ORDINANCE NO. 4494

 

AN ORDINANCE EXTENDING THE PERIOD DURING WHICH THE GRAND JUNCTION, COLORADO DOWNTOWN DEVELOPMENT AUTHORITY (DDA) MAY ALLOCATE AND COLLECT A PROPERTY AND SALES TAX INCREMENT TO FUND THE CAPTITAL AND OPERATIONS OF THE DDA AS PROVIDED BY LAW

Recitals:

 

The Grand Junction, Colorado Downtown Development Authority (“the Authority” or “DDA”) has adopted a Plan of Development (“Plan”) for the Authority. The Plan and boundaries were initially approved by the Grand Junction City Council (“the Council”) on December 16, 1981 pursuant to Resolution and Colorado law.

 

Since that time, several people and entities owning property near or within the DDA, pursuant to §31-25-822, C.R.S. and Article X of the Authority's Plan, have petitioned for inclusion within the Authority’s boundaries. The boundaries of the DDA have been expanded by the Council by Ordinance Nos. 2045, 2116, 2382, 2400, 2425, 2470, 2655, 2820, 2830, 2914, 3008, 4305, 4326 and 4395.

 

During the years since its inception the Authority has engaged in a number of substantial projects including the renovation of the Two Rivers Convention Center, the elimination of slum and blight at and near the corner of 2nd Street and Colorado Avenue, the reconstruction of 7th Street, Colorado Avenue and the hallmark achievement of the renovation of Main Street.

 

On May 16, 2008 the general assembly passed SB 08-170 amending the Downtown Development Authority act by extending the period of time that a DDA may utilize tax increment financing.

 

According to the 2008 law the City Council as the governing body for the DDA may, by the passage of an ordinance, extend for 20 years the lawful right of the Authority to allocate and collect property and sales taxes for financing the purposes of the Authority. That process is known as the “TIF Extension.”

 

Also according to the law on the first day of the TIF Extension the base year for the allocation of property taxes must be advanced by ten years. After that ten year period the base year must be advanced by one year for every addition year of the life of the Authority through the final ten years.

 

The DDA Board respectfully requests that City Council approve this, the TIF Extension, ordinance. The approval of the ordinance and the consequential funding of the Authority for the next 20 years will allow the Authority to fully implement its statutory objectives and purposes all as more particularly described in the Authority’s Plan of Development. To the extent necessary or required the DDA Board further recommends and requests that the Plan be amended by passage of the ordinance to extend the division of taxes for an additional 20 years as provided by Colorado law.

 

NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF GRAND JUNCTION, COLORADO, that

 

1.  The City Council hereby approves a 20 year extension (“TIF Extension”) of the period during which the Grand Junction Downtown Development Authority may allocate and collect property and sales taxes.

 

2.  That the TIF Extension term shall commence in 2012 for the taxes payable in 2013 and thereafter.

 

3.  On the first day of the TIF Extension the base year for the allocation of property taxes must be advanced by ten years.

4.  After that ten year period the base year must be advanced by one year for every addition year of the life of the Authority through the final ten years.

 

5.  The City Council hereby finds and determines that the approval of the ordinance will serve a public use; will promote the health, safety, prosperity, security and general welfare of the inhabitants of the City and of its central business district; will halt or prevent the deterioration of property values or structures; will halt or prevent the growth of blighted areas; will assist the City and the Authority in the development and redevelopment of the district and in the overall planning to restore or provide for the continuance of the economic health; and will be of specific benefit to the property included within the Authority and the TIF district.

 

6.  Adoption of this Ordinance does not, shall not and will not provide for or allow or authorize receipt or expenditure of tax increments without requisite statutory and Plan compliance.

 

 

INTRODUCED on first reading this 19th day of December 2012 and ordered published in pamphlet form.

PASSED and ADOPTED this 4th day of January 2012 and ordered published in pamphlet form.

 

           /s/: Tom Kenyon

           President of the Council

Attest:  

 

/s/: Stephanie Tuin

City Clerk