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HomeMy WebLinkAboutagenda.council.worksession.20110621 MEMORANDUM TO: Mayor Ireland and Aspen City Council THRU: Chris Bendon, Community Development Director FROM: Sara Adams, Senior Planner RE: Vacation Rentals, Work Session MEETING DATE: June 21, 2011 SUMMARY: Vacation rentals (a.k.a short term rentals) of residential dwellings exist throughout the City in nearly every neighborhood. However, this type of use is generally only permitted in zone districts with a lodge designation', with the exception of 2 rentals allowed each year for residential properties. Approximately half of the 300+ rentals listed on vrbo.com are not permitted — most of the unpermitted rentals are located in the East and West End neighborhoods. Over the past year, the Finance Department has been trying to identify existing vacation rentals in order to require all operators receive a business license and to ensure that tax dollars are collected. This seems simple enough; however, the City cannot issue a business license because the vacation rentals are often not permitted within the property's zone district. Currently there are no controls in place to mitigate impacts on residential neighborhoods and the City's only recourse for complaints is to bring the operator into Municipal Court to cease operations. The two major areas that need to be addressed are: 1.) Vacation rentals are operating out of compliance and 2.) The City is not collecting lodging and sales taxes. These issues were discussed during a work session on June 15, 2010 (memo is attached) at which time City Council directed staff to continue researching other communities and to propose a code amendment with specific standards to control and to mitigate impacts of vacation rentals on neighborhoods. Staff is looking for feedback prior to proceeding to the Planning and Zoning Commission with a proposed code amendment. 1. Enforce existing regulations or propose new language. Staff proposes code amendments outlined below. 2. General feedback on where vacation rentals are permitted (i.e. all residential areas, restrict to infill area, etc.) Staff proposes to allow rentals for all residential dwelling units. 3. Type of review — revocable permit or business license only. Staff proposes administrative review and issuance of a revocable permit that is processed with the business license application. Specific standards of review are summarized below. The Lodge zone districts are generally located at the base of Aspen Mountain. 2 This number is based on online listings in February 2011. BACKGROUND: With the popularity and prevalence of vrbo.com ( "vacation rentals by owner ") and similar sites, Aspen is clearly not the only resort town that grapples with this issue. Colorado Association of Ski Towns (CAST) has discussed this issue for a few years. Recently, CAST hired VR Compliance LLC, a consulting firm, to develop software that will provide local communities with property owner contact information and the actual physical address of properties listed on online rental sites. This action is helpful to local communities that need to contact the property owner; however it does not address how and if vacation rentals are regulated. Community Development sent out a basic online survey to CAST. Out of the 25 CAST communities, 21 responses were received and used as a basis for the proposed code amendment language. The survey shows that each community has a different approach to vacation rental regulations based on their specific needs. To summarize a few points: about 67 %, or 14 of the respondents are satisfied with their vacation rental program; and 12 of the 14 regulate vacation rentals only through business license and/or sales tax license and do not issue revocable vacation rental permits. Almost half of the communities have specific review standards (i.e. parking, trash, etc.), and half of the communities stated difficultly tracking compliance as a problem. The Town of Jackson is the only community that does not allow short term rentals and has no plans to allow them . Regarding uncollected sales and lodging tax, the Finance Department drafted some projections using VRBO data and data from "mtrip, an outside consultant, to calculate that the city is missing out on collecting sales tax and lodging tax revenues between $89,000 - $99,000 a year. 37% of the tax revenues will be streamed to ACRA with the remaining 63% directed to the City. OUTREACH: Staff has met with StayAspenSnowmass, Commercial Core and Lodging Commission, and members of the lodging community to better understand potential impacts on the lodge sector. Many of the community members felt that vacation rentals need to play by the same rules as hotels and lodges. While vacation rentals seemingly could take business away from traditional lodges, there seems to be an understanding about the existing prevalence of vacation rentals in the community and a positive response to putting controls in place to require tax collection and compliance with standards. Informative emails were sent to Aspen Ski Company, Aspen Board of Realtors, Aspen Lodging Association and Aspen Chamber Resort Association. STAFF RESPONSE: Staff