HomeMy WebLinkAbout2007-09-17 (Regular) Meeting Minutes•
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ENGLEWOOD CITY COUNCIL
ENGLEWOOD, ARAPAHOE COUNTY, COLORADO
Regular Saaalon
September 17, 2007
1. Call to Order
The regular meeting of the Englewood City Council was called to order by Mayor Wolosyn at 7:30 p.m.
2. Invocation
The invocation was given by Counc il Member Barrentine.
3. Pledge of Allaglanca
The Pledge of Alleg iance was led by Mayor Wolosyn .
4. Roll Call
Presen t:
Absent:
A quorum was present.
Al s~ pre sen t:
Council Ma ni bars Tomasso , Moore, Ba rren tine , Oa kley , ,"1cCasl in,
Wood\"ard, Wolosyn
None
Cily Manager Sea rs
City Attorney Brotzman
Di,puty City Manager Flaherty
Chy Clerk Ellis
Deputy City Clerk Bus h
Director Fonda , Ull lltl as
m ·ec tor Black, Parks and Recreation
Director Gryglewicz , Finance and Ad mi nistrative Servlc•S
Director Wh ite , '.,ommun lty Development
Executive Ass istant Fenton , Commun ity De velopment
Hous ing Finance Specialist Grimmett , Commun ity Development
Commander Coll ins, Safety Services Department
Poli ce Commander Watson , Safety Services
Fire Division Ch ief Pattarozzl, Safety Services
5. Con1ld1rallon of Minute• of Previous Sualon
(a) COUNCIL MEMBER TOMASSO MOVED, AND IT WAS SECONDED , TO APPROVE THE
MINUTES OF THE REGULAR CITY COUNCIL MEETING OF SEPTEMBER 4, 2007 .
Mayor Wolosyn asked W there w-,s any discussion. There was none .
Vote raaulta :
Ayes :
Nays :
MoUon carried .
Coun cil Members BarrenUne , McCaslln , Moore , Wolosyn , Woodward ,
Tomasso, Oakley
None
6. RacognlUon of Scheduled Public Comment
Englewood City Council
September 17, 2007
Ptge2
(a) Bobby Thomas, Dean or Sludents at Englawood High School, said I would ""u ,o lalk
about the upcoming Homecoming par~rja that we are planning. The parade route will be switched this year , so I
wanted you guys to know that. In the past, It's traveled from Logan to Princeton, down Broadway to Kenyon
Street. We are looking to Incorporate Englewood Middle School , and possibly two of the elementary schools
Into the proposed route, which would start el Englewood Middle School , travel down Delaware to Tufts , tum east
on Tufts to Logan a11d then travel north on Logan and finish at the high school. I sp_::e with soma members of
the Police Department and also some City engineers and my understanding Is that that would help with some or
the traffic and delours and some or the costs ror Broadway . Bui I also understand that usually somebody comes
forth and talks about the parade every year . We round out that there will be a cost of $273 .00 , I believe . And I
was wondering ii the City Council would be willing to help offset some or those costs? That's for barricades and
different things that help to make the parade route sale . But the main reason that I'm here tonight Is Just to let
everybody know that for many , many years we 've used the same route and we're look ing to change that this
year to Incorporate Englewood Middle School and also a couple or the elementary sc;,ools.
Mayor Wolosyn said thank you . What day Is that parade?
Mr . Thomas re""1d the 28", start i.1g at 1 :30 .
Mayor Wolosyn sa ;d we usually don 't address Issues such as your request at this part or meeling, but I can
assure you , at the end of the meeti ng , under General Discussion , we will return to that . So , I er ·courage you to
remain . Thank you .
7. Recognition of Unscheduled Publlc Comment
(a) Doug Cohn , an Englewood resident, sai~ Engle.wood Days was a great success th is year.
Englewood shined for a day and folks had run . I wanted Iv cG,ne tonight and say thank you lo the City for ali or
the different things that you guys did to help make this successful. I wanted to say thank you to the Public
Works guys for doing the streets , the parking lots and the re-timing of the traffic signals, for work ing with us on
the electric signs to control traffic and then slowing the traffic down and loaning us the barricades . I wanted to
thank the Parks and Rec Department for loaning us the Show Wagon . That's a treasure that the City has and
it's not loaned out very easily, so I wanted to thank those guys for that. For Safety Services , lhank you all for
coming . I'm very glad that we did that booth . For Risk Management , and Joan Weber and the guys there, they
helped us out with the insurance, Including all or the mystifying insurance kind or stuff . For Community
Developmenl walking us through all or the perm its that we needed . And to you all as a City Council , for making
the decisions on closing Lincoln Street, and allowing us to use some or the City 's equipment to make our show
work . I wanted to present you all with a little bit or a thank you memento . We 'v e had framed some or our
posters from this year . There's a fellow named Steve Haugen , a local Englewood guy , who drew it, and Sir
Speedy printed it. A & B Custom Framing framed ii for us. So , I just wanted to say thank you .
Mayor Wolosyn said thank you and well done . I know it was a big success .
8. Communications , Proclamatlons and Appointments
(a) A leller from Jill Carlston announcing her resignation from the Board or Adjustment and Appeals
was considered .
COUNCIL MEMBER TOMASSO MOVED, AND IT WAS SECONDED , TO ACCEPT THE RESIGNATION OF
JILL CARLSTON FROM THE BOARD OF ADJUSTMENT AND APPEALS.
Motion carried .
Ayes : Council Members Barrentine, Mccaslin , Moore , Wolosyn, Woodward,
Tomasso, Oakley
Nays : None
(b) A resolution appointing Sue Purdy as a Board or Adjustment and Appeals member was
considered .
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Englewood City Council
lept1ttnber 17, 2007
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COUNCIL MEMBER TOMASSO MOVED, AND IT WAS SECONDED, TO APPROVE AGENDA ITEM I (b) •
RESOLUTION NO. 87, SERIES OF 2007.
RESOLUTION NO. 87, SERIES OF 2007
A RESOLUTION APPOINTING SUE PURDY AS A MEMBER OF THE BOARD OF ADJUSTMENT ANO
APPEALS FOR THE CITY OF ENGLEWOOD .
Vote rHulla :
Motion carried .
Ayes : Council Members Barrentine, McCaslln, Moore, Wolosyn, Woodward,
Tomasso, Oakley
Nays : None
(c) A proclamation declariny Thursday, September 20 , 2007 as Englewood Housing Rehab Loan
Program Day was considered.
COUNCIL MEMBER TOMASSO MOVED , AND IT WAS SECONDED, TO APPROVE AGENDA ITEM 8 (c) • A
PROCLAMATION DECLARING THURSDAY, SEPTEMBER 20 , 2007 AS ENGLEWOOD HOUSING REHAB
LOAN PROGRAM DAY.
Council Member Woodward said I would like to mention that, especially during these times of the sub-?rime
lending problems that are going on, that this gives the citizens of Englewood an opportunity for a real legitimate
alternative . And this is a very successful project. Congratulations Janet on what you have done with this, and
to Community Development.
Mayor Wolosyn said on Thursday, around 5, there 's a l!tle celebration honoring it.
Vote reaults :
Motion carried .
Ayes : Council Members Barrentine , Mccaslin , Moore , Wolosyn, Woodward ,
Tomasso, Oakley
Nays : None
Mayor Wolosyn presented Housing Finance Specialist Janet Grimmett with the proclamation . There was a
round of applause .
9. Conaent Agend•
(a) Approval of Ord inances on First Reading
There were no additlona , items submitted for approval on first reading . (S,1e Agenda Item 11 .)
COUNCIL M!MBER WOODWARD MOVED, AND ITWAS S.ECONDED, TO APPROVE CONSENT AGtNDA
ITEMS 9 (b) (I) and 9 (c) (I).
(b) Approval of Ord inances on Saccnd Reading
(I) ORDINANCE NO . 50 , SERIES OF 2007 (COUNCIL BILL NO . 50, INTRODUCED BY
COUNCIL MEMBER WOODWARD)
AN ORDINANCE APPROVING PERMANcNT UTILITY EASEMENTS TO THE CITY OF ENGLEWOOD FOR
NATCHES COURT BETWEEN WEINGARTEN MILLER SHERIDAN ANO THE CITY OF F,NGLEWOOD,
COLORADO .
(c) Resolutions and Motions
Englewood City Council
September 17, 2007
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(I) Cor.lracl with Jagger Roofi ng for the rehabilitation of the Allen Wat ,v ·~•eatmenl Plant
Ctaarwell Reservo ir Roof, In the amount of $50 ,309 .00 .
Vote r11utt1:
Motion c.urieci .
Ayes : Council Members Barrentine , Mccaslin , Moore , Wotosyn , Woodward ,
Tomasso , Oakley
Nays : None
10. Publlc Hearing l.tems
(a) Mayor Wolosyn sa id th is is a Public Hearing to gather input on the City's proposed Budget for
2008 .
COUNCIL MEMBER TOl,IASSO MOVED , AND IT WAS SECONDED, TO OPEN THE PUBLIC HEARING TO
GATHER INPUT ON THl' CITY'S PROPOSED BUDGET FOR 2008 .
Ayes : 'Council Members Barrentine, Mccaslin , Moore , Wotosyn, Woodward ,
Tomasso , Oakley
Nay s: None
Mot ion carried and the public hear ing opened .
All witne !i ses were dul y sworn .
Director Gryglewicz said I have prov ided the City Clerk with Proof of Publ icat ion of Notice of this Public Hearing ,
wh ich was in th e Englewood Herald on August 31'1• Septe mber ?1 11 and September 14111• Th is Public Hearing is
requ ired by the Cily Chart er to gather citizen input on th e 2008 proposed Budget. The proposed Buog et was
distributed on September 1 O'". It's required to be subm!ted to Counc il by the 15'" of September of each year .
I'd like to note thal lhe budget retreat wi th Counc il and staff , wh ich is open to the public , is th is Saturday ,
September 22 "', in the Commun ity Room, at 8 :15 a.m. Just a very brief overv iew of the General Fund as
propos ed: revenues proposed for 2008 , are estimated at $39,126,454 .00, with expendilures al $39,718 ,506 .00 .
So, what that is going lo do to our reserves is that we ha ve total reserves beginning of $5 ,501 ,778 .00 . The net
sources between revenues and expend itures proposed is a negative $592 ,052 .00. Our required res erve s,
mainly TA9OR reserves, are $1,194,800 .00, leav ing an end ing unreserved , undes ignaled balance of
$3 ,714 ,926.00 , as propo sed . And as I sa id, thi s will be discussed , in full , thi s Salurday morning .
Mayor Wot r ,yn asked if there we re any que stions for Frank , at th is point. There were none .
Mayor Wolosyn said than k y,,u Frank .
Mayor Wo losyn asked ii there was anyone else who wanted to speak during the publ ic hearing .
