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HomeMy WebLinkAboutagenda.council.regular.20180917 CITY COUNCIL AGENDA September 17, 2018 5:00 PM I. Call to Order II. Roll Call III. Scheduled Public Appearances IV. Citizens Comments & Petitions (Time for any citizen to address Council on issues NOT scheduled for a public hearing. Please limit your comments to 3 minutes) V. Special Orders of the Day a) Councilmembers' and Mayor's Comments b) Agenda Amendments c) City Manager's Comments d) Board Reports VI. Consent Calendar (These matters may be adopted together by a single motion) a) Resolution #129 - Contract for loader mount snowblower b) Resolution #133, Series of 2018 - Aspen Housing Partners Construction Loan Term Sheets c) Minutes - August 27 & 28, September 4 & 6, 2018 VII. Notice of Call-Up VIII. First Reading of Ordinances a) Ordinance #25, Series of 2018 - Expanding Investment Options to Include CHFA Debt IX. Sign Code Amendments a) Resolution #127, Series 2018 - Sandwich Board Sign Policy Resolution b) Ordinance #24, Series of 2018 - Sandwich Board Sign Code Amendment X. Public Hearings a) Resolution #108, Series of 2018 - Historic Preservation Benefits Policy Resolution b) Ordinance #22, Series of 2018 - 333 Park/931 Gibson - Relocation XI. Action Items XII. Adjournment Next Regular Meeting September 24, 2018 COUNCIL’S ADOPTED GUIDELINES · Make Decisions Based on 30 Year Vision P1 · Tone and Tenor Matter · Remember Where We’re Living and Why We’re Here COUNCIL SCHEDULES A 15 MINUTE DINNER BREAK APPROXIMATELY 7 P.M. P2 Page 1 of 2 MEMORANDUM TO: Mayor and City Council FROM: Jerry Nye, Superintendent of Streets THRU: Scott Miller, Public Works Director DATE: September 17th, 2018 RE: Resolution # 129 Series of 2018 Loader Mount Snow Blower Replacement purchase contract 2018-50833 REQUEST OF COUNCIL: Staff seeks Council approval of contract 2018-50833 for the replacement of a Kodiak loader-mount snow blower. PREVIOUS COUNCIL ACTION: The 2018 Fleet Management Plan contains the funds for the replacement of our existing snow blower and was approved as part of the 2018 Budget. BACKGROUND: The current snow blowers used by the Street Department is Kodiak model LMSC3644. They are built specifically to load dump trucks in our snow removal process. The blowers are the back bone of the operation enabling us to pick up and remove the snow on the highway and in the downtown core. DISCUSSION: The contract for the new Kodiak America blower is based on a sole source selection. We currently have two Kodiak snow blowers in use and one is scheduled to be replaced this year. Staff has been pleased with the operation and reliability of the Kodiak and prefers to keep the same model in the fleet for ease of operations, compatibility, parts and maintenance. FINANCIAL/BUDGET IMPACTS: The Street Department has $215,000 in the 2018 budget for replacement of the blower. The new Kodiak snow blower is $260,178 minus $69,000 trade- in allowance from Kodiak on the older blower. The total contract price after trade-in is $191,178.00 ENVIRONMENTAL IMPACTS: The new blower has a Scania 400 HP tier IV final diesel engine that complies with 2018 off road emissions and is equipped with a diesel exhaust fluid after treatment system and a diesel particulate filter that complies with the Tier IV diesel emissions making more environmentally friendly than the current model. Sustainability initiative? Yes Outcome area affected: Air Quality P3 VI.a Page 2 of 2 Key metrics affected: Reduction in particulate matter and ozone pollution from vehicle emissions. RECOMMENDED ACTION: Staff recommends council approve contract for 2018-50833 for the replacement of a Kodiak snow blower for the City of Aspen Streets Department. PROPOSED MOTION: “I move to approve Resolution # 129 of 2018 On the consent calendar of Monday September 17th, 2018 CITY MANAGER COMMENTS: ATTACHMENTS: P4 VI.a RESOLUTION # 129 (Series of 2018) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, APPROVING A CONTRACT BETWEEN THE CITY OF ASPEN AND KODIAK AMERICA AUTHORIZING THE CITY MANAGER TO EXECUTE SAID CONTRACT ON BEHALF OF THE CITY OF ASPEN, COLORADO. WHEREAS, there has been submitted to the City Council a contract for 1 loader mount snow blower, between the City of Aspen and Kodiak America, a true and accurate copy of which is attached hereto as Exhibit “A”; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, That the City Council of the City of Aspen hereby approves that Contract for 1 loader mount snow blower, between the City of Aspen and Kodiak America, a copy of which is annexed hereto and incorporated herein and does hereby authorize the City Manager to execute said agreement on behalf of the City of Aspen. INTRODUCED, READ AND ADOPTED by the City Council of the City of Aspen on the 17th day of September 2018. 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, September 17th, 2018. Linda Manning, City Clerk P5 VI.a P6 VI.a P7 VI.a P8 VI.a P9 VI.a P10 VI.a P11 VI.a P12 VI.a P13 VI.a P14 VI.a Page 1 of 2 MEMORANDUM TO: Mayor and City Council FROM: Chris Everson, Affordable Housing Project Manager THRU: Barry Crook, Assistant City Manager DATE OF MEMO: September 10, 2018 MEETING DATE: September 17, 2018 RE: Resolution 133 of 2018 Aspen Housing Partners (AHP) Construction Loan Term Sheets REQUEST OF COUNCIL: Staff is requesting Council approval of the attached construction loan term sheets per Council direction from the August 14, 2018 work session. PREVIOUS COUNCIL ACTION: At the August 14, 2018 work session, Council provided direction to staff to submit the proposed construction loan term sheets with a resolution on the Council’s consent agenda. DISCUSSION: The Aspen Housing Partners (AHP) project will create a total of 45 affordable rental units on three City-owned parcels. Combined, the three sites will have an average APCHA income category of about 1.9. On April 13, 2018, staff notified Council that 4% + State Low Income Housing Tax Credits were awarded by the Colorado Housing Finance Authority (CHFA) as requested. At the August 14, 2018 work session, staff proposed that by performing the construction lending on the project, the City of Aspen can save the project approximately $400,000 in construction loan interest and loan origination fees. During the August 14, 2018 work session, staff presented a range of potential City contribution to the project as $15.2 million to $16.1 million. The attached construction loan term sheets are based on the high end of this range. As was discussed at the August 14, 2018 work session, to perform this construction lending, Council will need to approve supplemental budget authority in an amount of approximately $9 million more than the already-approved $17 million budget. After 24 months, the non-permanent portion of the total construction loan (about $9.9 million) will be repaid to the City with 2% to 2.5% interest, leaving outstanding only the City’s permanent contribution of $16.1 million (or less). It is important to note that the attached term sheets by themselves are not binding of any action on the part of the City of Aspen. The attached term sheets and the accompanying resolution simply serve as public documents which will allow the staff to offer the construction loans to AHP, and which will help facilitate AHP’s ability to secure the remaining debt financing required to complete the project. P15 VI.b Page 2 of 2 Building permits are anticipated for all three sites by mid-October, and once those are in hand, a financial closing will be needed to assemble funds for construction. Throughout the remainder of the project, staff and the AHP team will continue to work toward decreasing the City’s contribution to the project. FINANCIAL/BUDGET IMPACTS: The 150 Housing Development Fund currently has the additional fund balance needed to perform the construction lending. Per the August 14 work session, the revised subsidy per FTE for the three AHP sites combined is about $280,000 per FTE. Whereas an extrapolated Fee-In-Lieu amount for an average APCHA income category 1.9 is approximately $325,000 per FTE. RECOMMENDED ACTION: Staff recommends that Council follow through on the August 14 direction and approve the attached resolution and construction loan term sheets. CITY MANAGER COMMENTS: ATTACHMENTS: 1. Resolution 133 of 2018 2. Exhibit A: Construction Loan Term Sheet – 488 Castle Creek 3. Exhibit B: Construction Loan Term Sheet – 802 West Main Street 4. Exhibit C: Construction Loan Term Sheet – 517 Park Circle P16 VI.b 1 RESOLUTION#133 (Series of 2018) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ASPEN CONCERNING THE ASPEN HOUSING PARTNERS PROJECT AND APPROVING THE EXECUTION OF NON-BINDING CONSTRUCTION LOAN TERM SHEETS AND TO SET FORTH THE CITY OF ASPEN’S INTENT AS CONSTRUCTION LENDER WHEREAS the provision of affordable housing is important to allow people who work in the City of Aspen (the “City”) and Pitkin County to live near where they work and to be part of the community; and WHEREAS, the Aspen Housing Partners project (the “Project”) is a 45-unit affordable rental project consisting of (24) units to be developed at 488 Castle Creek Road, (10) units to be developed at 802 West Main Street and (11) units to be developed at 517 Park Circle; and WHEREAS, the three borrowing entities shall be 488 Castle Creek LLC, 802 Main Street LLC and 517 Park Circle LLC, each of which is a single asset Colorado limited liability company; and WHEREAS, the co-managing members of the three borrowing entities shall be Colony Development-CO., LLC and SCG Development Partners, LLC, which were selected as the City’s developer through a competitive request for proposals process; and WHEREAS, the City desires to offer tax-exempt construction-only loans and leasehold permanent subordinate second mortgage loans for a total of (45) units of multifamily rental apartments located at 488 Castle Creek Road, 802 West Main Street and 517 Park Circle; and WHEREAS, in connection with the tax-exempt construction-only loans and leasehold permanent subordinate second mortgage loans, attached hereto are proposed non-binding terms and conditions for offering the described loans; and WHEREAS, the City is willing to memorialize its intent to offer the described loans by approving the term sheets attached hereto. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ASPEN: 1. The Council hereby determines that the provision of affordable housing such as the Project and, in connection therewith, the memorialization of the City’s intent to offer the loans as described herein by approving the term sheets attached hereto serves an important public purpose; and 2. The Council does hereby approve the offer of the lo ans described in this Resolution and the attached proposed loan term sheets and with the intent of P17 VI.b 2 funding the loans through the City of Aspen 150 Hou sing Development Fund; and 3. Approval of this Resolution shall immediately memorialize the intent of the City to offer the tax-exempt construction-only loans and leasehold permanent subordinate second mortgage loans as described in this Resolution and the attached proposed loan term sheets. 4. No provision of this Resolution and the attached proposed loan term sheets shall be construed or interpreted to obligate the City to enter any agreement or make any payment without further approval by Council of comprehensive loan agreements which shall govern the loans. INTRODUCED, READ AND ADOPTED by the City Council of the City of Aspen on the 17th day of September, 2018. 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 September 17, 2018. Linda Manning, City Clerk P18 VI.b 1 | P a g e August 22, 2018 Mr. Jason Bradshaw Colony Partners 242 Mountain Laurel Drive Aspen, Colorado 81611 Mr. Stephen Wilson SCG Development Partners, LLC 8245 Boone Blvd, Suite 640 Tysons Corner, Virginia 22182 Dear Mr. Bradshaw and Mr. Wilson: Thank you for your interest in receiving a financing proposal from the City of Aspen, Colorado (hereinafter "CoA”). The following is not a commitment to lend, but rather an indication of CoA’s anticipated financing structure and is further contingent upon CoA’s satisfactory review and approval of the project. Upon agreeing to the following terms and subject to a full underwriting and approval, a commitment letter may be issued describing all terms and conditions. PROPOSED TERMS AND CONDITIONS: Borrower: 488 Castle Creek, LLC, a single asset Colorado limited liability (“Borrower”). Purpose: (i) To provide a tax-exempt construction-only loan to the Colorado Housing and Finance Agency (the “Governmental Lender”) for the development of (24) units of multifamily rental apartments at 488 Castle Creek Road (“Property”). The proceeds of the Loan to Governmental Lender shall fund a construction-only loan (“Tax-exempt Loan”) by Governmental Lender to the Borrower for the Property described below. If required by Governmental Lender, a fiscal agent (“Fiscal Agent”) will be appointed and will be responsible for following the terms of the Tax- exempt Loan documents and administering funds held under the Construction Funding Agreement. The Tax-exempt Loan will have a Construction Phase only- an initial phase during which funds will be advanced to Governmental Lender and loaned to Borrower (directly or through a Fiscal Agent, at Governmental Lender’s discretion) on a “drawing down” basis. Payments on the Tax-exempt Loan during the Construction Phase will be interest only. Upon stabilization of the property, the loan will be repaid. Exhibit A - 488 CASTLE CREEK - Construction Loan Term Sheet P19 VI.b 2 | P a g e (ii). Upon repayment in full of the Tax-exempt Loan, to provide a permanent subordinate 2nd leasehold mortgage loan for (24) units of multifamily rental apartments located at the Property. Members: The members of the Borrower are: (i) 488 Castle Creek GP, LLC, (0.01%) Colony Development-CO., LLC and SCG Development Partners, LLC as co-managing members. (ii) 488 Castle Creek Investors, LLC (99.98%) The Low Income Housing Tax Credit (“LIHTC”) Investor/Syndicator, the upper tier investor(s) and the terms and conditions of the operating agreement must be acceptable to the City of Aspen in all respects including the timing and conditions of funding capital contributions. (iii) APCHA (0.01%) Special member Ground Lease: The Property will be constructed on land owned by CoA pursuant to a 40- year ground lease (with an option for the Borrower to extend the term by an additional 10 years). The ground lease rent will be an annual payment of $10.00. All improvements will be owned by the Borrower. The Borrower will be responsible for all operating and ownership costs throughout the term of the ground lease. Lender: City of Aspen (CoA), funds from 150 Housing Development Fund. Loan Amount: The loan amounts shall not exceed Thirteen-Million Three-Hundred and Six Thousand One Hundred Twenty Dollars and no/00s ($13,306,120.00) and be funded in accordance with an agreed to construction flow of funds with the estimated 1st mortgage construction loan maximum of $7,356,750 (TBD by CHFA standard and requirement to meet the “50% test” as required by tax exempt bond rules) with interest of (2% to 2.5% cash pay TBD) and the permanent 2nd mortgage maximum of $5,949,370 with interest of (2 to 2.5% accrued TDB). Loan Term: The construction loan shall mature in 24 months. The permanent 2nd leasehold mortgage loan shall mature in 15 years (based 25-year Exhibit A - 488 CASTLE CREEK - Construction Loan Term Sheet P20 VI.b 3 | P a g e amortization schedule) or be co-terminus with the 1st leasehold permanent mortgage loan. Permanent Loan: CoA will require prior to closing an acceptable commitment for a permanent loan takeout (“takeout”) of Part B of the construction loan under terms and conditions acceptable to the CoA. The amount of the permanent loan must not be less than $1,200,000. Development Budget: A review of the Development Budget outlining the proforma sources and uses of funds is required by CoA prior to closing this loan. Disbursement Condition: Based on approved monthly draw requests including City of Aspen Quality Assurance/Quality Control (“QA/QC”) site inspections. Construction Draw Monitoring (CDM): A construction draw monitor and processor will attend, review and approve the monthly construction draw requisition. The costs of the CDM will be paid for by the Borrower. Appraisal: A real estate appraisal will be provided by the Borrower in form and content acceptable to CoA. Repayment: During the construction term of the loan, the loan will be on an interest only basis with interest payments funded from the interest reserve included in the construction budget. During the permanent term of the loan, the interest and principal will be paid from 75% of cash flow after payment of any deferred development fee. Interest: The interest rate of the Part A loan shall be based on an annual fixed rate of 0.25% and will accrue during the construction period. The interest rate of the Part B loan shall be based on an annual fixed rate of 2% to 2.5% (TBD) and will be calculated and paid monthly. Fees: NA Collateral: Construction Period: This loan will be secured by a title insured first Leasehold Mortgage against the Property and an assignment of Rents Leases and Profits as Exhibit A - 488 CASTLE CREEK - Construction Loan Term Sheet P21 VI.b 4 | P a g e well as a general assignment of all construction related contracts, permits and documentation. Permanent Period: This loan will be secured by a title insured second Leasehold Mortgage against the Property and an assignment of Rents Leases and Profits. Guarantor(s): Joint and Several guarantees from Jason Bradshaw and SCG Development Partners, LLC. through construction completion. Banking Relationships: CoA will require the Borrower to establish a deposit account for the project with the bank acceptable to the CoA. Loan Agreement: The construction loan will be subject to a comprehensive loan agreement, which shall govern certain aspects of the loan, the construction of the projects, and the Borrower and Guarantor’s financial condition. These may include, but not be limited to, financial statement reporting and limitations on additional borrowings and liens on the property being financed. The permanent loan will be subject to a comprehensive loan agreement, which shall govern certain aspects of the loan, and the Borrower and Guarantor’s financial condition. These may include, but not be limited to, financial statement reporting and limitations on additional borrowings and liens on the property being financed REGULATORY AGREEMENT: A Regulatory Agreement with a term of fifty (50) years from the date the Certificate of Occupancy or Placed in Service Date is issued to the Development, which specifies among other requirements, eligible occupancy standards, maximum affordable rents and minimum operating and preplacement reserves, which may be subordinated to other lenders with Agency approval. OCCUPANCY RESTRICTIONS: All units shall be occupied by households earning no more than incomes dictated by the lesser of 60% AMI as determined by CHFA / HUD and APHCA Category 1 and / or 2 incomes (unit depending). Such restrictions shall be included in a deed restriction record against the property. RENT RESTRICTIONS: Rents for the units will be the lesser of 60% AMI rents as determined by CHFA / HUD and APHCA Category 1 and / or 2 (unit depending). Such Exhibit A - 488 CASTLE CREEK - Construction Loan Term Sheet P22 VI.b 5 | P a g e restrictions shall be included in a deed restriction record against the property. Other: Any approval, commitment, or closing of any loan will be subject to all of the following (i) Aspen City Council approval and (ii) underwriting and/or documentation requirements of CoA and its counsel. Those requirements may include but may not be limited to appraisals; surveys and environmental assessments; approval of the General Contractor, construction contracts, plans and specifications by CoA or independent project inspectors; and/or legal opinions and title insurance. All costs and expenses incurred to close a loan and perfect any security interest shall be the responsibility of Borrower. 44045724.v1 Exhibit A - 488 CASTLE CREEK - Construction Loan Term Sheet P23 VI.b 1 | P a g e August 22, 2018 Mr. Jason Bradshaw Colony Partners 242 Mountain Laurel Drive Aspen, Colorado 81611 Mr. Stephen Wilson SCG Development Partners, LLC 8245 Boone Blvd, Suite 640 Tysons Corner, Virginia 22182 Dear Mr. Bradshaw and Mr. Wilson: Thank you for your interest in receiving a financing proposal from the City of Aspen, Colorado (hereinafter "CoA”). The following is not a commitment to lend, but rather an indication of CoA’s anticipated financing structure and is further contingent upon CoA’s satisfactory review and approval of the project. Upon agreeing to the following terms and subject to a full underwriting and approval, a commitment letter may be issued describing all terms and conditions. PROPOSED TERMS AND CONDITIONS: Borrower: 802 Main Street, LLC, a Colorado limited liability (“Borrower”). Purpose: To provide a leasehold construction loan that converts into a leasehold permanent subordinate 2nd mortgage loan for (10) units of multifamily rental apartments located at 802 Main Street, Aspen, Colorado (“Property”). Members: The members of the Borrower are: (i) 802 Main Street GP, LLC, (0.01%) Colony Development Co., LLC and SCG Development Partners, LLC as co-managing members. (ii) Main Street Investors, LLC (99.98%) Affiliates of Colony Development Co., LLC and Stratford Capital Group, LLC as members. (iii) APCHA (0.01%) Special member Exhibit B - 802 W MAIN ST - Construction Loan Term Sheet P24 VI.b 2 | P a g e Ground Lease: The Property will be constructed on land owned by CoA pursuant to a 40- year subordinate ground lease (with an option for the Borrower to extend the term by an additional 10 years). The ground lease rent will be an annual payment of $10.00. All improvements will be owned by the Borrower. The Borrower will be responsible for all operating and ownership costs throughout the term of the ground lease. Lender: City of Aspen (CoA), funds from 150 Housing Development Fund. Loan Amount: The loan amount shall not exceed Five-Million Six-Hundred and Ninety Five Thousand Dollars and no/00s ($5,695,000.00) and be funded in two separate components of Part A equal to $4,852,000 and Part B equal to $843,000. Part A – Part A will be a 1st leasehold mortgage funded during construction. When construction is complete and the permanent 1st leasehold mortgage loan is funded, Part A will “convert” to a 2nd leasehold permanent mortgage loan. Part B - Part B will be a 1st leasehold mortgage funded during construction after the Part A loan is fully advanced. When construction is complete and the permanent 1st leasehold mortgage loan is funded, it is anticipated that Part A shall be fully repaid with interest of (2 to 2.5% TDB). Loan Term: The construction loan shall mature in 24 months. The permanent 2nd leasehold mortgage loan shall mature in 15 years (based 25-year amortization schedule) or be co-terminus with the 1st leasehold permanent mortgage loan. Permanent Loan: CoA will require prior to closing an acceptable commitment for a permanent loan takeout (“takeout”) of Part B of the construction loan under terms and conditions acceptable to the CoA. The amount of the permanent loan must not be less than $900,000. Development Budget: A review of the Development Budget outlining the proforma sources and uses of funds is required by CoA prior to closing this loan. Exhibit B - 802 W MAIN ST - Construction Loan Term Sheet P25 VI.b 3 | P a g e Disbursement Condition: Based on approved monthly draw requests including City of Aspen Quality Assurance/Quality Control (“QA/QC”) site inspections. Construction Draw Monitoring (CDM): A construction draw monitor and processor will attend, review and approve the monthly construction draw requisition. The costs of the CDM will be paid for by the Borrower. Appraisal: A real estate appraisal will be provided by the Borrower in form and content acceptable to CoA. Repayment: During the construction term of the loan, the loan will be on an interest only basis with interest payments funded from the interest reserve included in the construction budget. During the permanent term of the loan, the interest and principal will be paid from 75% of cash flow after payment of any deferred development fee. Interest: The interest rate of the Part A loan shall be based on an annual fixed rate of 0.25% and will accrue during the construction period. The interest rate of the Part B loan shall be based on an annual fixed rate of 2% to 2.5% (TBD) and will be calculated and paid monthly. Fees: NA Collateral: Construction Period: This loan will be secured by a title insured first Leasehold Mortgage against the Property and an assignment of Rents Leases and Profits as well as a general assignment of all construction related contracts, permits and documentation. Permanent Period: This loan will be secured by a title insured second Leasehold Mortgage against the Property and an assignment of Rents Leases and Profits. Exhibit B - 802 W MAIN ST - Construction Loan Term Sheet P26 VI.b 4 | P a g e Guarantor(s): Joint and Several guarantees from Jason Bradshaw and SCG Development Partners, LLC. through construction completion. Banking Relationships: CoA will require the Borrower to establish a deposit account for the project with the bank acceptable to the CoA. Loan Agreement: This loan will be subject to a comprehensive loan agreement, which shall govern certain aspects of the loan, the construction of the projects, the Borrower and Guarantor’s financial condition. These may include, but not be limited to, financial statement reporting and limitations on additional borrowings and liens on the property being financed. REGULATORY AGREEMENT: A Regulatory Agreement with a term of fifty (50) years from the date the Certificate of Occupancy or Placed in Service Date is issued to the Development, which specifies among other requirements, eligible occupancy standards, maximum affordable rents and minimum operating and preplacement reserves, which may be subordinated to other lenders with Agency approval. OCCUPANCY RESTRICTIONS: All units shall be occupied by households earning no more than incomes dictated by the Aspen Pitkin Housing Authority for Categories 2, 3 and 4. Such restrictions shall be included in a deed restriction record against the property. RENT RESTRICTIONS: All rents for the units regarding income targeted households (see Occupancy Restrictions) shall be those established by the Aspen Pitkin County Housing Authority. Other: Any approval, commitment, or closing of any loan will be subject to all of the following (i) Aspen City Council approval and (ii) underwriting and/or documentation requirements of CoA and its counsel. Those requirements may include but may not be limited to appraisals; surveys and environmental assessments; approval of the General Contractor, construction contracts, plans and specifications by CoA or independent project inspectors; and/or legal opinions and title insurance. All costs and expenses incurred to close a loan and perfect any security interest shall be the responsibility of Borrower. Exhibit B - 802 W MAIN ST - Construction Loan Term Sheet P27 VI.b 1 | P a g e August 22, 2018 Mr. Jason Bradshaw Colony Partners 242 Mountain Laurel Drive Aspen, Colorado 81611 Mr. Stephen Wilson SCG Development Partners, LLC 8245 Boone Blvd, Suite 640 Tysons Corner, Virginia 22182 Dear Mr. Bradshaw and Mr. Wilson: Thank you for your interest in receiving a financing proposal from the City of Aspen, Colorado (hereinafter "CoA”). The following is not a commitment to lend, but rather an indication of CoA’s anticipated financing structure and is further contingent upon CoA’s satisfactory review and approval of the project. Upon agreeing to the following terms and subject to a full underwriting and approval, a commitment letter may be issued describing all terms and conditions. PROPOSED TERMS AND CONDITIONS: Borrower: 517 Park Circle, LLC, a Colorado limited liability (“Borrower”). Purpose: To provide a leasehold construction loan that converts into a leasehold permanent subordinate 2nd mortgage loan for (11) units of multifamily rental apartments located at 517 Park Circle, Aspen, Colorado (“Property”). Members: The members of the Borrower are: (i) 517 Park Circle GP, LLC, (0.01%) Colony Development-CO., LLC and SCG Development Partners, LLC as co-managing members. (ii) 517 Park Circle Investors, LLC (99.98%) Affiliates of Colony Development-CO., LLC and Stratford Capital Group, LLC as members. (iii) APCHA (0.01%) Special member Exhibit C - 517 PARK CIRCLE - Construction Loan Term Sheet P28 VI.b 2 | P a g e Ground Lease: The Property will be constructed on land owned by CoA pursuant to a 40- year subordinate ground lease (with an option for the Borrower to extend the term by an additional 10 years). The ground lease rent will be an annual payment of $10.00. All improvements will be owned by the Borrower. The Borrower will be responsible for all operating and ownership costs throughout the term of the ground lease. Lender: City of Aspen (CoA), funds from 150 Housing Development Fund. Loan Amount: The loan amount shall not exceed Six-Million Six-Hundred and Ten Thousand Four Hundred Dollars and no/00s ($6,610,400.00) and be funded in two separate components of Part A equal to $5,387,700 and Part B equal to $1,222,700. Part A – Part A will be a 1st leasehold mortgage funded during construction. When construction is complete and the permanent 1st leasehold mortgage loan is funded, Part A will “convert” to a 2nd leasehold permanent mortgage loan. Part B - Part B will be a 1st leasehold mortgage funded during construction after the Part A loan is fully advanced. When construction is complete and the permanent 1st leasehold mortgage loan is funded, it is anticipated that Part A shall be fully repaid with interest of (2 to 2.5% TDB). Loan Term: The construction loan shall mature in 24 months. The permanent 2nd leasehold mortgage loan shall mature in 15 years (based 25-year amortization schedule) or be co-terminus with the 1st leasehold permanent mortgage loan. Permanent Loan: CoA will require prior to closing an acceptable commitment for a permanent loan takeout (“takeout”) of Part B of the construction loan under terms and conditions acceptable to the CoA. The amount of the permanent loan must not be less than $1,400,000. Development Budget: A review of the Development Budget outlining the proforma sources and uses of funds is required by CoA prior to closing this loan. Exhibit C - 517 PARK CIRCLE - Construction Loan Term Sheet P29 VI.b 3 | P a g e Disbursement Condition: Based on approved monthly draw requests including City of Aspen Quality Assurance/Quality Control (“QA/QC”) site inspections. Construction Draw Monitoring (CDM): A construction draw monitor and processor will attend, review and approve the monthly construction draw requisition. The costs of the CDM will be paid for by the Borrower. Appraisal: A real estate appraisal will be provided by the Borrower in form and content acceptable to CoA. Repayment: During the construction term of the loan, the loan will be on an interest only basis with interest payments funded from the interest reserve included in the construction budget. During the permanent term of the loan, the interest and principal will be paid from 75% of cash flow after payment of any deferred development fee. Interest: The interest rate of the Part A loan shall be based on an annual fixed rate of 0.25% and will accrue during the construction period. The interest rate of the Part B loan shall be based on an annual fixed rate of 2% to 2.5% (TBD) and will be calculated and paid monthly. Fees: NA Collateral: Construction Period: This loan will be secured by a title insured first Leasehold Mortgage against the Property and an assignment of Rents Leases and Profits as well as a general assignment of all construction related contracts, permits and documentation. Permanent Period: This loan will be secured by a title insured second Leasehold Mortgage against the Property and an assignment of Rents Leases and Profits. Exhibit C - 517 PARK CIRCLE - Construction Loan Term Sheet P30 VI.b 4 | P a g e Guarantor(s): Joint and Several guarantees from Jason Bradshaw and SCG Development Partners, LLC. through construction completion. Banking Relationships: CoA will require the Borrower to establish a deposit account for the project with the bank acceptable to the CoA. Loan Agreement: This loan will be subject to a comprehensive loan agreement, which shall govern certain aspects of the loan, the construction of the projects, the Borrower and Guarantor’s financial condition. These may include, but not be limited to, financial statement reporting and limitations on additional borrowings and liens on the property being financed. REGULATORY AGREEMENT: A Regulatory Agreement with a term of fifty (50) years from the date the Certificate of Occupancy or Placed in Service Date is issued to the Development, which specifies among other requirements, eligible occupancy standards, maximum affordable rents and minimum operating and preplacement reserves, which may be subordinated to other lenders with Agency approval. OCCUPANCY RESTRICTIONS: All units shall be occupied by households earning no more than incomes dictated by the Aspen Pitkin Housing Authority for Categories 2, 3 and 4. Such restrictions shall be included in a deed restriction record against the property. RENT RESTRICTIONS: All rents for the units regarding income targeted households (see Occupancy Restrictions) shall be those established by the Aspen Pitkin County Housing Authority. Other: Any approval, commitment, or closing of any loan will be subject to all of the following (i) Aspen City Council approval and (ii) underwriting and/or documentation requirements of CoA and its counsel. Those requirements may include but may not be limited to appraisals; surveys and environmental assessments; approval of the General Contractor, construction contracts, plans and specifications by CoA or independent project inspectors; and/or legal opinions and title insurance. All costs and expenses incurred to close a loan and perfect any security interest shall be the responsibility of Borrower. Exhibit C - 517 PARK CIRCLE - Construction Loan Term Sheet P31 VI.b Regular Meeting Aspen City Council August 27, 2018 1 CITIZEN COMMENTS ............................................................................................................................... 2 CITY COUNCIL COMMENTS ................................................................................................................... 2 CITY MANAGER COMMENTS ................................................................................................................ 3 BOARD REPORTS ...................................................................................................................................... 3 CONSENT CALENDAR ............................................................................................................................. 3  Resolution #116, Series of 2018 – Electrical Standards Upgrade ........................................................ 5  Resolution #125, Series of 2018 – Contract with HDR Engineering, Inc for SHIFT Data Support and Data Collection ............................................................................................................................................. 5  Resolution #123, Series of 2018 – CORE REMP Request ................................................................... 5  Resolution #124, Series of 2018 – Shift Contract with Miles App ....................................................... 5  Resolution #114, Series of 2018 – Third Party Engineering Development Review Services .............. 5  Resolution #126, Series of 2018 – 7th and Main St Concrete Paving and Waterline Improvements .... 5  Board Appointment ............................................................................................................................... 5  Resolution #103, Series of 2018 – 7th Galena and Main Street Bus Stop and Pedestrian Improvements Project ................................................................................................................................... 5  Minutes – August 13, 2018 ................................................................................................................... 5 ORDINANCE #18, SERIES OF 2018 – 500 W. Main Street – Historic Landmark Lot Split, TDRs, Special Review and Variations ..................................................................................................................... 5 ORDINANCE #22, SERIES OF 2018 - 333 Park / 931 Gibson – Relocation ............................................ 9 RESOLUTION #122, SERIES OF 2018 – 305 S Mill St. – Grey Lady Restaurant – Temporary Use ...... 12 EXECUTIVE SESSION ............................................................................................................................. 13 RESOLUTION #130, SERIES OF 2018 – Amend Extend Contract for 517 E Hopkins 204 S Galena .... 14 ORDINANCE #19 & # 20, SERIES OF 2018 – Ballot language to amend Section 10.5 of the Charter regarding enterprise fund bonding .............................................................................................................. 15 ORDINANCE #21, SERIES OF 2018 – Ballot language to amend Section 11.4 of the Charter regarding franchises. ................................................................................................................................................... 16 P32 VI.c Regular Meeting Aspen City Council August 27, 2018 2 At 5:00 p.m. Mayor Skadron called the regular meeting to order with Councilmembers Hauenstein, Mullins, Myrin and Frisch present. Mayor Skadron said for everyone here tonight for the action item, conversation around the possible purchase of the Daily News building, we have a lengthy agenda tonight. We are going to move it to tomorrow at 4:00 pm. Jim True, city attorney, said at the end of the executive session, council will continue this meeting to 4pm tomorrow. CITIZEN COMMENTS 1. Lee Mulcahy said they are looking for a hearing. Over 2000 people signed his petition asking for a public hearing. He said the exact situation happened with Peter Gilman in May 2016 where he missed his notice of violation hearing. He didn’t request a hearing in time but was allowed to anyways. 2. Sandy Mulcahy said council represents the ruling authority in Aspen and is why they have continued to plead to have a hearing to them. She said APCHA did not follow their own rules when it came to deadlines. She said if council does nothing with APCHAs planned course of eviction and something happens to Lee or herself, their blood is on council’s hands. 3. Tom Coggins said his email is tom@hmtaxi.com. He would like council to stop calling the current mobility project a lab or that they are doing experiments. Call it a marketing exercise or a promotion. Mayor Skadron said it won’t happen. There is a whole industry build around mobility labs, we didn’t make it up. Mr. Coggins said he is in support of Lee Mulcahy, what is being done might be legal, but it is not just. 4. Peter Greeney said on the data collecting for the mobility lab it is roughly 65 dollars per citizen, what are we using it for. What is success defined as. How are we going to use the data we get. He struggles with the goal of increasing options and not changing patterns. For in town mobility, if the goal is to increase the number of available parking spaces in town I think there are other ways to do that including with car to go. Why are we not partnering with the county on new airport terminal and using the airport as a hub. 5. Toni Kronberg said she agrees we need to change transportation coming in from the airport. Suggested the aerial connection. CITY COUNCIL COMMENTS Councilman Frisch said he has been championing the APCHA governance look at. This has nothing to do with the people who work at the office or who are on the board. To Peter, I think we do have some goals. We are trying to test with a few things and see what sticks. I do have some concerns, but the goal is to try. I want to apologize to the staff where it came to the ride aspect last Monday. I underappreciated the plan. I look forward to more discussion. Councilman Myrin said he would like to know more on the Peter Gilman example and if it is similar to this case. Mr. True said he doesn’t know the facts and emailed Tom Smith. Councilman Myrin said it would be hard to do a mobility experiment with a gondola from buttermilk. The piece of the lab I am leaning away from is the parking spaces in town. I strongly support anything to reduce the congestion at the entrance. Thanks to Trish and Staff for the rapid flasher at Mill and Bleeker. We all lived through a lab of peak capacity at the 4th of July. We experienced Aspen at when it is full. It is maybe enough. The question is do we keep increasing the peak. I think it is over the top. Councilman Hauenstein spoke of the celebration of the live of John McCain. He was a voice of integrity, honesty and grace that is increasingly lost. He stood on his principles and did not dishonor those who thought differently. I believe the emphasis on the mobility lab project is to find ways to decrease the density of vehicles in town and decrease commute time. Lee always mentions the number of signatures. P33 VI.c Regular Meeting Aspen City Council August 27, 2018 3 The petition I saw was for a peaceful resolution and I don’t know anyone who wouldn’t sign that. I also want a peaceful resolution. Councilwoman Mullins said to Tom, I take issue with all three things you mentioned and maybe we can discuss those sometime. I’ve been gone for a few days and glad to be back in town. Mayor Skadron said tomorrow night there is an open house about the stage 2 water shortage at the old power house from 5 to 6 pm. We also lost Jack Hatfield, former county commissioner. My heart goes out to his friends and family. CITY MANAGER COMMENTS Trish Aragon and Hailey Guglielmo, engineering, spoke about the Castle Creek Bridge update. September 4th the detour commences. We got a lot accomplished this spring but there is still a lot to do. The work will begin the 4th and stay in effect until October 31st. We also added the Hickory House corner to the work. It is all weather dependent BOARD REPORTS Councilman Hauenstein said Sister Cities had two resignations, president and secretary. They would appreciate if we could have a way to have the clerk’s office to do minutes for them. CONSENT CALENDAR Reso#123 CORE Councilman Myrin said the ultimate success of core is its demise. There is more money coming in. What can we do to turn this around. Mona Newton, CORE, said I hope never to see the demise even if the REMP is gone. One of the issues is to talk about the amount of money we use annually, 30%. There is always the policy options the city and county can consider including increasing the amount people pay. There are opportunities and challenges. We work on reducing energy every day. Councilman Myrin said it seems like a flaw when there is an increasing amount coming in meaning there is an increasing amount of energy being used. Ms. Newton said there are two options, a policy option to reduce the money being collected by REMP. Marty Treadway, CORE, said REMP is at the mercy of the construction cycles in Aspen. We have pretty robust climate action goals as well. Councilwoman Mullins said you try to give out only 30% in grants per year. Ms. Newton said that has been a goal. Councilwoman Mullins said that might be worth discussing as climate change is becoming more impactful. It would be good to take a look at the history of the fund. It would be good to look at bigger more impactful projects. Councilman Frisch said there will always be a need for CORE. The REMP is a sin tax at the end of the day. We want as little money as possible. We will continue to find money for projects. The challenge is to take that money and use it as wisely as possible. We have talked about looking at really big projects. The 70% we are saving is a lot larger than it was 10 years ago. We will report back after the September board meeting. Reso # 103 Galena and Main bus stop Ms. Aragon said the bus stop is dilapidated, there is not proper drainage and it is treacherous in the winter. Councilman Myrin agreed that it needs improvement. Will there be money going to REMP for the heat. Stephen Kanipe, building department, replied we have essential public facilities that are exempt for the REMP payment. It is a policy decision. There are certain exemptions and this is one of them. Councilman Myrin asked is it city electric. Jordan Grey-Dekraai, engineering, replied yes. P34 VI.c Regular Meeting Aspen City Council August 27, 2018 4 Mayor Skadron said he is glad to see this as it is long overdue. How long will the lane be closed. Ms. Grey-Dekraai replied 5 to 6 weeks. Councilwoman Mullins said she is concerned about the materials and the tree grates. She wants it consistent with other improvements in the city. Councilman Frisch said we had a sticker shock discussion and you confirmed there was nothing special there. We just need to get use to this. Ms. Aragon replied yes, it is the concrete, drainage and heat work. Barry Crook, assistant city manager, said when you approve this resolution you are signaling approving of a supplemental to make up the funding difference. Reso #125 – Shift data Karen Harrington, quality department, said the project has a data team that worked on three different RFPs. This piece is the for the first two. This relates to data support and collection services. It is to help understand if the lab was successful, what was the impact on the community, safety, what was the impact on the economy, data support funds, project management, evaluation plan, how is success defined, data collection plan, analysis and integration and a project report. Councilman Hauenstein said we spent over 2 million dollars on data collection since I’ve been on council. I would like a work session to discuss the possibility of bringing some of these tasks in house. It’s the sticker shock that gets me. From now on till the end of time data will be paramount. Another question and concern I have is we are paying for an app to incentivize people to take transportation alternatives. If we are paying for the app we should get the data without having to pay extra. I ask you to be frugal and to save money where you can. Ms. Harrington said there is certain kind of data where we are better off hiring other people to collect it. One of the things we tried to do with the RFPs is make it clear that we are keeping the data. The way the contract will be structured is in a way that we can modify it if we need to. Councilman Frisch said I want to be careful. Knowing where we are right now with the ride aspect undecided completely. I’m concerned about committing to any package without knowing what data we want completely. Ms. Harrington said if we have one provider drop out it may not impact us. We are not going to go tomorrow and have a data collection plan. If we shift one thing it will not cause us a problem. Councilwoman Mullins asked about the method of collection. Ms. Harrington said they committed to collecting data in nine different locations. They have strong partnerships with a variety of different data collection companies. Nothing will take us over budget, but we might shift how we collect the information. Mayor Skadron said there are two components, data collection and data support. You are confident that sole sourcing the data component will deliver our goals. Ms. Harrington replied for these two pieces we think so. We like the flexibility. Reso #124 – miles app Ashley Perl, environmental health, said this is a contract with the Miles app to put all the incentives in one place. It is a contract to only test the app for the remainder of the year. Councilman Hauenstein asked is this the norm that you never buy an app you just license it. Candice Olson, consultant, replied it would be a huge investment for us to develop something. Apps evolve quickly. Councilman Hauenstein said we are perhaps committing to licensing in perpetuity if we continue in the future. Ms. Olson replied perhaps. Councilwoman Mullins asked will Miles give its data to HDR. Ms. Olson said they do not give individual data but granular. Councilwoman Mullins asked what other cities are participating. Ms. Olson said they are in the process of launching nationally. Councilwoman Mullins asked if we can’t get to the minimum of 750 people to sign up what happens. Ms. Olson said we would want at least a few thousand P35 VI.c Regular Meeting Aspen City Council August 27, 2018 5 signed up before we start SHIFT. Councilwoman Mullins asked what is the ongoing cost. Ms. Olson replied next year would be $300,000. Councilman Hauenstein said to talk about the idea of Miles from Sacramento being able to be spent here. Ms. Perl said they could accumulate Miles here, but they couldn’t spend Miles here they accumulated there. Councilman Hauenstein said he wants the incentives to always support local businesses over national ones. Councilman Frisch said when we started this discussion a long time ago there was sticks and carrots. We focused on a pure carrot driven lab. How much local business we want to help is driven by us. · Resolution #116, Series of 2018 – Electrical Standards Upgrade · Resolution #125, Series of 2018 – Contract with HDR Engineering, Inc for SHIFT Data Support and Data Collection · Resolution #123, Series of 2018 – CORE REMP Request · Resolution #124, Series of 2018 – Shift Contract with Miles App · Resolution #114, Series of 2018 – Third Party Engineering Development Review Services · Resolution #126, Series of 2018 – 7th and Main St Concrete Paving and Waterline Improvements · Board Appointment · Resolution #103, Series of 2018 – 7th Galena and Main Street Bus Stop and Pedestrian Improvements Project · Minutes – August 13, 2018 Councilman Hauenstein moved to adopt the consent calendar; seconded by Councilman Frisch. All in favor, motion carried. ORDINANCE #18, SERIES OF 2018 – 500 W. Main Street – Historic Landmark Lot Split, TDRs, Special Review and Variations Amy Simon, community development, stated the Mesa Store was built in 1890. This is the only two story wooden commercial structure left in Aspen. It is framed in a way where the wall studs are one board. This building style fell out of favor when there was no longer a supply of 30 foot trees to create the studs. This method also created a pocket that allowed fire to travel floor to floor. The Mesa Store was built as a grocery store with two smaller buildings. In 1920 it looks like the two smaller buildings were gone. The approved condition was initially proposed to add on as an office building with an addition on the west side and a residential unit. After they received approval they began to rethink the plan and scale back. Currently it is under remodel of just the interior. As part of scaling back, they identified two preservation benefits, historic lot split and TDRs. HPC first goal would be no addition, followed by a detached addition. What is before you is detached or no addition. The Mesa Store occupies most of a 3,000 square foot corner lot. Beside it is a new lot. It appears this lot has been vacant for 100 years. The plan is to sever the development rights and sell them as TDRs. New residences are discouraged on Main Street. What is allowed is 1,920 square feet. They can sell up to 7 TDRs in increments of 250 square feet. HPCs preference is to remove all development from the lot. Review criteria for a lot split include correct zone district, right size lots and does it follow the townsite lots. These are all true. The applicant is requesting special review. Today allows 1 to 1 floor area. They could have 6,000 square feet today. Staff finds special review criteria are met to sit on a 3,000 square foot lot. Commercial design review pedestrian amenity. Each lot should have 750 square feet of open space on the lot. On the corner lot that is not possible. The new lot will have more than that. The applicant is asking to have it waived for the corner lot. Council can do that if there is an exemplary remodel. They are restoring the original porch, windows and chimneys. All these things HPC discussed with the applicant. They are doing them voluntary. Set backs – the historic building is already at the property line on the south and east. A variance is requested for the south and east event though it exists. A set back on the west is requested to accommodate the exterior stair. Parking – the code allows several different ways to accommodate mobility. 