recognizes that vacation rentals are popular with a specific type of Aspen visitor; are already prevalent throughout town; and the current Code requirements are extremely difficult to track and to enforce. The frequency of online vacation rental listings in Aspen leads one to believe that there is a demand for home rentals to fill a specific niche. Vacation rentals bolster Aspen's resort economy by adding diversity to the lodging stock and increase vitality in neighborhoods with numerous vacant second homes. To address concerns regarding compliance and uncollected taxes, Staff proposes a code amendment to allow vacation rentals in all zone districts that allow residential dwelling units through issuance of an annual revocable permit. The City would have the ability to revoke the ' www.vrbo.com lists 12 pages of short term rentals in the Town of Jackson as of June 2011. 4 mtrip reports provide statistical data base don a sample of up to 17 properties in Aspen, representing up to 1,431 units and 62% of 2,304 total units in Aspen. vacation rental permit if problems arise and the property is out of compliance. The revocable vacation permit and business license applications would be concurrent administrative reviews and would be renewed annually. Staff finds that, with adequate controls in place, vacation rentals are appropriate in all zone districts that allow residential uses. A maximum of 30 consecutive days for vacation rentals is proposed. Rentals in excess of 30 days would remain allowed (aka long term rentals), but would not require a vacation rental permit. Below is a summary of the proposed requirements: 1.) Parking - The vacation rental is required to either have adequate off - street parking or to receive lodge parking passes from the Parking Department for on- street parking. Staff does not propose additional off - street parking spaces be provided as this may devote more yard area to parking than is actually necessary and increase impervious area in residential areas. 2.) Trash/storage — The rental is required to meet wildlife trash enclosure regulations. 3.) Owner's local representative — The existing rentals, although not tracked, seem to only be a problem when management is negligent or when neighbors simply do not approve. To address this issue, an on call manager for the site is required. It is the manager's responsibility to inform the tenant about city ordinances regarding noise, trash, parking, etc. Signage with the representative's contact information (name, phone number and address) is required to be posted onsite, which offers neighbors and Community Development a direct contact if an issue arises. 4.) Notice to neighbors — A letter notifying neighbors within 300' of the vacation rental permit and providing the representative's contact information will be required. 68% of the CAST communities do not require notice of vacation rentals to neighbors. However, Staff finds that providing notice and contact information to neighbors is a crucial component to a successful program that mitigates neighborhood impacts. 5.) Homeowner's Association approval — A letter of consent from the homeowner's association is required, if applicable. 6.) Business license — A business license is required to be obtained from the City to ensure tax collection. NEXT STEPS: A public hearing is scheduled on July 5 and July 19` with the Planning and Zoning Commission to forward a recommendation to City Council. RECOMMENDATION: Staff finds that it is appropriate to allow vacation rentals through a revocable license program that is implemented in conjunction with a business license. CITY MANAGER COMMENTS: Attachments: Exhibit A: City Council Worksession memo dated June 15, 2010. Exhibit B: Colorado Association of Ski Towns survey results N A. MEMORANDUM TO: Mayor Ireland and Aspen City Council THRU: Chris Bendon, Community Development Director FROM: Drew Alexander, Planning Technician RE: Short Term Rentals, Work Session MEETING DATE: June 15, 2010 SUMMARY: Staff is asking for direction from City Council as to what action should be taken with short-term rentals. The City of Aspen, like most resort towns, has a prevalence of these operations. This type of use is only permitted in zone districts with a lodge designation (Lodge, Commercial Lodge, Lodge Overlay, and Lodge Preservation Overlay). However, short-term rentals exist throughout the City in nearly every zone district. Community Development receives complaints regarding short-term rentals on a semi - frequent basis. The current process is to contact the property owner, notify them of the violation, and keep an open relationship with the complainant to see if the violation continues. The operation of a short-term rental is very hard to track and requires a significant amount of staff hours. If the offender is caught again violating the Code they would likely be cited into municipal court. Recently, Community Development discovered that the Finance Department was trying to identify the majority of short-term rentals in the City. They are doing so in order to procure uncollected tax dollars and to require that all operators receive a business license. This process will hit a significant roadblock when the short-term