HomeMy WebLinkAboutcoa.lu.ca.GMP Competition.1982,-,
MEMORANDUM
T0:
FROM:
RE:
DATE:
Building Department
Planning Office
Alan Richman, Planning Office
Recently Adopted Ordinance 53
November 23, 1982
City Council recently adopted Ordinance 53, Series of 1982, re-
codifying Section 24-11.2 of the Code, "GMP Exemptions". Several
provisions of this ordinance require clo o-or ion between
our two departments and so I wanted to summarize these for each
of you.
1. Sections 24-11.2(a) allows the reconstruction of demolished
buildings without GMP competition. The section now states that
applicants proposing to demolish and then delay the reconstruction
of a building must verify the number of dwelling units or the
commercial floor area of the building. Verification of a single
family or duplex unit must be done by obtaining a demolition permit
from you. Verification of a multi-family, lodge or commercial
use must be submitted to the Planning Office and the Building
Department so that records can be established. Failure to follow
this procedure results in the loss of reconstruction credit by
the applicant. Please be sure to send any applicant through the
Planning Office if a demolition is to occur for a multi-family,
lodge or commercial use.
2. Section 24-11.2(h) maintains the "small commercial expansions"
exemption. As you recall, expansions of up to 250 square feet
which are non-commercial can be approved by our two departments
while any commercial expansion up to 500 square feet or any non-
commercial expansion of from 250 to 500 square feet must go before
P&Z.
3. We have codified the procedure by which your monthly build-
ing report summary is aggregated into our annual growth rate data.
I cannot overestimate the importance of your reports to us and
the need we have for the reports to be accurate and complete.
Specifically, I must be aware of every new dwelling unit which is
created, employee and free market, and every square foot of new
commercial space that is built. Audrey and I have been getting
these reports to reflect more directly our needs as well as yours
and I hope we can continue to improve this monitoring system.
If you have any questions about this new piece of legislation,
copies can be obtained via the City Clerk or I can repond to you
directly.
MEMORANDUM
T0: Aspen City Council
FROM: Alan Richman, Planning Office
RE: Ordinance 53 - GMP Exemptions, 2nd Reading
/
DATE: November 2, 1982 /,
APPROVED AS TO FORM: ~/~lU v
Background
On October 12 you approved, on first reading, Ordinance 53, Series
of 1982 revising the GMP exemption procedures. Subsequently, on October 20 we
held a work session at which time we discussed the details of this ordinance and
you directed us to make several changes to its content. The purpose of this
memo is to trace the changes we have made and respond to several questions you
raised.
Exemption Procedures
At the work session on October 20, we stressed the point that Ordinance 53
contains mostly language which already exists in the Code. The attached revised
version of the ordinance identifies and underlines those few sections of this
proposal which represent language not presently codified. For your understanding,
following is a description of what these new sections imply, utilizing the
numbers we have handwritten into the ordinance. Please also note that the
ordinance eliminates five sections of the Code which have been discussed with
you earlier.
This section establishes a process by which applicants can verify the
contents of their building prior to its demolition so that they need
not be subject to GMP competition to rebuild their existing use.
As you have requested, this process will not be subject to P & Z
review but instead will be handled by the Planning Office and Building
Department.
This section adds a review mechanism to the exemption for essential
governmental projects such that the government must mitigate the
impacts of its developments. This procedure ensures that the public
sector is treated in the same fashion as a private developer and will
help you by demonstrating your accountability to the public and the
justification for and appropriateness of the project in question.
This section codifies the existing "bookkeeping" method for calcula-
tion of GMP quotas from year-to-year. The method itself is not regula-
tory but instead is an administrative procedure for keeping track of
the growth rate. The language in this section provides that all
development which is exempt from competition is nonetheless deducted
from the appropriate quota.
This section provides Council with the power to exempt the infrequent,
large employee housing proposal from the quota. Due to the concern
you expressed that you might be continually asked to exempt any project
which contains employee housing from the quota, we have limited the
applicability of this provision to only 70:30 and 100 percent employee
housing projects, as these are the type of projects which help
to meet the employee housing shortfall while other projects merely
offset the impacts of their free market development.
This section guarantees that if due to deductions from the quota for
projects exempt from competition there is less than 30 percent of
the original quota available, then a minimum of 30 percent of the
original quota will be available for competition during that year.
The Planning Office has revised this percentage from 20 to 30 percent
(thus guaranteeing the availability of a minimum of 12 rather than
8 units for competition purposes) and will explain below the rationale
for this revision.
Memo: Ordinance 53 - GMP Exemptions, 2nd Reading
November 2, 1982
Page Two
Deduction of Employee Housing Units
Most of the discussion of this ordinance has centered on the concept of whether
we can afford to deduct employee units from the quota and still meet our employee
housing goals. The Planning Office has introduced several concepts which
support the proposal to deduct employee housing from the quota including the
following:
1. Based on the carry-over of units from previous years, the current low
rate of residential development in Aspen and the expiration of previously
approved projects, the quota for 1983 is expected to be at least 100
units. Therefore, unless we experience substantial requests for
units under the GMP this year (to date we have had no pre-application
meetings requested) you can expect to see a large quota available for
free market competition in the coming years.
2. As you requested, we are providing you with an historical summary of
previous quotas which have been available for competition. The
attached table provides a year-by-year summary of the quotas we have
experienced in prior years. In summary, the quota available from
1977 has varied as follows: 50*, 0, 21, 39 and 42 units, for an
average of 25 per year. The quota allocated during these years is as
follows: 65*, 0, 0, 45 and 3 units, for an average of 19 per year.
(*Note: the 1978 quota was in fact the 1977/1978 competition).
It is difficult, at best, to discern a clear trend line from the
above statistics. However, when identifying the wide range of quota
and allocation variations, we felt that by having a minimum quota
guarantee of 12 (and not 8) units we would be within the mainstream
of previous competition quota availabilities and allocations.
3. The City of Aspen has an existing backlog of approved employee housing
projects containing 159 employee units. The County is currently
considering the development of 150 to almost 275 new units at Silverking
Phase IV. We believe that the development of the full complement
of these units will go a long way toward the achievement of Housing
Action Plan goals. If the units approved within the City are not
built, they will expire and be returned to the quota and therefore
be available for competition again.
4. Our bookkeeping method provides that units exempt from competition
are deducted from the quota not when they are approved but instead
when they are built. Therefore, no matter what quota is available
within the GMP itself, there is always the ability to apply for
70:30, 100 percent and other employee housing exemptions. Upon the
review of such a request, if sufficient quota is available, then
the project would be recommended to be deducted from the quota. If
no quota was available but it was felt that the project met an
important public need, we would recommend the infrequent use of the
provision exempting the project from the quota. In either case, quota
availability would not interfere with our ability to meet our employee
housing goals or to provide units for free market competition.
Summary
Both the Planning Office and the Planning and Zoning Commission have gone
on record as supporting the proposal to deduct employee units from the residential
quota. In fact, at several recent meetings concerning Silverking Phase IV, many
citizens have expressed their support of the concept of including employee
housing within the GMP. The most reasonable argument in favor of this position
is that there is no distinction between free market and employee housing as
regards impacts on our service capacities and therefore on our fiscal resources.
The development of either type of unit represents growth and therefore contri-
butes to the change in character of Aspen from small town to more of an urbanizing
atmosphere. We believe that to ensure achievement of our GMP goal of community
balance we must eliminate the dual rate of growth and continue to move forward
with a comprehensive, internally consistent growth management quota system.
Should you concur with these conclusions, the appropriate motion is as follows:
"Move to adopt Ordinance 53, Series of 1982 on 2nd reading."
~. ~.
TABLE 1
The Yearly Status of the Residential Quota
1978
Quota available - 78 units (1977 and 1978 competitions)
Units deducted - 28 units (27 in 1977, 1 in early 1978)
Resulting Quota - 50 units
Quota requested - 99 units
Quota allocated - 65 units
1979
Quota available - 39 units
Units deducted - 39 units (24 constructed in remainder of 1978 plus
offset prior bonus of 15)
Resulting quota - 0 units
Quota requested - 0 units
Quota allocated - 0 units
1980
Quota available - 39 units
Units deducted - 21 units
Resulting quota - 18 units
Quota requested - 21 units
Quota allocated - 0 units
1981
Quota available - 57 units (18 unit carryover from 1980)
Units deducted - 18 units
Resulting quota - 39 units
Quota requested - 53 units
Quota allocated - 45 units
1982
Quota available - 33 units (offset prior bonus of 6)
Units deducted - 17 units
Units expired - 26 units (top of Mill)
Resulting quota - 42 units
Quota requested - 3 units
Quota allocated - 3 units
1983
Quota available - 78 units (carryover of 39 units from 1982)
Units deducted - 5 units (as of end of September, 1982)
Units about to
expire - 36 units (Swiss Chalet/3rd and Main)
Resulting quota - 109 units
Quota requested - ?
RECORD OF PROCEEDINGS 100 Leaves
rp. v c. c. xntac~ e. e. a c. cu _ _
ORDINANCE NO. ~,3
(Series of 1982)
AN ORDINANCE AMENDING SECTIONS 24-11.2 AND 24-11.3 AND REPEALING
SECTIONS 24-11.8 and 24-11.10 OF THE MUNICIPAL CODE OF THE CITY OF
ASPEN CONCERNING EXEMPTIONS TO THE GROWTH MANAGEMENT QUOTA SYSTEM
AND THE METHODOLOGY FOR CALCULATION OF RESIDENTIAL, COMMERCIAL AND
LODGE DEVELOPMENT QUOTAS IN THE CITY OF ASPEN
WHEREAS, Section 24-11.2 of the Aspen Municipal Code cur-
rently provides for exemptions from the Growth Management Quota
System competition procedures, and
WHEREAS, the Aspen Planning and Zoning Commission ,h as re-
viewed the growth management exemptions as part of a comprehensive
update of the growth management regulations in the City of Aspen
and by its Resolution No. 82-9 did recommend that the City Council
revise the exemptions to the Growth Management Quota System, and
WHEREAS, the Aspen City Council does wish to accept the
recommendations of the Aspen Planning and Zoning Commissison by
revising the exemptions to the Growth Management Quota System.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF ASPEN, COLORADO:
Section 1
That Section 24-11.2 of the Aspen Municipal Code entitled
"Exceptions" be and the same is hereby repealed and reenacted to
read as follows:
"Sec. 24-11.2. Exemptions.
The following development activity shall be exempted from
complying with the allotment procedures hereinafter provided
for, subject to the review of the Planning and Zoning Commis-
.. sion and/or the Aspen City Council where it is so specifi-
i cally indicated:
~ (a) The remodeling, restoration or reconstruction of any
building existing as of November 14, 1977, provided
! there is no expansion of commercial floor area nor crea-
tion of additional dwelling units. Applicants proposing
O
__ ~ Mti_~
1"1 .,0~_
RECORD OF PROCEEDINGS 100 Leaves
Ip1Y % C / NOECR EI I1. t ! L. CA
O
(b)
(c) The construction of one single family or duplex struc-
tore on townsite lots or lot subdivided prior to Novem-
ber 14, 1977.
_~ (d) The construction of one single family residence on a lot
subdivided after November 14, 1977, where the following
conditions are met:
(1) The tract of land which was subdivided had a pre-
existing dwelling unit;
(2) No more than two (2) lots were created by the sub-
division.
(e) All construction of essential governmental projects
f
(2) All employee housing units deed restricted in accordance
with the City's adopted employee housing guidelines
which are constructed pursuant to the residential, com-
mercial and lodge development allotment procedures or
pursuant to the density bonus provisions of this Code,
and all units constructed as part of a pure employee
housing project (that is, one containing all deed re-
stricted and no free market housing development) subject
to the special approval of the City Council, based on
the recommendation of the Planning and Zoning Commis-
sion. The review of any request for exemption of units
from the development allotment procedures shall include
a determination of community need considering, but not
limited to, the project's compliance with any adopted
housing plan, including the number of units proposed and
their location and the type of units proposed, specifi-
cally regarding the number of bedrooms in each unit and
2
/ , L
The enlargement of, or change of use in a structure
which has received individual historic designation.
RECORD OF PROCEEDINGS
100 Leaves
raw n a r, enecea e. e. s ~. ca.
the size of the unit, the rental/sale mix of the devel-
opment and the proposed price categories to which the
units are to be deed restricted.
(g) All residential dwelling units constructed in a mixed
free market/deed restricted housing project wherein at
least seventy (70) percent of the units are constructed
and deed restricted in accordance with the City's
adopted employee housing guidelines (in projects where
seventy (70) percent represents proportions of units,
from 0 to .49 are rounded down, .5 to .99 are rounded up
to the next whole dwelling unit), subject to the special
approval of the City Council, based upon the recommenda-
tion of the Planning and Zoning Commission which
approval shall include a determination of community need
considering, but not limited to, the project's compli-
ance with any adopted housing plan, specifically the
number of units to be constructed, unit type, unit mix,
the rental/sale mix of the development, and proposed
price and rental categories. Applicants are recommended
to submit an application wherein there is maintained an
average of one and one-half (1-1/2) to two (2) bedrooms
per unit within the deed restricted portion of the pro-
ject (a studio shall be considered a three-quarter bed-
room) and where at least fifty (50) percent of the resi-
dential floor area is devoted to deed restricted units.
I
(h) The expansion of an existing commercial or office use in
a building by not more than five hundred (500) square
feet, excluding employee housing, for the purposes of
providing a small addition of space which can be shown
to have minimal or manageable impact upon the community
and can be justified by the benefit which will accrue to
the community. For expansions which involve less than
two hundred fifty (250) square feet and are for the pur-
poses of providing space which is accessory to or inci-
dental to the principal use, such as mechanical, stor-
age, corridors and stairs, the expansion shall be
approved jointly by the Planning Director and the Chief
Building Inspector. For expansions which inolve any
request for commercial or office space, or which involve
expansions of any type of space of two hundred fifty
(250) to five hundred (SOU) square feet, the expansion
shall be subject to the special review of the Planning
and Zoning Commission. The review of any request for
the expansion of an existing commercial or office use
shall include a determination of minimal or manageable
impact on the community, considering but not limited to
findings that a minimal number of additional employees
will be generated by the expansion or the applicant will
provide additional employee housing; that a minimal
amount of additional parking demand will be created or
that parking can be accommodated on site; that there
will be minimal visual impact on the neighbrohood due to
the project; and that minimal new demand is placed on
services available at the site such as water, sewer,
roads, drainage and fire protection. Applications for
expansion shall be limited to a maximum cumulative com-
mercial addition of five hundred (500) square feet with-
in any building in the City of Aspen, provided that the
RECORD OF PROCEEDINGS 100 Leaves
ran. • e. r. xncaec e. e. a ~. cu
Planning Commission shall evaluate the cumulative impact
of the entire expansion as a whole.
(i) All development not limited by the provisions of Section
24-11.1.
i
O
Section 2
That Section 24-11.3 of the Aspen Municipal Code entitled
"General Provisions" be and the same is hereby amended to create
the following subsections:
"Sec. 24-11.3. General Provisions.
S~.n1l
(])
i
(k) If, as a result of develo ment exem t from the develo -
men a omen proce ures w is is a ucte ro
C, a ro ria'te uota erifF~e sfal'r~e available less than
t lrtyy percent o t e a otments in any area i en-
ti~ie8 in ection ~~'r t en t ere s a e availaTY
4
e
_.,~
1
'~ RECORD OF PROCEEDINGS 100 Leaves
ru. r c r nncc.a e e. i. ca
V
Section 3
That Section 24-11.8 of the Aspen Municipal Code entitled
", "Report of Building Inspector" and Section 24-11.10 of the Aspen
Municipal Code entitled "Employee Housing" be and the same are
• hereby repealed and that Section 24-11.9 of the Aspen Municipal
Code entitled "Regulations" be renumbered Section 24-11.8, that
Section 24-11.11 of the Aspen Municipal Code entitled "Public
Hearings"_be renumbered Se^tion 24--11.9, and that Section 24-11.12
of the Aspen Municipal Code entitled "Reserved" be renumbered Sec-
tion 24-11.10. - __-_
_ _ -Section 4 = - - . - _- - - - - -
If any section, subsection, sentence, clause, phrase or por-
tion of this ordinance is for any .reason held. invalid or unconsti-
tutional by any court of rnmpetent jurisdiction, such portion
shall be deemed a separate, distinct and independent provision and
such holding shall not affect the validity of the remaining por-
tions thereof.
Section 5 -
i A public hearing on the ordinance shall be held on the
day of , 1982, at 5:00 P.M. in the City Council
_.. _ _ _ - _
- --
J Chambers, Aspen City Hall, 139 South Galena Street, Aspen,-
I, -
Colorado, 15 days prior to which hearing notice of the same shall
be published once in a newspaper of general circulation within the
City of Aspen. - - - - - -- - -
L
5
- .. .,~
• i
RECORD OF PROCEEDINGS
100 Leaves
INTRODUCED, READ AND ORDERED published as provided by law by
the City Council of the City of Aspen, Colorado, at its regular
meeting held _ , 1982•
Herman Edel, Mayor
ATTEST:
Kat ryn S. Koch, City Clerk
FINALLY adopted, passed and approved this
, 1982.
day o3=
Herman Ed el, Mayor
ATTEST:
Kathryn S. Koch, City Clerk
6
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MEMORANDUM
TO: Aspen City Council
FROM: Alan Richman, Planning Office
RE: Ordinance 53 - GMP Exemptions
DATE: October 18, 1982
Introduction
The purpose of this memo is to provide you with background information for
discussion at the work session scheduled for Wednesday, October 20 at noon. The
Planning Office would like to thank you for the opportunity you have given us
by allowing this item to proceed to second reading while continuing its detailed
review at work sessions.
Recap of 1st Reading
At your regular meeting on October 12, there were two principal arguments
raised by members of Council as regards the proposed ordinance. First, in
response to the data that we presented in support of including employee housing
within the quota system, you questioned whether this approach would permit us
to continue meeting our housing action plan objectives. Second, it was argued
that the ordinance was full of a lot of unnecessary and confusing language and
should deal with this issue in a much simpler format which is understandable by
the average citizen. Since we spent so much of the prior meeting defending the
proposal concerning employee housing and paid no attention whatsoever to the
details of the ordinance, we propose to use today's work session to deal with
this issue.
Detailed Analysis of Ordinance 53
I have attached a copy of Ordinance 53 for your review and have underlined
those portions of it which represent language already in the Code. As you can
see, the majority of this ordinance simply re-enacts existing legislation and does
not create new regulations. We believe that not only is this proposal not the
confusing and unnecessary nightmare that some may think, but also that it
exhibits the following positive features:
1. We have maintained those exemptions (employee housing, historic buildings,
government projects) which are important to the community. We have created
impact mitigation features only in the case of historic structures and government
projects because of the potential consequences of expansions whose impacts .
are not anticipated. We have created no new exemptions.
2. We have not tied the hands of developers by creating excess regulations.
Instead, we have preserved those exemptions which are valid, thereby giving the
private sector a viable series of alternatives to the competition process.
3. We have not added substantial new language to the Code. In fact, of the
four pages of actual Code language in the ordinance, only about a total of one
page represents new legislation. Furthermore, we have synthesized the existing
12 exemptions into only 9 in the proposed ordinance and are repealing two other
sections of the Code. The net addition to the Code is therefore minimal and,
we believe, amply justified by the benefit to the community through a more
clearly defined process and due to a more effective impact mitigation process.
For your information, following is a section-by-section summary of the contents
of the proposed ordinance.
l` 1 ~\
Memo: Ordinance
October 18, 1982
Page Two
Section 1
53 - GMP Exemptions
This section of the ordinance repeals and re-enacts Section 24-11.2 of the Code
entitled "Exemptions", including the following subsections:
(a) This exemption permits the reconstruction of existing buildings without
requiring GMP competition. We have added a P & Z review process called "veri-
fication' at the request of the City Attorney. Verification of single family
and duplex units which are to be demolished is done simply by requesting a
demolition permit while verification of multi-family and lodge units or commercial
square footage is done by P & Z. The exemption seeks to protect applicants
from losing credit for their existing development and to ensure that abuses of
the quota system via unsupported claims for credits are avoided. Therefore,
this section is not a regulation but instead is an administrative process which
is being codified.
