HomeMy WebLinkAbout11536RESOLUTION NO. 11536
A RESOLUTION AUTHORIZING THE CITY OF PUEBLO TO
SUBMIT A GRANT APPLICATION TO THE COLORADO
DEPARTMENT OF LOCAL AFFAIRS ENERGY MINERAL
IMPACT ASSISTANCE FUND RELATING TO THE CITY OF
PUEBLO MUNICIPAL JUSTICE CENTER PROJECT AND
AUTHORIZING THE PRESIDENT OF CITY COUNCIL TO
EXECUTE SAME
WHEREAS, it is a goal of the Pueblo City Council modernize City facilities and
infrastructure including the Pueblo Municipal Justice Center to serve the police
department, municipal court and information technology department;
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PUEBLO, that:
SECTION 1.
A grant application requesting $2,000,000 from the Colorado Department of
Local Affairs Energy Mineral Impact Assistance Fund for funding to assist with the
construction, equipment and furnishings of the Pueblo Municipal Justice Center, a copy
of which is attached hereto, is hereby approved.
SECTION 2.
The President of the City Council is hereby authorized to execute and deliver the
grant application in the name of and on behalf of the City of Pueblo, a Municipal
Corporation, and the City Clerk shall affix the seal of the City thereto and attest same.
INTRODUCED: February 23, 2009
7
Judy Weaver
Councilperson
APPR D' } �-
PRESIDENTaf Cfty Council
A77TSTED DY:
CITY CLERK
ON aim I ff. NO=
Background Paper for Proposed
RESOLUTION
AGENDA ITEM # 4
DATE: FEBRUARY 23, 2009
DEPARTMENT: PLANNING AND COMMUNITY DEVELOPMENT
JERRY M. PACHECO, DIRECTOR
TITLE
A RESOLUTION AUTHORIZING THE CITY OF PUEBLO TO SUBMIT A GRANT
APPLICATION TO THE COLORADO DEPARTMENT OF LOCAL AFFAIRS ENERGY
MINERAL IMPACT ASSISTANCE FUND RELATING TO THE CITY OF PUEBLO
MUNICIPAL JUSTICE CENTER PROJECT AND AUTHORIZING THE PRESIDENT OF
CITY COUNCIL TO EXECUTE SAME
ISSUE
Should the City Council approve the submittal of a grant application to the Colorado
Department of Local Affairs Energy Mineral Impact Assistance Fund monies relating to
the Pueblo Municipal Justice Center Project and authorize the President of City Council
to execute same?
RECOMMENDATION
Approval of the Resolution.
BACKGROUND
The grant request is for supplemental funds in the amount of $2,000,000 to assist with
the construction, equipment and furnishings of the Pueblo Municipal Justice Center
currently under construction at Main and D Streets. This project is addressing a priority
goal of the Pueblo City Council to modernize City facilities and infrastructure including the
Pueblo Municipal Justice Center to serve the police department, municipal court and
information technology department.
FINANCIAL IMPACT
If awarded, the DOLA Energy Mineral Impact Assistance Fund grant will reduce the
contribution from the City's General Fund to the Pueblo Municipal Justice Center project
by $2,000,000 and make available $2,000,000 to the Vestas Project to satisfy the State
of Colorado's Commitment.
STATE OF COLORADO
(For Use by State)
Department of Local Affairs
ENERGY AND MINERAL IMPACT ASSISTANCE PROGRAM APPLICATION
Public Facilities /Public Services /Community Development Projects
(Refer to back page for application filing information)
Applications Must Be Typewritten
A. GENERAL AND SUMMARY INFORMATION
1. Name/Title of Proposed Project: Pueblo Municipal Justice Center
2. Applicant: City of Pueblo
(In the case of a multi jurisdictional application, name of the "lead" municipality, county, special district or other political subdivision).
