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AGENDA
CITY COUNCIL WORK SESSION
September 27, 2021
4:00 PM, City Council Chambers
130 S Galena Street, Aspen
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I.WORK SESSION
I.A.Right of Way Activation
I.B.Financial Update
I.C.City Manager Update: City Public Health Order regarding Wheeler Opera House
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MEMORANDUM
TO: Mayor and City Council
FROM: Trish Aragon, City Engineer
Mitch Osur, Parking and Downtown Services Director
Phillip Supino, Community Development Director
MEMO DATE: September 20, 2021
MEETING DATE: September 27, 2021
RE: Winter in Aspen Vitality (WAV) Program
REQUEST OF COUNCIL:
In a Work Session on September 7, 2021, Council provided direction on a range of topics
related to the continuation of elements of the activation program that has been
implemented over the last 18+ months in support of the local business community during
the challenges presented by COVID-19. Currently, this program is set to expire on
October 31st. This memo is a summary of staff’s recommendation to Council on the
continuation of activation strategies as the City and our business community prepares for
the Winter season.
Staff asks that Council review this recommendation, provide feedback and direction on
this recommendation and a small number of remaining questions. Following this
discussion, staff will prepare a Resolution that defines the City of Aspen’s activation
efforts for Winter of 2021-2022. Council would consider this Resolution prior to the
expiration of the existing activation program.
As Council considers staff’s recommendation, please know that this plan assumes that
COVID-19 is continuing along current assumptions and patterns. Staff is prepared to pivot
as needed if the pandemic shows signs of more acute resurgence or public health orders
should become more restrictive.
SUMMARY AND BACKGROUND:
At the September 7th Work Session, staff asked for direction on the continuation through
the Winter season of the following aspects of the activation program:
• Activations in parking spaces (e.g. Spring Café)
• Use of parking spaces to facilitate “take out” service (e.g. Big Wrap)
• Activations on the sidewalks (e.g. Aspen Tap)
• Activations on the walking malls (e.g. Ellina)
• Short term retail activations (e.g. Sky Gallery)
• Structures on the street (e.g. Meat and Cheese)
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• Activations on private property (e.g. Local Coffee or Jing)
and
• Long-term activation possibilities
In general, there was clear consensus that these efforts have been helpful to the business
community during this difficult time and have been popular with locals and visitors alike.
Council expressed that the realities of Winter do change the nature of some these efforts
and the program needs to respond appropriately. Additionally, Council was unified in
agreeing that if these activations were to continue through this Winter, that previously
granted fee waivers related to use of the right-of-way and Land Use Code requirements
for affordable housing mitigation should come to an end.
DISCUSSION:
The following reflects staff recommendation for the continued activation of the right-of-
way and private commercial property as we move into the Winter season. This
recommendation considers Council direction from the 9/7 Work Session and staff’s
evaluation of how to best implement the program.
1) Activations in Parking Spaces
The use of parking spaces by restaurants and other businesses (bike rentals, etc.) would
come to an end for the season on October 31, 2021. The exception to this is three
temporary structures that have been erected in parking spaces. These structures will be
discussed in more detail below.
2) Use of Parking Spaces for “Take Out” Service
Staff recommends that the City allow pick up spots for restaurants that have seating for
six people or less. These spaces would be immediately adjacent to the restaurants they
are intended for. Staff recommends that restaurants pay $4.43 per square foot (see
attached memo and lease agreement).
3) Activations on Sidewalks
The use of sidewalks for business activation would come to an end for the season on
October 31, 2021.
4) Activations on the Walking Malls
Staff recommends continued activations on the walking malls for restaurants only.
Restaurants would be required to serve lunch and/or dinner, and to operate at least 5
days per week. Staff recommends that restaurants pay $4.43 per square foot (see
attached memo and lease agreement). Staff will ensure there are some areas between
any adjacent activations for pedestrians to cross from one side of the mall to the other.
5) Short-Term Retail Activations
Staff does not recommend any short-term activations - retail or otherwise on the streets,
unless associated with a special event permit.
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The topic that received the most discussion at the previous Work Session is the continued
use of temporary structures – both in the right-of-way and on private property. As Council
evaluates staff’s recommendation the following information is important to consider.
