HomeMy WebLinkAbout2010 Ordinance No. 035•
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ORDI NA:S: E :S:O .
. FR IFS OF 2010
ll\' AUT I-I O RJTY
COUN IL BILL NO. 30
INT ROD UCE D BY COUNC IL
MEMBE R JEFFER ON
A:-J ORDl l\AM'I: OF TIi i' IT\' OF ENG LEWO OD A TI-IOR IZING THE
IS U/\NCE OF GENERA L OB LI AT I N REFU 'DI NG BONDS , ER IES
20 10. T REFL.:N D TII E ITY' 0 TST.AN DING GE 1ERA L OBLI GAT IO N
BOND AT A LO \\'ER I, TEREST RAT E: PR OVIDI NG TH E FORM OF TH E
BO 1DS AND OT HER DETA IL IN CONl\ECTIO N TH EREWITH :
AP PR OV ING DO CU MENTS RELAT I G TO THE BO NDS AN D
DECLAR ING A:-J EMERGENCY .
\V I TNESSE TI-I :
\\'HEREA . 1hc C'i 1y of Englewood. Co lorado is a muni cipa l corpora1i o11 du ly orga ni zed
and o pe ra 1i11 g as a home 111 lc ci ty und er Arti cle XX of 1he Co 11sti1uti o11 of 1he Sta te of olorado
and 1he Charter of 1hc Cit y (un less Ol hcr\\'i sc indi cntcd. capitali zed 1cn11 s used in 1hi s prea mbl e
shall ha,·e 1h c mean ing s sc i fo rth in Scc 1io n I nf 1hi s Ordinance): an d
\\'HEREA . pu rs uanl 10 . cc 1i on 106 of 1hc hart cr. the Ci1y may iss ue refunding bond s
hy ordin ance . \\'ith out an ck cli<lll. fo r 1h e purpose of pa )i ng ou tsland ing bond s of 1hc Ci1 y: and
\\'HEREA~. purs uan1 10 Anick X. ec1ion 20 of 1hc S1a1e Co ns1itu1i on (TABOR)
rdimm cing bonded debt at lower int erest r~tt·s does not n:qu irc ,·otc r app rova l in adv:.mcl! und er
the 1enns and prO \'JS i(',JS or TA iJ R: and
\\'HEREAS . 1h c i1y pr cvio us!y issued it., "C 11 y nf Fng k \\'ood. Colo rad o, cncral
Obliga!io n Bo nd s. crie s 2l'0 I" of whic h S4.000 .000 111 aggregate pr incipal :11 nou11t mat ur e 011
and afkr Dece mb er I. 10 I.!. arc c·mTc ntl y ou tstanding and hear in tcrr~t a, rntc:-betw een ➔.60° o
and 5.10° .. per :1111111n (the "Rcfur, ,eel Se ri es "00 1 13 ,,nd s"): and
\\'H i:REAS. 1l1t.· Rt.·:· ,mkd Scrit.:s ::!0 1;! Bond-; an.: sub.ice ! tu redemption prior to matu rit y
,111d thi.: l'lptwn of the L':1,. 1n whoh.: ,1 r 111 p.111 . un Ucl'cmhc1 I ~tll I upi1n pa ~111c111 of'p.11 plu,
,11.:c rucd 111 11.:rc,1 to the n.:dc 1•,j1!1•1 n date .\\ 1thlHll rcdcmp11011 pn:111 .,m .. md
\\ IILR E:\5. the 1,nnc1pal of ,Hld 1111crc•: ,,11 the Rclundcd Serr,·, :Oll i !fond, .1re p!l ),il>lc
,11 l '\ 113 Oan". n.a . (as ~ltcccssur 111 interest l<l A1111,,,nca11 l\a1 u111al ll.11 1~ ,11 ·d I he Banh llf ('hctT)
Cr..:ck \ A.). 111 Di:m·cr. Cnlo ra dn . 0r its successo r. a~ pay mg agent. .uu '
\\'H EREAC: 1h 1.: Ci ty pre vio usly iss ued its "C11y nf I 11gh:\\'lH1d , 'n lormlo. Genera l
Ob li gat ion Bond s. Series :!0 02" of whi ch S5.630.000 111 aggn.:ga tc pnnl..'.1pal amou nt ma tur e 0·1
aml aflt.T Dccc mbcr I. ::!0 1:!. arc cur ·c ntl y out standing anc l hea r 111tcn:,1 at rate ~ betwee n 1.65°11
Jilli 4.7~0 o p1..:1 annum (thi:: "Rcf1111ckd Scncs ~00:! Bllntl s"): and
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\VHER EA . th e Refunded cncs 2002 Bond mat uting on an d after De cemb er I, 2013
arc su bje ct to redempt ion prior to maturit y and the op ti on of th e Ci ty. m wh ole or in pan , on
Decemb er I . 20 12 up n pa)mcnt of par plu s acc rued in tere st to th e redemp ti n da te. with out
rcdcm plion premium : nnd
\VI I EREA . th e principal of an d interes t on th e Re funded cries 2002 Bo nd s arc pa ya ble
at UMB Bank . n.a. (as successo r in interes t to American , atio 11JI Bank and The Bank of Cherry
Creek. A Divisio n of \\'cs tcm 1ati ona l Bank). in Den ve r. olorado, or itc;;; successor. as paying
agent ~ and
WHEREA . th e tife l, Nico lau s & Co mp any, In co rp ora ted . of De,n-er. Co lorad o. has
pre se nt ed a pro posa l to the Cit y to adva nce refund th e Refund ed crie s 200 1 Bonds and the
Refunded cri es 1002 Bonds th ro ugh the issua nce of the ity's General Ob liga ti on Refundin g
Bond s. Series 20 I 0. and th e Co unci l has dctenuined thnt th e ncgotintcd sa le of the Bond s 10 said
co mp any is to the best advanta ge nf th e Ci ty: an cl
WHER EA . net proceeds derived from th e sa le of th e Bond s. toge th er wi th oth er lega ll y
ava il ahl c fu nd s of the Cit y if necessa ry. wi ll be irre voca bl y de pos ited with th e Ban k and pl aced
in to a spe cial fond and tru st accou nt fo r the purpos e on ly of pa)ing the prin cip al of und interest
due an d payabl e on th e Refu nded Bonds on and pri or to the Ca ll Date: and
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IHI EREA . the ity has received and th ere arc avai lab le to th e memh crs of the Co un ci l.
fo ,m s of th e Preliminary Official St 1tcmc nt , th e Bond Purcha se Agree ment. th e Escrow
A gree men t nnd th e Payin g A~cnt Agn:i..;mcnt : :md •
ll'H EREAS. th e Council dc ,ire, to au th ori1.e the issuance and sa le of the Bond s and . as
prcw1dcd in Titk 11. Aniclc 57. Pan 2. Co lm:i tl o Revised Statut es. delegate aut horit y to th e Sale
Dc\cgati.: to mnk c cc11ain de termin atio ns regarding 1h l.! Bonds to he set fo rth in the Sale
Cc11i fi ca tc in accordance\\ 1th th e pro\'isions of 1h is Ordinance.
l'-1UIV . T HEREFORE. BE I r ORD AINE D BY Tl IE Cl rY co NC IL OF TII E CITY
OF ENGLEWOOD. C LORADO. AS FO LL OII '
Se cti on I. Dl•tinil io n~. rh c ti.,l\owin g h.:rms ,hall ha, c 1h c folio,\ 111g mcarnn gs as usL:d
in 1h 1'-nrdirnrn cc·
·· kt" 1rn.:an, 1'.1rt ~ ll f :\rt 11.:k ~., 111' T it le I I . C11 h1r:1d n Re\ 1:-,.c d St,ltut cs. or an ~ succ c.,...,,r
'-l<1tu 1c, thcr..-:t n .
.. /Jall ot J.,~m· .-l11t/um:a 11,,11·· mc1n s the hond halh1t 1,:-.uc appro\cd hy n maJllnt ) of the.;
C i1 ~ ·.., d!.!d C'lr , at the dccti l111 hel d f\lwcm hcr 6. 2()(1 1. and pur..;ua1 11 tn whi ch . in additwn h· nhcr
bond iss ues, th c Refunded Bo nds Wl"fC iss ued .
·-JJt111k .. mea n, U\ 113 Bank. n.a .. a nationa l banking association du ly mgani ,ccl and
ex isting undcr 1hc la"-. nf the t ·nitcd Stat es of America which has fu ll an d co mplet e 11·"'-l powers
and 1s a qualifi ed 111 ~t1tutio n undcr the.: Public Dc.:pu:,,11 P1ntc~1i 0n Acl o f the St ,ll c. •
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·'!Jon,: Acco 11111'' mean s the account es tabli shr:d by the provisio :1s hereof to acco unt fo r
the moneys for which a se parat e tax levy is maoe, c r le ga ll y ava ilc J ie moneys are applied, to
satisfy th e ob li gat ions of th e Bonds. The Bond Acc0 un1 shall bo ~ subsidiary acco unt of the
ap propriat e fund or accou111 of th e Ci ty and separa tely accounted for by th e Ci ty in accordance
with the provisio ns hereof.
"Bo nd Co1 111sef' means (a) as of the da te of issua nce of the Bond s, Ku tak Rock LLP. an d
(b) as of any other date , Kut ak Rock LLP or such oth er auomeys selec ted by the City with
na tionall y recognized ex perti se in the is suance of muni cip al bond s.
"Bond ln s11ra11ce Policy" mchns th e municipal bond insurance poli cy iss ued by the Bond
Insurer , if any in suring the payme nt when a ue of the principal of and int eres t on th e Bond s as
provided therein .
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1B011d In surer" mean s entity, if any, dc sigm11 cd b th e Sa le Certifica te which is to issue
the Bo nd In surance Policy .
"/Jo11d Obliga1io11" mea ns. as of any dnte, th e princip al amou nt of the Bonds Outstanding
as of such date .
''Bo nd P11rch,1 J · ;!grec mcnr'' means th e Bond Purchase Agree ment. pursuan t to which th e
Cit y is 10 agree to se ll 11d th e Un derwriter is 10 a1,'fce to purcha se the Bond s at th e pri ces and on
th e tenns se t forth therein .
"/1011ds'' and ''Series ]0/0 /Jo11ds" means th e Bo nds au th ori zed by the Sec ti on hereof
ti tl ed "A uth ori za ti on and Purpose of Bonds ."
"/J11si11 ess Day" mean s an y da y other th an (a) a Sat urda y or ,;u ndu y or (b) 11 day on wh ich
banki ng ins tituti ons in the Sta te nrc auth ori zed or obligated by law or executive order to be
closed for busin es s.
" lwrr cr" mea ns th e home rule Charter of the it y.
" all Dar e" mean s the date or dates on whic h th e Refunded Bond s shall br called for
o pti onal pri or redemption as es tabli shed in th e Sa le Certificate .
"City'' mc.:an s lhc it y of En~k:woo cl . Co lorado. and any successo r thereto .
"Code" mean s the Internal Re ve nue Code of 1986. as amended . Each refe rence to a
scc ti\\n of the ode herein shall be dee med to include th e nited Stutes Tflasury Regulati ons
proposed or in effect thereunder and app li cable 10 the Bonds or the use of proceeds thereof.
unlc~s th e co nt ext clearl y requires oth erw ise.
'· ·0 111111i1111 c111" means th at ce rtain offer. if an y, 10 iss ue th e Bond In surance Poli cy iss ued
by th e Bond In surer .
.. 01 111 ci r' mean ~ the Cit y Counci l of the ity .
"Co11111y'" mcJns .'\ra paJioe Coun 1y, Co lorado.
··&,-, D,,,. .. "'"'" ,h' ,,,; '"'' d,,., ,.,, foe ,h, &ad, • ••Mlsho, ;,, ,i,, •I• Ccnifica1c.
··Dofe-,,. "'"ri"•·· ·-"""· =;e,.,. or;,,,~,.,""'· .... .,,,,, "' •• ,,.
=ri "• " hleh "" doreo,, ~" o,11,bl, ob,;"""' o f ,h, U,; ,o, '"'• o f.<m,,; , • ,, hl,1, ,,.
fully ood """'"''""'" y ""'""""' " ,o ,h, 1/md y "'smro, o f ,,; ,.;,,., orel lmoo, by ,be l',;,-, '"'" of Am<rio,, ,o 1h, "'"' '" h laeo,m.,,. '"' '=; "°' I "'Olm ""·
me·.,,,, r,,, ,,_,oy r,,,., c,.,,.,,, ,,, ,,,. , ,,, '""'· ,,, '" .. _" in imercs 1 and ass igns .
··n,c """~' ,,,.,, of ''P=,,,,o,;.,,•· moo, ,h , '•'• of "''"""''o"' Im,,, "" c;1y 10 OTC 10 induce OTC 10 ac1 a scc uri 1ie dc posi rory fo r rh e Bonds.
"£,=,, ·•=,,,, .. =••· ;,, .,,,,~,;,, ,S,h ,h , Brod,, ,h, "'"'""' ""b'lsho, '""
do;"'""' • ••h ; " ,h , ~,;,, h..,,f ""'""" "E ~" ''"'""" ,,,, """" ofR ,,,_,_, Bo""''
,ob, m,;,,,.,,,_, by ,h , Bo ,k ;,, •• "'°'~ "'''' •• Esem ,,, '""~"" ,,,, ,i ,. ,co ,;,;.,,
hereof.
1/J c Cny and 1hr Bank . "fa,,,,, A,,.,_,,. mo,,, ,h, E '"" · A""''"'-d,,,,i o, of d,e Oa,o, 0.,,. be,,, .• ,,
of Dc fou /r . ··
'£-,,,, of Def,,,,,. "'"" ,,,, ,, f "" • m, · _, ""' ;,, ,h, s~ ;,,,, ''•oof ,;,io, •·, ,."'" .,
.. ,,,,,.,,,,, ,,,,,,~,, ,,,,,, ... "~"""''' ,,,,,, ' """"'~"·I."'""""''"'""""'''
.o, 0. " soe f, ,.,; da ,o os o,,hll.,ho, ;,, "" So I, Cm, fioo,e fo, ""J "'"'' ,,,. '""=1 "" ,1 ,,
Bonds .
··q(/ic/a/ Statem,•11(' mea ns r/rc lin ,1/ O/l icia/ r:11c111cn1 re/a 1ing '" rhc Bo nds.
"""·""'"'' ,,,. m,,,,,,, os "f '"'.' '""· all .,,,,, '"'"'' .,rn, ,Id'""'' h .' "" c, '.' . ""''
rh1..• follu\, ing;
(,1) any Bond <':111ccllcd b) rh,· Cir_, or rhc Paying Agc,11. or nrhcnvisc on lhc C11y\ behalf: a1 or before sue/, d:11c
(b) any Bond lrc/d by or on bch :/f of rh c C11y:
(c) any Bond fo r 1/1c payn1e11 or r/r c redc111prio11 of 1</r1ch Ill >n c_,s or
D,1,="'• s,_,,ri,;%ffielm, ,o ,,,. , al ol ,h, l'"Jm,,,, "'"'"'"'"" •I ,i,. ,,,,;,,,
,, '"'"' ""'· , f .,,, J. ""' '"'"'"' m soa, om, " ,,,.,,,. of"""""'' m '"" """""'"" "'"•f '""" ''"" "'""'''"• •• ,, ,,,,,,,,,, '" ""·" "" '"'" '"""'" ;,, ·~,,,.,, .. " ,,, ''" .s,,,,,,,, ,,,~,, "''"'' ·o.,e ,.,,, .. , "" •
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(d) any lost. ap paren tly de stro yed, or wrongfu ll y take n Bond in li eu of or in
sub stituti on for wh ich another bond or oth er sec urit y shall ha ve been exec ut ed and
de livered .
"Owuer" means th e Per on or Prrso ns in whose name or na mes a Bond is registe red on
th e regis trat ion boo ks maintained by the Pa yin g Agen t pu rsuant hereto.
"Paying Age nt " mea ns th e Ballk and its successors in intcfC St or a signs approved by the
Cit y.
"l'aying Agent Agreement" means all agreeme nt bet wee n th e Chy and th e Payi ng Agent
co ncerning the duties and obligation s of the Paying Agent with re spect to the Bonds .
"Per111i11 ed fll ves1111 cn1s" mean s any in vc unent in which fu nds uf the ,ity may be
in vested und er the Charter and the laws of the State at th e 111ne of such inve stment.
"Pe rso n'' me ans a co rporatim1 , !i nn , oth er bod y co rpora te , partnership , associa tion or
individual and al o includes an exec ut or, administra tor, tru stee, receiver or oth er representa tive
appo inted acco rdin g to la w.
"Prelimina ry Officia l Statement" means th e Preli minary fficial ta tcmcnt prep ared in
co nn ection with the sa le and iss uance of th e Bonds .
"Principal Payment Date" means December I . or such ot her da te or dates of eac h year us
estab li shed in the Sale crtificatc for pa)1nent of principa l of th e Bonds.
