Loading...
HomeMy WebLinkAbout06151ORDINANCE NO. 6151 AN ORDINANCE APPROVING AN INTERGOVERNMENTAL AGREEMENT BETWEEN THE COLORADO STATE FAIR AUTHORITY AND THE CITY OF PUEBLO WHEREAS, the City of Pueblo (the "City "), in the County of Pueblo and the State of Colorado (the "State "), is a municipal corporation duly organized and existing under the laws of the State and its Charter (the "Charter "); and WHEREAS, pursuant to Section 18(2)(a) and (b) of Article XIV, Constitution of the State of Colorado, the General Assembly has enacted part 1 of article 2 of title 29, Colorado Revised Statutes, as amended, concerning intergovernmental contracts, and WHEREAS, the Colorado State Fair Authority (the "Authority ") is a duly and regularly created, organized and existing political subdivision of the State, existing as such under and by virtue of the Constitution, statutes and laws of the State providing governmental services through the operation of the Colorado State Fair and thereby directly benefitting the City and the inhabitants thereof, and WHEREAS, the Authority is authorized by article 65 of title 35, Colorado Revised Statutes, as amended (the "Act "), to issue obligations payable from revenues received by the Authority as provided in the Act; and WHEREAS, the Colorado State Fair Authority Guaranty Corporation (the "Guarantor ") is a duly and regularly created, organized and existing nonprofit corporation under and by virtue of the statutes and laws of the State; and WHEREAS, the Guarantor has been formed by the Authority for the sole and express purpose of acting on behalf of the Authority, including providing funds to guaranty obligations issued by the Authority; and WHEREAS, the Authority proposed to issue its Subordinate Lien Revenue Note, Series 1996 in the aggregate principal amount of $1,800,000 (the "Authority's Note ") for the purpose of refunding on a current refunding basis the Authority's outstanding Term Note, 1994 -A, originally issued to Colorado National Bank on November 29, 1994 (the "Refunding Project "); the Term Note, 1994 -A was originally issued to refund prior obligations of the Authority which were issued to finance additional public and governmental facilities for the Authority; and WHEREAS, pursuant to the terms of the Guaranty Agreement, dated as of November 1, 1996, from the Guarantor for the benefit of the holder of the Note (the "Guaranty Agreement ") the Guarantor has guaranteed the payments to become due under the Note; and WHEREAS, pursuant to Section 29 -1 -203, Colorado Revised Statutes, as amended, the Authority and the City are authorized to provide for the joint exercise of any function, service, or facility lawfully authority to each of them; and WHEREAS, to provide an economical means to accomplish the Refunding Project, the City has determined and hereby determines that the Intergovernmental Agreement, dated as of November 1, 1996 between the City and the Authority (the "Intergovernmental Agreement ") is necessary for the public health and welfare in order to encourage economic development and a stable employment base within the City, and to encourage the development of the City; and WHEREAS, the City has determined and hereby determines that the activities proposed to be undertaken in the Intergovernmental Agreement are public and governmental services and function for the benefit of the City and the inhabitants thereof, and WHEREAS, the Home Rule Charter of the City provides that the Council may, by ordinance, enter into contracts with other governmental bodies to furnish governmental facilities and services. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1 The Intergovernmental Agreement is hereby approved and the President of the City Council of the City (the "Council ") and the City Clerk are hereby authorized to execute and attest such agreement on behalf of the City with such amendments, revisions and completions not inconsistent with this Ordinance as may be approved by the President of the City Council and the City Attorney. SECTION 2 The officers of the City be, and they hereby are, authorized and directed to take all action necessary or appropriate to effectuate the provisions of the Intergovernmental Agreement. SECTION 3 All action heretofore taken by the Council and officers of the City, not inconsistent with the provisions of this Ordinance and toward the Intergovernmental Agreement, be and the same is hereby ratified, approved and confirmed. -2- SECTION 4 If any section, paragraph, clause or provision of this Ordinance shall for any reason be held to be invalid or unenforceable, the invalidity or unenforceability of such section, paragraph, clause or provision shall not affect any of the remaining provisions of this Ordinance. SECTION 5 All ordinances, resolutions, bylaws, and regulations of the City in conflict with this Ordinance, are hereby repealed to the extent only of such inconsistency.. The repealer shall not be construed to revive any ordinance, resolution, bylaw, or regulation or part thereof, heretofore repealed. SECTION 6 This Ordinance shall be effective upon final passage. ATTEST: r ,L- . - - - 0 J\ City Clerk INTRODUCED: November 11, 1996 By Cathy Garcia Councilperson .