Building Code Flexibility – particularly Energy Code compliance
While all of the permitted structures (both in the ROW and on private property) complied
with standards to ensure life, health and safety and accessibility, one important factor was
completely waived: energy code requirements. Whether made of tent material or
constructed with lumber and solid roofing materials – none of these structures (when
enclosed and heated during the winter months) can meet even the most basic of
requirements for insulation and energy efficiency. Staff understood this as a trade-off for
the need to provide restaurants with additional square footage during capacity
restrictions. As Council contemplates extending these structures through Winter of 21-
22, the energy consumption and inefficiency of these structures should be considered
and weighed against any benefits of their continued use.
It should also be noted that a small number of structures and enclosures on private
property were erected during the last 18 months that were not permitted (generally tent-
type enclosures). If these types of structures are to remain past October 31, staff will
begin enforcement towards compliance on the unpermitted structures.
Commercial Design Review
For structures on private property, one issue that has been waived during the COVID
response, has been Commercial Design review requirements. Most obvious has been
flexibility granted to requirements for materials and the relationship of these structures to
the entrances of the adjacent buildings. In general, the code prohibits tent like materials
– including fabric, plastic, etc. While some of these temporary structures have been
approved by Council for temporary use pre-COVID, and others were grandfathered due
to their existence prior to changes in the Land Use Code, in general these structures are
prohibited. If they have been approved at some time in the past – they have been
established as a temporary use and have been required to pursue issuance of a tent or
temporary structure permit.
Also contained within Commercial Design Review requirements are definitions and
expectations for “Pedestrian Amenity” space. Prior to 2017, these areas were named
“Public Amenity” spaces and had a slightly different definition. Pre-2017, these areas did
have some requirement to be open for public use, but the concept was not evenly applied
and often conflicted with the operating realities of commercial enterprises – most notably
restaurants and lodges. Today, the concept and requirements of “Pedestrian Amenity” is
to encourage a street scape and urban form that promotes interest within the pedestrian
experience and a sense of openness. The LUC does not require unfettered public access
to these spaces. However, there are design requirements for these existing areas and
they are prohibited from being reduced in size – typically this means covering the space
with a permanent roof or canopy. If they are proposed for reduction in size, there is a
required review and a Fee-in-Lieu of $100 per square foot. One of the things that can
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cause a reduction in size of these areas – are structures that enclose or permanently roof
these areas.
Growth Management Review
The Land Use Code requires structures approved through temporary use – pay GMQS
mitigation requirements for uses beyond 14 days. This has generally been applied to
special event tents established by lodges, or for enclosed spaces approved by Council –
like that at the Grey Lady/Nakazawa restaurant. These mitigation requirements for all
temporary structures have been waived for the duration of the COVID response.
The calculation for these mitigation requirements is established in the LUC based on the
net leasable requirements for commercial square footage and then “amortizing” the
calculation to the number of days that the structure is erected. Using the Nakazawa
space (788 square feet) as an example, the GMQS/AH mitigation for a 180-day use
(November 1 through May 1, approximately) would be $11,053. There is an important
quality of these spaces that should be noted – these requirements are for “enclosures”.
The LUC establishes that patio and other spaces that are covered (either permanently or
with an awning) but remain open on the sides – are not subject to these mitigation
requirements. In other words, if these structures are directly associated/adjacent to a
commercial space, but do not have walls or windows – fabric, plastic or otherwise – they
do not require AH mitigation.
Councilmember Richards suggested that an alternative calculation be established to
assign mitigation requirements. While staff agrees that the current methodology is
cumbersome, it would take time to identify an appropriate alternative to that which is
already codified. Relative to the time required, staff does not believe an additional
calculation is necessary and does not recommend the development and codification of a
new calculation.
Related to Temporary structures, staff makes the following recommendations:
6) Activations in the ROW
• Existing structures will be allowed to remain until May 1, 2022. As staff currently
understands this situation, this involves La Creperie, Meat and Cheese, and Kemo
Sabe.
• No new structures will be allowed to be established.
• Existing structures will be subject to GMQS/AH mitigation review and requirements
per 26.470.090.F and will be approved through an administrative Temporary Use
review. This would suspend the requirement for Council approval of each of these
structures.
• These facilities will also be subject to any fees associated with temporary
encroachment into the ROW.