In the case of a multi - jurisdictional application, names of other directly participating political subdivisions:
3. Chief Elected Official (In the case of a multi - jurisdictional application, chief elected official of the "lead" political
subdivision):
Name: Vera Ortegon Title: President of City Council
Mailing Address: 1 City Hall Place Pueblo, CO 81 D03 Phone: (719) 553 -2655
City /Zip: Pueblo, 81003 Fax: (719) 553 -2698
E -mail Address: vorteoon(ar?pueblo.us
4. Designated Contact Person (will receive all mailings) for the Application:
Name: Scott Hobson Title: Assistant City Manager for Community Investment
Mailing Address: 211 E. D Street Phone: (719) 553 -2244
City /Zip: Pueblo, 81003 Fax: (7191553 -2359
E -mail Address: shobsonno pueblo. us
5. Amount of Energy /Mineral Impact Funds requested: $ $2.0 million
Brief Project Description: (10o words or less and including construction or equipments pecifications, if applicable. For example: 2 -bay, 2,000 sq. ft.
metal fire building): This proiect will fund the furniture, fixtures and equipment (FF &E) for the City of Pueblo's new Police,
Municipal Courts and Information Technology building located on a 7.5 -acre site in downtown Pueblo adjacent to the
Union Avenue Historic District and near the Historic Arkansas Riverwalk. The building will be a three (3) story, 104.000
square feet structures, with the main entrance facing the corner of Main and D Street. The FF &E items that will be
included for the building include office partitions desks chairs couches office equipment and artwork.
6. a. Local priority if more than one application from the same local government (e.g., 1 of 2, 2of 2, etc.).
Page 1 of 8
B. DEMOGRAPHIC AND FINANCIAL INFORMATION
1. Population
a. What was the 2000 population of the applicant jurisdiction? City: 102,121
b. What is the current estimated population for the applicant jurisdiction? City: 106, 079 (2007 Estimate)
(Current/most recent lottery distribution estimate is acceptable.) What is the source of the estimate?
Colorado State Demooraphv Office
c. What is the population projection for the applicant in 5 years? City: 110, 434
What is the source of the projection? City of Pueblo Planning Dept.
2. Financial Information (Current Year):
In the column below labeled "Applicant' provide the financial information for the municipality, county, school district or special district directly benefiting from the
application. In the columns below labeled "Entity", provide the financial information for any public entities on whose behalf the application is being submitted (if
applicable).
Complete items "a through I" for ALL project types:
o. Tap Fee
Applicant
Entity:
Entity:
a. Assessed Valuation (AV) Year: 2007
$696,599,0586
b. Mill Levy
15.633
c. Property Tax Revenue (mill levy times AV)
$10,889,933
d. Sales Tax (Rate /Estimated Annual Revenue)
3.5°/x/$47,106,000
%/ $
%/ $
e. Total General Fund Budget
$72,176,252
f. Total Applicant Budget Amount
Sum of General Fund and all Special or Enterprise Funds
$166,271,506
g. Total Multi -year Debt Obligations for all
Fund Types* 2006 total
$19,072,604
h. Total Lease - Purchase and Certificates of
Participation obligations* 2006 total
$3,619,267
i. General Fund Balance (Reserves) as of
January 1 of this current calendar year.
$23,374,544
For projects to be managed through a Special Fund other than the General Fund (e.g. County Road and
Bridge Fund) or managed through an Enterprise Fund (e.g. water, sewer, county airport), complete items
`Ij through n"•
Identify the relevant Special Fund or Enterprise Fund:
j. Special or Enterprise Fund Budget Amount
N/A
k. Special or Enterprise Fund Multi -Year Debt
Obligations*
N/A
I. Special or Enterprise Fund Balance
(Reserves) on January 1 of this calendar year
N/A
m. Special or Enterprise Fund Lease - Purchase
and Certificate of Participation Obligations*
N/A
n. Special Fund Mill Levy (if applicable)
N/A
For Water and Sewer Project Only complete items "o through q ":
o. Tap Fee
N/A
p. Average Monthly User Charge
(Divide sum of annual residential revenues by 12 and
then divide by the number of residential taps served.)
N/A
q. Number of Taps Served by Applicant
N/A
` Include the sum of the year-end principal amounts remaining for all multi -year debt obligations, lease purchase agreements or
certificate of participation notes.
Page 2 of 8
C. PROJECT BUDGET
Expenditures
Revenue
(Dollar for Dollar Cash Match is Encouraged)
Funding
Committed
List Budget Line Items (Examples: architect, engineering, construction,
equipment items etc.)