2 spaces will be behind the Mesa Store. 1 can be through an easement and 1 through enhanced mobility on the site. P36 VI.c Regular Meeting Aspen City Council August 27, 2018 6 They are left with a balance of .26 that needs to be provided. Landmarks can request for cash in lieu or a waiver. We discussed at 1st reading that there would be limitations on the building envelope. The building dept feels they can accommodate it with typical setbacks. Councilman Frisch said residential is not allowed on the same lot as commercial. Jessica Garrow, community development replied affordable housing is allowed. John Rowland and Sarah Broughton Sarah Broughton, owner, said they started Rowland and Broughton 15 years ago. We have been passionate about this building since day one. We are enhancing a right of way amenity on a block that is already too dense. The lot split follows the historic pattern of lots that are 3,000 square foot. It has been 100 years since there has been a building on the other property. Housing directly next to Mesa is super dense. We are offsetting a lot of our transportation through bikes, flexible work hours and we cycle. She showed an image of the garden space. There is a pattern of these pocket parks throughout town. We were also allowed to capture parking along the alley with the park. The TDR program was set up to defray the costs of the historic program. Density will be decreased. Councilman Myrin said there is potential for affordable housing on the lot next store. Ms. Simon said if council approves the subdivision and creation of TDRs they do not have to sell them all. It is up to you if they should remove everything. Councilman Myrin asked do we have something called open space. Ms. Simon replied it is not open space or a park. It is a public amenity. They will have at least a 750 square foot public amenity requirement. Councilman Myrin said there was a question about the extra square foot of 450 on one lot. Do we have the option of not issuing TDRs to represent that to address the total. Ms. Simon said Jim can advise on the conditions. They are allowed 6,000. When they split the lot, they lose ground. You are not really giving them a bonus. Councilman Myrin asked is there a way to recognize that. Mr. True said I think you have the discretion to address the TDRs you are creating here as a condition of this approval. Ms. Garrow said I would add to that, that it is council discretion. The max is 7. Ms. Simon said if you don’t allow the full 7 you are not taking it away from them you are leaving it on the site. Councilman Myrin said the concern is if you created 2 less the 450 still sits, it’s just not severed. Ms. Garrow said the other important point is by doing this the TDRs are based off of the single family floor area. Councilman Frisch asked is the 20% deducted if someone shows up with an affordable housing plan. Ms. Simon said if they did the lot split the affordable housing allowance would be 3,000 or 1 to 1. With this proposal they are reducing the potential. Councilman Myrin asked the we cycle on 4th street, will it stay. Ms. Garrow replied I don’t know the long term plan. Councilwoman Mullins asked is it just commercial or affordable housing on the adjacent lot. Ms. Simon replied or free market. It is allowed on Main Street, just not on the same lot. Councilman Hauenstein said the lot split would create a non conforming building. It requires a variance on setbacks. Does it trigger Ref 1. Mr. True replied I do not believe the square foot issue would trigger it because the underlying zone allows the square foot through the special review process. Ref 1 kicks in if there is a variation of the underlying zoning. Setback is not addressed in Ref 1. The parking is addressed and that may be a bit more problematic. At least the request to waive the cash in lieu. Ms. Simon said the applicant is following exactly what is in the code. Mr. True said we have had debates internally if that waiver would trigger Ref 1. Ms. Broughton said we are not asking for that waiver. Mr. True said he would recommend given that statement we would not implicate Ref 1 for that amount of money. Councilman Frisch said we need to be very careful about using open space. It is an undeveloped parcel. I believe they will turn it into a beautiful garden. Councilman Hauenstein said 750 square feet public amenity from the eastern lot is a concern of mine. Ms. Simon said the alternatives are they could provide it off site. They could do right of way improvements or pay cash in lieu. Councilman Hauenstein said it could move on to the western lot. Ms. Simon said you could, but it would take up half of the lot. Councilman Hauenstein asked if it would it effect the TDRs. Ms. Simon replied it would not. P37 VI.c Regular Meeting Aspen City Council August 27, 2018 7 Mayor Skadron opened the public comment. 1. Toni Kronberg said she applauds the applicants for not cramming another structure next to this one. The empty lot is not deserving of a little building. She supports the lot split. 2. John Ward said he wrote a letter of support. This is an expensive undertaking. The TDR program was intended to offset some of these costs. Mayor Skadron closed the public comment. Councilman Hauenstein asked what council thinks about the 750 public amenity. Councilman Myrin said it would be something existing on the western lot. Councilwoman Mullins said I think the public amenity is that they are restoring the building. In terms of the public amenity, just looking at the historic lot it would be a shame to carve out 750 square feet. The lot split is appropriate. Lots fronting Main Street were 3,000 square feet. The special review which covers the additional 451 square feet. The building was built prior to the zoning codes. What I have a harder time approving is all 7 TDRs. Historically the density was on Main Street. The open parks were in the residential neighborhoods and the larger houses. It seems to be inappropriate to have a gap here. I could support some TDRs. It does offset costs for the program, but it also should not be sterilizing lots down Main Street. I would like to see some development in the west lot. It would be a mistake to set up a situation where there will always be a gap down Main Street. Councilman Myrin said there is not a lot of space. The only residences that can be there are affordable. By not splitting it we keep the affordable housing requirement or commercial. Ms. Garrow said all the work during the moratorium council made a conscious decision to allow free market residential along Main Street as long as it is not part of commercial development. Councilwoman Mullins said if you do a lot split you restrict the FAR. Councilman Frisch said the discussion is there is 1,750 square feet at play, 7 TDRs being asked for times 250 and one thought is it should all be kept on Main Street and another thought that it would be a nice garden and should go elsewhere. Ann is talking about balancing it. One concern is how small is allowed to be developed, even if affordable housing, is not worth it to build it there. Ms. Simon said to remember we are talking about floor area. 900 square feet of floor area could be doubled with a basement. Councilman Frisch said if the entire 7 TDRs are removed how much FAR is remaining. Ms. Simon replied 170 square feet. Councilman Frisch said then you are looking at 400 square feet left with a basement. If it stays, there are only 2,000 square feet anyway for a free market, which is what Bert is talking about. Then there is 20% more if it is affordable housing. Ms. Garrow said they could do around 3,000 square feet. If council allows the creation of TDRs as soon as those TDRs are severed that starts to reduce the allowed floor area, regardless of what that future use is. Councilman Frisch said they talked about the flexibility if they are granted 7, and they don’t use any, can they come back and say I want to extinguish these TDRs and I want to put the FAR back on the site we took them from. Ms. Simon said until the day they come in and start asking for TDR certificates they’ve done nothing. Once they sever one, they’ve locked into place. Councilman Frisch said they have the option of up to 7 TDRs, if they don’t go claim them, all the development rights stay on, but as soon as you go in and take one you can’t shop it around for a year and then decide after the fact you would rather go back and extinguish it. Ms. Simon replied right, once you sell one you have made some commitments. Councilman Hauenstein said he is still unclear on the 750 square feet for public amenity, transferring that to the western lot. You say that doesn’t affect the TDRs. Ms. Garrow said it effects how development in the future could be placed on the lot. It doesn’t change the total allowed floor area with or without the TDRs. It is half of the lot, around 1,500 square feet where no development could occur. Or it could go through the review process to allow roof top amenity space. It ultimately impacts what the future P38 VI.c Regular Meeting Aspen City Council August 27, 2018 8 development that is there from a site planning perspective but not from a size perspective. Councilman Hauenstein said the 750 from the eastern lot is transferred to the western lot, the TDRs can still remain in place, but it limits what future development could be. Ms. Garrow said what is located on the site. Councilman Hauenstein said that takes up half the lot. Mayor Skadron said he is ready to move this forward. Councilman Frisch moved to approve Ordinance #18, Series of 2018 with the clarification of the parking mitigation waiver being stricken and clean up of the easement section; seconded by Councilman Hauenstein. He stated he would like to move for an amendment for the 750 square foot public amenity from the eastern lot be moved to the western lot. Mayor Skadron asked what is the impact of that. Ms. Simon said it means that 1,500 square feet of that lot needs to be devoted to a qualified public amenity. Just the setback requirements alone are a good bit of that. Councilman Hauenstein said it doesn’t affect the TDRs so it doesn’t affect the ability for you to sell off those TDRs. I’m attempting not to waive the 750 foot amenity from the eastern lot. Ms. Simon said the amenity cannot be provided at all on the east lot. The lot split was not part of the development when HPC reviewed this. They need to address the requirement by putting it on the west lot, cash in lieu or having council acknowledge an exemplary restoration and waive it. Councilwoman Mullins said the amenity ought to be offset by the restoration of the building. I do not want to sterilize the lot next door. I could pass the resolution with creating 4 TDRs but not 7. Councilman Frisch said he could argue there is a financial detriment by moving 700 square feet of public amenity there. You are losing flexibility without a doubt. Councilman Myrin said he would support putting Ward’s amendment in the ordinance. He’s not sure if he will support the ordinance because I support affordable housing over free market on that property. Councilman Frisch said he is very confident they will turn in an exemplary historic remodel. Ms. Simon said HPC did not give them any benefits for the interior remodel. Councilman Frisch said he appreciates the breathing room discussion. I am kind of where Ann was at hoping there would be something there at some point. If it is a garden there forever the community will be just fine. I look at the public amenity space more from the citizen walking by then someone holding a land use book. I think when people walk by the west lot they will see breathing room. If the lot split were to happen I don’t think it will ever be they crammed so much on that lot. Councilwoman Mullins said I don’t understand the point though. You still have the set backs. I think putting this public amenity on this site just complicates future development. If we approve a portion of the TDRs you get the finances to continue the project and allow for affordable housing or free market to be built there. Ms. Garrow said if council approves TDRs, it is the applicants option to sever them. They can create 1 and sever it they don’t have to do the rest. Councilman Hauenstein withdrew his amendment pending a discussion on the TDRs. Mayor Skadron said the issue is not about public amenity space. It is something about development. Mayor Skadron asked Councilman Myrin what his goal with the property is. He replied if you want to match what the letters requested, which was that it not be developed, you can do two things. You can remove the TDRs. He said he would like to see a smaller version of the Fornell. Mayor Skadron said Ann’s goal is leaving the possibility of some development on the west side of the property. She replied as well as facilitating the restoration of this building. Mayor Skadron said Ward is suggesting transfer of public amenity space to do exactly the opposite to ensure that no affordable housing gets built, or any kind of development gets built but perhaps the whole space stays empty. Councilman Hauenstein said what I’m exploring is what 26 people wrote letters about is that they don’t want development there. What Ann as I understand it is you want some development on the West side of the building and Bert would support that if it was used for affordable housing. He replied he would but would rather not see four P39 VI.c Regular Meeting Aspen City Council August 27, 2018 9 TDRs go away. To do any TDRs would require a lot split and that would permit free market and for that reason I won’t support this. Councilwoman Mullins said in response to that we started because it is a restoration of a building. It is sounding like that becomes more and more challenging if there are no TDRs available to sell. We do want to focus on they are restoring the building and doing a beautiful job. We want to make sure that can happen. Councilman Frisch said if a certain amount of TRDs are severed the development will probably be gone. I think you are going to be selling all of them or maybe one or two. My dream would be they get all 7 TDRs and go remodel the building and an affordable housing project pencils out for them. I think the question is if more than a few TDRs leave the space it becomes almost undevelopable. I want to make sure the restoration happens. I think we come down to how many TDRs. Mayor Skadron said we have four different directions. I think this is the perfect example of TDRs as an appropriate preservation tool. I think this project is exemplary. I think that satisfies the requirement of the public amenity space. It would be my preference that the applicant sells all the TDRs at some point and while I can’t use the applicants character or commitment to the character or love of building or love of place as a criteria to satisfy what’s before me, I can find that criteria for historic lot split for the TDRs for special review and commercial design review are satisfied and I’m willing to support this as presented and move forward and that is the appropriate direction to go. Councilman Frisch said I appreciate that. The downside in Ann’s mind and a little of mine is we could see that lot be left with 250 square feet and nothing more. Mayor Skadron replied yes. Councilwoman Mullins said she will support this as I can’t get support for my partial TDR suggestion. I don’t want to risk losing the lot split and probably then losing the restoration of the building. What I’ll do is hope that not all the TDRs get sold and at some point you can develop a small affordable housing structure to fill in the gap on Main Street. The main focus is to get the restoration completed. Mayor Skadron said say not all the TDRs get sold is the transfer of the 750 a protection against unwanted development that the 26 letter writers don’t want. Ms. Simon replied I don’t think so. It may get accommodated in the set backs anyways. It might create a squished building that wouldn’t fit. It is probably best just left alone. The owner will make the best decision for the lot. Roll call vote. Councilmembers Hauenstein, yes; Myrin, no; Frisch, yes; Mullins, yes; Mayor Skadron, yes. Motion carried. ORDINANCE #22, SERIES OF 2018 - 333 Park / 931 Gibson – Relocation Sarah Yoon, community development, told the council this application is for the relocation of the historic resource, demolition of all non-historic additions, rescinding of designation if relocation to the new sit is approved and designation after receiving of the historic resources to the new site. The historic buildings were originally located on a 3,000 square foot lot on Main Street. The applicant proposes to focus on restoration of the resource including a full exterior restoration, relocating and restoring the original Sandborn configuration, reorienting the front façade back to street facing and increasing the visibility of the historic residence. They have also been working with parks and engineering on the logistics of the relocation. HPC recommends in favor of relocation. Questions from 1st reading. More information about allowable development on both lots. Lot 333 is currently over allowable and they are not proposing any more development. Allowable is based on new lot areas. 1 TDR will also be allowed to be landed. 931 is 15,000 square feet and in R15A. Allowable for a single family is 4,000 square feet. If the lot is designated it will allow two detached dwelling units but the floor area will remain. If designated, all proposed designs will be subject to the HP design guidelines. Question in regard to relocation examples. Prior to HPC many structures were relocated. 134 ½ Hopkins was relocated from Spring Street but it did not have landmark status. A more recent case is the 2016 relocation of the Zupancis cabins to the Marolt property. P40 VI.c Regular Meeting Aspen City Council August 27, 2018 10 Site context for the receiving site. The Sandborn maps are used for accuracy. Gibson is not noted on these maps, so the Aspen Willits maps were used. HPC and staff recommends approval for the relocation. Sara Adams, representing the application, said the application is for relocation and designation and a one car garage behind the landmark. We wanted to show intent to move the landmark to Gibson but are not prepared to show the new building for Gibson. HPC preferred we come to your first, withdraw the conceptual application then come back with a conceptual application for both homes at Gibson and go through the regular process. HPC voted 7 to 0 in favor of relocation, demolition and designation. We will return to them and be subject to whatever code is in place when we submit our application. She showed a photo of Main Street in the 1890’s. The home was originally constructed in 1889 by the Jacobs family. Mabel and John Beckerman purchased the property in 1892. In 1961 the land was purchased and Mable placed an ad in the paper to sell the building. She showed a photo with the one story home and two story addition. A lot of the historic building is intact. The home is perched above the river. She showed images with non historic additions of what would be removed. She showed an image with the restrictions on 333 Park and how they tried to fit the home on the property. We had to find an acceptable relocation method that would increase the character and integrity of the building. The integrity score increases by 25 points when the building is moved to Park. Priorities for the project include a fully restored building, original configuration with the secondary historic building attached at the rear, brining street presence and remove the stream margin non conformities at 333 Park. Brian found 931 Gibson. It is a 15,500 square foot relatively flat lot. The relationship to grade would be restored. The entire lot is proposed to be designated. There is no proposal for a historic lot split. There is no change to the allowable floor area. We are proposing two detached single family homes with single family floor area. Councilman Hauenstein asked are all the garages two car garages for 333. Ms. Adams replied yes. The requirement is a two car garage. Councilman Hauenstein asked if a single car garage is used on the 333 parcel is there a scenario where it fits in. Ms. Adams replied no, the service space would still be off the property. Councilwoman Mullins said this lot, you could do a lot split but there is no room for a second building. Ms. Yoon said yes. Councilwoman Mullins said the other lot is 15,000 square foot, receives a designation so you can put the two structures there. How can you get the two structures there if it is not a lot split. Ms. Garrow replied it is allowed by the underlying zoning. Councilman Myrin said page 291 show the property on a 3,000 square foot lot. How many examples from HPC when no variances are granted. Ms. Garrow said each site is different. Typically, something is requested, setback or change in parking, a floor area bonus. Councilman Myrin said so that could happen here going back to HPC. Are there other examples where it wasn’t historic then became historic. Ms. Garrow said those were the two examples we outlined in the memo with relocation. There are a handful of Aspenmodern that we didn’t analyze. It is rare. Councilman Frisch said on one hand we are all concerned about moving not just homes around but if HP was around in the 60’s no one would have allowed the home to be dropped there and faced that way. I’m not sure if this goes through other people won’t be looking for other places to do it. It becomes a density issue. The plan is to move the building to 931 then there is an undesignated undeveloped piece of property. Ms. Yoon replied correct. Mayor Skadron opened the public comment. 1. Sandy Maple said his parents live next door to the Gibson lot. The lot was designated in 1995 so we should be done. There is no reason to change that except perhaps to remove the non-historic P41 VI.c Regular Meeting Aspen City Council August 27, 2018 11 parts of it. The 931 Gibson lot is a large lot in a low density area. To allow two buildings there increases the density. It is a rectangular lot that requires no variances. The easiest thing to do would be deny the request. If council allows them to do this at least ensure the lot cannot be split. 2. Daryl Cramer on behalf of Jeffrey and Janet Beck said obvious with only two instances in the last 50 years this is an extraordinary event. One thing that sticks out is the density bonus from this move. We have concerns about massing, ingress/egress and lot splits. 3. Sally Golden said 333 Park is a hidden landmark that faces the wrong direction. She feels that the proposal to move to Gibson is the best preservation approach. 4. Bill Stirling said the HP program needs a lot of tools. Very little was in place in the 80s. This in no way opens Pandora’s box and the few examples given by staff is indicative of that. He strongly feels that council should recommend relocation and designation. 5. Daryl suggest the ordinance be subject to conditions and only one structure not two. If not that then not split. 6. Adam Rothberg, 931 Gibson, what I was going to build was dramatically bigger than what they are proposing. My only issue is that I didn’t think of it. Part of the requirement is a sidewalk. It makes so much sense. It is not without a huge expense to move all that. This is a unique situation and a good idea. 7. Jeffrey Beck, neighbor, when I bought my home I assumed next to me I would have one home. At the very least this lot should be deed restricted. Mayor Skadron closed the public comment. Ms. Garrow said in terms of floor area and density, if approved, the floor area and density will be the same as allowed today. Without designation it has to be attached in a duplex. The floor area and density remain the same. Ms. Yoon said historic designation adds a layer of design review that is not currently at Gibson. It allows the neighborhood to comment and request feedback and participate in the review. Councilwoman Mullins said it is an interesting idea. One thing I keep going back to is I’m very concerned with the integrity of the HP program. We’ve got a lot of different tools to restore our resources. You don’t want to manipulate those tools that it becomes a detriment to the program. The reason for rescinding a designation is the property no longer meets the criteria. I’m not convinced what you are presenting is strong enough to chip away at our HP program. The idea it is not seen from the road, it is. The idea of putting all sorts of conditions on the development of the lot is what I objected to on the previous application. My biggest concern is this somewhat effects the integrity of the program. Ms. Garrow said only upon the relocation does the designation occur. Councilman Frisch said is the land underneath the sight worth anything to the program. How much value should we put on it. Because this has already been moved once that’s where staff is suggesting there is some flexibility. Councilman Myrin said if it stays where it is it seems in scale with the space. TDRs could go to the Gibson lot and be built without council review. Rather than moving the house I would move development rights. Mr. True said that is not the application that is in front of you here. Councilman Myrin said I’m not supportive of relocating. I don’t think it adds to the historic character of the parcel by relocating. Councilwoman Mullins said this program is under attack because it is viewed as a money making deal. This looks a lot like those other deals. Brian Hendrys, owner, said it is not about making money but P42 VI.c Regular Meeting Aspen City Council August 27, 2018 12 trying to move my family to this town. What if we remove the driveway and garage from the historic home. Councilman Frisch said he is open to having the historic structure moved. I believe HPC was right in what they were trying to do. I want to see one owner, one house one garage. Councilman Hauenstein said he is open to moving the structure to 931 but I don’t want to do that without more definition about what is going to happen to 931. I want to see a sidewalk and one building structure and assurances to us that it is not just another HPC money making deal. I’m not prepared to make a final decision tonight. I’m open to moving the resource. Councilwoman Mullins said one of the things we need to understand if we approve moving the house with one garage and one driveway is maybe it stays there with you as an owner, but would it stay that way forever. Mayor Skadron said I think relocation is the best preservation opportunity for the resource. The current location isn’t the original location. 931 could be argued to be a better landing site. I appreciate that HPC supported this. I think it is the best solution for the resource. Relocating allows the historic relationship to be more appropriate. I’m persuaded it will not result in more density or impact to the neighbors. Councilman Frisch said what I want to see is a single ownership and one house. Mr. True said it sounds like a continuance is appropriate. We can work to get a process for some of the protections council is looking for. Mayor Skadron said he could move this forward tonight because he finds that the relocation review criteria, the demolition review criteria and the rescinding designation and historic designation criteria are satisfied. What I’m not hearing from my fellow councilmembers are objections to those criteria. Councilman Myrin said against the criteria 26.415.090 page 237 number 2, I don’t think it contributes to the overall character of the historic parcel to move this and I think it will have an adverse impact on the property. Councilman Frisch moved to continue Ordinance #22, Series of 2018 to September 17, 2018; seconded by Councilwoman Mullins. All in favor, motion carried. RESOLUTION #122, SERIES OF 2018 – 305 S Mill St. – Grey Lady Restaurant – Temporary Use Ben Anderson, community development, stated over the last five years there have been requests for a temporary structure. It is a clear plastic covering and walls made of grey canvas. The request is for 120 days including a request for a Saturday market. To clarify one thing in the memo, there was a requirement from last year where the structure was to come down at end of April. The roof came down and the walls remained. At some point during the summer the roof went back up. For a period of time the conditions were met. Our concern is around the commercial design guidelines. Ryan Chadwick, owner, said I have a clear plastic top and the sides rolled up. If it’s not on there perfect I can’t take it down. With the top on I don’t have to use heat. I applied for a removable permit for the top and it was approved a few years ago. Last year I had sail boat sails on the roof, this year we put the clear top on. He showed a video from the market last year. I’m not supposed to be here now because my lease was to end but the landlord keeps extending it. Siam Castillo, market manager, said we did 25 markets with 25 vendors. The restaurant was there for us whatever we needed. I ‘ve had a bunch of new people ask me about it for this year. P43 VI.c Regular Meeting Aspen City Council August 27, 2018 13 Mayor Skadron asked do the additional seats generate additional business. Mr. Chadwick said it depends, during the busy weeks it does. We would have live music in there. It’s nice to have the lights on in there. Councilwoman Mullins said she did go to the market more than a few times. Some days it was slow some days it was quite good. It was a real benefit to the mall. Ms. Garrow said there may have been some confusion on the resolution. We did a site visit and the roof was gone. If council is inclined to approve this I would suggest language that it is crystal clear that the roof needs to be gone. There is an old approval for a retractable canopy that supersedes this. I would rather have a clear covering. Councilwoman Mullins said she would like to have the winter market there again. I don’t like to have this misunderstanding about what is there. I would like to see all the stuff gone until December. Councilman Myrin said the memo mentioned $6,769 in mitigation. Mr. Anderson said that was based on the days we think it has been up. There was growth management paid for. That figure was an estimate on the roof covering. Staff recommendation was not to include it. Councilman Myrin said my feeling is this is what we need. Without restaurants and without housing this town will not work. I support this. Councilman Hauenstein said with the conditions it comes down on the 20th of April. Ms. Garrow said we would ask you set a date that the roof needs to come off now then after the season. Councilman Frisch said he is supportive of staff recommendation as well as getting the Saturday market to end up at a different place in town. Mayor Skadron said one of the benefits of this including the market was the improved corner esthetic. Mayor Skadron opened the public comment. There was none. Mayor Skadron closed the public comment. Councilman Myrin moved to approve Resolution #122, Series of 2018 with amendment to Section 1 that the covering and walls are removed within 7 days and all come down within 7 days of April 20, 2019; seconded by Councilwoman Mullins. All in favor except Councilman Frisch. Motion carried. EXECUTIVE SESSION Mr. True recommend council go in to executive session and continue the remainder of the agenda for tomorrow. Staff recommends pursuant to 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 20107CV and the Contract for purchase of E. Hopkins and 204 S Galena spaces. At 11:35 p.m. Councilman Frisch moved to go in to executive session; seconded by Councilwoman Mullins. All in favor, motion carried. At 12:30 p.m. Councilman Frisch moved to come out of executive session; seconded by Councilman Hauenstein. All in favor, motion carried. Councilman Hauenstein moved to continue the regular meeting to August 28, 2018 at 4:00 p.m.; seconded by Councilman Frisch. All in favor, motion carried. August 28, 2018 At 4:10 p.m. Mayor Skadron called the continued regular meeting to order with Councilmembers Myrin, Frisch, Mullins and Hauenstein present. P44 VI.c Regular Meeting Aspen City Council August 27, 2018 14 Mr. True recommend council go in to executive session. Staff recommends council go in to executive session pursuant to 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 20107CV and the Contract for purchase of E. Hopkins and 204 S Galena spaces and another litigation issue. Councilwoman Mullins moved to go in to executive session; seconded by Councilman Hauenstein. All in favor, motion carried. At 4:35 p.m. Councilman Hauenstein moved to come out of executive session; seconded by Councilman Frisch. All in favor, motion carried. RESOLUTION #130, SERIES OF 2018 – Amend Extend Contract for 517 E Hopkins 204 S Galena Mayor Skadron said Mark Hunt has agreed to extend his contract until December if the matter goes on the ballot. He can terminate the contract if we don’t put it on the ballot. It would be an either or between his option and Ordinance 4. Putting this on the ballot is conditioned on the litigants, Toni Kronberg, Steve Goldenberg and Marcia Goshorn dropping the lawsuit. Mayor Skadron opened public comment. 1. Pam Alexander said it is never too late to make the best decision. She asked if we can have more than two things on the ballot. She said it might be time to re-evaluate. 2. Andrew Sandler said this is an amazing opportunity that the private sector is collaborating with the public sector. The building on the park looks like a wall blocking some of the views and is uncalled for. I understand the desire to remodel and the opportunity to have everyone in the core make sense. 3. Peter Fornell asked what are the political ramifications for the community if the voters don’t want either one. Where do we go if the message is delivered in a negative way twice. 4. Phyllis Bronson said historically most citizens don’t pay attention until things are up against the wall. This has been a long process and the time is now to start making decisions. My perception was obscured by the lawsuits. I support 517 and 204. I want to keep city hall historic. For me the perception was the project at the Daily News building was linked to the lawsuit and it never was. The potential for connectivity of the old railroad bed is extraordinary with the civic master plan. She would also like to see Connor park part of the plan and revitalized. 5. Jim Farey said he does not see a public building being the highest and best use of the Rio Grande property. 