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HomeMy WebLinkAbout1990-12-05 EURA MINUTES•. ' ENGLEWOOD URBAN RENEWAL AUTHORITY December 5, 1990 I. CALL TO ORDER. D R A F T The regular meeting of the Englewood Urban Renew a 1 Authority was ca 11 ed to order by Chairman Jim Totton at 5:35 P. M. in Conference Room A of the Engle - wood City Hall. Members present: Bullock, Byrne, Minnick, Schmidt, Totton Richard Wanush, Executive Director/Executive Secretary Members absent: Voth, Daugherty Also present: Paul C. Benedetti, EURA Legal Counsel Harold J. Stitt, Planner II. APPROVAL OF MINUTES November 1, 1990 November 7, 1990 Chairman Tatton stated that Minutes of the meetings of November 1, 1990 and November 7, 1990 were to be considered for approval. Schmidt moved: Minnick seconded: The Minutes of November 1, 1990 and November 7, 1990 be approved as written. AYES: Byrne, None Voth None Minnick, Schmidt, Totton, Bullock NAYS: ABSENT: ABSTAIN: The motion carried. Ill. REVENUE REPORT Mr. Stitt distributed copies of the Revenue Report to members of the Authori- ty. The Authority collected $181,949.59 in sales tax revenues for the month of November, and the total sales tax revenues collected for the year-to-date are $1,375,250.46. Total property tax revenues collected for the year-to-date are $510,649.08. Mr. Stitt discussed a chart he had prepared showing the fund flow for the Au- thority throughout the year. Mr. Stitt stated that this chart does not in- clude interest earned for the month of November, but it appears there should be approximately $200,000 carry-over in the Reserve Account. Mr. Bullock asked what minimum amount is required in the Reserve Account. Mr. Wanush stated that the Reserve Account was set up at $3.6 Million, and that funds used from this account for debt service payments were to be replenished; - 1 - \ _, :..r' however, the revenues coming to the Authority have been insufficient to allow replenishment. Mr. Voth entered the meeting and took his seat with members of the Authority. Mr. Wanush pointed out that sales tax collections are ahead of last year, even with the closure of the Buyer's Club. Mr. Totton asked for a motion to accept the Financial Report. Minnick moved: Byrne seconded: The Financial Report dated December 3, 1990 be accepted. AYES: NAYS: ABSENT: ABSTAIN: Minnick, None None None Schmidt, Tatton, Voth, Bullock, Byrne The motion carried. IV. EURA VS. MARCENY Arapahoe County District Court Civil Action No. 90 CV 4818 Mr. Benedetti stated that a Summons and Complaint were filed in Arapahoe Coun- ty District Court, and that County Assessor Marceny and members of the County Commissioners have been served. Mr. Benedetti stated that a member of the firm of Dietze, Davis and Porter has been in contact with the Assistant County Attorney, and it is the desire of both sides that this issue be settled out of Court, if possible. Mr. Benedetti stated that the Assessor's Office has is- sued a revised assessment valuation statement, i ndi cat i ng that the assessed valuation for the EURA was increased from $4 Mi 11 ion + to over $8 Mi 11 ion. This has been done since the complaint was filed. Mr. Benedetti stated that he has had discussions with the Littleton Riverfront Authority, and they have indicated that they may be interested in joining in the EURA lawsuit. Mr. Benedetti stated that it has been helpful to talk to Assessor-elect Reeves, and expressed his appreciation to Mr. Bullock for his assistance in this matter. Mr. Benedetti stated that he and Mr. Wanush still want to view the Arapahoe County Assessor's records to determine what has been done, and what is being done now regarding the assessments and abatement apportionments. V. CONTRACT FOR AUDITING SERVICES Van Schooneveld and Co., Inc. Mr. Wanush stated that in years past, the auditing services for the EURA were performed as a part of the City contracted services, and the EURA was charged for their share of the audit. However, City Attorney DeWitt has recommended that the EURA contract separately with the auditing firm for their services; this recommendation is in line with the desire of City Council to maintain the separation between the "City" and the "Authority". Mr. Wanush stated that the City Finance Department has stated they feel the proposed fee of $2,500 is _ _) reasonable for auditing services, and that the Authority or auditor may