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HomeMy WebLinkAboutagenda.council.special.20180904 CITY COUNCIL AGENDA SPECIAL MEETING CITY COUNCIL CHAMBERS September 04, 2018 4:00 PM I. Resolution #132, Series of 2018 - City Office Ballot Issue and Settlement Agreement II. Executive Session - C.R.S. 24-6-402 (4) (a) The purchase, acquisition, lease, transfer, or sale of any real, personal, or other property interest; (b) Conferences with an attorney for the local public body for the purposes of receiving legal advice on specific legal questions; (e) Determining positions relative to matters that may be subject to negotiations; developing strategy for negotiations and instructing negotiators - related to Goshorn & Goldenberg v City of Aspen 2017CV12 and 2017CV20, and the Contract for purchase of 517 E. Hopkins and 204 S Galena spaces. COUNCIL’S ADOPTED GUIDELINES · Make Decisions Based on 30 Year Vision · Tone and Tenor Matter · Remember Where We’re Living and Why We’re Here TO: Mayor and City Council FROM: James R. True, City Attorney DATE OF MEMO: August 3 MEETING DATE: September 4 RE: City Office Ballot Issue REQUEST OF COUNCIL: To consider and approve an advisory ballot question to determine the community’s preference regarding the PREVIOUS COUNCIL ACTION: Pursuant to Resolution # 111, Series of 2018, City Council approved the Amended and Restated Contract to Buy and Sell Real Estate (Commercial) between the City of Aspen and 517 Seller and 204 Seller “Contract”), for the purchase of property located at agreement for the remodel of the current City Hall. The Contract provides a due diligence period in which the Contract can be terminated by period ends on September 1, 2018. December to allow the Council to place before the voters an advisory question to express a preference between the Contract and construction o approved pursuant to Ordinance No. 4, Series of 201 DISCUSSION: As noted above, the Contract for the purchase of property located at 517 E. Hopkins and 204 S. Galena, together with an agreement for the remodel of the current City Hall was extended on August 28, 2018. Significantly, on August 3, 2018, the Court dismissed the litigation filed by Ma Goldenberg seeking a referendum on Ordinance No. 4, Series of 2017. Although the order of the Court is not final at this point, as the litigants have filed a motion to reconsider, regarding the project, it is clear that the Council does have two viable options for the construction of new offices. Given this and given the fact that the litigation does still pose some risks, Council has proposed placing the two alternative sites on the ballot be resolved. It has been the recommendation of the staff that litigants in the two cases have been No. 4 is the choice of the voters. As of the deadline to submit this memo into the packet, the parties have not finalized a settlement agreement. It is hoped that such an agreement can be presented to Council Tuesday, September 4th for consideration. would recommend that the ballot issue not proceed. However, reached, we will submit a separate resolution for approval of Resolution #132, attached hereto, This matter is the only item on the if further confidential communication is needed. Page 1 of 2 MEMORANDUM Mayor and City Council James R. True, City Attorney August 31, 2018 September 4, 2018 City Office Ballot Issue and Settlement Agreement consider and approve an advisory ballot question to determine the community’s preference regarding the construction of new City offices. PREVIOUS COUNCIL ACTION: ursuant to Resolution # 111, Series of 2018, City Council approved the Amended and Restated Contract to Buy and Sell Real Estate (Commercial) between the City of Aspen and 517 Seller and 204 Seller “Contract”), for the purchase of property located at 517 E. Hopkins and 204 S. Galena, together with an agreement for the remodel of the current City Hall. The Contract provides a due diligence period in which the Contract can be terminated by the City for any reason at its sole discretion. The due diligen period ends on September 1, 2018. On August 28, 2018, the due diligence period was extended until December to allow the Council to place before the voters an advisory question to express a preference construction of offices on property owned by the City on Rio Grande Place approved pursuant to Ordinance No. 4, Series of 2017. for the purchase of property located at 517 E. Hopkins and 204 S. Galena, together with an agreement for the remodel of the current City Hall was extended on August 28, 2018. on August 3, 2018, the Court dismissed the litigation filed by Marcia Goshorn and Steve Goldenberg seeking a referendum on Ordinance No. 4, Series of 2017. Although the order of the Court is not final at this point, as the litigants have filed a motion to reconsider, and there is another litigation it is clear that the Council does have two viable options for the construction of new Given this and given the fact that the litigation does still pose some risks, Council has proposed on the ballot to determine the voters’ preference, if the litigation can also It has been the recommendation of the staff that Council not place the matter on the ballot unless the litigants in the two cases have been able to enter into an agreement to dismiss the cases even if Ordinance As of the deadline to submit this memo into the packet, the parties have settlement agreement. It is hoped that such an agreement can be presented to Council for consideration. If an acceptable settlement agreement cannot be entered, staff ballot