HomeMy WebLinkAbout07945ORDINANCE NO. 7945
AN ORDINANCE AMENDING SECTION 2 OF ORDINANCE NO.
7523 APPROPRIATING $25,000 OF THE PROCEEDS FROM THE
SALE OF HARP LOTS AS A RESERVE FUND FOR THE HARP
AUTHORITY
BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: (brackets indicate
text deleted, underscoring indicates text added)
SECTION 1.
Section 2 of Ordinance No. 7523 is hereby amended to read as follows: The
HARP Authority shall not budget the use of these funds for any expenditure and prior to
December 31, [2008] 2009 shall return the $25,000 to the City for redeposit in the Lot
Sales Fund.
SECTION 2.
This Ordinance shall become effective immediately upon final approval and
passage.
BY: Judy Weaver
Councilperson
PRt
A :s r) a
{
C E
INTRODUCED: December 8, 2008
PASSED AND APPROVED: December 22, 2008
L.3
Background Paper for Proposed
ORDINANCE
AGENDA ITEM # 34
DATE: December 8, 2008
DEPARTMENT: OFFICE OF THE CITY MANAGER
JERRY PACHECO, ACTING CITY MANAGER
DOUG FITZGERALD, ASSISTANT CITY MANAGER
TITLE
AN ORDINANCE AMENDING SECTION 2 OF ORDINANCE NO. 7523
APPROPRIATING $25,000 OF THE PROCEEDS FROM THE SALE OF HARP LOTS
AS A RESERVE FUND FOR THE HARP AUTHORITY
ISSUE
Should the HARP Authority be allowed to extend the due date of the $25,000 cash flow
reserve owed to the City Lot Sales Fund until December 31, 2009?
BACKGROUND
Lot #1 on the HARP was sold, and per the Intergovernmental Agreement (IGA) creating
the HARP Authority, these proceeds must be used for capital improvements or
maintenance of the City's HARP facility. The HARP Authority requested (Ordinance
7272) that City Council allow it to use $25,000 of these proceeds as a cash flow reserve
for its operating fund and to be used temporary cash flow needs only. The original
agreement required the HARP Authority to return the entire amount of $25,000 to the
City prior to December 31, 2006 for redeposit in the Lot Sales Fund. In the year 2006,
the HARP Authority contacted the City Administration and requested to extend this due
date to December 31, 2008. Again, HARP Authority has requested an extension from
the current due date of December 31, 2008 to December 31, 2009.
RECOMMENDATION
Approval of the Ordinance.
FINANCIAL IMPACT
These funds will still not be available to earn interest in the Lot Sales Fund for another
year. They will remain with the HARP Authority.