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HomeMy WebLinkAbout1994 Ordinance No. 028ORDINANCE No.J.Z SERIES OF 1994 BY AUTHORITY COUNCIL BIIJ.. NO . 31 INTRODUCED BY COUNCIL MEMBER HATHAWAY AN ORDINANCE AUTHORIZING AN INTERGOVERNMENTAL AGREEMENT FOR PAYME NT IN LIEU OF TAXES BETWEEN THE CITY OF SHERI DAN, COLORADO AND THE CITY OF ENGLEWOOD, COLORADO . WHEREAS, the City of Englewood en le red int.o a contract with the City of Sheridan i, 197 4 providing for the development of the Englewood Golf Course in the City of Sheri dan; a nd WHER EAS, the Golf Course was developed in the !ale '70's and early ·ao·s consis l.e nt ";th the 1974 agreem ent; and WHEREAS, in 1993 a d eed required by the 1974 agreement was transferred t.o Sh erid an concerni ng the South 30' of the property t.o prevent Englewood from ann exi ng the G,,lf Course ; and WHEREAS, after study and review by the Englewood City Council, Englewood citizens , consult.a nts and advisory groups in 1993 a determination was made to move forward with ex pansion of the golf co urse and t.o add an executive 9 hole course and enlarged clubhouse , and as a result of these improvements it is necessary t.o proceed with the P.U.D.; and WHEREAS, the City of Sheridan desires to protect its residents from an u \lsi on of its tax ba se; and WHEREAS, the City of Englewood understands the need for the City of ~h eridan lo protect its e roding tax base; and WHEREAS, the City of Sheridan and the City of Englewood desire to fosler coop erative gr ow th for both cities ; and WHEREAS, on May 9, 1994 the Englewood City Council approved the concept that Englewood sho uld mak e a payment in lieu oft.axes and the City Attorney was requ ested t.o draw up e n agreement; an d WHEREAS, the City of Sheridan and the City of Englewood desire t.o enter into an agree ment allowing the City of En glewood to expand its Golf Course and to prolect th e tax base of the City of Sheridan ; and WHEREAS , th e Planning Co mmi ssion for the City of Sheridan has reco mmended that th e P.U.D identified as the Plann ed Unit De velopment Applicntion for the City of Engl ewoo d be approved; and WHEREAS, th e P.U .D. approval is necessary for the expansi on of the Englewood Muni cipa l Gol f Cou r se ; and WHEREAS, ";thout t he approval of th e P.U .D. identified as the Planned Unit Deve lopment Application for the City of Engl ewood, Engl ewoo d would not agree to the term s of th e Agreement; -1 - NOW , THEREFORE, BE IT O7,IDAINED BY THE CITY C'OUNCIL OF THE CI'fY OF ENGLEWOOD, COLORADO, AS FOLLOWS: lil:wmu. The C:ity Council of the City of Englewood , Colorado hereby approves the entering into an int.ergcvemmental Agreement For Payment In Lieu Of Taxes between the City of Sheridan, Colorado and the City of Englewood, Colorado. The terms of such contract are gen l'.:rall y as follows: THE Cl'l'Y OF ENGLEWOOD HEREBY AGREES: I. To collect from patrons of the Englewood Municipal Golf Course, tl:ree and one- half percent (3 .5%) of all Green Fees. The City of Englewood sh a ll remit said sum to the City of Sheridan on an annual basis, said payment to bf' made ¥.ithin thirty (30 ) day s of t. ,e end of the City of Englewood's annual audit. 2 . Th e residents of the City of Sheridan shall be entitled to pay Englewood resident rates for Green Fees and Instructional Golf Classes offered by the Englewood Recreation Department at the Englewood Municipal Golf Course !orated in th• Ci l" of Sheridan . Said rates to be set solely according to the policies of the City of Eng,ewood a•t d without the approval of the City of Sheridan . ., . :1 1v i ';ity of Englewood shall install stonn drainage improvements to alleviate re0<curring flooding conditions along South Clay Street adjacent to its existing Golf Course. The proposed im provements will consist of the construc tion of a 36 " diameter storm sewer , possibly in conjunction with open drainage ditch, to intercept storm waters fr om the drainage ditch along the east side of South Clay Street (at approximately the intersection of South Clay Stnet and West Mansfield Avenue), and divert a percentage of this storm water to the east for di scharge into th e South Platte River. The desi gn , choice of materials, and ulignment, for said impr ovements shall be at Englewood's sole discretion and expense. Storm flows not accommodated by this system will cont inue to the north in the ex.isli ng drainage ditch along the east si~e of South Clsy Street. This stonn water discharges into South Bear Creek. As per the original drainage plan for thi s area, flows not acco mm od ated by th i~ r,t N storm sewer system or the Clay Street dilch will breach the ditch bank, now overland easterly across the golf course, and discharge into th e South Platte River . The existing topography along South Clay Street dictates that th e majority of sto rm drainage from the Golf Course nows easterly into existing lakes and into the South Platte River . Englewood antic,pates no grading change at the Golf Co urse that would incre ase storm flow s from its prope rty into the drainage ditch al ong the east side of South Clay Street. 