"Record Date" means. if th e Int ere st Pa)sn ent Date is on th e fi rst da y of th e month . rne
fift ee nt h day of the month immediately preceding th e month (w heth er or not such day is a
Bu si ness Da y) in which such ntcre st Pai,nent Date occurs and , if the Int erest Pai,ncnt Date is
on th e liftcP.n th day of th e month , the fir st day of th e month (whether or not such day is a
Bu siness Day) in whic h such Intere st Pa)s ncnt Date occ ur~.
"Refwuicd /Jond Rcq11irc111 en1s" means the principal und intere st due in connec tion with
the Refunded Series 200 I Bo nd s and th e Refunded Seri es 2002 Bonds un til paid and cancell ed in
accordance with their term s or ca ll ed for redempti on, paid and cancelled 011 the all Dntc .
"11~(,mdctl /J o11d Ord11l!111c,•" mean, the ordrnancc or ordinance, of the Cit y au th ori,ing
the is suance of the Refunded Bond s.
"Ref111 l!h •d /J onds" 11,cans tbc Refund ed cries 2001 B,mds and the Refunded cries 2002
Bonds, as later dc tcnni ned by the Sa le Ddegmc and idcn11fi cd in the Sa le Certificate as the
Refunded Bond s.
"R~(,mdcd IJ011ds Paying Agc111" mean s U~IB Bank , n.a. (a s successor in intere st to
American Na tiona l Ba·1k and fhe Bank of hcrr y Creek . NA. ai,d The Bank of hcrry Creek, a
di, ision of We stern Na ti onal Bank), in Denv er. Co lo rado, us paying agent for the Refunded
Bonds, or uny successor th ereto .
·'Ref1111ded Seri es 2001 Bonds" mea ns the Cit y of Englewood General Ob li gation Bonds. •
Se ri es 200 I, maturin g on an d after Decemb er I, 20 12.
·•R~(11nded Series 2002 Bonds" means the Cit y of Englew ood Ge ,tera l Obl iga tion Bon ds.
Se ri es 2002 , maturing on nnd aft er Decemher I , 20 12.
"Refimdin g Project" means th e adva nce refundi ng of th e Refu nd ed Bond s and th e
payment of th e cos ts of issuance of th e Bond s.
"Sale Ce nificare•· means the ce rtifi ca te exec uted by th e Sale Del egate under •h e authorit y
del egated pursuan t 10 thi s Ordi nance , including but nm limit ed 10 th e Sections hereof titled
"Bond Detail s," "Redempti on of Bond s Pri or 10 Maturit y", "Escrow Account ; Pa yment of
Refunded Bond s,'' "Approval of Relat ed Doc ument s" and "Bond In sura nce Detenninat ion"
which set fo rth , among othe r things, the rate of interest on the Bond s, the co nditi ons on whi ch
and th e pric es -· · ·hich the Bond s ma y be redeemed before maturity. th e pri ce at whi ch the
Bond s will be s the Dated Date , the amount of prin cipal maturing in any part:c·Jl ar year, th e
dates on whi ch prin cipal and int eres t will be paid . th e Refunded Bond s 10 he included in the
Refun di ng Project, th e Ca ll Dat for th e Refunded Bond s, whethe r or 1101 the Bonds will be
secured by th e Bond In suran ce Poli cy and th e lcnn s c , any agreement with th e Bond In surer if a
Co mmitment is acce pted rega rdin g th e Bond s.
"Sa le Delegate" mea ns the Direct or , ,· Fin anr and Ad mini strafr.,c Services of the City
or. in th e event such person is un avai lable . th e Cit y ManJger.
" rar e" means th e State of Co lora do .
"Tax Lener of ln srr11 crio 11 s" mea ns th e Tax Lener of ln s1ruc1 ions. dated the date on whi ch
th e Bon ds arc origi nally iss ued an d deli ve red 10 th e Cit y by Bond Co un se l, as such in stru cti ons
may be super se ded or am ended in acco rdance with th eir 1cnn s.
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1 U11de 1wri rer·· mean s Sti fel , Nicolau s & Co mpany, In co rp orat ed. of Den ver, Co lorad o.
Sec ti on 2. Auth oriza ti on and Purpose of Bond s. Pursuant 10 and in accord ance \lli th
the Ac t an d th e Chart er. th e Cit y hereb y au thorizes, and direc ts th at there shall be issued. th e
"Cit y of Englewood. Colorado . General Ob li ga tio n Refund in g Bonds. cries 20 10" for the
purpo se of pro\'idi ng f'und s for the Refunding Project. The ca p11on tor the Bo nd s al so shall
include ''Seri es 21 , IO Bond s" or "Serie s 20 11 Bond s" depend mg on th e actua l date of issuance nf"
the Bonds
Sect ion 3. Uo nd Deta il s.
(a) Reg i.\·tercd For m, De11o mi11 ati01,.,·, /)atetf Dat e and Num berin g . The
Bond s sha•· e iss ued in ful ly re giste red fo mt, shall be dated as of th e Dated Date , and
sha ll be reg iste red in the name s of the Perso ns identified in the regis tra ti on books
111ai111n med hy the Pa yi ng Agent pu rsuant hcrelO . The Bond s sh9!; be iss ued in
denomina tions of$5.000 in principal an. uni or any integral multiple th~rcof. The Bond s
shall be co nsec utivel y numbered. beginning wi th the numb er one . prceedeo by th e leu er
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(b) Mat11rity Dates, Pri11 cipal Amo11 11ts a11d /merest Rates . The Bon ds sha ll
mature on th e Prin cipa l Payment Dat e of th e yea rs and in th e princip al amounts, and sha ll
bear int eres t at th e ra tes per annum (calcu lated based on a 360-da y yea r of tw elve 30-day
month s) et fo nh in th e Sale Cen ificate.
(c) Accrual a11d Dates of Paymen t of Interest. Int erest on th e Bond s shall
acc ru e ut th e rat es set for th in the Sale Cenifi ca te fro m th e later of th e Dated Dat e or the
late st Interest Paym ent Date (or in the case of defaulted interest. the lates t dnt e) to whi ch
int erest has been paid in full and shall be payab le on each Interes t Pa ymen t Date.
(d) Delega ti o11 for Sa les Certificate. The Counci l hereby de lega tes to the
Sale Delegate fo r a period of six month s fr om th e date of adu,>tio n of thi s Ordin ance the
follo win g (w hi ch shall be se t fo nh in th e Sa le Ce n ificate fo r the Bo nd s):
(i) th e Dated Date of th e Bond s;
(ii ) th e Principal Payment Date ;
(iii) the Int erest Payment Date;
(iv) the aggregate principal amou nt of th e Bond s;
(v) th e pri ce at whi ch the Bond s wi l! be so ld p•Jrsuant to th e Bond
Purchase Ag reement :
(v i) th e amoun t of principal of th e Bond s maturin g in any panicul ar
year and th e res pe cti ve interest ra tes bome by the Bond s;
(vii) the Bonds wh ich ma y be redeemed al th e opti on of the Di strict , the
dates upon whi ch suc h optio nal red empt ion may occ ur , ani' ·'1c pri ces at whi ch
such Bond s ma y be opti ona ll y redeemed : and
(viii) th e prin cipal amo unt s. if any. of Bond s subje ct 10 mandatory
si11king fund redemp ti on and th e years in whic h suc h Bond s will he su bj ect 10
such rede mpti on.
(c) Sa le Param erers . The au th ori ty delega ted 10 the ale De lega te h) ,:1 1.,
ection sha ll be subJec1 w the follow in g parameters:
(i) the aggrega te principal amount ol th e Bond < shall not exceed
S10.750,000:
(ii) the fina l maturi ty of the Bonds slrn ll be no lat,:r than De ce mber 31,
2025:
(iii) the net effect ive intere st rate on the Bo nds shall 1101 exceed 3. 75%;
(iv) the maximum annual debt service on the Bonds , when combined
with the annual debt service for other outstanding general c-b li gation bond s issued •
pursuant to , or representing general obl igation bonds refunding bonds issued
pursuant to, the Ballot Issue Authorization shall not exceed $1 ,300,000 ; and
(v) the present value savings as a percentage of the aggregate principal
amount of the Refunded Bonds shall be at least three percent (3%) computed
based upon the arbitrage yield for such series of Bonds to the date of delivery of
th e Bond s, ass uming semi-annual compounding.
(I) Manner and Form of Paym ent Principal of each Bond shall be payable
to the Owner thereof upon presentation and surrender of such Bond at the principal office
of the Paying Agent in the city identified in the definition of Paying Agent in the Section
hereof titled "Definiti ons" or at such other office of the Paying Agent designated by the
Paying Agent for such purpose. Interest on each Bond shall be payable by check or draft
of the Payin g Agent mailed on each Interest Payment Date to the Owner thereof as of the
cl cse of business on th e corresp<.,nding Re .:ord Date ; provided that interest ·•o• •lile to any
Owner may be paid by any other means agreed to by such Owner and the . ing Agent
that ,toes not require the City to make moneys ava ilable to the Paying Agent e..rlier than
ot'nmv ise req uired hereunder or increase the cos ts borne by the City hereunder. All
p•yr.• ·r,•s of the principal of and interest on the Bonds shall be made in lawful money of
the ur, led States of America .
(g) Book-Entry Registration . Notwithstanding any other pro vision hereof,
the Bonds shall be delivered only in book entry form registered in the name of Cede &
Co ., as nomine~ of OTC, acti ng as sec urities dep os itcry of the Bonds and principal of
and interes t on the Bonds shall be paid by wire transfer to OTC; pro vided , however, if at
any time the Payin g Agent determines , and notifi es the City of its determinati on, that
DTC i; no longer able to act as , or is no longer satisfactori ly perfo,m ing its duti es as,
securities depository for the Bonds . the Payi ng Agent may , at it s discretion , either
(i) designate ~ sub sti tute securities depository for DTC and rercgister the Bon ds as
directed by such sub stitut e sec uritie s depository; or (ii) terminate the book entry
registration system and reregister the Bonds in the names of th e beneficial owners thereof
provided to it by OTC. Neith er the City nor th e Paying Agent shall have any liability to
OTC, Cede & Co ., an y sub stitute sec uriti es depository , an y Person in whose name the
Bond s are reregi stered at the direc:i on of any sub stitu te securities depos it ory , an y
beneficial owner of the Bonds or any oth er Person for (A) any determi nati on made by the
Pa ying Agent pursuant to th e pro viso at th e end of the immedia tel y precedi ng se nten ce or
(B) any action tak en 10 implement such determination and the procedures related th ereto
that is taken purs uant to any directi on of or in relian ce on any information provided by
OTC , Cede & Co ., any substitute secun ties depository or any Person in whose nam e the
Bond s are re rer,is tered .
Section 4. Redemption of Bond .: i:'rior to Maturity.
•
(a) Optional Redemption . The Bonds shall be subject to redemption at th e
optio n of the City , in whole or in part, ,md if in part in such order of maturities as the City •
48 18-364~951.2
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hall det em 1ine and bv lot within a maturi tv on such dat es as set fonh in the Sa le
Ccnificate . The Co un ~il her eby del egates to 1i1c ale Delegate the authority to dctennin e
the date s on wh ich the Bond s shall be subject to opti onal redemption and the redem pti on
price or price s at wh ich such red emp ti on ma y be made.
(b ) .\la11datnry S i11ki11 g f 1111d Retiemptin11 . \II or m,y principal amount ol
the Bond may be subject to mandat ory si nking fu nd redemp tion by lot on the Prin cipal
Pa)incnt Dat e of the years and in th e principal amout11 s spc ctfied in th e ale Ccnificatc.
at a rede mpti on pric e equal to the pri ncip al amo unt th ereof (\1 1th no redemp ti on
pre mium ), plu s acc rued it11eres1 10 the rede mpti on date . The Co un cil hereby delr •;ate s 10
the ale Delegate the authority 10 dc1em1i nc th e principal am ,1111 s and dates on whi ch th e
Bond s shall be subject to mandatory sinking fund redempti on.
(c) Rl'de 111p1i o11 Pro ce d11re .1·. otice of an) redemp ti on of Bor.ds sha'I be
given by the Payi ng Agent in the name of th e City by se nding a copy ,,f such notice by
firs t cla s . pos ta ge prep aid mail. not more than 60 da ys nor less than 3(\ Jays pri o, to th e
redem pt io n date. to th e Owner of each Bond being rede emed . uch noti ce shall spe cify
the num be r or numbers of the Bond s so to be red ee med (if red cm pt :o n shall be in part)
and the red empti on <late. If any Bond shall hav e been dul y call ed fo r redemption and if.
on or before the redempt inn date . there shall have been depos ited with the PJ ying Aget11
in acco rdan ce w1th th is Ordinan ce fu nds sufli ci1 :nt to pa y the n.::dcmption pr ic e of such
Bon d on the redempti on date. then such Bond sh all become due and pa ynble m such
red emp tio n da te . and from and after such dat e i;!tcrcs t will \.':case to accni.: th ereon .
Failure to deli ver an y redem pti on no ti ce or any defe ct 11: any n:clc mpti on noti ce shal l not
affect th e valtdi tv of the prncecding for 11,e redem pti on of Bonds wi th respect 10 which
~ul..'.h fa ilure or dl!foct did no t occur. Any Bond rcclccml.!d prior to it s nrnturit y by pri or
redempt io n or othcT\I isc shall not he rei ss ued and shall h, ca ncelled .
Sec ti on 5. Sec urity for the Bonds .
fa) Ge 11 era l Ob/igati11 11s . n,c Bc,nd s sha ll be gen er.,I ohltga ti nns of th e Ci ty
and the full fa it h and credit of the City arc pledged for th e pu nctual pa )sn cnt nf th e
prin cip al of ,md in h..:n:st on thl! 13ond s. rh c Bl,nds shall not co nstitut e a dc ht t)f
ind cht1.·dncs:-. i1 f the Co un ty. th i.: Sta te or an :. politi ca l ...,uh d1visll'll of th l: Sta te oth er th an
the l 1ty
th) L,•,·y nf .1d I 'ulon1m /'11 x,•\ I \\f th..: purp l"-C l,I pa ymg. the prin..:ipal \,I
and lllll.!TCSl un the Bnnd -. \\ h1.:n due n.:~p.:ctivcly. the llHHn.:il shall annua ll y c..h..:h.:nninc
and ccrt1f) to ,hi.! Board ol Count:, Co m111 1,.,u,ncr, ,,r thl! t\,lmty. a rntc ,,f lc \'y !(1r
gl'nl!rn l ad va lorc m ta,c~. with ou t lm11 tat il111 a:,; to rate or anwunt. on all of thl! taxnhlc
propl.!11~ 1n the ( ll )'. -..u rti c1cnt to pay th~ pri111..:ipal of aml intl'rc-.t 1lll thc Bnnd~ when due .
rc sp ,·ct1, d~. whd hcr at nrnll!nty or u1wn earlier red em ptio n.
(c) App/ic11tio 11 of Pmceet/.1· ,if..t tl 1'11/orem TtL,·,•s . rh c general ad ,alorcm
ta,cs :1:v1cd pur.:.uant tn suh sccurn1t(h) o fth 1~ Sc1.:ti l111. \\h~n collected. shall h..: <kposi tt.J
m the Bond .\ccount and ~hall he ap plied ~l1lcl~ hl the p ,t)ll\l'lll nf thi.: pnm:1pal of and
()
interes t on th e Bond s and for no other purpose until th e Bonds , including prin cip al and ~
int erest, are full y paid , sa ti sfi ed and di sc hargeo . W
(d) Appropriatiu11 a11d Budge ting of Pro ceeds of A d Vafore m Tax es.
Moneys rece ived from the genera l ad va lorem taxes le vied pursuant to suh sec ti on (b) of
thi s Sec tio n in an am ount suffi cient to pay the principa l of rnd interest on th e Bond s
when du e, res pecti ve ly, are hereb y appropria ted fo r th at purpose , and all amou nt s
req uired to pay th e prin ci pal of and intere st on the Bond s du e, res pect ive ly, in each year
shall be in clud ed in th e ann ual budget and appropri ati on ordin anc e to be ado pted and
pass ed by the Counc il fo r such year.
(e ) Use or Advan ce nfOth er l ega lly A 1•ailab /e Mon eys. Nothin g herein shall
be interpre ted to prohibit or limit th e ab ility 0 1· th e City to use lega ll y availab le money s
other than th e proce ,·ds of the ge neral ad va lorem taxes c,wenant ed to be levied pur sultnt
to th e Bond Ordinance to pa y all or any porti on of tl•e prin cipa l of or int eres t o .. th e
Bond s. If and to the extent such oth er legally ava il able moneys are used to pay th e
pri ncip al of or int ere st on the Bonds , the Cit y may, but shall not be re~uired to, (i) redu ce
the amou nt of taxes levied fo r such purpose pursuan t to subsec tion (b) of thi s Section or
(ii ) use proceeds o f taxes levied pursuant to subsection (b) of thi s Sr n to re im burse
the fund or acco unt fro m whi ch such other 1aga ll y ava il abl e money Nithdrawn for
the am o u:11 wit hd raw n fr om such fund or acc,1unt to pay th e prin cipal o, c 1 intere st on th e
Bonds. lfthr Cit y selects alt ern ati ve (i i) in th e imm edi ately preced ing se nt,·•1 ce, th e tax es
levied pu rsu&.,t to subsectio n (b) of thi s Secti on shall include nm ount s suffi r ' 111 to fund
the reim bu rse ment.