• GMQS and Temporary Encroachment fees will be collected as a condition of
issuance of the Temporary Use approval. Fees would be assessed for the number
of days the structures are in place between October 31, 2021 and May 1, 2022.
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• Structures in the ROW will continue to be evaluated by City Engineering to ensure
pedestrian, bicycle, and vehicle safety, and accessibility; and by Community
Development to ensure structural safety
7) Activations on Private Property
• Existing structures will be allowed to remain until May 1, 2022.
• New structures may be established through an administrative Temporary Use
review and Temporary Structure/Tent permit – with an expiration date of May 1,
2022.
• All (existing and new) structures will be subject to GMQS/AH mitigation review and
requirements per 26.470.090.F and will be approved through an administrative
Temporary Use review. This would suspend the requirement for Council approval
of each of these structures. GMQS mitigation would be collected as a condition of
issuance of the Temporary Use approval. Mitigation requirements would be
assessed for the number of days the structures are in place between October 31,
2021 and May 1, 2022.
• Any structures not currently permitted will be enforced towards compliance.
• Structures utilized through May 1, 2022 will not be subject to Pedestrian Amenity,
or other Commercial Design review or requirements.
• Community Development staff will continue to evaluate for structural safety.
**Question. We do not have the same public health guidance/requirements that we
had last winter. Is Council supportive of these structures being fully enclosed
during the Winter season?
8) Long-Term Implementation of Activations
Council, in general, has seemed willing to consider elements of the activations
established in response to COVID-19 for long-term implementation. Staff recommends
further evaluation of these possibilities. With Council direction, staff will work across
agencies (ComDev - Planning, Building, and Environmental Health; Engineering; and
Parking and Downtown Services) to identify a staff recommendation for potential solutions
and perhaps additional flexibility in the long-term establishment of these activation efforts.
Building and Energy codes, Commercial Design and GMQS review, pedestrian and
bicycle safety, and the encouragement of vitality in the downtown core will be the focus
of staff’s analysis and eventual recommendation. Staff proposes returning in the 1st
Quarter of 2022 with alternatives for Council consideration.
ENVIRONMENTAL IMPACTS: Should temporary structures be approved for
continuation past October 31st, efforts to heat these structures will be inefficient from an
energy-use perspective. Staff believes this aspect of these structures should be
considered in evaluation of their continued use.
FINANCIAL IMPACTS: Should Council agree that previous fee and permit waivers
should be ended, revenues from these activations (ROW, GMQS, and other permit fees)
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will begin to again cover staff costs for the administration of this program and the impacts
of these activations to employee generation.
ALTERNATIVES: Council could consider modifications to any of the recommendations
identified above.
RECOMMENDATIONS: Based on previous Council direction and staff consideration of
how to best implement activations in the Winter season, staff recommends Council
provide support of staff’s recommendation in directing formulation of a Resolution that will
come before Council in the coming weeks.
CITY MANAGER COMMENTS:
EXHIBITS
A: Memo, Right-of-Way Activation Fees
B: Mall Lease
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MEMORANDUM
TO: Sara Ott, City Manager
FROM: Mitch Osur, Director of Parking and Downtown Services
Nicole Henning, City Clerk
Ron LeBlanc, Special Projects Manager
MEMO DATE: September 20, 2021
RE: Costs associated with activation in public ROW
REQUEST OF CITY MANAGER: Review the cost of activating in the public rights-of-
way and prepare a range of options
DISCUSSION: This research was undertaken by a staff team consisting of Mitch Osur,
Nicole Henning, and Ron LeBlanc. This information will be presented to the City Manager
for review prior to submitting the WAV Team recommendations to the City Council for
discussion at the September 27 work session.
The City Clerk provided a history of the activation fees charged for the pedestrian malls
(Attachment A). The fees charged for the mall leases became the basis for the City’s
business support efforts during COVID. The mall lease fees were applied to other rights-
of-way such as parking spaces and sidewalks. The purpose was to maintain consistency.
This research revealed that times have changed significantly since the first mall leases
were enacted. In 1976, the city wanted to encourage activation on the downtown
pedestrian malls. The $1.00/sq. ft./month was set to entice local restaurants to initiate
outdoor dining. Mall leases have continued for the past 45 years.