4 . The City of Englewood agrees to perfo rm those obligations set forth in th e P.U .D. identified as the Planned Unit Develoo ment Application for the City of Englewood within the City of Sheridan, State of Colorado as approved by the Planning Commi s sio n for the City of Sheridan . 5 . The City of Englewood agrees to continue to collect and to remit to the City of Sheridan all sales truces generated by taxable sales activities at th e Golf Course . -2 - THE CITY OF SHERIDAN HEREBY AGREES : I. To approve the P.U.D. identified as the Planned Unit Development Application for the City of Englewood which has currently been approved and ,-.commended by th e Planning Commi&Bion for the City of Sheridan. 2 . The City of Sheridan •hall not implement or attempt to implement or acceu any other fe e on the Englewood Municipal Golf Course. MUTU AL PROVIS IONS : 1. Th e te rm of this contra d shell tem1inat.e twenty (20i j ' •. :~!'s from the date h~reo f. 2 . It is expre ssly understood and t :Tfeed that enforcement of the terms and conditions of the contract, u · _ oil rights of action relating to such enforcement, shall be strictly reserved -•'nglewood and Sherid n••, l ~d nothing contained in the contract shall give or all oy, any &u ,!h claim or rit,. t of action by any other or th ird person \<;"1 such contract. It is the express inte nti r.n of Englewood Bnd Sheridan that any person other than the City of Englewood or the City of Sheridan shall be deem ed to be an incidental beneficiary only. 3 . The City ,• .. J, c:ridan represents a:td warrants that it has tak en all actio ns tha t ar e neces ,."!ry or that a.re requir ed by its procedures, byl aws, or applicabl e law , to legally authori,e the undersign ed sign atory to execute the Contract on behalf of the City of Sheridan and to bind the City of Sh eridan to the terms of tho Contract. 4 . This Agre emen t sh all not be effective unless the City of Sheridan on final reeding approves the P .U.D. application on or before 28th day of June, 1994, and does not repeal or take an y act inconsistent with approval of the P.U.D., and does not impose &.ny con ditions in addition to those imposed by the City of Sheridan Pl anning and Zoni ng Commission. 5 . Thi s Agree ment shall automatically terminate if at an y time the Ci ty of Sherid an violates any tenn of t!1is Agreement or otherwi se interfere s \\ith the ope ratio n s a t the Engl ewood Municipal Golf Course. 6 . The City of En gJe,.·ood agrees to perform all duties and to fulfill all r equirements imposed upon it as set forth in the P.U.D . approved by the City of Sheridan r elating to the Englewoo d Golf Course, and the City of Sheridan may enforce all such duties and r eq uirements as authorized by law. 7 . Thi s Agreement sh.all terminate at any time the City of Sheridan shall undertake any effort or shall im po se any other additional obligation on the part of the City of Englewood to pay any govemment.ul charge, tax or fee . Sheridan may enact any changes it desi re s; howeve r, if an y other change is approved by the City of Sheridan th e Agreement, at the option of the City of En glewood, may be te rmin ated . 8 . This Agreement shall be bin ding upon and inure to the benefit of th e parties he reto, th eir Pil..i. .:~sso rs and assign s. Introduced, read in full , and pnssed on first reading on the 6th day of June, 1994 . . 3. 1994 . Published as a Bill for an Ordinance on the 9th day of June, 1994. Read by title and passed on final re•ding on the 20th day of June, 1994 . Publi shed by titl e a s Ordinance No .J.'t , Series of 1994, on the 23rd day of June, I, Loucrishia A. Ellis, City Cle rk of the City of Engl ew ood , Colorado, hereby certify that the abo ve and foregoing is a true copy 9f the Ordinance passed on final reading and ,,s,;,>,a>,<;tl, •"""''""No. J(, Smo '""'· ~ d ~ Loucrishia A. Ellis -4 - AGP .EEMENT •'OR PAYMENT IN LIEU OF TAXES BETWEEN THE CITY OF S'·.iERIDAN, COLORADO AND THE CITY OP ENGLEWOOD, COWUAl..'0. This Agreement, ente,.