(b) This exemption permits the enlargement of, or change of use in structures
which are individually historically designated. We have added a review process
by P & Z and Council to determine whether such proposals require impact mitigation.
The need for such a process has been evidenced by the mitigation measures
proposed from the Hotel Jerome expansion but the lack of such mitigation by the
Sport Stalker and Epicure Building conversions from residential to commercial
use.
(c) This is the exemption for previously subdivided lots.
(d) This exemption permits the construction of a single-family resi
management.
(e) This exemption permits the construction of essential governmental projects
such as the fire station, parking garage, etc. Our experience with a similar
exemption to the County's GMP is that private applicants who must compete for
their developments expect the public sector to be treated in a similar fashion.
We have therefore added a review of such projects by P & Z and Council to see
that the impacts of such expansions are met. We believe that this process will
help to .demonstrate your accountability to the public and provide justification
of the need for and appropriateness of the project in question.
(f) This exemption synthesizes most of the existing employee housing exemptions
into a single section. Exempted here are employee units created via GMP projects,
via RBO or other density bonus provisions and via 100% employee housing projects.
(g) This exemption is the 70:30 employee housing/free market housing provision.
No changes are proposed here. Note, however, that the 85:15 provision has been
eliminated since it has limited potential for use in the community, though it
did apply to the Smuggler/Pitkin Reserve projects.
(h) This exemption permits small expansions to be made to existing commercial
bu_i_ldings outside of the competition process. No changes have been recommended
here.
(i) This exemption indicates that any development not identified within the
uotas is exem t from the com etition rocess. The paragraph following subsection
i merely identifies the bookkeeping method the Planning Office uses in deducting
exempted development from the quotas each year. This methodology has been used
by staff since the implementation of the GMP and has been codified to clarify
questions raised by P & Z and applicants, as well as to ensure its understanding
by staff in the future.
Section 2
We are proposing two new subsections to the Code section entitled "General
Provisions," including the following:
Memo: Ordinance 53 - GMP Exemptions
October 18, 1982
Page Three
This section permits Ci
entirel utilize future ears' uota. This section would likely apply to only
the very largest projects i.e., Marolt) which could not be accommodated by tfie
c;uota and which help to meet our housing shortfall.
(k) This section
of the orioinal
quota for tree market competition it the quota is entirely or nearly urea up
by units exempted from competition. Therefore, based on our existing 39 unit
quota, no less than 8 units can ever be available for competition as free
market units in the residential GMP. This section provides the developer
greater assurance of the availability of units for competition than now exists
in the Code.
Section 3
This section eliminates two sections of the Code which are redundant and unnecessary
based on the changes proposed above.
Conclusion
We hope that this analysis helps in your understanding of the proposed ordinance
on which we have spent so much time, including five meetings with P & Z. We
will be prepared to answer any questions you may have on this topic on October
20 and then to meet again to discuss the geustion of including employee housing
within the quotas.
MEMORANDUM
T0: Aspen City Council
FROM: Alan Richman/Sunny Vann, Planning Office
RE: Exemptions from Growth Management Plan
DATE: September 16, 1982 APPROVED AS TO FORM:
Introduction
Over the last 12 months the Planning Office has initialed several major legislative
amendments to revise our growth management regulations. During this time, we
have streamlined the scoring procedures for residential, commercial and lodge
development applications. We have expanded the zonal coverage of the commercial
quota system and adopted new commercial and lodge quotas, while retaining our
residential quota. Finally, we have developed new administrative provisions
which address various procedural problems which have emerged during five years
of handling GMP applications.
Today we begin to review with you the final major piece of legislation associated
with the GMP update, concerning exemptions from the GMP. In certain respects,
this piece of legislation is one of the most important proposals we have made,
since it reflects directly upon the way we calculate our growth rate and what
avenues development applicants have outside of the growth management competitions.
During our review of this topic with the Planning and Zoning Commission at five
separate meetings, following have been the major themes of discussion:
1. Should employee housing be deducted from the residential quota while
maintaining its exemption from the competition process?
2. Are there any exemptions which are inappropriate and should be eliminated?
3. What procedural modifications should be made to the exemptions which
remain?
Before we explain the recommendations which P & Z has developed concerning
these themes, it is important that you are familiar with the GMP exemptions
currently in effect. We then intend to introduce you to the major concepts
associated with the proposed code amendment, leaving the specifics of the
ordinance to a later meeting.
Existing Exemptions
At present there are 12 separate exemptions from the quota system, some of
which result in development which is exempt from competition but deducted from
the quota and some of which are not limited by either the competition or the
quota system. These exemptions can be briefly summarized as follows:
(a) Remodeling, restoration or reconstruction which adds no commercial
square footage or dwelling units;
(b) Enlargement or change of use in historic structures;
(c) Single family or duplex residences on previously subdivided lots;
(d) Single family residence constructed in connection with a lot split;
(e) Essential governmental projects other than housing;
(f) Construction pursuant to pre-GMP building permits;
(g) Employee housing pursuant to density bonus provisions;
Memo: Exemptions from GMP
Page Two
September 16, 1982
(h) Employee housing associated with GMP projects;
(i) 70:30 employee/free market housing projects;
(j) All development not specifically limited by the quotas;
(k) 85:15 free market/employee housing projects;
(1) Small commercial projects expansion.
Of these 12 exemptions, all or part of the development associated with Sections
(b), (c), (d), (i), (k) and (1) is deducted from the appropriate quota. The
major types of development which are not deducted from the quota are employee
housing and essential governmental projects.
It is important that you recognize how the 12 existing exemptions came
into effect. At the time the Growth Management Policy Plan was adopted,
it was realized that the City and County had made certain legal commitments
to allow growth on lots which were already subdivided and therefore the
quota system should establish a built-in bias for building out existing
subdivisions prior to considering substantial new ones (page 42).
When the City adopted Ordinance 48, Series of 1977, implementing a quota
system, it included an exemption for construction on previously subdivided
lots. In fact, the original ordinance identified eight exemptions, identi-
fied above as subsections (a), (b), (c), (e), (f ), (g), (h) and (j ). Since
that time four additional exemptions have been created. However, it should
be recognized that while the plan indicated the need for exemptions based
on legal requirements, the legislation has gone one step further by pro-
viding exemptions for projects meeting community priorities. These two
concepts, of providing exemptions from competition projects which
cannot or should not compete; and of providing preferential treatment to
projects which meet public objectives, result in very different types of
exemptions.
Of the above 12 listed exemptions, six represent what could be considered
legal commitments, including subsections (a), (c), (d), (f), (j) and (1).
For various reasons, these provisions were created in the belief that
certain types of projects should not, or could not be made to compete. On
the other hand, there are six exemptions, including four for employee
housing, one for governmental projects and one for historic structures,
which represent priorities and have not been required to compete, though
in many cases these projects could be taken successfully through the compe-
tition process.
Planning and Zoning Commission Recommendation
The major conclusions reached by P & Z in their review of the GMP exemptions
include the following:
It is appropriate to provide preferential treatment to types of
development which meet public objectives by exempting them from
competition under the GMP. However, since there is no distinction
between employee and free market housing in terms of impacts upon the
community's ability to provide services, development which obtains an
exemption from competition should nevertheless be deducted from the
quotas.
Since it is proposed that employee units be deducted from the quota
system, it is necessary to provide flexibility in the regulations to
ensure that units are available for competition on the free market.
P&Z created two methods of ensuring that free market units are available,
regardless of the rate of employee housing development.
The basic philosophy contained within the
is that the best application is one which
impacts of development upon the community
this position, P & Z has recommended that
exemption, applicants also be required to
their impacts.
GMP competition procedures
entirely mitigates the
To remain consistent with
to be eligible for a GMP
document the mitigation of
,~ ~ ._,
Memo: Exemptions from GMP
Page Three
September 16, 1982
The conclusions reached by P & Z and forwarded to you in
were based on a comprehensive analysis of historical grog
of the likelihood for future growth at rates at or above
the recent past. This presentation of data was based on
since most of our services will be affected by growth in
vicinity. Following is a brief summary of that data.
their resolution 82-9
with data and a projection
that experienced in
a metro area perspective,
Aspen and the surrounding
Growth Trends and Ongoing Growth Commitments and Priorities
Historical growth trends in the metro area from 1977 to 1981 are that
we have experienced about 60 residential units per year in the City
(34 free market and 26 employee) and about 54 residential units per
year in unincorporated Pitkin County (28 free market and 26 employee)
whereas, the quotas would have suggested that 39 units be developed
in Aspen and 27 in Pitkin County on an annual basis. The total
growth of about 114 units per year substantially exceeds the total
quota of 66 units per year despite the fact that many units which
have been approved have not yet been built.
2. We have created commitments to projects which are approved but have
not yet been built, mostly in the City of Aspen, including the following:
- Swiss Chalets/Third and Main - 36 employee, 36 free market
- 700 Galena/925 Durant - 13 employee, 16 free market
- Ute City Place - 14 employee, 8 free market
- The Lodge at Aspen - 4 employee, 31 free market
- Sunny Park - 4 employee, 3 free market
- Marolt - 70 employee, 30 free market
- Smuggler/Pitkin Reserve - 18 employee, 12 free market
The above total of 295 units (159 employee and 136 free market) will
predispose our ability to achieve our planned growth rate. Further-
more, this total will increase by approximately 200 units if the
Hotel Jerome and Highlands Inn Renewal projects are finally approved,
and by almost an additional 200 units if the Silverking Phase IV
project receives approval.
3. Our recent analysis of City and County buildout potential indicates
the likelihood of substantial future growth under current zoning. We
find that there are 146 lots which are currently vacant in Aspen on
which duplexes can be built and 289 lots which are vacant on which
single family units can be built, for a total potential of 581 new
units. We find that there are an additional 191 previously subdivided
but undeveloped lots in the unincorporated portion of the metro area.
Since the implementation of the GMP we have experienced, on the
average, about 15-20 new units each year in the City and a similar
number in the County metro area on previously subdivided lots, exempt
from the GMP. Our findings concerning buildout potential support the
hypothesis that we will continue to experience considerable growth on
previously subdivided lots for the coming years.
4. Though the adopted water and sewer management plans are based on a
3.47 rate of growth, we have experienced a more rapid depletion of
capacity of these basic services than the plans had originally anticipated.
The above indicated residential growth rates, combined with the
commercial growth we have experienced (45,000 square feet per year in
Aspen and 25,000 square feet per year in unincorporated Pitkin County
since 1977) help to explain why this depletion has occurred.
Memo: Exemptions from GMP
Page Three
September 16, 1982
The conclusions reached by P & Z and forwarded to you in their resolution 82-9
were based on a comprehensive analysis of historical growth data and a projection
of the likelihood for future growth at rates at or above that experienced in
the recent past. This presentation of data was based on a metro area perspective,
since most of our services will be affected by growth in Aspen and the surrounding
vicinity. Following is a brief summary of that data.
Growth Trends and Ongoing Growth Commitments and Priorities
1. Historical growth trends in the metro area from 1977 to 1981 are that
we have experienced about 60 residential units per year in the City
(34 free market and 26 employee) and about 54 residential units per
year in unincorporated Pitkin County (28 free market and 26 employee)
whereas, the quotas would have suggested that 39 units be developed
in Aspen and 27 in Pitkin County on an annual basis. The total
growth of about 114 units per year substantially exceeds the total
quota of 66 units per year despite the fact that many units which
have been approved have not yet been built.
2. We have created commitments to projects which are approved but have
not yet been built, mostly in the City of Aspen, including the following:
- Swiss Chalets/Third and Main - 36 employee, 36 free market
- 700 Galena/925 Durant - 13 employee, 16 free market
- Ute City Place - 14 employee, 8 free market
- The Lodge at Aspen - 4 employee, 31 free market
- Sunny Park - 4 employee, 3 free market
- Marolt - 70 employee, 30 free market
- Smuggler/Pitkin Reserve - 18 employee, 12 free market
The above total of 295 units (159 employee and 136 free market) will
predispose our ability to achieve our planned growth rate. Further-
more, this total will increase by approximately 200 units if the
Hotel Jerome and Highlands Inn Renewal projects are finally approved,
and by almost an additional 200 units if the Silverking Phase IV
project receives approval.
3. Our recent analysis of City and County buildout potential indicates
the likelihood of substantial future growth under current zoning. We
find that there are 146 lots which are currently vacant in Aspen on
which duplexes can be built and 289 lots which are vacant on which
single family units can be built, fora total potential of 581 new
units. We find that there are an additional 191 previously subdivided
but undeveloped lots in the unincorporated portion of the metro area.
Since the implementation of the GMP we have experienced, on the
average, about 15-20 new units each year in the Ciay and a similar
number in the County metro area on previously subdivided lots, exempt
from the GMP. Our findings concerning buildout potential support the
hypothesis that we will continue to experience considerable growth on
previously subdivided lots for the coming years.
4. Though the adopted water and sewer management plans are based on a
3.47% rate of growth, we have experienced a more rapid depletion of
capacity of these basic services than the plans had originally anticipated.
The above indicated residential growth rates, combined with the
commercial growth we have experienced (45,000 square feet per year in
Aspen and 25,000 square feet per year in unincorporated Pitkin County
since 1977) help to explain why this depletion has occurred.
Memo: Exemptions from GMP
Page Four
September 16, 1982
5. It is conceivable that we will be experiencing substantial employee
housing development from GMP projects in the future. Our analysis
indicates that if the full 24,000 square foot commercial quota is
allocated and if applicants try to maximize the number of points they
receive in the area of employee housing, as many as 21 employee units
could be generated each year. However, in this first year of the new
scoring system, with three applicants requesting about 30,000 square
feet of space, only three employee units are being proposed. Furthermore,
this year's lodge development proposal for 26 units, only proposes
five employee units.
6. The scenario which we presented to you previously regarding the most
operative constraint to growth at the present time, sewage treatment,
was based on a continuation of historic growth trends. We concluded
that these trends would necessitate the expansion of the AMSD plant
to 4.0 MGD by about 1985 which would provide capacity at this plant
to about 1995. However, if we experience a buildout of previously
approved projects and of previously subdivided lots while continuing
to exempt employee units from the quota, it is apparent that we will
again deplete our available capacity more rapidly than was otherwise
expected. Furthermore, we believe that our analysis of the sewage
treatment constraint is symptomatic of the situation which potentially
may exist for other basic services. For example, the report of the
busway feasibility consultant concludes that at existing growth rates
Highway 82 will be at or beyond breakdown conditions by the
1990's unless additional road capacity is provided in the
Aspen metro area.
Sustainability of the Proposal
We believe that the above analysis documents why P & Z and the Planning
Office are concerned that in trying to meet our various public priorities
for employee housing, quality lodging and basic institutional facilities, we
run the risk of precluding our ability to achieve the goals of our growth
management policy. We are also concerned about the fiscal impacts of providing
services to meet our planned growth rate while also having to reserve some
unknown quantity for those units which are outside of this planned rate.
While we feel that including employee housing within the quotas will help us in
meeting our growth management goals, we recognize that there are two concerns ,
which have been voiced in response to this proposal, summarized as follows:
1. Will the inclusion of employee housing within the quotas be a disincentive
to the continued development of this most important commodity in
Aspen?
2. Will the inclusion of employee housing within the quotas preclude the
ability of developers to build free market housing in Aspen?
The Planning Office and P & Z are both convinced that the answer to the above
questions is no. To understand our reasoning, you must be clear on what deducting
units from the quota actually means. We only deduct a unit from the quota when
a building permit is issued for that unit. Each year we start out with 39
units available, and subtract from that the units which have obtained building
permits but were exempted from the GMP (i.e. have not received an allocation)
with the remainder being available for free market competition. The number of
employee units which may be requested is not affected by the quota which is
available for competition because employee units do not compete for the quota.
The only way that deducting employee units from the quota will affect the level
of their production will be that somewhat fewer free market units may be available
for competition, and applicants typically provide a l:l match between employee
and free market units requested. Historically, you should be aware that only
five employee and eight free market units have been produced through the resi-
dential GMP. This insignificant contribution to our housing shortfall does not
argue well for the concerns which have been voiced about how this proposal will
impact employee housing production.
1
Memo: Exemptions from GMP
Page Five
September 16, 1982
Our records also indicate that we have 13 units which we did not allocate last
year and 10 whose allocation just expired, along with 44 units which are likely
to expire at year's end. Since we carry over these units to the next competition,
we believe that it is obvious that for the short term, there will be many units
available for competition. Indeed, the Building Department records for this
year indicate the likelihood that no more than 10 units will be built this year
which are exempt from the GMP, leaving an additional 30 units available for
competition. Therefore, there may be as many as 90 to 100 units available for
the upcoming competition and carrying over to future competitions, a total well
beyond any which has been available in the past.
Nevertheless, if the economy should improve and substantial free market and
employee housing development were to occur, we have proposed two provisions
which would ensure the availability of free market competitive units. First,
in the event that a large employee housing project is proposed which would wipe
out future quotas even if phased over several years, the Council can choose to
exempt it from the quotas. Such a decision would trigger a Planning Office re-
evaluation of the quotas and a recommendation either to adjust the quotas for
future years or that certain facilities and services will need to be improved
earlier than was otherwise anticipated.
The second provision only takes place when the level of development outside
the quota is so substantial that it is nearly equal to or greater than the
quota itself. In cases where less than 20 percent of the original quota is
available for free market competition (i. e., less than eight units), this
provision ensures that 20 percent of the original quota will be available in
that year. Therefore, in no case will the competition be precluded on the
basis of development which is exempt from the competition.
Conclusion
We have provided you with the rationale for the Planning Office/Planning
Commission recommendation regarding exemptions to the GMP. In summary, the
points in support of deducting employee housing from the residential quota
are as follows:
1. There is no distinction between free market and employee housing
as regards impacts on our service capacities and therefore on our
fiscal resources.
2. From an equal protection standpoint, sustaining a growth management
plan which permits a "dual rate of growth" is more difficult than
would be one which is inclusive of all types of development.
3. The inclusion of employee housing within the quotas will not prevent
its development outside of the competition process nor prohibit the
development of free market units.
Since the explanation of these concepts has proven to be rather complex, we
have been unable, at this time, to provide you with a detailed analysis of
much of the new language included in the P & Z resolution and draft ordinance.
Therefore, we would hope that in the interests of keeping this legislation on
track, you would approve it on first reading and allow us to set a second work
session, to occur between first and second readings, to continue to work on
these concepts and to answer any questions you may have regarding the details
of this proposal. If you concur with this approach, the appropriate motions
are as follows:
"Move to read Ordinance ~ 3 Series of 1982."
"Move to approve, on first reading, Ordinance J~ 3 , Series of 1982."
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RESOLUTION OF TIIC ASPEN PLANWING AND ZONING COMP1ISSION
RECOPIMENOING AMENDMENTS TO THE MUNICIPAL CODE
CONCERNING EXEMPTIONS TO THE GROWTH MANAGEMENT PLAN
Resolution No. 82 - 9
WHEREAS, the Aspen Planning and Zoning Commission has reviewed the 1977-
1981 historic growth rate data produced by the Planning Office during the
course of the Growth Management Plan Update, and
WHEREAS, Che Aspen Planning and Zoning Commission recognizes that since
1977 the City of Aspen has exceeded its annual residential quota of 39 units
and has, in fact, experienced a growth rate of approximately 60 residential
dwelling units per year, due in large part to the projects which have been
exempted from the GMP quota system, and
WHEREAS the Aspen Planning and Zoning Commission believes that it is
essential to the cornmunity's welfare that employee housing be produced to meet
the critical shortfall identified by the Housing Office and, as such, that
employee housing receive preferential treatment within the GMP by its exemption
from the competition procedures, and
WHEREAS, the Aspen Planning and Zoning Commission acknowledges that all
types of growth have impacts on the ability of the Community to provide basic
services and therefore must be accounted for within the growth rates adopted
for Aspen within the quota system, and
WHEREAS, the Aspen Planning and Zoning Commission indicates that its
intent to include the growth from all GMP exemptions within the quota system
reflects a commitment to a dynamic GMP which must be monitored and updated
regularly and frequently to insure that the quotas are in accord with current
community priorities.