Kells Waggoner , an Eng lewood re si dent, said first of all I would like to commend you peop le on your ded ication
to the Ci ty . It's tough to find people who want to serv e and are will ing to serve . The ma in reason I'm here
ton ight is to talk about the old Eng lewood Depot. It 's se tting up here on Dartmouth and It's been setting up the re
probably 15 years ... 13 years maybe . Nolhlng 's happen ing . I'm sure the Parks Department takes care of the
grass . Somebody does . Waters ii, takes care of it. ti's a shame that th ing has to sit there after we moved ii.
with noth ing happening. At one time , as I remember, the City had some quarter of a million dollars in reservo
set aside and I don't remember whether there was a challenge grant or what, to try to improve that facility , that
build ing . Make It look Ilka someth ing. Let people use it. One time there was even talk about maybe moving the
Chamber of Commerce In there. Letting them use part of it as an office and the other part as a museum . It 's
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really a shame to let It set there and do nolh lng with ii. I think th is budge t...and I Just heard that you have some •
3 million dollars In reserve , unclassified or whatever you wan t to call II. It seems Ilka al least you could put some
money in there and try to get that building opened up and tel people use it. See what they're missing .
Transportation museum, whatever It is. Just do ii. Le t's get It done and gel some use out of that build ing .
Thank you .
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Englewood City Council
September 17, 2007
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Mayor Woloayn said thank yo,; Kalis .
Mayor Wolosyn asked If anyo11a else wanted to speak about the budget . See ing none , I am going to ask for a
mC1tlon to close the Public He~ring.
COUNCIL MEMBER TOMASSO MOVED, AND IT WAS SECONDED, TO CLOSE THE PUBL IC HEARING TO
GATHER INPUT ON THE CITY'S PROPOSED BUDGET FOR 2001,
Ayes : Council Members Barrentine, Mccaslin , Moore , Wolosyn, Woodward,
Tomasso, Oakley
Nays : None
Motion carried and the public hearing closed .
Mayor Wolosyn said my first budget , way back in 1999, one person spoke and no one else has ever spoken
until this one , at a budget public hea ring, so thank you Kells .
2.
(b) Mayor Wolosyn said th is is a Public ~••ring regarding Ker.I Place Metropolitan Distr icts 1 and
COUNCIL MEMBER TOMASSO MOVED, AND IT WAS SECONDED, TO OPEN THE PUBLIC HEARING
REGARDING KENT PLACE METROPOLITAN DISTRICTS 1 AND 2.
Ayes : Council Members Barrentin~. Mccaslin, Moore, Wolosyn , Woodward ,
T~masso , Oakley
Nays : None
Motion carried and the public hearing opened .
All witnesses were duly sworn .
Direct~r Gryglewicz said I provided the City Clerk with Proof of Publication for this Public Hearing . II was
published August 31 , 2007 In the Englewood Herald . Th is is a Publ ic Hearing to gather Input on a Resolution
approving the proposed Service Plan for Special Districts al Kent Place Metropolitan Districts 1 and 2 in the City
of Englewood . Representatives from Continuum Partners and White, Bear, and Ankele are present to discuss
the Service Plan with Council and to answer your questions .
Mayor Wolosyn asked if there were any questio,1s for Mr . Gryglewicz . She said do we have other people
speaking on this also, Frank , or Is it just questio . "
Director Gryglewicz said I am just introducing this ano then opening up to the publ ic and questions to Cont inuum
and their partners . Ms . Wolosyn said okay and thank you Frank.
Kevin Foltz, a Denver resident, said thank you for having us aga in ton ight. I'm actually going to turn over the
presentation to I< ·1sten Bear with White, Bear and Anke le to give the presentation , but I will be available for
questions and comments afterwards . But I would like to introduce Tom Gougeon, our Chief Development
Officer for Continuum Partners who is here , as well, to answer any questions or Clint Waldron, who Is with
Wh ite , Bear & Ankele, as well. With that , I will turn II over to Kristen .
Kristen Bear said we are here to consider a Service Plan tha t Is proposed for two Metropolitan Dlstricls ... Kenl
Place Metropolitan District No . 1 and No . 2. This is consideration of the Service Plan . This does not have
anything to do with the development approvals that are otherwise applicable to the development. The ::<ervice
Plan Itself governs tw~ districts that are Intended to be used as financing districts on the property. I am going to
go through Special Districts a little bit in general, as they are permitted under Colorado law and then specifically
as we proposed them under this Service Plan . So, Special Districts are quasi municipal corporations that are
organized as political subdivisions In the State of Colorado . They exist as separate and unique governmental
entitles apart from the City . They are formed under TIiie 32. They are statutory creatures . They are permitted
only that authority which Is provided pursuant to Title 32 and/or that authority that Is otherwise provided In the
Service Plan . So Title 32 can provide th is much authority . T Service Plan can constrain that or provide a
Engltwaod City Council
Stpttmbtr 17, 2007
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parall ,11 amount of authortty to the District. Districts era used as financing mechanisms . They are a component
part ol l".~ .. nanclng that Is necessary for projects like Kent Place . Special Districts are used both in the
commercial as well as residential context In Colorado . They provide for a portion of the total cost of
Infrastructure . So what you will see as a project moves folWard Is Special Districts can be used and, In addition
to a Special District, there Is conventional financing for construction loans, as well as other financing, that
developers may pursue to cover the portion of the cost that the District cannot cover . In addition to financing,
Districts may also own, operate and maintain eligible improvements . And I will talk a little bit more about what
Districts can and cannot do under Tille 32 . So, these are the types of things the District can do . They can
facilitate street improvements, safety protection improvements ... slop signs, lighting and things like that. . .Park
and Recreation improvements, water improvement, sanitary sewer improvements-inclusive of storm drainage
requirements for the project, transportation improvements, mosqullo control, television relay and translation as
well as fire protection improvements . The procedure for forming a Special District is statutory in nature . This is
the first step of the process that requires that we come to you as the entity with jurisdiction over the project to
get approval of the Service Plan . The Service Plan is the goveming document for a District. It is similar to a
City Charter or other type of bylaws for a corporation. And, ''ke I said before, it can have authorization
consistent with Tille 32 or ii can pare that authorization down . Whal we normally see, when that authorization is
restricted, is in the terms of the financial authorization that a District has . And, I will go :nto the \ypes of
restrictions that we put in place for this proposed Service Plan, in a little bit. So, assuming th ~. the Service Plan
is approved by the City Council or whatever jurisdiction that we dealing with, who!,,,~ have to do al that point is,
we have to gel permission to hold Ih a election . We submit a petition for organization to the District Court. The
District Court considers that petition and the context of what is required statutorily to make sure that we have
dolled all our i's and crossed all our l's. Assuming that is the case, the court will allow us to hold the election .
Just like the City, Districts being governmental entities, are constrained by the requirements of TABOR under
the Colorado Constitution . So, we are only permitted to go to election at certain times of the year. In 2007, we
are permitted lo go to a November 2007 election . And so, the limeframes with which we are constrained, we
have lo gel the Service Plan approved, we have lo gel to District Court and we have to gel that order permitting
us lo go lo the elect ion prior lo the election date . So, we will hold the election after the court hearing and the
court orders us lo hold that election, and upon a successful election , a court will order the District organized .
Thal organization is not affected until we actually record the order organizing the District on the property . That
becomes the first line of notice to homeowners/property owners out there ... that there is a District on the
property. The governing body of the Special District, after ii is organized, can be either a five or a seven board.
We normally see a five member boards, but it can be up to seven board members . Directors are elected
pursuant to Tille I of the Colorado Statues . So, this is an election just like the City holds an election for your City
Council positions, the District is required to hold an election as well. Board positions are staggered and
elections are held in May of every even numbered year for those positions that are vacant. An eligible elector
within a District is any persc ,, that is registered to vote in the State of Colorado ... so ii has to be an
individual. .. and they also have to hold a taxable interest In property that is within the boundaries of the District.
These are the people that will vote In the District election. They can own a fee title to a parcel of property . They
can own a business personal property interest that is subject to taxation . They can also be a resident within the
boundaries of the District for al least 30 days prior to that election . That is the pool of electors that we are
dealing with . Eligible electors are eligible to sit on the Board of Directors, so as development starts occurring , all
of those res idents and property owners will become eligible to sit on the Board . Districts provide certain benefits
in terms of what we are able to do . They provide governmental immunity, so the construction we do through the
Districl. .. any kind of operation and maintenance aclivities ... we are afforded governmental immunity just like the
City is . As I said before, Special Districts are governments . They have to adhere to all sorts of statutory
requirements and reporting requirements. We have them meet on a regular basis to nandle and authorize all
business of the District. .. so that would include construction contracts ... and any kind of financing that is
proposed through the District has to be approved by the District Board of Directors . Most Special Districts will
engage professional management companies if there Is a continuing kind of operational component to the
District. They will hire general counsel and accountants experienced with Tille 32 Special Districts . They will
also hire independent accountants or Independent financial persons to do audits for the Districts on an annual
basis . So the District Board, once this Board is organized and the District Is organized, Is a public ly accountable
Board . We hold open meetings with due r. ,11ce to members of the public . We have to maintain minutes of all
meetings and other records open for public lnspection ... so there are public record laws applicable to Special
Districts . We adopt annual budgets al Public Hearings held before the Board and we submit annual financial
au1;1s to the Slate . There are various mechanisms that we utilize in order to finance the public Improvements or
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Englewood City Councl!
Septe,~ber 17, 2007
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the Tille 32 eligible lmpro,ements of a District . The types of bonds that you see here are the most common
mechanisms . So we can Issue General Obligation Bonds, and that Is a bond supported by a property tax of the
District, that is secured by the full faith and credit of a District. That means the mill levy is unlimited in nature.
