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ORDINANCE NO. 228
IN THE MATTER OF AN EMERGENCY ORDINANCE AUTHORIZING THE ISSUANCE AND
SALE OF $1,650,000 WELD COUNTY, COLORADO, DEVELOPMENT REVENUE BOND
(GREELEY CENTER FOR INDEPENDENCE, INC. PROJECT), SERIES 2003; RATIFYING
CERTAIN ACTIONS HERETOFORE TAKEN; AUTHORIZING THE EXECUTION AND
DELIVERY BY THE COUNTY OF A FINANCING AGREEMENT, A LAND USE RESTRICTION
AGREEMENT AND SUCH BOND IN CONNECTION THEREWITH; APPROVING THE FORM
OF CERTAIN ANCILLARY DOCUMENTS; REPEALING ANY ACTION HERETOFORE
TAKEN IN CONFLICT HEREWITH; AND DECLARING AN EMERGENCY
BE IT ORDAINED BY THE BOARD OF COUNTY COMMISSIONERS OF THE COUNTY OF
WELD, STATE OF COLORADO:
WHEREAS,the Board of County Commissioners of the County of Weld,State of Colorado,
pursuant to Colorado statute and the Weld County Home Rule Charter,is vested with the authority
of administering the affairs of Weld County, Colorado, and
WHEREAS,counties and municipalities in the State of Colorado(the"State")are authorized
by the County and Municipality Development Revenue Bond Act, article 3 of title 29 of Colorado
Revised Statutes, as amended (the "Act"), to finance land, buildings or other improvements and
properties suitable or used for or in connection with healthcare facilities,and to refinance obligations
previously incurred to finance such properties,all to the end that such counties and municipalities
may be able to promote economic activity by inducing nonprofit corporations to locate, expand or
remain in the State for the benefit of the inhabitants of the State and forthe promotion of their health,
safety, welfare, convenience and prosperity; and
WHEREAS, the Act further authorize such counties and municipalities to issue revenue
bonds forthe purposes described above,including all incidental expenses incurred in issuing bonds,
to secure the payment of such bonds as provided in the Act,and to enter into financing agreements
with others forthe purpose of providing revenue to pay such bonds upon such terms and conditions
as such counties and municipalities may deem advisable; and
WHEREAS,Greeley Center for Independence,Inc.,a Colorado non-profit corporation(the
"Corporation"), has presented to Weld County, Colorado (the "County") a proposal whereby the
County will, pursuant to the Act and the Supplemental Public Securities Act, Part 2 of Article 57 of
Title 11 of the Colorado Revised Statutes, as amended, issue the revenue bond hereinafter
described and loan the proceeds therefrom to the Corporation finance certain healthcare and
low-income housing facilities owned by the Corporation (the "Project"), which healthcare and
low-income housing facilities are located within corporate limits of the County; and
WHEREAS,a$1,650,000 Weld County,Colorado,Development Revenue Bond(Greeley
Center for Independence, Inc.Project),Series 2003(the"Bond")will be issued,sold and delivered
by the County to the Bank, to provide funds to finance the Project; and
WHEREAS,a public hearing was held on the 3rd day of September,2003,concerning the
Bond and the financing of the Project,after publication of reasonable public notice of such hearing;
and
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WHEREAS,there has been presented to the Board of County Commissioners of the County
the proposed forms of a Financing Agreement, dated as of September 1, 2003 (the "Financing
Agreement"), among the County, the Corporation and the Bank and a Land Use Restriction
Agreement, dated as of September 1, 2003 (the "Land Use Restriction Agreement"), among the
County, the Corporation and the Bank.
NOW, THEREFORE, BE IT ORDAINED by the Board of County Commissioners of the
County of Weld, State of Colorado, that:
Section 1. All action not inconsistent with the provisions of this Ordinance heretofore taken
by any of the County's officials and the efforts of the County directed toward the financing of the
Project, the issuance and sale of the Bond therefor, and loaning the proceeds thereof to the
Corporation therefor be, and the same hereby are, ratified, approved and confirmed.
Section 2. The County shall finance the Project with the proceeds of the Bond in
accordance wit the provisions and conditions of the Agreement.