6. Andrew Sandler said the private sector is the driving engine behind the economy. A job at the city is not a career opportunity for most people. You shouldn’t look at it as a life time career for them. 7. Toni Kronberg said this is one of the best decisions by council to give the voters a choice. I’m good with the choice. We have to accept whatever the choice is. Mr. True said if council wishes to place two options on the ballot, we need to have that language approved no later than September 7th. The first step is to approve the amended contract with Mr. Hunt. Mayor Skadron closed the public comment. Councilwoman Mullins said to clarify we are talking about a contract tonight, not the ballot issue. Councilman Hauenstein said tonight we have to decide if we are going to extend the contract. We have accepted that we need to have city offices for our staff. Both offices are viable. If we go to a ballot whatever is decided will be much better than what staff has been working with. To me, it centers around the vision of north of Main to the river. What does the community want that space to be. Going forward P45 VI.c Regular Meeting Aspen City Council August 27, 2018 15 there will be numbers and discussions. I hope we honor the truth and the facts. The city has received an appraisal for the property across the street and we will have discussions about those numbers. The community can decide on how much vitality and where they want it. I support putting this on the ballot with the condition that the lawsuits are dropped regardless of the outcome of the election. Councilman Frisch said while I’m happy to make the decision at the council table I’m happy to go to the voters. Thanks to Scott and Jack for all the work. Councilman Myrin said thank you to all the people who signed the petition even if your name wasn’t acknowledged by the city. Thanks to Marcia and Steve and others who made the right to vote. Without the community we wouldn’t be where we are tonight and the government would be running without the community. Councilwoman Mullins said the decision tonight is to extend the contract with Mark Hunt and perhaps put it on the November ballot. There are a lot of steps before it is on the ballot. There are conditions that are non negotiable before it goes on the ballot. Councilman Myrin said if you have conditions that are non negotiable I think you should share them with the community tonight. Mr. True said the key condition to move forward with the ballot is to come up with the proper language that the city determines and the litigation that resulted from the failure to obtain the proper number of signatures is dismissed. I cannot suggest you go forward with a ballot issue unless no matter what the result was that the litigation is dismissed with prejudice. That is the fundamental condition of placing anything on the ballot. There are terms that would need to be discussed involving the ultimate settlement of that case but that is the fundamental condition. We will work with the litigants and their attorney with resolving this. We have a deadline of September 7. I have a resolution to approve the agreement to approve an amend and extend contract. The resolution just approves the amend extend agreement. It extends the deadline for due diligence until December 3rd. It does take the county a little bit of time to certify the election. It does contain a condition in the event we do not put the matter on the ballot by September 7 or allows for the approval of the Hunt project that Mr. Hunt can terminate the contract. Following this we will work on the other terms and the ballot language. My goal would be to present that by next Tuesday. Councilman Hauenstein moved to adopt Resolution #130, Series of 2018; seconded by Councilwoman Mullins. Roll call vote. Councilmembers Myrin, yes; Frisch, yes; Mullins, yes; Hauenstein; yes; Mayor Skadron, yes. Motion carried. ORDINANCE #19 & # 20, SERIES OF 2018 – Ballot language to amend Section 10.5 of the Charter regarding enterprise fund bonding Mr. True said there are two alternate ordinances for charter amendments. They address the issue brought forward in the work session and first reading regarding an inconsistency with the charter and TABOR. TABOR allows enterprises to issue bonds without going to an election. We are stuck because the charter also says enterprise bonds have to go to an election. We are cross ways with TABOR and trying to clean it up. There are alternatives here because at the work session Councilman Myrin suggested we have a limit to it. One has a limit that an enterprise can only issue a bond without an election if it is 10 million dollars or less. We are proposing that it would be good if our charter was consistent with TABOR. Councilwoman Mullins said she thinks we should adopt the one without any conditions. Councilman Frisch said some of us might want a limit some of us might not. It should be indexed in some way if we have a limit. P46 VI.c Regular Meeting Aspen City Council August 27, 2018 16 Mayor Skadron open the public comment. There was none. Mayor Skadron closed the public comment. Mr. True said theoretically you could put both on the ballot and the one with the most yes votes wins. Councilman Frisch said it’s not worth it to me. Councilwoman Mullins moved to adopt Ordinance #19, Series of 2018; seconded by Councilman Hauenstein. Roll call vote. Councilmembers Mullins, yes; Hauenstein, yes; Myrin, no; Frisch, no; Mayor Skadron, yes. Motion carried. Ordinance #20, Series of 2018 not voted on since Ordinance 19 adopted. ORDINANCE #21, SERIES OF 2018 – Ballot language to amend Section 11.4 of the Charter regarding franchises. Mr. True said this will remove franchise agreements from being adopted by the electorate. They have always passed. They are very complicated issues with a significant amount of legalese. It’s not that the voters can’t sift through it. There are some franchise agreements if elections are even allowed. Most communities do not place them in front of the electorate. I don’t see it generating a lot of discussion in the election. It is consistent with other communities in the valley. Mayor Skadron opened the public comment. There was none. Mayor Skadron closed the public comment. Councilman Hauenstein moved to adopt Ordinance #21, Series of 2018; seconded by Councilman Frisch. Roll call vote. Councilmembers Frisch, yes; Myrin, yes; Hauenstein, yes; Mullins, yes; Mayor Skadron, yes. Motion carried. Councilman Frisch moved to adjourn at 5:50 p.m.; seconded by Councilman Hauenstein. All in favor, motion carried. Linda Manning City Clerk P47 VI.c Special Meeting Aspen City Council September 4, 2018 1 At 4:00 p.m. Mayor Skadron called the special meeting to order with Councilmembers Myrin, Hauenstein, Mullins and Frisch present. Jim True, city attorney, said Resolution #133 approves a settlement agreement in the two cases involving city offices at the Rio Grande property pursuant to Ordinance 4. There are two separate cases. We have worked with the attorney for the litigants and the settlement agreement is attached to Resolution #133. The agreement sets forth the agreement on the ballot issue in Resolution #132. The final language is included in the settlement agreement. It also requires that the litigation be stayed until the completion of the election and the end of the due diligence period to purchase the property at 517 and 204. If the stay is lifted the parties will be in the same position then, as they are today. During the stay there will be an election. The settlement agreement sets for the alternatives as a result of the election. If option A, purchase of 517 and 204 receives the most votes, then ultimately the council will vacate Ordinance 4 and the litigation will be terminated. There is a provision that recognizes there may be circumstances beyond city control where the contract may be terminated prior to December 3, 2018 where the litigation stay may be lifted and we are in the same place we are now. If option B, Rio Grande receives more votes, then the litigation will be dismissed, with prejudice and there will be no further litigation regarding Ordinance 4. We have negotiated these terms in good faith. The agreement has been signed. If you adopt Resolution #133 then it will set these matters in motion. The settlement agreement will be entered. Resolution #132 sets the ballot language and sets the matter on the ballot. We believe this settlement agreement is appropriate at this time which could resolve the litigation once and for all. If not, it stays it for a period of time and we would be in the same place in December as we are now. Ms. Kronberg has raised a question about the ballot language I thought we resolved. I would not support any kind of modification without Goldenberg and Goshorn here. Toni Kronberg said the best option out of this is we are going to have new city offices and the voters will decide where they are. Both Option A and Option B are identical. The difference is A says it is under contract but does not say the resolution number. Option B says Ordinance 4. Mr. True said this was brought up early in the discussion. I suggested the reason we didn’t want to put 111 because it was amended by 130. To get a full grasp you would have to refer to both and I think there was a third. I suggested to the attorney it would just be more words in the question. I understand her point but at some point, you refer to the original contract and the amendment. Mayor Skadron said it seems like it complicates an already complicated issue. Councilman Hauenstein said we are on the third contract with Hunt. Mayor Skadron closed public comment. Councilwoman Mullins said she needs more details. We started with two lawsuits. If we put this on the ballot, if Ordinance 4 wins the lawsuits are dropped after the election. Mr. True said the stipulations are not dropped until after the results are certified. Soon after the election, if Ordinance 4 gets the most votes then the stipulation of dismissal will be filled for both cases. This agreement provides a waiver of any rights for these three litigants to state any claim against the city to delay it or otherwise state a claim against the city. We believe we’ve got a very through and broad prevention from that kind of scenario if 4 gets the most votes. Councilwoman Mullins said if the Daily News building wins it is not as clear cut. Mr. True said this is why the litigation is just stayed. It does involve some continued negotiation with Hunt. There are circumstances with those discussions and moving forward with that contract where the contract could fall apart. What we felt was not appropriate was to agree to something that could blow up outside the control of council and then not have any option. We suggested to stay the litigation then if it did blow up prior to December 3 then the stay is lifted then none of this happened. Councilwoman P48 VI.c Special Meeting Aspen City Council September 4, 2018 2 Mullins said if Option A wins and something happens we have no control over it’s as if nothing happens. If we go ahead what are the chances someone litigates over 517. Mr. True said something like that could happen. It’s hard to fashion what the basis of litigation on the Hunt contract would be. It is clearly just and administration function. The chances of that and risk seem to be slim. I think some of that would have to come up now and between December 3. HPC did grant a preliminary approval for an essential public facility. It will come to council eventually and there is a theory that it could lead to litigation. I can’t guarantee something won’t happen that is bad. Councilman Hauenstein said if it happens after December 3 the lawsuits go away. Mr. True said but we’ve vacated Ordinance 4. It doesn’t mean we can’t go back and do another approval on that property. We are trying to make sure we get this as strong as possible by December 3 and move forward. It’s almost no difference if Hunt wins and we stay with the contract and a new council gets elected and wants to start all over. Councilman Hauenstein said if Ordinance 4 is rescinded is the land use void as well. Mr. True replied yes. Councilman Hauenstein moved to adopt Resolution #133, Series of 2018; seconded by Councilman Frisch. Roll call vote. Councilmembers Mullins, yes; Frisch, yes; Myrin, yes; Hauenstein, yes; Mayor Skadron, yes. Motion carried. Mr. True said Resolution #132 adopts the ballot language that will be submitted to the county clerk. It has the same language that is in the settlement agreement. Councilman Hauenstein moved to adopt Resolution #132, Series of 2018; seconded by Councilwoman Mullins. Roll call vote. Councilmembers Frisch, yes; Hauenstein, yes; Mullins, yes; Myrin, yes; Mayor Skadron; yes. Motion carried. At 4:50 p.m. Councilman Frisch moved to adjourn; seconded by Councilman Hauenstein. All in favor, motion carried. Linda Manning City Clerk P49 VI.c Special Meeting Aspen City Council September 6, 2018 1 At 4:00 p.m. Mayor Skadron called the Special Meeting to order with Councilmembers Mullins, Myrin and Frisch present. Mayor Skadron said this is a special meeting to amend Resolution #132 from Street to Avenue. Mr. True said we are here to address the language in the ballot issue in Resolution #132. There is a lot of case law about the description of avenue and street being irrelevant unless there is the possibility of confusion. Since we don’t have a Hopkins Street I don’t think that is the case. What I have proposed is an amendment to resolution #132 to change Street to Avenue. Councilman Hauenstein arrived. We also have the same change in the settlement agreement. There is an additional change in the settlement agreement that was initialed by the litigants that changes the parenthetical element on Option A to request that the “F” in former not be capitalized. We wanted to keep it relatively simple to make sure we were describing it properly. Mayor Skadron said changing Street to Avenue and changing the capital “F” to lower case. Councilman Myrin asked would it be easier to change the name of the street. We all seem to think it is Hopkins street. Mr. True said all the signs say Avenue. Mr. True suggested council move to approve the amendment to the settlement agreement correcting the scrivener’s error in paragraph 2 changing Street to Avenue and “F” to “f”. Councilman Hauenstein moved to adopt the changes outlined by Mr. True; seconded by Councilwoman Mullins. All in favor, motion carried. Councilman Frisch moved to adjourn at 2:08 p.m.; seconded by Councilman Hauenstein. All in favor, motion carried. Linda Manning City Clerk P50 VI.c MEMORANDUM TO: Mayor and City Council FROM: Pete Strecker, Assistant Finance Director THRU: Sara Ott, Asst. City Manager MEETING DATE: September 17, 2018 RE: Ordinance #25, Series of 2018 - Expanding Investment Options to Include CHFA Debt REQUEST OF COUNCIL: Staff is requesting Council approve revisions to the City’s financial policies to allow investment in Colorado Housing Finance Authority (CHFA) bonds. CHFA is a recognized political subdivision of the State of Colorado and approval of this investment option would align with existing allowances to purchase revenue bonds of a similar type. BACKGROUND: Current City policies (Resolution 31, Series 2004) references State Statute 24-75-601.1, for allowable investment options. Included in that list of options are revenue bonds issued by any state, District of Columbia, U.S. Territory, or any of their subdivisions. The caveat, however, is that these securities also are required to have a qualifying rating (at or above “A” or its equivalent) from at least two national rating agencies and must be for durations not to exceed 5 years. While CHFA is a political subdivision of the State of Colorado, it does not receive ratings on its bond offerings. However, under this same section of the Colorado statute, subsection (3) states that nothing in this section is intended to limit the power of any home rule city to invest public funds in any security or other investment permitted under the charter or ordinance of such home rule city. RECOMMENDED ACTION: Because the City has control of the risk in these investments and because it is advantageous for the City to retain these interest earnings rather than pay an outside lender for such services, staff recommends the Council amend its financial policies to include CHFA debt as an allowable investment vehicle. PROPOSED MOTION: “I move to adopt Ordinance #25, Series of 2018, to allow CHFA issued debt as an investment option for the City of Aspen.” CITY MANAGER COMMENTS: P51 VIII.a ORDINANCE NO. 25 Series of 2018 A ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN AUTHORIZING THE PURCHASE BY THE CITY OF REVENUE BONDS ISSUED BY THE COLORADO HOUSING AND FINANCE AUTHORITY. WHEREAS the provision of affordable housing is important to allow people who work in the City of Aspen (the “City”) and Pitkin County to live near where they work and to be part of the community; and WHEREAS, C.R.S. §29-4-723 provides that public entities like the City may invest in bonds issued by the Colorado Housing and Finance Authority (“CHAFA”) if such bonds satisfy the investment requirements of part 6 of article 75 of Title 24, C.R.S.; and WHEREAS, C.R.S. §24-75-601.1(3) provides that a home rule city may invest any public funds in any security or investment permitted under ordinance of the city; and WHEREAS, in order to obtain financing for the acquisition, rehabilitation and equipping of affordable housing projects benefitting people who live and work in the City and Pitkin County, the Council wishes to authorize the investment of City funds in bonds issued by CHAFA. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ASPEN: Section 1: The Council hereby authorizes investment of City funds in bonds issued by CHAFA if the Council adopts a resolution approving such investment. Section 2: All ordinances, or parts thereof, inconsistent herewith are hereby repealed to the extent only of the inconsistency. Section 3. This ordinance shall not affect any existing litigation and shall not operate as an abatement of any action or proceeding now pending under or by virtue of the ordinances repealed or amended as herein provided, and the same shall be conducted and concluded under such prior ordinances. P52 VIII.a 2 INTRODUCED AND APPROVED ON FIRST READING by the City Council of the City of Aspen on the 17th day of September 2018. Steven Skadron, Mayor Attest: _____________________________________ Linda Manning, City Clerk ADOPTED AND APPROVED ON SECOND READING by the City Council of the City of Aspen on the 24th day of September 2018. Steven Skadron, Mayor Attest: _____________________________________ Linda Manning, City Clerk P53 VIII.a TO: Mayor and City Council FROM: Phillip Supino, Principal Long THRU: Jessica Garrow, Community Development Director RE: Resolution #127, 2018: Sandwich Board Sign MEETING DATE: September 17, 2018 _________________________________________________________________________ _____________________________________________________________________ SUMMARY: The attached Resolution 127, Series 201 sandwich board sign regulations in the City of Aspen Land Use Code. The objective amendment is to balance compliance decision in Reed v. Town of Gilbert, Ariz. (2015) goals regarding the use of sandwich board signs If the Policy Resolution is approved, staff will the Land Use Code is accordance with the policies contained in this STAFF RECOMMENDATION: Staff recommends approval of the proposed resolution. LAND USE REQUEST AND REVIEW PROCEEDURES The purpose of this public hearing is for Council to provide direction Land Use Code as it relates to the use of sandwich board signs. To initiate a Land Use Code amendment, Council must first approve a Policy Resolution providing guidance to staff as to the nature of the proposed code amendment. In this case, the proposed Resolution present Council with an ordinance to amend the sign regulations to allow for the use of sandwich boards in certain zone districts and by certain users. Should Council decide at this hearing to maintain the current regulations not permitting sandwich board signs, Council may decide not to approve Resolution 127. If Council approves Resolution 127 directing staff to provide options for the use of sandwich board signs, s first reading immediately following this hearing September 24th, at which time Council may expiration date of current sandwich board permits. Memorandum Mayor and City Council Phillip Supino, Principal Long-Range Planner Jessica Garrow, Community Development Director 127, 2018: Sandwich Board Sign Policy Resolution , 2018 _________________________________________________________________________ _____________________________________________________________________ , Series 2018 describes Council policy direction for code amendments to the sign regulations in the City of Aspen Land Use Code. The objective of the proposed code balance compliance with the requirements of the United States Supreme Court decision in Reed v. Town of Gilbert, Ariz. (2015) with regulations achieving Council’s and the public’s goals regarding the use of sandwich board signs. If the Policy Resolution is approved, staff will provide an ordinance for Council’s consideration to amend th the policies contained in this resolution. Staff recommends approval of the proposed resolution. LAND USE REQUEST AND REVIEW PROCEEDURES: is for Council to provide direction to staff as to whether to amend the Land Use Code as it relates to the use of sandwich board signs. To initiate a Land Use Code amendment, Council must first approve a Policy Resolution providing guidance to staff as to the nature of the case, the proposed Resolution 127, Series 2018, would direct staff to present Council with an ordinance to amend the sign regulations to allow for the use of sandwich boards in certain zone districts and by certain users. decide at this hearing to maintain the current regulations not permitting sandwich board signs, Council may decide not to approve Resolution 127. If Council approves Resolution 127 directing staff to provide options for the use of sandwich board signs, staff will present Ordinance 24, 2017 for immediately following this hearing. Second Reading would be held the following week on , at which time Council may choose to act on Ordinance 24 to avoid the September 28 te of current sandwich board permits. Policy Resolution _____________________________________________________________________________________ _____________________________________________________________________ describes Council policy direction for code amendments to the of the proposed code rements of the United States Supreme Court with regulations achieving Council’s and the public’s for Council’s consideration to amend to staff as to whether to amend the Land Use Code as it relates to the use of sandwich board signs. To initiate a Land Use Code amendment, Council must first approve a Policy Resolution providing guidance to staff as to the nature of the 127, Series 2018, would direct staff to present Council with an ordinance to amend the sign regulations to allow for the use of sandwich boards decide at this hearing to maintain the current regulations not permitting sandwich board signs, Council may decide not to approve Resolution 127. If Council approves Resolution 127 directing taff will present Ordinance 24, 2017 for . Second Reading would be held the following week on on Ordinance 24 to avoid the September 28th P54 IX.a September 17, 2018 Sign Code Amendment Policy Resolution 2 BACKGOUND: Based on previous Council direction and the regulations contained in Ordinance 22, 2017, staff is scheduled to begin enforcement of the sandwich board sign regulations on September 28, 2018. Prior to that date, staff has conducted outreach with the business community and general public, including door-to-door outreach to downtown businesses, a survey on Aspen Community Voice, press releases and coverage in local media. As the outreach is ongoing, the results of this latest round of outreach will be included in the presentation to Council on Monday September 17th. The decision by Council to remove sandwich board signs as an allowed sign type stems from public outreach and Council deliberation in 2017 regarding the legal strictures of Reed and the need to preserve community aesthetics and the effectiveness of commercial signage in the downtown core. Staff used 2017 public outreach data and the consulting services of Mark White, a national leader in the development of Reed-compliant sign codes, to guide the development of Ordinance 22, 2017. At the August 28, 2017 hearing, Council directed staff to eliminate sandwich board signs as a permitted sign type. (The minutes from that Council meeting and the 8/14/17 First Reading hearing are attached as Exhibit C.) Council approved that ordinance 4-1 and directed staff to delay enforcement of the new regulations until one year from the ordinance effective date, September 28, 2018. Beginning in June 2018, staff began reaching out to the business community to remind them of the pending change in sign regulation enforcement. The current conversation about the sandwich board sign regulations is a direct outcome of staff’s early outreach efforts. At a work session on August 21, 2018, Council directed staff to develop code language options to allow for the use of sandwich board signs. Council’s discussion and direction focused on the relationship between Council’s local and second tier business policy goals, sandwich board signs, and commercial core aesthetics. The attached Policy Resolution is written to authorize staff to propose code amendments which allow for the renewed use of sandwich board signs. OVERVIEW: Resolution 127, 2018 outlines the policy direction provided by Council at the August 21, 2018 work session. The code amendment objectives in Section 1 outline the overall objectives of the amendment process. The most important of these is compliance with the requirements of Reed, which is the basis for each amendment option presented to Council. The options are outlined below and in more specific detail in Exhibit B. Option One would allow one sandwich board per second tier commercial unit. The proposed language ties the ability to display a sandwich board sign to second tier space. Specifically, the regulations make permits available to businesses located in units meeting the definition of second tier space. The regulations are intended to prevent over-saturation of sandwich board signs by limiting permits to those buildings which contain a restaurant or retail use. Therefore, downtown buildings which are purely office, service, or residential in nature would not be eligible for sandwich board sign permits. It is important to note that, due to the strictures of Reed, the City may not limit permits to certain business types. As a result, many real estate and offices uses will display sandwich board signs. The P55 IX.a September 17, 2018 Sign Code Amendment Policy Resolution 3 regulations are focused on the location of the business (second tier spaces) and the nature of the building in which it is located (restaurant or retail uses must be present). This approach would require applicants to demonstrate that they are in a second-tier unit (basement, upper floor, alley, or mid-block walkway) Option Two would allow one sandwich board sign per building. The proposed regulations tie sandwich board permits to buildings in which a restaurant or retail use is located. This option allows for one sandwich board to be shared among tenants of qualified buildings, with no requirement for second tier space occupancy. The proposed code language includes standards by which the area of the sign is to be shared among tenants of the building. The code language is designed to place the responsibility on the building or business owners for designing and apportioning the sandwich board sign and submitting for permit. It also excludes the City from any liability for the management of the sign by the tenant applicants. This system is preferable to one where the City is engaged in the ownership, design, or management of the sandwich board sign. The shared, one per building approach allows for corner buildings fronting two streets or larger buildings with eight or more units to display two signs. A third option available to Council would be to extend the timeframe for enforcement of the current sandwich board sign regulations by one year to September 28, 2019. This option would give businesses the opportunity to work with City staff and property owners to develop directory signs and other additional signage to meet their needs once the 2019 sandwich board sign permit sunset goes into effect. It is noteworthy that any option which amends to code to permit sandwich board signs may not achieve all the objectives and direction from Council in Resolution 127. As staff has noted in previous discussions, without the ability to control what business type can use a sandwich board sign or assess compliance with the regulations based on the content of the sign, there is the potential for the use of these signs as off-site “billboards” for other businesses. Similarly, it is probable that business types which could not previously use sandwich board signs will be permitted to do so under the revised regulations. Thus, the choice for Council centers on tradeoffs between the appropriateness of a potential expansion of the number of signs in downtown and whether the benefits of that additional signage are felt by the second tier and locally serving businesses Council seeks to protect. A fourth option available to Council (not included in Exhibit B) is to maintain the regulations adopted last August and allow the current permits to expire on September 28th. This option will ensure that Council does not permit a proliferation of sandwich board signs, that the City’s sign regulations are Reed compliant, and that businesses are treated fairly with respect to the signage available to them. This option does not require a code amendment or additional action by Council. Staff is prepared to respond to Council direction at First Reading with a final draft ordinance including Council’s preferred regulatory option. That draft ordinance will be presented to Council for Second Reading and a vote on next Monday September 24th in advance of the September 28th enforcement deadline. P56 IX.a September 17, 2018 Sign Code Amendment Policy Resolution 4 PUBLIC OUTREACH: Beginning in July 2018, staff walked door to door in the commercial core. Their task was informing business of the regulatory change and offering one-on-one consultations for business owners on options available to them to meet their signage needs within the current sign code. To date, no businesses have taken advantage of those consultations. Staff has also appeared this summer on the Grassroots T.V. broadcast City Matters to discuss the issues and remind the public of the 2017 code amendment process. This is in addition to the robust, four-month outreach process conducted in spring and summer 2017. The extensive outreach conducted over the last 16 months is in recognition of the perceived importance of the issue to the business community and exceeds the outreach requirements in the Land Use Code. The findings of the most recent community survey and door-to-door efforts will be included in the staff presentation. RECOMMENDED MOTION (ALL MOTIONS ARE PROPOSED IN THE AFFIRMATIVE): Council is asked to select one of the four options proposed for incorporation in the Policy Resolution. “I move to approve Resolution No. 127, Series 2018, approving a Policy Resolution regarding amendments to the sign regulations in the Land Use Code, incorporating option ______ in Section 2.” ATTACHMENTS: Exhibit A: Resolution 127 Staff Findings Exhibit B: Sandwich Board Sign Code Language Options Exhibit C: Council Meeting Minutes – 8/14/17 & 8/28/17 P57 IX.a Sandwich Board Sign Code Amendment Resolution No. 127, Series 2018 Page 1 of 3 RESOLUTION NO. 127 (SERIES OF 2018) A RESOLUTION OF THE ASPEN CITY COUNCIL REQUESTING CODE AMENDMENTS TO THE CITY’S SIGN REGULATIONS AS THEY RELATE TO SANDWICH BOARD SIGNS. WHEREAS, pursuant to Section 26.310.020(A), a Policy Resolution is required to initiate the process of amending the City of Aspen Land Use Code; and, WHEREAS, the United State Supreme Court found in the case of Reed v. Town of Gilbert, Ariz. (2015) (Reed) that commercial and non-commercial signage are forms of speech protected under the First Amendment to the Constitution of the United States; and, WHEREAS, the Reed ruling requires that governmental sign regulations be content neutral, and that the regulation of commercial and non-commercial signage be limited to the quantity, physical and locational characteristics of signs in the community; and, WHEREAS, pursuant to Section 26.310.020(B)(1), the Community Development Department conducted Public Outreach with community members, business owners, stakeholders, and City Council regarding the amendments to the sign code; and, WHEREAS, there is community interest in allowing the use of sandwich board signs, presently not permitted under the sign regulations, by certain business types and in certain locations; and, WHEREAS, City Council has reviewed the proposed code amendment policy direction, and finds it meets the criteria outlined in Section 26.310.040; and, WHEREAS, pursuant to Section 26.310.020(B)(2), during a duly noticed public hearing on September 17, 2018, the City Council approved Resolution No. 127, Series of 2018, requesting an amendment for the standards related to sandwich board signs; and, WHEREAS, this Resolution does not amend the Land Use Code, but provides direction to staff for amending the Land Use Code; and, WHEREAS, the City Council finds that this Resolution furthers and is necessary for the promotion of public health, safety, and welfare. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ASPEN AS FOLLOWS: Section 1: Code Amendment Objective The goals and objectives of this code amendment is to: P58 IX.a Sandwich Board Sign Code Amendment Resolution No. 127, Series 2018 Page 2 of 3 1. Comply with the requirements of Reed v. Town of Gilbert, Ariz. (2015); and, 2. Ensure the appropriate balance of signage and community aesthetics; and, 3. Maintain public health, safety, and welfare by limiting sign clutter, distractions from roadways and obstructions from signage; and, 4. Provide opportunities for appropriate signage in commercial zone districts; and, 5. Limit the proliferation of signs in commercial zone districts; and, 6. Ensure that sign regulations meet the informational, advertising, wayfinding and speech needs of residents, businesses and visitors. Section 2: Sign Code Amendment Direction from Council City Council provided the following general direction in work sessions related to these code amendments: 1. Ensure sandwich board sign regulations comply with the requirement of Reed v Town of Gilbert, Ariz. 2. Explore options to provide for the limited use of sandwich board signs in appropriate commercial zone districts while preventing the proliferation of such signs. 3. To the extent possible, use sandwich board signs to support Council’s second tier space policies. 4. Create an equitable system for permitting sandwich board sign for certain business types. Section 3: This resolution shall not affect any existing litigation and shall not operate as an abatement of any action or proceeding now pending under or by virtue of the resolutions or ordinances repealed or amended as herein provided, and the same shall be conducted and concluded under such prior resolutions or ordinances. Section 4: If any section, subsection, sentence, clause, phrase, or portion of this resolution is for any reason held invalid or unconstitutional in a court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and shall not affect the validity of the remaining portions thereof. FINALLY, adopted this 17th day of September, 2018. _______________________________ Steven Skadron, Mayor ATTEST: APPROVED AS TO FORM: _______________________________ ______________________________ P59 IX.a Sandwich Board Sign Code Amendment Resolution No. 127, Series 2018 Page 3 of 3 Linda Manning, City Clerk James R True, City Attorney P60 IX.a Sandwich Board Sign Code Staff Findings– September 17, 2018 Page 1 of 1 Exhibit A: Staff Findings 26.310.040. Amendments to the Land Use Code standards of review – Initiation In reviewing a request to pursue an amendment to the text of this Title, per Section 26.310.020(B)(2), Step Two – Public Hearing before City Council, the City Council shall consider: A. Whether there exists a community interest to pursue the amendment. Staff Findings: Staff believes there is a community interest in amending the Land Use Code (LUC) to permit certain sign types in accordance with the requirements of the U.S. Supreme Court Case Reed v. Town of Gilbert, Ariz. The proposed amendments ensure that the sign code balances community aesthetics with the commercial, directional, and informational benefits of signage. The proposed amendments also ensure that the City’s sign regulations remain in compliance with federal legal requirements. B. Whether the objectives of the proposed amendment furthers an adopted policy, community goal, or objective of the City including, but not limited to, those stated in the Aspen Area Community Plan. Staff Findings: It is the objective of Council and City staff to ensure that the legality of the sign regulations in the Land Use Code is maintained. Furthermore, it is the goal of Council to ensure that the public is provided with access to commercial, civic, and wayfinding information in a manner that enhances public health, safety and welfare while preserving community aesthetics. These goals are supported by the following Aspen Area Community Plan Policies: · V.2 Facilitate the sustainability of essential businesses that provide basic community needs. · V.3 Ensure that the City Land Use Code results in development that reflects our architectural heritage in terms of site coverage, mass, scale, density and a diversity of heights, in order to: o Create certainty in land development. o Prioritize maintaining our mountain views. o Protect our small town community character and historical heritage. o Limit consumption of energy and building materials. o Limit the burden on public infrastructure and ongoing public operating costs. o Reduce short- and long-term job generation impacts, such as traffic congestion, and demand for affordable housing. C. Whether the objectives of the proposed amendment are compatible with the community character of the City and in harmony with the public interest and the purpose and intent of this Title. Staff Findings: The proposed policies and code amendments support and enhance community character by balancing community aesthetics with the value of commercial, civic, safety, and wayfinding signage in appropriate quantities and locations. Further, the proposed policies and code amendments ensure the ongoing effectiveness and viability of the City’s sign regulations by ensuring their compliance with the requirements of the Reed decision. P61 IX.a Exhibit B – Sandwich Board Sign Regulatory Options 1 Exhibit B: Sandwich Board Sign Language for Code Section 26.515.100 “Sandwich Boards” OPTION ONE One Per Second Tier Unit One (1) sandwich board sign may be displayed per individually leasable commercial unit which meets the definition of Second Tier Space, and which is located in a building containing and restaurant or retail use. A. For any business to display a sandwich board sign, the Community Development Department must receive a completed application along with appropriate fees as amended from time-to-time, and a signed letter of approval from the property owner or property manager. B. Sandwich board signs shall not exceed six (6) square feet per side, must be made primarily of wood, metal or acrylic, and have a professional finish. Sandwich board signs may not be illuminated in any way. C. Multiple businesses may be advertised on one sign. An annual permit must be obtained, and the permit number must be displayed on the sign. D. Incorporated inserts must contain a fixed message or be chalkboard. Dry erase boards are prohibited. Sandwich board signs shall not be used as merchandise display. E. The sandwich board sign must be located within five (5) feet of the building façade from which the permit holder unit is accessed or the building in which the permit holder is located. F. The sandwich board sign must be located on or adjacent to the parcel on which the permit holding business is located. G. A six (6) foot travel width must be maintained on sidewalks and pedestrian malls. This does not allow for signs aligned on edge with one another, creating a solid line of sandwich board signs. They may not be left out overnight. These signs may be maintained year-around. OPTION TWO One Per Building One sandwich board sign may be displayed per commercial building in which a restaurant or retail use is located. For buildings fronting two streets or for buildings containing more than eight (8) individually leased retail or restaurant uses, one (1) additional sandwich board sign may be permitted. A. For any business to display a sandwich board sign, the Community Development Department must receive a completed application along with appropriate fees as amended from time-to-time, and a signed letter of approval from the property owner or property manager. B. Applications for sandwich board permits must include all tenants of the building displaying content on the sandwich board sign. All applicants for a sandwich board sign must sign the permit application and include the contact information of all the businesses to be included on the sandwich board sign. P62 IX.a Exhibit B – Sandwich Board Sign Regulatory Options 2 C. Multiple businesses may be advertised on one sign. An annual permit must be obtained, and the permit must be displayed on the sign. D. Sandwich boards sign shall be shared among tenants of a building according to the following standards: 1. Only permit holding tenants may display messages on the sandwich board sign. 2. The total area of the sandwich board sign shall be shared equally among permit holding tenants. 3. Completed sandwich board permit applications must include the proposed design for the entire sandwich board sign at the time of submission. E. Sandwich board signs shall not exceed six (6) square feet per side, must be made primarily of wood, metal or acrylic, and have a professional finish. Sandwich board signs may not be illuminated in any way. F. Incorporated inserts must contain a fixed message or be chalkboard. Dry erase boards are prohibited. Sandwich board signs shall not be used as merchandise display. G. The sandwich board sign must be located within five (5) feet of the building in which the permit holder(s) is located. H. The sandwich board sign must be located on or adjacent to the parcel containing the permit holding business(es). I. A six (6) foot travel width must be maintained on sidewalks and pedestrian malls. This does not allow for signs aligned on edge with one another, creating a solid line of sandwich board signs. They may not be left out overnight. These signs may be maintained year-around. OPTION THREE One Year Permit Extension Extent the sunset date for existing sandwich board sign permits and enforcement by one year to September 28, 2019. This option does not necessitate additional Council discussion prior to the 2019 sunset date. This option simply delays the enforcement of the existing regulations for one year. P63 IX.a Regular Meeting Aspen City Council August 14, 2017 5 said she thinks the architecture needs to be reviewed. It is somewhat overbearing to the historic resource. She would like to see more discussion about that. She would like more discussion about depressing the ground floor. She would like more discussion about using cedar. She supports the 1,500 square foot maximum. Councilman Hauenstein asked have they extended the vesting. Ms. Phelan said it was approved in 2006. The recession hit and there were requests for extension of vesting for multiple projects in town. An extension was granted. During the court process the vesting was extended again. Councilman Hauenstein asked for more information on the employee mitigation and the loss of the one parking space. Councilman Frisch asked for more explanation in the pillow counts. He said it isn’t really changing much. The proposed layout works better than building much of the same units. The cap size is a worthy discussion. As long as it feels like it is a lodge and it is going to be a lodge is easier to focus on than a lodge in name only. He appreciates they are trying to take advantage of some of the small lodge incentives. It is a great project to utilize them. Mayor Skadron said he is interested in the relationship between programming and market expectation. It addresses the increased room size you are asking for. I would require a deed restriction to prevent conversion to condos but we can’t do that. He would like to discuss at the public hearing conditions of approval that speak to conversion in the future as well as expectations of transportation and parking. He asked about the escrow agreement of $250,000. Is that for the city’s protection. Mr. Bendon replied yes. Mayor Skadron asked for discussion on the benefits of the small lodge preservation program and more discussion on the contract purchaser agreement. At what point are you committed and moving forward. Councilman Frisch moved to read Ordinance #21, Series of 2017; seconded by Councilwoman Mullins. All in favor, motion carried. ORDINANCE NO. 21 SERIES OF 2017) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, APPROVING AN AMENDMENT TO A PLANNED DEVELOPMENT AND AN INSUBSTANTIAL AMENDMENT TO A GROWTH MANAGEMENT DEVELOPMENT ORDER, WITH CONDITIONS, FOR CHANGES TO A MIXED USE PROJECT CONTAINING LODGE, FREE-MARKET RESIDENTIAL UNITS AND AFFORDABLE HOUSING RESIDENTIAL UNITS ON THE PROPERTY LEGALLY DESCRIBED AS LOTS K, L, M, N, O, P, Q, R, AND S, BLOCK 31, ASPEN TOWNSITE AND COMMONLY KNOWN AS 500 W. HOPKINS AVE, CITY OF ASPEN, PITKIN COUNTY, COLORADO Councilman Frisch moved to adopt Ordinance #21, Series of 2017 on first reading; seconded by Councilwoman Mullins. Roll call vote. Councilmembers Frisch, yes; Mullins, yes; Hauenstein, yes; Myrin, yes; Mayor Skadron, yes. Motion carried. ORDINANCE #22, SERIES OF 2017 – Reed-Compliant Sign Code Update Jessica Garrow, community development, stated this update is mandated by the Supreme Court to make us Reed Compliant. There are two significant issues that staff needs more direction on including construction and sandwich board signs. Philip Supino, community development, said we are in month five of the Reed Compliant process. Second reading is scheduled for August 28. The goals are to comply with the court requirements, balance of community esthetics, maintain public health, commercial and non commercial opportunities, limit proliferation of excessive signage and meet informational, advertising, wayfinding and speech needs. Yard signs - The proposal contains one temporary sign, one holiday time, one real-estate and up to three election signs. Television displays – 180 square inches or larger must meet 15 foot set back requirement. P64 IX.a Regular Meeting Aspen City Council August 14, 2017 6 Added lighting standards for back lit signs. Window wraps and displays – allow up to 50 percent coverage. 25 percent may be text and logos. Full covered wraps are no longer permitted. No change to overall sign allotments. Banners would be made City property prior to being displayed. Construction site signs would be a uniform sign including City permitting info, contact info, project partners and visuals. Up to six safety, state and federally compliant signs would also be permitted. Construction site screening is not in the current draft. Example of the hotel Jerome. Staff asked for more direction from Council. What is art and what is signage. We can eliminate text and logos. Councilman Myrin said he likes what the Jerome has done. We can’t regulate the content. What is the downside if it is a content we don’t like. They are not up for a long time. If it was going to be there forever I would be concerned. I guess it is a risk I’m willing to take acknowledging we may get art we don’t like. Jim True, city attorney, said there are cases that suggest you can’t make the distinction between art and signage. Councilwoman Mullins said it is a risk to allow these to go up. We stick with the construction signs and leave it to that. She supports not to allow art work on the screening. Councilman Frisch said on one hand he is a supporter of the visual arts but it is a can of worms of epic proportions while it would be fun to do. We could take the aspen tree and this is what you get. A standardization is best. What is shown should be low heart burn to many and away from the brown paper bag. As much as I love to see variety and creativity I can see people making their art right now and it will not be pretty. I think we take a pretty picture and put it up there. Mr. True said I think you can clearly do that. Standardizing something like you are suggesting, I think we can handle and would be allowed. Councilman Hauenstein said he is tending more towards Adam. Would it be possible to have a few approved options if you want to display art. Mr. True said there is nothing wrong with having options. My initial reaction is there is nothing wrong with it. Legally I think we are covered. Mayor Skadron said he can live with the options. Sandwich boards Tied to second tier space and specific zone districts. One per tenant in the CC, C1, NC and MU. Staff mapped the locations of approved permits currently. If allowed for all businesses it could be almost 1,200 signs. In CC and C1 807 possible business could have one. In NC and SCI it could be 99. Second tier spaces on the malls are 54. Currently there is a 20 percent participation rate for businesses that can have a sandwich board. Staff feels there are different types of businesses in second tier spaces that may take advantage than those in prime spaces. Councilwoman Mullins said we have no control on the content. Mr. Supino replied that is correct. Councilwoman Mullins said during election season they could all become political signs. Mr. Supino said that is also correct. Ms. Garrow said we did a good deal of outreach on this. The business community wants everyone to be treated the same. Either everyone gets it or no one gets it. Councilman Frisch said having 800 or 1,200 is not beneficial. We are trying to figure out how not to ban them. I think the business owners are short sighted in wanting everyone treated the same. If we do need to do something the second tier space is of interest to me. Mr. Supino said on the malls it is 54 second tier spaces. We don’t have a good count everywhere else. If the participation rate were to stay the same it would be 11. If it were to double that would feel like a lot more signs. Councilman Frisch said we do need to be concerned about people thinking they could make revenue from renting their sign. Councilman Myrin asked can we do one per building or 30 feet of street frontage. That would maintain the feel of the quantity. The content would be up to the tenants of the building. Mr. True said we have P65 IX.a Regular Meeting Aspen City Council August 14, 2017 7 thought about one sign per building. I suppose you could fashion something around frontage along the right of way. Councilwoman Mullins asked if currently can we control the content. Ms. Garrow said it is tied to the business. Councilwoman Mullins said I thought there was no way we could restrict it the way Bert and Adam are suggesting. Mr. True said there is a little distinction between what they are suggesting and saying there are 30 signs here’s who gets them. Councilwoman Mullins said that is better than 800 signs. The bigger concern is we can’t control the content. Mayor Skadron said he would experiment with none for now. It creates a level playing field and slowly roll out a new program. Councilwoman Mullins agrees. Councilman Hauenstein asked if it is possible to limit the total number. He likes the second tier as a way to level the playing field and help find the business. Is there a way to limit the number of permits. Councilman Frisch said if we are not under the gun and the wheels of government turn slowly. I’m happy to focus on other stuff. Why don’t we focus on other stuff and let this brew a little. There are a lot of other things we have to work on. Mr. Supino said we can attempt to draft a few things for second reading to have a more informed discussion. Councilman Hauenstein said there are a lot of different sized signs out there can we uniform the size. Mr. Supino said there is a maximum size. Councilman Myrin asked if we could do it with a duration. Ms. Garrow replied it is a possibility. Councilwoman Mullins said for the construction wraps would it require a graphic and what is the additional cost to the contractor. Councilman Frisch said his preference is two or three choices if one is the brown my choice is no. Ms. Garrow said at a minimum we would need to phase in the art. Councilwoman Mullins said she would support brown as an option. Councilman Frisch moved to read Ordinance #22, Series of 2017; seconded by Councilman Myrin. All in favor, motion carried. ORDINANCE NO. 22 SERIES OF 2017) AN ORDINANCE OF THE ASPEN CITY COUNCIL ADOPTING CODE AMENDMENTS TO LAND USE CODE CHAPTER 26.510 – SIGNS AND PART 26.100.104 – DEFINITIONS. Councilwoman Mullins moved to adopt Ordinance #22, Series of 2017 on first reading; seconded by Councilman Frisch. Roll call vote. Councilmembers Hauenstein, yes; Myrin, yes; Mullins, yes; Frisch, yes; Mayor Skadron, yes. Motion carried. ORDINANCE #18, SERIES OF 2017 – Callahan Subdivision Lots 12 and 12A, Minor Subdivision, Lot Split; Minor Amendment to a Planned Development; and Removal of an Accessory Dwelling Unit. Ben Anderson, community development, told the Council the property is located on 1449 /1452 Crystal Lake Rd. This is for a lot split and two additional reviews including a minor amendment to the PD. It is an interesting shaped lot, double flag lot with a drive entrance. The main house is on lot 12 with a guest house on 12A. The property is currently considered a single lot and has been since 1976 when the subdivision was created. 