We can also Issue General Obligation Bonds that are supported by a limited tax of the District. That means
there Is a mill levy threshold beyond which the District cannot pledge toward the bonds . We can Issue Revenue
Obligation Bonds. Those are bonds that CM be supported by mill levies as well as other types of fees and
charges that could be assessed against the property . And then, Special Revenue Obligation Bonds, which
include revenues received from oulslde sources, sales tax sharing and things like thal. Whal we are proposing,
in the context of Kent Place, is a General Obligation Limited Tax type of bond . The approving jurisdiction, i.e.
the City, is not responsible In any way for the Districts' bonds . So, unlike other types of local improvement
districts that are often contemplated or considered, this is a separate obligation ... separate and distinct from the
City's liability ... it does not go on the City's books. II is held by the District. So for the Districts, we have
submitted a proposed Service Plan that authorizes the fonmation of two separate Metropolitan Districts . District
No . 1 would be the administrative district. II is responsible for coordinating all of the construction operational
activities that are a,,p!icable to the Districts in the development on a continuing basis . District No. 2 is proposed
to be the financing &rm associated with the Districts. It would be the entity that levies property taxes against the
property and ultimately issues the limited tax General Obligation Bonds . In the Service Plan, we have provided
that the Districts have authorization to undertake activities as provided under Tille 32 . So that includes the
entire list of powers and authorizations that you saw on the slide earlier relative to street improvements and
things like that. The improvements that we are expected to finance and undertake would inc lude street, water,
sanitary sewer, storm drainage, traffic safety control, landscaping improvements and parking facilities . Eligible
constru ction costs for these Districts are estimated at over $15,000,000 .00 . Upon complelion, the water, sewer
and off site road improvements would be dedicated to the City pursuant to ils standard rules, regulations and
policie s for acceptance of those types of improvements . In addition, COOT and Arapahoe County are involved
in lhe case of certain off site road improvements . Other improvements would be owned and operated by the
Distric t or the HOA respectively . We have included an operations matrix as part of the Service Plan, that goes
through th e majority of the improvements that we are contemplating the Districts undertake or the HOA
undertakes or the District developer undertakes and how those improvements will be operated , owned and
maintained in the future. This is the facs imile of the matrix that you have in your ~ervice Plan . So you will see
that we have tried to include all of the various improvements that are necessary fu Kent Place : who is going to
pay or fund those improvements; who is going to construct the improvements and then the continuing
obligations for maintenance and dedication . The financing, that we are proposing, would be supported by a mill
levy of approximately 35 mills . In the Service Pl an itself, we have propose d a mill levy cap of 50 mills . II is
subject lo adjustment for what we call the Galla gh er Amendment. So , as residential ratios decline in the State,
we would be permitted to increase that mill levy in an equivalent amount such that the lax revenues that the
Districts received would be comparable . The estimated interest rate for the District debt is 6% as shown in the
financing plan and the term of the debt proposed is 30 years . Additional administrative and operational costs
are proposed lo be funded by an additional mill levy of approximately 5 to 10 mills . Because ii is a government,
we will have continuing legal, financial and other types of reporting in compliance activities that will have to be
funded by the District. So those are the type of administrative costs that are contemplated here . The
development projections that are utilized in support of the issuance of approximately $17 ,000,000.00 of District
debt include an 11 .4 acre luxury residential and retail project. II is primary residential with retail and office
elements . Al full build out, ii is anticipated to have approximately 270 lo 300 total units with 51 ,000 squa,e feel
of retail and office space . Currently, the total overlapping mill levy is 76 .22 mills . Thal is a mill levy tr.at is
evidenced by the City , School District as well as other overlapping jurisdictions that impose a mill le ·,y in this
property . With the 35 mills that is proposed for the District , the total overlapping mill levy would Inc rease to
111 .22 mills. We provided a comparison of overlapping mill levies that are in this area and you wilf see that the
111 falls well within what we are seeing for other comparable developments in this area . That is the end of my
presentation . I wanted to leave some lime to give you the opportunity to ask questions . I know we discussed
the Service Plan a little bit at the Study Session, but you didn't have a document In front of you so I wanted to
provide you with some time for questions that I would be happy to answer .
Mayor Wolosyn said I believe there are some questions .
Council Member Woodward said my first question would be , on Exhibit C: the District boundary map . Has that
changed since the Study Sess ion ... as I recall , I thought there were certain areas that we were talking about the
Englewood City Council
Se~;•mber 17, 2007
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garage, the entry coming off Hampden and stuff? And, It appears that District 2 Is lhe whole site . Has that
changed or did I misunderstand that at the Study Session?
Ms . Bear said District 2 Is antic ipated to be the entire site , because the property tax revenues that we wilt collect
need to be supported by both the residential as well as the commercial property.
Mr . Woodward said so I misunderstood It at the Study Session. Ms . Bear said yes and quite frankly, I believe
Iha map that was presented to you ii Study Session was a site plan ... a preliminary site plan. It wasn ta District
boundary map . Mr. Woodward said okay . Ms . Beer sa id I believe th is Is the first time that you havP. oeen
presented with that document.
Council Member Mccaslin said now we are basically allowing for the election of th is Speclal District , correct?
And what happens if It doesn 't pass? Tell me how that works .
Ms . Bear said it the election doesn 't pass? Mr . Mccaslin said yes . Ms . Bear said well, first the election would
be voted on by the elig ible electors in the boundaries of the Distr ict . Assum ing that for some reason it was
voted down , we would not have our Service Plan authorization , we would not be able to issue debt.
Conceivably , we could come back to City Council , get authorization to move forward wit h the Service Plan at
another time and try the election aga in. But as I stated before , the election time frames with wh ich we are
allowed to get the debt and taxing authorization are constrained by TABOR. Mr . Mccaslin said correct, okay .
Ms . Bear said so we would be delayed until May of 2008 . Mr . Mccaslin said thank you .
Council Member Barrentine said how many eligible electors do you have for this Special Elect ion? Ms. Bear
sa id initially there would on ly be between 5 to 10 electors . They are generally devaloper representatives ,
because there are no other electors on the property right now . It is only the deve ·.oper that ho ld s an interest in
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the property . Ms . Barrentine said that cuts the odds down on whether it passes or not, I un derstand . Ms . Bear •
said it would be unusual for it not to pass . Ms . Barrentine said so presently , right now . the stake holders that are
part of this District are only those people who own property with in that District and that Is the devalopor . Ms .
Bear said that is correct. Ms . Bar rentine said okay . Have you sold any ... there are no residences right now?
There is no residential voter right now? Kevin Foltz said no , there are no other resident s ... no other pare;l'l,; of
land has been sold outside of the developer . Ms . Barrentine said okay and who are those 5 to 10 people ... they
are all within the same organization? Ms . Bear said yes . Ms . Barrentine said okay .
Counc il Member Woodward said have you dona this on other projects ... you obviously have been very active in
the Denver metro area .. .for example Belmar . Is thi s somethi ng that you ha ve dJne there?
Mr . Foltz said it is very common . We have done it on Belm~r. our Bradburn project in Westminster ... a
residential mixed-use project, as well and the District is baing assembled for the Belle view :;talion project .. just
in the Denver , 1-25 Corridor.
Mr . Woodward said I guess just go ing a little further with that , ask ing our own Commun ity Developmant Director
Alan Wh ite . Alan , in general . not spec ifically speaking to this , because I don 't know how much you have seen
this , in your experience , is this a common financing mechan ism for this type of project ... a project of th is siza?
Director Wh ite said ii is a common finance mechan ism and it Is being increasingly used throughout the State ,
not only in the metro area . It is incr, asingly used as a financing tool . A lot of the sem inars and training that I
have gone to over the past few yea rs always spaa k to metro distr icts as being one of the financing tools that Is
available for development and redevelopment projects .
Cou ncil Member Woodward said okay, thank you . And just to reiterate too, any and all City tax ... that Is sales,
use ano property tax ... ls senior to Iha metro district's laxes .
Ms . Bear said we have actually Included a provision , as part of the Service Plan, under which we are wa iving •
our exemption to the City's sales and use ta x. Mr . Woodward said okay , I just wanted to verily that.
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,':nglewood City Council
s,,ptember 17, 2007
Page 9
Council Member Woodward said lhere Is one olher question I wanlec to ask . On page 11 of the agreement,
actually It appears in two different places , "the d;sclosure to the purc!,asers " ... actually It Is page 2, "disclosure to
the purchasers, the District will use reasonable efforts to assure that all developers of the property localed within
the District..." etc . I want to know if the word can be changed there, and that Is "the District will use )_IJJ!nl
efforts" as opposed lo "reasonable", taslcally for the benefit of the future citizens of that project. As I think that
Is a higher standard , its best efforts as opposed to reasonable efforts . Ms . Bear said I don't think that would be
a problem , we would certainly agree to that. Mr . Woodward said that ends up on page 11 , number 9 Disclosure
to Purchasers , and then back In the very last agreement on page 2, number 9.
Council Member Woodward sa id I guess there Is just one other statement I would like to make and that Is, you
as a private developer ara taking on responsibilities for this project completely , and what this is talking about are
th ings like streets, parks and a lot of the things that may be presented in some types of projects with TIF type
financing, which the City would ba responsible for , which we are not responsible for ... whlch we don 't have any
responsibility at all here for . So, I think speaking for myself, as just one Council Member, with that change I am
in support of your Service Plan in Metro District Nos . 1 and 2.
Council Member Moore said as long as the Public Hearing is open we are free to come back and question ... so
for me , I would like lo finish if there is additional presentation . Thal is just my perspective . I have a couple of
questions that I will probably come back to .
Mayor Wolosyn asked if there was additional presentation. Mr . Foltz said no . Ms . Wolosyn said is that okay
with you that we might return with questions . Mr . Foltz said yes . Ms . Wolosyn said thank you .
::oue,;il Member Oakley sa id I would like , if possible, to bring back up one of the screens they had which I think
was In relation to , they sa id "depend ing on the type of bonds issued" or financing listed several and you picked
,ul one of them and you said that was the type you planned on using . They put up a screen and ha said yes, I
believe so , which one of those did you say? Ms . Bear said the General Obligation Limited Tax Bonds, which are
bonds that are supported by a limiled mili levy of the Distr ict. Because we have a threshold beyond wh ich we
cannot go under the Serv ice Plan , which is the 50 mill limit for debt, these bonds would be issued under that
scenario. Mr. Oakley said okay, but these other proposals are possible , just as sales lax and th e like, is that
correct? Ms Bear sa id we do not anticipate getting any sales ta x. Mr . Oakley said you don 'I anticipate any, but
you are not telling us that you won 't. Ms . Bear sa id unless the City were to agree to it and I don't think that issue
has even been raised . I think the answer would be no .
Counc il Member Moore said Wayne , their Service Plan is strictly limited to th is one type . I'm just trying to clarif)',
right? II is not like these other options can be introduced after the fact.
Ms . Bear said the financ ing plan that is attached to the Service Plan , is the document that go verns the debt th at
we can issue . This financ ing plan only shows these property tax revenues as a source of revenue to the District
for purposes of discharge of the debt. .. and not sales ta,.
Council Member Tomasso said any changes le that Se rvice Plan would requ ire you to come back to Council?
Ms . Bear sa id any kind of material modifications 10 the Service Plan ilself...so if we were to exceed or need lo
exceed any of the authorizations provided unde :· that documenl , we would have to come back to City Council al
a Public Hearing, just like tonight , lo get your a,)proval lo do so . So for instance , if we wanted to levy 65 mills
towards the debt for some reason, we would h.,ve to come back and gel your support for that.
Council Member Oakley said what is the time frame as far as getting th is on th e ballot this year? Is th is the last
meeting we have to decide this or is there any more time?