•••• � i Presid t of the City Council -3- INTERGOVERNMENTAL AGREEMENT THIS INTERGOVERNMENTAL AGREEMENT is made as of the 1st day of November, 1996, by and between the Colorado State Fair Authority, a political subdivision organized pursuant to the laws of the State of Colorado (the "Authority ") and the City of Pueblo, Colorado (the "City "), a municipal corporation and political subdivision of the State of Colorado. RECITALS A. The Authority hereby represents that it is a duly and regularly created, organized and existing political subdivision of the State of Colorado, existing as such under and by virtue of the Constitution, statutes and laws of the State of Colorado. B. The Authority hereby represents that it is authorized by article 65 of title 35, Colorado Revised Statutes, as amended (the "Act "), to issue obligations payable from revenues received by the Authority as provided in the Act. C. The Authority has provided for the creation of the Colorado State Fair Authority Guaranty Corporation (the "Guarantor "), a duly and regularly created, organized and existing nonprofit corporation organized by the Authority for the sole and express purpose of acting on behalf of the Authority, including providing funds to guaranty obligations issued by the Authority. D. The Authority proposes to issue its Subordinate Lien Revenue Note, Series 1996 in the aggregate principal amount of $1,800,000 (the "Authority's Note ") for the purpose of refunding on a current refunding basis the Authority's outstanding Term Note, 1994 -A, originally issued to Colorado National Bank on November 29, 1994 (the "Refunding Project "). The Term Note, 1994 -A was originally issued to refund prior obligations of the Authority which were issued to finance additional public and governmental facilities for the Authority used by the Authority to provide governmental services. E. The Authority hereby represents that, pursuant to the terms of a Guaranty Agreement, dated as of November 1, 1996, from the Guarantor for the benefit of the holder of the Note (the "Guaranty Agreement ") the Guarantor has guaranteed the payments to become due under the Note. F. The City is a home rule municipality. G. Pursuant to Section 18(2)(a) and (b) of Article XIV, Constitution of the State of Colorado, the General Assembly has enacted part 1 of article 2 of title 29, Colorado Revised Statutes, as amended, concerning intergovernmental contracts. H. Pursuant to Section 29 -1 -203, Colorado Revised Statutes, as amended, the Authority and the State are authorized to provide for the joint exercise of any function, service, or facility lawfully authorized to each of them. I. The City Council is authorized by its Home Rule Charter by ordinance to enter into contracts with other governmental bodies to provide governmental facilities and services. TERMS For good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the City and the Authority, on behalf of themselves and their respective successors and assigns, agree as follows: Section 1. Findings It is the intention of the parties hereto to provide an economical means to accomplish the Refunding Project. The parties hereby determine that this Agreement is necessary for the public health and welfare in order to encourage economic development and a stable employment base within the City, and to encourage the development of the City. Section 2. City Benefit The City Council of the City (the "Council ") hereby finds and determines that the activities proposed to be undertaken hereby are for the benefit of the City and the inhabitants thereof. Section 3. Deposits The Authority hereby requests that (i) the budget submitted to the Council for each fiscal year during the term of the Authority's Note, contain a line item for the deposit on January 15 of each year with the Guarantor by the City out of the City's general fund the following amounts: $235,000 during fiscal years 1997 to 2002, both inclusive, and $135,000 each fiscal year thereafter, and (ii) the Council then determines whether it wishes to budget and appropriate such amount out of the City's general fund, to be used by the Guarantor solely to make payments on the Authority's Note as they become due. The Council shall not be obligated to make any budget and appropriation for such deposit in any fiscal year of the City, nor shall its decision to make any budget and appropriation for such a deposit to the Guarantor in one or more years obligate the City to make any later deposits. The City, acting by and through its Council, reserves full discretion to decide whether to budget and appropriate moneys for such deposits. A decision not to so budget and appropriate will not constitute a default under this Agreement nor shall the Guarantor or the Authority, or its assigns have a right to compel such an action. The Guarantor shall use such deposits only for the purpose of making payments on the Authority's Note as they come due. Section 4. Time and Place for Deposits If the City decides to budget and appropriate the amounts requested under Section 3 of this Agreement, such deposits shall be deposited no later than January 15 of each year with the Guarantor at the following address: Colorado State Fair Authority Guaranty Corporation, Colorado State Fairgrounds, 1001 Beulah Avenue, Pueblo, Colorado, 81005, Attn: President. The City and the Authority may make other arrangements as to the methodology of receiving the deposits from the City. The Authority hereby covenants, warrants and agrees that any such deposits shall be applied only to the satisfaction of the obligations of the Authority's Note. Section 5. No Debt or Indebtedness of the City Nothing in this Agreement shall be -2- construed as creating a debt or indebtedness or multiple fiscal year financial obligation of the City within the meaning of any statutory, constitutional or home rule charter provision applicable to the City. Section 6. Term The Agreement shall terminate upon the payment and discharge of the Authority's Note or the original maturity date of the Authority's Note, whichever occurs first. IN WITNESS WHEREOF, the undersigned have hereunto set their hands as of the date first above written. ATE FAIR AUTHORITY LM ST ATTEST: City Clerk APPROVED AS TO FORM: City Attorneyv I:1 OF PUEBLO IR AUTHORITY TION By Presid t of the City Council -3-