hereto.
No amendment or assignment of this Agreement shall be permitted without the mutual
written agreement of the parties.
[THE REMAINDER OF THIS PAGE LEFT INTENTIONALLY BLANK]
OF THE DATE AND YEAR FIRST WRITTEN ABOVE.
(SEAL)
ATTEST
By. -
Secretary
(SEAL)
ATTEST
By.
Secre
y
lgf7
AVON URBAN RENEWAL AUTHORITY
By
Chairman of the Board of Comm' sioners
AVON STATION METROPOLITAN
DISTRICT
By:
President
CONFLUENCE METROPOLITAN
DISTRICT
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AS OF THE DATE AND YEAR FIRST WRITTEN ABOVE.
(SEAL)
ATTEST
By:
Secretary
(SEAL)
ATTEST
By:
Secretary
AVON URBAN RENEWAL AUTHORITY
By.
Chairman of the Board of Commi sioners
AVON STATION METROPOLITAN
DISTRICT
By:
President
CONFLUENCE METROPOLITAN
DISTRICT
By:
President
4
Sherman & Howard L.L.C
ATTORNEYS & COUNSELORS AT LAW
633 SEVENTEENTH STREET, SUITE 3000
DENVER, COLORADO 80202
TELEPHONE: (303)297.2900
FAX: (303)298.0940
OFFICES IN: COLORADO SPRINGS
PHOENIX - RENO • LAS VEGAS
MEMORANDUM
To: Avon Town Council and Avon Urban Renewal Authority
From: Randy Funk-and Matt Gray
Date: October 3, 2007
Re: Agreements with Avon Station Metropolitan District and Confluence Metropolitan
District
Avon Station Metropolitan District and Confluence Metropolitan District (collectively,
the "Districts") contain property that is subject to the tax increment provisions. of the Town
Center West Area Urban Renewal Plan (the "Plan"). The improvements provided by the
Districts will be of benefit to the Authority in accomplishing its development and redevelopment
objectives. For this reason, on February 27, 2007, the Town entered into an intergovernmental
agreement (the "Town IGA") with the Districts in which the Town agreed not to collect certain
tax increment revenues ("TIF Revenues") that would otherwise be payable to the Districts.
Instead, under the Town IGA, the Districts would retain these revenues to pay debt service on the
Districts' bonds.
Now that the Authority has been formed and the Plan has been adopted, the Town IGA
between the Districts and the Town will be terminated and replaced with a new
intergovernmental agreement between the Districts and the Authority (the "Authority IGA").
This substitution of the Authority for the Town will take place in order to comply with the Urban
Renewal Act. The Authority is authorized to collect TIF Revenues by Section 31-25-107(9) of
the Colorado Revised Statutes. Under this section, it is not clear that the Authority may collect
TIF Revenues for some portions of an urban renewal area but not others. Therefore, in the
Authority IGA, the Authority agrees to collect all TIF Revenues under the Plan and then remit
those TIF Revenues covered by the Authority IGA back to the Districts.
The net effect of the Authority IGA will be the same as the Town IGA. The Authority
will receive all TIF Revenues except certain TIF Revenues that would be payable to the Districts
if not for the existence of the Authority and the Plan. The termination of the Town IGA and the
adoption of the Authority IGA simply modifies the logistics of this arrangement to comply with
the language of the Urban Renewal Act.