City Clerk Ellie said they ere work ing with a very tight timeframe and the next regular City Council Meeting Is
October 1" and : dcn'I believe that would allow them enough ti me. Ms . Bear said because of the time period
under wh ich we 've got to go to the District Court and get the Court to hold the Hearing to allow us to hold the
election . Mr . Oakley said , Just out of curloslly, how many months have you people thought about doing It this
way and come up to us with th is tight schedule? Ms . Bear said well I th ink this has always been contemplated ,
but we wanted to get the development plan as far ahead as we could so we could have some financial
Englewood City Councll
September 17, 2007
Page 10
projections that were based upon some good development projections . You know the mapping ... all of that
needed to get a little more advanced before we came beck to you with a Service Plan .
Mr. Foltz said this is not a new concept for us . Through the development proces, we actually put language in
the PUD, when we went through the PUD modification, and al that time we were !,,king al length about !his
financing mechanism .
Council Member Barrentine said when was that PUD modification, when was that discussion? Mr. Foltz said the
PUD modification? We put the language in the PUD modification ... Ms . Ba rrentine said no , I heard that part , I
said when was that conversation, when was that discussion ... the presentation? Mr . Foltz said that presentation ,
I don't know exactly when the approval was , but ii was in the early part of this year ... February or March . Mayor
Wolosyn said actually I th ink it was February 5th
• Ms . Barrentine said so when we changed over , because we
have been talking about this de velopment ... lhat you were using us for ... ! think since 2003 or 2004? Mr . Foltz
said probably, because the previous developer ... Ms . Barrentine said and the requirements of the PUD ,
requirements that were approved in order lo get Iha! development done, were part of that approval process, part
of Iha! Public Hearing, part of the meetings that happened with the community at !he time, about what !he
developer would contribute in order to gel that development through .
Mayor Wolosyn said actually are you talking about !he firs! PUD? Mr . Foltz said are you talking about !he
original PUD ? Council Member Barrentine sa id all of them, you took over, !here was no change in that
piece ... was there? Mr . Foltz said as part of the modification to the PUD, that is when we put in the language .
Ms Barrentine sa id and when did you take over the project? Mr. Foltz sa id we purchased the proi;erty in
December of 2005 . Ms . Barrentine said okay, so just lo address Wayne 's question , it has been sin ce 2005 .
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Ms . Barrentine sa id I need to ask !he City Clerk ... it is kind of coming across !hat th is is an all or nothing thing . II
either happens this November or it doesn't . I believe that you mentioned Iha! !here are two limes a year thal •
you can go ahead and have !his elect ion ... if I can ask the City Clerk whal...is !here an additional cos! lo the
City? We are lalking about stakeholders of from 5 lo 10 people . Whal would be involved in having a Special
Election if !hey weren't able lo gel on !he November ballot City Clerk Ellis said ii Is TABOR, so they are
restricted on when !hey can pul !hat on !he ballot Ms . Barrentine said right , so you said there is twice a
year ... November is one . Ms . Ellis said !he election is no! a cos! Iha! we are bearing , Ms . Barrentine said okay,
I see .
Ms . Bear said we actually run the election . The election is scheduled for November of !his year and our next
opportunity would be in May of 2008, because of those TABOR dales . Ms . Barrentine sa id okay . Ms . Bear said
ii would be prelly far oul in our schedule in terms of the timing with which we need !he development lo start and
financing lo be in place .
Mr . Foltz said and al Iha! lime, that wouldn't change !he namber of voters !hat were on !he property. We won 't
actually be selling units until some lime in 2009, when !hose lots should be conveyed . Ms . Barrent ine said but
she just said that you need to have !his done by then so Iha! you can go ahead . Mr. Foltz said as a financing
mechanism lo start on the project Ms . Barrentine said okay .
Council Member Woodward sa id meaning that you will not close on units until 2009 ... you may be under contract
for units . Mr . Foltz said correct Mr. Woodward said disclosure of !he District , that sort of thing, would be
disclosed with in !he contracts to any potential buyers . They would be aware of ii . Mr . Foltz sa id !hey currently
are . We actually have current contracts that contemplate this be ing a financing mechanism and !his being in
place . Mr . Woodward said !his is no surprise ... ! mean !h is Isn't going lo come as a surprise to a buyer .
Council Member Mccaslin said I want to ask about the good development projection. I've seen the
advertisement , I think II was on Channel 9 Noon Day, when Kent Place came In and talked about their
projections . What are the projections? Are they open to the public? Are the projections good? Mr . Foltz said •
projections for? Mr. Mccaslin said for the sale of the ... Mr . Foltz said well we are stlll with in our target start
dates of construction. Mr . Mccaslin said okay . Mr . Foltz sa id v,e didn 't start exactly when we had hoped, but
we are still within our window.
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Englewood City Council
S1pt1mb1r 17, 2007
P1g111
Council Member Barrentine said and what is thal window since you are referring to it? Mr . Foltz said we would
like to start this year and there are market dependencies and that would put us into 2009 for delivery.
Mr . McCaslln said was there someth ing you did on projections or presales or did you get an interest list on some
of these places? Mr. Foltz said we have presale requirements from our lender and we have many financing
obligations, construction loan obligations that we ha ve to meet. Mr . Mccaslin sa id okay .
Council Member Barrentine ~aid how many conlracts do you already have? Mr. Foltz said is lhal pertinent to
the discuss ion? Ms . Barrentine said you said that this Special District was part of your contracts that you
already have , in answering how developing this was going . Mr . Foltz said right , well we contracts and
reservations in place . The language in our contracts currently contemplates a special financing district , or the
possibility of potential ... Ms . Barrentine said oh , that is part of the information piece of it , not as a criteria . Mr.
Foltz said right, that is the disclosure , no , not as a criteria . Ms . Barrentine said people aren 't just walling and
hoping that you get a special ... May I ask the name of your company that owns th is property . Mr . Foltz said Kent
Place Development Company is the de velopment agency , Continuum Cherry Hills Land Company is the land
ent ity that owns the property . Ms . Barrentine said have you or either of those compan ies ever gone through
bankruptcy? Mr . Foltz said no . Ms . Barrentine said okay . What was the ma ximum , I mean everything that
we 've seen here has been bas ed off the minimum of the 35 mills and the ma ximum was 50 . I saw there that
you were anticipating about $17 ,000,000.00 worth of debt , but that ce rtainly is not limited . Is that
$17 ,000,000 .00 covered by the 35 mill ?
Ms . Bear said it is . In the financing µIan that 35 mills shows that we can discharge that $17 ,000 ,0~0 .00 of debt
based upon our current projectior.;. The District is ultimately going to be limited in the amount of debt that it can
issue, by the limited mill levy , by the term of the debt and by actual build out as it occurs . So, if the build out
slows down, the debt will slow down or decrease . If interest rates go through the roof , our debt capacity will be
decreased . Ms . Barrentine said hold on a second ... could I ask you to clarify, that if the purchase slows down ,
how does the debt slow down ? If you are in curring debt in order to do streets and curbs and lights that are
actu all y within the City piece of it. .. not with in your development piece of it. .. how does your debt change ? How
does ii decrease by the number or homes you sell or don 't sell ? Isn 't that already part or the project
requirement? Ms . Bear said not necessarily . What we do when 1·1e go out and issue debt is we utilize an
underwriter . And that underwriter goes out into the market place, based upon then current market conditions to
see what kind or terms and conditions we can sell the debt under . A large part of that consideration by bond
holders is what the risk is , associated with the project , and If development is occurring on a slower pace, the risk
:s ob viously a little bit larger . If development is occurring on a faster pace , that risk is diminished a little bit. And
so It is a risk assessment that the bond holder or bond purchaser is going to ma ,e with respect to how the build
out is occurring , whether it is occurring as we suggested it would or that our proposed numbers state that ii will
in the financing plan . So, they do that comparison . They look at the interest rate that is in the market at ''1at
point in time . They look at what types or leases are in place ... residenlial ... office space leases . So , it is an
entire bucket of risk assessment tha t the bond holder will make towards the project.
Ms . Barrentine said because you said if it doesn't sell then the risk decreases , ii doesn 't, you just said the risk
actually increases if it Is slower than what you are projecting In order to sell them off . Ms . Bear said right. Ms .
Barrentine said so if you are not able to keep this schedule and sell those homes on the schedule you presented
here , then ii causes problems and ii actually increases the debl. II increases lhe debt for the people who are in
lhal ... well the potential debt...becausP you don't have the other people who own property yet , or who have
those homes built out. Ms Bear said as the risk Increases , we will be challenged and we will be required to
actually downsize the total amount of debt that is issued. The property owner within the boundaries of the
District , Is going to be subjected to the property t,x, so th is 35 mills . The mo•t that that property owner can be
subjected to for any District debt would be the 50 mills . So there Is a llmllatlon with respect to ... Ms . Barrentine
said I understand that. So wa are starting 17 mill ion and how many million does 50 mills gel us to? Ms. Bear
said It depends on the total market value, the total assessed value that Is In place at that point . Ma . Barrentine
said projected as of today, you know that you are potentially Incurring 17 million dollars worth of debt on 35 mill,
what Is the projection ... what Is the money, the dollar amount, that we could cap this at If It were 50 mill? Ms .
Bear said oh goodness, I don't even know how I would run that , because the financing plan has been run based
upon our best guess of what the projections are . Now, as part ril the conditions that we have e~reed to In the
Resolution or approval, we are required to give the City a market study that supports the projections In the
Englewood City Council
September 17, 2007
Ptgt 12
Financing Plan and lhe developer hes a market study . We are going to ba working with the City Attomey In
terms of getting something that Is satisfactory to Counc il to sepport those projections . So, that Is a condition to
your approval pursuant to the Resolution that you have baen presented with tonight. Ms . Barrentine said I have
just one more queetlon before people speak and that Is, you mentioned that you have already waived a right
that this Special District has and that Is to exclude yourself for this Dlstrict...thls governmental entity ... to vote to
exclude Itself from sales and u•e tax . Ms . Bear said wa have Included a provision In the Service Plan.
Normally, Special Districts are, 1mpt from paying sales or use taxes . We have Included a provision in the
Service Plan that will require us to pay sales and use tax to lhe City for construction costs, etc. We anticipate
that that provision will be carried over Into the intergovernmental agreement that is also required of the District
under the Service Plan, so that there Is a contractual relationship for that waiver. Ms. Barrentine said normally
you may have the opportunity, but that doesn't mean that it Is necessarily what gets approved In a Service Plan,
that people have exempted themselves out. As a governmental entity then, what else could you vote to exempt
yourself from? Ms . Bear said I'm not sure I. .. Ms . Barrentine said you have the right to exempt yourself from any
other tax? Ms . Bear said the District Is not subject to property taxes as a governmental entity ... it is exempt from
property taxes , for property that the District holds . Ms. Barrentine said you are charging property tax, you are
putting lhis on top of.. .. l don't undersland, I'm so sorry . Ms . Bear said no, that is fine . The District Is a
governmental entity, so just like the City , for property that the District holds In title, the District is not subject to
property taxation fanhat particular property. Now everybody else in the District ... property owners, commercial
land holders ... anybody else In the District will be subject to property taxes. So, in terms of a waiver of the
District for property ,axes , I'm not su•e that that can be done . Ms . Barrentine said no, not as the District in the
way that you ... could these 5 or 10 people get together and decide that they don't want to pay the school portion
of the property tax , because they are an adult community, is that a possibil ity in a Specie! District or in the
Special District that we have got under here? Ms . Bear said the residents and homeowners cannot take that
action, no . Ms . Barrentine said okay .