(f) Ce rtijicatim , to Co 1111ty CfJ111111 issio11 ers . It is hereby declared that . if th e
City does not othe rwi se de tennin e an d ce rtify to th e Boa rd of Co unt y Co mmi ss ioners of
the Co unty a rate of levy fo r ge nera l ad va lorem pro pen y ta xes as required by
sub sec ti on (b ) of thi s Sec ti on, th e fo rego in g provis ion s of thi s Sec ti on shall co nstitut e a
certifi ca te ti om the Counc il to th e Board of Co unt y Co mmi ss ioners of th e Co unt y
showi ng th e agb'l'ega tc am ount of ad va lorem taxes to be lev ied by the Boa rd of Co unt y
Co mmi ss ioners of th e Co unt y fr om tim e to tim e, as required by law , for th e pu rp r,s c of
pa yi ng th e pri ncipa l of and int ere st on the Bond s when du e.
(g) Dt!posit of 1Ho11 cys to Pu y Bonds hlith , anti Puym enr of Bonds by Paying
A/lent. No later than three Bu siness Da y!-immedi ately precedin g ea ch da1c on whi ch a
pa)o ncnt or prin cipa l of or int eres 1 on the Bon ds is du e, th e Ci ty, from moneys in th e
Bond Account , sha ll depri sit moneys wi th th e Pa yin g Agen t in an amount sufficient to
pa y th e prin cip al o f and in terest on th e Bond s du e on such date . The Pa yin g Agent shall
use the moneys so depos it ed with it to pa y th e prin cipa l of and int eres t on th e Bond s
whe n due .
•
Scc ti• 1 6. For m of Bond s. The Bond s shall be in sub stanti all y th e fonn set fo rth in
Ap pendix A erc to with su ch changes theret o, not in co nsis tent herew ith , as ma y be necess ary or
des irabl e and app roved by th e of'fi cials of the it y exec,11ing the same (w hos e ma nual or
fac simi le signatur es th ereo n shall co nstitut e conclu sive ev id ence of such ap pro va l). All
covenant s, statement s, representatio ns and a ·1rccm l!nts co ntained in the Bond s arc hereby •
-1 818-3 6-1 6-695 12 10
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app roved and adop ted as the cove nants, statement s. repre se nt ati ons and agreeme nt s of the Ci ty .
Alt hough attac hed as append ices fo r th e co n,·enience of the reade r. Ap pendix A is an in tegral
pan of this Ordin ance and arc inco rpora ted herei n as if se t fon h in full in th e bod y of thi s
Ordin ance.
Sec ti on 7. Excc uti o.1 of Bonds . The Bonds sha ll be executed in th e name and on be lmlf
of the Ci ty with the manual or facsimi le signa lllre of the Ma yo r. shall bear a manu al or facsimile
of th e sea l of the Ci ty and shall he attes ted by the manual or fac simile sign ature of the Cit y Clerk
0f the Co uncil. all of wh om nre hereby auth oriz ed and directed to prepare an d ex ec ute the Bonds
in acco rdan ce wi th th e requirement s hereof. Shou ld any officer whos e mnnu al or fac simi le
sib'll aturo appears on th e Bond s cease to be such offic er before delivery of any Bon d. such
manual or fa cs imile signature shall nevenhe less be \'a lid an d s uffi cient for all purposes. When
th e Bond s ha,·e been dul y executed . the officers of the Ci ty ~re auth orized to. and shall, del i\'er
th e Bond s to the Pa ying Age nt for au th enti ca ti on . No Bor,d ::hall be secured by or titled to the
be nefit of th is Ordi nance. or shall be va lid or obligat ory for '"'Y purpose , unle ss the ce nifi cate of
au th ent ication of th e Payin g Agent ha s be en man ually execu ted by an auth ori zed signat ory of the
Payi ng Agen t. Th e executed ceni fi cm c of aut hent ication of th e Pa ying Agen t upo n any Bond
sha ll be co nclu sive e,·idencc , and th e only com petent e\'idcncc. that such Bo nd has bee n properl y
auth enticated and Jcli l'c rcd hereun der.
·cc ti on 8. Rcg islrati on of Bonds in Rcl,!iStrnt io n Book s i\lain tllincd h~• Pa~·inj!
Agc nl. Th e Paying Agc n1 shall mai ntain reg istrat ion book s in whi ch th e ownership. tran sfer and
exc hange of Bon ds sha ll be recorded . The person in whose name any Bond shaJI be re gistered
on such regi strat ion boo k ~hall be dct.:'m cd to be the ~bso lut e own er th ereo f for all purposes .
whethe r or not p:1y11 1t" 1 on any Bond shall bl! m·crduc. and ncithc r the City nor the Payi ng A ge m
shall be affected I· ,) noti ce or other infonnatio n to th e co ntrnry.
Sectio n 9 . Transfe r a nd Ex chan ge of Bond s. The Bo nd s may be tran sferred llr
t..'xch an gcd at thi: princip al oflicc of th e Pa ying Agen t in the cit y ickntiti cd in the defi niti on of
Payi ng Agl!nt 111 tht.:' Scc 1ion hereof t1tlc<I "Oc tini1 ions·· or at such oth er offic 1.: of the Pa~~ng
.-\gent designat ed hy th e Paying Agent for such purp ose for a like agg rega te princi pal amount of
Bo nd s of ot her au1h ori1.ed denominati ons l)f th e sa me matur ity and in tere st rate . upo n pa :1nc n1
hy th e tran !-ifcn.·l: of a n.:a sn nahlc tran sfer fee c~ta hli shed hy the Payi ng Age nt . togc thcr ,, 1th an y
tax or go\'e rnment:il charg l' required to he pa id wit h rl·s pcct to suc h tra nsfe r N cxdian gc and an y
1.·ost 0 1 pnnung homJ.., 111 1.:011111.\..lkm there,, 11h . l 1pcm surrender !Or tra nsfe r of anv Bone.I. du ly
cmfo, ,cd for trnn..,fcr l,r ,1crnmpan icd hy ;111 ass ignment dul y cxc1.·u 1t:::d hy the Ow ne r or h1 :-. or hc1
attorney duly au tl wr11cd Ill wnting . 1he City sltJII e,ccu tc ,md the Pa ;111 g :\gent ..,!J,111
1111 11e1111eatc ,md deli , cr in th e name llf Ihc tran sferee a new 13unJ . \:otwith sinndin~ any flt her
p 1()\1~1on hcrenf. th e Payin g Age nt :-.hall 11 0 1 he required to trnn'-rer an) IJl)nd (i) \\hic h 1s
sc hedu led 10 he redeeme d in ,, lw lc llf in par1 bet wee n the Bu '-mc,, Da) 1m111ecli:itc ly pre cedi ng
th e 111 ~1i\in g of the noti ce of redempt ion an d the.: rcdc mpu on d ~he or {11) bet\\ 1.'L'.ll the Recl)n_l Date
fi.>r any Inter est Payme nt Dute and such Int erest Pa ymr.nt Da te.
Seclion 10 . Repla cr mcnt of 1,osl, Des lro )'c d or Stolen Uond s. If any Bond shall
h...:i.:011 11.: lu~I. .ipp arentl y destroyed. sK-.len nr wro ngfull y tak.c n, it ·nay be repla ced in th e fonn and
tenor of t11 e lt'l•-t. de,tn•: cJ. stole n or take n Bond t.111d th e Ci ty '-hall execu te and the Paying Agent
shall ::llthcnt ica tc an d delive r a rc plac•••n,•n t Bond up on the Owner fum1 sh111g , to the sa li ~faction
II
of the Paying Agent : (a) proof of ow ner hip (which shall be ,.,own bv the regi ~trati on books of •
the Paying Agent). (bl proof of loss. destruction or th eft . (c) an indemnit y 10 th e City and th e
Payrng Agent with re spect to the Bond los t. destroyed or t<1ken . and (d) paimcnt of the cost of
prep aring anrl cxecu 1i·1g the new Bond.
ccti on 11. Crcar io n of Bond Acco unt ; FundinJ! of Refundin g, Projec 1.
(a) Creatio n of 80111/ Acc o1111 r. Tlwre is h, eb y established the Bond
Accou nt. Th e foregoing dcco unt shall be mainta in ed by the City in accordance with 11,c
provisio ns of this Ord in ance.
(b) F1111 di11 g of Refi 111di11 g Proj ect . pon P""'·''"! to th e Cit y of th e purchase
piicc of the Bonds in accordance with the Bond Purcha se Ag:•·c n1t ·11 1, the RrnJ, -he !I ',,•
ddi\'ered 10. or as di rectd by. th e Undcrwiiter and th e p,occc<l, rccch ed by the Cit;
fr om the sa le of the Bonds. toge the r wi th legally a\'ailable mo neys of th e it y ava il able
fo r such purpose, ,iiall be .,pplicd as II supplemental appropriati on b) th e Ctt'-' for the
pa),n'-n t of the COS\S of i sua ncc o f the Bond s and to the E~c rr,w Ac ount r :,:i , ·· • nf
the Refunded Bond Requirement s 111 ac co rd ance with Ill e · ~·,o ,l of a i'1.?'iir1:d 1 1bhc
accl1un rnn t as required hy the pro \'i s;'1 ns hereof.
Sec ti on 12. Es cr ow Acco unt : Pa y m ent of Refund ed Bonds .
(a) £swbli.,·l1111t!nt tmd 1Hai11tena11 ct' of E.,·cro 11 · At·co u11 t. Tl1cn.: 1s hcn:1,,
c<,tabl ishcd a speci al acco un t de signated as th..: "Refun ding Serie s 20 1 l l Ronc1s l:sl!row •
Accou nt ... which shall hl! nwintaincd in ncco rclanl!e with the pro vi:-.ion s hereof anrl of tlh.'
Esc row Agreeme nt. Tlw Esc row Account shall be main tain c:i in an amo unt nt th e time of
the ini ti al deposi ts the1 ..:in and at all times sub sequ ently at lea st sul fli..:icnt. tuge thcr wi th
the kn own minimum . ~dd to he dc rh ed from the initial i1wcstmcnt and any temporar~
rei 1n-e stmcnt of the dcpl'Si ls thcrl!i n or an y part there of in Ddi.:asa ncc Secu rities 10 pa ~
the Refunded Bond R'.' .1ui rcmcn1 s. Ex ce pt as may be othcn, isc pro vi ded in the E::c rm,
Agree ment. 1hc Cit y :-.hull havl! no right or title to thl' moneys credited to nr hd<l in the
Escrow Ac cou nt. :md such 11 11'.; shall be and is hc rl!by tra ns fer red lo the Bank 111 tru st for
the pn~111 cn1 of th i: Refund ed Bond Rrqmrem cnt s pur~ua nt to the Escrow Agreement
\1on,:ys shall be \\1thdrawn b~ the Bank from th e E"c row r\ccmml on the Cn ll Dal e hl
pl·n nit 1h c p:1~111en 1 \\'1t hout dl'foult l'f th l' RL't'tmd l'd l3nnd Rcquircml'nt s. If tl,r :111)
rea,on the a11101 mt in th e Fstrnw Account -:hn ll m an ; tune he in suflicient for the purpn c;e
hcret1I. 1h1.: C ·11~ :-.ha ll forth\, 1th from the lirst 11w11cys a\:ulahlc th i:rcfor deposit 111 ~ui.:h
an:ount such addita mal 11w1h:ys :is shall be 1H:cc•;s ary to pi:nnit th e r :!)'lllCllt 111 full of th e
Rcli,nded Bnml Requ iremen t,. The Co un cil hereby dd cga l<'S I \\ th e Sa le Delega te th e
au thont y to de ten nin c the Refund ed Oond s to he inch1(kd in th i: Refu ndin g Proji:i.:t.
(b) Call of l/,'fi111ded IJ11mls. Subject to th e iss ua nce o f' the Bond s. tho:
Cou nc il docs hereb y dccl:.ire it s inte nt to cxcrci ~c on behalf o f and in 1hc name {lfthc Cit ~
It s opti on to redeem or pa y and cancel all of' the Refunded Bond s nn th e Call Date . whi ch
1s the c~,rlicst date or da tes on wh ich the Refunded Bond , ca n he calkd and redeemed .
rl1e loun1.:1l hl'rd,~ aulhPri,e-. the Sale Dclegai r' drterminc 1he Call Date and I(\
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irrevoc abl y instru ct th e Bank to give or c,,u sc to be give n a noti ce of refunding .
defc as an cc and redempti on of the Refund ed Bond s.
ection 13. Inv es tment s. Proceed s of the Bond s dcl,vercd to the Cit pursuant to the
S,,ctio n hereo f titled "Creati on of Accou nt s: Initi al Cred it s to Acco unt s," mon eys on dep osit in
the Bonr l Account and any mone ys he ld by the Payi ng Agent with re spect to the Bond s shall be
invested in Pcm1itted Investment s. prov ided th at th e inves tment of s uch moneys shall be subject
to any appli cabl e re stri cti ons se t fo nh in th e Tax Letter of In stru cti ons and in th e "Tax
Co mp liance Cc nificatc " or simil ar ccnifi catc delivered by the Cit y in co nnecti on wi th the
issu ance of the Bonds th at de sc ribe s th e ,..it y's ex pcc toii ons reg ard ing th e use and investment of
procee s of th e Bonds.
cc ti on 14 . Vari ous Findings , Deter mination s, Declaration s and Covennnt s. TI ~t:'
Co uncil. hav in g been full y infonned of and hav in g co nsidered all th e peninent fa cts and
eircu m ta ncc . hereb y find s. det en11inc s. de clare s and coven ant s with the Owners of the Bond
that :
(n) it is in the best interes t of th e Cit y and it s res ident s that th e Bond ~ be
au th ori zed . so ld . i sued and delivered 31 the time. in the mann er and fo r the purpos es
pro,·ided in thi s Ordin ance:
(b) th e iss uan ce of the !~ond s will not cau se the ity 10 exceed it s debt lim it
un der app li cahl c State law:
(c) th e DT Bl anke t Letter of Rcprcs cnt 111ions ent ered i111 0 with DTC wi ll
govl!m the boo k cn1r y regi strati on sys te :n fo r th!.! Bond s; and
(d) th e iss uance of th e Bond s and all procedu res und cnak en incident th eret o
arc in foll compli ance and co nfo nnit y wi th al l applicable requirement s. nro visions an d
li mitati ons pr esc ribed by th e han cr. the Co lorad o Co nstituti on and laws ot' the State.
Sectio n IS. Fe dera l Inco me Tax Co ve nant s. f-o r pu rposes nf l!nsuring th at th e int ere st
on th 1..:: Bo nd s is and remain s exc lu ded from gross in co me fo r federa l in co me tax purposes . th e
Cit y here by cove nant s lhat :
(a) Prohihitl'tl Action s . !'h e Ci t: wi ll 1101 use or pcnn11 th e use of any
pn,cecds of the Bo nd-. or any other funds of tht: Ci t~ fillfll whatc\ a source de ri ved.
direc tl y or i11 dircc tl y. to ac qu ire tiny sec uri ti es or ob lig at1 ons and shall 11t1t take or pl!nn it
IO be tak en any oth er :.h.:tt on or ac uons. \\ hic h woul d ca use any Bo nd to be an "a rbi trngc
bo nd " wi thin the meanin g of Sec ti on 14 of th i.: ode. or wou ld otlu.:r\l'i sc cau se th e
1ntcrc~t on any 8 01.~1 to he inclt:d ibl c in gross i:1comc fo r federal in co me t:.x purp o:,,cs.
(b) 1lffir111 ati1•e Action s. Th e Cit y will at all tim es do and pe rfo rm all acts
pcrmined by la w that arc necess ary in orde r 10 ass ure 1h at int ere st paid by the it y on th e
Bo nds shall not be inclu dih lc 111 gro ss inco me for fcc h:ra l income tax purpr,sci. under th r
Code or any ot her \'alid prov ision of law. In part ic ul ar. but with out li1111 t.1tio n. 1h e Cit y
re prese nt s, \\'arrnnt s and cove nant s 10 com pl y with the fol1 1.J\\ ing ru les unkss it rcce i \'CS
an opini on of Bcmd C<,dn sc l staring that such co mplian ce is not n~ccss ary: (i) gross
I}
proceeds of 1he Bonds will 1101 be used in o 111nnn, that "ill cuuse the Bonds 10 be •
conside red "pri\'nle aclivi1y bon,ts·• within the meaning of the ''ode: (ii) 1hc Bones arc not
and will not become directly or ,ndi re ctly ··federally b'UJran,_cd": and (iii) the Ci ty will
timely file an lntcmal Revenue Service Fann 803 -(, with respect 10 the Bonds. "hich
shall contain the infonna ti on required 10 be filed pur,1111111 1,, Sec tion 14° ·) of the Cod .