List the sources of matching funds and indicate either cash or in -kind
contribution
Cash In -Kind
Yes /No
Land Acquisition
$ 959,527
Energy /Mineral Impact Fund
City of Pueblo General Fund
$ 959,527
NA
NA
Y
Police, Municipal Courts and Information
Technology Building Construction
$21,600,000
Energy /Mineral Impact Fund
City of Pueblo General Fund
$21,600,000
NA
NA
Y
Site Construction Costs
$ 1,131,101
Energy /Mineral Impact Fund
City of Pueblo General Fund
$ 1,131,101
NA
NA
Y
Soft Costs
$ 2,300,000
Energy /Mineral Impact Fund
City of Pueblo General Fund
$ 2,300,000
NA
NA
Y
Furniture, Fixtures & Equipment
$ 2,288,966
Energy /Mineral Impact Fund
City of Pueblo General Fund
$ 2,000,000
$ 260,766
NA
NA
N
Y
Sub -Total
City Rev - $26,251,394
EIAF Rev - $ 2,000,000
TOTAL
$27,840,034
TOTAL
$28,251,394
NA
Please attach a more detailed budget if available
Loans with a 5% interest rate may only be awarded for potable
water and sewer projects. Leave blank if a loan is not requested.
Page 3 of 8
D. PROJECT INFORMATION
The statutory purpose of the Energy and Mineral Impact Assistance program is to provide financial assistance to
1. Social and Economic Impact
a. Describe how the applicant is impacted by the development, production, or conversion of energy and mineral
resources.
Although employment figures for the energy and mineral sectors of Pueblo's economy have shown a
healthy growth trend in recent years, they are directly affected by the volatility of the market for
tubular steel and rail products produced by Rocky Mountain Steel. The Xcel Comanche power plant
expansion has generated about 1,300 jobs during the current construction phase, but these jobs will
be eliminated once the plant becomes operational in about 4 years. The additional staff required to
operate the new plant is estimated at 40 employees. A recent study found the City has a population of
102,000, but the purchasing power of a community of 60,000.
b. To further document impact, cite the type of past, current or proposed energy /mineral impact activities in the
area, the names of the companies involved, the number of employees associated with the activities impacting
the jurisdiction and other relevant, quantitative indicators of energy /mineral impact.
Until the early 1980's CF &I Steel, the predecessor of Rocky Mountain Steel Mills employed over 6,000
workers. By 1999, this had declined to 600 workers. Rocky Mountain Steel is presently operating
with a work force of just under 1,000 employees. Once the construction phase of the Xcel power plant
expansion is completed, Pueblo will lose over 1,300 skilled construction jobs. If these employees
cannot be rehired in a similar project, many of them may permanently leave the Pueblo community.
Please see attached "Related Employment" data.
c. Cite actual usage statistics that document impact and the need for the project. For example, "heavy truck
traffic related to energy development activities is impacting a county road that needs improvement. A traffic
count done in May 2006 showed that heavy truck traffic increased from 100 trips per day to 300 trips ". (If
documentation is not available, consider undertaking the necessary research before submitting an
application.)
The Pueblo Municipal court processed a caseload of 36,961 cases in 2008. The Pueblo Police
Department responded to 104, 358 calls in 2008. A total number of 292 employees will be housed in
the new Municipal Justice Center. The Pueblo Municipal Court has 16 employees, Information
Technology has 12 employees and the Pueblo Police Department has 207 officers and 57 civilian
employees. The Pueblo Municipal Justice Center project relocates the Pueblo Police Department,
Information Technology Department and Pueblo Municipal Court to a new centralized location in the
heart of downtown Pueblo. This area has traditionally been the hub for City of Pueblo governmental
offices and the Union Avenue Historic Shopping District in the Pueblo region. This area has been
particularly hard hit in the past few months when the Union Avenue Historic District lost a building in
the heart of the historic district, as well as a fire in another Historic building. By constructing the new
Municipal Justice Center in the heart of downtown, it will add more emphasis in the ongoing
redevelopment activities within Pueblo's central core area.
Many of Pueblo's energy and mineral sector employers are heavily impacted by changing demand for
their products. Over time, they tend to be subject to cyclical trends which impact the Pueblo area, not
only in terms of immediate job gains or losses but also in terms of the secondary retail and service
sector jobs that are either generated or lost. Please seethe attached document item D.2.a for historic
employment trends.
Page 4 of 8
2. Project Significance
a. Why is the project needed and what are the goals of the project?