NOW, THEREFORE, BE IT RESOLVED by the Planning and Zoning Commission of
the City of Aspen, Colorado:
Section 1
The Commissibn recommends that the Aspen City Council repeal and re-enact
Section 24-11.2 of the Municipal Code as follows:
Sec. 24-11.2 Exemptions
The following development activity shall be exempted from complying with
the allotment procedures hereinafter provided for, subject to the review of the
Planning and Zoning Commission and/or the Aspen City Council where it is so
specifically indicated:
~..~
I
(a) The remodeling, restoration or• reconstructi.on of any building existing
as of November 14, 1977, provided there is no expansion of conunercial
floor area nor creation of additional dwelling units. Applicants
proposing to demolish and then delay the reconstruction of a building
shall. be required to verify the conunercial floor area and/or number of
dwelling units which comprise the building to be demolished, and shall
be limited to reconstruction of no more than the verified total within
five years of the date of demolition. Any building which is demolished
shall be limited to reconstruction on the same site or on a contiguous
site owned by the same individual. Applicants proposing to demolish
single family or duplex units may verify the number of units to be
demolished through an application for a demolition permit through the
Building Department. Applications to verify the number of units
contained within a multi-family or lodge use, or to verify the commercial
square footage of an existing building shall be reviewed by the Planning
and Zoning Commission so that a record of that which is to be demolished
can be established. Failure to verify the number of dwelling units
and/or commercial square footage prior to their demolition shall
result in the loss of the credit for their reconstruction.
(b) The enlargement of, or change of use in a structure which has received
individual historic designation, provided that an applicant proposing
to create additional dwelling units, expand the commercial floor area
or change the use of such a structure shall be subject to the special
review of the City Council upon the recommendation of the Planning and
Zoning Commission. The approval shall include a finding that the
applicant has mitigated the impacts of the proposed expansion or
change in use in terms of employee housing, parking needs and basic
services such as water, sewer, roads, drainage and fire protection.
(c) The construction of one single family or duplex structure on townsite.
lots or lot subdivided prior to November 14, 1977.
(d) The construction of one single family residence on a lot subdivided
after November 14, 1977, where the following conditions are met:
(1) The tract of land which was subdivided had a pre-existing
dwelling unit;
(2) No more than two (2) lots were created by the subdivision.
(e) All construction of essential governmental projects other than housing,
subject to the special approval of the City Council upon the recommendation
of the Planning and Zoning Commission. To be eligible for said exemption,
the applicant shall be required to document that the impacts of the
project will be mitigated, including the employee housing generation,
parking demand and the basic service provision.
(f) All employee housing units deed restricted in accordance with the
City's adopted employee housing guidelines which are constructed
pursuant to the residential, commercial and lodge development allotment
procedures or pursuant to the density bonus provisions of this Code,
and all units constructed as part of a pure employee housing project
(that is, one containing all deed restricted and no free market housing
development) subject to the special approval of the City Council,
based on, the recommendation of the Planning and Zoning Commission. The
review of any request for exemption of units from the development
allotment procedures shall include a determination of community need
considering, but not limited to, the project's compliance with any
adopted housing plan, including the number of units proposed and their
location and the type of units proposed, specifically regarding the
number of bedrooms in each unit and the size of the unit, the rental/
sale mix of the development and the proposed price categories to which
the units are to be deed restricted.
(g) All residential dwelling units constructed in a mixed free market/
deed restricted housing project wherein at least seventy (70) percent
of the units are constructed and deed restricted in accordance with
the City's adopted employee housing guidelines, subject to the special
approval of the City Council, based upon the recommendation of the
Planning and Zoning Commission which approval shall include a determination
-2-
e „
determination of community need considering, but not limited to, the
project's compliance with any adopted housing plan, specifically the
number of units to be constructed, unit type, unit mix, the rental/
sale mix of the development, and proposed price and rental categories.
Applicants are recommended to submit an application wherein there is
maintained an average of one and one-half (1'z) to two (2) bedrooms
per unit within the deed restricted portion of the project (a studio
shall be considered a three-quarter bedroom) and where at least fifty
(50) percent of the residential floor area is devoted to deed restricted
units.
(h) The expansion of an existing commercial or office use in a building
by not more than five hundred (500) square feet, excluding employee
housing, for the purposes of providing a small addition of space
which can be shown to have minimal or manageable impact upon the
community and can be justified by the benefit which will accrue to
the community. For expansions which involve less than two hundred
fifty (250) square feet and are for the purposes of providing space
which is accessory to or incidential to the principal use, such as
mechanical, storage, corridors and stairs, the expansion shall be
approved jointly by the Planning Director and the Chief Building
Inspector. For expansions which involve any request for commercial
or office space, or which involve expansions of any type of space of
two .hundred fifty (250) to five hundred (500) square feet, the expansion
shall be subject to the special review of the Planning and Zoning
Commission. The review of any request for the expansion of an existing
commercial or office use shall include a determination of minimal or
manageable impact on the community, considering but not limited to
findings that a minimal number of additional employees will be generated
by the expansion or the applicant will provide additional employee
housing; that a minimal amount of additional parking demand will be
created or that parking can be accommodated on site; that there will
be minimal visual impact on the neighborhood due to the project; and
that minimal new demand is placed on services available at the site
such as water, sewer, roads, drainage and fire protection. Applications
far expanions shall be limited to a maximum cumulative commercial
addition of 500 square feet within any building in the City of Aspen,
provided that the Planning Commission shall evaluate the cumulative
impact of the entire expansion as a whole.
(i) All development not limited by the provisions of Section 24-11.1.
Provided that the Building Inspector shall report to the Planning Office each
month the amount of construction and demolition of residential and lodge dwelling
units and commercial and office square footage exempted from complying with the
development allotment procedures hereinafter provided for which has received
building permits. The Planning Office shall compile these monthly reports on
an annual basis, providing a report summarizing the amount of exempted construction
and demolition of residential and lodge dwelling units and commercial and
office square footage which has received building permits during the 12 months
prior to the date of submission of applications for development allotments. It
shall be the purpose of the report to summarize the amount of construction
which shall be deducted from the quota of allowable development in succeeding
years and the amount of demolition which should be added to the quota of allowable
development in succeeding years. The Planning Office shall also add any allotments
which have been rescinded or have expired to the quota of allowable development
in succeeding years. Any expansion of commercial or office uses which does not
increase the computation of floor area fora building shall not be deducted
from the quota of allowable development in succeeding years.
Section 2
The Commission recommends that the Aspen City Council amend Section 24-
11.3 of the Municipal Code by creating the following new sections:
Sec. 24-11.3 General Provisions
(j) The City Council may, upon the recommendation. of the Planning and
Zoning Commission, permit the construction of projects designed to
meet the documented shortfall of employee housing in the community
-~-
• ~4
without the employee units beiny deducted from the quota of allowable
development in succeeding years if it can be shown that the deduction
of said units from the quota would entirely utilize the quota of
allowable development in succeeding years. In the event that the
Council shall consider the granting of such an exemption from the
quota system, it shall require that the Planning Office evaluate the
limitations on development in Aspen and report to the Council on the
need for revisions to these limitations which would take effect
during the subsequent year(s).
(k) If, as a result of development exempt from the development allotment
procedures which is deducted from the appropriate quota there shall
be available less than twenty (20) percent of the allotments in any
area identified in Section 24-11.1, then there shall be available
twenty (20) percent (rounded up to the next whole number) of the
annual quota originally provided for that area in Section 24-11.1, it
being the intention of this section that at no time shall the com-
petition for development allotments be entirely precluded by reason
of buildout on previously subdivided lots, the development of employee
housing units or the development of projects within individually
historically designated buildings. Any allotments made available and
awarded pursuant to this section shall be deducted from the quota
available in successive year(s) under Section 24-11.1.
Section 3
The .Commission recommends that the Aspen City Council repeal Section 24-
11.8 of the Municipal Code, "Report of Building Inspection" and 24-11.10 of the
Municipal Code, "Employee Nousing".
Approved by the Aspen Planning and Zoning Commission at their regular
meeting on September 13, 1982.
ASPEN PLANNING AND ZONING COMMISSION
Perry Harv y, Chairman
ATTEST:
Depu City Cler4.
,,
MEMORANDUM
TO: Aspen Planning and Zoning Commission
FROM: Alan Richman, Planning Office
RE: GMP Exceptions Code Amendment
DATE: August 9, 1982
Introduction
At your last meeting on August 3rd a public hearing was initiated to consider
proposed changes to the exceptions to the GMP, Section 24-11.2 of the Municipal
Code. While many of the questions raised that night were technical in nature,
there was also a broader concern raised which questioned the very premise of
our proposal to include employee units within our residential quota. You
asked us to provide you with a comprehensive accounting of the potential for
growth in all sectors, including units which are approved but not yet built
and the potential for future growth under zoning. Tonight's continued public
hearing is for the purpose of responding to this general concern as well as to
the specific issues raised at the last meeting.
Rationale for Proposed Approach
The approach which the Planning Office has been advocating throughout the
update of the GMP is founded upon the principles of comprehensiveness and
consistency in our planning and regulation.. We believe that all types of
development have impacts upon our community and therefore should be reflected
within our adopted growth rate. We have particularly emphasized the degree to
which growth has depleted our basic service capacities and have therefore
taken a metro area perspective in evaluating the constraints to future development.
Finally, we have examined the various priorities which the community has
established regarding growth which have resulted in preferential treatment
being given to certain types of development. We continue to support the
provision of preferential treatment to certain projects by exemption from
competition but do not feel that it is also necessary to place these projects
outside of the quota system.
The argument for a comprehensive growth management system is based on the
following findings:
1. Historical growth trends in the metro area from 1977 to 1981 are
that we have experienced about 60 residential units per year in the
City (34 free market and 26 employee) and about 54 residential units
per year in unincorporated Pitkin County (28 free market and 26
employee) whereas, the quotas would have suggested that 39 units be
developed in Aspen and 27 in Pitkin County on an annual basis. The
total growth of about 114 units per year substantially exceeds the
total quota of 66 units per year despite the fact that many units
which have been approved have not yet been built.
2. We have created commitments to projects which are approved but have
not yet been built, mostly in the City of Aspen, including the
following:
- Swiss Chalets/Third and Main - 36 employee, 36 free market
- 700 Galena/925 Durant - 13 employee, 16 free market
- Ute City Place - 14 employee, 8 free market
- The Lodge at Aspen - 4 employee, 31 free market
- Sunny Park - 4 employee, 3 free market
- Marolt - 70 employee, 30 free market
- Smuggler/Pitkin Reserve - 18 employee, 12 free market
~~
Memo: GMP Exceptions Code Amendment
Page Two
August 9, 1982
The above total of 295 units (159. employee and 136 free market) will
predispose our ability to achieve our planned growth rate. Furthermore,
this total will increase by approximately 200 units if the Hotel
Jerome and Highlands Inn Renewal projects are finally approved,
giving us a backlog of almost 500 approved but not yet built units.
3. Our recent analysis of City and County buildout potential indicates
the likelihood of substantial future growth under current zoning. We
find that there are 146 lots which are currently vacant in Aspen on
which duplexes can be built and 289.1ots which are vacant on which
single family units can be built, fora total potential of 581 new
units. We find that there are an additional 191 previously subdivided
but undeveloped lots in the unincorporated portion of the metro
area. Since the implementation of the GMP we have experienced, on
the average, about 15-20 new units each year in the City and a
similar number in the County metro area on previously subdivided
lots, exempt from the GMP. Our findings concerning buildout potential
support the hypothesis that we will continue to experience considerable
growth on previously subdivided lots for the coming years.
4. Though the adopted water and sewer management plans are based on the
.GMP quotas, .we have experienced amore rapid depletion of capacity
of these basic services than the plans had originally anticipated.
The above indicated residential growth rates, combined with the
commercial growth we have experienced (45,000 square feet per year
in Aspen and 25,000 square feet per year in unincorporated Pitkin
County since 1977) helps to explain why this depletion has occurred.
5. It is likely that we will be experiencing substantial employee
housing development from GMP projects, including, if the full quota
is allocated, about 21 units per year associated with commercial
development plus the employee units associated with lodges and
residential projects. However, with the units unallocated or expired
from previous years (23) plus the likelihood that less than 10 units
-will be built via exemptions this year, it appears that for the
short term there will be available a quota which is adequate to
allow for competition for free market multi-family units.
6. The scenario which we presented to you previously regarding the most
operative constraint to growth at the present time, sewage treatment,
was based on a continuation of historic growth trends. We concluded
that these trends would necessitate the expansion of the AMSD plant
to 4.0 MGD by about 1985-which would provide capacity at this plant
beyond 1990. However, if we experience a buildout of previously
approved projects and of previously subdivided lots while continuing
to exempt employee units from the quota, it is apparent that we will
again deplete our available capacity more rapidly than was otherwise
expected. This conclusion is reinforced by proposals for major new
developments which may be submitted in the near future, including
Silverking Phase IV and a major hotel at the base of Aspen Mountain.
We are concerned that in .trying to meet our various priorities for employee
housing, quality lodging and other institutional facilities, we not also
preclude our ability to achieve the goals of our growth management policy. We
are also concerned about the fiscal impacts of providing services to meet our
planned growth rate in addition to some unknown quantity reserved for those
units outside of this planned rate. We recommend that you recommend that City
Council bring all types of growth under the quota system.
Response to Detailed Concerns
We have attached a draft resolution for your review which is meant simply to
focus the discussion of the proposed exemptions.. We identify, below, the
major issues you asked that we address and explain our responses to each and
every issue.
Memo: GMP Exceptions Code Amendment
Page Three
August 9, 1982
Accounting Method - Several individuals questioned the method by
which we account for units which are built through exemptions from
the GMP but are deducted from the quota. In the past this has been
accomplished on the basis of administrative procedure but we have
provided language which codifies these procedures in a formal manner.
Reconstruction/Change In Use - Our proposed revision to the language
involving the exemption for reconstruction of existing dwelling
units on commercial square footage introduced the concept of "change
in use". The original language permitted the reconstruction of
demolished buildings "provided there is no expansion of commercial
floor area nor creation of additional dwelling units". This language
actually takes care of the situation where an existing residence is
converted into a commercial use or vice versa. The only situation
not accounted for by this language is the change in use between
short and long term residential, an issue which may not be best
approached through a GMP exemption anyway.
Historic Structures - The existing language regarding deductions for
historic structures requires that the quota be reduced by "the
additional floor area or dwelling units resulting from such con-
struction". Since the definition of a dwelling unit in Section 24-
3.1(9) of the Code is "one or more rooms, in addition to a kitchen
and/or bath facilities, intended or designed for occupancy by a
family or guests..." it is clear that the Code now requires the
deduction from the quota of residential and lodge dwelling units
created as a result of this exemption. In our revision we have
chosen to clarify this statement since we believe that all units
should be deducted from the quota.
4. Minor Clarifications - You .have asked that we make various minor
changes to our proposed language which are included in our draft
resolution. Please remember that one change from the existing Code
which is included in this draft is the elimination of the 85:15
provision.
Planning Office Recommendation
The Planning Office recommends that you direct us to return at your next
meeting with a revised draft resolution, based on your comments on this first
draft.
.--,
oenF~
RESOLUTION OF THE ASPEN PLANNING AND ZONING COMMISSION
RECOMMENDING AMENDMENTS TO THE MUNICIPAL CODE
CONCERNING EXEMPTIONS TO THE GROWTH MANAGEMENT PLAN
Resolution No. 82 - 9
WHEREAS, the Aspen Planning and Zoning Commission has reviewed the data
produced by the Planning Office during the course of the Growth Management
Plan Update, and
WHEREAS, the Aspen Planning and Zoning Commission recognizes that since
1977 the City of Aspen has exceeded its annual residential quota of 39 units
and has, in fact, experienced a growth rate of approximately 60 residential
dwelling units per year, and
WHEREAS the Aspen Planning and Zoning Commission believes that it is
essential to the community's welfare that employee housing be produced to meet
the critical shortfall identifed by the Housing Office and as such that employee
housing receive preferential treatment within the GMP by its exemption from
the competition procedures, and
WHEREAS, the Aspen Planning and Zoning Commission acknowledges that all
types of growth have impacts on the ability of the community to provide basic
services and therefore must be accounted for within the growth rates adopted
for Aspen within the quota system, and
WHEREAS, the Aspen Planning and Zoning Commission indicates that its
intent to include the growth from all GMP exemptions within the quota system
reflects a commitment to a dynamic GMP which will need to be monitored and
updated regularly and frequently to insure that the quotas are in accord with
current community priorities.
NOW, THEREFORE, BE IT RESOLVED by the Planning and Zoning Commission of
the City of Aspen, Colorado:
Section 1
The Commission recommends that the Aspen City Council repeal and re-enact
Section 24-11.2 of the Municipal Code as follows:
Sec. 24-11.2 Exemptions
The following development activity shall be exempted from complying with
the allotment procedures hereinafter provided for:
~.
(a) The remodeling, restoration or reconstruction of any building
existing at the time of this regulation, provided there is no expansion
of commercial floor area nor creation of additional dwelling units .
Applicants proposing to demolish and then delay the reconstruction
of a building shall be required to verify the commercial floor area
and/or number of dwelling units which comprise the building to be
demolished, and shall be limited to reconstruction of no more than
the verified total within five years of the date of demolition.
Applications to verify the contents of the existing building shall
be reviewed by the Planning and Zoning Commission so that a record of
that which is to be demolished can be established.
(b) The enlargement of, or change of use in a structure which has
received individual historic designation, provided that applicants
proposing to create additional dwelling units, expand the commercial
floor area or change the use of such a structure shall be subject to
the special review of the City Council upon the recommendation of
the Planning and Zoning Commission. The approval shall include a
finding that the applicant has mitigated the impacts of the proposed
expansion or change in use in terms of employee housing, parking
needs and basic services such as water, sewer, drainage and fire
protection.
(c) The construction of one single family or duplex structure on town-
site lots or lot subdivided prior to November 14, 1977.
(d) The construction of one single family residence on a lot subdivided
after November 14, 1977, where the following conditions are met:
(1) The tract of land which was subdivided had a pre-existing
dwelling;
(2) No more than two (2) lots were created by the subdivision.
(e) All construction of essential governmental projects other than
housing.
(f) All employee housing units deed restricted in accordance with the
City's adopted employee housing guidelines which are constructed
pursuant to the residential, commercial and lodge development
allotment procedures or pursuant to the density bonus provisions of
this Code, and all units constructed as part of a pure employee
housing project (that is, one containing all deed restricted and no
free market housing development) subject to the special approval of
the City Council, based on the recommendation of the Planning and
Zoning Commission. The review of any request for exemption of
employee units from the development allotment procedures shall
include a determination of community need considering, but not
limited to, the project's compliance with any adopted housing plan,
including the number of units proposed and their location and the
type of units proposed, specifically regarding the number of bedrooms
in each unit and the size of the unit, the rental/sale mix of the
development and the desired price categories to which the units are
to be deed restricted.
(g) All residential dwelling units constructed in a mixed free market/
deed restricted housing project wherein at least seventy (70) per-
cent of the units are constructed and deed restricted in accordance
with the City's adopted employee housing guidelines, subject to the
special approval of the City Council, based upon the recommendation
of the Planning and Zoning Commission which approval shall include a
determination of community need considering, but not limited to, the
project's compliance with any adopted housing plan, specifically the
number of units to be constructed, unit type, unit mix, the rental/sale
mix of the development, and desired price and rental categories.
Applicants are recommended to submit an application wherein there is
maintained an average of one and one-half (12) to two (2) bQirooms
per unit within the deed restricted portion of the project (a studio
shall be considered a three-quarter bedroom) and where at least
fifty (50) percent of the residential floor area is devoted to deed
restricted units.