(c) TrL,. lnrer of l n srru ctirm s. 7 he Ci ty will comp ly with tl,e T.1' l.cltrr of
In st met ions dclt\'crrd to it on the date of issJancc of the l3~)nds . 111clud111g l:-1 .. 11ut limitOO
by the pro,i ::!nr,, of the Tax Letter of In structi ons regardin g 11,c 8j•p licPtiori ,!nd
in\'es1mcnt of Bond proceeds , the calculations , the deposits. tb ! Ji.;b, rs emc nts. 1h e
investment ~ und the.! retention of reco rds dcscnbcd in the Tnx Lc Ltcr u ,· Instructici,·.;:
pro\'ided that. n the cve oi the Tax Letter of ln strnc ti ons arc supc rscdcu or ame nded by
nc\\ Tax Lctt.r 0f ln strn cti ons drafted by. and acco mpani ed by an opi ni n of. Bond
C unscl stat ing that the use of th e new Tax l cttc r of lnstrn ctions will not cause the
interest on the Bonds to become includiblc in gross income for fcoeral inco me ia~
purposes. the City will there afte r comply with the new Tax Lett•·r of lns trnc1i on .
(cl) De.,i[:natirm of Bonds a., Qua lified Tax Ex empt Ob ligations . The Ci t_;
hereby de signates the Bonds as qualified tnx exempt ob ligations within the meaning of
·ecti n 265(b)(3) of the Code. The Cny covenunts that th e aggrega te focc amount nfall
tax exempt go\'cmmental ob ligati on, defined in cction 1-11 of the "ode or qualilicd
501(c)(3) hom1s defined in ection 145 of the ode issued hy th e Ci ty. to get her with
governme nt al cntuic:-. which derive thdr is:-iuing authority from the Ci ty or nrc subject to
suhstantial cr,mrol h) the City. arc not expec ted to be more th an S3 0.000.000 during •
cuh.:ndar year 2010 . The City rcco ~ni Lcs tlli.ll such tax exempt oh ligat1rn1s include note s.
h.!ascs. loan s :md ',H1rrants. as wcl' as lmnd s. The City fu rt her n:cog.nil..:S that any h:mk.
thrift institution or ot her fi na ncia l im ... titutinn that owns the Bond s wi ll rel y on th e Ci ty's
de signa ti on ,,f th e Bonds as qualified tax exempt ohlig :1t1on ~ for the purpos e \lf avl,i 1lin g
•he lo ss of \ Ut1° o o f any 01111:rw isc a\'ailablc in tere st ckdm:ti on attrihutahlc 1, .uch
in ..,tituti on's tax exempt holdings .
Sec tion H,. Dcfra s:rn cc . Any Bund shall nl)t he ckcmcd lO be..: Olilstamltng hcn..:umkr 1f
it ~hall ha,·•· l,··cn p:nd and cancelled or if Dcfca s;in('C..: Sec uriti es -.;hall h:i, e bccn dcpo sitc..:d in
tru ~t ti.1 r thi: p; vrnc,~t 1t.c rcof (whether upon or prh1r to the matunt y llf .,.ud1 \3c.1nd. hut 1f such
i:3 {1 11<\ ,.., 10 hL ; .11t.l 1m111 h• 111,1tu11t). thi.: Cit) :-.h.1 1\ h.1 ,c giH~ll the P;i~mg \gent IITL.'\'Pt.'Jhk
d1r c..:c twn -. IP •~l\l· •u1u..:c ,,f 1cd cmpti1J1~ a.., 1cqu1;cd h\ thi s Ord111 :111cc. or such notkc ..,hall ha\c
hccn gt\Cll n :u.:c11 rdam.:c \\Ith tht.., On.lin,mcc). In computing the anwunt of the tkpo,11
dt:-...:nhcd ahn,c. the Cll~ ma~ 111cludc the nt,ltunng pnnc1p,1l ,,!'and in1c1c st tn he ca mc..:d llll the
Dcl'ea..;anl..'.e S1.·l ·t1nt11:,. If k ss than all the l3 ond ~ arc to be dcfca "i L'd pur,uant to th,.., !',cctHHI. the
City. 111 11.., "in k di !<,crcllon. ma y ~elect \\ h1ch of the Bond s shall ht.: dcfca,cd .
;\otwithstand i11 g an ything hc ri.;111 w th e 1..'.Cllltrary. in the c\'Clll that the \3ond ln sur,uh.:e
Policy 1"' iss ued and pnncipal and or intcrt.:sl due on th e Bomb is paid by the Bond ln ~urcr
pursuJnt to the Bnnd ln..,ur:mce Puli-..:y . the Bn11d s shall remain Out"tamlin g l'or all purpose..,, not
hr <lcfra sed or othcrwi Sl' ":11i slil·d and not he n m~mkrcd paid h: 1he City . and all .;o\ i;nants.
agrc1..·lll L'llh ,mtl 111h,·1 nhli gntHHIS of the Cit, to tht.: Ow:1crs sha\l l..'.o nt1nu c to c,1,1 ancl ..,hall run
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10 the benefit of the Bond In surer , and the Bond In surer shall ho subrog ated to th e right s of. uch
Ow ners.
ec tion 17 . Eve nts of Defa ult . Eac h of the following eve nt s co ns1i1u1 es an Even t of
Defaull:
(a) No 11paym e111 of Pri11 cipal or /111eres1. Failu re 10 make any payme111 of
prin ipal of or in1 eres1 on the Bond s when due .
(b) Breach or Ao11perfo rma11 ce of Duties . Bre ach by the Ci ty of any materi al
covenalll se t fonh herein or fa ilure by the Cit y to perfonn any material duty imposed on ii
hereunder and contin uation of such breach or fai lure fo· a pe riod of 60 day s aft er receipt
by th e City Allo me y of wri nen noti ce thereo f fr om th e Payi ,1 g Agent or fr om the Owners
of at least 10% of the aggregate amount of th e Bo nd Ob li ga ti on, prov id ed th at such
60 -d ay period shall be exten ded so long as th e Ci ty has co mmenced and co ntinues a good
fnith efTo n to remed y such breach or fa ilur~.
(c) Ba 11k ruptcy or Receil'ership . An order of decree by a coun of co mpe tent
juri di cti on decl arin g th e Cit y bank rnp1 under federal bankrnp1e y law or appoi 111 ing a
rec eiver of all or any mm cria l poni on of th e Ci 1y·s as sets or re ven ue s is ent ered with th e
conse nt or acqui esc ence of the Cit y or is "nlered wi th out the co nsent or acquie scence of
the Ci ty but ts not vacated . di sc harged or ... yed within 30 da ) s after ii is entered .
Section 18 . Remedies fo r Eve nt s of Default .
(a) Remedies . Upon th e occu rren ce an d co nti nuance of any Eve nt of Default .
the Ow ners of 1101 less th.111 25 ~, of the aggrega te am oun1 of th e Rand Ob ligati on.
includin g, wit hout limit ation. a 1rns1ce or trns 1ee s therefor may procee d ai;ai nsl the Cit y
10 protec t and 10 enforce the right s of th e any O·.vners und er thi s Ordi nan ce by
mand am us. injunc tion or by other suit , ac ti on or speci al procee dings in equit y or at law,
in any co urt of co mpe te nt jurisdi ctio n: (i) fo r the pa)oncn1 of int eres t on any 1n srnllmen1
of princi pal of any Bond that wus 1101 paid when due m the in teres t rate bome by such
Bond: (ii ) for th e spec ifi c per fo rm ance of any cove nant co ntai ned here in : (iii) 10 enjoin
any ac t that may be un law ful or in viulati o11 of any ri gh t of any Owner of any Bond:
(t\') for any other proper lega: 0r e~ui table remedy ; or (v) any co mbim11i on of such
remedies r as oth erwise ma y be auth ori zed ;,y appl icabk law : provided, however , 1hn1
accclcra 1i on of any amo un: 1101 yet due on the l'onc!s according IO their term s shall not be
an al'a ilab lc remed y. All such proceedings at lu .v or in equi ty shall b, ins1i1u1cd, had and
mai ntnin ed for the equa l benefit of all Owner., of Bonds 1h e11 Out stand in g.
(b) Fa ilu re To Pu rs ue Remedies N M a Release: Ri~ltls C1111111/111ive . The
fa ilure of an y Owner of any OulSla ndin g Bond 10 proceed in acco rd ance with
sub sec tion (a ) of thi s Sec ti on shall 1101 relie ve die Cit y of an y li abilit y for failu re 10
perfon n or ca rry ou t its duti es un de r thi s Ordi.,a ncc . Eac h ri ght or pri vil ege o f any such
Owner (or trn s1ec 1hcr~for ) is in ad diti on and is cu mulati ve to any oth er ri gh• or pri vil ege.
and the cxcrci ~e of any right or prwil cge by nr on behalf of any Owner shall nt>I he
deemed a wail'cr of any ot her ri ght or privilc fe ,1f such O•v ncr.
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(c) Bond /11mr er Third-Party Ben ejicili')'; Right To Co ntrol Rem ed ies. In •
tht , ·,•ent th at the B<'nd Insuran ce Policy is is sued and to the ext ent that th is Ordinan ce
con t,,s upon or gi ves or grants to th e Bond In surer any right. rem edy or claim under or
by reaso n of thi s Ordinance, the Bond ln sUJ .-r is here by explicitl y re cogni zed as being a
third pany bc nr f,ciury hereunder and may enforce any such ri ght , remedy or claim
conferred , giYc n or granted hereunder. Upon the occurre nce and co ntinuan ce of an Even t
of Defau lt , so long as it is not in defau lt of it s obl iga ti ons under th e Bond In s uran ce
Poli cy, the Bo nd In su rer shall be e11titlcd to co 11trol and direct the enforce ment o f all
rights and remedies granted to the Owners und er thi s <:.rdin ance and pursuant to State
law .
Section 19. A mendment of Ordinance.
(a) Amen dments PermiNed IVi th o ut No tice to or Cmaenr of Owners . The
Cit y may , witho ut the con sent of or noti ce to th e Own of th e Bonds , adopt one or more
ordina nces amendin g or s upplcm e11tin g thi s Ordin ance (Whi ch ordinan ces shall there aft er
beco me a part hereof) for any one or more or all of the fo ll ow ing pu~io ses:
(i) to cure an y ambigu it y or to cure. co rr ec t or suppl ement Jny Jcfect
or in co n~is tcnt pro vision of th is Ordi na nce;
(ii) to subject to thi s Ordin ance or plcrlge to th e pa )1ncnt of th e Bond s
add iti onal 1 "!n:n uc s, propertie s or coll ateral ;
(iii) lO in stitute or tcnninn t:.:: ~1 boo k ent ry rcgis tn11ion sys tl!m fo r the •
Bonds or to foc ilirnt c th e de signati on of a suh sti n11c stcuri ti cs dep os it ory , .. ith
res pect to such a sys tem:
(iv) to mainta in the tl v:n existing or 10 sec ure a hi ghe r ratin g of th e
Bomb by nny na ti onall y rl.!cognit.c d secu ri ties rating agency ; or
(\') 10 make nny llt hrr chan gi: th at d cs no t mat eri all y ad ve rse ly affect
th e Ow ners of 1he Bon ds.
(\-.) .·l11 ,e11d111tm ts Rt•quirin,: .Vnt ice to and Co nsen t rf 011111 ers . Exc ept f"or
:nncndmcnb pcnnith.xl by sub sci.:1i on (a) of thi ~ ·cction . thi s Ord111a nc:c ma y on ly he
anh.:mkd (1) b~ a urdi nan i.:c ~lr the ity J.ml.!nd i1ui lll \upplcmcntiilg this Ordin;Jnct.:
(ll'hich. ali cr the co 11 se nt s rcquir"d ther efor , shull hcwm <' ·, part hcrco l): and (ii) wit h 1hc
wri tt en co ns..:n t of th t.: Owners of at kus t 66 -2,J00 of the Blmd bligu uon; prov il !c cl that
any amend ment tha t mak es any or the fo ll owin g chan ges \\'1!11 respec t to any Bond shall
no t be effe ctive wi th out th e wri1t c11 co nse nt nf th e Ownl!r of suc h Rone!: (A) a c!1 ang~ in
th e maturit y o r such Bond ; (B} a rcduc1i on of the i11tc rcs t ra te on such Bo nd : (Cl a chan ge
in the terms or rtd cmpti on of such Bond; (D) n de la y in th e pa)1ncn t of prin cipal of or
intcrcsl nn s uch Bond : (E) a reduction o r th e Bo nd Obligati on the cu nsc i.: of 1h c Owners
or whi ch is req uir ed for nn ame nrlmcn t 10 th is Ordin ar ;e: or (F} th e es1nb li shm cnt of a
pr iori ty or prdCrc ncc fo r th i:: pa yment or an ~' amo unt due w11 h re spect to an y ot her Bo nd =~~-•
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(c) Pro cedrir e for No 1i/),i11 g a11 d Ob1ai11i11 g Co11s e111 of Ow11 ers. Whe never
the consent of an Owner or Owners of Bond s is required unde r sub section (b) of thi s
Sec tion. the Cit y sh all mail a notice 10 su ch Owner or Owners at their addces scs a~ sci
fo nh in the regi stration book s ma1111aincd by the Paying Age nt and 10 the Underwriter ,
whi ch noti ce shall bri efl y descrihe th e proposed ame ndm ent and state 1ha1 a cop y of the
amendment is on fi le in th ,· offi ce of the City fo r inspection. Any co nsen t of an y Owner
of qny Bond obta in ed wit!~ respect 10 an amendment shall he in writ in g and shall be final
and 1101 subject ,o withdtawal. re sci ss ion or modificati on for a period of 60 cla ys aft er it is
de li ve red to th e City unless aaoth er time period i stated fo r such purp ose in th e notice
mailed pursuant to th is sub sec ti on.
(d) Cmsent uf rl,.c Jlo nd In s urer in Additinn to Co nsent of Owners. In lh c
eve ,11 that the Bond lnsura:icc Pfl lic y is is~ucd. the Bond Insure r's consent shall be
required in addition 10 th e co nse111 of Owners , whe n requ ired. for th e fo ll owi ng purposes:
(i ) execut ion and delivery of any s upplememal Ordinance or any a,nendmcnt , surpl cmcnt
or change 10 or morl ificaii on ,,f thi s Ordinance ; (ii) re mo,·a l of th e Paying Age nt n,1d
selec ti on and app ointment ofa uccc sor: and (iii) ir ;timion or approval of any acti on not
described in cla use/") or (ii) ab o,·c whic h requires the co nsent of Own ers.
Sec ti o n 20. App oint me nt and Duties of Pa ying Age nt . The Paying Agc111 iden tified in
the Section hereof title d '"Definiti ons'" is hereby ap pointed as payi.ig agent, registra, and
au thenti ca ting uge nt fo r the Bo nd s unle ss and unti l th e City rem oves it as such and appoint s a
:;~,..ccsso r Pa yin g Agent , i:i whic h event such successo r ~hull m1to m,1ti e:1 ll v succe ed to th e duti es
o f ti c Pa yin g Age nt hereund er and it s pr edec essor shall ,mmedi r • cl y tu1n over al l its rc ;ord s
rega rdin g the Bonds to s uch s uccesso r. The Pay ing Age nt shall agree to pe rfo rm all dutie s and to
tak...: all net,. ns assig ned to it hereunder 111 accorda nc e with the term hereof.
