HomeMy WebLinkAbout992333.tiff RESOLUTION
RE: APPROVE MEMORANDUM OF UNDERSTANDING REGARDING FINANCING AND
OWNERSHIP OF FARM SHOW BUILDING AT ISLAND GROVE REGIONAL PARK
AND AUTHORIZE CHAIR TO SIGN
WHEREAS, the Board of County Commissioners of Weld County, 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, the Board has been presented with a Memorandum of Understanding
Regarding Financing and Ownership of Farm Show Building at Island Grove Regional Park
among the County of Weld, State of Colorado, by and through the Board of County
Commissioners of Weld County, and the City of Greeley, Colorado Ag Education, Inc., and the
Greeley Building Authority, with terms and conditions being as stated in said memorandum of
understanding, and
WHEREAS, after review, the Board deems it advisable to approve said memorandum of
understanding, a copy of which is attached hereto and incorporated herein by reference.
NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of
Weld County, Colorado, that the Memorandum of Understanding Regarding Financing and
Ownership of Farm Show Building at Island Grove Regional Park among the County of Weld,
State of Colorado, by and through the Board of County Commissioners of Weld County, and
the City of Greeley, Colorado Ag Education, Inc., and the Greeley Building Authority be, and
hereby is, approved.
BE IT FURTHER RESOLVED by the Board that the Chair be, and hereby is, authorized
to sign said Memorandum of Understanding.
The above and foregoing Resolution was, on motion duly made and seconded, adopted
by the following vote on the 20th day of September, A.D., 1999.
BOARD OF COUNTY COMMISSIONERS
Lai �� WELD COUNTY, COLORADO
ATTEST: /0„1/71
���� EXCUSED
D �(/% w I . La Dale K. Hall, Chair
Weld County Clerk to the :• rd t
icci .i" AEI • ., • /
i(" G4Z9 rb Kirkmeyer Pr Tem '
Deputy Clerk to the Br • , tf
�eifiTC George E ter
AP D AS RM: ��� _
M. J ei e
ounty Attorn ,yitita/ 141
Glenn Vaatt
992333
PR0016
MEMORANDUM OF UNDERSTANDING
REGARDING FINANCING AND OWNERSHIP OF FARM SHOW BUILDING
AT ISLAND GROVE REGIONAL PARK IN GREELEY, COLORADO
THIS MEMORANDUM OF UNDERSTANDING ("MOU") is made this X- "day of
S r , 1999, by and between the County of Weld, a political subdivision of the State
of Colorado, by and through the Board of County Commissioners of the County of Weld, whose
address is 915 10th Street, Greeley, Colorado 80631, hereinafter referred to as "County;" the
City of Greeley, a home-rule municipal corporation organized pursuant to the laws of the State of
Colorado, by and through the Greeley City Council, whose address is 1000 10th Street, Greeley,
Colorado 80631, hereinafter referred to as "City;" the Colorado Ag Education, Inc., a Colorado
non-profit corporation, whose address is P.O. Box 770, Greeley, Colorado 80632, hereinafter
referred to as "CFS;" and the Greeley Building Authority, a political subdivision of the State of
Colorado, whose address is 1000 10'h Street, Greeley, Colorado 80631, hereinafter referred to as
"Authority."
WITNESSETH:
WHEREAS, CFS is seeking assistance in the construction of a new community building
at the Island Grove Regional Park, and
WHEREAS, County and City are owners of the property at Island Grove Regional Park
and are willing to assist CFS in said construction to the extent detailed in this MOU, and
WHEREAS, Authority also is willing to assist CFS in said construction by financing the
same as described in this MOU.
NOW, THEREFORE, in consideration of the promises and covenants set forth herein, the
parties hereto agree as follows:
1. NEW COMMUNITY BUILDING: CFS desires the construction of a new
community building at the Island Grove Regional Park, being approximately
60,000 square feet in size. The approximate construction cost of said building is
$3,619,400. Said approximated cost includes the cost of the base building,
contingency, essential needs, and the parking lot.
2. PAYMENT FOR COST OF CONSTRUCTION: Payment for the cost of
construction shall be by proceeds from the sale of certificates of participation
("COP's") issued by Authority totaling $2,100,000, with the remainder paid from
anticipated grant proceeds in the sum of$250,000, estimated donations to be
received by CFS, and yearly subsidy payments by County and City.
Page 1 of 5 Pages
992333
3. REPAYMENT OF CERTIFICATES OF PARTICIPATION PRINCIPLE AND
INTEREST: Repayment of the principle amount of the COP's issued by
Authority and interest thereon shall be paid from revenues generated by lease
payments paid by City to Authority. City shall pay said lease payments from the
following sources:
a. CFS agrees to pay to City the sum of$2,500,000, according to the
following terms:
1) CFS anticipates collecting the sum of$2,500,000 from donations,
including approximately $1,950,000 in enterprise zone tax credit
pledges and approximately $550,000 in miscellaneous donations
dedicated to the construction of the building. Any such donations
collected by CFS shall be paid over to City no later than thirty (30)
days after their receipt by CFS, once construction has begun.
2) CFS shall sublease the new building from City at the rate of
$70,000 per year for the first five years after construction, which
sum includes the User Fee paid annually by CFS. it; during this
time, the $2,500,000 obligation of CFS under this MOU has been
fully paid, then the sublease shall be terminated.
