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HomeMy WebLinkAboutminutes.council.20110912 Regular Meeting Aspen City Council September 12, 2011 CITIZEN PARTICIPATION 2 COUNCIL COMMENTS 2 CONSENT CALENDAR 3 • Minutes — August 22, 2011 4 • Resolution #59, 2011- Contract for Roof Replacement — Marolt Ranch 4 ORDINANCE #27, SERIES OF 2011— Code Amendment — Impact Fees 4 ORDINANCE NO. 27 4 ORDINANCE #28, SERIES OF 2011— Lift One Lodge Final PUD 4 ORDINANCE #29, SERIES OF 2011— Electric Fees 6 RESOLUTION #60, SERIES OF 2011 — Temporary Use Theatre Aspen 6 ORDINANCE #25, SERIES OF 2011 — Aspen Chance Subdivision Amendment 8 ORDINANCE #19, SERIES OF 2011 — Aspen Walk — 404 Park Avenue Final PUD 9 ORDINANCE #24, SERIES OF 2011 — Code Amendment Single Use Bags 14 1 Regular Meeting Aspen City Council September 12, 2011 Mayor Ireland called the meeting to order at 5:07 PM with Councilmembers Frisch, Torre, Skadron and Johnson present. CITIZEN PARTICIPATION 1. Emzy Veazy said for safety reasons, the police officers should wear bullet proof vests while on regular duty. Veazy said Councilmembers should get health insurance for themselves and their families and should get a pension plan as well. COUNCIL COMMENTS 1. Councilman Torre commended the Aspen Fire Department for putting on a meaningful September 11 ceremony. 2. Councilman Torre applauded everyone who worked on the city's community picnic held at the golf course. It was a fantastic event. 3. Councilman Torre commended ACRA and the Aspen Skiing company for the luncheon with the theme about connections. Councilman Torre said he is proud to be partners working for Aspen's betterment. 4. Councilman Torre congratulated the recreation department on their mac `n' cheese event. It was a well run event for the first year and he hopes the recreation department will bring it back next year. 5. Councilman Torre announced the Galena Plaza open houses September 15` at 11:30 AM and 4:30 PM. 6. Councilman Torre said the last day to register to vote for the November 1 election is October 3` One can go to pitkinvotes.org for more information. Councilman Torre stated it is a mail ballot election only. 7. Councilman Torre said during this year's Council retreat, Main street improvements did not make the top ten list of goal. Councilman Torre said he hopes not to lose sight of that project and to work to make it a safer place for pedestrians. 8. Councilman Johnson recognized the various September 11 events around the country and in Aspen, at the fire station and the Wheeler. 9. Councilman Johnson announced the Aspen High School football team is undefeated and their next game is at Hotchkiss Friday night. Homecoming is September 30` 10. Councilman Skadron agreed the 911 ceremonies at the fire station were moving. The fire department passed out roses for every fire fighter who died with their pictures attached. 2 Regular Meeting Aspen City Council September 12, 2011 11. Councilman Skadron said the community picnic was a great event as was the ACRA luncheon. 12. Councilman Frisch said the backcountry marathon brought people from out of town who stayed overnight for the event. The Power of Four bike race was also a great event. The Motherlode volleyball tournament had a nice feeling to it and a lot of people were eating in restaurants around town. 13. Mayor Ireland said the city served 750 lunches at the community picnic and ran out of food. The police department went on a run for more burgers. 14. Mayor Ireland said the 911 theme is "we will never forget ". We are human and we do forget so we need to be reminded. 15. Mayor Ireland announced September 14 is worldwide climate presentation. 16. Mayor Ireland said the November election is all mail ballot and only people who voted in the last general election and those with correct addresses on file will receive ballots. Mayor Ireland noted ballots are not forwarded. Mayor Ireland encouraged everyone to make sure they have the correct address with the county clerk. 17. Mayor Ireland stated Council does not have separate city - funded pension plan; Council has social security. Mayor Ireland agreed Council should be able to buy insurance for family members. 18. Mayor Ireland said he donated a bicycle to the Bikes for Africa program on behalf of the city and will request reimbursement for this donation. 19. Mayor Ireland said he talked to Jim Spahn of Ruggerfest and directed them to apply for a city grant. Mayor Ireland suggested the city could waive the parks fee. Mayor Ireland said the rugby team would also like some assistance with the $8,000 ambulance fee. 20. Councilman Skadron told Council he attended a CAST meeting in Grand Lake, which is a gorgeous location. Councilman Skadron said there is a lot of pine beetle devastation up there. Councilman Skadron said CAST heard from the Ski Area Association and from MTrip. 21. Councilman Skadron said at the RFTA board meeting, 2012 budget assumptions were discussed and the Board received an update on BRT, which is on schedule. 