The project is needed to address a significant priority of the Pueblo City Council to modernize
community facilities and infrastructure. The relocation of The Pueblo Police, Information Technology
and Municipal Court departments into one building will remedy a problem of having older City
buildings located within a mile distance of each other. This project helps to fund the equipment,
furniture and fixtures for a building that is being relocated in a central location that is the first major
step in the development of a City municipal complex. The relocation of these departments will allow
for better communication between the police and court departments. As, well as to provide a more
safe and secure location for the Court, as they currently do not have police officers on site at the
Pueblo Municipal Court.
Goals of the project include:
1. City Council goal to modernize community facilities and infrastructure.
2. Relocate Police and Court facilities to improve public safety and improve efficiency of the
municipal court.
3. Provide a centralized location for the residents of the City of Pueblo.
4. Utilize existing City personnel and equipment in an efficient manner that does not add
additional operating costs for city residents.
b. How will project implementation benefit public health and safety, improve the effectiveness or efficiency of
service delivery systems and /or generally improve the quality of life for residents?
The relocation of the Pueblo Police, Information Technology and Municipal Court departments will
improve customer service to city residents. The Justice Center will be a modern facility that will
improve public safety and customer service. City of Pueblo residents will no longer have to drive
several blocks away to receive service from both Police Records and Municipal Court. In conjunction
with the construction of a new Justice Center, the City's police department will improve its ability to
provide protection services to the Municipal Court Staff and customers. Since the City will not have
to increase the overall number of service facilities, it will be able to provide improved public safety
services at approximately the same cost as it is currently two other city departments. The Municipal
Justice Center is the first part of the development of the Pueblo Municipal Complex that is planned to
include an Administrative Building for municipal offices that will be connected to the City's Municipal
Parking Structure (see attached Municipal Complex Site Plan).
c. What are the consequences if the project is not awarded funds?
If funds are not awarded for this project the FF &E items will be paid for with City General Funds. This
will reduce the amount of City General Funds that can be made available to assist in the funding of
the public infrastructure expenses for the new South 1 -25 Corridor Industrial Park. This new industrial
park is the site for the Vestas Wind Tower Factory that is currently under construction and is
projected to open in September 2009. The new industrial park is also anticipated to include other new
energy related companies that will make Pueblo one of the leading New Energy cities in Colorado.
The other consequence is the reduction in City General Funds to initiate the next phase of the Pueblo
Municipal Complex that will include a combined Planning, Public Works and Development Review
Building. The relocation and construction of the Pueblo Municipal Justice Center is key to
improving the image of the downtown area. Without DOLA funding, the coordinated plan to pay for
the necessary furniture, fixtures and equipment for the City of Pueblo Police, Municipal Courts and
Information Technology building will have a significant reduction in providing the public a highly
attractive atmosphere when visiting the Municipal Justice Center.
3. Local Commitment
a. Explain the origin of your local cash match. (Note: Local government cash match on a dollar for dollar basis
is encouraged.)
Page 5 of 8
The City will provide $26,251,394 in local matching funds for the Municipal Justice Center Project.
The use of these funds for the project was approved by Pueblo voters to assist with the construction
of the. The project includes funding for site acquisition, architectural design, construction of the
building and furniture, fixtures and equipment (FF &E). The DOLA funds will be used for the FF &E
items.
b. Describe any in -kind contributions (type and value).
Although an in -kind contribution is not included as part of a cash match value, the City's Public
Works Department, Planning Department, and Police Department representatives will be working as a
project team to coordinate the completion of project.
c. Does the applicant have sufficient financial capability in reserve funds and/or unused debt capacity that can
be used to secure local matching funds? Yes X No _ Explain:
d. Has the applicant's tax rate, user charges or fees been reviewed recently to address funding for the proposed
project? Yes _ No X Has the applicant recently modified the tax rate, user charges or fees? Yes
— No X If the tax rate, user charges or fees were modified, when did this change occur?
e. What other sources of local, state and federal funds as well as foundation funds has the applicant pursued?
Explain.
The funds that were generated for the City's General Fund were from a pre - payment of taxes by Xcel
Energy that was part of the annexation agreement and water supply agreement to insure a continual
supply of water to the power plant facilities. Pueblo has a 0.5 -cent sales tax, which is used to attract
primary jobs, and we use numerous funding sources to create affordable housing and community
amenities.