3) If, after the first five years of this MOU, the $2,500,000 obligation
has not been fully paid from the donations, CFS shall continue to
sublease the new building at the rate of$50,000 per year (which
sum includes the User Fee paid annually by CFS) for a period of
ten years, or until the $2,500,000 is fully paid, whichever occurs
first. CFS shall continue to pay its User Fee for the time it uses the
facilities Island Grove Regional Park after the sublease ends.
4) Construction on the new parking lot, estimated to cost $550,000,
shall not begin until all funds have been collected by CFS, unless
otherwise agreed to by the parties hereto.
b. County agrees to pay to City the sum not to exceed $100,000 per year,
beginning when construction commences on said building and continuing
each July 15' thereafter for a period of fifteen (15) years, or until such time
as the COP's are retired, to assist in defraying the yearly lease payments
for such period and subsidized operational costs. This agreement shall not
be deemed to create an obligation on the part of the City to expend funds
not otherwise appropriated in each succeeding year.
c. City agrees to pay the sum not to exceed $100,000 per year, beginning
when construction commences on said building and continuing each July
Page 2 of 5 Pages
1St thereafter for a period of fifteen (15) years, or until such time as the
COP's are retired, to assist in defraying the yearly lease payments for such
period and subsidized operational costs. This agreement shall not be
deemed to create an obligation on the part of the City to expend funds not
otherwise appropriated in each succeeding year.
4. AUTHORITY TO ISSUE AND SELL CERTIFICATES OF PARTICIPATION:
Authority agrees to take all steps necessary to issue, sell, and ensure prompt
repayment of the COP's, with appropriate interest, and shall pay all costs
associated with said issuance and sale out of the proceeds derived therefrom.
Neither the COP's, nor any interest thereon, shall be deemed to be a debt or
obligation of either the County or the City. Authority shall not proceed on project
until CFS collects $1,000,000 or more in donations for said building.
5. LEASE AND SUBLEASE OF NEW BUILDING BY CITY: Authority agrees to
take ownership of the new building and the property upon which it sits. Authority
shall then lease the new building to City, which shall in turn sublease the same to
CFS for CFS activities. City shall sublease to other parties when building is not
being used by CFS.
6. SEVERABILITY: If any term or condition of this MOU shall be held to be
invalid, illegal, or unenforceable, this MOU shall be construed and enforced
without such provision to the extent that this MOU is then capable of execution
within the original intent of the parties hereto.
7. NO THIRD PARTY BENEFICIARY ENFORCEMENT: It is expressly
understood and agreed that the enforcement of the terms and conditions of this
MOU, and all rights of action relating to such enforcement, shall be strictly
reserved to the undersigned parties and nothing contained in this MOU shall give
or allow any claim or right of action whatsoever by any other person not included
in this MOU. It is the express intention of the undersigned parties tha.t any entity
other than the undersigned parties receiving services or benefits under this MOU
shah be an incidental beneficiary only.
8. ENTIRE MOU: The parties hereby agree that neither has made or authorized any
MO U with respect to the subject matter of this instrument other than expressly set
forth herein, and no oral representation, promise, or consideration different from
the terms herein contained shall be binding on either party, or its agents or
employees, hereto. This MOU embodies all MOUs between the parties hereto
and there are no promises, terms, conditions, or obligations referring to the subject
matter whereof other than as contained herein.
9. NO WAIVER OF IMMUNITY: No portion of this MOU shall be deemed to
constitute a waiver of any immunities the parties or their officers or employees
Page 3 of 5 Pages
may possess, nor shall any portion of this MOU be deemed to have created a duty
of care which did not previously exist with respect to any person not a party to
this MOU. The parties hereto acknowledge and agree that no part of this MOU is
intended to circumvent or replace such immunities.
IN WITNESS WHEREOF the parties hereto have signed this MOU this , day of
`opfts n bed- , 1999.
tFGR � t
ATTEST: ,�, .t'I �..� bt CITY OF GREELEY, COLORADO
f ' y kPt
r :" . F
'�' 9 ii'AL ic; In B
Betsy lde , G 1p c- ,S LaVern Ne son, Mayor
1t, < s A ea o Q�,
APPROVED AS T Y Q APPROVED AS TO SUBSTANCE:
#tilt tss'"
> 7 l
By: I • By: ��,6 C // C? 6+4,4r&Greeley City Attorney Leonard Weis , ity Manager
l
APPROVED AS TO FINANCING:
By:
Finance Direct&
COUNTY OF WELD, COLORADO
n
��i� l�fiXf�7 //issi
BO LL
r i
ut Board 09/2 /99 Barbara J. Kirkmeye:, Nair Pro-Tem
r� I Board of County Commissioners of
the County of Weld
APPROVED AS TO LEGAL FORM: APPROV AS TO SU STANCE:
By: A By: t 2�
Wet" County Attorney D n Warden, irector of Finance and
Administration
Page 4 of 5 Pages
ATTEST: COLORADO AG EDUCATION, INC.
By:
D n Hamilton, Chairman/President
ATTEST: GREELEY BUILDING AUTHORITY
By:
eorge L. y rs, Chair
Page 5 of 5 Pages
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