1449 where the main house is located has a single family residence. 1452 with the guest house has two dwelling units including the ADU. The lots were drawn and labeled separately. The subdivision agreement has language where the lots are collectively designated and lot 12A is the guesthouse for lot 12. In 1976 we did not have the language for a guesthouse. P66 IX.a Regular Meeting Aspen City Council August 28, 2017 7 is the special review process. Mr. Barker said it is an additional review for requests associated with particular variations built into the Mixed Use zone. They are based on the context of the surrounding zone. He gave the example of additional parking provided within the site or surrounding vicinity. Councilman Hauenstein said for the parking reduction he generally does not like cash in lieu. He would rather see alternate mobility. Mr. Barker said they are not paying cash, HPC just reduced the parking by one. Councilman Frisch said he knows the existing building and it is in need of any in Aspen. This has basically been affordable housing just run by the free market. There is no doubt that if anyone wanted to build a free market condo they would have a hefty bill. There is some value in wheeling and dealing a bit. He is not sure he wants to get involved in calling this up based on the special review process. Councilman Myrin said he does not have much to say on the box. Mayor Skadron said he supports the HPC recommendation and is not desirous of a call up. Councilwoman Mullins said yes we want affordable housing but it seems like through the special review we would get a 1,500 square foot floor area increase and one foot higher and the elimination of one parking space. It is a really big package of incentives. It is also in the Main Street historic district. She would like to see it looked at again. Mayor Skadron said the mass and scale are in line with the neighboring properties. Councilman Frisch asked if the FAR has to do with the livability or did they capture more units. Mr. Barker said there would be less units on site. Councilman Frisch said APCHA has minimum units. Without the increase they wouldn’t meet them. Mr. Barker said there would be fewer units. The replacement requirements make them provide 8 units in one form or another. Ms. Garrow said this is under the old code. This is likely the last project you will see under these parameters. Councilman Frisch said he is fine with it as proposed. Mayor Skadron said this will not be called up. ORDINANCE #22, SERIES OF 2017 – Reed Compliant Sign Code Updates Phillip Supino, community development, stated this code amendment is a result of the Supreme Court decision Reed versus the Town of Gilbert in 2015 requiring sign codes to be content neutral. If you have to read the sign to determine if it complies with the code it is not content neutral. What can be regulated includes size, material, portability, commercial vs residential, number, time restriction and things like that. The policy goals include does it comply with the requirements of first amendment. Ensure appropriate balance of community ascetics. Maintain public health and safety. Limit the proliferation of excessive signs. Meet informational, advertising, wayfinding and speech needs. Direction received from Council to date. Unify construction site content. Develop concept and process for construction site screening art. Both of these live in the Construction Management Plan and will be a subsequent discussion. Provide options for sandwich board signs. Maintain the status quo or eliminate them. Mr. Supino provided four options: Eliminate sandwich boards which would result in zero. One per 30 linear feet of building frontage: There could be a possibility of 533 or 107 at the 20 percent participation rate. One per building: There could be a possibility of 241 or 48 at the 20 percent participation rate. One per second tier space tenant: There could be 1,197 or 240 at 20 percent participation rate. P67 IX.a Regular Meeting Aspen City Council August 28, 2017 8 Ms. Garrow said in analyzing this we took public feedback from businesses that they want to be treated fairly. Based off of that we recommend the eliminate option. It makes most sense because we can always ramp it back up. At this point, given what we have been trying to balance, we are at option one. Councilman Frisch said his direction is we drop the direction of sandwich boards for further study. His preference is to put it aside for the foreseeable future while we get more community input. Councilman Myrin asked on the Main Street banners, what happens to them at the end of the year. Ms. Garrow said they become property just for that time. We are maintaining the status quo. Councilman Hauenstein said for number six I think we can be flexible on the brightness on the new signs. He is good on most of these. For construction wraps use Maroon Bells or aspen trees. For all the other for construction make them minimal. The argument that everyone should be treated the same is a valid argument but people in the basement don’t have a window so they aren’t being treated equal. I want people in second tier businesses to be able to survive. I don’t want to open that can of worms at this point. I think sandwich boards have a valuable place in the community in getting people to businesses. We could always go back to option one. Councilwoman Mullins asked to have a sandwich board do people pay a fee. Ms. Garrow said they pay a sign permit. Councilwoman Mullins said she is ok with everything. The brown bag thing, I’ll go along with Council if they want the graphics. In terms of sandwich boards, I’ve never been crazy about them because they clutter the pedestrian way. There are several reasons why to eliminate them completely. Now they are used as a wayfinding tool. If they are rented out they are no longer a wayfinding tool. There is a big risk in trying to monitor the content. There are real inequality. How do you divide up the signs for a building with multiple tenants. They have lost their original function. She supports eliminating them. We can always review it again depending on the backlash. Mayor Skadron opened the public comment. There was none. Mayor Skadron closed the public comment. Mayor Skadron said there is some support for the second tier space and some to eliminate. The prudent thing is to follow option one and eliminate them. The issue as Ann said is it is hard to manage. He is concerned about proliferation of signage. We could have hundreds or thousands of signs. It is easier to allow more should we find a way to let that happen appropriately. He supports option one. There is also a suggestion to drop them from the entire discussion and pass the ordinance without them. Mr. True said the sandwich boards that are out there now have approval. If you eliminate them they are grandfathered and we would say they are good for one year from approval. Councilman Myrin said page 419 says September 28, 2018. He will support where Ann and Steve are. Mayor Skadron said that with great sensitivity with the issues it may cause to our small businesses. Ms. Garrow said the pieces related to construction signs will be flushed out related to construction management plan. Councilwoman Mullins moved to adopt Ordinance #22, Series of 2017; Seconded by Councilman Myrin. Roll call vote. Councilmembers Hauenstein yes; Myrin, yes; Frisch, no; Mullins, yes; Mayor Skadron, yes. Motion carried. EXECUTIVE SESSION – C.R.S. Section 24-6-402(4)(b) Conference with attorneys regarding pending litigation, Castle and Maroon Creek Diligence cases, C.R.s. 24-6-402 (e)(i) Determining positions relative to matters that may be subject to negotiations; developing strategy for negotiations, and C.R.S. 24-6- P68 IX.a TO: Mayor and City Council FROM: Phillip Supino, Principal Long THRU: Jessica Garrow, Community Development Director RE: Ordinance #24 MEETING DATE: September 17, 2018 _________________________________________________________________________ _____________________________________________________________________ SUMMARY: Ordinance 24, Series 2018 provides recommended code language to allow sandwich board signs under certain conditions. The objective of the proposed code amendments is to comply with the requirements of the United States Supreme Court decision in certain buildings and commercial locations to display sandwich board signs alternative code language permitting one sandwich board sign to be displayed per on per building under certain conditions. Council may discuss both options and open the public hearing for Ordinance 24 without taking specific action September 24, 2018. STAFF RECOMMENDATION: Staff recommends Council approve Ordinance 24, Series 2018 BACKGOUND: Council adopted Ordinance 22, 2017 Council meeting and the 8/14/17 First Reading hearing amendments were in response to the Ariz. (Reed) that municipal sign code regul must be focused on the size, type, loca displaying the signage. Simply stated, the Supreme Court ruled that if one must read the s determine if it complies, then the regulation At the time of adoption of Ordinance 22, 2018, the status quo” to the extent possible. addressing sandwich boards. Each option created challenges for meeting Council’ “maintain the status quo” relative to the old sign regulations. staff to eliminate sandwich board signs as a permitted sign type Memorandum Mayor and City Council Phillip Supino, Principal Long-Range Planner Jessica Garrow, Community Development Director 24, 2018: Reed-Compliant Sandwich Board Sign Regulations , 2018 _________________________________________________________________________ _____________________________________________________________________ Ordinance 24, Series 2018 provides recommended code language to allow sandwich board signs under The objective of the proposed code amendments is to comply with the requirements of the United States Supreme Court decision in Reed v. Town of Gilbert, Ariz. (2015) certain buildings and commercial locations to display sandwich board signs. Exhibit B includes alternative code language permitting one sandwich board sign to be displayed per ing under certain conditions. Council may discuss both options and open the public hearing for Ordinance 24 without taking specific action on either code option until the Second Reading on approve Ordinance 24, Series 2018 at First Reading. Council adopted Ordinance 22, 2017 on August 28th by a vote of four to one. (The minutes from that and the 8/14/17 First Reading hearing are attached as Exhibit C. amendments were in response to the June 2015, U.S. Supreme Court ruling in Reed v. Town of Gilbert, that municipal sign code regulations must be “content neutral”. This means must be focused on the size, type, location and appearance of signs, not the content of or entity displaying the signage. Simply stated, the Supreme Court ruled that if one must read the s regulation is not content neutral. Ordinance 22, 2018, Council’s over-arching policy objective was to “maintain the status quo” to the extent possible. Ultimately, staff provided Council with four options for addressing sandwich boards. Each option created challenges for meeting Council’ e to the old sign regulations. In Ordinance 22, 2017, signs as a permitted sign type. Council approved that ordinance Sandwich Board Sign Regulations _____________________________________________________________________________________ _____________________________________________________________________ Ordinance 24, Series 2018 provides recommended code language to allow sandwich board signs under The objective of the proposed code amendments is to comply with the requirements wn of Gilbert, Ariz. (2015), while permitting . Exhibit B includes alternative code language permitting one sandwich board sign to be displayed per second tier space or ing under certain conditions. Council may discuss both options and open the public hearing on either code option until the Second Reading on by a vote of four to one. (The minutes from that Exhibit C.) The code Reed v. Town of Gilbert, This means sign regulations tion and appearance of signs, not the content of or entity displaying the signage. Simply stated, the Supreme Court ruled that if one must read the sign to arching policy objective was to “maintain Ultimately, staff provided Council with four options for addressing sandwich boards. Each option created challenges for meeting Council’s policy directive to In Ordinance 22, 2017, Council directed . Council approved that ordinance 4-1 P69 IX.b Ordinance 24, 2018 - Sign Code Amendment, First Reading 2 and directed staff to delay enforcement of the new regulations until one year from the ordinance effective date, September 28, 2018. Beginning in June 2018, staff began reaching out to the business community to remind them of the pending change in sign regulation enforcement. Those efforts were successful at informing the business community. The current conversation about the sandwich board sign regulations is a direct outcome of staff’s early efforts at outreach. Which brings Council and staff to this hearing, providing Council with another opportunity to discuss the best course of action relative to sandwich board signs as September 28th approaches. DISCUSSION: Based on the outcome of the Policy Resolution discussion prior to this hearing, one of the regulatory options outlined in Exhibit B will be added to Resolution 127 and be used in Section 1 of Ordinance 24 to amend the Land Use Code. Exhibit B outlines three possible code amendments which Council may consider to permit the limited use of sandwich board signs by downtown businesses. Each option is Reed compliant and designed to achieve Council’s goals of supporting hard to find, second tier businesses while not permitting every business in the commercial core to display a sandwich board sign. The Policy Resolution memo further outlines the intent and possible consequences of each of the three regulatory options. A fourth option, not included in Exhibit B, is to take no action to amend the sign regulations and allow the existing sandwich board permits to expire on September 28th. PUBLIC OUTREACH: Beginning in July 2018, staff walked door to door in the commercial core. Their task was informing business of the regulatory change and offering one-on-one consultations for business owners on options available to them to meet their signage needs within the current sign code. Staff has also appeared this summer on the Grassroots T.V. broadcast City Matters to discuss the issues and remind the public of the 2017 code amendment process. This is in addition to an AspenCommunityVoice.com survey and coverage in local media in recent weeks, and the robust, four-month outreach process conducted in spring and summer 2017. The extensive outreach conducted over the last 16 months is in recognition of the perceived importance of the issue to the business community and exceeds the outreach requirements in the Land Use Code. The findings of the most recent community survey and door-to-door efforts, which have not yet concluded at the time of this writing, will be included in the staff presentation for the First Reading of Ordinance 24, 2018. RECOMMENDED MOTION (ALL MOTIONS ARE PROPOSED IN THE AFFIRMATIVE): “I move to approve Ordinance 24, Series 2018, at First Reading.” ATTACHMENTS: Exhibit A: Staff Findings Exhibit B: Sandwich Board Code Language Options Exhibit C: Council Meeting Minutes – 8/14/17 & 8/28/17 P70 IX.b 9/17/18 First Reading, Ordinance 24, Series 2018 Sandwich Board Sign Code Update Page 1 of 3 ORDINANCE No. 24 Series of 2018 AN ORDINANCE OF THE ASPEN CITY COUNCIL ADOPTING CODE AMENDMENTS TO LAND USE CODE CHAPTER 26.510 – SIGNS. WHEREAS, in accordance with Sections 26.208 and 26.310 of the City of Aspen Land Use Code, the City Council of the City of Aspen directed the Community Development Department to craft code amendments to amend the City’s sign regulations; and, WHEREAS, signs are a form of speech protected under the First Amendment to the Constitution of the United States, and a 2015 United States Supreme Court decision (Reed v. Town of Gilbert) requires local governments to review and revise their sign regulations to ensure that those regulations emphasize the dimensional, design and location of signs rather than their content; and, WHEREAS, pursuant to Section 26.310.020(B)(2), during a duly noticed public hearing on August 28, 2017, the City Council approved Ordinance 22, Series 2017, by a four to one (4-1) vote amending the land use code; and, WHEREAS, the City regulates signs to: · Protect the rights of all persons to freedom of expression; and, · Protect the unique aesthetics and visual heritage of the City; and, · Maintain public health, safety, and welfare by preventing sign clutter, distractions from roadways and obstructions from signage; and, · Provide opportunities for commercial and non-commercial signs in commercial and residential zone districts; and, · Limit the proliferation of excessive signs in commercial and residential zone districts; and, · Ensure that sign regulations are adequate to accommodate the informational, advertising, wayfinding and speech needs of residents, businesses and visitors. WHEREAS, the Community Development Department and consultants White & Smith, LLC conducted research into national best practices regarding sign code compliance with First Amendment principles to aid in the drafting of Ordinance 22, Series 2018; and, WHEREAS, pursuant to Section 26.310.020(B)(1), the Community Development Department conducted Public Outreach with community members and stakeholders, the Planning & Zoning Commission, the Historic Preservation Commission, and City Council regarding the amendments to the sign code; and, WHEREAS, the Aspen City Council met in work sessions on August 21, 2018 and provided direction on potential amendments to the City’s sign regulations related to sandwich board signs; and P71 IX.b 9/17/18 First Reading, Ordinance 24, Series 2018 Sandwich Board Sign Code Update Page 2 of 3 WHEREAS, amending the Land Use Code to comply with First Amendment principles and allow for the limited use of sandwich board signs will ensure the ongoing effectiveness and viability of the sign regulations within the City of Aspen Land Use Code; and, WHEREAS, pursuant to Section 26.310.020(B)(2), during a duly noticed public hearing on September 17, 2018, the City Council approved Resolution 127, Series 2018, by a five to zero (5-0) vote to direct staff to amend the land use code; and, WHEREAS, City Council has reviewed the proposed code amendment policy direction, and finds it meets the criteria outlined in Section 26.310.040; and, WHEREAS, the Aspen City Council finds that this Ordinance furthers and is necessary for the promotion of public health safety and welfare; and NOW THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ASPEN COLORADO THAT: Section 1. Chapter 26.510.110 shall be amended as follows: 26.510.110 Sandwich board signs A. Insert second-tier space sign code language here… Section 3: Any scrivener’s errors contained in the code amendments herein, including but not limited to mislabeled subsections or titles, may be corrected administratively following adoption of the Ordinance. Section 4: Effect Upon Existing Litigation. This ordinance shall not affect any existing litigation and shall not operate as an abatement of any action or proceeding now pending under or by virtue of the ordinances repealed or amended as herein provided, and the same shall be conducted and concluded under such prior ordinances. Section 5: Severability. If any section, subsection, sentence, clause, phrase, or portion of this ordinance is for any reason held invalid or unconstitutional in a court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and shall not affect the validity of the remaining portions thereof. Section 6: Effective Date. In accordance with Section 4.9 of the City of Aspen Home Rule Charter, this ordinance shall become effective thirty (30) days following final passage. Section 7: A public hearing on this ordinance shall be held on the ____ day of _____, 2018, at a meeting of the Aspen City Council commencing at 5:00 p.m. in the City Council Chambers, Aspen City Hall, Aspen, Colorado, a minimum of fifteen days prior to which hearing a public notice of the same shall be published in a newspaper of general circulation within the City of Aspen. P72 IX.b 9/17/18 First Reading, Ordinance 24, Series 2018 Sandwich Board Sign Code Update Page 3 of 3 INTRODUCED, READ, AND ORDERED PUBLISHED as provided by law, by the City Council of the City of Aspen on the _____ day of _____, 2018. Attest: _____________________________ ____________________________ Linda Manning, City Clerk Steven Skadron, Mayor FINALLY, adopted, passed and approved this _____th day of _____, 2018. Attest: _____________________________ ____________________________ Linda Manning, City Clerk Steven Skadron, Mayor Approved as to form: _____________________________ James R. True, City Attorney P73 IX.b Sandwich Board Sign Code Staff Findings– September 17, 2018 Page 1 of 1 Exhibit A: Staff Findings 26.310.040. Amendments to the Land Use Code standards of review – Initiation In reviewing a request to pursue an amendment to the text of this Title, per Section 26.310.020(B)(2), Step Two – Public Hearing before City Council, the City Council shall consider: A. Whether there exists a community interest to pursue the amendment. Staff Findings: Staff believes there is a community interest in amending the Land Use Code (LUC) to permit certain sign types in accordance with the requirements of the U.S. Supreme Court Case Reed v. Town of Gilbert, Ariz. The proposed amendments ensure that the sign code balances community aesthetics with the commercial, directional, and informational benefits of signage. The proposed amendments also ensure that the City’s sign regulations remain in compliance with federal legal requirements. B. Whether the objectives of the proposed amendment furthers an adopted policy, community goal, or objective of the City including, but not limited to, those stated in the Aspen Area Community Plan. Staff Findings: It is the objective of Council and City staff to ensure that the legality of the sign regulations in the Land Use Code is maintained. Furthermore, it is the goal of Council to ensure that the public is provided with access to commercial, civic, and wayfinding information in a manner that enhances public health, safety and welfare while preserving community aesthetics. These goals are supported by the following Aspen Area Community Plan Policies: · V.2 Facilitate the sustainability of essential businesses that provide basic community needs. · V.3 Ensure that the City Land Use Code results in development that reflects our architectural heritage in terms of site coverage, mass, scale, density and a diversity of heights, in order to: o Create certainty in land development. o Prioritize maintaining our mountain views. o Protect our small town community character and historical heritage. o Limit consumption of energy and building materials. o Limit the burden on public infrastructure and ongoing public operating costs. o Reduce short- and long-term job generation impacts, such as traffic congestion, and demand for affordable housing. C. Whether the objectives of the proposed amendment are compatible with the community character of the City and in harmony with the public interest and the purpose and intent of this Title. Staff Findings: The proposed policies and code amendments support and enhance community character by balancing community aesthetics with the value of commercial, civic, safety, and wayfinding signage in appropriate quantities and locations. Further, the proposed policies and code amendments ensure the ongoing effectiveness and viability of the City’s sign regulations by ensuring their compliance with the requirements of the Reed decision. P74 IX.b Exhibit B – Sandwich Board Sign Regulatory Options 1 Exhibit B: Sandwich Board Sign Language for Code Section 26.515.100 “Sandwich Boards” OPTION ONE One Per Second Tier Unit One (1) sandwich board sign may be displayed per individually leasable commercial unit which meets the definition of Second Tier Space, and which is located in a building containing and restaurant or retail use. A. For any business to display a sandwich board sign, the Community Development Department must receive a completed application along with appropriate fees as amended from time-to-time, and a signed letter of approval from the property owner or property manager. B. Sandwich board signs shall not exceed six (6) square feet per side, must be made primarily of wood, metal or acrylic, and have a professional finish. Sandwich board signs may not be illuminated in any way. C. Multiple businesses may be advertised on one sign. An annual permit must be obtained, and the permit number must be displayed on the sign. D. Incorporated inserts must contain a fixed message or be chalkboard. Dry erase boards are prohibited. Sandwich board signs shall not be used as merchandise display. E. The sandwich board sign must be located within five (5) feet of the building façade from which the permit holder unit is accessed or the building in which the permit holder is located. F. The sandwich board sign must be located on or adjacent to the parcel on which the permit holding business is located. G. A six (6) foot travel width must be maintained on sidewalks and pedestrian malls. This does not allow for signs aligned on edge with one another, creating a solid line of sandwich board signs. They may not be left out overnight. These signs may be maintained year-around. OPTION TWO One Per Building One sandwich board sign may be displayed per commercial building in which a restaurant or retail use is located. For buildings fronting two streets or for buildings containing more than eight (8) individually leased retail or restaurant uses, one (1) additional sandwich board sign may be permitted. A. For any business to display a sandwich board sign, the Community Development Department must receive a completed application along with appropriate fees as amended from time-to-time, and a signed letter of approval from the property owner or property manager. B. Applications for sandwich board permits must include all tenants of the building displaying content on the sandwich board sign. All applicants for a sandwich board sign must sign the permit application and include the contact information of all the businesses to be included on the sandwich board sign. P75 IX.b Exhibit B – Sandwich Board Sign Regulatory Options 2 C. Multiple businesses may be advertised on one sign. An annual permit must be obtained, and the permit must be displayed on the sign. D. Sandwich boards sign shall be shared among tenants of a building according to the following standards: 1. Only permit holding tenants may display messages on the sandwich board sign. 2. The total area of the sandwich board sign shall be shared equally among permit holding tenants. 3. Completed sandwich board permit applications must include the proposed design for the entire sandwich board sign at the time of submission. E. Sandwich board signs shall not exceed six (6) square feet per side, must be made primarily of wood, metal or acrylic, and have a professional finish. Sandwich board signs may not be illuminated in any way. F. Incorporated inserts must contain a fixed message or be chalkboard. Dry erase boards are prohibited. Sandwich board signs shall not be used as merchandise display. G. The sandwich board sign must be located within five (5) feet of the building in which the permit holder(s) is located. H. The sandwich board sign must be located on or adjacent to the parcel containing the permit holding business(es). I. A six (6) foot travel width must be maintained on sidewalks and pedestrian malls. This does not allow for signs aligned on edge with one another, creating a solid line of sandwich board signs. They may not be left out overnight. These signs may be maintained year-around. OPTION THREE One Year Permit Extension Extent the sunset date for existing sandwich board sign permits and enforcement by one year to September 28, 2019. This option does not necessitate additional Council discussion prior to the 2019 sunset date. This option simply delays the enforcement of the existing regulations for one year. P76 IX.b Regular Meeting Aspen City Council August 14, 2017 5 said she thinks the architecture needs to be reviewed. It is somewhat overbearing to the historic resource. She would like to see more discussion about that. She would like more discussion about depressing the ground floor. She would like more discussion about using cedar. She supports the 1,500 square foot maximum. Councilman Hauenstein asked have they extended the vesting. Ms. Phelan said it was approved in 2006. The recession hit and there were requests for extension of vesting for multiple projects in town. An extension was granted. During the court process the vesting was extended again. Councilman Hauenstein asked for more information on the employee mitigation and the loss of the one parking space. Councilman Frisch asked for more explanation in the pillow counts. He said it isn’t really changing much. The proposed layout works better than building much of the same units. The cap size is a worthy discussion. As long as it feels like it is a lodge and it is going to be a lodge is easier to focus on than a lodge in name only. He appreciates they are trying to take advantage of some of the small lodge incentives. It is a great project to utilize them. Mayor Skadron said he is interested in the relationship between programming and market expectation. It addresses the increased room size you are asking for. I would require a deed restriction to prevent conversion to condos but we can’t do that. He would like to discuss at the public hearing conditions of approval that speak to conversion in the future as well as expectations of transportation and parking. He asked about the escrow agreement of $250,000. Is that for the city’s protection. Mr. Bendon replied yes. Mayor Skadron asked for discussion on the benefits of the small lodge preservation program and more discussion on the contract purchaser agreement. At what point are you committed and moving forward. Councilman Frisch moved to read Ordinance #21, Series of 2017; seconded by Councilwoman Mullins. All in favor, motion carried. ORDINANCE NO. 21 SERIES OF 2017) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, APPROVING AN AMENDMENT TO A PLANNED DEVELOPMENT AND AN INSUBSTANTIAL AMENDMENT TO A GROWTH MANAGEMENT DEVELOPMENT ORDER, WITH CONDITIONS, FOR CHANGES TO A MIXED USE PROJECT CONTAINING LODGE, FREE-MARKET RESIDENTIAL UNITS AND AFFORDABLE HOUSING RESIDENTIAL UNITS ON THE PROPERTY LEGALLY DESCRIBED AS LOTS K, L, M, N, O, P, Q, R, AND S, BLOCK 31, ASPEN TOWNSITE AND COMMONLY KNOWN AS 500 W. HOPKINS AVE, CITY OF ASPEN, PITKIN COUNTY, COLORADO Councilman Frisch moved to adopt Ordinance #21, Series of 2017 on first reading; seconded by Councilwoman Mullins. Roll call vote. Councilmembers Frisch, yes; Mullins, yes; Hauenstein, yes; Myrin, yes; Mayor Skadron, yes. Motion carried. ORDINANCE #22, SERIES OF 2017 – Reed-Compliant Sign Code Update Jessica Garrow, community development, stated this update is mandated by the Supreme Court to make us Reed Compliant. There are two significant issues that staff needs more direction on including construction and sandwich board signs. Philip Supino, community development, said we are in month five of the Reed Compliant process. Second reading is scheduled for August 28. The goals are to comply with the court requirements, balance of community esthetics, maintain public health, commercial and non commercial opportunities, limit proliferation of excessive signage and meet informational, advertising, wayfinding and speech needs. Yard signs - The proposal contains one temporary sign, one holiday time, one real-estate and up to three election signs. Television displays – 180 square inches or larger must meet 15 foot set back requirement. P77 IX.b Regular Meeting Aspen City Council August 14, 2017 6 Added lighting standards for back lit signs. Window wraps and displays – allow up to 50 percent coverage. 25 percent may be text and logos. Full covered wraps are no longer permitted. No change to overall sign allotments. Banners would be made City property prior to being displayed. Construction site signs would be a uniform sign including City permitting info, contact info, project partners and visuals. Up to six safety, state and federally compliant signs would also be permitted. Construction site screening is not in the current draft. Example of the hotel Jerome. Staff asked for more direction from Council. What is art and what is signage. We can eliminate text and logos. Councilman Myrin said he likes what the Jerome has done. We can’t regulate the content. What is the downside if it is a content we don’t like. They are not up for a long time. If it was going to be there forever I would be concerned. I guess it is a risk I’m willing to take acknowledging we may get art we don’t like. Jim True, city attorney, said there are cases that suggest you can’t make the distinction between art and signage. Councilwoman Mullins said it is a risk to allow these to go up. We stick with the construction signs and leave it to that. She supports not to allow art work on the screening. Councilman Frisch said on one hand he is a supporter of the visual arts but it is a can of worms of epic proportions while it would be fun to do. We could take the aspen tree and this is what you get. A standardization is best. What is shown should be low heart burn to many and away from the brown paper bag. As much as I love to see variety and creativity I can see people making their art right now and it will not be pretty. I think we take a pretty picture and put it up there. Mr. True said I think you can clearly do that. Standardizing something like you are suggesting, I think we can handle and would be allowed. Councilman Hauenstein said he is tending more towards Adam. Would it be possible to have a few approved options if you want to display art. Mr. True said there is nothing wrong with having options. My initial reaction is there is nothing wrong with it. Legally I think we are covered. Mayor Skadron said he can live with the options. Sandwich boards Tied to second tier space and specific zone districts. One per tenant in the CC, C1, NC and MU. Staff mapped the locations of approved permits currently. If allowed for all businesses it could be almost 1,200 signs. In CC and C1 807 possible business could have one. In NC and SCI it could be 99. Second tier spaces on the malls are 54. Currently there is a 20 percent participation rate for businesses that can have a sandwich board. Staff feels there are different types of businesses in second tier spaces that may take advantage than those in prime spaces. Councilwoman Mullins said we have no control on the content. Mr. Supino replied that is correct. Councilwoman Mullins said during election season they could all become political signs. Mr. Supino said that is also correct. Ms. Garrow said we did a good deal of outreach on this. The business community wants everyone to be treated the same. Either everyone gets it or no one gets it. Councilman Frisch said having 800 or 1,200 is not beneficial. We are trying to figure out how not to ban them. I think the business owners are short sighted in wanting everyone treated the same. If we do need to do something the second tier space is of interest to me. Mr. Supino said on the malls it is 54 second tier spaces. We don’t have a good count everywhere else. If the participation rate were to stay the same it would be 11. If it were to double that would feel like a lot more signs. Councilman Frisch said we do need to be concerned about people thinking they could make revenue from renting their sign. Councilman Myrin asked can we do one per building or 30 feet of street frontage. That would maintain the feel of the quantity. The content would be up to the tenants of the building. Mr. True said we have P78 IX.b Regular Meeting Aspen City Council August 14, 2017 7 thought about one sign per building. I suppose you could fashion something around frontage along the right of way. Councilwoman Mullins asked if currently can we control the content. Ms. Garrow said it is tied to the business. Councilwoman Mullins said I thought there was no way we could restrict it the way Bert and Adam are suggesting. Mr. True said there is a little distinction between what they are suggesting and saying there are 30 signs here’s who gets them. Councilwoman Mullins said that is better than 800 signs. The bigger concern is we can’t control the content. Mayor Skadron said he would experiment with none for now. It creates a level playing field and slowly roll out a new program. Councilwoman Mullins agrees. Councilman Hauenstein asked if it is possible to limit the total number. He likes the second tier as a way to level the playing field and help find the business. Is there a way to limit the number of permits. Councilman Frisch said if we are not under the gun and the wheels of government turn slowly. I’m happy to focus on other stuff. Why don’t we focus on other stuff and let this brew a little. There are a lot of other things we have to work on. Mr. Supino said we can attempt to draft a few things for second reading to have a more informed discussion. Councilman Hauenstein said there are a lot of different sized signs out there can we uniform the size. Mr. Supino said there is a maximum size. Councilman Myrin asked if we could do it with a duration. Ms. Garrow replied it is a possibility. Councilwoman Mullins said for the construction wraps would it require a graphic and what is the additional cost to the contractor. Councilman Frisch said his preference is two or three choices if one is the brown my choice is no. Ms. Garrow said at a minimum we would need to phase in the art. Councilwoman Mullins said she would support brown as an option. Councilman Frisch moved to read Ordinance #22, Series of 2017; seconded by Councilman Myrin. All in favor, motion carried. ORDINANCE NO. 22 SERIES OF 2017) AN ORDINANCE OF THE ASPEN CITY COUNCIL ADOPTING CODE AMENDMENTS TO LAND USE CODE CHAPTER 26.510 – SIGNS AND PART 26.100.104 – DEFINITIONS. Councilwoman Mullins moved to adopt Ordinance #22, Series of 2017 on first reading; seconded by Councilman Frisch. Roll call vote. Councilmembers Hauenstein, yes; Myrin, yes; Mullins, yes; Frisch, yes; Mayor Skadron, yes. Motion carried. ORDINANCE #18, SERIES OF 2017 – Callahan Subdivision Lots 12 and 12A, Minor Subdivision, Lot Split; Minor Amendment to a Planned Development; and Removal of an Accessory Dwelling Unit. Ben Anderson, community development, told the Council the property is located on 1449 /1452 Crystal Lake Rd. This is for a lot split and two additional reviews including a minor amendment to the PD. It is an interesting shaped lot, double flag lot with a drive entrance. The main house is on lot 12 with a guest house on 12A. The property is currently considered a single lot and has been since 1976 when the subdivision was created. 1449 where the main house is located has a single family residence. 