Council Member Woodward said Iha area lhal Iha District would own, I assume, going back to I think it was
Exhibit C, would be Iha areas that are just cross hatched as District 1. The medians out in what appears lo be
on Hampden there, and a median on University Boulevard, and then the liltle round-about there at the front, lhat
is what Iha District has . Mr. Foltz said actually that's the conlrol District...thal is the parcel dedicated lo the
control district. What the District would actually own is probably better described in the grid, lhat talks about
how it is paid for , construcled by and eventually dedicated to . So, lhe land area is really land area internal to the
project...what, in a public selling would be public right-of-way ... th is is actually District property , really fr~m face
of building to face of building within that area . So , in addit ion lo lhal round -about , that publicly accessed s:,eet ,
they will also own, obviously, some of the ulilities that are not City owned utilities and they will own a parcel of
land out adjacent to University and a very small sliver of land adjacent to Hampden . Mr. Woodward sa id okay .
Mr . Foltz said so it is really only the publicly accessed ame,,:1ies ... and the public parking garage Is another
piece that the District would own. Mr . Woodward said okay , so the property tax would not be paid on the
parking structure ... the parking garage . Would that be correct? Ms . Bear and Mr . Foltz said that would be
correct. Mr. Woodward said then if, as an example, purely as an example, if you were to conslr• ·ct 50 units and
25 of the unlls were sold, the olher 25 would be owned by the developer and subject to the taxes , correct? Mr .
Foltz and Ms . Bear said correct. Mr . Woodward said the mill levy and the developer would pay the taxes on
those . Mr . Foltz said correct. Mr . Woodward said the other 25 wouldn't be subject to paying more than their
proratJ share of that. Ms . Bear said the District Is required to im ~ose a uniform mill levy within the boundaries of
the District, so the moment that tax goes on the property, any property owners within the boundaries of the
District are subject to the District tax at a uniform level. Council Member Moore said that's a key difference
about whether thal land Is developed or not, correct? Obviously if there is a home on there It Is more value and
more property tax, so to Jim's point , if half the properties go undeveloped , then the other owners would be on
the hook ... at no more than 50 mills ... but they would be arguably on the hook for an increased share of the total
debt. Is that an accurate slatement? Ms Bear said they would be on the line for whatever 35 mills applied as
against their assessed valuation at that point In time .vould be. Mr . Moore said If the District Is coming up short
on the repayment of the bonds , Is that what triggers evaluating whether that 35 needs to move up to 50? Ms .
Bear said yes. Mr . Moore said okay. Ms . Bear said Iha District will make that determination al each of Its
budget meetings In any given year, based upon the debt service requirements as•oclated with the bonds. We
normally get certified assessed valuation for District property In August and then final assessments at the
beginning of December and so we can make a very good determination of hew much In property taxes that we.
are going to be gelling , based upon an applied mill levy . Mr . Moore said so just to be clear , is it a true statement
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Englewood City Counclt
September 17, 2007
Pege 13
that II hail of the land goes undeveloped, the other owners are going to be more likely to need to suffer en
increase above the 35 towards that 50 ... they will be the only ones stand ing , right? Ms . Bear said It depends on
th~ amount of debt sold . Mr. Moore said okay. Ms. Bear said we, es a District , have to be vary cogn izant of
what we are doing to make sure thet the property maintains Its ma "'.etabliily end so we have presented you with
a financial model that we believe susta ins the marketability of the project at this 35 mills and yet the debt, based
upon our curreni projections , can be reasonably discharged with in that level. Obviously , we don 't want to get
ahead of the game ... sell debt before the assessed valuation Is In place ~uch that we get in a position that we
have to Increase that mill levy . We are really striving to set II al the 35 mills .
Mr . Fol17. said also Iha sizing In the Financial Plan was dona on a moro conservative bas ls ... 270 units versus
the entire 350 units . And when you ware talking about the on ly one left standing ... any undeveloped land Is
privately owned land within that District, as well that would be assassed ... iand value . Mr. Moore said land
value ... lhat was just my point. There Is a difference between whether ii Is land value or land and ~ulidlng. Mr.
Moore said so help me with this. is the 17 mill ion envis ioned to be ra ised at the beg inn ing? How many ~ond
offerings do you envision? Ms . Bear said our Financ ial Plan shows ona bond offering . That is prem ised upon
the projections that we have sat forth . We are guess ing that that can happen at some point next year prior to
the summer . Mr. Moore said so you would envision do ing that one bond offe ring , If some reason the
dovalopment sta rts curtailing , is that where you mentioned earlier that you would actually start paying that 17
million down sooner, because you have basically borrowed for the lull project, and if things are golng ... Ms . Bear
said there are a lot of different ways to make sure that the debt Is secured and t~• District Is able to pay its debt
serv ice requ irements . A bond holder is not go ing to purchase debt of the District unless ii is assured to some
extent that the District can make debt service payments . So that requires either some sort of security
enhancement on the debt or there are scenarios under which we have escrowed proceeds of debt that get
rr,teased upon meeting certa in thresholds of bu ild out. Wh an we move forward with th is debt sale , bond holders
Yoill took at presales that we have in place, as kind of a threshold of intere st in the project and where the market
is on this . Mr. Moore said thank you .
Counc il Member Mccaslin said speak ing of that presale. Ju st up the street at Southglenn Mall , I lived there for
23 years and I saw when Southg lenn Mall was tom down, they ware really going gangbusters and I sa id, man
this is going to be kind of cool for Cen tennial. Well, all of a sudden ii stopped and I've heard rumors about
it. .. that It was going to be a kind of a mixad-usa ... a store front and residential. I guess Iha developer or
whoever and you know , I am not land user or a financ ial parson , I am an educator , so I am trying to educate
myself. But ii just quit and all of a sudden , it is just sitt ing out there and if I was liv ing there , because I lived just
four blocks east of that fo r quite a few years, that would drive me crazy. Whal is going to kc,eµ ·,;s from
happening here In En glewood? I mean is there any guarant&e ? What can I put my faith in that th,: won 't
happen here , what Is happening al Soulhglenn? Mr . Foltz said relative to the Metropolitan Distric1, In ·s are
guarantees that Kristen just mentioned , where the bondholder is really taking the risk . They are the oac, :~at
are going lo plll the guarantees in place and ma ke sure that th ings are movi ng along as planned in the h , ,oc ;al
Plan .
Council Member Barrentine said but aren 't the bond holders ... don 'I they have Iha secur ity of Iha tax that is
being assessed ? That is what they are buying this bond on . These peop le are go ing to be paying the tax on
this property as they buy It. And I think John makes a good poi nt, that then we can turn that project very upside
down where you have a huge debt be ing shared by few people, with half a project done and those bond holders
are still go ing to get their money, because people have got to pay the ta x. It is the property that can no longer
be sold or the home that can 't be sr'd or Iha project that is no longer viable for somebody to buy Into because
there is an outrageous amount of debt attached to It. That Is what I think . I mean that is part of what happened
with th is that ha talking about so .
Council Member Moore sa id I will offer my perspective on that. Thal is what is valuable about the 50 mill cap
that is In there , because what Is going on with the bondholder Is yes , the owners that are there are on the hook
but they are never on the hook for more than 50 mills. The bondholder is on the hook for anything that the 50
mill doesn't generals .
Council Member Barrentine sa id we just used the 17 million, because I th ink you are mak ing a very good point ,
but t couldn't 1,~t them to commit to what a dollar amount today would be for 50 mills . So, W you take that and
Englewood City Council
September 17, 2007
Page 14
jusl divide the 35 mill Into the 17 million then do It up to the 50 ... then divide that Into the 270 units or a portion of
that or a fourth of tha t. .. on what that potential debt could be to the ,,,. If they anticipate, and I am bringing this
question to you as well , if they anticipate that they can discharge this at 35 , then why haw, the cap at 50? Why
wouldn't we want to partner with them and have tt,e public Inp ut of them coming lo us again in order for that to
be raised? I mean , tha t is at least another third, ,i o that is quite a bit of money we are talking about. Why not
cap it at 40 or 37?
Council Member Moore sa id again I will venture my guess to that. The bondholders are the ones ... they are
needing to make these bonds attractive to the bondholder and the bondholder has to know ... 35 is whal you
thin k is going to work, but how much room do we have if you don't hit your targets . And so , there has to be
some buffer In there and so it Is a compromise between ... if you pull that 590 down to ... l'm sorry, what
were ... Ms . Barrentine said it wasn 't my Intention to make you argue their case for them . Mr . Moore said th is i,
good because if I am misstating , they will correct me but this is how I am process ing it. If they turn around and
lower that 50 and say, in fact we can 't raise it from 35 ... their cost of debt Is going to be tremendous , because
there is going to be so much risk in the project that the bondholders are going to demand a very high retu rn and
it puts the cost of that debt beyond reach . There has to be a balance . The beauty hem ... obviously one th in g
that I am looking for and I think I am hearing is ... that the City , we are making sure that ,he City is protecte d.
And so as far as servicinA this debt goes;there is nothing about this that is putting us on the noo~. You no w,
Bob , to your question , if the development suddenly stalls , well that is a problem that g01,s bt •yond th :s Dist ri ct
issue . it still doesn't put us on the hook for the debt of the District. It just puts us on the hook ror r ,av ing a o:.,ce
of under-utilized land in Englewood . Mr . Mccaslin said okay .
Council Member Barrentine said so, as an example, I think he makes a very good point... it puts us on th e hook
for what could become a blighted area . What could become . I mean ... Southg lo nn Mall is not exactly a ha llmark
of pride rlgh! now . When things like that take time, if you take it on a very small scale and take some thing li ke
what happeneo with the Denver Mattress building, tha i little property right in front of Steak House t 0, huw much
damage, even on a small scale like that, having a property sit half constructed for over a year , can do to
everybody. The surrounding area whether other people want to lease , the feel for the City . Yes, I think it can
cause a huge amount of damage and I think that is why , in similar circumstances where these have not gone
well , the municipalities have come lo the forefront , taken over that piece in order lo gel ii stopped . I mean that
can happen . They may not be obligating us , but by their inaction or the ir failure or bankruptc y or whatever
happens , we would end up having potentially to do something . My second po int would be that when t~is project
was originally proposed , would the community have bought in, had they said ... we r.annot do thi s project without
a special tax ing district . And now , here we are , out more than two years and still wit h an empty piece of
property . I think at leads to Bob 's point very well. All this time later we still have an ompty piece of property and
this was not something that was discussed at the beginning . So , I am just trying to get those questions
answered . Thanks .
