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HomeMy WebLinkAboutagenda.council.regular.202011101 AGENDA CITY COUNCIL REGULAR MEETING November 10, 2020 5:00 PM, City Council Chambers 130 S Galena Street, Aspen I.CALL TO ORDER II.ROLL CALL III.SCHEDULED PUBLIC APPEARANCES IV.CITIZENS COMMENTS & PETITIONS (Time for any citizen to address Council on issues NOT scheduled for a public hearing. Please limit your comments to 3 minutes) City of Aspen invites you to join this Webex meeting. Meeting number (access code): 126 678 2229 Meeting password: 81611 Tuesday, November 10, 2020 4:30 pm | (UTC-06:00) Mountain Time (US & Canada) | 5 hrs Join meeting Tap to join from a mobile device (attendees only) +1-720-650-7664,,1266782229## United States Toll (Denver) +1-469-210-7159,,1266782229## United States Toll (Dallas) Join by phone +1-720-650-7664 United States Toll (Denver) +1-469-210-7159 United States Toll (Dallas) V.SPECIAL ORDERS OF THE DAY a) Councilmembers' and Mayor's Comments b) Agenda Amendments c) City Manager's Comments d) Board Reports VI.CONSENT CALENDAR (These matters may be adopted together by a single motion) VI.A.Resolution #095, Series of 2020 - City of Aspen Financial Policies VI.B.Resolution #098, Series of 2020 - Health and Welfare Contract 1 2 VI.C.Open Space and Trails Board Appointment VI.D.Draft Minutes of October 27th, 2020 VII.NOTICE OF CALL-UP VIII.FIRST READING OF ORDINANCES VIII.A.Ordinance #17, Series of 2020 - 2021 Electric and Water Rates and Fees VIII.B.Ordinance #19, Series of 2020 - 2020 City of Aspen Fall Supplemental Budget Ordinance VIII.C.Ordinance #20, Series of 2020 - 2021 Fee Ordinance IX.PUBLIC HEARINGS X.ACTION ITEMS X.A.Resolution #097, Series of 2020 - Extension of Vested Rights, Aspen Alps Condominiums 300 Building X.B.Resolution #099, Series of 2020 - School District IGA EXECUTIVE SESSION Pursuant to C.R.S.4-6-402 (4)(b) Conferences with an attorney for the local public body for the purposes of receiving legal advice on specific legal questions. (4)(e) Determining positions relative to matters that may be subject to negotiations; developing strategy for negotiations; and instructing negotiators. The specific items of discussion are: The Thomas M. Marshall Revocable Trust and The Ellen M. Marshall Revocable Trust v. The City of Aspen, et al., Pitkin County District Court Case No.: 2016 CV 30119. Lee Mulcahy, Sandy Mulcahy, Shawn Cox, Amanda Tucker, Tiffany Chin, Ned Carter, v. City of Aspen, et al., Pitkin County District Court Case No.: 2020 CV 15. Wheeler Opera House Masonry Restoration Project/ACI Contract XI.ADJOURNMENT 2 RESOLUTION NO. 95 (SERIES OF 2020) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO APPROVING FINANCIAL AND INVESTMENT POLICIES FOR THE CITY OF ASPEN. WHEREAS, the financial and investment policies represent the best practices of governmental financial management and establishment of guidelines for financial planning, expenditures and revenues, and WHEREAS, the financial and investment policies help to ensure the City maintain sufficient reserves, maximize the effectiveness of its expenditures and preserve the safety of the City' s public funds, and WHEREAS, the Governmental Financial Officers Association (GFOA) recommends establishment of formal financial policies to guide government decision making, develop approach to achieve goals, develop a budget consistent with achieving those goals, evaluate performances and make adjustments, NOW THEREFORE, be it resolved by City Council, that the City of Aspen hereby adopts the attached financial and investment policies, effective for the year beginning January 1, 2021, adopted this 10th day of November 2020. _______________________________ Torre, Mayor I, Nicole Henning, duly appointed and acting City Clerk of the City of Aspen, Colorado, do hereby certify that the foregoing is a true and accurate copy of the Resolution adopted by the City Council at its meeting held on the 10th day of November 2020. _______________________________ Nicole Henning, City Clerk 3 \ MEMORANDUM TO: City Council FROM: Pete Strecker, Finance Director MEETING DATE: November 10, 2020 RE: Adoption of the City’s Investment Policies Request of Council: Staff is requesting adoption of the City’s Investment Policies, including adjustments to the City’s financial policies to reflect changes adopted in the State’s regulations for legal investment of public funds (within sections 24-75-601 through 605, C.R.S.). Previous Actions: Council was briefed on proposed changes to the City’s Investment Policies on July 7, 2020. Additionally, a copy of the proposed policies was incorporated into the 2021 Proposed Budget publication distributed October 2020. Summary and Background: Periodically, there are changes to the Colorado Revised Statutes regarding the allowable types of investments that may be held by state and local governments. The City has adopted changes to mirror the statute language to remain conservative in its investment strategy and to protect the public’s money, even though there is an allowance for home rule entities to expand their charters to allow for more flexibility (and possibly risk) within its portfolio. During the 2019 legislative session, there were changes that were adopted to section 24-75- 601.1 where statute outlines allowable investments for public funds. This is where the bulk of revisions occurred and can be outlined by the following:  Clean-up of naming such as “US Treasury Bills and Notes” was simplified to “US Treasury Securities” and the addition of acronyms for other federal offerings.  Added two specific investment options of “Tennessee Valley Authority” and “World Bank”  Expanded options to invest in any entities created or authorized by legislation enacted in Congress provided they are subject to control by the federal government  Clean-up to add specificity to denote “General obligation and revenue obligations” versus the broader term of “bonds” around the allowance to hold bonds for any state, District of Columbia, US Territory or subdivisions  Expanded allowances to invest in Colorado entities’ securities with credit ratings at “A-“ or higher (was “A” or higher previously)  Removed $250M capital and surplus requirement for investments in banker’s acceptance (like a post-dated check backed by bank) as long as the bank is still rated at least A1, P1 or F1 by at least two nationally recognized statistical rating agencies.  Repurchase Agreements are limited to a term of five years unless a longer period is approved by City Council. 4  Money Market Fund can no longer be invested in if the fund has less than $1 billion in assets.  Removes the prohibition to invest in bank securities when the bank does not have a net worth less than $250 million but preserves the requirement that the bank must be rated at least AA- or Aa3 by at least two nationally recognized statistical rating agencies.  Removes certain criteria around securities lending agreements such as the additional threshold of 105% of value for corporate securities and instead requires 102% as collateral similar to other non-corporate lending agreements.  Adds a maximum exposure in banker’s acceptances, commercial paper and corporate or bank securities to no greater than 50% of the portfolio; and no more than 5% of the portfolio can be held by any one issuer.  Prohibits the purchase of any subordinate debt. Recommendations: Staff recommends approval of the resolution adopting the City’s updated Investment Policies. City Manager Comments: 5                   Financial and  Investment Policies    Adopted: November 10, 2020              6 2  FINANCIAL AND INVESTMENT POLICIES            Table of Contents            FINANCIAL POLICIES .............................................................................................................. 3  INTRODUCTION ................................................................................................................... 3  FINANCIAL GOALS ............................................................................................................... 3  FINANCIAL REPORTING AND AUDITING ........................................................................... 3  BUDGET POLICIES .................................................................................................................. 4  BUDGET OVERVIEW ............................................................................................................ 4  BUDGET PHILOSOPHY ........................................................................................................ 4  BALANCED BUDGET ............................................................................................................ 5  BUDGET ADOPTION ............................................................................................................ 6  AMENDMENTS AFTER ADOPTION ..................................................................................... 7  ADMINISTRATION OF BUDGET .......................................................................................... 8  INDEPENDENT AUDIT .......................................................................................................... 8  ASSETS ................................................................................................................................. 8  EXPENDITURE POLICIES ..................................................................................................... 10  EXPENDIURE OVERVIEW ................................................................................................. 10  PAYMENTS AND OBLIGATIONS PROHIBITED ................................................................. 10  DEBT MANAGEMENT POLICY ........................................................................................... 10  INTERFUND ADVANCES (INTERFUND LOANS) .............................................................. 13  FUND BALANCES AND OPERATING RESERVES ............................................................ 13  CARRYFORWARD SAVINGS ............................................................................................. 15  REVENUE POLICIES .............................................................................................................. 16  INVESTMENT POLICIES ........................................................................................................ 17             7 3  FINANCIAL AND INVESTMENT POLICIES          INTRODUCTION   The  City  of  Aspen  (“City”)  is  a Colorado  home  rule  municipality  operating  under  its  City  Charter  (“Charter”).  The City functions under the direction of a City Manager (“Manager”) who is appointed by  a Mayor and four‐member City Council (“Council”).  The State Constitution and the City Charter provide  the basic legal requirements and timelines for policies, while Council approves goals, ordinances and  resolutions that provide more specific direction that responds to the needs of the City.    The City of Aspen Staff (“Staff”) has an important responsibility to carefully account for public funds, to  manage municipal finances wisely and to plan and provide for the adequate funding of services desired  by the public and as required by laws, rules or regulations, including the provision and maintenance of  public facilities and improvements.  The financial goals and policies set forth in this document are  intended to establish guidelines for the continued financial strength and stability of the City.    FINANCIAL GOALS   Financial goals are broad, timeless statements of the financial management the City seeks to maintain.   A fiscal policy that is adopted, adhered to and regularly reviewed is recognized as the cornerstone of  sound financial management.  The financial goals for the City of Aspen are:     To promote cooperation and coordination within the City in the delivery of services.   To provide full value for each tax dollar by delivering quality services efficiently and on a cost‐ effective basis.   To preserve quality of life by providing and maintaining adequate financial resources and capital  assets necessary to sustain the desired level of municipal services and meet long‐term needs.     To respond to changes in the economy, the priorities of governmental and non‐governmental  organizations and other changes that may affect financial well‐being.   To minimize financial risk in providing services and maintain a strong credit rating in the financial  community.   To annually prepare a budget, submit it to Council for approval and publicly issue a budget  document.   To identify costs and funding sources before recommending approval of capital and operating  budgets.   To view the budget as a dynamic rather than static plan requiring periodic adjustments as  circumstances change.      FINANCIAL REPORTING AND AUDITING   FINANCIAL POLICIES 8 4  FINANCIAL AND INVESTMENT POLICIES  The City will establish and maintain a high standard of accounting practices.  Accounting standards will  conform  to  Generally  Accepted  Accounting  Principles  (“GAAP”)  as outlined by the Governmental  Accounting Standards Board (“GASB”).  Accounting standards will reflect Best Practices recommended  by the Government Finance Officers Association (“GFOA”).    After each fiscal year, a comprehensive annual financial report will be prepared for the City and a  certified public accounting firm will conduct an audit of the City’s records.  The comprehensive annual  financial  report  will  include  an  independent  audit  opinion  regarding  presentation  of  the  financial  statements, taken as a whole, in conformity with accounting principles generally accepted in the United  States.  This report shall be made available to Council, staff, bond‐rating agencies and the general public.   The accounting firm will also issue a communication to City Council regarding the important observations  arising from the audit.    The City will complete periodic reports as needed and requested by the City Manager and Council, which  may include monthly revenue and expenditure reports, quarterly forecast reports, sales tax reports and  an annual budget report.    Multi‐year capital improvement projects shall be reported on a multi‐year basis, comparing original  budgets, amendments to the budget and all costs over the life of the project. In the case of housing  projects, the original anticipated subsidy and changes to the subsidy over the life of the project shall also  be tracked and reported.         BUDGET OVERVIEW   The preparation and adoption of the annual budget is an important exercise for the entire organization.   Sound financial practice and the desire to maintain a strong credit rating dictate that the budgets be  balanced, constantly monitored and responsive to changes.  The process encompasses an extended  period of planning, review, forecasting and priority setting.  The City’s annual budget is a comprehensive  fiscal plan which spells out how services will be provided and community improvements will be achieved.   Upon its adoption by Council, it becomes a controlling mechanism by which to measure the resources  receipted and expenditures made to meet approved objectives.    The annual budget is a plan which provides the Council and City Manager with the financial information  necessary for the allocation of re sources to accomplish the goals and objectives of the City.  The provision  of  municipal  services  is  accomplished  through  the  budget.    The budget,  along  with  the  annual  appropriation ordinances, provides the basis for the control of expenditures and sets the financial  guidelines for the City.  The basic legal requirements and budget process are defined by the State  Constitution and the City Charter.  Council approves the budget objectives.    BUDGET PHILOSOPHY   The City is committed to developing a sound financial plan.  The City provides a wide variety of services  to the residents of the community, and it is the responsibility of Council to adopt a budget and manage  the available resources to best meet the service needs for the overall good of the community.  To achieve  this, the City:  BUDGET POLICIES 9 5  FINANCIAL AND INVESTMENT POLICIES     Utilizes conservative growth and revenue forecasts;   Prepares multi‐year plans for operations and capital improvements;   Establishes budgets for all Funds based on Council approved budget assumptions;   Appropriates the budget in accordance with the City Charter and State Constitution; and   Develops a budget that provides service levels which reflect the needs of the community.    The City manages a bottom line budget.  Funds and Departments are required to allocate resources and  manage operations to achieve their core mission within the funding level provided. Changes in service  level requirements mandated by law, directed by Council or influenced by other factors (changes in  technology, annexations, reorganizations of Departments, etc.) provide a basis for changes in base level  funding. Increases in funding are requested as supplemental or new program appropriation requests. If  a Fund or Department experiences a decrease in needs, resources can be reallocated within the City as  needed.    BALANCED BUDGET   Fiscal Year    The fiscal year of the City shall begin on the first day of January and end on the last day of December.     Submission of Budget and Budget Message     The City Manager, prior to the beginning of each fiscal year, shall submit to Council the budget for said  ensuing fiscal year and an accompanying message.     The City Manager's message shall explain the budget both in fiscal terms and in terms of the work  programs.  It shall outline the proposed Financial Policies of the City for the ensuing fiscal year, describe  the important features of the budget, indicate any major changes from the current year in Financial  Policies, expenditures and revenues, together with the reasons for such changes, summarize the City's  debt position and include such other material as the City Manager deems desirable or which the Council  may require.     Budget Content     The budget shall provide a complete financial plan of all Funds for the ensuing fiscal year and, except as  required by law or the Charter, shall be in such form as the City Manager deems desirable or Council  may require.  In organizing the budget, the City Manager shall utilize the most feasible combination of  expenditure classification by Fund, Department, Program and Object.  It shall begin with a clear general  summary of its contents and shall be so arranged as to show comparative  figures  for  actual  and  estimated revenue and expenditures of the preceding fiscal year.  It shall indicate in separate sections:    Anticipated revenues classified as amounts to be received from taxes and fees and miscellaneous  revenues;    Proposed  expenditures  for  current  operations  during  the  ensuing  fiscal  year,  detailed  by  Departments and Funds in terms of their respective programs and the method of financing such  expenditures;   Required expenditures for debt service, judgments and statutory expenditures;   10 6  FINANCIAL AND INVESTMENT POLICIES   Proposed capital expenditures during the ensuing fiscal year, detailed by Departments and Funds  when practicable and the proposed method of financing each such capital expenditure;    Anticipated beginning and ending balances or deficit for the ensuing fiscal year for all Funds.   The  total  of  proposed  expenditures  and  provision  for  contingencies shall not exceed the total of  estimated revenue and use of fund balance consistent with provisions of this Financial Policy unless  necessitated by emergency situations.   Long Range Plans    Staff will develop Long Range Plans (“LRP’s”) which forecast the fiscal condition of every major City Fund  over a ten‐year horizon.  These plans are to be used to analyze the long term financial impact of changes  in revenue streams, funding levels, programmed services and capital improvements during the current  fiscal year.  Years two through ten are for planning purposes only; years one through five will be  submitted as part of the budget proposal to City Council for their review.    LRP’s are used as financial models throughout the year to assess financial impacts as policy issues arise  and are relied upon for estimating the fiscal impact of budgetary changes.    Asset Management Plan     An Asset Management Plan (“AMP”) will be developed for a period of ten (10) years.  The AMP will be  reviewed and updated annually.  Years two through ten are for planning purposes only; years one  through five will be submitted as part of the budget proposal to City Council for their review.    The City’s AMP includes the purchase, renovation or upgrade of new and existing municipal facilities,  properties and equipment.  The AMP is funded from multiple sources depending on the type of project  and the use of the asset.      To be considered in the AMP, a project must have an estimated cost of at least $10,000.  Certain assets  below that cost may be included for informational and planning purposes at Council’s discretion.  Staff  will identify the estimated costs and potential funding sources for each capital project prior to inclusion  in the AMP.  The operating costs to maintain capital projects shall be considered prior to undertaking  the capital projects. The impacts of capital assets are budgeted for in the operating budgets.    BUDGET ADOPTION    Budget Hearing   The City of Aspen’s budget is adopted at a public hearing by resolution.  The public hearing will be held  at least fifteen (15) days prior to the County’s deadline of December 15th for the certification of the tax  levy.  Public notice is published seven (7) days prior to the hearing.  See Section 9.6 of the Charter.    Council Amendments  After the public hearing, Council may adopt the budget with or without amendment.  In amending the  budget, it may add or increase programs or amounts and may delete or decrease any programs or  amounts, except expenditures required by law or for debt service or for estimated cash deficit.     Council Adoption   The Council shall adopt the budget by resolution on or before the final day established by law for the  11 7  FINANCIAL AND INVESTMENT POLICIES  certification of the ensuing year's tax levy to the county.  If it fails to adopt the budget by this date, the  amounts appropriated for the current operation for the current fiscal year shall be deemed adopted for  the ensuing fiscal year on a month‐to‐month basis, with all items in it pro‐rated accordingly, until such  time as Council adopts the budget for the ensuing fiscal year.     Property Tax Levy   The City of Aspen’s mill levy is adopted at a public hearing by resolution.  The property tax mill levy  establishes the amount of property tax that will be collected in the ensuing year.  The City’s general  property tax (not including the Stormwater Fund mill levy) is the only revenue source subject to the Tax  Payers Bill of Rights “TABOR.” In 1992, the voters of Colorado amended Article X, Sec. 20 of the Colorado  Constitution to the effect that any revenue increase resulting in the increase of governmental revenues  at a rate faster than the combined rate of inflation and growth in property would be refunded to  taxpayers.  Voters may authorize City retention of revenues in excess of TABOR limits by ballot.     Public notice of the mill levy hearing is published at least seven (7) days prior to the hearing.  The  County’s deadline for the certification of the tax levy is December 15th.  See Section 9.9 of the Charter.    Public Records   Copies of the budget and the included capital program as adopted shall be public records and made  available to the public in the municipal building and on the City’s website at www.aspenpitkin.com.     AMENDMENTS AFTER ADOPTION   Supplemental Appropriations   If during the fiscal year the City Manager certifies that there is funding available for appropriation, the  Council by ordinance may make supplemental appropriations for the year.  If additional appropriations  are requested of council prior to a supplemental ordinance, Council may approve the expenditure and  authorize  spending  prior  to  the  ordinance.    The  Clerk’s  Department  will  provide  to  the  Finance  Department  the  memo  presented  to Council with the affirmative action  by  council  with  decision  summary and stated dollar amount.      Emergency Appropriations   To meet a public emergency affecting life, health, property or the public peace, Council may make  emergency appropriations.  Such appropriations may be made by emergency ordinance in accordance  with provisions of Section 4.11 of the Charter.      Reduction of Appropriations   If at any time during the fiscal year it appears probable to the City Manager that the funds available will  be insufficient to meet the amount appropriated, the Manager shall report to Council indicating the  estimated amount of the deficit, any remedial action taken by him and his recommendation as to any  other steps to be taken.  The Council shall then take such furt her action as it deems necessary to prevent  or minimize any deficit and for that purpose it may by ordinance reduce one or more appropriations.     Transfer of Appropriations   Any  time  during  the  fiscal  year  the  City  Manager  may  transfer  part  or  all  of  any  unencumbered  appropriation  balance  among  programs  within  a  Department  or  Fund.    Transferring  appropriation  balance between Funds requires Council approval.  The City Manager may give authority to Staff to  authorize the transfer of unencumbered appropriations between line items within a Department or  Fund.  Unencumbered appropriations may be transferred from all line items without approval from the  12 8  FINANCIAL AND INVESTMENT POLICIES  Finance Director except payroll.  In order to transfer unencumbered appropriations dedicated to payroll,  approval must be obtained from the Finance Director.    Capital project appropriations may not be moved from one project to another.  Any appropriation  balance within a project may not be used for any other purpose unless the City Manager gives authority  to Staff to change the scope of the project or to move that budget authority to another expenditure  account.      Limitation  No appropriation for debt service may be reduced or transferred and no appropriation may be reduced  below  any  amount  required  by  law  to  be  appropriated  or  by  more than the amount of the  unencumbered balance thereof.  The supplemental and emergency appropriation and reduction or  transfer of appropriations authorized by this section may be made effective immediat ely upon adoption.     ADMINISTRATION OF BUDGET   As required by Section 9.13 (c) of the Charter, a monthly budget report will be created to provide a  snapshot of the City’s budgetary and investment status for the current year.  This report is intended as  a policy‐level document for overall review of the City's fiscal condition and how that condition relates to  major budget issues. This report will be submitted to Council for review.  In addition, it is intended for  the use of City Staff with budget management responsibilities. This report will show the status of the  revenue and expenditure compared to the current year’s budget authority.      INDEPENDENT AUDIT   An independent audit shall be made of all City accounts at least annually and more frequently if deemed  necessary by Council.  Such audit shall be made by certified public accountants, experienced in municipal  accounting, selected by City Council.  Copies of such audit shall be made available for public inspection  at the municipal building and on the City’s website at www.aspenpitkin.com.    ASSETS   Capital Assets and Capitalization Threshold    The City qualifies a capital asset as having a cost of $5,000 or more, a useful life of one year or more and  a use in operations and not for resale.    A capital asset is to be reported and depreciated in government‐wide financial statements.  In the  government‐wide financial statements, assets that are not capitalized are expended in the year of  acquisition.    Infrastructure assets are long‐lived capital assets that normally can be preserved for a greater number  of years than most capital assets and are normally stationary i n nature.  Examples include roads, bridges,  tunnels, drainage systems, water and sewer systems and dams.  Infrastructure assets do not include  buildings, drives, parking lots or any other examples given above that are incidental to property or access  to the property.    The  capitalization  threshold  is  based  on  the  cost  of  a  single  asset.  Assets that do not meet the  13 9  FINANCIAL AND INVESTMENT POLICIES  capitalization threshold will be recorded as expenditures.      Capital assets that meet the minimum capitalization threshold will be recorded at historical cost.  The  cost of a capital asset includes capitalized interest in accordance with GAAP and ancillary charges  necessary to place the asset into its intended location and condition for use.    Classes of Assets    The City establishes the following major categories of capital assets:     Land and Land Rights (including Water Rights)   Land Improvements (Improvements other than Buildings)   Buildings and Building Improvements   Construction in Progress   Vehicles   Machinery and Equipment (Including Office Equipment)   Infrastructure (Roads, Bridges, Trails, Drainage, Water, Sewer, Dams and Lighting Systems)    Capital Asset Costs    The City establishes the following as capital asset costs:     Ancillary charges necessary to place the asset into its intended location and condition of use   Ancillary charges include costs that are directly attributable to asset acquisition:  o Freight and transportation charges  o Installation costs  o Site preparation costs  o Professional fees (attorney, architect, surveyor, engineering and tap)   Direct charges of staff time     Depreciation    In order to be depreciated, an asset must be classified as a capital asset. Capital Assets (excluding land)  are depreciated using the straight‐line method over the following estimated useful lives:    Buildings        25 – 50 years  Infrastructure and Improvements other than Buildings    10 – 65 years  Machinery and Equipment            3 – 49 years    Asset Inventory    The City shall inventory all capital assets.  An inventory of all assets is maintained in a database by the  Finance Department.  The inventory record will identify the responsible Department or Fund, in addition  to description, year of acquisition, method of acquisition, funding source, cost or estimated cost, and  estimated useful life.  The City shall assess the condition of all major capital assets.  This information will  be used to plan for the ongoing financial commitments required for major repairs or replacement to be  funded.    14 10  FINANCIAL AND INVESTMENT POLICIES  Operation and Maintenance    Capital assets shall be maintained in working condition and properly safeguarded.  These assets will be  maintained  at  a  level  that  protects  capital  investment  and  minimizes  future  maintenance  and  replacement costs. Budgets should provide sufficient funding for operations, maintenance, replacement  and enhancements of capital assets.     A high priority will be placed on maintenance where deferral results in greater costs to restore or replace.  Maintenance of existing capital assets should be given priority over acquisition of new assets unless the  available funding cannot be used for maintenance of existing capital assets. The City will avoid deferral  of scheduled capital maintenance to achieve a balanced budget.          EXPENDIURE OVERVIEW   Expenditures are a rough measure of a local government’s service output.  While many expenditures can  be easily controlled, emergencies, unfunded mandates and unanticipated service demands may strain  the City’s ability to maintain a balanced budget.  The City is committed to ensure the proper control of  expenditures and provide for a quick and effective response to adverse financial situations.    PAYMENTS AND OBLIGATIONS PROHIBITED   No payments shall be made or obligation incurred against any allotment or appropriation except in  accordance with appropriations duly made and unless the manager first certifies that there is a sufficient  unencumbered balance in such allotment or appropriation and that sufficient funds there from are or  will be available to cover the claim or meet the obligation when it becomes due and payable.  Any  authorization of payment or incurring of obligation in violation of the provisions of this document shall  be void and any payment so made illegal; such action shall be cause for removal of any officer who  knowingly authorized or made such payment or incurred such obligation, and the officer shall also be  liable to the City for any amount so paid.  However, except where prohibited by law, nothing in this  document shall be construed to prevent the making or authorizing of payments or making of contracts  for capital improvements to be financed wholly or partly by the issuance of bonds or to prevent the  making of any contract or lease providing for payments beyond the end of the fiscal year, provided that  such act was made or approved by ordinance.     DEBT MANAGEMENT POLICY   Debt is an effective way to finance capital improvements or to even out short‐term revenue flows.  Properly managed debt preserves the City’s credit rating, provides flexibility in current and future  operating budgets and provides the City with long‐term assets that maintain or improve quality of life.    Limitation of Indebtedness     The City shall not become indebted for any purpose or in any manner in an amount which, including  existing indebtedness, shall exceed twenty (20) percent of the assessed valuation of the taxable property  within the City, as shown by the last preceding assessment for City purposes; provided, however, that in  determining the limitation of the City's power to incur indebtedness there shall not be included bonds  EXPENDITURE POLICIES 15 11  FINANCIAL AND INVESTMENT POLICIES  issued for the acquisition or extension of a water system or public utilities; or bonds or other obligations  issued for the acquisition or extension of enterprises, works or ways from which the City will derive a  revenue in accordance with Section 10.5 of the Charter.    Forms of Borrowing    The City may borrow money and issue the following securities to evidence such borrowing:   Short‐Term Notes  The City, upon the affirmative vote of the majority of the entire Council, may borrow money without an  election in anticipation of the collection of taxes or other revenues and to issue short‐term notes to  evidence the amount so borrowed.  Any such short‐term notes shall mature before the close of the fiscal  year in which the money is borrowed.  General Obligation Bonds  No bonds or other evidence of indebtedness payable in whole or in part from the proceeds of general  property taxes or to which the full faith and credit of the City are pledged, shall be issued, except in  pursuance of an ordinance, nor until the question of their issuance shall, at a general election, be  submitted to a vote of the electors and approved by a majority of those voting on the question; qualified  electors of the City shall mean those duly qualified to vote at a general election in the City of Aspen  unless the Council for sufficient reason shall by ordinance calling the election, restrict or limit such  classification of electors to taxpaying electors as may be defined by ordinance adopted by the Council,  provided, however, that such securities issued for acquiring utilities and rights thereto, or acquiring  improving or extending any municipal utility system, or any combination of such purposes, may be so  issued without an election.     Revenue Bonds  The City may borrow money, issue bonds or otherwise extend its credit for purchasing, constructing,  condemning, otherwise acquiring, extending or improving a water, electric, gas or sewer system or other  public utility or income‐producing project provided that the bonds or other obligations shall be made  payable  from  the  net  revenues  derived  from  the  operation  of  such  system,  utility  or  project  and  providing further that any two (2) or more of such systems, utilities and projects may be combined,  operated and maintained as joint municipal systems, utilities or projects in which case such bonds or  other obligations shall be made payable out of the net revenue derived from the operation of such joint  systems, utilities or projects.  Such bonds shall not be considered a debt or general obligation of the City  for the purposes of determining any debt limitation thereof.     The City shall, in addition, have the authority to issue revenue bonds payable from the revenue or income  of the system, utility or project to be constructed or installed with the proceeds of the bond issue, or  payable in whole or in part from the proceeds received by the City from the imposition of a sales or use  tax by the State of Colorado or any agency thereof.   No bond shall be issued until the question of their issuance shall, at a general election, be submitted to  a vote of the electors and approved by a majority of those voting on the question.  Refunding Bonds  The Council may authorize, by ordinance, without an election, issuance of refunding bonds or other like  securities for the purpose of refunding and providing for the payment of the outstanding bonds or other  16 12  FINANCIAL AND INVESTMENT POLICIES  like securities of the City of the same nature or in advance of maturity by means of an escrow or  otherwise.    Special or Local Improvement District Bonds   The City shall have the power to create local improvement districts and to assess the cost of the  construction  or  installation  of  special  or  local  improvements  against  benefited  property  within  designated districts in the City by:    Order of Council, subject, however, to protest by the owners of a majority of all property  benefited and constituting the basis of assessment as the Council may determine.    A petition by the owners of more than fifty (50) percent of the area of the proposed district  provided that such majority shall include not less than fifty (50) percent of the landowners  residing in the territory.   In either event, a public hearing shall be held at which all interested parties may appear and be heard.   Right to protest and notice of public hearing shall be given as provided by Council by ordinance.  Such  improvements shall confer special benefits to the real property within said district and general benefits  to the City.  The Council shall have the power by ordinance to prescribe the method of making such  improvements, of assessing the cost thereof and of issuing bonds for cost of constructing or installing  such improvements including the costs incidental thereto. Bonds shall be authorized for issuance after  approval by the registered electors in the district at a regularly scheduled election.     Where all outstanding bonds of a special or local improvement district have been paid and any monies  remain to the credit of the district, they shall be transferred to a special surplus and deficiency fund and  whenever there is a deficiency in any special or local improvement district fund to meet the payments  of outstanding bonds and interest due thereon, the deficiency shall be paid out of said surplus and  deficiency fund.  Whenever a special or local improvement district has paid and cancelled three‐fourths  of its bonds issued and for any reason the remaining assessments are not paid in time to take up the  remaining bonds of the district and the interest due thereon and there is not sufficient monies in the  special surplus and deficiency fund, then the City shall pay said bonds when due and the interest due  thereon and reimburse itself by collecting the unpaid assessments due from said district.     In consideration of general benefits conferred on the City from the construction or installation of  improvements in improvement districts, the Council may levy annual taxes on all taxable property within  the City at a rate not exceeding four (4) mils in any one year, to be disbursed as determined by the  Council for the purpose of paying for such benefits, for the payment of any assessment levied against  the City in connection with bonds issued for improvement districts or for the purpose of advancing  monies to maintain current payments of interest and equal annual payments of the principal amount of  bonds issued for any improvement district hereinafter created.  The proceeds of such taxes shall be  placed in a special fund and shall be disbursed only for the purposes specified herein, provided that in  lieu of such tax levies, the Council may annually transfer to such special fund any available monies of the  City, but in no event shall the amount transferred in any one year exceed the amount which would result  from a tax levied in such year as herein limited.    Long Term Installment Contracts, Rentals and Leaseholds  In order to provide necessary land, buildings, equipment and other property for governmental or  proprietary  purposes,  the  City  is  hereby  authorized  to  enter  into  long  term  installment  purchase  contracts and rental or leasehold agreements.  Such agreements may include an option or options to  17 13  FINANCIAL AND INVESTMENT POLICIES  purchase and acquire title to such property within a period not exceeding the useful life of such property  and in no case exceeding forty (40) years.  Each such agreement  and the terms thereof shall be approved  by an ordinance duly enacted by the City.  The Council is authorized and empowered to provide for the  payment of said payments or rentals from a general levy imposed upon both personal and real property  included within the boundaries of the City, or by imposing rates, tolls and service charges for the use of  such property or any part thereof by others, or from any other available municipal income or from any  one or more of the above sources provided that nothing herein shall be construed to eliminate the  necessity of voter approval of a tax or levy if otherwise required by this Charter.  The obligation to make  any payments or pay any rentals shall constitute an indebtedness of the City within the meaning of the  Charter limitation on indebtedness.  Property acquired or occupied pursuant to this Charter shall be  exempt from taxation so long as used for authorized governmental or proprietary functions of the City.   See Ordinance 12‐1975.   INTERFUND ADVANCES (INTERFUND LOANS) General Accounting Auditing and Financial Reporting (GAAFR) regulations denote that interfund advances, because they occur purely within a single governmental entity, do not regard the asset as an investment nor the liability as debt. This distinction qualifies these transactions as independent and unrelated to the traditional indebtedness and investment policies otherwise established in these financial policies. Therefore, with this clarification, interfund advances shall be a permissible mechanism for short-term “borrowing” between City funds, with the following parameters unless otherwise specified by City Council:  An internal borrowing rate shall be established and benchmarked to the treasury yield (for the applicable term) at the time of the initial loan arrangement. This will be a fixed rate for the duration of the advance.  A term will be established at the commencement of an interfund advance. The term shall be set such that the borrowing fund can manage the annual debt service payments in tandem with meeting the financial reserve target as outlined in the City’s financial policies. The maximum term shall not exceed 10 years. There shall also be no pre- payment penalty for early repayment of the advance.  The principal amount of the loan shall be established such that the existing 10-year operational and capital plan for the lending fund is not adversely affected. The principal amount will be shown as an expense (as a transfer out and ultimately a reduction to fund balance) in the lending fund and will appear as a revenue (transfer in) for the fund receiving the advance. FUND BALANCES AND OPERATING RESERVES   Adequate reserve levels are a necessary component of the City’s overall financial management strategy  and a key indicator of the City’s financial health.  A fund balance policy is necessary to ensure that City  programs and current service levels are protected from changes in revenue growth or expenditure  requirements.  The GFOA recommends the establishment of a formal policy on the level of fund balance  that should be maintained in the General Fund and encourages the adoption of similar policies for other  types of Governmental Funds.      It is the policy of the City to maintain a reserve in the General Fund of no less than twenty‐five (25)  percent of annual appropriated expenditures, including reoccurring transfers, at year end as identified  18 14  FINANCIAL AND INVESTMENT POLICIES  in the LRP.    The General Fund reserve may be drawn upon on recommendation of Staff with Council approval to  compensate for an expected shortfall.  A minimum reserve of five (5) percent of annual appropriated  expenditures must remain at all times. Staff’s recommendation to draw upon this reserve must include  a replenishment schedule to begin within twelve months of the draw and result in full replenishment of  the reserve requirement within thirty‐six months of the draw.    It is the policy of the City to maintain a reserve in the Wheeler Opera House Fund of no less than twenty‐ five (25) percent of annual appropriated expenditures, including reoccurring transfers, at year end as  identified in the LRP.    The Wheeler Opera House Fund reserve may be drawn upon on recommendation of Staff with Council  approval to compensate for an expected shortfall.  A minimum reserve of five (5) percent of annual  appropriated expenditures must remain at all times. Staff’s recommendation to draw upon this reserve  must include a replenishment schedule to begin within twelve months of the draw and result in full  replenishment of the reserve requirement within thirty‐six months of the draw.    It is the policy of the City to maintain a reserve in the Water Utility Fund and the Electric Utility Fund of  no less than twenty‐five (25) percent of annual appropriated expenditures,  including  reoccurring  transfers, at year end as identified in the LRP.    Water Utility Fund and Electric Utility Fund reserves may be drawn upon on recommendation of Staff  with Council approval to compensate for an expected shortfall.  A minimum reserve of five (5) percent  of annual appropriated expenditures must remain at all times. Staff’s recommendation to draw upon  these reserves must include a replenishment schedule to begin within twelve months of the draw and  result in full replenishment of the reserve requirement within thirty‐six months of the draw.    It is the policy of the City to maintain a reserve in all other City Funds except for certain funds listed  below of no less than twelve and a half (12.5) percent of annual appropriated expenditures, including  reoccurring transfers but excluding large capital expenditures, at year end as identified in the LRP. The  funds that are not part of this policy include: Asset Management Plan Fund, Housing Development Fund,  Employee Housing Fund, City Tourism Promotion Fund, Aspen Public Education Fund, Debt Service Fund,  Employee Health Insurance Fund and Information Technology Fund. These funds are excluded from the  policy because they are capital project funds, Internal Service Funds or have a policy of having a zero  fund balance.     The reserve may be drawn upon on recommendation of Staff with Council approval to compensate for  an expected shortfall.  A minimum reserve of five (5) percent of annual appropriated expenditures must  remain at all times. Staff’s recommendation to draw upon this reserve must include a replenishment  schedule to begin within twelve months of the draw and result in full replenishment of the reserve  requirement within thirty‐six months of the draw.    GASB Statement No. 54 established fund balance classifications for governmental funds.  The Statement  requires the adoption of policies surrounding those fund balance classifications.    In  the  fund  financial  statements,  governmental  funds  report  fund  balance  classifications  including  19 15  FINANCIAL AND INVESTMENT POLICIES  nonspendable resources, restricted amounts, committed amounts and assigned amounts.  Only the  General Fund reports unassigned amounts that have not been restricted, committed, or assigned to  specific purposes within the General Fund.  However, it may be necessary for other governmental funds  to report negative fund balance as unassigned.  The City Council must take formal action through  resolution or ordinance to establish, modify or rescind committed fund balance amounts. The City  Council has the authority to establish, modify or rescind assigned fund balance to a specific department  or project within a fund.    Fund balance classifications with the highest level of constraint are spent first; such that restricted fund  balance is spent before unrestricted fund balance when an expenditure is incurred for which both  restricted and unrestricted balances are available.  Likewise, committed and assigned fund balances are  spent before unassigned fund balance when an expenditure is incurred for which any such unrestricted  fund balances are available.    CARRYFORWARD SAVINGS   The purpose of allowing carryforward savings is to provide an additional incentive for frugality by  operating departments.   Unlike traditional governments, which have a “use it or lose it” approach to  annual operating budgets, Aspen’s policy encourages departments to create savings in their annual  operating budgets.   Savings in annual operating budgets are distributed as follows:    50% of the savings are carried forward into the appropriate department’s savings account.  10% is allocated to a Central Savings account.  40% is returned to the appropriate fund balance.    Carryforward Savings represent 50% of the previous year’s operating budget savings from individual  Departments or Funds. Departments and Funds are allocated these amounts as a reward to finding  efficiencies in their operations that allow them to meet their operating goals while spending less than  their appropriations. Prior year savings that are not expended are maintained in full and appropriated  every year unless directed otherwise by the City Manager. These appropriations can be spent on items  related to the Department’s or Fund’s mission but may not be used for ongoing expenditures. In addition,  if a particular expenditure was denied as part of the budget process, departmental savings may not be  used for this purpose without City Manager approval. If the expenditure is to exceed $10,000, the City  Manager  must  authorize  the  expenditure.   Departments  and  Funds can accrue these savings to a  maximum of 15% of their operating budgets.    Departments are expected to use their carryforward savings to fund small expenses needed to meet City  Council’s and citizen requests as is consistent with our “just say yes” management philosophy.   In  conjunction with the City’s Outcome Measure program, the creation and use of operating savings is  designed to emulate the incentives found in management of American small businesses.   Department  managers are expected to understand and measure their success in meeting customer expectations,  and, through the carryforward savings program, have enough management flexibility to reasonably meet  those expectations.    Central Carryforward Savings represents 10% of the previous year’s operating budget savings from all  Departments and Funds. These appropriations are allocated to the City Manager’s office for addressing  issues with city‐wide implications or to address unusual but necessary departmental expenses.  20 16  FINANCIAL AND INVESTMENT POLICIES           The City maintains a balanced and diversified revenue structure to protect the City from fluctuations in  any one source due to changes in local economic conditions, which may have an adverse impact.  In  order to maintain a stable level of services, the City shall use a conservative, objective and analytical  approach when preparing revenue estimates.  The process includes an analysis of probable economic  changes and their impacts on revenues, historical collection rates and trends in revenue shortfalls.    To ensure the City’s revenues are balanced and capable of supporting the desired levels of services, the  City has adopted the following revenue policy statements:     Revenue forecasts shall be conservative, using generally accepted forecasting techniques and  appropriate data.   Each year, major revenues will be projected for at least the next ten (10) years.   The City will establish and maintain revenue sources that are diversified.  Highly variable revenue  sources shall be earmarked for uses that are flexible in timing and/or discretionary in need.   Each year and whenever appropriate, existing revenues will be re‐examined and possible new  sources of revenues will be explored to ensure that the City is balancing its revenue potential.   Each year and whenever appropriate, intergovernmental revenues will be reviewed to determine  their  short  and  long‐term  stability,  to  minimize  the  impact  of any  adverse  changes.   Intergovernmental revenues shall be used as legally prescribed or otherwise set forth by policy.   One‐time revenues shall be used only for one‐time expenditures and will not be used to authorize  on‐going expenditures or programs.    The City will carefully and routinely monitor any amounts due.  An aggressive policy of collection  will be followed for all receivables, including taxes and fees. The City will fairly and uniformly  administer the provisions of all tax and fee ordinances among citizens and businesses.  This  includes businesses located outside the City limits, but making regular deliveries into the City,  home  occupations,  seasonal  vendors  and  individual  owners  of  short  term  rental  accommodations.   Each  year  and  whenever  appropriate,  the  City  will  review  its  schedule  of  fees  and  related  administrative procedures.  The amount of a fee shall not exceed the overall cost of providing  the facility, infrastructure or service for which the fee is imposed.  In calculating that cost, direct  or indirect costs may be included.  That includes costs that are directly related to the provision  of the service and support costs that are more general in nature but provide support for the  provision of service.  The City reviews all fees for licenses, permits, fines and other miscellaneous  charges as part of the annual budgetary process.    For programs where the City subsidizes operations, the revenues will be sufficient for the minimum  stated recovery rate and/or dollar amount of subsidy. The recovery rate is defined as revenue as a  percent of expenditures. The dollar subsidy is defined as expenditures less revenue.      REVENUE POLICIES 21 17  FINANCIAL AND INVESTMENT POLICIES          I.Purpose     The purpose of this investment policy is to provide a guideline by which the funds that are not otherwise  needed to meet the cash flow demands of the City of Aspen (the City) can best be invested.  The objective  of the investment portfolio is to earn the highest return for the City within the risk guidelines designed to  provide maximum security, while maintaining sufficient liquidity to meet fluctuations in the City's cash  flow needs.     II.  Scope     This investment policy applies to all financial assets of the City as identified in the City’s Comprehensive  Annual Financial Report and all funds managed for the benefit of the Aspen Pitkin County Housing  Authority (APCHA).        Investment income will be allocated to the various funds of the City and APCHA based upon their  respective participation and in accordance with generally accepted accounting principles.  Interest will be  allocated on a monthly basis.    III. Standards of Care  1. Prudence: Investments shall be made with judgment and care – under circumstances then prevailing –  which persons of prudence, discretion and intelligence exercise in the management of their own affairs,  not for speculation, but for investment.  The standard of prudence to be used is Standard IV A.1 of the  Standards  of  Practice  Handbook  of  the  Association  for  Investment  Management  and  Research  (Appendix A). The Finance Director or his designee must exercise diligence and thoroughness in making  investment recommendations or in taking investment actions; have a reasonable and adequate basis,  supported by appropriate research and investigation, for such recommendations or actions; make  reasonable and diligent efforts to avoid any material misrepresentation in any research report or  investment recommendation; and maintain appropriate records to support the reasonableness of such  recommendations or actions.  The investment officer shall be relieved of personal responsibility for an  individual security’s credit risk or market price changes if he/she has acted in accordance with written  procedures and the investment policy.    2. Ethics and Conflicts of Interest:  The standard governing Ethics and Conflicts of Interest shall be  Standard III(C) of the Standards of Practice Handbook of the Association for Investment Management  and Research (Appendix B). The Finance Director, investment officer, or other must disclose to the City  all matters, including beneficial ownership of securities or other investments that reasonably could be  expected  to  interfere  with  their  duty  to  the  City  or  ability  to  make  unbiased  and  objective  recommendations.  The receipt of gifts, gratuities, and travel expenses is governed by the guidelines of  the Ethics Policy as adopted by the Aspen City Council on what they or other City Staff may accept from  securities dealer firms.    3. Assignment of Responsibilities:  Article VI, Section 6.8 of the Charter of the City of Aspen grants  authority and ultimate responsibility for the investment management activities of the City to the Finance  Director.  The Finance Director may delegate any of the investment functions to another officer of the  City  (Investment  Officer).  