1452 with the guest house has two dwelling units including the ADU. The lots were drawn and labeled separately. The subdivision agreement has language where the lots are collectively designated and lot 12A is the guesthouse for lot 12. In 1976 we did not have the language for a guesthouse. P79 IX.b Regular Meeting Aspen City Council August 28, 2017 7 is the special review process. Mr. Barker said it is an additional review for requests associated with particular variations built into the Mixed Use zone. They are based on the context of the surrounding zone. He gave the example of additional parking provided within the site or surrounding vicinity. Councilman Hauenstein said for the parking reduction he generally does not like cash in lieu. He would rather see alternate mobility. Mr. Barker said they are not paying cash, HPC just reduced the parking by one. Councilman Frisch said he knows the existing building and it is in need of any in Aspen. This has basically been affordable housing just run by the free market. There is no doubt that if anyone wanted to build a free market condo they would have a hefty bill. There is some value in wheeling and dealing a bit. He is not sure he wants to get involved in calling this up based on the special review process. Councilman Myrin said he does not have much to say on the box. Mayor Skadron said he supports the HPC recommendation and is not desirous of a call up. Councilwoman Mullins said yes we want affordable housing but it seems like through the special review we would get a 1,500 square foot floor area increase and one foot higher and the elimination of one parking space. It is a really big package of incentives. It is also in the Main Street historic district. She would like to see it looked at again. Mayor Skadron said the mass and scale are in line with the neighboring properties. Councilman Frisch asked if the FAR has to do with the livability or did they capture more units. Mr. Barker said there would be less units on site. Councilman Frisch said APCHA has minimum units. Without the increase they wouldn’t meet them. Mr. Barker said there would be fewer units. The replacement requirements make them provide 8 units in one form or another. Ms. Garrow said this is under the old code. This is likely the last project you will see under these parameters. Councilman Frisch said he is fine with it as proposed. Mayor Skadron said this will not be called up. ORDINANCE #22, SERIES OF 2017 – Reed Compliant Sign Code Updates Phillip Supino, community development, stated this code amendment is a result of the Supreme Court decision Reed versus the Town of Gilbert in 2015 requiring sign codes to be content neutral. If you have to read the sign to determine if it complies with the code it is not content neutral. What can be regulated includes size, material, portability, commercial vs residential, number, time restriction and things like that. The policy goals include does it comply with the requirements of first amendment. Ensure appropriate balance of community ascetics. Maintain public health and safety. Limit the proliferation of excessive signs. Meet informational, advertising, wayfinding and speech needs. Direction received from Council to date. Unify construction site content. Develop concept and process for construction site screening art. Both of these live in the Construction Management Plan and will be a subsequent discussion. Provide options for sandwich board signs. Maintain the status quo or eliminate them. Mr. Supino provided four options: Eliminate sandwich boards which would result in zero. One per 30 linear feet of building frontage: There could be a possibility of 533 or 107 at the 20 percent participation rate. One per building: There could be a possibility of 241 or 48 at the 20 percent participation rate. One per second tier space tenant: There could be 1,197 or 240 at 20 percent participation rate. P80 IX.b Regular Meeting Aspen City Council August 28, 2017 8 Ms. Garrow said in analyzing this we took public feedback from businesses that they want to be treated fairly. Based off of that we recommend the eliminate option. It makes most sense because we can always ramp it back up. At this point, given what we have been trying to balance, we are at option one. Councilman Frisch said his direction is we drop the direction of sandwich boards for further study. His preference is to put it aside for the foreseeable future while we get more community input. Councilman Myrin asked on the Main Street banners, what happens to them at the end of the year. Ms. Garrow said they become property just for that time. We are maintaining the status quo. Councilman Hauenstein said for number six I think we can be flexible on the brightness on the new signs. He is good on most of these. For construction wraps use Maroon Bells or aspen trees. For all the other for construction make them minimal. The argument that everyone should be treated the same is a valid argument but people in the basement don’t have a window so they aren’t being treated equal. I want people in second tier businesses to be able to survive. I don’t want to open that can of worms at this point. I think sandwich boards have a valuable place in the community in getting people to businesses. We could always go back to option one. Councilwoman Mullins asked to have a sandwich board do people pay a fee. Ms. Garrow said they pay a sign permit. Councilwoman Mullins said she is ok with everything. The brown bag thing, I’ll go along with Council if they want the graphics. In terms of sandwich boards, I’ve never been crazy about them because they clutter the pedestrian way. There are several reasons why to eliminate them completely. Now they are used as a wayfinding tool. If they are rented out they are no longer a wayfinding tool. There is a big risk in trying to monitor the content. There are real inequality. How do you divide up the signs for a building with multiple tenants. They have lost their original function. She supports eliminating them. We can always review it again depending on the backlash. Mayor Skadron opened the public comment. There was none. Mayor Skadron closed the public comment. Mayor Skadron said there is some support for the second tier space and some to eliminate. The prudent thing is to follow option one and eliminate them. The issue as Ann said is it is hard to manage. He is concerned about proliferation of signage. We could have hundreds or thousands of signs. It is easier to allow more should we find a way to let that happen appropriately. He supports option one. There is also a suggestion to drop them from the entire discussion and pass the ordinance without them. Mr. True said the sandwich boards that are out there now have approval. If you eliminate them they are grandfathered and we would say they are good for one year from approval. Councilman Myrin said page 419 says September 28, 2018. He will support where Ann and Steve are. Mayor Skadron said that with great sensitivity with the issues it may cause to our small businesses. Ms. Garrow said the pieces related to construction signs will be flushed out related to construction management plan. Councilwoman Mullins moved to adopt Ordinance #22, Series of 2017; Seconded by Councilman Myrin. Roll call vote. Councilmembers Hauenstein yes; Myrin, yes; Frisch, no; Mullins, yes; Mayor Skadron, yes. Motion carried. EXECUTIVE SESSION – C.R.S. Section 24-6-402(4)(b) Conference with attorneys regarding pending litigation, Castle and Maroon Creek Diligence cases, C.R.s. 24-6-402 (e)(i) Determining positions relative to matters that may be subject to negotiations; developing strategy for negotiations, and C.R.S. 24-6- P81 IX.b Page 1 of 9 MEMORANDUM TO: Mayor Skadron and City Council FROM: Amy Simon, Historic Preservation Officer THROUGH: Jessica Garrow, Community Development Director MEETING DATE: September 17, 2018 RE: Policy Resolution: Historic Preservation Benefits Resolution #108, Series 2018 SUMMARY: The attached Resolution#108, Series of 2018 describes policy direction for code amendments to various sections of the City of Aspen Land Use Code, including Historic Preservation, Growth Management Quota System, Transferable Development Rights, and Zone Districts. The objective of the proposed code amendments is to improve the historic preservation benefits, in place since 1987, to align with current policies reflected in the Historic Preservation Design Guidelines, and with philosophies of the Historic Preservation Commission, City Council and the community developed after three decades of experience in the implementation of the benefits. If the Policy Resolution is approved, staff will draft an ordinance for Council’s consideration to amend the Land Use Code is accordance with the policies contained in the attached resolution. First Reading is tentatively scheduled for September 24th and Second Reading on October 8th. STAFF RECOMMENDATION: Staff recommends approval of the proposed resolution. REQUEST OF COUNCIL: This meeting is to review potential changes to the Land Use Code sections connected to historic preservation. Pursuant to Land Use Code Section 26.310, City Council is the final review authority for all code amendments. All code amendments are subject to a three-step process. This is the second step in the process: 1. Public Outreach. 2. Policy Resolution by City Council indicating if an amendment should be pursued. 3. Public Hearings on Ordinance outlining specific code amendments. P82 X.a Page 2 of 9 BACKGROUND: Aspen has a rich history of historic preservation, with the first preservation ordinance adopted in 1972. Shortly thereafter, the Historic Preservation Commission (HPC) was created and two historic districts – the Commercial Core and Main Street - were established. With the guidance of HPC and Staff, Council developed the “City of Aspen Inventory of Historic Landmark Sites and Structures” listing significant historic resources that meet the criteria for historic designation and protection. Today, the Inventory contains 300 properties from both Victorian and Modern eras. All of these properties are required to go through a more rigorous and time intensive review than similar non-historic properties. Based on the adopted Historic Preservation Design Guidelines, HPC and City preservation staff are given the powers and duties to review and approve, approve with conditions, or to disapprove work on properties listed in the Inventory. HPC and Council can grant certain benefits for listed resources as an incentive for maintaining, preserving, and enhancing the historic property. The intent for these benefits is to encourage best historic preservation practices. The 2012 Aspen Area Community Plan states as a Policy “Ensure that the historic preservation benefits package encourages owners of landmark properties to preserve structures to the highest possible degree of historic integrity while minimizing adverse impacts to the neighborhood.” It also states “Encourage the use of the City’s Historic Transferable Development Right program as a method of preserving the historic integrity of designated structures.” Most of the historic preservation benefits have been in place since a major expansion of the preservation program occurred in 1987. Few amendments have been made to the benefits since that time. The Historic Landmark Lot Split and Transferrable Development Rights are more recent additions that were creative approaches to reducing the pressure to add on to a historic structure. Staff believes that benefits for historic preservation have been critical to transforming the view of historic designation from a burden, as it was seen in the 80s. The fact that private property owners have remained interested in revitalizing historic sites over the last three decades since benefits were adopted is a credit to the community. More than 100 outstanding historic preservation projects have received awards from HPC in this time, and the City has received recognition from the State Historical Society and was recognized as Historic Preservation Commission of the Year by the National Alliance of Preservation Commissions for the pro-active and successful policies that have been implemented in Aspen. City staff has been invited to speak about Aspen’s historic preservation benefits at State and National conferences, where the program is viewed as a model for others to follow. This said, staff and HPC acknowledge that not all historic preservation projects have successfully balanced development and community benefit. In 2017, Council provided direction to examine the preservation benefits. There are a number of amendments to the historic preservation benefits that could potentially improve outcomes without unnecessarily threatening the positive aspects of the program. There are many remaining opportunities to restore buildings which may have been destructively altered prior to historic preservation policies being adopted. Of the approximately 2,000 parcels of land in Aspen, only P83 X.a Page 3 of 9 300 contain historic resources. The preservation program creates an opportunity for partnership between the City and property owners to help the maintain Aspen’s valued historic character. OVERVIEW: Below is a complete list of preservation benefits as outlined in the Municipal Code and those sections proposed for code amendments in the attached Policy Resolution are highlighted. The public notice for this Policy Resolution covered all Chapters of the Municipal Code regulating preservation, so Council has the ability to amend any benefit. Description Amendments Proposed A Historic Landmark Lot Split may allow subdivision of property B Increased Density may allow two detached single-family dwelling units or duplex on smaller lot X C Variations may allow development in side, rear and front setbacks, development that does not meet min. distance between buildings, up to 5% additional site coverage, less public amenity for commercial historic properties. D Parking reduction/fee waiver reductions on sites unable to accommodate E Conditional Uses depending on zone districts F Floor Area Bonus may grant up to 500 sq. ft. for projects that demonstrate exemplary HP practices X G Growth Management Quota System Exemption may be exempt or reduced X H Waiver of impact fees may be eligible for impact fee waiver I Rehabilitation Loan Fund zero interest loan for urgent repairs J Conservation easement program easement which may create tax benefits K City-Owned Building Rehabilitation fund maintenance of historic assets owned by the City accommodated in Asset Management Plan L Transferable Development Rights (TDR) undeveloped floor area to be relocated to a different property within the city X M Tax credit applications 20% state income tax credit X P84 X.a Page 4 of 9 N Community-initiated development opportunity for public/private partnership O Building Code flexibility flexibility in options for Building Code compliance P Contractor Training required training for all preservation projects Q Cultural Heritage Tourism websites, tours and other outreach efforts undertaken when possible R Preservation Honor Awards held annually in May S Historic Markers occasionally provided by City T Work Sessions can be held by HPC for qualifying projects PROPOSED AMENDMENTS: The following sections correspond to the sections in the Policy Resolution. Section 1: Overall Code Amendment Objectives This section of Resolution #108 outlines the high-level goals for each of the sections proposed for amendment. These goals reflect the input staff has received from HPC, Council, the general public and identified stakeholders. These include ensuring continued preservation of all historic resources, ensuring that historic preservation projects appropriately balance development opportunities and community benefits. Section 2: Historic Preservation, Chapter 26.415 This section proposes amendments to the main Historic Preservation Chapter, including amendments related to density and floor area increases, as well as tax credit applications. The policy goal for the amendments to this Chapter of the Municipal Code is “raise the bar” and focus specifically on direct preservation of the historic resource and actions which are beyond standard expectations. The criteria are to focus on benefits that allow a historic resource to be expanded only minimally, with most new square footage in a detached structure or transferred off the site. The floor area bonus should not just facilitate a larger addition to a historic structure. The criteria must define and reward exemplary preservation work and improve outcomes by more clearly communicating what qualifies for the bonus before an applicant makes the investment of designing it into their project. With regard to the tax credit, the goal is to reduce in house workload and responsibility for implementing regulations created by other agencies. 1. Increased Density, Section 26.415.110.B: This benefit allows, by right, two detached single-family dwelling units or a duplex on a smaller lot than would be possible if the parcel was not designated historic. HPC believes that this can be a very good preservation outcome because any benefit that P85 X.a Page 5 of 9 makes it possible to detach new construction from the historic resource (in this case in the form of a second residential unit on the site) helps to retain the integrity of the resource. Both staff and HPC recommend one particular change to this benefit. By taking advantage of building a second residential unit on a site, there is typically an automatic increase in allowable floor area by a few hundred feet, depending on lot size. HPC feels that a property that receives this increase in floor area should not also be eligible for an additional floor area bonus, creating a “double dip.” If the increase allowed by zoning is less than 500 square feet, HPC is open to a property owner earning no more than the “short-fall” as a bonus. 2. Floor Area Bonus, Section 26.415.110.F: HPC may grant up to 500 sq. ft. of additional floor area for projects that demonstrate exemplary HP practices. Projects currently must demonstrate at least one of the following criteria are met: 1. Design of project meets all applicable design guidelines; 2. Historic building is the key element of the property and the addition is incorporated in a manner that maintains the visual integrity of the historic building; 3. Work restores the existing portion of the building to its historic appearance; 4. New construction reflects proportional patterns found in the historic building’s form, materials or openings; 5. Construction materials are of the highest quality; 6. Appropriate transition defines the old and new; 7. Project retains historic outbuildings; and/or 8. Notable historic site and landscape features are retained. HPC recognizes this as the most valuable of all of the incentives, and the one that has the most potential to motivate excellent preservation. HPC does not want this benefit eliminated but has a number of ideas for possible adjustments, including: • Amend the floor area bonus so it is not the same for all lot sizes. The existing sliding scale for by-right floor area already allows a disproportionately large amount of square footage on small lots and HPC does not wish to aggravate this. HPC suggests that small lots should be eligible for less bonus area than larger lots to avoid overdeveloping a property. • Update the criteria for the floor area bonus and require more criteria to be met. Some of the criteria address actions any applicant would likely take and should not earn an extra award, such as using high quality exterior materials on a new addition. Improved criteria should reward work that is above and beyond the minimum treatment expected for a historic structure. For instance, keeping a historic porch in good repair is a required treatment, not necessarily eligible for the award of a bonus. Re-opening P86 X.a Page 6 of 9 an enclosed porch is a sacrifice of enclosed space that HPC cannot necessarily require of an owner, but can motivate with the opportunity of a bonus. • Create criteria that recognizes some small actions as worth only a portion of the bonus versus extensive restoration being worth a larger portion of the bonus. • Create criteria that clearly convey certain preferred outcomes, such as multiple small structures on a lot rather than one large structure, or creating a close relationship between the height of the historic resource and any addition. • Create criteria which discourage the award of a bonus where outcomes which may not be preferred, such as underutilizing a historic resource through the removal of floor levels from the interior of a historic resource (not currently within the authority of HPC to prevent) and using that “found” square footage is used to create a larger new addition. • Create criteria that reward the property owner for exceeding requirements for other community priorities, such as the voluntary creation of affordable housing. 3. Tax Credit Applications, Section 26.415.110.M: The State of Colorado offers a 20% state income tax credit for qualified historic preservation work, up to a maximum of $50,000 per project, to encourage the renovation and re-use of older buildings. Beginning in 2020, an additional 10% credit will be available to Rural Areas, which will include Aspen. The City has the option to review applications affecting local properties or to forward the applications to the State for review. For a number of reasons, this tax credit is not heavily utilized in Aspen. Property owners may not owe State Income Tax, may not want to undertake the review process, or may not want to agree to aspects of the tax credits which may limit interior work on a property. Applications are occasionally received and processed by Community Development and the City is allowed to retain the application fee of up to $750 per project. The fee must be earmarked to be used only for historic preservation purposes. The City has the ability to continue to review tax credit applications through 2019, based on a Resolution Council passed by Council in 2008 agreeing to do so. The City also has the option to stop reviewing applications and begin forwarding them to the State for review, which is staff’s recommendation. The tax credit regulations are complicated and staff’s limited occasion to review projects makes the review process unfamiliar. Approvals are subject to audit by the Department of Revenue, exposing the City to some risk. Finally, tax credit reviews add to an already heavy workload. Staff has not included formal action in the attached Policy resolution because there are applications under review by Community Development now and the City’s ability to review the P87 X.a Page 7 of 9 applications will expire by itself in about a year. In practice, we plan to forward any applications after the current ones to the State unless Council provides different direction. Section 3: Growth Management Quota System, Chapter 26.470 Certain projects have fewer or different requirements in Growth Management because the property is historic. Historic homes generally provide no affordable housing mitigation and there is reduced affordable housing mitigation for commercial development in a historic building than what is required in a non-historic building. These GMQS exemptions can be positive for preservation because they may reduce or eliminate additional programming and square footage on the property and reduced project costs may help to offset the unique expenses involved in historic preservation work. Recent feedback provided to staff by two separate experts in construction in Aspen indicated that historic preservation projects involve: • Significant design fees and carrying costs resulting from one to two years of HPC review process for large projects. • Up to triple the construction cost of a non-historic project ($100-$300 more per square foot for the entire project, not just the historic portion). • Lengthy processes to source appropriate preservation techniques and materials, complex custom fabrications, and higher risk construction challenges, such as lead paint abatement. • Risk involved with extra supervision of the project by HPC staff, and delays in resolving unexpected conditions. • 3-6 months of extra construction time. When asked whether the financial value of the current historic preservation benefits made up for these challenges, it was reported that even with the value of benefits there is typically uncovered “loss” that the owner must assume when undertaking preservation in Aspen. The basis of the adoption of benefits so many years ago was to offer a partnership between the City and the stewards of the community’s history. In past discussions, Council has highlighted affordable housing waivers as an important area for code changes. Staff finds it particularly important to maintain the benefit for commercial properties, where few other benefits are typically relevant and the size and complexity of the project may be significant. There could be potential changes to the amount of AH mitigation reductions given to residential projects. For reference, the approximate value of a typical affordable housing waiver that might be granted if a historic home on an R-6 lot is expanded by 2,000 square feet would be $109,632. While staff agrees that this is an important benefit for historic properties given the additional costs required for these types of projects, staff recognizes the concern with impacts to the city’s critical P88 X.a Page 8 of 9 affordable housing program. Staff recommends that the benefit be amended to only allow an affordable housing waiver for a historic resource, not a non-historic dwelling that may be built on the same lot, for instance when a historic resource is converted from a single-family home to a duplex. To the extent that Council finds additional amendment to be necessary to the relief provided to residential properties, staff suggestions include: • Reduce mitigation for the historic unit by 50%, or • Allow the floor area bonus or affordable housing waiver, not both. In all cases staff would like to ensure the affordable housing benefit remain available by-right to AspenModern voluntary historic designations. Section 4: Transferable Development Rights, Chapter 26.535 City Council may approve the creation of TDRs, which allows undeveloped floor area to be severed from a historic property and sold and developed on a different non-historic property within the city. This has been a very effective preservation benefit, essentially sterilizing some historic properties from further development. The benefit could be improved through the creation of new criteria to only allow TDRs to be severed from a lot which contains a historic resource and not from a lot that was created through a subdivision of a historic parcel. Additional clarity in the criteria to extend beyond a simple math equation is also proposed. The policy goal for the amendments to this Chapter of the Municipal Code is to ensure the effectiveness and health of the market for TDRs by limiting them to actions which have direct benefit to historic resources, and taking a property’s specific characteristics into account when establishing TDRs. Section 5: Zone Districts, Chapter 26.710 Some of the benefits discussed above, such as extra floor area being provided for increased density, are referenced in the Zone Districts, therefore amendments to this chapter are necessary to achieve the changes noted above. The policy goal for the amendments to this Chapter of the Municipal Code is to ensure consistency with amendments to other chapters noted above. Section 6: New Benefits HPC and stakeholders proposed that this discussion of improvements to historic preservation benefits include options for new benefits. In particular, benefits that do not necessarily add more mass to a site are of interest, including speeding up the process for HPC projects through expedited permit review, or reducing the costs of the process with City fee waivers. At this time, staff recommends additional study of these, and returning with potential changes as part of the Ordinance review. P89 X.a Page 9 of 9 PUBLIC OUTREACH Since Council’s request in December 2017 to examine the Historic Preservation Benefits, HPC has held three (3) policy discussions, Council held a worksession and attended site visits to several current preservation projects, an online community survey was conducted and staff hosted a stakeholder meeting with a number of homeowners, architects, planners and developers with first-hand experience with the historic preservation benefits. The complete feedback received through the public outreach resulting from the community survey and stakeholder’s meetings are provided in Exhibits B and C to this memo. In general, feedback has been supportive of the preservation benefits with none recommended to be eliminated. On-going careful management of the program is encouraged. A strong message that came out of the stakeholder’s meeting was don’t break what isn’t broken now. RECOMMENDATION: Staff recommends approval of the proposed resolution. PROPOSED MOTION: “I move to approve Resolution #108, Series 2018, approving a Policy Resolution regarding amendments to the Historic Preservation Program.” CITY MANAGER COMMENTS: _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ ____________________________________________________________________________. ATTACHMENTS: Resolution #108, Series 2018 Exhibit A –Review Criteria/Staff Findings Exhibit B –Community Survey Results Exhibit C –Stakeholder Meeting Summary P90 X.a Resolution #108, Series 2018 Historic Preservation Benefits Code Amendments Policy Resolution Page 1 of 3 RESOLUTION #108 SERIES OF 2018 A RESOLUTION OF THE CITY OF ASPEN CITY COUNCIL ADOPTING POLICIES IN SUPPORT OF AMENDMENTS TO THE LAND USE CODE WHEREAS, pursuant to Section 26.310.020(A), a Policy Resolution is required to initiate the process of amending the City of Aspen Land Use Code; and, WHEREAS, pursuant to Section 26.310.020(A), the Community Development Department received direction from City Council to explore amendments to the City’s historic preservation regulations; and, WHEREAS, pursuant to Section 26.310.020(B)(1), the Community Development Department conducted Public Outreach with members of the public, historic property owners, local architects, designers, and planners; and, WHEREAS, the Community Development Director recommends Council consider changes to the Historic Preservation, Growth Management Quota System, Subdivision, Transportation and Parking Management, Transferable Development Rights, Impact Fees and Zone Districts sections of the Land Use Code; and, WHEREAS, City Council has reviewed the proposed code amendment policy direction, and finds it meets the criteria outlined in Section 26.310.040; and, WHEREAS, amending the Land Use Code as described below will ensure the ongoing effectiveness and viability of the regulations within the City of Aspen Land Use Code to achieve City Council’s policy and regulatory goals; and, WHEREAS, pursuant to Section 26.310.020(B)(2), during a duly noticed public hearing on September 17, 2018 the City Council approved Resolution #108, Series of 2018, by a __ to __ vote, requesting code amendments to the Land Use Code; and, WHEREAS, this Resolution does not amend the Land Use Code, but provides direction to staff for amending the Land Use Code; and, WHEREAS, the City Council finds that this Resolution furthers and is necessary for the promotion of public health, safety, and welfare. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ASPEN AS FOLLOWS: Section 1: Overall Code Amendment Objectives The objectives of these code amendments are to: P91 X.a Resolution #108, Series 2018 Historic Preservation Benefits Code Amendments Policy Resolution Page 2 of 3 A. Ensure continued preservation of all historic resources. B. Ensure historic preservation projects appropriately balance development opportunities and community benefit. Section 2: Historic Preservation Benefit Code Amendment Goals by Topic The goals of the Historic Preservation Benefits amendments are to: A. Maintain the ability to create two detached units where currently allowed, while limiting the total amount of square footage that can be developed as a result of the additional unit. B. Strengthen the review criteria for the Floor Area Bonus, including 1. Provide no bonus for lots that can achieve 500 square feet or more from the creation of two detached units or a duplex. 2. Create a sliding scale of potential Floor Area Bonus based on lot size. 3. Update criteria for a bonus and/or create a sliding scale of potential Floor Area Bonus based on the level of preservation achieved. 4. Limit the ability for a Floor Area Bonus when significant interior space is removed in an effort to create a larger addition. 5. Establish criteria that reward an owner for exceeding requirements for other community priorities, such as the creation of affordable housing. C. Return review of Historic Preservation State Income Tax Credit applications to the State of Colorado. Section 3: Growth Management Code Amendment The goals of the Growth Management amendments are to: A. Balance the importance of the historic preservation and affordable housing programs by ensuring that any affordable housing mitigation waivers or reductions for residential projects are directly related to the preservation of a historic resource. Section 4: Transferable Development Rights Code Amendment The goals of the TDR amendments are to: 1. Strengthen the criteria for the establishment of TDRs. 2. Limit creation of TDRs only to lots that contain a historic resource. Section 5: Zone Districts Code Amendment The goal of the Zone District code amendments is to: 1. Ensure the items listed in sections 2-4 are appropriately incorporated into the relevant zone districts. Section 6: New Benefits The goal of these amendments is to: A. Determine if other benefits may be beneficial and achievable, including expedited permit review, or permit review fee reductions. P92 X.a Resolution #108, Series 2018 Historic Preservation Benefits Code Amendments Policy Resolution Page 3 of 3 Section 7: This resolution shall not affect any existing litigation and shall not operate as an abatement of any action or proceeding now pending under or by virtue of the resolutions or ordinances repealed or amended as herein provided, and the same shall be conducted and concluded under such prior resolutions or ordinances. Section 8: If any section, subsection, sentence, clause, phrase, or portion of this resolution is for any reason held invalid or unconstitutional in a court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and shall not affect the validity of the remaining portions thereof. FINALLY, adopted this ___ day of September, 2018. ___________________ Steven Skadron, Mayor ATTEST: APPROVED AS TO FORM: ____________________ _______________________ Linda Manning, City Clerk James R True, City Attorney P93 X.a Historic Preservation Benefits Policy Resolution Exhibit A - Staff Findings Page 1 of 2 Exhibit A: Review Criteria & Staff Findings 26.310.040. Amendments to the Land Use Code standards of review – Initiation In reviewing a request to pursue an amendment to the text of this Title, per Section 26.310.020(B)(2), Step Two – Public Hearing before City Council, the City Council shall consider: A. Whether there exists a community interest to pursue the amendment. Staff Findings: Staff believes that the proposed code amendments are aligned with community interests. Multiple community plans, citizen task forces, public surveys, etc. have upheld historic preservation as a priority over the more than forty years that Aspen has maintained historic preservation regulations. As the program has matured, adjustments to review processes and decision-making guidelines have occurred several times. An update to the historic preservation benefits in order to ensure the continued preservation of all historic resources and to ensure historic preservation projects appropriately balance development opportunities and community goals is appropriate. Staff finds this criterion to be met. Summary of Review Criteria for Section 26.310.040 - Amendments to the Land Use Code standards of Review - Initiation NOT MET DOES NOT APPLY 26.310.040.Amendments to the Land Use Code In reviewing a request to pursue an amendment to the text of this Title,per Section 26.310.020(B)(2),Step Two –Public Hearing before City Council,the City Council shall consider: A. Whether there exists a community interest to pursue the amendment. B. Whether the objectives of the proposed amendment furthers an adopted policy, community goal, or objective of the City including, but no limited to, those stated in the Aspen Area Community Plan. C. Whether the objectives of the proposed amendment are compatible with the community character of the City and in harmony with the public interest and the purpose and intent of the Title.YES YES MET Review Criteria for Policy Resolution Staff is requesting Council approval for code amendments to various sections of the City of Aspen Land Use Code, including Historic Preservation, Growth Management Quota System, Transferable Develpment Rights, and Zone Districts. The review criteria in Section 26.415.030 must be met to make amendements to the Land Use Code. YES P94 X.a Historic Preservation Benefits Policy Resolution Exhibit A - Staff Findings Page 2 of 2 B. Whether the objectives of the proposed amendment furthers an adopted policy, community goal, or objective of the City including, but not limited to, those stated in the Aspen Area Community Plan. Staff Findings: The 2012 Aspen Area Community Plan states as a Policy “Ensure that the historic preservation benefits package encourages owners of landmark properties to preserve structures to the highest possible degree of historic integrity while minimizing adverse impacts to the neighborhood.” It also states “Encourage the use of the City’s Historic Transferable Development Right program as a method of preserving the historic integrity of designated structures.” Stakeholder and general input has been sought in the crafting of the proposed amendments. The intent is to encourage best historic preservation practices. Staff finds this criterion to be met. C. Whether the objectives of the proposed amendment are compatible with the community character of the City and in harmony with the public interest and the purpose and intent of this Title. Staff Findings: Historic Preservation is directly tied to ensuring compatibility with the community character through retaining structures that illustrate the City’s past and guiding new construction to be sympathetic with the surrounding context. Historic Preservation directly serves the public interest by protecting neighborhood scale, retaining meaningful examples of local architecture and history, and underscoring Aspen as a unique place to live and visit. The proposed amendments are intended to improve preservation outcomes related to residential, commercial and civic properties throughout the community. Further, the proposed policies and code amendments ensure the ongoing effectiveness and viability of the City’s Land Use Code by ensuring its accuracy and the effectiveness of the regulations contained therein. Staff finds this criterion to be met. P95 X.a 25.41%31 57.38%70 10.66%13 6.56%8 Q1 Transferable Development Rights (TDR): Square footage that could be added to a historic property can be severed, sold and built on a different, non-historic property within the city. The historic property owner captures the value of the square footage without making an addition to a historic building.My perception of TDRs is: Answered: 122 Skipped: 1 TOTAL 122 #COMMENTS OR SUGGESTIONS FOR IMPROVEMENTS:DATE 1 Additional development should occur where permitted by basic zoning rather than transfer additional impacts to other neighborhoods. As I recall, Historic TDR's are in part created by historic FAR bonuses, increasing impact. 4/9/2018 10:35 AM 2 In the case below, the lot size is disproportionate to the building. Allowing for a TDR would appropriate the site more cohesively. This also should not be a historic property as the building has very little aesthetic and architectural value. 4/5/2018 9:56 AM 3 I think the TDRs should be capped at 3....... this is a "make believe" market and it seems silly to allow that much to be removed from one site 4/4/2018 9:47 PM 4 make it a staff-level review. requiring City Council review is an unnecessary disincentive; the criteria are objective anyway 4/4/2018 4:23 PM 5 5 TDRs is too much to preserve 1,250 sq ft. in the case you list here. % TDRs has more than a million dollar value 4/4/2018 11:32 AM Appropriate in all cases Appropriate in some cases Rarely appropriate Not appropriate 0%10%20%30%40%50%60%70%80%90%100% ANSWER CHOICES RESPONSES Appropriate in all cases Appropriate in some cases Rarely appropriate Not appropriate 1 / 19 Historic Preservation Benefits - Survey EXHIBIT C Community Survey ResultsP96 X.a 6 I don’t believe all development rights should be severed from a property. Some should remain to allow minor expansions in the future. 4/3/2018 7:34 PM 7 keep buildings as historically accurate as possible 4/3/2018 1:47 PM 8 TDR's are great, but as per usual, case by case evaluation better keeps to the mission of historic preservation. Unusual circumstances require attention is all. 4/3/2018 1:34 PM 9 This would be appropriate where the Owner of the historic property wishes to (1) first and foremost retain the historic nature of a listed historic property, and (2) not be financially harmed by its preservation. This is NOT a tool or trick to be used by a developer to gain square footage on another parcel. 4/3/2018 1:14 PM 10 I wish that there wasn't a square footage bonus at all... but having it on a non-historic building is better than having it on a historic building!! 4/3/2018 12:34 PM 11 TDR are an outdated incentive for historic preservation.Aspen's real estate is all based on maximizing developable sq footage. Secondf why should rneighbors of a receiving site bear the burden of a de facto upzoning that is the result of a speculative real estate development. 4/2/2018 6:18 PM 12 TDRs are not always the answer to appropriate historic preservation. Too many TDRs flood the market and impact the value of the incentive. There is a delicate balance that needs to be considered when granting TDRs. 4/2/2018 7:33 AM 13 Hard for the Board to determine which projects do and do not deserve the bonus; too subjective. In addition, the question does not let the reader know that the bonus is currently determined by the Board. 4/1/2018 7:38 PM 14 just a way to promote corruption 3/29/2018 8:34 PM 15 Appropriate when a building fits in with the Victorian Character of Aspen. Not appropriate when a building is preserved simply to be preserved and may not actually be worth preserving. 3/29/2018 3:23 PM 16 The ability to sever TDRs should be available to all properties. It will then be up to the property owner to decide if it is appropriate for his/her situation. 3/29/2018 2:10 PM 17 TDR's are too freely given and shift mass & scale to other properties. In the example below, the site and location can appropriately accommodate 1,250 SF in new development 3/29/2018 1:38 PM 18 We need appropriate easements and multigenerational homes 3/29/2018 12:59 PM 19 Don't allow additions.3/29/2018 12:35 PM 20 It is very subjective whether the site is better as-is, or added to. There are many excellent examples of historic buildings with interesting modern additions. 3/29/2018 12:09 PM 21 It should only land on certain (size limited) properties 3/27/2018 11:47 AM 22 Historic property must not look out of place but more a base where newer building appearances are based on. A segue to modern building appearances etc 3/27/2018 10:28 AM 23 I think the TDR program has been administered in a haphazard way based on political whims not on the guidelines of the program. There needs to be consistency and fairness with this program. 3/27/2018 10:21 AM 2 / 19 Historic Preservation Benefits - Survey P97 X.a 21.19%25 62.71%74 7.63%9 8.47%10 Q2 Historic Landmark Lot Split/Density Increase: Instead of attaching a large addition to a historic building, a property owner may divide their allowed square footage into two buildings; the historic structure and a new structure alongside it. The historic property owner achieves his/her development rights, while the development is comprised of smaller structures which are likely more in scale with the neighborhood. My perception of the historic landmark lot split/increase density is: Answered: 118 Skipped: 5 TOTAL 118 #COMMENTS OR SUGGESTIONS FOR IMPROVEMENTS:DATE 1 Parking should be accommodated on site - not depending on street parking 4/14/2018 7:37 PM 2 good idea 4/12/2018 2:02 PM 3 Lot split should not increase permitted FAR 4/9/2018 10:36 AM 4 If the historic structure is saved, the lot split should be allowed to go whichever direction.4/5/2018 10:26 AM 5 Jane Jacobs states that new builds should be interwoven with old builds to gain a more complete timeline and aesthetic of a city/town/neighborhood. This is excellent. 4/5/2018 9:59 AM 6 no physical connection should be allowed when allowing lot split 4/4/2018 11:34 AM Appropriate in all cases Appropriate in some cases Rarely appropriate Not appropriate 0%10%20%30%40%50%60%70%80%90%100% ANSWER CHOICES RESPONSES Appropriate in all cases Appropriate in some cases Rarely appropriate Not appropriate 3 / 19 Historic Preservation Benefits - Survey P98 X.a 7 I believe this is the most important benefit for ensuring sensitive development next to historic homes. 4/3/2018 7:35 PM 8 The historic value of a building should include the property it is on.4/3/2018 3:51 PM 9 Appropriate in Most Cases.4/3/2018 1:36 PM 10 Appropriate when fire ratings of exterior walls is not required for code when 2 buildings are too close together, and the lot is wide enough, and has adequate access to both homes as if they were individually built (including adequate parking for both.) 4/3/2018 1:16 PM 11 The reality however seems to be that the add on structures ovehwhelm the scale of the historic resource. 4/2/2018 6:21 PM 12 Depends on the size of the lot.4/2/2018 4:18 PM 13 While sometimes appropriate, this can result in more density that negatively impacts the landmark. However, the new Design Guidelines are challenging to meet for new additions, so a lot split may be the best option. 4/2/2018 7:35 AM 14 Appropriate in all cases, if the lot size meets the minimal requirement.4/1/2018 7:39 PM 15 Destroy's the character of the town 3/29/2018 8:34 PM 16 A small house will rarely fit the needs of many families.3/29/2018 3:25 PM 17 Again, I like having this tool available to property owners. They can determine if it makes sense for them. The example below is wonderful! 3/29/2018 2:11 PM 18 Lot splits increase density and total developable SF due to exclusions. Lot splits are very valuable so an increase in (exempt or other) SF is inappropriate if lot split granted. 3/29/2018 1:40 PM 19 Style should be consistent 3/29/2018 1:00 PM 20 don't allow additions.3/29/2018 12:36 PM 21 I do like the smaller massing.3/29/2018 12:14 PM 22 "in scale" : a presumption that small is better. Not always so.3/29/2018 12:11 PM 23 The architecture of the new, separate building takes away from the character of the neighborhood.3/27/2018 8:25 PM 24 Building a mansion behind a historic house is a joke and an abuse of the system 3/27/2018 5:29 PM 25 except where we want to limit overall sq ft. building divide remains the best choice.3/27/2018 11:49 AM 4 / 19 Historic Preservation Benefits - Survey P99 X.a 25.66%29 54.87%62 10.62%12 8.85%10 Q3 Variations: Historic properties are eligible for reductions in required building setbacks from property lines, reduction of parking requirements, and increase in maximum building footprint. This provides the property owner with flexibility given the fact a historic structure may occupy much of their lot, and variations may allow more sympathetic placement of new development on a historic property.My perception of the variation benefit is: Answered: 113 Skipped: 10 TOTAL 113 #COMMENTS OR SUGGESTIONS FOR IMPROVEMENTS:DATE 1 Street parking should not be an option 4/14/2018 7:38 PM 2 Should include permission to remove overgrown trees planted in historic times that threaten foundations OR are providing too much shade and blocking interface with the residential streets. 4/12/2018 2:03 PM 3 Reduction of set backs impacts neighbors 4/9/2018 10:37 AM 4 There's no a reason a shed should be considered historic. In this case the addition could be compensated by the removal of this shed. Allowing for more landscaping and a better design all around. 4/5/2018 10:03 AM 5 it needs to not 4/4/2018 9:53 PM Appropriate in all cases Appropriate in some cases Rarely appropriate Not appropriate 0%10%20%30%40%50%60%70%80%90%100% ANSWER CHOICES RESPONSES Appropriate in all cases Appropriate in some cases Rarely appropriate Not appropriate 5 / 19 Historic Preservation Benefits - Survey P100 X.a 6 eligibility is appropriate in all cases; whether or not to grant the variation is appropriate in some cases 4/4/2018 4:25 PM 7 not appropriate when impacting neighbors or changing line of sight 4/4/2018 11:36 AM 8 Setback variations are appropriate almost all the time. I don’t think parking variances should ever be allowed. 4/3/2018 7:36 PM 9 Not All cases, a scenario where a historical home's presence is dwarfed or diminutized is a scenario of failure. 4/3/2018 3:50 PM 10 Appropriate when the goal of design is historic preservation. NOT appropriate to give developers more square footage or relaxed requirements when developing on a historic lot. 4/3/2018 1:18 PM 11 I think it could be percentage based so that we retain green space. I think having yards increases the feel of having a community here. 4/3/2018 12:37 PM 12 Set backs for off street parking seem logical 4/2/2018 6:22 PM 13 Variations are necessary for all hp projects. They should not just be granted to the historic landmark, but also to the new construction. There needs to be a compromise on historic developments and appropriate variations for new construction that support good preservation and placement of additions is necessary. 