22. Councilman Frisch said he will be attending the Red Brick master planning meeting and will report back on that meeting. CONSENT CALENDAR Councilman Johnson moved to approve the consent calendar; seconded by Councilman Torre. The consent calendar is: 3 Regular Meeting Aspen City Council September 12, 2011 • • Minutes — August 22, 2011 • Resolution #59, 2011 - Contract for Roof Replacement — Marolt Ranch All in favor, motion carried. ORDINANCE #27, SERIES OF 2011— Code Amendment — Impact Fees Chris Bendon, community development department, told Council the city's fees are based on the number of bedrooms proposed. Bendon said there have been problems with that definition. The proposal is to go to a floor area basis for the fees; the fees are not changing, this is eliminating the argument of what a bedroom is. Councilman Skadron asked why there is a school impact fee when the school is a taxing district. Bendon said this fee has been in the code for 25 years; the city collects it for the school district as they have no way to collect it. Councilman Johnson moved to read ordinance #27, Series of 2011; seconded by Mayor Ireland. All in favor, motion carried. ORDINANCE NO. 27 (SERIES OF 2011) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, APPROVING AMENDMENTS TO THE FOLLOWING CHAPTERS OF THE CITY OF ASPEN LAND USE CODE: 26.610 AND 26.620 WHICH EXPLAIN THE COLLECTION OF IMPACT FEES AND SCHOOL LAND DEDICATION RESPECTFULLY Mayor Ireland moved to adopt Ordinance #27, Series of 2011, on first reading; seconded by Councilman Frisch. Councilman Johnson asked if staff has built in an inflator to increase these fees. John Worcester, city attorney, noted the law requires the fees be roughly proportional to the impact. The best way the city can do this is to look at the fees periodically and to hire a consultant to help with that. Roll call vote; Skadron, yes; Johnson, yes; Frisch, yes; Torre, yes; Mayor Ireland, yes. Motion carried. ORDINANCE #28, SERIES OF 2011— Lift One Lodge Final PUD Councilman Johnson recused himself as he lives within 300 feet of the project. Councilman Skadron moved to read Ordinance #28, Series of 2011; seconded by Councilman Frisch. All in favor, motion carried. ORDINANCE NO. 28 (SERIES OF 2011) 4 Regular Meeting Aspen City Council September 12, 2011 AN ORDINANCE OF THE CITY OF ASPEN CITY COUNCIL GRANTING FINAL PLANNED UNIT DEVELOPMENT APPROVAL, SUBDIVISION APPROVAL, REZONING APPROVAL, FINAL TIMESHARE APPROVAL, GROWTH MANAGEMENT APPROVALS, APPROVAL OF RIGHT -OF -WAY VACATIONS, APPROVAL OF ASSOCIATED LAND USE REVIEWS, AND AUTHORIZING ISSUANCE OF A DEVELOPMENT ORDER FOR A SITE SPECIFIC DEVELOPMENT PLAN FOR THE LIFT ONE LODGE SUBDIVISION/PLANNED UNIT DEVELOPMENT LOCATED ON PROPERTY COMMONLY KNOWN AS 233 GILBERT STREET, 710 SOUTH ASPEN STREET, 720 SOUTH ASPEN STREET, WILLOUGHBY PARK AND LIFT ONE PARK, CITY OF ASPEN, PITKIN COUNTY, COLORADO. Chris Bendon, community development department, listed all the reviews required and reminded Council the city granted conceptual approval in 2009. Second reading and public hearings have been scheduled for September 26 — a general overview of the project, where it's been and where it's going; October 11 — current proposal; October 24 — Staff recommendations; and November if more hearings are needed. Bendon told Council staff has initiated an analysis of fractional lodging projects. Bendon asked if Council is interested in a site visit. John Worcester, city attorney, requested that the appendix be part of this record. Councilman Skadron asked if the proposed size of the lodge rooms at 537 square feet is the result of a bonus. Bendon noted the application came in under a different land use code in 2006; there is a similar incentive in the current code and is a sliding scale. Councilman Skadron asked if the essential public facility is related to the historical society. Bendon said it is. Councilman Skadron asked why there is a special review for average lodge room size that is separate from the growth management review. Bendon said under the former code there was an incentive for rooms of 500 square feet, which could be expanded by 10% by going through an extra review. Bendon said staff and the applicant agreed to put everything into one review. Councilman Torre said he would like to have a site visit and look at the streets being vacated and what the public is being asked to give up and staking of the heights. Mayor Ireland said the steep grade of Aspen street is a problem. Mayor Ireland said important to him is whether this meets a need to create access to the community. Mayor Ireland said he would like data on time share utilization and data on unsold timeshare units. Mayor Ireland stated there is a limited amount of space that can handle development and that space should be used for things most needed by the community. Mayor Ireland said it is important that development be approved that is a place where people come and visit rather than speculate in real estate. Mayor Ireland said he would like an independent process for measuring utilization of space so the community will know how time shares function. Mayor Ireland said it seems the development market is about building speculative space versus building hotel rooms. Councilman Torre said one of his concerns is the future in this area. This application has been amended and scaled back. Councilman Torre said he would like to hear from the Ski Company about their plans for this side of the mountain and how it fits with this development and how this side of the mountain will be supported. Councilman Torre said he would like to know more about why the applicant is requesting 10 years vesting. 