(h) The expansion of an existing commercial or office use in a building
by not more than five hundred (500) square feet, excluding employee
housing, for the purposes of providing a small addition of space
which can be shown to have minimal or manageable impact upon the
community and can be justified by the benefit which will accrue to
the community. For expansions which involve less than two hundred
fifty (250) square feet and are for the purposes of providing space
which is accessory to or incidental to the principal use, such as
mechanical, storage, corridors and stairs, the expansion shall be
approved jointly by the Planning Director and the Chief Building
Inspector. For expansions which involve any request for commercial
or office space, or which involve expansions of any type of space of
two hundred fifty (250) to five hundred (500) square feet, the
expansion shall be subject to the special approval of City Council,
based on the recommendations of the Planning and Zoning Commission.
The review of any request for the expansion of an existing commercial
or office use shall include a determination of minimal or manageable
impact on the community, considering but not limited to findings
that a minimal number of additional employees will be generated by
the expansion or the applicant will provide additional employee
housing; that a minimal amount of additional parking demand will be
created or that parking can be accomodated on site; that there will
be minimal visual impact on the neighborhood due to the project; and
that minimal new demand is placed on services available at the site
such as water, sewer, drainage and fire protection. Applications
for expansions shall be limited to a one time only commercial addition
to any building within the City of Aspen.
(i) All development not limited by the provisions of Section 24-11.1.
Provided that the Building Inspector shall report to the Planning Office each
month the amount of construction and demolition of residential and lodge
dwelling units and commercial and office square footage exempted from complying
with the development allotment procedures hereinafter provided for which has
received building permits. The Planning Office shall compile these monthly
reports on an annual basis, providing a report summarizing the amount of
exempted construction and demolition of residential and lodge dwelling units
and commercial and office square footage which has received building permits
during the 12 months prior to the date of submission of applications for
development allotment. It shall be the purpose of the report to summarize the
amount of construction which shall be deducted from the quota of allowable
development in succeeding years and the amount of demolition which should be
added to the quota of allowable development in succeeding years.
Section 2
The Commission recommends that the Aspen City Council amend Section 24-
1.1.3 of the Municipal Code by creating the following new sections:
Sec. 24-11.3 General Provisions
(j) The City Council may upon the recommendation of the
Planning and Zoning Commission permit the construction of projects
designed to meet the documented shortfall of employee housing in the
community without the employee units being deducted from the quota
of allowable development in succeeding years if it can be shown that
the deduction of said units from the quota would prevent the development
of free market units entirely in succeeding years. In the event
that the Council shall consider the granting of such an exemption
from the quota system, it shall require that the Planning Office
evaluate the limitations on development in Aspen and report to the
Council on the need for revisions to these limitations which would
take effect during the subsequent year(s).
(k) If, as a result of development exempt from the development allotment
procedures which is deducted from the appropriate quota there shall
be available no development allotments in any area identified in
Section 24-11.1, then there shall be available twenty percent
(rounded up to the next whole number) of the annual quota originally
provided for that area in Section 24-11.1, it being the intention of
this section that at no time shall the competition for development
allotments be entirely precluded by reason of buildout on previously
subdivided lots, the development of employee housing units or the
development of projects within individually historically designated
buildings. Any allotments made available and awarded pursuant to
this section shall be deducted from the quota available in successive
year(s) under Section 24-11.1.
Section 3
The Commission recommends that the Aspen City Council repeal Section 24-
11.8 of the Municipal Code, "Report of Building Inspection" and 24-11.10 of
the Municipal Code, "Employee Housing".
Approved by the Aspen Planning and Zoning Commission at their regular
meeting on 1982.
ASPEN PLANNING AND ZONING COMMISSION
By:
Perry Harvey, Chairman
ATTEST:
Deputy C-y Clerk
MEMORANDUM
TO: Aspen Planning and Zoning Commission
FROM: Alan Richman, Planning Office
RE: GMP Exceptions Code Amendment
DATE: July 28, 1982
Attached are the proposed revisions to Section 24-11.2 of the Code
concerning GMP exceptions, along with minor changes to Sections 24-11.3,
24-11.8 and 24-11.10 to remain consistent with the remainder of our
GMP strategy. Following are the major changes involved in this
proposal:
1. Eliminated provisions include subsection (f), involving
building permits issued prior to the GMP; and subsection (k),
the 85:15 provision; while subsections (g) and (h) have been
combined into a unified employee housing exception. The
70:30 provision, subsection (i}, has also been retained.
2. Revised provisions include subsection (a) where a review pro-
cedure for reconstruction has been proposed; subsection (b)
where a review procedure and mitigation requirement has been
proposed for historically designated structures and the new
employee housing exception, formerly subsections (g) and'(h).
3. Expanded deductions of exempt development from the quotas in-
cluding development in historic structures, on previously
subdivided lots, on lots formed by lot split, of employee
housing and for small commercial expansions, provided that the
infrequent, large employee housing project may be exempted
from the quotas by formal decision of City Council and provided
that if the quota shall be used up by projects exempt from the
competition procedures, then 20g of the original quota will
automatically be available for the competitions.
As you are aware, the key issue which we are dealing with related to
these proposals is that of deducting all development from the quota.
This approach recognizes that all types of development have impacts
upon the community and should be included within 'our growth rates.
We support the provision of preferential treatment to developments
which meet key community objectives but believe that exemption from
the competition procedures is a sufficient incentive without also
exempting the development from the quotas. This position was supported
by a recent (July 22) editorial in the Aspen Times, attached for
your information.
Our GMP revisions over the past year have had the effect of making
growth management comprehensive in Aspen. We have reintroduced you
to the "services as limits to growth" concept and portrayed growth
to you in terms of varying priorities competing for a limited pie.
For these concepts to be effective planning tools we believe
it is necessary that the entire growth management system be internally
consistent. The only remaining inconsistency is that involving the
GMP exceptions which presently are outside of our "limited pie".
By approving the proposed revisions to Section 24-11.2 of the Code
you will have completed the unification of our dual growth rate
which will permit us to plan for the future needs of the community
without any qualifying or limiting variables as unknowns. We urge
you to continue in the direction you have initiated when we expanded
the coverage of the commercial quota system city-wide and when we
adopted new quotas based on the community's ability to sustain growth.
.. _ N _
Memo: GMP Exceptions Code Amendment
Page Two
July 28, 1982
The major concern associated with bringing all units under the
quota system is the degree to which this proposal will limit the
future production of employee units. As we indicated to you at
the last meeting we believe that the 39-unit residential quota
can accomodate the. residential growth rate we can expect in Aspen
for the next few years. Now that Council has adopted the 24,000
square foot commercial quota we feel confident in projecting the
need for no more than 21 new employee units each year to offset
the maximum allocation of quota. Additional units will also
likely be produced as a result of the lodge and residential compe-
titions. However, the following data, which you requested indicates
the degree of free market housing we have experienced since 1977 which,
during the .last 2 ~ years, has been substantially belcxa the 39 unit quota.
Recent Residential Growth Rates In Aspen
1977
Free Market 70
Units
Deed Restrict- 0
ed Units
Total Units 70
1978 1979 1980 1981 1982(.'0 Total Average
28 39 16 18 2 173 31
0 4 88 37 2 131 24
28 43 104 55 4 304 55
Source: Aspen/Pitkin Planning Office, 1982, based on Building Department
Files.
Though we recognize that the last few years have not been typical
economic times, we also feel that they are representative of what may
occur in the near future. Please remember that the idea of bringing
employee units under the GMP is born of the dynamic approach we propose,
where we try actions which our data shows are in the community's best
interest, with a willingness to come back with additional changes to
our quota system if the need arises. However, based on the units
unallocated from last year (13), the units which recently expired
(10), the units which may expire this year (44) and the low development
total in Aspen during 1982 (4) we do not think any such problem will
arise over the short-term.
We hope that we can move this Code amendment toward a resolution
at your next meeting so that we may stick to our legislative agenda
with City Council.
housing has. impacts
When Aspen and Pitkin County approved their growth
management plan in 1977 they recognized that "because
the phenomenon of community growth is imperfectly
understood, any attempt to regulate it will be imperfect,"
and they made provisions for periodic review which could
lead to changes, if needed.
During the past year the planning office, with city and
county planning and zoning commissions, has studied
several GMP changes, many of which have since been
adopted. They covered annual quotas, general administ-
ration, residential scoring, commercial scoring, lodge
scoring, expired permits and employee housing.
Now the planners are looking at the list of 12 exemp-
tions which were included in the original code, or added
since its initial adoption. Included in the list are those for
employee housing.
Last month the county agreed with planning office
recommendations that employee housing is beneficial
and should be encouraged by being exempt from GMP
competition, but that it does impact the community and
should not be exempt from annual quotas.
This week the city PZ began studying the same ques-
tion. At the moment employee housing is exempt from
GMP competition as wel I as from GMP quotas in the city.
Planners recommend that the city adopt the county pro-
cedures for housing exemptions.
We concur. Although this newspaper is a strong sup-
porter of employee housing and strengthening all zoning
and GMP inducements for its creation, we recognize that
any housing, no matter how beneficial, has impacts and
should be included in the annual GMP quota if the pur-
pose of the plan itself is not to be subverted.
July 22, 1982 The Aspen Times
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MEMORANDUM
T0: Aspen City Council
FROM: Alan Richman, Planning Office
RE: Revision to GMP Quotas - Ordinance 26
DATE: July 19, 1982 APPROVED AS TO FORM:
Introduction
On June 26, 1982 you approved, on first reading, Ordinance 26, Series of 1982,
revising the quotas for GMP allotments. At that time you concurred with our
recommendation for the residential quota, which was that there be no change
from the 39 units per year we permit. You also concurred with our recommenda-
tion that the lodge quota be increased from 18 to 35 units per year. Finally,
you directed us to revise the commercial quota such that the total square footage
allowed in all zones annually would be 24,000 square feet, not 35,000 as we
had recommended. The purpose of this memo is to address this one change in
the ordinance. For those of you who wish to review our original arguments
regarding the quotas, we have also attached the memo from the previous meeting.
Commercial Quota Revisions
The attached ordinance contains a revised recommendation regarding the commercial
quota which follows your direction that the total development allowed should be
24,000 square feet. Following is a comparison of the two proposals:
Zone Original Proposal Revised Proposal
CC/C-1 15,000 10,000
NC/SCI 9,000 7,000
Office 6,000 4,000
CL and other 5,000 3,000
TOTAL: 35,000 24,000
The arguments which support this proposal follow below:
1. A premise of the original GMP was that the 24,000 square foot quota from
the downtown area would be sufficient to meet the commercial and office needs
of the entire metro area (see page 46 of the Growth Management Policy Plan).
As we now recognize, this assumption did not take into account the fact that
extensive growth would occur outside of the downtown area, in particular in
the 0, NC and SCI zones. This does not in any way undermine the fact that
24,000 square feet of commercial growth is an appropriate rate to achieve the
residential-commercial balance which is a goal of the GMP. Therefore, your
decision to maintain the commercial quota at 24,000 square feet was entirely
consistent with your adopted plan and is the most appropriate direction for
the community to proceed.
2. In reducing the individual quotas, we have particularly downgraded the
square footage available in the CC/C-1 zones since this has been the location
of so many recent projects. However, in cutting any of the recommendations to
fit within the 24,000 square foot guideline rae have been careful not to
completely eliminate the possibility of a project being built under the competi-
tion. In certain cases it may be necessary to award multiple years of quota
to make a desirable project possible. In no case will it be permissable for
quotas to be traded among the various zones. Please note that at the present
time the CL zone is fully built out, although we have an application pending
fora rezoning of property to CL. Also note that on occassions there will be
commercial development in other zones (L-1, L-2) which is accomodated by this
proposal.
Memo: Revision to GMP Quotas - Ordinance 26
Page Two
July 19, 1982
Council Moti
The appropriate motion on this item is as follows:
"Move to approve Ordinance 26, Series of 1982 on second reading."
MEMORANDUM
T0: Aspen City Council
FROM: Alan Richman/Sunny Vann, Planning Office
RE: Update of GMP Quotas
DATE: June 18, 1982 APPROVED AS TO FORM: /,~~ o~ AJ/
Introduction
The purpose of this memorandum is to introduce you to the principles the
Planning Office has been developing which we propose should form the basis of
the updated growth management quota system. These principles were accepted by
the Planning and Zoning Commission when they unanimously adopted the revised
quotas at their meeting on June 8, 1982. Your formal consideration of the
revised quotas will take place at the first reading of an ordinance at your
regular meeting on June 28, 1982.
Why Revise the Quotas?
There are several reasons that we must look at our quota system at this time,
all of which have emerged from our ongoing update of the growth management
quota system. First, as you recall, last year you adopted Ordinance 49,
series of 1981, which expanded the coverage of the commercial GMP from just
the CC and C-1 zone districts to all zones in which commercial projects can be
built. At that time, we indicated that we would be returning with quotas for
these zones at a later date. Since the date for submission of commercial
development applications is September 1st, it is mandatory that we adopt the
development quotas before that time.
A second reason for re-evaluating our quotas relates to our study of short
term accommodations in Aspen and Pitkin County. One recurring theme of our
discussions of this issue has been the criticism of the 18 unit lodge quota as
being impractical for the phasing of a new lodge, considering today's market
conditions. Therefore, we have taken another look at the appropriate growth
rate for the L-1 and L-2 zone districts. Please note that this analysis does
not consider the buildout potential for nonconforming lodges, if and when an
action is taken which will permit their expansion. We believe that should you
decide to permit the expansion of lodges which are currently nonconforming,
that it will be appropriate to develop a separate quota for that category of
development so that the small lodge is not forced to compete with the larger
facilities in an elaborate procedure. Therefore, we believe that these two
issues can be kept separate for the time being as we concentrate on a revised
quota for those lodges which currently are able to be expanded.
The final reason for reconsidering our quotas is the broad conceptual understanding
we have been developing concerning growth management in our community. The
ongoing growth management update has helped us to identify certain growth
trends which have taken place since the GMP was implemented in 1977. Using
these trends, we have slowly been evolving a revised growth management policy
recommendation which builds upon the principles of the original GMP but which
also reflects what growth control means today to Aspen and Pitkin County.
Therefore, before we begin to discuss the actual numbers proposed as the
revised quotas, we believe that it is essential that we first consider the
concepts which underlie this proposal.
The Concept of GMP Quotas
Earlier this year the Planning Office presented to you a status report on the _
update of the GMP. This report provided you with historical growth date from
1975 to 1981 and drew certain conclusions from that data. The analysis docu-
mented that we have exceeded our planned rates of growth for residential units
and commercial square footage despite the fact that many projects approved
under the GMP have never been built. We concluded that projects which have
been outside of the GMP have had a more profound impact on our growth rate
Memo: Update of GMP Quotas
Page Two
June 18, 1982
than have the ones which have competed. These projects include those which
have been awarded exemptions from the GMP and those which did not have to
compete since the commercial GMP was less than comprehensive.
The fundamental concept that we recognized from this review was that we have
created a dual rate of growth in the community -- one which is regulated by
the GMP and reflects our adopted quotas- and a second which is unregulated
which impairs our ability to achieve managed growth and a balanced, fiscally
sustainable community. Some direct results of this dual growth rate have been
our inability to make up an employee housing shortfall which is fueled by
expansions of employment opportunities without a corresponding production of
price controlled housing, and a more rapid depletion of available limited
resources than was originally anticipated, with the most obvious example being
the need to expand the sewage treatment plant this year rather than at the end
of the decade.
Utilizing this fundamental .concept, the Planning Office and Planning and
Zoning Commission formulated the following policy recommendation for a revised
growth management quota system, consistent with the original GMP and yet which
also has the following features:
The quotas are based on the ability of the community to sustain growth
as a function of our capacity to provide basic services, including
water, sewer and transportation needs, and to meet environmental,
economic and social quality of life goals. This approach is predicated
on the belief that due to the many capital expenditures already facing
the community it is desirable to delay those expansions which we are
capable of postponing. This approach also reflects a basic community
commitment to hold our growth rate below that which might otherwise
occur to protect the quality of life to which residents have become
accustomed and which maintains the unique character of Aspen as a
destination resort.
2. The quotas are short term rates of growth which reflect current priorities
for employee housing, quality lodging and several institutional facilities,
as well as our legal obligations to provide an opportunity for buildout
on previously subdivided lots. Therefore, the impact of the quotas
upon our growth rate will have to be carefully monitored and as our
community goals and priorities evolve, they will need to be regularly
updated as part of a dynamic rather than static GMP.
3. The quotas do not acknowledge the ultimate buildout under existing
zoning as a tacit and fixed commitment to the eventual size of our
community. Instead, they represent an immediate goal for managed
growth, based on historic development trends and perceived growth
priorities which must be reviewed in relation to basic community land
use planning decisions and service capacity thresholds.
4. The quotas represent a comprehensive approach to growth management,
founded on the concept that a fundamental flaw of our approach in the
past is that it has resulted in higher than anticipated growth rates,
because many types of activities were exempt from the original quotas.
The revised approach acknowledges the impact on the community of all
types of development and therefore unifies the regulated and unregulated
growth rates into a single barometer of the community's development.
We believe that to fully comprehend how these concepts work, it is necessary
to actually take you through the methodology of developing the quotas themselves.
The following three sections identify the proposed residential, commercial and
lodge development quotas for your consideration.
Memo: Update of GMP Quotas
Page Three
June 18, 1982
Residential Development Quota
Development in the residential sector is comprised of three distinct parts.
One component is the previously subdivided lot on which single family and
duplex units can be built without competition under the GMP. Research into
past trends in this type of development indicates that each of the past several
years between 10 and 20 such units have been developed. We believe that this
component will continue to account for about 15 units for the next few years,
since our analysis shows the existence of substantial residential buildout
potential in the City of Aspen (146 duplexes and 289 single family residences
on existing vacant lots).
The next component of residential growth is employee housing, which currently
is not deducted from the quota. Last year there were 26 employee units produced
in the City, mostly in various commercial projects, while the year before
there were 88 such units produced, including 80 at Castle Ridge. In the
future we can expect this rate to continue since we have increased the points
available in the commercial competition for employee housing. In fact, to
meet the threshold of 50~ of employees housed, as many as 25 to 30 new units
may be needed if the entire commercial quota is allocated. However, we believe
that with the exception of the very largest projects aimed at eliminating the
critical employee housing shortfall (i.e., Castle Ridge, Marolt) the employee
housing units can be accommodated within the residential quota. We expect to
be coming forward next month with revisions to the GMP exemption procedures
such that employee units will be deducted from the residential quota, although
they are still outside of the competition process.
The last component of the residential sector is the free market units which
are available under the competition system following the processing of exemptions
during the previous year. These units either meet a portion of the need for
tourist accommodations or high quality resident units and typically subsidize
employee housing. Therefore, while it is desirable to have a certain number
of these units available for competition from year-to-year, it is also to our
advantage to limit the number which are available as part of a managed growth
policy.
In summary, it appears likely for the near future that 10-15 units will be
developed annually on previously subdivided lots with about 15-20 employee
units being developed in the smaller, dispersed projects. This total of 25 to
35 units built each year is below the 39 unit quota available for each year
and would therefore leave units available for competition. Therefore, we
recommend that you leave the 39 unit residential quota untouched for the time
bein When we come before you to revise the GMP exemption procedures we will
provide you with additional data to justify the fact that this total can
accommodate the employee housing which will likely be produced in the near
future.
Commercial Development Quota
The rate of commercial growth we can sustain is directly related to the residential
development quota, since as we produce additional commercial space applicants
will also have to provide employee housing. We believe that due to recent
rates of growth in commercial space in Aspen (45,000 square feet per year) and
Pitkin County (25,000 square feet per year) this is an appropriate time to
curtail the rate of commercial buildout. This need is particularly evident in
the CC and C-1 zone districts, where three projects are under construction
(Park Place, Epicure Plaza and Mill Street Station) and five others have GMP
approvals but have yet to be built; and in the office zone district where two
projects are under construction (the Forge Building, Main and Seventh) and two
others received building permits just prior to the expansion of the GMP to
that zone.