The  Finance  Director  shall  establish  written  policy  procedures  for  the  INVESTMENT POLICIES 22 18  FINANCIAL AND INVESTMENT POLICIES  operation of the investment program consistent  with this policy.  The procedures should include  reference to; safekeeping, repurchase agreements, wire transfer agreements, banking service contracts  and collateral/depository agreements.  Such procedures shall include explicit delegation of authority to  persons responsible for investment transactions.  No person may engage in an investment transaction  except as provided under the terms of this policy and the procedures established by the Finance  Director.  The Finance Director will establish the day‐to‐day operating procedures for conducting the  City's investment activities.  He or she will be responsible for understanding the risks of the Investment  Portfolio and establish the risk measurement and management process.  In addition, he or she is  responsible for making certain that a system of checks and balances is in place between the  purchase/sale  decision‐making  process  and  the  settlement/reconcilement  functions.    In  order  to  facilitate the evaluation of the investment activities, the Finance Director may employ outside vendors  to make periodic appraisals of the City's investment program or to suggest specific  investment  alternatives. The Finance Director or his/her designee is authorized to execute security transactions for  the City's Investment Portfolio within the limitations established by this policy.  Should unexpected  market conditions arise, the Finance Director or his designee may approve a transaction, which would  not be in accordance with the Investment Policy but is necessary to protect the safety and liquidity of  the City’s investment portfolio, and is guided by Section III.1 of this policy.  Such transactions must be  reported to the City Council at their next meeting.  All securi ties transactions will be made in accordance  with the City's overall interest rate risk profile and policy.  Liquidity needs/constraints will also be taken  into account when investment decisions are made.    IV.    Objectives   1. Safety of principal is the foremost objective of the investment program.  Investments of the City shall  be undertaken in a manner that seeks to ensure the preservation of capital in the overall investment  portfolio.  To attain this objective, the City will diversify its investments by investing funds among a  variety of securities and security types offering independent returns and financial institutions.    2. Liquidity  The City’s investment portfolio will remain sufficiently liquid to enable the City to meet all  operating requirements which may be reasonably anticipated.  A prudent reserve shall be maintained  to meet unanticipated cash requirements.      3. Return on Investments  The City’s investment portfolio shall be designed with the objective of attaining  a benchmark rate of return throughout budgetary and economic  cycles, commensurate with the City’s  investment risk constraints and the cash flow characteristics of the portfolio.    V.  Safekeeping and Custody  1.   Authorized Financial Dealers and Institutions   The Finance Director or designee will maintain a list of  authorized securities firms that have been approved for investment purposes.  This list will include the  established limits on unsettled trades, safekeeping arrangements, repurchase agreements, securities  lending and borrowing, total credit risk with dealer, and any other transaction with default risk.  This list  of authorized securities dealers and their established limits will be reviewed annually, by Finance Staff.   The Finance Director or designee will be responsible for obtaining sufficient knowledge about securities  firms and personnel.  Files will be maintained for all firms with which the City transacts investment  business.  These files will include:      a) Financial data, annual reports and credit reports.  b) Background data of the dealer's sales representative(s) with whom business will be conducted.  23 19  FINANCIAL AND INVESTMENT POLICIES  c) Any information available from State or Federal regulators or securities industry self‐regulatory  organizations  concerning  any  formal  enforcement  actions  against the dealer, its affiliates, or  associated personnel.  d) Public deposit shall not be made except in a qualified public depository established by Colorado law.    The City may utilize the services of an external investment advisor and may rely on the advisor’s list of  broker/dealers.  The advisor’s list of broker dealers shall be provided to the City on an annual basis or when  updated.    2. Internal Controls The Finance Director or designee is responsible for establishing and maintaining an  internal control structure designed to ensure that the assets of the City are protected from loss, theft  or misuse.  The internal control structure shall be designed to provide reasonable assurance that  these objectives are met. The concept of reasonable assurance recognizes that (1) the cost of a  control should not exceed the benefits likely to be derived and  (2) the valuation of costs and benefits  requires estimates and judgments by management.     Accordingly, the Finance Director or designee shall establish a process for an annual independent  review by an external auditor to assure compliance with policies and procedures. The internal  controls shall address the following points:     a) Control of collusion   b) Separation of transaction authority from accounting and recordkeeping   c) Custodial safekeeping   d) Clear delegation of authority to subordinate staff members   e) Written confirmation of transactions for investments and wire transfers   f) Development of a wire transfer agreement with the lead bank and third‐party custodian     3. Delivery vs. Payment All trades where applicable will be executed by delivery vs. payment (DVP) to  ensure that securities are deposited in an eligible financial institution prior to the release of funds.  Securities will be held by a third‐party custodian as evidenced by safekeeping receipts.     VI.   Performance Standards     1. Benchmark  The City’s investment strategy is active.  Given this strategy, the basis used by the  Finance Director to determine whether market yields are being achieved shall be to identify a  comparable benchmark to the investment portfolio.  Examples of benchmark rate return are the 90  day US Treasury Bill, 6 month US Treasury Bill, the 1‐3 Year Treasury Index, and the average Federal  Funds Rate.    2. Reporting  Consistent with the City Charter, the Finance Director will provide monthly investment  reports, to the City Manager and City Council, which provide a clear picture of the status of the  current investment portfolio.  The report should include comments on the fixed income markets  and economic conditions, discussions regarding percentages of investments by categories, possible  changes in portfolio structure and strategy going forward.    VII.  Statutory Investment Guidelines (Statute:  Section 24‐75‐601, C.R.S.)  1. Custody of Investment Securities  Unless otherwise stated, all investments must be held in the  City's name, or in the custody of a third party on behalf of the City, or in a custodial account with an  eligible public depository or securities firm on behalf of the City.    24 20  FINANCIAL AND INVESTMENT POLICIES    2. Maximum Maturity  The maximum maturity date for all securities shall be no more than five  years from the date of settlement unless otherwise authorized by the City Council, with exceptions  noted under limitations included in Section VII, 4 of this policy.      3. Coupon Rate Fixed at Settlement  Public funds shall not be invested in any security on which the  coupon rate is not fixed from settlement until maturity, other than shares in qualified money market  mutual funds, unless the coupon rate is established by reference to specified rate indices, such as  the U.S. dollar London interbank offer rate (“LIBOR”) of one year or less, or the rate for a U.S. Treasury  security with a maturity of one year or less, or the rate of a municipal bond index, or to the cost of  funds index, or the prime rate. (Section 24‐75‐601.1(1.3), C.R.S.)     4. Legal Investments of Public Funds (Statute: Section 24‐75‐601.1, C.R.S.)  a) U.S. Treasury Securities  b) Federal Farm Credit Bank (FFCB)  c) Federal Land Bank (FLB)  d) Federal Home Loan Bank (FHLB)  e) Federal Home Loan Mortgage Corporation (FHLMC)   f) Federal National Mortgage Association (FNMA)   g) Export‐Import Bank (Ex‐Im Bank)  h) Tennessee Valley Authority (TVA)  i) Government National Mortgage Association (GNMA)  j) World Bank (IBRD)   k) Obligations of any other entity that is created by or authorized by legislation enacted by the  US congress and that is subject to control by the federal government that is at least as  extensive as that which governs an entity or organization listed above.    l) General obligation and revenue obligations of any state, District of Columbia, U.S. Territory,  or any of their subdivisions. (This includes the State of Colorado and its related entities and  Colorado Local Governments and their related entities.) Securities issued by Colorado based  entities must be rated at or above “A‐” or the equivalent from at least two nationally  recognized  statistical  rating  organizations  (NRSROs)  at  the  time  of  purchase;  all  other  allowable securities issued by non‐Colorado based entities must be rated at or above “AA‐”  or the equivalent by at least two NRSROs at time of purchase.   m) Bankers Acceptance issued by a state or national bank.  Security must be rated at least “A1,  P1, or F1” or the equivalent from at least two NRSROs at the time of purchase.     n) Commercial Paper rated at least “A1, P1, or F1” or the equivalent from at least two NRSROs  at time of purchase.    o) Any obligation, certificate of participation, or lease‐purchase of the City of Aspen.    p) Any interest in any local government investment pool pursuant to Section 24‐75‐701, et seq.,  C.R.S.    q) Repurchase Agreements collateralized by securities listed in a) through j) above which must  be marketable. Title or perfected security interest in securities must be transferred to the  City or custodian. Securities must be actually delivered versus  payment to the City’s custodian  or a third‐party custodian or third‐party trustee for safekeeping.  Collateral securities must  be collateralized at no less than 102% and marked to market no less than weekly. These  investments may have a maturity in excess of five years.  The period from the date of  25 21  FINANCIAL AND INVESTMENT POLICIES  settlement to maturity shall not exceed five years unless a longer period is approved by City  Council.  A master repurchase agreement must be signed with the bank or dealer.  r) Money Market Fund registered as an investment company under the “Investment Company  Act of 1940”, as amended. Fund investment policies include seeking to maintain a constant  share price. No sales or load fee can be added to the purchase or redemption price.  The fund  operates in accordance with rule 2a‐7 of the federal “Investment Company Act of 1940,” as  amended, or any successor regulation under that act regulating money market funds.  The    fund has assets of $1 billion or more, or has the highest credit rating from at least one NRSRO.      s) U.S. dollar‐denominated corporate or bank security issued by a corporation or bank organized  and operated within the United States.  The note must mature within three years from the  date of settlement and must be rated at least ”AA‐ or Aa3” or the equivalent by at least two  NRSROs at the time of purchase.   The book value of corporate and bank securities shall at no  time exceed 30 percent of the book value of the City’s investment portfolio, and not more  than 5 percent of the book value of the City’s investment portfolio may be held in the debt  of a single corporation or bank.  As described in this section, bank security includes negotiable  certificates of deposit issued by banks organized and chartered within the US; such deposits  are not subject to the protections of the “Public Deposit Protection Act” and are not insured  by the Federal Deposit Insurance Corporation.  t) A securities lending agreement in which the City lends securities in exchange for securities  authorized for investment herein.  Any necessary transfer documents must be transferred to  the City and securities must be received by the City or a custodian acting on behalf of the City  in a simultaneous settlement.  Such collateral shall be in the form of cash or securities that  are authorized investments for the City.  Collateral must be no less than 102% of the value of  the securities lent and collateral shall be marked to market to less frequently than weekly.  The counter‐party must meet the conditions specified herein for issuers of corporate and  bank security.  The securities lending agreement must be approved and designated by written  resolution duly adopted by a majority vote of the City Council, which resolution shall be  recorded in its minutes.    Combined exposure to bankers acceptances, commercial paper and corporate and bank securities  shall not exceed 50 percent of the City’s portfolio and no more than 5 percent combined exposure  may be held in any one issuer.  Compliance with diversification  limits shall be evaluated as of the time  of purchase.    The required ratings for bankers acceptances, commercial paper and corporate and bank securities   apply to the security being purchased; if the security is not rated then the ratings may be applied to  the issuer, provided the security contains no provisions subordinating it from being a senior debt  origination of the issuer.    Securities that have been downgraded to levels below the minimum ratings required for purchase  may be held or sold at the Finance Director’s discretion.    Subordinated debt shall not be purchased.    5.   Other Allowable Investment Opportunities (Section 24‐75‐601.1(3) & Ord. 25, Series 2018)In  order to obtain financing for the acquisition, rehabilitation and equipping of affordable hosuing  projects benefitting people who live and work in the City and Pitkin County, the Council wishes to  26 22  FINANCIAL AND INVESTMENT POLICIES  authorize  the  investment  of  City  funds  in  bonds  issued  by  the  Colorado  Housing  and  Finance  Authority (CHFA), provided these investments satisfy the requirements of part 6 of article 75 of Title  24, C.R.S.    VIII. Collateralization  will  be  required  on  purchases  of  certificates  of  deposit  and  repurchase  (and  reverse) agreements.  In order to anticipate market changes and provide a level of security for all  funds, the collateralization level will be 102% of par value of principal and accrued interest.  Collateral  will be held by an independent third party with whom the City has a current custodial agreement.  A  clearly marked evidence of ownership must be supplied to the City and retained.    IX. Liquidity is the ability to generate cash at a reasonable cost to meet both expected and unexpected  demand for funds from both the City and its vendors without disrupting routine operations or raising  adverse questions from funds providers.  Maintaining adequate liquidity is essential when conducting  normal municipal activity and when providing for potential emergency situations.     The City's liquidity position is measured by its capacity to generate  funds.    Adequate  capacity  is  demonstrated by the ability to raise sufficient levels of cash promptly and at a reasonable cost.  This can  be accomplished through disposing of liquid assets, increasing short‐term borrowing, issuing additional  liabilities, decreasing holdings of non‐liquid assets, increasing longer‐term liabilities, or raising taxes.  The  goal is to maintain an adequate level of liquidity without impairing the long‐term efficient use of the  City’s assets.    1. Measurement  Since no single ratio can define adequate liquidity, the Finance Department will study  several ratios to construct the most accurate picture of the state of the City’s liquidity position.  It is  the City's intention to balance the need for liquidity with the need for interest income.  The following  are measures to assess trends in liquidity:      In order to plan for and manage seasonal liquidity needs, liquidity measures will be monitored  monthly.  The Finance Director or designee will look at cash flows going forward and prepare  best/worst case scenarios for funds necessary to meet the City’s obligations.      On a daily basis, the Finance Director or designee will review local and national economic factors  that may affect the City’s liquidity or funding needs.  This review will include changes to the local  economy,  interest  rate  environment,  local  employment  projections,  and  projected  population  changes.       2. Administration  The liquidity ratios are to be monitored at least monthly (if not weekly or daily).   This will ensure that the City has adequate liquidity at all times and assist the Finance Director or  designee in assessing trends which could adversely affect the liquidity of the City.      3. Sources of Liquidity    The City’s primary sources of liquidity are listed below:  a) Available Cash Balances.    b) Money Market Funds.  Excess liquidity will be placed in Money Market Funds in compliance with  and monitored under the Investment Policy.    c) Maturing securities.  The City will ladder its Investment Portfolio to make certain that securities  are maturing in accordance with anticipated cash flow needs.  The Finance Director or designee  27 23  FINANCIAL AND INVESTMENT POLICIES  will be responsible for establishing a maturity ladder appropriate for the City.  d) Investment Portfolio.  Securities will be monitored for market value changes to identify viable  options to be liquidated for liquidity needs.  e) Maximum Maturities.  To the extent possible, the City will attempt to match its investments with  anticipated cash flow requirements.  Unless matched to a specific cash flow, the City will not  directly invest in securities maturing more than five years from the date of purchase.  However  the City may collateralize its repurchase agreements using longer‐dated investments not to  exceed ten years to maturity.    Reserve  funds  may  be  invested  in  securities  exceeding  ten  years  if  the  maturity  of  such  investments is made to coincide as nearly as practicable with the expected use of the funds.      4. Liquidity Contingency Plan  In the event that the Finance Director or designee anticipates changes in  normal municipal operations, it must respond to potential liquidity problems in a thorough and  organized manner.  By developing a liquidity contingency plan, the City will be able to deal with a  potential or real liquidity problem.       Asset and liability management procedures should be followed to ensure that adequate cash sources  are available and that minimal cash outflows occur.  Also, any measures taken to manage liquidity  should be in accordance with the parameters regarding interest rate risk.         In the event of a liquidity shortfall, the City will generate cash to meet its obligations by undertaking  one or all of the following steps (in this order):    a) Utilize Available Cash Balances.  Liquidate money market positions  b) Utilize funds from maturing investments  c) Liquidate investments provided their market value is close to book value      The City Manager and City Council must be informed of any liquidity shortfall and provided with the  details of the contingency plan.    5. Other Considerations      The liquidity management of the City must be made in harmony with the City’s Interest Rate Risk  Management processes.  Any liquidity funding decisions made will directly affect the City’s interest  rate risk profile.  The potential liquidity management decisions should be considered when evaluating  the interest rate risk profile of the City.       As mentioned above, the City’s Investment Portfolio will be laddered to have sufficient maturities to  match off against potential maturing liabilities.  On an ongoing basis, the Investment Portfolio will be  managed within the parameters of both the investment policy and the liquidity management needs  of the City.         28 MEMORANDUM TO:Mayor Torre and City Council FROM: Alissa Farrell, Administrative Services Director Jessica Roberts, Benefits and Compensation Manager THROUGH:Sara Ott, City Manager Pete Strecker, Finance Director MEMO DATE:October 16, 2020 MEETING DATE:October 26, 2020 RE:Health and Welfare Benefits Services Agreement REQUEST OF COUNCIL: Staff request approval of Health and Welfare Services Agreement to continue benefit broker and advisory services with Lockton Companies, LLC (Lockton). SUMMARY AND BACKGROUND: The City of Aspen currently uses Lockton’s services and has for over a decade. Pitkin County, Aspen Valley Hospital and Valley View Hospital have also used Lockton’s broker and advisory services. Recently, through the Valley Health Alliance (VHA), the City completed a request for proposal for health and welfare broker and advisory services. Based on the comprehensive list of quality services, comparison of costs and performance, Lockton has been selected to continue providing health and welfare services to the City of Aspen. Within the VHA, some of the five large employers are choosing to retain Lockton’s services and others are moving to a new broker. Additionally, the continuity with continuing Lockton provides valuable institutional knowledge for the City’s complex benefits plan design. DISCUSSION: Per the agreement, Lockton will continue to offer a broad scope of services which are included in Attachment B of the Agreement. As a high-level overview, the services include but are not limited to an annual strategic health and welfare planning, support for billing, eligibility, and claim issues, employee communications, assistance with benefit compliance concerns, wellness consulting, pre-renewal negotiations with vendors for the City’s partially self-funded health, dental, life, supplemental life and vision plans along with providing financial analysis information. Benefits received also include a robust pharmacy benefit management pricing reconciliation audit which has resulted in reimbursements back to the City. 29 FINANCIAL IMPACTS: Health and welfare broker costs are managed within the internal 501-employee benefits fund. In 2020, Lockton recognized that the annual contract amount of $42,000 failed to take into consideration annual CPI over the past 14 years of service with the City of Aspen. Lockton was initially scheduled to increase the annual contract cost to $85,992 after taking into consideration the increase in the cost of staffing and services by Lockton since 2007. However, after extensive negotiations, the annual cost is scheduled to increase to $80,000 in 2021, along with commission currently being received under the pharmacy benefit management contract in the amount of $2.00 per prescription. Additional commissions received by a broker is industry standard. The total cost of $80,000 annually for broker and advisory services has been incorporated into the 2021 Budget and no new appropriation authority is requested above that existing amount. The broker and advisory cost is competitive in comparison to the other proposals received. ALTERNATIVES: Additional health and welfare brokers through the RFP process may be explored, however; the City of Aspen deemed Lockton as the best option at this time. With the goal of providing cost effective and high-quality brokerage services to employees in mind, staff will continue to work with the VHA members to evaluate the performance of alternate health and welfare brokers throughout the year. RECOMMENDATIONS: Staff recommends approving the Health and Welfare Services Agreement with Lockton based on their qualifications and reasons provided above. CITY MANAGER COMMENTS: ATTACHMENTS: A. 501 Employee Benefits Budget B. City of Aspen and Lockton Companies, LLC Services Agreement 30 31 RESOLUTION #98 (Series of 2020) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, APPROVING A SERVICES AGREEMENT BETWEEN THE CITY OF ASPEN AND LOCKTON COMPANIES, LLC, AND AUTHORIZING THE CITY MANAGER TO EXECUTE SAID AGREEMENT ON BEHALF OF THE CITY OF ASPEN, COLORADO. WHEREAS, there has been submitted to the City Council a Health and Welfare Services Agreement to continue benefit broker and advisory services with Lockton Companies, LLC, a true and accurate copy of which is attached hereto as “Exhibit A”. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, That the City Council of the City of Aspen hereby approves the agreement between the City of Aspen and Lockton Companies, LLC, a copy of which is annexed hereto and incorporated herein, and does hereby authorize the City Manager to execute said agreement on behalf of the City of Aspen. INTRODUCED, READ AND ADOPTED by the City Council of the City of Aspen on the 10 th day of November 2020. Torre, Mayor I, Nicole Henning, duly appointed and acting City Clerk do certify that the foregoing is a true and accurate copy of that resolution adopted by the City Council of the City of Aspen, Colorado, at a meeting held November 10, 2020. Nicole Henning, City Clerk 32 75207: City of Aspen\Perm\Fee Agr\2021\H&W Services Agr 0920.docx Services Agreement Page 1 of 14 Services Agreement This Services Agreement (the “Agreement”) made and entered into effective as of January 1, 2021 (“Effective Date ”), by and between CITY OF ASPEN (“Client ”) and the Mountain West Series of Lockton Companies, LLC (“Lockton”). In consideration of the mutual promises contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows: 1.TERM . This Agreement will be in effect from the Effective Date above on an annual basis and shall automatically renew for annual periods unless earlier terminated in accordance with the provisions of the Agreement. 2.COMPENSATION, DISCLOSURE AND PAYMENT TERMS 2.1 Compensation . All insurance brokerage and/or other insurance brokerage services provided by Lockton as set forth in Addendum A are services required by applicable law or regulation to be or are customarily performed by a licensed insurance broker (including a person designated by applicable law as a consultant licensed to render services as an insurance broker). Any services (other than services as a consultant licensed to render services as an insurance broker) that may from time to time be included in or rendered in connection with the foregoing services are embedded in or ancillary to the performance of Lockton’s insurance brokerage services and will be performed without separate payment for such consulting services (if any). Compensation for the services to be rendered under this Agreement shall consist of the following: •An annual fee in the amount of $80 ,000 •Commission under the Pharmacy Benefit Management contract in the amount of $2.00 per prescription •Additional compensation as described in Addendum B •As applicable, other compensation set forth below. 2.2 Disclosure. In addition to the compensation set forth above, Client acknowledges, consents and agrees that Lockton may also receive other forms of incentive compensation such as contingency payments, bonuses, overrides, prizes/awards and/or supplemental commissions or other commission-like payments from insurance companies, intermediaries (which may be affiliated with Lockton) or other third parties as a result of being Client’s insurance broker (collectively, “Additional Compensation”). Add endum B, receipt of which is hereby acknowledged, sets forth a disclosure of actual or estimated commissions and/or Additional Compensation, if any, Lockton may or will receive on account of its services provided to you or on your behalf. 2.3 Agreement to Forgo Receipt of Commissions. In consideration of Client’s agreement to pay the fee set forth in Section 2.1 above, Lockton agrees that it will request that Client’s insurers pay no base commissions to Lockton on those placements referenced in Addendum B as paying Lockton 0% (or “net”) base commission. In the event an insurance company cannot or will not issue coverage on a net of commission basis, or Client and Lockton subsequently mutually agree it is not in Client’s best interest, any such commissions will be disclosed to Client and returned to the insurance company with the request that the insurance company either credit the commission amount towards Client’s premium obligation or return it directly to the Client to the extent permitted by applicable law. If any insurance company refuses to credit or return commissions to Client, Lockton will return the commissions directly to the Client to the extent permitted by applicable law or, to the extent returning the commissions to Client is not permitted by applicable law, disclose to Client the amount of the commissions. Client acknowledges and agrees that any contemplated premium credit request or return of commission to an insurance company or Client will be done to accomplish and maintain the total agreed-upon compensation to Lockton and is not an inducement to purchase or renew coverage through Lockton. 2.4 Payment Schedule. Client shall pay the fee set forth above on the following payment schedule: Due Date Amount Due Monthly $6,667 Client will provide full payment to Lockton for all fee invoices submitted within 30 days of Client’s receipt of each invoice. Client grants Lockton a right to setoff any amounts Lockton owes to Client against any unpaid fees Client owes to Lockton. 2.5 Expenses. All travel expenses will be billed to the Client as incurred and are outside the scope of the compensation described above. Travel expenses include airfare, hotel, food and car rental. 2.6 No Offset. It is further agreed that no portion of any noncash compensation (e.g., meals, entertainment, travel, gifts, etc.) received by Lockton from any insurance company, intermediary, or other third party as a result, in whole or in part, of Lockton’s services as Client’s insurance broker shall be offset or credited against the compensation payable to Lockton as set forth above. 3.SERVICES 3.1 Scope of Services. It is hereby understood and agreed that in consideration of the compensation set forth above, Lockton will provide the consulting services outlined in Addendum A, which is attached to and made part of this Agreement. In the event Client: 1)requests that Lockton place coverage on any line(s) of business not indicated in Addendum B; 2) requests that Lockton provide other services beyond those set forth in Addendum A; or 3) makes an acquisition or otherwise experiences growth such that the level Attachment B 33 75207: City of Aspen\Perm\Fee Agr\2021\H&W Services Agr 0920.docx Services Agreement Page 2 of 14 and/or scope of services needed by Client shall significantly exceed the level of services as contemplated at the inception of this Agreement, Client and Lockton agree to review in good faith the additional services required and increase the fee set forth herein or agree to other compensation (such as commissions on additional placements) in addition to the fee. Such additional compensation shall be set forth in a written and signed addendum pursuant to Section 6.3 of this Agreement. 3.2 Use of Intermediaries. When in Lockton’s professional judgment it is necessary or appropriate, Lockton may utilize the services of intermediaries or other appropriate outside vendors to assist in the servicing and marketing of Client’s employee benefit programs. However, this may only be done after consultation with and prior approval by Client. Such intermediaries may or may not be affiliates of Lockton. Lockton will advise Client whether any such intermediary is an affiliate of Lockton. Under all circumstances, any and all compensation earned by any intermediary or outside vendor shall be in addition to the compensation paid to Lockton as described herein. 3.3 Modeling and Analytics Services. Lockton provides various modeling and/or data analytics services to its clients (“Modeling and Analytics Services”) and may provide such services to Client. Client authorizes Lockton 1) to disclose information it receives from Client, its insurers and/or third -party administrators to Lockton’s affiliates, parents, employees, and/or to third parties as necessary to perform such Modeling and Analytics Services, and 2) to contribute such information to benchmarking databases created by or for Lockton to facilitate the creation of analytic reports for its clients, provided that such reports shall not include any information that personally identifies Client or its employees. Modeling and Analytics Services will be based upon a number of assumptions, conditions and factors, as well as information provided by third parties. If any such information provided to or utilized by Lockton is inaccurate, incomplete or should change, the Modeling and Analytics Services provided by Lockton could be materially affected. As Modeling and Analytics Services are subject to inherent uncertainty and involve variables beyond Lockton’s control, actual results may differ materially from Lockton’s projections. The parties agree that Lockton shall have no liability to Client if 1) Lockton is provided inaccurate or incomplete information, or 2) actual results differ from Lockton’s projections. Modeling and Analytics Services do not constitute, and are not intended to be a substitute for, independent actuarial, accounting or tax advice. 4. TERMINATION OF SERVICES 4.1 Termination for Convenience. Client or Lockton may terminate this Agreement at any time with sixty (60) days’ wri tten notice to the other party. 4.2 Termination Upon Change in Broker of Record. However, should Client designate a broker other than Lockton as its exclusive broker of record at any time subsequent to the Effective Date for any reason, this Agreement shall terminate on the effective date of the change in broker of record ("BOR") rather than at the conclusion of the sixty (60) day notice period referenced in Section 4.1., above. 4.3 Fee Due at Termination. In the event that Client terminates this Agreement, either by BOR or by sixty (60) days written notice, all services will be discontinued on the effective date of termination and Lockton will assist in the transition to Client’s new broker/consultant. In such event, Lockton shall invoice Client for the services provided up to the effective date of termination on a pro rata basis in accordance with the compensation terms of this Agreement. If applicable, Lockton shall also be entitled to retain all commissions earned on Client’s placements through the effective date of termination. 5. CONFI DENTIALITY 5.1 Confidential Information. Lockton and Client acknowledge that the nature of Lockton’s services provided to Client may result in either party (the “Disclosing Party”) disclosing to the other party (the “Receiving Party”) certain of Disclosing Party’s information (“Information”), some of which may be of a confidential or proprietary nature. For purposes of this Agreement, Information shall mean any and all nonpublic information provided to the Receiving Party, which may include the Disclosing Party’s product, marketing, pricing or financial strategies; customer information; carrier rate and discount data; employee information; proprietary business processes or technologies; financial information and/or trade secrets. 5.2 Exclusions. Information shall not include any information that: 1) is or becomes publicly known and generally available in the public domain through no wrongful action or disclosure by the Receiving Party; 2) becomes known by the Receiving Party without any obligation to hold such information in confidence; 3) is received from a third party without similar restrictions known to the Receiving Party; 4) is independently developed by the Receiving Party without use of or reference to the Disclosing Party’s Information; or 5) The Receiving Party is required by law, regulation, summons, subpoena or similar judicial, regulatory or administrative order or proceeding to disclose, but only to the extent and for the purpose of such required disclosure, provided the Receiving Party, unless prohibited by law, gives the Disclosing Party prompt written notice of such required disclosure to enable the Disclosin g Party to pursue protective measures. 5.3 Receiving Party’s Confidentiality Duties. In consideration of the Disclosing Party's disclosure of Information to the Receiving Party, the Receiving Party hereby agrees as follows: A. The Receiving Party shall take all reasonable steps to protect the confidentiality of the Information and shall not use the Information for any purpose other than the advancement of the services contemplated herein. B. The Receiving Party shall not, without the prior written approval of the Disclosing Party, publish or disclose to others any of the Information, except that Client expressly authorizes Lockton to disclose Client's Information to underwriters, insurers, insurance-related intermediaries and/or other third parties as necessary for the purpose of providing the services contemplated herein. 34 75207: City of Aspen\Perm\Fee Agr\2021\H&W Services Agr 0920.docx Services Agreement Page 3 of 14 C. The Parties acknowledge that any unauthorized disclosure or use of the Information in violation of this Agreement by a Receiving Party may cause the Disclosing Party irreparable harm, and that money damages alone, the amount of which might be difficult to ascertain, might be an inadequate remedy and, therefore, agree that the Disclosing Party shall have the right to seek injunctive relief in addition to any other remedies otherwise available to the Disclosing Party at law or in equity. D. At the Disclosing Party's written request, the Receiving Party shall return to the Disclosing Party any and all records or documents constituting the Information, except that the Receiving Party shall be permitted to retain an archival copy of the Information pursuant to its record retention and regulatory and legal compliance requirements. If return of the Information is not feasible, the Receiving Party shall maintain the Information pursuant to the terms and conditions of this Agreement. 6. GENERAL CONDITIONS 6.1 Cooperation. Client shall provide Lockton with reasonable cooperation and assistance necessary for Lockton to fulfill its responsibilities to Client pursuant to the terms of this Agreement, including, without limitations, copies of all documents reasonably requested by Lockton and the cooperation of and access to certain of Client’s personnel. 6.2 Assignment. Neither party shall assign any rights or duties herein set forth without the prior written consent of the other party. 6.3 Entire Agreement. The terms and conditions of this Agreement constitute the entire Agreement between the parties with respect to the subject matter hereof. Subject to the provisions of Section 3.1, this Agreement shall not be amended except by a written amendment signed by both parties, and no promises, agreement, or representations not herein set forth shall be of any force or effect between them. This Agreement shall serve to terminate and supersede all agreements and undertakings heretofore entered into between the parties on subjects covered by this Agreement. 6.4 Indemnification. To the extent allowed by law, Lockton and Client shall indemnify, defend, and hold one another, their directors, officers, employees, agents, and representatives harmless from and against any and all claims, damages, losses, or expenses (including such parties’ reasonable attorney, accountant, and expert witness fees and costs) incurred by one party as the result of (i) a material breach by the other party of any of its obligations under this Agreement or (ii) any willful or negligent conduct of the other party. 6.5 Limitation of Liability. IN NO EVENT SHALL A PARTY BE LIABLE TO THE OTHER FOR ANY INDIRECT, CONSEQUENTIAL, INCIDENTAL, EXEMPLARY, SPECIAL OR PUNITIVE DAMAGES (INCLUDING, WITHOUT LIMITATION, LOST PROFITS AND LOST BUSINESS), ARISING OUT OF OR RELATED TO THIS AGREEMENT, EVEN IF IT HAS BEEN ADVISED OR IS AWARE OF THE POSSIBILITY OF SUCH DAMAGES, AND REGARDLESS OF WHETHER ARISING IN TORT (INCLUDING NEGLIGENCE), CONTRACT, OR OTHER LEGAL THEORY. IN ANY EVENT, THE LIABILITY OF ONE PARTY TO THE OTHER FOR ANY REASON AND UPON ANY CAUSE OF ACTION SHALL BE LIMITED TO TEN MILLION DOLLARS ($10,000,000.00). THIS LIMITATION APPLIES TO ALL CAUSES OF ACTION IN THE AGGREGATE. NOTWITHSTANDING ANYTHING TO THE CONTRARY CONTAINED HEREIN, THE EXCLUSIONS AND LIMITATIONS OF LIABILITY CONTAINED IN THIS SECTION SHAL L NOT APPLY TO: 1) ANY DAMAGES AWARDED IN CONJUNCTION WITH A FINAL JUDICIAL DETERMINATION OF FRAUD OR GROSS NEGLIGENCE OR 2) PERSONAL INJURY, INCLUDING DEATH, OR DAMAGE TO TANGIBLE PERSONAL PROPERTY CAUSED BY THE NEGLIGENT, WILLFUL OR INTENTIONAL ACTS OF A PARTY OR ITS EMPLOYEES, AGENTS OR SUBCONTRACTORS. REFERENCES TO A PARTY IN THIS SECTION INCLUDE SUCH PARTY’S DIRECTORS, OFFICERS, EMPLOYEES, MEMBERS, AGENTS AND DOMESTIC AND INTERNATIONAL AFFILIATED ENTITIES. 6.6 Accuracy and Completeness of Information. Client shall be solely responsible for the accuracy and completeness of all information furnished to Lockton and/or to underwriters, insurers, insurance-related intermediaries and/or other third parties as necessary for the services contemplated herein. Lockton shall not be responsible for independently verify ing the accuracy or completeness of any information that Client provides, and Lockton shall be entitled to rely on such information. Lockton shall have no liability for any errors, deficiencies or omissions in any services provided to Client, including the placement of insurance on Client's behalf, that are the result of, arise from, or are based on inaccurate or incomplete information provided to Lockton. Client understands that the failure to provide accurate and complete information to an insurer, whether intentional or by error, could result in the denial of claims or rescission of coverage altogether. Client will review all policy documents provided to Client by Lockton and shall inform Lockton of any inaccuracies, deficiencies or discrepancies contained therein. 6.7 Use of a Particular Insurer. Lockton is not obligated to utilize any particular insurer. In addition, Lockton is not authorized to make binding commitments on behalf of any insurer, except under certain circumstances which Lockton shall endeavor to make known to Client. Lockton shall not be responsible for the solvency of any insurer or its ability or willingness to pay claims, return premiums or other financial obligations. Lockton does not guarantee or make any representation or warranty that insurance can be placed on terms acceptable to Client. Lockton will not take any action to replace Client's insurers unless Client instructs Lockton to do so. 6.8 No Reliance. Any reports or advice provided by Lockton should not be relied upon as accounting, legal, actuarial or tax advice. In all instances, Lockton recommends that Client seek independent advice on such matters from professional accounting, legal, actuarial and tax advisors. 6.9 Responsibility for Insurance Programs. Lockton will not be responsible for the adequacy or effectiveness of any insurance programs or policies implemented or placed by another broker, including, without limitation, any acts or omissions occurring prior or subsequent to Lockton's engagement. 6.10 Relationship between the Parties. Client acknowledges and agrees that in no event shall Lockton owe any enhanced or special duties to Client, express or implied, in fact or by law, whether 35 75207: City of Aspen\Perm\Fee Agr\2021\H&W Services Agr 0920.docx Services Agreement Page 4 of 14 referred to as a special relationship or fiduciary relationship or otherwise, except to the extent required by applicable law. 6.11 Notices. Any communication or notice required or which may be given hereunder shall be addressed to Client and to Lockton at their respective addresses as follows: CLIENT CITY OF ASPEN 130 South Galena Street 2nd Floor Aspen , CO 81611 Attn: Title: LOCKTON MOUNTAIN WEST SERIES OF LOCKTON COMPANIES, LLC 8110 East Union Suite 700 Denver, CO 80237 Attn: Mark Bundy Title: Executive Vice President and Chief Operating Officer 6.12 Governing Law. This Agreement shall be governed for all purposes by the laws of the state of Colorado. <The rest of this page is intentionally left blank. Signature page to follow.> 36 75207: City of Aspen\Perm\Fee Agr\2021\H&W Services Agr 0920.docx Services Agreement Page 5 of 14 In witness whereof, the parties hereto have executed the Agreement in duplicate intending each copy to serve as an original as of the day and year first written above. MOUNTAIN WEST SERIES OF LOCKTON COMPANIES, LLC BY: Mark Bundy Executive Vice President and Chief Operating Officer DATE: CITY OF ASPEN BY: DATE: 37 Addendum A –Agreement Services 75207: City of Aspen\Perm\Fee Agr\2021\H&W Services Agr 0920.docx Services Agreement Page 6 of 14 Scope of Services STRATEGIC PLANNING COST • Conduct annual health & welfare program assessment to assist in developing short and long- term goals • Conduct strategic planning meeting(s) with senior management • Recommend possible program modifications that support business goals/objectives Included in Fee ACCOUNT MANAGEMENT COST • Prepare annual client service plan to reflect agreed upon projects, assigned accountabilities and timeframes • Provide support to client HR team with vendor service issues (billing, eligibility, claims, etc.) • Coordinate and attend vendor meetings (e.g., annual plan performance reviews, planning meetings, etc.) • Assist client HR team with employee benefit related compliance inquiries Included in Fee RENEWALS/MARKETING COST • Conduct pre-renewal strategy meeting to establish goals and objectives • Analyze and negotiate all vendor renewals • Prepare and release vendor RFPs as needed • Prepare and present pre-renewal and final renewal reports including RFP (marketing) reports (if appl icable) • Facilitate and attend RFP finalist presentations (if applicable) • Negotiate final terms, conditions and performance guarantees with all vendors • Assist with finalizing plan design, rates and contribution structure • Manage new vendor implementation process (if applicable) Included in Fee FINANCIAL ANALYSIS AND DATA ANALYTICS COST • Prepare, deliver and review financial reporting package showing monthly spend vs. budget • Prepare mid-year budget/renewal projection • Prepare final annual budget/renewal report • Provide COBRA rates (self-funded) • Analyze funding options (medical, dental & vision plans); conduct self-funding feasibility study (if applicable) • Provide impact of plan design changes and an interactive contribution and benefits modeler (ICBM) to include cost projections, employee/employer contribution strategies and enrollment migration estimates • Provide annual IBNR reserve calculation for self-funded plans (non-certified; certified-separate fee may apply) • Conduct provider network discount analysis • Provide annual Infolock® reporting including detailed information on medical and pharmacy claims utilization, chronic disease prevalence, care gaps, cost management opportunities, wellness program compliance, etc. Included in Fee BENCHMARKING COST • Prepare Lockton standard benchmark report using Lockton and other public data Included in Fee • Develop custom benchmark reporting (data not readily available using Lockton or other public data) Not Included in Fee 38 Addendum A –Agreement Services 75207: City of Aspen\Perm\Fee Agr\2021\H&W Services Agr 0920.docx Services Agreement Page 7 of 14 Scope of Services PHARMACY ANALYTICS AND MANAGEMENT COST • Provide general pharmacy benefit consulting and support • Conduct general evaluation of the current pharmacy program purchasing arrangement • Evaluation of PBMs and group purchasing options to provide objective consultation and maximize purchasing power. o Prepare and release RFP to selected PBMs o Analyze RFP responses and provide bid comparison o Conduct formulary and pharmacy disruption analysis o Facilitate finalist meetings o Negotiate vendor contract terms and conditions o Facilitate vendor implementation • Pricing Reconciliation Audit o Audit contractual guarantees (e.g., discounts, dispensing fees, rebates, adjudication) to determine whether the PBM hit its guarantees o Work with the PBM to ensure that all monetary shortfalls are recovered on behalf of the client • Comprehensive program review and specific recommendations delivered on: o Formulary optimization o Interpretation of clinical program recommendations and reporting provided by PBM o Review narcotic utilization to support fraud, waste and abuse programming o Identify measures to improve plan efficiency Included in Fee EMPLOYEE COMMUNICATIONS COST • Provide Lockton standard employee communications (e.g., benefit update, benefit guide) in electronic copy. Standard of three proofs included in fee. • Provide standard monthly wellness newsletter with client logo • Develop and administer online employee survey (Survey Monkey) Included in Fee (Printing not included) • Assist with annual enrollment process (timing, communications, etc.)  Lockton will attend in-state meetings with a minimum of 25 in attendance; maximum of one (1) benefit fair per year  Prepare open enrollment written communications (e.g., PowerPoint presentation)  Create Brainshark enrollment presentation  Conduct train the trainer sessions with HR staff • Develop customized employee communication pieces Not Included in Fee • Compensation and/or benefit statements (Lockton outsources to third party vendor. Cost will be billed directly to client by selected vendor.) Not Included in Fee 39 Addendum A –Agreement Services 75207: City of Aspen\Perm\Fee Agr\2021\H&W Services Agr 0920.docx Services Agreement Page 8 of 14 Scope of Services COMPLIANCE SERVICES COST • Provide assistance with relevant regulatory matters (e.g., ERISA, COBRA, HIPAA, IRC) • Provide regular updates on legislation affecting benefit programs • Review plan documents, vendor contracts and SPDs; manage updates annually • Prepare signature-ready Form 5500 • Provide compliance newsletters, Alerts via email; client seminar(s) • Prepare prototype wrap document (Wrap 360) • Health Care Reform compliance analysis • Access to ThinkHR portal Included in Fee • Prepare custom wrap and cafeteria plan documents • Conduct nondiscrimination testing Not Included in Fee STOP LOSS PROCUREMENT/MANAGEMENT COST • Conduct stop loss insurance marketing as needed • Provide stop loss deductible and attachment level analysis, including predictive modeling analysis (if applicable) • Policy/contract review Included Coverage placed by Lockton Stop Loss Specialty Practice (SLSP) includes: Clinical reviews: • Track top 5 claimants • Clinical notes on condition and treatment • Laser reviews • Continual review process at 50% of specific deductible Reviews analyze: • Treatment appropriateness • Medical necessity • Site of care • Coding errors • Network status • Pharmacy utilization • Alternative treatment methods • Fraud and abuse • Cost of care efficiency Reimbursement filing support and reconciliation Included. These services are provided through a 5% general agent fee paid directly to SLSP by carriers. This general agent fee does not affect stop loss premium. Enhanced Clinical Services • Greater number of claimants and frequency of clinical reviews • Real time review and discussion with care team on quality and cost-effectiveness of various treatment options • Usage pattern and provider analysis • Detailed reporting Not Included in fee (25% of savings) ACTUARIAL SERVICES COST • Prepare FAS 106 retiree medical valuations • Prepare GASB 45 valuations Not Included in Fee 40 Addendum A –Agreement Services 75207: City of Aspen\Perm\Fee Agr\2021\H&W Services Agr 0920.docx Services Agreement Page 9 of 14 Scope of Services HEALTH RISK SOLUTIONS (HRS) – WELLNESS COST • Assist with HRS program development; establish long term strategies, goals and objectives • Assist with vendor selection, evaluation and management • Manage third party vendor integration • Evaluate performance of wellness and disease management programs via historical metrics • Provide readiness assessment tool • Prepare and distribute vendor RFPs – facilitate finalist interviews, negotiate contracts, and assist with vendor implementation Included in Fee TECHNOLOGY CONSULTING COST • Prepare and release RFP for enrollment vendor including communications and call center • Provide situational analysis of current HR, payroll, benefits and/or time technology process • Facilitate vendor selection process for HR, payroll, benefits, and/or time technology and services • Provide implementation oversight of vendor(s) Not Included in Fee VOLUNTARY/WORKSITE BENEFITS COST • Provide general consulting and advisory support Included in Fee • Prepare and release RFP for vendors • Assist with enrollment vendor evaluation • Assist with implementation of voluntary benefit plans • Review voluntary benefits to identify gaps in coverage BENEFITS ENGAGEMENT COST • Develop voluntary benefits strategy to fund technology platforms • Provide open enrollment support through onsite counselors, call-center or self service • Develop benefit website housing all key client benefit information and educational materials • Provide benefit administration system set-up, implementation and training • Implement carrier feeds to simplify benefit reporting • Implement new hire program to enroll, educate and onboard Not included in Fee 41 Addendum B – Compensation Disclosure Statement 75207: City of Aspen\Perm\Fee Agr\2021\H&W Services Agr 0920.docx Copyright 2020 Lockton Companies, LLC. All rights reserved. The contents of this document are proprietary and confidential. Unauthorized duplication of this document is prohibited. Page 10 of 14 Thank you for giving Lockton Companies, LLC, the opportunity to provide insurance brokerage and/or other insurance services to you on behalf of your employee benefit plans. The purpose of this Compensation Disclosure Statement is to explain the circumstances under which Lockton may receive compensation from insurance companies and other entities for the services we provide on your behalf, and the method by which the amount of that compensation is determined. As your broker (or, if an insurance broker is so designated under applicable law, as your consultant licensed to render services as an insurance broker), Lockton may assist you with (i) the placement of one or more insurance contracts offered by employee benefits insurers and/or (ii) services related to one or more self-funded plans administered in whole or in part by an insurance company or other entity, such as a third-party administrator (“TPA”). Any reference herein to a “consultant” shall mean a person designated as a “consultant” under applicable law governing persons who render services as an insurance broker. Upon placement of a policy with an insurance company, Lockton typically receives compensation from that insurer. This compensation may differ in form and amount depending on the product and the insurer. In cases where Lockton facilitates the placement of an administrative services contract with an insurance company or TPA, Lockton might receive commission -like payments from that carrier or TPA. There are generally three types of commission or commission-like payments made by insurance carriers and TPAs to employee benefit brokers and consultants: 1. Base Commissions—Typically, base commission is equal to a percentage of the policy premiums paid by the contract holder. The rate and amount of commission may vary based on the specific circumstances of an individual policy placement. 2. Additional Compensation—Contingency payments, bonuses, overrides, prizes/awards and/or supplemental commissions or other commission-like payments from insurance companies, intermediaries (which may be affiliated with Lockton) or other third parties as a result of being Client’s insurance broker (collectively, “Additional Compensation”) are typically based upon factors such as the overall premium volume placed with a particular insurer, premium growth year-over-year, retention/persistency and the profitability of all the business placed with that insurer on a national basis. Historically, Additional Compensation received by Lockton has ranged from 0.5-5% of overall premium volume placed with an insurer. Additional Compensation is not considered part of the base commissions, and typically is not based upon or contingent on the sale of any particular policy to a particular insured, and does not affect the premium you pay. Some carriers may take into account administrative-services-only contracts placed with the carrier by the broker or consultant on a client’s behalf when calculating Additional Compensation. 3. Administrative Service Fees—Insurance companies and TPAs may pay a commission-like fee for services rendered to arrange for the insurance company or TPA to administer a client’s self-insured benefit program. Attached you will find a summary description of the compensation we believe Lockton is or may be entitled to receive from the insurance companies and/or other entities listed in the attachment that is attributable to the insurance or administrative service contracts placed with those insurers or other entities on your behalf. Lockton will update this Compensation Disclosure Statement as the information in the attachment changes (i.e., as contracts are placed or renewed, or there are material changes to the terms and conditions of Lockton’s compensation from insurance carriers and other entities providing insurance and/or administrative services to you). Please note that insurance companies are required to disclose to most clients the base and supplemental commissions and other incentive compensation they pay to the clients’ brokers and consultants. They are also required to disclose the value of certain gratuities and gifts (business lunches, tickets to sporting events, etc.) supplied to Lockton Producers and Associates if those items are supplied directly or indirectly in relation to your insurance contract. These amounts are to be reflected as part of the carriers’ Form 5500 Schedule A disclosures supplied to you. Because carriers might employ different methods for tracking, tabulating, and allocating these various items, the amounts reflected on your Schedule A information might vary somewhat from the amounts reflected in our attached summary of anticipated compensation. Please feel free to contact us if you have any questions regarding this Compensation Disclosure Statement. 