4/2/2018 7:36 AM 14 In some cases a zero, or minimal setback id not sympathetic to the neighboring property.4/1/2018 7:40 PM 15 We tried. We refused to pay the bribe demanded.3/29/2018 8:35 PM 16 The more tools the better!3/29/2018 2:12 PM 17 Front & back yard set back variances only - side yard set backs with adjacent properties produce unreasonable impact on neighboring lots. 3/29/2018 1:43 PM 18 This is only true of historic properties which already been “improved”3/29/2018 1:01 PM 19 Leave the buildings they way they are.3/29/2018 12:36 PM 20 Old buildings generate the same number of cars as new. Forgiveness of on-site parking just pushes the car on to the street. 3/29/2018 12:13 PM 21 Moving a historic house to make room for a mansion should never be approved 3/27/2018 5:29 PM 22 variances to set backs and parking requirements should be reviewed on a case by case bases to ensure they do not have negative impacts on the neighborhood and/or surrounding development 3/27/2018 10:19 AM 6 / 19 Historic Preservation Benefits - Survey P101 X.a 31.86%36 49.56%56 11.50%13 7.08%8 Q4 Square Footage Bonus: Historic preservation projects that demonstrate exemplary practices and meet specific criteria may be awarded up to 500 square feet of bonus square footage to construct on the site. This provides the property owner with additional value to off-set the potential extra costs of a historic preservation project.My perception of the square footage benefit is: Answered: 113 Skipped: 10 TOTAL 113 #COMMENTS OR SUGGESTIONS FOR IMPROVEMENT:DATE 1 Bonus SF should never become a TDR - must only be used within basic zoning, set backs without impact to other properties. 4/9/2018 10:38 AM 2 eligibility is appropriate in all cases but the granting of the bonus is case-by-case and that's appropriate 4/4/2018 4:26 PM 3 not in addition to TDRs 4/4/2018 11:39 AM 4 We should not be adding more development on historic properties.4/3/2018 7:37 PM 5 When appropriate. Bonuses and incentives to keep very strict to a historic profile should be offered if they actually show that they encourage folks to embrace the historical qualities. 4/3/2018 3:52 PM Appropriate in all cases Appropriate in some cases Rarely appropriate Not appropriate 0%10%20%30%40%50%60%70%80%90%100% ANSWER CHOICES RESPONSES Appropriate in all cases Appropriate in some cases Rarely appropriate Not appropriate 7 / 19 Historic Preservation Benefits - Survey P102 X.a 6 Not appropriate. Historic residences were typically small and allowing more footage than currently allowed only diminishes historical significance. 4/3/2018 1:19 PM 7 Historic buildings cannot be removed. The great number of renovations is for speculative resale purposes. Why because the developer is getting a free upzoning of additonal sq footage. Question how many of the recently renoved Victorian builidngsd have been doen for owner occupants- very few. The free additonal space is a developers dream becasue they didn't have to pay for the extra s developable land. Eliminating it would likely result in lower prices for the roperties for a while. But not for long since the supply is fixed. 4/2/2018 6:27 PM 8 The bonus provides an important award for the detail, time and patience required to go through the historic preservation review process and to accurately restore a historic home. 4/2/2018 7:38 AM 9 Rules are far to strict. One either has to ******** or spend thousands finding historic pictures. We tried and gave up. 3/29/2018 8:36 PM 10 If a property owner is performing outstanding stewardship, they should be commended for it. Historic properties are expensive to maintain and to improve. This is a great incentive! 3/29/2018 2:13 PM 11 500 square foot bonus is highly valuable and in my view typically too freely given - a bad trade for the community that creates excess value for property owner and impacts on neighbors in the form of increased development. 3/29/2018 1:45 PM 12 Connector requirement should be eliminated.3/29/2018 1:32 PM 13 Live small. More square feet with fewer year round residents is not desirable 3/29/2018 1:03 PM 14 The point is to "PRESERVE". The whole neighborhood has to be considered. Taking one lot out of context ignores the overall effect. There is nothing in the "constitution" that says one has to have a bigger house. If you need a bigger house, go somewhere else. 3/29/2018 12:43 PM 15 real estate value is market driven. Extra cost of historic project? Myth.3/29/2018 12:15 PM 16 Developers will always jump through hoops to increase square footage which is the only reason people want to do these projects 3/27/2018 5:31 PM 17 Where exemplary practices are demonstrated 3/27/2018 10:19 AM 8 / 19 Historic Preservation Benefits - Survey P103 X.a 42.73%47 28.18%31 11.82%13 17.27%19 Q5 Affordable Housing Reduction: Historic properties are allowed to provide less affordable housing mitigation than non-historic properties to offset the impacts of new development on the site. This alleviates the requirement to add more mass to a historic site in the form of affordable units and/or reduces a significant cost to the property owner, who can then direct those funds to preservation.My perception of the affordable housing reduction benefit is: Answered: 110 Skipped: 13 TOTAL 110 #COMMENTS OR SUGGESTIONS FOR IMPROVEMENT:DATE 1 AH is a critical community need that should not be burdened by Historic preservation.4/9/2018 10:40 AM 2 If you're going to make me look at an eye-sore it better have some benefits to the community. In this case the whole thing should have been torn down. 4/5/2018 10:06 AM 3 I think commercial properties need to have more strict guidelines 4/4/2018 9:56 PM 4 with historic properties, an owner does not have the demolish option and renovation of historic fabric is often quite expensive and more expensive than demolishing and rebuilding would be. don't punish people for having to maintain a historic property by making it more expensive to work with than a non historic property. allow the offset to remain. 4/4/2018 4:28 PM Appropriate in all cases Appropriate in some cases Rarely appropriate Not appropriate 0%10%20%30%40%50%60%70%80%90%100% ANSWER CHOICES RESPONSES Appropriate in all cases Appropriate in some cases Rarely appropriate Not appropriate 9 / 19 Historic Preservation Benefits - Survey P104 X.a 5 not appropriate if there are real increases in number of employees 4/4/2018 11:41 AM 6 I think commercial reductions are appropriate, but not residential reductions.4/3/2018 7:37 PM 7 Who is actually building ADUs? They are mitigated to the city with a check, not an actual bed for a head. Obviously that check affords to build elsewhere, but could you imagine how cool it would be to live in an Affordable Housing Unit attached to a historic home? Cause I can't, too few of these exist. Some day none will. 4/3/2018 3:57 PM 8 housing requirements should be kept and the owner/builder need to offset housing somewhere other than the historic site. The buyers of these properties can afford it. 4/3/2018 1:51 PM 9 Again, not appropriate. Affordable housing or lack thereof has no impact on historical significance. This would be a loophole for a developer to overbuild and under-provide for the community. 4/3/2018 1:20 PM 10 Need more information.4/3/2018 12:39 PM 11 However its questionable whether or not the "saved " fees actually result in better historic preservation. 4/2/2018 6:32 PM 12 HP projects are generally much more time consuming and expensive than typical non-historic development. Waiving affordable housing is an important balance to the overall development equation. The new Design Guidelines restrict above grade development on a site which will create a huge road block for onsite affordable housing. 4/2/2018 7:40 AM 13 This is an important cornerstone benefit and should continue to be available.4/1/2018 7:47 PM 14 Bad example since it appears all work has stopped there and the suggestion of a new business is gone. Now an eye sore on Main. They should loose any exceptions. Dont let them add mass or avoid the affordable housing requirement. A business that purchases an historic building can pay for it and requires housing off site. 3/31/2018 8:03 AM 15 limit to commercial only 3/30/2018 11:19 AM 16 The idea of affordable housing is good. Many cities are now using. However, affordable housing does not bring more workers into the town. It just rewards the lucky few, many who retire and do not work in Aspne. 3/29/2018 8:38 PM 17 Waiver of AH fees for historic preservation unfairly burdens other community needs. $100,000 AH fee is immaterial compared to acquisition and development cost. 3/29/2018 1:48 PM 18 The intent is desirable the actual consequences are not.3/29/2018 1:05 PM 19 *******3/29/2018 12:44 PM 20 "direct those funds to preservation." All development must meet AH requirements. In your example below - the developer needs no help. This is a purely commercial enterprise, and the for- profit venture must stand on its own. 3/29/2018 12:18 PM 21 I think that offsets like this are crucial to the affordability of renovated an historic structure.3/29/2018 12:16 PM 22 The new developments often result in homes that are large enough they require several employees to run them, or at least several to manage them throughout the year. 3/28/2018 9:57 AM 23 On site mitigation for employee housing for residential (ADUs) have been removed from the land use code. The burden of employee housing should be shared equally by all development, especially businesses, with credit for the existing floor area that is remaining. 3/27/2018 10:25 AM 10 / 19 Historic Preservation Benefits - Survey P105 X.a 7.00%7 12.00%12 55.00%55 26.00%26 Q6 Exemptions or reduced affordable housing requirements is often one of the few Historic Preservation Benefits applicable to Commercial properties.Should this benefit be offered to: Answered: 100 Skipped: 23 TOTAL 100 Residential properties only Commercial properties only Both residential ... Neither (or no properties) 0%10%20%30%40%50%60%70%80%90%100% ANSWER CHOICES RESPONSES Residential properties only Commercial properties only Both residential and commercial properties Neither (or no properties) 11 / 19 Historic Preservation Benefits - Survey P106 X.a 37.27%41 40.00%44 9.09%10 13.64%15 Q7 Development Fee Waivers: Historic properties may be allowed a reduction or waiver in fees associated with city parks, transportation, and parking that are typically charged to offset the impacts of new development. This reduces costs to the property owner, who can then direct those funds to preservation.My perception of development fee waiver benefit is: Answered: 110 Skipped: 13 TOTAL 110 #COMMENTS OR SUGGESTIONS FOR IMPROVEMENT:DATE 1 Purchase price of a property should reflect the cost of development. Cost of fees should be borne by the seller/owner/new owner not the broader community. 4/9/2018 10:41 AM 2 When my client can save money wherever they can, that means I'm more likely to get that contract signed and which may lead to reallocated money into the project budget. 4/5/2018 10:08 AM 3 problem is, City Council never likes to grant any fee waivers 4/4/2018 4:28 PM 4 only for the historic properties which best reflect Aspen's history 4/4/2018 11:43 AM 5 These are relatively small fees, but can provide a major benefit to enable preservation. I think these are important to retain. 4/3/2018 7:38 PM Appropriate in all cases Appropriate in some cases Rarely appropriate Not appropriate 0%10%20%30%40%50%60%70%80%90%100% ANSWER CHOICES RESPONSES Appropriate in all cases Appropriate in some cases Rarely appropriate Not appropriate 12 / 19 Historic Preservation Benefits - Survey P107 X.a 6 The buyers and owners of these properties can still afford to support parks, transportation and parking. 4/3/2018 1:52 PM 7 fess for tree removal should be removed. Too many historic houses are blocked from view or excessively shaded by evergreens in parwticular. Evergreens are generally not native to the valley floor. 4/2/2018 6:34 PM 8 The benefit of historic preservation to the community is on par with the Impact fees for Transportation/Air Quality and Parks. The community benefits from restored historic properties the same way that the community benefits from Parks and from Transportation initiatives. 4/2/2018 7:42 AM 9 Residential only. Commercial should pay to play!3/31/2018 8:04 AM 10 Not a good idea. It promotes corruption.3/29/2018 8:38 PM 11 A fourth generation aspen family should not be forced to sell and move out of aspen because of “affordable housing” fees 3/29/2018 1:07 PM 12 ******3/29/2018 12:44 PM 13 "direct those funds to preservation"?? These are simply real estate deals - no help needed. You won't see any Aspen developers standing in line at the St. Mary's soup kitchen. 3/29/2018 12:21 PM 14 It is too time consuming and too expensive to renovate historic structures in Aspen. More waivers and more efficient and quicker approvals are helpful. 3/29/2018 12:18 PM 15 Saving 100k means nothing to these people, why are we giving them anything?3/27/2018 5:32 PM 13 / 19 Historic Preservation Benefits - Survey P108 X.a 34.23%38 39.64%44 19.82%22 6.31%7 0.00%0 Q8 Do you think the historic preservation projects you are aware of in the community contribute to telling the unique story of Aspen’s past? Answered: 111 Skipped: 12 TOTAL 111 Greatly contributes Contributes Somewhat contributes Does not contribute I don't know of any histo... 0%10%20%30%40%50%60%70%80%90%100% ANSWER CHOICES RESPONSES Greatly contributes Contributes Somewhat contributes Does not contribute I don't know of any historic preservation projects 14 / 19 Historic Preservation Benefits - Survey P109 X.a 20.00%22 38.18%42 29.09%32 9.09%10 3.64%4 Q9 Do you think that the City of Aspen Historic Preservation Program is successful in retaining and maintaining historic landmarks? Answered: 110 Skipped: 13 TOTAL 110 Very successful Successful Somewhat successful Not successful I don't know 0%10%20%30%40%50%60%70%80%90%100% ANSWER CHOICES RESPONSES Very successful Successful Somewhat successful Not successful I don't know 15 / 19 Historic Preservation Benefits - Survey P110 X.a Q10 Please provide your zip code of residence. Answered: 109 Skipped: 14 #RESPONSES DATE 1 81611 4/14/2018 7:40 PM 2 81611 4/12/2018 2:05 PM 3 81611 4/11/2018 10:58 PM 4 81611 4/10/2018 10:31 AM 5 81611 4/10/2018 9:15 AM 6 81612 4/9/2018 3:36 PM 7 81611 4/9/2018 3:27 PM 8 81611 4/9/2018 10:42 AM 9 81621 4/6/2018 11:29 AM 10 81611 4/6/2018 10:30 AM 11 81611 4/6/2018 9:13 AM 12 81623 4/6/2018 8:41 AM 13 81611 4/5/2018 5:54 PM 14 81611 4/5/2018 11:55 AM 15 81611 4/5/2018 10:30 AM 16 81623 4/5/2018 10:17 AM 17 81611 4/5/2018 10:09 AM 18 81611 4/5/2018 7:54 AM 19 81611 4/4/2018 9:56 PM 20 81611 4/4/2018 4:29 PM 21 81611 4/4/2018 11:44 AM 22 81611 4/4/2018 9:48 AM 23 81621 4/3/2018 7:44 PM 24 81611 4/3/2018 7:38 PM 25 81611 4/3/2018 6:47 PM 26 81611 4/3/2018 4:47 PM 27 81611 4/3/2018 3:58 PM 28 81611 4/3/2018 3:55 PM 29 81611 4/3/2018 3:16 PM 30 81621 4/3/2018 2:44 PM 31 81623 4/3/2018 1:55 PM 32 81656 4/3/2018 1:52 PM 33 81611 4/3/2018 1:45 PM 34 80122 4/3/2018 1:42 PM 35 81611 4/3/2018 1:21 PM 16 / 19 Historic Preservation Benefits - Survey P111 X.a 36 81611 4/3/2018 1:21 PM 37 20016 4/3/2018 1:17 PM 38 81623 4/3/2018 12:40 PM 39 81611 4/2/2018 6:35 PM 40 81611 4/2/2018 4:23 PM 41 81621 4/2/2018 10:19 AM 42 81611 4/2/2018 9:43 AM 43 81623 4/2/2018 8:29 AM 44 81611 4/2/2018 7:56 AM 45 81621 4/2/2018 7:43 AM 46 81611 4/1/2018 7:48 PM 47 81623 4/1/2018 12:44 PM 48 81611 3/31/2018 8:05 AM 49 81611 3/31/2018 7:33 AM 50 81611 3/30/2018 12:49 PM 51 81611 3/30/2018 11:20 AM 52 81611 3/30/2018 9:28 AM 53 81611 3/30/2018 8:01 AM 54 81623 3/29/2018 9:12 PM 55 81611 3/29/2018 9:02 PM 56 80220 3/29/2018 8:39 PM 57 81611 3/29/2018 8:17 PM 58 81611 3/29/2018 6:20 PM 59 81615 3/29/2018 6:09 PM 60 81611 3/29/2018 5:27 PM 61 81611 3/29/2018 5:04 PM 62 55345 3/29/2018 3:43 PM 63 81611 3/29/2018 3:28 PM 64 81611 3/29/2018 3:06 PM 65 81651 3/29/2018 2:47 PM 66 81611 3/29/2018 2:21 PM 67 81611 3/29/2018 2:18 PM 68 81654 3/29/2018 2:14 PM 69 81623 3/29/2018 2:14 PM 70 81623 3/29/2018 2:11 PM 71 81654 3/29/2018 2:09 PM 72 85266 3/29/2018 1:51 PM 73 81611 3/29/2018 1:49 PM 74 81611 3/29/2018 1:33 PM 75 81611 3/29/2018 1:31 PM 76 81623 3/29/2018 1:27 PM 17 / 19 Historic Preservation Benefits - Survey P112 X.a 77 81612 3/29/2018 1:11 PM 78 81611 3/29/2018 1:10 PM 79 81611 3/29/2018 1:09 PM 80 81154 3/29/2018 1:03 PM 81 81611 3/29/2018 12:47 PM 82 81623 3/29/2018 12:45 PM 83 81623 3/29/2018 12:41 PM 84 80911 3/29/2018 12:35 PM 85 81621 3/29/2018 12:31 PM 86 81611 3/29/2018 12:27 PM 87 81611 3/29/2018 12:22 PM 88 81621 3/29/2018 12:18 PM 89 81650 3/29/2018 12:14 PM 90 81611 3/29/2018 12:13 PM 91 60616 3/29/2018 12:12 PM 92 81623 3/29/2018 12:09 PM 93 81611 3/29/2018 12:09 PM 94 81611 3/29/2018 12:07 PM 95 81621 3/29/2018 12:06 PM 96 81611 3/28/2018 8:51 PM 97 81611 3/28/2018 10:01 AM 98 81611 3/28/2018 8:07 AM 99 81611 3/28/2018 7:26 AM 100 81623 3/27/2018 8:30 PM 101 81611 3/27/2018 5:33 PM 102 81611 3/27/2018 5:09 PM 103 81612 3/27/2018 4:42 PM 104 81611 3/27/2018 12:16 PM 105 81611 3/27/2018 11:51 AM 106 81611 3/27/2018 11:38 AM 107 81611 3/27/2018 10:43 AM 108 81611 3/27/2018 10:28 AM 109 81611 3/27/2018 10:27 AM 18 / 19 Historic Preservation Benefits - Survey P113 X.a 10.38%11 89.62%95 Q11 Do you own a designated historic landmark in the City of Aspen? Answered: 106 Skipped: 17 TOTAL 106 Yes No 0%10%20%30%40%50%60%70%80%90%100% ANSWER CHOICES RESPONSES Yes No 19 / 19 Historic Preservation Benefits - Survey P114 X.a Exhibit C Stakeholder Meeting Summary Historic Preservation Benefits Stakeholder Meeting Date/Time: July 2, 2018 at 12:00-1:00 p.m. Location: Aspen City Hall List of Participants: Planners: Sara Adams, Mitch Haas, Stan Clauson Architects: Gilbert Sanchez, Derek Skalko, Sarah Broughton, Eric Westerman Owners: Bill Guth, Howard Mallory, Lou Stover, David Harris Interested Public: Dorothea Farris Staff: Amy Simon, Ben Anderson, Kevin Rayes Meeting Summary: New Historic Preservation Design Guidelines: -The new Design Guidelines are much more restrictive and this is a concern. -The new Design Guidelines have caused some to walk away from pursuing historic projects. -Since the implementation of the new Design Guidelines, new cases have slowed down. -Corner lots have become difficult to take on. If incentives are not provided, people will avoid corner lots. -Council’s concerns regarding visual impact are a result of projects under the old Design Guidelines. Time is needed to test the new Design Guidelines. Some issues may resolve themselves. Incentives/Benefits: -Aspen’s HP incentive program has been very successful over the years. -Incentives are in good working order, no fixing required because it is not broken. -Incentives are so important for HP projects. -Focus on benefits that do not require expansion. -Support parking reductions and waive fees for HP projects. -Allow a mix of benefits. -Cannot implement changes to the incentives with the new Design Guidelines. A breaking point will be reached where HP projects will be difficult to undertake. -There is a disconnect between the 500 sf bonus and the TDR program. -Without the incentive program, certain HP projects would not be possible to undertake. -Preservation program will not go away if the bonuses go away. -Floor Area Bonus: some more criteria would be good. P115 X.a Financial Benefits: -Monetary values are difficult to establish because there is not a standard cost. Each project is different. You shouldn’t put an arbitrary cap on the value of incentives to be granted. -A private property owner’s financial gain should not be a concern. The City gains other things through the process. Future Requests/Suggestions for Historic Preservation Program: -Add worksession back, possibly as part of due diligence. -Explain interior demolition and floor area impacts, partial removal is okay. -Create a standard expectation for getting on HPC agenda and approximate timeframe. -Add expedited timing and review process for HP projects. -Reintroduce the idea of double basements for HPC projects. P116 X.a Ordinance #22, Series of 2018 333 Park Ave. & 931 Gibson Ave. Page 1 of 6 ORDINANCE #22 (SERIES OF 2018) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO APPROVING DEMOLITION, RELOCATION, RESCINDING DESIGNATION, DESIGNATION FOR THE PROPERTY LOCATED AT 333 PARK AVENUE AND 931 GIBSON AVENUE, AS LEGALLY DESCRIBED IN ATTACHMENT A PARCEL ID: 2737-181-00-017 PARCEL ID: 2737-074-00-004 WHEREAS, the Community Development Department received an application from BMH Investments, LTD, owner of 333 Park Avenue and contract purchaser for 931 Gibson Avenue, see Exhibit A for legal description, requesting approval for the following: • Relocation- (Section 26.415.090) for the relocation of the two historic buildings from 333 Park Avenue (R-6 Zone District) to 931 Gibson Avenue (R-15A Zone District). • Demolition- (Section 26.415.080) of non-historic additions found on 333 Park Avenue before the relocation of the historic buildings. • Rescinding Designation- (Section 26.415.050) of 333 Park Avenue if relocation of the historic buildings is approved. • Designation- (Section 26.415.030) of 931 Gibson Avenue if relocation of the historic buildings is approved; and WHEREAS, the Community Development Department received referral comments on the Application from the City Engineering, Building, and Parks Departments; and, WHEREAS, the Community Development Department reviewed the proposed application, and recommended approval with conditions; and WHEREAS, the Historic Preservation Commission reviewed the Application at a duly noticed public hearing on July 11, 2018, during which the recommendations of the Community Development Director and comments from the public were heard by the Historic Preservation Commission, and recommended approval with conditions by Resolution No. 9, Series of 2018, by a vote of seven to zero (7 – 0). WHEREAS, all required public noticing was provided as evidenced by an affidavit of public noticing submitted to the record, a summary of public outreach was provided by the applicant to meet the requirements of Land Use Code Section 26.304, and the public was provided full access to review the Application; and, WHEREAS, City Council has reviewed and considered the development proposal under the applicable provisions of the Municipal Code as identified herein, has reviewed and considered the recommendations of the Community Development Director, the Historic Preservation P117 X.b Ordinance #22, Series of 2018 333 Park Ave. & 931 Gibson Ave. Page 2 of 6 Commission, the applicable referral agencies, and has taken and considered public comment at a public hearing; and, WHEREAS, on August 13, 2018, the Aspen City Council approved Ordinance No. 22, Series of 2018 with conditions, on First Reading by a three to zero (3 – 0) vote; and, WHEREAS, during a duly noticed public hearing on September 17, 2018, the Aspen City Council approved Ordinance No. 22, Series of 2018, by a _____ to _____ (_ – _) vote, approving Relocation, Demolition, changes to Historic Designations and associated land use reviews for 333 Park Avenue and 931 Gibson Avenue; and, WHEREAS, City Council finds that the development proposal meets or exceeds all the applicable development standards; and, WHEREAS, the City Council finds that this Ordinance furthers and is necessary for the promotion of public health, safety, and welfare. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, THAT: Section 1: Approvals Pursuant to the procedures and standards set forth in Title 26 of the Aspen Municipal Code, the Aspen City Council grants 333 Park Avenue and 931 Gibson Avenue land use review approvals for Relocation of two (2) historic buildings from 333 Park to 931 Gibson, demolition of non-historic elements on 333 Park Avenue, and Rescinding of Designation at 333 Park Avenue and Designation of 931 Gibson Avenue following relocation, subject to the conditions of approval as listed herein. The designation on 333 Park Avenue shall be removed and the designation on 931 Gibson Avenue shall be added only upon safe relocation of the historic resources to 931 Gibson Avenue, as determined by the Chief Building Official and Historic Preservation Officer. The location of the historic landmark property designated by this ordinance shall be indicated on the official maps of the City that are maintained by the City of Aspen Community Development Department. The following conditions shall apply to 931 Gibson Avenue after the safe relocation of the historic resources and the historic designation of the property: 1. A future lot split is prohibited unless approved by City Council. 2. The property shall contain a single driveway and single curb cut. Section 2: Historic Preservation, Major Review A separate application for Historic Preservation Major Development will be submitted for HPC review. The project shall be subject to applicable code requirements, in place at the time of application. The application shall include an updated Relocation Plan, for review by the Parks and Engineering Departments. Approval of the Relocation Plan is required prior to issuance of a building permit for work on 333 Park Avenue and 931 Gibson Avenue. P118 X.b Ordinance #22, Series of 2018 333 Park Ave. & 931 Gibson Ave. Page 3 of 6 Section 3: Parks The relocation of the historic structures will require pruning to trees. The Relocation Plan shall address all applicable Parks Department requirements to ensure protection and minimal impacts to trees. Pruning of City trees for the relocation requires a certified arborist under the supervision of the City Forester, and paid for by the applicant. Permission for any pruning on private property will be required from private property owners prior to Parks signing off on the plan. Any tree removals require owner permission as well as tree removal permits from the Parks Department. Section 4: Engineering The Applicant’s design shall be compliant with all sections of the Municipal Code, Title 21 and all construction and excavation standards published by the Engineering Department. The project shall meet the Urban Runoff Management Plan Requirements. A major drainage report that meets URMP and Engineering Design Standards is required with building permit submittal. Section 5: Building Permit As part of a building permit review, the applicant will be required to submit a report from a licensed engineer, architect or housemover demonstrating that the house and outbuilding can be moved, and the method for moving and protecting the structures, must be submitted with the building permit application. In addition, the applicant must provide a bond, letter of credit or cashier’s check in a form acceptable to the City Attorney in the amount of $30,000 for the historic house and $15,000 for the historic outbuilding to be held by the City during the duration of the relocation process. Section 6: Impact Fees and School Land Dedication Any applicable fees shall be assessed at the time of building permit application submittal and paid at building permit issuance. The amount shall be calculated using the methodology and fee schedule in effect at the time of building permit submittal. The allocation of any fee credits for demolition work on 333 Park Avenue and 931 Gibson Avenue shall remain with the parcel where the structures are currently located. Credits shall only be given for legally established floor area. Section 7: Stream Margin Review The applicant shall apply for a Stream Margin review for the demolition work on 333 Park Avenue as an administrative review prior to submission of a building permit for the project. Section 8: Existing Litigation This ordinance shall not affect any existing litigation and shall not operate as an abatement of any action or proceeding now pending under or by virtue of the ordinances repealed or amended as herein provided, and the same shall be conducted and concluded under such prior ordinances. Section 9: Severability If any section, subsection, sentence, clause, phrase, or portion of this Resolution is for any reason held invalid or unconstitutional in a court of competent jurisdiction, such portion shall be deemed P119 X.b Ordinance #22, Series of 2018 333 Park Ave. & 931 Gibson Ave. Page 4 of 6 a separate, distinct and independent provision and shall not affect the validity of the remaining portions thereof. Section 10: Vested Rights The development approvals granted herein shall constitute a site-specific development plan vested for a period of three (3) years from the date of issuance of a development order. However, any failure to abide by any of the terms and conditions attendant to this approval shall result in the forfeiture of said vested property rights. Unless otherwise exempted or extended, failure to properly record all plats and agreements required to be recorded, as specified herein, within 180 days of the effective date of the development order shall also result in the forfeiture of said vested property rights and shall render the development order void within the meaning of Section 26.104.050 (Void permits). Zoning that is not part of the approved site-specific development plan shall not result in the creation of a vested property right. No later than fourteen (14) days following final approval of all requisite reviews necessary to obtain a development order as set forth in this Ordinance, the City Clerk shall cause to be published in a newspaper of general circulation within the jurisdictional boundaries of the City of Aspen, a notice advising the general public of the approval of a site specific development plan and creation of a vested property right pursuant to this Title. Such notice shall be substantially in the following form: Notice is hereby given to the general public of the approval of a site specific development plan, and the creation of a vested property right, valid for a period of three (3) years, pursuant to the Land Use Code of the City of Aspen and Title 24, Article 68, Colorado Revised Statutes, pertaining to the following described properties: 333 Park Avenue and 931 Gibson Avenue. Nothing in this approval shall exempt the development order from subsequent reviews and approvals required by this approval of the general rules, regulations and ordinances or the City of Aspen provided that such reviews and approvals are not inconsistent with this approval. The approval granted hereby shall be subject to all rights of referendum and judicial review; the period of time permitted by law for the exercise of such rights shall not begin to run until the date of publication of the notice of final development approval as required under Section 26.304.070(A). The rights of referendum shall be limited as set forth in the Colorado Constitution and the Aspen Home Rule Charter. Section 11: Public Hearing A public hearing on the ordinance was held on the 27th day of August, 2018, in the City Council Chambers, Aspen City Hall, Aspen, Colorado, fifteen (15) days prior to which hearing a public notice of the same was published in a newspaper of general circulation within the City of Aspen. INTRODUCED, READ AND ORDERED PUBLISED as provided by law, by the City Council of the City of Aspen on the 17th day of September, 2018. P120 X.b Ordinance #22, Series of 2018 333 Park Ave. & 931 Gibson Ave. Page 5 of 6 ________________________ Steven Skadron, Mayor ATTEST: ____________________________ Linda Manning, City Clerk FINALLY, adopted, passed and approved this _____ day of __________, 2018. ________________________ Steven Skadron, Mayor ATTEST: ______________________________ Linda Manning, City Clerk APPROVED AS TO FORM: ______________________________ James R. True, City Attorney P121 X.b Ordinance #22, Series of 2018 333 Park Ave. & 931 Gibson Ave. Page 6 of 6 ATTACHMENT A: Legal Description of Addresses 333 Park Avenue A tract of land situated in the Southwest 1/4 of the Southeast 1/4 of Section 7 and in the Northwest 1/4 of the Northeast 1/4 of Section 18, Township 10 South, Range 84 West of the 6th P.M., Pitkin County, Colorado. Said tract is part of the Lone Pine M.S. 1910 and the Mollie Gibson Lode, M.S. 4281 Am and is more fully described as follows: Beginning at the West Corner of Lot 1, Sunny Park Subdivision, whence corner No. 3 of said Mollie Gibson Lode bears N 43°40'00" W 146.00 feet and S 38°00'00" W 100.00 feet; thence S 46°20'00" W 10.00 feet to a point on the centerline of a road easement as shown on a plat recorded in Book 4 at Page 398 of the records of Pitkin County; thence following said centerline 16.23 feet along the arc of a curve to the left having a radius of 40.00 feet, the chord of which curve bears S 55°17'30" E 16.12 feet; thence S 66° 55'00" E 49.99 feet along said centerline; thence S 32° 09'58" W 13.39 feet; thence S 50° 17'00" W 130.26 feet; thence N 34° 17'00" W 59.99 feet; thence N 52° 40'00" E 34.33 feet; thence N 43°40'00" W 32.60 feet; thence N 46° 20'00" E 86.00 feet; thence S 43° 40'00" E 32.00 feet to the point of beginning. 931 Gibson Avenue Parcel 1: A Parcel of Land situated in the Southeast ¼ of Section 7, Township 10 South, Range 84 West of the 6th Principal Meridian more fully described as follows: Beginning at a point whence corner No. 11 of the East Aspen Additional Townsite bears South 54°52’17” East 58.10 feet; Thence South 34°54’00” West 46.63 feet to The True Point of Beginning; Thence North 63°58’00” West 185.12 feet; Thence South 15°30’00” West 86.60 feet; Thence South 63°54’00” East 155.54 feet; Thence North 34°45’00” East 88.30 feet to The Point of Beginning. Parcel 2: A Tract of Land situated in the Sunset Lode, U.S.M.S. No. 5310, being more fully described as follows: Beginning at a point on the Easterly side line of said Sunset Lode whence Corner No. 10 of East Aspen Additional Townsite bears North 34°45’ East 46.63 Feet; Thence North 63° 58’ West 185.12 feet to a point on the Westerly side line of said Lode; Thence following said Westerly side line North 15°30” East 17.03; Thence South 62°54’41” East 150.27 feet; Thence 39.76 feet along the arc of a curve to the right having a radius of 295.57 feet to a point on said Easterly side; Thence following said Easterly side line South 34°45’ West 10.70 feet to The Point of Beginning. Together with any property lying Northerly of the above described property and the Southerly line of Gibson Avenue. P122 X.b Page 1 of 3 Exhibit A.1 Relocation Staff Findings 26.415.090 Relocation of designated historic properties. The intent of this Chapter is to preserve designated historic properties in their original locations as much of their significance is embodied in their setting and physical relationship to their surroundings as well as their association with events and people with ties to particular site. However, it is recognized that occasionally the relocation of a property may be appropriate as it provides an alternative to demolition or because it only has a limited impact on the attributes that make it significant. C. Standards for the relocation of designated properties. Relocation for a building, structure or object will be approved if it is determined that it meets any one of the following standards: C. Standards for the relocation of designated properties. Relocation for a building, structure or object will be approved if it is determined that it meets any one of the following standards:NOT MET DOES NOT APPLY 1. It is considered a noncontributing element of a historic district and its relocation will not affect the character of the historic district; or N/A 2. It does not contribute to the overall character of the historic district or parcel on which it is located and its relocation will not have an adverse impact on the Historic District or property; or 3. The owner has obtained a certificate of economic hardship; or N/A 4. The relocation activity is demonstrated to be an acceptable preservation method given the character and integrity of the building, structure or object and its move will not adversely affect the integrity of the Historic District in which it was originally located or diminish the historic, architectural or aesthetic relationships of adjacent designated properties; and Additionally, for approval to relocate all of the following criteria must be met:NOT MET DOES NOT APPLY 1. It has been determined that the building, structure or object is capable of withstanding the physical impacts of relocation; 2. An appropriate receiving site has been identified; and 3. An acceptable plan has been submitted providing for the safe relocation, repair and preservation of the building, structure or object including the provision of the necessary financial security. YES YES YES YES YES MET Review Criteria for 333 Park Avenue & 931 Gibson Avenue Section 26.415.090 -Relocation of Designated Historic Properties Summary of Review Criteria for Section 26.415.090 - Relocation of Designated Historic Properties 26.415.090 Relocation of designated historic properties. The intent of this Chapter is to preserve designated historic properties in their original locations as much of their significance is embodied in their setting and physical relationship to their surroundings as well as their association with events and people with ties to particular site. However, it is recognized that occasionally the relocation of a property may be appropriate as it provides an alternative to demolition or because it only has a limited impact on the attributes that make it significant. MET P123 X.b Page 2 of 3 1. It is considered a noncontributing element of a historic district and its relocation will not affect the character of the historic district; or 2. It does not contribute to the overall character of the historic district or parcel on which it is located and its relocation will not have an adverse impact on the Historic District or property; or 3. The owner has obtained a certificate of economic hardship; or 4. The relocation activity is demonstrated to be an acceptable preservation method given the character and integrity of the building, structure or object and its move will not adversely affect the integrity of the Historic District in which it was originally located or diminish the historic, architectural or aesthetic relationships of adjacent designated properties; and Additionally, for approval to relocate all of the following criteria must be met: 1. It has been determined that the building, structure or object is capable of withstanding the physical impacts of relocation; 2. An appropriate receiving site has been identified; and 3. An acceptable plan has been submitted providing for the safe relocation, repair and preservation of the building, structure or object including the provision of the necessary financial security. Staff Finding: The proposed relocation will not adversely affect the integrity related to the site because it is not located in a Historic District or in its original location. Currently there are no apparent architectural relationships between 333 Park and the closest historic residence due to irregular building placement/orientation and building alterations. The applicant has met with other city departments to discuss a route for safe relocation, provided documentation determining the historic buildings would withstand the relocation, and a receiving site has been identified. Staff finds that the proposal meets criteria 1, 2, and 4. and the additional three criteria for relocation. A more detailed relocation/repair plan will be required at design review. Part of the criteria for evaluating if relocation is appropriate is ensuring the relocation results in the best preservation option for the historic resource given its character and integrity. In evaluating this, staff examines the physical relocation impacts (can the structure withstand the act of relocation), as well as what the final development opportunities for the site will be. In this case, the applicant has provided documentation from an experienced house mover confirming the resources can physically withstand relocation. Typically, relocation of a historic resource to a new site is highly discouraged (HP Design Guidelines 9.8), however, the preservation plan to restore the two historic resources to their original configuration P124 X.b Page 3 of 3 and re-introduce the front façade back to its street facing orientation helps promote the goal of creating awareness and appreciation for Aspen’s Victorian Heritage. Staff finds that all applicable criteria are met for the proposal for relocation. P125 X.b Page 1 of 2 Exhibit A.2 Demolition Staff Findings 26.415.080 Demolition of designated historic properties or properties within a historic district. It is the intent of this Chapter to preserve the historic and architectural resources that have demonstrated significance to the community. Consequently no demolition of properties designated on the Aspen Inventory of Historic Landmark Site and Structures or properties within a Historic District will be allowed unless approved by the HPC in accordance with the standards set forth in this Section. 4. The HPC shall review the application, the staff report and hear evidence presented by the property owners, parties of interest and members of the general public to determine if the standards for demolition 4. The HPC shall review the application, the staff report and hear evidence presented by the property owners, parties of interest and members of the general public to determine if the standards for demolition approval have been met. Demolition shall be approved if it is demonstrated that the application meets any one of the following criteria: NOT MET DOES NOT APPLY a) The property has been determined by the City to be an imminent hazard to public safety and the owner/applicant is unable to make the needed repairs in a timely manner, N/A b) The structure is not structurally sound despite evidence of the owner's efforts to properly maintain the structure, N/A c) The structure cannot practically be moved to another appropriate location in Aspen or N/A d) No documentation exists to support or demonstrate that the property has historic, architectural, archaeological, engineering or cultural significance and Additionally, for approval to demolish, all of the following criteria must be met: NOT MET DOES NOT APPLY a) The structure does not contribute to the significance of the parcel or Historic District in which it is located and b) The loss of the building, structure or object would not adversely affect the integrity of the Historic District or its historic, architectural or aesthetic relationship to adjacent designated properties and c) Demolition of the structure will be inconsequential to the historic preservation needs of the area. YES YES YES YES MET Review Criteria for 333 Park Ave. Section 26.415.080 - Demolition of Designated Historic Properties or Properties within a Historic District Summary of Review Criteria for Section 26.415.080 - Demolition of Designated Historic Properties or Properties within a Historic District 26.415.080 Demolition of designated historic properties or properties within a historic district. It is the intent of this Chapter to preserve the historic and architectural resources that have demonstrated significance to the community. Consequently no demolition of properties designated on the Aspen Inventory of Historic Landmark Site and Structures or properties within a Historic District will be allowed unless approved by the HPC in accordance with the standards set forth in this Section. MET P126 X.b Page 2 of 2 approval have been met. Demolition shall be approved if it is demonstrated that the application meets any one of the following criteria: a) The property has been determined by the City to be an imminent hazard to public safety and the owner/applicant is unable to make the needed repairs in a timely manner, b) The structure is not structurally sound despite evidence of the owner's efforts to properly maintain the structure, c) The structure cannot practically be moved to another appropriate location in Aspen or d) No documentation exists to support or demonstrate that the property has historic, architectural, archaeological, engineering or cultural significance and Additionally, for approval to demolish, all of the following criteria must be met: a) The structure does not contribute to the significance of the parcel or Historic District in which it is located and b) The loss of the building, structure or object would not adversely affect the integrity of the Historic District or its historic, architectural or aesthetic relationship to adjacent designated properties and c) Demolition of the structure will be inconsequential to the historic preservation needs of the area. Staff Finding: The applicant proposes to demolition all non-historic additions that have been made to the historic resource. These additions do not contribute to the cultural significance of the historic property, which meets criteria d.) and meet the three additional criteria for demolition because it is not contributing. Historic Preservation Guidelines 2.6 calls for the removal of non-historic layers that cover the original material. It is important to follow through with repairing the original, underlying material. Staff finds the applicable criteria are met. P127 X.b Page 1 of 8 Exhibit A.3 Designation Staff Findings 26.415.050 Rescinding Designation. A. Application and review. An application for the removal of a property from the Aspen Inventory of Historic Landmark Sites and Structures shall follow the same submission requirements and review procedures as for designation described in this Chapter except that with respect to Subsection 26.415.030.C.4 an explanation shall be provided describing why the property no longer meets the criteria for designation. The HPC and City Council shall determine if sufficient evidence exists that the property no longer meets the criteria for designation and, if so, shall remove the property from the inventory. A parcel created through an historic Landmark lot split cannot be de-listed unless there is a finding that the resource which originally caused the site to be landmarked meets the criteria for removal from the historic inventory. Staff Finding: 333 Park Avenue (also known as 101 Park) was designated in 1995, Ordinance 4, Series 1995, and added to the Aspen Inventory of Historic Landmark Sites and Structures as an individual Aspen Victorian Landmark. (See Exhibit C.) This property met the criteria for designation because it contained historically significant building from the 19th century. A property will be “delisted” or removed from the Aspen Inventory of Historic Landmark Sites and Structures list if it no longer maintains its integrity or historic significance. If the historic residential buildings located at 333 Park Ave. are removed and relocated to another site, the property will no longer meet the criteria for historic designation. The property will no longer contain a significant structure from the 19th century nor posses historical integrity. A.Application and review.An application for the removal of a property from the Aspen Inventory of Historic Landmark Sites and Structures shall follow the same submission requirements and review procedures as for designation described in this Chapter except that with respect to Subsection 26.415.030.C.4 an explanation shall be provided describing why the property no longer meets the criteria for designation.The HPC and City Council shall determine if sufficient evidence exists that the property no longer meets the criteria for designation and,if so,shall remove the property from the inventory.A parcel created through an historic Landmark lot split cannot be de-listed unless there is a finding that the resource which originally caused the site to be landmarked meets the criteria for removal from the historic inventory. NOT MET DOES NOT APPLY a) The property or district is deemed significant for its antiquity, in that it contains structures which can be documented as built during the 19th century, and NOT MET b) The property or district possesses an appropriate degree of integrity of location, setting, design, materials, workmanship and association, given its age. The City Council shall adopt and make available to the public score sheets and other devices which shall be used by the Council and Historic Preservation Commission to apply this criterion. NOT MET MET Review Criteria for 333 Park Ave. Section 26.415.050 - Rescinding Designation Summary of Review Criteria for Section 26.415.050 - Rescinding Designation P128 X.b Page 2 of 8 Staff finds the applicable criteria for retaining designation will no longer be met, if relocation is approved. 