Sectio n 21. App rova l of Relat ed Document s. The Cou nci l hcrcb ) ra tifi es and
appro ves the di st ributi on and use in co nnection wit h 111e offe rin g of the Bond s of th e Prelim inary
Otli cial Statemen t relat in g to the Bonds: au th ori zes and direel s the> prepara tion of. and au th ori zes
and di rec ts the executi on by the Ma yor o f an Offic ial Srnement for use in conn ection wit h th e
sale of the Bo nds in substa nti all y the form of the Preliminary Of1ic ial Statemen t, with such
chan ges th i.:rci n. it an y. no t inco nsistent herewith. ;1s arc appro ved by 1hc Ma yor (wh ose
si gna ture th ereon shall constitute co nclu s ive cvid ~ll Ll! o f such ap pro vnl); and fo r a period of six
m1J1 1th , i<,11<011 ing •:1c ,1J0pti,1n of thi s Ord inane :. th,· Sa le Delegate is au th orized to cxcc ut ,· the
Cnmm1t mi.:nt . if any. the.: Sa le Ccrt1 fi cJtc nnd the 3 ond r~1rcl1:i sc .\grcc mcnt. 1 uc app ro pr ia 1c
0 1'lil:e r-. dnd ,.1fti cials of th e Ci ty urc hereb y auth ori 1.cci an d clirc..:tcd to excl'.ut c an umkrtak ing h)
fa cili tat e co mpli an ce with Securi tic , nnrl l:~drnngc (\1111mi ss iri n il"'e I 5c2-l 2 (1 7 C.F.R. * 24 0. I 5c 2-l 2. th t: Pa ..v in g Age nt Agreement. the Escro w Agrccm ,I. a ··Ta x omplian cc
Ccrti!Jc atc" or sim ilar ce rtifi cntc dcs,;ribin g the City's t•xpcctati ons regardi ng th e use and
in vestment of proceed s of the Bo nds and ntln:r nwnc ys , an Int erna l lh.:ve nuc Scr vh:e
Form 80 3~-G wit h res pect to the Bond s and all oth er doc ument s and ccnili cate s necess ary or
dcsirnbk to effec tu ate th e iss uance or admini strati on of th e Bond s, the investment of prm:ci.:d s of
th e Bond s and th, .. ,,n sactio ns co nt empl ated hereby .
Sec tio n 22. Bond In suran ce Dc1cnninatio11 . !'h e oun cil he reby de leg at es tn th e ulc
Dcl cgn tz th e auth orit y to determin e \\ hethcr or nP t the Bond s will be sec ured by the Bond
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In suran ce Polic y and the tenn s of any agre emcn! with th e Bond In surer if a Co mmitment is •
acc epted re gardin g the Bond s. Suc h dctem1ination shal l be made by the Sale Delep,ate on a ba sis
0~whether or not an interest cu,! sav in gs ,an be rea li zed by th e City th ro ugn the iss uance of th e
Bond Insura nce Policy whe n co mpared to th e premium to be paid to the 0ond !n surer fo r th e
issuance of the Bond In sura nce Poli cy .
Section 2J . [\'cnts Occurrin g on Days Tlrnt Arc No t Business Day s. Except as
oth erwise s pecifically provided herein with respec t to a parti cul ar payment. event or ac ti on. if
any payme nt to be r1ade hereun der or any eve nt or acti on to occ ur hereunder which. but for thi s
Sec tion . is to be made or is to occur on a da y that is not a Bu s!ncss Day, ~•1ch payme nt, event or
ac ti on shall instca~ be made or occ ur on the nex t succeedin g day that is a Bus ine ss Da y with th e
sa me effe ct m, :r' it Wi1S made or occ urred on th e da te on which it was ori gi nall y sc heduled to be
made or oc~ur.
Sec tion 24. Limitation of Actions . In accordan ce with Secti on 11-5 7-2 12, Co lora do
Rev ised Stntutc s, no lega l nr equitab le ac ti on ca n be bro ught with respec t to any legi slmi ve acts
or proceeding s in co nnection wit h th e auth oriza tion of the '..,onds more th an 30 days after the
auth ori zat ion of such sec urities.
Sec tion 25 . Ordinance is Co ntract with Owners of Bonds and lrrepe a lab le. Aller
tl •r• Bond s have bl:c n iss ued. thi s Ord inan ce shall be and r~mai n a con tra ct be tween th e it y unrj
the Ow ners of the Bonds and shall he and remain irrepcalable until all amounts due wi th resr,ec t
to th e Bond s shall be fu ll y paid , sati sfi ed and di sc harged an d all oth er obli ga ti ons of the Cit y
with n.:spcc t to th e Bond s shall ha ve been sa ti s fi <•d in th e manner pro\·idc cl herein .
Scc li on 26 . I-l ea din gs . Th e hc4!din gs to th e vario us sec tions and sub secti ons 10 this
Ordinan ce ha vc hci.:n in s...:rtcd so lel y for th e C{t !lvcnicn cc of th e reader. are not a part of thi s
Ordi nance and shall not be used in any mann er to in1crprc t th is Ordinance .
ec ti on 27. Severa b ility . It is hereby ex press ly declared that nil prov isions hereof and
their app li catio n arc intc nch:d to be and arc severable . In order to implem en t such inten t, if an y
provi sion hcrcv f or th e applicati on thereof is dcwnnincrl hy a co urt or ad minis tra ti ve bvdy to he
invalid or un enfo rceab le, in whole or in part. such dcti.:nnin ati on shall no t affect. impair or
inva li date any other prov ision hereof or the ap pl icatinn of the provisio n in questio n to any other
situa ti on: and 11 :.my pr~·.,·1s1011 hereof or the ,ipp lkatinn thereof is dct •;nninccl hy u cou rt or
udmi ni str:i ti \'e hody 10 be \'ali d 01 l'lli(.n.:~--ah!c on ly if it s applic11tion ii. \11nitcd . it"-ap ph callll ll
1.;hall he limited as required to mos • lull y 11npl c111cnl its pu111n!'>t.:.
Scc1 ion 2X. RC'pca l ••f l11 co 1i 'i is1c111 Or dinan ces, Rcso lu1i o11 s, B~rla ws, Rule s and
Orders . A ll ordinance s. re3oh.1tin11 •,. bylaws. rules and ord ers. nr p:.1rt s there of. that arc
in consis ten t wi th or in co nlli c1 wil!1 tLi s (J rdin am::e. urc lwn.:hy n.:pcalcd to the extc nt ur such
in co nsis tency or cuntl i~t.
S!!c Hon 29 . Ratincafion ot 111 rior Ac ti ons. All ilC lions heret ofo re taken (not
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i1i co11:-i :-i tcn t with the pnwis ion s of 11~1'-Ordmancc. th e Act or the.! Cha rter) by th e Counc il or by
the office r, and cmplo ycc.s of 1hc City d1rcl.!tcd towa rd th e ; .... tlilllCC of 1he Bond s for th e pu rpose s
here in ~c t fo rth arc hcrc hy ra ti ~icd. a,1prcwecl and co nfirm ed. •
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Section 30 . Emergency Declaration and Effec li ve Dat e. The Counci l ha s been
advised that in order fo r the City t secu re the low interest rates currently present in the market
and avoid a possible increa e in such rate s, it is necessary to is sue th e Bond s as soo n as po! si bl e.
fherefore , fo r sa id rea•o n, the Co un ci l declares that thi s ordinance is nec essary for the
•,nmedia te preserva ti on of publi c propert y, health . peace, or sa fet y and an emerge ncy exis ts.
·n1i s Ordin ance shall be effective immedi atel y upon fin al pa ssage and be publi shed within seven
days after publi ca ti on following fin al passage
Introduced , read in full, amended and pa sse d as an Eme rge ncy Bill for an Ordinance on fir st
reading on the 7th day of September, 20 I 0.
Published as amended as an Emergency Bill fo r an Ordinance in the City's offic ial new spaper on
the 171h day of September. 20 I 0.
Published as amen ded as an Emergency Bill for an Ordinance on the ity 's o ffi cia l webs it e
beginni ng on the S'h day 01 Sep tember , 20 IO for thirty (30) days.
Read by titl e and pass ed on final readin g as an Emergency Ordinan ce on the 20 th day of September,
20 10.
Publi shed by titl e as an Emf."rgcncy Ord in.mcc in the City's official newspaper as Ordi nan ce No .~
Series of 2010 . n th e 24 th day of Septem o•r, 2010 .
Publi shed by title as an Emergency Ordinance: on the Ci 1y's offic ial web site bcginnil,g on the 22nd day of
September , 20 10 forthiny (30) da ys.
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~'!TEST : .
/ 1✓{/0 ~1✓_/~,:(_ __ /_. _t....,/_
Loucrishia A. Ell;:-. Cit y Clerk
I, Lou crish ia A Elli s. Ci1y Clerk of the City of Englewood. Co l0rad o. hereb y cc 11ilY that the ab ove
and foregoi ng is a.,n1 e co py of the Emergency Ord in ance 1,asscd on final read in g nnd publi shed by 1i1l c as
rdinancc No 3<:,, Series of 2010 . -. /
7<..
/)(LI )I Jt2.t.t£. t /.
Louc1 1shrn A. Elli s
4!i1S -J 646-69Sl 2 19
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T HE ATTAC HED EXHIB IT A W ILL NOT BE EXECUTE D UNT IL
FI NA L APPRO VAL OF ORDI NANCE .
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Jn1cr es 1 Rate
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APPENDIX A
FORJ\IOFHOND
'ITE D TATES O F A~IER I CA
ST A TE OF COLORADO
C ITY OF ENGLEWOOD, COLORA DO
GENERAL OHLI GATION REFUN DI NG HOND
SER I ES 20 10
1\laturit)' Dut e Original Dat ed Dal e
REG ISTERED OWNER : Cede& Co .
Tax lde 111ifi ca1io11 :S:umber: 13-2555 119
PRINC IP AL UM: **DO LLAR S ..
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CUS IP
29:1065 _
The ic y of Englell'ood. Co lorad o. a du ly orga ni 1cd and \'alidly ex istin g hmnc-ru lc
munidp3\it y o r th e Slate of olora do. fo r va lue received , hereb y promi ses 10 pa y 10 the order of
1hc n:gistcrc<l owner named abo\·c. or registered assigns. the prin cipal s um stm cd above on the
mntu rit y date sta ted above.,, it h in terest on Sl:c h prin cipal sum from the original da ted clo t I! srn ted
abo\'c at the interes t ra te pi,:r annum sta h.:d alllwc (l'ak ul atcd based on a 360-da y ycu r of tw elve
J0-da mon ths). payab le on ____ an d ____ of eac h yea r. co mml.!ncin g _____ .
Capi tali 1cd term s used but no t defined in thi s bond shall hav e the meaning ass igned to th em in
th..: Ordinance of' th ..: Cit y autho n Ling the iss uan cr nf the Bo nd s.
Th e principal o:· mu.I intere st on 1h is bo nd i~ pa yable to the n.:gi :•tercd m\ 11t..:r hereo f upon
pn.·,cntntion and surrender of 11 bo nd 11 1 th e prin ci pal operati ons olfo ... e ~,f UMB Bank . n.a .. :•
paymg. agent. 111 Dc.:m ·cr. Colo, ,10. or at such othL'r lifficc of the P.i yi ng Agent de signa ted by the
Pd ymg Agen t fo r ._uc h J)LlrplbC. Inte res t on 1h1 ~ ho ne! 1s pa yab le by dll·ck or dr.ilt of the P.i)in g
.\gen t llli11h.:d llll th e Interest Pa)1ncnt D,ttc hl the rcg1!-.tcrcd owner hereof a, pf the I lilic..:nth da)
l,f thi.: month imm ccha 1cly prcccdmg} l(ir<.;t da y ol] the month (\\'llLth cr or not !-o uch da y 1s a
Bu,mc~, Day) Ill ,\1111:h the lnt crc..,t P:t)1nent D:11 c occu rs: prnv1d..:d that. 1111crcst pay.ihlc Ill 1hc
rc g1s1 •·rcd oll'ncr ,,r 1h1 1 hnnd may be paid hy any oth er mean s agreed 10 by suc h reg1'tcrcd
lH\ nc r and the Pa)ing Agen t that docs not require 1he Ci ty to make moneys avai lable to the
11.1~ ing. Age nt ea rli er tlwn r,1hcrw 1sc required under 1he Ord inam.:c or increa se the cos ts born e h)
the C1 ) under th e Ord inance : prm ided furlhe r. that. so long a, Cede & Co. is 1hc rcg islc rcd
o,,ncr of thi .s hond, 1hc prim;ipal of and interl'S I on thi s bond shall be paid by wi re tran sfe r to
Cede & Cn . An y p.iymcnt llf principal or o. in tere st on thi s bond that is du e on a da y 1lrn t is not a
Ru"lincss 11a y ,hall 11c madc on th e next :-.ucccccl1ng d:i) that is a Bu siness Da ) ,, ith the sa me
..:ffrl..:'.t as 1r111:1dc llll the day on whi ch it "as lmg1nal ly ~d1cdulcd to he made . All payme nt s llf
principal of and int er~s , on thi s bond shall be made in lawful 1nnney of th e United States of •
America .
This bond is pan of an issue of genera l obliga ti on refunding bond s of the Cit y de signated
the Ctt y of Englew oo d, Colora do . General Ob li gmio n Refundin g Bonds . Serie s 20 10. issued in
th e princip al amoun t of$ ____ (the "Bond s"). The Bonds have be en issued pursuan t to,
under the authori ty of, and in full conformity with , the hancr, th e Co nstit uti on and the laws of
the Sta te, including. in µan ic ular. Pan 2 of Anicle 57 of Title 11 , Co lorado Revi sed Stat ut es
(co ll ec ti ve ly, the "Ac t"); and pursuant to a ordinan ce ado pt ed by th e Ci ty Co un cil of th e Cit y.
T HE ORD ! A CE CONST IT UTES THE CO 1 TRACT BETWE E TH E REG ISTERED
OWNE R OF TH IS BO ND A D TH E CITY. THI S 130 D IS ONLY EV ID ENCE OF SUCH
CO TRACT AND . AS SUC H, IS SUBJECT IN ALL RES PECT TO THE TE RM S OF THE
ORDIN NC E. WHICH SUPERSEDES ANY INCONSISTE NT STATEME T IN THIS
BO D.
Th e Bonds have been issued by th e Ci ty fo r the purpo se o providing fu nd s for the
Refu nding Projec t described 1n the Ordinance . Th e Bond s arc ge neral obligati ons of th e Cit y and
the full fait h and credit of th e Ci ty arc pledged for th e punctu al pa)snent of the prin ci pal of and
interest on the Bonds. For th e purpose of paying the prin cip al of and int ere st on the Bond s when
due , res pe cti vely, the Co un cil in the Ord in ance has covenanted annu all y, to the extent lega ll y
avai lable moneys arc 11 0 1 otherwi se applied , to determine and ce nify to th e Boa rd of Count y
Commi ss ione rs of Arapahoe Co unt y, a rate of le vy fo r ge neral ad va lorem taxes, wi th out
limitation as to rate or am ount, on all of the taxab le pro pen y in th e Cit y. sufficie nt to pa y the
principa l of and int erest on the Bond s when due, respec ti ve ly, whethe r at matu rit y or up on ea rlier •
redem pti on.
[The redem pt io n pro visions from Section 4 of the Ordin un ce and the Sa le Ce11 ifi c,ne
shall be set fonh here in .]
Notice of any redempti on of Bond s shall be given by the Pa ying Agent in th e name of the
C'it y by sendin g a co py o f such noti ce by fir st clas s, pos tage prepaid mail , not more than 60 days
nor less than 30 days prior to th e redempti on dat•~. to th e Owner of eac h Bond bei ng red ee med .
Such noti ce shall spe cify th e number or numb ers of the Bond s so to be redeemed (if redempti on
shall be in pan ) and th e redempt ion date. If an y Bond shall have been dul y ca lled for redempti on
and if, on or hefo rc the rede mp tion date , th ere sha ll have been deposi ted wit h th e Payi ng Age nt
111 acco rd ance II ith th e Ordinun ce l\mds suffi cient to pay the redemp tio n price of such Bond on
the redempti on da te. th en such Bond shall become du e and paya bl e at ,,uch redemp tion dat e, and
fro m and after such date int erest wi ll cea e to acc ru e th ereo n. Fai lure .o del ive r an y redemp1i on
n ti ce or any defec t in an y redcmpli on notice shall not affec t 1h e validit y of th e pro cced in :; fo r
the redem pt ion of Bond s wit h res pect to wh ich such failur e or defect did not occur. An y Bond
redeemed pri or to it s mmu rit y by prior red emption or oth erwise shall not be reiss ued and shull be
cancell ed .
Th e Payi ng Agent shall maintain regi strat ion book s in which th e ownership, transfer and
exc hange o f Bond s shall be r ·,·-::: Jed . Th e person in wh ose name th is bond shall be reg ister ed on
suc h reg istrat io n hoo ks shall oc cicc q1 ed to be t!t c absolut e ow ner hereof for all purposes , whether
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or 11 01 pa y111c111 on thi s bond shall be ov erdue . and neither the Ci t· nor th e I' .1 ying Age nt shat be
affe cted by any no ti ce or oth er infonn at ion 10 th e co 111 ra ry
Th is bond ma y be tran sfe rred or excha nged at the r.mcipal office of the Payi ng Agent in
Den ver. Color ad o, or "1 ,u,h ot her ofli cc of the Payi n~ Age nt dcs ignutc d by the Pa ying Agent
fo r such purpose for a like aggregate ~rinci pal amou111 of Bond s of other au1huri1cd
den omin at ions (S5.0 00 or any integral multiple th ,• ·co l) of th e sa me marc rit y and i111crcs 1 rate.
upon payment by the trn ns tcrcc o: a reosona bl r transfer fee cstnb li she1l by the Pa)~ng Agent.
toge ther with any tax or J..,Ovemmcma l charge rf.quircd to be paid with n:spcc t to such tran sfe r or
ex change and any cos t o 'primi ng bond s in co11 nec ti t•n th erewith . Upon s urrender for tran sfer of
any Bond dul y end orsed for tran s fe r or acc1m 1panicd by an as signmen t dul y executed by the
O\\'ne:· or hi s or her attorn1·y duly aut hori zcJ in writing , th e Cit y shall execute and the Payir.g
Agen t shall a uth en ti ca te and del iver in the name of th e tran sferee a new Bond . No twithstandin g
any oth er provi sion 0f th e Ordi ,rn,cc, the Paying Age nt shall not be required to tran sfe r an y
Bond (a) which is sc hedu 1cd to be redeem ed in who le or in part between the Bu sin ess Day
immediatel y preceding th e mai l ing of 11·,c noti ce of redempti on and the ,cdcmptio n date: or
(b) betwee n the Record Da1c fo1 an y l111 ercs 1 Paymc111 Da te and s uch Inte res t Payment Dat e.