42 Compensation Disclosure 75207: City of Aspen\Perm\Fee Agr\2021\H&W Services Agr 0920.docx Copyright 2020 Lockton Companies, LLC. All rights reserved. The contents of this document are proprietary and confidential. Unauthorized duplication of this document is prohibited. Page 11 of 14 Compensation Disclosure – Attachment Sheet 1 of 4 Sheet(s) Lockton believes it is or may be entitled to receive the compensation listed below, from the insurance companies and/or other entities listed below, attributable to the insurance and/or administrative service contracts placed with those insurers and/or other entities on your behalf. Client Name: CITY OF ASPEN Insurer or TPA: HealthEquity, Inc. Policy or Benefit Type: Health Savings Account Plan Name: Health Savings Account Policy / Contract Year: Effective Date 1/1/2016 to Expiration Date 1/1/2030 Base Commissions: Health Savings Account Rate - Net of commission Additional Compensation: This insurer/TPA does not have an Additional Compensation program in place that might apply to the placement of your policy(ies) or administrative-services-only contract(s). Client Name: CITY OF ASPEN Insurer or TPA: UNUM Policy or Benefit Type: Life and AD&D Plan Name: Life/AD&D Policy / Contract Year: Effective Date 1/1/2019 to Expiration Date 1/1/2021 Base Commissions: Life/AD&D Rate - Net of commission Additional Compensation: This insurer/TPA does have an Additional Compensation program in place that might apply to the placement of your policy(ies) or administrative-services-only contract(s). Upon request, Lockton can provide you with a more detailed description of the manner in which the Additional Compensation that Lockton may receive under such program would be calculated. Client Name: CITY OF ASPEN Insurer or TPA: UNUM Policy or Benefit Type: Voluntary Life Plan Name: Voluntary Life Policy / Contract Year: Effective Date 1/1/2019 to Expiration Date 1/1/2021 Base Commissions: Voluntary Life Rate - Net of commission Additional Compensation: This insurer/TPA does have an Additional Compensation program in place that might apply to the placement of your policy(ies) or administrative-services-only contract(s). Upon request, Lockton can provide you with a more detailed description of the manner in which the Additional Compensation that Lockton may receive under such program would be calculated. Client Name: CITY OF ASPEN Insurer or TPA: UNUM Policy or Benefit Type: Long Term Disability (LTD) Plan Name: LTD Policy / Contract Year: Effective Date 1/1/2019 to Expiration Date 1/1/2021 Base Commissions: LTD Rate - Net of commission Additional Compensation: This insurer/TPA does have an Additional Compensation program in place that might apply to the placement of your policy(ies) or administrative-services-only contract(s). Upon request, Lockton can provide you with a more detailed description of the manner in which the Additional Compensation that Lockton may receive under such program would be calculated. 43 Compensation Disclosure 75207: City of Aspen\Perm\Fee Agr\2021\H&W Services Agr 0920.docx Copyright 2020 Lockton Companies, LLC. All rights reserved. The contents of this document are proprietary and confidential. Unauthorized duplication of this document is prohibited. Page 12 of 14 Compensation Disclosure – Attachment Sheet 2 of 4 Sheet(s) Lockton believes it is or may be entitled to receive the compensation listed below, from the insurance companies and/or other entities listed below, attributable to the insurance and/or administrative service contracts placed with those insurers and/or other entities on your behalf. Client Name: CITY OF ASPEN Insurer or TPA: Allegiance (TPA) Policy or Benefit Type: Medical PPO Plan Name: HDHP (HSA-eligible) Policy / Contract Year: Effective Date 1/1/2020 to Expiration Date 1/1/2021 Base Commissions: HDHP Rate - Net of commission Additional Compensation: This insurer/TPA does not have an Additional Compensation program in place that might apply to the placement of your policy(ies) or administrative-services-only contract(s). Client Name: CITY OF ASPEN Insurer or TPA: Allegiance (TPA) Policy or Benefit Type: Medical PPO Plan Name: HRA Policy / Contract Year: Effective Date 1/1/2020 to Expiration Date 1/1/2021 Base Commissions: HRA Rate - Net of commission Additional Compensation: This insurer/TPA does not have an Additional Compensation program in place that might apply to the placement of your policy(ies) or administrative-services-only contract(s). Client Name: CITY OF ASPEN Insurer or TPA: Allegiance (TPA) Policy or Benefit Type: Dental PPO Plan Name: Dental PPO Policy / Contract Year: Effective Date 1/1/2020 to Expiration Date 1/1/2021 Base Commissions: Dental Rate - Net of commission Additional Compensation: This insurer/TPA does not have an Additional Compensation program in place that might apply to the placement of your policy(ies) or administrative-services-only contract(s). Client Name: CITY OF ASPEN Insurer or TPA: Allegiance (TPA) Policy or Benefit Type: Vision Plan Name: Vision Plan Policy / Contract Year: Effective Date 1/1/2020 to Expiration Date 1/1/2021 Base Commissions: Vision Plan Rate - Net of commission Additional Compensation: This insurer/TPA does not have an Additional Compensation program in place that might apply to the placement of your policy(ies) or administrative-services-only contract(s). 44 Compensation Disclosure 75207: City of Aspen\Perm\Fee Agr\2021\H&W Services Agr 0920.docx Copyright 2020 Lockton Companies, LLC. All rights reserved. The contents of this document are proprietary and confidential. Unauthorized duplication of this document is prohibited. Page 13 of 14 Compensation Disclosure – Attachment Sheet 3 of 4 Sheet(s) Lockton believes it is or may be entitled to receive the compensation listed below, from the insurance companies and/or other entities listed below, attributable to the insurance and/or administrative service contracts placed with those insurers and/or other entities on your behalf. Client Name: CITY OF ASPEN Insurer or TPA: UNUM Policy or Benefit Type: Voluntary AD&D Plan Name: Voluntary AD&D Policy / Contract Year: Effective Date 1/1/2020 to Expiration Date 1/1/2021 Base Commissions: Voluntary AD&D Rate - Net of commission Additional Compensation: This insurer/TPA does have an Additional Compensation program in place that might apply to the placement of your policy(ies) or administrative-services-only contract(s). Upon request, Lockton can provide you with a more detailed description of the manner in which the Additional Compensation that Lockton may receive under such program would be calculated. Client Name: CITY OF ASPEN Insurer or TPA: OptumHealth Policy or Benefit Type: Stop Loss Plan Name: Stop Loss Policy / Contract Year: Effective Date 1/1/2020 to Expiration Date 1/1/2021 Base Commissions: stop loss Rate - Net of commission Additional Compensation: This insurer/TPA does not have an Additional Compensation program in place that might apply to the placement of your policy(ies) or administrative-services-only contract(s). Client Name: CITY OF ASPEN Insurer or TPA: DirectPath, LLC. Policy or Benefit Type: Patient Advocacy Plan Name: DirectPath Policy / Contract Year: Effective Date 1/1/2020 to Expiration Date 1/1/2021 Base Commissions: $0.00 per Month Additional Compensation: This insurer/TPA does not have an Additional Compensation program in place that might apply to the placement of your policy(ies) or administrative-services-only contract(s). Client Name: CITY OF ASPEN Insurer or TPA: Rx Benefits Policy or Benefit Type: Pharmacy Services Plan Name: Pharmacy Services Policy / Contract Year: Effective Date 1/1/2020 to Expiration Date 1/1/2021 Base Commissions: $2.00 per Script Additional Compensation: This insurer/TPA does not have an Additional Compensation program in place that might apply to the placement of your policy(ies) or administrative-services-only contract(s). 45 Our Mission To be the worldwide value and service leader in insurance brokerage, risk management, employee benefits, and retirement services Our Goal To be the best place to do business and to work RISK MANAGEMENT | EMPLOYEE BENEFITS | RETIREMENT SERVICES www.lockton.com © 2020 Lockton, Inc. All rights reserved. 46 City of Aspen Budget501 ‐ Employee Benefits Fund2019 2020 2020 2021 2021 2021 2022 2023 2024 2025ActualsAdjusted Budget Forecast Base BudgetSupplemental Requests & Reductions Request Projection Projection Projection ProjectionOpening Balance$3,783,892 $3,542,157 $3,542,159 $3,471,129 $3,471,129 $3,155,829 $2,835,539 $2,536,859 $2,258,63945521 ‐ Refund Of Expenditures ‐ Stop Loss$200,657 $150,000 $150,000 $153,000$0 $153,000 $200,000 $216,000 $233,280 $251,94045522 ‐ Refund Of Expenditures ‐ Prescriptions$126,824$0 $50,000 $50,000$0 $50,000 $50,000 $50,000 $50,000 $50,00045711 ‐ Employee Premiums$672,513 $690,000 $760,000 $767,600$0 $767,600 $829,010 $895,330 $966,960 $1,044,32045712 ‐ Employer Premiums$4,516,230 $4,635,000 $4,880,000 $4,977,600$0 $4,977,600 $5,375,810 $5,805,870 $6,270,340 $6,771,97045721 ‐ COBRA Revenues$52,131$0 $15,000 $15,000$0 $15,000 $15,000 $15,000 $15,000 $15,00046111 ‐ Pooled Cash Investment Income$121,528 $63,880 $26,570 $17,000$0$17,000 $31,560 $42,530 $50,740 $45,170Other Revenues$255$0 $100 $200$0 $200 $200 $200 $200 $200Unallocated Revenues$5,690,139 $5,538,880 $5,881,670 $5,980,400$0 $5,980,400 $6,501,580 $7,024,930 $7,586,520 $8,178,600Revenues In$5,690,139 $5,538,880 $5,881,670 $5,980,400$0 $5,980,400 $6,501,580 $7,024,930 $7,586,520 $8,178,600Total Revenues$5,690,139 $5,538,880 $5,881,670 $5,980,400$0 $5,980,400 $6,501,580 $7,024,930 $7,586,520 $8,178,60099971 ‐ Administrative Costs$208,731 $209,800 $177,100 $240,700$0 $240,700 $245,510 $250,410 $255,410 $260,53099972 ‐ Employee Health Wellness and Safety$265,155 $346,800 $365,600 $408,200$0 $408,200 $411,680 $415,230 $418,840 $422,53099973 ‐ Reinsurance$508,158 $650,000 $510,000 $550,800$0 $550,800 $661,000 $714,000 $771,000 $833,00099974 ‐ Claims Paid$4,949,829 $4,600,000 $4,900,000 $5,096,000$0 $5,096,000 $5,503,680 $5,943,970 $6,419,490 $6,933,050Operating$5,931,874 $5,806,600 $5,952,700 $6,295,700$0 $6,295,700 $6,821,870 $7,323,610 $7,864,740 $8,449,110Total Uses$5,931,874 $5,806,600 $5,952,700 $6,295,700$0 $6,295,700 $6,821,870 $7,323,610 $7,864,740 $8,449,110Ending Fund Balance$3,542,157 $3,274,437 $3,471,129 $3,155,829$3,155,829 $2,835,539 $2,536,859 $2,258,639 $1,988,129Change in Fund Balance($241,735) ($267,720) ($71,030) ($315,300)$0 ($315,300) ($320,290) ($298,680) ($278,220) ($270,510) Employee Benefits - Page 1 Attachment A 47 MEMORANDUM TO:Mayor and City Council FROM: Nicole Henning, City Clerk DATE OF MEMO:November 5th, 2020 MEETING DATE:November 10th, 2020 RE:Board Appointments By adopting the Consent Calendar, Council is making the following Board Appointments: Open Space and Trails Board – One Regular Member Ted Mahon Open Space and Trails Board – One Alternate Member Dan Perl 48 1 REGULAR MEETING ASPEN CITY COUNCIL OCTOBER 27TH, 2020 At 5:00 p.m. Mayor Torre called the regular meeting to order with Councilmembers Richards, Mesirow, Mullins and Hauenstein joining via video conference. SCHEDULED PUBLIC APPEARANCES: Pitkin County Clerk, Janice Vos Caudill Ms. Vos Caudill gave an election update and said she has received over 7000 voted mail ballots so far. Early voting is in process at the Aspen Jewish Community Center and is taking place between 8:30 a.m.- 4:30 p.m. Monday through Friday and on Saturday from 10:30 a.m. - 2:00 p.m. Election day they will be open from 7:00 a.m. – 7:00 p.m., and they will be implementing 7 foot distancing and masks. Yesterday was the last day to mail out a mail ballot. The Basalt library is also being used this year due to COVID, but she urged people to please be safe and vote your mail ballot if possible, instead of coming in person. They will be reporting numbers sometime after 7:00 p.m. on election night. People can also check pitkinvotes.com for election night reporting. Councilwoman Mullins thanked Janice and mentioned the ballot tracking via BallotTrax. She said she signed up for it and received a response right away. She said it’s very gratifying. CITIZEN COMMENTS: Peter Fornell – Mr. Fornell said he’s a longtime local Aspen citizen. He saidwhen he built the housing project at 500 West Main St., it was in the mixed-use zone district. When he was developing this at the time, it was 100% an affordable housing project. He said HPC turned him down flat for his 1.2 to 1 recommendation and he got even less than 1 to 1 floor area. He went to Amy Simon at the time and was struck down by her and HPC, so he walked away from that deal. If that had not happened, there would currently be 5 affordable housing units on-site today. Here’s here tonight, because not only was the new owner granted a lot split, which he was not able to get, but this also allows them to build a spec house. Mr. Fornell said he would like to know who was in charge of giving this lot split out and asked how council feels about the equitability of how this went down. Councilwoman Mullins said that HPC is reviewing this tomorrow night, and she will be in attendance. Jim True said she may have to recuse herself if she makes comments before it comes to council. She was on HPC when the Mesa store was redeveloped. Mr. True said he would caution council in discussing this too much further. He is happy to look into this and discuss it more and will get more information from Ms. Simon and Mr. Fornell. Mr. Fornell asked that council encourage HPC to continue this item tomorrow night until all the details get straightened out with everyone. Mayor Torre advised Pete to call in for public comment tomorrow night and ask for continuation at HPC. Miller Ford – Mr. Ford said he is back to discuss the fact that Aspen 12-step meetings have officially been left out in the cold. They had to meet outside yesterday. He said that council supported him when he came to speak at the last two meetings, but nothing has been done, and they still have no long-term solution. He asked that they don’t become the council to ignore the sick and suffering. He said they need shelter for 3 hours a week on Monday, Wednesday and Friday. Mayor Torre said that he and Mr. Ford have been in touch several times over the past couple of weeks. He and Courtney DeVito have put in much effort into helping them find a space. He said they are all 49 2 REGULAR MEETING ASPEN CITY COUNCIL OCTOBER 27TH, 2020 concerned about this and we will continue to do outreach for this and keep looking. He’s really trying to find solutions. Councilwoman Mullins said that their silence doesn’t meant that they don’t support them. She said they all do for various reasons, and they are also looking for a place for the foodbank of the Rockies currently. She has plenty of faith that they will continue to look and find something for use. Councilman Mesirow apologized for their lack of performance thus far. He said he 100% supports this group. He said he would also like some clarity around this from staff. City Manager, Sara Ott, said they’ve gone above and beyond and have bent over backwards and have not dropped the ball, but it’s almost impossible to find space for anything right now for this group size, which can be opened up to the public. She said they will continue to reach out and try to find something that will work. Lee Mulcahy – Mr. Mulcahy said he is grateful about his victory last week in the court of appeals. He is super grateful. Mr. Mulcahy mentioned up Sonya Bolerjack being thrown out with her two children in the winter by APCHA. He said that Skippy tried to advocate for her in the most recent APCHA meeting. He said we should all thank APCHA’s attorney for his service along with the deputy director but said it’s time to move on. He encouraged people to vote for Steve Child for Pitkin County Commissioner. He said he wants peace and settlement. He said that Sonya should have been able to pay a fine instead of being evicted. He said that regarding his own case, he will pay the fine and do community service and will show compliance. COUNCILMEMBER COMMENTS: Councilman Mesirow said people need to get out there and vote and that we are so close now. Councilman Hauenstein said to vote like democracy depends on it, because it does. Councilwoman Mullins mentioned how hard everyone at ACRA is working to make this an ok winter due to COVID. We heard from Ski Co and RFTA and everyone just needs to be patient, as plans change for better or worse. Everyone is working their tails off. She reiterated voting and said there are only six days left and the blue book is a great resource in making your decisions and clarifying issues. Councilwoman Richards said COVID is exploding in Colorado again now and we keep having to tighten up restrictions and lose variances that were granted. She asked everyone to remain vigilant and continue with precautions. Mayor Torre said voting is so important. He encouraged people to vote yes on the Gallagher repeal and to support the tobacco tax and the school tax. He picked up where Rachel left off with vigilance and said trends are going up. The virus still transmitting in our valley, and what we do now will determine how we go into winter and what kinds of restrictions and regulations we go in with. He said that Halloween holds tradition of great celebration in Aspen, but he’s asking everyone to exercise caution. These are the days setting us up for success. He apologized for the length of the meeting last night. 50 3 REGULAR MEETING ASPEN CITY COUNCIL OCTOBER 27TH, 2020 AGENDA AMENDMENTS: Mayor Torre said he will be adding an item under action items for City of Aspen holiday facility hours during the holidays. Direction is needed for staff on what to provide on hours over the Christmas and New Years Eve time frame. CITY MANAGER COMMENTS: Ms. Ott said some of our law enforcement staff has been in Grand county assisting with wildfire management. She said these staff members are going above and beyond, and that regarding public health, the governor made changes this past week and took the informal gatherings down to 10 people and are limited to no more than two households. This is a short-term sacrifice for long term gain as the Mayor said, and there are other creative ways to celebrate the holidays. The strategy on winter continues as we are adding on the use of Wagner Park for review and discussion. On November 9 th, we will bring back a final conversation for retail right of way usage. The language in the current resolution for tonight, is regarding restaurants only. We will also continue to work with our partners at the county, Ski Co, etc. on testing and there has been some progress made. We will receive further information at Board of Health on Thursday. BOARD REPORTS: Councilmember Richards said Club 20 held their Pitkin County caucuses last week, and she was re- elected for the representative for Pitkin County and Tara Nelson volunteered to be an alternate. Councilmember Mesirow said he attended Northwest COG with a report on statewide opioid issues. They are also working to drive the conversation on fire bans. He also had APCHA last week and dove into the first half of their workplan. Mayor Torre said he had ACRA regarding winter tourism outlook. It was updates from various sectors and what to expect for winter. PROCLAMATION: Susan Arenella Retirement Mayor Torre read the proclamation. Oct 27th, 2020 is declared as Susan Arenella career appreciation day. Council thanked her for her 30 years of service, and she will be greatly missed. Ms. Arenella thanked many people among her husband and she said they will still be around here in the valley. CONSENT CALENDAR: Councilwoman Richards moved to approve; Councilwoman Mullins seconded. Roll call vote: Hauenstein, yes; Mesirow, yes; Mullins, yes; Richards, yes; Torre, yes. 5-0, motion carried. NOTICE OF CALL UP: 611 W. Main – Kevin Rayes Mr. Rayes said this project received conceptual approval from HPC on September 9th. It has seven onsite affordable housing units. The purpose of the project is to generate credits, and 14.75 FTE credits would be established. This is a locally designated landmark on a 9000 squarefoot lot and in the mixed- use zone district. This received a 3-0 vote to approve it by HPC, and staff is suggesting no call up. Councilman Mesirow said he has no issues with this. 51 4 REGULAR MEETING ASPEN CITY COUNCIL OCTOBER 27TH, 2020 Councilwoman Mullins said she has no interest in calling this up. It’s a really good project. Councilman Hauenstein said he has no desire to call this up. Councilwoman Richards said this is a good fit for the neighborhood and thanked everyone for a job well done. NOTICE OF CALL UP: 225 N. Mill – Kevin Rayes Mr. Rayes said approval was received on this by Planning & Zoning on October 6 th. This is located in the neighborhood commercial zone district on a 18,000 square foot lot and has a planned development overlay. This project is to develop an enclosed glass entry to accommodate a new elevator and stairway and this will improve pedestrian access to the building. This will become ADA compliant, and the HVAC equipment will also be updated. This received a 7-0 approval from P&Z, and staff is not recommending a call up. Councilwoman Richards said she is not interested in calling this up and thanked them for their work. Councilwoman Mullins said she is not interested in calling this up either. Mayor Torre said he has no desire to call this up. PUBLIC HEARINGS: Ordinance #16, Series of 2020 – Authorization of the Kids First Advisory Board – Shirley Ritter Ms. Ritter said this is for the authorization of the Kids First Advisory Board, which she explained at the last meeting, never had an ordinance signed. Nothing has changed for second reading, except she added the members to the memo. Councilwoman Mullins asked if she has a plan to stagger the appointments going forward and Ms. Ritter said the current members already have three-year terms, and they will continue this as we recruit. They will have a couple of new alternates who will interview with city council. Mayor Torre opened the public hearing. The public hearing closed. Councilwoman Richards moved to approve; Councilman Hauenstein seconded. Roll call vote: Hauenstein, yes; Mesirow, yes; Mullins, yes; Richards, yes; Torre, yes. 5-0, motion carried. Ordinance #18, Series of 2020 – Emergency Mask Ordinance - Jim True This came before you at a work session on October 12 th and is set to expire next Wednesday. This will extend Ordinance #12 to remain in effect until May 1st, 2021. He reminded council of the area covered and allows the effective date to be immediate. Mr. True said this does not require a public hearing. Mayor Torre opened up for public comment. Public comment was closed. Councilwoman Mullins motioned to approve; Councilman Mesirow seconded. 52 5 REGULAR MEETING ASPEN CITY COUNCIL OCTOBER 27TH, 2020 Councilman Hauenstein reinforced how important it is to not drop our guard. Councilwoman Richards said this provides clear and consistent direction for people. Roll call vote: Hauenstein, yes; Mesirow, yes; Mullins, yes; Richards, yes; Torre, yes. 5-0, motion carried. ACTION ITEMS : Resolution #090, Series of 2020 –Animal Shelter IGA for Operation of the Cheryl and Sam Wyly Animal Shelter – Ron Leblanc Mr. Leblanc said earlier this year, a new lease was approved by council. This is an IGA with the county for the operations of the shelter. This document reflects the changes which council made regarding the lease starting with $20,000 per year, the citizen board, and noticing Sachson Incorporated of any changes to the IGA. Mayor Torre said there are no real large changes, just a refresher. The animal shelter has been doing an amazing job. Councilwoman Richards gave kudos to Seth and all the dog walkers. We should celebrate this on-going partnership. They take great care for all the animals, and she is more than happy to renew. Councilman Hauenstein is so happy for Seth. He is pleased to extend the IGA. Councilwoman Mullins said she is pleased to extend this as well. It’s nice that the community loves the animal shelter and she’s happy to support. Councilwoman Mullins motioned to approve; Councilman Hauenstein seconded. Roll call vote: Hauenstein, yes; Mesirow, yes; Mullins, yes; Richards, yes; Torre, yes. 5-0, motion carried. Holidays and Facility Hours – Sara Ott Ms. Ott said typically, we have a celebration in December for all city staff, so we are looking at ways to recognize staff members this year under COVID conditions. She wanted to entertain not operating on full days on the day after Thanksgiving, Christmas Eve and New Year’s Eve. We want to maximize employees time to spend time with family and the employee would still need to use PTO. Typically, we stayed open on these days, but she’s asking council to have a discussion about allowing the facilities to be closed on those days. We want to close or limit hours at the ARC, Red Brick and Ice Garden. This is a small way to recognize all staff. Mayor Torre said he is in favor of an early close on those days. He would love to close these facilities completely, but some folks utilize these places on the holidays as well. Councilman Mesirow said he is happy to support this fully. Councilman Hauenstein said he is appreciative of all staff efforts and is in favor of this. He supports this and values family more than anything. He is leaving this to Sara to implement as she sees fit. Councilwoman Mullins said this is a great idea since there is no party this year. She supports full closure on those three days to be fair to everyone. 53 6 REGULAR MEETING ASPEN CITY COUNCIL OCTOBER 27TH, 2020 Councilwoman Richards said she tends to side with Torre on people needing certain facilities on those mornings. She agreed with closing early, but not fully regarding the ARC. She will continue to listen to dialogue about closing fully. Ms. Ott clarified the plan with council and thanked them for their input. Councilman Mesirow motioned to adjourn; Councilman Hauenstein seconded. Roll call vote: Hauenstein, yes; Mesirow, yes; Mullins, yes; Richards, yes; Torre, yes. 5-0, motion carried. _____________________________ Nicole Henning, City Clerk 54 MEMORANDUM TO:Mayor and City Council FROM:Tyler Christoff, Utilities Director Ryan Loebach, Senior Project Manager Lee Ledesma, Utilities Finance/Administrative Manager Justin Forman, Utilities Operations Manager Steve Hunter, Utility Resource Manager THROUGH:Scott Miller, Public Works Director Pete Strecker, Finance Director MEMO DATE:November 2nd, 2020 MEETING DATE:November 10th, 2020 RE:First Reading – Ordinance #17 – 2021 Electric and Water Rates and Fees REQUEST OF COUNCIL:Staff requests approval of Ordinance #17, Series of 2020, representing updates to Title 25—Utilities—of the City of Aspen Municipal Code as presented during the October 19, 2020 Council work session on 2021 Electric and Water budgets. All proposed amendments and additions to Title 25 of the municipal code have been highlighted in yellow, shown in Exhibit A. SUMMARY AND BACKGROUND: Council approved Cost of Service rates with a 5-year transition in November of 2018. 2019 water and electric rates represented Year One of the 5-year transition. 2020 water and electric rates represent Year Two. 2021 proposed water and electric rates represent Year Three of this 2018 Cost of Service rate study. This transition represents an incremental approach to utility rate increases. Staff believes this transition meets the functional needs of the utility while creating sustainable change for our customers. Most recently, Council reviewed proposed electric and water rate and fee increases as presented during the October 19, 2020 Council work session. DISCUSSION: Raftelis Financial Consultants were contracted in 2019 to provide a fee recommendation based on the Utility’s cost of service. Staff reviewed these recommendations and incorporated them into Ordinance #17 (Exhibit A). Details on proposed rate and fee increases that will be effective January 1, 2021 are shown below. Year Three—Electric Utility Cost of Service Rate Proposal 55 Year Three of the 2018 approved 5-Year Cost of Service rates are incorporated in Ordinance #17, (Exhibit A). Applying the Year Three rate adjustments results in updated average electric utility customer monthly bills. Tables below are intended to demonstrate average monthly cost impacts to the various customer classes including residential; affordable housing with electric heat; small commercial; and, large commercial. ELECTRIC UTILITY RATES 2020 AVERAGE BILL PROPOSED RATE CHANGE 2021 AVERAGE BILL kWh Charges $180.07 -0.40%$179.29 Availability Charges $36.68 20.6%$44.24 Average Residential - Aspen $216.75 $223.53 200 AMP Service / 1500 kwh (percentage change)3.13% ELECTRIC UTILITY RATES 2020 AVERAGE BILL PROPOSED RATE CHANGE 2021 AVERAGE BILL kWh Charges $146.16 -0.40%$145.51 Availability Charges $36.68 20.6%$44.24 Affordable Housing w/Electric Heat $182.84 $189.75 200 AMP Service / 1500 kwh (percentage change)3.78% ELECTRIC UTILITY RATES 2020 AVERAGE BILL PROPOSED RATE CHANGE 2021 AVERAGE BILL kWh Charges $201.23 -0.50%$200.30 Availability Charges $35.12 22.3%$42.94 Average Small Commercial $236.35 $243.24 200 AMP Service / 2,000 kwh (percentage change)2.92% 56 Year Three—Water Utility Cost of Service Rate Proposal Year Three of the 2018 approved 5-Year Cost of Service rates are incorporated in Ordinance #17, (Exhibit A). Applying the Year Three rate adjustments results in the following average water utility customer monthly bills. Tables below are intended to demonstrate average monthly cost impacts to the various customer classes including residential (downtown customer); residential (pumped zone customer); and commercial. ELECTRIC UTILITY RATES 2020 AVERAGE BILL PROPOSED RATE CHANGE 2021 AVERAGE BILL kWh Charges $3,394.74 -5.20%$3,218.00 Demand kW Charges $2,207.40 9.80%$2,422.76 Availability Charges $67.87 26.20%$85.65 Average Large Commercial $5,670.01 $5,726.41 400 AMP Service / 45,000 kwh / 130 kw (percentage change)0.99% WATER UTILITY RATES 2020 AVERAGE BILL PROPOSED RATE CHANGE 2021 AVERAGE BILL Water Variable (Consumption)$29.50 5.76%$31.20 Water Demand $16.23 0.97%$16.39 Fire Charge $8.28 15.04%$9.53 Average Residential -- Downtown $54.02 $57.12 2.67 ECUs & 0 Pumps / 10,000 gallons (percentage change)5.74% WATER UTILITY RATES 2020 AVERAGE BILL PROPOSED RATE CHANGE 2021 AVERAGE BILL Water Variable (Consumption)$179.34 5.79%$189.72 Water Demand $48.64 0.99%$49.12 Fire Charge $24.82 15.08%$28.56 Pump Charge $118.45 9.76%$130.00 Average Residential -- Red Mtn.$371.24 $397.40 4.0 ECUs & 1 Pumps / 50,000 gallons (percentage change)7.05% 57 Water Utility Investment Fees/Tap Fees For water utility investment/tap fee computation, the following fees are assessed per equivalent capacity unit, (ECU). An ECU is a unit reflecting that part of the capacity of the water system necessary to serve a standard water customer. Each City water account has an individual ECU rating based on water fixtures, irrigated area, and other factors indicative of water demand. Raftelis Financial Consultants were contracted in 2019 to provide a fee adjustment recommendation based on current utility costs and comparative water utilities within Colorado. The table below outlines the recommended 2021 rates and associated increase. Electric Community Investment Fees The Electric Community Investment (ECI) fee is charged to any customer requesting services for new development and expansion of existing services within the service area and is measured at each individual electric meter. The ECI provides additional capital to the Electric Department to pay for a portion of the new facilities needed to deliver electric services to new or expanded services. Staff is recommending a 10% fee adjustment WATER UTILITY RATES 2020 AVERAGE BILL PROPOSED RATE CHANGE 2021 AVERAGE BILL Water Variable (Consumption)$348.29 5.79%$368.46 Water Demand $55.57 0.99%$56.12 Fire Charge $28.33 15.18%$32.63 Average Commercial $432.19 $457.21 9.14 ECUS & 0 Pumps / 100,000 gallons (percentage change)5.79% BILLING AREAS 2020 TAP FEES 2021 TAP FEES (per ECU)% INCREASE 1 $7,960 $9,334 17.26% 2 $15,920 $18,668 17.26% 3 $15,920 $18,668 17.26% 4 $9,950 $11,668 17.26% 5 $13,930 $16,335 17.26% 6 $15,920 $18,668 17.26% 7 $11,940 $14,001 17.26% Water Utility Investment Charge - Tap Fees 58 based on comparative electric utilities within Colorado. The table below outlines the recommended 2021 rates and associated increase. Senior Electric Availability Rates Utilities staff has recognized the potential impact rates may have on individuals with fixed incomes. Similar to a program created in the Water Utility, staff is proposing a senior discount rate for qualified individuals 65 and older on our monthly availability charge. The table below is intended to illustrate the potential average impact to a qualifying senior’s monthly electric bill. AMP 1 PHASE 120/240V 3 PHASE 120/208V 1 PHASE 120/240V 3 PHASE 120/208V 3 PHASE 277/480V 100 $ 1,305 $ 2,609 $ 3,480 $ 3,913 $ 9,031 200 $ 2,610 $ 5,218 $ 6,960 $ 7,827 $ 15,051 300 $ 5,220 $ 8,480 $ 10,440 $ 11,740 $ 27,092 400 $ 6,960 $ 11,307 $ 13,920 $ 15,653 $ 36,123 600 $ 10,440 $ 16,960 $ 20,880 $ 23,480 $ 54,185 800 $ 13,920 $ 22,613 $ 27,841 $ 31,307 $ 72,246 1000 $ 17,400 $ 28,267 $ 34,801 $ 39,133 $ 90,308 1200 $ 20,880 $ 33,920 $ 41,761 $ 46,960 $ 108,369 1400 $ 24,360 $ 39,574 $ 48,721 $ 54,787 $ 126,431 1600 $ 27,841 $ 45,227 $ 55,681 $ 62,613 $ 144,492 1800 $ 31,321 $ 50,880 $ 62,641 $ 70,440 $ 162,554 2000 $ 34,801 $ 56,534 $ 69,601 $ 78,267 $ 180,615 2200 $ 38,281 $ 62,187 $ 76,561 $ 86,093 $ 198,677 2400 $ 41,761 $ 67,840 $ 83,522 $ 93,920 $ 216,739 2600 $ 43,640 $ 70,893 $ 87,280 $ 98,146 $ 226,492 2800 $ 45,604 $ 74,083 $ 91,208 $ 102,563 $ 236,684 3000 Plus $ 47,656 $ 77,417 $ 95,312 $ 107,178 $ 247,335 Residential Commercial 59 FINANCIAL IMPACTS: The financial implications of the proposed electric and water rate adjustments, as well as the fee adjustments, are outlined in Water and Electric Long- Range Plans and will be part of the 2021 Budget book at the November first and second reading of Title 25—Utilities—Ordinance changes. Both the Water and Electric Departments are enterprise funds supported solely by our customer base. The proposed rates outlined in Title 25 of the municipal code support the Utilities revenue stream and ultimately support the ever-increasing cost of utility operation. ENVIRONMENTAL IMPACTS: The electric and water rate structures continue to place a value on, and an incentive for, conservation and efficiency practices, programs, and policies. ALTERNATIVES: Council may request portions of the recommended rate and fee adjustments be modified during the November 2020 First Reading of Ordinance #17, Series of 2020, which will become effective January 1, 2021. RECOMMENDATIONS: Staff requests Council move to adopt Ordinance #17, Series 2020, which will become effective January 1, 2021. CITY MANAGER COMMENTS: ATTACHMENTS: Exhibit A – Ordinance #17, Series of 2020 – Title 25 - Utilities -Aspen Municipal Code ELECTRIC UTILITY RATES 2021 AVERAGE BILL STANDARD % PROPOSED FOR NEW SENIOR RATE 2021 AVERAGE BILL kWh Charges $67.62 100.00%$67.62 Availability Charges $44.24 70.00%$30.97 Average Residential - Senior $111.86 $98.59 200 AMP Service / 700 kwh (percentage change)-11.86% 60 ORDINANCE NO. 17 Series 2020 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, AMENDING AND ADDING TO TITLE 25 OF THE MUNICIPAL CODE OF THE CITY OF ASPEN--UTILITIES— SPECIFICALLY CHAPTERS 25.04 ELECTRICITY; 25.08 WATER SERVICE – GENERAL PROVISIONS; 25.12 UTILITY CONNECTIONS; AND, 25.16 WATER RATES AND CHARGES. WHEREAS, the City owns and operates a public electric and water system; and WHEREAS, the City Council has adopted a policy of requiring all users of the electric and water system operated by the City of Aspen to pay fees that fairly approximate the costs of providing such services; and WHEREAS, the City Council supports electric and water rate structures that place a value on, and incentive for, conservation and efficiency programs, policies, and improvements. NOW THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF ASPEN, COLORADO: Section 1. That Title 25 of the Municipal Code of the City of Aspen, Colorado, which section sets forth Utilities, is hereby amended, and added to, to read as follows: Chapter 25.04 ELECTRICITY1 1 Cross-reference—Electrical Code, § 8.24.010 et seq. Sec. 25.04.035. - Electric Community Investment Fee. The Electric Department must expand the electric system facilities to accommodate new development without decreasing current reliability and service standards. The Electric Department distributes electricity to the customers in its service area by means of an integrated and interdependent system-wide network of electric facilities. The Electric Community Investment (ECI) fee will be charged to any customer requesting services for new development and expansion of existing services within the service area as measured at each individual electric meter. The ECI will provide additional capital to the Electric Department to pay for a portion of the new facilities needed to deliver electric services to new or 61 expanded services. Effective January 1, 2021, all residential, commercial and city facilities customers of the Aspen Electric Department shall pay the ECI fee as follows: ECI Residential ECI Commercial Panel Amps 1 Phase 120/240V 3 Phase 120/208V 1 Phase 120/240V 3 Phase 120/208V 3 Phase 277/480V 100 $ 1,305 $ 2,609 $ 3,480 $ 3,913 $ 9,031 200 $ 2,610 $ 5,218 $ 6,960 $ 7,827 $ 15,051 300 $ 5,220 $ 8,480 $ 10,440 $ 11,740 $ 27,092 400 $ 6,960 $ 11,307 $ 13,920 $ 15,653 $ 36,123 600 $ 10,440 $ 16,960 $ 20,880 $ 23,480 $ 54,185 800 $ 13,920 $ 22,613 $ 27,841 $ 31,307 $ 72,246 1000 $ 17,400 $ 28,267 $ 34,801 $ 39,133 $ 90,308 1200 $ 20,880 $ 33,920 $ 41,761 $ 46,960 $ 108,369 1400 $ 24,360 $ 39,574 $ 48,721 $ 54,787 $ 126,431 1600 $ 27,841 $ 45,227 $ 55,681 $ 62,613 $ 144,492 1800 $ 31,321 $ 50,880 $ 62,641 $ 70,440 $ 162,554 2000 $ 34,801 $ 56,534 $ 69,601 $ 78,267 $ 180,615 2200 $ 38,281 $ 62,187 $ 76,561 $ 86,093 $ 198,677 2400 $ 41,761 $ 67,840 $ 83,522 $ 93,920 $ 216,739 2600 $ 43,640 $ 70,893 $ 87,280 $ 98,146 $ 226,492 2800 $ 45,604 $ 74,083 $ 91,208 $ 102,563 $ 236,684 3000 and above $ 47,656 $ 77,417 $ 95,312 $ 107,178 $ 247,335 62 ( Ord. NO 27-2017 ; Ord. No. 24-2019 , § 1, 11-26-2019 Sec. 25.04.036. - Waivers and exemptions from electric community investment charges for certain employee housing projects. (a) Purpose. The purpose of this section is to identify those affordable housing projects that may be eligible for exemption from, and waivers of, the utility investment charges and system development charges when connecting to the City of Aspen's electric system. There are three (3) types of affordable housing projects that are eligible for exemptions or waivers: (i) projects that are determined to be Qualified Affordable Employee Housing as defined herein; (ii) affordable housing projects that are eligible to receive Affordable Housing Credits pursuant to Chapter 26.540 of the Municipal Code; and (iii) projects that consist of a mix of affordable housing units subject to the Aspen/Pitkin County Housing Authority Guidelines, as may be amended from time to time; and, unrestricted (free market) units. To be eligible for an exemption or waiver pursuant to this section of the Municipal Code, a project shall have installed in all units properly maintained and continuously operable electric efficiency devices and practices as designated from time to time by the City Council by ordinance, resolution, or by regulations issued by the City Manager or the Electric Department. (b) Definitions. As used in this Code, unless the context requires otherwise, the following terms shall be defined as follows: (1) Qualified Affordable Employee Housing shall be defined as publicly or privately constructed and owned projects which: a. Are not constructed for mitigation purposes or which receive any form of Affordable Housing Credits such as those set forth at Chapter 26.540 of the Municipal Code; and b. Are composed of one hundred percent (100%) employee housing units; and, c. Are deed restricted to ensure that all units are subject to, and administered by, Aspen/Pitkin County Housing Authority Guidelines, as may be amended from time to time; and, d. Are maintained as qualified affordable housing. (2) The Fee Waiver Schedule referred to in this section is the percent of the utility investment charges that may be waived based upon the category of the units within the affordable housing project. The Fee Waiver Scheduled is set forth in Figure 1, below. Housing Categories as referenced in the Aspen/Pitkin County Housing Authority Guidelines, as may be amended from time to time. Fee Waiver Level Category 1 100% Fee Wavier Category 2 70% Fee Waiver Category 3 40% Fee Waiver Category 4 0% Fee Waiver 63 Housing Categories as referenced in the Aspen/Pitkin County Housing Authority Guidelines, as may be amended from time to time. Fee Waiver Level Category 5 0% Fee Waiver Category 6 0% Fee Waiver Category 7 0% Fee Waiver Resident Occupied 0% Fee Waiver Free Market Units 0% Fee Waiver Figure 1. (3) Affordable and Free Market Mix shall be defined as a project that: a. consist of a mix of both deed restricted housing to ensure that all units are subject to the Aspen/Pitkin County Housing Authority Guidelines, as may be amended from time to time and unrestricted housing (free market) units; and, b. were not constructed for mitigation purposes. (c) Qualified Affordable Employee housing shall be exempt from all utility investment charges and system development charges when connection is made to the City of Aspen's electric system. (d) Affordable Housing Credits Program. Projects that receive Affordable Housing Credits pursuant to Chapter 26.540 of the Municipal Code are eligible for a waiver of the percentage of the total utility investment charge and system development charge as set forth in the Fee Waiver Schedule. If a project has a mix of categories, the waiver shall be determined on a unit by unit basis pursuant to the Fee Waiver Schedule. (e) Affordable and Free Market Mix. Projects that are determined to be Affordable and Free Market Mix of units, and where no mitigation is required for the free market units, are eligible for a waiver of the percentage of the total utility investment charge and system development charge as set forth in the Fee Waiver Schedule for the affordable housing units. If a project has a mix of categories, the waiver shall be determined on a unit by unit basis pursuant to the Fee Waiver Schedule. (f) Revocation of Exemptions and Waivers. In the event that Qualified Employee Housing units, projects receiving Affordable Housing Credits, or projects that are considered Affordable and Free Market Mix projects, receive an exemption or a waiver in accordance with this section, and thereafter fail to continue being affordable housing units as contemplated herein; or, the electric efficiency devices and practices are not installed as required, are not properly maintained or continuously operable, the developer of such units and the owners thereof shall be jointly and severally liable to reimburse the City for the cost of the utility investment charges and system development charges exempted by this Section. The City Manager shall establish a method of accomplishing this payment so as not to be unduly burdensome on the developer or owners. (g) Subsequent Project Changes. Utility connection charge and system development charge waivers for affordable housing credit projects and affordable and free market mixed projects are a one-time occurrence at the time of project completion. Additions, remodels, and, or changes that occur after original project completion will not receive a utility connection charge or system development charge waiver, however a credit for the ECU's assigned to the specific employee housing unit will be allowed against additional fees due to these improvements. 64 (Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.04.039 - Senior electric rates. Any qualified senior citizen who so applies shall be entitled to an adjustment in the individual electric residential availability rates set forth in Section 25.04.040. Qualified senior citizen shall be defined by the Pitkin County Social Services Department in consultation with the Pitkin County Senior Services Council. The Utilities Director shall first coordinate with Pitkin County Social Services Department and the Pitkin County Senior Services Council as necessary to ensure that qualified senior citizens are made aware of their eligibility for this program and application procedure is conducive to their participation. A metered residence owned or leased by qualified seniors shall pay on a monthly basis the sum of charges of: 70% of standard availability charge; 100% of electric consumption charge (kwh); and, applicable sales tax. Sec. 25.04.040. - Electric service rates. (a) Effective in the January 2021 monthly billing, all residential, commercial and city facilities customers of the Aspen Electric Department shall pay a monthly customer availability charge as follows: AMP Size Standard Residential Customer Senior Residential Customer – 70% Small Commercial Customer Large Commercial Customer 100 AMP $22.72 $15.91 $22.29 $20.15 200 AMP $44.24 $30.97 42.94 37.26 300 AMP $72.10 $50.47 69.69 59.42 400 AMP $105.10 $73.57 101.36 85.65 600 AMP $183.90 $128.73 177.02 148.32 800 AMP $277.22 $194.06 266.60 222.53 1000 AMP $383.08 $268.15 368.22 306.70 1200 AMP $500.12 $350.09 480.58 399.78 65 1600 AMP $764.08 $534.86 733.98 609.67 1800 AMP $909.62 $636.73 873.69 725.40 2000 AMP $1,063.48 $744.44 1,021.40 847.75 2200 AMP $1,244.27 $870.99 1,195.03 991.87 2400 AMP $1,455.80 $1,019.06 1,398.19 1,160.49 2600 AMP $1,703.28 $1,192.30 1,635.88 1,357.77 2800 AMP $1,992.84 $1,394.99 1,913.98 1,588.59 3000 AMP and above $2,331.62 $1,632.14 2,239.36 1,858.66 (b) In addition to the monthly customer availability charge, and effective in the January 2021 monthly billing, the residential customer shall pay the sum of the metered use of electric energy measured in kilowatt-hours (kWh) during the department's monthly meter reading cycle multiplied by the appropriate service rate as follows: AMP Size Usage Up To Per KWh Additional Usage Up To Per KWh Additional Usage Up To Per KWh Remaining Usage Over Per KWh 100 AMP 400 $0.0856 1,080 $0.1284 1,920 $0.1926 1,920 $0.3371 200 AMP 520 $0.0856 1,360 $0.1284 2,800 $0.1926 2,800 $0.3371 300 AMP 1,600 $0.0856 3,600 $0.1284 6,160 $0.1926 6,160 $0.3371 400 AMP 1,600 $0.0856 3,600 $0.1284 6,160 $0.1926 6,160 $0.3371 600 AMP 2,800 $0.0856 5,440 $0.1284 8,800 $0.1926 8,800 $0.3371 800 AMP 2,800 $0.0856 5,440 $0.1284 8,800 $0.1926 8,800 $0.3371 1000 2,800 $0.0856 5,440 $0.1284 8,800 $0.1926 8,800 $0.3371 66 AMP 1200 AMP 2,800 $0.0856 5,440 $0.1284 8,800 $0.1926 8,800 $0.3371 1600 AMP 2,800 $0.0856 5,440 $0.1284 8,800 $0.1926 8,800 $0.3371 1800 AMP 2,800 $0.0856 5,440 $0.1284 8,800 $0.1926 8,800 $0.3371 2000 AMP 2,800 $0.0856 5,440 $0.1284 8,800 $0.1926 8,800 $0.3371 2200 AMP 2,800 $0.0856 5,440 $0.1284 8,800 $0.1926 8,800 $0.3371 2400 AMP 2,800 $0.0856 5,440 $0.1284 8,800 $0.1926 8,800 $0.3371 2600 AMP 2,800 $0.0856 5,440 $0.1284 8,800 $0.1926 8,800 $0.3371 2800 AMP 2,800 $0.0856 5,440 $0.1284 8,800 $0.1926 8,800 $0.3371 3000 AMP and above 2,800 $0.0856 5,440 $0.1284 8,800 $0.1926 8,800 $0.3371 (c) Effective January 1, 2021 all electric accounts that service 5 or more individual units shall be considered a small commercial customer and shall have rates associated with a small commercial account rather than a residential account. Additionally, all commercial accounts that do not meet the requirements for large commercial designation shall be considered small commercial accounts, which includes previous class of small commercial city facilities customers. In addition to the monthly customer availability charge, and effective in the January 2021 monthly billing, the small commercial customer shall pay the sum of the metered use of electric energy measured in kilowatt-hours (kWh) during the department's monthly meter reading cycle multiplied by the appropriate service rate as follows: 67 AMP Size Usage Up To Per KWh Additional Usage Up To Per KWh Additional Usage Up To Per KWh Remaining Usage Over Per KWh 100 AMP 880 $0.0919 2320 $0.1149 4800 $0.1724 4800 $0.2758 200 AMP 1280 $0.0919 3120 $0.1149 5760 $0.1724 5760 $0.2758 300 AMP 3360 $0.0919 7120 $0.1149 12240 $0.1724 12240 $0.2758 400 AMP 3360 $0.0919 7120 $0.1149 12240 $0.1724 12240 $0.2758 600 AMP 6560 $0.0919 13200 $0.1149 18400 $0.1724 18400 $0.2758 800 AMP 13600 $0.0919 28000 $0.1149 44800 $0.1724 44800 $0.2758 1000 AMP 13600 $0.0919 28000 $0.1149 44800 $0.1724 44800 $0.2758 1200 AMP 13600 $0.0919 28000 $0.1149 44800 $0.1724 44800 $0.2758 1600 AMP 13600 $0.0919 28000 $0.1149 44800 $0.1724 44800 $0.2758 1800 AMP 13600 $0.0919 28000 $0.1149 44800 $0.1724 44800 $0.2758 2000 AMP 13600 $0.0919 28000 $0.1149 44800 $0.1724 44800 $0.2758 2200 AMP 13600 $0.0919 28000 $0.1149 44800 $0.1724 44800 $0.2758 2400 AMP 13600 $0.0919 28000 $0.1149 44800 $0.1724 44800 $0.2758 2600 AMP 13600 $0.0919 28000 $0.1149 44800 $0.1724 44800 $0.2758 2800 13600 $0.0919 28000 $0.1149 44800 $0.1724 44800 $0.2758 68 AMP 3000 AMP and above 13600 $0.0919 28000 $0.1149 44800 $0.1724 44800 $0.2758 (d) In addition to the monthly customer availability charge, and effective in the January 2021 monthly billing, the large commercial customer, which includes previous class of large commercial city facilities customers, (with operable demand metering systems in place and measured usage of forty (40) kW and greater) shall pay the sum of the metered use of electric energy measured in kilowatt- hours (kWh) during the department's monthly meter reading cycle multiplied by the appropriate service rate as follows, plus a demand charge per kW of metered customer peak usage for that meter reading cycle: AMP Size Usage Up To Per KWh Remaining Usage Over Per KWh Demand Charge on Customer Peak kW 100 AMP 23200 $0.0638 23200 $0.0797 $18.64 200 AMP 23200 $0.0638 23200 $0.0797 $18.64 300 AMP 23200 $0.0638 23200 $0.0797 $18.64 400 AMP 23200 $0.0638 23200 $0.0797 $18.64 600 AMP 23200 $0.0638 23200 $0.0797 $18.64 800 AMP 23200 $0.0638 23200 $0.0797 $18.64 1000 AMP 23200 $0.0638 23200 $0.0797 $18.64 1200 AMP 23200 $0.0638 23200 $0.0797 $18.64 1600 AMP 23200 $0.0638 23200 $0.0797 $18.64 1800 AMP 23200 $0.0638 23200 $0.0797 $18.64 2000 AMP 23200 $0.0638 23200 $0.0797 $18.64 69 2200 AMP 23200 $0.0638 23200 $0.0797 $18.64 2400 AMP 23200 $0.0638 23200 $0.0797 $18.64 2600 AMP 23200 $0.0638 23200 $0.0797 $18.64 2800 AMP 23200 $0.0638 23200 $0.0797 $18.64 3000 AMP and above 23200 $0.0638 23200 $0.0797 $18.64 (e) In addition to the monthly customer availability charge, and effective in the January 2021 monthly billing, an alternative 200 AMP customer rate shall be available for new deed-restricted, residential properties with electric heat and built in compliance with International Energy Conservation Codes 2015 edition as stated in Municipal Code 8.46 including amendments as stated in Ordinance 40, Series of 2016. This rate will only be applied to deed-restricted residential electric accounts that have been reviewed and approved as a qualifying residential property by the Utilities Director. This rate shall be the sum of the metered use of electric energy measured in kilowatt-hours (kWh) during the department's monthly meter reading cycle multiplied by the appropriate service rate as follows: AMP Size Usage Up To Per KWh Additional Usage Up To Per KWh Additional Usage Up To Per KWh Remaining Usage Over Per KWh 200 AMP 1,100 $0.0856 2,800 $0.1284 4,000 $0.1926 4,000 $0.3371 (Code 1971, § 23-18.1;Ord. No. 42-1984, § 1 ; Ord. No. 76-1992, § 1 ; Ord. No. 36-1996, § 1 ; Ord. No. 41-2004, § 1 ; Ord. No. 7-2006, § 1 ;Ord. No. 37-2008 ; Ord. No 29-2011 ; Ord. No. 36-2011 ; Ord. No. 37-2014, § 1 ; Ord. No. 44-2015 , Ord. No. 38-2016 , Ord. No. 27-2017 ; Ord. No. 28-2018 ; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.04.045. - Late payment charge. Payments for electric service, transformers and other associated electric fees and charges shall be due thirty (30) days after the billed date. Any amount due, but not received by the City by the due date, shall be subject to a past due monthly interest charge of one and one-half percent (1½%) of the total amount due; subject, however, to a minimum charge of three dollars ($3.00). Balances of less than five dollars ($5.00) shall not be subject to this charge. ( Ord. 36-1996, §§ 2, 3 ; Ord. No. 45-1999, § 16 (part); Ord. No. 30-2012 § 29 , Ord. No. 38-2016 ) 70 Sec. 25.04.050. - Injuring or damaging Electric Department property prohibited. It shall be unlawful for any person, unless authorized by the provisions of this Code or other ordinance of the City, to injure or in anywise damage or to meddle or interfere with in any way any property or appliance constituting or being a part of such Electric Department or the electric system controlled and operated thereby or any fence, guard rail, box cover, pole, wire, transformer, connector, insulator or any other structure, apparatus or appliance used as a part of such Electric Department or electric distribution system. (Code 1962, § 3-4-7; Code 1971, § 23-19) Cross reference—Injury to public or private property, § 15.04.240. Sec. 25.04.060. - Trespassing on Electric Department grounds or premises prohibited. It shall be unlawful for any person, unless authorized by the provisions of this Code or other ordinances of the City, to trespass upon any grounds or premises of the Electric Department. (Code 1962, § 3-4-7; Code 1971, § 23-20) Cross reference—Trespassing generally, § 15.04.280. Sec. 25.04.070. - Permission required for electrical system connections; unauthorized connections prohibited. It shall be unlawful for any person to make any connection with the electric system or any portion thereof, without first having obtained permission therefor, as in this Title and, if for service outside the City limits, the PUC approved rules and regulations provided. It shall be unlawful for any person not authorized by this Title or, the PUC approved rules and regulations to make any connection if for service outside the City limits, to the electric system. (Code 1962, § 3-4-8; Code 1971, § 23-21) Sec. 25.04.080. - Payment of charges for service; lien and collection of nonpayment. (a) The Manager shall disconnect the electrical service to any consumer who fails to pay any electric service charges and fees fifteen (15) days after their due date. (b) All the rates and charges specified in the approved schedules shall be paid by the owner of the premises on which the electric power was issued or the occupant thereof and all such rates and charges from the time the same shall be due and payable shall become and remain a lien upon the premises until such rates or charges shall be paid and such rates and charges for electric power may be collected against any owner or occupant by suit, such action to be brought in the name of the City in any court having jurisdiction thereof and shall be prosecuted as an action in personam against the owner or occupant or by an action in rem for the enforcement of the lien or both. (c) Any lien for unpaid electric power rates and charges against any premises may also be collected as provided by the statutes of the State for the collection of taxes and other liens and assessments against real estate. (Code 1962, § 3-4-10; Code 1971, § 23-22; Ord. No. 11-1979, § 1 , Ord. No. 38-2016 ) 71 Sec. 25.04.090. - Receipt for payment of service charge. Upon the payment of any charge for electric power and lights, the Director of Finance shall issue or cause to be issued a receipt which shall state the date thereof, the amount of money received, from whom received and on what premises or through which meter the electric power was used for the payment of which the money was paid. (Code 1962, § 3-4-9; Code 1971, § 23-23) Sec. 25.04.100. - Termination on wasteful use. In the event the Superintendent of the Electric Department shall determine that any electric customer has failed to abide by the prohibitions of Section 15.04.440, whether or not convicted of the same, he or she shall notify such customer that continued consumption of electricity for such purposes shall subject him to discontinuance of service; and upon continued consumption of electrical power for such purposes by any customer so notified, the Superintendent shall discontinue electrical service. (Code 1971, § 23-24; Ord. No. 12-1976, § 2) Sec. 25.04.110. - Deposit for electric service. (a) When a tenant applies for electric service at a new location, the applicant shall be required to place a cash deposit in the following manner: Residential service: one hundred fifty dollars ($150.00). Commercial service: (1) An amount equal to the service bills for the subject property for the three (3) highest months of usage during the prior year, if the applied-for use of the property is similar to the prior use; or (2) If there is no similar prior space or use on which to compute the amount provided in Subsection (a)(1) above, then an amount to be determined by the Utilities Director within his or her sole discretion and based on a reasonable estimate of three (3) months' service for a space and use similar to the subject property. (b) Subject to the approval of the Utilities Director based on previous credit history with the City of Aspen Utilities, the owner of the premises on which the electricity is used may approve waiver of their tenant's deposit requirement. To request approval of the Utilities Director, the owner must complete an application which informs the owner of the possibility of a lien upon the premises for unpaid bills, pursuant to Section 25.04.090 above. (1) Deposits shall be held by the Director of Finance until service is discontinued and final service bills paid and will accrue interest at five percent (5%) per annum starting thirty (30) days after receipt of the monies until the date of disconnection. Return of the unused portion of the deposit plus interest will be made within forty-five (45) days from date the final bill is issued. Effective January 1, 2013 no deposit will accrue interest. (Code 1971, § 23-25; Ord. No. 28-1982 , § 1; Ord. No. 68-1994 , § 14; Ord. No. 57-2000, § 7; Ord. No. 30-2012 § 37; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.04.120. - Electric service and disconnect charges. A service charge of forty dollars ($40.00) is