There was no documentation to indicate the basis for the initial $1.00/sq. ft./month. It
appears that a de minimus amount seemed reasonable at that time and that $1.00 was a
number that could be easily tracked and calculated. The initial fee was increased several
times since. No study or staff report explains the justification of those increases, except
that it appears an attempt was made to adjust for inflation at times.
The amount charged for mall leases informs the amount proposed for activation in the
public ROW. It would be difficult to justify additional activation fees for restaurants in
parking spaces. The precedent set by the fees for mall leases cannot be disassociated
from any proposed fee for activation in parking spaces.
Mall leases have never been subject to a true economic analysis. This effort would
require a third-party consultant with experience with economics and cost of service
studies.
Exhibit A
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• Activations in parking spaces: From May 1 to October 31
• Use of parking spaces to facilitate “take out” service: Year Round
• Activations on the sidewalks: From May 1 to October 31
• Activations on the walking malls: Year Round
• Short term retail activations: Not at all, special events only
• Structures on the street: Year Round
FINANCIAL IMPACTS: Staff developed 4 different options. These scenarios are all
predicated on three (3) head-in parking spaces approximating 360 square feet.
Option 1 – No change, remain at $4.43.
o This is the amount approved by City Council in the current 2020 fee schedule for
mall activations.
o $4.43 a sq foot x 360 sq feet = $1,595 x 12 = $19,140/365 = $52.44 a day x 150
days = $7,866
Option 2 – Increase by 5%, increase to $4.65.
o This option reflects a 5% cost of living increase.
o $4.65 a sq foot x 360 sq feet = $1,674 x 12 = $20,088/365 = $55.04 a day x 150
days = $8,256.
Option 3 – Increase to $8.00.
o This would be an intermediary first step to phase in the amount identified in
Option 4.
o $8.00 a sq foot x 360 sq feet = $2,880 x 12 = $34,560/365 = $94.68 a day x 150
days = $14,202.
Option 4 – Increase to $16.50.
o This number was determined by taking the average rent for restaurants ($50)
and using only 1/3 of that amount to compensate for lack of water, heat, roof, etc.
o $16.50 a sq foot x 360 sq feet = $5,940 x 12 = $71,280/365 = $195.29 a day x
150 days = $29,294.
These scenarios are all predicated on three (3) head in parking
spaces around 360 Sq. feet
Difference for 150 Days
Price Per Sq Foot Price Per
day
Assume 150 Day
Activation
Compared to a parking
Space
A regular parking space $0.15 a Sq. Foot $1.77 $265.50 None
A Construction space $0.59 a Sq. Foot $6.98 $1,047.00 $781.50
Current 2020 Code $4.43 a Sq. Foot $52.44 $7,866.00 $7,600.50
5% increase on 2020 Code $4.65 a Sq. Foot $55.04 $8,256.00 $7,990.50
Intermediary Step $8.00 a Sq. Foot $94.68 $14,202.00 $13,936.50
1/3 of basic restaurant rent $16.50 a Sq.
Foot $195.29 $29,293.50 $29,028.00
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Keep in mind that an average parking space generates $25 per day. This would equate
to $0.15 per square foot ($0.15 per square foot x 360 sq. ft. = $54.00 x 12/365
=$1.77/day x 150 = $265.50
Construction parking space cost $100 a day. That would be around $0.59 a sq foot.
RECOMMENDATIONS: Staff recommends Option 1 – no change, $4.43, since this is
the amount listed in the current fee ordinance. Should you want to change this amount,
the 2022 Fee Ordinance should reflect the new amount effective January 1, 2022.