Mayor Wolosyn asked if there were any other questions . She said thank you and we will open it to the public .
Thank you very much .
Ms . Bear sa id okay .
Mayor Wolosyn sa id we have one person scheduled to speak .
Cynthia Searfoss, an Englewood resident, said this is an extremely complex issue . A Special District is a
wonderful way to finance capital improvements that can Improve our City . It Is also a very serious undertaking
that we need to understand In the City of Englewood. It is a very complex issue and you 've only had four days
with their Service Plan to look at an extremely complex issue that is greatly going to impact the future of
Englewood . There are so many complex ities that I really don 't think you have had the time to look at everyth ing
:~at could Impact us In the long run . We alt know what a Special District Is. We know that It I~ suppcsedly a
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ze;p cost financing plan that allows them to take municipal rights and gal better rated bonds and probably would •
give them a better chano:e of getting good funding !n the current environment. But , I think we need to look at the
currant environment very seriously . Mr . Mccaslin has already stated that he is aware of the Centennial project
and the failure of the Centennial project. And what has happened In the failure of the Centennial project with the
bankruptcy ... nothing to do with your reputation . With the bankruptcy of the developer , the City has had to go In
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Englewood City Council
September 17, 2007
Page 15
\o an Incomplete project and try to deal with this u•ideveloped property that la an eyesore, that ii a serious
oconomlc 1011, when they weren't even planning on being responsible for that. It doesn't matter who has 11
handling the debt, what matters 11 the City of Littleton has this huge fiscal re1pon1iblllty now that was not
planned and through no fault of their own . The Rocky Mountain News last week ... l think everybody In this room
read It. .. ,ead the economic report for Denver Metro, State of Colorado next year, so residential sales , new
homes, the sales are going to be down conaervatlvely 7.9%, sales of existing homes are going to be down
11 .1% and then this weekend ... I d•:,,·t know If anybody saw thls •.. Alan Greenspan went on 60 minutas and said
he does not feel that the real estate market has bottomed out an r.t that we are In a serious threat of a serious
recession In our country and, poten tially, we could take the world wi de economy with us . So we have greater
fiscal responsibility right now than Englewood may have ever haa previously, because we have all of these
warning indicators at a time when we are already facing a budget deficit. .. and that is not a budget deficit for
2008 , that is a budget deficit potentially for 2009, 2010 and onward into the future . The availability of liquidity is
extremely tough right now in this market. I understand that. I understand that this Is a great tool to finance, but I
think we need to look at our responsibilities to our community. The other Issue for this Spacial District i~ In the
current failures of Special Districts , and they are numerous and increasing . The Special Districts that have
retail, or predominately retail , succeed at a greater rate currently , than Di,;tricts that have residential, so this mix
is a tenuous mix right now, because the track record is not good for the re sidential developments . And several
people were asking about the responsibilities of the potential individual owner who would buy a res idential unit
in this development ... there are stories online of people that have a property value of $265,000.00 and they have
taxes that me due that are $300,000 .00 on this property . They can't sell their properties . The other issue is
their property values are low because they are in the middle of an unfin ished development and nobody wants to
~ . ,, in an unfinished development. So that is another hazard that we could potentially face ... it is definitely what
is ~olng on in Centennial. The complexlly of a Special District is enormous and there have been commissions
fu nded by whole states to independently study and look at the complex iti es and difficulties of local cit ies trying to
deal with negotiating successfully the special contract plans . And I submitted something lo Lou that Is the Little
Hoover Commission .. .it is the State of California 's Independent commission. They study current events that
greatly impact the future of their local government. And , they are a central point al which the State provides
funding to provide resources to local communities who are facing these challenges . I submitted a copy of the
executive summary to Lou , so that you guys can look at it. Also I will send you a soft copy of the ful' ·eport from
the Comm ission so that you have it If you want to reference that. Yes, this is a good potential tool. There are
problems . We don 't have the ability to scrutinize and organize Special Districts . We don't know hov. to
negotiate with them and set up how lo work with them on an equal basis ... on an equal fool 'ng. We don 't have
the analytic tools currently . Th is is new to us . This is something that we are not doing ... l h,we n't seen it sitting
out here before . We need an opportunity just to develop those tools and understand what we s•e working with .
We need to ma intain our rights . We need to not just give them carte blanche lo become !hei,· v ,vn mun ic ipality
within Englewood without associating themselves with us . We need to negotiate up front, rights to monitor the i.
behaviors . Specifically , we need to maintain the right, as a City, to audit the Special District. Yes, they are
going to ... and on page 11 , number 9, they are going to submit an audit to the State under General Accounting
Principals . I audited for 17 years , so I can tell you that I can do a general account ing principals audit and it is
not going to tell what you need to know as a City about what they are doing with the ir ••,nds . So we need to
maintain a right as a City to annually audit their proceedings . We need to require them to not only meet the
States requiromenls for public publication of their current status but we need lo be able lo make sure that what
they are actually putting out thero meets our needs as a community, so that we can be aware of what is go ing
on within this Special District and we can be aware of any danger signals that there may be and how they are
proceeding with their project. The other questions, and I think Laurett Is righ , on this , is that In their statement
on page 5 of hov, they total debt Issuance statement , they are saying yes , th& mill levy ... the bonds are going to
be 17 mill , that Is fine , but they are also granting themselves the right to other taxes and other revenue sources
that they can determine . So we've got five people , all deve lopers on this project , who have the ability to tax not
only to the bond needs , but they also say they can have other sources of revenue and other fees . That is very
open ended . How do we control something like that? How do we understand ana limit something like that with
this current Plan? The key issue, I think, that has come out and I have been slttir,y ,~ your budget meetings and
I went to say that you are really striving to make Englewood economically viable a,,d to maintain our standard of
living and I appreciate that. I have seen In the ~uoget meeting, how difficult It Is t , make these decisions and I
think that this decision Is huge and that we need to take our time and deliberate and understan1 what we are
agreeing to In advance, so that we don't and up trying to come up with a way to support a development that did
not meet our expectation, because perhapa, to be honest , we are a little nerve with the complexity of this . And I
Englewood City Councll
September 17, 2007
Page 18
resent, a ■ en Englewood citizen , that th is company has known since 2005 that they were going to have to
provide a Special District In o,der to get funding and at this point , they come to us and give us four days to look
at their Service Plan and expect us to pell It without question . That seems to be extremely operating In bad
fa ith . I think the ir negotiating , It seems, In bad fa ith lo th e' point. We need lo seriously lake a look at th is
Service Plan and make ,iure it meals our needs as a City going forward and not potentially agree to someth ing
that may give us debt In the future . Thank you .
Mayor Wolosyn said thank you .
Mayor Wolosyn asked is there anybody else who would like to address the Council on this issue .
Jill WIison, an Englewood resident, said I agree that th is is complex . I real ize that these developers are look ing
for a quick tum around as far as the election . What is their drop-dead date that you may be able to look at it
further and still have II be on the November election? I mean, would a week make a difference?
Ms . Bear said It Is the District Court hearing that Is really driving the schedule ... mid-Seplember is kind of our
dead li ne for th is, because this prov ides us with 40 days , which Is the maximum amount of time that the Court
can take to schedule that Court hear ing and still gel to the election .
Ms . Wilson said so you are saying that ii has lo be done now , ton ight , that a week would make a difference?
Mr . Woodward said we don 't have a meeting then . Ms . Bear sa id ii Is a Counc il ... Ms . Wilson said but ii could
be a spec ial meeting , couldn 't it?
Mayor Wolosyn said you have lo ha ve a certain posting , we couldn 't have a mee ti ng ...
City Clerk Ellis said but she was asking if you could have a spec ial meeting ... lhal would bo up lo Council ... to
cons ider the Resolution , is I'm assuming what you are talk ing about. Bui the next regular Council meet ing is
Octobe r 1 ". It is very, very tight.
Ms . Wilson sa id I don 't know all the ins and outs of th is, but I certainly understand the concerns and that is my
concern . And so , you know, maybe ii wou ld be helpful to ease people 's minds If they had another week . So
that is just a suggestion . And also , you know , advisement from the Attorney and the City Manager . Thanks .
Mayor Wolosyn asked if anyone else would like lo speak . There was no one .
Mayor Wolosyn asked if Council had any more questions .
Council Member Moore said we ended up getting into a !nt of the default scenarios that I wanted to consider and
the last question was also getting on point , wh ich is the llmeline . For Council, you have to understand , we
actually have a rule ... and the namesake Is In the audience, the Kell's Rule I understand , which is , we never vole
on the same night that we have a Public Hear ing on a subject. Th is Is very difficult. On the one hand, I suspect
that you guys view this as just a financing tool and for us , none of us are that versed in these th ings and ii is
very Intim idating to be faced with turning over, what Is normally a municipal type power , and having !o do II so
quickly. So, I'm really torn ... you know I live right there and I want to see your development get going , bul the
limeframe for processing this Information and making the right decision is very difficult. Thal Is whet I wanted lo
ask ... Jiil got lo the question that I .ianted lo ask ... whlch Is, Is there any more lime in the schedule that we can
squeeze out of this so that Council has a fa ir chance to consider er it may be that our dec ision tonight has lo be
II is either we are prepared to go tonight or we are prepared to mai :e you wail unlll May . I was hoping that i
would hear thai there is so,nethin~ In between . So far I am not hearing II.
Ma . Bear said based on Council's schedule, were we delayed until the beginn ing of October , we would not be
able to make the November election .
Council Member McCaailn said what about a Study Senion next week . There Is no way to bring It up to vole on
it al a Study Se11lor , or does that ~ave to be a regular mealing?
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Eng,.wood City Council
September 17, 2007
Page 17
Mayor Wolosyn said first , would the 24~ help you any? Would voting on the 24'" help?
Ms . Bear 111d the 24'", we could conceivably 11111 gel to a November election.
Mayor Wolosyn said before I open, so that we might consider the 241", I am going lo make my sletement. You
know, I don 't have financial expertiaa, however, one of the things I've done In Council In 8 years 11 rely on the
experts . This Isn't something that we didn't know was coming . Al you said , II was In the PUD . In August we
had a presentation in Study Session , so for me , I know II Is unfortunate ... lha close llmellne ... bul a week Isn 't
going lo open my brain . I have lo rely on Iha experts hare . And with that said , as Mayor , I am willing lo
entertain ... once I know Iha logistics, If wa did have a Special Mealing., .do we have enough lime In a week lo
have a Special Meeting? If ii makes Iha rest of the Council feel comfortable and II worked with your tlmellne , I
would be willing lo consider ii. I would be willing to enleri.;ln a motion lo that I'm not going to make the motion .
