HomeMy WebLinkAbout11915RESOLUTION NO. 11915
A RESOLUTION IN SUPPORT OF USING A PORTION OF
THE VENDORS FEE TO FINANCE THE MEMORIAL HALL
RENOVATION PROJECT THROUGH THE ISSUANCE OF
BONDS IN THE PRINCIPAL AMOUNT UP TO $10,000,000
AND URGING THE REGISTERED ELECTORS OF THE
CITY OF PUEBLO TO SUPPORT THE USE OF SUCH
VENDORS FEE AT THE NOVEMBER 2, 2010, SPECIAL
MUNICIPAL ELECTION
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that:
WHEREAS, the Pueblo City Council has discussed and fully supports the
proposed Memorial Hall renovation project that would address regulatory issues with this
historic building, including accessibility, building codes, and patron/performer safety
issues, as well as take advantage of synergies with a proposed City Hall renovation
project, enhance the historic character and identity of the facility, and increase use of
Memorial Hall; and
WHEREAS, the Pueblo City Council understands that with voter approval, a
portion of the three and three-tenths (3.3%) of sales and use tax revenues, commonly
referred to as the “Vendors Fee,” could be used to issue bonds in the principal amount up
to $10,000,000 for the purpose of remodeling, restoring, and maintaining the historic
Memorial Hall; and
WHEREAS, C.R.S. §1-45-117(1)(b)(III)(A) authorizes City Council to adopt a Resolution
taking a position in favor of a proposed ballot measure as contemplated; NOW
THEREFORE,
SECTION 1.
The Pueblo City Council supports the Memorial Hall renovation project and the
use of the Vendors Fee for the purpose of financing the Project.
SECTION 2.
The Pueblo City Council urges the voters at the Special Municipal Election to be
held on November 2, 2010, to vote for the question allowing the Vendors Fee to be used
for renovating Memorial Hall, paying the principal and interest on bonds issued for such
purpose, and authorizing the issuance of revenue bonds in the principal amount up to
$10,000,000 to finance the Memorial Hall renovation project.
SECTION 3.
This Resolution shall become effective upon final approval and passage.
INTRODUCED: June 14, 2010
BY: Vera Ortegon /COUNCILPERSON
Background Paper for Proposed
RESOLUTION
# Q-1
DATE:
June 14, 2010 AGENDA ITEM
DEPARTMENT:
Office of the City Manager
Jerry M. Pacheco, City Manager
Jenny M. Eickelman, Assistant City Manager
TITLE
A RESOLUTION IN SUPPORT OF USING A PORTION OF THE VENDORS FEE TO FINANCE
THE MEMORIAL HALL RENOVATION PROJECT THROUGH THE ISSUANCE OF BONDS IN
THE PRINCIPAL AMOUNT UP TO $10,000,000 AND URGING THE REGISTERED
ELECTORS OF THE CITY OF PUEBLO TO SUPPORT THE USE OF SUCH VENDORS FEE
AT THE NOVEMBER 2, 2010, SPECIAL MUNICIPAL ELECTION
ISSUE
Should the City Council approve a Resolution urging support of a ballot measure authorizing
use of the so-called “Vendors Fee” to issue revenue bonds in the principal amount up to $10
million to finance the Memorial Hall renovation project which will be considered by the voters at
the November 2, 2010, Special Municipal Election?
RECOMMENDATION
This Resolution is brought forth at the request of the City Council.
BACKGROUND
On May 10, 2010, City staff and Mr. Chris Wineman, Principal of Semple Brown Design, P.C.,
made a presentation to City Council at a Work Session regarding a major renovation project for
Pueblo Memorial Hall. This renovation project would address regulatory issues, such as
accessibility, building code, and patron/performer safety. The project would also take
advantage of synergies with the proposed City Hall Renovation Project, such as sharing costs
associated with electrical, mechanical, and fire safety sprinklers, coordinated design teams, and
shorter construction disruptions. The project would enhance the historic character and identity
of the facility, and, upon completion, is expected to result in increased year-round usage of the
facility. This project would improve seating, enlarge the stage, modernize restroom facilities and
dressing rooms, provide air conditioning, and improve backstage facilities.
The amount of the Vendors Fee now exceeds the amount required for debt service on the
Convention Center bonds and its operating deficiency, and the bonds on the Convention Center
will be paid in full in 2019. Both of these circumstances would make the Vendors Fee available
to finance the Memorial Hall renovation project, if the voters approve such use.
Following the Work Session presentation on May 10, Administration was directed by the Council
to explore revenue bond financing and to bring back for Council’s consideration a Resolution
supporting bond financing options. This Resolution would not only ratify the Council’s support of
using the Vendors Fee to finance the Memorial Hall renovation project, but would also urge the
voters to support a ballot question at the Special Municipal Election to be held on November 2,
2010, to authorize the City to issue revenue bonds to finance the Memorial Hall renovation
project through the use of the Vendors Fee. This Resolution is authorized under C.R.S. §1-45-
117(1)(b)(III)(A), a provision of the Fair Campaign Practices Act.
FINANCIAL IMPACT
If the ballot issue is approved, it would not increase the sales tax rate but would allow the
Vendors Fee to be used to fund the renovation of Memorial Hall in the principal amount up to
$10 million.