~ into this ___ day of ______ , 1994, by and between CITY OF SHEF.'D,\N nlhr rid,,,,") and the CITY OF ENGLEWOOD ("Englewood") municipal corporbLions of the State of Colorado . WHEREAS, lhe v:" .. ~I.' -~,Jwood ~esi re s to e,pand its Municipal Golf Course located within the City of She,,d u:., clfld 'WHEREAS, the City of Sheridan desires to protect its residents fro m an erosion of its tax base : and WHEREAS , the City of Englewood understands the need for the City of Sheridan to pr otect its eroding tax base; and WHEREAS, the City of Sheridan and the City of Englewood' desire to foster coop erative growth for both cities : and WHEREAS, the City of Sheridan and the Ci ty of Englewood de sire to enter into an agreement allowing the City of Englewood to expand its Golf Course and to protect the tax base of the City of Sheridan ; and \\liEREAS, the Planning Commission for the City of Sheridan has recommended that the P.U .D. identified as the Planned Unit Devel opment Application for the City of Englewood be approved ; and WliEREAS, th e P.U .D . approval is nec essary for the expansion of the En glew ood Muni ci pal Golf Course : and \\'liEREAS, without the approval of th e P.U.D. identified as the Planned Unit Develo pmem •· ,!,c ation for the City of Englewoo d, Englewood would no t agr;e to the terms hereof: :-/OW THEREFORE , in consideration of the covenants and promises contained herein, th e suffic iency of whi ch is acknowledged by the parties, the parties agree as follow s: TH E CITY OF ENGLEWOOD HEREBY AGREES: To collect from patron s of the Engl ewood Municipal Golf Course, three and one- h• 'f percen t (3.5%) of a ll Green Fees . The City of Englewood shall remit aaid sum to the City of Sheridan on an annual basis, said payment to be made within thirty (30) days of the end of the City of Englewood's annual audit. 2 Th e re sidents of the City of Sheridan shall be entitled to pay Englewood residen t r ates for Green Fees and In structional Golf Classes offered by the Englewood Rec reatio n Departme nt at th e Englewood Municip ~I Golf Course located in the City of Sheridan . Said rates to be set solely accor-lini: to th e policies of the City of En g le wood and v,tith out th e approva l of the City of Sheridan . 3. The City of Englewood sha l! in stall storm drainige improve men ts to alleviate reoccurring flood ing con diti ons along Sou th Clay Street adjacent to its existing Go lf Course. The proposed improve ments will consist of the con structio n of a 35 ·· diam eter storm sewer, pos si bly in co njunction with open drainage ditch , to inte rcept storm waters from the drai nage ditch along the east side of South Clay Street (at appro xi mately the intersection of South Clay Street and West Mansfield Avenue), and di vert a pe rcentage of this storm woter to the east for discha.·ge into the South Platte River. The desi gn, ch oi ce of materi~s. and alignment, for said impro ve me nts shall be at En glewood's sole discretion and expense. Storm fl ows not acco mm odated by this system will continue to th e north in the exi sting drainage ditch along the east side of South Clay Street. This storm water discharges into South Bea r Creek. As per the ori ginal drainage plan for this ar ea, fl ows not acc ommodated by this n ew storm sewer system or th e Clay Street ditch v.111 breach the ditch bank, flow overland easterly across the golf course, an d disch a rge in to the South Pl a tte River. Th e existing topogr•phy along South Clay Street dictates that the majority of storm drainage fr o!Tl the Golf Cour se flows easterly into existing lakes and into th e South Platte Rive r . Englewood an ti cipates no grading change at the Go lf Cours e that wo ... ld increase storm flows from its property into the drainage di tch al ong the east side of So .'.h Clay Street. 4 . The City of Englewood agrees to perform those obligations set forth in the P.U.D . identified as the Planned Unit Development Application for th e City of Englewood within the City of Sherid ••1, State of Colorado u approved by the Planning Commission for the City of Sheridon. 5 . The City of Englewood agrees to continue to collect and to remit to the City of Sheridan all sales t.w<es generated by t.w<able sales activities at th e Golf Course . THE CITY OF SHERIDAN HEREBY AGREES : 1. To approve the P.U .D. identified as the Planned Unit D!velopment App lic ation for the City of Englew ood which has ~u rre ntly been approved and recomrr,ended by the Planning Commission for the City of Sheridon. 2. The City of Sheridan shall not implem en: ... 11ttempt to implement or access any other fee on the Englewood Municipal Go lf Cou rse. MUTUAL PROV!SlO:-IS : 1. The term of this contract shall terminate twenty (20) years from the date hereo( 2 . It is expressly understood ,~a agreed that enforcement of the terms and conditions of th is t tract, and all right.s ·-'' M:':l on relating to such enforcement, shall be strictly reserved to Englewood and Sh•ridan, and nothing contained in the contract shall give or allow any such claim or right of act.ion by any other or third person on such contract. It is the express intention of Englewood and Sheridan that any person other than the City of Englewood or the City of Sheridan shall be deem ed to be an incidental beneficiary only. 3 . The City of Sheridan represent~ and warrants that it has taken all actions that are ne.:essary or that &!e required by its procedures, by laws, or applicable law, to legally authorize the undersigned -;gnatory to execute the Contract on behalf of the City of Sh eridan and to bind the City of Sheridan to the terms of the Contract. 