001024048\BUS RE\1446179.1
AVON URBAN RENEWAL AUTHORITY
RESOLUTION NO. 07-05
SERIES OF 2007
A RESOLUTION TO APPROVE AN INTERGOVERNMENTAL AGREEMENT
BETWEEN THE AVON URBAN RENEWAL AUTHORITY, CONFLUENCE
METROPOLITAN DISTRICT, AND AVON STATION METROPOLITAN DISTRICT
CONCERNING INCREMENTAL TAXES
WHEREAS, the Avon Urban Renewal Authority (the "Authority") is a duly organized
body corporate and politic under and by virtue of the laws of the State of Colorado including the
Urban Renewal Law, constituting Part 1 of Article 25 of Title 31, Colorado Revised Statutes
("C.R.S."); and
WHEREAS, pursuant Section 31-25-105(1)(b), C.R.S., the Authority may make and
execute any and all contracts and other instruments which it may deem necessary or convenient
for the exercise of its powers under the Urban Renewal Law; and
WHEREAS, pursuant to Section 31-25-112(1)(d), C.R.S., the Authority may enter into
agreements with other public bodies respecting action to be taken pursuant to any of the powers
set forth in the Urban Renewal Law; and
WHEREAS, a proposed Intergovernmental Agreement (the "IGA") between the
Authority, Confluence Metropolitan District ("Confluence") and Avon Station Metropolitan
District ("Avon Station" and, together with Confluence, the "Districts") is on file with the
Secretary of the Authority, a copy of which is attached hereto as Exhibit A; and
WHEREAS, it is in the best interest of the Authority, its residents and its taxpayers that
the Authority allow the Districts to utilize certain tax increment revenues that will be remitted to
the Authority as part of the Town Center West Area Urban Renewal Plan.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF
COMMISSIONERS OF THE AVON URBAN RENEWAL AUTHORITY:
The Authority shall enter into the IGA, substantially in the form of such document as is
on file with the Secretary of the Authority, provided that the IGA may be completed, corrected or
revised as deemed necessary by the parties thereto in order to carry out the purposes of thereof.
The IGA shall be executed and attested as provided in the Authority's bylaws. Such execution
shall be conclusive evidence of the approval by the Board of the IGA in accordance with the
terms hereof and thereof. The officers and employees of the Authority are authorized and
directed to perform the responsibilities of the Authority as set forth in the IGA and to carry out
the purposes thereof.
1
001024048\BUS RE\1395223.2
2
I
ADOPTED this day of 2007.
AVON URBAN RENEWAL AUTHORITY
(SEAL)
Ronald C. Wolfe, Chairman
ATTEST:
Larry Brooks, Secretary
CERTIFIED BY:
Patty McKenny, Authority Clerk
2
001024048\BUS RE\1395223.2
3
EXHIBIT A
Intergovernmental Agreement
001024048\BUS RE\1395223.2
w
INTERGOVERNMENTAL AGREEMENT
BETWEEN AVON URBAN RENEWAL AUTHORITY, CONFLUENCE
METROPOLITAN DISTRICT, AND AVON STATION METROPOLITAN
DISTRICT CONCERNING INCREMENTAL TAXES
THIS INTERGOVERNMENTAL AGREEMENT is made and entered into as
of this day of , 2007, by and between the AVON URBAN RENEWAL
AUTHORITY, a body corporate and politic of the State of Colorado (the "Authority"),
the CONFLUENCE METROPOLITAN DISTRICT, a quasi-municipal corporation of the
State of Colorado ("Confluence"), and the AVON STATION METROPOLITAN
DISTRICT, a quasi-municipal corporation of the State of Colorado ("Avon Station" and,
together with Confluence, the "Districts").
RECITALS
WHEREAS, the Authority is a Colorado urban renewal authority established in
accordance with Section 31-25-101, et seq., C.R.S. (the "Act"); and
WHEREAS, the Authority is authorized by the Act to provide for improvements,
facilities and other functions of benefit to the Authority and its residents and taxpayers;
and
WHEREAS, the Districts are quasi-municipal corporations organized to provide
certain public improvements for the benefit of a development project known as
"Riverfront;" and
WHEREAS, the Town of Avon, Colorado (the "Town") approved an "Amended
and Restated Consolidated Service Plan" for the Districts on March 28, 2006 (the
"Service Plan"), which Service Plan authorized the Districts to issue bonds to finance
such public improvements; and
WHEREAS, the public improvements to be provided by the Districts under the
Service Plan will be of benefit to the Authority; and
WHEREAS, Confluence has issued its $24,665,000 Tax Supported Revenue
Bonds, Series 2007 (the "Bonds"), and the payment of the Bonds by the Districts is
dependent upon the Districts' ability to utilize the revenues from the ad valorem property
taxes imposed by the Districts within the boundaries of the Districts; and
WHEREAS, the execution of this Intergovernmental Agreement is necessary to
assure the payment of principal and interest on such Bonds; and
WHEREAS, in order to perform certain operations and maintenance functions
with respect to public improvements not dedicated to the Town, and to pay the costs of
general administrative expenses of the Districts, the Districts will also depend on the
imposition and collection of ad valorem property taxes; and
S
WHEREAS, the Authority has the power to collect certain ad valorem property
taxes imposed by the Districts, as approved by the Town as part of the Town Center West
Area Urban Renewal Plan (the "Urban Renewal Plan"), based on the incremental
increase in property values within the Districts, and to apply such revenues for the
purposes of the Authority; and
WHEREAS, the public improvements being funded by the Districts will assist the
Authority and reduce the burden on the Town or the Authority to directly fund such .