5 Regular Meeting Aspen City Council September 12, 2011 Mayor Ireland moved to adopt Ordinance #28, Series of 2011, on first reading; seconded by Councilman Frisch. Roll call vote; Skadron, yes; Torre, yes; Frisch, yes; Mayor Ireland, yes. Motion carried. ORDINANCE #29, SERIES OF 2011— Electric Fees Councilman Torre moved to read Ordinance #29, Series of 2011; seconded by Mayor Ireland. All in favor, motion carried. Councilman Johnson returned to Council table ORDINANCE #29 (Series of 2011) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, AMENDING TITLE 25, UTILITIES, OF THE MUNICIPAL CODE OF THE CITY OF ASPEN TO AMEND SECTION 25.04.040, ELECTRIC SERVICE RATES; AND TO ADD NEW SECTIONS 25.04.130 AND 25.16.100 BILLING ERRORS was read by the city clerk Dave Hornbacher, utility department, reminded Council in 2009, they decided to not have a rate adjustment given the economy. In 2010, the city contracted a rate study to look at the effectiveness of the implementation of tiered -rates and a 2011 adjustment. The study in 2011 looked at the cost of service and a series of rate alternatives. This ordinance is based on a cost of service model including a transition over 4 to 6 years. There are proposed adjustments to the tiers where the higher users will have increased energy rates. Mayor Ireland said the city cannot subsidize people's electricity and has to charge what it costs. Councilman Frisch said an issue is how long it will take to get up to full cost recovery. Hornbacher said there is a table explaining the rate adjustment for each class of service, residential, commercial — large and small and city facilities. Mayor Ireland moved to adopt Ordinance #29, Series of 2011, on first reading; seconded by Councilman Frisch. Councilman Skadron asked about energy conservation incentives and how the tier structure encourages that. Hornbacher said there are 4 tiers within residential which vary based on the size of service; a residential customer using a small amount of energy pays a smaller amount/unit of energy. The amount charged increases with the amount of energy used. Councilman Johnson asked if the rates should increase when the MEAN rates increase. John Worcester, city attorney, said the rates have to be reasonable to all consumers and the city could tie the rates to increases of MEAN to the city for their electricity. Roll call vote; Torre, yes; Johnson, yes; Skadron, yes; Frisch, yes; Mayor Ireland, yes. Motion carried. RESOLUTION #60, SERIES OF 2011— Temporary Use Theatre Aspen 6 Regular Meeting Aspen City Council September 12, 2011 Jessica Garrow, community development department, told Council Theatre Aspen has permission to erect a tent from mid -May to mid - September annually on the Rio Grande. Ms. Garrow said there were amendments to the plan this year to allow them to replace the tent and make minor site changes. Theatre Aspen has applied for a major SPA amendment to allow for a permanent lobby structure and to allow for the tent frame, stage and seating to remain up year round. This amendment is going to P &Z in October. Because of the timing and the requirement that the tent come down by mid - September, Theatre Aspen has requested a temporary use approval to allow the tent frame, stage and seating to remain up this winter. Staff recommends granting this temporary use request. It will have a visual impact and this will enable the staff and public to see what this will look like if the SPA amendment were approved. Ms. Garrow said this meets the criteria for temporary use. Ms. Garrow proposed two changes to the resolution; the date for the temporary use should be extended to May 15, 2012, rather than March 15 as it would be difficult to remove a structure in March; and an addition to provide periodic security check of the site to make sure the site is safe. Councilman Torre said it seems as if Council approved something and now they are being asked to extend those approvals to something else. Ms. Garrow reminded Council at a work session in January 2011, staff went over the lease agreements and the SPA amendments. Those amendments are just being processed; there has not been any change since the January work session. Councilman Skadron asked if this application honors the intent of Council's previous approvals. Ms. Garrow said there have been no land use approvals in 2011; there were changes to the lease and minor administrative amendments allowing Theatre Aspen to replace the canvas on the tent. Ms. Garrow said this request reflects what was discussed in a work session in January 2011. Councilman Skadron asked if Theatre Aspen is moving towards a permanent theatre structure. Emily Zack, representing Theatre Aspen, told Council they want to remain seasonal and this is an attempt to make seasonal arrangements work logistically. There is a lot of disruption and truck traffic at the site erecting and taking down the tent every year. Ms. Garrow said the parks department will provide changes as part of the SPA amendment and they have been working with Theatre Aspen. Councilman Skadron said he would like to know the history of Theatre Aspen; this seems like mission creep. Ms. Garrow said the theatre has had a presence in the park since 1989 originally in a circus tent. Since 1995 Theatre Aspen has been operating the same way, under an approved SPA agreement. Last year, Theatre Aspen received an amendment to the SPA to allow replacement of the tent and the entrance to the tent was flipped to ease impact on the trails. The size of the tent has not changed since 1995. Councilman Skadron said he would like to see the Rio Grande SPA. Councilman Johnson said he likes the idea of looking at this before approving it long term; the community may not want to see a skeleton throughout the winter. Councilman Johnson asked what is involved in taking the tent down and what the impacts to the park are. Ms. Garrow told Council staff wants to look at the skeleton to see if it meets the criteria of an SPA amendment and to see the impact on the park. Mayor Ireland opened the public hearing. David Kudish asked how much it costs to take down and put the tent up without the environmental costs. Emily Zack said it is about $50,000 /year. Kudish noted the skeleton at 7 Regular Meeting Aspen City Council September 12, 2011 Stage III was not attractive to neighbors and the public. Kudish said people come from out of town to go to the Theatre Aspen, which is very professional, and this helps increase