4. Relationship to Community Goals
a. Is the project identified in the applicant's budget, capital improvement plan, equipment replacement plan,
comprehensive plan, utility plan or other local or regional strategic management or planning document?
The project is identified in the 2008 -2012 Capital Improvement Program. The construction of the
Pueblo Municipal Justice Center is included in the Capital Improvement Program and is identified in
the City Council goal to modernize community facilities and infrastructure including the Pueblo Police
Department, and Municipal Court. The modernization of the City's Police, Municipal Court and
Information Technology facilities and upgrading of police services within the urbanized areas of the
city are identified in several plans adopted by the City of Pueblo over the past decade.
b. How did the applicant develop project cost estimates? If applicable, has a preliminary
architectural /engineering study been completed? Yes X No _ What additional design work must still
be completed? Explain. (Attach one copy of any preliminary engineering reports, architectural drawings, cost estimates, detailed
project budget.)
The City has awarded a $21.6 million construction contract for the building construction which does
not include approximately $2.28 million for furniture, fixtures and equipment expenses that will be
needed for the new building.
5. Management Capacity
a. For construction, renovation or equipment acquisition projects, does the applicant maintain reserve funds for
capital improvement, or replacement of equipment items? No .
The City appropriates funds annually for capital improvement and replacement of equipment items.
In addition, the City has General Fund reserves, which may be appropriated, on a critical needs basis
or to be determined basis.
b. Are taxes, user charges and fees established at a level that allows the applicant to maintain and operate its
current facilities and the proposed project services on a self- sufficient basis? No .
Page 6 of 8
The proposed project will be supported by general taxes. Although the facility is not self - sufficient,
and any change to the tax rate would be subject to voter approval. The City's establishes an annual
budget for capital improvements and maintenance of Police, Municipal Court and Information
Technology Department equipment and facilities.
c. Does the applicant have the technical, financial and managerial capacity to operate and maintain the facilities
or services developed through the project for the entire life cycle? Explain. (If applicable, attach the
operational /maintenance plan for the project.)
Yes, the City maintains an annual operational budget of 527, 698,022 for the Police, Municipal and
Information Technology Departments within the City of Pueblo. The budget is divided between
$24,668,140 for personnel and $2,379,862 for operations. The estimated cost for the operation of the
new police, municipal court, and IT buildings is projected to be similar to the current expenses due to
the consolidation of operations into one building and the energy efficiencies designed into the new
building. The City's police department personnel had 104, 358 emergency calls last year. The Pueblo
Police Department provides services to mitigate the effects of a variety of emergency situations,
including fires, medical emergencies, motor vehicle accidents, physical entrapments, and releases of
hazardous materials. In 2008, Pueblo Municipal Court processed 36, 961 cases. In 2008, the
Information Technology department fielded over 2500 work orders for City Employees.
d. Have a number of implementation options been considered? Can the project be accomplished within budget?
Are contingencies considered within the project budget? Does the project duplicate service capacity already
established? (Has consolidation of services with another provider been considered ?)
The project is a relocation and construction of a new Municipal Justice Center that will allow the city
to maintain one building that will house several City of Pueblo departments that will meet the criteria
for central location for the public. By relocating and providing a new Municipal Justice Center, the
city can operate the departments more cost effectively, while not sacrificing public safety and service
to our residents. The project can be completed within budget. Contingencies have been included in
the budget. The project does not duplicate service capacity already established, it improves the
ability to provide police protection to the industries that utilize the mining products, as well as serve
existing and new development areas of the city.
e. Has the applicant managed similar projects in the past with success?
The City of Pueblo has managed the construction of several big projects that have been added to the
city over the years including the Joseph Edwards Senior Center, Historic Arkansas Riverwalk Project,
improvements at the Pueblo Memorial Airport and Industrial Park, as well as many other development
projects within the City.
E. TABOR COMPLIANCE
1. Does the applicant jurisdiction have the ability to receive and spend state grant funds under TABOR
spending limitations? Yes X No _ Explain:
2. Has the applicant jurisdiction been subject to any refund under TABOR or statutory tax limitations?
Yes X No _ Explain:
Since the inception of TABOR limitations, the City has been subject to refunds on several different
occasions. In some cases, a refund was given by a temporary property tax credit to avoid over
collection during the year, or to refund a specific amount.