Th e Ordinan ce muy c,e anv.:nd cd o · suppl emented from time to time with or without th e
co nsc:lt of the regi stered owner~, of th e B0rnls as pro vi ded in th e Ordi n:mcc .
IL is i,ercby cc rc ; lied that all condition s. act and things requ ired by the Charter. the
Co nstituti on and la ws of ihc tate . in clu ding th e Act. and the ordinan ces of the Ci ty. to exis t. to
happen and to hL" pcrfo nn crl. prc~·cdcn t tn and in th e issuance of thi s bond, exi st, h:.1vc happened
a!ld ha ve.! been perfo nnecl , and tl mt nL"ither thi..; bond nor th e ot her bonds of the.! iss ue of which
thi s b nd is a pan e":ecd an, li11111a1i on s prescribed hy the Cha rt er. the C,,n s1i1u1i on nr law s of
the State. including the .-\ct. or the ordinan ces of th e Cit y,
Thi s bond shall nn t be e11 1i1 lcd 10 an y bencli t under the Ordina nce, or beco me va lid or
ob li g,ttory for an y pu rposl.'. un til th e l\1 yin g Agent shall have ,1gned thc cc ni fi ca tc of
au thL"nti cation he reon.
IN \\'IT ~ESS IV II FREOF. th e C11 y Co un cil of 1h e Cit y ha s caused thi s bond 10 he
cxccu tt..:d ,, it h th e o:;ignatur c l)f' its M ayo r and altcs tcd by th e signat ure of !ls Ci ty Cle rk. an d has
ca u~1.·d the seal ol the l 11~ ll' hL" 1111p1c:-.~c,..I or 1mprin11.·d hc..•rc nn. all :i -. l,f 1h i.: da te se t forth bel ow.
[C ITY Sl:,\LJ II IH 'JIY OI I '-:(ii 1 11'00D
B)' _______________ _
.\ttcst:
By _________ _
Cit y lcrk
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CE RTIFI CATE OF AUT H ENT I CATION
TI1i s bo ud is ne of the bonds o f th e iss ue de sc ribed in th e witb ;n menti oned Ordinance .
Dated:
UMB BAN K, N.A .. as Paying Agent
By ___________ -----
Auth orized Signatory
STATEMENT OF INSU RANCE
[Statement of bond in surance required by the Co mmitment , if any.]
APPROVING LEGAL OPINION
ct fo rth below is a tmi co py of th e approv in g lega l opini on of Kut ak Roc k LLP ,
deli vered on the date on which the Bond s were ori gina ll y iss ued:
[Th e for m of'legal opini on of Bond Co un sel shall be set forth here .]
I. th e under signed Cit y Clerk of th e ity of Englewoo d, Co lorado. do hereb y ce rtify that
the fo re go in g approving opini on of Kutak Roc k LLP. Den ver , Co lorn do1 is a true and co mplet e
co py of a man ua lly c.xccutcd and dnt ed co py thereof on fil e in th e offi cial reco rd s of th e Cit y.
By (facsi mil e si gna1 urc)
Ci ty Clerk
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• AS S IGNMENT
FOR \'AL 'E RECEl\'ED the undersigned hereby se ll s. assigns and tran sfe rs unt o
(Plea se print or t)11ewri1e name and address of Tra nsfe ree)
(Tax Identification or Social ec urit y No .)
the withi n '.Jo nd and all right s thereunder , and hereby irrevocab ly co nstitute s and appoi111s
_________ au orney to tran sfe r th e within bond on the h oks kep t for regis tration
thereof. with full powe r of subst itution in th e premises.
Dat ed: _________ _
Signature.: Guarante ed:
NOTI E: The signature to thi s assignm ent mu st
corre,s pon d with the name as it up pears upon the
face of the within bond in every panicula.-,
wi 1h0ut altcrnt ion or cnl nrgemcnt or any change
whatever.
,. Signuture(s) must be guara nt eed by a
nationa l bank or tru st compan) or by a
brokerage fi nn ha ving a membership in one
of the maj or stnc k exchanges.
TRA~SFER FEE MAY BE REQU ll lED
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COUNCIL COMMUN ICATI ON
Dat e: Age nda It em: Sub jec1 :
Sep tember 7, 2010 11 a i ~n Emergency Bill for an O rdi na nce Au thorizing
Th Iss uan ce of General Oblig.1 t1 011 Refu ndin g
Bonds Se nes ~0 10
In itia ted By:
Fin ance and Adminis trati ve Services Der..1artment
\ Staff So urce:
Fra nk Gryglewicz , Di rec tor
COUNC Ii. GOAL AND PREV IOUS COUNC IL ACTIO t,
Cit\ Coun ci l ha s not fo rmall v take n an v acuon regard111 g th e issuance of tl·,ese ref undin g bonds , but 1he
subiect \\as bri efl y discussed wi th Ci ty Co un cil at ti ! stud y session on Augus t 16, 20 10.
REC OMM ENDED ACT ION
Stan reco mm end s Co un cil approve tl1 e attached emerg nc) bill for an ord inan ce auth orizing the iss uan ce
of General Obli ga ti on Refu ndin g Bonds . Th e proce eds fr om th e saie of th ese bo nd will be used to
retinan Le the 1ty\ G neral Obhga tt o11 Bo nd s, Sen es '.!00 1 and :!002 to lowe r int e, '-!S t ra tes.
This emerge ncy ord inan ce 11 0 1 on ly auth orizes th e iss uance of the bonds , bu t al so es tabh!the!t an escro\,
account 10, refun ding th e,isti ng bonds, p rescribes the tonn of the bonds (boo k entry), ple dg es the 1ull
,,,,th and credi t oi th e Cit \ of Engle,, ood tor th , •payment of the bo nd s from any and all sour es a ,i;lab le
to th e Ci t), and oth er de tails and appro, 111g doc ume nt s 1r conne cti on '" ith the bo nd s.
BAC KGROUND , ANA LYS IS, A D ALTERN ATIVE S IDENTIF IED
In 2001 th e vo ters ot th e Cit'. •11 Engl e\\ uocl app10, ed the issua nce ot SI ~-B mi ll ion in ge nera l ol,l1ga tion
b onds. The l 1t\ 01 [ngle" uo used th e bond pro, e •ds ior 1mprm ements to the Ma ll e\ en ter, Ketrea ti 11
enh•1 and co nlitrllc t1011 c1 t P1r.1te~ Cm·e Fainil\ Aquat1l en l er.
11, stall belie, es 11 is 111 th e best interest 0 1 tlw II\ to ref in ance tlu s d bt to 1,m er 111terest r tes. l his \\ il
1
re duct• deht "" ,ce p,wme nt s and redu ce th e t.is burden on c111ze ns. On a dollar cost haS1~ thi s will save
the c1t1ze ns app 10 .1ma teh $500,0U ,i m debt wn1n costs O\·e r the hlP ol th e ,en mdm g bond\
This bill for an o rd111 a1 ice ,s ueing passl'rl b,· emergenC) ordinance so th e bonds can b' issued as qu ick!\ as
possible to redt1 e the p0ss ibil11 y oi in -re ,,ed 111 teres t ra tes as well as poss:bl\ indu cing more icves tor
111 ' ,est 111 pu rchasing th e bonds. The c,,chn ance ,equ11 es that th e refina nci 11 g produce sav111gs of at least
$400,000 after paymen t of all expenses Second and fina l readmg of thi s bill ior o rdinance will be
Se1,iemlwr ~o . _010 . •
FINANC IAL IMPACT •
This ac lion sh o " 1• ave a direct un pact on the C \ s Ona n ial co ndit ior., as th e debt service
re qu ,. em en ts an ·c I by pro• •rt l axes de di ca ted to repaying the debt bu t it will redu ce 1h e amount of
taxes th e ci tize1 • ,ewnod will pay.
LI Sl 'f ATTACI ,/Vl l:NTS
Prop, •1 Ern er ency Bill for an Ordinance
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Olilll\.-\:-IC I 'O .j~
SERIES OF cOIO -
CONTR ACT NO, S,c .1.cro 9bo
BY AI.JT IIORITY
COCNL'II BILI NO 3 I
IKTRODU ED BY COUNC IL
,IDll3[R 11·I1.SO \
A\ ORDINA.\/CE .-\PPRO\'INl; .-\N "INT ERGO \'E RN~I E:S:TAL A REEMEN'l
REGARDI 'G \\'ATE R DELI VER Y OBLI CiAT IO 'S" BrT\\'EE\ T H E CITY OF AU R RA
AND TH CIT Y OF E\GLE\\'00D. COLORADO .
\\l-l EREA.S. in the l980 's the c111cs of Thonn on and W::s 11n ms lc r app ht:d m \\'mer C'oun fn r
c:\.tra water w fill an enla rg ement of Standley Lak e. and
\\'H ER.FAS. the extra d 1n:rs1ons wou\o 1rn vc hanncd l:.n ):?.lc ,,ood"s do" nstrca m senior ngim,
011 the outh Platte: an d
WHERE AS. 111 I 99 0 n sett lement acrcc mcm wa s ent ered 11\10 whe re by th e Ci ties o f Th onuon
and \\'cstnunstcr woul d dc\l\cr r:m ,,.;tcr from Thomton·~ Somh Park ,,:me r right s !Cl
Englcw orid al one or more 0f Englcwoocl's po mts of di\ cr~1on on the So uth Platte R1, er : the
w:11c r ddncrcd ,~med dcpcndmg on amoums dt, 1..·ncd t(1 Sta nd ky Lake. m craging ~3 1 acre..· fl.!ct
per ycnr : and
\\'I !ER i· •\S. tht· 1990 ~t:tt lcmt..:111 prondcd minimal wal er Ill dro ug ht yea r:-anJ maxi mum
\\':Her m \\'Cl ~ car:-.. :md
\\'I IERl::\S. m !99~ Th (mUon :1p phcd m \\';11 1.;r Cr1 m1 tr., pr(l\ Hh.· thc \\:lier. in wct yc:1r:-. from
a !99~ nglu ;u Cha11it:l<l Rc:-t:n\,1r ,duch rcqmrcJ ~ngle\\('IOd ll' rc •u,c lhl' w:11cr wl11ch wa:-1101
pr:i...'.tica l. an d
\\'Ill '{FAS. 111200~ :\umra purcha!,cclall of'Thonuon·, wat t:r riglu ~ ongmall~ clt:crccd 111
Pa rk C.,1u 111~. 111<..:lu dm g the nght :-under 1h c 1990 rh4,,n11on ~e 11 k:111cn1. and
\','I IF RI •\S. ;m agreement 1~ 110\\ prop o-.cd th :ll will pnw u\c ,,atcr Ill :t tixcd and prcd 1c1ahk
am ount durml.! th e dric :-.1 summe r momh :-wlrn:h \H1uld hr u:-.i:fui w l·nl!lc,,0()(1 lll 1hc: c,cnt or
s1..·,crt: 0rougl;1 and hdl' l·n~h-\\111,d lllL't'l 11 " quo1a fo1 dd1H:r, \., C"-·m~c nm a\. and
\\ 111 RI \ \. • 11: p;1 ,,.1g1..· \II 1111 , J'll'Jll1:-.t:<l Ordrn;mi.:-t· \\ ill ;HHihll'J/1.: I 11}.!il'\\ lh.,d 1111..·111t:1 tht:
"lntcr~l\\ c:rnmcmal Ag;"-·cm i:111 lh:l!anilll)l \\'atl.'.1 Deli, er:-( )hliµa1101 1:-i;"
NCl\1 . 1111 RI 1"()1(1 .Ill II Ol(IJAl\l ·l>B Y 1111 l 'll\'U ll''l'li lll 1111 Cl'l\'OI
I ,l;I I \\'( ll ll l. l'OI t I K •\IJC I. \S FOi I 0\\ S
~cc11o n I Ti u.· 11111:rgl'' crnmi:111:d Ag rccm cm cnll tkd "lntc rgovcm mcmal .'\g.rcc mcnt
Rcga rchnl! \\"atC i Dd l\i:ry Ohhgm1om," 1~ he rd,~ ,11.:cq,1t:J :ind .1p 1m,\c<l h~ th1..· l:.ngk\\<,o<l t'u~
Cl,un cil and 1~ :m achcd hcrclO :1:-"E'-hih11 A ..
Scc11011: D :n ul H11\ ,,f Bc1i; I lill C1rct:nlc:1 t' L\:.. Rm,c ll 1 1~ au1hon1c<l W ~1i;n s~11d l\pn.:cmcm
\01 anJ on hch al f 01 th l· Cu~ ot' l·nµk·wood
111111,duccd. rc,1d 111 lull. :rnd p;l',-.cd ,,n fir,t rc.tdmg on lht.· ~0th da~ C'lf cptcmhcr. ~OJ()
Puhlt~lu:d ,1:-ii Bill h ,r ;m Ord111;mc1.: 111 llh: Cn: :,. ollic1:i l llC\\ spapcr llll tht.• ~~th d:1~ 0f
cp1c 111hcr. ~O I 0
J>u hh~hcd ,1:-.i Bill IN :rn Ordm:mcc 011 thc Cn: ·:-. ri fl k 1al ,, ch~lll' hcgmmng 1.111 thl' ~~n.i da: "'I
Scptcmhcr. ~OHi fl,r 1lun~ (~lll ·.:i y-.
Read h: 111lc :md pa ,:-cd on lin:il rc.admg ,111 tht.· ➔th cla: oflkwhcr. 201 0
Publi shed hy tlllt.· m lhl' C'n: ·:-. 0f'tic1:1I IIC \\!-pa pc r a:-. Ordmance '.\'n. ~ St.nc-. of'~OIO. 0 11
the Sth do) of October. ~010
Puhll ~hcd h\' 1111t.· ftll the CH\\ oflici:il ,,ch,11t.· hcl.!1111unl.! on lht.· 61 h d:t\ of
0.:111hc r. :!0111 i(x 1111 11: t-101 dr~y !-~ ~ .
I. I lHh;n,lu,1 \ I 111,. l'11y Ck,~ l,1 !lit.· l ny 111 I 11~lt.·,,11l1d. L 1,h1rad 11. hl'rl•hy ct.·11lly 1h:i1 thl·
:lhl'\ e and hircg11111!!. 1:-..{/trm· C(1JlY 1•f tht.· Ord111;11i.·l· p:,"ccl 111 lin,11 rc:1d111!,!. and puhli,hl·d h:
ink ;1, Ordm:mcc , , '1,:1 • Scm,:-. 11{ :!II !fl
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INTE.RGOVE Rl\~IE TAL AG RECME!\'T RtGA RJll :'I
\\ ATE R DEL l\'ER Y O BLI CA TI O I\.
Th is lntcrgovcmmcntal Agreement ('·JGA ··, 1:-m:1dt and entered into thi s da~
_____ . ~O I 0, by and between the ity of Englcv,.iood. (\,lor~1d o. a municipal c0:t-.rnti on of
the Count~· of Arapahoe. whose address is I 000 Englewood Parkwa~. Englewood. CO 80110
(''Engle"'ood"i, , id the City of Aurora. Co lorad o a municipal co rpormioo of the co umi es nf
Adams . .'\rapal1oe and Douglas, acting hy and through its L11ili1,· Enterpris e. ("Aurorn"J. whose
address is 15 I 51 E. Alameda Parkwa y Suite 3600. Aurora. CO 800 I'.!. · ogcthcr these two
entities sha ll be referre d to herein as the "Pa11'es ...
R EC I TAL.
On Octobe r I 0. I qgo. Eng lewood ente red i:11 0 an ag re ement with th e City of Thornton
(''Thornton") and the City of \l'estmi nster ("Wes tminste r") in senlcment of certain !itigation then
pe ndin g in the Colorado \\'atcr Coun (th e "Senlemem 1\greement"l. The liti ~at ior in volved
Cases >:u mb ered 86C\\'3°i. 88C\\''.!67. gqc11 ·1 '.!9 and 89C W 13c. District Cou11. \\'mer
Div ision One .