26.415.030 Historic Designation. The designation of properties to an official list, that is known as the Aspen Inventory of Historic Landmark Sites and Structures which is maintained by the City, is intended to provide a systematic public process to determine what buildings, areas and features of the historic built environment are of value to the community. Designation provides a means of deciding and communicating, in advance of specific issues or conflicts, what properties are in the public interest to protect. B. Aspen Victorian 1. Criteria. To be eligible for designation on the Aspen Inventory of Historic Landmark Sites and Structures as an example of Aspen Victorian, an individual building, site, structure or object or a collection of buildings, sites, structures or objects must have a demonstrated quality of significance. The quality of significance of properties shall be evaluated according to the criteria described below. When designating a historic district, the majority of the contributing resources in the district shall meet the criteria described below: 1. Criteria. To be eligible for designation on the Aspen Inventory of Historic Landmark Sites and Structures as an example of Aspen Victorian, an individual building, site, structure or object or a collection of buildings, sites, structures or objects must have a demonstrated quality of significance. The quality of significance of properties shall be evaluated according to the criteria described below. When designating a historic district, the majority of the contributing resources in the district shall meet the criteria described below: NOT MET DOES NOT APPLY a) The property or district is deemed significant for its antiquity, in that it contains structures which can be documented as built during the 19th century, and b) The property or district possesses an appropriate degree of integrity of location, setting, design, materials, workmanship and association, given its age. The City Council shall adopt and make available to the public score sheets and other devices which shall be used by the Council and Historic Preservation Commission to apply this criterion. YES YES Review Criteria for 931 Gibson Ave. Section 26.415.030 - Historic Designation MET Summary of Review Criteria for Section 26.415.030 - Historic Designation 26.415.030 Historic Designation. The designation of properties to an official list, that is known as the Aspen Inventory of Historic Landmark Sites and Structures which is maintained by the City, is intended to provide a systematic public process to determine what buildings, areas and features of the historic built environment are of value to the community. Designation provides a means of deciding and communicating, in advance of specific issues or conflicts, what properties are in the public interest to protect. B. Aspen Victorian P129 X.b Page 3 of 8 a) The property or district is deemed significant for its antiquity, in that it contains structures which can be documented as built during the 19th century, and b) The property or district possesses an appropriate degree of integrity of location, setting, design, materials, workmanship and association, given its age. The City Council shall adopt and make available to the public score sheets and other devices which shall be used by the Council and Historic Preservation Commission to apply this criterion. Staff Finding: If a site becomes a receiving site for historically significant resources, historic designation of the property will ensure protection and benefits for the historic resource according to the municipal code. If the historic residential buildings from 333 Park Ave. are relocated to 931 Gibson Ave., the site will meet criteria a. and b. The public score sheet, conducted by staff, records a score of 90 where 50 is the required minimum score threshold for designation. (Public score sheet attached.) Staff finds the applicable criteria for historic designation are met, and s upports designating 931 Gibson Ave. if the relocation is approved. P130 X.b Page 4 of 8 INTEGRITY ASSESSMENT- 19TH CENTURY HIGH STYLE RESIDENCE Integrity is the ability of a property to convey its significance. Address: 931 Gibson Avenue (after relocation of historic resources to site) Total Score = 90 (minimum threshold for designation is 50) ________________________________________________________________________ • LOCATION Location is the place where the historic property was constructed or the place where the historic event occurred. 5- The structure is in its original location. 4- The structure has been moved within the original site but still maintains the original alignment and proximity to the street. 3- The structure has been moved to another site, still within the historic Aspen townsite. 0- The structure has been moved to a location which is dissimilar to the original site. TOTAL POINTS (maximum of 5) = 2 ________________________________________________________________________ • DESIGN Design is the combination of elements that create the form, plan, space, structure, and style of a property. BUILDING FORM : 7 10- The original plan form, based on Sanborne maps or other authenticating documentation, is unaltered and there are no recent additions. 8- The structure has been expanded but the original plan form is intact and the addition(s) would meet the design guidelines. 6- The plan form has been more altered, but the addition would meet the design guidelines. 4- The structure has been expanded in a less desirable manner, but if the addition were removed, at least 50% of the building’s original walls would remain. 2- The structure has been expanded and the addition overwhelms the original structure and has destroyed more than 50% of the building’s original walls. 0- Two historic structures have been linked together and the original character of the individual structures is significantly affected. ROOF FORM : 10 10- The original roof form and the original porch roof, if one existed, are unaltered. 8- The original main roof is intact, but the porch roof, if one existed, has been altered. 6- Dormers have been added to the structure or additions have been made that alter roof form, but the changes would meet the design guidelines. 2- Alterations to the roof have been made in a less sensitive manner, not in conformance with the design guidelines. 0- Less than 50% of the original roof form remains. P131 X.b Page 5 of 8 SCALE : 5 5- The original scale and proportions of the building are intact. 4- The building has been expanded, but the overall impression of it as a 1 ½ or 2 story structure, with a relatively small footprint, is retained. 3- The building has been expanded and the scale of the original portion is discernible. 0- The scale of the building has been negatively affected by a large addition, whose features do not reflect the scale or proportions of the historic structure. FRONT PORCH : 10 10- The front porch is not enclosed and original decorative woodwork remains, or if there was no porch historically, none has been added. 8- The front porch is enclosed but maintains an open character and some original materials. 6- The front porch is not original, but has been built in an accurate manner, per the design guidelines. 2- The front porch has been enclosed and most original materials are gone. 0- The front porch is completely gone or replaced with a porch which would not meet the design guidelines. DOORS AND WINDOWS : 9 10- The original door and window pattern is intact. 8- Less than 50% of the doors and windows are new and the original openings are intact. 2- More than 50% of the doors or windows have been added and/or some of the original opening sizes have been altered. 0- Most or all of the original door and window openings have been altered. COMPLEXITY OF DESIGN : 5 5- The overall sense of “elegance” and intricacy in design and detailing is intact. 0- Detailing has been removed and the building has a “plain” appearance. TOTAL POINTS (maximum of 50)= 46 • SETTING Setting is the physical environment of a historic property. PROXIMITY TO SIMILAR STRUCTURES : 5 5- The structure is one of a set (at least three) of buildings from the same period in the immediate area. P132 X.b Page 6 of 8 3- The building is part of a neighborhood that has numerous remaining buildings from the same period. 0- The building is an isolated example from the period. HISTORIC LANDSCAPE FEATURES : 3 5- A number of elements of the original landscape are in place, including historic fences, walkways, plant materials and trees, and ditches. 3- Few or no elements of the original landscape are present, but the current landscape supports the historic character of the home. 0- The current landscape significantly obscures views of the structure. TOTAL POINTS (maximum of 10) = 8 • MATERIALS Materials are the physical elements that were combined or deposited during a particular period of time and in a particular pattern or configuration to form a historic property. EXTERIOR WOODWORK : 6 10- Most of the original woodwork, including siding, decorative shingles, trim, fascia boards, etc. remain. 6- Original siding has been replaced, but trim and other elements remain. 6- Original siding is intact but trim or other elements have been replaced. 0- All exterior materials have been removed and replaced. DOORS AND WINDOWS : 8 10- All or most of the original door and window units are intact. 8- Some window and door units have been replaced, but with generally accurate reconstructions of the originals. 6- Most of the original windows have been replaced, but with generally accurate reconstructions of the originals. 0- Windows and/or doors units have been replaced with inappropriate patterns or styles. TOTAL POINTS (maximum of 20) = 14 ________________________________________________________________________ • WORKMANSHIP Workmanship is the physical evidence of the crafts of a particular culture or people during any given period in history or prehistory. DETAILING AND ORNAMENTATION : 5 5- The original detailing is intact. P133 X.b Page 7 of 8 3- Detailing is discernable such that it contributes to an understanding of its stylistic category. 0- New detailing has been added that confuses the character of the original house or the original detailing is gone. 0- The detailing is gone. FINISHES : 5 5- All exterior woodwork is painted and masonry unpainted. 4- All exterior woodwork is painted and masonry is painted. 3- Wood surfaces are stained or modern in appearance but masonry is unpainted. 2- Wood surfaces are stained or modern in appearance and the masonry is painted. TOTAL POINTS (maximum of 10) = 10 • ASSOCIATION Association is the direct link between an important historic event or person and a historic property. 5- The property would be generally recognizable to a person who lived in Aspen in the 19th century. TOTAL POINTS (maximum of 5) = 5 ________________________________________________________________________ • BONUS POINTS UNIQUE EXAMPLE : 0 5- The style of the building is unique or one of a small group among the19th century high style homes left in Aspen. (i.e. It is Second Empire, Dutch Revival, or another unusual style.) MASONRY : 0 5- Original brick chimneys and/or stone foundation remains. 5- The structure’s primary wall material is masonry. OUTBUILDINGS : 5 5-There are outbuildings on the property that were built during the same period as the house. PATINA/CHARACTER : 0 5- The materials have been allowed to acquire the character of age and are obviously weathered. ________________________________________________________________________ MAXIMUM NUMBER OF POINTS= 100 (and up to 20 bonus points) MINIMUM THRESHOLD FOR DESIGNATION= 50 POINTS P134 X.b Page 8 of 8 Note: Each area of the integrity analysis includes a description of the circumstances that might be found and a point assignment. However the reviewer may choose another number within the point range to more accurately reflect the specific property. P135 X.b From: Ian Gray Sent: Tuesday, July 24, 2018 5:35 PM To: Sarah Yoon <sarah.yoon@cityofaspen.com>; Patrick Harris <patrick.harris@cityofaspen.com>; Justin Forman <justin.forman@cityofaspen.com> Subject: RE: 333Park/931Gibson Hi Sarah, Attached is a copy of the site visit from last week for the latest tree discussion for the proposed house move. Beyond the house move, Parks will need the usual documents to process a removal/dripline excavation permit for the receiving location at 931 Gibson. The following documents will comprise the checklist of those required for construction-based tree removal / dripline excavation permit applications: 1) a landscape plan that shows all current trees, the existing buildings and an ’X’ on the center of the trees requested for removal; 2) a site construction or management plan that shows tree protection zones around trees being retained, utility ingress points and accurate trenching widths if new access is required, and survey-accurate drawing (to architectural plans) for the absolute limit of disturbance for shoring (micropile, soil nail, or layback excavation) and grading; 3) a landscape plan that shows the new building, retained trees and proposed new tree planting; 4) a spreadsheet for the tree removals with species, diameter at breast height (DBH) measurements in inches, condition rating, and reason for removal; 5) a spreadsheet with proposed tree planting, DBH in inches, and species; 6) A firm quote for the installed cost of proposed new tree planting on company letterhead of the installer if that cost is desired as an offset to the assessed mitigation for the trees proposed for removal. That should cover things from my end. Best, Ian Gray City Forester Parks Department 585 Cemetery Lane Aspen, CO 81611 p: 970.429.2031 ian.gray@cityofaspen.com www.cityofaspen.com EXHIBIT B - REFERRAL COMMENTSP136 X.b From:Ian Gray To:Sarah Yoon Cc:Flynn Stewart-Severy; David Radeck Subject:333 Park - 931 Gibson Date:Tuesday, July 31, 2018 1:27:31 PM Attachments:image001.png Hi Sarah, I wanted to update my comments related to the 333 Park Landmark moving to the 931 Gibson site. I have had further meetings with the applicants and their designees in the past month to review and walk the proposed transportation route via Park Circle. As requested, the applicants have a certified arborist on their team and have verbally committed to working with Aspen Tree Service. These services will be paid for by the applicant. Some of the pruning that will be required falls outside of recommended best practice for both clearance above roadways and live crown ratios; however, it is reasonable to believe that these trees will survive the required pruning to move the house. My original comments related to COA assets/trees which would be affected during the move are included below as well additional notes to other trees requiring attention not previously addressed. I have not commented on any trees on private property which might require pruning— permission for any pruning would be required from any affected property owners prior to Parks signing off on the plan. Any tree removals would also require owner permission as well as tree removal permits from the Parks Department. - 410 Park, corner - remove 2 smaller stems of multi-stem cottonwood and remove two low branches higher in the canopy - 414 Park, Condos - remove 4 low limbs on multi-stem cottonwood - 511-512 Spruce Street - raise and reduce 4 crabapple trees - 860 Gibson Street – multi stem cottonwood near entrance to trailer park would need raising by removing 3 or four low branches - 851 Gibson - raise street side of lodgepole pine - 931 Gibson - 2 or 3 cottonwoods on opposite side of the street to the receiving site would need raising I am not in favor of removing any of the cottonwood stems at 927 Gibson west of the entrance to the receiving site – these trees should be protected. With a modicum of pruning I believe trees on both sides of the road in the vicinity of the receiving site can be protected from impacts from the house moving. The contractor indicated that it should be feasible to roll past the entrance to the east and then back the unit into the site thereby largely avoiding the trees at the west side entrance. The Park Circle route is an improvement over the two previous routes proposed by the applicant and has the least amount of tree impacts. The overall scope of the project is fairly straightforward. Parks will not need to issue any permits for the COA trees/assets, but I will need to process a work order for the necessary pruning. I hope this helps clarify the Parks Department position. As with any new development/construction, my previous comments regarding the document P137 X.b submission requirements for the receiving site still apply. Kind regards, Ian Gray City Forester Parks Department 585 Cemetery Lane Aspen, CO 81611 p: 970.429.2031 ian.gray@cityofaspen.com www.cityofaspen.com P138 X.b Memorandum From: Justin Forman, PE Senior Project Manager City of Aspen Engineering Department To: Sarah Yoon Historic Preservation Planner Community Development Department Date: July 27, 2018 RE: 931 Gibson – 333 Park Historic Conceptual Comments These comments are not intended to be exclusive, but an initial response to the project conceptual packet submitted for purpose of the HPC meeting. General: 1. Sheet A11 shows the 2 moving routes for the project (King or Gibson), it was deemed from site visit with applicant team that these would not work. A 2nd site visit was performed and the new proposed moving route is up Park Circle to Gibson. 931 Gibson Avenue: 1. Reference A7.0 dated 7/10/18. This project is not within the sidewalk deferred zone. Applicant to provide a sidewalk the entire length of the property along Gibson Avenue. This may require relocation of utilities. Applicant may need to coordinate design with Engineering & Parks Departments to minimize tree impacts. 2. Curb & Gutter will be required along the entire length of the property along Gibson Avenue. 3. Applicant will be required to follow the requirements of a major development within the Urban Runoff Management Plan. 333 Park Avenue: 1. Applicant will be required to provide a slope stabilization plan and revegetation plan with native vegetation tied to the appropriate permit(s) during house demolition/relocation. Applicant should be prepared for temporary irrigation for extended period until vegetation establishment. 2. Water service line to the property will need to be abandoned per City of Aspen Water Standards at the main line and this entire service line removed from the ground. P139 X.b REGULAR MEETING HISTORIC PRESERVATION COMMISSION JULY 11, 2018 1 Commissioners in attendance: Gretchen Greenwood, Jeffrey Halferty, Nora Berko, Scott Kendrick, Bob Blaich, Roger Moyer, Richard Lai. Absent were Sheri Sanzone and Willis Pember. Staff present: Linda Manning, City Clerk Andrea Bryan, Assistant City Attorney Amy Simon, Historic Preservation Planner Sarah Yoon, Historic Preservation Planner Jessica Garrow, Community Development Director APPROVAL OF MINUTES: Ms. Greenwood said she was not here for that meeting, but she read the minutes and it seemed interesting. Mr. Blaich moved to approve the draft minutes for June 13th, 2018, Mr. Moyer seconded. All in favor, motion carried. Mr. Halferty entered the meeting. PUBLIC COMMENT: None. COMMISSIONER COMMENTS: Ms. Berko said the Meadows is looking pretty amazing. They did it pretty quickly and amazingly. DISCLOSURES OF CONFLICT: Ms. Simon said she is recusing herself from 330 Park and 931 Gibson. PROJECT MONITORING: Ms. Simon said she will speak with Mr. Halferty and Mr. Kendrick tomorrow about St. Mary’s. She will discuss by email tomorrow along with two projects to show Mr. Blaich shortly. Ms. Greenwood asked if all the projects are covered. Ms. Simon said she doesn’t think so and she has a few upcoming requests. STAFF COMMENTS: Ms. Simon reminded everyone that they have been invited to an opening reception for St. Mary’s sanctuary project on Sunday. She also sent them an email asking for a special meeting on Aug 1st. We do have a quorum, but she would like to know if anyone cannot make it. Mr. Pember is unavailable. CERTIFICATE OF NO NEGATIVE EFFECT: Ms. Simon issued one for 520 E. Hyman, which is the building where I Pro is for some work on the third-floor penthouse unit. We also issued one for a remodel of the space where BB’s kitchen was. She also received an application for 501 E Hyman for an addition between Clark’s and Marcus. This application is to add a new entry door to the non-historic addition. After discussing with the building department, we felt this was resolved in a way that met guidelines and did not need HPC review. PUBLIC NOTICE: Ms. Bryan said everything is in order. CALL UP REPORTS: None. NEW BUSINESS: 333 Park and 931 Gibson Sarah Yoon P140 X.b REGULAR MEETING HISTORIC PRESERVATION COMMISSION JULY 11, 2018 2 This involves the relocation of the historic residence to new lot on 931 Gibson. Currently, 333 Park is in the R6 zone district. The rear property faces the Roaring Fork River. 333 Park contains two historic resources, which are proposed to be relocated. It was located to this site in the 1960s from Main Street. It was designated historic in 1995. 931 Gibson is in R15A zone district. Currently, there is a residential building on this site with a demo permit that has expired. The applicant is exploring different routes for relocation. The review requests are as follows: approval of demo of non-historic additions, relocation of 2 historic resources to the new site and rescinding the historic designation from 333 Park. For 931 Gibson, the applicant is requesting approval of relocation to this site and the designation of the property to protect the historic resources, the design approval for a basement and above ground addition which has a 10-ft. connector and 10 ft. one car garage along with demolition of the residence on the current lot. The applicant is requesting dimensional variances for the front and rear yard setbacks and the 500- sq. ft. bonus. On page 2 of the staff memo, it outlines the review process as it will involve Council heavily in the review process. The applicant proposes to restore the original Sanborn map footprint configuration of the two historic resources and reorient the front façade back to street facing, which will increase its visibility. Ms. Yoon showed images of the original footprint. In reviewing the criteria for relocation, 333 Park is not in a historic district and the resource will not have any adverse impacts on area. It is an acceptable alternative in this case and they meet all three of the additional criteria. There is an argument that the current location is over 50 years and of historical importance. The applicant has proposed to restore the historical character. They have also proposed a minor addition to the rear of the resource, which is in compliance with HPC guidelines. With the relocation, staff has concerns with the changes in allowable floor area on the accepting site. The new calculations differ from what was in the packet and are being passed out at the meeting. The lot sizes are significantly different from each other so the relocation will increase the floor area by 922 ft., not including the floor area bonus. The historic resource will now allow two detached units on the site, which was not allowed prior to the relocation. Regarding the demo criteria, the demo of all non-historic additions is supported. The applicant expressed that the first design, is the preferred designed. Staff has concerns with the connector, the site placement of the garage and request of the front setback variation. The applicant has provided a revised design that redesigned the connector from 5 to 10 feet in length and the above grade addition has been reduced to a single car garage to 250 from 500. In this design, the applicant has extended the connecting element to 10 ft. and reduced the above grade addition. They also moved back the addition so the variation will only be for the front porch. They are still asking for the sub grade variation for the living space. They do request the 500-sq. ft. bonus for their preservation efforts and want it for the Gibson space and meets six of the eight criteria for the bonus. HPC may grant up to 500 sq. ft., not on rights, but merits. Staff supports relocation of the historic resource with exception of the sub grade variation. The lot can accommodate for the basement without a variation. HPC will need to determine the following issues: $150,000 deposit necessary for relocation of the outbuilding, the granting of the floor area and the total amount and the granting of the front and rear yard setbacks. Ms. Greenwood said they discussed at the site, the potential of the front porch as historic. She said it is not represented in the presentation. Ms. Yoon said the Sandborn map footprint indicated a porch. Ms. Greenwood said that needs to be communicated. She also asked what is your thinking on the setback variance for below grade and not supporting it. Ms. Yoon said the new site has the capacity for the basement and it would not require the variance. APPLICANT PRESENTATION: Sara Adams of Bendon Adams, Flynn Stewart-Severy of F&M Architects, Brian Hendry, owner and Monty Thompson of Thunder Construction Mr. Hendry introduced himself and said he has a wife, Michelle. We have four kids and two dogs and have been coming here for 16 years and spend three months a year here. We first saw the property P141 X.b REGULAR MEETING HISTORIC PRESERVATION COMMISSION JULY 11, 2018 3 about seven years ago and we saw it for sale last summer and jumped on it. We love the house and the location. We are looking forward to restoring it to its original condition and we have spent the last year developing a plan for what we can do with the house. Ms. Adams said they have a long list of requests on the screen, but it’s a basic concept to pick up the two historic resources, remove the non- historic additions and move them to a more appropriate location and swap the historic designations. We are requesting conceptual approval for a one car garage. We are requesting a floor area bonus with a condition that it be completely allocated to a future detached home on the Gibson property and we are fine with it being allocated to below grade space. This property was constructed in 1889 by the Jacobs family and was located on a 3K sq. lot., but proposed to be on a 5K lot. The setback was 14 feet so this is part of why we feel the variance is appropriate. You can see the one story historic addition from the street and the barn along the alley. It changed hands a few times after Jacobs constructed it and in 1961 the land under the house was purchased. Mable placed an ad to sell the historic building. The Bibbig’s purchased the property and moved it to Park in 1962. The historic building has survived till today. Ms. Adams showed images of the facades as they are today. They went through four iterations within 333 Park before asking for relocation and worked on this for about a year. There are stream margin setbacks, R6 and 45-degree angle progressive height setbacks to work within. All required a lot of variances and no visibility to the street. Flynn scaled the Sanborn map and Brian found the Gibson property and we found that the Sanborn fits on this property with some massaging. We have been working with parks to find an acceptable route and we have now met with them twice and are still working with them to come up with a route that will work with everyone. Priorities are to fully restore the landmark, bring back the original Main Street configuration and have some street presence. 931 Gibson is a large flat lot and the intention is to move all the floor area not used by the landmark and designate it to a detached single- family home. There would be two homes on this lot and the floor area of a duplex on this lot is comparable to what we are asking for and we think it is better for the neighborhood. The new building would be under HPC purview since it would be a designated lot. There would be less density than the original Main Street location. Looking at context, Ms. Adams showed a map of the designated properties and showed an image of the original proposal with a two-car garage and a five-foot connector. All of the new square footage is below grade and we would be requesting the 500-sq. ft. bonus be allocated to the new home. They are fine with the preference that the bonus be used below grade. The level of restoration is not just physical, but we would be restoring context. This is a serious preservation effort going on here. We are requesting two setback variations to realign the historic addition and add the garage. The garage meets the 5 ft. above grade setback but needs the below grade variation. For the front yard setback, the preservation approach was to have the landmark be prominent along the street. The new detached building, proposed in the future, will be required to meet the 25-foot setback line and this is just for the landmark. As for the alternate option, the only way to elongate the connector from 5 to 10 feet, is to lose a garage bay. We would be pulling the landmark façade to the 25-foot setback line. We are still requesting the below grade setback variance for 5 feet. We don’t prefer the one car garage option and feel strongly that the front yard setback should match those along Main Street. We are requesting a decision tonight as we have another step to go with City Council. This is a unique project and a great opportunity. Mr. Kendrick asked when was the property designated historic. Ms. Adams said 1995. Mr. Kendrick asked if there were any incentives given at that time and Ms. Adams said no, it was a blanket designation. P142 X.b REGULAR MEETING HISTORIC PRESERVATION COMMISSION JULY 11, 2018 4 Ms. Greenwood asked what part of 931 Gibson is being designated and Ms. Adams said the entire parcel. Ms. Greenwood asked why are we not seeing what is being proposed for the new building because this is a serious problem moving forward without that building. Ms. Garrow said when we looked at the code, we would prefer to see the 2nd building, but it is not required. The criteria for granting the floor area bonus are really about the preservation effort of the historic resource itself and not about the additions of the separate building, so they felt comfortable moving forward. The entire lot is being designated, so at whatever point in the future they decided to move forward with a second building, it would fall under HPC’s purview. Ms. Garrow said this is a unique proposal and made sense to them to move forward. Ms. Greenwood said she finds that to be very odd because we grapple with the bonus and mass and scale on historic properties so it feels contrary to what we do on this board. She said she has a serious problem with that and it probably should have been discussed. Ms. Garrow said that one option on the bonus is that the decision will not be made until the second structure is proposed. Ms. Greenwood said this is not what my clients have dealt with doing almost the same thing. The lack of consistency with interpretation of the codes is disturbing. Since it is in the R15 zone, when it is a duplex you can see the reason for a deep setback, so did you ever consider asking for less of a setback so you could maintain a two-car garage. Ms. Adams said we would be open to that. We wanted to be sensitive to the requests we came in with. We want to be sensitive to the neighbors and their 25- foot setbacks. Ms. Greenwood asked if they anticipate the new building will have a 25-foot setback. Ms. Adams said we would be coming in with the 25-foot setback and we understand how the board feels about setbacks. Mr. Stewart- Severy agreed with Ms. Adams and said because it comes under HPC purview, it would be addressed. Having the historic home sit in front of the new development is a nice gesture. Mr. Kendrick asked if the FAR can be based on the quality of the restoration, conditionally once the project is complete and Ms. Garrow said there is a lot of discretion given to HPC so if you wanted to add conditions based on additional review, you have the latitude to condition it. PUBLIC COMMENT: 1. Alan Becker, neighbor on Matchless Drive, concerned with additional structures. We don’t know what they are going to be or look like. Mr. Becker sked what the intention for the property is and said he is concerned with what the 5-foot setback on the rear of the property means. Ms. Greenwood explained. Mr. Becker said he generally likes to know the proposed usage and intent for the additional structures. He asked what the estimated timeframe for the historic and new structures would be. Ms. Adams said Brian and Shelly own the property and they are trying to figure out the intent. They are not sure if they can fit their four kids and two dogs on the property. The historic home is about 2000 square foot of floor area and the detached structure would be about 2500 sq. ft. and 500 with the bonus. If the bonus is allocated to the basement, that is what we will do. Ms. Garrow said as staff, we struggled a little bit with what you do with the bonus and it does meet the criteria. Not knowing what a 2nd building will look like, we said if the bonus is granted, we prefer it will be located in the basement knowing it will be difficult to parse out. If HPC is uncomfortable with that language, we can remove it. Ms. Adams said if you grant the bonus, it will be 3000 square feet of FAR and that is 1000 square feet more than the landmark. Mr. Becker said my old understanding was the bonus is up to 500 sq. ft. Ms. Greenwood said that is correct. 2. David Harris, lives at 117 Neale Ave in a historic resource. He said these kinds of projects are really good things as long as they are done in a complete manner. Regarding the front yard setback, my porch sits 10 feet off the sidewalk. In zones where you have a 25-foot setback, they are dead places, so I encourage you to take a look at that. What is better than having people P143 X.b REGULAR MEETING HISTORIC PRESERVATION COMMISSION JULY 11, 2018 5 enjoy each other. What goes along with that is a sidewalk, is there is “staff” who have decided that sidewalks are inappropriate in our neighborhoods, so please make sure there is a sidewalk. Ms. Greenwood asked if engineering is requiring you to put in a sidewalk. Ms. Garrow said it will be required. Because the zone allows there to be 2 separate buildings, you should try to master plan the site. Mr. Lai said he is not familiar with his house but if he prefers the traffic in front of your house, I would like to take a look at that. 3. Mike Maple asked when was the last time other than the relocation of Zupancis, that there was a relocation like this and how often does this happen. Ms. Garrow said it is a very unique project and there were two of these types of relocations, one in 1988 – 134 ½ West Hopkins moved and the Zupancis. There were a lot of properties moved in the 60s and 70s. This is a gigantic site and quite unusual. Mr. Maple said his family owned and occupied the adjacent property for 50 years. It’s a brilliant plan to create development in excess of 3 million dollars. This is asking for too much. The idea of two structures plus FAR bonus is asking for 18% increase of development potential. If the home was being relocated to a historic area, it may be appropriate. 4. Christine Dodaro, lives across the street. She doesn’t think the mailing said what will be built on the second part of the lot and is concerned about that. Ms. Greenwood closed the public comment. Ms. Adams said as for the development of the second lot, it would be a single-family home. It is nice to hear mike’s comments and we have put our best foot forward with a good solution. It comes with some tradeoffs and it will be a single-family home that will meet your design guidelines. We are open to phasing in the bonus. Mr. Hendry said he is not a developer and their intention was to buy one house, but this has escalated due to scenarios that developed once we built the house. Our intention is not to disturb or be a hindrance to your mother and father. Our intention is to stay in the house. Mr. Stewart- Severy said the garage we proposed is based off the Sandborn maps and it is depicted more off a barn than anything else. The vertical height is up for debate and the original barn was taller than the single- story structure. Ms. Greenwood summarized the issues and said that staff is asking for a demo of non-historic addition, relocation of Victorian to a non-historic site creating a new landmark designation where one never existed. Staff feels like we should give them a 500-ft. bonus. Mr. Halferty said the proposed development has strong merits. The relocation would add some prominence to Gibson. He is ok with some of the variances. The FAR bonus is hard to get his hands around since it is on a lot where there is no house. It is hard to allocate whether it is sub or above grade when we don’t know the architecture. He thinks the last iteration with the garage in the back is admirable and the connecting element works. It is a large lot and the proposed foot print works. The presence towards Gibson works and conforms to the guidelines. He needs to look more at site planning for garage access. In defense of applicants they have not gone through the design of the other lot, but it would be nice to see it. The project is on its way and it is a strong restoration effort. The FAR bonus is questionable, but he is not saying it is not warranted. He is curious as to where the receiving site would be. He is in favor of the partial demo and the setback variance. He is curious of the receiving area and site location of FAR bonus. P144 X.b REGULAR MEETING HISTORIC PRESERVATION COMMISSION JULY 11, 2018 6 Mr. Lai said regarding the rear setback, he is ok with it as it is reasonable with the garage. It is logical to put the barrier wall below, under it. At the beginning, he was in favor of keeping the 25 feet in the front, but has been persuaded by Mr. Harris that there may be a social advantage to it. He agrees with the chair on the 500-foot bonus, but is skeptical about bonuses generally. He would need to be persuaded that the preservation is exemplary. Mr. Kendrick said this is an interesting solution to a difficult problem. He likes that the two historic pieces are coming back together in an original configuration and is fine with the setback. He does have a problem with the FAR bonus with not knowing what the new building will look like. I know I will not be in favor of any setbacks for the new building. Moving the building is giving it a lot of value. Mr. Moyer said he is totally in favor of the renovation and removal of the additions of the resource and he is in favor of moving it to the new site. He would like to see a two-car garage and seeing it closer to the sidewalk. We know there will be a structure on the corner and recreating the vitality would be helpful. He has no issue with the rear setback. He does not have an issue with the bonus if it is underground. Most of the time, he is totally against giving any type of bonus especially redoing a resource that has been unknown for a number of years. It is interesting, we know we could have an 8000 plus structure and we are getting much less and it will creates more of a neighborhood and I’m willing to allow a little discretion. Ms. Berko said for her, underground doesn’t count and she doesn’t quite understand that. She thanked Ms. Adams for doing the research about the property. Thank you all for the public comment. It is a wonderful building that should be seen. Until Mr. Harris brought up the sidewalk and the setbacks, I wasn’t for them. I would like to see them tied to the requirement of a sidewalk. I like the revision of the 10-foot connector. I’m not sure why if you move it forward why you need the rear yard setback. He’s having a hard time with the bonus. I don’t know what is going to be there. Tying it to what Main Street was doesn’t mean much since none of us know it from there. It’s less important to recreate the Main Street situation. It leaves a potentially huge structure next door. Mr. Moyer said in the 1990s, we had a concept with shared driveways. That will happen here. Prior to that, there were a lot of projects that weren’t that great. I would like to see the sidewalk here and the new project will be set back 25 feet. Mr. Blaich said this is a commendable project. The owner and staff worked hard on getting it resolved. He heard some objections that he hadn’t considered. I would be in favor of a 2-car garage. I’ve watched that neighborhood change over the years. Ms. Greenwood personally feels, given a 6000-square foot lot, she is totally in favor of the demo and moving the structure. Being able to do that is your bonus. As Mr. Maple pointed out, you are getting a lot of development rights by getting a historic designation where one doesn’t exist. For me, you got a bonus by that. Not a square foot one, but a development one. Regarding the setbacks, I don’t think it is appropriate to have a 5 foot one for a garage you don’t access off the alley. Maybe the garage is in the wrong location. New construction should be a product of its own time. In an R zone, the rear yard setback is 10 feet. Given a site of this size, the rear set back should be 10 feet. I don’t think anyone is in favor of the 500-square foot bonus. I’m not in favor of the setback for the garage. I would rather see a lesser set back up front. The demo of the historic addition and moving it is a great idea. The whole site becoming historic is a lot to grant somebody. P145 X.b REGULAR MEETING HISTORIC PRESERVATION COMMISSION JULY 11, 2018 7 Ms. Garrow said that after listening to the comments, she has a suggestion. It seems like you are in favor of the demo and relocation. If you are inclined to approve the demo, relocation and change in historic designation, we can include an update to show both buildings after council approval then the floor area bonus could be awarded at conceptual. Ms. Greenwood said the conceptual major development is not ready to be assessed. Ms. Garrow said the suggestion is to take the bonus off the table. If HPC supports the design and grants the conceptual, we can make the recommendation to council to add a condition and there be an amended conceptual before final. Ms. Greenwood asked why we can’t approve the relocation and continue the conceptual. Ms. Garrow said you would only be making a recommendation to council. The issue is when council approves the ordinance, we would have no idea where the building is going. Ms. Greenwood asked what is wrong with that. She said she would push for a two-car garage. Ms. Garrow said it looks like the applicant is amenable to pulling the conceptual out and just making a recommendation on the relocation and partial demolition. Mr. Moyer said let’s keep it simple and give them the permission to move and come up with something better than what they have now. Ms. Greenwood said the restoration effort is excellent, but the garage could use some work. Mr. Stewart-Severy asked what she meant and Ms. Greenwood said this is just to be sensitive to the neighbors. With a site that large, it should be 10 feet off the property line. MOTION: Mr. Halferty motioned to approve resolution #9 for recommendation to City Council to approve the relocation from 333 Park to 931 Gibson, rescinding the designation at Park and adding designation to Gibson and landmark relocating building and removing non-historic parts. This is only section 1, 5, 7, 8 and 9. Sections 2, 3, 4 and 6 have been deleted. Mr. Kendrick seconded. Roll call vote: Mr. Kendrick, yes; Ms. Berko, yes; Mr. Lai, yes; Mr. Moyer, yes; Mr. Blaich, yes; Mr. Halferty, yes; Ms. Greenwood, yes. 7-0, motion carried. Ms. Garrow stated that if council approves the demo and relocation, the applicant will come back after city council. MOTION: Mr. Blaich motioned to adjourn, Mr. Halferty seconded. All in favor, motion carried at 6:30 p.m. ___________________________ Nicole Henning, Deputy City Clerk P146 X.b 300 SO SPRING ST | 202 | ASPEN, CO 81611 970.925.2855 | BENDONADAMS.COM September 5, 2018 Aspen City Council c/o Sarah Yoon and Jessica Garrow City of Aspen 130 So. Galena St. Aspen, Colorado 81611 RE: 333 Park Avenue and 931 Gibson Avenue Applications Dear Mayor Skadron, City Council, Ms. Yoon and Ms. Garrow: Thank you for considering the application for Relocation and exchanging Historic Designation between 333 Park and 931 Gibson to ensure that landmark designation travels with the two historic landmarks. The one story historic landmark was discovered by the project team while researching the history of the property. It was not included in any of the inventory forms in the City of Aspen’s files and was not disclosed by the previous owner during the sale of the property. Two historic landmarks on an already constrained site with significant slopes, an access easement through the front yard, and located within an environmentally sensitive area with a height restriction required an uncoventional approach to restore the compromised landmarks. This is a very unique one of a kind case that necessitates special consideration. During second reading on August 27th, we presented a few of the multiple studies (shown below) completed over the past year that resulted in the conclusion that the best preservation approach is to relocate the landmarks to a more appropriate site: the two historic landmarks at 333 Park do not fit on the property without numerous variations from the Land Use Code and the Historic Preservation Design Guidelines. Considering that Historic Preservation and compliance with the Land Use Code are top priorities for the Hendrys and for the community, the application to relocate the buildings was submitted. Four iterations of the 333 Park analysis are shown below: Version 1: Turn landmark 180 degrees to face the access easement. Setback variances, height variance (shown in black), historic front porch abuts the driveway putting the historic feature dangerously close to snow plows and vehicles, one story historic is attached to side of the landmark which requires removal of historic siding. Landmark is cantilevered over the slope. EXHIBIT G - Updated Letter from ApplicantP147 X.b 333 Park and 931 Gibson September 17, 2018 Version 2: Turn the landmark 90 degrees to face the side property line. Setback variances, garage is located off the property, height variance (shown in black), landmark is cantilevered over the slope. Facing the front of the landmark to the side property line does not meet the Historic Preservation Design Guidelines and is likely to not be supported by HPC. Version 3: Turn the landmark to face Park Avenue. Setback variances, garage is located off the property, height variances (shown in black), landmark is cantilevered over the slope. Version 4: Turn landmark 180 degrees to face the access easement. Setback variances, height variance (shown in black), historic front porch abuts the driveway putting the historic feature dangerously close to snow plows and vehicles, one story historic building is cantilevered over the slope and over an open ditch. P148 X.b 333 Park and 931 Gibson September 17, 2018 Unlike other properties, such as the three Zupancis buildings located in their original location on Main Street, 333 Park is not in its original location – it was originally located on Main Street. Aspen has a history of relocating 19th century buildings that dates back to before the adoption of the historic preservation program. In Aspen’s post-war renaissance, buildings were relocated to other properties to make way for new construction and for the practicality and cost effectiveness of reusing the building (Figure 1). With the adoption of a Historic Preservation Program, Aspen relocated buildings when it was deemed the best preservation approach - typically to avoid large additions to landmarks by separating new and old construction. 