CITY MANAGER COMMENTS:
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ATTACHMENT A: History of fees for activation on pedestrian malls
Year
SQ FT
per
Month
Term
Begin
Term
End
Payment
Due
Penalty
Notes 1977 1.00 1978 1.06 1979 1.12 June Sept July 1 1980 1.19 Aug Sept 1981 1.26 June Sept July 1 1982 1.34 1983 1.42 1984 1.50 1985 1.59 1986 1.69 1987 2.00 May Sept May 1988 2.12 1989 2.25 1990 2.39 1991 2.53 1992 2.68 1993 2.84 1994 3.01 1995 3.09? May 26 Oct 1 May 26 1996 3.19 May Oct 1 June 1997 3.19 May 20th Oct 1 June 30th 1999 3.58 May 20th Oct 1 June 30th 2001 3.90 May 25 Oct 1 2002 3.90 May 25 Oct 15 June 30 amount of ten percent (10%) shall be assessed on the arrears and, in addition, interest on the arrears shall accrue at the rate of two percent (2%) per month
No longer reference2 ord 20-73
2003 May 24 Oct 4 Same 2005 2.50 May 30 Oct 15 July 1 same 2006 2.50 May 13 Oct 15 Aug 1 same 2009 2.50 May 23 Oct 15 Aug 15 2010 2.50 May 15 Oct 15 Same 2011 2.50 May 20th Oct 17 July 1 same 2015 3.00 May 17 Oct 11 July 1 same 2017 4.02 May 13 Oct 31 July 1 same 2018 4.14 May 18 Oct 31 July 1 same Ord 30-2017 2019 4.14 May 18 Oct 31 July 1 same 2020 4.43 Ord 20-2020
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RESTAURANT
ENCROACHMENT AND OR CITY PROPERTY LEASE AGREEMENT
THIS LEASE AGREEMENT made , 2020, at Aspen, Pitkin County Colorado,
by and between THE CITY OF ASPEN, COLORADO, a municipal corporation, as Lessor
(hereinafter "City"), and Lessee (hereinafter "Lessee") Corporate Name
Liquor License Number
Address of Business
DBA Phone number
W I T N E S S E T H:
WHEREAS, the City Council of the City of Aspen is desirous of leasing portions of said city property
to abutting land owners and/or lessees who wish to use such areas for restaurant and/or liquor sales. This lease
supersedes the Colorado Department of Revenue laws.
NOW THEREFORE, in consideration of the mutual covenants, terms and conditions contained herein,
it is agreed as follows:
1. The City does hereby lease to Lessee square feet of city property, being that portion of the city
property abutting the business structure or otherwise designated herein and lot area owned and/or managed
by Lessee. Encroachments are not to be considered to be part of such building and/or lot. The term of this
lease shall be for the period of time beginning on , 2020 and terminating on , 2020. Rent shall
be calculated at $4.43 per square foot per month. As rent for such area and term, Lessee hereby agrees to pay
City the total sum which sum shall be payable in advance on or before , 2020 at the offices
of the City Clerk, Aspen City Hall, 130 S. Galena Street, Aspen, Colorado 81611.
If the rent payment is not paid in full when due, a penalty in the amount of ten percent (10%) shall be
assessed on the arrears and, in addition, interest on the arrears shall accrue at the rate of two percent (2%) per
month.
2. Lessee agrees to use such area for the sole purpose of selling and dispensing food or beverages to the
public. Such area shall be open to the public by 11:00 a.m. Seating shall be stopped by 9:30 and the outside
seating shall close at 10:30 p.m. Food shall be available in the leased area. Lessee further agrees to use the
premises for no purpose prohibited by the laws of the United States, the State of Colorado, or ordinances of the
City of Aspen. Further, lessee agrees to comply with all reasonable recommendations by the City of Aspen
relating to the use of the leased premises. For restaurants whose operation does not include a lunch service,
tables shall be removed or available for use beginning at 11 a.m. for the general public until dinner service
begins. For restaurants not serving lunch, please include a plan as to how tables will be accommodated for the
general public.
3. Lessee shall remove any fences, furniture, or planters on the leased premises promptly upon expiration
of this lease. Failure to remove them within 5 days of said expiration shall result in ownership therein
transferring to the City of Aspen.