The Scnlcmcnt Agrct.'.mc,,: 0bl igatcd Th0rnton. and under ccn::iin c ircu mst:m ccs ~·cstn1in sti:r. to
pro\ idl' r3,, water h.1 Englewood at one or more of Engkwood·s p.··dnt ~ of diversion nr thl' South
Plane Ri\'c r . .'\s securi1,· for the pcrfom1a ncc of thes e obl igation s. Engkw0od acquired a profit a
prcndrc from Thorn ton hinJing. three water rig ht :J ri ri ti es then c,w nc d b~ Thornton that
hi stor ic:i\ly were assClciatcd with thl! Mcl)owe!l Ran ch in Park Cou nt y.
On ~0\·cmhl.!r ~I. ~oo:;. Aunlf:t purchascd from Thornton all of Thc,rnwn·s wr1tcr rigl1t !-
vrig111a\., dt\.:rc;i:J in P,ui Cnunt~. In l·on ncuinn with thi:-: purchase. Aumra agreed to ass mrn:
the.· 1Jbligatinn under 1h c ScttlcmL'llt Ag.n:cmcn1 to ckliv~r watr: t t1 1~ng.lcw0od.
On Dcci:mhL'f 31. I 09h. Th 1..m tton ini1i:11L·d a conditional appropriation of water in tended to mee t
:1 1wnwn l'f'ih:.: ,,.11t.·! d1.:lin:r) \1hlit!.Hi111t:--hi L11~ic\\111.1ll t111 ... k1 thL ~...:llk·mc:ni \p,r ... ·cnH.:nt. Th,:
l 1)ll~ appn1p:·i:1til1n \\:'" 11h.-hhk\\ 111 \tmir.,·, pu11.'.h,1~t.· \1, \\.ttt.·: ri~ht~ lr\111 Thlmlhlll. and thl'
application tl1 ad_iud1 c:.11e 1hi-; appmpna!ion Ill tht.· \\ atc1 l nun ior I >1, 1sw11 I. 111 l $l' l\u
l)Xl\\ 4'.'8 \\.t, d,~nw,-;l•d b~ ·\ur,,ra lH1 \p11'.: I ~(1:(1
l'h~ PartH.:s !-l'ck w simplif~ the (!-..;ist 111 ~ nhlig,1ti1.1J1:-umlc1 tht: ~L·llkm:n1 \µrL·c:mr.:n·. inn manner
th:11 is mutually hi;ncficia!.
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AG RE C1\!E.\'T
?\O\\" THEREFORE. in cons1derJ11on 01 the mutual promises and covena111s comamed hcrcm
n:1d 01her gn,,d Jnd , aluable cons1derJ1ior .. the adequac_,. and sufficiency o which is hcreh,· a:kno\\"ledged the Panies agree as follows:
~: Tiie purpose of this !GA is 10 define ne" obligmions . direct!; he1\\"et11 Aurora
:ind Englewood. which \\"ill supe rcede and replace the wa1er deliver; ob ligau ons crcaied by 1hc
Senlement Agreement. This IGA co nstitu1es Englewood"s consent 101he assignment of1 he
:nlcmcnt Agreerner1 reques1 ed b, Thorn1on on or about April. 200_;_ as well as an amendme111
of the e1tlemcn1 Agreement with respec1 10 \\"atcr deli'"cr; obliga1ions. Except for those
provisions of the enlernent Agreement which require or de cribe the deli\"CC\" oi water to
Englewood. the obligm ions of1he e11lcment Agreement shall sun·i,e this amendment.
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\"olt1mc: Aurora agrees 10 deliver 10 Eng lewood or Eng lewood"s lessee live hun dred and
nine (509) acre fee1 per year of·•s in gle us e water:· which shall mean \\"a ler that cannot he
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re capru red or reclaimed for reu e or s ucc essive use after the ini tial use of the water. However. in
a ;-ear in which Aurora has insuffic ie111 sing le use \\"mer availah le. ii may deliv~r ,;,,ca hundred
lhi n; nine (339) acre fee1 of••fully consumable water.'" which shall mean \\"a;cr 1ha1 may
lawful!;· be recaptured or reclaimed for reuse or s uccessive uses umil full) consumed. htnhcr.
Aurora ma; de !i,·cr a co mb inat ion of single use and fullv consumable wa 1er. in which evcm !lie
total volume ofAurora·s obliga1ion \\"ill be ca lcula 1ed by de1em1ining what percemage of
Aurora·s total deli, cry will be comprised of single use \\"atcr and what percentage will be •
comprised of full., consumable \\"Jler and multiplying the maximum volwi1cs se1 fonh ahcwe for
each type of water h; th e respec1ive pcrcemate. To the extent Aurora deli\"c rs fully consumable
\\"ate,. Englewood or its designec shall ha,·c the right 10 rccap1ure and reuse an; rc1um flow s
rcsuld ng from the iniiial or an; subscque111 use of such \later. Ttie waier de li,crcd h; Aurora
ma, be demed from '11'1" wmer right it o\\ns or comrols at the lime of such dcli,en . pro\"idcJ 1J1a1 the· \\"alcr meet s the legal requ1rcme111 s sci fonh herein.
l"imint and R:nc 01 Dcli\"Cn·: .\urora·s delin-r; ,,f \\atcr pursuant 10 this IG\ "ill begin
Jul_, I of each year. anJ \\"ill be rnmplctcd h_, Augusi IS 01 1ha1 ,·car. TI1c r:uc of dclivcf) will
he /1 cf, cxcep1 that. in an) vcar the Jail; dl'!i, er, rate ma; he increased h; mutual agrccmc1r nf
1lw Panics. which wdl he binding only for the remamdc1 011lw1 ,·,·ar If 1w11h-,r h;,lrn.,.,,I, "'
its dcsicncc-"ahlt-In IJ].c lcln en ,,f th,· 11;11 r dunng ,11! 111 a p,,n11•n ,,1 1h,· lime \111.>r;, "
scchme 111 dclnw 11. \·,r.,r.,· 1•hhc;iu11n w1ll nc1cnh.-lcs, b,· relluccJ a! the rate lift, ds "r 1hr
.tltrma;e rate .igrccJ up,,n 1111 1ha1 ~car higk-11"'1J shall ~l\"C \un>ra 111cm; f111,r hour .1,h:111,·,·
11<111c,· 11 II I u11.1hlt· h• he~m. ,, It· commu,·. lahlll~ such Jdhnic,. I 'Ing 1h,· 11011,,· pr," "H•n
set t,11:l· hc-l,111. the P.m,cs 1113) Jc·-1gn:11e :u1J re, isc ,·mail addresses fi•r the t<•n11nu11ic:111ons
rcs:m.im1,: Jdi\'C:rit~ C\)ntr:mi>hiH.:J f,y 1h1, pa a~r ·nh
l.ncmion of D~l11c r\"; \urora wi ll d, n·cr 1hc \\"alcr required h_, !his IG ·, at 1J1c I ligh
L111t• CJ nal hcadcatc. ,,r a1 C'hatli.-!d Resan•o,· l1no1 Ji\"ened :11 the I lich I inc ( anal headc:11 •.
Fngle\\" ,,d or it; dcsignec ma; Jl\·cn 1he \\:lier through Jn_1 ,,f 1h. Ji1ch~s sc·n·eJ b_1 th,• ·
Chatiil'iJ Rescn·o,r lln h u1lc1 \lanilc>ld. or ma; instmc1 the \\'aier (' >mmissinner 1,, rd,•;i• •
1hc wa1e, lhroucr the Ch.,tiie!J R,· m otc n. , .• 11u1k1 h•r innsion :11 such d,," n,ucarn p,,m: .is •
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ma1· be selected by Englewood. It shall be the obli,ation oi Englewood or its dcsignee to ob tain
the right to use th e diversion and carriage st ru cture s through which the water is actually diverted.
Deli ver ie s shall be measured at th e High Line Ca nal head gatc if <livened at that locati on.
oth erwise deli verie s will be measured at th e exi t flum e or flume s st,vin g the City Ditch. the
evada Ditch or the Last Chance Ditch . to the ex tent Engle wood elects to divert th e water
through th ose stru ctures. or at such downstream poi nt of diversion as Englewood or ii, dc sig ncc
ma y emp loy. Englewood or iL< designee shall be responsible for trans it losses. if an y. assessed
on sur.h water if th e delivery point is below th e hat fi eld Re servo ir Di tch outlet manifold s
de sc ribed above.
5. sc and Storaee: Ail water delivered by Aurora mu st be decreed to all ow muni cipal use s
an d stora ge.
6. Profit a Prendr e. Aurora acq uired the three McDowell Ranc h pr io rities referen ced above
subj ect to th e profit a prend re pre viou sly gra nt ed in favor of Englewood. aid profit a prendre is
not affected by the execu tion of thi s !GA.
7. General Provisions .
a. Thi s "~iting co nstit.,. s th e entire !G A b "~en th e Panics and super ede s all
pri or "~itt cn or oral agreements, negotiati ons. r 1 .sentati ons. and understandin gs of the
Parties with respect 10 th e subje t matt er contai ned here in . However , thi s !GA doc s not
modify or supersede any other prc\'iou sly cxecu led agreem ent between the se Partie s.
relating to matt ers othe r th an th ose described herei n.
b. Thi s !G A •n a,· be amende d. 11od ified. changed. or terminated in whol e or in part
only by \\~itten agreement duly auth ori zed and exec ut ed by the Partie s hereto.
c. Th e Parti es agree that thi s '.GA ma,· be enfo rced in law or in eq uity for s pecifi c
pcrf0 rn ancc . injun ctive. or other approp ri ate reli ef. in cl uding damages. as may be
avaih.~le ac:ording to th e laws of th e State of Color do. It is spec ifically und ersw,,d
thm. hy executing th is !GA . each party ~n mmit s itself to perfo nn pursuant to th e terms
hereof. and th at an )' breach hereof rcs ullin g in an1· recoverable dama ges shall not th ereby
rause the lc1111in,1tion oLm~ ohlig:1t1ons crea ted\,~ thi~ l(il\ unicss such tcnninati on i!->
requested b; 1he part, not in breach hereof
d ,·e mu: for the 1ri41! l,rm1~ actio ari sing ou1 ofan) dispute here unde r ~hall br in
th e Arapa hoe· Co un 11 District Court.
c. ·11,i s IG!\ is intended to dcscr ihc th e rights and re spo nsibilitie s of and between the
nmn ed Parties and is not int ended to. and shall not be deemed to confer right s upon anv
persons or enti ties not named as pan ics. nor 10 limit in an~ way th e powers and
re spo nsibil itie s of Aurora. Engk-wood or any oth er e111 i1y not a party hereto .
f. If any portton of thi, !GA is held uwalid or unenforceable for an,· reason by a
court of comp c;.-:nt jurisdiction ns to either pany or as 1c1 both Panic s. the remaining
portions of thi s IG A "ill remain valid and binding on the Panics. l·urthcr. tlw Parties •
will immedia1cly enter imo negotiations to restore as near!~ as possible any portion of
this IGA held 10 he in\'alid or unenforceable.
e. l\cither Aurora nor EnC?lewood ma, assi[m its ric.hts or '4~Jcuatc tt s duties
hereunder without the prior \\,;;tten conscn·t of tl;c othcr11a11) -
h. This IG A and th e rights and obligat ions created hereby shall be binding upon and
in ure !Cl the benefit of the Pani cs hereto and Lhcir respective successors and assigns if any
arc allowed.
i. \\'aivcr of breach of an)· of th e provisions of this IG A by either party shall not
constitu te a conti nui ng waiver of any subseq uent breach by sa id party of either the sa me
or 811 )' other provision of thi s IGA.
j. This IGA may be si multaneou sly exec uted in any number of counterparts . each
one of wh ich shall be deemed an original. bu, all of which consti tut e one and the same
!G A.
k. Heading s and titles co ntain ed herein arc intended for th e co11vcn iencc and
reference of th e Parties onl)· and are not int ended to confine. li mit. or de sc ri be the scope
of int ent of atl\ pro\'is:on of thi s IGA.
L7nlcss otherwise.:-stntetl herein. an~ notices. dt:m~uhb. ur othL.:r commun 1cation~
rcquirl.!d or desired to be given under any provision of thi s !GA shall he: givcn in writing.
tc1 be deli"crcd personall y. or se nt hy certi fied or registered mail. return receipt requested.
postage prepaid. 10 the following:
To ,",urora: Directm of L11l i11 cs
City of Aurora
15 I S I East !llamcda l'arkwa,·. Suite· 3,,r)Q
Aurora. Colorado 80012
\\"llll l'\lJ)~ \l)
-\ustin llamrc. Is~
I >um.:an. Ostra11dt1 ,\., D1ng1.:s s. l'.l'.
\pq11 ~-Yo:-.L:llllll' Stn:1.:t. Su11 tO
Dcnn:r. l'oiOl'illiO xo::n
'I l' l ,ng h.:,.,-..,ud: lJ ircctur of' Utili11cs
Cit, of hnglcwood
I OtiO l·.nglcwood l'ark wa)
Fnglewnml. CU SIii 1(1
111th mp, to:
David,,. llill. bq.
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Berg Hill Greenleaf & Ru sc itti LLP
1712 Pearl St
Boulder, CO 80 302
or as to such other addresses as either party may hereafter fro m tim e to time designate by
written notice to the other party in accordan ce with thi s para graph . Notice shall be
effe ctive upon receipt.
m. If any date fo r an y action under thi s IGA fall s on a Saturda y, Sunday or a da y that
is a "holiday " as such term is defined in Rule 6 of the Colorado Ru les of Civ il Procedure,
then the relevant dat e shall be extended automati cal ly until the next business day.
n. This !GA and its application shal l be construed in accordan ce with th e !aws of the
State of Co lorado .
o. To the fu ll est ext ent pennitted by law, the Parties hereto waive the right to a trial
by jury in any action brou ght under or in an y way re lated to thi s IG A.
p. In th e event of an y litigation , mediation , arbitration or other dispute resoluti on
process arising Ol!t of or related to this IG A each party agrees to be responsi bl e for its
own attorn eys ' and oilier professional fees , co sts and exp enses associated wi th any such
pro ceeding s .
q. Th e Parties agree th ey draft ed thi s !GA jointl y wi th each ha1ing the advic e of
legal counsel and an equal opportunity to cn ntri bute to its content. Conseq uentl y, th e rul e
of construction to the effect that ambiguities are to be construed against th e drafter shall
be in applicable in the event of any disput e as to th e meani ng of provision s herein .
r. The obl igatio ns of Aurora under this IGA are the sole ob li gations of the City of
Aurora actin g by and through its Uti li ty Enterprise and , as such , shall not con stitute a
gene ral o bligation or other indebtedness of th e City of Aurora or a multiple fi scal year
direct or indirect debt or other fin an ci al ob li gati on whatsoeve r of the City of Aurora
within th e meanin g of any co nsti tutional, statutory , or charter limitati on. In th e event of
defa ult by A urora or fa ilure to meet any of its obli gati ons un der th e tem1s of thi s IGA,
Eng lewood shall have no reco urse agai nst an y of the revenu es of th e City of Aurora
exce pt fo r th e net revenu es a ," the water utili ty system avail ab le th erefor e in th e City of
Aurora Uti lity Enterpris e water fund , or an y succe ss or enterp rise fun d, remainin g after
pay ment of all ex penses rel atin g to th e operati on and maintenance and perio di c paym ents
on bonds , loan s and other obli gati orts of th e City ac tin g by and through it Utility
Enterprise . No twithstanding anythin g herein to the contr ary, nothing in thi s IG A shall be
co nstru ed as creatin g a li en agai nst any revenu es of th e Utili ty Enterpri se or th e City .
s. Subject to the tenns and co nd iti ons in this paragrap1 10 party to thi s IGA shall be
liabl e fo r any delay or fai lure to perfo nn und er thi s JOA due ,lely to cond ition s or
even ts of Force Maj eure , specificall y: a) acts of God , b) sudd en action s of th e element s
such as flood s, earth quake s, hurri can es, or torna does, c) saboia ge. c!) vardalis m beyo nd
tha t which can be reasonably prevented, e) te rrorism. f) war, and ;;) riots: provided tha1, •
A) th e non performing r any gives th e other pa ny prompt wrine,, not ice desc ribin g the
pan icul ars of the occurre nce of the Force. fajeure ; 8) the s•.spension of perfo rm ance is
of no grea ter scope and of no longer duration than b requ;red by the Force Majeure event
or condition; and C) the non -p erfo nnin g pany proa -'eds with reasonable dili gence to
remedy its in abil itv to perfom1 and prov id es weekl y progre ss repons to the other party
describing the actions taken to rem edy the co nse quences of the Fo rce Majeure event or
co nditi on. In ti1 e event of a chan ge in 111w1i cipal (o r other local governmen tal entit y),
state 01 fede ral law or practice •h at prohibi ts or del ays performance, th e ob li ,iation to seek
a rem edy shall extend to mak,ng reaso nable effons to refom1 th e !G A in a m2nner
co nsistent with th e change that pro vides the Pa:,ie s subs tantially the same ben efit s as thi s
!G A; provided, however, that no such re fo rm ation shall increase th e ob li gati ons of any of
th e Panie s. In no event will any dela y or fai lure of performance caused by an y
cond iti ons or eve nts of Force Majeure extend thi s !GA beyond its stated term . In the
eve nt any delay or failure of performance on th e pan of the party claimin g Force Ma1e ure
contin ues for an uninterrupted per iod of more than thr ee hundred sixt y-five (365 ) days
from its occ urrence or inception as 11 01iced pur suant to thi s !GA, the Parti es not claiming
Force Maj eure may, at any time fo ll owin g th e end of such one ye ar period, termin ate thi s
!GA upon \\'Tinen noti ce to th e pany darning Fo rce fajeure. without furti1 er ob li ga ti on
by any of th e Pani es .