Section 3. To defray the cost of financing the Project, there is hereby authorized and
created a revenue bond designated as "Weld County, Colorado, Development Revenue Bond
(Greeley Center for Independence, Inc.,Project),Series 2003"in the principal amount of$1,650,000
to be dated the date of its issuance and delivery and bearing interest from its date at the rate of
10.00 percent per annum through,but not including September 10,2008,and thereafter shall bear
interest on the unpaid principal balance at a rate equal to the five-year composite maturity treasury
index published by the Federal Reserve Board on September 10, 2008, plus one half percent
(0.50 percent);provided,however,that if the five-year composite maturity treasury index is no longer
published, the Bond shall bear interest on and after September 10, 2008, at a rate equal to the
interest rate on the five-year treasury securities auctioned at the auction immediately preceding
September 10, 2008, plus one half percent (0.50 percent); provided further, that if an Event of
Taxability(as defined in the Agreement)shall have occurred,the Bond shall bear interest at a rate
equal to the Wells Fargo Prime Rate beginning on the date which is six months from the date the
Registered Owner thereof gives notice of the Event of Taxability to the Corporation and,if applicable,
adjusted again to the Wells Fargo Prime Rate on September 8,2008.The maximum net effective
interest rate on the Bond shall he 15.0 percent.
The Bend will mature on September 10,2013. Principal of and interest on the Bond shall be
payable on the 10th day of each month, commencing October 10, 2003, as provided in the
Agreement. The Bond will be issuable as a fully registered bond in accordance with the provisions
of the Act and the Agreement.
The Bond shall be subject to redemption prior to maturity and shall be in substantially the
form provided in the Agreement. The Bond shall he sold to the Bank in a negotiated, private sale
at a purchase price of$1,650,000.
Section 4. The following determinations and findings,based upon information supplied and
representations made by the Corporation are hereby made in accordance with the Act::
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A. The estimated principal of and interest payments on the Bond(based upon the initial
interest rate)are set forth in Appendix A hereto. The Agreement provides that the
Corporation make loan payments sufficient to make timely payments on the Bond.
B. The terms of the Agreement pursuant to which the County will loan the proceeds of
the Bond to the Corporation provide that the Corporation shall cause the healthcare
and low-income residential facilities being refinanced to be maintained in good repair
and shall carry all proper insurance with respect thereto.
C. The revenues payable under the Agreement are sufficient to pay all other
requirements of the Agreement and this Ordinance.
D. No reserve fund shall be established for the Bond.
E. The residents of the residential facilities being refinance by the Bond constitute low-
and moderate-income families or persons within the meaning of the Act.
Section 5. The form, terms and provisions of the Agreement be and they hereby are
approved,and the County shall enter into the Agreement substantially in the form of the Agreement
presented at this meeting,but with such changes therein as the officers of the County executing the
Agreement shall approve,their execution thereof being deemed conclusive of their approval of any
such changes, and the Chair of the Board of County Commissioners or the Chair Pro-Tem of the
Board of County Commissioners is hereby authorized and directed to execute and deliver the
Agreement and the Clerk to the Board or any Deputy Clerk to the Board is hereby authorized and
directed to affix the seal of the County to,and to attest the Agreement in substantiallythe form of the
Agreement attached hereto.
Section 6. The form,terms and provisions of the Land Use Restriction Agreement be and
they hereby are approved, and the County shall enter into the Land Use Restriction Agreement
substantially in the form of the Land Use Restriction Agreement presented at this meeting,but with
such changes therein as the officers of the County executing the Land Use Restriction Agreement
shall approve, their execution thereof being deemed conclusive of their approval of any such
changes,and the Chair of the Board of County Commissioners or the Chair Pro-Tem of the Board
of County Commissioners is hereby authorized and directed to execute and deliver the Land Use
Restriction Agreement and the Clerk to the Board or any Deputy Clerk to the Board is hereby
authorized and directed to affix the seal of the County to, and to attest the Land Use Restriction
Agreement in substantially the form of the Land Use Restriction Agreement attached hereto.
Section 7. The form,terms and provisions of the Bond,in substantially the form contained
in the Agreement, be and they hereby are approved; and the Chair of the Board of County
Commissioners or the Chair Pro-Tem of the Board of County Commissioners is hereby authorized
and directed to execute the Bond,the Clerk to the Board or any Deputy Clerk to the Board is hereby
authorized and directed to attest the Bond and each is authorized to deliver the Bond in the form
contained in the Agreement but with such changes therein as the officer of the County executing the
Bond shall approve, his execution thereof being deemed conclusive of his approval of any such
changes. The seal of the County is hereby authorized and directed to be affixed to or imprinted on
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the Bond. The signature of the Chair of the Board of County Commissioners or the Chair Pro-Tern
of the Board of County Commissioners or the signature of the Clerk to the Board or any Deputy
Clerk to the Board on the Bond, and the County seal, may be a facsimile.
