HomeMy WebLinkAbout1980-06 Amendment is required to the Definition of Maximum Resale Price by Resolution 19, 1979RESOLUTION NO. ~i, SERIES 1980
WHEREAS, it is the determination of the Town
Council. of the Town of Vail, Colorado {the "Town") , that an
amendment is required to the definition of "Maximum Resale
Price" as established by Resolution No. 19, Series 1979,
adopted on July 31, 1.979, in order to more nearly carry out
the Town's purpose of restricting the resale price of units
contained in an Approved Project (as defined in said Resolu-
tion 19, Series 1979).
NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COiJNCIL
OF THE TOWN OF VAIL, COLORADO:
Section 1. Section 7. (a) of Resolution 19, Series
1979, is hereby repealed, and the following Section 7. (a)
is enacted and substituted in its place:
a} In the event an owner shall desire to sell
his financed residential unit, he shall notify the Town Clerk
of the Town, or such other person .as designated by the Town
Council of the Town {"Town Council") in writing of his inten~
Lion to sell his financed residential unit, and shall deposit
with the Town Clerk the sum of .$300. The Town Clerk shall
immediately notify the Town Council of such intent to sel•1 and
the Town Council or other entity ar commission created by the
Town Council shall have thirty (30) days in which to purchase
the financed residential unit at the Maximum. Resale Price as
hereinafter defined. If the Town Council or other entity or
Commission created by the Tawn Council desires to exercise
its option to purchase, it shall da so by notifying the owner
in writing of its intention to purchase such unit within the
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30-day period, and shall thereafter proceed to close such
transaction within fifteen days after the exercise of such
option. If the Town Council or other entity or Commission
created by the Town Council does not desire to purchase the
financed residential unit or takes no action within the
thirty (30) day period, or if such transaction does not close
within fifteen days after the exercise of such option, through
no fault of the seller, then the Town Clerk shall immediately
advertise the financed residential unit for sale~for four {4}
consecutive weeks in a newspaper located in the Town. Such
sale shall be by competitive bid submitted by "Qualified.Pur-
chasers" as hereinafter. defined, ar by an employer whose busi-
ness is located within the Town of Vail ~("Employer"}. If an .
Employer purchases a financed residential unit, it must pro-
vide the Town with an opinion of bond counsel of recognized.
standing in the fields of municipal law and municipal tax
regulation that its purchase will not cause any of the Mort-
gage Revenue Bonds to be considered industrial development
bonds within the meaning of Section 103(b) of the Internal-
Revenue Code of 1954, as amended. The owner may accept the
highest bid after the last publication date; or, in the alter-
native, reject all bids and retain ownership of the financed
residential unit. Notwithstanding the above, an owner may
sell his financed residential unit to a Qualified Purchaser
without having the Town advertise the same, as long as he
receives prior written consent from the~Town. .
If the owner does not receive a bid in an
amount equal to or greater-than the Maximum Resale Price
within ninety {90) days of the last publication-date, then
the owner shall be allowed to sell his financed residential
unit on the "open market".and shall be deemed to have satisfied
this Section 7{a). The transferee, his grantee s. or successors
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in Merest, however, shall bE~und by. the terms and cone
tions of this Section 7(a} in the same manner and degree as
if no transfer had occurred on the "open market." if the
owner does~not sell his financed residential unit on the open.
market within one hundred eighty (180) days of the last pub-
lication date and if the owner still desires to sell his
financed residential unit, he must again comply with the full
terms and conditions of this Section 7(a). For the purpose of
establishing the sales date in the preceding sentence, the
recording date of the transfer deed shall be conclusive evi~
dence of the date of sale.
If the owner rejects all bids, regardless of
the dollar value of such bids, he shall forfeit his deposit.
If the owner sells the financed residential unit to a Quali-
fied Purchaser, as hereinafter defined, the Town, or an entity
or commission created by the Town, or an employeY whose busi--
ness is located within the Town, then he shall pay the Town or
its designee an amount equal to one percent {10} of the sales.
price less the amount of deposit previously made. Such fees
paid to the Town .s hall be for all advertising and administra-
tive fees in connection with the sale of the financed residers-
tial unit.
Qualified Purchasers" shall be residents of
the Town, who meet the qualifications, including the Maximum
Household Yncome qualification, established annually by reso-
lution of the. Town Council. The revision of the qualifications
shall be limited to those changes reasonably necessary to limit
the sale of the financed residential unit to purchasers. of
low- and middle-income residing in the Town. Original Maximum
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Household Income iimitations shall be defined arul established in the
ordinance authorizing Mortgage P.cvenue Bonds. Such determination shall
continue until changed by action of the Town Council.