IN WIT 'ESS WHEREOF, th e undersigned Parties have ca used this !GA to r e exec uted th e day
and year fir st ,vT in en above.
l:nrk wood-Aurora l\..1A :'i-6-10
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c,n or AURORA. COLORADO.
ACTING BY AND THRO UGH r,.
UTILIT\' ENTE RPRI E
Edward J. Tauer , Mayo r
ATTE ST
·Debra A. John son, City Clerk
APPROVED AS TO FORM FOR AU RORA :
Acti ng by ::ind through its Utility Emcrpn . ,
Chri stin e A. McKenn ey
Assistant iry A nomcy
/\ustin Hamre
Special Counsel
.'T/\TE OF COLORADO
CO .'TY OF ARAP/\II OE
ss
Date
Date
Da te
------Dat e
fhe foregoing in strument was acknowk1.igt:<l h1.:fun.: 1111.: 1h1:-_ 3y of ____ _
~Olli. h, i'.dwa rd .I. l uucr as favor. md ancst cd 11, In Debra.-\. Johnson. as C'i1v Clerk. ac ting
on hdu;lf of thc Utilit) Fn tcqiris~ of the 'ity of /\urnn;, Color,,do. ·
\l'irnes s 111) han d :md official sc:1I.
---:;,tr) Publi c
My co mmi ss ion expi res: ____ _
SEAL
C I TY 01< E 'GLEWOOD •
James K. Woodwrnl. Mayo r Dat e
ATTEST:
Lo ucrishia A. Elli s. City Clerk :Jato
APPROVED AS TO FORM FOR E 1GLEWOOD :
Dov1d G. Hill Da te
&pcctal Cou nse l 10 the Cit y of Englewood •
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• COUNCI L COM MUN ICATI ON
Date: Agend a It e m: Subj ect :
S ptember 20, 2" t 0 9 a i lntergovernm~n tal Agrcerner,l with the ity of
Auro ra R garding \ ater Deh\ ery Obligatio ns
Init iated 8\:
\ Staff Sour ce:
Utili ties Oepa ,t ment
Stewart H. Fonda, Di rec tor of Utili ties
COUNCI L GOAL AND PRE VIOUS COUNC IL ACT ION
No ne.
RECOMMENDED ACTION
Th e Englewood Wa te r and Se\\er Board, at it s Jul\ 7, 20 10 meeting, recommen de d City Council
approve an ln tergove ·nme ntal Agr ee men t bet\\een the Ci t\' o• Engle\\ od ,,nd the Cit \' r , Aurora
rega rding \·Va ter Delh el) Obliga tions .
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• BACK GROU 0 , AN ALYS IS, AND ALTE RNATI VE S IDENT I FIED
1h e r iue~ 01 Thornt on J nd Wes trn in ter ,1ppli ecl in VV,1t 'r o un f r C'-tra "at r to fi ll a
-,andl ey La ke. The e'<tra di vers ions could ha\ e potentia ll y ha rmed Englf"wood
..! c,rns ed call s iro m clowns tre;i m se ni or rights on 1he So uth Platt e, J nd those
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e sh ut dow n so me of Engle\, cod's sern or di, ersio m,.
'n the 1980s
big enla,,:,
bee au se ii ,
calls woub
On tobe r 10, 1990, ,, ett l men: a~r ee,n e nt \\as made \\hereby the Cities ofTh ~ ,,ion and
V'V l ~tmins ter would delh er ra w wa ter to Engl wood at one or more of [nglewoocl 's poin ts of
div,
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rs1on on the Sou th Pla ne River. Th e water to be deli vere d, aried de pe ndin g on ,l!n otmt s
cli vtrted t St,,,,dle1 Lak e. Deli ve ri es "ere to be a mi ni mum of 75 acre iee t and a 111,1'i mu m 0 1 375
acr tec t l)e,herie~ .t \t.'t,1>1,, d :!18 acre fppt pe· ,e.1r and c,1 m fr om Th orn ton's outh Park ,,,11 r
righ t ,, The ~e ttl
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men t prm 1ded min ima l ,, ,,t :!r 1n drought \ e,1rs a nd n1.1,1mum ,, ,ll I in \,·c t year,
\\/lull• 11 wa~ ,, ,cl'\ ,,1\uabl e <,c lll •rne nt th e la ck ol dt:>h\C•rn!o; 111 drnu~h l \P,lr<, r,,ct ucl!d th ) ,,1lu e.
Tht> di·h,crl.:.'d ,,atcr ,,,v:, 10 tw 1eu,,1ble a, <.on•u mpll\t' U\tl ,,.1 ti..•1 "lm.h u1uld lw t ,1pllirt•ci ,111d
re use d to c,ll ncucm.
In 1 q~e Th rn to n appli e d m V\l .. 1t er omt to pr m 1d1..• tl w ,,,,wr ,,; "et ) L•,11 ~ 11 1>1n ., \lJlll\ 11gh 1 ,11
hJtfi elC: Reservmr. nd er the appli catio n, Englewood ,,.,s rt!q .. ,ir ed to 1<•-u~ the.• \\dler in o rder to
penetl foomton's apph ati on, which was no t pra ucal. Engle\\OOd opposed the .-pph ,11ion, low
ke, for 11 ye ars . Dunn g tha t tim , Th ornt on di d 11 0 1 a ch'an e th e issue> 111 Wa ter ou rt. n
O\e mb e· 21 , 200' Aurora purdi..1s ed all of Th -:Jr nton's ,,ater rights ori gi nall y de reed in Park
Coun t), T:le applica tion" as mcl ud ed in Aur ora's purchase of ,, ater right, fr om rhorn ton .
As a result o f press llfe o n Aurora 1rom th \ \la ter Court to proceed, and AtJrora's desire to k ep its •
con umpti\e us e \\ater, di\ agreeir1en t was reac hed. The es sence of th e agreemen t is as fo ll ows.
1\urorJ \\11\ deli\Pr S09 acre fee t 0 1 single us e wa t r eve!) ye ar , 111 bo th drought Mld \\et years. In
e,trem e drought conditions, ii Aurora runs o ul 01 sin gle ust! ·., ater (\, hich is, ery unlikPlvl. Aurora
c.m pro, ide a lesser an ,a unt of com,umpth e use wa ter. In such drought cond,uons, Engle" ood an
actu ,,11~ reuse the co nsump th e use "ater Th e wa ter w,11 be de lh r d b I\\ ec n lul y I and Augus t
15, "hich ,, 1\1 make it ea y for Englewood to se ll it to Cen tenni.il. This amounts to ,111 additio nal
~71 acre fee t per year, plus th e o riginal 238 acre-foo t a, er.,ge ha s been rendered reliable in a
drought vea r.
Thus th e agreement \\ ill pro, ide \\ .1ter in a fr<ed and prt::clic table amount during drought,
1or tunat el) clunn g th e dries t stmlmer months. The "ater wo uld be quit e use ful to E,1glewood if
the re is a se, ere drought like th e o ne experienced in 2002. Als o, it would help Engle\\ ood meet its
quota for deli\ ery to entennial.
fl ANA CIAL IMP ACT
The rnarket price for the 171 acre 1pe t 0 1 ddditi onal \,,1ter i ;ippro,ima tely SI 0 ,000 to S20,000 pe r
,1t rti 1001 for 1 101.1.I amount !·wt\, ee n S:!. 7 10,000 and $5,420,000. The tru e in ere 1se in \ alue 1s
mort• than th ,tt. i,111 u:• th ~ 2 rn at.re fee t pr e, 10usl) r<-"ceI, eel is made reliable in dr c-.1ght years. Th e
,1d cht1 onal .. tel" L•ril'!-. to CcntC'1m1.1I :,hould l-.'ll,1b le th P p11 ce of" ,1ter so ld to c n1 e nnial to rJ tch et up
Ill ~()I ).
Lng1 '\' ood h,lS long 1 ~1,1mecl D,1, 1d I 1111 ,,ncl hilt m111 10 r ~prt:>itl'llt I np.lewood .,nd t>ll'itll'!.~ thr1 1
lus t ric,11 p,11terns 0 1 di \ ~rsm n~ arc prott..•LW d, ,111d tha l Ill'\' d1\ e1c.1rnls b) milers ,1r 1,1\\ 1ul .rncl non·
m1unm1s. rh1s 1,1\ or,1bl c lte ttl e menl b .1 product of that " ork .
LI ST Of ATTAC HM E TS
I ,terpt 1rom the \i\',ll er .md Se\,er BoMcl \mult'lt 01 lhe lul y -, 2()10 i\\N•ting
n,u tor OrclmanLC
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\\"ATER AN D ."E \\'ER 13 ARD
~II~ TES
Jul ) 7. ~010
n1c mc:cting wa~ i.:alkd 10 01<lcr .n 5:07 p.m.
l\ I embe rs pre sent:
~ !embe rs absent:
. .\!so presen t :
Burn s. Clark. I \i gda y. Cass id). \\'i ggi ns. Ha benich t
Olson. ~le aslin, \\'oodward
S11.:wa n Fonda. Dire ctor of tili lli..
Bill tc Co rm ick , Operati ons Supt.
Excupt (mm Pt1J.:''' ./. 5 1111// 6 of tlH' July 7, llJ/0 Wat er 11ml Sewer /J na rtl ,\li1111tt!,
S [;L !·.S I · lli\\'IDI II LI ,\l,Rl ·Dli.N l"\\'1111 !"Ill l'li"Y Or 1\l l !WR \
1(1·(;,\R DING \\'.-\ 11:R Dl·Li\'I.RY o nuc;A I IONS
\Ir. 1 lill appc:ui.:d hi.:fon: 1hi.: noard h.' di,cu"I, th.: ln11.:rg0\i.:r111m:111al ,\g1i.:i.:11h:nt Ri.:gard1ng \\ th.:r
DdiH.'~ Oh li g.a ti un:, hct,,l!i.:n thi.: Cn: ,11' Engk"mu.l and the Ci ty of Aurora .
\Ir . 1 lill l!:\J)laincd th at in 1hi.: \ 9 XO ' ,. the ci ti ci.; of 1 hornwn and Wc-.tmin:,,h.:r applkd in \\ :11 cr (.\rnr1 for
l!~trn \\,1h:r to fill~ big enlargement l)r Standk: La~c . rhc C:\l rn <ll\cr :-inn, con Id ha, e po1cn1iall:
han:1 cd I ngk"ood bcc:m..,c i1 c(m ld ha, c cau..,cl l ca lh from do" r ... 1rcam ..,,.-ninr nµhh on th c . nu th Pl ath.~.
and 1ho!'JL' (,,11.., \\U11ld h,1\1.! ..,J,u1 thmn ..,t,111c lll I n!,!11..',,omr ~ ,cni11r cl1,cr-.1m1:-.
On <ktobcr I 0. \INO. a ,c11\cmc n1 ,1g1cc n1e..:nt \\:t s madc "hcn.:h) 1hc Ci t) or I hflrnh,n and \', c,tm in ,tc r
\\ll Ukl ddi,cr r,1\\ ,,ah.:r i., l;n~h:",,,u\ ,II onl' or mMc or 1.ngh.•,HlOl.l"s pt11nh ll f llhcr~ion ,,n the~. Platte
1<1,cr . I hi.! \\atcr Ill hl' deli, e1cd , .1ril,I lli.:I)l'lhllllg ,11 ,mh 1unh d1,cr1cd tn Swndh.·~ I .a kl' \)di, l'ric,
,,crc h' hl· ,1 m1111mu111 ,11' -5 a(rc ki.!1 and a ma,inrnm ,1! 1"15 acn.· fccl Ddi, cric, a, cr.tgcd ::: Hi ,,crc \Ccl
pl'1 ,c.ir .md camc fn1m I J111rnhm ·.., '-i ,1 111h \l ,1rk \\.11cr nµhi... I hc .., .. ·111....·mcnt p11 1, 1lkd m1111mal \\,II 111
lltl,tt~ht ~ .. ·ar, ,11ul m.1,111111111 ,,a1er 1n ,, ... , ,c,tr, \\ l11lc 11 \\;1, a, c1"\ ,.1lu,1hlc ,cttlcmcnt. 1he lad ,,1
Jd\\crk .. 111 dr,1 uch1 ~c:1r, rcd11c ..:li thc ,ahh:
I hc lkll,crcd \\,11 cr ''"' to hi.: rcu ... 1hlc :1, comlnnptiH· 11,1." \\/IICI'. ,,hn:h cn uld bc c,q 111rut and l'L'tl 'lc..'d 1t,
1..·,1inc1h,n
In 199R rl1Mnhll\ app li ed in \\'at1..·r Co urt ll' 1mn idl' th,: \\atcr 111 \\Cl ) c.:-nr~ tro m a I 99R 11 ght at Chatfo.'ld
lh-,cno,r. \ ll lkt the ,1pph~:'llil111. l 11glc"o1.,d ":1' r1..·qtnrl'd h l rc -u"c th l' \\atcr in nnkr h i pl'rl\!ct
I h1.1rnwn·., :1pplu.:,11i1H1. \\h1ch "a"' m,1 prac1i cn l. I 11gk"l'l'cl opposed the app\1~.111011. hm kl'~. for 11
)Car.... Dunng that 111\ll'. r\h1rn1on li1d not athan..:c thl' i .. ,uc 111 \\',tt,'" Court On '-nHml,cr 11. 1001
,\u rMa purd1a-,i.:d all ol I hornton·-. \\;1tcr righb 11ngma l,y 1.k c.:rcc.:-d III P,1rk (.\nmt). I he.: application"'"
indmkd in ,\ur~,ra·~ pun:h,, .. c nl'\\a tl·r riglu, fwm I hornh1n .
As u result of pres sure on Aurora from the Water Co urt to proceed, and Aurora 's desire to keep it s
co nsumptive use water , an agr eement ,. ,5 rea ched . The esse nc e of the agre ement is as foll ows.
Auro ra will deliver 509 ac re feet of sin gle use wa ter C\I Cl)1 yea r, in both dro ught and wc1 yea rs. In
extreme drou ght co1 di tio ns, if Aurora run s out of sin gle use wa ter (w hi ch is \/Cl)' un likely) Aurora can
provide a lesse r amou nt of con sumptive use water. In such drought co nditi ons, Eng le wood ca n ac tu all y
reu se th e co nsumpt ive use water. The wat er will be delivered between July I and August 15. which wi ll
mnke it cnsy for Eng lewood to sell it to Ce nt enni al. Thi s nmoun1 s 10 an additi ona l 27 1 ac re feet per year.
plus th e orig inal 238 nc reMfi ot avera ge ha s been ren dered relia ble in a drou ght year.
The agreement will provide wat er in a fixed and predi ctable amount durin g drought , fo rtun atel y during
th e drie st summ er month s. The wa ter wo uld be quite usefu l to Englewood if th ere is a se vere drou ght
lik e th e one experien ced in 200 2. Also , it wo uld he lp Eng lewood me et it s qu ota for deliv ery to
Centenni al.
The rn arkn price fo rthe 27 1 acre fee t of additi onal water is approxima tely $10,000 to $2 0.000 per acre
foo t for a total amount be twee n $2.710,000 nnd $5 ,420 ,000 . Th e tru e increase in value is more than that.
sin ce th e 23 8 acre feet previ ously received is made reli able in drought years . The addit iona l deliveri es to
Ce ntennial should enable th e pri ce of wa ter so ld to Centennial to r<1t chet up in 20 I 3.
Mr . Habe nich t mov ed:
Mr. Burn s scc onckd :
Nays :
r,.1cmber s ab se nt :
ri.loti on carried .
To re co mmend oun cil nppr uva l of th e Intergo vernmental
Agrecm c n1 Rega rdin g Water Delivery Ob lign 1ions betwee n
th e ity of Englewood and lh c it y of Aurora .
Burn s. Chui,., lli gday . ass id y. Wi ggi ns, ll :i1.l cni chl. \V ood\\:ird
No ne
Olso n. McC asli n
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