3. Has the applicant sought voter approval to keep revenues above fiscal spending limits?
Yes X No _ Explain:
In the case of the revenue collected in connection with the Xcel annexation, in 2004, the voters
approved the excess revenues collected to assist with the construction of the Police Building,
Municipal Court and two fire stations. When required, the City has sought voter approval to keep
revenues above fiscal annual spending limits. Only once has the City not received voter approval.
In 2003 a broad based citizen initiative to remove the City from TABOR spending limits failed.
Page 7 of 8
4. If the applicant jurisdiction is classified as an enterprise under TABOR, will acceptance of a state grant
affect this status? Yes No X Explain: N/A
F. ENVIRONMENTAL REVIEW
Indicate below whether any of the proposed project activities:
1. Will be undertaken in flood hazard areas. Yes — No X List flood plain maps /studies reviewed in
reaching this conclusion. Describe alternatives considered and mitigation proposed.
2. Will affect historical, archeological or cultural resources, or be undertaken in geological hazard area?
Yes ^ No X Describe alternatives considered and mitigation proposed.
The Pueblo Municipal Justice Center Project is located near but not within a designated historic
district and will be located on properties that contained no historical structures.
3. Address any other related public health or safety concerns? Yes No X Describe:
*t*
To the best of my knowledge and belief, the statements and data in this application are true and correct.
Signature, Chief Elected Offici I
Vera Ortegon
Name (typed or printed)
President of City Council
Title
February 23, 2009
Date
* **
Please submit one original and two copies to
Bret Hillberry
Department of Local Affairs
1313 Sherman St., Room 521
Denver, Colorado 80203
Also submit:
► Copy to the local county impact team (if applicable)
Attachments List (check and submit if applicable; one set per application):
► Preliminary Engineering Reports
► Architectural Drawings X
► Cost Estimates X
► Detailed Budget X
► Map showing location of the project X
► Attorney's TABOR decision
Page 8 of 8
PUEBLO MUNICIPAL COMPLEX
PRELIMINARY DESIGN SUBMITTAL
POLICE /COURTS/INFO TECH BUILDING
PUEBLO,CO
PUEBLO MUNICIPAL COMPLEX D
PUEBLO. COLORADO
F 7 � '
-
PUEBLO MUNICIPAL COMPLEX D
PUEBLO. COLORADO
PUEBLO MUNICIPAL COMPLEX J
PUEBLO. COLORADO
PUEBLO MUNICIPAL COMPLEX Z
PUEBLO. COLORADO
S ITE PL
PUEBLO MUNICIPAL COMPLEX
PUEBLO. COLORADO
0
.•r i.:9 �w:9
=a U9 u:9
LEVEL 1 FLOOR PLAN
AREA LEGEND
El- 0-
Elm" 0°
m+a..unwnwm•r.s
PUEBLO PUEBLO, CO LORADO J
LORADO
P LORA00
Lnnnn� li 1 uuuuu nnnnn �I ��i►V
LEVEL 2 FLOOR PLAN
AREALEGEND
D "°"""
❑-
IJ
11
�s
El
MUNICIPAL COMPLEX
PUEBLO. COLORADO
LEVEL 3 FLOOR PLAN
AREA LEGEND
0° Q --
��•� Qom..
rz..uv.wruau•wmo
PUEBLO MUNICIPAL COMPLEX
f _ / PUEBLO. COLORADO
— mo o
Q>•
o.�cs>•
rz..uv.wruau•wmo
PUEBLO MUNICIPAL COMPLEX
f _ / PUEBLO. COLORADO
:i"r l" 1
WEB
mT ELEVATION _ _
w
EAST E�TION
PUEBLO MUNICIPAL COMPLEX
1 - PUEBLO, COLORADO
ad cd aq i� . i
a --- I I n - ---
17 � � '-
� NORTH ELEVATION
BUILDING SECTION
d BUILDING SECTION
PUEBLO MUNICIPAL COMPLEX J
_� I_ PUEBLO. COLORADO
� BULLRING SECTION _ _
BUILDING SECTIO
PUEBLO MUNICIPALCOMPLEX D D
PUEBLO, COLORADO