Memo: Update of GMP Quotas
Page Four
June 18, 1982
To develop commercial development quotas for the City of Aspen we have grouped
zone districts together, based on their geographical location and extent,
their buildout potential and the similarities among their intent and permitted
and conditional uses. The groups identified provide for a maximum of four
separate competitions, but insure that incompatbile zones (CC and SCI, for
example) will not compete directly with each other to the detriment of the
less economically demanding zone. The quotas which we recommend be adopted
for this vear are as follows:
CC and C-1 - 15,000 square feet
NC and SCI - 9,000 square feet
Office - 6,000 square feet
CL and Other - 5,000 square feet
This total of 35,000 square feet, while almots 50% greater than the existing
quota of 24,000 square feet in the CC and C-1 zones, is 25% below the historical
trend we have experienced and which so many have found to be ojectionable.
However, to further justify this recommendation, we have placed the quotas to
three tests, as follows.
The first test involves the amount of employee housing need which the quotas
can be expected to generate. The Planning Office has recently completed a
survey of employees per 1000 square feet in the City of Aspen. These generation
factors are shown below in the computation of overall need.
Zone Sq uare Footage Generation Factor Employees Units*
CC/C-1 15,000 5.25 79 17.5
NC/SCI 9,000 2.30 21 4.5
Office 6,000 3.00 18 4.0
CL and Other 5,000 3.50 17 4.0
Total 35,000 3.50 135 30.0
*Need for units is calculated on an average of 2.25 persons per dwelling unit
(based on Housing Office data) and the applicant meeting 50% of the total
employee generation.
As can be seen, 30 employee units will need to be produced on an annual basis
to meet 50% of the employee housing demand if the full 35,000 square foot
quota is allocated in a given year. This computation would tend to indicate
that the commercial quotas recommended are as high as the community can possibly
sustain, if we are to meet our recommended residential quota. Therefore, if
for any reason you feel that any zone has been shortchanged, you should only
alter its quota by taking square footage from another zone, not altering the
total of 35,000 square feet of commercial development.
A second test for these proposed quotas is how well these rates compare with
our adopted growth management goal to adhere to a community-wide growth rate
of 3.47%. This test utilizes recently obtained data from the tax assessor's
office concerning commercial buildout, as documented below:
Approximate Existing Growth
Zone Commercial Square Footage Rate Total
CC/C-1 800,000 3.47% 27,760
NC/SCI 200,000 -- 6,940
Office 150,000 -- 5,205
CL and Other 100,000- -- 3,470
Total 1,250,000 3.47% 43,375
Memo: Update of GMP Quotas
Page Five
June 18, 1982
Finally, these quotas can be tested as to the ability of a project to be
developed within any zone. It can be seen that these quotas will easily
support a single new large project or several smaller projects in any zone
group which will afford the community an opportunity to more reasonably accommodate
the impacts of this growth than has recently been the case. For example, in
the CC zone district the typical three lot site would permit a maximum buildout
of 15,300 square feet while in the Office zone a two lot site would permit a
maximum buildout of 5,100 square feet. Please note that under existing zoning
there is essentially no likely buildout potential in the CL and NC zones,
while the SCI zone district is limited by Section 24-3.6 of the Code, "Use
Square Footage Limitations". Please also note that as always, you have available
to you an annual 20% bonus if a project is too large for the quota and that
you can award multiple years of quota for particularly deserving projects.
Lodge Development Quota
The most important determinant of the need for new lodging in Aspen is the
recently produced Draft Short Term Accommodations Report. This Report documents
that there is an existing balance between skiing capacity, skiing utilization
and the availability of tourist accommodations. The Report recommends a
moderate level of growth in short term accommodations which. will keep the
level of tourist beds at or below skiing capacity and ensure that the skiing
portion of the tourist experience remains a high quality one. To provide for
a quality lodging experience the Report makes. the following recommendations:
1. Growth in short term accommodations should be confined to existing
locations of these facilities and areas zoned for tourist accommodations
which are vacant or not yet fully built out. Examples of such locations
where applications are now under review include the Hotel Jerome (40
rehabilitated and 60 new units), The Lodge at Aspen (31 new units) the
Aspen Inn (36 new units) and the Highlands Inn (50 rehabilitated and 75
to 130 new units).
2. The existing mix of short-term accommodations should be supported so as
to provide a variety of quality, cost and locational opportunities for
the visitor. In particular, incentives must be provided to preserve
and improve our nonconforming lodges. The Planning Office is currently
working with the Planning Commission to develop a proposal to address
this issue and would like to meet with you to brief you on the alternatives
which we are evaluating.
3. The City lodge quota should be revised to a level which is commensurate
with the ability of the private sector to justify incremental expansions
of existing lodges and development of entirely new lodges. The quota
should not be excessive since we do not have a need for major additions
of units at this time. However, if and when we do experience ski
capacity increases, there may indeed be justification for some expansion
of the lodge inventory.
P
ion to the P
lodge quota be increased trom Iti to 35 units per year. Ihls rate of growth
recognizes that we now have under review applications to rehabilitate 90 units
and to build about 200 new units and that we have under construction units at
the Aspen Inn and 700 South Galena (16 short term residential units). These
additions should provide greater competition in the lodging industry which
will help to induce better quality and value in our accommodations inventory.
The 35 unit quota also tracks well with our adopted growth rate of 3.47%.
There are presently 1107 traditional lodge rooms and dorms in the City of
Aspen. A simple growth rate of 3.47% in this sector would equate to 38 units
per year, or virtually the same number as has been recommended for the new
quota. Once again, please remember that your ability to award several year's
worth of quota at any one time and to award up to 20% above any year's quota adds
substantial flexibility for you to deal with the occasional large project which
may come before you.
Memo: Update of GMP Quotas
Page Six
June 18, 1982
Sustainability of the Growth
While the Planning Office believes that the previous tests applied to the
proposed quotas give valuable insights into their practicality and their
consistency with the adopted growth policy, they should be taken one step
further to evaluate their fiscal sustainability. As indicated earlier in this
memo, the quotas reflect a belief that due to the many capital expenditures
already facing the community it is desirable to delay those expansions we are
capable of postponing. Obviously, if the community wishes to grow faster than
the rates proposed it can do so, although at an immediate cost.
The service we have chosen for calculating the sustainability of our growth
rate is the one which we consider to be the most operative constraint to
growth at the present time -- our sewage treatment capacity. Our research
indicates that this service exhibits the most direct relationship between
population growth and diminishing capacity. We also find that in comparing
our approach to other growth management systems across the county, limitations
on development due to service constraints are legally justifiable.
Our current sewage treatment capacity is 3.0 million gallons per day (MGD).
The Aspen Metro Sanitation District (AMSD) is planning to expand their facility
from 3.0 to 3.2 million gallons per day (MGD) this spring. They would like
this expansion to last to mid-decade, at which point the plant would be expanded
to 4.0 MGD. Due to the cost of this expansion and the difficult choices we
will face beyond that point (re-open the old plant near the Post Office,
hopefully without odor problems or build a new, expensive regional plant
downvalley with uncertain environmental impacts), we view this constraint as a
logical tool with which to formulate our quotas. Therefore, the short term
goal for growth in the Metro Area is one which permits us to delay the expansion
of the AMSD plant to 1984 or 1985 and which will then accommodate growth
through the end of the decade. Of course, it will be necessary to monitor
progress toward that goal on a regular basis, certainly more frequently than
once in five years.
The basis for understanding the wastewater constraint is as follows. Peak
usage of wastewater in the Aspen Metro Area occurrred in December 1980 at 2.9
MGD. At that time the peak population was about 20,000 persons, located in
approximately 6,250 dwelling units and 1,800,000 square feet of commercial/
institutional space. To convert these totals into wastewater generation, we
have used some factors commonly employed by engineers, as modified by the
unique socio-economic profile of Aspen. We feel that to be conservative in
our facility planning, we should expect that each new dwelling unit generates
435 GPD (gallons per day) and that 5000 square feet of commercial space is
equivalent to one dwelling unit and therefore also generates 435 GPD.
We have tested the proposed City quotas against the sewage treatment capacity
constraint by combining them with the quotas now being evaluated by the County
for the Metro Area. These Metro Area totals indicate that due to our legal
obligations regarding previously subdivided lots, our commitment to projects
approved but not yet constructed (Marolt, Smuggler/Pitkin Reserve) and our
institutional priorities (bus maintenance facility, jail, performing arts
center) we are predisposed as to the degree to which we can limit growth.
Therefore, the historic trend of about 125 to 150 new resident and tourist
units per year being built will likely be continued, with a possible mix being
50 to 60 lodge units, 35 to 40 free market units and 40 to 50 employee housing
units, across the entire Metro Area. This growth rate is balanced against a total
Metro Area growth of 50,000 square feet of commercial space each year which
generates service demands directly and also indirectly by fueling our employee
housing need.
Our analysis indicates that the Metro Area growth rate will utilize 60-65,000
gallons per day of our remaining treatment capacity. This rate does not take
into account housing remodels which add bedrooms, hot tubs, jacuzzies, clothes
and dish washers and other applicances to existing houses nor does it take
into account the construction of the institutional projects identified above.
Therefore, it seems safe to conclude that the 0.3 MGD in capacity between the
1980 peak usage of 2.9 MGD and the planned expansion in 1982 to 3.2 MGD will
clearly be used up by mid-decade by the growth of at least 60,000 gallons per
Memo: Update of GMP Quotas
Page Seven
June 18, 1982
day on an annual basis. While this will necessitate an expansion of the AMSD
plant by mid-decade, it should hopefully provide us 5 to 10 years beyond that
date before another expansion is needed. We therefore believe that our proposed
quotas meet the test of sustainability in terms of our most pressing service
constraint-sewage treatment.
fnnclucinn
The Planning Office has proposed revised GMP development quotas which have
been tested as to their consistency with adopted policy, their practicality in
terms of meeting public and private needs and their sustainability regarding
service constraints. The Planning Office believes, and the Planning Commission
unanimously concurred, that these quotas meet these tests and should be adopted
as presented. We recommend that when these quotas are presented to you in
ordinance form for first reading on June 28 that they be approved. However,
as always, we remain open to your suggestions and comments in hopes of improving
upon what has clearly been a complex and lengthy planning process.
MEMORANDUM
T0: Aspen Planning and Zoning Commission
FROM: Alan Richman, Planning Office
RE: Work Session - GMP Exceptions Code Amendment
DATE: July 12, 1982
Introduction
Over the past twelve months the Planning Office and Planning Commission have
initiated revisions to the following portions of the Growth Management Quota
System:
Section 24-11.1 -
Section 24-11.3 -
Section 24-11.4 -
Section 24-11.5 -
Section 24-11.6 -
Section 24-11.7 -
Section 24-11.10-
Quotas
General Administrative Provisions
Residential Scoring System
Commercial Scoring System
Lodge Scoring System
Rescinded and Expired Permits
Employee Housing
With these changes in place, the major remaining section of the quota system
which must be addressed concerns the GMP Exceptions, Section 24-11.2. This last
legislative initiative of the GMP update is, in certain respects, one of the most
important of our proposed changes since it reflects directly upon our adopted
growth rate.
Existing Exemptions
At present there are. twelve separate exceptions from the quota system, some of
which result in development which i.s exempt from competition but deducted from
the quota and some of which are not limited by either the competition or the
quota system. These exceptions can be briefly summarized as follows:
(a) Remodeling, restoration or reconstruction which adds no commercial
square footage or dwelling units;
(b) Enlargement or change of use in historic structures;
(c) Single family or duplex residences on previously subdivided lots;
(d) Single family residence constructed in connection with a lot split;
(e) Essential governmental projects other than housing;
(f) Construction pursuant to pre-GMP building permits;
(g) Employee housing pursuant to density bonus provisions;
(h) Employee housing associated with GMP projects;
(i) 70:30 employee:free market housing projects;
(j) All development not specifically limited by the quotas;
(k) 85:15 free market: employee housing projects;
(1) Small commercial projects expansion.
Of these twelve exceptions, all or part of the development associated with
Sections (b), (c), (d ), (i), (k), and (1) is deducted from the appropriate quota.
The major types of development which are not deducted from the quota are employee
housing and essential governmental projects.
Memo: Work Session - GMP Exceptions Code Amendment
Page Two
July 12, 1982
Major Issues
The Planning Office believes that there are four major issues surrounding our
GMP exception procedures. These can be summarized as follows:
Are there exceptions which are inappropriate and should be
eliminated?
Of those exceptions which are appropriate, should their allowed
development be deducted from the quotas even though they do not
have to compete?
Should those exceptions which are appropriate contain a requirement
that the impacts of allowed development be mitigated to be eligible
for approval?
4. Should there be a uniform review procedure for the consideration
of applications for GMP exceptions?
In addition to these major issues, there are also some minor definitional and
procedural questions that we expect to cover with the Attorney's Office for which
we will bring you recommendations at your next meeting. However, the primary
purpose of tonight's work session is to discuss the four major issues with you
in preparation for the public hearing on this topic, scheduled for August 3.
Each issue is considered in detail below.
Elimination of Exceptions/Deduction from Quota
The primary exceptions which raise concerns regarding the question of compre-
hensiveness are those involving employee housing. These exceptions were
adopted in response to some very serious community problems identified by the
Housing Action Plan, reflecting the desirability of providing affordable housing
for employees of the community. The provisions, quite purposely, give employee
housing a "preferential treatment" over other types of development by exempting
these units from competition under the GMP. However, we also give a further,
and possibly unnecessary advantage to these units by not deducting them from
the residential quota.
Among the four existing employee housing exceptions (suhsections (y ), (h), (i)
and (k)) there are two which we would like for you to consider eliminating. The
"70:30" and "85:15" exceptions are. mechanisms which give developers incentive
to provide employee housing. The former mechanism allows a developer to
construct 3 free. market units for every 7 employee units provided, with the
free market units being deducted from the quota and not the. employee. units.
The latter mechanism allows a developer to construct 1.5 free market units for
every 8.5 existing units which are .deed restricted, with. the free market units
being deducted from the quota.
We have several concerns with these provisions as they currently operate. First,
these exceptions chip away at the overall effectiveness of the GMP by permitting
growth outside of the residential quota. Second, 6y excepting certain developments
from the competition process, they limit the universe of projects which are subject
to the competition regulations and thereby lends more of an aura of "unfairness"
to those few projects which must compete. Finally, there is the possibility
that these provisions can be abused by their specific application. In the case
of the 70:30, we have been approached by a developer who wants to take employee
units allocated in a GMP competition and use them to create new free market units,
effectively providing the community with no real benefit.
There is good reason to question whether the above concerns are sufficient to
warrant elimination of these provisions. The 70:30 provision has yet to be used
successfully, although the Marolt project, if built, would qualify as its first
development. The 85:15 provision has succeeded in protecting the Smuggler Mobile
Home Park and appears to have extremely limited potential for further application
in the community. Therefore, while we can question whether these provisions have
met their objectives, it is also doubtfulthat they have been detrimental in any
fashion. One concern we do have is that these exceptions generally are applied
to large projects whose magnitude will result in our exceeding our planned rate
of growth whether or not we deduct these units from the quota.
Memo: Work Session - GMP Exceptions Code Amendment
Page Three
July 12, 1982
The other two employee housing exceptions apply to units produced within the GMP
competitions, although these too are not currently deducted from the quota. We
believe that these two exceptions are essentially similar and can be combined into
a single employee housing provision which includes specific criteria for evaluating
the size, type and similar features of the proposed units.
While we see both the pros and cons of retaining the 70:30 and 85:15 provisions,
we are quite clear in our belief that all employee units should be deducted from
the quota.
In our previous discussions of this issue, we have found that two themes keep
coming up. We have repeatedly been asked whether our existing residential quota
is sufficient to accommodate all types of employee housing and still permit free
market development under the competition system. We have also been asked about
how we would deal with the infrequent, very large employee housing project
(Castle Ridge) which would take up several years of quota.
The major concern with bringing employee housing under the quota system is that
the units the applicant must provide. to be competitive under the commercial
lodge and residential systems may use up the entire residential quota. Since the
main concern has been with the. new commercial requirements, we have calculated
how these provisions would relate to the available residential quota. We believe
that this analysis shows that the units produced in the commercial section under
the maximum allocation of square footage. of the new quotas would be well below
the 39 unit residential quota.
Zone uotas (Square Foot) Generation Factor* Employees Units**
CC/C-1 10,000 5.25 53 12
NC/SCI 7,000 2.30 16 4
Office 4,000 3.00 12 3
CL and other 3,000 3.50 10 2
TOTAL: 24,000 3.50 (avg.) 91 21
* Employees per 1,000 square feet based on 1982 Planning Office survey of
businesses.
** Need for units is calculated oh an average of 2.25 persons per dwelling unit
(based on Housing Office data) and the applicant meeting 50Y of the total
employee generation (to achieve maximum GMP points).
It is conceivable, however, that with the development of 20 or more employee
units from commercial development, plus those from lodge and residential projects,
combined with the development of free market units on previously subdivided lots
(which have averaged 10-15 units per year in recent years) the 39 unit residential
could be depleted without providing any units for competition. For the short
run we do not believe this problem will appear. First of all, in the first six
months of 1982 we have had only two units started on previously subdivided lots.
Secondly, we do not anticipate application this year for any substantial portion
of the commercial quotas due to recent buildout among previously approved projects.
Thirdly, we have left over from last year's residential competition 13 units plus
the 10 free market units from the Top of Mill project, which lost its allocation
earlier this year. When these 23 units are considered in relation to the 30 or
more units which will likely be left from this year`s quota and the likelihood
that one or two other major projects from past years will expire, it is easy to
see that we will have adequate quota to accommodate free market and employee unit
development for years to come.
Memo: Work Session - GMP Exceptions Code Amendment
Page Four
July 12, 1982
Despite our comfort with this proposal, we suggest that to absolutely guarantee
the availability of a quota for free market development and to insure that the
GMP is not subject to legal challenge, a provision now in effect in the County
be considered. This mechanism provides that if the entire quota is exhaused by
development excepted from competition, then 30% of the originally available quota
becomes available again. We believe that having 20% of the City quota available
on this basis (8 units) will permit free market multi-family residential develop-
ment to proceed and protect the integrity of our regulations. Please note that
8 units is not substantially different from the quotas we have had available in
previous years. and can be augmented by borrowing from future years' quotas or by
the 20% bonus provision in the unlikely event that we must ihvoke the automatic
availability provision.
The second issue which has been raised as regards deducting employee housing from
the quota is that of the very large project which cannot be accommodated by the
quota. We addressed this issue in our recent County GMP revisions, at which time
the Board of County Commissioners accepted our recommendation by deducting
employee units from the quota. We provided a mechanism by which individual PMN
and essential governmental projects could be exempted from the quotas by an action
which triggers a Planning Office re-evaluation of the quota system and, if
necessary, recommendations regarding future quotas. We believe that this approach
provides additional accountability for major growth decisions and for judging
policy decisions. comparatively. We recommend that such a provision apply in the
City for pure employee housing and essential governmental projects only.
The last change we recommend in terms o
subsection (f) concerning permits issue
and should be removed as a housekeeping
f eliminating exceptions would be that
d prior to November, 1977 is out of date
measure.
Impact fitigation/Review Procedure
In certain cases, the Planning Office believes that it is not enough for an
exempt project to simply be deducted from the quota, but also that it mitigate
its impacts. The provision where this best applies is historic designation,
which has recently been used to convert residences to commercial spaces at the
Epicure and Sport Stalker buildings. The impact of this conversion, particularly
in terms of employee housing, should be offset in addition to deducting this
conversion from the quota. This is the approach which we have applied to the
Hotel Jerome expansion. However, without a specific procedure in the Code, it
becomes difficult to apply this .approach across the board. While we do believe
that it is appropriate to give a hi toric structure preferential treatment as
regards the competition system, we do not think this advantage should carry into
impact mitigation. We believe that the policy of projects mitigating their
impacts should apply to all projects within our community.
We believe that several of the exceptions should have a routine review procedure.
We believe that the reconstruction of existing buildings should be verified
by P & Z and Council (as was done for the Pitkin County Bank demolition last
fall), that the enlargement of, or change of use in a historic structure should
be decided by P & Z and Council on the basis of impact mitigation, and that the
employee housing and small commercial expansion provisions should continue to be
reviewed by P & Z, with the appropriate recommendation sent to Council for final
action.