rental operator needs a Zoning signoff for their business license. Most of these locations are non - conforming by being located in an improper zone district. After this dilemma was discussed, Community Development began researching strategies that other resort communities had implemented for short-term rentals. Also researched was recent work that the Colorado Association of Ski Towns has completed. The research (shown below) indicates that most communities have applied a system that allows for short-term rentals in certain residential zone districts. Staff is requesting Council's guidance for either enforcement or Code amendments. RESEARCH: I.) Colorado Association of Ski Towns (CAST): CAST is currently working on the short- term rental issue. Joyce Burford, Executive Director of CAST, explained that they recently conducted an RFP for two candidates that will manage the work, which includes a two-pronged approach. fittl. L..il a . For the first approach, CAST is working with the Department of Revenue and the Colorado Municipal League to draft a letter that reflects those conditions in Colorado Revised Statute, C.R.S. § 39 -5 -108.5 (See Exhibit A for the full statute). This statute requires that owners of furnished residential real property report their personal property at the request of the local assessor no more than twice per year. The statute states that this work can be handled by the property owner or the owner's agent. An important element here is that the language allows for the owner's agent to be the listing website. The letter that the CAST team is preparing will go out to these major websites asking them to honor the statute and to release the lists of all short-term rentals in the State of Colorado. Burford also hopes to have included in the letter an approval from the State Attorney's Office. If this approach fails, CAST will use one of the contractors hired through the RFP process to start a back -up plan. If and when the listing websites are uncooperative, the CAST contractor will figure out a methodology to obtain the lists of short-term rental properties. This may include working individually with each website or simple scouring them all for the necessary data. Once the contractor has procured the list, it will be turned over to communities in Colorado. After a community receives the list, they can either work with it on their own, or hire the assistance of the CAST contractor to further implement the list. 2.) Park City, UT: Park City has in place a system called Nightly Rentals. Nightly Rentals are an allowed use in various districts throughout the city, but primarily in the historic zones nearest to the commercial core area, similar to Aspen's West End. A person owning a home in one of the allowed areas would have to obtain a business license (needs approval from the Building Inspector) prior to operation, and when the dwelling unit is being used as a Nightly Rental, the entire unit must be allotted for this use. If the property includes a lock -off unit that the owner wishes to use as a Nightly Rental, a conditional use application must be approved. The only area that allows Nightly Rentals other than a historic zone is the Single Family (SF) zone but only in the Prospector Village Subdivision (a very limited area). Kayla Sintz, a planner for Park City, says that the program works very well in the historic areas near the commercial core. Sintz mentioned that this is the place tourists want to be and it places the least demand on public infrastructure. However, Sintz does admit that Nightly Rentals have placed an unexpected burden on the historic zones. The Nightly Rentals have contributed to making these areas more transient and increased pressure for development that would maximize the allowances for that given zone (the more space and bedrooms built, the more it can rent for). In Aspen, most development already attempts to maximize their allotments. 3.) Breckenridge, CO: The Town of Breckenridge (TOB) utilizes a system called the Chalet House Program. Below is portion of their definition for a Chalet House: Chalet House: A building or structure of single-family or duplex residential character: a) which is used as temporary housing for a tour group for a period of not less than two (2) nor more than thirty (30) consecutive nights, b) which has a manager or employee who provides meals for tour group members, and other management services such as housekeeping and ground transportation, c) the operation of which does not require the provision of additional on site parking spaces beyond that normally required for a single-family residence, and d) the appearance of which has not been altered (either on the interior or exterior) so as to change the single-family residential character of such building structure. This program includes an extensive administrative review process that seeks approval from the Community Development Director. Adjacent properties are noticed and given time to submit feedback to the TOB. There is a list of criteria that a Chalet House must satisfy and maintain if a permit is issued. The permits are also revocable if the regulations of the TOB Development Guide are not being met. 4.) Telluride, CO: The Town