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HomeMy WebLinkAbout14527RESOLUTION NO. 14527 A RESOLUTION APPROVING THE ASSIGNMENT OF A CONTRACT TO BUY AND SELL REAL ESTATE (COMMERCIAL) FROM THE CITY OF PUEBLO, A COLORADO MUNICIPAL CORPORATION TO PUEBLO COUNTY, COLORADO, A POLITICAL SUBDIVISION OF THE STATE OF COLORADO CONCERNING THE REAL PROPERTY AND IMPROVEMENTS LOCATED AT 201 W. TH 8 ST., PUEBLO, COLORADO AND RATIFYING THE MAYOR’S PRIOR SIGNATURE THERETO BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. The Assignment of the Contract to Buy and Sell Real Estate (Commercial) (“Assignment”) from the City of Pueblo, a Colorado Municipal Corporation to Pueblo County, a Political Subdivision of the State of Colorado, dated December 9, 2020, a copy of which is attached hereto, having been approved as to form by the City Attorney, shall be and hereby is approved. SECTION 2. The Mayor’s signature to the Assignment on December 9, 2020 shall be and hereby is ratified. SECTION 3. The officers and staff of the City are authorized and directed to perform all acts consistent with this Resolution to implement the policies and procedures described herein. SECTION 4. This Resolution shall become effective upon passage and approval. INTRODUCED December 14, 2020 BY: Robert Schilling MEMBER OF CITY COUNCIL APPROVED: PRESIDENT OF CITY COUNCIL ATTESTED BY: CITY CLERK City Clerk’s Office Item # Q-2 Background Paper for Proposed RESOLUTION COUNCIL MEETING DATE: December 14, 2020 TO: Council President Dennis E. Flores and Members of City Council VIA: Brenda Armijo, City Clerk FROM: Mayor Nicholas A. Gradisar SUBJECT: A RESOLUTION APPROVING THE ASSIGNMENT OF A CONTRACT TO BUY AND SELL REAL ESTATE (COMMERCIAL) FROM THE CITY OF PUEBLO, A COLORADO MUNICIPAL CORPORATION TO PUEBLO COUNTY, COLORADO, A POLITICAL SUBDIVISION OF THE STATE OF COLORADO CONCERNING TH THE REAL PROPERTY AND IMPROVEMENTS LOCATED AT 201 W. 8 ST., PUEBLO, COLORADO AND RATIFYING THE MAYOR’S PRIOR SIGNATURE THERETO SUMMARY: Attached is a Resolution approving the Assignment of a Contract to Buy and Sell Real Estate (Commercial) (“Contract”) from the City of Pueblo to Pueblo County concerning the real property th and improvements located at 201 W. 8 Street (“the Property”) in downtown Pueblo. The Resolution also ratifies the Mayor’s December 9, 2020 to signature to the Assignment document. PREVIOUS COUNCIL ACTION: On October 26, 2020, by Resolution No. 14498, the City Council approved and accepted the assignment of the Contract to itself and the City. BACKGROUND: Pueblo County desires to obtain the Property in conjunction with the City of Pueblo for future use by both entities as a center for a variety of governmental services. The building located on the Property contains approximately 117,000 square feet. Joint purchase of the Property would allow certain City offices to relocate. Co-location of some City and County offices could be very beneficial to local businesses and residents transacting business with the City and County. Since the acceptance of the assignment of the Contract from the County, the Mayor and City staff have engaged in a “due diligence” investigation of the Property and have met with County Board Chair Garrison Ortiz and County staff to negotiate the details of the proposed co-ownership of the Property. Both the County and the City have requested a short extension of the Closing Date from the Seller of the Property to allow the County and the City to complete their negotiations prior to Closing. Unfortunately, the Seller did not agree to the short extension of the Closing Date. In order to close the purchase of the Property by the December 10, 2020 Closing Date, the County offered to pay $5.5 million to purchase the Property in its name only. Facilitation of the December 10, 2020 closing required the reassignment of Contract back from the City to the County. Due to the time constraints, the Mayor signed the Assignment back to the County on December 9, 2020. FINANCIAL IMPLICATIONS: Approval of this Resolution will not result in any financial obligations for the City. BOARD/COMMISSION RECOMMENDATION: Not applicable to this Resolution. STAKEHOLDER PROCESS: Not applicable to this Resolution. ALTERNATIVES: If City Council does not approve this Resolution, the City’s reassignment of the Contract back to the County will not be approved and confirmed by City Council. RECOMMENDATION: Approve the Resolution. Attachments: Proposed Resolution Contract Assignment dated 12-09-20