hereby established for each new account that is setup for electric service. If a disconnection is made in accordance with Section 25.04.080 above because of 72 nonpayment of electric service charges, the disconnect charge of sixty dollars ($60.00) shall be due prior to reconnection of electric service. (Code 1971, § 23-26; Ord. No. 53-1992, § 2 ; Ord. No. 45-1999, § 15 ; Ord. No 37-2014 § 2) Sec. 25.04.121. - Discontinuance of service. (a) Grounds for discontinuance.If any utility service charges remain unpaid for fifteen (15) days after their due date, the City may terminate service for the type of utility service for which payment has not been made. In addition, the City may terminate a utility service for violation of any rule or regulation concerning such utility as set forth in this Title. (b) Notice of termination.In order to terminate any services the City shall send a notice of termination by first class mail or, at the City's option, by certified mail, return receipt requested, or by posting in a conspicuous place at or near the main entrance to the premises served by such utility service to the customer listed on the City records and, at the City's option, to the occupant of the premises served and/or the owner of the premises served. (c) Effective date of discontinuance of service.The effective date of the discontinuance of utility service shall be ten (10) days after the mailing by the City of a notice of termination. (d) When utility service is not discontinued.Utility service shall not be discontinued: (1) Between 12:00 p.m. on Friday and 8:00 a.m. on the following Monday or between 12:00 p.m. on the day prior to and 8:00 a.m. on the day following any federal holiday or City holiday. (2) During any period when termination of service would be especially dangerous to the health or safety of any residential customer or permanent resident of the customer's household and such customer has established that he/she was unable to pay for the service as regularly billed by the City or is able to pay for such service but only in reasonable installments. Termination of service that would be especially dangerous to the health or safety of the residential customer or a permanent resident of the customer's household means that the termination of service would aggravate an existing medical condition or create a medical emergency for the customer or a permanent resident of the customer's household. Such shall be deemed to be the case when a physician licensed by the State makes a certification thereof in writing and said certification is received by the City. In the event a medical certification is delivered to or received by the City, a non-discontinuance of service as herein prescribed shall be effective for sixty (60) days from the date of said medical certification. A residential customer may invoke the provisions of this Paragraph no more than once during any period of twelve (12) consecutive months. (3) In the event a customer at any time proffers full payment of any utility bill by cash or bona fide check to the City of Aspen Finance department. (4) If violations of rules or regulations concerning the receipt or use of utility service have ceased. (e) Reconnection.Nothing contained in this Section shall preclude the City from charging a reconnection fee as required by Section 25.04.120 before reconnecting a utility service discontinued pursuant to this Section. In addition, prior to reconnection, all charges for that type of utility service must be paid to the City. (f) Delivery of notice.Notwithstanding anything to the contrary in this Section, whenever reference is made herein to a notice or other document being mailed or delivered, that phrase shall mean that the notice or other document is either deposited in the United States mail, postage paid, first class or certified mail, return receipt requested, at the City's option, or physically delivered to the addressee, which physical delivery will be accomplished by either handing to someone over eighteen (18) years of age at the premises served or by posting upon the main entrance of the premises served by the utility service in a conspicuous place. ( Ord. No. 38-2016 ) 73 Sec. 25.04.130. - Billing errors. (a) When an error has been made in an electric utility account, the following shall apply: Each electric utility customer is responsible for using reasonable diligence to review billing statements and for immediately notifying the utility of a billing error. (1)When the utility determines that an electric utility customer has overpaid for utility service and the overpayment occurred no more than twenty-four (24) months before the date the error is made know to the utility, the utility will issue to the customer a credit to the Customer's account without interest, as reimbursement for the overpayment. Previous Customer accounts at same service location will be reviewed to determine if they were affected by the overbilling. If it is determined that an overbilling affected a previous Customer with the twenty-four-month period as described herein, reasonable efforts will be made to locate the Customer and refund any amounts owed due to the overbilling. Any refund check mailed to the last known address of the Customer and returned unpaid to the City or not cashed by the Customer within two (2) years of either the date of delivery or mailing of the check, will be retained by the City and will be credited as miscellaneous revenue for the utility service which was overpaid. Prior to final determination of an overbilling refund credit or refund, each of the following conditions must be met: a. The customer could not have discovered the error with reasonable inquiry prior to the date of discovery; b. Documentation evidencing the overpayment is available in utility records or has been provided to the utility; and c. The utility confirms the accuracy and sufficiency of the documentation based on utility records. d. The overbilling is not the result of changes, modifications, updates, or alterations by the Customer or its agent that affects the metering accuracy, multiplier, or other metering components without evidence of prior notification to and approval of the Utility. (2) When the Utility determines that a current electric utility customer has been undercharged and has underpaid for utility service, the customer shall be billed for the correct amount unless the undercharges occurred more than six (6) months before the date the error is discovered and the following conditions are met: a. The customer could not have discovered the error with reasonable inquiry. b. Each utility customer is responsible for using reasonable diligence to review billing statements and for immediately notifying the utility of a billing error. c. Bills for corrected usage and other utility rate code charges shall be due and payable in the same manner as regular bills for service. In the event of an inaccurate billing due to the diversion or theft of utility service, the City retains the right to back bill for the entire period of occurrence. (3) Any attempt or action by an electric utility customer to mislead the utility with regard to a billing error shall be a violation of code, punishable by fine as provided for wherein. Each day upon which any violation shall continue shall constitute a separate offense, punishable as such. Additionally, the Utility reserves the right to pursue other compensation or charges to the fullest extent of the law. Chapter 25.06. - WATER DISTRIBUTION STANDARDS 74 Sec. 25.06.010. - Purpose and Intent. The purpose of this Chapter is to ensure development in the City of Aspen meets minimum standards for working with potable, reuse, and raw water. It is the City's intent to establish Water Distribution Standards that will ensure the public health, safety, and welfare, within the City of Aspen Water Utility service area. (Ord. No.15-2019 , § 1, 6-24-2019) Chapter 25.08. - WATER SERVICE—GENERAL PROVISIONS [3] Footnotes: --- (3) --- Editor's note—Ord. No. 27-1985, § 1, repealed former Art. III, Divs. 1—6, relative to water service and enacted in lieu thereof a new Art. III, Divs. 1—6 [Chapters 25.08—25.28], as herein set out. The provisions of former Art. III derived from the following ordinances: Ord. No. 21-1975, § 1; Ord. No. 34- 1977, § 4; Ord. No. 60-1980, § 1, Ord. No. 36-1981, § 1; Ord. No. 39-1981, § 1; Ord. No. 40-1981, § 1; Ord. No. 41-1981, § 1; Ord. No. 42-1981, § 1; Ord. No. 21-1982, § 1; Ord. No. 28-1982, § 2; Ord. No. 30- 1982, §§ 1—3; Ord. No. 3-1983, § 1(A)—(E); Ord. No. 8-1983, § 1; Ord. No. 52-1983, § 1; Ord. No. 18- 1984, § 1(A)—(D); Ord. No. 19-1984, § 1; Ord. No. 25-1985, § 1(A)—(D); Ord. No. 26-1985, § 1; and Ord. No. 46-1985, § 1. Cross reference—Plumbing Code, § 8.36.010 et seq.; health and quality of environment, Title 13; water quality, § 13.04.010 et seq. Sec. 25.08.010. - City of Aspen water utility operation and control. The water collection, treatment and distribution system owned and operated by the City shall be known collectively as "The City of Aspen Water Utility." The operation and management of this utility shall be under the control of the City Manager, who shall direct the construction of additions thereto and the maintenance and operation thereof and, in all cases not particularly provided for by this Code or other ordinances of the City, shall determine in what manner and upon what terms water may be taken from the water utility by any property owner or water consumer and the character of the connections and appliances which may be made or used therefor. (Code 1971, § 23-36;Ord. No. 27-1985 , § 1) Sec. 25.08.020. - Powers and duties generally of the Water Superintendent. (a) The Superintendent shall, under the direction of the City Manager, have charge of all facilities of the water utility and it shall be his or her duty to supervise the water utility and maintain and control the same as directed by the City Manager and as provided in this Chapter. (b) The Superintendent shall have control of the laying of all water mains. The Superintendent shall have the general supervision of the putting in of all utility connections, service pipes or other connections with the water mains and the regulation of the water supply to all users of water. He or she shall also have charge of and be responsible for all tools, machinery, pipes, meters, fixtures, plumbing materials and all other appliances owned by the City or used by it in the maintenance and 75 operation of the water utility and shall keep account of all such material and the manner in which the same is used, kept or disposed of. (c) It is hereby made the duty of the Director to manage the water purification plants and other water utility properties; to periodically report to the City Manager of his or her activities as director and of the condition of the water utility; and to make such suggestions concerning the same as the nature of the service may require. (d) It shall be the duty of the Superintendent to keep all fire hydrants in repair and test the same frequently to see if the same are in order and he or she may let water from the hydrants whenever it shall be necessary for the testing of the condition of the waterworks or for purifying the water or for the repairing of the water utility or for watering the trees in extreme need. (e) The Water Department shall install, maintain, and operate special hydrants for street washing, construction works or other lawful purposes. The Water Department may grant permission to any person to draw water from these special hydrants. All water drafted for such purposes shall be assessed in accordance with applicable rates prescribed by this Chapter. The Water Department shall not grant permission for drafting of water from fire hydrants for street washing, construction, and other such uses except in cases of extreme need. (Code 1971, § 23-37; Ord. No. 27-1985 , § 1) Sec. 25.08.030. - Access to fire hydrants; unauthorized obstruction or operation of hydrant prohibited; wrenches for fire hydrants. (a) The members of the Fire Department, under the direction of the chief of the Fire Department or other officer in charge, shall at all times have free access to the fire hydrants in case of fire and for the purposes of cleaning, washing or testing their engines or other apparatus. (b) It shall be unlawful for any unauthorized person to open or operate any fire hydrant, draw water therefrom or obstruct the approach thereto. (c) Wrenches for fire hydrants shall be furnished by the Superintendent to the Fire Department for the use of its members and to such other persons as he or she may deem proper and it shall be unlawful for any person to whom a wrench is furnished to permit the same to be taken from his or her control, to use the same or to permit the use of the same by any other person or for other purpose than that authorized by the provisions of this Chapter or by the Superintendent of pursuance thereof. (Code 1971, § 23-38; Ord. No. 27-1985 , § 1) Sec. 25.08.040. - Inspection of premises receiving service. The City Manager, Superintendent or other designated official may from time to time examine and inspect any premises where water from the water utility is used in or upon such premises in order to ascertain the nature, character and extent of such water use and the condition of the water pipes, fixtures and appliances and to determine if water is being wasted upon the premises. During the times that such inspections are being made, the Superintendent or other designated official shall accurately tabulate the appliances and fixtures used for water and other water demand factors as may be required in connection with the establishment of the rate to be charged to any such premises and the report thereof shall be available upon request. (Code 1971, § 23-39; Ord. No. 27-1985 , § 1) Sec. 25.08.050. - Trespassing on water utility property; injury to water utility or obstruction to water utility. 76 (a) It shall be unlawful for any person to injure or in any way damage or interfere with property or appliances constituting or being a part of the water utility or any fence, guard rail, box cover or building or any other structure constructed or used to protect any part of the water utility. (b) It shall be unlawful for any person, unless authorized by this Chapter, to trespass upon the water utility or the grounds upon which the same are constructed. (c) It shall be unlawful for any person to cast, place, pump, or deposit in the water utility any substance or material which will in any manner injure or obstruct the same. (Code 1971, § 23-40; Ord. No. 27-1985 , § 1) Sec. 25.08.060. - Definitions. The following definitions shall apply under this Chapter concerning water service: Annual water budget means those direct and indirect expenditures and costs, including debt service, required to provide water service in the coming year, as documented in the annual budget. Building permit or plumbing permit means the permit or permits issued pursuant to Title 8 of this Code or by Pitkin County, Colorado pursuant to County building regulations. Carriage of untreated water rights means those rights held by a water user other than the City of Aspen and conveyed through a ditch, pipeline or other series of water conveyance facilities owned and/or operated by the City of Aspen. Rates charged for conveyance of this water are referred to as "carriage" rates for raw water. Comprehensive water management plan means the comprehensive water management plan for the City as initially prepared and adopted in 1980 and as thereafter revised and updated. Director of water treatment and supply, Director, Water Superintendent or Superintendent, Director of Utilities means the Director of the City of Aspen Water Utility, who, under the direction of the City Manager, has charge of all facilities of the Aspen water utility and has the duty to supervise the utility and to maintain and control the same. Equivalent capacity unit (ECU) means a unit reflecting that part of the capacity of the water system necessary to serve a standard water customer, with multiples or fractions of the unit including a maximum number and type of water fixtures, a maximum irrigated area, certain cooking facilities or other water demand factors. Hook-up charge means a charge based on a new customer's line size to recover certain costs of making a physical connection to the water system. Payment in lieu of water rights dedication is a payment that the City, in its sole discretion, may accept in lieu of a water rights dedication from a party seeking extraterritorial water service, in an amount determined by the City, in its sole discretion, to be reasonably necessary to purchase and change water rights, or otherwise acquire water rights and supplies of sufficient quantity and seniority, at an appropriate location, to reliably provide water for the proposed water demands of the project. Utility connection permit means permission by the City to physically connect to the water system or to change the use of any existing connection and any additional contractual terms which may be imposed. Utility investment charge means a charge to recover certain capital costs allocated to new customers which charge is based on a new customer's ECU rating and billing area factor. Water demand factor or fixture means any of the water demand factors or fixtures set forth in Subsections 25.08.090(a) or (b) below. Water Department means the department of the City under the supervision of the Director of Utilities. 77 Water rights dedication is a dedication required by any party seeking extraterritorial water service from the City of water rights acceptable to the City. "Water rights acceptable to the City" shall mean such water rights as are determined by the Water Department, in its sole discretion, to be sufficient in quantity, seniority and location, to reliably provide for the proposed water demands of the project, as well as water rights historically used on the property to be served. Water service billing area, billing area or area of water service billing means an area established by the City Water Department for purposes of calculating and assessing tap and/or other water service fees. The designation of a water service billing area as provided for in this Title shall not be construed as an offer, obligation, exclusive right, willingness, or ability to serve any customer, prospective customer or geographical area with municipal water or water services. Water service or utility service means any connection to the water system and shall include but is not limited to all requirements service, irrigation only, fire protection only and irrigation and fire protection only service. Water system, City water system, water utility, municipal utility system, municipal water utility system or City water utility means the City water utility as defined in Section 25.08.010. Well development charge recovers the capital costs of development groundwater sources capable of being integrated into the potable water supply system by any party seeking extraterritorial water service from the City. (Code 1971, § 23-41; Ord. No. 27-1985 , § 1; Ord. No. 39-1993 , § 1; Ord. No. 30-2012 § 1; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.08.070. - Billing areas and billing area factors. (a) The billing areas of the Water Department shall be known as follows: Billing area Name 1 Central Aspen 2 Eastside 3 Northside 4 Westside 5 Maroon/Castle Creeks 6 Airport 7 Music School 8 Reserved 78 A customer shall be located in the billing area in which either the customer's point of connection to the water system is located or in which the customer consumes any water. Where a customer's point of connection and any point of consumption are in different billing areas, the customer shall be located in one of the areas at the Water Department's discretion. (b) Annual debt service and other annual fixed costs approved for the water system shall be allocated among billing areas in accordance with the following weighting factors: Billing area Weighting Factor 1 1.00 2 2.00 3 2.00 4 1.25 5 1.75 6 2.00 7 1.50 (c) The billing area weighting factors in Subsection (b) above shall be applied in calculating the demand and fire protection charges, as well as utility investment charges, under Sections 25.16.010; 25.16.020; and 25.12.040, except as otherwise provided herein. (Code 1971, § 23-42; Ord. No. 27-1985 , § 1; Ord. No. 34-1988 , §§ 4, 5; Ord. No. 39-1993 , § 2; Ord. No. 41-1998 , § 2; Ord. No. 30-2012 § 2; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.08.080. - Rate reviews. (a) The monthly demand, fire protection, variable and pumping charges in Sections 25.16.010 and 25.16.020 shall be set annually in accordance with rate setting principles adopted by the American Water Works Association as necessary to recover the cost of service and with the following criteria: (1) The expected annual revenue from all such monthly charges plus the expected annual revenue from utility investment charges shall be approved by City Council annually. (2) The monthly demand and fire protection charge per customer shall be based upon: a. The customer's ECU rating. b. The customer's billing area factor. c. The applicable rate per ECU established by City Council for the appropriate calendar year. (3) Rate setting shall establish a sufficient reserve fund. 79 (4) The monthly variable charge per customer shall be based upon: a. The thousands of gallons of ordinary water used by the customer during the monthly meter reading cycle at the rate established by City Council. In establishing the unit cost of water, the cost of service will be considered by Council. (5) The monthly pumping charge per customer shall be based upon: a. The thousands of gallons delivered to the customer via pumping during the monthly meter reading cycle. b. The number of pump stations required to deliver water to the customer. c. The rate established by City Council. (b)No schedule of water rates and charges proposed pursuant to such annual or five (5) year reviews shall be effective except after public hearing and thirty (30) days' notice to the public. Such notice shall be given by keeping open for public inspection at the office of the Director of Finance the proposed annual water budget and the proposed schedule of the rates and charges. In addition, notice shall be given by publishing a notice of the availability of the proposed budget and rate schedule at least once in a newspaper of general circulation in the affected billing area(s) of the City water utility at least thirty (30) days and no more than sixty (60) days prior to the date set for public hearing on the adoption of the proposed schedule. The published notice shall also specify the date, time, and place for the public hearing on the proposed budget and rate schedule. The City Council may adjourn and reconvene said hearings, as necessary. For good cause shown, the City Council may adopt a new budget and rate schedule without thirty (30) days' notice and public hearing by an order specifying the budget and rate schedule, the circumstances necessitating the adoption of the rate schedule and budget without thirty (30) days' notice and public hearing, the time when the changes shall take effect and the manner in which the changes shall be published. (Code 1971, § 23-43; Ord. No. 27-1985 , § 1; Ord. No. 51-1987 , § 3; Ord. No. 18-1988 , § 2; Ord. No. 34-1988 , §§ 2, 3; Ord. No. 39-1993 , § 3; Ord. No. 35-2011 , § 1; Ord. No. 29-2012 § 3) Sec. 25.08.090. - Equivalent capacity units. (a) All water service shall be rated by the Water Department in accordance with the following table: (1) LONG-TERM RESIDENTIAL (Occupancy extending more than one (1) month): ECU 1st full bath 0.36 2nd full bath 0.24 Each additional full bath 0.12 Each kitchen (full cooking facilities) 0.25 Each kitchenette (modest cooking facilities) 0.15 Each bedroom 0.10 80 (2) LODGING BEDROOMS (Occupancy per person extending less than one (1) month): ECU Each bedroom with no bath or cooking facilities, but with dormitory style bathrooms in hallways 0.45 Each bedroom with no bath, but with modest cooking facilities and dormitory style bedrooms in hallways 0.60 Each bedroom with full bath but no cooking facilities 0.55 Each bedroom with full bath and wet bar (microwave and under the counter icebox) 0.65 Each bedroom with full bath and modest cooking facilities 0.70 (3) SHORT- OR MIXED-TERM RESIDENTIAL (Occupancy per person extending less than one (1) month): ECU Each full bath 0.36 Each kitchen (full cooking facilities) 0.25 Each bedroom 0.30 (4) IRRIGATION: Line Size Minimum ECU Rating Each bib hose in addition to sprinkler system (fixed piping/spray or drip emitters, i.e. hose bib w/ irrigation) Any 0.05 Hose bib only (i.e. hose bib for irrigation): 81 1st hose bib Any 0.20 2nd hose bib Any 0.10 3rd hose bib Any 0.05 Yard Hydrant 0.5/hydrant Irrigation System -Spray 0.01/100 Sq. Ft. Drip Irrigation System 0.001/Drip Emitter (5) RESTAURANTS: Each seat: 0.07 ECU. (6) NONPROFIT CAFETERIA (including school cafeterias): Each seat: 0.048 ECU 1st 25/0.024 ECU thereafter. (7) OFFICE SPACE: Each one hundred (100) square feet: 0.02 ECU. (8) RETAIL SPACE: Each one hundred (100) square feet: 0.01 ECU. (9) COMMERCIAL RECREATIONAL FACILITIES: Each customer: 0.04 ECU. (10) NONPROFIT RECREATIONAL FACILITIES (including school gyms): Each customer/pupil: 0.04 ECU. (11) THEATERS, AUDITORIUMS, CONVENTION HALLS AND ASSEMBLY PLACES: Each ten (10) seats: 0.080 ECU year-round/0.048 ECU summer. (12) SCHOOL ROOMS (not including cafeteria, kitchens, gyms, auditoriums, and administrative office space): Each pupil: 0.02 ECU per maximum capacity. (13) WAREHOUSE OR INDUSTRIAL SPACE: Each one thousand (1,000) square feet: 0.12 ECU. (14)GAS STATIONS: Each service or lubrication bay: 0.25 ECU. (15) CAR WASHES: Each manual washing bay: 0.95 ECU/each automatic washing bay: 1.45 ECU. (16) HOSPITALS, NURSING HOMES, SANITARIUMS, AND DETENTION CENTERS: Each bed: 0.50 ECU. (b) The Water Department shall establish fixture or irrigated area maximums for all ECU ratings under Subsection (a). For all fixtures or irrigated area in excess of said maximums, the Water Department shall increase the ECU rating in accordance with the following table: ECU 82 Toilet/urinal 0.05 Mop/laundry sink (per compartment) 0.05 Kitchen sink (per compartment) 0.05 Lavatory sink (per compartment) 0.02 Combo toilets (toilet/bidet, toilet/lav) 0.07 Bar sink (per compartment) 0.05 Garbage disposal 0.05 Household dishwasher 0.10 Commercial dishwasher (per ⅛" of supply line diameter) 0.10 Dishwasher drawer (single) 0.05 Steamer oven 0.05 Household clothes washer 0.10 Commercial clothes washer (per ⅛" of supply line diameter) 0.10 Commercial icemaker (per ⅛" of supply line diameter) 0.05 Steam room 0.08 Water bottle fill station 0.05 Whole home humidifier 0.30 Coffee urn 0.05 Tub/shower (combined or separate) 0.05 Bidet 0.05 83 Wet saunas 0.08 Humidifiers 0.05 Jacuzzi/spa (per 100 gal. of capacity) 0.02 Swimming pool (per 1,000 gal. of capacity): 0.02 Industrial process or wastewater (not served by sanitary sewer): Each 1,000 gal./day non- consumptively used 1.50 Each 1,000 gal./day consumptively used 3.90 Fountains: Non-continuous drinking 0.05 Continuous drinking 0.50 Non-recycling decorative 0.50 Recycling decorative 0.10 Water softener (per ECU): Residential 0.02 Commercial 0.01 Fire protection sprinkler heads 0.00 (c) In the event that the water service cannot be adequately rated under the tables in Subsections (a) and (b) or if there are unusual or special circumstances warranting a special ECU rating, the service may be rated as determined by the Water Department at the customer's expense. The Water Department may also adjust the ECU rating of any water service if the metered demand of such service differs substantially from the ECU rating under Subsections (a) and (b). (d) In no event shall the ECU rating be less than the following minimums: Line Size Minimum ECU Rating 84 ¾" 1.0 1" 2.0 1¼" 3.0 1½" 4.0 2" 8.0 4" 20.0 6" 30.0 8" 60.0 For line sizes larger than six (6) inches, the minimum ECU rating shall be determined by the Water Department after consultation with the City Manager. (e) The ECU rating per customer pursuant to Subsections (a), (b), (c) or (d) shall be applied in calculating utility investment charges under Section 25.12.040 and in calculating monthly demand, extraordinary water use, and fire protection charges under Sections 25.16.010 and 25.16.020. (f) Commercial agricultural uses shall be limited to a maximum of one (1) ECU of potable water without the prior express written consent of the City Manager. (Code 1971, § 23-44; Ord. No. 27-1985 , § 1; Ord. No. 36-1995 , § 1; Ord. No. 43-1996 , § 16; Ord. No. 30-2012 § 4; Ord. No. 15-2019 , § 2, 6-24-2019; Ord. No. 24-2019 , § 1, 11-26-2019) Chapter 25.12. - UTILITY CONNECTIONS Sec. 25.12.010. - Connection to municipal utility system. All buildings, structures, facilities, parks, or the like within the City limits which use water shall be connected to the municipal treated water utility system. No person shall connect an independent water supply onto the municipal water utility system. The City of Aspen shall be the sole provider of all treated and untreated water service to the Subject Property for all purposes, including irrigation. Without Aspen's prior written permission, there shall be no use on the Subject Property of raw or treated water from wells, ditches, or other sources. The owner of the Subject Property will not develop, allow, or utilize an independent treated or untreated water system, or any wells within or serving the Subject Property. (Code 1971, § 23-55; Ord. No. 27-1985 , § 1; Ord. No. 30-2012 § 5; Ord. No. 24-2019 , § 1, 11-26- 2019) Sec. 25.12.015. - Raw water supplies (non-potable). 85 This Section is applicable to all connections to the City of Aspen Water Utility potable water system. Raw water supplies for irrigation systems shall be provided exclusively by the City of Aspen Water Utility. The owner of the property proposed to be irrigated from City of Aspen water facilities shall dedicate the city all raw water transmission facilities and all water rights appurtenant to the proposed property. For those developments in which raw water irrigation can be used, development proposals shall include provisions for recording of covenants and restrictions against the use of treated water outdoors and against the use of untreated water other than in accordance with the landscaping, irrigation, and drainage management plan provided for in a development proposal. (Ord. No. 27-2017) Sec. 25.12.020. - Application for utility service. (a) Where both the utility service connection and all points of consumption are within the corporate limits of the City, this shall be considered to be a utility service within the corporate limits of the City and shall be made as provided in this Chapter and in accordance with the Aspen Area Community Plan and City Council resolutions relating to water policies and operating procedures, as such exist at the time of the request for connection. (b) Every extension of water service where either the utility service connection or any point of consumption is outside the corporate limits of the City shall be considered an extraterritorial tap and shall be made only pursuant to agreement with the City, in accordance with the City water main extension policy and consistent with the Aspen Area Community Plan and City Council resolutions relating to water policy and operating procedures as such exist at the time of the request for connection, and such extraterritorial service must be approved by City Council ordinance as required by the Charter. The City shall not be obligated to extend water service outside the corporate limits of the City and may grant water service only upon a determination that no conflict exists between the best interests of the City, as expressed in the Aspen Area Community Plan and as otherwise determined by the City Council and the prospective water use. The City may impose such contract, water rights dedication, system development fees, and bond requirements as it deems necessary to safeguard the best interests of the City. An individual extraterritorial connection (including a fire hydrant) made to an existing City water main, pursuant to Water Department procedures for such connections, is deemed to be an extraterritorial water connection approved by City Council without the need for further City Council ordinance. If the City agrees to accept a payment in lieu of water rights dedication, that fee will be six thousand seven hundred thirty-six dollars ($6,736.00)/ECU commencing January 1, 2021. (c) Any person who desires to connect to the municipal water utility system or who is already connected to the municipal water utility system and intends to add or change a water demand factor or fixture shall file an application for utility service provided in Subsections (e) and (f) of this Section and pay all fees prior to obtaining a required building or plumbing permit. If no building or plumbing permit is required, the application shall be made prior to making the connection or to adding or changing the water demand factor or fixtures. All utility development review fees, utility investment charges, system development fees, hook-up charges, water main extension costs, and water rights dedication or fees in lieu of water rights dedication shall be due and payable when all city submittal fees are due unless prior written approval is obtained from the Water Department for a different method of payment. (d) Persons seeking an alternate method of payment of the assessment fee(s), shall make written application to the Water Department specifying the method of payment and all related forms. The Water Department upon review of the application, shall either approve, disapprove, or modify the proposal to satisfy Water Department needs. (e) Applications for utility service shall be made in writing to the Water Department on such forms as the Water Department may prescribe. Except as provided in Subsection (f) of this Section, application must be made by the owner of the property to be served or his or her duly authorized 86 agent, designating the property, stating the purpose for which the water may be required and stating the ECU rating associated with such purpose. (f) Any person not an owner may apply to the Water Department for utility service to property which said person occupies but does not own. The application shall state the location of the property, the purpose for which water is required and the interest of the applicant in the property. The Director of Utilities may, in the exercise of his or her discretion, accept the non-owner application for utility service and may impose such conditions as it sees fit with regard to the account, including the furnishing of a deposit. (g) A utility connection application shall be required, utility investment charges shall be assessed and, where appropriate, water rights dedication (or payment in lieu of water rights dedication) shall be required for any new or expanded use of water, whether or not such new or expanded use requires a new or enlarged utility service connection. (Code 1971, § 23-56; Ord. No. 27-1985 , § 1; Ord. No. 8-1988 , § 1; Ord. 39-1993 , § 4; Ord. No. 16- 1994 , §§ 1, 2; Ord. No. 30-2012 § 6; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.12.025. - Utility development review fee. (a) All projects on properties within the City of Aspen that require engineering development review or that will add, change, or remove plumbing fixtures are subject to the utility development review prior to issuance of a City building permit; All projects on properties outside City of Aspen limits that may change or impact City water service are subject to the utility development review prior to submittal of a Pitkin County building permit application. (b) Applicable review fees and utility investment charges must be paid prior to issuance of a City of Aspen building permit, and/or prior to submitting an application for a Pitkin County building permit. (c) If submitting a building permit application to Pitkin County for a project that may change or impact City water service, the following documents are required for the utility development review: (1) Utility development review application; (2) relevant building plans, which may include architectural, civil, and/or water efficient landscape sets; (3) City water service agreement; (4) ECU Calculator. (d) The utility development review fee shall be as set forth in Subsection (e) of the Section. (e) [Utility Development Fees.] Utility Development Fees 2021 Rate Projects with 0 to 200 Sq. Ft. of Affected Area $250.00 Projects with 201 to 5,000 Sq. Ft. of Affected Area $1.50/sq. ft. Projects of 5,001 to 15,000 Sq. Ft. of Affected Area $1.50/sq. ft. for 1st 5,000 sq. ft. + $1.25/sq. ft. thereafter Projects with more than 15,000 Sq. Ft. of Affected Area $1.50/sq. ft. for 1st 5,000 sq. ft. +$1.25/sq. ft. for next 10,000 sq. ft. + $1.15 sq. ft. thereafter 87 Project Type Applicability and Calculation New Construction (including "scrape and replace") Fee calculated according to affected area. Affected area is calculated as square footage of the building footprint, plus the square footage of exterior disturbance. Calculation instructions are set forth in Section (f), below. Interior or exterior work that triggers an engineering development review, or includes adding, removing, or otherwise making changes to any plumbing fixtures on the property Fee calculated according to utility affected area. Utility affected area is the total square footage of all rooms/work areas in which plumbing fixtures are affected, plus the total square footage of any exterior disturbance. Calculation instructions are set forth in Section (g), below. Interior or exterior work that does not trigger an engineering development review, and does not include making any addition(s), subtraction(s), or other change(s) to plumbing fixtures No Review or Fee Required. (f) Calculating affected area for new construction projects—Affected area shall be calculated as follows: (1) Enter building footprint alteration. Building footprint alteration is defined as a level 2 alteration of work area within the building. (2) Enter new square footage. New square footage is the gross floor area being added to the building or structure as part of the project. (3) Enter building square footage. Building square footage is the building footprint alteration plus the new square footage. Add the amounts calculated in Section (1) and Section (2) of this Subsection (f) to determine building square footage. (4) Enter square footage of the grade floor area of the project. (5) Enter net building square footage. Net building square footage is equal to either the building square footage or the grade floor square footage, whichever is smaller. Enter the smaller of the two (2) numbers calculated in Section (3) or Section (4) of this Subsection (f) to determine net building square footage. (6) Enter the disturbance area. The disturbance area is the exterior area of the building where the ground is disturbed. This includes soil grading, landscaping, removing impervious area, adding impervious area, and replacing impervious areas, layback areas, construction access areas and stockpile areas. (7) Total Affected Area equals the net building square footage plus the disturbance area. To arrive at total affected area, add the values calculated in Section (5) and Section (6) of Subsection (f) of this Section. 88 (g) Calculating utility affected area for remodel/renovation/alteration projects—Utility affected area shall be calculated as follows: (1) Enter utility building footprint alteration. Utility building footprint alteration is defined as a level 2 alteration of work area within the building in which plumbing fixtures are affected. For example, for an interior remodel, the utility building footprint alteration is measured by the total square footage of each room in which plumbing fixtures are added, removed, or otherwise changed. (2) Enter new square footage. New square footage is the gross floor area being added to the building or structure as part of the project. (3) Enter utility building square footage. Utility building square footage is the utility building footprint alteration plus the new square footage. Add the amounts calculated in Section (1) and Section (2) of this Subsection (g) to determine utility building square footage. (4) Enter square footage of the grade floor area of the project. (5) Enter net utility building square footage. Net utility building square footage is equal to either the utility building square footage or the grade floor square footage, whichever is smaller. Enter the smaller of the two (2) numbers calculated in Section (3) or Section (4) of this Subsection (g) to determine net utility building square footage. (6) Enter the disturbance area. The disturbance area is the exterior area of the building where the ground is disturbed. This includes soil grading, landscaping, removing impervious area, adding impervious area, and replacing impervious areas, layback areas, construction access areas and stockpile areas. (7) Total Utility Affected Area equals the net utility building square footage plus the disturbance area. To arrive at total utility affected area, add the values calculated in Section (5) and Section (6) of Subsection (g) of this Section. (h) Definitions: (1) Building footprint alteration square footage is the work area portions of an existing building undergoing reconfiguration of space, the reconfiguration or extension of any system, or the installation of any additional equipment. (2) Utility building footprint alteration square footage is the total area of rooms within the building in which any plumbing fixtures are affected. For example, for an interior remodel, the utility building footprint alteration is measured by the square footage of each room in which plumbing fixtures are added, removed, or otherwise changed. (3) New square footage is measured within the inside perimeter of the exterior walls of the new addition under consideration, without deduction for corridors, stairways, ramps, closets, the thickness of interior walls, columns, or other features. New square footage includes the exterior usable area under the horizontal project of the roof or floor above not surrounded by exterior walls. (4) Building square footage includes both the building footprint alteration square footage and the new square footage. (5) Utility building square footage includes both the utility building footprint alteration square footage and the new square footage. (6) Grade floor area is measured within the inside perimeter of the exterior walls of a building, without deduction for corridors, stairways, ramps, closets, the thickness of interior walls, columns, or other features. Grade floor area includes the exterior usable area under the horizontal projection of the roof or floor above not surrounded by exterior walls. (7) Net building square footage includes both the building footprint alteration square footage and the new square footage; however, the total shall not exceed the area of the grade floor area of the complete new building. 89 (8) Net utility building square footage includes both the utility building footprint alteration square footage and the new square footage; however, the total shall not exceed the area of the grade floor area of the complete new building. (9) Disturbance area is defined by exterior area of the building where the ground is disturbed. This includes, but is not limited to, soil grading, landscaping, removing impervious area, adding impervious area, replacing impervious area, layback areas, construction access areas, and stockpile areas. (10) Affected area is the net building square footage plus the disturbance area, with the net building square footage equaling the smaller of either the building footprint alteration plus the new square footage or the grade floor square footage. (11) Utility affected area is the net utility building square footage plus the disturbance area, with the net utility building square footage equaling the smaller of either the utility building footprint alteration plus the new square footage or the grade floor square footage. ( Ord. No. 38-2016 ; Ord. No. 28-2018 ; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.12.030. - Utility connection permit. (a) No utility connection permit shall be issued, except pursuant to this Section unless the utility connection permit is issued and paid for pursuant to a phasing agreement, prepayment agreement or other agreement with the City to the contrary. (b) No utility connection applicant shall receive a utility connection permit for a new utility service prior to the issuance of a building or plumbing permit for the structures or fixtures for which water service is requested. The addition of any water demand factor or fixture or change of service of an existing connection shall require a utility connection permit. (c) It shall be unlawful for any person not authorized by this Chapter to make any connection to any main of the water utility or for any unauthorized person to connect to the water utility or for any person to add a water demand factor or fixture or to change service contrary to the provisions of this Chapter. (d) All utility connection permits as required by this Chapter shall be issued by the Water Department and shall set forth all those requirements specified in Subsections 25.12.020(e) and (f). The Water Department keep a duplicate or record of all utility connection permits issued. (e) Any permit issued pursuant to this Section shall expire upon failure to make the authorized utility connection by the time of expiration of the building or plumbing permit for the structures or fixtures proposed to be serviced. In the event of expiration of a utility connection permit, the applicant, upon request, shall be refunded any utility connection charges not expended by the City for the benefit of the applicant. No interest on any unspent charges shall be paid (Code 1971, § 23-57; Ord. No. 27-1985 , § 1; Ord. No. 30-2012 § 7) Sec. 25.12.040. - Utility investment charges. (a) The utility investment charge per each equivalent capacity unit (ECU) for each billing area shall be as set forth in Subsection (d) of this Section. (b) The total utility investment charge for a customer shall be the customer's ECU rating multiplied by the charge in Subsection (d). (c) Before any water is furnished, pursuant to a utility connection application and permit, Water Department personnel shall inspect the property designated on the application and shall certify on the application that the ECU rating on the application equals the ECU rating for the property as 90 developed. Prior to inspection, water may only be furnished to the property for construction purposes upon proper payment therefor. If the ECU rating for the property as developed is less than the ECU rating on the application, the applicant shall be entitled to a refund of any overpayment of the total utility investment charge, but no refund shall be made of any utility hookup charge or of any water main extension costs, water rights dedication fees, interest on any overpayment or other connection costs because of a reduced ECU rating. If the ECU rating of the developed property is greater than the ECU rating on the application and no larger or additional connections are made, no water shall be furnished until the deficit in the total utility investment charge has been paid. If a larger or additional connection is made, no water shall be furnished until the deficits in the total utility investment charge, the utility hookup charge and all other applicable charges and fees, have been paid. In every case, the Utility Connection Permit shall be amended as necessary to reflect the final ECU rating for the property, and the connections. (d) Utility investment charges (tap fees) are computed as follows: (1) For the purpose of utility investment charge computation, the following fees shall be assessed per ECU effective January 1, 2021: Billing Area Charges per ECU Billing Area 1 $9,334 Billing Area 2 $18,668 Billing Area 3 $18,668 Billing Area 4 $11,668 Billing Area 5 $16,335 Billing Area 6 $18,668 Billing Area 7 $14,001 Billing Area 8 Reserved The total utility investment charge shall be the utility investment charge per ECU multiplied by the number of ECU points for the utility connection applied for by the applicant. (e) System development charges recommended by the Water Department may be authorized from time to time by the City Council. System development charges are fees intended to provide for additional water system development that is intended to enhance the reliability of City water service to all customers, and may include, for example, well system development fees or plant investment fees. Effective January 1, 2021 Well System Development fees that be calculated at a rate of one thousand six hundred seventy-five dollars ($1,675.000)/ECU. 91 (Code 1971, § 23-58; Ord. No. 27-1985, § 1 ; Ord. No. 54-1986, § 1 ; Ord. No. 34-1988, § 6 ; Ord. No. 19-1990, § 3 ; Ord. No. 39-1993, § 5 ; Ord. No. 30-2012 § 8 ; Ord. No. 28-2018 ; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.12.050. - City-County water trust. Ord. No. 62-1993 § 1 repealed this Section. (Code 1971, § 23-60; Ord. No. 27-1985 , § 1; Ord. No. 62-1993 , § 1) Sec. 25.12.060. - Utility hookup charge. (a) A utility hookup charge shall be paid to the City to recover the cost of labor and equipment required to make a tap. Effective January 1, 2021 the utility hookup charge shall be as follows: Line Size Charges 3/4" $1,000.00 1" $1,500.00 1.5" $1,750.00 2" $2,000.00 4" $2,500.00 6" $3,000.00 8" $3,500.00 (b) In addition to the costs listed above, the cost of the corporation stop, and other materials used in making the tap shall be charged at the actual cost of materials plus a twenty-five percent (25%) handling and stocking charge. The cost of the installation of the corporation stop shall also be included. The water user shall furnish and pay for all other materials, labor and all expenses in and about the making of all connections with the main, including all costs of the service lines and meter installations, except for the specific costs included in the utility hookup charge in this Section. (c) If warranted by unusual or special circumstances, the Water Department may impose special utility hookup charges. (Code 1971, § 23-58; Ord. No. 27-1985 , § 1;Ord. No. 54-1986 , § 1; Ord. No. 34-1988, § 6; Ord. No. 19-1990 , § 3; Ord. No. 39-1993 , § 5; Ord. No. 30-2012 § 9; Ord. No. 30-2018 ; Ord. No. 24-2019 , § 1, 11-26-2019) 92 Sec. 25.12.070. - Additional service; fixtures; credits. (a) No additional service, change of fixtures or demand factors, or change in use of an existing utility connection may be made without application and a utility connection permit issued therefor by the Water Department pursuant to this Chapter. Utility connection permits may be subject to conditions necessary to protect the best interests of the city water utility, including a requirement that a larger tap be installed. (b) Any additional service, change of fixtures or demand factors or changes in use shall be subject to payment of a utility investment charge (tap fee) and applicable system development charge, based upon the additional ECU rating associated with such additional service, change of fixtures or demand factors or change in use. In no event shall there be any refund or reimbursement under this Section for a reduction in the ECU rating for any utility service. If a larger utility service connection is required, the utility hookup charge shall be assessed as for a new utility service connection. (c) In the calculation of the utility investment charge and applicable system development charge to be paid by the owner of residential or commercial structures, which are to be substantially remodeled or rebuilt, the utility investment charge and applicable system development charge shall be the charge determined in accordance with Section 25.12.040 for the completed structure, minus the amount of any utility investment charges and system development charges actually previously paid by the landowner or the predecessor of the landowner for connection of water service to the existing structure or structures on the property. Where structures are not substantially remodeled or rebuilt but are merely renovated or less than substantially remodeled the utility investment charge and system development charge shall be the charge determined in accordance with Section 25.12.040 for a new connection having an ECU rating equal to the difference between the new ECU rating of the structure and the former ECU rating of the structure; provided, however, that new water conserving devices are installed in the structure which meet the City standards for new water using devices. (1) "Substantial remodel" shall be defined as the increase by fifty percent (50%) in the water using capacity of new water using devices or fixtures installed on a property, as measured by the ECU rating of the existing and proposed structure(s). (2) "Rebuilt" shall be defined as the removal and total reconstruction of a structure on a particular piece of property. (3) The calculation for the credit to be given for property on which the structures are substantially remodeled or rebuilt shall take into account the amount actually paid for utility investment charges (tap fees) and system development charges in the records as maintained by the City. If no such records are maintained or it is impossible to determine the credit to be given, the credit shall be as calculated by the Water Department, taking into account the following in addition to other criteria deemed relevant: a. Size of the water main servicing the area; b. Size of the service line to the property; c. Size of the meter installed; d. Age and use of the building; e. Date of original connection to the city water service; f. History of fixture installations and upgrades; g. Fees charged to similarly situated customers h. Any verifiable and relevant records of the applicant; i. Consideration other than money (e.g., water system upgrades, easements, or water rights) given to the City in exchange for the charge for utility connection or net benefit to the water system; and, 93 j. Unamortized capital expended for improvements to the system since the date of connection which has not been recovered by the water rates paid by the landowner. (4) In the event the landowner disputes the amount of credit to be given, he or she shall request and pay the costs of arbitration of the issue by the manager of the Aspen Consolidated Sanitation District. The conclusion of the arbitrator shall be final if the land is located within the incorporated limits of the City. The City, at its sole discretion, may decline to connect or increase water service for customers outside of the City at the credit established by the arbitrator. (Code 1971, § 23-62; Ord. No. 27-1985 , § 1; Ord. No. 19-1990 ; Ord. No. 30-2012 § 10) Sec. 25.12.080. - Oversized tap; fire protection system. (a) If a utility service connection larger than that determined in Section 25.12.060 above is desired, the enlarged connection may be installed upon approval by the Water Department and upon payment of the applicable utility investment charges, system development charges, and hook-up charges and upon the issuance of a utility connection permit. (b) In the event a larger size utility service connection is necessary for a private fire protection system, the utility investment charge and system development charge shall be computed only upon the ECU rating for the building exclusive of the fire protection system. Nothing herein shall, however, relieve the water user from paying the full utility hookup charge, including cost of the tap, all pipes, valves, valve boxes and meter. (Code 1971, § 23-63; Ord. No. 27-1985 , § 1; Ord. No. 30-2012 § 11) Cross reference—Fire Prevention and Protection, Title 11. Sec. 25.12.090. - Requirements for service pipes; location of curb stops. (a) All water service lines shall be laid at least seven (7) feet below the existing grade of the street or ground. (b) No service line shall be covered prior to inspection and approval by the Water Department. (c) All service lines shall have a copper thaw wire of not less than number four (4) gauge installed between the corporation stop and the point of entry to the building in such manner so as to provide an electrical circuit through the service line. (d) No connection inserted in or connected with the service line shall have an inside diameter of less than three-quarters (¾) of an inch and every tap shall be made of brass. The service line shall be of heavy serviceable copper; provided that a substitute material may be permitted by the Water Department, in its sole discretion, on written request. The service line shall extend from the main to the outside line of the sidewalk at which point shall be placed a curb stop with cover and in case the point of delivery is such that there is no sidewalk or if it be in an alley, then the curb stop shall be placed just outside the lot line or at such point as the Water Department shall direct, so that the same shall be accessible to the Water Department for the purpose of turning on or shutting off water without entering on private premises. (e) Water service line bypass piping around existing or future water meters shall be accepted on a limited case-by-case basis and can only be implemented if a water customer has received prior written approval from the Aspen Water department utility. Bypass piping materials and configuration, if pre-approved, shall be installed in accordance with the latest edition of the City of Aspen Water Department Distribution Standards. 