4. Lessee agrees to keep said premises in repair and free from all litter, dirt, and debris and in a clean and
sanitary condition; to neither permit nor suffer any disorderly conduct or nuisance whatever about said premises
Exhibit B
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which would annoy or damage, either proximate or remote, occurring through or caused by any alteration to
said leased premises, or by any injury of accident occurring thereon. Further, Lessee does, by execution of this
agreement, indemnify and agree to save harmless the City of Aspen, its employees, elected and appointed
officials against any and all claims for damages or personal injuries arising from the use of the premises as
herein above described. Further, Lessee agrees to furnish City with certificate(s) of insurance naming the
City of Aspen as an additional insured as proof that it has secured and paid for a policy of public liability
insurance covering all public risks related to the leasing, use, occupancy, maintenance, and operation of
location of the leased premises. The insurance shall be procured from a company authorized to do business in
the State of Colorado and be satisfactory to the City. The amount of this insurance, without co-insurance
clauses, shall not be less than the maximum liability that can be imposed upon the City of Aspen under the
laws of the State of Colorado found at C.R.S. Section 24-10-101, et seq. as amended. Lessee shall name the
City as co-insured on all insurance policies and such policies shall include a provision that written notice of
any non-renewal, cancellation or material change in a policy by the insurer shall be delivered to the City no
less than ten (10) days in advance of the effective date.
5. No portion of the Lessee's fixtures shall extend beyond the boundaries of the City-leased premises;
this shall be construed to include planters, host podiums, umbrellas while closed or open, any type of lighting
fixtures, and any other fixtures of the Lessee. Flower pots are to be attached to the inside of the fence.
6. Rules of outside dining:
o Horizontal clear area for pedestrian travel is a minimum of 6’; this clear area will be marked
by the Clerk’s department and must be adhered to.
o Amplified music must comply with the city code. 7a.m to 11 pm 65 decibels.
o No structures, as defined in the City of Aspen Municipal Code, Section 26.104.100 are
permitted. Structure definition: Anything constructed, installed or erected which requires
location on the ground or is attached/supported by something on the ground, inclusive of
buildings, signs, roads, walkways, berms, fences and trees, unless otherwise permitted by
the City Manager. Nothing can be attached to the trees.
o No tripping hazards including extension cords across the public right-of-way.
o Outside area must be defined by planters, fence, flower boxes, etc. Defined area cannot be
less than 24 inches in height.
o Blinking lights are not permitted; exterior lighting must meet the City of Aspen lighting code.
o Portable wait stations, defined as areas for the storage of service items, i.e. silverware and
water pitchers, are permitted within leased premises.
o Wait stations must be taken in at night for wildlife protection; Wait station must comply with
Colorado retail food regulations.
o No food preparation in leased premises.
o Trash receptacles are to be taken in at night.
o NO dumping of drinks in the leased premise, City right of way, or ANY adjacent public or
private property.
o Do not use grass areas as ingress and egress for your leased space.
o Portable gas heaters cannot be located beneath, or closer than 5 feet to combustible
decorations, combustible overhangs, awnings, sunshades, or similar combustible
materials. This includes trees and other vegetation.
o Portable gas-fired heaters cannot be located any closer than 5 feet to buildings.
o Portable gas-fired heaters cannot be located within 5 feet of exits or exit paths. A safer,
recommended alternative to gas-fired heaters are infrared patio heaters or directly
connected natural gas heaters.
o If you are issued two infractions your mall lease will be revoked without a refund.
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7. One sign box containing a menu and of no more than four (4) square feet is permitted in leased
premises, and must be attached to the hostess station, fencing, etc. Sandwich boards and other 2-sided signs,
as defined in City of Aspen Land Use Code Section 26.510.110, Sandwich Board Signs, are
prohibited. Signage must be submitted as part of the lease application. Sign boxes shall become the property
of the City of Aspen for the duration of the lease then be returned to the lessee at the end of the lease term.
8. Umbrellas are allowed, but no signage shall be permitted on the umbrella, unless it becomes part of
the signage for the regular business location. Umbrellas and retractable canopies are permitted. No tents or
sides on a canopy/umbrella covering are allowed.
9. Lessee agrees to permit agents of the City to enter upon the premises at any time to inspect and make
any necessary repairs or alterations to the sidewalks, curbs, gutters, streets, utility poles, or other public facilities
as the City may deem necessary or proper for the safety, improvement, maintenance or preservation thereof.
Lessee further agrees that if the City of Aspen shall determine to make major structural changes to city property
which may affect any structures placed within the city property by the Lessee that the Lessee, by execution of
this agreement, hereby waives any and all right make any claim for damages to the improvements (or to its
leasehold interest) and agrees to remove any structures necessary during such construction periods. City agrees
to rebate all rents in the event it undertakes major structural changes to city property during the lease period.