public improvements; and
WHEREAS, the Districts' ability to issue Bonds and otherwise fund operations,
maintenance and administrative expenses will be impaired if the Districts are not able to
utilize revenues from ad valorem property taxes, and associated specific ownership taxes;
and
WHEREAS, it is consistent with the Town's approval of the Districts' Service
Plan to preserve the Districts' ability to utilize revenues from ad valorem property taxes
levied by the Districts, together with the associated specific ownership taxes, during the
40-year potential term of the Districts' Bonds; and
WHEREAS, the Authority is willing to remit to the Districts the incremental
revenues it receives as a result of ad valorem property taxes and associated specific
ownership taxes levied by the Districts within the current boundaries of the Districts,
except Lot B within Avon Station, as described on Exhibit A, and except for and to the
extent of any incremental ad valorem property taxes or specific ownership taxes
generated by an increase in the total number of permitted dwelling units or commercial
square footage in the zoning entitlements existing as of February 27, 2007 (the "District
Tax Increment Revenues"); and
WHEREAS, the parties desire to establish their agreement relating to collection of
the District Tax Increment Revenues by the Authority and the remittance of such
revenues to the Districts;
NOW, THEREFORE, in consideration of the covenants and mutual agreements
herein contained, and of the receipt of other good and valuable consideration, the amount
and sufficiency of which is hereby acknowledged, the parties hereto agree as follows:
COVENANTS AND AGREEMENTS
Authority to Remit District Tax Increment Revenues.
(a) In accordance with the Act and the Urban Renewal Plan, the
District Tax Increment Revenues will be remitted to the Authority by the County
Treasurer of Eagle County, Colorado (the "County Treasurer"). Within 30 days of
receiving District Tax Increment Revenues, the Authority shall remit to Confluence the
2
C
amount of the District Tax Increment Revenues the Authority receives with respect to
Avon Station and Confluence.
(b) The Authority's obligation to remit moneys to Confluence is
limited solely to the amount of District Tax Increment Revenues the Authority actually
receives from the County Treasurer. The Authority shall have no obligation to remit any
moneys to Confluence beyond such District Tax Increment Revenues actually received.
(c) It shall be the responsibility of the Districts to address any claims
made by the County Treasurer or any other party seeking the return of, or payment in
respect of, any District Tax Increment Revenues remitted to Confluence by the Authority.
The Districts hereby agree to protect, indemnify, defend and hold the Authority harmless
from and against any and all claims that may be sought against or recovered or obtained
from the Authority demanding the return of, or any damages in respect of, District Tax
Increment Revenues that have been remitted to Confluence by the Authority.
(d) The Authority's obligation to remit District Tax Increment
Revenues to the Districts pursuant to this agreement shall terminate on December 31,
2047.
2. Funding of Public Improvements. The Districts shall use any District Tax
Increment Revenues remitted by the Authority only for those purposes permitted by the
Service Plan, including paying for public improvements to serve property within the
Districts.
3. Miscellaneous. This Agreement shall be enforceable in accordance with
the laws of the State of Colorado and may be specifically enforced by either party hereto.
No amendment or assignment of this Agreement shall be permitted without the mutual
written agreement of the parties.
[THE REMAINDER OF THIS PAGE LEFT INTENTIONALLY BLANK]
7
EXECUTED AS OF THE DATE AND YEAR FIRST WRITTEN ABOVE.
AVON URBAN RENEWAL AUTHORITY
(SEAL)
ATTEST
By:
By:
Chairman of the Board of Commissioners
Secretary
AVON STATION METROPOLITAN
DISTRICT
(SEAL)
ATTEST
By:
President
By:
Secretary
CONFLUENCE METROPOLITAN
DISTRICT
(SEAL)
ATTEST
By:
President
By:
Secretary
4
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