the taxes. Junee Kirk said this amendment has not gone to P &Z and has not been viewed by the neighbors. Ms. Kirk said there will be visual impact on neighbors from above the site. Mayor Ireland closed the public hearing. Mayor Ireland said this is a request for a temporary use so that people can see what the structure would look like throughout the winter. Mayor Ireland asked staff about the temporary steel structure over the James E. Moore pool and what the experience with that was. Mayor Ireland said the tent is not staying up, just the framework. Councilman Torre said he feels like the approvals Council has granted to help Theatre Aspen has ended up costing them more money and is a greater entitlement than Council anticipated. Councilman Torre said this feels like the applicants are asking for approval to do something but first they want to do it. This seems like a test scenario. Councilman Torre asked if there is a more discrete way to store the tent on site than is being proposed. Councilman Frisch stated he supports trying to come up with a different solution; however, he also supports giving this a one year trial. Councilman Johnson stated that P &Z will see this at the SPA amendment. Councilman Johnson said this is a test and he can support this test. Mayor Ireland said he will support this as the erecting and taking it down costs will not have to be spent. Councilman Johnson moved to approve Resolution #60, Series of 2011, amending the date to May 15 and adding a (6) that the applicant will provide reasonable security checks; seconded by Mayor Ireland. Councilman Skadron stated he would like other options explored. It is Council's responsibility to consider the community comprehensively. Councilman Skadron said he feels there is a danger in allowing incremental step process and that this lack the appropriate caution. Councilmembers Frisch and Johnson and Mayor Ireland in favor; Councilmembers Torre and Skadron opposed. Motion carried. ORDINANCE #25, SERIES OF 2011— Aspen Chance Subdivision Amendment Amy Guthrie, community development department, told Council the Aspen Chance subdivision is located off Ute Avenue. This is a 7 parcel subdivision; there were no affordable housing requirements. The approval allowed up to 3 lots to have caretaker units. This parcel has a category 3 unit which was occupied for some time. The property owner is requesting to pay cash -in -lieu fee to be allowed to remove the unit from the house. Ms. Guthrie said this is a one bedroom unit accessed through the kitchen of the main house. The kitchen for the caretaker unit will have to be removed so that it does not become a separate unit. Mayor Ireland opened the public hearing. There were no comments. Mayor Ireland closed the public hearing. 8 Regular Meeting Aspen City Council September 12, 2011 Mayor Ireland moved to approve Ordinance #25, Series of 2011, on second reading; seconded by Councilman Frisch. Roll call vote; Torre, yes; Skadron, yes; Frisch, yes; Johnson, yes; Mayor Ireland, yes. Motion carried. ORDINANCE #19, SERIES OF 2011— Aspen Walk — 404 Park Avenue Final PUD Sara Adams, community development department, told Council since the last public hearing, the applicant has divided the free market into two buildings so there are 3 buildings on site. The roof top deck was eliminated. There is a shared area between the two free market buildings. The number of free market units has been reduced from 14 to 12 and the affordable housing units have been reduced from 17 to 14; the net livable of the free market was reduced by 2500 square feet. The FAR meets the underlying zone district. Council and staff voiced concerns about the livability of the affordable units. Ms. Adams told Council there are six category 3 units and eight category 4 units proposed. The applicants combined units in order to have all the affordable units exceed the minimum size requirement. The project meets the multi - family replacement requirements. All the affordable units have balconies or private patios. The number of parking spaces in the garage has been reduced and that space has been turned into more storage for the affordable housing units. The applicants propose to mitigate for the demolition of 414 Park through the affordable housing credit program by buying credits equal to 17.5 FTEs. Council has questions about the displaced residents from 414 Park Avenue. APCHA is offering two options, a rental option at Aspen Country Inn or Truscott or an ownership option in the appropriate category. Ms. Adams noted there were concerns about the structure of HOA and the applicants and Aspen Walk LLC have been working on the HOA framework. Ms. Adams gave Council exhibit Z -1 which is about the legal structure of the HOA for the Aspen Walk project. The applicant is requesting 5 year vesting. Ms. Adams said with the changes in the affordable housing units and changes to the architecture, breaking up the free market building, staff supports the project and finds that the project meets the criteria in the code as well as the underlying RMF zone district dimensions. Councilman Torre asked why staff supports 5 year vesting request. Ms. Adams said there is precedent for that and for the extent of the project, 5 years is appropriate. Stan Clauson, representing the applicant, said the project has been divided into 3 buildings, the number of units has been reduced, the roof top deck has been eliminated, the livability of the affordable units has been increased, and the affordable units all have balconies or patios. Clauson said the FAR is now 1.23:1 and the total square footage is 40,194 reduced from 40,967 square feet. There is a commitment from APCHA to the existing tenants. Clauson said the