of Telluride (TOT) very recently created a short-term rental program. The events leading up to its creation are extremely similar to the scenario that Aspen is faced with now. Michelle Haynes, a TOT planner, explained that in 2009 the Finance and Clerks Departments wanted to identify all the short-term rental operations within the town limits to acquire uncollected tax dollars. Telluride quickly realized the conflict between the Land Use Code and having operators obtain business licenses for a business that was widely prohibited throughout the town. Telluride now has a provision for short-term rentals within a limited number of zone districts. Similar to Park City, the majority of these zones are focused on residential neighborhoods (including those historic in nature) near the commercial core. The criteria for allowing a short-term rental include the following: a. Use: Short term rental is a use permitted by right or a use permitted on review in the underlying zone district (Hillside Transitional, Hillside Developing 1, Residential, Historic Residential, and Medium Density Residential Zone Districts). b. Units: The structure contains only one (1) dwelling unit, or the dwelling to be rented is the primary structure when more than one (1) dwelling exists on the lot. c. Bedrooms: The dwelling unit to be rented contains no more than four (4) bedrooms. d. Trash Storage: There is a clearly- defined trash storage area and an adequate number of trash containers provided. e. Owner Representative: There is an owner representative within the Town of Telluride, who is on call full -time to manage the property during any period within which the property is occupied as short-term accommodations. The name, address, and phone number of the owner representative shall be listed on the business license which is on file at Town Hall. Two fundamentals of this program that are in line with Staff's ideology for an Aspen program are the trash storage and owner representative requirements. With the potentially dangerous wildlife in the Aspen area, adequate trash storage, which should All I . r .1 1 • include bear - proofing, is an absolute must. Also, the ability for a disgruntled neighbor to know how and who to contact if a problem arises is crucial for a fair and reasonable system. 5.) Crested Butte, CO: Again, Crested Butte has a system titled Short-term Rentals. This program allows for unlimited short-term rentals in seven zone districts. The owner of the short-term rental property must obtain a revocable license from the Town of Crested Butte if he /she plans to operate a short-term rental. Also, the following conditions must be satisfied: a. Adequate parking; b. Receipt of required business licenses, including the business occupation license tax; c. Identification of a management contract person or entity within the County; d. Adequate rubbish storage and removal; and e. Adequate instruction to tenants regarding solid fuel burning devices and parking restrictions. Although, somewhat minimal, these requirements hit on some key elements that Staff believes should be in place if Aspen were to adopt a short-term rental program. STAFF RESPONSE: Staff feels that Code amendments are needed. Some type of system should be in place allowing short-term rentals and to ensure proper monitoring, enforcement, and tax collection. There are a significant number of existing short-term rentals. The existing rentals, although not tracked, seem to only be a problem when management is negligent or when neighbors simply do not approve. There are elements in all of the researched programs that Staff find attractive. The simplicity of the Park City program would limit staff hours reviewing applications and the control mechanisms of the Breckenridge system would ensure a system that is fair and reasonable. Telluride will be an important program to monitor since they too are just starting the process. Staff recommends the following: • A permitting system that would require operators to have a valid business license. Businesses licenses are approved annually so each operator would be subject to Community Development review each year. • The system should include some variant of a land use application. This would be administrative and at a lower fee schedule than the typical administrative review fee. o Public noticing should be included in this process so that the surrounding neighborhood is aware of the intention to operate a short-term rental. o The public should be given at least 30 days to submit feedback to Community Development. • Operators should be required to post a small businesses identification sign on the subject property that includes a number to call in case of an emergency. Ovi • Investigate the City of Aspen's zone districts to rule out any areas where short- term rentals should not exist. • The permit should be revocable by the Community Development Director if the operation is not compliant with City regulations. RECOMMENDATION: Staff recommends the City Council review Staff's Response and determine whether a Code amendment for a short-term rental program is worth pursuing, or if Staff should enforce the existing prohibition. 