Fort Collins URA adopts supplemental 2025 and 2026 budgets to cover legal, due diligence, maintenance and higher debt service

The Fort Collins Urban Renewal Authority adopted two budget resolutions at its Aug. 26 meeting: a supplemental 2025 budget (Resolution 151) and the 2026 budget (Resolution 152). Staff said the supplemental 2025 changes would authorize roughly $4.5 million in new expenditures tied to the Conifer loan, increased legal expenses, due diligence on potential property acquisitions and higher debt service from bonds issued earlier this year.

Acting Executive Director Josh Burks summarized the 2025 amendments and the proposed 2026 budget, saying the additions for 2025 “total about $4,500,000 of new expenditures in this year, that will be authorized if you choose to support that particular resolution.” He told the authority debt‑service increases are the primary driver of higher expenditures next year and that the North College bonds account for the largest share of annual debt service.

Property maintenance and Albertsons site: Staff detailed about $200,000 of possible property maintenance costs next year tied to properties under consideration, including the former Albertsons site (referred to in the meeting by parcel identifier 1636 in meeting notes). Burks said the URA is budgeting for security, liability insurance and a “premium amount of maintenance” to keep sites clean and safe; he noted an example monthly maintenance cost of about $2,300 and a maintenance standard that “no broken windows should be out for more than 24 hours.”

Demolition and activation: Burks said a demolition bid is prepared and, if the URA proceeds, the building could be removed in as little as 60 to 90 days after closing; he said closing on the Albertsons property was expected imminently. URA staff said they are also pursuing activation planning for the cleared site, contracting with a local planning and design firm for conceptual ideas and exploring programming partnerships with the city’s cultural services.

Association dues and CC&R work: Commissioners asked about owners‑association dues; URA staff and a staff member named Chris said dues pay for common‑area maintenance across the planned unit development (parking lot lights, irrigation, entrance signage, asphalt patching). Burks said the URA plans to work with other owners to renegotiate covenants, conditions and restrictions (CC&Rs) and a common‑area maintenance agreement after Albertsons left and previous arrangements lapsed.

Use of URA funds for programming: A staff member identified as Caitlin cautioned that URA dollars must be used carefully and tied to blight remediation. “If you are curing blight, that is the question. But showing that, like, a food truck activity was curing blight is a little tangential, and so we we tend to caution away from things like that,” Caitlin said. Burks and staff said the strategy is to invest in infrastructure that supports activation and then partner with programming partners rather than use URA funds primarily for event programming.

Other items: Burks reported ongoing developer payments to Lyric and Feeder Supply (annual pass‑throughs tied to increment collections) and a projected year‑end cash position of about $2.7 million for North College in 2026 assuming planned projects move forward.

Formal action: A motion to adopt Resolution 151 (supplemental 2025 budget) and Resolution 152 (2026 budget) were both moved, seconded and adopted on roll call votes. The meeting record shows both resolutions were adopted.

Why it matters: The adopted budgets authorize staff to pay near‑term obligations tied to active transactions, maintain properties the URA may acquire, and service higher bond debt that will affect URA cash flow and the timing of potential future projects.

What was not decided: While staff spoke about demolition timing and activation planning, the URA took budgetary action rather than final approvals of demolition contracts or specific activation programs; those will require separate procurements and approvals.