code requires 14 units as replacement for the multi - family units. Clauson noted the tandem parking spaces have been eliminated and that space turned into storage. Clauson told Council things not changed are that they meet 100% of the mitigation requirements; the affordable housing units are category 3 and 4 and 17.5 FTE replacements will be provided off site. There is 1 three- bedroom category 4 unit, 9 two - bedroom units, 7 of which are category 4, and 4 studios all category 3. This totals 25 bedrooms. There are 8 free markets units of 2500 square feet and 4 units of 2200 square feet. There are 11 three - bedroom and 1 two- bedroom units. Clauson showed the site plan with the split between the two front buildings, which helps 9 • Regular Meeting Aspen City Council September 12, 2011 to reduce the apparent scale of the buildings. Clauson showed a garden level view; showed levels 2 and 3; showed the garage plan with 26 free market spaces of which 2 are dedicated to handicap and guest parking and 21 affordable housing spaces, which is 1.5 space /unit with handicap and guest parking. Clauson showed the additional storage created by eliminating the tandem parking. On the roof top, there is no deck and the elevator extends 4' above the roof to meet code. The slides showed the free market elevations, the affordable housing elevation, the areas required for a height variance. Clauson showed the views to the south and to the west. Clauson showed the plan with the patio and deck. Clauson showed an interior mock up of an affordable housing unit, bike storage area, over the parking storage. Clauson said the Tailings to the ridge point is 29', Midland Park has a variety of heights up to 33'. Clauson said the designers tried to be sensitive to the Midland Park open space with dense landscaping to screen the open space. The exhaust from the garage is vented up to the roof; the stairwells have opaque glazing. The commitment to existing tenants, there are 6 qualified households for relocation who would have the opportunity to rent or purchase. The applicants and APCHA have been working on the HOA agreements to address the concern that the free market units not unduly burden the affordable housing units. Clauson showed the guidelines principles that can also be a model for future project. Molly Healy told Council her firm specializes in HOA law and represents other communities in Colorado. Ms. Healy said she worked on providing a legal structure for a cohesive community and to protect the owners of the affordable housing units as well as the affordable housing stock. This HOA is 26 units and 3 HOAs does not make sense for a project of that size. Ms. Healy said one association governed by one board of directors makes sense. To protect the affordable housing, two districts will be created —1 will be the deed restricted units. The building and surrounding landscape and walking paths will be limited common elements to the association. Ms. Healy said there would be a committee for district 1 to handle repair and replacement. The budget would be sent to a board for approval. The free market units would be district 2, which would have the same framework. Ms. Healy noted the garage will be a general common element, handled by the board of directors. The owners of the deed restricted units will only pay a proportional share of the garage. Ms. Healy said if upgrades are made, the free market owners would be solely responsible for those costs unless 67% of the deed restricted owners voted for it and APCHA consented. Ms. Healy said this is protecting the fiscal aspect of the deed restricted owners. Ms. Healy said the creation of a reserve study and plan will be required. Ms. Healy said APCHA is working on how the percentage will be determined; one is market share percentage of value and the other is percentage of square footage. Councilman Frisch said this seems a new approach where APCHA will get involved in the management of HOAs. Tom McCabe, housing department, said there have been issues in the past with mixed free market and affordable projects. McCabe said the goal is to make sure there is more protection for the owners of the deed restricted units. McCabe said this will require, not just recommend, that affordable housing projects do capital reserve studies. McCabe said the aim is to make the governance of affordable project more rigorous and dependable so there is money available when capital projects come up. Councilman Frisch asked if there is a way to 10 Regular Meeting Aspen City Council September 12, 2011 write the declarations leaving APCHA out of the mix. McCabe said if APCHA does not have oversight built in, the HOAs are not required to provide information. Ms. Healy said the intention is to build in a check rather than a hammer. Councilman Torre said he would like to see the percentage split and other details to be worked out before this is approved. Councilman Torre said he would like an example of capital improvements and who pays for what worked out. Worcester suggested a draft be circulated. Councilman Johnson said his concern is about getting too big brother with affordable housing HOAs and that APCHA could override what they homeowners want. Ms. Healy said she would only recommend that APCHA be able to consent to amendments that would affect the future and preservation of affordable housing stock, like deferred maintenance or capital reserve budgets. Tom Smith, APCHA attorney, suggested an appeal process be built in if there is a disagreement between the HOA and APCHA. Mayor Ireland asked what the date of transference by the declarant will be. Ms. Healy answered that is a statutory provision that when 75% of the units in the association have