Title
A Resolution Appointing Two Members to the Interquest South Business Improvement District Board of Directors
Body
From:
Carl Schueler, Comprehensive Planning Manager, Land Use Review Division
Summary:
This is a request for interim appointment of two members of the Board of Directors (the “BOD”) of the Interquest South Business Improvement District (the “BID”). It addresses a temporary vacation of the entire BOD resulting from the combination of property exclusions and inclusions being petitioned for in association with preceding agenda items. The recommended individuals are Bethany Sather and Stacie M. Tucker. The appointments would be effective until the next regular special district election to be held in May 2016.
State Statute (§ 31-25-1209(d) C.R.S.) provides that the governing body of a municipality may provide by ordinance that the Board of Directors of a Business Improvement District may be elected by the electors of the district. By Ordinance No. 04-238, City Council organized the BID and provided that the members of the Board of Directors would be elected by election. Ordinance No. 04-238 did not include a process by which vacancies on the Board would be filled. The C.R.S. states that vacancies will be filled in the same manner as the original appointment. C.R.S. §§ 31-25-1209(d) and 31-25-1209(b)(1). Because there was no original appointment, there is no mechanism by which vacancies on the Board may be filled other than by election. Therefore, the immediately preceding agenda item includes an ordinance amending Ordinance No. 04-238 to include a provision that allows Council to fill vacancies on the Board until the next regular special district election.
Previous Council Action:
The BID was established pursuant to Ordinance 04-238 adopted by Council on October 26, 2004, which approved the initial operating plan and budget ("Operating Plan") for the BID. In 2009 City Council approved Ordinance 09-21, which included additional property into this BID. The BID's Operating Plan has been approved annually in accordance with Section 31-25-1211, C.R.S., and most recently in November 2014. Council has not approved issuance of any debt by this BID.
Background:
BIDs are created under Colorado Statute and City Policy to finance and/or maintain certain public improvements in non-residential areas, utilizing a property tax mill levy as the revenue source. BIDs are a separate legal entity from the City, but their budgets and operating plans must be approved annually by the City.
This BID has largely been inactive to-date. Although authorized to levy up to 50.0 mills for debt service, to-date the BID has only certified a levy of 1.0 mill for operations purposes. This BID has never issued debt, although it has accumulated developer advances.
By Ordinance No. 04-238, City Council organized the BID and provided that the members of the Board of Directors would be elected by election. At this point the BID has only one director. Because the one director owns property proposed for exclusion from the boundaries of the BID, upon exclusion that individual would no longer be eligible to serve on the Board of Directors of the BID. The two individuals proposed for appointment to the Board of Directors will constitute the only qualified electors from the BID at this time. A full BID board consists of five (5) directors. Although it is possible to qualify additional electors at this time, the petitioners desire to postpone that action until such time as additional property owners become directly involved in the BID area. As stated by counsel for this BID on September 8, 2015, additional electors may be qualified prior to the anticipated May 2016 election.
Financial Implications:
There should be no direct financial implications to the City from this action.
Board/Commission Recommendation:
The City’s staff-level Special District Committee has been provided copies of these materials. All comments received have been in support and/or stated no concerns.
Stakeholder Process:
N/A
Alternatives:
City Council could choose to approve, not approve or modify the proposed resolution.
Recommended Action
Proposed Motion:
Move approval of the attached resolution appointing two members to the Interquest South Business Improvement District Board of Directors.
Ordinance Language
N/A