333 Park is a result of the first situation, it was relocated in 1961 to make room for the Pitkin County Library on Main Street (now Design Workshop). It is not in its original location and based on the Historic Preservation Design Guidelines and Land Use Code, the 333 Park location is not an appropriate setting for the two landmarks and the buildings are non-conforming. The best preservation approach is to locate the buildings to a more appropriate location. The site restrictions at 333 Park are insurmountable – the Roaring Fork River is and will remain protected with setback and height restrictions, the steep slopes on the property are not permitted to be re-graded, and the access easement through the front yard is unlikely to change because it provides the only vehicular access to three other developed properties. The top priority for the Hendrys is to restore the landmark and the one story historic addition in its original configuration. The proposed relocation and restoration increases the integrity score of the landmarks from 68 points at 333 Park to 93 points at 931 Gibson. The new location provides ample space to reorient and restore the two landmarks and provides a more appropriate setting and relationship to grade than the current location of the landmark perched above the Roaring Fork River. 931 Gibson is surrounded by 19th Century landmarks and historic maps show residential development in the Gibson neighborhood (Figure 3). The landmark and one story historic addition fit on the 931 property in their original configuration with the one story addition directly behind the two story landmark. The orientation of the landmark to the street matches its original location on Main Street which meets the Historic Preservation Design Guidelines. The overall plan is to have two separate buildings on the 931 Gibson property: the landmarks and a new separate building. The total floor area for the property is 4,530 sf which would be divided between the two separate buildings. The “The character of a historic structure is greatly influenced by the surrounding framework of streets and public spaces, the physical characteristics of the specific site, and the way in which the historic resource is situated on the lot.” Figure 1: Example of the history of relocating buildings in Aspen. A 1955 Aspen Historical Society photograph moving a home. Figure 2: Aspen Historic Preservation Design Guidelines. Figure 3: 1893 Willits map of the Gibson Avenue neighborhood. P149 X.b 333 Park and 931 Gibson September 17, 2018 landmarks equal about ~1,800 sf of floor area without any additions, meaning the new separate building could be roughly ~2,730 sf of floor area subject to the Historic Preservation Design Guidelines. Any addition or new construction requires approval from HPC after City Council grants relocation approval. City Council will have call-up authority consistent with any other historic project. Mr. Beck (the owner of 935 Gibson) and some Council members discussed the concept of requiring one large building on the site rather than two separate buildings. The Historic Preservation Design Guidelines prefer to separate new and old construction in separate masses rather than a large addition attached to a landmark. To reinforce this preservation tenet that Aspen has incorporated into its program for decades, the 2016 Historic Preservation Design Guidelines added a new guidelines that restricts the amount of above grade square footage attached to the landmark: 10.4 The historic resource is to be the focus of the property, the entry point, and the predominant structure as viewed from the street. • The historic resource must be visually dominant on the site and must be distinguishable against the addition. • The total above grade floor area of an addition may be no more than 100% of the above grade floor area of the original historic resource. All other above grade development must be completely detached. HPC may consider exceptions to this policy if two or more of the following are met… Restricting the property to one large mass instead of two smaller buildings conflicts with the Historic Preservation Design Guidelines and does not allow the Historic Preservation Commission full authority to decide the appropriate placement, design, massing, scale and style of the landmarks and new construction. Design Guideline 10.4 allows some variation from the requirement, but the intent is clear – separate new construction in order to not overwhelm the historic resource. The Historic Preservation Commission unanimously supports the proposal to relocate the historic landmarks from 333 Park to 931 Gibson with a 7-0 vote. Some members of City Council and the neighbors on either side of 931 Gibson expressed concern over a historic landmark lot split. A lot split is not proposed. The Hendrys agree to language in the Ordinance that requires City Council approval for any future lot split of the property. An application would have to be submitted to the Community Development Department, public notice would be provided, a recommendation would be requested from HPC, and the application would be considered by City Council. 931 Gibson currently has two curb cuts and no sidewalk along the front property line. The Hendrys are willing to commit to one driveway and curb cut for the property which physically lends the property toward a single family residence and reduces impacts on Gibson Street. The Hendrys are in discussions with Mr. Beck and his attorney to hopefully reach a private agreement that addresses Mr. Beck’s concerns. In “A new building must be compatible in mass and scale with its historic neighbor and not overwhelm it. At the same time, minimizing any addition to the historic resource and shifting square footage to the new structure is generally desired.” Figure 4: Historic Preservation Design Guidelines. P150 X.b 333 Park and 931 Gibson September 17, 2018 response to David Harris’ comments about sidewalks, the Hendrys are supportive of putting in a sidewalk; however, it is up to the City Engineer to determine the appropriate location of the sidewalk based on the City’s adopted Sidewalk Master Plan. We look forward to presenting this project to City Council as we feel strongly this is the best preservation solution for this important landmark. Please contact me if you have any questions or would like more information to complete your review. sara@bendonadams.com or 970-925-2855. Kind Regards, Kind Regards, Sara Adams, AICP Principal BendonAdams, LLC Attachments [provided at First and Second Reading]: A - Designation and Delisting to move the landmark to 931 Gibson & to remove the vacant 333 Park from the inventory B - Demolition of non-historic additions C - Relocation (including letter from Bill Bailey confirming ability to relocate structures) D - Drawings and comparisons P151 X.b Page 1 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com Memorandum TO: Mayor Skadron and City Council FROM: Sarah Yoon, Historic Preservation Planner THROUGH: Jessica Garrow, Community Development Director MEETING DATE: Continued, Second Reading, September 17, 2018 - Public Hearing RE: Ordinance #22, Series of 2018 - 333 Park Avenue and 931 Gibson Avenue – Relocation, Rescinding Designation, Designation and Demolition APPLICANT /OWNER: BMH Investments, LTD REPRESENTATIVE: Sara Adams, AICP, BendonAdams LOCATION: Street Address: 333 Park Avenue & 931 Gibson Avenue Legal Description: See Ordinance Exhibit A Parcel Identification Number: -333 PARK PID# 2737-181-00-017 -931 GIBSON PID#2737-074-00-004 CURRENT ZONING & USE -333 Park Ave: Medium-Density Residential (R-6) Zone District -931 Gibson Ave: Moderate-Density Residential (R-15A) Zone District PROPOSED LAND USE: Residential SUMMARY: The applicant requests City Council approval for demolition of non- historic additions to the landmarked residence on 333 Park Avenue and to relocate the historic buildings to 931 Gibson Avenue. Applicant requests rescinding the historic designation of 333 Park Avenue and adding designation of 931 Gibson Avenue upon the relocation. STAFF AND HPC RECOMMENDATION: Staff and HPC find the applicant’s request for relocation as an appropriate preservation practice for the historic buildings at 333 Park. Staff and HPC recommend City Council approve relocation, demolition of non-historic additions and the request to rescind historic designation of 333 Park Avenue and adding designation of 931 Gibson Avenue following relocation. HPC voted unanimously (7-0) recommending in favor of the proposal. Site Locator Map - 333 Park and 931 Gibson P152 X.b Page 2 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com Response to Council Comments at Second Reading: Since the second reading with Aspen City Council, the applicant has provided an updated cover letter addressing the concerns brought up by the public and City Council, and agrees to include language in the ordinance that: • prohibits a future lot split unless approved by City Council, and • confirms a single driveway and single curb cut on the property. This language has been updated in the revised Ordinance #22, Series of 2018. Another concern was raised during second reading by a neighbor related to future ownership of the property. The applicant is in discussion with the neighbor to establish a private agreement to address this issue. Staff supports the process of a private agreement between the neighbors over ownership details being addressed in the Ordinance. 1. Designation Process with Relocation: Changes to designation only occur if Relocation is approved. The ordinance is written to ensure the changes to designations occur only after the safe relocation of the historic structures. The flow chart for this process can be seen below (Figure 1). This was the same process that was taken for the relocation of the Zupancis Cabins from 540 E. Main Street to the Holden Merlot open space property. After the relocation of the cabins, the historic designation of 540 E. Main Street was rescinded (Ordinance #7, Series of 2017). Figure 1: Flow Chart related to Designation 2. Density Clarification: The relocation of the historic resources to 931 Gibson Ave. does not increase the allowable density or floor area for the site. Regardless of if this project is approved or not, the property is limited to no more than two (2) units. The change to 931 Gibson Avenue with the historic designation is how the two (2) units are placed on the lot and if they are deed restricted. Currently the property could have a single-family residence of 4,529.82 sf of floor area, or a duplex (two attached units) with 4,949.82 sf of floor area. If the project is approved, the property could have one (1) or two (2) single family residences with a total of 4,529.82 sf, or a duplex (two attached units) with 4,949.82 sf (see Table 2 below). If a duplex is pursued in this zone district, the underlying zoning requires one (1) of the two (2) units be deed restricted as affordable housing. The figure below is a simple diagram demonstrating what types of building configuration is allowed on 931 Gibson according to the zone district. P153 X.b Page 3 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com Figure 2: Allowable Floor Area – 931 Gibson Ave. 3. Historic Preservation Design Guidelines – Massing: The Historic Preservation Design Guidelines deal with the mass and scale of new buildings on landmarked properties. The intent for this section in the guidelines is to create compatibility between the new building and the historic resource by taking the following design decisions into account: building orientation, alignment, mass and scale, and building form. To best preserve and maintain the historic resources, the guidelines require any new addition be distanced from the resource with a connecting element and remain subordinate in appearance to the historic resource. Where possible, new construction is encouraged to be completely detached from the historic resource. If the historic resources are relocated to 931 Gibson Avenue, HPC will review the design proposal according to the Historic Preservation Design Guidelines. New additions will have to carefully consider total above grade floor area and mass/scale related to the historic resources. Given the detailed HP Design Guidelines, staff does not recommend a limitation on how the above grade mass is placed. Below are a few relevant design guidelines: HP Design Guideline 10.4: The historic resource is to be the focus of the property, the entry point, and the predominant structure as viewed from the street. • The historic resource must be visually dominant on the site and must be distinguishable against the addition. • The total above grade floor area of an addition may be no more than 100% of the above grade floor area of the original historic resource. All other above grade development must be completely detached. HPC may consider exceptions to this policy if two or more of the following are met:  The proposed addition is all one story.  The footprint of the new addition is closely related to the footprint of the historic resource and the proposed design is particularly sensitive to the scale and proportions of the historic resource.  The project involves the demolition and replacement of an older addition that is considered to hav been particularly detrimental to the historic resource.  The interior of the resource is fully utilized, containing the same number of usable floors as existed historically.  The project is on a large lot, allowing the addition to have a significant setback from the street.  There are no variances requested in the application other than those related to historic conditions that aren’t being changed.  The project is proposed as part of a voluntary AspenModern designation, or P154 X.b Page 4 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com  The property is affected by non-preservation related site specific constraints such as trees that must be preserved, Environmentally Sensitive Areas review, etc. HP Design Guideline 10.8: Design an addition to be compatible in size and scale with the main building. • An addition that is lower than, or similar to the height of the primary building is preferred. HP Design Guideline 11.3: Construct a new building to appear similar in scale and proportion with the historic buildings on a parcel. • Subdivide larger masses into smaller “modules” that are similar in size to the historic buildings on the original site. • Reflect the heights and proportions that characterize the historic resouce. P155 X.b Page 5 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com NOTE: The remainder of the memo from the August 27th public hearing. Response to Council Comments at First Reading: 1. Council requested clarification on the overall review process. For second reading City Council is ultimately asked to determine if relocation of the structures on 333 Park is acceptable, along with the subsequent decisions for designation and demolition. If relocation and designation are approved, the applicant will submit for Major Development of 931 Gibson in a new application. This will be a standard two-step review process consisting of conceptual and final design review through HPC. City Council call- up would also occur, following the Conceptual review. No Historic Preservation benefits are requested as part of the current application. Instead, any benefits would be part of the subsequent Major Development application, and reviewed by HPC according to the Historic Preservation Design Guidelines and benefits criteria. It is important to note that the application would be subject to the code in place at the time of that application, and not vested in the current code. 2. Council requested additional information regarding HPC purview if designation was rescinded from 333 Park and 931 Gibson was designated. If relocation is approved, the historic designation would follow the historic resource because designation is designed to protect the specific historic resources. Without the historic resources on 333 Park, the lot will no longer qualify for retaining its historic designation and HPC will no longer have purview over future development. Underlying zoning requirements for R-6 would apply to any future development. If 931 Gibson contained the historic buildings, it meets the criteria for designation and will be subject to HPC review and design guidelines for any proposed development moving forward. Future requests for development and benefits would be subject to HPC review, as well as City Council call-up. 3. Council requested information on any relocation precedents where a historic resource was relocated to a new site and historic designation granted, and what possible ramifications for future projects might be. In the 60s and 70s, before the HPC was established, a number of historic buildings were relocated around town, but documentation depicting this activity is not available. When comparing historic maps with existing conditions, it appears that many historic structures were relocated to the Smuggler area of town. (See below, Willits Map, 1893) More typical relocation of historic properties seen today is the shifting of the resource within the original, designated lot. All the Victorian era buildings with historical integrity are protected through local historic designation with the intent to protect it by subjecting any proposed development or change to a board level review with design guidelines and criteria specific to preservation. Staff identified two projects that involved the relocation of a historic resource to a new site: 134 ½ W. Hopkins approved in 1988, and the more recent Zupancis Cabins in 2016. 134 ½ W. Hopkins was relocated from 120 N. Spring Street to West Hopkins, and the Zupancis Cabins were moved from the new Police Station on Main Street to Holden Marolt open space. In both cases the relocated historic resources were in their original location before relocation. The determining factor for relocation is directly related to the final preservation outcome of the resources themselves. The Zupancis Cabins were examples of resources demonstrating a high level of historic integrity, both interior and exterior, that could be fully P156 X.b Page 6 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com restore and interpreted off-site – a unique opportunity not likely to be replicated in another existing building.. Before relocation, 2016 (Photographer Skalko) After relocation, 2018 134 ½ W. Hopkins was identified as possessing architectural significance and the relocation to West Hopkins would “make the house more accessible to the public and increase its prominence in the new context, as we see it.” (Staff memo, 1988). At the time, the HPC evaluation of the resource on N. Spring Street resulted in a low evaluation score, whereas the proposed site for relocation enhanced the receiving neighborhood by restoring historic site conditions. The case file indicates that there was also large development that posed a threat to the resource if it remained on N. Spring Street. Before relocation, 1988 After relocation, 2012 Staff finds that these types of relocation requests have not been common because the combined conditions of a resource with a higher level of historic integrity benefiting from relocation is rare. Additionally, each historic preservation project is evaluated utilizing the HP design guidelines and review criteria on a case-by-case basis, therefore, using a past precedent may not render much support for future projects. 4. Council asked for clarification of allowable floor area for both properties and the allowed number of units, as well as additional information regarding the neighborhood context of the Gibson lot P157 X.b Page 7 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com related to other historic resources. 333 Park, located in the R-6 zone district, has a gross lot area of 10,418 sf., but after slope and easement deductions are made the net lot area equals 6,048 sf 1. Based on these numbers, the allowable floor area for a single family dwelling is 3,246.72 sf. As a historic lot, a detached dwelling is permitted with an allowable maximum floor area of 3,607.68 sf. Any development on this lot will need to take stream margin review requirements into consideration. 931 Gibson, located in the R-15A zone district, has a gross lot area and a net lot area of 15,497 sf. The allowable maximum floor area for a single family dwelling is 4,529.82 sf and does not change with the relocation of the historic resource. One thing the historic designation will now allows is for two detached dwellings to exist on the lot. However, the allowable maximum floor area is limited to what is allowed for a single family home (4,529.82sf.) per underlining zoning requirements.2 The applicant conducted a number of conceptual design studies on 333 Park before pursuing the option of relocation. (See Tables 1 and 2 below.) The context surrounding the Gibson lot is unique in that a number of historic resources have been relocated to this area before the HPC was established. If relocated, the resource will be surrounded by other historic resources in the general vicinity. (See below, Map of Historic Resources near Gibson, 2018. Historic properties are outlined in orange, and 931 Gibson is identified by the red circle. ) Aspen Willits Map, 1896 Map of Historic Resources near Gibson, 2018 5. City Council members requested additional clarification on if similar types of relocation applications could become more common, and if staff’s recommendation is derived from a loophole in the system or if this is an active promotion of the Historic Preservation program. A proposal such as this is unusual because it requires the applicant to own two properties and commit to a preservation 1 The Land Use Code required reductions in Net Lot Area if steep slopes or easements exist. Floor area is calculated off of Net Lot Area, so large lots with significant slopes will have a lower allowed floor area than a large lot with no slopes. 2 It should be noted that 2 attached units (a duplex) is allowed by the zone district, but one half is required to be deed restricted. P158 X.b Page 8 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com plan that justifies relocation and the added risk related to the logistics of the relocation. Additionally, this structure has previously been moved from another part of town, making this type of relocation more appropriate than if it were in it’s original location. Staff and HPC’s recommendation for approval of the relocation are based on the HP program’s review criteria and the historic integrity assessment value. (See Exhibit A.1 and A.3). The historic preservation program is in place to help maintain the historic character of the city by protecting the individual resources from future development pressures that may inappropriately impact the resource. The request of relocation from the applicant is an appropriate preservation method in this instance because the current location of the resource is inappropriate and the relocation will provide opportunities to restore original conditions such as site placement and visibility. Staff highlighted the importance of restoring visual prominence of the historic resource in the staff memo. After the house was relocated to Park Avenue, the once proud example of Victorian architecture was hidden from public view, which also made it difficult to monitor its physical condition as a historic resource. There are a finite number of historic buildings from the Victorian era that remain in Aspen to tell the story of its silver mining history. Prominence and the showcasing of historic resources does need to take surrounding context into account, but the program strives to promote the awareness and appreciation of Aspen’s heritage by creating a visual presence of the existing resources for public view. 6. Council members asked about the challenges and balance of historic preservation values with other community values. Historic designation, as well as rescinding designation is a structured public process with very specific code criteria that must to be met (Section 26.415.030, 26.415.050) and the final determination made by City Council. Historic Preservation is identified as an important community value that links to community character and growth and economy (pg. 55, Aspen Area Community Plan, 2012). In a recent community survey, more than 93% agreed that historic preservation projects contribute, on varying levels, to telling the unique story of Aspen’s past. (Q.8, Survey Results, 2018.) A vital community is always in the process of balancing its many different values. Staff believes this proposal balances the many competing community values that are articulated in the land use code. Relocation will not result in more density than could be built today on 931 Gibson. Relocation will create an improved opportunity for slope stabilization and sensitive development by the Roaring Fork River on 333 Park. And, relocation is the best preservation opportunity for the historic resource. P159 X.b Page 9 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com BACKGROUND: 333 Park Avenue became a designated historic landmark in 1995 because of the Victorian era residence that was moved to this location from Main Street in the 1960s. During this relocation, the front of the historic house was oriented to face the Roaring Fork River, and several bandit units were added to the historic residence over the years. The lot is approximately 10,418 sq. ft. (Gross Lot Area) and located in the Medium-Density (R-6) zone district. Prior to the submission of this Land Use Application, the applicant fulfilled the conditions specified in the Growth Management Quota System (GMQS) exemption by decommissioning the kitchens within the bandit units and obtaining approval by a field inspector. 931 Gibson Avenue is located in the R-15A zone district, and recently had an active building permit to demolish the existing house and stabilize the site. The lot is approximately 15,497 sq. ft. (Gross Lot Area), but is not a designated landmark nor located in a historic district. The owners of 333 Park Avenue are currently under contract to purchase 931 Gibson Avenue as a receiving site of the historic resources if relocation is approved. LAND USE REQUEST AND REVIEW PROCESS: The Applicant is requesting the following land use approvals from City Council, all of which have received a recommendation from HPC: • Relocation (Section 26.415.090) of a designated historic landmark to a new location. City Council is the final review authority. • Demolition (Section 26.415.080) of designated historic properties or properties within a historic district. City Council is given final review authority. • Rescinding Designation (Section 26.415.050) of 333 Park Avenue due to the proposed relocation of the historic structure. City Council is the final review authority. • Historic Designation (Section 26.415.030) of 931 Gibson Avenue due to the proposed relocation of the historic structure. City Council is the final review authority. HPC MEETING SUMMARY: The applicant presented a plan to demolish all non-historic additions built around the historic residence at 333 Park Avenue and relocate the historic house and historic one-story addition to 931 Gibson Avenue to HPC during the July 11th meeting for Conceptual Design. As part of the application the applicant prepared a conceptual design for 931 Gibson Avenue with the restored historic buildings including a connector element that linked the historic buildings to a one-story garage located towards the rear of the lot. With this design, the applicant included a request for a front setback variation and a floor area bonus for the extensive preservation work proposed. Although relocating a historic building to another site is typically not supported by the Historic Preservation Design Guidelines, HPC determined the proposal for relocation was an appropriate preservation method in the case of 333 Park Avenue because it would restore the historic configuration of the two resources and place it back onto a site that would re-establish a visual presence the residence once had when it was on Main Street (Figure 1). The proposal also met all of the criteria for relocation in Section 26.415.090. P160 X.b Page 10 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com Figure 1 Historic Streetscape of Main Street, Aspen Historical Society The identified receiving site, 931 Gibson Avenue, is a significantly larger lot compared to the original 3,000 sf lot where the resources were on Main Street; however, the relatively flat site and the number of other historic resources surrounding the lot on Gibson Avenue brings it closer to the site context it once had on Main Street compared to where it is now on Park Avenue. The applicant provided conceptual designs for the historic residence but the design for a future detached dwelling was not presented at this time; however, it was made clear that any future designs for a detached dwelling unit would still be subject to the Historic Preservation Design Guidelines and HPC review. This process is not uncommon and often seen when historic lot splits are granted, but HPC decided that they would like to review a conceptual design for Major Development that showed the site plan for the entire site, including any future detached dwelling unit. The applicant agreed to provide this information and will submit a new, separate application for Conceptual Major Development if this application for relocation is approved. HPC voted unanimously (7-0) in favor of the proposed relocation and associated reviews. In summary, City Council has the final authority to grant relocation of the historic buildings to the identified receiving site, demolition of non-historic additions on 333 Park Avenue, rescinding designation of 333 Park Avenue and designation of 931 Gibson Avenue after relocation. HPC was a recommending body for this review. Both HP staff and HPC recommend City Council approval for the relocation of the historic landmark buildings to the new site and the designation process and demolition required to achieve the relocation. (See Exhibit F – HPC Meeting Minutes for more details.) Allowable Floor Area: As a 15,497 sf lot on Gibson Avenue, the development potential that exists through underlying zoning for a single family dwelling is 4,529.82 sf with the potential to land one TDR of 250 sf. With the proposed relocation and historic designation, the underlying R-15A zone district would allow two detached residential dwellings, but the allowable floor area is limited to the same 4,529,82 sq. ft. of single-family dwelling floor area because the lot is less than 20,000 sf. Without the relocation, the lot could have one detached residential dwelling 3. It should be noted that the same applies to 333 Park – the lot is allowed two detached dwellings with the historic resource, but only once it is moved. (Details on floor area is outlined in Tables 1 and 2, below.) 3 The current owners of 931 Gibson Ave, applied for a Residential Design Standards review for a single-family home in October 2017, which does not include the articulation and break down of massing that two separate structures would provide if this relocation application is approved. P161 X.b Page 11 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com Table 1. Existing and Proposed Dimensions for 333 Park Ave. 333 Park Avenue (Gross Lot Area: 10,418 sf; Net Lot Area: 6,048 sf) R-6 Maximum Existing Allowable Floor Area (Single-Family Dwelling) 3,246.72 sf (Up to 3,496.72 sf with 1 TDR) 3,793 sf Allowable Floor Area (Detached Dwelling) 3,607.68 sf (Up to 4,107.68 sf with 2 TDRs) n/a Number of Units 2 1 Height 25’ 27-7 ¾” Setbacks (front, rear, side) Front: 10’ Rear: 10’ Side: 15’ non-conforming Table 2. Existing and Proposed Dimensions for 931 Gibson Ave. 931 Gibson Avenue (Gross Lot Area: 15,497 sf; Net Lot Area: 15,497 sf) R-15A Maximum (without historic property) R-15A Maximum (with historic property) Allowable Floor Area Single-Family Dwelling 4,529.82 sf (Up to 5,029.82 sf with 2 TDR) 4,529.82 sf (Up to 5,029.82 sf with max. floor area bonus) Allowable Floor Area Duplex Dwelling* 4,949.82 sf (Up to 5,449.82 with 2 TDRs) 4,949.82 sf (Up to 5,449.82 sf with max. floor area bonus) Allowable Floor Area Detached Dwelling** n/a 4,529.82 sf (Up to 5,029.82 sf with max. floor area bonus) Number of Units 1 2 Height 25’ 25’ Setbacks (front, rear, side) Front: 25’ Rear: 10’ Side: 10’ Front: 25’ Rear: 10’ Side: 10’ *duplex requires 50% of units to be deed restricted (Section 26.710.060.B). **lot sizes less than 20,000 sf is limited to single family dwelling floor area (Section 26.710.060). (Note: Deck allowance is based on allowable floor area without TDRs of Floor area bonus.) P162 X.b Page 12 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com STAFF COMMENTS: The following is a summary of each land use provision requiring Council action. More detailed criteria and staff findings are provided in the exhibits to this memo. 1. Relocation. The intent for relocation of designated properties is to preserve and maintain the historic resource in its original location. In the case of 333 Park Avenue, the historic resources were moved to this site from Main Street in 1960s The applicant indicates steep slopes, stream margin, and utility/road easements as some of the site constraints found at 333 Park for designing on-site relocation. Any relocation process would include the moving the two-story Victorian house and the one-story addition separately. The applicant’s plan for off- site relocation attempts to restore the original footprint of the two resources, as seen on the historic Sanborn Maps (Figure 3). If the structure were to remain on 333 Park, the historic relationship of the two- story Victorian home and the one-story historic addition could not be accomplished due to the site conditions, particularly the stream margin requirements for increased setbacks and a progressive height limit from the top of slope measurement. This is illustrated in the application, as well as in the drawings, below. Figure 3: Configuration Study with Sanborn Map overlay, F&M Architects. Relocation of a historic structure to a new site is discouraged (HP Design Guideline 9.8), however, preservation values can vary from project to project, therefore, proposals for relocation are reviewed on a case-by-case basis (HP Design Guideline 9.2). When the historic buildings moved from Main Street (originally located across the street from Paepcke Park where the old library, now home to Design Workshop, was built), the resources went from being highly visible to hardly being seen. The proposed receiving site, 931 Gibson Avenue, is a middle lot on a relatively flat grade offering clearer views of the historic resources from the street. Staff finds 931 Gibson is an appropriate location for this historic resource, as it provides improved site conditions, opportunity for visibility and the relocation will not diminish the historic, architectural or aesthetic relationships of any adjacent designated properties. P163 X.b Page 13 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com Part of the criteria for evaluating if relocation is appropriate is ensuring the relocation results in the best preservation option for the historic resource given its character and integrity. In evaluating this, staff examines the physical relocation impacts (can the structure withstand the act of relocation), as well as what the final development opportunities for the site will be. In this case, the applicant has provided documentation from an experienced house mover confirming the historic resources can physically withstand relocation. The preservation goal to restore the two historic resources, restore the original configuration and re- introduce the front façade back to its street facing orientation offer the best preservation outcomes and promotes the goal of creating awareness and appreciation for Aspen’s Victorian Heritage. Staff supports the proposed plan for relocation of the historic buildings from 333 Park Avenue to 931 Gibson because it meets the criteria for relocation and provides the best preservation outcome for the historic structures (Exhibit A.1). Figure 4: 333 Park Avenue, 1980 Figure 5: 333 Park Avenue, 2012 2. Demolition: Demolition refers to the loss of building fabric. The intent behind reviewing demolition for historic properties is to preserve and protect historic resources because of its significant to the community. The applicant proposes to remove all non-historic additions, including the bandit units, before the historic resources are located to 931 Gibson Avenue. The proposed areas for demolition does not demonstrate historical significance nor affect the integrity of the historic resource/property. The Historic Preservation Design Guidelines also encourage the removal of non-historic material that cover original material (HP Design Guideline 2.6). Demolition on 333 Park Avenue is considered development and will trigger an administrative Stream Margin review, which will be completed following HPC’s and Council’s reviews. Staff supports the proposed demolition of non-historic additions on the building because it meets the criteria for demolition and complies with the HP Design Guidelines on treatment of non-historic material covering historic material (Exhibit A.2). 3. Designation: Historic designation provides a means of deciding and communicating, in advance of specific issues or conflicts, what properties are in the public interest to protect (Section 26.415.030). It is a public process that first identifies significant historic properties in the community and reviews development for appropriateness using the adopted Historic Preservation Design Guidelines as a P164 X.b Page 14 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com standard. The designation of 333 Park Avenue occurred in 1995 as part of a city wide historic sites and structures inventory update (Exhibit C under the address 101 Park). If the historic buildings on 333 Park Avenue are relocated to 931 Gibson Avenue, the property will no longer comply with the criteria for historic designation, therefore, rescinding the landmark status of the property would be appropriate. If relocation is approved and 931 Gibson becomes the receiving site for the historic buildings from 333 Park Avenue, the property will meet the all two criteria for historic designation because it will now contain a documented 19th century structure and the property will possess a resource of material integrity that demonstrates age and workmanship. The public score sheet conducted by staff records a score of 90 where 50 is the required minimum score threshold for historic designation (Please see end of Exhibit C). It is critical that the property containing the historic resources be historically designated to ensure its protection as offered by the municipal code. If the relocation is approved, staff supports the rescinding of 333 Park Avenue’s designation and the historic designation of 931 Gibson Avenue because they meet the required criteria (Exhibit C). 4. Referral Comments: One important technical factor to consider is the logistical process of relocation. The Historic Preservation Design Guidelines and the criteria for Relocation found in the code require safe relocation of the historic resource by requesting a developed plan for safe relocation and specialty contractors with experience (HP Design Guideline 9.7). The applicant has identified a specialty contractor who provided a document confirming the resource would withstand another relocation. The applicant is also developing a safe relocation route involving other relevant city departments to discuss community impact and mitigation. Due to the complexity of the proposal, the applicant has started discussions with Engineering, Building and Parks on the logistics of relocation and the necessary requirements following relocation. Comments provided by the other departments are attached as Exhibit B, and included as conditions in the Ordinance. The Parks Department initially expressed concerns regarding damage to trees along the potential relocation route. Since then, the applicant has worked extensively with the Parks Department’s forester to address specific concerns and requirements. The proposed relocation route via Park Avenue was identified as the route with the least impact on the trees. (See Exhibit B for detailed resolutions.) If relocation is approved, the Parks Department has indicated a number of conditions to ensure minimal impact to the trees. A finalized relocation/repair plan meeting these requirements will be required as part of the final design review application and has been included as a condition in the Ordinance. Engineering did not express any specific concerns related to the proposed relocation plan. They will continue to communicate with the applicant on the necessary process for relocation. Some of the items that will be requested includes a Traffic Control Plan (TCP) and additional coordination with RFTA, police escort, and agreements for electric shutoffs with Holy Cross during the scheduled date and time for the relocation of the buildings. Due to the potential impacts the relocation may have on the surrounding neighbors, Engineering also requires public notification of the proposed disturbance. (See Exhibit B for additional comments.) P165 X.b Page 15 of 15 130 South Galena Street Aspen, CO 81611-1975 | P: 970.920.5197 | cityofaspen.com RECOMMENDATION: Staff and HPC recommends approval of Ordinance #22, Series of 2018. PROPOSED MOTION: “I move to approve Ordinance #22, Series of 2018. ATTACHMENTS: (Exhibits in bold are included in this packet, other exhibits were in the 1st reading packet.) Ordinance #22, Series of 2018 Exhibit A.1 – Relocation Review Criteria/Staff Findings Exhibit A.2 – Demolition Review Criteria/Staff Findings Exhibit A.3 – Rescinding Designation & Historic Designation Criteria/Staff Findings Exhibit B – Referral Comments Exhibit C – 333 Park Designation, previous approval Exhibit D – GMQS Exemption Approval Exhibit E – Land Use Application Exhibit F – HPC Meeting Minutes from July 11, 2018 Exhibit G – Updated Applicant Letter P166 X.b