been conveyed to unit owners or two years after the last date a unit has been constructed. Mayor Ireland asked if the garage is the only significant general common election. Ms. Healy said the way this will be drafted, it is the only GCE. Clauson presented the model rotating around the proposed building, showing it from Midland Park, from other sides, looking down on it. Clauson pointed out the stepping back on the 2 " and 3` floors to reduce the apparent height and bulk. Clauson told Council the applicants have worked to address the concerns of the adjacent neighbors; they have addressed the bankruptcy court issues. Councilman Torre asked what this project brings as a benefit to the housing program. Councilman Torre said there are 25 units currently on 3 lots, some of which are deed restricted. McCabe said this meets 100% mitigation. McCabe said the existing buildings are old and beat up. McCabe said one of his first tasks was to try and replace the 414 property and this public /private partnership is beneficial and does not cost the community out of pocket. Twelve employees will be housed on site and there will be housing for 17.5 FTEs off site. There is housing for more people and in better condition. McCabe said this will be a change for the neighborhood. The project is replacing rental units with owner units, which is a buy -in to the community. Councilman Torre asked about the sequencing of the project and tearing down the units with no project going forward. Councilman Torre asked if there are assurances for the project from demolition to completion. Ms. Adams pointed out the ordinance contains financial assurances. Bendon reminded Council the city requires a developer to demonstrate they have the capability to complete a project and requires security to make the site safe if the developer walks away. Smith noted the joint development agreement states when the property is conveyed, the housing office gets a letter of credit to insure completion of the affordable housing portion. Councilman Johnson asked how the underground garage will work. Clauson showed the slide and noted entry, ramps, two levels, the separate elevator core to the owner's access to either free market or affordable units, the storage rack above the parking spaces. Councilman Johnson 11 Regular Meeting Aspen City Council September 12, 2011 asked why there is a security gate. Clauson said that is not an essential element but might ensure there is not illicit parking between the sides. Councilman Skadron brought up neighborhood gentrification and the evolving character of neighborhoods. Councilman Skadron said two of the ways neighborhood character is expressed is built environment as well as the social dynamic, which is people in the neighborhood providing flavor for the area. Councilman Skadron said he wants whatever is adopted for this project to protect the flavor and attitude of the social dynamic. Councilman Skadron asked if this project achieves that protection. McCabe said over 40 years the funkiness and interaction between neighbors has decreased. McCabe said free market results in gentrification and due to land costs, build out to the maximum allowed resulting in large changes; modest buildings are replaced by much larger buildings and the affordable housing incorporated makes the building even larger. Councilman Skadron asked how Council can support a project that drives away what they are trying to maintain. McCabe said the affordable housing on site makes the project denser. Clauson said there needs to be improvement and renewal. Clauson pointed out the community is getting more affordable housing units and square footage than currently exists. Clauson said the existing buildings are not long for life and are not of high quality construction and it is not possible to restore the property without private partnerships. Councilman Frisch said any alternative would be this dense and this height and may or may not have affordable housing. Councilman Frisch said this neighborhood is full of messy vitality with a definite feel. Councilman Frisch asked if there is an option for existing tenants that are within this neighborhood and not out at the Aspen Country Inn. McCabe said 414 is category 1 as are most of the tenants and they may not qualify for this project. Councilman Frisch said there are 3 separate buildings and making them different but complementary may help with the perceived mass. Bendon said that would be a good idea but to stay within the palette and materials and make this different. Councilman Frisch said staged or apparent staged buildings may fit into the neighborhood better. Councilman Torre agreed different architecture would help break up the mass. Councilman Torre said the site lines through the buildings did not materialize; it is just a sliver of light and not a way to see through the buildings. Councilman Torre asked if the ability to go to construction is pre - sales, a certain amount of units sold. Tom Salmen said it is. Councilman Torre asked if there are areas for recycling, composting and trash. Ms. Adams said projects are sent to all departments to make sure all aspects meet building codes. Mayor Ireland opened the public hearing. Cindy Houben, Midland Park Place, asked if the 17.5 FTEs are required to be within the core. Ms. Houben asked if the landscape and lighting plans are complete or are not required until issuance of building permit. Ms. Houben suggested no demolition of the existing projects until complete building permit submittal. Ms. Houben said the project has a more urban feel than what is currently exists in the neighborhood. Projects that have been successful in the neighborhood have areas of congregation and also