94 (f) All inactive city water accounts with pretaps made twenty (20) or more years ago must abandon their pretapped water service line and retap a new water service line prior to activation and acceptance of property's Aspen water service. (Code 1971, § 23-64; Ord. No. 27-1985 , § 1; Ord. No. 30-2012 § 12; Ord. No. 28-2018 ) Sec. 25.12.100. - Single utility connections serving more than one building. (a) In all cases where service lines have been constructed from a single utility connection to different houses, buildings or premises and a separate curb stop accessible to the Water Department has been placed on the line leading to each house, building or premises, so that water can be easily turned on and shut off from the premises or any of them, the continued use of such extensions will be permitted. A Shared Water Service Line Agreement will be executed and filed for these instances. (b) No connection with the water utility or use of water shall be made through any extension of the service line serving any other premises except as provided in this Section. (c) Nothing herein shall be construed to relieve any water utility applicant from paying any charge attributable to the new or increased water service. (Code 1971, § 23-65; Ord. No. 27-1985 , § 1; Ord. No. 30-2012 § 13) Sec. 25.12.110. - Barricades and safety measures for excavations. All excavations in the street with regard to the water service shall be made in conformity to this Code and other ordinances of the City and suitable barricades and guards shall be placed around such excavation and shall be sufficient to protect all persons from injury and damage and sufficient warning lights shall be kept illuminated near such excavations from twilight until sunrise in order to protect all persons from injury or damage thereby. The person making such excavations shall be liable for all injuries or damages resulting from his or her failure to comply with this Section. (Code 1971, § 23-66; Ord. No. 27-1985 , § 1; ord. No. 30-2012 § 14) Sec. 25.12.120. - Testing of completed connection. When any utility connection for water service has been completed and the service is found to comply with the provisions of this Chapter, the Water Department shall test the connection to determine that the connection and service are in proper operating condition. No water shall be turned on to make this test by anyone except the Water Department or a person acting under its order. (Code 1971, § 23-67; Ord. No. 27-1985 , § 1; Ord. No. 30-2012 § 15) Sec. 25.12.130. - Maintenance of service pipes and fixtures. The owner of any premises for which a utility connection is made shall at all times keep all service lines, fixtures and appliances from the point of connection at the corporation stop to and on his or her premises tight and in good working order so as to prevent any waste of water. In case any line or fixture shall be found to leak water or be damaged, the owner shall forthwith repair and correct the same and the owner shall be responsible for thawing frozen pipes from the point of connection with the main at the corporation stop to his or her premises. If after notice to the owner by the Water Department to repair leaking or damaged service lines, fixtures or related infrastructure, such repair is not made, the Water Department may have the service lines, fixtures or related infrastructure repaired or replaced. Any costs 95 incurred by the water utility in so doing shall become a lien upon the premises and be satisfied against the same. (Code 1971, § 23-68; Ord. No. 27-1985 , § 1; Ord. No. 30-2012 § 16) Sec. 25.12.140. - Notice to repair defective plumbing fixtures; discontinuance of service for failure to comply. (a) If, at any time, the Water Department shall ascertain that the plumbing fixtures or appliances on any premises are so defective as to waste water, the Water Department shall notify the user of the water or his or her agent, to repair the same and if the same are not repaired within forty-eight (48) hours from the time of such notice being served upon the water user or the agent, the Water Department may shut off the water from the premises and immediately notify the customer. (b) It shall be unlawful for any person to fail or refuse to comply with the order provided in this Section. (Code 1971, § 23-69; Ord. No. 27-1985 , § 1; Ord. 30-2012 § 17) Sec. 25.12.150. - Disconnections; maintenance of corporation stop, curb stop, curb box and meters. (a) In case any owner of premises on which water is used shall cease to use water and desires to disconnect his or her premises, he or she shall not be permitted to remove the curb stop, curb box or meter and appurtenances, except with permission from the Water Department. Corporation stops are the property of the water utility and shall only be removed or operated by the Water Department. (b) The owner of property serviced shall be responsible for the repair and maintenance of the service line, curb stop, curb box and meter and is further responsible for insuring that none of the above become damaged or inaccessible by reason of landscaping, foliage or construction of improvements on the premises. Note: Maximum allowable age of water meters installed within the Aspen Water Service Area is 25 years. Water meters exceeding 25 years of age will be required for replacement by the Aspen water department through a customer outreach process. New water meters and their install will be at the expense of the property owner. (c) In such event a meter, remote and/or Meter Transmitting Unit (MTU) is damaged or concealed or otherwise made inaccessible, the Water Department shall direct that the water user be billed the unmetered rate for his or her water service until such time as the meter, remote and/or MTU is again made operable or accessible by the owner. (Code 1971, § 23-70; Ord. No. 27-1985 , § 1; Ord. No. 30-2102 § 18) Sec. 25.12.160. - Waivers and exemptions from utility investment charges for certain employee housing projects. (a) Purpose. The purpose of this section is to identify those affordable housing projects that may be eligible for exemption from, and waivers of, the utility investment charges and system development charges when connecting to the City of Aspen's water system. There are three (3) types of affordable housing projects that are eligible for exemptions or waivers: (i) projects that are determined to be Qualified Affordable Employee Housing as defined herein; (ii) affordable housing projects that are eligible to receive Affordable Housing Credits pursuant to Chapter 26.540 of the Municipal Code; and (iii) projects that consist of a mix of affordable housing units subject to the Aspen/Pitkin County Housing Authority Guidelines, as may be amended from time to time; and, unrestricted (free market) 96 units. To be eligible for an exemption or waiver pursuant to this section of the Municipal Code, a project shall have installed in all units properly maintained and continuously operable water conservation devices and practices as designated from time to time by the City Council by ordinance, resolution, or by regulations issued by the City Manager or the Water Department. (b) Definitions. As used in this Code, unless the context requires otherwise, the following terms shall be defined as follows: (1) Qualified Affordable Employee Housing shall be defined as publicly or privately constructed and owned projects which: a. Are not constructed for mitigation purposes or which receive any form of Affordable Housing Credits such as those set forth at Chapter 26.540 of the Municipal Code; and b. Are composed of one hundred percent (100%) employee housing units; and, c. Are deed restricted to ensure that all units are subject to, and administered by, Aspen/Pitkin County Housing Authority Guidelines, as may be amended from time to time; and, d. Are maintained as qualified affordable housing. (2) The Fee Waiver Schedule referred to in this section is the percent of the utility investment charges that may be waived based upon the category of the units within the affordable housing project. The Fee Waiver Scheduled is set forth in Figure 1, below. Housing Categories as referenced in the Aspen/Pitkin County Housing Authority Guidelines, as may be amended from time to time. Fee Waiver Level Category 1 100% Fee Wavier Category 2 70% Fee Waiver Category 3 40% Fee Waiver Category 4 0% Fee Waiver Category 5 0% Fee Waiver Category 6 0% Fee Waiver Category 7 0% Fee Waiver Resident Occupied 0% Fee Waiver Free Market Units 0% Fee Waiver Figure 1. (3) Affordable and Free Market Mix shall be defined as a project that: 97 a. consist of a mix of both deed restricted housing to ensure that all units are subject to the Aspen/Pitkin County Housing Authority Guidelines, as may be amended from time to time and unrestricted housing (free market) units; and, b. were not constructed for mitigation purposes. (c) Qualified Affordable Employee housing shall be exempt from all utility investment charges and system development charges when connection is made to the City of Aspen's water system. (d) Affordable Housing Credits Program. Projects that receive Affordable Housing Credits pursuant to Chapter 26.540 of the Municipal Code are eligible for a waiver of the percentage of the total utility investment charge and system development charge as set forth in the Fee Waiver Schedule. If a project has a mix of categories, the waiver shall be determined on a unit by unit basis pursuant to the Fee Waiver Schedule. (e) Affordable and Free Market Mix. Projects that are determined to be Affordable and Free Market Mix of units, and where no mitigation is required for the free market units, are eligible for a waiver of the percentage of the total utility investment charge and system development charge as set forth in the Fee Waiver Schedule for the affordable housing units. If a project has a mix of categories, the waiver shall be determined on a unit by unit basis pursuant to the Fee Waiver Schedule. (f) Revocation of Exemptions and Waivers. In the event that Qualified Employee Housing units, projects receiving Affordable Housing Credits, or projects that are considered Affordable and Free Market Mix projects, receive an exemption or a waiver in accordance with this section, and thereafter fail to continue being affordable housing units as contemplated herein; or, the water conservation devices and practices are not installed as required, are not properly maintained or continuously operable, the developer of such units and the owners thereof shall be jointly and severally liable to reimburse the City for the cost of the utility investment charges and system development charges exempted by this Section. The City Manager shall establish a method of accomplishing this payment so as not to be unduly burdensome on the developer or owners. (g) Subsequent Project Changes. Utility connection charge and system development charge waivers for affordable housing credit projects and affordable and free market mixed projects are a one-time occurrence at the time of project completion. Additions, remodels, and, or changes that occur after original project completion will not receive a utility connection charge or system development charge waiver, however a credit for the ECU's assigned to the specific employee housing unit will be allowed against additional fees due to these improvements. ( Ord. No. 8-1995, § 1 ; Ord. No. 36-1995 , § 2; Ord. No. 13-2011 ; Ord. No. 30-2012 § 19; Ord. No. 24-2019 , § 1, 11-26-2019) Chapter 25.16. - WATER RATES AND CHARGES Sec. 25.16.010. - Monthly rates for metered water service. All metered water accounts except temporary construction, grandfathered-in, and pre-tap customer accounts shall pay on a monthly basis the sum of charges one (1) through four (4) that follow: (a) Effective in the January 2021 monthly billing, all metered accounts shall pay a monthly demand charge per ECU as follows: 98 Billing Area Billing Factor (Included)Per ECU Rate 1 1.00 $6.14 2 2.00 $12.28 3 2.00 $12.28 4 1.25 $7.68 5 1.75 $10.75 6 2.00 $12.28 7 1.50 $9.21 (b) Effective in the January 2021 monthly billing, all metered accounts shall pay a monthly variable charge per ECU as follows: Usage Per ECU Up To Per 1,000 Gallons Rate Additional Usage Per ECU Up To Per 1,000 Gallons Rate Additional Usage Per ECU Up To Per 1,000 Gallons Rate Remaining Usage Per ECU Over Per 1,000 Gallons Rate 4,000 $3.12 12,000 $4.01 16,000 $5.74 16,000 $8.61 (c) Effective in the January 2021 monthly billing, all metered accounts within service area pumped zones shall pay a monthly pumping charge per one thousand (1,000) gallons as follows: # of Pumps Rate Per 1,000 Gallons Pumped 1 $2.60 2 $5.20 3 $7.80 99 (d) Effective in the January 2021 monthly billing, all metered accounts shall pay a monthly fire protection charge per ECU as follows: Billing Area Billing Factor (Included)Per ECU Rate 1 1.00 $3.57 2 2.00 $7.14 3 2.00 $7.14 4 1.25 $4.46 5 1.75 $6.25 6 2.00 $7.14 7 1.50 $5.36 (Code 1971, § 23-101; Ord. No. 27-1985, § 1 ; Ord. No. 48-1986, § 1[A]; Ord. No. 51-1987, § 1 ; Ord. No. 18-1988, § 1; Ord. No. 34-1988, § 1 ; Ord. No. 19-1990, § 2 ; Ord. No. 39-1993, § 6; Ord. No. 45- 1999, § 16 ; Ord. No. 41-2004, § 2 [part ]; Ord. No. 7-2006, § 2 ; Ord. No. 35-2011, § 2 ; Ord. No. 30- 2012 § 20 ; Ord. No 38-2014, § 1 ; Ord. No 45-2015 § 1 , Ord. No. 38-2016 ; Ord. No. 27-2017 ; Ord. No. 28-2018 ; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.16.011. - Bulk rates for metered water service. (a) Effective in the January 2021 monthly billing, the bulk water sales rate and two-tier structure for Buttermilk Metro District will be: Monthly Block Tiers in Per 1,000 Gallons Rate Per 1,000 Gallons First 2,940 gallons $4.84 Over 2,940 gallons $11.35 100 (b) Effective January 1, 2019, the demand charge per fill up for the filler hydrant bulk water sales pursuant to Subsection 25.08.020(e) shall be twenty dollars ($25.00) per use. (c) Effective January 1, 2019, the variable charge for filler hydrant raw water bulk water sales pursuant to Subsection 25.08.020(e) shall be $15.00 per 1,000 gallons. ( Ord. No. 45-2015 , Ord. No. 38-2016 ; https://records.cityofaspen.com/WebLink/0/doc/1412784/Page1.aspx" web="yes">Ord. No. 28-2018 ; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.16.012. - Raw water rates for general raw water accounts. (a) The raw water rates for non-pressurized raw water irrigation accounts for unmetered service on a per thousand (1,000) irrigated square foot basis to be billed prospectively on an annual basis at the start of each irrigation season are as follows: (b) Effective January 1, 2021 the non-pressurized raw water rate per irrigation season is as follows: Non-Pressurized Raw Water 2021 Rate Per 1,000 Sq. Ft. $34.70 (c) Carriage rates for raw water (refer to "Definitions" section), shall be the same as set forward in Paragraph (d) below except where a valid contract for conveyance of the customer's own water rights provides for a different rate. (d) It shall be unlawful for any person to pump or convey water from the raw water ditches without a valid raw water license agreement. Any persons doing so will be subject to a penalty of five hundred dollars ($500.00) for the first offense, one thousand dollars ($1,000.00) for the second offense and one thousand five hundred dollars ($1,500.00) for each additional offense. ( Ord. No. 41-2004, § 5 ; Ord. No. 35-2011, § 3 ; Ord. No. 30-2012 § 23 ; Ord. No. 45-2015 , Ord. No. 38-2016 ; Ord. No. 27-2017 ; Ord. No. 28-2018 ; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.16.013. - Raw water rates for Thomas Raw Water and other pressurized non-potable line accounts. (a) Raw water rates for accounts using the Thomas Raw Water line or any other pressurized, non- potable water line accounts (including reclaimed water) shall be set in accordance with methods established for cost recover recommendations by the American Water Works Association. (b) Where specific rates are established by a valid contract for raw water service and such rates result in a lower cost of service than that provided in Subsection 25.16.012(a), the contractual rate will prevail. (c) All water use from the system requires the installation of an operable water meter. Such uses in place prior to 2009 shall install an operable water meter no later than January 20, 2009. (d) Provisions for billing are as follows: All pressurized raw water accounts shall have a working meter at the beginning of each irrigation season, no later than April 15th. 101 (1) Effective January 1, 2021 metered rates for pressurized raw water accounts for seasonal delivery of non-potable water is as follows: Metered Pressurized Raw Water -Billing to Occur Monthly -May through October 2021 Rate Per 1,000 Gallons. $4.02 (2) If the raw water meter required in paragraph (c) above ceases to function properly during the irrigation season, a seasonal bulk water delivery rate has been established as the basis for billing the non-potable pressurized water delivery. Effective January 1, 2021 the unmetered, pressurized raw water rate for seasonal delivery of non- potable water is as follows: Unmetered Pressurized Raw Water -Billing to Occur Monthly - May through October 2021 Rate Seasonal Rate Per 1,000 Sq. Ft. $141.67 Monthly Rate Per 1,000 Sq. Ft. -Based on 6-Month Irrigation Season $23.61 (e) Carriage rates for raw water, (see "Definitions" section), shall be the same as those in Paragraph (d)(1) except where a valid contract provides for alternate method and procedures for billing. (f) It shall be unlawful for any person to pump or convey water from the raw water ditches without a valid raw water license agreement. Any persons doing so will be subject to a penalty of five hundred dollars ($500.00) for the first offense, one thousand dollars ($1,000.00) for the second offense and one thousand five hundred dollars ($1,500.00) for each additional offense. ( Ord. No. 41-2004, § 5 ; Ord. No. 30-2012 § 23 ; Ord. No. 38-2014 § 3 ; Ord. No. 45-2015 ; Ord. No. 27- 2017 ; Ord. No. 28-2018 ; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.16.014. - Monthly rates for temporary construction water service. All temporary construction water accounts shall pay monthly the sum of charges one (1) and two (2). (a) Effective in the January 2021 month billing, all temporary construction accounts shall pay a monthly demand charge per ECU as follows: Billing Area Billing Factor (Included)Per ECU Rate 1 1.00 $6.14 2 2.00 $12.28 102 3 2.00 $12.28 4 1.25 $7.68 5 1.75 $10.75 6 2.00 $12.28 7 1.50 $9.21 (b) Effective in the January 2021 monthly billing, all temporary construction accounts shall pay a monthly fire protection charge per ECU as follows: Billing Area Billing Factor (Included)Per ECU Rate 1 1.00 $3.57 2 2.00 $7.14 3 2.00 $7.14 4 1.25 $4.46 5 1.75 $6.25 6 2.00 $7.14 7 1.50 $5.36 ( Ord. No. 35-2011 § 4 ; Ord. No. 30-2012 § 24 ; Ord. No. 38-2014 § 4 ; Ord. No. 45-2015 ; Ord. No. 27- 2017 ; Ord. No. 28-2018 ; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.16.015. - Monthly rates for grandfathered-inwater service All grandfathered-in water accounts shall pay monthly the sum of charges one (1) and two (2). (a) Effective in the January 2021 monthly billing, all grandfathered-in accounts shall pay a monthly demand charge per ECU as follows: 103 Billing Area Billing Factor (Included)Per ECU Rate 1 1.00 $6.14 2 2.00 $12.28 3 2.00 $12.28 4 1.25 $7.68 5 1.75 $10.75 6 2.00 $12.28 7 1.50 $9.21 (b) Effective in the January 2021 monthly billing, all grandfathered-in accounts shall pay a monthly fire protection charge per ECU as follows: Billing Area Billing Factor (Included)Per ECU Rate 1 1.00 $3.57 2 2.00 $7.14 3 2.00 $7.14 4 1.25 $4.46 5 1.75 $6.25 6 2.00 $7.14 7 1.50 $5.36 ( Ord. No. 35-2011 § 5 ; Ord. No. 30-2012 § 26 ; Ord. No. 38-2014 § 5 ; Ord. No. 45-2015 , Ord. No. 38- 2016 ; Ord. No. 27-2017 ; Ord. No. 28-2018 ; Ord. No. 24-2019 , § 1, 11-26-2019) 104 Sec. 25.16.016. - Monthly rates for pre-tap water service. All pre-tap water accounts shall pay the sum of charges one (1) and two (2). (a) Effective in the January 2021 monthly billing, all pre-tap accounts shall pay a monthly demand charge per ECU as follows: Billing Area Billing Factor (Included)Per ECU Rate 1 1.00 $6.14 2 2.00 $12.28 3 2.00 $12.28 4 1.25 $7.68 5 1.75 $10.75 6 2.00 $12.28 7 1.50 $9.21 (b) Effective in the January 2021 monthly billing, all pre-tap accounts shall pay a monthly fire protection charge per ECU as follows: Billing Area Billing Factor (Included)Per ECU Rate 1 1.00 $3.57 2 2.00 $7.14 3 2.00 $7.14 4 1.25 $4.46 5 1.75 $6.25 6 2.00 $7.14 105 7 1.50 $5.36 ( Ord. No. 35-2011 § 6 ; Ord. No. 30-2012 § 26 ; Ord. No. 38-2014 § 6 ; Ord. No. 45-2015 , Ord. No. 38- 2016 ; Ord. no. 27-2017 ; Ord. No. 28-2018 ; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.16.020. - Monthly rates for unmetered water service. All unmetered water accounts shall pay the sum of charges one (1) and two (2). (a) Effective in the January 2021 monthly billing, all unmetered water service accounts shall pay a monthly demand charge per ECU as follows: Billing Area Billing Factor (Included)Per ECU Rate 1 1.00 $109.48 2 2.00 $218.97 3 2.00 $218.97 4 1.25 $136.86 5 1.75 $191.60 6 2.00 $218.97 7 1.50 $164.23 (b) Effective in the January 2021 monthly billing, all unmetered water service accounts shall pay a monthly fire protection charge per ECU as follows: Billing Area Billing Factor (Included)Per ECU Rate 1 1.00 $3.57 2 2.00 $7.14 3 2.00 $7.14 106 4 1.25 $4.46 5 1.75 $6.25 6 2.00 $7.14 7 1.50 $5.36 ( Ord. No. 35-2011, § 6 ; Ord. No. 30-2012 § 27 ; Ord. No. 38-2014, § 7 ; Ord. No. 45-2015 , Ord. No. 38-2016 ; Ord. No. 27-2017 ; Ord. No. 28-2018 ; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.16.021 - Senior Water Rates. (a) Any qualified senior citizen who so applies shall be entitled to an adjustment in the individual water rates set forth in Sections 25.16.010 and 25.16.020. (b) Qualified senior citizen shall be defined by the Pitkin County Social Services Department in consultation with the Pitkin County Senior Services Council. (c) The Utilities Director shall first coordinate with Pitkin County Social Services Department and the Pitkin County Senior Services Council as necessary to ensure that qualified senior citizens are made aware of their eligibility for this program and application procedure is conducive to their participation. (d) A metered residence owned or leased by qualified seniors shall pay on a monthly basis the sum of charges one (1) through four (4) that follow: (1) Effective in the January 2021 monthly billing, all senior metered accounts shall pay a monthly demand charge per ECU as follows: Billing Area Billing Factor (Included) Percentage of Regular Metered Demand Per ECU Rate 1 1.00 90% $5.53 2 2.00 90% $11.05 3 2.00 90% $11.05 4 1.25 90% $6.91 5 1.75 90% $9.67 6 2.00 90% $11.05 107 7 1.50 90% $8.29 (2) Effective in the January 2021 monthly billing, all senior metered accounts shall pay a monthly variable charge per ECU as follows: Usage Per ECU Up To Per 1,000 Gallons Rate Additional Usage Per ECU Up To Per 1,000 Gallons Rate Additional Usage Per ECU Up To Per 1,000 Gallons Rate Remaining Usage Per ECU Over Per 1,000 Gallons Rate 4,000 $3.12 12,000 $4.01 16,000 $5.74 16,000 $8.61 (3) Effective in the January 2021 monthly billing, all senior metered accounts within service area pumped zones shall pay a monthly pumping charge per 1,000 gallons as follows: # of Pumps Rate Per 1,000 Gallons Pumped 1 $2.60 2 $5.20 3 $7.80 (4) Effective in the January 2021 monthly billing, all senior metered accounts shall pay a monthly fire protection charge per ECU as follows: Billing Area Billing Factor (Included) Percentage of Regular Metered Demand Per ECU Rate 1 1.00 90% $3.21 2 2.00 90% $6.43 3 2.00 90% $6.43 108 4 1.25 90% $4.02 5 1.75 90% $5.62 6 2.00 90% $6.43 7 1.50 90% $4.82 (c) An unmetered residence owned or leased by qualified senior citizens shall pay on a monthly basis the sum of charges one (1) through two (2) that follow: (1) Effective in the January 2021 monthly billing, all senior unmetered accounts shall pay a monthly demand charge per ECU as follows: Billing Area Billing Factor (Included) Percentage of Regular Metered Demand Per ECU Rate 1 1.00 30% $32.85 2 2.00 30% $65.69 3 2.00 30% $65.69 4 1.25 30% $41.06 5 1.75 30% $57.48 6 2.00 30% $65.69 7 1.50 30% $49.27 (2) Effective in the January 2021 monthly billing, all senior unmetered accounts shall pay a monthly fire protection charge per ECU as follows: Billing Area Billing Factor (Included) Percentage of Regular Metered Demand Per ECU Rate 109 1 1.00 30% $1.07 2 2.00 30% $2.14 3 2.00 30% $2.14 4 1.25 30% $1.34 5 1.75 30% $1.87 6 2.00 30% $2.14 7 1.50 30% $1.61 (Code 1971, § 23-102; Ord. No. 27-1985, § 1 ; Ord. No. 48-1986, § 1(A) (B ); Ord. No. 51-1987, § 2 ; Ord. No. 1-1988 ; Ord. No. 8-1990, § 2 ; Ord. 39-1993, § 7 ; Ord. No. 35-2011, § 8 ; Ord. No. 30-2012, § 28 ; Ord. No. 38-2014, § 8 ; Ord. No.45-2015 ; Ord. No. 38-2016 ; Ord. No. 27-2017 ; Ord. No. 28-2018 ; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.16.022. - Late payment charge. Payments for water service, utility investment charges, system development charges, hook-up fees, and utilities review fees shall be due thirty (30) days after billed date. Any amount due, but not received by the City by the due date, shall be subject to a past due monthly interest charge of one and one-half percent (1½%) of the total amount due; subject, however, to a minimum charge of three dollars ($3.00). Balances of less than five dollars ($5.00) shall not be subject to this charge. ( Ord. 36-1996, §§ 2, 3 ; Ord. No. 45-1999, § 16 (part); Ord. No. 30-2012 § 29 , Ord. No. 38-2016 .) Sec. 25.16.030. - Meter regulations; mandatory metering. (a) Except as expressly provided in this Chapter, all water service shall be metered. (b) The installation of all meters shall conform to specifications of the Water Department. (c) The Water Department may, in its sole discretion, install a meter on any connection which has not been converted to metered service by June 1, 1985 and shall charge the customer all costs of such installation. The Water Department may also, in its sole discretion, disconnect any water service which has not been converted to metered service by June 1, 1985 and may not reconnect such service until it is metered. The customer shall pay all costs of any such connection and reconnection including any utility investment charges, system development fees and hook-up charges which may be due. (Code 1971, § 23-104; Ord. No. 27-1985 , § 1; Ord. No. 30-2012 § 30) 110 Sec. 25.16.035. - Backflow prevention and cross-connection control. (a) The purpose of this backflow prevention and cross-connection control program is to protect the City's water system from contaminants or pollutants that could enter the distribution system by backflow from a customer's water supply system through the service connection. As a supplier of public drinking water, the City of Aspen has the authority to survey all service connections within the City's water distribution system to determine whether any connection is a cross-connection; to control all service connections within the distribution system that are cross-connections; to charge a fee for the administration of the cross-connection control program; to maintain records of surveys and the installation, testing and repair of all backflow prevention assemblies permitted or required under this program; and to administer, implement and enforce the provisions of this cross-connection control program. (b) The provisions of this Section apply to all commercial, industrial, multi-family, and single-family residential service connections with the City's potable water system. (c) Definitions: Active Date means the first day that a backflow prevention assembly or backflow prevention method is used to control a cross-connection in each calendar year. Air Gap is a physical separation between the free-flowing discharge end of a potable water supply pipeline and an open or non-pressure receiving vessel installed in accordance with standard AMSE A112.1.2. Backflow means the undesirable reversal of flow of water or mixtures of water and other liquids, gases, or other substances into the public water systems distribution system from any source or sources other than its intended source. Backflow Contamination Event means backflow into a public water system from an uncontrolled cross connection such that the water quality no longer meets the Colorado Primary Drinking Water Regulations or presents an immediate health and/or safety risk to the public. Backflow Prevention Assembly means any mechanical assembly installed at a water service line or at a plumbing fixture to prevent a backflow contamination event, provided that the mechanical assembly is appropriate for the identified contaminant or pollutant at the cross connection and is an in-line field- testable assembly. Backflow Prevention Method means any method and/or non-testable device installed at a water service line or at a plumbing fixture to prevent a backflow contamination event, provided that the method or non-testable device is appropriate for the identified contaminant or pollutant at the cross connection. Certified Cross-Connection Control Technician means a person who possesses a valid Backflow Prevention Assembly Tester certification from one of the following approved organizations: American Society of Sanitary Engineering (ASSE) or the American Backflow Prevention Association (ABPA). If a certification has expired, the certification is invalid. Containment means the installation of a backflow prevention assembly or a backflow prevention method at any connection to the City's water system that supplies an auxiliary water system, location, facility, or area such that backflow from a cross connection into the City's water system is prevented. Containment by Isolation means the installation of backflow prevention assemblies or backflow prevention methods at all cross connections identified within a customer's water system such that backflow from a cross connection into the City's water system is prevented. Controlled means having an appropriate and properly installed, maintained, and tested or inspected backflow prevention assembly or backflow prevention method that prevents backflow through a cross connection. Cross Connection means any connection that could allow any water, fluid, or gas such that the water quality could present an unacceptable health and/or safety risk to the public, to flow from any pipe, 111 plumbing fixture, or a customer's water system into a public water system's distribution system or any other part of the public water system through backflow Multi-Family means a single residential connection to the City water system's distribution system from which two (2) or more separate dwelling units are supplied water. Service Connection means any connection of a water supply or premises plumbing system to the City of Aspen's water distribution or system. Single-family means: (1) A single dwelling which is occupied by a single family and is supplied by a separate service line; or (2) A single dwelling comprised of multiple living units where each living unit is supplied by a separate service line. Uncontrolled means not having an appropriate and/or properly installed and maintained and tested or inspected backflow prevention assembly or backflow prevention method, or the backflow prevention assembly or backflow prevention method does not prevent backflow through a cross connection. Water Supply System means a water distribution system, piping, connection fittings, valves and appurtenances within a building, structure, or premises. Water supply systems are also referred to commonly as premises plumbing systems. (d) Requirements: (1) Commercial, industrial, multi-family, and single-family service connections shall be subject to a survey for cross connections. If a cross connection has been identified, an appropriate backflow prevention assembly and or method shall be installed at the customer's water service connection within ninety (90) days of its discovery. The assembly shall be installed downstream of the water meter or as close to that location as deemed practical by the public water system. If the assembly or method cannot be installed within ninety (90) days, the Utilities Department shall take action to control or remove the cross connection, suspend service to the cross connection, and/or receive an alternative compliance schedule from the Colorado Department of Public Health and Environment. (2) In no case shall it be permissible to have connections or tees between the meter and the containment backflow prevention assembly, unless such connections or tees are adequately controlled to achieve containment by isolation. a. In instances in which an appropriate backflow preventer cannot be installed to achieve containment, the property owner must install approved backflow prevention devices or methods at all cross-connections within the premises plumbing system to achieve containment by isolation. (3) Backflow prevention assemblies and methods shall be installed in a location which provides access for maintenance, testing, and repair, and in accordance with the guidelines and requirements set forth in the Plumbing Code currently observed by the City of Aspen. (4) Reduced pressure principle backflow preventers shall not be installed in a manner or location that is subject to flooding. (5) Provisions shall be made to provide adequate drainage from the discharge of water from reduced pressure principle backflow prevention assemblies. Such discharge shall be conveyed in a manner which does not impact waters of the state. (6) All assemblies and methods shall be protected to prevent freezing. Those assemblies and methods used for seasonal services may be removed upon cessation of those seasonal services in lieu of being protected from freezing. Any and all assemblies and methods that are removed from seasonal points of service in lieu of being protected from freezing must be reinstalled and tested by a certified cross connection control technician prior to recommencing seasonal service. 112 (7) Where a backflow prevention assembly or method is installed on a water supply system using storage water heating equipment such that thermal expansion causes an increase in pressure, an approved, listed, and adequately sized expansion tank or other approved device having a similar function to control thermal expansion shall be installed. (8) All backflow prevention assemblies shall be inspected and tested at the time of installation and inspected and tested at least once annually thereafter. Such tests must be conducted by a Certified Cross-Connection Control Technician. (9) The City Utilities Department shall require inspection, testing, maintenance and as needed repairs and replacement of all backflow prevention assemblies and methods, and of all required installations within a customer's premises plumbing system in the cases where containment assemblies and or methods cannot be installed. (10) All costs for design, installation, maintenance, testing and as needed repair and replacement are to be borne by the customer. (11) No grandfather clauses exist except for fire sprinkler systems in which the installation of a backflow prevention assembly or method will compromise the integrity of the fire sprinkler system. (12) All building plans for new buildings must be submitted to the City of Aspen Water and Engineering Departments for review and must be approved by both Departments prior to the provision of water service. Building plans must show: a. Water service type, service line size, and location; b. Water meter size and location; c. Backflow prevention assembly size, type, and location; d. Fire sprinkler system type, line size, location, and type of backflow prevention assembly. (13) All fire sprinkler lines shall have a minimum protection of an approved double check valve assembly for containment of the system. (14) All glycol (ethylene or propylene), or antifreeze systems shall have an approved reduced pressure principle backflow preventer for containment. (15)Dry fire systems shall have an approved double check valve assembly installed upstream of the air pressure valve. (16) In cases wherein the installation of a backflow prevention assembly or method will compromise the integrity of the fire sprinkler system, the City Utilities Department can choose to not require the backflow protection. In such cases, the City Utilities Department will measure chlorine residual at a location representative of the service connection once a month and perform periodic bacteriological testing at the site. If the City Utilities Department suspects water quality issues, the Department will evaluate the practicability of requiring that the fire sprinkler system be flushed periodically and require such flushing where practicable. (e) Backflow prevention assemblies or methods shall be tested by a Certified Cross-Connection Control Technician upon installation and tested at least once annually thereafter. The tests shall be conducted at the expense of the customer. (1) Any backflow prevention assemblies or methods that are non-testable shall be inspected at least once annually by a certified cross-connection control technician and replaced at least every five (5) years by a master plumber. The inspections and replacements shall be made at the expense of the customer. (2) As necessary, backflow prevention assemblies or methods shall be repaired and retested or replaced and tested at the expense of the customer whenever the assemblies or methods are found to be defective. (3) Testing gauges shall be tested and calibrated for accuracy at least once annually. 113 (f) Reporting and Recordkeeping: (1) Copies of records of test reports, repairs and retests, or replacements shall be kept by the customer for a minimum of three (3) years. (2) Copies of records of test reports, repairs and retests shall be submitted to the Utilities Department by mail, e-mail, or hand-delivery by the testing company or testing technician. (3) Information on test reports shall include, but may not be limited to, a. Assembly or method type b. Assembly or method location c. Assembly make, model and serial number d. Assembly size e. Test date; and f. Test results including all results that would justify a pass or fail outcome g. Certified cross-connection control technician certification agency h. Technician's certification number i. Technician's certification expiration date j. Test kit manufacturer, model, and serial number k. Test kit calibration date (4) The Utilities Department must notify the Colorado Department of Public Health and Environment's Water Quality Control Division (CDPHE) of any suspected or confirmed backflow contamination event and consult with the CDPHE on any appropriate corrective measures no later than twenty-four (24) hours after learning of the backflow contamination event. The Utilities Department shall notify the CDPHE within forty-eight (48) hours after it becomes aware of any backflow prevention and cross-connection control violation or any backflow prevention and cross-connection control treatment technique violation. The CDPHE shall distribute public notice of violations as specified in and required by Colorado Primary Drinking Water Regulation 11. (g) A properly credentialed representative of the City Utilities Department shall have the right-of-entry to survey any and all buildings and premises for the presence of cross-connections and/or possible contamination risks or hazards, and for determining compliance with this Section. This right-of-entry shall be a condition of water service from the City in order to protect the health, safety, and welfare of customers throughout the City's water distribution system. (h) Compliance: (1) Customers shall cooperate with the installation, inspection, testing, maintenance, and as needed repair and replacement of backflow prevention assemblies and with the survey process. For any identified uncontrolled cross-connections, the Utilities Department shall complete one of the following actions within ninety (90) days of its discovery: a. Control the cross connection b. Remove the cross connection c. Suspend service to the cross connection (2) The Utilities Department shall give notice of violation in writing to any owner whose plumbing system has been found to present a risk to the City's water distribution system through any uncontrolled cross connection(s). The notice shall state that the owner must install a backflow prevention assembly or method at each service connection to the owner's premises to achieve containment, or that the owner must install a backflow prevention assembly on each cross- 114 connection hazard on the premises plumbing system to achieve containment by isolation. The notice of violation will give a date by which the owner must comply. a. In instances in which a backflow prevention assembly or method cannot be installed to achieve containment, the owner must install approved backflow prevention assemblies or methods at all cross-connections within the owner's water supply system to achieve containment by isolation. The notice of violation will give a date by which the owner must comply. (3) On or before May 1, 2017, and on or before May 1 of each year thereafter, the Utilities Department shall develop and submit to the Colorado Department of Public Health and Environment its written backflow prevention and cross-connection control annual report for the prior calendar year, as required by Colorado Primary Drinking Water Regulation 11. (i) Violations and Penalties: (1) It shall be unlawful for any City water customer to operate the customer's premises plumbing system or water supply system contrary to or in violation of any of the provisions of this Code. (2) A violation of any of the provisions of the Code shall constitute a misdemeanor, punishable upon conviction by a fine, imprisonment, or both a fine and improvement, as set forth in Section 1.04.080 of this Code. A separate offense shall be deemed committed on each day or portion thereof that the violation of any of the provisions of this Code occurs or continues unabated after the time limit set for abatement of the violation. (3) Failure to comply with the terms of this Article, including but not limited to failure to pay the necessary fees, charges and taxes, and failure to otherwise comply with the terms of this Article shall constitute an offense and a violation thereof. Every person violating this Article shall be punished, upon conviction, by a fine of not less than fifty dollars ($50.00) nor more than five hundred dollars ($500.00), or by imprisonment for not more than ten (10) days, or both such fine and imprisonment for each offense. Delinquency for each calendar month shall constitute a separate offense. ( Ord. No. 38-2016 ) Sec. 25.16.040. - Receipts. On payment of any water rates or charges, the Finance Department shall issue a receipt therefor stating the date of payment, the amount of money received, from whom received and on what premises the water was used. (Code 1971, § 23-105; Ord. No. 27-1985 , § 1; Ord. No. 30-2012 § 31) Sec. 25.16.050. - Liability for payment; lien and court action for nonpayment. (a) The Water Department shall disconnect the water service to any consumer who fails to pay any water service charges, utility investment charges, or utilities review fees fifteen (15) days after their due date. (b) All the rates and charges specified in this Chapter shall be paid by the owner of the premises on which the water is used. All such water rates and charges from the time such shall be due and chargeable shall become and remain a lien upon the premises until such rates or charges shall be paid. Water rates and charges may be collected against any owner by suit, such action to be in the name of the City in any court having jurisdiction thereof and to be prosecuted as an action at law personally against such owner or by a suit in equity for the enforcement of such lien. 115 (c) Any lien for unpaid water rates and charges against any premises may also be collected as provided by the statutes of the State for the collection of taxes and other liens and assessments against real estate. (Code 1971, § 23-106; Ord. No. 27-1985, § 1 ; Ord. No. 30-2012 § 32 , Ord. No. 38-2016.) Sec. 25.16.060. - Water service connect and disconnect charges. A service charge of forty dollars ($40.00) is hereby established for each new account that is setup for water service. If a disconnection is made in accordance with Section 25.16.050 above because of nonpayment of water service charges, utility investment charges or utilities review fees, the disconnect charge of sixty dollars ($60.00) shall be due prior to reconnection of water service. (Code 1971, § 23-107; Ord. No. 27-1985, § 1 ; Ord. No. 53-1992, § 1 ; Ord. No. 68-1994, § 13 ; Ord. No. 45-1999, § 16 [part ]; Ord. No. 30-2012 § 33 ; Ord. No 38-2014, § 9 , Ord. No. 38-2016 ) Sec. 25.16.061. - Discontinuance of service. (a)Grounds for discontinuance.If any utility service charges remain unpaid for fifteen (15) days after their due date, the City may terminate service for the type of utility service for which payment has not been made. In addition, the City may terminate a utility service for violation of any rule or regulation concerning such utility as set forth in this Title. (b) Notice of termination.In order to terminate any services the City shall send a notice of termination by first class mail or, at the City's option, by certified mail, return receipt requested, or by posting in a conspicuous place at or near the main entrance to the premises served by such utility service to the customer listed on the City records and, at the City's option, to the occupant of the premises served and/or the owner of the premises served. (c) Effective date of discontinuance of service.The effective date of the discontinuance of utility service shall be ten (10) days after the mailing by the City of a notice of termination. (d) When utility service is not discontinued.Utility service shall not be discontinued: (1) Between 12:00 p.m. on Friday and 8:00 a.m. on the following Monday or between 12:00 p.m. on the day prior to and 8:00 a.m. on the day following any federal holiday or City holiday. (2) During any period when termination of service would be especially dangerous to the health or safety of any residential customer or permanent resident of the customer's household and such customer has established that he/she was unable to pay for the service as regularly billed by the City or is able to pay for such service but only in reasonable installments. Termination of service that would be especially dangerous to the health or safety of the residential customer or a permanent resident of the customer's household means that the termination of service would aggravate an existing medical condition or create a medical emergency for the customer or a permanent resident of the customer's household. Such shall be deemed to be the case when a physician licensed by the State makes a certification thereof in writing and said certification is received by the City. In the event a medical certification is delivered to or received by the City, a non-discontinuance of service as herein prescribed shall be effective for sixty (60) days from the date of said medical certification. A residential customer may invoke the provisions of this Paragraph no more than once during any period of twelve (12) consecutive months. (3) In the event a customer at any time proffers full payment of any utility bill by cash or bona fide check to the City of Aspen Finance department. (4) If violations of rules or regulations concerning the receipt or use of utility service have ceased. (e) Reconnection.Nothing contained in this Section shall preclude the City from charging a reconnection fee as required by Section 25.04.120 before reconnecting a utility service discontinued 116 pursuant to this Section. In addition, prior to reconnection, all charges for that type of utility service must be paid to the City. (f) Delivery of notice.Notwithstanding anything to the contrary in this Section, whenever reference is made herein to a notice or other document being mailed or delivered, that phrase shall mean that the notice or other document is either deposited in the United States mail, postage paid, first class or certified mail, return receipt requested, at the City's option, or physically delivered to the addressee, which physical delivery will be accomplished by either handing to someone over eighteen (18) years of age at the premises served or by posting upon the main entrance of the premises served by the utility service in a conspicuous place. ( Ord. No. 38-2016 ) Sec. 25.16.070. - No turn-on without payment of unpaid water charges. In any case where the water has been shut off from any premises, for any causes stated in this Chapter or at the request of the owner of the premises, the Water Department shall not turn it on again or order it to be turned on until all outstanding water rates and charges have been paid and the owner requests the service by making application and receives a permit for such connection. (Code 1971, § 23-108; Ord. No. 27-1985 , § 1;Ord. No. 30-2012 § 34) Sec. 25.16.080. - Determination of charge when more than one business exists in one building. Whenever more than one (1) business shall be carried on in any one (1) store, room or other building, it shall be the duty of the Superintendent to decide whether or not more than one (1) charge for water service shall be made for such use. (Code 1971, § 23-109; Ord. No. 27-1985 , § 1; Ord. No. 30-2012 § 35) Sec. 25.16.090. - Deposit for water service. (a) When applying for water service at a new location, each applicant shall be required to place a cash deposit in the following manner: Residential service: One hundred fifty dollars ($150.00). Commercial service: (1) An amount equal to the service bills for the subject property for the three (3) highest months of usage during the prior year, if the applied-for use of the property is similar to the prior use; or (2) If there is no similar prior space or use on which to compute the amount provided in Subsection (a) Paragraph (1) above, then an amount to be determined by the Finance Director within his or her sole discretion and based on a reasonable estimate of three (3) months' service for a space and use similar to the subject property. (b) Subject to the approval of the Utilities Director based on previous credit history with the City utilities, the owner of the premises on which the water is used may approve waiver of their tenant's deposit requirement. To request approval of the Utilities Director, the owner must complete an application which informs the owner of the possibility of a lien upon the premises for unpaid bills, pursuant to Section 25.04.090 above. (c) These deposits will be held by the Director of Finance until service is discontinued and final service bills are paid and will accrue interest at five percent (5%) per annum starting thirty (30) days after receipt of the monies until the date of disconnection. Return of the unused portion of the deposit plus 117 interest will be made within forty-five (45) days from date the final billing is issued. Effective January 1, 2013 no deposit will accrue interest. ( Ord. No. 30-2012 § 36 ; Ord. No. 38-2014, § 10 ; Ord. No. 24-2019 , § 1, 11-26-2019) Sec. 25.16.100. - Billing errors. (a) When an error has been made in a water utility account, the following shall apply: Each water utility customer is responsible for using reasonable diligence to review billing statements and for immediately notifying the utility of a billing error. (1) When the water utility determines that a utility customer has overpaid for utility service and the overpayment occurred no more than twenty-four (24) months before the date the error is made know to the utility, the utility will issue to the customer a credit to the Customer's account without interest, as reimbursement for the overpayment. Previous Customer accounts at same service location will be reviewed to determine if they were affected by the overbilling. If it is determined that an overbilling affected a previous Customer with the twenty-four-month period as described herein, reasonable efforts will be made to locate the Customer and refund any amounts owed due to the overbilling. Any refund check mailed to the last known address of the Customer and returned unpaid to the City or not cashed by the Customer within two (2) years of either the date of delivery or mailing of the check, will be retained by the City and will be credited as miscellaneous revenue for the utility service which was overpaid. Prior to final determination of an overbilling refund credit or refund, each of the following conditions must be met: a. The customer could not have discovered the error with reasonable inquiry prior to the date of discovery; b. Documentation evidencing the overpayment is available in utility records or has been provided to the utility; and c. The utility confirms the accuracy and sufficiency of the documentation based on utility records. d. The overbilling is not the result of changes, modifications, updates, or alterations by the Customer or its agent that affects the metering accuracy, multiplier, or other metering components without evidence of prior notification to and approval of the Utility. (2) When the Utility determines that a current utility customer has been undercharged and has underpaid for utility service, the customer shall be billed for the correct amount unless the undercharges occurred more than six (6) months before the date the error is discovered and the following conditions are met: a. The customer could not have discovered the error with reasonable inquiry. b. Each utility customer is responsible for using reasonable diligence to review billing statements and for immediately notifying the utility of a billing error. c. Bills for corrected usage and other utility rate code charges shall be due and payable in the same manner as regular bills for service. In the event of an inaccurate billing due to the diversion or theft of utility service, the City retains the right to back bill for the entire period of occurrence. 118 (3) Any attempt or action by a utility customer to mislead the utility with regard to a billing error shall be a violation of code, punishable by fine as provided for wherein. Each day upon which any violation shall continue shall constitute a separate offense, punishable as such. Additionally, the Utility reserves the right to pursue other compensation or charges to the fullest extent of the law. (Code 1971, § 23-110; Ord. No. 27-1985 , § 1; Ord. No. 68-1994 , § 15; Ord. No. 57-2000 , § 8; Ord. No. 29-2011) Section 2. Any and all existing ordinances or parts of ordinances of the City of Aspen covering the same matters as embraced in this Ordinance are hereby repealed and all ordinances or parts of ordinances inconsistent with the provisions of this ordinance are hereby repealed; provided, however, that such repeal shall not affect or prevent the prosecution or punishment of any person for any act done or committed in violation of any ordinance hereby repealed prior to the taking effect of this Ordinance. Section 3. If any section, subsection, sentence, clause, or phrase of this Ordinance is, for any reason, held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining portions of this Ordinance. The City of Aspen hereby declares that it would have adopted this Ordinance, and each section, subsection, clause or phrase thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses and phrases thereof be declared invalid or unconstitutional. Section 4. This Ordinance shall take effect thirty (30) days after passage, adoption and publication thereof as provided by law. Section 5. This ordinance shall not affect any existing litigation and shall not operate as an abatement of any action or proceeding now pending under or by virtue of the ordinance repealed or amended as herein provided, and the same shall be conducted and concluded under such prior ordinances. FIRST READING OF THIS ORDINANCE WAS INTRODUCED, READ, ORDERED AND PUBLISHED as provided by law, by the City Council of the City of Aspen on the 10th day of November, 2020. Attest: 119 Nicole Henning, City Clerk Torre, Mayor FINALLY, adopted, passed, and approved this 24th day of November, 2020. Attest: Nicole Henning, City Clerk Torre, Mayor Approved as to form: James R. True, City Attorney 120 ORDINANCE No. 19  (Series of 2020)    AN ORDINANCE APPROPRIATING AN INCREASE IN THE   ASSET MANAGEMENT PLAN FUND EXPENDITURES OF $57,893;   GENERAL FUND OF $483,730;   PARKS AND OPEN SPACE FUND OF $40,920;   WHEELER OPERA HOUSE FUND OF $2,459,068;   TOURISM PROMOTION FUND OF $370,110;   TRANSPORTATION FUND OF $4,740;   HOUSING DEVELOPMENT FUND OF $122,400;   KIDS FIRST FUND OF $8,660;   STORMWATER FUND OF $4,660;   DEBT SERVICE FUND OF $2,042,870;   WATER UTILITY FUND OF $691,411;   PARKING FUND OF $70,010;   GOLF COURSE FUND OF $141,320;   TRUSCOTT I HOUSING FUND OF $1,840;   MAROLT HOUSING FUND OF $1,690;   INFORMATION TECHNOLOGY FUND OF $6,020.    AN ORDINANCE DECREASING AN APPROPRIATION IN THE   PUBLIC EDUCATION FUND OF $119,449   ELECTRIC UTILITY FUND OF $61,531;    WHEREAS, by virtue of Section 9.12 of the Home Rule Charter, the City Council may make  supplemental appropriations; and    WHEREAS, the City Manager has certified that the City has unappropriated current year revenues  and/or unappropriated prior year fund balance available for appropriations in the following  funds:  Asset Management Plan Fund, General Fund, Parks And Open Space Fund, Wheeler Opera  House Fund, Tourism Promotion Fund, Public Education Fund, Transportation Fund, Housing  Development Fund, Kids First Fund, Stormwater Fund, Debt Service Fund, Water Utility Fund,  Electric Utility Fund, Parking Fund, Golf Course Fund, Truscott Housing Fund, Marolt Housing  Fund, Employee Housing Fund, Information Technology Fund.    WHEREAS, the City Council is advised that certain expenditures, revenue and transfers must be  approved.    NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO:    121 Section 1  Upon the City Manager’s certification that there are current year revenues and/or prior year fund  balances available for appropriation in the above‐mentioned funds, the City Council hereby  makes supplemental appropriations as itemized in the Exhibit A.    Section 2  If any section, subdivision, sentence, clause, phrase, or portion of this ordinance is for any reason  invalid or unconstitutional by any court or competent jurisdiction, such portion shall be deemed  a separate, distinct and independent provision and such holding shall not affect the validity of  the remaining portion thereof.    INTRODUCED, READ, APPROVED AND ORDERED PUBLISHED AND/OR POSTED ON FIRST  READING on the 10th day of November 2020.    A public hearing on the ordinance shall be held on the 24th day of November 2020, in the City  Council Chambers, City Hall, Aspen, Colorado.    ATTEST:      ________________________        ________________________     Nicole Henning, City Clerk                Torre, Mayor        FINALLY ADOPTED AFTER PUBLIC HEARING on the 24th day of November 2020.                            