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'O >, a) N° = 0 is L O O a) O > d COL) C a) a) O a) N C L L 0 L C • CO N e 2 ES L a) f - 0 z w 2 < )- F- ° ca F- m 3 < a — L F- -, CV • • • • 1- • • • • • • ONA A; L11 k MEMORANDUM TO: Mayor Ireland and Aspen City Council TRRU: Chris Bendon, Community Development Director FROM: Drew Alexander, Planner o� v � RE: Code Amendments - Bedroom Calculation and Impact Fees, including School Land Dedication MEETING DATE: June 21 2011 The current City of Aspen Land Use Code imposes a number of zoning impact fees upon residential development to ensure that "development pay all or part of its way." These exactions are currently calculated and based upon the number of bedrooms proposed for the development. Staff is seeking Council direction to initiate amendments to the Land Use Code to eliminate the "bedroom game." Amending the calculation methodology of the zoning impact fees should greatly simplify the zoning review process. The affected fees include Parks Development, Transportation Demand Management (TDM) /Air Quality, and School Land Dedication. For residential development, the zoning impact fees are calculated based upon the number of bedrooms in a residence. The Land Use Code has a definition of "bedroom" that the zoning officer uses when reviewing plans: Bedroom: A portion of a dwelling unit intended to be used for sleeping purposes, which may contain closets, and may have access to a bathroom. This definition is not precise and lends itself to varying interpretation. What frequently happens (because the fees can be large) is that architects and builders will begin the "bedroom game" with the zoning officer to try and lessen the fee amount. For example, a room with a closest may be labeled as a "study" on a plan set to avoid fees, but the zoning officer will calculate the room as a bedroom because it meets the definition in the code. Then, the architect will disagree with the decision and make small amendments. These resubmission persist until the zoning officer decides the room is no longer a bedroom. These changes usually look like doors being removed, removal of closets, or eliminated bathrooms or access to. In an effort to avoid the "bedroom game" altogether, staff is preparing a new draft of the Impact Fees and School Lands Dedication language that uses floor area as the calculation variable for fees. Staff created a report from approximately 350 building permits dating back to 2004 and examined two categories: floor area and number of bedrooms. RRC Associates in Boulder, CO are acting as a consultant on the project and confirming any data that staff is using for statistical validity. Converting the City's impact fee system to a floor area basis will simplify zoning review, eliminate time wasted arguing about each room, impose fees more equitably, and make the impact fee estimates more precise for prospective applicants. Using floor area rather than the number of bedrooms should result in a system that is more accurate. As stated, the "bedroom game" encourages building permits to have awkward amendments and less than practical finished layouts. Floor area provides a simple metric that will accurately assess fees based on the size of home and presumably the number of school aged children, not its intended or unintended use. These amendments will only alter the method of calculation, not the pre- determined fee schedules that have been in use since 2006. For TDM/Air Quality and Parks fees, staff simply took the total floor area from the building permit data and divided the number by the total fees paid for those permits. For the School Land Dedication fee staff divided the 4 bedroom generation rate (.452) by the average size of a four bedroom home (3790 sq. ft.) to arrive at a per square foot student generation rate. Throughout this drafting process, staff has been in contact with the Aspen School District, the Transportation Dept., Parks Dept., and Environmental Health (groups that are impacted or receive funds from these fees). After this work session, staff will continue this outreach and inform these entities of Council's direction. The new fees would include the following for residential development: Parks Development $5.45 per sq. ft TDM/Air Quality $0.61 per sq. ft School Land Dedication .00012 students per sq. ft. (capped at .452) CITY MANAGER'S COMMENTS: Attachments: Exhibit A: Data from building permit report II J i t 6 C s .. ` " O in O ul ri t0 N 0 0 V1 0 m M N O m 1 l0 tO 0 0 1 Ln 0 d' W ‘- M : N ri N t K e E .. I d d , tc U1 p CC , 4. 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N O d o 00 00 ri * O t -',:' g C0 H to .