sever - 2 - . ; _) the contract with proper notice, so the Authority is not bound for the three year period. Mr. Minnick inquired about funds for payment of the services. Mr. Wanush stated that this payment would come from the administrative funds currently on hand. Mr. Wanush stated that there was $119,000 in this administrative fund at the end of November, 1990. Minnick moved: Schmidt seconded: The Englewood Urban Renewal Authority approve the proposed agreement for Auditing services with Van Schooneveld & Co., Inc., and authorize the Executive Director to sign the agreement. AYES: NAYS: Schmidt, Totton, Voth, Bullock, Byrne, Minnick None ABSENT: None ABSTAIN: None The motion carried. VI. TRUSTEE LITIGATION BOND DEFAULT OPTIONS Mr. Wanush asked that discussion on these two items be conducted in Executive Session since they involve matters of current or possible litigation. Minnick moved: Schmidt seconded: The Englewood Urban Renewal Authority go into Executive Session. AYES: Totton, None None None Voth, Bullock, Byrne, Minnick, Schmidt NAYS: ABSENT: ABSTAIN: The motion carried. * * * * * * * * * * Ms. Daugherty entered the meeting at 6: 15 P. M. and took her seat with the members of the Authority. * * * * * * * * * * Bullock moved: Byrne seconded: The EURA come out of Executive Session. AYES: Voth, Bullock, Byrne, Minnick, Schmidt, Totton Mr. Wanush requested the Authority to ratify action taken by Mr. Benedetti on the issue with the Trustee. Byrne moved: Bullock seconded: The EURA ratify the action taken by Legal Counsel Benedetti to date on the lawsuit with the Trustee, and, further, to - 3 - AYES: NAYS: ABSENT: ABSTAIN: Bullock, None None None take whatever action is necessary to protect the interests of the EURA and the bondholders, as authorized by Executive Director Wanush after consultation with as many board mem- bers as may be contacted. Byrne, Minnick, Schmidt, Totton, Voth The motion carried. The possibility of restructuring the bonds was discussed. Schmidt moved: Minnick seconded: The EURA authorize Legal Counsel Benedetti and Jim Kreidle of The Kirchner Group to gather further information on the possibility of restructuring the bonds. AYES: NAYS: ABSENT: ABSTAIN: Minnick, Byrne None None Totton, Schmidt, Voth, Bullock The motion carried. Mr. Benedetti stated that he would like authorization to explore two possible legislative solutions: 1) the extension of the 25 year period for tax incre- ment districts, and 2) seek support for affirmative legislation authorizing URAs to file for Chapter 9 protection. Mr. Bullock expressed concern that Mr. Benedetti's time could be better spent than 1 obbyi ng for these issues. Mr. Benedetti stated that he would not be lobbying before the legislature; he wanted authorization to discuss these is- sues with the Colorado Municipal League to gain support in this body, who would then 1 obby the l egi sl ature. Mr. Benedetti emphasized the need for municipalities to support the extension of the 25 year limit on tax increment districts. Bullock moved: Schmidt seconded: The EURA authorize Legal Counsel Benedetti to engage in discussions on behalf of the Authority regarding the exten- sion of the time limitation on tax increment districts, and affirmative legislation to allow URAs Chapter 9 Bankruptcy protection. AYES: NAYS: ABSENT: ABSTAIN: Minnick, None None None Schmidt, Totton, Voth, Bullock, Byrne The motion carried. Mr. Wanush suggested that the City Council should be approached on the issue ) of extending the time limit on tax increment districts, and suggested that - 4 - this issue might be placed on a Council study session agenda for discussion. Mr. Bullock agreed with this approach. Byrne moved: Minnick seconded: The possible extension of time limitation on tax increment districts be explored with the City Council. AYES: NAYS: ABSENT: ABSTAIN: Schmidt, Tatton, Voth, Bullock, Byrne, Minnick None None None The motion carried. VII. OLD BUSINESS There was nothing brought up for discussion under old business. VIII. PUBLIC FORUM There was no one present to address the Authority. IX. DIRECTOR'S CHOICE. Mr. Wanush had nothing further to discuss under Director's Choice. X. COMMISSIONER'S CHOICE. -:) There was nothing brought up for discussion under Commissioner's Choice. -··· The meeting was declared adjourned at 7:30 P. M. i,,kAE~f;-crertrude G. Welty 2 Recording Secretary ) - 5 -