In no event shall any financed residential unit be sold, unless
it is sold on the open market pursuant to the criteria set out above, for
an amount in excess of the total of the following:
1) An amount calculated as follows: Owner's
purchase price plus Owner's purchase price times a fraction,
the numerator of which is the difference between the current
index value at the time of sale and the index value at the time
of purchase ("base index"), and the denominator of which is the
average of the current index value at the time of sale and the
base index. For the purposes of this subparagraph, the
index value shall be the values established by the Consumer
Price Index specified far All Items, All Urban Consumers
for Denver, Colorado (Denver Revised CPI-U) (19b7=10Q) issued
by tY-e United States Department of Labor, Bureau of Labor
Statistics. If such index is no longer published, an index
selected by the 's'own Council, shall be used to make the ad-
justment rectuired herein. l!or the purposes of this subparagraph,
the phraise "current index value at the time of sale" sha11 be
the index value of the Consumer Price index which appeared
most recently prior to the sale for which the maximum resale
price must be determined. In formula form, the adjustment
provided herein is as follows:
Purchase price + purchase price X 1.5 X
current index - base index
base index + current index2
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2} The t~ue at tie time of sale of
all capital improvements made to the financed resider--
tial unit plus the owner's pro rata share of the costs
of those made to the common elements and assessecT to
the owner. The value of the capital improvements shall
be as determined by mutual agreement of the owner and
Town or by an appraiser mutually acceptable to.~the owners
and the Town. The cost of such appraisal shall be paid
by the owner.
3} The cost of any public improvement
for which assessments were imposed by any governmental
ar quasi-governmental agency which have been paid during
the period of ownership.
The sum of~l, 2, and 3 above shall be the "Maximum
Resale Price." In the event a bid is received equal to .or in
excess of the Maximum Resale Price herein established, the
financed residential unit shall be awarded to such bidder at
said Maximum Resale Price. In the event two or more such bids
are received, the winning bidder shall be selected by lottery
and the financed residential unit shall be sold to him at no
more than ,the Maximum Resale Price. Notwithstanding .the above,
a Qualified Purchaser shall always have preference over an
Employer as long as his bid is equal to or greater than the
Maximum Resale Price or the Employer's bid, whichever is less.
In the event two or mare bids are submitted which require the
owner to take a promissory Hate as partial payment and no other
Maximum Resale Price bids are received, then the owner may
select the winning bidder at his sole discretion without the
need of a lottery. Nothing herein, however, sha11 be construed
to prevent the owner from rejecting all bids and retaining
ownership of the financed residential unit.
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Section 2. If any :~tion, paragraph, clause o{~
provision of this Resolution shall for any reason be held to
be inva~.id or unenforceable, the invalidity ox unenforcc?ability
or such section, paragraph, clause, or provision sha11 not
affect any of the remaining provisions of this Resolution.
Section 3. This Resolution shall not be deemed
to create any rights in any person other than the Town and
may be amended by any Resolution subsequently adapted.
Section 4. A11 bylaws, orders, and resolutions, or
parts thereof, inconsistent herewith are hereby repealed to
the extent only of such inconsistency. This repealer shal-1
not be construed as reviving any bylaw, order, or resolution,
or part thereof.
Whereupon it was moved by Council Member
and seconded by Council Member that all
rules of the Town Council which might prevent, unless sus-
pended, the final passage and adoption of said resolution at~
this meeting be, and the same hereby are, suspended for the
purpose of permitting the final passage and adoption of said
resolution at this meeting. The motion was put to a vote, the
vote being as follows:
Those Voting Yes:
41~~ ~ a~
1
Those Voting No: .~"~C-~
Those Absent: ~@1~~ ~Yt--ti-~
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A motion to adopt the foregoing resolution was
then duly made by Council Member ~.'~.. I.UC.~=~ and duly
seconded by Council Member~2'~-lc.a(.. ~-dN.~7J'~~ was put to a vote,
the vote being as follows:
Those Voting X 5•
Lx~ ~,~-e~V `
ccrc_.~ ! f~2~U~C~c~
f/~ ~~~
C~~-~
Those Voting No: •~~`?~~
Those Absent:
Thereupon the Mayor declared said motion carried and
said resolution duly passed and adopted. .
After action on business not related to the foregoing
resolution, on motion duly made, seconded and adapted, the
meeting thereupon adjourned.
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Ma ar
SEAL)
ATTEST:
Town Clerk
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STI~•1'E 4F COLORADO ~ '
COCiNTY QF EAGLE } SS.
TOWN OF VAIL )
I, Colleen Kline, the duly qualified and acting
Town Clerk of the Town of Vail, Colorado, do hereby certify:
1} The foregoing pages numbered 1
through 8, .inclusive, are a true, perfect, and com-
plete copy of the.record of proceedings of the Town
Council of the Town of Vail. had. and taken at a lawful
regular meeting of the Council held at the Town Hall
in Vail, Colorado, on Tuesday, March 18, 1980, com- .
mencing at the hour of p.m., as recorded in the
regular official book of the proceedings of the Town
kept in my office, in which a resolution amending the
definition of "Maximum Resale Price" as established by
Resolution No. 19, Series 1979, was adopted. Said
proceedings were duly had and taken as therein shown,
the meeting therein shown was duly held, and the per-
sons therein named were present at said meeting as
therein shown. A quorum was present and acting through-
out the meeting. The resolution has not been revoked,
rescinded,'or modified, and is in full farce and effect
on the date hereof.
2} All members of the Town Council were
duly notified of said meeting, pursuant to law.
IN WITNESS WI-IERNOF, I have hereunder set
my hand a,,,n''d•• affixed the seal of the Town this day of
Town Clerk - --- -
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