--I N M a in t0 MEMORANDUM TO: Mayor and City Council FROM: Nancy Lesley, Director of Special Events THRU: Jeff Woods, Manager of Parks and Recreation DATE OF MEMO: June 17, 2011 MEETING DATE: June 21, 2011 RE: Pro Cycling Challenge Update REQUEST OF COUNCIL: There is no request of council, this is an update only. PREVIOUS COUNCIL ACTION: Staff has been to Council on numerous occasions to discuss and update on the Pro Cycling Challenge (PCC). This is to make Council aware of the progress that has taken place since the last time staff spoke with Council. DISCUSSION: The Pro Cycling Challenge, which will arrive in Aspen on Wednesday, August 24 has commitments from the top cyclists and teams in pro racing today. Staff has two objectives in mind when planning for this event. To create a platform that the race organizers feel is well organized, user friendly to the racers and event staff, and so turn -key that they have no choice but to return year after year. The second objective is to create an experience for the spectator coming to Aspen that compels them to want to return. The Aspen Stage has been named the Queen Stage by the event organizers, and we are billing it as the Aspen Silver Queen Stage. By being named the "Queen" stage of the entire race, it is marketed as the stage to watch, or the stage that will be a defining one for the racers. The Route: For purposes of this event, we are using the Mountain Valley entrance as our mark of city limits, which all route related and event related measures become our responsibility. The riders will start in Gunnison and ride to Aspen via Cottonwood and Independence Pass. As they come down the Pass on Hwy 82 they continue straight as it turns into Cooper Avenue. They continue on Cooper, making the sweeping right at Paradise Bakery and they are now coming down Galena. They will make a right onto Hopkins and a left onto Original, which turns into Main Street. The finish line will be the corner of Main and Galena. The race will consist of approximately 128 riders and approximately 125 vehicles and motorcycles traveling with them on the route. All of these vehicles will come through town Page 1 of 4 with the riders and be "diverted" when the riders take a left onto Original, most of the vehicles will take a right and park on Hyman Avenue. The expected time of arrival for the first group of riders is approximately 3:15pm, but could change with either a head or tailwind. We will be closing the streets of downtown Aspen at approximately 6am and anticipate a full re- opening around midnight on the same day. Many streets will open well before then, but will open as tents come down, and safety allows. Lifestyle Expo: The Expo will be located on Wagner Park, Hyman Avenue and Mill Street. The expo will consist of vendors traveling from town to town with the USAPCC, Channel 9 News live broadcasts, local sponsors, the entertainment stage, beer garden and local food vendors. Some of these vendors will have trailers that will make parking in Wagner Park impossible, so we are extending the expo to Hyman and Mill, where parking these vehicles won't be a problem. The expo will open at approximately llam and close at 4:30pm. VIP /Sponsor Tent: The size has yet to be confirmed, but the working plan is a 20x tent that runs the length of Main Street from Galena Street to half way down to half a block prior to Spring Street, on the City Hall /St Mary's church side. The tent will be available to those that have purchased sponsor tickets or packages as well as the sponsors of the overall race. The race organizers would like to focus their sponsors on coming to Aspen, therefore we will have a larger VIP /Sponsor tent than other stages. The tent will open at noon, serving food and alcohol, seating as well as TV's that will show the racers as they make their way into Aspen. Sponsorship /Fundraising: Staff has created a 501c3 that is called Aspen Silver Cycling Inc to help facilitate the fundraising efforts. It is being managed by Don Taylor, City of Aspen Finance Director, Nancy Lesley, City of Aspen and Deric Gunshor, Aspen Skiing Co. A sponsorship package has been created to help generate revenue. Along with the sponsorship package, we are currently planning other fundraising platforms. We are hoping to use a similar model as our first fundraising effort that was held on June 2" at Ajax Tavern in conjunction with the Women's Pro Race. We would scale down the model as that included a very large silent auction as well as dinner. Staff is currently discussing this concept with several restaurants to secure their help. Notices to Neighbors and Business Community: Staff has created a timeline utilizing letters, emails and door hang notices to be in continual contact with those living in the affected areas. In late July and early August neighborhood meetings for residents and businesses will be held to inform and answer questions. Staff has also been meeting with the business community and will continue to do so. Lodging: The lodging community, in its entirety, has come together to get behind this event and support it 100 %. They have absorbed the housing needs of the event, and structured it so that each property absorbs some loss in order to reap the potential rewards. Volunteers: The volunteer recruitment is in full swing and we are two thirds of the way to full recruitment with approximately 200 volunteers already signed up. Volunteers will be used in a variety of ways, including route detail, parking assistance, media check in and economic Page 2 of 4 impact surveys. Recruitment is being handled through the event website, then filtered down to us. Our volunteer coordinator keeps in continual contact via email. City Staff: Per Steve Barwick, City Hall will be closed and staff working in City Hall will work on the PCC event either as ambassadors