10. The City of Aspen by this demise hereby conveys no rights or interest in the public way except the
right to the uses on such terms and conditions as are above described, and retains all title thereto.
11. Lessee agrees not to sublet any portion of the leased premises or to assign the lease.
12. Lessee hereby affirms that Lessee is the owner and/or lessee of the abutting property and agrees that
on sale or other transfer of such ownership interest, Lessee will so notify the City of the transfer in interest, and
all right and interest under this lease shall terminate.
13. Lessee agrees to surrender and deliver up the possession of the leased premises promptly upon the
expiration of this lease, or upon 5 days' written notice in the case of the termination of this lease by City by
reason of a breach in any provisions hereof.
14. If legal action is taken by either party hereto to enforce any of the provisions of this lease, the prevailing
party in any legal action shall be entitled to recover from the other party all of its cost, including reasonable
attorney’s fees.
15. It is further agreed that no assent, expressed or implied, to any breach of any one or more of the
covenants or agreements herein shall be deemed or taken to be a waiver of any succeeding or any other breach.
16. Lessee agrees to comply with all laws, ordinances, rules and regulations that may pertain or apply to
the leased premises and its use. In performing under the lease, Lessee shall not discriminate against any worker,
employee or job applicant, or any member of the public because of race, color, creed, religion, ancestry,
national origin, sex, age, marital status, physical handicap, status or sexual orientation, family responsibility or
political affiliation, or otherwise commit an unfair employment practice.
17. Lessee and City agree that all correspondence concerning the Lease shall be in writing, and either hand
delivered or mailed by first class certified mail to the following parties:
City of Aspen
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City Clerk
130 S. Galena St
Aspen, CO 81611
18. Within the Commercial Core all outdoor dining areas shall demonstrate that:
The horizontal clear area for pedestrian travel is a minimum of 6’ in width. This measurement is to be
taken from the edge of the encroachment to the edge of the walking surface. The walking surface must be
solely within the City Right of Way and shall not include landscape areas, metal tree grates, or other areas
that are accessory to the sidewalk area.
The vertical clear area for pedestrian travel is a minimum of 7’ in height. This measurement will be taken
from the natural grade (sidewalk) to the base of the lowest feature that penetrates the City of Aspen Right
of Way. This shall include awnings, flower baskets, or other signage that may penetrate the Right of Way.
If alcohol is intended to be served within the outdoor dining area, the applicant must clearly state this
intent and shall define the area which will be used to serve patrons alcohol on City property.
19. Provide diagram including umbrella width, layout of tables and wait stations, bar and exact dimensions.
Diagram must include the façade of the building and ALL entrances to the outdoor dining area. Refer to
example on Exhibit A.
20. Lessee shall submit a new diagram and photos of the proposed furniture, fixtures and lighting to the
City Clerk’s office each year as part of the application packet. A diagram of the premises is the subject of the
agreement including umbrella width, layout of tables and wait stations, bar and exact dimension shall be
attached hereto and made a part of the Restaurant Encroachment and/or City Property Lease Agreement. The
diagram must also include the façade of the building and ALL entrances to the outdoor dining area. The
diagram must reflect and the use of the premises that is the subject of the agreement must comply with all
building and applicable codes, including but not limited to the Americans with Disabilities Act (ADA), to the
extent required by law.