ATTEST:      ________________________        ________________________     Nicole Henning, City Clerk                  Torre, Mayor          Approved as to Form:        ________________________     Jim True, City Attorney          122 CITY OF ASPEN 2020 APPROPRIATIONS BY FUNDExhibit AFund NameOpening Balance2020 Adopted RevenueOrdinances #4 & #52020 Spring Supplemental2020 Fall Supplemental2020 Amended Revenue Budget2020 Adopted ExpenseOrdinances #4 & #52020 Spring Supplemental2020 Fall Supplemental2020 Amended Expense Budget2020 Ending BalanceGeneral Governmental Fund       001 ‐ General Fund$21,779,065$36,091,050 $3,500,000 ($3,493,260) $2,092,000 $38,189,790 $36,709,130 $3,500,000($493,000) $483,730 $40,199,860$19,768,995Subtotal General Gov't Funds$21,779,065$36,091,050 $3,500,000 ($3,493,260)$2,092,000 $38,189,790 $36,709,130 $3,500,000 ($493,000) $483,730 $40,199,860$19,768,995Special Revenue Governmental Funds100 ‐ Parks and Open Space Fund$7,810,212$13,692,910 $0 ($4,214,700) $2,141,500 $11,619,710 $14,180,960 $0 ($1,202,628) $40,920 $13,019,252$6,410,670120 ‐ Wheeler Opera House Fund$32,229,013$5,865,220 $0 ($1,972,000)$3,490,000 $7,383,220 $5,459,320 $3,500,000 $1,084,691 $2,459,068 $12,503,079$27,109,154130 ‐ Tourism Promotion Fund$322,978$2,993,610 $0 ($1,240,900) $368,300 $2,121,010 $2,991,800 $0($940,900) $370,110 $2,421,010$22,978131 ‐ Public Education Fund($53,049)$2,920,000 $0 ($823,000) ($66,400) $2,030,600 $2,920,000 $0 ($823,000) ($119,449) $1,977,551$0132 ‐ REMP Fund$5,215,281$914,010 $0 $0 $0 $914,010 $1,945,400 $0 $0 $0 $1,945,400$4,183,891141 ‐ Transportation Fund$7,612,925$5,404,090 $0 ($1,325,100) $926,300 $5,005,290 $6,809,520 $0 ($1,157,860) $4,740 $5,656,400$6,961,815150 ‐ Housing Development Fund$53,571,379$21,687,160 $0 ($4,359,000) $6,885,600 $24,213,760$16,488,840 $1,000,000 $13,695,697 $122,400 $31,306,937$46,478,202152 ‐ Kids First Fund$6,230,769$2,334,325 $0 ($679,000) $353,400$2,008,725 $2,709,290$1,500,000 ($432,440)$8,660 $3,785,510$4,453,984160 ‐ Stormwater Fund$1,649,441$1,436,490 $0 $0 $0 $1,436,490 $1,364,030 $0 $75,507$4,660 $1,444,197$1,641,734Subtotal Special Revenue Funds$114,588,949$57,247,815 $0 ($14,613,700) $14,098,700 $56,732,815 $54,869,160 $6,000,000$10,299,067 $2,891,109 $74,059,336$97,262,428Debt Service Governmental Fund250 ‐ Debt Service Fund$864,461$6,244,110 $0 $0 $2,127,000$8,371,110 $6,238,030 $0$0 $2,042,870 $8,280,900$954,671Subtotal Debt Service Fund$864,461$6,244,110 $0 $0 $2,127,000 $8,371,110$6,238,030 $0 $0 $2,042,870 $8,280,900$954,671Capital Projects Governmental Funds000 ‐ Asset Management Plan Fund$51,823,759$9,723,680 $0 ($111,000) $45,800 $9,658,480 $3,502,700 $0$28,615,536 $57,893 $32,176,129$29,306,110Subtotal Capital Fund$51,823,759$9,723,680 $0 ($111,000) $45,800 $9,658,480$3,502,700 $0 $28,615,536 $57,893 $32,176,129$29,306,110Enterprise Proprietary Funds421 ‐ Water Utility Fund$8,403,925$10,162,120 $0 ($699,300) $800,000 $10,262,820 $11,973,150 $0$1,266,455 $691,411 $13,931,016$4,735,729431 ‐ Electric Utility Fund$5,281,556$10,169,550 $0 ($1,106,600) ($208,000) $8,854,950 $10,083,450 $0 $1,746,775($61,531) $11,768,694$2,367,812451 ‐ Parking Fund$7,023,315$4,939,030 $0 ($1,522,500)$0 $3,416,530 $8,429,050 $0($145,137) $70,010 $8,353,923$2,085,922471 ‐ Golf Course Fund$570,908$2,578,450 $0 ($856,110) $107,000 $1,829,340 $2,341,270 $0($312,535) $141,320 $2,170,055$230,193491 ‐ Truscott I Housing Fund$911,804$2,401,400 $0 $0 $0 $2,401,400 $2,268,290 $0 $323,467$1,840 $2,593,597$719,607492 ‐ Marolt Housing Fund$2,044,127$1,453,120 $0 $0 $0 $1,453,120 $2,457,590 $0 $266,680$1,690 $2,725,960$771,287Subtotal Enterprise Funds$24,235,635$31,703,670 $0 ($4,184,510) $699,000 $28,218,160$37,552,800 $0 $3,145,705 $844,740 $41,543,245$10,910,550Internal Proprietary Funds501 ‐ Employee Benefits Fund$3,542,159$5,538,880 $0 $0 $0 $5,538,880$5,806,600 $0 $0 $0 $5,806,600$3,274,439505 ‐ Employee Housing Fund$3,989,154$2,576,640 $0 ($1,797,520) $0 $779,120 $421,410 $0 $666,775 $0 $1,088,185$3,680,089510 ‐ Information Technology Fund$977,216$2,369,740 $0 $0 $0 $2,369,740 $2,347,420 $0 $174,990$6,020 $2,528,430$818,526Subtotal Internal Service Funds$8,508,529$10,485,260 $0 ($1,797,520) $0 $8,687,740$8,575,430 $0 $841,765 $6,020 $9,423,215$7,773,054ALL FUNDS$221,800,398$151,495,585 $3,500,000 ($24,199,990) $19,062,500 $149,858,095 $147,447,250 $9,500,000 $42,409,073 $6,326,362 $205,682,685$165,975,808Less Interfund Transfers$34,501,270 $3,500,000 ($1,907,930) $718,280 $36,811,620$34,501,270 $3,500,000($1,907,930) $718,280$36,811,620NET APPROPRIATIONS$116,994,315 $0 ($22,292,060) $18,344,220 $113,046,475 $112,945,980 $6,000,000$44,317,003 $5,608,082 $168,871,065Revenues Expenses 123 MEMORANDUM TO: City Council FROM: Sara Ott, City Manager Pete Strecker, Finance Director MEETING DATE: November 10, 2020 RE: First Reading – 2020 Fall Supplemental Request of Council: Staff is requesting an amendment to the City’s 2020 budget that increases total expenditure appropriations from $199.4 million to $205.7 million. Of this $6.3 million increase, $2.0 million is related to refinancing the ISIS Theater debt, $2.0 million is related to previously approved renovations to the exterior of the Wheeler Opera House, and $146,000 is related to increased funding for arts grants. Additional requests include $300,000 for a new projector at the Wheeler, $198,740 for merit awards that were frozen after 4/1/20, $120,000 for employee housing repairs, and $133,850 in Golf Course expenses related to additional business activity. The exhibit on the following page outlines the supplemental requests impact on the City’s overall appropriation authority. Previous Actions: Council adopted the original 2020 Budget in November 2019, when there weren’t strong headwinds present in the economic environment. With the COVID pandemic reaching mountain communities in early March and changing the near term fiscal outlook substantially for individuals, businesses and government alike, City Council took emergency action and adopted two ordinances (Ord. #4 and #5, Series 2020) to appropriate $6 million in relief and recovery funding. Additionally, in the Spring Supplemental (Ord. #7), Council increased appropriations by $42 million (largely rollover authority from the prior year for capital projects) but also included $9.1 million in operating reductions and $4.9 million in capital pullback to partially offset $25 million in expected declines in revenues. Summary and Background: Staff has provided periodic updates to Council about the improving revenue outlook for the City, especially the City’s share of the County sales tax, real estate transfer taxes, golf course revenues, and development fees, totaling $18.3 million. While that is a welcome improvement, forecasted revenues remain down, especially sales and lodging tax revenues. While the general outlook for Aspen appears significantly better than in March, there is still a good deal of uncertainty surrounding the impact of COVID-19 on travel and tourism, dining out, and sales of luxury goods. As such, this supplemental includes only requests that were supported by improved revenue collections, previously approved by Council, or necessary for maintaining infrastructure. Overall, this Fall Supplemental improves the City’s overall projected net position by $21.9M. 124 Ord #4 & Ord #5 Ord #7 Requested Original Budget COVID Relief Pkg Spring Supplemental Fall Supplemental Proposed 2020 Budget Proj. Opening Balance $123,305,817 $0 $89,290,241 $9,204,340 $221,800,398 Original Revenues $151,495,585 $0 $0 $0 $151,495,585 New Revenues (Exh D) $0 $0 $617,380 $18,344,220 $18,961,600 Transfers (Exh D) $0 $0 $199,590 $718,280 $917,870 COVID Reductions $0 $0 ($25,016,960) $0 ($25,016,960) COVID Increases $0 $3,500,000 $0 $0 $3,500,000 Revenues $151,495,585 $3,500,000 ($24,199,990) $19,062,500 $149,858,095 Base $74,897,470 $0 $0 $0 $74,897,470 New Requests (Exh B) $1,979,440 $0 $198,270 $575,670 $2,753,380 Savings Program $0 $0 $3,826,330 $0 $3,826,330 Carry Forwards $0 $0 $1,049,930 $0 $1,049,930 Technical (Exh C) $0 $0 $468,980 $617,664 $1,086,644 COVID Increases $0 $6,000,000 $0 $0 $6,000,000 COVID Net Reduction $0 $0 ($8,848,060) $0 ($8,848,060) Operating Budget $76,876,910 $6,000,000 ($3,304,550) $1,193,334 $80,765,694 Original $28,660,750 $0 N/A $0 $28,660,750 New Requests (Exh B) $0 $0 $1,050,980 $300,000 $1,350,980 Carry Forwards $0 $0 $51,378,513 $0 $51,378,513 Technical (Exh C) $0 $0 $101,760 $2,154,748 $2,256,508 COVID Net Reduction $0 $0 ($4,909,700) $0 ($4,909,700) Capital Outlay $28,660,750 $0 $47,621,553 $2,454,748 $78,737,051 Debt Service (Exh C) $7,408,320 $0 $0 $1,960,000 $9,368,320 Net Appropriations $112,945,980 $6,000,000 $44,317,003 $5,608,082 $168,871,065 Original Transfers $34,501,270 $0 $0 $0 $34,501,270 Technical (Exh C) $0 $0 $199,590 $718,280 $917,870 COVID Reductions $0 $0 ($2,107,520) $0 ($2,107,520) COVID Increases $0 $3,500,000 $0 $0 $3,500,000 Transfers $34,501,270 $3,500,000 ($1,907,930) $718,280 $36,811,620 Total Appropriations $147,447,250 $9,500,000 $42,409,073 $6,326,362 $205,682,685 Proj. Ending Balance $127,354,152 ($6,000,000) $22,681,178 $21,940,478 $165,975,808 Recommendations: Staff recommends first reading approval of the revised spending plan for 2020, allowing for appropriation approval of previously authorized projects and technical adjustments (Exh. C), and new spending requests (Exh B.). City Manager Comments: 125 CITY OF ASPEN 2020 APPROPRIATIONS BY FUNDExhibit AFund NameOpening Balance2020 Adopted RevenueOrdinances #4 & #52020 Spring Supplemental2020 Fall Supplemental2020 Amended Revenue Budget2020 Adopted ExpenseOrdinances #4 & #52020 Spring Supplemental2020 Fall Supplemental2020 Amended Expense Budget2020 Ending BalanceGeneral Governmental Fund       001 ‐ General Fund$21,779,065$36,091,050 $3,500,000 ($3,493,260) $2,092,000 $38,189,790 $36,709,130 $3,500,000($493,000) $483,730 $40,199,860$19,768,995Subtotal General Gov't Funds$21,779,065$36,091,050 $3,500,000 ($3,493,260)$2,092,000 $38,189,790 $36,709,130 $3,500,000 ($493,000) $483,730 $40,199,860$19,768,995Special Revenue Governmental Funds100 ‐ Parks and Open Space Fund$7,810,212$13,692,910 $0 ($4,214,700) $2,141,500 $11,619,710 $14,180,960 $0 ($1,202,628) $40,920 $13,019,252$6,410,670120 ‐ Wheeler Opera House Fund$32,229,013$5,865,220 $0 ($1,972,000)$3,490,000 $7,383,220 $5,459,320 $3,500,000 $1,084,691 $2,459,068 $12,503,079$27,109,154130 ‐ Tourism Promotion Fund$322,978$2,993,610 $0 ($1,240,900) $368,300 $2,121,010 $2,991,800 $0($940,900) $370,110 $2,421,010$22,978131 ‐ Public Education Fund($53,049)$2,920,000 $0 ($823,000) ($66,400) $2,030,600 $2,920,000 $0 ($823,000) ($119,449) $1,977,551$0132 ‐ REMP Fund$5,215,281$914,010 $0 $0 $0 $914,010 $1,945,400 $0 $0 $0 $1,945,400$4,183,891141 ‐ Transportation Fund$7,612,925$5,404,090 $0 ($1,325,100) $926,300 $5,005,290 $6,809,520 $0 ($1,157,860) $4,740 $5,656,400$6,961,815150 ‐ Housing Development Fund$53,571,379$21,687,160 $0 ($4,359,000) $6,885,600 $24,213,760$16,488,840 $1,000,000 $13,695,697 $122,400 $31,306,937$46,478,202152 ‐ Kids First Fund$6,230,769$2,334,325 $0 ($679,000) $353,400$2,008,725 $2,709,290$1,500,000 ($432,440)$8,660 $3,785,510$4,453,984160 ‐ Stormwater Fund$1,649,441$1,436,490 $0 $0 $0 $1,436,490 $1,364,030 $0 $75,507$4,660 $1,444,197$1,641,734Subtotal Special Revenue Funds$114,588,949$57,247,815 $0 ($14,613,700) $14,098,700 $56,732,815 $54,869,160 $6,000,000$10,299,067 $2,891,109 $74,059,336$97,262,428Debt Service Governmental Fund250 ‐ Debt Service Fund$864,461$6,244,110 $0 $0 $2,127,000$8,371,110 $6,238,030 $0$0 $2,042,870 $8,280,900$954,671Subtotal Debt Service Fund$864,461$6,244,110 $0 $0 $2,127,000 $8,371,110$6,238,030 $0 $0 $2,042,870 $8,280,900$954,671Capital Projects Governmental Funds000 ‐ Asset Management Plan Fund$51,823,759$9,723,680 $0 ($111,000) $45,800 $9,658,480 $3,502,700 $0$28,615,536 $57,893 $32,176,129$29,306,110Subtotal Capital Fund$51,823,759$9,723,680 $0 ($111,000) $45,800 $9,658,480$3,502,700 $0 $28,615,536 $57,893 $32,176,129$29,306,110Enterprise Proprietary Funds421 ‐ Water Utility Fund$8,403,925$10,162,120 $0 ($699,300) $800,000 $10,262,820 $11,973,150 $0$1,266,455 $691,411 $13,931,016$4,735,729431 ‐ Electric Utility Fund$5,281,556$10,169,550 $0 ($1,106,600) ($208,000) $8,854,950 $10,083,450 $0 $1,746,775($61,531) $11,768,694$2,367,812451 ‐ Parking Fund$7,023,315$4,939,030 $0 ($1,522,500)$0 $3,416,530 $8,429,050 $0($145,137) $70,010 $8,353,923$2,085,922471 ‐ Golf Course Fund$570,908$2,578,450 $0 ($856,110) $107,000 $1,829,340 $2,341,270 $0($312,535) $141,320 $2,170,055$230,193491 ‐ Truscott I Housing Fund$911,804$2,401,400 $0 $0 $0 $2,401,400 $2,268,290 $0 $323,467$1,840 $2,593,597$719,607492 ‐ Marolt Housing Fund$2,044,127$1,453,120 $0 $0 $0 $1,453,120 $2,457,590 $0 $266,680$1,690 $2,725,960$771,287Subtotal Enterprise Funds$24,235,635$31,703,670 $0 ($4,184,510) $699,000 $28,218,160$37,552,800 $0 $3,145,705 $844,740 $41,543,245$10,910,550Internal Proprietary Funds501 ‐ Employee Benefits Fund$3,542,159$5,538,880 $0 $0 $0 $5,538,880$5,806,600 $0 $0 $0 $5,806,600$3,274,439505 ‐ Employee Housing Fund$3,989,154$2,576,640 $0 ($1,797,520) $0 $779,120 $421,410 $0 $666,775 $0 $1,088,185$3,680,089510 ‐ Information Technology Fund$977,216$2,369,740 $0 $0 $0 $2,369,740 $2,347,420 $0 $174,990$6,020 $2,528,430$818,526Subtotal Internal Service Funds$8,508,529$10,485,260 $0 ($1,797,520) $0 $8,687,740$8,575,430 $0 $841,765 $6,020 $9,423,215$7,773,054ALL FUNDS$221,800,398$151,495,585 $3,500,000 ($24,199,990) $19,062,500 $149,858,095 $147,447,250 $9,500,000 $42,409,073 $6,326,362 $205,682,685$165,975,808Less Interfund Transfers$34,501,270 $3,500,000 ($1,907,930) $718,280 $36,811,620$34,501,270 $3,500,000($1,907,930) $718,280$36,811,620NET APPROPRIATIONS$116,994,315 $0 ($22,292,060) $18,344,220 $113,046,475 $112,945,980 $6,000,000$44,317,003 $5,608,082 $168,871,065Revenues Expenses 126 Exhibit B ‐ New Requests Department/Description Operating Capital Merit Pay: Merit salary increases occur on hiring date anniversaries, based upon performance in previous 12 months.    Merit increases for staff were suspended on April 1 due to the financial uncertainty of COVID, resulting in 145  employees receiving merit increases in 1st quarter, 2020 and more than 150 current employees becoming ineligible in  quarters 2,3, and 4 due to the suspension.  As shared with Council in monthly  financial reports, revenues are down, but  not as significantly as initially estimated.   It is recommended the remaining employees be eligible for merit increases up  to 4% in 2020. The total impact of this supplemental across all funds is approximately $199K.  This supplemental will  assist in addressing internal equity by catching up employees who are became ineligible.  There is sufficient revenue in  the various funds to address this matter.   If approved, staff will adjust the 2021 budget to include the merit salary  increases of these employees in the 2021 spring supplemental request.  This change will not result in merit increases in  2021, rather it only addressed the inequity in the application of the suspension in 2020.   001 ‐ General Fund $93,780 $0 100 ‐ Parks and Open Space Fund $23,210 $0 120 ‐ Wheeler Opera House Fund $4,320 $0 141 ‐ Transportation Fund $2,990 $0 152 ‐ Kids First Fund $6,700 $0 160 ‐ Stormwater Fund $4,660 $0 421 ‐ Water Utility Fund $20,750 $0 431 ‐ Electric Utility Fund $17,130 $0 451 ‐ Parking Fund $8,180 $0 471 ‐ Golf Course Fund $7,470 $0 491 ‐ Truscott I Housing Fund $1,840 $0 492 ‐ Marolt Housing Fund $1,690 $0 510 ‐ Information Technology Fund $6,020 $0 Citywide: $198,740 $0 2021 Election Preparation: The City Clerk's office is requesting additional funding for the 2021 City of Aspen election.   Due to COVID‐19 and the uncertainty of City Hall being opened up to the public to drop off ballots and vote, the City will  install a ballot box in front of City Hall (Armory Building).  This will make it easier for the voting public to drop off their  ballots without having to enter the building. Funds are requested for a ballot box, installation, and surveillance.  Additionally, we will need to provide PPE to the voting public and election judges. The Clerk's Office is also requesting a  small fund for marketing and advertising to get the word out to the public on what voting will look like in 2021 and that  there will be a ballot box available and its location.  $15,380 $0 City Clerk's Office Subtotal:$15,380 $0 Contract Support for Processing Land Use Cases and Reviewing Building Permits: The Planning staff has had vacancies  in two senior positions‐‐Planning Director and Senior Planner‐‐since early this year.  At the same time, the Planning  workload has continued to increase.  In the Building Department, the number of permits being submitted by applicants  has outpaced the staff's capacity to review them timely.   The Department estimates that it needs $150,000 in  contractor support to process this workload over the next 6 months.  It has $50,000 that it can put towards the needed  contracts, and is requesting supplemental funding of $100,000, split between the Building and Planning cost centers.   This work will be started in 2020, but the work will carry into 2021.  We will be asking for an operating carry forward in  2021 of any unused funds to keep the work moving forward. $25,000 $0 Planning Subtotal:$25,000 $0        2020 FALL SUPPLEMENTAL NEW REQUESTS 127 Exhibit B ‐ New Requests Department/Description Operating Capital Contract Support for Processing Land Use Cases and Reviewing Building Permits: The Planning staff has had vacancies  in two senior positions‐‐Planning Director and Senior Planner‐‐since early this year.  At the same time, the Planning  workload has continued to increase.  In the Building Department, the number of permits being submitted by applicants  has outpaced the staff's capacity to review them timely.   The Department estimates that it needs $150,000 in  contractor support to process this workload over the next 6 months.  It has $50,000 that it can put towards the needed  contracts, and is requesting supplemental funding of $100,000, split between the Building and Planning cost centers.   This work will be started in 2020, but the work will carry into 2021.  We will be asking for an operating carry forward in  2021 of any unused funds to keep the work moving forward. $75,000 $0 Building Subtotal:$75,000 $0 Remote Network Access Fees: In response to COVID‐19, the department had to purchase 25 NetMotion licenses to be  able to have officers work remotely and still access our system in a secure manner.  This represents the increased cost  of the new licenses. $7,700 $0 Police Subtotal:$7,700 $0 001 ‐ General Fund Total: $123,080 $0 Projector Purchase: The current projector is over 8 years old and the current technology has surpassed the ability of the  current projector to show movies in the format they are filmed in which creates some issues when showing films. This  capital expense was planned for 2021, but is being requested now in light of the COVID‐19 shutdown. $0 $175,000 Restaurant & Bar Improvement and Repair: Necessary repairs to the restaurant include floor and vent hood repairs.  These are the responsibility of the City, not the tenant. This project was planned for 2021, but is being requested now  because the restaurant tenant is not currently occupying the site. $0 $125,000 120 ‐ Wheeler Fund Total: $0 $300,000 312 W. Hyman Repairs: This unit was possibly going to be redeveloped by the buyer. It has been empty and on the  market for 2 years.  Asset was tasked with  readying the unit for use by staff. During occupation of the unit both of the  original water and waste lines from the 1980's failed, requiring extensive repairs. $120,000 $0 150 ‐ Housing Development Fund: $120,000 $0 Golf Lessons: As part of its agreement with the golf lessons lease holder, the City collects revenues and remits them to  the vendor. This year due to COVID and a resurgence and golf popularity, golf lessons will bring in more revenue than  any year in the past.  The expense and revenue accounts need to be adjusted in order to pay the vendor. $80,000 $0 Golf Cart Fleet Rentals:  Per the Pitkin County regulations for golf course operations, as part of COVID‐19 public health  orders, golf carts could not be shared unless persons were living in the same household.  Due to this mandate,  additional golf carts were needed for operations in 2020.  20 additional golf carts were rented for the golf season to  allow the operation to run effectively.  This request is to cover increased cart rental costs, and labor to maintain the  additional fleet. $40,500 $0 Golf Simulator: Additional labor was utilized to run the golf simulator at the golf clubhouse January through early March  2020. This operation was successful in that it realized more revenues than expenses and also drove increased sales in  the restaurant. $13,350 $0 471 ‐ Golf Course Fund: $133,850 $0 Total New Requests ‐ Operating / Capital:$575,670 $300,000 128 Exhibit C ‐ Technical Adjustments Department/Description Operating Capital Debt Transfers Out Traffic Solutions Trailer Purchase: Two variable message signs (VMS) were purchased in an  effort to have these type of signs available for any messaging the city/departments might  need to get out to drivers/public. These signs can be remotely updated at any time, providing  a great tool to send out important or emergency messaging when needed. The purchase of  the signs will help offset high rental costs, and speed up the rollout of important public safety  information. The signs were purchased using COVID‐19 authorized funds for the Police  Department. $45,800 $0 $0 $0 Release of Capital Reserves: The City is holding capital reserve contributions on behalf of the  former owner of the ISIS Theater that need to be released. $12,093 $0 $0 $0 000 ‐ Asset Management Fund Total:$57,893 $0 $0 $0 Transfer to Debt Service for Payment of ISIS Theater Debt: The City of Aspen made a  $80,480 payment on September 1, 2020 on behalf of Aspen Film. This will be repaid, interest  free, by Aspen Film on or before September 1, 2022 as part of a new sublease with Aspen  Film.  $0 $0 $0 $80,480 Nonclassified Subtotal: $0 $0 $80,480 CDOT Streets Activation Grant: $50,000 grant from CDOT to facilitate street activation in  Winter. This grant requires a 10% match of $5,000. $50,000 $0 $0 $0 Traffic Solutions Trailer Purchase (Transfer to AMP Fund): Two variable message signs  (VMS) were purchased in an effort to have these type of signs available for any messaging  the city/departments might need to get out to drivers/public. These signs can be remotely  updated at any time, providing a great tool to send out important or emergency messaging  when needed. The purchase of the signs will help offset high rental costs, and speed up the  rollout of important public safety information. The signs were purchased using COVID‐19  authorized funds for the Police Department. $0 $0 $0 $45,800 Mayor and Council Subtotal: $50,000 $0 $45,800 I‐70 West Training Reimbursement: The Aspen Police Department has been awarded  $18,000 for Empathy Based Interrogation training. The training is scheduled to be on  November 2‐4th. In order to secure this training we needed to do a deposit of $5,000, which  could not be covered by the grant until the training is completed. The APD paid for that  deposit and once the training is completed we will receive the $5,000 some time after the  training and in order to keep this within this years budget we are requesting to be  reimbursed at this time.  $5,000 $0 $0 $0 POST Training Grant: The Aspen Police Department was awarded $5,000 in grant money to  cover a portion of the Roaring Fork Training Program. This program consists of four agencies  working together to provide training in the following areas: firearms, arrest control, driving,  active shooter and less lethal use of force.  $5,000 $0 $0 $0 Police Subtotal: $10,000 $0 $0 $0 001 ‐ General Fund Total:$60,000 $0 $0 $126,280 Wheeler Exterior and Masonry Repairs: Repairs are being made to the exterior of the  Wheeler Opera House per resolutions #74 and #75. This is a previously unplanned capital  project that was started in 2020 due to the Wheeler's closure as a result of COVID‐19. $0 $2,057,000 $0 $0 Expanded Arts Grants Payments: Council authorized increased grant payments to arts  organizations as a part of the City's COVID‐19 response. This amount is the increase over the  budgeted amount.  $0 $146,000 $0 $0 2020 TECHNICAL ADJUSTMENTS 129 Exhibit C ‐ Technical Adjustments Department/Description Operating Capital Debt Transfers Out Reduce Over‐appropriation to Project 51041 ‐ Wheeler Building and Site Improvements:  Project 51041 was over‐appropriated in the spring 2020 supplemental (Ordinance 7 Series  2020) by $48,252. At the time that the ordinance was adopted, certain expenses had not yet  been recorded for 2019 that would have otherwise reduced the carryforward amount  requested. $0 ($48,252) $0 $0 120 ‐ Wheeler Opera House Fund Total:$0 $2,154,748 $0 $0 True Up Appropriation Authority ‐ Technical adjustment to reflect changes in revenue  projections from sales tax and the amount of funds that can be remitted to ACRA. $370,110 $0 $0 $0 131 ‐ Public Education Fund Total:$370,110 $0 $0 $0 True Up Appropriation Authority ‐ Technical adjustment to reflect changes in revenue  projections from sales tax and the amount of funds that can be remitted to the school  district. ($119,449) $0 $0 $0 131 ‐ Public Education Fund Total:($119,449) $0 $0 $0 ISIS Debt Payoff: Payoff of previous outstanding ISIS debt from proceeds of debt reissuance  (shown as a revenue increase in the 250 Fund). $0 $0 $1,960,000 $0 ISIS Theater Refinanced Debt Issuance Costs: Professional services costs related to the  reissuance of ISIS Theater debt, per ordinance #14 (Series 2020). $66,250 $0 $0 $0 Interest Expense on Old ISIS Theater Debt: Payoff of accrued interest for old ISIS Theater  debt through 9/1/2020, per ordinance #14 (Series 2020). $16,620 $0 $0 $0 250 ‐ Debt Service Fund:$82,870 $0 $1,960,000 $0 Transfer ‐ Project 50594 Electric AIM ‐ Mesh Network: Revised apportionment of the  automated metering (AIM) project between the two utility funds based on the benefits  provided to each fund. This is an accounting action and does not increase total project costs. $0 $878,661 $0 ($208,000) 421 ‐ Water Utility Fund:$0 $878,661 $0 ($208,000) Transfer ‐ Project 50594 Electric AIM ‐ Mesh Network: Revised apportionment of the  automated metering (AIM) project between the two utility funds based on the benefits  provided to each fund. This is an accounting action and does not increase total project costs. $0 ($878,661) $0 $800,000 431 ‐ Electric Utility Fund:$0 ($878,661) $0 $800,000 Employee Payout: Per City policy, payout of employee accrued PTO and sick leave. 001 ‐ General Fund $73,040 $0 $0 $0 451 ‐ Parking Fund $61,830 $0 $0 $0 Food Tax Rebate Program: Rebates have come in approximately $31K higher than budgeted. 001 ‐ General Fund $7,550 $0 $0 $0 100 ‐ Parks and Open Space Fund $17,710 $0 $0 $0 141 ‐ Transportation Fund $1,750 $0 $0 $0 150 ‐ Housing Development Fund $2,400 $0 $0 $0 152 ‐ Kids First Fund $1,960 $0 $0 $0 Total Technical Adjustments ‐ Operating / Capital / Transfers: $617,664 $2,154,748 $1,960,000 $718,280 130 Exhibit D ‐ Revenues / Transfers In Department/Description New Revenue Transfers In Traffic Solutions Trailer Purchase Transfer: Two variable message signs (VMS) were purchased in an effort  to have these type of signs available for any messaging the city/departments might need to get out to  drivers or the public. These signs can be remotely updated at any time, providing a great tool to send out  important or emergency messaging when needed. The purchase of the signs will help offset high rental  costs, and speed up the rollout of public safety information. The signs were purchased using COVID‐19  authorized funds (within the General Fund) for the Police Department. $0 $45,800 000 ‐ Asset Management Fund Total: $0 $45,800 CDOT Streets Activation Grant: $50,000 grant from CDOT to facilitate street activation in Winter. This grant  requires a 10% match of $5,000 which will be funded from existing authority within the COVID response  funding appropriated in the Spring. $50,000 $0 Mayor and Council Subtotal: $50,000 $0 I‐70 West Training Reimbursement: The Aspen Police Department has been awarded $18,000 for Empathy  Based Interrogation training. The training is scheduled to be on November 2‐4th. In order to secure this  training, a deposit of $5,000 was required which can not be covered by the grant until the training is  completed. The APD paid for that deposit, and once the training is completed the City will receive the  $5,000 some time after the training and will be reimbursed. $5,000 $0 POST Training Grant: The Aspen Police Department was awarded $5,000 in grant money to cover a portion  of the Roaring Fork Training Program. This program consists of four agencies working together to provide  training in the following areas: firearms, arrest control, driving, active shooter and less lethal use of force.  $5,000 $0 Police Subtotal: $10,000 $0 001 ‐ General Fund Total: $60,000 $0 ISIS Theater Debt Reissuance Proceeds: New proceeds of $1,960,000 will retire the original remaining 2007  debt issue for the ISIS Theater.  The additional borrowing above this principal payoff amount will be applied  towards: (1) the payoff the interest that has accrued since Sept 1; (2) the administrative costs to faciliate the  refinancing; and (3) add to fund balance temporarily until the upgrade for the chiller can be performed and  the capital expense is incurred. $2,127,000 $0 Transfer to Debt Service Fund (250) for Payment of ISIS Theater Debt: The City of Aspen made the  semiannual principal and interest payment on September 1, 2020.  This payment typically is made with cash  on hand from monthly lease payments made by Aspen Film to the City.  Since Aspen Film has been behind  on its rent payments since March 2020, the City needed to apply General Fund dollars to bridge the  shortfall.  As discussed with Council, this use of City funds will be temporary as these deferred rent  payments shall be addressed within a new sublease with Aspen Film and will require their payment in full on  or before September 1, 2022 (interest free). ($80,480) $80,480 250 ‐ Debt Service Fund $2,046,520 $80,480 Golf Lessons: As part of its agreement with the golf lessons lease holder, the City collects revenues and  remits them to the vendor. This year due to COVID and a resurgence and golf popularity, golf lessons will  bring in more revenue than any year in the past.  The expense and revenue accounts need to be adjusted to  this increased revenue amount. The spring supplemental asssumed approximately $60,000 in revenue, but  year‐to‐date collections exceed $135,000. $80,000 $0 Golf Simulator: Additional labor was utilized to run the golf simulator at the golf clubhouse January through  early March 2020. This operation was successful in that it realized more revenues than expenses and also  drove increased sales in the restaurant. $15,000 $0       2020 FALL REVENUE & TRANSFER DETAIL 131 Exhibit D ‐ Revenues / Transfers In Department/Description New Revenue Transfers In Golf Cart Fleet Rentals:  Per the Pitkin County regulations for golf course operations, as part of COVID‐19  public health orders, golf carts could not be shared unless persons were living in the same household.  Due  to this mandate, additional golf carts were needed for operations in 2020.  20 golf carts were rented for the  2020 golf season to allow the operation to run effectively.  The increased usage, and an increase in play lead  to higher than anticipated revenues. The revenue only partially offsets the $40,500 increased cost of  additional cart leases and cleaning. $12,000 $0 471 ‐ Golf Course Fund: $107,000 $0 Transfer ‐ Project 50594 Electric AIM ‐ Mesh Network: This project was originally appropriated in full  within the Electric Utility Fund at $1,800,000, with an internal transfer from the Water Utility Fund of  $800,000 offsetting the impact to the Electric Fund (due to the dual benefit to both utilities).  Upon  reflection of the accounting for this work, and in accordance to governmental accounting prinicipals, the  project budget should be allocated appropriately between the Electric and Water Utility Funds and this  transfer from 2019 (when the project budget was first appropriated) needs to be reversed.  This is an  accounting action and does not change the total cost of the project.  There are like adjustments to the  expenditure impacts within the Technical section of this Fall Supplemental. $0 $800,000 421 ‐ Water Utility Fund Total: $0 $800,000 Transfer ‐ Project 50594 Electric AIM ‐ Mesh Network: Similarly to the transfer noted above, this Spring  Supplemental to revise transfers between the Water and Electric Funds needs to be reversed to zero out.  This also is an accounting action that does not change the total cost of the project.  There are like  adjustments to the expenditure impacts within the Technical section of this Fall Supplemental. $0 ($208,000) 431 ‐ Electric Utility Fund: $0 ($208,000) Sales/Lodging/Real Estate Transfer Tax Revisions: Tax revenue estimates have changed significantly since  budgets were adjusted in the spring 2020 supplemental. This will bring revenue budgets for Sales, Lodging,  and Real Estate Transfer Taxes up to the forecasted amounts shown in the 2021 Proposed Budget for the  following funds: 001 ‐ General Fund $2,032,000 $0 100 ‐ Parks and Open Space Fund $2,141,500 $0 120 ‐ Wheeler Opera House Fund $3,490,000 $0 130 ‐ Tourism Promotion Fund $368,300 $0 131 ‐ Public Education Fund ($66,400) $0 141 ‐ Transportation Fund $926,300 $0 150 ‐ Housing Development Fund $6,885,600 $0 152 ‐ Kids First Fund $353,400 $0 Total Revenue / Transfers In:$18,344,220 $718,280 132 MEMORANDUM TO: City Council FROM: Sara Ott, City Manager Pete Strecker, Finance Director MEETING DATE: November 10, 2020 RE: First Reading – 2021 Fee Ordinance No. 20 (Series 2020) Request of Council: This memorandum outlines the proposed ordinance related to the adoption of departmental fees included in the City’s Municipal Code under sections 2.12 (Administrative) and 26.104 (Land Use). A separate ordinance regarding utility rates will be brought forward for Council consideration in addition to this proposed general fee ordinance. Previous Actions: Each year, City Council adopts a new fee structure that brings current fees forward and adjusts any fees that do not properly align with projected service demand and/or required revenue generation. Fees currently in effect, including any prior changes, were most recently adopted for the 2020 fiscal year in November 2019. Summary and Background: Fees are reviewed annually by both City staff and Council, prior to their renewed adoption. Eleven years have elapsed since a comprehensive evaluation and update of the City’s fees on land use development reviews and building permits was last conducted by an outside party. Consequently, a third-party study and analysis of those fees, and expanding the scope to include engineering, utility, recreation, and other current programming fees by the City is anticipated to be conducted in 2021. While this study was planned for 2020, the pandemic and operating constraints caused the delay. This critical study requires outside expertise of public fees, state law, and will be a joint undertaking by Engineering, Utilities, Community Development, and Parks departments. As noted during this year’s budget work sessions, a limited number of targeted increases were recommended for only a few departments. Proposed fee changes include select fees within the following departments:  Golf Course: Golf cart rates were updated, and twilight passes are proposed to increase on average 4%, due to a record year and overcapacity.  Recreation: The member and nonmember rates for drop-in fees were delineated for simplification but are not otherwise changed. The rental rates for the pavilion and ARC meeting room were also adjusted.  Police: Recording fees were updated to reflect research time to corresponding records requests. The VIN inspection fee increased from $20 to $25.  Parking: The hybrid vehicle residential permit and the fourth permit for resident/guest were deleted due to non-use. The loading zone reservation fee was also increased.  Community Development: The Community Development department worked in tandem with Pitkin County to offer contractor licenses and business use permits for six more specialized contractors. 133 Fee revenue is not expected to fluctuate much as a result of the proposed fee changes but will depend on the volume of sales or services rendered and on the economic environment. Any fee can be amended in any manner as desired by the Council. Recommendations: Staff recommends approval of the proposed ordinance amending the current fee schedule. City Manager Comments: 134 ORDINANCE NO. 20 Series of 2020 Early Season Regular Season Greens Fees / Passes Platinum $2,499.00 $2,550.00 Gold $1,529.00 $1,560.00 Silver $959.00 $980.00 20 Punch $769.00 $785.00 Junior $199.00 $199.00 Family Twilight* $1,030.00 $1,050.00 Twilight $635.00 $640.00 Senior Greens Fee – 9 Hole $40.00 $40.00 Senior Greens Fee – Resident $72.50 $72.50 Military Rate (Must Show Proper ID) N/A $84.00 Green Fee – Max Rate N/A $180.00 Green Fee – Junior N/A $49.00 Green Fee – Guest of Member N/A $84.00 NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO: That Section 2.12.010 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the Aspen Municipal Golf Course, is hereby amended to read as follows: Sec. 2.12.010. Aspen Municipal Golf Course AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, AMENDING THE MUNICIPAL CODE OF THE CITY OF ASPEN TO ADJUST CERTAIN MUNICIPAL FEES INCLUDED UNDER SECTION 2 AND 26 OF THE MUNICIPAL CODE. WHEREAS, the City Council has adopted a policy of requiring consumers and users of the miscellaneous City of Aspen programs and services to pay fees that fairly approximate the costs of providing such programs and services; and WHEREAS, the City Council has determined that certain fees currently in effect do not raise revenues sufficient to pay for the attendant costs of providing said programs and services, or are set above levels necessary to achieve full reimbursement of costs. Page 1 of 49        135 ORDINANCE NO. 20 Series of 2020 Early Season Regular Season Cart and Club Rentals Golf Cart – 18 Holes N/A $24.00 Golf Cart – Members: 18 Holes N/A $22.00 Golf Cart – 9 Holes N/A $19.00 Golf Cart – Members: 9 Holes N/A $17.50 Golf Cart Punch Pass N/A $389.00 Pull Cart – 18 Holes N/A $17.50 Pull Cart – Members: 18 Holes N/A $15.00 Pull Cart – 9 Holes N/A $12.00 Pull Cart – Members: 9 Holes N/A $10.00 Rental Clubs – 18 Holes N/A $65.00 Rental Clubs – 9 Holes N/A $45.00 Lockers and Range Locker for Season N/A $369.00 Range Large Bucket N/A $12.00 Range Large Bucket – Members N/A $11.00 Range Small Bucket N/A $10.00 Range Small Bucket – Members N/A $8.00 Range Punch Pass N/A $209.00 Unlimited Range Punch Pass N/A $999.00 (Code 1971, §2-33; Ord. No. 44-1991, §12; Ord. No. 77-1992, §16; Ord. No. 68-1994, §5; Ord. No. 53-1995, §2; Ord. No. 43-1996, §1; Ord. No. 49-1998, §1; Ord. No. 45-1999, §1; Ord. No. 57-2000, §1; Ord. No. 5-2002 §1; Ord. No. 47-2002 §18; Ord. No. 63-2003, §8; Ord. No. 2-2004, §1; Ord. No. 38-2004, §10; Ord. No. 49-2005, §12; Ord. No. 48, 2006, §1; Ord. No. 52-2007; Ord. No. 29-2010§12; Ord. No. 33-2011§1; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36- 2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32- 2019) Page 2 of 49        136 ORDINANCE NO. 20 Series of 2020 Online Fee In-Person Fee Daily Admission Youth - Resident N/A $9.25 Youth - Guest (All Inclusive)* N/A $23.00 Adult - Resident N/A $11.25 Adult - Guest (All Inclusive)* N/A $25.00 Senior N/A $9.25 Twilight N/A $7.00 Guest 10 Visit Card $140.00 $160.00 Online Fee In-Person Fee Monthly Pass Youth / Senior - Resident $55.00 $64.00 Adult - Resident $99.00 $115.00 Family - Resident $192.00 $220.00 Each Additional $21.00 $24.00 20 Visit Card Youth / Senior Resident $150.00 $180.00 Adult Resident $195.00 $219.00 3 Month Pass Youth / Senior Resident $132.00 $151.00 Adult Resident $234.00 $268.00 Family Resident $370.00 $426.00 Each Additional $34.00 $40.00 The Recreation Department shall issue Fun Passes that provides access to the holder of such a pass to the following facilities and activities: use of the James E. Moore Pool, public or open skating at the Lewis Ice Arena or Aspen Ice Garden, use of the climbing wall at the Red Brick Recreation Center, fitness classes held at the Red Brick Recreation Center, aquatic fitness classes at the Aspen Recreation Center, tennis court rental and usage at the Aspen Tennis Center. Usage, participation and access to the above activities may be limited to certain times and dates as indicated on the pass. That Section 2.12.014 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for Recreation Department Fun Passes, is hereby amended to read as follows: Sec. 2.12.014 Recreation Department Fun Pass Page 3 of 49        137 ORDINANCE NO. 20 Series of 2020 Online Fee In-Person Fee 6 Month Pass Youth / Senior Resident $257.00 $296.00 Adult Resident $321.00 $368.00 Family Resident $699.00 $749.00 Each Additional $64.00 $75.00 Annual Pass Youth Resident $454.00 $499.00 Adult Resident $552.00 $639.00 Family Resident $1,199.00 $1,259.00 Each Additional $123.00 $143.00 *All Inclusive - includes full facility usage of swimming pool, cardio and weight rooms, exercise & fitness classes, climbing tower, public ice skating, equipment rentals including towel, ice skates and locker. (Ord. No. 27-2003, §2; Ord. No. 38-2004, §14; Ord. No. 49-2005, §3; Ord. No. 48, 2006, §2; Ord. No. 52-2007; Ord. No. 40-2008; Ord. No. 27-2009§1; Ord. No. 29-2010§1; Ord. No. 29- 2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30- 2017; Ord. No. 40-2018; Ord. No. 32-2019) Page 4 of 49        138 ORDINANCE NO. 20 Series of 2020 Online Fee In-Person Fee ARC Meeting Room Rental Flat Rate $28.00 $28.00 Online Fee In-Person Fee Rent Entire Facility Aspen Ice Garden N/A $5,250.00 Lewis Ice Arena N/A $5,250.00 Rent Private - Ice Aspen Ice Garden N/A $295.00 Lewis Ice Arena N/A $295.00 Rent Non-Profit Aspen Ice Garden N/A $249.00 Lewis Ice Arena N/A $249.00 Other Fees Skate Sharpening N/A $7.00 Skate Sharpening - Same Day N/A $12.00 Pick-up Hockey, One Time N/A $15.00 Pick-up Hockey, 10 Punch Pass $126.00 $137.00 Freestyle 20 Punch Pass $199.00 $222.00 Skating Classes N/A N/A Figure Skates and V Cut Sharpening N/A $15.00 Locker Rental Six Months N/A $75.00 That Section 2.12.015 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the Aspen Recreation Center, is hereby amended to read as follows: Sec. 2.12.015. Aspen Recreation Center (Ord. No. 27-2003, §1; Ord. No. 63-2003, §9; Ord. No. 38-2004, §13; Ord. No. 49-2005, §4; Ord. No. 48, 2006, §3; Ord. No. 40-2008; Ord. No. 27-2009§2; Ord. 29-2010§2; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32-2019) Sec. 2.12.020. Aspen Ice Garden and Lewis Ice Arena (Code 1971, §2-34; Ord. No. 44-1991, §12; Ord. No. 77-1992, §16; Ord. No. 67-1993, §6; Ord. No. 68-1994, §6; Ord. No. 53-1995, §3; Ord. No. 43-1996, §2; Ord. No. 49-1998, §2; Ord. No. 45-1999, §2; Ord. No. 57-2000 §2; Ord. No. 47-2002 §16; Ord. No. 27-2003; Ord. No. 63-2003, §10; Ord. No. 2-2004, §2; Ord. No. 38-2004, §2; Ord. No. 49-2005, §7; Ord. No. 48, 2006, §4; Ord. No. 52-2007; Ord. No. 27-2009§3; Ord. No. 29-2010§3; Ord. Page 5 of 49        139 ORDINANCE NO. 20 Series of 2020 Online Fee In-Person Fee Youth Swim Lessons Youth Lessons $40.00 $42.00 Private Lessons $50.00 $53.00 Lifeguard Training $270.00 $299.00 Kayak Roll Session without Membership N/A $15.00 Kayak Roll with Membership N/A $4.75 Water Polo Drop In without Membership N/A $15.00 Water Polo Drop In with Membership N/A $4.75 Rentals Entire Aquatic Facility – For Profit N/A $295.00 Entire Aquatic Facility – Non Profit N/A $249.00 Single Lane Rental in Lap Pool N/A $21.00 Single Lane Rental - Non Profit N/A $13.00 Sec. 2.12.030. James E. Moore Pool (Code 1971, §2-35; Ord. No. 44-1991, §12; Ord. No. 77-1992, §16; Ord. No. 53-1995, §4 [part]; Ord. No. 43-1996, §3; Ord. No. 49-1998, §3; Ord. No. 45-1999, §3; Ord. No. 47-2002 §17; Ord. No. 63-2003, §11; Ord. No. 38-2004, §15; Ord. No. 49-2005 §5; Ord. No. 48, 2006, §5; Ord. No. 40-2008; Ord. No.. 27-2009§4; Ord. No. 29-2010§4; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32-2019) No. 33-2011§2; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32-2019) That Section 2.12.030 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the James R. Moore Pool, is hereby amended to read as follows: Page 6 of 49        140 ORDINANCE NO. 20 Series of 2020 Online Fee In-Person Fee Adult Programs Adult Basketball – Drop In N/A $5.00 Adult Volleyball – Drop In N/A $6.00 Men’s Recreation Basketball $780.00 $820.00 Adult Soccer $500.00 $500.00 Adult Softball – Men’s League $1,000.00 $1,000.00 Adult Softball – Coed League $875.00 $899.00 Adult Flag Football $450.00 $500.00 Ariel, Circus, Silks & Trapeze – Drop In N/A $20.00 Ariel, Circus, Silks & Trapeze – Monthly N/A $60.00 Tennis Tennis Clinics – Adult N/A $31.00 Tennis Clinics – Punch Pass, Adult $263.00 $299.00 Tennis Lessons - Private (Max Rate) $100.00 $100.00 Tennis Court Rental Fees (Per Court) $30.00 $30.00 Tennis Ball Machine Rental $32.00 $35.00 Tennis One Month Membership - Individual $68.00 $82.00 Tennis One Month Membership - Couple $94.00 $109.00 Tennis One Month Membership - Family $120.00 $138.00 Youth Programs Youth Baseball $135.00 $141.00 T-Ball $72.00 $77.00 Girls Softball $132.00 $141.00 Day Camp $44.00 $48.00 Martial Arts – Monthly N/A $48.00 Sailing $250.00 $255.00 Tennis Clinics - Youth N/A $21.00 Tennis Clinics - Punch Pass, Youth $185.00 $255.00 Youth Biking $55.00 $63.00 Specialty Camps $280.00 $282.00 That Section 2.12.040 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for miscellaneous leisure and recreation fees, is hereby amended to read as follows: Sec. 2.12.040. Miscellaneous Leisure and Recreation Fees Page 7 of 49        141 ORDINANCE NO. 20 Series of 2020 Online Fee In-Person Fee Youth Intramurals Soccer $99.00 $105.00 Soccer – Kindergarten $56.00 $65.00 Basketball $101.00 $117.00 Basketball – Kindergarten $55.00 $63.00 Flag Football $92.00 $106.00 Climbing Wall Beginner Rock Rats $70.00 $76.00 Boulder Rats $84.00 $99.00 Intermediate / Advanced Climbing $95.00 $99.00 Junior Rats $56.00 $65.00 Gymnasium Rental - 1 Hour $69.00 $80.00 Junior AROCK $56.00 $65.00 AROCK $104.00 $112.00 Other Fees Red Brick Facility Rental N/A $150.00 Playhouse $5.00 $5.00 Sled Rental $10.00 $10.00 Pickleball Drop In Fee $10.00 $10.00 Pickleball Clinic $150.00 $150.00 Pickleball Summer/Winter Pass $150.00 $150.00 Personal Training Session – 1 hour $90.00 $90.00 ARC – Birthday Party – Birthday Room $150.00 $150.00 ARC – Pavilion Rental $29.00 $29.00 Shower – Drop In $6.50 $6.50 Hockey League – Winter $320.00 $320.00 Hockey Mountain High Tournament – Reg. $1,000.00 $1,000.00 ARC – Turkey Triathlon $30.00 $30.00 Online Fee In-Person Fee Skate Rental $3.00 $3.00 Towel Rental $3.00 $3.00 Page 8 of 49        142 ORDINANCE NO. 20 Series of 2020 Program Fees Adult – Masterpiece Mine $45.00 Adult – Watercolor $45.00 Adult – Ceramic $225.00 Youth – Summer Camp $280.00 Youth – After School Camp $20.00 Youth – Pre-K Studio Free Youth – All Day Art Camp $60.00 Gallery Exhibition Fee (one-time) $40.00 Gallery Commission (% of gross sales) $0.35 Facility Fees Tenant Rent (per sq. foot) $1.92 Parking Permit $107.00 Room Rental (per hour) $25.00 (Code 1971, §2-36; Ord. No. 44-1991, §12; Ord. No. 77-1992, §16; Ord. No. 68-1994, §7; Ord. No. 53-1995, §4 [part]; Ord. No. 43-1996, §4; Ord. No. 49-1998, §4; Ord. No. 45-1999, §4; Ord. No. 57-2000, §3; Ord. No. 47-2002, §15; Ord. No. 63-2003, §12; Ord. No. 38-2004, §12; Ord. No. 49-2005, §6; Ord. No. 48, 2006, §6); Ord. 52-2007; Ord. No. 40-2008; Ord. No. 27-2009§2; Ord. No. 29-2010§5; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32-2019) That Section 2.12.043 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the Red Brick Center for the Arts, is hereby amended to read as follows: Sec. 2.12.043. Red Brick Center for the Arts Fees (Ord. No. 40-2018; Ord. No. 32-2019) Page 9 of 49        143 ORDINANCE NO. 20 Series of 2020 For-Profit Non-Profit All Rates Below Include Rehearsals & Performances $685 $390 $340 $190 Ticketed 2nd Performance Consecutive Day Rate $480 $270 $2,600 $1,550 N/A $130.00 $800 $525 Facility – Private Events (Plus Labor) Full Venue $1,700 $815 $200 $100 $100 $75 Wedding Flat Fee (Full Venue, 450 Max) $5,000 N/A Wedding Flat Fee (Lobby Only, 125 Max) $1,750 N/A Photo Shoot in Venue (per Hour) $150 N/A * business hours only, no additional labor fees Box Office Royalty Inside Sales (as percent of sales) 5% 5% Outside Sales (as percent of sales) 6% 6% Per-Order Processing Fee $5 $5 Credit Card Billback Visa & Mastercard 3% 3% American Express 4% 4% Box Office Ticket Sellers Inside Events (per hour) $28.50 $25.00 Outside Events (per hour, includes transit) $35.00 $35.00 Lobby Performance Stage (105 seated, 125 standing) Non-Ticketed Community Events Day Rate Ticketed Performance Weekly Rate (<= 5 Days) Ticketed 2nd Performance Same Day Rate Ticketed Performance Day Rate That Section 2.12.045 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the Wheeler Opera House, is hereby amended to read as follows: Sec. 2.12.045. Wheeler Opera House Lobby Rental (Max 20; No A/V or Food, 4 Hr Max)* Lobby Rental (Max 125; Hourly w/ 2 Hr Min) Page 10 of 49        144 ORDINANCE NO. 20 Series of 2020 For-Profit Non-Profit Box Office Set-Up 5+ days notice $30 $28 3-4 days notice $40 $38 2 or less days notice $60 $55 Support Services Ticket Printing / Ticket $0.12 $0.08 Client Database Entry $95 $95 Non-Standard Box Office Reports / Report $20 $20 Pass Barcoding (per barcoded entered) $0.50 $0.25 Pass Database Entry (per 100 entries) $125 $95 Theatre Technician Rates / Hr $29.50 $27.50 Production Manager (Audio/Lights) Rates / Hr $35.50 $33.50 Custodial Charge / Day $95 $68 Food Custodial Charge / Day $160 $95 Front of House Manager Rate / Hr (2 hr min) $35.50 $33.50 Front of House Staff Rate / Hr (2 hr min) $28.50 $26.50 Lobby Set-Up Fee (stage, chairs, tables, etc.) $200 $100 Theatre Live Events Seat Removal (pit area) $250.00 $100.00 Coffee/Tee Service (per 100 people) $30 $20 Catering Coordination $34.50 $32.50 Merchandise Seller $150 5% of gross sales Merchandise – Recorded Material & Other 10% / 20% of gross N/A Piano Tuning $175 $175 Supplies At Cost At Cost Page 11 of 49        145 ORDINANCE NO. 20 Series of 2020 For-Profit Non-Profit Equipment / Instrument Rental 1999 Steinway Rental / Performance $360 $255 Piano Tuning / Tune $225 $200 Keyboard Rental / Performance $150 $100 Drum Rental / Performance $250 $200 Fender Rental / Performance $75 $50 Pro Bass Rental / Performance $75 $50 Fogger or Hazer / Performance $40 $25 Video Media Rental $250 $100 (Christie, DCP, Sony HD Deck) Video Media Rental / Week $900 $400 (Panasonic HD Video Projector) Intelligent Light Package / day $250 $100 Dance Floor / event $200 $150 Presentation Laptop / day $100 $65 *In order to qualify for non-profit rates, organization must be a registered Roaring Fork Valley non-profit organization or qualifying performing artist. (Ord. No. 68-1994, §8; Ord. No. 53-1995 §5; Ord. No. 45-1999, §5; Ord. No. 49-1998, §5; Ord. No. 57-2000, §4; Ord. No. 12-2003, §1; Ord. No. 63-2003, §13; Ord. No. 38-2004, §11; Ord. No. 48, 2006, §7; Ord. No. 40-2008; Ord. No. 27-2009§6; Ord. No. 29-2010 §6; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32-2019) Page 12 of 49        146 ORDINANCE NO. 20 Series of 2020 Accident Reports – In Person Case Reports Per Copied Page Arrest History / Background Checks Per Copied Page Extensive Records Search Per Hour Communications Logging / Hour Per Audio CD Case Report/Accident Photos / CD Records Research / Additional Hour Body Worn Camera (BWC) Video Per Case BWC Records Research / Additional Hour Alarm User Permit First False Alarm / Year Second False Alarm / Year Third and Fourth False Alarm / Year All Bank Alarms Late Fees Central Alarm License Fee Vehicle Inspection Certified VIN Inspection Off-Duty Security/Officer/Hour Notary Fees That Section 2.12.050 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the Aspen Police Department, is hereby amended to read as follows: Sec. 2.12.050. Aspen Police Department fees $5.00 $5.00 $0.25 Law Enforcement Records Arrest History / Background Checks Criminal History Report Per Name Search (5 names per person) $20.00 $25.00 $25.00 $25.00 Aspen Police Department $10.00 $0.25 $25.00 $25.00 $15.00 $25.00 $314.00 $20.00 $25.00 $95.00 $5.00 $114.00 $118.00 $237.00 $358.00 $380.00 $12.00 Page 13 of 49        147 ORDINANCE NO. 20 Series of 2020 Annual Dog Tag Fees Spayed/Neutered Dog Tag Fee Senior Citizen/Active Service Dog Tag Fee Replacement Tag Dog Vaccination and License Fees $20.00 $10.00 FREE $4.00 (Code 1971, §2-38; Ord. No. 77-1992, §17; Ord. No. 68-1994, §§9—11; Ord. No. 53-1995, §§6—10; Ord. No. 43-1996, §§5—7; Ord. No. 49-1998, §§6—8; Ord. No. 45-1999, §§6—9, 20; Ord. No. 57-2000, §§5, 12; Ord. No. 47-2002, §2; Ord. No.. 63-2003, §2; Ord. 2-2004, §3; Ord. 38-2004, §1; Ord. No. 49-2005, §1; Ord. No. 48, 2006, §8; Ord. No. 40-2008; Ord. No. 27- 2009§7; Ord. No. 29-2010§7; Ord. No. 33-2011; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32- 2019) Page 14 of 49        148 ORDINANCE NO. 20 Series of 2020 Permit and Application Fees $401.70 $100.00 $5,850.00 $401.70 Encroachment Fees $1,000.00 $1.40 Temporary Occupation of Right-of-Way Under Encroachments $2.50 $17.00 $7.00 Map and Plan Printing $5.00 Landscape and Grading Permit See fee schedule See fee schedule See fee schedule See fee schedule $325.00 Construction Mitigation Review Fee (as applicable) Engineering Development Review Fee Sec. 2.12.051. Engineering Department fees Encroachment License and Application Encroachment Fees (Minor Encroachment < 3 hrs) Vacation Application ($325 / hr for estimated 18 hours) Right-of-way Permit (waived for sidewalk replacement work; additional hourly review rate of $325/hr will be applied to projects requiring more than 4 hours of review time) That Section 2.12.051 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the Engineering Department, is hereby amended to read as follows: (Ord. No. 47-2002, §3; Ord. No. 49-2005, §13; Ord. No. 48, 2006, §9; Ord. No. 52-2007; Ord. No. 40-2008; Ord. No. 27-2009§8; Ord. No. 29-2010§8; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32-2019) Zoning Hourly Review Fee (as applicable)/hr Parks Development Review Fee (as applicable) Utilities Development Review Fee (as applicable) Permanent Encroachment Fee (per permit) Permanent Encroachment for Earth Retention (per cuft/mo) By commercial operations not associated with construction, including contractors and vendors (per sqft/mo) Base cost within the core by commercial operations associated with construction, including contractors and vendors (per sqft/mo). Fees increase by 20% for first exception granted, 30% increase for second exception granted, 40% increase for every exception granted thereafter. Outside of the core by commercial operations associated with construction including contractors and vendors (per sqft/mo) Per copy cost Page 15 of 49        149 ORDINANCE NO. 20 Series of 2020 Environmental Health Fees Event Plan Review $30.00 Event Inspection Fee $70.00 Swimming Pool Plan Review $79.00 Environmental Health Fees (continued) Restaurant Site Inspection $82.00 Food Safety Training $82.00 Large Childcare $100.00 Small Childcare $50.00 Plan review application $100.00 Plan review & pre-operational inspection (not to exceed) $580.00 HACCP plan review – written (not to exceed) $100.00 HACCP plan review – on-site (not to exceed) $400.00 Real estate review (not to exceed) $75.00 Food Service License $0.00 Limited food service (convenience, other) $270.00 Restaurant 0-100 Seats $385.00 Restaurant 101-200 Seats $430.00 Restaurant Over 200 Seats $465.00 Grocery store (0 – 15,000 sq. ft.) $195.00 Grocery store (> 15,000 sq. ft.) $353.00 Grocery store w/ deli (0 – 15,000 sq. ft.) $375.00 Grocery store w/ deli (> 15,000 sq. ft.) $715.00 Mobile Unit (full-service) $385.00 Mobile Unit (pre-packaged) $270.00 Oil & Gas (Temporary) $855.00 Special Event (full-service) $255.00 Special Event (pre-packaged) $115.00 That Section 2.12.052 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the Environmental Health Department, is hereby amended to read as follows: Sec. 2.12.052. Environmental Health Department fees Free (K-12 school, penal institution, non-profit serving food insecure populations) Page 16 of 49        150 ORDINANCE NO. 20 Series of 2020 Enforcement Fees and Penalties Civil Penalty (4 consecutive or 4/5 inspections that don’t “pass”) $1,000.00 GIS Fees Preprinted Map Small (11” x 17” or smaller) $14.00 Preprinted Map Large on Photo Paper (greater than 11” x 17”) $100.00 Large Format Plotting (greater than 11” x 17”) $30.00 Custom Mapping and Analysis or Misc. Services (per hour, min. 1 hr) $325.00 (Ord. No. 47-2002, §4; Ord. No. 63-2003, §2 Ord. No. 38-2004, §3; Ord. No. 49-2005, §2; Ord. No. 48, 2006, §10; Ord. No. 40-2008; Ord. No. 15-2009; Ord. No. 27-2009§9; Ord. No. 29- 2010§9; Ord. 33-2011; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No. 43- 2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32-2019) That Section 2.12.053 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the Geographic Information System Department, is hereby amended to read as Sec. 2.12.053. Geographic Information System (GIS) Department fees (Ord. No. 47-2002, §5; Ord. No. 63-2003, §3; Ord. No. 48, 2006, §11; Ord. No. 52-2007; Ord. No. 27-2009§10; Ord. No. 29-2010§10; Ord. No. 33-2011; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32-2019) Page 17 of 49        151 ORDINANCE NO. 20 Series of 2020 Rio Grande Plaza Parking Hourly Rate Maximum Daily Fee Validation Stickers / Visit Business Pass (Unlimited Monthly Access) Unlimited Use Monthly Pass With Reserved Space Lost Ticket Fee 5-Day Unlimited Access Hotel Pass Special Events Pass / Day Access Replacement Card Commercial Core Pay Parking (between 7:00 AM and 6:00 PM) Hourly Rates (10:00am to 11:00am) High Season Hourly Rates (11:00am to 3:00pm) High Season Hourly Rates (3:00pm to 6:00pm) High Season Hourly Rates (10:00am to 11:00am) Low Season Hourly Rates (11:00am to 3:00pm) Low Season Hourly Rates (3:00pm to 6:00pm) Low Season 30 minutes Single Space Meters (per 15 minutes) Residential Permit Parking Residential Day Pass Space Rental Fee / Day First and Second Permit for Residence and Guest Third Permit for Resident and Guest