Conclusion
While no formal action is required of you at this time, the Planning Office is
looking for direction as to those aspects of Section 24-11.2 on which you wish
to recommend that Council take action. We believe that the. recommendations we
have made are consistent with our objective of having a comprehensive, legally
sustainable and dynamic growth management system. We remain open, however, to
your suggestions as to how we might further refine and improve upon this approach.
MEMORANDUM
T0: Aspen City Council
FROM: Alan Richman/Sunny Vann, Planning Office
RE: Update of GMP Quotas
DATE: June 18, 1982 APPROVED AS TO FORM:
Introduction
The purpose of this memorandum is to introduce you to the principles the
Planning Office has been developing which we propose should form the basis of
the updated growth management quota system. These principles were accepted by
the Planning and Zoning Commission when they unanimously adopted the revised
quotas at their meeting on June 8, 1982. Your formal consideration of the
revised quotas will take place at the first reading of an ordinance at your
re{~gular meeting on June 28, 11n~982~~.`(~~+ F•~s ~ 3~ ~~.. •~k of °•^^- ~a-,•s~-L~~ ,<_. ,
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Why Revise the Quotas?
There are several reasons that we must look at our quota system at this time,
all of which have emerged from our ongoing update of the growth management
quota system. First, as you recall, last year you adopted Ordinance 49,
series of 1981, which expanded the coverage of the commercial GMP from just
the CC and C-1 zone districts to all zones in which commercial projects can be
built. At that time, we indicated that we would be returning with quotas for
these zones at a later date. Since the date for submission of commercial
development applications is September 1st, it is mandatory that we adopt the
development 4uotas before that time. !~rp~~~~ ~ ~~ ~.op;..y G~,,,F1 ~~~ -~.,, c° _.'
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A second reason for re-evaluating our quotas relates to our study of short ~
term accommodations in Aspen and Pitkin County. One recurring theme of our
discussions of this issue has been the criticism of the 18 unit lodge quota as
being impractical for the phasing of a new lodge, considering today's market
conditions. Therefore, we have taken another look at the appropriate growth
rate for the L-1 and L-2 zone districts. Please note that this analysis does
not consider the buildout potential for nonconforming"lodges, if and when an
action is taken which will permit their expansion. We believe that should you
decide to permit the expansion of lodges which are currently nonconforming,
that it will be appropriate to develop a separate quota for that category of
development so that the small lodge is not forced to compete with the larger
facilities in an elaborate procedure. Therefore, we believe that these two
issues can be kept separate for the time being as we concentrate Qn a revised
quota for thgse lodges which currently are able to be expanded. Yr~-~~~ ~-; , ~ • •~ ~~ ~ •-
The final reason for reconsidering our quotas is the broad conceptual understanding ~~-~-
we have been developing concerning growth management in our community. The `~'~M\
ongoing growth management update has helped us to identify certain growth `-+-~~-
trends which have taken place since the GMP was implemented in 1977. Using "`'~'~
these trends, we have slowly been evolving a revised growth management policy `'""
recommendation which builds upon the principles of the original GMP but which
alto reflects what growth control means today to Aspen and Pitkin County.
Therefore, before we begin to discuss the actual numbers proposed as the
revised quotas, we believe that it is es~ntial that we first consider the
concepts which underlie this proposal.
The Concept of GMP Quotas
Earlier this year the" Planning Office presented to you a status report on the
update of the GMP. This report provided you with historical growth date from
1975 to 1981 and drew certain conclusions from that data. The analysis docu-
mented that we have exceeded our planned rates of growth for residential units
and commercial square footage despite the fact that many projects approved
under the GMP have never been built. We concluded that projects which have
been outside of the GMP have had a more profound impact on our growth rate
Memo: Update of GMP Quotas
Page Two
June 18, 1982
than have the ones which have competed. These projects include those which
have been awarded exemptions from the GMP and those which did not have to
compete since the commercial GMP was less than comprehensive.
The fundamental concept that we recognized from this review was that we have
created a dual rate of growth in the community -- one which is regulated by
the GMP and reflects our adopted quotas and a second which is unregulated
which impairs our ability to achieve managed growth and a balanced, fiscally
sustainable community. Some direct results of this dual growth rate have been
our inability to make up an employee housing shortfall which is fueled by
expansions of employment opportunities without a corresponding production of
price controlled housing, and a more rapid depletion of available limited
resources than was originally anticipated, with the most obvious example being
the need to expand the sewage treatment plant this year rather than at the end
of the decade.
Utilizing this fundamental .concept, the Planning Office and Planning and
Zoning Commission formulated the following policy recommendation for a revised
growth management quota system, consistent with the original GMP and yet which
also has the following features:
1. The quotas are based on the ability of the community to sustain growth
as a function of our capacity to provide basic services, including
water, sewer and transportation needs, and to meet environmental,
economic and social quality of life goals. This approach is predicated
on the belief that due to the many capital expenditures already facing
the community it is desirable to delay those expansions which we are
capable of postponing. This approach also reflects a basic community
commitment to hold our growth rate below that which might otherwise
occur to protect the quality of life to which residents have become.
accustomed and which maintains the unique character of Aspen as a
destination resort. 440- ~(~ ~,....»_< ~ • »lt ~~ - <^~ ~"'-' F°'~
~(- ...e vw3l ',-0. .(= wl /~'~2 ... 11;, {-, F°+! ~~e 2.\l f'o~T~ '~-~....~ ~Pa..1.~ic:_
2. The quotas are short term rates of growth which reflect current priorities
for employee housing, quality lodging and several institutional facilities,
as well as our legal obligations to provide an opportunity for buildout
on previously subdivided lots. Therefore, the impact of the quotas
upon our growth rate will have to be carefully monitored and as our
community goals and priorities evolve, they will need to be regularly
updated as part of a dynamic rather than static GMP.
3. The quotas do not acknowledge the ultimate buildout under existing ~e. r ~ ~;.iQ
zoning as a tacit and fixed commitment to the eventual size of our ;,~ ~-,, ;
community. Instead, they represent an immediate goal for managed ~: \ a~
growth, based on historic development trends and perceived growth ~~ ,~„
priorities which must be reviewed in relation to basic community land
use planning decisions and service capacity thresholds.
4. The quotas represent a comprehensive approach to growth management,
founded on the concept that a fundamental flaw of our approach-in the
past is that it has resulted in higher than anticipated growth rates,
because many types of activities were exempt from the original quotas.
The revised approach acknowledges the impact on the community of all
types of development and therefore unifies the regulated and unregulated
growth rates into a single barometer of the community's development.
We believe that to fully comprehend how these concepts work, it is necessary
to actually take you through the methodology of developing the quotas themselves.
The following three sections identify the proposed residential, commercial and
lodge development quotas for your consideration.
Memo: Update of GMP Quotas
Page Three
June 18, 1982
Residential Development Quota
Development in the residential sector is comprised of three distinct parts.
One component is the previously subdivided lot on which single family and
duplex units can be built without competition under the GMP. Research into
past trends in this type of development indicates that each of the past several
years between 10 and 20 such units have been developed. We believe that this
component will continue to account for about 15 units for the next few years,
since our analysis shows the existence of substantial residential buildout
potential in the City of Aspen (146 duplexes and 289 single family residences
on existing vacant lots), ~.-~ til+a ~^-5~^ ~,--mac ^^k` T "`~' FADS
The next component of residential growth is employee housing, which currently
is not deducted from the quota. Last year there were 26 employee units produced
in the City, mostly in various commercial projects, while the year before
there were 88 such units produced, including 80 at Castle Ridge. In the
future we can expect this rate to continue since we have increased the points
available in the commercial competition for employee housing. In fact, to
meet the threshold of 50% of employees housed, as many as 25 to 30 new units
may be needed if the entire commercial quota is allocated. However, we believe
that with the exception of the very largest projects aimed at eliminating the
critical employee housing shortfall (i.e., Castle Ridge, Marolt) the employee
housing units can be accommodated within the residential quota. We expect to
be coming forward next month with revisions to the GMP exemption procedures
such that employee units will be deducted from the residential quota, although
they are still outside of the competition process.
The last component of the residential sector is the free market units which
are available under the competition system following the processing of exemptions
during the previous year. These units either meet a portion of the need for
tourist accommodations or high quality resident units and typically subsidize
employee housing. Therefore, while .it is desirable to have a certain number
of these units available for competition from year-to-year, it is also to our
advantage to limit the number which are available as part of a managed growth
policy.
In summary, it appears likely for the near future that 10-15 units will be
developed annually on previously subdivided lots with about 15-20 employee
units being developed in the smaller, dispersed projects. This total of 25 to
35 units built each year is below the 39 unit quota available for each year
and would therefore leave units available for competition. Therefore, we
recommend that you leave the 39 unit residential quota untouched for the time
bein When we come before you to revise the GMP exemption procedures we will
provide you with additional data to justify the fact that this total can
accommodate the employee housing which will likely be produced in the near
future.
Commercial Development Quota ~
The rate of commercial growth we can sustain is directly related to the residential
development quota, since as we produce additional commercial space applicants
will also have to provide employee housing. We believe that due to recent
rates of growth in commercial space in Aspen (45,000 square feet per year) and
Pitkin County (25,000 square feet per year) this is an appropriate time to
curtail the rate of commercial buildout. This need is particularly evident in
the CC and C-1 zone districts, where three projects are under construction
(Park Place, Epicure Plaza and Mill Street Station) and five others have GMP
approvals but have yet to be built; and in the office zone district where two
projects are under construction (the Forge Building, Main and Seventh) and two
others received building permits just prior to the expansion. of the GMP to
that zone.
Memo: Update of GMP Quotas
Page Four
June 18, 1982
To develop commercial development quotas for the City of Aspen we have grouped
zone districts together, based on their geographical location and extent,
their buildout potential and the similarities among their intent and permitted
and conditional uses. The groups identified provide for a maximum of four
separate competitions, but insure that incompatbile zones (CC and SCI, for
example) will not compete directly with each other to the detriment of the
less economically demanding zone. The quotas which we recommend be adopted
for this year are as follows:
CC and C-1 - 15,000 square feet
NC and SCI - 9,000 square feet
Office. - 6,000 square feet,
CL and Other - 5,000 square feet
This total of 35,000 square feet, while almots 50% greater than the existing
quota of 24,000 square feet in the CC and C-1 zones, is 25% below the historical
trend we have experienced and which so many have found to be ojectionable.
However, to further justify this recommendation, we have placed the quotas to
three tests, as follows.
The first test involves the amount of employee housing need which the quotas
can be expected to generate. The Planning Office has recently completed a
survey of employees per 1000 square feet in the City of Aspen. These generation
factors are shown below in the computation of overall need.
Zone Square footage
CC/C-1 15,000
NC/SCI 9,000
Office 6,000
CL and Other 5,000
Total 35,000
Generation Factor Employees Units*
5.25 79 17.5
2.30 21 4.5
3.00 18 4.0
3.50 17 4_0
3.50 135 30.0
*Need for units is calculated on an average of 2.25 persons per dwelling unit
(based on Housing Office data) and the applicant meeting 50% of the total
employee generation.
As can be seen, 30 employee units will need to be produced on an annual basis
to meet 50% of the employee housing demand if the full 35,000 square foot
quota is allocated in a given year. This computation would tend to indicate
that the commercial quotas recommended are as high as the community can possibly
sustain, if we are to meet our recommended residential quota. Therefore, if
for any reason you feel that any zone has been shortchanged, you should only
alter its quota by taking square footage from another zone, not altering the
total of 35,000 square feet of commercial development.
A second test for these proposed quotas is how well these rates compare with
our adopted growth management goal to adhere to a community-wide growth rate
of 3.47%. This test utilizes recently obtained data from the tax assessor's
office concerning commercial buildout, as documented below:
. Approximate Existing Growth
Zone Commercial Square Footage Rate Total
CC/C-1 800,000 3.47% 27,760
NC/SCI 200,000 -- 6,940
Office 150,000 -- 5,205
CL and Other 100,000 -- 3,470
Total 1,250,000 3.47% 43,375
Memo: Update of GMP Quotas
Page Five
June 18, 1982
Finally, these quotas can be tested as to the ability of a project to be
developed within any zone. It can be .seen that these quotas will easily
support a single new large project or several smaller projects in any zone
group which will afford the community an opportunity to more reasonably accommodate
the impacts of this growth than has recently been the case. For example, in
the CC zone district the typical three lot site would permit a maximum buildout
of 15,300 square feet while in the Office zone a two lot site would permit a
maximum buildout of 5,100 square feet. Please note that under existing zoning
there is essentially no likely buildout potential in the CL and NC zones,
while the SCI zone district is limited by Section 24-3.6 of the Code, "Use
Square Footage Limitations". Please also note that as always, you have available
to you an annual 20% bonus if a project is too large for the quota and that
you can award multiple years of quota for particularly deserving projects.
Lodge Development Quota
The most important determinant of the need for new lodging in Aspen is the
.recently produced Draft Short Term Accommodations Report. This Report documents
that there is an existing balance between skiing capacity, skiing utilization
and the availability of tourist accommodations. The Report recommends a
moderate level of growth in short term accommodations which. will keep the
level of tourist beds at or below skiing capacity and ensure that the skiing
portion of the tourist experience remains a high quality one. To provide for
a quality lodging experience the Report makes. the foll-owing recommendations:
1. Growth in short term accommodations should be confined to existing
locations of these facilities and areas. zoned for tourist accommodations
which are vacant or not yet fully built out. Examples of such locations
where applications are now under review include the Hotel Jerome (40
rehabilitated and 60 new units), The Lodge at Aspen (31 new units) the
Aspen Inn (36 new units) and the Highlands Inn (50 rehabilitated and 75
to 130 new units). coi;a6~-~1s ~-.., -~ qo .,~~.,.~Q
2. The existing mix of short-term accommodations should be supported so as
to provide a variety of quality, cost and locational opportunities for
the visitor. In particular, incentives must be provided to preserve
and improve our nonconforming lodges. The Planning Office is currently
working with the Planning Commission to develop a proposal to address
this issue and would like to meet with you to brief you on the alternatives
which we are evaluating.
3. The City lodge quota should be revised to a level which is commensurate
with the ability of the private sector to justify incremental expansions
of existing lodges and development of entirely new lodges. The quota
should not be excessive since we do not have a need for major additions
of units at this time. However, if and when we do experience ski
capacity increases, there may indeed be justification for some expansion
of the lodge inventory.
The Planning Office recommendation to the Plannin Commission was that the
lodge quota be increased from 18 to 35 units per year. This rate of growth
recognizes that we now have under review applications to rehabilitate 90 units
and to build about 200 new units and that we have under construction units at
the Aspen Inn and 700 South Galena (16 short term residential units). These
additions should provide greater competition in the lodging industry which
will help to induce better quality and value in our accommodations inventory.
The 35 unit quota also tracks well with our adopted growth rate of 3.47%.
There are presently 1107 traditional lodge rooms and dorms in the City of
Aspen. A simple growth rate of 3.47% in this sector would equate to 38. units
per year, or virtually the same number as has been 'recommended for the new
quota. Once again, please remember that your ability to awartl several year's
worth of quota at any one time and to award up to 20% above any year's quota adds
substantial flexibility for you to deal with the occasional large project which
may come before you.
Memo: Update of GMP Quotas
Page Six
June 18, 1982
Sustainability of the Growth Rate
While the Planning Office believes that the previous tests applied to the
proposed quotas give valuable insights into their practicality and their
consistency with the adopted growth policy, they should be taken one step
further.to evaluate their fiscal Sustainability. As indicated earlier in this
memo, the quotas reflect a belief that due to the many capital expenditures
already facing the community it is desirable to delay those expansions we are
capable of postponing. Obviously, if the community wishes to grow faster than
the rates proposed it can do so, although at an immediate cost.
The service we have chosen for calculating the Sustainability of our growth
rate is the one which we consider to be the most operative constraint to
growth at the present time -- our sewage treatment capacity. Our research
indicates that this service exhibits the most direct relationship between
population growth and diminishing capacity. We also find that in comparing
our approach to other growth management systems across the county, limitations
on development due to service constraints are legally justifiable.
Our current sewage treatment capacity is 3.0 million gal-tons per day (MGD).
The Aspen Metro Sanitation District (AMSD) is planning to expand their facility
from 3.0 to 3.2 million gallons per day (MGD) this spring. They would like
this expansion to last to mid-decade, at which point the plant would be expanded
to 4.0 MGD. Due to the cost of this expansion and the difficult choices we
will face beyond that point (re-open the old plant near the Post Office,
hopefully without odor problems or build a new, expensive regional plant
downvalley with uncertain environmental impacts), we view this constraint as a
logical tool with which to formulate our quotas. Therefore, the short term
goal for growth in the Metro Area is one which permits us to delay the expansion
of the AMSD plant to 1984 or 1985 and which will then accommodate growth
through the end of the decade. Of course, it will be necessary to monitor
progress toward that goal on a regular basis, certainly more frequently than
once in five years.
The basis for understanding the wastewater constraint is as follows. Peak
usage of wastewater in the Aspen Metro Area occurrred in December 1980 at 2.9
MGD. At that time the peak population was about 20,000 persons, located in
approximately 6,250 dwelling units and 1,800,000 square feet of commercial/
institutional space. To convert these totals into wastewater generation, we
have used some factors commonly employed by engineers, as modified by the
unique socio-economic profile of Aspen. We feel that to be conservative in
our facility planning, we should expect that each new dwelling unit generates
435 GPD (gallons per day) and that 5000 square feet of commercial space is
equivalent to one dwelling unit and therefore also generates 435 GPD.
We have tested the proposed City quotas against the sewage treatment capacity
constraint by combining them with the quotas now being evaluated by the County
for.the Metro Area. These Metro Area totals indicate that due to our legal
obligations regarding previously subdivided lots, our commitment to projects
approved but not yet constructed (Marolt, Smuggler/Pitkin Reserve) and our uow.~,i,f~, ~
institutional priorities (bus maintenance facility, jail, performing arts
center) we are predisposed as to the degree to which we can limit growth.
Therefore, the historic trend of about 125 to 150 new resident and tourist
units per year being built will likely be continued, with a possible mix being
50 to 60 lodge units, 35 to 40 free market units and 40 to 50 employee housing
units, across the entire Metro Area. This growth rate is balanced against a total
Metro Area growth of 50,000 square feet of comunercial space each year which
generates service demands directly and also indirectly by fueling our employee
housing need.
Our analysis indicates that the Metro Area growth rate will utilize 60-65,000
gallons per day of our remaining treatment capacity. This rate does not take
into account housing remodels which add bedrooms, hot tubs, jacuzzies, clothes
and dish washers and other applicahces to existing houses nor does it take
into account the construction of the institutional projects identified above.
Therefore, it seems safe to conclude that the 0.3 MGD in capacity between the
1980 peak usage of 2.9 MGD and the planned expansion in 1982 to 3.2 MGD will
clearly be used up by mid-decade by the growth of at least 60,000 gallons per
Memo: Update of GMP Quotas
Page Seven
June 18, 1982
day on an annual basis. While this will necessitate an expansion of the AMSD
plant by mid-decade, it should hopefully provide us 5 to 10 years beyond that
date before another expansion is needed. We therefore believe that our proposed
quotas meet the test of sustainability in terms of our most pressing service
constraint-1sewnage treatment. s~~« A~--s p 1~ns ,.,,_.,Jt •,, .~-o ~,~,~ ~„ ,;~ (~;_,_
P`^-~'C ~» uM.....t .K ~ HZ'S ~.~>S.4{Q
x.(1!1 C ~ I I S 7 M
The Planning Office has proposed revised GMP development quotas which have
been tested as to their consistency with adopted policy, their practicality in
terms of meeting public and private needs and their sustainability regarding
service constraints. The Planning Office believes, and the Planning Commission
unanimously concurred, that these quotas meet these tests and should be adopted
as presented. We recommend that when these quotas are presented to you in
ordinance form for first reading on June 28 that they be approved. However,
as always, we remain open to your suggestions and comments in hopes of improving
upon what has clearly been a complex and lengthy planning process.