Council Member Oakley said I would be willing lo go along with such a thing, if I fell that within Iha next week's
lime that we could gel enough infonnalion that we do not have now and if II would make any difference . I
certainly have lo rely on members of staff that know more about this than I do , because I will be the first lo admit
that I am not that versed on ii, lo advise us of any pitfalls that we mey encounter . All I want lo do, is to protect
the City , Now If we can work through that in the next week .. ,
Mayor Wolosyn said what would ii lake for you lo feel more comfortable ., .because as I have heard ii, we have
had the City Attorney and the Finance Director tell us that the City is protected by this document , and even more
protected than usual , in fact that our sales tax won 't be diverted .
Mr , Oakley said okay, either I wasn't listening close enough or something, but I didn 't hear ii slated that strong ,
• Mayor Wolosyn said that Is why I asked you lo ask ii in here , Are you asking ii now?
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Council Member Oakley sa id I.am asking staff, yes , because I rely on staff.
Council Momber Barrentine said I would like lo ask the City Attorney, is there any way , in this document that the
City is not orotected as to them not being able lo vole themselves out of the lax , for them to annex themselves
out , for the,., not to finish the project, for them to overburden ii and make it someth ing that the municipality might
have to take over?
City Attorney Brotzman said all of those are correct , except you have to understand that the Resolution is
contingent upon the market study being provided. We don't hr·•• that currently . II supports all the financial
'ala . II makes sure lhal you don 't have a developer that over reaches , Thal has lo be provided lo the
Resolution ... requires that be provided to the City Manager and approved by the City Manager . With \'t1t
caveat , the rest Is, the City is protected.
Council Member Barrentine said now we are totally bound by what they present. I have spent some tin.~ t•:Jklng
to some City Council people, both in Centennial and Littleton, to find out some of their experiences wit h some of
these things and how they ended up being obligated , And ii wasn't that they didn't do due diligence in trying lo
protect the City al the lime ... they cannot Once you give up part of our municir,al authority lo somebody, you
give up part of that municipal authority . We are talking about an awful lot of money . I would like to ask ,
because this was not a contingency of this development originally be ing approved , would you continue on with
this development if you do not gel the Special District approvod?
Mr , Foltz said II would be a difficulty ... l mean II would be difficult end It would force us to evaluate certain
aspects of the project.
Council Member Barrentine said than I would hav~ lo say that because the project... I think It has been talked
about since 2003 ... the project has aal, nothing has happened and I am a little disconcerted that the sign says
Kent Place of Cherry HIiis, there 11 a disconnect with this community . And nothing has happened yet and we
have kind of planned on that, that I alree:ly sae some red flags that I em very concerned about We aren't just
bound by what staff says . I've spent some lime on the lnlemel and that Is pert of where I got Iha inltlel ... while I
Englewood City Co uncil
September 17, 2007
Pege 11
am not purport ing that I am an expert at this , I have seen enough to scare the daylights out of me on what could
potentially happen lo ua . II has been mentioned that there was a presentation done In August. .. II wasn'l a
presentation, II was two paragraphs on a piece of paper . Thal la all Iha Information that we were given, plus
what you aeld . Bas ically we were glvan four dayt1 lo look this ovar . Your emergency, In my opinion , cannot
become my flre . I cannot advocate lo gel stuff done for you , more than I can advocate for what Is beat for our
community . I just went you to understand lhal, lhal Is where my responslbll ltles lie . Ar .d II ls a tremendous
amount of Information and there are tremendous amounts , as Cynthia has brought up in her presentation, of
examples, especially as Bob mentioned , lhal have any mix of retail In there, that have been dlsaslrous ... have
hLJ a lot of problems . A lot of Iha retail ones ... Aspen Grove, Park Meadows for example ... have been
successful, as retail special ta xing districts , that is fine . I look al our neighboring communities and things li ke
Lllllelon Station , where continually Iha price Is be ing put down aga in and again for someth ing that Is a very nice
project and a very nice area and they are not selling . And while I understand what Dan Is saying ... that the
marketabili ty of th is may have to be approved by the City Manager , we need lo lake that into account tonight in
order lo make our dec ision, because everything Is contingent on you building that project out. II matters and the
Interest rate is more than likely go ing lo go down tomorrow. We've got Information about housing . II just
doesn 't look like ii Is go ing to be any better situation for you going forward , than ii has been for ii lo sit empty for
the last 2, 3, 4 years . If you have anyth ing lo address that , that is fine .
Counc il Member Woodward sa id you know part of the interest rate that we are talking about. .. we are not tal ki ng
about sub-prime interest rates here for this projec t. This is a different type of project. II is a different type of
housing market. II is a different type of buyer . Ms . Barrentine said you know I was referring lo the
recession ... polential recess ion ... lhe potential problem with the hous ing market in general for I lo 4.5 mill ion
dollar homes ; you are still talking about the housing mar ket . Thal is what I was referring to .
Mayor Wolosyn sa id I think we are veering away from Wayne's point here . Mr . Woodward said we probably are .
Mayor Wolosyn sa id are we Wayne? Or is this helpful lo you?
Council Member Oakley said at th is po int, anyth ing we say is helpful.
Council Member Woodward sa id I th ink one of the points then is that if there was some other financ ing
mechanism lhal you utilized and all of these bad things that have been brought up happened , would we be any
better off or in any different position than we are by app roving this? And I submit that we are certainly not any
better off.
Council Member Barrentine sa id well since I brought that piece up , I can address that . Part of what they said in
the lim ited presentation that we had in August, I asked them two questions . Will you always have a controlling
Interest in the vole of th is Distr ict and they said yes, because they will always own enough land . Two , they
intimated that somehow this was a benefit lo the purchase r and ii is not. They will still sell these properties for
the market value that they can, only they have been able lo use a taxing vehicle in order lo actually make more
profit off of that property . Yes , ii could put us in a ... lhey would not be as invesled ... property owners would have
that lax burden on them . Yes , we could be worse off where they would have that debt on them the other way.
We could be worse off .
Council Member Woodward sa id I didn't understand that.
Council Member Barrentine said If they do the Improvements and they pay for them , they are on the line for
them. If they do the improvements and they use a taxing vehicle for II, they have made more profit off the sale
of those homes and put the burden on the taxpayers who could end up with that and potentially us In trying lo
ball out , which Is exactly what I think she said . Somebody owns a $200,000 .00 house and they owe
$300 ,000 .00 In laxes. Thal Is why.
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Council Member Moore said I want lo clarify a question. Could you help point me lo the ... is there a section that •
speaks lo charging beyond the 5c "lills ... lhe fees , and ... l lhoughl I heard page 5, but I didn 't see It.
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Englewood City Council
September 17, 2007
Peg• 19
Ma . Bear said the Service Plan Itself limits Iha amount of mill levy that we can Impose for purposes of debt. Mr .
Moore sa id okay . Ms . Bear sa id we have author ized , 11 part of the Service Plan , lhe eblllly of the District to
Impose fees and chargas . Now that would be for purposes of operational necessity for the District. So, were we
to take over a significant scope of operations for the District , we could impose an add itional fee or charge to
cover that , If the 5 lo 1 O mills that we are propos ing la not cover ing it. Mr . Moore sa id wh~re is that In the
Service Plan , what page ? Ms . Bear sa id if you go to page 7, al the very boltom . Mr . Moore sa id thank you .
Ms . Bear sa id now we are , as a requirement of this Service Plan . also mandated to provide the City with an
annual report , In any given year, that covers what wa are do ing with respect lo operations , changes In Distr ict
policies , you get cop ies of budgets , etc . So all of those kinds of financia l parameters and operational
components of the District will be provided to the City as part of that annual report .
Council Member Moore sa id when it says fees, rates, tolls and penalties ... ls there a limit on those that is maybe
referenced In, I assume th is Is a Stale Statute , that lim its It to lileral adm inistrative type costs or ... ? Ms . Bear
said there Is not an amount that Is limited under Statute . The District can only Impose those types of charges
though for services and facil ities that It actually provides . Mr . Moore sa id okay , that must be embedded in
Colorado Statutes ? Ms . Bear said yes , in Title 32 . Mr . Moore said okay .
Council Member Moore sa id I will Just add lo the discussion . As I understand It, aga in th is is a financing vehicle
and ii is being picked because of a variety of th ings . but one of them is. better interest ra :es , reduced cost...not
passing this does hinder lhe project , In effect , by Imposing add itional costs on the developer or the owners or
whomever ii ends up cover ing . So , on the nip side of not doing It, Is the burden of the developer of asking for
having them bear the cost of a less effic ient form of financ ing? Whether th is is a good tax break or not is not our
question . it is a tax break provided at the Federal government level , and you can 't turn your head to It.
Mayor Wolosyn said I would ad d that we want people lo Invest In our commun ity . Qu ite frankly , I am very
pleased that Continuum took over the project when they did . And therefore, I support ii because, as I said , I
may not know about financ ing , but I've seen your projects and they are successful and I have confidence that
you are not going to turn around and sell it because you don 't, you hold propert ies and you prosper In a
commun it y with the community .
Council Member To masso said at what point does you r Board get watered down by owners , as opposed to
developers? How many owne rs do you have be fore they equate the developer? Ms. Bear said if it is a 5
person Board in lhe financ ing dist rict , as soo n as we have residents or other property owners move into that
District, as soon as there is an el ectio n, they can run for the Board . Now , the more realistic problem we have is
gett ing people interested . Mr . Torn ;so said so if you had 10 residents and 5 representatives of the de veloperr.,
5 cnuld elect themselves and become resident directors of the Board . Ms . Bear sa id it Is based on a majori ty
vote uf all of the el igible electors al any given po int in time . Mr . Tomasso sa id so if you 've gol 20 res idents and
you add 5 representatives of the de velopers , those res idents could lake over from the developer and run the
project , at that point . Ms Bear said they could .
Council Member Barrentine said does ii go by eligible eloctor or lhe amount of property you have? Ms . Bear
said electors . Ms . Barrentine said okay .
Council Member Woodward sa id so if I own 1 o un its , I still only have one vote? Ms . Bear said you do.
Council Member Moore said I believe we have enough information lo move onto lhe resolution later , so I making
a motion that we close the Public Hearing .
COUNCIL MEMBER MOORE MOVED, AND IT WAS SECONDED, TO CLOSE THE PUBLIC HEARING
REGARDING KENT PLACE METROPOLIT AH DISTRICTS 1 AND 2.
Ayes: Council Members Barrentine , Mccaslin , Moore , Wolosyn , Woodward ,
Tome110 . Oakley
Nays : None
Motion carried and lhe public hearing cloIed .
Engl-ood City Council
September 17, 2007
P ■g■ 20
The meeting recessed 9:13 p.m . The meeting reconvened al 9:21 ~.m . with all City Council Members present.