issue not proceed. However, assuming that an agreement can be reached, we will submit a separate resolution for approval of the agreement and will recommend approval attached hereto, authorizing submission of the matter to the voters. on the September 4th agenda. However, an executive session if further confidential communication is needed. and Settlement Agreement consider and approve an advisory ballot question to determine the ursuant to Resolution # 111, Series of 2018, City Council approved the Amended and Restated Contract to Buy and Sell Real Estate (Commercial) between the City of Aspen and 517 Seller and 204 Seller (the 517 E. Hopkins and 204 S. Galena, together with an agreement for the remodel of the current City Hall. The Contract provides a due diligence period in City for any reason at its sole discretion. The due diligence due diligence period was extended until December to allow the Council to place before the voters an advisory question to express a preference on Rio Grande Place for the purchase of property located at 517 E. Hopkins and 204 S. Galena, together with an agreement for the remodel of the current City Hall was extended on August 28, 2018. rcia Goshorn and Steve Goldenberg seeking a referendum on Ordinance No. 4, Series of 2017. Although the order of the Court is and there is another litigation it is clear that the Council does have two viable options for the construction of new Given this and given the fact that the litigation does still pose some risks, Council has proposed , if the litigation can also not place the matter on the ballot unless the cases even if Ordinance As of the deadline to submit this memo into the packet, the parties have settlement agreement. It is hoped that such an agreement can be presented to Council on cannot be entered, staff assuming that an agreement can be of the agreement and will recommend approval submission of the matter to the voters. agenda. However, an executive session will be noticed P1 I. FINANCIAL IMPLICATIONS: Both city offices options being considered will require a combination of cash and debt financing to proceed. The type and timing of the financing will be cont of 517/204, the contractually obligated payment deadlines. utilizing certificates of participation, requesting voter approval for issuance of general obligation bo and/or internal advance(s) from another City fund. staff will be including a debt service payment assumption utilizing certificates of participation. RECOMMENDATION: If a final agreement for reached, staff recommends that Resolution #13 Page 2 of 2 options being considered will require a combination of cash and debt financing to The type and timing of the financing will be contingent on the selected location and in the case of 517/204, the contractually obligated payment deadlines. Financing options for consideration include utilizing certificates of participation, requesting voter approval for issuance of general obligation bo and/or internal advance(s) from another City fund. In preparation of the 2019 Operating Budget, city staff will be including a debt service payment assumption utilizing certificates of participation. If a final agreement for possible settlement of the ongoing litigation is reached, staff recommends that Resolution #132, Series of 2018, be adopted by Council. options being considered will require a combination of cash and debt financing to ingent on the selected location and in the case Financing options for consideration include utilizing certificates of participation, requesting voter approval for issuance of general obligation bonds, In preparation of the 2019 Operating Budget, city staff will be including a debt service payment assumption utilizing certificates of participation. possible settlement of the ongoing litigation is , Series of 2018, be adopted by Council. P2 I. 1 RESOLUTION NO. 132 (Series of 2018) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, SUBMITTING TO THE ELECTORATE OF THE CITY OF ASPEN A BALLOT QUESTION AT THE NOVEMBER 6, 2018, MUNICIPAL COORDINATED ELECTION, AND SETTING SUCH BALLOT TITLE. WHEREAS, the City Council is authorized pursuant to Section 5.7 of the Aspen City Charter to, on its own motion, submit questions to a vote of the electorate; and WHEREAS, the City Council has determined that it desires to allow voters of the City of Aspen to consider the potential sites for the location and construction of City Offices. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, THAT: Section 1. The following question shall be placed on the ballot at the City’s coordinated election to be held November 6, 2018: LOCATION AND CONTRUCTION OF CITY OFFICE SPACE Which proposal for City Office Space Location and Construction do you prefer? (Choose only one.) OPTION A: Office space at 517 E. Hopkins Street and 204 S. Galena Street under contract for purchase and reconstruction, with remodel of City Hall (Hunt Proposal) ______ OPTION B: Office space at 427 Rio Grande Place and 455 Rio Grande Place approved pursuant to Ordinance No. 4, Series of 2017, with remodel of City Hall (Rio Grande Project) ______ INTRODUCED, READ AND ADOPTED by the City Council of the City of Aspen on the day of , 2018. P3 I. 2 ____________________________________ Steven Skadron, Mayor I, Linda Manning, duly appointed and acting City Clerk do certify that the foregoing is a true and accurate copy of that resolution adopted by the City Council of the City of Aspen, Colorado, at a meeting held on the day hereinabove stated. ________________________ Linda Manning, City Clerk P4 I.