Section 8. The officers of the County shall take all action which they deem necessary or
reasonably required in conformity with the Act to finance the Project which is hereby authorized,and
for carrying out, giving effect to and consummating the transactions contemplated by this
Ordinance,the Agreement and the Land Use Restriction Agreement,including without limitation the
execution and delivery of any closing documents to be delivered in connection with the sale and
delivery of the Bond.
Section 9. The cost of financing the Project will be paid out of the proceeds of the Bond.
THE BOND AND THE INTEREST HEREON SHALL NEVER CONSTITUTE THE DEBT,
INDEBTEDNESS OR MULTIPLE FISCAL YEAR OBLIGATION OF THE COUNTY WITHIN THE
MEANING OF ANY PROVISION OR LIMITATION OF THE CONSTITUTION OR STATUTES OF
THE STATE OF COLORADO OR THE HOME RULE CHARTER OF THE COUNTY,AND SHALL
NEVER CONSTITUTE OR GIVE RISE TO A PECUNIARY LIABILITY OF THE COUNTY OR A
CHARGE AGAINST ITS GENERAL CREDIT OR TAXING POWERS.
Section 10. Pursuant to Section 147(f)of the Internal Revenue Code of 1986,as amended,
the Board of County Commissioners hereby approves the issuance of the Bond and the financing
of the Project.
Section 11. The County, including any entities acting on behalf of or subordinate to the
County, does not anticipate issuing more than $10,000,000 of tax-exempt obligations during the
calendar year 2003, which is the calendar year in which the Bond is issued. No proceeds of the
Bond will be used in a manner which would cause the Bond to be a private activity bond(other than
a"qualified 501(c)(3)bond"). Accordingly,the County hereby designates the Bond as a"qualified
tax-exempt obligation"pursuant to Section 265(b)(3)(b)(i)of the Internal Revenue Code of 1986,as
amended.
Section 12. After the Bond is issued,this Ordinance shall be and remain irrepealable until
the Bond and interest thereon shall have been fully paid, cancelled and discharged.
Section 13. If any if any section,subsection,paragraph,sentence,clause,or phrase of this
Ordinance is for any reason held or decided to be unconstitutional, such decision shall not affect
the validity of the remaining portions hereof. The Board of County Commissioners hereby declares
that it would have enacted this Ordinance in each and every section, subsection, paragraph,
sentence, clause, and phrase thereof irrespective of the fact that any one or more sections,
subsections,paragraphs,sentences,clauses,or phrases might be declared to be unconstitutional
or invalid.
Section 14. All bylaws,orders, resolutions and ordinances, or parts thereof, inconsistent
herewith or with the documents hereby approved are hereby repealed to the extent only of such
inconsistency. This repealer shall not be construed as reviving any bylaw, order, resolution or
ordinance, or part thereof.
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Section 15. Due to fluctuations in municipal bond prices and due to currently favorable
interest rates, it is hereby declared, in the opinion of the Board of County Commissioners and
pursuant to Section 3-14 of the County's home rule charter, that an emergency exists; and,
therefore, this Ordinance shall be in full force and effect upon its passage.
The above and foregoing Ordinance Number 228 was,on motion duly made and seconded,
adopted by the following vote on the 3rd day of September, A. D., 2003.
B D OF COUNTY COMMISSIONERS
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W CO TY, COLORADO
ATTEST: w�/�`
vid E. Lo , Chair
Weld County Clerk to the Board •
Robert as en, ro- em
BY: ACL1.-14-4,47:ex.4.44---cri.
Deputy Clerk to the Board—,
M. J Geile
P ED AS
William H. Jer
County Attom y *
Glenn Vaadgij
Published: August 14, 2003, in the South Weld Sun
Read and Approved: September 3, 2003
Published: September 11, 2003, in the South Weld Sun
Effective Date: September 3, 2003
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Appendix A
Estimated Schedule of Principal and Interest Payments
Calendar Year Principal Payment Interest Payment Total Payment
2003 $ 13,251.87 $17,690.13 $ 30,942.00
2004 54,452.69 69,315.31 123,768.00
2005 56,840.85 66,927.15 123,768.00
2006 59,333.76 64,434.24 123,768.00
2007 61,936.00 61,832.00 123,768.00
2008 64,652.37 59,115.63 123,768.00
2009 67,487.87 56,280.13 123,768.00
2010 70,447.73 53,320.27 123,768.00
2011 73,537.40 50,230.60 123,768.00
2012 76,762.58 47,005.42 123,768.00
2013 1,051,296.88 33,052.68 1,084,349.56
Total 1,650,000.00 $579,203.56 $2,229,203.56_
HBO 'NIB
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