HomeMy WebLinkAbout1994 Resolution No. 003e
RESOLUTION NO.~
SERIFS OF 1994
A RESOLUTION APPROPRIATING FUNDS FROM THE CITY OF ENGLEWOOD
GOLF COURSE FUND TO PURCHASE REAL l'ROPERTY FOR THE ENGLEWOOD
GOLi· COURSE EXPANSION.
WHEREAS, t.he City o( Englewood hu ent.ered into an Agreement I~ purchue from
Motor Crane Company n,al property to be u.sed to expand the Englewood Municipal Gol(
Course; and
WHEREAS, the Englewood Go1'Course is an enl.erprise and only Gol(Coune Funds
may be used for the purchase; and
WHEREAS , the Englewood City Council approved the purchase o(the property on
December 6, 1993 with t.he passage o( Resolution No. 107, Series o( 1993 for the purpose o(
expansion o( the Englewood Gol( Course;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
ENGLEWOOD, COLORADO , AS FOLLOWS :
~-The following change in appropriations is hereby made to the 1994 Budget o(
the City of Englewood, Coloredo for the acquisition o( the n,al property for the expansion o(
the Englewood Goff Course.
SOURCE OF FUNDS ·
Golf Course Fund
JJSE OF FUNDS :
$681.333 .85
Purchase oheal property for Golf Course expansion $681,333 .85
a ST: iI1c-1 a:rR{/µir
Patricia H. Crow, City Clerk
I, :>atricia H. Crow, City Clerk for tlw City o( Englewood, Coloredo, hereby certify t.he
above is a true copy o( Resolution No~ Series o( 1994. ~ /7
, LC-/l'U di ~
Patricia H. Crow
Dat e
January 17, 1994
INITIATED BY
STAFF SOURCE
COUNCIL GOAL
COUNCTL COMMUNICATION
Agenda Item
11 d
Subject Resolution Appro priating
Golf Course Funds for the
Purchase of Real Property
Department of Financial Services
Frank Gryglewicz. Acting Director of Financial Senices
This acti on increases the attractiveness of the City as a business
and residential venue . ·
ISSUE/ ACTION PROPOSED
Staff seeks Council support for a resolution appropriating funds from tne Golf Course Fund
to purchase real property . The City has entered into an agreement to purchase rea l
property from the Motor Crane Company . The property wiU be used in th e golf course
expansion project .
PREVIOUS COUNCIL ACTION
On December 6, 1993, Council approved a resolution authorizing the purchase of 19 .637
acres of land fro m the Motor Crane Service Company . Also, Council passed on first
reading, an ordinance designating the Golf Co urse as an enterpri se to cla ri fy the City 's
inu-nt in light of Amendment 1 restrictions on the iss uance of debt. Council approved a
resolution appropriating $725,000 on December 20, 1993 . The acquisition of this property
was not co mpleted until January 7, 1994. The 1993 appropriation lapsed at year end,
requiring staff to request an app ropriation for 1994 .
BACKGROUND
The City is in the process of expanding its existing Golf Course facility . The expansion will
include: a new nine-hole, par-three course, clubhouse improvements, and year-ro und
training facility . Debt service payments will be made solely from golf course user fees. The
appropriation and purchase of the Motor Crane Company property is essential to the
successful expansion project.
PROS AND CONS OF OPTIONS REVIEWED
fro5: Adoption of a resolution appropriating funds will allow the City to use fun ds to
purchase real property from the Motor Crane Company . The property is essential to
completing the planned Golf Course expansion . The expansion, according to projections,
wil l increase future revenues, allow more player-rounds of golf, provide year-round training
for players, make the clubhouse more useful and pleasant, and generally enhance the image
of the Englewood Golf Course.
Cons: The future revenues and th e ability to service the debt could be ad versely affected by
the followin g: cos t overruns, less than projected player-rounds, increased exp os ure to
environmental clean-up costs, prolonged inclement weather, adverse economi c co nditions,
and unforeseen competi tion . If the ex pansion is not successful , the possibility of future net
losses does e.xist.
STAFF AN AL YSIS
In order to meet construction schedules, staff recommends adopting .1 resol ution
appropriating funds for the purchase of Motor Crane Company's real property . The
contract price of $681,333 .85 incl udes closing costs related to the acqui sition of real property .
FINANCIAL IMPACT
Funds appropriated from the Golf Co urse Fund's retained earnings total $681,333.85