RESOLUTION OF THE ASPEN PLANNING AND ZONING COMtdISSION
RECOMMENDING THE ADOPTION OF NEW GROWTH MANAGEMENT QUOTAS
Resolution No. 82 - 6
WHEREAS, the Aspen-Pitkin Growth Management Plan is an adopted policy
plan for the City of Aspen, and
WHEREAS, by Ordinance 48, series of 1977, the City Council did adopt a
Growth Management Quota System designed to implement the policy plan and to be
consistent with the recommendations contained therein, and
WHEREAS, the Planning Office is currently reviewing and revising the
Growth Management Plan and the regulations which implement the plan, and
WHEREAS, during the course of the update the Planning Commission has
expressed its concern regarding the impacts that the commercial growth rate
has had upon various services in the community in recent years, and
WHEREAS, in response to this concern, the Planning Commission did recommend
and City Council did adopt amendments to the Growth Management Quota System to
extend the coverage of the commercial GMP regulations from the CC and C-1 zone
districts to all districts in which commercial uses can be built, and
WHEREAS, the Planning Commission has considered the rate of free market
and employee housing growth which has occurred since the adoption of the GMP
and its relationship to the adopted residential quota of 39 units per year and
does recognize the impact that employee housing has had on the growth rate and
the implications of this growth upon services without these units being accounted
for under the quota system, and
WHEREAS, the Planning Commission has reviewed the draft study produced by
the Planning Office entitled "Aspen-Pitkin County Short Term Accommodations
Report" and believes that at this time there is a balance between our existing
tourist accommodations and ski capacity and that there exists a lodging problem
more directly related to questions of quality and value than to the quantity
of units available, and
WHEREAS, the Planning Commission does believe that in order to provide
for higher quality and better value in our tourist accommodations it is necessary
to allow for some expansion of existing lodges and the development of new
facilities, which cannot be prpperly phased under the existing lodge quota,
and
WHEREAS, the Planning Commission has considered a revised approach to the
development of quotas which is consistent with the original policies of the
GMP and yet which also has the following features:
1. The quotas are based on the ability of the community to sustain
growth as a function of our capacity to provide basic services,
including water, sewer and transportation needs, and to meet environ-
mental, economic and social quality of life goals. This approach is
predicated on the belief that due to the many capital expenditures
already facing the con~nunity it is desirable to delay those expansions
which we are capable of postponing. This approach also reflects a
basic community commitment to hold our growth rate below that which
might otherwise occur to protect the quality of life to which residents
have become accustomed and which maintains the unique character of
Aspen as a destination resort.
2. The quotas are short term rates of growth which reflect current
priorities for employee housing, quality lodging and several institu-
tional facilities, as well as our legal obligations to provide an
opportunity for buildout on previously subdivided lots. Therefore,
the impact of the quotas upon our growth rate will have to be carefully
monitored and as our community goals and priorities evolve, they will
need to be regularly updated as part of a dynamic rather than static
GMP.
3. The quotas do not acknowledge the ultimate buildout under existing
zoning as a tacit and fixed commitment to the eventual size of our
community. Instead, they represent an immediate goal for managed
growth, based on historic development trends and perceived growth
priorities which must be reviewed in relation to basic community land
use planning decisions and service capacity thresholds.
4. The quotas represent a comprehensive approach to growth management,
founded on the concept that a fundamental flaw of our approach in the
past is that it has resulted in higher than anticipated growth rates,
because many types of activities were exempt from the original quotas.
The revised approach acknowledges the impact on the community of all
types of development and therefore unifies the regulated and unregulated
growth rates into a single barometer of the community's development.
and,
WHEREAS, the Planning Commission has considered the concepts which underlie
the new approach to quotas-and the specific proposals for new residential,
lodge and commercial quotas at a public hearing held during a regularly-
scheduled meeting of the Commission on May 18, 1982, and
WHEREAS, at the close of *he public hearing the Commission did unanimously
concur with the recommendations of the Planning Office concerning the proposed
quotas and did direct the Planning Office to prepare this resolution to document
the reasoning behind their determinations.
NOW, THEREFORE, BE IT RESOLVED by the Planning Commission of the City of
Aspen, Colorado, that it does hereby recommend that the City Council repeal
and reenact Section 24-1i.1~f Yee Municipal Code for the purpose of adopting
the following development quatas,-~o be effective immediately:
a) Within all zee°~~ tra.,-thirty-nine (39) residential units;
b) Within ali zone `districts, #ria-ty-five (35) lodge units;
c) Within the CC and C-1 zone districts, fifteen thousand (15,000)
square feet of commercial and office space;
d) Within the NC and SCI zone districts, nine thousand (9,000) square
feet of commercial and office space;
e) Within the Ozone district, six thousand (6,000) square feet of
commercial and office space; and
2
f) Within the CL and all other zone districts, five thousand (5,000)
square feet of commercial and office space.
Approved by the Planning and Zoning Commission of the City of Aspen,
Colorado at its regular meeting on June 8, 1982.
ASPEN PL/A~NNING AND ZONING COMMISSION
By: ~IN
We]ton Ander on, Acting C airman
ATTEST:
~iP11irvA i%/ ~O/~~ - --
Depu~City Cle k
0
3
MEMORANDUM
T0: Aspen Planning and Zoning Commission
FROM: Alan Richman, Planning Office
RE: Update of GMP Quotas
DATE: May 12, 1982
Introduction
The purpose of this memorandum is to introduce you to the principles the
Planning Office has been developing which we propose should form the basis of
the updated growth management quota system. The new quotas will complete the
round of revisions begun last year when we changed the commercial, residential
and lodge scoring systems and will leave only the GMP exception procedures to
be reviewed later this spring.
The Concept of GMP Quotas
There are several reasons that we must look at our quota system at this time.
First, when we expanded the coverage of the commercial GMP to include all
zones we did not adopt quotas for the new system. Second, there has been a
great deal of criticism of the 18 unit lodge quota as being impractical for
the phasing of a new lodge. Finally, as part of the GMP update we have been
evolving a revised approach to justifying our quotas which is a principal
basis for the recommendations we are making for a comprehensive GMP in both
the City and County. This approach takes into account the impacts of all
types of growth upon the community and proposes to deduct all development from
the available quotas. The proposed approach is in recognition of the fact
that since we have adopted the GMP we have had two rates of growth -- one
regulated and one not and that this dual growth rate is the primary reason
that we have exceeded our quotas in the Metro Area on an annual basis. Each
of these considerations helps to explain the rationale for the proposed new
quotas.
The basic concepts behind the new quotas are as follows:
1. They are based on the ability of the community to sustain growth as a
function of our capacity to provide basic services (water, sewer and
transportation) and to meet quality of life goals (environmental,
economical and social).
2. They are short term rates of growth which reflect current priorities
(i.e., employee housing, quality lodging) and legal obligations (i. e.,
previously subdivided lots) and therefore will need to be updated
regularly as part of a "dynamic" rather than static GMP.
3. They ignore City-County boundaries and reflect a Metro Area perspective
due to the interrelated nature of the impacts of development in this
area on the community.
4. They represent a fundamental departure from the original premise of GMP
quotas which looked at the total buildout potential of the residential,
commercial and lodging sectors, based on existing zoning, and allocated
80% of that buildout over a 15 year period. The new quotas do not
acknowledge the ultimate zoning potential as a tacit commitment to the
eventual size of our community. Instead, they represent an immediate
goal for managed growth, based on historic development trends and
perceived growth priorities which must be reviewed in relation to basic
land use and transportation planning decisions for the community.
A Method For Quota Calculation
The Planning Office has developed a methodology for calculating our growth
rate based on what we consider to be the most operative constraint to growth
in the Metro Area -- sewer capacity. This approach is predicated on the
belief that due to the many capital expenditures already facing the community,
Memo: Update of GMP Quotas
Page Two
May 12, 1982
it is desirable to delay those expansions which we are capable of postponing.
Clearly, if the community wishes to grow at a faster rate, it can do so,
although at an immediate cost. This approach is also based on our comparative
research into other growth management systems across the country which indicates
that growth limitations due to service constraints are legally justifiable.
Please recognize that it will be essential to take this analysis forward to a
second step which evaluates the impact of growth on other services such as
transportation and various capital facilities. However, the approach we are
proposing should be adequate for the upcoming round of competitions this
September and January.
Our current sewage treatment capacity is 3.0 million gallons per day (MGD).
The Aspen Metro Sanitation District (AMSD) is planning to expand their facility
from 3.0 to 3.2 millions gallons per day (MGD) this spring. They would like
this expansion to last to mid-decade, at which point the plant would be expanded
to 4.0 MGD. Due to the cost of this expansion and the difficult choices we
will face beyond that point (re-open the old plant near the Post Office,
hopefully without odor problems or build a new, expensive regional plat downvalley
with uncertain environmental impacts), we view this constraint as a logical
tool with which to formulate our quotas. Therefore, the short term goal for
growth in the Metro Area is one which permits us to delay the expansion of the
AMSD plant to 1984 or 1985 and which will then accommodate growth through the
end of the decade. Of course, it will be necessary to monitor progress toward
that goal on a regular basis, certainly more frequently than once in five
years.
The basis for understanding the wastewater constraint is as follows. Peak
usage of wastewater in the Aspen Metro Area occurred in December 1980 at 2.9
MGD. At that time the peak population was about 20,000 persons, based on
recent census and short term accommodations reports. The wastewater generation
per capita is therefore slightly less than 150 gallons per capita per day
(GPCD). However, this can be broken down further into its residential and
commercial components.
As of 1980, there were approximately 6,250 dwelling units in the Metro Area,
along with about 1,800,000 square feet of commercial/institutional space. To
convert these totals into wastewater generation, engineers commonly use two
factors, as follows:
1. An average dwelling unit is comprised of 3.5 persons with each person
generating 100-110 gallons per day (GPD) of wastewater for domestic
purposes.
2. Each 5000 square feet of commercial space is equivalent to one resi-
dential dwelling unit in terms of water use (and resulting wastewater
generation).
(Note: These factors are substantiated by the Aspen-Snowmass 201 Wastewater
Facilities Plan and by the Aspen Water Management Plan.)
Utilizing these factors, the typical dwelling unit would generate 375 GPD and
the entire residential sector would generate about 2.35 MGD. Similarly, the
commercial sector would generate about 0.15 MGD, for a total generation of
only about 2.5 MGD. The discrepancy between this total and the peak generation
of 1980 points out several reasons why we have depleted our sewage treatment
capacity more quickly than we anticipated. We believe that the typical dwelling
unit in Aspen probably. uses more water than the statistical average fqr the
country since this factor usually correlates well to income level. We also
believe that this approach ignores an important component of our economy --
day skier visitors and day workers commuting from downvalley. We feel that to
be conservative in our facility planning it would therefore be desirable to
use 125 GPCD for our generation factor, resulting in a per dwelling unit
generation of 435 GPD and an equivalency factor that 5000 square feet of
commercial space also generates 435 GPD.
We recognize that there are an almost unlimited variety of scenarios available
to evaluate how we will use up the additional increments of 0.3 and 0.8 MGD to
take us through the decade. We have chosen an alternative based on historical
Memo: Update of GMP Quotas
Page Three
May 12, 1982
trends, modified slightly by what we consider to the community priorities at
his time -- the need for quality lodging, the need to meet our employee
housing shortfall and the need for institutional space (bus maintenance, jail,
performing arts). While this approach may appear crude to some, we believe
that it is a more meaningful indicator of the community's ability to accommodate
growth than was the former approach based on 15 year buildout potential.
However, we are prepared to present to you data on the residential, commercial
and lodge buildout potential in Aspen so that you can judge how we have proceeded
toward depleting that potential.
To refresh your memory, it is important that we again summarize the historical
growth trends in the Metro Area. Growth records compiled since 1975 (when the
original GMP data was collected) indicate that we have experienced, on an
annual basis, about 125 new residential units (tourist and permanent resident)
and about 70,000 square feet of commercial growth in the Metro Area. The
preponderance of this growth has been in the City of Aspen proper, which has
experienced about 75 new residential units and 45,000 square feet of commercial
space annually.
Several variables predispose our ability to affect these growth rates. First
of all, we are legally obligated to permit development of single family and/or
duplex units on previously subdivided lots. During the early years of growth
management, these units accounted for a large portion of the quota. In
recent years, fewer such units have been developed, owing both to high interest
rates and the declining number of quality lots which are available for this
purpose. Whereas in 1977 and 1978 in the City of Aspen there were 25 to 30
such units developed annually, by 1980 and 1981 this number had dropped to 15
to 20 units annually. This trend, should it continue, will permit us to meet
our employee housing shortfall and to maintain a reasonable availability of
units for competition within our existing residential quota. It is conceivable
that with the proposed new residential FAR's even fewer such lots will be developed
in the future because it will be more economically desirable to develop multi-
family projects in the RMF zone than single-family or duplex units.
A second commitment of the community is comprised of projects which have been
approved but not yet constructed. For example the Marolt Project commits us
to 70 new employee units and 30 employee units, while the Smuggler/Pitkin
Reserve project commits us to 18 employee units and 19 free market units.
Finally, unbuilt projects which have competed under the GMP and are not yet
built or expired commit us to 60 free market and 63 employee units as well as
about 50,000 square feet of commercial space. We are also still feeling the
effects of having the Office, NC and SCI zones outside of the GMP, since
several projects were already underway or had received building permit approval
simultaneous to our expansion of the comprehensiveness of the GMP.
With these several caveats in mind, we believe that it is unrealistic to
expect that our residential growth rate will decline substantially in the near
future. In fact, if we are to provide incentives to achieve quality lodging
for our tourist economy, it is likely that we will have to experience some
growth in this sector, which has not occurred to any extent in the recent
past. Therefore, it will be necessar to rovide for about 125 to 150 new
units per year (resident and tourist with a likely mix being 50 to 60 lodge
units, 35 to 40 free market units and 40 to 50 employee housing units, across
the entire Metro Area. To accommodate this level of growth within our service
constraints, it is also necessary that we limit the rate of commercial growth
to about 45-55,000 square feet across the Aspen Metro Area not only because of
the direct impact of commercial growth on services, but also because it is a
primary generator of employee housing need which will fuel our residential
growth rate. Following is an analysis of how this growth rate compares to our
sewage treatment capacity constraint:
135 residential units x 435 GPD = 58,725 GPD
50,000 S. F. Commercial x 435/5000 = 4,350 GPD
Total = 63,075 GPD
Memo: Update of GMP Quotas
Page Four
May 12, 1982
This growth rate will deplete the 0.3 MGD of capacity which remains in the
AMSD plant in five years (1985), presuming full occupancy of the available
units during the peak usage period. However, this rate does not take into
account at least two other variables which will also deplete the capacity.
First, remodels of existing residences which add bedrooms, hot tubs, jacuzzies,
clothes and dish washers and similar features all have an impact upon the
sewer plant. Second, we are facing at least three major institutional projects
outside of the quota system -- the bus maintenance facility, jail and possibly
a performing arts center which will also affect our wastewater generations
rates. These two factors may necessitate a sewage treatment plant expansion
to 4.0 MGD in 1984 rather than 1985, but should not push the next expansion
into this decade, even if we generate 70,000 to 80,000 GPD from our growth,
since this would permit the additional 0.8 MGD to last 10 or 11 years. Therefore,
this alternative can be considered to accommodate our service growth constraint
(for the short term) and may be evaluated by the Planning Commissions, City
Council and Board of County Commissioners as to whether it also meets community
needs. Following is a detailed analysis of the GMP quotas which emerge from
this alternative.
Residential GMP Ouota
The residential quota is comprised of three distinct parts. One component is
the previously subdivided lot on which single-family and duplex units can be
built without competition under the GMP. We believe that this component will
continue to account for about 15 new units each year. The next component of
residential growth is employee housing, which currently is not deducted from
the quota. Last year there were 26 employee units produced in the City while
the year before there were 88 such units, including 80 at Castle Ridge. It
seems clear that with the exception of the very largest projects aimed at
eliminating the critical employee housing shortfall (i.e., Castle Ridge,
Marolt and Silverking Phase IV) we can accommodate employee housing growth
within our quota.
The last component of the residential sector is the free market units which
are available under the competition system. These units help to meet the need
for tourist accommodations and high quality second homes to subsidize employee
housing. It is to our advantage to have these units built at a slow pace,
commensurate with the number that remains after accounting for the previous
two residential growth components.
In summary, it appears that we can expect 15-20 units to be developed annually
on previously subdivided lots and a similar number of employee units to be
built in the smaller, mixed free market/employee housing projects. This
should leave a smaller number of units available for competition. Therefore,
we recommend that you leave the 39 unit residential quota untouched for the
time being. We will be coming forward later this spring with revisions to the
GMP exemption procedures such that employee units will be deducted from the
residential quota, but with a proviso that these units be exempted from the
quota for the infrequent, large project aimed at meeting the employee housing
shortfall. However, this provision would also require that if a large project
providing a clear community benefit were exempted from the quota, that this
section would trigger a complete re-evaluation of our growth rate in recognition
of the impact that all development has upon the community.
Commercial GMP Quota
Based on the recent growth rates of commercial space in Aspen and Pitkin
County and because of the competing priorities for growth in the community,
the Planning Office believes that this is an appropriate time to curtail the
rate of commercial buildout. As we have indicated above, 50,000 square feet
of commercial growth is sustainable based on service constraints. However it
should be recognized that this level of growth will generate approximately 200
new employees, at a rate of 4 per 1000 square feet, a moderate factor based on
Planning and Housing Office studies. Therefore, new commercial growth will
easily utilize the employee housing units we build on an annual basis, which
will leave us in a shortfall situation without the large employee housing
projects.
To develop commercial quotas for the City of Aspen, we have grouped zone
districts together, based on their geographical location and extent, their
buildout potential and the similarities among their permitted and conditional
Memo: Update of GMP Quotas
Page Five
May 12, 1982
uses. The groups identified provide for a maximum of four separate competitions
but insure that incompatible zones (CC and SCI for example) will not compete
directly with each other to the detriment of the less economically demanding
zone. The quotas we recommend be adopted for this year are as follows:
CC and C-1 - 15,000 square feet
NC and SCI - 9,000 square feet
Office - 6,000 square feet
CL and Other - 5,000 square feet
This total of 35,000 square feet will leave 15,000 square feet for competition
in the County, for a total of 50,000 in the Metro Area, meeting the stated
goal. This total therefore meets the first test of being sustainable in terms
of the overall growth rate for the community.
A second test for these proposed quotas is how well these rates compare with
our adopted growth management goal to adhere to a community-wide growth rate
of 3.47% (rounded off to .035). This test is based on recent data obtained
from the tax assessor's office concerning commercial buildout, as documented
below:
Approximate Existing .Growth
Zone Square Footage Rate Total
CC/C-1 800,000 x .035 = 28,000
NC/SCI 200,000 x .035 = 7,000
Office 150,000 x .035 = 5,250
Other 100,000 x .035 = 3,500
1,250,000 x .035 = 43,750
Finally, these quotas can be tested as to the ability of a project to be
developed within any zone constraint. It can be seen that these quotas will
easily support a single new large project or several smaller projects in any
zone group which will afford the community an opportunity to more reasonably
accommodate the impacts of this growth than has been occuring recently with
the numerous large downtown construction projects we have experienced.
For example, in the office zone district the Planning Office is aware of two
projects (Main and Seventh, the Forge Building) which are about to be completed
and two others which have building permits. Similarly, in the CC and C-1 zone
districts, there are now three projects underway (Park Place, Epicure Plaza
and Mill Street Station) and five others with GMP approvals that have yet to
build. Finally, there is essentially no likely buildout potential in the NC
and CL zone districts while in the SCI zone district, any new project is
limited by Section 24-3.6 "Use Square footage Limitations" which can be
accommodated by the 9,000 square foot annual quota. This limit might require
multiple year commitments to a large project which would be permissible under
our current regulations. The Planning Office therefore recommends that the
above square footages be adopted as the commercial quotas for this year.