4 . Thi• Agreement shall not be effective unles, the City of Sheridan on final reading approves the P.U.D. application on or before 28th day of June, 1994, and does not repeal or take any act inconsi stent with approval of the P.U.D., and does not impose any condi tions in addition to those imposed by the City of Sheridan Pl anning and Zon ing Commission . 5 . Thi s Agreement sh a ll automatically terminate if at any time the City of Sheridan violates any tenn of this Agreement or otherwise interferes with the operations at the Englewood Municipal Golf Course . 6. The City of Englewood agrees to perform all du· ·es and to fulfill all requirements imposed upon it as set forth in the P. U.D. approved by the City of Sheridan r elati ng to the Englewood Golf Course, and the City of Sheridan may enforce all su..:h duties and require ments as authorized by law. 7 . This Agreement shall terminate at any time the City of Sheridan shall undertake an y effort or shall impose any other additional obligation on the part of the City of Engl ewood to pay any governmental charge, tu o-fee . Sheridan may enact any changes it desires: however , if any other change is approved by the City of Sheridan this Agreement , at the option of the City of Englewood, may be terminated. 8 . This Agreement shall be binding upon and inure to the benefit of the parties hereto, their successors and assigns . In Witness , the City of Englewood and the City of Sheridan have caused th is Agreement to be executed by their res pective officials and attested to on the date sub sequently li sted. ATTE ST : Loucrishia A. Ell is, City C,erk Dated : 4 THE CITY (IF ENGLEV.JOD, By : Sheri Gulley, Mayor CITY OF SHER'.DAN , ATTEST : By : ---------- Dee Hea th, City Clerk Dale Patron, Mayor Dated : _______ _ 5 Date June 6, 1994 lNITIA TED BY STAFF SOURCE COUNCIL GOAL COUNCll. COMMUNICATION Agenda Item i2m City Attorney Rick DeWitt, City Attorney NI A Subject Sheridan Golf Course PUD ISSUE/ ACTION PROPOSED -Approval of an ordinance authorizing an intergovernmental agreement between the City of Sheridan and the City of Englewood . BACKGROUND The City of Englewood entered into a contract with the City of Sheridan in 1974 providing for the development of the Englewood Golf Course in the City of Sheridan . 1 ,,e Golf Course was developed in the late '70's and early '80 's consistent with the agreement. In 1993 a deed required by the 1974 agreement was transferred to Sheridan concerning the South 30' of the property . The purpose behind this deed was to prevent Englewood from annexing the Golf Course. After study and review by the City Council, citizens, consultants and advisory groups in 1993 a determination was made to move forward with expansion of the golf course to add an executive 9 hole course and enlarged clubhouse . As a result of these improvements it is necessary to proceed with the P .U.D . The City Attorney, Rick DeWitt provided an opinion to Englewood personnel, Mayor Gulle y, Stu Fonda and Jerrell Black that legally the City of Sheridan has no authority to impose a requirement on the P .U .D. that payment be made in lieu of taxes . The Mayor, A Sheri 'Gulle y; the Acting City Manager, Stu Fonda ; and the Director of Recreation, Jerrell W, Black met with Sheridan offi cial s to discuss the matter. After dilcussions between Mayor Gulley, Stu Fonda, Jerrell Black and the City of Sheridan it is the recommendation of Mayor Gulley; Acting .City Manager, Stu Fonda; and the Director of Recreation, Jerrell Bla ck that Englewood make a payment in lieu of taxes . On May 9, 1994 the Englewood City Council approved the concept and the City Attorney was requested to draw up a contract. A contract was written and delivered to Sheridan's attorne y. At the pres~nt time the agreement is before the City Council for approval. PROS AND CONS OF OPTIONS REVIEWED Pros : 1. This maintains good relations with the City of Sheridan . 2. That the agreement will allow the Golf Course to go forward in a timely manner. 3. The agreement avoids litigation . 4. It helps an ailing City . Cons: 1. An additional expense for the expansion . 2. It is not legall y required . 3. It will re sult in increased fees ~t the Golf Course. 4. Is thi s good poli cy? 5. There ma y be Amendment 1 issu~;. that are created by this policy. ft\:AN ClAL L¼PACT STAFF ANALYSIS In the P .U.D. process the Recreation Director became aware that certain Council people in th e City of Sheridan were demanding that th e Ci ty of Englewood make a payment in lieu of tax es. The City of Englewood does not pay property taxes in the City of Sheridan as a re sult of the Colorado Constitution. FINANCIAL IMPACT Approximatel y $28 ,000.00 per year for 28 years to be paid by the Golfers ;,nd the Golf Fund .