a sense of individual privacy. Ms. Houben agreed the project has come a long way in terms of scale and mass. Ms. Houben said there 12 Regular Meeting Aspen City Council September 12, 2011 should be more usable outside space in the project. Ms. Houben said these units are category 3 and 4 and there should be category 2 supplied. Jackie Kasabach stated she appreciates the changes the developer has made, particularly in response to the neighborhood concerns. Ms. Kasabach said this is an enormously dense project; there is little light between the buildings and little outdoor space. Ms. Kasabach noted there are 2 parking space /free market unit and only 1.5 /unit for the affordable housing and the free market owners will probably not use their parking spaces as often. Pamela Cunningham, Midland Park Place, said she is pleased the roof top deck is gone and that the building is broken up. Ms. Cunningham said the HOA agreement is a very important element of this project. Mary Ellen Sheridan, 404 Park Avenue property manager, stated that building needs to come down soon. Ms. Sheridan said this density seems acceptable. In town affordable housing is needed. Mayor Ireland closed the public hearing. Councilman Frisch said the application has come a long way; there are 3 buildings and he would like to see the buildings differentiated more with styling and cosmetics to make it look less monolithic. Councilman Frisch stated he is a strong proponent of getting to the guiding principles to protect the affordable housing stock. Councilman Frisch said he cannot support this without the details on governance and looking at a way for more differentiation between the structures. Councilman Torre commended the applicant for the work and for listening to the concerns of the neighbors. Councilman Torre said he would like more tweaks to the project before he can vote on it. Councilman Torre stated the program proposed does not fit into this neighborhood. Councilman Torre said he does not understand how this project is for the betterment of the neighborhood or for the betterment of Aspen; it adds to the slow deterioration of Aspen that people rely on. Councilman Torre said this project is not compatible with the neighborhood. Councilman Torre said he would like to see some changes to the architecture. Councilman Johnson said livability of the project has been an issue for him. Councilman Johnson acknowledged this is a public /private partnership and this is a trade off to get new affordable housing units. Councilman Johnson said the project has not quite embraced livability on either side of the project. Councilman Johnson said issues that have not been addressed, driving into the garage, trash directly above the meeting places, free market parking travel through a security gate which seems to be an attempt at segregation. Councilman Johnson suggested there could be more parking for the affordable housing units. Councilman Johnson said he likes the direction of the HOA documents. Councilman Johnson said he is not ready to support this project at this meeting. Councilman Skadron concurred with the previous comments. Councilman Skadron said the project is enormously dense and if that feeling of denseness could be addressed, that would help. Mayor Ireland said he will not support this without seeing the lighting and landscaping plan and knowing where the 17.5 units will be located. Mayor Ireland said the ordinance is not in sync with what has been presented especially with the HOA documents. Mayor Ireland said population is declining and aging and gentrification adds to population loss. Mayor Ireland said the community will continue to see what remains of free market residential full time housing 13 Regular Meeting Aspen City Council September 12, 2011 continue to be converted into something else. Mayor Ireland said work still needs to be done before Council will vote on this, including the HOA documents and displaced tenants. Clauson stated they believe the units are very livable; there is provision for parking, storage that does not exist on the current site. The landscaping and lighting plans have been provided. The housing for 17.5 FTEs will be available in the metro area. Clauson pointed out the Molly Gibson park is very close to this site. Clauson said this is a project that the community can be proud of. Clauson pointed out this went through P &Z review and met with their approval. Mayor Ireland moved to continue Ordinance #19, Series of 2011, to October 24, 2011; seconded by Councilman Torre. All in favor, motion carried. ORDINANCE #24, SERIES OF 2011— Code Amendment Single Use Bags Ashley Cantrell, environmental health department, said there have been changes since first reading. Staff has interviewed almost every town in the US that has done either fee or ban with bags. Ms. Cantrell said lessons learned are do not rush, leave time to implement the program correctly; bag giveaways are very popular; begin outreach immediately; have information at grocery stores about the program and who to contact. Ms. Cantrell told Council since first reading they have met with representatives of City Market. Basalt is having second reading later in September and Carbondale is having second reading tomorrow. Ms. Cantrell said the fee of 20 cents/bag applied to both paper and plastic. The effective date has been changed to May 1st. The amount to be kept by the grocers has been changed to $1000 /month for the first year and $100 /month thereafter. Ms. Cantrell said staff asked the grocers what their actual costs would be and they said staff training, computer reprogramming, and customer education. Ms. Cantrell said staff reviewed which of those costs would be appropriately