Lodge GMP Quota
The same three tests used to derive the proposed commercial quotas can also be
used to derive the proposed lodge quota. Based on the comprehensive, sustainable
growth rate for the Metro Area, the target for lodge growth in the community
should be no more than 50 to 60 units per year. This rate of expansion of our
lodging tracks well with the projections we employed in the development of our
short term accommodation report, which indicated the need for only a moderate
level of growth in new lodging, phased to coincide with the expansion of ski
capacity. This rate also recognizes that the residential sector can also
Memo: Update of GMP'Quotas
Page Six
May 12, 1982
contribute to our short term accommodations inventory (as for example, with
the 700 South Galena project you recently approved). Finally, this rate
recognizes that two projects (Hotel Jerome, Highlands Inn) have received
conceptual approval to rehabilitate a total of about 100 rooms and to add
about 150 new rooms to our inventory, which mitigates the need for further
growth in new lodging, but which should provide additional competition for the
lodging industry to induce better quality and value in our accommodations
inventory.
This rate of growth also meets the second test, concerning the adopted growth
rate of 3.47%. Our recent survey of short term accommodations documents that
there are 1,350 traditional lodge rooms and dorm rooms in the Aspen Metro
Area, and 3.5% of this total equates to 45 to 50 new rooms. If this total
were to be split straight across jurisdictional lines, it would lead to a
quota of about 40 units in Aspen and about 5 in Pitkin County, since the vast
majority of the existing units are in the City.
The split indicated above will not pass the third test, which is the need to
reasonably relate the quota to the phasing of new development. The 18 unit
quota in the City has been criticized as incompatible with the phasing of
quality lodging. Furthermore, in the interest of providing incentives for the
demolition and reconstruction of existing units lacking in quality, it may be
necessary to permit some expansion of a number of lodges. Therefore, it is
recommended that the lodge quota for the City of Aspen be raised to 35 units
per year. The quota for the County can therefore be adjusted to 20 units per
year and still meet the overall sustainable target rate. These rates will
still require that large projects be awarded several years of quota, which,
given the current status of the demand for tourist rooms, would appear desirable
and in the interests of economic balance in this sector of the community.
Planning Office Recommendation
The Planning Office recommends that you recommend to City Council that the
growth management quotas be revised to coincide with the methodology contained
within this memorandum. Should you concur with the Planning Office, the
appropriate motion is as follows:
"Move to recommend that City Council adopt the following quotas as amendments
to Section 24-11.1 of the Municipal Code:
a) Within all zone districts, thirty-nine (39) residential units;
b) Within all zone districts, thirty-five (35) lodge units;
c) Within the CC and C-1 zone districts, fifteen thousand (15,000) square
feet of commercial and office space;
d) Within the NC and SCI zone districts, nine thousand (9,000) square feet
of commercial and office space;
e) Within the 0 zone district, six thousand (6,000) square feet of commercial
and office space; and
f) Within the CL and all other zone districts, five thousand (5,000) square
feet of commercial and office space."
... ,
MEMORANDUM
T0: Aspen Planning and Zoning Commission
FROM: Alan Richman, Planning Office
RE: Update of GMP Quotas
DATE: May 3, 1982
Introduction
The purpose of this memorandum is to introduce you to the principles the
Planning Office has been developing which we propose should form the basis of
the updated growth management quota system. .The new quotas will complete the
round of revisions begun last year when we changed the commercial, residential
and lodge scoring systems and will leave only the GMP exception procedures to
be reviewed later this spring. Please note that the work session to consider
the new quotas on May 11 is only the first of several meetings on this subject,
to be highlighted by a public hearing on this topic at your regularly scheduled
meeting on May 18.
The Concept of GMP Quotas
There are several reasons that we must look at our quota system at this time.
First, when we expanded the coverage of the commercial GMP to include all
zones we did not adopt quotas for the new system. Second, there has been a
great deal of criticism of the 18 unit lodge quota as being impractical for
the phasing of a new lodge. Finally, as part of the GMP update we have been
evolving a revised approach to justifying our quotas which is a principal
basis for the recommendations we are making for a comprehensive GMP in both
the City and County. This approach takes into account the impacts of all
types of growth upon the community and proposes to deduct all development from
the available quotas. The proposed approach is in recognition of the fact
that since we have adopted the GM11P we have had two rates of growth -- one
regulated and one not and that this dual growth rate is the primary reason
that we have exceeded our quotas in the Metro Area on an annual basis. Each
of these considerations helps to explain the rationale for the proposed new
quotas.
The basic concepts behind the new quotas are as follows:
1. They are based on the ability of the community to sustain growth as a
function of our capacity to provide basic services (water, sewer and
transportation) and to meet quality of life goals (environmental,
economical and social).
2. Ttrey are short term rates of growth which reflect current priorities
(i.e., employee housing, quality lodging) and legal obligations (i.e.,
previously subdivided lots) and therefore will need to be updated
regularly as part of a "dynamic" rather than static GMP.
3. They ignore City-County boundaries and reflect a Metro Area perspective
due to the interrelated nature of the impacts of development in this
area on the community.
4. They represent a fundamental departure from the original premise of GMP
quotas which looked at the total buildout potential of the residential,
commercial and lodging sectors, based on existing zoning, and allocated
80% of that buildout over a 15 year period. The new quotas do not
acknowledge`the ultimate zoning potential as a tacit commitment to the
eventual size of our community. Instead, they represent an immediate
goal for managed growth, based on historic development trends and
perceived growth priorities which must be reviewed in. relation to basic
land use and transportation p tanning decisions for the community.
A Method For Quota Calculation
The Planning Office has developed a methodology for calculating our growth
rate based on what we consider to be the most operative constraint to growth
in the Metro Area -- sewer capacity. T#ris approach is predicated on the
belief that due to the many capital expenditures already facing the community,
Memo: Update of GMP Quotas ~p~Q. ,~ ,,,,, ,~
Maye3Tw1982 v,~ e'er } "Q
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it is desirable to delay those expansions which we are capable of postponing. 6\.~~P"°w`
Clearly, if the community wishes to grow at a faster rate, it can do so, E~w^ ~"~
although at an immediate cost. This approach is also based on our comparative o~-
research into other growth management systems across the country which indicates 6 ~ ~-~
that growth limitations due to service constraints are legally justifiable. a,~o '~ ~
• Ati ~.
Our current sewage treatment capacity is 3.O million gallons per day (MGD). ;~
The Aspen Metro Sanitation District (AMSD) is planning to expand their facility ~,
from 3.0 to 3.2 millions gallons per day (tdGD) this spring. They would like ~
this expansion to last to mid-decade, at which point the plant would be expanded
to.4.0 MGD. Due to the cost of this expansion and the difficult choices we
will face beyond that point (re-open the old plant near the Post Office,
hopefully without odor problems or build a new, expensive regional plat downvalley
with uncertain environmental impacts), we view this constraint as a logical
tool with which to formulate our quotas. Therefore, the short term goal for
growth in the Metro Area is one which permits us to delay the expansion of the
AMSD plat to 1984 or 1985 and which will then accommodate growth through the
end of the decade. Of course, it will be necessary to monitor progress toward
that goal on a regular basis, certainly more frequently than once in five
years.
The basis for understanding the wastewater constraint is as follows. Peak
usage of wastewater in the Aspen Metro Area occurred in December 1980 at 2.9
MGD. At that time the peak population was about 20,000 persons, based on
recent census and short term accommodations reports. The wastewater generation
per capita is therefore slightly less than 150 gallons per capita per day
(GPCD). However, this can be broken down further into its residential and
commercial components.
As of 1980, there were approximately 6,250 dwelling units in the Metro Area,
along with about 1,800,000 square feet of commercial/institutional space. To
convert these totals into wastewater generation, engineers commonly use two
factors, as follows: ~ 3~e
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1. An average dwelling unit is comprised of 3 5 persons with each person
generating 100-110 gallons per day (GPD) of wastewater for domestic ~~ w i
purposes. p (q,,~ ~
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2. Each 5000 square feet of commercial space is equivalent to one resi- ~n..5 ~
dential dwelling unit in terms of water use (and resulting wastewater ~~~
generation).
Utilizing these factors, the typical dwelling unit would generate 375 GPD and
the entire residential sector would generate about 2.35 MGD. Similarly, the
commercial sector would generate about 0.15 MGD, for a total generation of
only about 2.5 MGD. The discrepancy between this total and the peak generation
of 1980 points out several reasons why we have depleted our sewage treatment
capacity more quickly than we anticipated. We believe that the typical dwelling
unit in Aspen probably uses more water than the statistical average for the
country since this factor usually correlates well to income level. We also
believe that this approach ignores an important component of our economy --
day skier visitors and day workers commuting from downvalley. We feel that to
be conservative in our facility planning it would therefore be desirable to
use 125 GPCD for our generatign factor, resulting in a per dwelling unit
generation of 435 GPD and an equivalency factor that 5000 square feet of
commercial space also generates 435 GPD.
We recognize that there are an almost unlimited variety of scenarios available
to evaluate how we will use up the additional increments of 0.3 and 0.8 MGD to
take us through the decade. We have chosen an alternative based on historical
trends, modified slightly by what we consider to be the coir~nunity priorities
at this time -- the need for quality lodging, the need to meet our employee
housing shortfall and the need for institutional space (bus maintenance, jail,
performing arts). While this approach may appear crude to some, we believe
that it is a more meaningful indicator of the community's ability to accommodate
growth than was the former approach based on 15 year buildout potential.
However, we are prepared to present to you data on the residential, commercial
and lodge buildout potential in Aspen so that you can judge how we have proceeded
toward depleting that potential.
Memo: Update of GMP Quotas
Page Three
May 3, 1982
'To refresh your memory, it is important that we again summarize the historical
growth trends in the Metro Area. Growth records compiled since 1975 (when the
original GMP data was collected) indicate that we have experienced, on an
annual basis, about 125 new residential units (tourist and permanent resident)
and about 70,000 square feet of commercial growth in the Metro Area. The
preponderance of this growth has been in the City of Aspen proper, which has
experienced about 75 new residential units and 45,000 square feet of commercial
space annually.
Several variables predispose our ability to affect these growth rates. First
of all, we are legally obligated to permit development of single family and/or
duplex-units on previously subdivided lots. During the early years of growth
management, these units accounted for a large portion of the quota. In
recent years, fewer such units have been developed, owing both to high interest
rates and the declining number of quality lots which are available for this
purpose. Whereas in 1977 and 1978 in the City of Aspen there were 25 to 30
such units developed annually, by 1980 and 1981 this number had dropped to 15
to 20 units annually. This trend, should it continue, will permit us to meet
our employee housing shortfall and to maintain a reasonable availability of
units for competition within our existing residential quota.
A second commitment of the community is comprised of projects which have been
approved but not yet. constructed. For example the Marolt Project commits us
to 70 new employee units and 30 employee units, while the Smuggler/Pitkin
Reserve project commits us to 18 employee units and 19 free market units.
Finally, unbuilt projects which have competed under the GMP and are not yet
built or expired commit us to 60 free market and 63 employee units as well as
about 50,000 square feet of conunercial space. We are also still feeling the
effects of having the Office, NC and SCI zones outside of the GMP, since
several projects were already underway or had received building permit approval
simultaneous to our expansion of the comprehensiveness of the GMP.
With these several caveats in mind, we believe that it is unrealistic to
expect that our residential growth rate will decline substantially in the near
future. In fact, if we are to provide incentives to achieve quality lodging
for our tourist economy, it is likely that we will have to experience some
growth in this sector, which has not occurred to any extent in the recent
past. Therefore, it will be necessar to rovide for about 125 to 150 new
units per year (resident and tourist with a likely mix being 50 to 60 lodge
units 35 to 40 free market units and 40 to 50 employee housing units, across
the entire Metro Area. To accommodate this level of growth within our service
constraints, it is also necessary that we limit the rate of commercial growth
to about 45-55 OOO square feet across the Aspen Metro Area not only because of
the direct impact of commercial growth on services, but also because it is a
primary generator of employee housing need which will fuel our residential
growth rate. Following is an analysis of how this growth rate compares to our
sewage treatment capacity constraint:
135 residential units x 435 GPD = 58,725 GPD
50,000 S. F. Commercial x 435/5000 = 4,350 GPD
Total = 63,075 GPD
This growth rate will deplete the 0.3 MGD of capacity which remains in the
AMSD plant in five years (1985), presuming full occupancy of the available
units during the peak usage period. However, this rate does not take into
account at least two other variables which will also deplete the capacity.
First, remodels of existing residences which add bedrooms, hot tubs, jacuzzies,
clothes and dish washers and similar features all have an impact upon the
sewer plant. Second, we are facing at least three major institutional projects
outside of the quota system -- the bus maintenance facility, jail and possibly
a performing arts center which will also affect our wastewater generations
rates. These two factors may necessitate a sewage treatment plant expansion
to 4.0 MGD in 1984 rather than 1985, but should not push the next expansion
into this decade, even if we generate 70,000 to 80,000 GPD from our growth,
since this would permit the additional 0.8 MGD to last 10 or 11 years. Therefore,
Memo: Update
Page Four
May 3, 1982
of GMP Quotas
~~ ~~.
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this alternative can be considered to accommodate our service growth constraint
'(for the short term) and may be evaluated by the Planning Commissions, City
Council and Board of County Co!nmissioners as to whether it also meets community
needs. Following is a detailed analysis of the GMP quotas which emerge from
this alternative.
Residential GMP Quota
The residential quota is comprised of three distinct parts. One component is
the previously subdivided lot on which single-fa!nily and duplex units can be
built without competition under the GMP. We believe that this component will
continue to account for about 15 new units each year. The next component of
residential growth is employee housing, which currently is not deducted from
the quota. Last year there were 26 employee units produced in the City while
the year before there were 88 such units, including 80 at Castle Ridge. It
seems clear that with the exception of the very largest projects aimed at
eliminating the critical employee housing shortfall (i.e., Castle Ridge,
Marolt and Silverking Phase IV) we can accommodate employee housing growth
within our quota:
The last component of the residential sector is the free market units which
are available under the competition system. These units help to meet the need
for tourist accommodations and high quality second homes to subsidize employee
housing. It is to our advantage to have these units built at a slow pace,
commensurate with the nu!nber that remains after accounting for the previous
two residential growth components.
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In summary, it appears that we can expect 15-20 units to be developed annually
on previously subdivided lots and a similar number of employee units to be
built in the smaller, mixed free market/employee housing projects. This
should leave a smaller number of units available for competition. Therefore,
we recommend that you leave the 39 unit residential quota untouched for the time
bein We will be coming forward later this spring with revisions to the GMP
exemption procedures such that employee units will be deducted from the
residential quota, but with a proviso that these units be exempted from the
quota for the infrequent, large project aimed at meeting the employee housing
shortfall. However, this provision would also require that if a large project
providing a clear community benefit were exempted from the quota, that this
section would trigger a complete re-evaluation of our growth rate in recognition
of the impact that all development has upon the community.
Commercial GMP Quota
Based on the recent growth rates of commercial space in Aspen and Pitkin
County and because of the competing priorities for growth in the community,
the Planning Office believes that this is an appropriate tine to curtail the
rate of commercial buildout. As we have indicated above, 50,000 square feet
of commercial growth is sustainable based on service constraints. However it
should be recognized that this level of growth will generate approximately 200
new employees, at a rate of 4 per 1000 square feet, a moderate factor based on
Planning and Housing Office studies. Therefore, new commercial growth will
easily utilize the employee housing units we build on ah annual basis, which
will leave us in a shortfall situation without the large employee housing
projects.
To develop commercial quotas for the City of Aspen, we have grouped zone
districts together, based on their geographical location and extent, their
buildout potential and the similarities among their permitted and conditional
uses. The groups identified provide for a maximum of four separate competitions
but insure that incompatible zones (CC and SCI for example) will not compete
directly with each other to the detriment of the less economically demanding
zone. The quotas we recommend be adopted for this year areas follows:
ASS o~'" CC and C-1 - 15,000 square feet
NC and SCI - 9,000 square feet
Office - 6,000 square feet
CL and Other - 5,000 square feet
Memo: Update of GMP Quotas
Page Five
May 3, 1982
This total of 35,000 square feet will leave 15,000 square feet for competition
in the County, for a total of 50,000 in the Metro Area, meeting the stated
goal. This total therefore meets the first test of being sustainable in terms
of the overall growth rate for the community.
A second test for these proposed quotas is how well these rates compare with
our adopted growth management goal to adhere to a community-wide growth rate
of 3.47% (rounded off to .035). This test is based on recent data obtained
from the tax assessor's office concerning commercial buildout, as documented
below:
Approximate Existing Growth
Zone Square Footage Rate Total
CC/C-1 800,000 x .035 = 28,000
NC/SCI 200,000 x .035 = .7,000
Office 150,000 x .035 = 5,250
Other 100,000 x .035 = 3,500
1,250,000 x .035 = 43,750
Finally, these quotas can be tested as to the ability of a project to be
developed within any zone constraint. It can be seen that these quotas will
easily support a single new large project or several smaller projects in any
zone group which will afford the community an opportunity tb more reasonably
accommodate the impacts of this growth than has been occuring recently with
the numerous large downtown construction projects tae have experienced.
For example, in the office zone district the Planniny Office is aware of two
projects (Main and Seventh, the forge Building) which are about to be completed
and two others which have building permits. Similarly, in the CC and C-1 zone
districts, there are now three projects underway (Park Place, Epicure Plaza
and Mill Street Statign) and five others with Gf4P approvals that have yet to
build. Finally, there is essentially no likely buildout potential in the NC
and CL zone districts while in the SCI zone district, any new project is
limited by Section 24-3.6 "Use Square Footage Limitations" which can be
accommodated by the 9,000 square foot annual quota. This limit might require
multiple year commitments to a large project which would be permissible under
our current regulations. The Planning Office therefore recommends that the
above square footages be adopted as the commercial quotas for this year.
Lodge GMP Quota
The same three tests used to derive the proposed commercial quotas can also be
used to derive the proposed lodge quota. Based on the comprehensive, sustainable
growth rate for the Metro Area, the target for lodge growth in the community
should be no more than 50 to 60 units per year. This rate of expansion of our
lodging tracks well with the projections we employed in the development of our
short term accommodation report, which indicated the need for only a moderate
level of growth in new lodging, phased to coincide with the expansion of ski
capacity. This rate also recognizes that the residential sector can also
contribute to our short term accommodations inventory (as for example, with
the 700 South Galena project you recently approved). finally, this rate
recognizes that two projects (Hotel Jerome, Highlands Inn) have received
conceptual approval to rehabilitate a total of about 100 rooms and to add
about 150 new rooms to our inventory, which mitigates the need for further
growth in new lodging.
This rate of growth also meets the second test, concerning the adopted growth
rate of 3.47%. Our recent survey of short term accommodations documents that
there are 1,350 traditional lodge rooms and dorm rooms in the Aspen Metro
Area, and 3.5% of this total equates to 45 to 50 new rooms. If this total
were to be split straight across jurisdictional lines, it would lead to a
quota of about 40 units in Aspen and about 5 in Pitkin County, since the vast ~ ,Q
majority of the existing units are in the City. ~ i`-~
,. ~ off' ~~ ~ to (1 n_-.-.ctw. J.r, of c..- ~. ., i .m~. ,~ \ _ , ~.. ti...a~-+-~rvn~-..
Memo: Update of GMP Quotas
Page Six
May 3, 1982
The split indicated above will not pass the third test, which is the need to
reasonably relate the quota to the phasing of new development. The 18 unit
quota in the City has been criticized as incompatible with the phasing of
quality lodging. Furthermore, in the interest of providing incentives for the
demolition and reconstruction of existing units lacking in quality, it may be
necessary to permit some expansion of a number of lodges. Therefore, it is
recommended that the lodge quota for the City of Aspen be raised to 35 units
per year. The quota for the County can therefore be adjusted to 20 units per
year and still meet the overall sustainable target rate. These rates will
still require that large projects be awarded several years of quota, which,
given the current status of the demand for tourist rooms, would appear desirable
and in the interests of economic balance in this sector of the community.
Summar
We realize that this memo presents an overwhelming amount of material for you
to digest in a short time period. We will be bringing to your meeting additional
material -- both tables and maps to supplement our presentation. Please
recognize that this effort represents no more than a first draft for your
review and comment as we move toward our upcoming GMP competitions, and in
particular, as we prepare for the May 18 public hearing on this topic.
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