or helping with parking or other event needs. Staff will be creating an "ambassador" program that will have city staff in uniforms that identifies them as someone to help direct, answer questions either about the race, location of infrastructure, or information about town. Their job will also be to promote Aspen. Ancillary Events: This will not only include the Women's Pro Race(s), the Komen Ride, the Aspen Backcountry Marathon, and the Power of Four Mtn Bike race, but also things like a citizen's Grit before the women's race on Wednesday, August 24 and a tricycle race between City Council and the BOCC. Well before the week of August 2r, the ancillary events committee is working on rides, BBQ's and cocktail parties to help create awareness and fundraising opportunities for this event. Staff is also working with the local bike shops to see if they would be interested in participating in a "who can build a bike the fastest" competition and the Aspen Historical Society to do brief skits about Aspen's history and cycling. Safety: This event has the full collaboration between the City of Aspen, Aspen Police Department, Pitkin County Sheriff's office, Aspen Ambulance, Aspen Fire District, US Forest Service, Mountain Rescue, Aspen Valley Hospital, Flight for Life, and the Colorado State Patrol. These entities meet on a regular basis and plan for the safety of the community during this event. Marketing and PR: National marketing exposure for the race includes a 2 hour broadcast on Versus and live coverage of the final race day on NBC. This includes a 30 second spot on Versus promoting Aspen as a destination and a 1/2 page ad in the official program guide produced by Velo news. The objective of the local marketing campaign is to create awareness of the event for volunteers, spectators and potential sponsors and to drive visitation to Aspen during the week of the race. The marketing plan includes an Aspen specific website, www.aspenupcc.com which highlights Aspen as a cycling destination, what to do in town and logistical information about race day. A print ad appeared in Elevation Outdoors Magazine as part of the Aspen Chamber Summer ad campaign. A banner ad is live on the aspenchamber.org home page with a link to aspenupcc.com. Other online exposure includes a paid search campaign targeting cycling enthusiasts and destination visitors in key markets nationally, email blasts to ACRA's destination visitor database of approximately 50K and to Aspen Skiing Company summer database. Banners ads will be hung on Main Street and at events leading up to the race. Social Media will be used, including Facebook, blogging and twitter to promote the stage. A specific Aspen logo has been created to promote the "Silver Queen" stage in both merchandise and marketing collateral. Media partnerships with local newspaper, magazine and television are also in the works to help promote the stage. Page 3 of 4 Merchandise: The merchandise program is progressing with strong interest from five or six retailers in Aspen to start selling within the next month. UPCC has selected an official vendor and we are working with them on creative design options that the retailers think will be successful. This program will include t- shirts, hoodies, hats and pins. We are working to include cycling jerseys in this program but it is unclear if production time will make it prohibitive. The pricing from the selected vendor is competitive and the Aspen OC expects to raise some money through this channel. FINANCIAL /BUDGET IMPACTS: The working budget for this event was set at $180,000 in early November of 2010. The budget was created based on many assumptions that were unknowns at that time. Staff continues to refine the budget as the event takes on more definition and we are able to define the previous unknowns. ENVIRONMENTAL IMPACTS: ZG Green is a strong part of our entire planning process. Ashley Cantrell from the Environmental Health Department is heading this up, and we are working to create, or as nearly as we can create, a zero waste event. We are looking into brining in water buffalo's to supplement the permanent water station that will be in town. ZG Green will also have a booth in the Expo area selling their reusable water containers. RECOMMENDED ACTION: No action is required of City Council, this is an update. Page 4 of 4 MEMORANDUM TO: Mayor and City Council FROM: Nancy Lesley, Director of Special Events THRU: Jeff Woods, Manager of Parks and Recreation DATE OF MEMO: June 17, 2011 MEETING DATE: June 21, 2011 RE: Pro Cycling Challenge Transportation, Parking and Concert REQUEST OF COUNCIL: Staff is requesting direction on offering a free concert on Tuesday, August 23r and participating in a ticketed concert on Wednesday, August 24 Staff is also requesting support of relaxed parking regulations and no parking fees on Wednesday, August 24 PREVIOUS COUNCIL ACTION: Staff has been to Council on prior to discuss and update on the Pro Cycling Challenge (PCC). This is to make Council aware of the progress that has taken place since the last time staff spoke with Council. DISCUSSION: The Pro Cycling Challenge, which will arrive in Aspen on Wednesday, August 24 has commitments from the top cyclists