11 . Ordln■nc-■, R'}•olutlon ■nd Motions
(a) l',jJproval of Ordinances on First Reading
(I) and (ii) Director Black presented e recommendation from the Parks and Recreation
Department to adopt a bill for an ordinance (Council Bill No. 52 ) authorizing an Intergovernmental Agreement
defining joint responsibility between the City of Englewood and Arapahoe County for the Duncan Park
acquisition grant. Director Black also presented a recommendation from the Parks and Recreation Department
to adopt a bill for an ordinance (Council Bill No. 53) authorizing an Intergovernmental Agreement defining joint
responsib ility between the City of Englewood and Arapahoe County for the Belleview Park sheller improvements
grant.
Director Black •~id, as you are aware, we have received two grants from Arapahoe County Open Space, one for
S250 ,000 .001or the acquisition of Duncan Park and another for $137,300 .00 for replacement of the sheller at
Belleview Park. Council Bill 52 and 53 formalizes the agreements with Arapahoe County for the acceptance of
the funds and the requirements to the City and the requirements by Arapahoe County for acceptance of these
funds here . City Council has passed a contract for deed on Duncan Park ... lhal is in place . We have met with
City Counc il to discuss the Belleview Park renovation plan , which includes the sheller replacement there and, as
I said , this agreement with Arapahoe County just formalizes our acceptance of the funds and the requirements
there .
Mayor Wolosyn asked if there were any questions for Jerrell. There were none .
COUNCIL MEMBER WOODWARD MOVED, AND IT WAS SECONDED, TO APPROVE AGENDA ITEM 11 (a)
(I) • COUNCIL BILL NO . 52 AND AGENDA ITEM 11 (a) (II) -COUNCIL BILL NO. 53.
COUNCIL BILL NO. 52 , INTRODUCED BY COUNCIL MEMBER WOODWARD
A BILL FOR AN ORDINANCE AUTHORIZING AN INTERGOVERNMENTAL AGREEMENT REGARDING 2007
GRANT OF ARAPAHOE COUNTY OPEN SPACE PROGRAM FUNDS FOR DUNCAN PARK ACQUIS ITION
BETWEEN ARAPAHOE COUNTY AND THE CITY OF ENGLEWOOD, COLORADO .
COUNCIL BILL NO. 53 , INTRODUCED BY COUNCIL MEMBER WOODWARD
A BILL FOR AN ORDINANCE AUTHORIZING AN INTERGOVERNMENTAL AGREEMENT REGARDING 2007
GRANT OF ARAPAHOE COUNTY OPEN SPACE PROGRAM FUNDS FOR BELLEVIEW PA i~K P IC NIC
SHELTER IMPROVEMENTS BETWEEN ARAPAHOE COUNTY AND THE CITY OF ENGLEWOOD,
COLORADO.
Mayor Wolosyn asked if there was any discuss ion . There was none .
Vote r■1ulta:
Motio n carried .
Ayes : Council Members Barrentine, Mccaslin, Moore, Wolosyn , Woodward ,
Tomasso , Oakley
Nays : None
Mayor Wolosyn said thank you Jerrell.
Director Black said thank you very much .
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Englewood City Councll
September 17, 2007
Page 21
(Ill) Commander John Collins presented a recommendation from the Department of Safely
Services , Police Division , to adopt a bill for an ordinance authorizing and approving the acceptance of the
Justice Assistance Grant In the amount of $21 ,756 .00 . He said we solicited the Bureau of Justice Assistance
Grant and we were awarded tha amount of $21 ,756.00 . My goal Is lo use those monies to purchase
ap p~oxlmately 10 laplop computers for Iha Detective Bureau . That will replace the desktops that they currently
hav~. 11 11 a non-matchlno grant, so there is no cost to the City .
Mayor Wolosyn asked if there were any questions or comments .
Mayor Wolosyn said well done .
COUNCIL MEMBER TOMASSO MOVED, AND IT WAS SECONDED, TO APPROVE AGENDA ITEM 11 (1)
(Ill) • COUNCIL BILL NO . 55 .
COUNCIL BILL NO . 55 , INTRCDUCED BY COUNCIL MEMBER TOMASSO
A BILL FOR AN ORDINANCE AUTHORIZING THE ACCEPTANCE OF "THE JUSTICE ASSISTANCE GRANT"
BETWEEN THE CITY OF ENGL.=WOOD AND THE JUSTICE ASSISTANCE PROGRAM FOR THE
PURCHASE OF LAPTOP COMPUTERS .
Mayor Wolosyn asked if there w~re any questions or dis cussion. There were none .
Vote reault■:
Ayes :
Nays :
Motion carried .
Council Members Barrentine , Mccaslin , Moore, Wolosyn, Woodward,
Tomasso, Oakley
None
(b) Approval of Ordinances on Second Reading
There wl>'e ,,o additional items submitted for approval on second reading . (See Agenda Item 9 -Consent
Agenda .;
(c) Resolutions and Motions
ii) Director Gryglewlcz presented a recommendation from the Community Development
Departm eM and the Finance and Administrative Services Department to adopt a resolution conditionally
approvin g the Service Plan for Kent Place Metropolitan District 1 ar.d 2. He said In the Council Communication ,
I have listed those requirements that are to be filled and acceptable . Those are also Included In the Resolution
and as staled, this Is a conditional approva l and those conditions are listed under Section 4 and they are items I,
2 and 3.
Mayor Wolosyn asked if there were any questions for Frank . The re were none .
COUNCIL MEMBER TOMASSO MOVED , AND IT WAS SECONDED, TO APPROVE AGENDA ITEM 11 (c) (I)
• RESOLUTION NO . 88, SERIES OF 2007 ,
RESOLUTION NO . 88, SERIES OF 2007
A RESOLUTION APPROVING THE CONSOLIDATED SERVICE PLAN FOR KENT PLACE METROPOLITAN
DISTRICT NO . 1 AND NO . 2 .
Council Member Woodward said I would like to offer an amendment. And lhat Is that, as I mentioned ea~ler, I
would like to delete the word ·reasonable" and add the words "its besr under number 9 on page 11 or the
Service Plan end page 2, number 9 of the Intergovernmental Agreement.
Engl-ood City Council
September 17, 2007
Page 22
Mayor Wolosyn said Ray, can we accept that? He replleg yea , that la acceptable .
Mayor Woloayn aakeg W there wea any dlacuaalon .
Council Member Barrantlna said I will be voling no aga inst It. I feel there should be a lower limit on It. .. on the
mill. I think we should have heg the opportunity to put a dollar limitation on this . I think It is wt,,1lly Inappropriate
to change our proceaa and vote for something right after the Public Hearing and make an exception on this
when they had a minimum of 2 years to have come to us and done a much better Job of presenting Information ,
10 that we could make an lnforrnecj decision for this community . I th ink It Is totally Irresponsible to only spend
four days on th is and have their fire become our emergency, so I will be voting no .
Vol• r11ull1 :
Ayes : Council Members McCaslln , Moore , Wolosyn , Woodward , Tomasso , Oakley
Nays : Council Member Barrenllne
Motion carr fecj and Resolution No . 88, Series of 2007 was approved as amended .
Mayor Wolosyn said thank you guys for giving such a detailed presentallon and I look forward to working with
you in our community . Thank you7""
12. GMeral Dl1cu11lon
1a) Mayor's Choice
Mayor Wolosyn did not have any matters to br ing before Counc il.
(b) Council Members · Choice
(i) Council Member Moore said just following up on a public comment from Mr . Waggoner,
can we Just get a refresher on where any mon ies are that were se t as ide for the Depot? Thank you .
Mayor Wolosyn said I can actually answer that question . It was my first budget ... ! might as well tell It right now
because it was such a lesson to me . The LJdget of 2000 , there was a crunch somewhere and it was set as ide
In the PIF, I bel ieve, and It was movecj over . And it was a big lesson for me ... you know , watch your
ch il dren ... watch your projects . But I think, you know it has been sitting there too long and maybe there Is some
other approach we can take with It and talk about ii.
(Ii) Counc il Member Oakley :
1. He said I would also like to comment about the Depot. I was involved when it was movecj and it is a
shame that It has sat there that long . However, It hasn't come up since I've been on Council and I am t1s bad as
anybody , as it was just in the bee~ of my mind and there it set. I wou lt! like to see us , at least , discus n some
future uses for it on one of the agendas com ing up.
2. He said I voted , with reservations , on the Kent Place projec t, but I want to see it move forward so that
was the cru x of my vote .
(Iii) Council Member Woodward:
1. He said I would like to address the High School 's Homecom ing Parade and Iha $273 .00. I would li ke to
look at taking that money out of the City Council Budget. I think we have soma funds left In our discretionary
fund and we could utilize that $273 .00 to partner with the schools. I think It 11 great th3, the new Englewood
•
•
Middle School and the two elementary schools , which I assume are Clayton and Cherrelyn, and then bringing It •
down to the High School . I think this Is a way we can partner with the schools on Homecoming and I would like
to propose that.
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Englewood City Councll
September 17, 2007
Page 23
Mayor Wolosyn said doas anybody have any objections going that direction . Since there were no objections
then we will do It. Mr. Woodward sa id great.
2. He sa id we dedicated the In-line park on Thursday evening over at Englewood Middle School so we
have a brand new in-line park and there were some young hockey players over there having a great time . It
looks like a really good park where a guy like me could really gel hurt .
3. He said I Just wanted to mention that Kells has ... and Wayne wasn 't here ... but Kells has brought up the
Depot before . I remember specifically over at Romans Park, at a board s and commissions appreciation , that he
did bring it up and since then , I don 't think anything has been done . So , it certain ly is lime again . Thank yo•J.
13 . City M1n1ger'1 Report
(a) City Manager Sears sa id l have just a very brief report . Th is evening there was a chlorine gas
leak and Fire Division Chief Mike Pattarozzl has been on top of that Issue . I have asked Mike to just give a brief
report about where we are and there will be a full report tomorrow to the Council.
Chief Pattarozzl said late this afternoon , about 4 o'clock , Sheridan Fire went over to 2100 West Oxford , which is
Western Metals on a report of a leaking chlorine cylinder . On their arrival , they decided that they needed more
help . They asked for our help and also for Littleton Fire . Ultimately, it was decided that the best way to control
the problem was to detonate the chlorine cyl inder and then control the vapors with water streams The only
evacuation that had to be done was a few employees of the Golf Course and some people who were still out on
the course . So, they were removed, Oxford was shut down and the cylinder was detonated by the Arapahoe
County Bomb Squad . The controll ing of the vapor cloud didn't go quite as well as they thought it would and that
is why I have been coughing in the back . We had three patients that were exp osed to chlorine and were treated
and transported lo the Swedish Medical Center ... two people from a private ambulance and one Arapahoe
County Sheriffs Deputy . I just spoke with our EMS coordinator and they are all do ing fine . There will be a
press release out tomorrow on this .
Mayor Wolosyn said thanks .
14 . City Attorney's Report
City Attorney Brotzman did not have any matters to bring before Council.
15 . Adjournment
"'(., '"'-o,m '"''.' '°j'i'"
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The meeting adjourned at 9:35 p.m.
City Clerk