Lodge Guest Permit (4-days) Business Vehicle Permit High Occupancy Vehicle Permit Loading Zone Reservation Miscellaneous Parking Delivery Vehicle Permit Service Vehicle Construction – Residential / Month Construction – Commercial / Day Reserved Spaces for Approved Activities $150.00 $250.00 $25.00 $60.00 $6.00 $20.00 That Section 2.12.060 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the Parking Department, is hereby amended to read as follows: Sec. 2.12.060. Parking fees $2.00 $12.00 $6.00 $1.00 $0.50 $8.00 $10.00 Free $25.00 $4.00 $6.00 $4.00 $2.00 $4.00 $2.00 $40.00 $100.00 $50.00 $3.00 $125.00 Free $5.00 $100.00 50% of parking rates Page 18 of 49        152 ORDINANCE NO. 20 Series of 2020 Miscellaneous Parking (continued) Handicapped Parking Permit Replacement Tow Truck Cancellation Fee Boot Fee Towing Fee (Tickets / Snow / Farmer's) Towing Fee (72 Hour / Abandoned) Ticket Late Fee Neighborhood Electric Vehicles Free $75.00 $40.00 2-Neighborhood electric vehicles (NEV’s) are defined as follows: A low-speed electric vehicle which does not exceed speeds of 20-25 mph. The vehicle must have seat belts, headlights, windshield wipers, safety glass, tail lamps, front and rear turn signals and stop lamps. These vehicles must have a vehicle identification number (VIN) and be state-licensed. NEV’s are only permitted within the City limits and on roads that have speed limits less than 40 mph. 3-High Season includes the months of Jan, Feb, Mar, Jun, Jul, Aug, Sep, and Dec. Low Season includes Apr, May, Oct and Nov. $75.00 $160.00 $200.00 $10.00 Free 1-The residential permit parking program restrictions shall be in effect from 8:00 a.m. until 5:00 p.m., Monday through Friday (official holidays exempted), unless otherwise specified. (Code 1971, §2-39; Ord. No. 36-1994, §1; Ord. No. 68-1994, §12; Ord. No. 53-1995, §20; Ord. No. 43-1996, §17; Ord. No. 49-1998, §9; Ord. No. 45-1999, §9; Ord. No. 57-2000, §5; Ord. No. 4-2002, §1; Ord. No. 47-2002, §19; Ord. No. 63-2003, §15; Ord. No. 49-2005, §14; Ord. No. 39- 2007; Ord. No. 33-2011; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No.. 43- 2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32-2019) Page 19 of 49        153 ORDINANCE NO. 20 Series of 2020 Liquor Licenses Beer Permit (3.2% by Volume) $10.00 Special Event Permit $25.00 New License $1,000.00 Transfer of Location or License $750.00 Hotel & Restaurant or Tavern including Modest- Renewal Fee $178.75 Beer & Wine including Modest- Renewal Fee $152.50 Retail Liquor Store or Drug Store-Renewal Fee $122.50 Arts or Club-Renewal Fee $115.00 3.2 Beer-Renewal Fee $103.75 Optional Premises License $50.00 Temporary Permit $100.00 Late Renewal Application Fee $500.00 Tastings Permit $100.00 Marijuana Licenses Medical or Retail Marijuana Center New License Fee $2,000.00 Medical or Retail Marijuana Optional Premise Cultivation License $2,000.00 Medical or Retail Marijuana Infused Products Manufacturers' License $2,000.00 Medical Marijuana Center Applying for Retail Marijuana Store License $2,000.00 Medical or Retail Marijuana Transfer of Ownership $750.00 Medical or Retail Marijuana Change of Location $500.00 Medical or Retail Marijuana Change of Corporation or LLC Structure $100.00 Medical or Retail Marijuana Modification of Premises $100.00 Renewal of Retail or Medical Marijuana License $1,000.00 That Section 2.12.070 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the City Clerk’s Office, is hereby amended to read as follows: Sec. 2.12.070. Liquor and marijuana license application fees (Code 1971, §2-40; Ord. No. 8-1994, §4; Ord. No. 45-1999, §10; Ord. No. 24-2004, §2; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30- 2017; Ord. No. 40-2018; Ord. No. 32-2019) Page 20 of 49        154 ORDINANCE NO. 20 Series of 2020 Sec. 2.12.080. Parks Department fees Event Fees Application Fee For Profit Non-Profit Business License One Day Two Days Event Fees – Non-Profit Under 50 People 50-100 People 101-200 People 201-500 People Over 500 People Event Fees – For Profit Under 50 People 50-100 People 101-200 People 201-500 People Over 500 People Exclusive Use of Park Athletic Camps Local (per hour) Non-Local (per hour) Athletic Tournaments/Event Sports Classes / Day Care Local (per hour) Non-Local (per hour) Flags on Main Street/Flag Banners on Main Street/Banner Mall Space Leasing Price per Square Foot That Section 2.12.080 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the Parks Department, is hereby amended to read as follows: $141.00 $56.00 $18.00 $1,683.00 $197.00 $449.00 $673.00 $3,927.00 $29.00 $56.00 $224.00 $337.00 $561.00 $29.00 $45.00 $18.00 $18.00 $4.43 $5,610.00 $8,415.00 $29.00 $45.00 $842.00 Page 21 of 49        155 ORDINANCE NO. 20 Series of 2020 Filming 3-10 People 11-30 People: Still 11-30 People: Video 31-49 People: Still 31-49 People: Video 50 and Over People Tree Fees Removal Permit Removal Permit - Development Mitigation Fee Development Fees Encroachments - Minor Review Encroachments - Major Review Right of Ways - Minor Review Right of Ways - Major Review Landscaping and Grading Permit Landscape/Resource Review (per sqft) $82.00 $220.00 $46.00 $75.00 $150.00 $75.00 $153.00 $255.00 $357.00 $357.00 $459.00 $867.00 $150.00 $74.00 $0.06 (Ord. No. 45-1999, §11; Ord. No. 47-2002, §6; Ord. No. 63-2003, §14; Ord. No. 38-2004, §5; Ord. 52-2007; Ord. No. 33-2011; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32-2019) Page 22 of 49        156 ORDINANCE NO. 20 Series of 2020 BUILDING PERMIT FEES Total Valuation: $1.00 to $5,000.00 Total Valuation: $5,001.00 to $50,000.00 Total Valuation: $50,001.00 to $100,000.00 Total Valuation: $100,001.00 to $250,000.00 BUILDING PERMIT FEES (continued) Total Valuation: $250,001.00 to $500,000.00 Total Valuation: $500,001.00 to $1,000,000.00 Total Valuation: $1,000,001.00 to $2,500,000.00 Total Valuation: $2,500,001.00 to $5,000,000.00 Total Valuation: Above $5,000,000 Building Permit Review Fee (per hour) Fees Due Upon Permit Submittal This Section of the Code sets forth building permit fees for the City Community Development Department, and shall be applied to applications submitted on or after January 1, 2021: That Section 2.12.100 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the Building and Planning Department, is hereby amended to read as follows: Sec. 2.12.100. Building and Planning $75,275 + 0.75% of permit valuation over $5,000,000 plus 0.5% of permit valuation $325.00 65% 15% $25.00 50% of sum of $25 + 5.0% of permit valuation over $5,000 75% of sum of $2,275 + 3.5% of permit valuation over $50,000 $4,025 + 2.5% of permit valuation over $100,000 $7,775 + 2.0% of permit valuation over $250,000 $12,775 + 1.75% of permit valuation over $500,000 $21,525 + 1.5% of permit valuation over $1,000,000 $44,025 + 1.25% of permit valuation over $2,500,000 Plan Check Fees (as percent of total building permit outlined above) Energy Code Fee (as percent of total building permit outlined above) Page 23 of 49        157 ORDINANCE NO. 20 Series of 2020 Fees Due Upon Permit Issuance Renewable Energy Mitigation Payment Use Tax Deposit – City of Aspen Use Tax Deposit – Pitkin County Residential Exterior Energy Use Outdoor Pool Photovoltaic Systems Solar Hot Water Systems Ground Source Heat Pumps Commercial Exterior Energy Use Snowmelt – includes roof and gutter de-icing system Outdoor Pool Spa – pkg. or portable spas < 64 sqft are exempt Photovoltaic Systems Solar Hot Water Systems Ground Source Heat Pumps 100% $500.00 (see details below) 2.1% of value of materials for projects over $100,000 0.1% of value of materials $34 per square foot divided by boiler efficiency (AFUE) $136 per square foot divided by boiler efficiency (AFUE) $176 per square foot divided by boiler efficiency (AFUE) RENEWABLE ENERGY MITIGATION PAYMENT Snowmelt – includes roof and gutter de-icing systems Spa – pkg. or portable spas < 64 sqft are exempt $6,250 per KWH $224.65 per square foot $1,400 per 10,000 BTU per hr Commercial Onsite Renewable Credits (certain restrictions may apply) Residential Onsite Renewable Credits (certain restrictions may apply) $6,250 per KWH $125 per square foot $1,400 per 10,000 BTU per hr $60 per square foot divided by boiler efficiency (AFUE) $170 per square foot divided by boiler efficiency (AFUE) $176 per square foot divided by boiler efficiency (AFUE) Building Permit Fee (as percent of total building permit outlined above) GIS Fee (applicable only if changing building footprint) Page 24 of 49        158 ORDINANCE NO. 20 Series of 2020 CHANGE ORDER FEES Fees Due Upon Change Order Issuance Change Order Plan Check Fee for All Review Agen Change Order Energy Code Review Fee – if applica Change Order Building Permit Fee (as a percentage Fees Due at Issuance of Phase 1 Permit: Building Permit Review Phasing Fee Zoning Review Phasing Fee Construction Mitigation Phasing Fee Engineering Development Review Phasing Fee Parks Phasing Fee Utilities Development Review Phasing Fee SPECIAL SERVICES FEES Inspection Fee Outside of Normal Business Hrs. (pe Re-inspection Fee (per inspection) Building Permit Extension Fee – per Occurrence Applications for change orders shall cause a revision to the overall project valuation. Fees for the previously submitted permit application shall not be refunded or credited toward change order fees. Not all change orders will require additional fees in each fee category. A change order fee applies each time a change order is submitted. A change order may propose multiple changes, and applicants are encouraged to "bundle" their change order requests to minimize fees. 35% of Building Permit Fee 10% of Zoning Review Fee 50% of Construction Mitigation Fee 10% of Engineering Fee 10% of Parks Review Fee 10% of Utilities Review Fee $325.00/hr. $325.00/hr. 5% PHASED PERMITTING FEES Applications for Building Permits may be issued in "phases" prior to the entire permit being ready for issuance. For a permit to be issued in phases, all elements of that phase must be reviewed and approved by the Building Department and applicable referral agencies. A Phased Building Permit still requires complete submission of all required documents and information for all phases at initial permit application submission. Issuance of a permit in phases is at the discretion of the Chief Building Official. Fees for phased permit issuance are in addition to fees due for issuance of a complete building permit. 0% Special Inspections Fee for Unspecified Inspection Type (per hour, min. 1 hr) $325.00/hr. $325.00/hr. $325.00/hr. 7.5% of Building Fee Permit ($5,000 maximum per extension) Page 25 of 49        159 ORDINANCE NO. 20 Series of 2020 REPAIR FEES Permit Fee Plan Review Fee Zoning Review Fee Construction Mitigation Review Fee Engineering Review Parks Review Fee RE-ROOFING AND ROOFING FEE Permit Fee Plan Review Fee Zoning Review Fee Construction Mitigation Review Fee Parks Review INTERIOR FINISH & FIXTURE REMOVAL FEE Permit Fee Plan Review Fee Construction Mitigation Fee TEMPORARY STRUCTURE Permit Fee Plan Review Fee Parks Review Fee Fire Department Review Fee CERTIFICATE OF OCCUPANCY Permanent Certificate Temporary Certificate per Occurrence (max $5,000 ea.) $325.00/hr. $325.00/hr. 10% of CMP Review Fee 10% of Engineering Review Fee $325.00/hr. $25.00 $25.00 (minimum) $325.00/hr. (1 hr. minimum) 10% of CMP Review Fee $25.00 $325.00/hr. (1 hr. minimum) $325.00/hr. (1 hr. minimum) $25.00 $25.00/100 sqft of roofing $325.00/hr. 10% of CMP fee $325.00/hr. $100.00 Included in Building Permit Fee 7.5% of Building Permit Fee Page 26 of 49        160 ORDINANCE NO. 20 Series of 2020 ENFORCEMENT FEES AND PENALTIES COMMUNITY PURPOSE DISCOUNT PROGRAMS 2 Times Permit Valuation Fee 4 Times Permit Valuation Fee 8 Times Permit Valuation Fee The Chief Building Official may from time to time implement lower fees to encourage certain types of building improvements as directed by the City Council or City Manager. Example programs may include energy efficiency improvements, accessibility improvements and the like. Special fees shall not exceed those otherwise required. Notwithstanding the building permit fee schedule, City Council may authorize a reduction or waiver of building permit fees, engineering review fees, or construction mitigation fees as deemed appropriate. The Community Development Director shall waive building permit fees for General Fund Departments of the City of Aspen consistent with City policy. The Community Development Director may reduce building permit review fees by no more than 50% for projects with a fee significantly disproportionate to the service requirements. The City may not waive or reduce fees collected on behalf of a separate government agency. The City may not reduce or waive a tax. Projects that had a Land Use review cannot submit for a building permit until all invoices related to the Land Use review have been paid in full. Additional penalties, pursuant to Municipal Code Section 26.104.070, Land Use Application Fees, also may be applicable. For violations of the adopted building codes other than a stop work order or correction notice, the Chief Building Official may issue a Municipal Court citation. Fees, fines, and penalties by citation for violations of the Building Code shall be established by the Municipal Court Judge according to the scope and duration of the offense. Penalties may include: revocation of Contractor License(s); prohibition of any work on the property for a period of time; recovery of costs to the public for any required remediation of the site; additional Building Permit Review Fees; fees to recover administrative costs required by City staff to address the violation; and, other fees, fines, and penalties or assessments as assigned by the Municipal Court Judge. No Certificate of Occupancy shall be issued until all fees have been paid in full. Violations of this policy are subject to fines. Stop Work Order or Correction Notice – 1st Infraction Stop Work Order or Correction Notice – 2nd Infraction Stop Work Order or Correction Notice – 3rd Infraction (license subject to suspension or Page 27 of 49        161 ORDINANCE NO. 20 Series of 2020 FEE WAIVERS FOR NON-PROFIT ORGANIZATIONS Project Valuation < = $5,000 Project Valuation > $5,000 FEE WAIVERS FOR AFFORDABLE HOUSING PROJECTS Category of Work % of Building Permit Fee Charged Length of City Agreement 25% 5 years 25% 5 years 50% 10 years 50% 10 years 75% 20 years Minor interior upgrade (e.g., paint, carpet, light fixtures) Minor exterior upgrade (e.g., new windows, new paint/exterior materials) Major interior upgrade A (e.g., remodel units, including bathrooms) Major interior upgrade B (e.g., remodel common areas and any kitchen/food service facilities) Redevelopment or Major Expansion Applications submitted for Building Permits by nonprofit organizations (as determined by their 501(c)3 status and those organizations that do not have a tax base) are eligible to have planning/building permit fees waived based on the following schedule: 100% Fee Waiver 50% Fee Waiver of Fees for Project Valuations between $5,000 and $250,000 Building Plan Check, Energy Code, Permit Fees, Engineering, Parks and Utilities Review Fees: Fee waivers shall not exceed a combined value of $15,000 for a single project per twelve consecutive month period. All other applicable utilities fees are not subject to this waiver, including but not limited to: investment charge, connection permit, tap fees, hook-up charges, service fees, and electric extension costs. Applications submitted for new projects that are 100 percent affordable housing are eligible for a 100 percent fee waiver for Building, Engineering, Parks, Zoning, and Utility Plan Review fees; Construction Mitigation Plan Review; Aspen Energy Code Payment; Building Permit Fee; and GIS Fee; excluding fees levied by jurisdictions other than the City of Aspen. This fee waiver shall be limited to new projects, and does not apply to existing individual affordable housing units that may be seeking a remodel, expansion, etc. Page 28 of 49        162 ORDINANCE NO. 20 Series of 2020 EXPIRED or CANCELLED PERMITS and REFUNDS Engineering Development Fees 200 – 500 Square Feet 501 – 1000 Square Feet 1,001 – 15,000 Square Feet Above 15,000 Square Feet Construction Mitigation Fees 400 – 15,000 Square Feet Above 15,000 Square Feet Additional Review Fee Plan Check fees are not refundable for expired or cancelled permits. Impact mitigation fees for un-built projects (construction not started) shall be refunded 100%. Building permit and impact fees for partially constructed projects are not refundable. Expired or cancelled permits are not renewable. Projects with expired or cancelled permits must reapply for building permits and pay all applicable fees. Projects with expired or cancelled permits that have previously paid impact fees need only pay (or be refunded) the difference in impact fees when applying for a new permit. $1.07 per sq. ft. $1.07 per sq. ft. to 15,000 + $0.03 per sq. ft. over 15,000 Fifty percent of the construction mitigation fee will be collected at permit submission; the remaining fifty percent upon permit issuance. Fees are not triggered unless a Construction Mitigation Review is performed. Triggers for the Construction Mitigation Review are located in the Construction Mitigation Plan requirements. $325.00/hr.Hourly fee to review changes, additions, or revisions to plans or land use review cases This Section of the Code sets forth engineering review fees for the City Engineering Department, and shall be applied to applications submitted on or after January 1, 2021: $567.74 $1,703.21 $1,703.21 + $2.14 per sq. ft. over 1,000 $1,703.21 + $2.14 per sq. ft. over 1,000 + $0.103 over 15,000 $325.00/hr.Additional Planning Review Fee (per hr, min. ½ hr) Page 29 of 49        163 ORDINANCE NO. 20 Series of 2020 RESIDENTIAL ELECTRICAL FEES Living area not more than 1,000 square feet Living area 1,001 to 1,500 square feet Living area 1,501 to 2,000 square feet Living area over 2,000 square feet Other Electrical Installation Fees Re-Inspections Extra Inspections Photovoltaic Generation System Residential: Valuation not more than $2,000 Residential: Valuation $2,001 and above Commercial: Valuation not more than $2,000 Commercial: Valuation $2,001 and above This Section of the Code sets forth electrical permit fees for the City Community Development Department, and shall be applied to applications submitted on or after January 1, 2021: $155.00 $155.00 + $16.00 per thousand dollars (rounded up) $77.50 $77.50 Fee is based on the enclosed living area only, includes construction of, or remodeling or addition to a single-family home, duplex, condominium, or townhouse.If not wiring any portion of the above listed structures, and are only changing or providing a service, see “Other Electrical Installation Fees” below. $155.00 $233.00 $310.00 $310.00 + $16.00 per 100 sqft over 2,000 Including some residential installations that are not based on square footage (not in a living area, i.e., garage, shop, and photovoltaic, etc.). Fees in this section are calculated from the total cost to customer, including electrical materials, items and labor - whether provided by the contractor or the property owner. Use this chart for a service connection, a temporary meter, and all commercial installations. $115.00 plus $11.50 per thousand or fraction thereof (max $500) $115.00 $115.00 $115.00 plus $11.50 per thousand or fraction thereof (max $1,000) (Valuation based on cost to customer of labor, materials, & items) Installation Permit on Projects Valuing Less than $2,000 Installation Permit on Projects Valuing $2,000 or More Page 30 of 49        164 ORDINANCE NO. 20 Series of 2020 This Section of the Code sets forth mechanical permit fees for the City Community Development Department, and shall be applied to applications submitted on or after January 1, 2021: Supplemental Permit for which the original has not expired, been canceled or finalized (per unit) MECHANICAL PERMIT FEES $66.31 $26.53 UNIT FEE SCHEDULE Furnaces (installation or relocation) Mechanical Permit (per unit) Cooling Systems Boilers, Compressors and Absorption Systems (installation or relocation) Each refrigeration unit, cooling unit, absorption unit or each heating, cooling, absorption or evaporative cooling system, including installation of controls regulated by the Mechanical Code $33.16 Each boiler or compressor to and including 3 horsepower (10.6 kW) or each absorption system to and including 100,000 Btu/h (29.3 kW) $66.31 Forced-air or gravity-type furnace or burner, including attached ducts and vents; floor furnace, including vent; suspended heater; recessed wall heater or floor-mounted unit heater (per unit) $66.31 Appliance Vents (installation, relocation or replacement) Each appliance vent installed and not included in an appliance permit $33.16 Each boiler or compressor over 50 horsepower (176 kW) or each absorption system over 1,750,000 Btu/h (512.9 kW) $331.56 Each boiler or compressor over 3 horsepower (10.6 kW) to and including 15 horsepower (52.7 kW) or each absorption system over 100,000 Btu/h (29.3 kW) to and including 500,000 Btu/h (293.1 kW) $132.63 Each boiler or compressor over 15 horsepower (52.7 kW) to and including 30 horsepower (105.5 kW) or each absorption system over 500,000 Btu/h (146.6 kW) to and including 1,000,000 Btu/h (293.1 kW) $176.83 Each boiler or compressor over 30 horsepower (105.5 kW) to and including 50 horsepower (176 kW) or each absorption system over 1,000,000 Btu/h (293.1 kW) to and including 1,750,000 $265.25 Page 31 of 49        165 ORDINANCE NO. 20 Series of 2020 Air Handlers Fee does not apply to units included with a factory-assembled appliance, cooling unit, evaporative cooler or absorption unit for which a permit is required elsewhere in the Mechanical Code. Each air-handling unit to and including 10,000 cubic feet per minute (cfm) (4,719 L/s), including ducts attached thereto $33.16 Each ventilation fan connected to a single duct Each ventilation system which is not a portion of any heating or air-conditioning system authorized by a permit Each hood which is served by the mechanical exhaust, including the ducts for such hood Each appliance or piece of equipment regulated by the Mechanical Code but not classed in other $26.53 $33.16 $33.16 $33.16 Each air-handling unit over 10,000 cfm (4,719 L/s)$66.31 Evaporative Coolers Each evaporative cooler other than portable type $33.16 Ventilation and Exhaust $325.00 $325.00 $325.00 $325.00 Hourly inspection fee outside of normal business hrs (min. 2 hrs) Re-inspection fees assessed under Section 305.8 (per inspection) Hourly inspections fee for unspecified inspection type(min. 1 hr) Hourly fee for additional plan review required by changes, additions or revisions to plans or plans for which an initial review has been completed Miscellaneous Other Mechanical Inspections Fees Page 32 of 49        166 ORDINANCE NO. 20 Series of 2020 $26.53 $13.26For repair or alteration of drainage or vent piping, each fixture Sewers, Disposal Systems and Interceptors Each building sewer and each trailer park sewer $265.25 This Section of the Code sets forth plumbing permit fees for the City Community Development Department, and shall be applied to applications submitted on or after January 1, 2021: PLUMBING PERMIT FEES Plumbing Permit (per issuance) Each supplemental permit for which the original has not expired, been canceled or finalized $66.31 $26.53 UNIT FEE SCHEDULE Fixtures and Vents Each plumbing fixture or trap or set of fixtures on one trap (including water, drainage piping and backflow protection) $33.16For each water heater, including vent Gas Piping Systems Each gas piping system of one to five outlets $13.26 $6.63Each additional outlet over five, each Each industrial waste pretreatment interceptor, including its trap and vent, excepting kitchen-type grease interceptors functioning as traps $66.31 $33.16Rainwater systems, per drain (inside buildings) Water Piping and Water Heaters For installation, alteration or repair of water piping or water-treating equipment or both, each $26.53 $6.63Over 5 devices, each Each backflow-protection device other than atmospheric-type vacuum breakers: 2 inches (50.88 mm) and smaller Over 2 inches (50.8 mm) $33.16 $53.05 Lawn Sprinklers, Vacuum Breakers and Backflow Protection Devices Each lawn sprinkler system on any one meter, including backflow protection devices thereof $26.53 $26.531 to 5 devices For atmospheric-type vacuum breakers or backflow protection devices not included in Fixtures and Vents: Page 33 of 49        167 ORDINANCE NO. 20 Series of 2020 Swimming Pools Each public pool Each public spa Each private pool Each private spa $1,591.50 $795.75 $530.50 $265.25 $325.00Re-inspection fees – inspections required after a failed inspection (per inspection) Hourly inspections fee for unspecified inspection type (min. 1 hr) $325.00 $325.00Hourly fee for additional plan review required by changes, additions or revisions to plans or plans Miscellaneous Each appliance or piece of equipment regulated by the Plumbing Code but not classed in other $33.16 Other Plumbing Inspection Fees Hourly inspection fee outside of normal business hrs. (min. 2 hrs)$325.00 Page 34 of 49        168 ORDINANCE NO. 20 Series of 2020 This Section of the Code sets forth licensing fees for the City Community Development Department, and shall be applied to applications submitted on or after January 1, 2021: $450.00 Alteration and Maintenance $142.00 $142.00 $142.00 $142.00 General Contractor Licenses (3-year term) Unlimited Commercial Light Commercial Homebuilder Specialty Contractor Licenses (3-year terms) $450.00 $450.00 $450.00 Drywaller Fire Resistive Construction & Penetrations Excavation Insulation / Energy Efficiency Mechanical Contractor Radon Mitigation $142.00 $142.00 $142.00 $142.00 Masonry Fire Alarm System Installer Fire Sprinkler System Installer (Ord. No. 63-2003, §7; Ord. No. 38-2004, §6; Ord. No. 49-2005, §8; Ord. No. 48, 2006, §12; Ord. No. 3-2011, §1; Ord. No. 29-2012; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32-2019) Roofing Solid Fuel and Gas Appliance Temporary Contractor Tent Installer Concrete Low Voltage $142.00 $142.00 $142.00 $142.00 $142.00 $142.00 $142.00 Page 35 of 49        169 ORDINANCE NO. 20 Series of 2020 Sec. 2.12.130. Car-To-Go Carshare Program fees That Section 2.12.130 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the Car-to-Go Carshare Program, is hereby amended to read as follows: $10.00 $4.00 - $6.00 FEES Application $25.00 Emergency Cleaning (per hour, plus cleaning costs) No Reservation Fee Fixed daily Rate Per Mile Usage Hourly Usage Monthly Membership $30.00 - $50.00Low Fuel Fee (plus applicable taxi fees) Late Return Fee (per hour, plus applicable taxi fees) Lost Key Fee NSF Check Missing/Incorrect Trip Ticket/Reservation $50.00 $50.00 $30.00 - $50.00 $30.00 - $50.00 $30.00 - $50.00 $30.00 - $50.00 $0.40 - $0.60 $70.00 - $90.00 (Ord. No. 29-2012; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32-2019) CREDITS Inconvenience Credit (per hour, plus applicable taxi fees)$30.00 - $50.00 $25.00 Referral Refuel / Wash $4.00 / $6.00 Page 36 of 49        170 ORDINANCE NO. 20 Series of 2020 Sec. 2.12.140. Stormwater fees That Section 2.12.140 of the Municipal Code of the City of Aspen, Colorado, which section sets forth user fees for the Stormwater Department, is hereby amended to read as follows: Fee-in-Lieu of Detention Fee (per cubic foot of detention req.)$78.78 (a) The fee is based on 100 percent of the estimated cost of constructing a detention facility on- site. The City Engineer at his/her sole discretion may require a certified cost estimate for construction of detention meeting the standards contained in the Urban Runoff Management Plan (Manual) established in Sec 28.02.010 and may accept at his/her sole discretion this amount to be paid in-lieu-of detention. (b) Required detention storage shall be calculated at the rate of 6.20 cubic feet per 100 square feet of impervious area. The City Engineer at his/her sole discretion may require a certified storage volume estimate for construction of detention meeting the standards contained in the Urban Runoff Management Plan (Manual) established in Sec 28.02.010 and may accept at his/her sole discretion this amount to be used for detention volume storage requirements. (Ord. No. 40-2008; Ord. No. 27-2009§11; Ord. No. 29-2010§11; Ord. No. 15-2011§2; Ord. No. 29-2012; Ord. No. 48-2013; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30- 2017; Ord. No. 40-2018; Ord. No. 32-2019) Page 37 of 49        171 ORDINANCE NO. 20 Series of 2020 That Section 26.104.070 of the Municipal Code of the City of Aspen, Colorado, which section sets forth land use application fees, is hereby amended to read as follows: This Section of the code sets forth certain fees related to planning and historic preservation as follows, applicable to applications submitted on or after January 1, 2021: Land use review fee deposits may be reduced if, in the opinion of the Community Development Director, the project is expected to take significantly less time to process than the deposit indicates. A determination shall be made during the pre-application conference by the case planner. Hourly billing shall still apply. Sec. 26.104.070. Land Use Application Fees The Community Development Department staff shall keep an accurate record of the actual time required for the processing of each land use application and additional billings shall be made commensurate with the additional costs incurred by the City when the processing of an application by the Community Development Department takes more time than is covered by the deposit. In the event the processing of an application by the Community Development Department takes less time than provided for by the deposit, the Department shall refund the unused portion of the deposited fee. The Community Development Director shall establish appropriate guidelines for the regular issuance of invoices and collection of amounts due. The Community Development Director shall establish appropriate guidelines for the collection of past due invoices, as required, which may include any of the following: 1) assessment of additional late fees for accounts at least 90 days past due in an amount not to exceed 1.75% per month, 2) stopping application processing, 3) reviewing past-due accounts with City Council, 4) withholding the issuance of a Development Order, 5) withholding the recordation of development documents, 6) prohibiting the acceptance of building permits for the subject property, 7) ceasing building permit processing, 8) revoking an issued building permit, 9) implementing other penalties, assessments, fines, or actions as may be assigned by the Municipal Court Judge. Flat fees for the processing of applications shall be cumulative. Applications for more than one land use review requiring an hourly deposit on planning time shall require submission of the larger deposit amount. The Community Development Director shall bill applicants for any incidental costs of reviewing an application at direct costs, with no administrative or processing charge. Planning Review: Deposit and Billing Administration Page 38 of 49        172 ORDINANCE NO. 20 Series of 2020 Review fees for projects requiring conceptual or project review, final or detail review, and recordation of approval documents. Unless otherwise combined by the Director for simplicity of billing, all applications for conceptual/project, final/detail, and recordation of approval documents shall be handled as individual cases for the purposes of billing. Upon conceptual/project approval all billing shall be reconciled, and all past due invoices shall be paid prior to the Director accepting an application for final/detail review. Final/detail review shall require a new deposit at the rate in effect at the time of final application submission. Upon final/detail approval, all billing shall again be reconciled prior to the Director accepting an application for review of recordation documents. Notwithstanding the planning review fee schedule, the Community Development Director shall waive planning review fees for General Fund Departments of the City of Aspen consistent with City policy. Notwithstanding the planning review fee schedule, City Council may authorize a reduction or waiver of planning review fees as deemed appropriate. Fee Waivers for Non-Profit Organizations Applications submitted for Land Use/Historic Preservation reviews by nonprofit organizations, (as determined by their 501(c)3 status and those organizations that do not have a tax base) are eligible to have planning review fees waived based on the following schedule: Free Free Applications submitted for new projects that are 100 percent affordable housing are eligible for a 100 percent fee waiver of Planning Review fees. Free Services Pre-Application / Pre-Permit Meetings Call-in / Walk-in Development Questions GMQS – SF or Dx on Historic Landmark Historic Designation Free Free Free Free Historic Preservation – Exempt Development Historic Preservation – Minor Amendment, HPO Review Total Fees < $2,500 Total Fees $2,500 - $10,000 Fee waivers shall not exceed a combined value of $6,250 for a single project per organization over a twelve consecutive month period. Notwithstanding the planning review fee schedule, City Council may authorize a reduction or waiver of planning review fees as deemed appropriate. 100% Waiver 50% Waiver Fee Waivers for Affordable Housing Projects Page 39 of 49        173 ORDINANCE NO. 20 Series of 2020 Historic Preservation – Minor Amendment, Monitor Review Development Order Publication Fee First Residential Design Compliance Review Free Free Free GMQS – SF or Dx Replacement, Cash-in-Lieu GMQS – SF or Dx Replacement, Admin. GMQS – Change-in-Use for Historic Landmark $325.00 $325.00 $325.00 Applicant meetings with a Planner to discuss prospective planning applications or prospective building permit applications are a free service and staff time is not charged to the applicant. However, this service is limited to the time reasonably necessary for understanding a project's requirements, review procedures, City regulations, etc. An applicant shall be billed for any pre- application or pre-permit staff time significantly in excess of that which is reasonably necessary. Billing will be at the Planning hourly billing rate. The applicant will be notified prior to any billing for pre-application or pre-permit service. Planning Review – Administrative, Flat Fees GMQS – Temporary Food Vending Code Interpretation – Formal Issuance Historic Preservation – Certification of No Negative Effect Temporary Use – Admin. $81.00 $81.00 $81.00 $163.00 GMQS – Minor Enlargement for Historic Landmark GMQS – Alley Store GMQS – Exemption from MF Housing Replacement Residential Design Compliance Review (after 1st free review) Residential Design Variance, Admin. GMQS – Minor Enlargement, Non-Historic $325.00 $325.00 $325.00 $163.00 $325.00 $650.00 Planning Review – Administrative, Hourly Fees If review process takes less time than the number of hours listed below, refunds will be made to applicants for unused hours purchased within initial deposits. Free Services (continued) Page 40 of 49        174 ORDINANCE NO. 20 Series of 2020 Administrative wireless telecommunication review $975.00 (3-hour deposit) $1,300.00 (4-hour deposit)Admin. Condominium or Special Review Admin. ESA or ESA Exemption Additional Hours – If necessary (per hour) $325.00 Review of Administrative Subdivisions, Condominium Plats, or Amendments (Includes City Attorney and other referral departments’ time at same hourly rate; City Engineer review time billed at rate specified below) $650.00 (2-hour deposit) Recordation Documents Review - Subdivision plats, Subdivision exemption plats (except condominiums), PD plans, development agreements, subdivision agreements, PD agreements, or amendments to recorded documents (Includes City Attorney and other referral departments’ time at same hourly rate; City Engineer review time billed at rate specified below) $975.00 (3-hour deposit) Referral Agency Fees: Administrative, If Applicable $325.00 $325.00 $650.00 $650.00 City Environmental Health Department, Flat Fee City Parks Department, Flat Fee Hourly Aspen / Pitkin County Housing Authority (billed with Planning Case) Hourly Engineering Review Fee (billed with Planning Case) Growth Management (includes AH certification), Conditional Use Special Review (includes ADU @ P&Z), Environmentally Sensitive Area Review, Residential Design Variance – P&Z Minor Subdivision – Lot Split, Historical Lot Split $3,250.00 (10-hour deposit) $4,690.00 PD Amendment – P&Z Only SPA Amendment, P&Z Only Commercial Design Review, Conceptual or Final Growth Management, Major P&Z or City Council Subdivision “Other” Review – City Council Only Additional Hours – If necessary (per hour) $325.00 Planning Review: One-Step Hourly Fee Historic Preservation – Minor Development Historic Preservation – Major Development up to $1,300.00 (4-hour deposit) $1,950.00 (6-hour deposit)Historic Preservation – Major Development over 1,000 sq. ft. Page 41 of 49        175 ORDINANCE NO. 20 Series of 2020 Referral Agency Fees: One-Step Review, If Applicable Hourly Engineering Review Fee (billed with Planning Case)$325.00 $325.00 $975.00 $975.00 Hourly Aspen / Pitkin County Housing Authority (billed with Planning Case) City Parks Department, Flat Fee City Environmental Health Department, Flat Fee Hourly Aspen / Pitkin County Housing Authority (billed with Planning Case) City Parks Department, Flat Fee City Environmental Health Department, Flat Fee $1,300.00 $1,300.00 $325.00 $325.00 Planning Review: Two-Step Hourly Fee $7,800.00 (24-hour deposit)Major Subdivision Review Land Use Code Amendment Additional Hours – If necessary (per hour) $325.00 Referral Agency Fees: Two-Step Review, If Applicable Hourly Engineering Review Fee Planning Review: Public Project Review or Joint Applicant Applications for the City's Public Project process shall be assessed land use review fees and/or a portion of joint planning costs as determined appropriate by City Council. If no such determination is made, the application shall be billed as a PD. Planning Review: Other Hourly fee for any additional plan review for which no other specific fee has been established $325.00 Hourly Engineering Review Fee (billed with Planning Case) Hourly Aspen / Pitkin County Housing Authority (billed with Planning Case) $325.00 $325.00 $1,625.00 $1,625.00 City Parks Department, Flat Fee City Environmental Health Department, Flat Fee Planning Review: PD Hourly Fee Planned Development or PD Substantial Amendment Additional Hours – If necessary (per hour) $10,400.00 (32-hour deposit) $325.00 Referral Agency Fees: PD Reviews, If Applicable Page 42 of 49        176 ORDINANCE NO. 20 Series of 2020 This Section of the code sets forth certain fees related to zoning as follows, applicable to applications submitted on or after January 1, 2021: That Section 26.104.072 of the Municipal Code of the City of Aspen, Colorado, which section sets forth zoning review fees, is hereby amended to read as follows: Sec. 26.104.072. Zoning Review fees Zoning review fees shall apply to all development requiring a building permit and all development not requiring a building permit, but which requires review by the Community Development Department. The fee covers the Zoning Officer's review of a permit, including any correspondence with the case planner, Historic Preservation Officer, the Department’s Deputy Director or Director, or other City staff. A permit or a change order to a permit that requires a floor area, height, net leasable, or net livable measurement by the Zoning Officer shall be considered a Major permit. Official confirmation of existing conditions of a property that requires measurement of floor area, height, net leasable area, or net livable area of a structure, prior to demolition or for other purposes also shall be considered a Major permit. All other permits are considered minor permits. For the purposes of zoning fees, the square footage used to calculate the fee shall be the greater of the gross square footage affected by the permit or the gross square footage that must be measured to review the permit. All change orders to a permit require additional fees. For projects with multiple uses, the zoning review fee for each individual use shall be calculated based on the gross square footage of the use and added to determine the total project fee. Zoning review fees for major permits for properties within a Planned Development shall be 125% of the fee schedule. (Ord. No. 57-2000, §9; Ord. No. 47-2002, §8; Ord. No. 63-2003, §4; Ord. No. 38-2004, §7; Ord. No. 49-2005, §9; Ord. No. 48, 2006, §13; Ord. 52-2007; Ord. No.4 - 2011, §2; Ord. No. 29-2012; Ord. No. 36-2014; Ord. No. 43-2015; Ord. No. 36-2016; Ord. No. 30-2017; Ord. No. 40-2018; Ord. No. 32-2019) Zoning referral fees - for official zoning comments on a planning application - shall be according to the fees policy for planning review. Page 43 of 49        177 ORDINANCE NO. 20 Series of 2020 Special Services – Zoning Review $325.00 Hourly Zoning Review Fee Expedited Zoning Review Fee – services subject to authorization by Community Development Director and subject to department workload, staffing and effects on other projects Double applicable zoning review fee Minor Zoning Fee Notwithstanding the zoning review fee schedule, the Community Development Director shall waive zoning review fees for General Fund Departments of the City of Aspen consistent with City policy. Notwithstanding the zoning review fee schedule, City Council may authorize a reduction or waiver of zoning review fees as deemed appropriate. Fees Due at Permit Submittal 50% of Zoning Permit FeeZoning Permit Fee of $500 or More FreeVacation Rental Permit – Zoning (other fees may be required by City Finance) Special Review or Inspection Hourly Fee – Zoning (when no fee is otherwise established, 1 hour minimum) $325.00 Included in Zoning Review FeeCertificate of Occupancy or Final Inspection Fee – Zoning Major Zoning Fee Change Order Fees: For changes not requiring a new measurement of floor area, height, net leasable, or net livable space Change Order Fees: For changes requiring a new measurement of floor area, height, net leasable, or net livable space Change orders for projects within a PD shall be assessed 125% of the fee schedule. Applicant meetings with the Zoning Officer to discuss prospective planning applications or prospective building permit applications are a free service and staff time is not charged to the applicant. However, this service is limited to the time reasonably necessary for understanding a project's requirements, review procedures, City regulations, etc. An applicant shall be billed for any pre-application or pre-permit staff time significantly in excess of that which is reasonably necessary. Billing will be at the Zoning hourly billing rate. The applicant will be notified prior to any billing for pre-application or pre-permit service. Business License Approval – Zoning (other fees may be required by City Finance)Free Page 44 of 49        178 ORDINANCE NO. 20 Series of 2020 - Projects Over $5,000 in total valuation: $244.00 $325.00 Major fee according to specified land useMajor Zoning Fee – requires measurement or confirmation of existing conditions Over 5,000 square feet 2,501 to 5,000 square feet Demolition Zoning Review Fees 501 to 2,500 square feet Minor Zoning Fee – does not require measurement or confirmation of existing conditions Up to 500 square feet $65.00 $163.00 501 to 2,500 square feet 2,501 to 5,000 square feet Over 5,000 square feet Applies to single-family, duplex, accessory dwelling units, carriage houses, multi-family, and residential units in a mixed-use building. Exterior Repair Zoning Review Fees Applies to residential, commercial, lodging, arts/cultural/civic, or institutional exterior repair work requiring a building permit or review by the Historic Preservation Officer. Based on wall area or roof area being repaired. (Excludes signs and awnings.) $33.00 $65.00 $163.00 $325.00 Up to 500 square feet (minimum $325.00) 501 to 2,500 square feet 2,501 to 5,000 square feet Over 5,000 square feet $1.30 / SF $1.40 / SF $1.55 / SF $1.70 / SF Major residential permits within a PD shall be 125% of the above fee schedule. Over 5,000 square feet $325.00 $650.00 $975.00 $1,300.00 Major Zoning Fee – New Development, Major Remodel, Demolition with Confirmation, Major Change Order Minor Zoning Fee - Existing Development, Minor Remodel, or Minor Change Order - Projects up to $5,000 in total valuation $33.00 Up to 500 square feet 501 to 2,500 square feet 2,501 to 5,000 square feet Residential Zoning Review Fees Up to 500 square feet Page 45 of 49        179 ORDINANCE NO. 20 Series of 2020 - Projects Over $5,000 in total valuation: Minor Zoning Fee - Existing Development, Minor Remodel, or Minor Change Order Lodging Zoning Review Fees - Projects up to $5,000 in total valuation $33.00 $325.00 $650.00 Major lodging permits within a PD shall be 125% of the above fee schedule. Over 5,000 square feet $975.00 $1,300.00 Over 5,000 square feet 2,501 to 5,000 square feet 501 to 2,500 square feet Up to 500 square feet Up to 5,000 square feet (minimum $325.00) $0.51 / SF $0.62 / SF Major Zoning Fee – New Development, Major Remodel, Demolition with Confirmation, Major Change Order Up to 500 square feet 501 to 2,500 square feet 2,501 to 5,000 square feet Over 5,000 square feet $1,300.00 $975.00 $650.00 $325.00 Major commercial permits within a PD shall be 125% of the above fee schedule. Major Zoning Fee – New Development, Major Remodel, Demolition with Confirmation, Major Change Order Up to 500 square feet (minimum $325.00) 501 to 2,500 square feet 2,501 to 5,000 square feet Over 5,000 square feet $1.30 / SF $1.40 / SF $1.55 / SF $1.70 / SF - Projects Over $5,000 in total valuation: - Projects up to $5,000 in total valuation $33.00 Commercial Zoning Review Fees Applies to commercial projects and commercial portions of a mixed-use project Minor Zoning Fee - Existing Development, Minor Remodel, or Minor Change Order Page 46 of 49        180 ORDINANCE NO. 20 Series of 2020 - Projects Over $5,000 in total valuation: Outdoor Merchandising on Public Property All Other Uses Single Family and Duplex Residential $65.00 $163.00 Fence– Zoning Review Fee Light Pole Banner Installation Fee (per pole) $20.00 Outdoor merchandise location must be approved by the Zoning Officer. More than 50 SF $163.00 $65.00 Free0 to 4 SF 4 to 50 SF Double Banner Installation Fee Awnings require a Building Permit Individual Banner Installation Fee Refer to Building Permit Fee Schedule $67.00 $165.00 Signs/Awnings/Outdoor Merchandising – Zoning Review Fees Major Arts/Cultural/Civic/Institutional permits within a PD shall be 125% of the above fee schedule. Over 5,000 square feet Up to 5,000 square feet (minimum $325.00) $0.51 / SF $0.62 / SF Sandwich board locations must be approved by Zoning Officer. Sandwich Board Sign License (must be renewed annually) Multiple Sign Permit Fee (per business, unlimited signs) Individual Sign Permit Fee (per sign) $65.00 $163.00 Free Major Zoning Fee – New Development, Major Remodel, Demolition with Confirmation, Major Change Order Over 10,000 square feet 5,001 to 10,000 square feet 1,001 to 5,000 square feet Up to 1,000 square feet $325.00 $650.00 $975.00 $1,300.00 - Projects up to $5,000 in total valuation $33.00 Minor Zoning Fee - Existing Development, Minor Remodel, or Minor Change Order Arts/Cultural/Civic/Institutional Zoning Review Fees Page 47 of 49        181 ORDINANCE NO. 20 Series of 2020 Fees, fines, and penalties by citation for violations of the Land Use Code shall be established by the Municipal Court Judge according to the scope and duration of the offense. Zoning Enforcement Fee may include an assessment for administrative time required by the Zoning Officer to address the violation. Municipal Court Enforcement - Zoning Two Times Zoning Review Fee Four Times Zoning Review Fee Enforcement Fees, Fines, and Penalties No certificate of occupancy or temporary certificate of occupancy shall be issued until all fees have been paid in full. Failure to pay applicable fees is subject to fines, penalties, or assessments as assigned by the Municipal Court Judge. Non-Permitted Work Fee Work done without a zoning approval (when one is required), without a building permit (when one is required), or work done counter to an issued zoning approval is subject to this enforcement fee. Non-permitted work fee is per infraction and per project. Additional hourly fees may be applicable to account for staff time. No other action on the project may occur until non- permitted work issue has been rectified to the satisfaction of the Community Development Director. Any correction requiring a building permit or zoning application shall also be subject to the Correction Order Fees described below. Hourly fee for staff time in excess of one hour Hourly fee for staff time in excess of one hour Eight Times Zoning Review Fee Third Infraction (minimum of $500; subject to additional penalties by citation as assigned by the Municipal Judge) Second Infraction (minimum of $500) First Infraction (minimum of $500) This fee shall apply to any work required to correct a zoning violation or to permit work that has been accomplished without a permit or not covered by an issued permit. Infractions are per project. For any correction requiring a planning review, the planning review fees shall be increased according to the below schedule. First Infraction (minimum of $325) Second Infraction (minimum of $650) Hourly fee for staff time in excess of one hourThird Infraction (minimum of $975) Correction Order Fee Single Family and Duplex Residential All Other Uses $65.00 $163.00 Combined Zoning and Building Review Fee Wildlife Resistant Trash and Recycling Enclosures – Page 48 of 49        182 ORDINANCE NO. 20 Series of 2020 Torre, Mayor ATTEST: Nicole Henning, City Clerk FINALLY adopted, passed and approved this 24th day of November 2020. Torre, Mayor ATTEST: Nicole Henning, City Clerk A public hearing on the ordinance shall be held on the 10th day of November, 2020, in the City Council Chambers, City Hall, Aspen, Colorado. INTRODUCED, READ AND ORDERED PUBLISHED as provided by law by the City Council of the City of Aspen on the 10th day of November, 2020. Page 49 of 49        183 MEMORANDUM TO: Mayor Torre and Aspen City Council FROM: Michelle Bonfils Thibeault, Planner THRU: Phillip Supino, AICP, Community Development Director RE: 700 Ute Avenue, 300 Bldg. at Aspen Alps Extension of Vested Rights MEETING DATE: November 10, 2020 APPLICANT: Aspen Alps Condominiums, 700 Ute Avenue, Aspen, CO REPRESENTATIVE: Alan Richman Planning Services Inc. LOCATION: 700 Ute Avenue, 300 Building Aspen Alps, Aspen, CO 81611 ZONING: Lodge, (L) SUMMARY: The applicant is requesting a two- year extension of vested rights to pursue a building permit for the previously approved 300 Building replacement. Existing vested rights expire December 5, 2020. STAFF RECOMMENDATION: Staff recommends that the City Council approve the request for an extension of vested rights, with an 18-month extension. REQUEST OF THE CITY COUNCIL: The Applicant requests the following approval from the City Council: Extension or Reinstatement of Vested Rights (Section 26.308.010.C) to grant extension of vested rights to replace the 300 Building at the Aspen Alps Condominiums. Previously, PUD Detailed Review was approved by the Planning and Zoning Commission December 5, 2017 with the standard three (3) year term of vested rights. The existing vested rights expire soon, December 5, 2020. The City Council may, by resolution at a public hearing noticed by publication, mailing and posting, an extension or reinstatement of expired vested rights or a revoked development order in accordance with this Section. Figure 1: Vicinity Map 300 Building Aspen Alps N 184 2 | P a g e The City Council can approve, approve with conditions, or deny an application after considering a recommendation by the Community Development Director based on the standards outlined in section 26.308.010.C., Extension or Reinstatement of Vested Rights. BACKGROUND: 700 Ute Avenue, Aspen Alps Condominiums, building 300, is an eight (8) unit condominium structure built in the 1960s located within the Lodge Zone District. The property is located to the east and downhill of the Little Nell run at the base of Aspen Mountain. The structure is distressed from both age and geo-lateral pressures. The applicant has been pursuing replacement of the structure starting with the PUD Project Review approved in 2016 and PUD Detailed Review approved December 5, 2017. Since approval, the applicant has actively pursued steps toward building permit however some professional processes during 2020 have been impacted by changed service schedules related to the coronavirus pandemic. Similarly, change of ownership of several units during the three-year vested rights period impacted project schedule. The applicant requires additional time to properly complete technical reviews of the project drawings prior to final submission for building permit. The applicant is seeking a two-year extension of vested rights pursuant to Section 26.308.010.C, Extension of Vested Rights. 185 3 | P a g e DISCUSSION: Staff Comment: An application requesting an extension of vested rights the City Council shall consider, but not be limited to, the following criteria: a. The applicant’s compliance with any conditions requiring performance prior to the date of application for extension or reinstatement; b. The progress made in pursuing the project to date including the effort to obtain any other permits, including a building permit and the expenditures made by the applicant in pursuing the project; c. The nature and extent of any benefits already received by the City as a result of the project approval such as impact fees or land dedications; d. The needs of the City and the applicant that would be served by the approval of the extension or reinstatement request. The intent of vested rights is to propel approved site-specific development plans toward building permit and completion. Similarly, the intent of vested rights is to dissuade speculative land use applications. Vested property rights (Section 26.308) addresses a property owners’ development order for site specific development plans subject to expiration. The applicant received an approved development order to replace the failing 300 building of the Aspen Alps condominiums December 5, 2017 with a vested rights expiration of December 5, 2020. During the vested rights period, the applicant has demonstrated earnest and continued efforts and financial investment to achieve building permit for the approved 300 Building replacement development order prior to the expiration of the vested rights. Several circumstances such as ownership changes and impacts to professional services during the pandemic have complicated the applicant’s ability to submit for a building permit prior to December 5, 2020. RECOMMENDATION: Community Development staff recommends the City Council approve the request for an extension of vested rights for 18 months (extended to June 5, 2022), as the applicant has demonstrated progress and expenditures pursuing the land use approvals granted in by the City of Aspen Planning & Zoning Commission Resolution 16 of 2017 PUD Detailed Review. Efforts during 2020 to complete the project have been hindered by slowed service conditions caused by the COVID-19 pandemic. Staff believes that 18 months recognizes the challenges to completion of the building permit submittal documents and provides sufficient latitude to the applicant to do so, while also recognizing the importance of development projects meeting community performance expectations and complying with vested rights regulations. PROPOSED MOTION: The resolution is written in the affirmative, approving the request. If the Council supports staff’s recommendation, as suggested below should be used: “I move to approve Resolution No. 097, Series of 2020 providing an 18-month extension of vested rights.” 186 4 | P a g e ATTACHMENTS: Resolution #097, Series of 2020 Exhibit A- Extension of Vested Rights Review Criteria Exhibit B- Application 187 Page 1 of 3 RESOLUTION NO. 097 (SERIES OF 2020) A RESOLUTION OF THE ASPEN CITY COUNCIL APPROVING AN 18 MONTH EXTENSION OF VESTED RIGHTS ASSOCIATED P&Z RESOLUTION NO. 3 (SERIES OF 2016), CITY COUNCIL ORDINANCE NO. 19 (SERIES OF 2016) FOR A PROPERTY LEGALLY DESCRIBED AS BUILDING 300 OF THE ASPEN ALPS SOUTH CONDOMINIUMS, ACCORDING TO THE CONDOMINIUM DECLARATION FOR ASPEN ALPS SOUTH RECORDED DECEMBER 1, 1965 IN BOOK 217 AT PAGE 189, AND THE FIRST SUPPLEMENT RECORDED JANUARY 6, 1969 IN BOOK 238 AT PAGE 804, AND ACCORDING TO THE CONDOMINIUM MAP RECORDED DECEMBER 10, 1965 IN PLAT BOOK 3 AT PAGE 54, AND FIRST SUPPLEMENT RECORDED DECEMBER 10, 1969 IN PLAT BOOK 3 AT PAGE 373, SECOND SUPPLEMENT RECORDED APRIL 14, 2005 UNDER RECEPTION NO. 508992, COUNTY OF PITKIN, STATE OF COLORADO Parcel No. 2737-182-95-001 through 2737-182-95-008 WHEREAS, the Community Development Department received an application from Aspen Alps Condominium Association, owner of 700 Ute Avenue, 300 Building, Aspen, CO 81611 requesting an extension of vested rights pursuant to P&Z Resolution No. 3, Series of 2016 and City Council Ordinance No. 19, Series of 2016; and, WHEREAS, the Applicant has submitted a request to extend the vested rights for the property for a period of 24 months. Current vested rights for the subject property expire on December 5th, 2020; and, WHEREAS, pursuant to Land Use Code Section 26.308.010 Vested Property Rights, City Council may grant a reinstatement or extension of vested rights after a public hearing is held and a resolution is adopted; and, WHEREAS, the Community Development Director has reviewed the application and finds that from the time of the adoption of the subject property’s approval, the Land Use Code has not been amended in such a way that, in its current application, would fundamentally change the 700 Ute Avenue, Building 300 development from its current vested approval; and, WHEREAS, the Community Development Director further finds that the Applicant has made significant expenditures obtaining the land use approvals and has made meaningful progress in pursuit of a building permit by engaging architectural and engineering services; and, WHEREAS, the Community Development Director recommends that an 18-month extension of vested rights is a reasonable timeframe to pur sue building permit submittal; and, WHEREAS, the Aspen City Council has reviewed and considered the extension of vested rights for 700 Ute Avenue, 300 Building under the applicable provisions of the Municipal Code as 188 Page 2 of 3 identified herein, has reviewed and considered the recommendation of the Community Development Director, and has taken and considered public comment at a public hearing; and, WHEREAS, the City Council finds that the extension of vested rights proposal meets all applicable land use standards and that approval of an 18-month extension of vested rights is appropriate; and, WHEREAS, the City Council finds that this Resolution furthers and is necessary for the promotion of public health, safety, and welfare. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF ASPEN, COLORADO, THAT: Section 1: The Aspen City Council does hereby approve an 18-month extension of the vested rights established by P&Z Resolution No. 3, Series 2016 and City Council Ordinance No. 19, Series 2016. The vested rights shall expire on June 5th, 2022. Section 2: All material representations and commitments made by the Applicant pursuant to the development proposal approvals as herein awarded, whether in public hearing or documentation presented before the City Council, are hereby incorporated in such plan development approvals and the same shall be complied with as if fully set forth herein, unless amended by an authorized entity. Section 3: This Resolution shall not affect any existing litigation and shall not operate as an abatement of any action or proceeding now pending under or by virtue of the ordinances repealed or amended as herein provided, and the same shall be conducted and concluded under such prior ordinances. Section 4: If any section, subsection, sentence, clause, phrase, or portion of this Resolution is for any reason held invalid or unconstitutional in a court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and shall not affect the validity of the remaining portions thereof. Section 5: A duly noticed public hearing on this Resolution was held on the 10th day of November 2020 at 5:00 PM in the City Council Chambers, Aspen City Hall, Aspen, Colorado. FINALLY, adopted, passed, and approved by a ___to___ (_-_) vote on this ____ day of _________, 2020. 189 Page 3 of 3 Approved as to form: Approved as to content: __________________________ ______________________________ James R. True, City Attorney Torre, Mayor Attest: _______________________ Nicole Henning, City Clerk 190 1 Exhibit A Extension of Vested Rights Review Criteria Section 26.308.010.C, Extension or reinstatement of vested rights. An application requesting an extension of vested rights the City Council shall consider, but not be limited to, the following criteria: a. The applicant’s compliance with any conditions requiring performance prior to the date of application for extension or reinstatement; b. The progress made in pursuing the project to date including the effort to obtain any other permits, including a building permit and the expenditures made by the applicant in pursuing the project; c. The nature and extent of any benefits already received by the City as a result of the project approval such as impact fees or land dedications; d. The needs of the City and the applicant that would be served by the approval of the extension or reinstatement request. Staff Response: The applicant’s compliance with any conditions requiring performance prior to the date of application for extension or reinstatement; A PUD Project Review application to replace the distressed 1960s building was approved by Aspen City Council in October 2016 pursuant to Ordinance 19, Series of 2016. This application for a new 300 Building structure received PUD Detailed Review approval December 5, 2017 pursuant to P&Z Resolution 16 of 2017. The vested rights associated with that approval expire December 5, 2020 -- three years after the approval date. The City received an easement for the Durant Mine Ditch, reception no. 652479 – meeting a condition of approval in Resolution 16 of 2017. This is the only condition requiring performance prior to the date of application for extension. Staff finds this criterion is met. Staff Response: The progress made in pursuing the project to date including the effort to obtain any other permits, including a building permit and the expenditures made by the applicant in pursuing the project. The applicant is actively pursuing steps toward building permit. The following timeline described progress made to date : • Year One: Completion of an approved plan set, Subdivision/PD Development Agreement, and a recorded easement granting the City of Aspen access to the Durant Mine Ditch. These documents were recorded December 2018. • Year Two: PD – Insubstantial Amendment approved April 2019 • Year Two & Three: Building permit pre -submittal meetings with referral agencies (i.e. Building, Zoning, Engineering, Water, Parks, and Fire) • Year Three: Appraisal for financing project; building permit drawings drafted for City review agencies – all processes slowed due to COVID-19. 191 2 The existing building indicates areas of structural stress . Options were investigated regarding repairing versus replacing the existing building prior to the December 2017 PUD Project Review approval for a new structure. Project expenditures include creation and recordation of the approved plan set in 2018, work related to the Insubstantial Amendment in 2019, and related on- going efforts in 2020 including significant revisions to construction drawings and a required appraisal to secure construction financing . The applicant has stated that $1,265,000 in professional fees and $119,000 in legal fees have been invested in the project to-date. Staff finds this criterion met. Staff Response: The nature and extent of any benefits already received by the City as a result of the project approval such as impact fees or land dedications; A condition of the PUD Project Review, Resolution 16 of 2017 required the Aspen Alps to convey an easement for the Durant Mine Ditch. The documents granting said easement were recorded December 7, 2018, Reception No. 652479. Staff finds this criterion met. Staff Response: The needs of the City and the applicant that would be served by the approval of the extension or reinstatement request. The applicant has been pursuing the replacement of the failing 300 building for over five years. The applicant is in the final efforts of achieving building permit for the project, where the efforts put in during 2020 were stalled as a result of reduced se rvice schedules during the COVID- 19 pandemic. The owner has demonstrated consistent efforts to pursue the land use approvals granted in PUD Detailed Review approval December 5, 2017 pursuant to P&Z Resolution 16 of 2017. The original approvals are to replace a failing building with a new structure design at current building and safety standards. The project was largely on schedule to achieve building permits for a new building by December 5, 2020 however impacts of the pandemic in Spring 2020 have contributed to the project being behind schedule. Typical processes for all aspects of completing the project have changed and become longer due to social distancing and safety measures including basic services such as an appraisal required for financing the project. The applicant is requesting two years (24 months) extension of vested rights. The City will benefits from the required affordable housing mitigation which is required at the time of building permit issuance . The applicant is required to p rovide Affordable Housing Certificates for 4.51 FTEs, as a Category 4 buy-down unit, with any remaining mitigation (the fractional remainder) to be provided via affordable housing certificates. The City further benefits from required infrastructure improvements as a condition of the main building permit issuance. The applicant is required to make landscape, water line and storm drainage improvements to the informal trail (the “Ho Chi Minh Trail”) which already exists be low the 300 Building so that connection to the Aspen Alps is formalized. These infrastructure improvements will be phased as part of the overall construction project. Staff finds that the applicant is actively pursuing the project and required impact fees and infrastructure improvements. 192 3 Staff finds that the applicant has demonstrated continued effort to achieve building permits to complete the approved project. To allow appropriate time for building permit submittal, review and approvals, staff recommends an 18-month extension of vested rights to provide the applicant time to achieve building permits acknowledging the impacts of the pandemic during 2020. Staff finds this criterion is met. 193 194 195 196 197 198 199 200 201 202 203 Holland & Hart LLP Attorneys at Law Phone (970) 925-3476 Fax (970) 925-9367 www.hollandhart.com 600 East Main Street, Suite 104 Aspen, CO 81611-1991 Alaska Colorado Idaho Montana Nevada New Mexico Utah Washington, D.C. Wyoming Thomas J. Todd Phone (970) 925-3476 Fax (970) 925-9367 ttodd@hollandhart.com September 18, 2020 Mr. Ben Anderson, Planner Community Development Department City of Aspen 130 S. Galena Aspen, Colorado 81611 Re: Aspen Alps Condominium Association—Application for Extension of Vested Rights for 300 Building Redevelopment Approval; Aspen Alps Planned Unit Development/Subdivision Dear Ben: Holland & Hart represents the Aspen Alps Condominium Association. I am providing this letter to update and re-confirm the statements contained in my letters to Jessica Garrow of April 28, 2015, August 18, 2017 and February 19, 2018 and to you dated February 21, 2019 relating to the above referenced land use application (the “Application”), the purpose of which has been to seek redevelopment approvals for the 300 Building of the Aspen Alps condominium project and to seek corresponding amendments to the existing planned unit development/subdivision approvals for the Aspen Alps in order to accommodate the redevelopment of the 300 Building. This letter accompanies the Application for an Extension of Vested Rights for the 300 Building redevelopment approvals being submitted by Alan Richman of Alan Richman Planning Services, Inc. Background Information By way of background, the Aspen Alps consists of 77 condominium units originally shown and described in four separate sets of condominium maps and declarations, with four corresponding condominium associations, all of which are governed by one set of non-profit corporate by-laws (the “Aspen Alps By-Laws”) which names Aspen Alps Condominium Association (the “Association”) as the management entity for purposes of administering the condominium property. As described in greater detail below, four of the original 77 mapped condominium units have been combined and/or connected with adjoining condominium units, resulting in a total of 73 actual dwelling units. The four condominium associations, their building numbers and original as well as actual unit counts are described as follows: • Aspen Alps Condominium Association, aka the “original” Aspen Alps (Covers 100 Building; 16 Units) • Aspen Alps West Condominium Association (Covers 200 Building; originally included 17 Units. Two units (units 202 and 211) have been combined/connected, for a current total of 16 Units) 204 September 18, 2020 Page 2 • Aspen Alps South Condominium Association (Covers 300, 400, 500 and 700 Buildings; originally included 35 Units. Two units in the 300 Building (units 302 and 306), two units in the 400 Building (units 404 and 408) and two units in the 700 Building (units 709 and 710) have been combined/connected, for a current total of 32 Units) • Aspen Alps North Condominium (Covers 800 Building; 9 Units) With respect to the four “pairs” of condominiums referenced above that have been combined and/or connected into four (4) larger dwelling units, please note that no condominium maps or declarations were amended to convert these combined/connected units into single units for purposes of property tax assessments or for common expense or Association voting allocations. Based on the foregoing, there are 77 legally defined, described and mapped condominium units in the Aspen Alps that are separately taxed and assessed. The Aspen Alps Condominium Association also manages and has a reciprocal common area amenities use arrangement with the 777 Ute-At-The-Aspen Alps Condominiums, located at 777 Ute Avenue (“777 Ute”), which consists of 8 Units, constructed in 1992. Disclosure of Ownership The Aspen Alps condominium buildings, common elements and non-condominiumized land holdings of the Aspen Alps are hereinafter referred to collectively as the “Project.” The Final Plat of the Aspen Alps Planned Unit Development/Subdivision covering the Project was recorded on April 22, 2015 under Reception No. 619227 at Plat Book 110 at Page 6 and shows the eight (8) platted lots that are included in the Project. The ownership of these Lots is as follows: Lot Number Common Name Owner 1 100 Building Aspen Alps Condominium Association 2 200 Building Aspen Alps West Condominium Association 3 300, 400, 500 Buildings Aspen Alps South Condominium Association 4 700 Building Aspen Alps South Condominium Association 5 800 Building Aspen Alps North Condominium Association 6 Vacant Land, fka Lot 2A Moses Replat Aspen Alps Condominium Association 7 Winter Building, aka Aspen Alps Parking and Affordable Housing Development (fka Lot 2B, Moses Replat) Aspen Alps Condominium Association 205 September 18, 2020 Page 3 8 Vacant Land Aspen Alps Condominium Association Association’s Authority to Apply for this Application The Aspen Alps By-Laws and condominium declarations authorize the Association, acting through its Board of Managers, to exercise broad powers to manage the Property, including the power to act as attorney-in-fact for all unit owners in the event of obsolescence, and to assess and levy special assessments for capital planning efforts as well as for capital repairs and improvements. A supermajority of the 300 Building unit owners continue to authorize and support the Association to pursue the Application on their behalf. (Please refer to the Record of Proceedings accompanying the Homeowners Association Compliance Policy previously included with the Application.) The Board, at a duly called meeting, previously approved the submission of the Application with the City of Aspen to seek redevelopment approvals for the 300 Building and to seek corresponding amendments to the existing Planned Unit Development/Subdivision approvals for the Project. This approval specifically authorized the Association’s corporate officers to engage Alan Richman of Alan Richman Planning Services to, among other things, apply for and pursue the Application. It should be noted that under Colorado law as well as the various Aspen Alps condominium declarations, certain levels of building modifications and redevelopment activities affecting the 300 Building specifically and the Aspen Alps South Condominium generally will be subject to approval by an affirmative, supermajority vote of the unit owners within the 300 Building and/or certain portions of the Aspen Alps South Condominiums. These supermajority approval requirements also apply to amendments to condominium maps or declarations as well as transfers, sales or modifications to general common elements designated as such under the condominium maps and declarations. If and when these conditions exist, before proceeding, the Association will be required to obtain the appropriate voting approvals from those unit owners affected by such a plan or plans. Sincerely, Thomas J. Todd of Holland & Hart LLP cc: Aspen Alps Condominium Association, Inc. 10128746_v4 206 2,257 376.2 Legend 1: WGS_1984_Web_Mercator_Auxiliary_Sphere Feet0376.2188.08 Notes Aspen Alps Vicinity Map THIS MAP IS FOR INFORMATIONAL PURPOSES. Pitkin County GIS makes no warranty or guarantee concerning the completeness, accuracy, or reliability of the content represented. Map Created on 10:44 AM 09/17/20 at http://www.pitkinmapsandmore.com State Highway Road Centerline 4K Primary Road Secondary Road Service Road Full Address Parcel Boundary Rivers and Creeks Continuous Intermittent River, Lake or Pond Town Boundary Federal Land Boundary BLM State of Colorado USFS 207 208 209 210 211 212 213 214 215 216 217 218 219 220 221 222 223 224 225 226 227 228 229 230 231 232 233 234 235 236 237 238 MEMORANDUM TO:Aspen City Council FROM:CJ Oliver, Environmental Health and Sustainability Director THROUGH:Jim True, City Attorney MEETING DATE:November 10th, 2020 RE:IGA with Aspen School District Regarding Tobacco Tax Funds REQUEST OF COUNCIL: Staff is presenting an IGA (Attachment A) to allocate a portion of the sales tax revenues from the City of Aspen’s tobacco tax to the Aspen School District and Aspen Family Connections to help youth-based prevention efforts as directed by Aspen City Council. Staff is requesting Council approval of this IGA so distribution of these funds can begin in 2020. SUMMARY: Beginning in 2018, the City of Aspen has collected a 40% sales tax on non- cigarette tobacco and nicotine products and a $3 (+.10/year) per pack tax on cigarettes. During its first year (2018), the City collected $436,622 from this tax. Ballot language to initiate the tax in 2017 set parameters that the money could only be spent on financing health and human services, tobacco related health issues, and addiction and substance abuse education and mitigation. Staff created a plan wherein these funds would be spent in the coming years on a partnership with the Aspen School District to address identified gaps in community wide services geared towards universal prevention services. This plan came about after numerous local organizations, who are experts and interested in public health topics, identified that there is currently very little work being done directly with youth in the schools and other settings to prevent the use of tobacco and particularly vaping products. This gap in services is especially impactful because vaping products have become a significant health and safety issue for students in the Aspen School District according to recent statewide survey data. Because of this information staff worked with the Aspen School District and other key stakeholders to find ways to enhance programs that will address substance use and mental health with a focus on prevention and use the tax funds to be as impactful as possible in the community. BACKGROUND: Prior to creating the spending plan, staff worked with interested parties including the Aspen School District, Pitkin County, Aspen Youth Center, Buddy Program, Kids First and others to better understand the needs in the community around tobacco and substance use as well as mental health. During these planning sessions it was clear that the two key themes that should be a priority in the Aspen community were: A focus on youth programming in the schools and community An emphasis on prevention 239 It was the City of Aspen’s intent not to initiate any new programs within the organization with the funds collected from the local tobacco tax but rather to use the new money to enhance existing programs to be able to make a greater impact on the areas specified in the ballot language. After working with numerous stakeholders, the City identified the Aspen School District as the best existing partner to conduct this work/ use these funds. Due to their extensive opportunities for contact with youth and their families, the City has focused conversations with the Aspen School District about the funding and asked them to put together a plan for how to create maximum impact for youth nicotine and substance use and mental health. DISCUSSION: The flow chart which is attached as Attachment B shows the continuum of services from universal prevention down to crisis intervention and treatment in Pitkin County. The additional funding that the tobacco tax will provide presents a much-needed opportunity to focus efforts on enhancing the top of the flow chart with better prevention services, resources and activities. Work done in the top section of the continuum can go far in alleviating pressures at the bottom of the continuum and begin to shift the need for service away from reactive interventions. Making this type of shift can be challenging without an opportunity like the one presented by the tobacco tax funds. There is a consistent need for services at the bottom end of the continuum so moving time and resources away is often not an option. However, these additional funds present an opportunity to enhance the top of this chart without negatively impacting the services provided at the bottom. The Aspen School District, in conjunction with Aspen Family Connections (AFC) has prepared a plan (Attachment C) to address the key areas identified in the ballot language throughout the Aspen community in a way that focuses on youth and prevention in a wholistic manner. The scope ranges from teaching young people key life skills and educating them on the dangers of substance use to teaching parents the skills that will help them to effectively navigate parenting a child through a maze endless temptations and risky situations they may face. In addition, there is a component that will create a youth advisory group which was a key deficit identified for the Aspen community and is a best practice across the country. This will empower youth with a voice on these important topics and facilitate peer to peer interactions and messaging which is shown to be an effective means of behavior change, often much more so than that which comes from adult and parent sources alone. The plan is designed with inclusion and equity in mind to help ensure that these services and programs are available to all who can use them in our area. The plan focuses on the Aspen School District but is also available to those involved in home school settings as well as informal childcare arrangements. Information to assess the effectiveness of these programs will be available through the recurring school-based survey system which provides data on attitudes and use patterns for nicotine and other substances. This is a statewide survey that is conducted every two years. The combination of additional staff time and funding for prevention services, represents a path forward that adheres to the principals of the tobacco tax ballot language and stands to make significant impact over the course of time. 240 NEXT STEPS: If Aspen City Council and the Aspen School District approve the proposed Intergovernmental Agreement, staff will initiate the distribution of tobacco tax funds as described in the IGA to the Aspen School District. Following the approval of an IGA, the provision of initial services would ideally begin in the late Fall/Winter of 2020. . FINANCIAL/BUDGET IMPACTS: The City has a 2018 tobacco tax fund balance of $436,662 and a 2019 balance of 402,9867 which needs to be used for financing health and human services, tobacco related health issues, and addiction and substance abuse education and mitigation per voter approval. The overall cost for the schools-based program outlined above is up to $250,000 per year. The additional funds (beyond $250,000 per year) will be directed towards adult mental health service as directed by council at the August 2019 work session. These expenditures would be a general fund expense. ATTACHMENTS: Exhibit A- Propose Intergovernmental Agreement Between the City of Aspen and the Aspen School District Exhibit B- Pitkin County Continuum of Support, Resource Sharing and Collaborative Work for At-Risk Youth and Families. Attachment C- Operation Plan Created by the Aspen School District and Aspen Family Connections 241 RESOLUTION NO. 99 (Series of 2020) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, APPROVING AN INTERGOVERNMENTAL AGREEMENT BETWEEN THE CITY OF ASPEN AND THE ASPEN SCHOOL DISTRICT TO ALLOCATE A PORTION OF THE SALES TAX REVENUES FROM THE CITY OF ASPEN’S TOBACCO TAX TO THE ASPEN SCHOOL DISTRICT AND ASPEN FAMILY CONNECTIONS. WHEREAS, beginning in 2018, the City of Aspen has collected a 40% sales tax on non-cigarette tobacco and nicotine products and a $3 (+.10/year) per pack tax on cigarettes. During its first year (2018), the City collected $436,622 from this tax; and WHEREAS, ballot language to initiate the tax in 2017 set parameters that the money could only be spent on financing health and human services, tobacco related health issues, and addiction and substance abuse education and mitigation; and WHEREAS, the Aspen School District, in conjunction with Aspen Family Connections has prepared a plan to address the key areas identified in the ballot language throughout the Aspen community in a way that focuses on youth and prevention in a wholistic manner; and WHEREAS, the Intergovernmental Agreement submitted herewith will allow the Aspen School District, in conjunction with Aspen Family Connections, to execute the proposed plans consistent with the ballot language adopted by the electorate. 242 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, THAT: The City Council of the City of Aspen hereby approves Intergovernmental Agreement between the City of Aspen and the Aspen School District attached hereto, and incorporated herein by this reference, to allocate a portion of the sales tax revenues from the City of Aspen’s tobacco tax to the Aspen School District and Aspen Family Connections, and the Mayor is hereby authorized to execute such Intergovernmental Agreement. INTRODUCED, READ AND ADOPTED by the City Council of the City of Aspen on the 10th day of November 2020. ________ Torre, Mayor I, Nicole Henning, duly appointed and acting City Clerk do certify that the foregoing is a true and accurate copy of that resolution adopted by the City Council of the City ofAspen, Colorado, at a meeting held on the day hereinabove stated. __________ Nicole Henning, City Clerk 243 INTERGOVERNMENTAL AGREEMENT BETWEEN THE CITY OF ASPEN AND THE ASPEN SCHOOL DISTRICT REGARDING THE USE OF CITY OF ASPEN’S TOBACCO AND NICOTINE PRODUCT SALES TAX REVENUE This Agreement is entered into effective as of the ____ day of ______________, 2020, by and between the City of Aspen, Colorado, a body corporate and politic organized under and existing by virtue of the laws of the State of Colorado, (hereinafter referred to as "City,") and the Aspen School District No. 1 (RE), Pitkin County, Colorado, a political subdivision of the State of Colorado organized under and existing by virtue of the laws of the State of Colorado, (hereinafter referred to as "School District.") WITNESSETH WHEREAS, Article XIV, Section 18(2)(a) of the Colorado Constitution supports the cooperation or contracting by or among any of its political subdivisions to provide any function, service or facility lawfully authorized to each of the cooperating or contracting units, including without limitation, the sharing of costs, the imposition of taxes, or the incurring of debt; and WHEREAS, C.R.S. Sections 29-1-201 and 203 permit and encourage government entities to make the most efficient and effective use of their powers and responsibilities by cooperating and contracting with other governmental entities to provide any function, service, or facility lawfully authorized to each, including the sharing of costs; and WHEREAS, C.R.S. Section 29-1-202(2) defines political subdivisions to include cities and school districts; and WHEREAS, C.R.S. Section 22-32-122 grants to school districts the power to contract with a city for the performance of any service, activity, or undertaking which any school district may be authorized by law to perform or undertake; and WHEREAS, Article XI, Section 7 of the Colorado Constitution provides that no provision of said Constitution shall be construed to prevent the State or any political subdivision from giving direct or indirect financial support to any political subdivision as may be authorized by general statutes; and WHEREAS, Article XII of the Charter of the City authorizes the City Council to levy and impose taxes and to spend general funds for municipal purposes, provided that any new sales tax or increase in the rate of any existing sales tax has been approved by the qualified electors of the City at a regular or special election; and WHEREAS, it is within the legislative discretion of the City Council to determine that providing financial assistance to the School District is a municipal or public purpose; and 244 2 WHEREAS, pursuant to Resolution #122, Series of 2017, the City of Aspen placed before its voters a question authorizing the imposition and collection of taxes on the sale of tobacco and nicotine products for the “specific purposes of financing health and human services, tobacco related health issues, and addiction and substance abuse education and mitigation”, (“Sales Tax”); and WHEREAS, pursuant to Resolution #94, Series of 2019, the City of Aspen placed before its voters a question authorizing the retention of the taxes collected in excess of the original estimates provided in Resolution #122, Series of 2017. Such proposition for the retention of such funds was adopted by the voters on November 5, 2019; and WHEREAS, the existence of quality educational programs benefits not only the school children who live here, but also improves the quality of life in Aspen; and WHEREAS, the City Council has made a legislative determination, as ratified by the citizens in the November 7, 2017 election, that imposing a tax and distributing that tax for the purposes set forth in Resolution #122, Series of 2017, is a valid municipal purpose; and WHEREAS, the City Council has also determined and the voters have approved the collection of such sales tax by the City and that it is appropriate and desirable to disburse a portion of the funds generated by the sales tax for the purposes, as described in the plans attached hereto as Exhibit “A”; and WHEREAS, this Agreement is intended to formalize the arrangement between the City and the School District for the payment and utilization of the funds derived from the sales tax approved by the electors on November 7, 2017 and reaffirmed by the electors on November 5, 2019. NOW, THEREFORE, in consideration of the mutual promises set forth herein, and pursuant to the authority contained in Article XIV, Section 18(2)(a) of the Constitution of the State of Colorado, it is agreed by and between the City and the School District as follows: SECTION 1. USE OF TAX INCREASE PROCEEDS The City shall pay to the School District funds from the Sales Tax to be used by the School District to cover costs of the programs, to be coordinated and delivered by its family resource center, Aspen Family Connections, outlined in Exhibit “A”. The funds paid to the School District from the Sales Taxes collected for this program shall not exceed $250,000.00 for any one year unless otherwise modified in writing by the parties. SECTION 2. TERM This Agreement shall commence effective as of September 1, 2020 and terminate three (3) years thereafter on September 1, 2023, following the August 2023 monthly payment, unless further extended by the parties. 245 3 SECTION 3. PAYMENT OF TAX a. Commencing on September 1, 2020, the City, on a monthly basis, shall pay over to the School District the amount of $20,833.00 less the Administrative Fee set forth in Section 3.b., below. The monies paid over to the School District shall be deposited in an interest-bearing account or accounts to be maintained by the School District for use in the programs outlined in Exhibit “A”. The City shall be obligated to pay over to the School District only revenue actually collected but not to exceed $250,000.00 in any one year. The City shall make reasonable efforts to collect all outstanding sales taxes owing to the City. b. The City will deduct from the revenue collected and to be disbursed to the School District an Administrative Fee (“Fee”) equal to two percent (2.0%) of the payment. The Fee is intended to include, without limitation, all ongoing costs related to revenue collection efforts, a share of billing and mailing costs and a share of accounting, collection costs, vendors fee and additional auditing efforts. SECTION 4. INDEMNIFICATION To the extent permitted by law, the City and the School District shall each indemnify and hold the other, and their respective officers, employees, and agents, harmless from claims related to the receipt or expenditure of the Sales Taxes that are the subject of this Agreement. SECTION 5. AMENDMENT This Agreement may be amended only by the mutual agreement of the parties and shall be evidenced by a written instrument authorized and executed with the same formality as this Agreement. SECTON 6. NOTICE If notice, including any documents, is required to be delivered to the City or the Fund by the other party, notice, or delivery of any documents, shall be deemed completed upon delivery of the notice or document to the following: If to the City: Copies to the City Manager, the City Attorney, and the City Finance Director by hand delivering the notice and/or document to their respective offices located at: 130 So. Galena, Aspen, Colorado 81611 246 4 If to the School District: Notices and documents should be hand delivered to Dr. David Baugh, Superintendent __ at: 0235 High School Road, Aspen, CO 81611 With a copy mailed by US Mail to the attorneys for the School District: Richard E. Bump Caplan and Earnest LLC 3107 Iris Avenue, Suite 100 Boulder, CO 80301 SECTION 7. DISPUTE RESOLUTION If the City, by and through the City Council, and after receiving reports from the City Manager, City Attorney, or Finance Director, concludes in its sole discretion that there are significant irregularities in any financial reporting, including financial statements or audits, or that the School District is deviating from the use of the Sales Tax proceeds as approved pursuant to this Agreement, the City may, after Notice to the School District with a written statement of the alleged deviation and all supporting documentation, and the expiration of ten (10) days during which time the School District has not corrected such irregularity or deviation, unilaterally withhold payments to the School District of the Sales Tax revenue collected until such time as the City and the School District have resolved any issues as to any such irregularities or deviations. Such withholding shall be in an amount reasonably necessary to correct such irregularity or deviation. In the event the City notifies the School District of any perceived irregularities or deviations, the parties agree to submit any and all disagreements as to the operation of the School District to Mediation. A qualified mediator shall be selected jointly by the Parties. In the event of such mediation, all costs of the mediation shall be paid from the administrative fee retained by the City and described in paragraph 3(b), above. SECTION 8. SEVERABILITY If any section, paragraph, subparagraph, phrase, sentence, or portion of this Agreement is for any reason held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a separate, distinct, and independent provision, and such holding shall not affect the validity of the remaining portions of this Agreement. IN WITNESS WHEREOF, the parties hereto have executed this Agreement to be in full force and effect the day and year first above written. APPROVED BY THE CITY COUNCIL OF THE CITY OF ASPEN, this ____ day of _______________, 2020. _____________________________________ Torre, Mayor, City of Aspen 247 5 ATTEST: _____________________________________ Nicole Henning, City Clerk APPROVED BY THE BOARD OF EDUCATION OF THE ASPEN SCHOOL DISTRICT NO. 1 (RE), PITKIN COUNTY, COLORADO, this _____ day of ________________, 2020. _________________________________ Susan Marolt, President Board of Education ATTEST: _____________________________________ Jonathan Nickell, Secretary Board of Education 4851-9770-4392, v. 2 248 PITKIN COUNTY CONTINUUM OF SUPPORT, RESOURCE-SHARING AND COLLABORATIVE WORK FOR AT-RISK YOUTH AND FAMILIES UNIVERSAL PREVENTION SERVICES, RESOURCES AND ACTIVITIES •School-based supports, social/emotional curriculums, counseling, school-based health center and substance abuse prevention activity •Community based programs provided by partner organizations such as The Buddy Program, Response, Aspen Youth Center, Aspen Recreation Department, and many others •Family/parenting prevention/support programs including AFC's program of parenting education and support, KidsFirst programs, Family Visitor support for new families etc. ASPEN FAMILY CONNECTIONS (AFC) AND FAMILY RESOURCE CENTER OF RFSD CMP Services for referred families •Family meetings and Individualized Service and Support teams •Case management •Colorado Community Response (CCR) •Connection/referral to a wide range of community resources and providers focused on youth and needs and goals, funding support DEPARTMENT OF HUMAN SERVICES Services for referred families: •Case management •PA3 Prevention •Core Services providing funding and referral to providers •CMP Family Engagement Meetings (individualized service and support teams for families. •Economic Services •Therapeutic, parenting support, life skills and substance services JUVENILE JUSTICE/YOUTHZONE Services for referred families •Diversion/deferred sentencing •SB 94 Services and Assessment Meetings (SAMS) for which delinquent youth are screened in as eligible. Standing team meets monthly or as needed •Case Management and SB94 funding support COLLABORATIVE MANAGEMENT PROGRAM (CMP) MULTI-AGENCY FAMILY MEETINGS AND PROGRAMS OVERSEEN BY THE PITKIN COUNTY INTER-AGENCY OVERSIGHT GROUP (IOG) REFERRAL PATHWAY Child Welfare referral: 1-844-264-5437 Prevention referral: (970)-429-6122 MORE INTENSIVE SCHOOL-BASED INTERVENTION AND SERVICES •Wide range of Special Education support services •Programs and groups to support at-risk children, prevent truancy, provide academic support, substance abuse counseling etc. •Referrals for mental health concerns to school-based counselors and therapists and outside providers REFERRAL PATHWAY AFC: (970) 205 7025 and via schools/partners/community REFERRAL PATHWAY Via law enforcement/judicial process 249 PITKIN COUNTY IOG PARTNERS IN THE COLLABORATIVE MANAGEMENT PROGRAM (CMP) •Pitkin County Department of Health and Human Services •9th Judicial District •9th Judicial District Department of Probation •Colorado Department of Youth Services •Aspen School District •Roaring Fork School District •Pitkin County Department of Public Health •Mind Springs Health •RESPONSE •The Buddy Program •Kids First •YouthZone •S.B.94 •Mountain Family Health Centers •Aspen Police Department GLOSSARY OF KEY TERMS CMP: The Collaborative Management Program is a State-funded, collective community approach to serving children/youth with complex needs through a tailored integrated approach and with child, youth and family engagement in planning, services and solutions. SB 94: is a statewide grant initiative that provides alternatives to detention for youth, ages 10 to 17, involved in the juvenile ju stice system PA3: Program Area 3 allows the Department of Human Services to provide preventative services to prevent abuse/neglect or alleviate the need for involvement/further involvement in the Child Welfare system. IOG: Interagency Oversight Group consists of all the agency partners (listed above) that oversee the CMP P rogram. 250 251 The Aspen School District/Aspen Family Connection Prevention Program Executive Summary: An opportunity to invest a part of the City of Aspen Tobacco Tax revenues in the development and promotion of a targeted, prevention-oriented approach to substance use and mental health concerns in families and children in the Aspen community; the Program to be based on a common understanding of risk and protective factors. Risk and Protective factors Many factors influence a person’s chance of developing a mental and/or substance use disorder. Effective prevention focuses on reducing those risk factors, and strengthening protective factors, and resilience in relation to the problems being addressed. ●Risk factors are characteristics at the biological, psychological, family, community, or cultural level that precede and are associated with a higher likelihood of negative outcomes. ●Protective factors are characteristics associated with a lower likelihood of negative outcomes or that reduce a risk factor’s impact. Protective factors may be seen as positive countering events. ●Some risk and protective factors are fixed over time, others are considered variable. Variable risk factors include income level, peer group, adverse childhood experiences (ACEs), and employment status. Individual-level risk factors may include a person’s genetic predisposition to addiction or exposure to alcohol prenatally. Individual-level protective factors might include positive self-image, self-control, or social competency The underlying values of the ASD/AFC Prevention Program ●Innovation ●Collaboration ●Excellence ●Tenacity for growth ●Equity ●Accountability 252 Key elements of the Prevention Program ●An integrated and inclusive vision for prevention activities in Aspen, focusing on our key area of influence: family, school, peers and community ●Universal projects that impact the general population - (e.g. families with preschool children) as well as groups with recognized or high risks of substance use (e.g. middle/high schoolers) ●Responsive to the voices of community residents ●Collaborative: taking activities into the community and using the power of our collaborative partnerships ●Communicate and promote shared values around prevention for children, youth and families in creating positive long-term impacts on substance use, mental health and other risk factors and behaviors ●Build skills, competencies and cohesion in children, youth and families ●Start early - support our youngest families ●Maximizing our community’s existing resources, collaborating to build capacity and effectiveness, and address gaps in the provision of services and other resources ●Based on proven practices within systems that work and the Substance Abuse and Mental Health Services Administration (SAMHSA) Strategic Prevention Framework ●Uses all available data relating to youth and substances (School Based Data and Healthy Kids Colorado Survey) as well as survey data generated by the Program itself, to establish benchmark data, targets and performance evaluation measures Project Outline, Timeline Overview ACTIVITIES School Year 1 (current) School Year 2 School Year 3 Coordination begins, including preparation of detailed budget Establish Steering Group with Key Partners to develop priorities for injection of revenue Early Childhood Connector position activated within the community Continuing evaluation of all programs and adjustment of priorities as necessary to match funding/need and effectiveness Establish Teen Voice Program to provide additional advisory capacity for the Program and hire/train connector Injection of funds into key prevention programs selected by the School District and Steering Group participants Develop data and survey feedback from early childhood families to create the Early Childhood Connector frame of reference and hire/train 1 253 The Aspen School District/Aspen Family Connection Prevention Program Detailed White Paper What is prevention? Prevention of tobacco and substance use in youth requires a wide-ranging and long-term strategy and investment. Effective prevention takes aim at how people think, feel and act, by focusing activities on areas of influence, such as the individual, family or community. We now know that simply communicating messages about the negative consequences of substance use is not in itself, an effective way to change behaviors and may even prove counterproductive. Successful prevention frames the issue in terms of health and mental health - already key community priorities - and, in doing so, invests in building up the positive ​protective factors​ that support child and youth success. These protective factors are already the focus of activity within the Aspen community, schools and nonprofits, relating to conditions found in everyday life. The prevention activities might include extracurricular activities, mentoring, parenting and family education and are all designed to support positive family attachment, and, for children and youth, positive social orientation, coping skills, good decision-making, resilience, engagement at school and mental wellbeing. Best practice in prevention is programming that starts as early as possible, that builds on strengths and also addresses multiple risk and protective factors in multiple contexts and settings. How the ASD/AFC Prevention Program complements what is already happening in our schools and in the wider Aspen community Schools are an ideal venue to promote and coordinate prevention activities, and in the Aspen School District, Aspen Family Connections which is a family resource center within the District, has already made progress in developing a number of strands of prevention activity, in a way that is fundamentally collaborative, working closely with many other local organizations. These local partners include Kids First, the Aspen Youth Center, the Buddy Program, the Aspen Recreation Department, Aspen Police Department and many others. It is important to note that the School District’s main prevention partner is actually the City of Aspen, through the important work undertaken by Kids First, the City’s of Aspen Day Camp and after-school program, the Red Brick Center for the Arts, the Recreation and Parks Departments and Aspen Police Department’s school resource officer. Aspen Family Connections was created as a collaborative hub, to harness and maximize existing community resources in order to support children, youth and their families - but the organization has had to prioritize intervention with families and not been sufficiently resourced to take on the major task of prevention, apart from our highly successful year-round, free program of events, 2 254 speaker and parenting education opportunities. The City of Aspen Tobacco Tax funded Prevention Program will enable this vision to be realized even more fully. The new Aspen School District Strategic Plan, which is well advanced in its process, places family, community and collaboration at the heart of its work, recognizing that without harmony in these three elements, the academic mission of the School District simply cannot be realized. This is an essential and progressive new element in the way that the District views and articulates its purpose within our community. The District has also adopted the CASEL Framework of ​Social and Emotional Learning (SEL). SEL enhances students’ capacity to integrate skills, attitudes, and behaviors to deal effectively and ethically with daily tasks and challenges. Like many similar frameworks,​ CASEL’s​ integrated framework promotes intrapersonal, interpersonal, and cognitive competence. There are five core competencies that can be taught in many ​ways​ across many ​settings and of these settings, ​Homes and Communities are identified as the foundational element - our first, and arguably the fundamental opportunity to effect positive change in children’s lives. A number of other important initiatives and investments will also be considered when developing a picture of prevention within the Aspen community, including the recent,incorporation of mental health support within schools funded, training in mental health first aid, adoption of trauma-focused and restorative practices, among a number of other activities taking place in and around the schools. Healthy Kids Colorado Survey already underway: essential baseline data The School (grades 5-12) is currently participating in the Healthy Kids Colorado survey (HKCS)- last undertaken in 2017 & 2015 and created by the Centers for Disease Control and Prevention (CDC) and the Colorado Departments of Education (CDE), Human Services (CDHS), and Public Health and Environment (CDPHE). These groups provide funding to the University of Colorado Anschutz Medical Campus to conduct the survey in schools.   The purpose of the Healthy Kids Colorado Survey is to better understand youth health and what  factors support youth to make healthy choices and asks ​students about topics including exercise, diet, alcohol, tobacco, drug use, mental health, suicide, bullying, healthcare, and sexual behaviors (high school only). The survey also asks students about school-life, school safety, trusted adult relationships, and other things known to be connected with healthy choices (​CLICK HERE for statewide trend data and survey model​). The extensive information from the 2017 survey has been hugely influential in developing Aspen Family Connections, as well as in-school approaches to social/emotional learning, and this data, arriving at the start of the ASD/AFC Prevention Program, is perfectly timed to ensure that our activities are correctly targeted to specific local needs, as well as providing baseline data for evaluation of success 3 255 The key importance of understanding and prioritizing community needs and gaps We already know that even within our well-developed continuum of services and resources, there are some significant gaps, most of which could figure within funding priorities for the ASD/AFC Prevention Program. The HKCS, combined with local surveys of families’ perceptions and prevention needs, will give us a clear sight of how resources will be most effectively targeted. The goal of the program is to augment and enhance prevention programming and local centers of excellence and expertise, using ASD/AFC as a hub, rather than create a new infrastructure. Some Phase 1 funding for staffing and coordination will be needed immediately to activate the program but the intention should be to direct funding to new activities, not already funded, targeting youth, families and programs and risk/protective factors. 4 256 PROJECT OUTLINE The ASD/AFC Prevention Program is dynamic, data-driven and will take effect in phases PHASE 1 - Remainder of 2019-20 school year 1.Collaboration Steering Group established ASD/AFC has already begun to convene a small and engaged group of active community partners, including all the key City of Aspen partners to help advise and steer the process of building the Prevention Program and maximize collaboration. The group is likely to be broadened as the Program develops. Organizations initially included: Kids First, the Aspen Youth Center, the Buddy Program,, and the Aspen Recreation Department The role of the partners will be to advise the School District both on the partnerships and activities that should be prioritized in the spending plan, and on the implementation and delivery of the projects selected. Risk/Protective Factors addressed TASK/ACTIVITY Timeframe Cost ALL Steering group meets Has already begun District-wide survey of families to assess the scale of prevention needs, barriers and attitudes, including ●Parenting education ●Access to after-school activities ●Access to summer activities Spring 2020 $5,000 Steering group assimilates early data from HKCS and family survey to establish Ongoing 5 257 targeted activities Establish data points from HKCS to direct work of the Youth Voice and Teen Connector Ongoing 2.Youth Voice/ Teen Connector ASD/AFC will contract with a Youth Voice/Teen Connector who will undertake key work, not currently staffed within our systems to establish a Youth Voice structure, involving extensive training and support for a group of middle and high schoolers to participate, as well as a restorative justice coordination and training component. The key significance of the Teen Connector element of the Project, is to create a Youth Voice advisory structure that will help inform and steer the priorities and content of the entire project. LINK TO PROJECT DETAIL Positive Youth Development​ (CDPHE) Risk/Protective Factors addressed TASK/ACTIVITY Timeframe Cost Risk Factors: Absenteeism/low commitment to school, poor community engagement, favorable attitudes to tobacco and other substances and availability of substances, lack of supervision and pro-social activities for teens, peer pressure and Hire Youth Voice/Teen Connector to work within Aspen School District (Middle and High Schools). Initial 3-year contract. Spring 2020 $80,000 Youth Voice/Teen Connector training and program build March - Youth Voice participant recruitment (targeting 8/9/10/11 grades for the 2020/21 school year and 6 258 relationships etc. establishment of initial work plan Youth Voice training and meeting with local agencies: resources needed for training, activity budgets etc. ongoing $20,000 Youth Advisory Council (name TBC by group) meets with Social norming campaign and a range of other activities established in schools and community-wide selected and implemented by the Youth Advisory Council 2.Element #2 Early Childhood Family Connector Prevention is the Key- Prevention can be effective at any age. It can have particularly strong effects when applied early in a person’s life, when development is most easily shaped and the child’s life is most easily set on a positive course. The Early Childhood Family Connector will provide a much-needed link between Kids First/area preschools and preschool families, to provide and coordinate a menu of prevention activities and options Risk/Protective Factors addressed TASK/ACTIVITY Timeframe Cost Promotion of protective factors: Parental resilience (connection to supports to weather economic, mental health relationship conflict and other hardships), social connections (peer and other parenting Hire Early Childhood Family Connector(s) possibly two contract positions, to conduct outreach within the Aspen Community Spring 2020 $60,000 Develop extensive collaborative program of protective factors initiatives to build on existing activity 7 259 support groups), concrete support (connection and understanding of access to resources, access to childcare and activities at times when families need it), knowledge of parenting and child development through parenting education, including social and emotional learning and address gaps 3.Element #3 Program Coordination Additional staffing/contract time for Prevention Program management, though not new staff - subsidy of existing staffing capacity: including adding to parenting education coordination, new events, coaching, in-home and community-based parenting education opportunities Immediate and ongoing $35,000.00 8 260 4.Element #4 Prevention Program - Directed Funding to Programs One that promotes ●Building on existing services and excellence ●Mental wellbeing ●Activities for children and families ●Social Connections ●School and community connection ●Inclusion over alienation ●Opportunities for young people to have a voice and a say ●Social norming ●Restorative practices, opportunities to succeed This element of the program supports new/supplementary programs addressing important gaps in prevention provision. The Aspen School District and AFC have already identified a number of significant gaps to be addressed in our systems and in January 2020, the Prevention Program Steering Group, including key City of Aspen partners, began to work on prioritizing, and assessing for Program funding, the gaps in provision. Note, that these should be ​new​ or ​supplementary​ activities, rather than those already funded and subject to a process of application from existing providers. Inclusion of special populations is a major consideration, including the needs of Latino families, children and youth, children with disabilities and others. Illustrative examples of areas to be considered as possible priorities for funding by the ASD/AFC Prevention Program Steering Group, Risk/Protective Factors addressed ALL TASK/ACTIVITY Timeframe Cost When schools are closed... supporting families’ ability to work, harnessed to essential early childhood education for most vulnerable kids and families. There is a mismatch of funding for early childcare families who receive support from the Colorado Preschool 9 261 Program (CPP) whereby there is no funding for our most at-risk families on a large number of days when the School District is closed Summer stress:​ Many lower and middle income working families cannot afford to keep their children (of all ages) productively occupied in activities during 3-month summer and school vacations and scholarships do not meet needs. After-school stress​: need for additional funding in the City of Aspen/ASD after-school program (City of Aspen Day Camp) to pay for extra para-professional and other staff so that parents of children with special needs can access the program (mostly not possible at present), and to build the after-school program’s ability to reduce their waiting list and admit even more children, allowing parents to work, and more children to be engaged in essential after-school activities Extra-curricular supports: ​funds to further support families in accessing extra-curricular activities for their children, including tutoring and executive function coaching - to supplement 10 262 financial assistance and other scholarship programs already available - at present funding can be found for counseling/therapy but for children and youth, funding to support out-of-school activities and academic catch up (available to wealthier families) can be as beneficial. Parenting and family coaching​: ability for AFC to contract with providers to deliver more parenting education opportunities and classes, including in-home coaching, not presently available Social norming campaign activities ​- this assumes that most individuals tend to conform to the perceived norms of the social groups in which they belong, bct that in actuality these norms are often misperceived. In situations concerning high-risk health behaviors designing a social norms campaign to correct misperceptions can prove highly effective in lowering the prevalence of such behaviors . Pro-social opportunities for local teens who do not use the Youth Center Mentoring​ support for older teens 11 263 Targeted prevention activities ​for Latino families, children and youth Supports for coping with family conflict:​ support groups, resources for maximizing mediation for families dealing with separation, and divorce/ post-divorce/custody issues - incentivizing mediation can reduce family conflict which is a major risk factor for children in this community 5.SUMMARY OF FUNDING PLANS (annually for 3 years) DRAFT Element Activity #1 Steering Group $500.00 #2 Youth Voice/Teen Connector $80,000.00 #2 Youth Voice Program Costs $20,000.00 #2 Early Childhood Family Connector $60,000.00 #3 ASD/AFC Prevention Program Coordination $35,000.00 #4 Directed directed support to programs $54.500.00 subtotal $250,000.00 2/14/2020 12 264