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;
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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
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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
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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
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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.
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The meeting was declared adjourned at 7:30 P. M.
i,,kAE~f;-crertrude G. Welty 2
Recording Secretary
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