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City Clerk’s Office Item # R-5
BACKGROUND PAPER FOR PROPOSED
ORDINANCE
COUNCIL MEETING DATE:
August 8, 2016
TO: President Stephen G. Nawrocki and Members of City Council
CC: Sam Azad, City Manager
VIA: Gina Dutcher, City Clerk
FROM: Steven Meier, Director of Planning and Community Development
SUBJECT:AN ORDINANCE BUDGETING AND APPROPRIATING AN ADDITIONAL
$1,415,866 IN FUNDS TO THE PUEBLO REGIONAL TOURISM
PROJECT NO. RTA1601 AND APPROVING GRANT AGREEMENT EIAF
#8087 BETWEEN THE STATE OF COLORADO DEPARTMENT OF
LOCAL AFFAIRS AND THE CITY OF PUEBLO, A MUNICIPAL
CORPORATION FOR THE PUEBLO CONVENTION CENTER REGIONAL
TOURISM PROJECT AND AUTHORIZING THE PRESIDENT OF CITY
COUNCILTO EXECUTE SAID AGREEMENT
SUMMARY:
This Ordinance approves and authorizes the execution of a grant agreement between the
City of Pueblo and the State of Colorado, Department of Local Affairs (DOLA) awarding
$947,826 in Energy Mineral Impact Assistance Funds, EIAF #8087 for the Pueblo
Convention Center Regional Tourism Project (Project). The Ordinance also budgets and
appropriates an increase in the amount of $1,415,866 into the Regional Tourism Project
No. RTA1601 which increases the overall total of funds available for the project to
$16,847,826.
PREVIOUS COUNCIL ACTION:
City Council approved Ordinance No. 8870, obligating $14.4 million of funds from the
City’s 1992-2015 Sales and Use Tax Capital Improvement Projects Fund for the
construction of the project components of the Pueblo Regional Tourism Project.
A separate ordinance is being concurrently submitted approving a grant agreement
between the City and EDA in the amount of $1,031,960, and budgets and appropriates
the EDA grant funding into the project budget for RTA1601.
BACKGROUND:
This Ordinance budgets and appropriates an additional $1,415,866 in funding to the
Regional Tourism Project No. RTA1601. The additional funds are being provided through
a grant from the DOLA Energy Mineral Impact Assistance Fund in the amount of
$947,826, along with funds committed from the Regional Tourism Act (RTA) funds in the
amount of $315,734 and the HARP Foundation in the amount of $152,306. These
additional funds comprised of 1992-2015 Sales and Use Tax Capital Improvement
Projects Funding, U.S. Department of Economic Development funds, DOLA Energy
Impact Assistance funds, RTA funds and the funding commitment from the HARP
Foundation increases the overall funding for the project to $16,847,826. The Ordinance
also approves a grant agreement EIAF #8087between the City of Pueblo and DOLA for
the Regional Tourism Project. The project includes the construction of public utility
infrastructure; access, circulation, surface parking improvement; and site improvements
and building cost related to the expansion of the Pueblo Convention Center. A component
of the project will also include necessary improvements to HARP including the
development of two hardscape event plazas linked via a pedestrian mall, of approximately
15,000 square feet, at the street level; and one turf grassed outdoor event space at the
Riverwalk level.
FINANCIAL IMPLICATIONS:
The following is a breakdown of the estimated construction budget and sources for the
Regional Tourism Project:
Pueblo Regional Tourism Authority Funds for 2016 $ 14,400,000
Department of Local Affairs EIAF #8087 $ 947,826
Economic Development Administration No. 05-01-05793 $ 1,031,960
RTA Funds $ 315,734
HARP Foundation $ 152,306
Total $ 16,847,826
The staff of the City and the HARP Authority have been working to secure additional
funding for public utility and other public infrastructure required to complete the project.
BOARD/COMMISSION RECOMMENDATION:
None.
STAKEHOLDER PROCESS:
The Regional Tourism Steering Committee comprised of staff members from the City,
HARP Authority, Pueblo Urban Renewal Authority, and the Greater Pueblo Chamber of
Commerce conducted the following public design and review meetings between
September 2011 and January 2015.
ALTERNATIVES:
The project will not be financially feasible if the grant agreement is not approved with
DOLA and the additional funding is not budgeted and appropriated into Project RTA1601.
RECOMMENDATION:
Approve the Ordinance.
Attachments: Grant Agreement
ORDINANCE NO. 9028
AN ORDINANCE BUDGETING AND APPROPRIATING AN
ADDITIONAL $1,415,866 IN FUNDS TO THE PUEBLO
REGIONAL TOURISM PROJECT NO. RTA1601 AND
APPROVING GRANT AGREEMENT EIAF #8087 BETWEEN THE
STATE OF COLORADO DEPARTMENT OF LOCAL AFFAIRS
AND THE CITY OF PUEBLO, A MUNICIPAL CORPORATION FOR
THE PUEBLO CONVENTION CENTER REGIONAL TOURISM
PROJECT AND AUTHORIZING THE PRESIDENT OF CITY
COUNCILTO EXECUTE SAID AGREEMENT
WHEREAS, the State of Colorado, Department of Local Affairs, has offered funds
through Agreement EIAF #8087, to construct the Pueblo Convention Center Regional Tourism
Project; and,
WHEREAS, the United States Department of Commerce, Economic Development
Administration, has offered funds through Investment No. 05-01-05793, to construct
improvements related to the Pueblo Regional Tourism Project; and,
WHEREAS, on May 11, 2015, City Council approved Ordinance No. 8870, committing
$14.4 million in funds for the Pueblo Regional Tourism Project from the City’s 1992-2015 Sales
and Use Tax Capital Improvement Projects Fund; NOW, THEREFORE,
BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1.
Funds in the amount of $947,826 provided from State of Colorado, Department of Local
Affairs Grant, EIAF #8087, are hereby budgeted and appropriated for said Project.
SECTION 2.
Funds in the amount of $315,734 provided from the Regional Tourism Act Award, are
hereby budgeted and appropriated for said Project.
SECTION 3.
Funds in the amount of $152,306 committed from the HARP Foundation, are hereby
budgeted and appropriated for said Project.
SECTION 4.
Funds for Project RTA1601 total $16,847,826 which includes revenues from the following
sources:
1992-2015 Sales and Use Tax Capital
Improvement Projects Fund $14,400,000
Department of Local Affairs EIAF #8087 $ 947,826
EDA Grant, No. 05-01-05793 $ 1,031,960
RTA Funds $ 315,734
HARP Foundation $ 152,306
SECTION 5.
The Agreement between the City of Pueblo, a Municipal Corporation, and the State of
Colorado, for the use and benefit of the State Department of Local Affairs Project EIAF #8870, a
copy of which is attached, having been approved as to form by the City Attorney, is hereby
approved.
SECTION 6.
The President of the City Council is authorized to execute and deliver the Agreement in
the name of the City and the City Clerk is directed to affix the seal of the City thereto and attest
same.
SECTION 7.
The officers and staff of the City are directed and authorized to perform any and all acts
consistent with the intent of the Ordinance and Agreement to effectuate the policies and
procedures described therein.
SECTION 8.
This Ordinance shall become effective immediately upon final passage and approval.
INTRODUCED August 8, 2016
BY: Ed Brown
PASSED AND APPROVED: August 22, 2016