funded out of this 20 cent charge and feel $1000 /month for the first year will be adequate. The effective date was the number 1 concern of the grocers and they felt November 15 was too soon and too close to the holiday tourist season. Staff is recommending May 1St. Ms. Cantrell told Council after her research with other cities, she feels confident 20 cents/bag meets the costs of disposal of single use bags; bags will go into the landfill, get recycled or be litter and all those ends have costs for the city and the taxpayer. The fee will make users be more aware of the true costs of bags. Ms. Cantrell reminded Council their concern was that there would not be enough reduction in bags and there would be a windfall in the account. Ms. Cantrell presented Council with a budget and told Council the numbers of bags grocers use is proprietary and staff does not know how many bags are being used. Ms. Cantrell said using mid- range estimates and money going to the grocers, the final revenue will be $77,000 to $240,000 in the first year. The initial costs are bare bones $35,000 and using more revenue for more outreach will make it a more successful program. Ms. Cantrell said funds will be used for waste reduction programs as well. Ms. Cantrell said this ordinance framework is simple so that adjustments can be made in the future. Ms. Cantrell said staff expects to see bag reduction of 50% because of this ordinance. If that percentage is not 14 Regular Meeting Aspen City Council September 12, 2011 reached within 6 months, staff will recommend an increase in outreach or to re- evaluate the ordinance to see what is not working. Mayor Ireland opened the public hearing. Karinjo DeVore stated she strongly endorses the ordinance and would prefer to see plastic bags banned. Ms. DeVore said Aspen has been a leader in community sustainability and should continue with that leadership role. Junee Kirk thanked Council for bringing this up and staff for working with the grocers. Ms. Kirk stated she is very much in favor of this and would like to work toward banning plastic bags. Aspen should be in the forefront of environmental issues. Laura Maker said voluntary programs have not shown to have much impact on the bags issue. A 20 cent fee seems to be a reasonable deterrent and also recognizes this is a tourist community and this gives visitors a chance to become educated. Ms. Maker said it is important to take action on this issue. Mayor Ireland closed the public hearing. Mayor Ireland moved to adopt Ordinance #24, Series of 2011, on second reading; seconded by Councilman Torre. Councilman Torre asked about returning bags and receiving credit and could that be incorporated in the ordinance. Councilman Torre said he does not see a nexus between this ordinance and banning plastic and paper and would like firmer deadlines for that possibility and when are other retail outlets going to be added to the plastic bag ban. Councilman Torre said not adopting a bag ban has taken Aspen out of the leadership role. Councilman Torre suggested taking two more weeks and try and strengthen the ordinance with suggested ban dates and widening the net of businesses distributing single use bags. Councilman Skadron noted the fee option was to help achieve a valley -wide objective of reducing plastic bags. Councilman Skadron said there is an issue of treating plastic and paper equally. Councilman Skadron said the city's goals are to reduce waste, to educate the community about consumption and he will support the option that satisfies those objectives. Councilman Skadron said he is more enthusiastic about the ban than the fee. Ms. Cantrell pointed out a ban option is on plastics, paper and plastics, a fee on paper and a ban on plastics and Council needs to decide which one they are most interested in. The 3 options are different and result in different costs and impacts to the grocers. Councilman Skadron said people started using plastic bags; they can stop using plastic bags. Councilman Frisch said he has not favored the fee on bags and would rather ban plastic bags and do it now. Councilman Frisch said talking about fees is not leading forward and if Aspen wants to be serious about this issue, they should ban plastic bags. Councilman Johnson said he hopes in 1 or 2 years, this will be a non - issue. Councilman Johnson stated he does not support a ban at this time, mostly because of the tourist economy and the need to educate that base. Councilman Johnson said he feels the fee provides money to go toward education and help to reduce waste and to bolster the composting program. Councilman Johnson stated he supports the ordinance and can support the $1000 /month for grocers and in -store educational efforts. Councilman Johnson said the grocers have to be more involved to help with tracking of bag usage. 15 Regular Meeting Aspen City Council September 12, 2011 Mayor Ireland said having a fee at the grocery store creates a conversation around bags that a ban will not. Mayor Ireland said Aspen made a commitment to some other down valley cities that they would initiate a bag fee and cooperate with other jurisdictions. Mayor Ireland said Council made a conscientious decision to start with a fee. There should be a measurement that if bags are not reduced by X% then a ban is instituted. Councilman Frisch said he would rather have the ordinance revised to ban bags to reach the goal of having as few bags as possible in the community. Councilman Johnson moved to continue Ordinance #24, Series of 2011 to October 11 seconded by Mayor Ireland. All in favor, motion carried. Mayor Ireland moved to adjourn at 10:55 PM; seconded by Councilman Johnson. All in favor, motion carried. "iced K n Koch City Clerk 16