and teams in pro racing today. Staff has two objectives in mind when planning for this event. To create a platform that the race organizers feel is well organized, user friendly to the racers and event staff, and so turn -key that they have no choice but to return year after year. The second objective is to create an experience for the spectator coming to Aspen that compels them to want to return. The Aspen Stage has been named the Queen Stage by the event organizers, and we are billing it as the Aspen Silver Queen Stage. By being named the "Queen" stage of the entire race, it is marketed as the stage to watch, or the stage that will be a defining one for the racers. Parking and Transportation: Staff is working closely with RFTA and the City transportation staff to create a plan that allows spectators to get as close to the core as they can with the goal of being user friendly. Staff would like to request a leniency on parking for Wednesday, August 24 by allowing cars to park in the West End where possible, nose in rather than parallel to accommodate more parking, and a free parking day in town allowing the parking Page 1 of 3 • staff act as facilitators rather than enforcers for the day. RFTA will be increasing their buses (at the expense of the event) to accommodate the (potential) influx of more people. As much as possible, spectators will be directed to the Brush Creek Park and Ride. Extra buses will be applied to the Rubey Park to Brush Creek route in order to maximize service to that lot. Extra buses, as well as cars, will be re- routed to serve other parking locations when the Brush Creek lot fills. The Main Street bus lane will be signed No Parking all day in order to speed exit of all buses. Extra buses will be staged at the Kiss and Ride and on Durant Street. Additional parking spaces on Durant Street may be closed and used to accommodate extra buses. The Hunter Creek and Mountain Valley regular routes on RFTA will also be affected. Hunter Creek route will be a slightly modified in town route (the Wheeler Opera House pick up point will be eliminated) with the bus running from 6am to 10am then again from 6pm to 2am. The Mountain Valley Dial a Ride will be increased to two busses (it is normally just one) and that service will be suspended from approximately 2pm to 6pm. We will have to end the service earlier if the riders are faster than anticipated. Concerts: Staff would like to host a street party on Tuesday night, August 23' on Main Street, at the finish line for the community. Main Street would be closed from Main and Mill to Spring and Main for this evening of music. Hiring local musicians and talent, we would like to do a big thank you for the impact that will take place the next day, and start the buzz and celebration of the race. We would host a beer garden on Main Street, but otherwise, leave this as an open celebration on Main Street. Staff has approached Michael Goldberg regarding a ticketed concert on Wednesday, August 24 Aspen will be hosting many international and national media, as well as spectators from around the world, and is looking at ways in which to keep everyone in town, and adding to the vibrancy of the day. The secondary benefit of a concert would be to keep the spectators here in town, rather than heading to Vail and the next stop. It would also help to alleviate the flow of traffic out of town as soon as the race finishes. This also gives Aspen a platform of not only a cycling /sports venue, but also an amazing place to watch a known act. Staff feels this is another avenue to introduce a new demographic to Aspen see all the our wonderful town has to offer. Vail is using a similar model of a free concert on Thursday night and a ticketed concert on Friday night. Michael Goldberg has offered a couple of options for the Wednesday night ticketed concert. The event /City could partner with him in the risk side, but also reap the potential rewards side, or he would be interested in producing the evening solo. This is all based on getting the right talent for the night. We would not enter into an agreement with an act /talent that all would not agree is a good fit for the demographic we are targeting. FINANCIAL /BUDGET IMPACTS: The working budget for this event was set at $180,000 in early November of 2010. The budget was created based on many assumptions that were unknowns at that time. Staff continues to refine the budget as the event takes on more definition and we are able to define the previous unknowns. With the addition of the free concert, the budget would increase to $215,000 (by $35,000). With the addition of the second, ticketed concert, the budget would increase in the amount Council finds tolerable, with the goal of having revenue to offset the expense. Page 2 of 3 ENVIRONMENTAL IMPACTS: ZG Green is a strong part of our entire planning process. Ashley Cantrell from the Environmental Health Department is heading this up, and we are working to create, or as nearly as we can create, a zero waste event. We are looking into brining in water buffalo's to supplement the permanent water station that will be in town. ZG Green will also have a booth in the Expo area selling their reusable water containers. Page 3 of 3