Seven feet clear space Six feet clear space
15
5
21. Penalty enforced on an individual basis and may result in revocation of lease and future participation.
City of Aspen CITY OF ASPEN, COLORADO
130 South Galena Street
Aspen, Colorado 81611
By
City Manager
Lessee Printed Name Lessee Signature
EXAMPLE: The mall lease fee for 2017 is $4.43 a square foot
Calculation:
$4.43 x 855 sq.ft. = $3,787.65. x 12 = $45,451.80 /. 365 = $125. a day x 122 days
16
6
17
Financial
Update
September 27, 2021
18
Taxable Sales -YTD
Economic Activity Accelerated Through Summer
Month 2019 2020 2021 2021 vs 2019 2021 vs 2020
January $89,539,693 $97,134,946 $62,330,284 -30%-36%
February $83,694,437 $91,251,577 $70,834,355 -15%-22%
March $96,653,761 $56,509,729 $105,452,080 9%87%
April $36,315,703 $14,920,645 $48,774,751 34%227%
May $27,725,371 $22,186,383 $40,364,850 46%82%
June $67,343,747 $52,263,129 $95,084,662 41%82%
July $90,488,347 $83,210,861 $124,993,848 38%50%
Jan-Jul Subtotal $491,761,059 $417,477,271 $547,834,831 11%31%
August*$75,087,853 $76,998,869 $89,056,000 19%16%
September*$63,837,408 $89,939,743 $71,820,000 13%-20%
October*$38,481,770 $47,435,685 $43,677,000 14%-8%
November*$32,460,048 $39,655,863 $36,821,000 13%-7%
December*$120,946,318 $94,715,227 $128,109,491 6%35%
Total Taxable $822,574,456 $766,222,659 $917,318,322 12%20%
$0
$20
$40
$60
$80
$100
$120
$140
January February March April May June JulyMillions
2019 2020 2021
19
Taxable Sales -YTD
Nearly All Industries See Improvement…
…But Seasonality Affects Are Unique
Thru July 2019 Sales 2020 Sales 2021 Sales 2021 vs 2019 2021 vs 2020
Accommodations $152,552,756 $108,752,106 $127,784,219 -16%18%
Restaurants $86,245,599 $70,093,615 $85,248,474 -1%22%
Sporting Goods $32,287,838 $30,529,032 $37,801,824 17%24%
Clothing $37,505,858 $28,590,244 $63,841,945 70%123%
Food & Drug $33,970,355 $33,138,595 $40,806,825 20%23%
Liquor $6,311,326 $7,167,221 $7,967,531 26%11%
Marijuana $7,524,581 $6,247,760 $6,990,302 -7%12%
Miscellaneous $36,893,962 $38,191,413 $46,845,409 27%23%
Luxury Goods $21,163,048 $21,887,522 $22,782,606 8%4%
Utilities $28,130,971 $27,875,213 $31,189,592 11%12%
Construction $37,135,641 $34,875,855 $51,510,690 39%48%
Automobile $12,039,124 $10,128,696 $18,724,906 56%85%
Banking / Financial $0 $0 $2,559,110 N/A N/A
Health & Beauty $0 $0 $3,781,399 N/A N/A
Total Taxable Sales $491,761,059 $417,477,271 $547,834,831 11%31%
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2021 Proj . Tax Collections
Forecast Assumes Strong Summer Close
•More Resources for Dedicated Use
•Still, Risks Are Present…
2019 2020 2021 2021 vs 2019 2021 vs 2020
Total Taxable Sales $822,574,456 $766,222,659 $917,318,321 12%20%
1.00% Parks & Open Space $8,191,174 $7,650,903 $9,159,600
0.50% Parks & Open Space $4,094,610 $3,824,031 $4,578,100
0.15% Transportation $1,228,582 $1,146,678 $1,372,800
45% of 0.45% Housing Dev.$1,659,072 $1,549,251 $1,854,800
55% of 0.45% Kids First $2,026,662 $1,892,768 $2,266,000
0.30% Education $2,448,270 $2,294,992 $2,747,600
2.40% Tax Collections $19,648,370 $18,358,622 $21,978,900 12%20%
12%20%
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Lodging
“Price Is No Object” –Large Increases Since Apr.
$0
$100
$200
$300
$400
$500
$600
$700
Apr May Jun Jul Aug$212$163$401$448$397$221$186$420$478$464$240$201$481$539$485$168$137$338$473$491$338$235$454$668$609Avg. Daily Rate
2017 2018 2019 2020 2021
22
2.0% City Lodging Tax
Still Climbing Out of Hole
•Not Projected to Fully Recovery By EOY
Month 2019 2020 2021 2021 vs 2019 2021 vs 2020
January $580,244 $564,549 $224,949 -61%-60%
February $514,895 $556,669 $278,308 -46%-50%
March $588,543 $263,001 $492,738 -16%87%
April $96,056 $7,441 $117,694 23%1482%
May $73,578 $11,694 $67,857 -8%480%
June $276,779 $132,724 $309,121 12%133%
July $416,096 $351,945 $574,035 38%63%
Jan-Jul Subtotal $2,546,191 $1,888,023 $2,064,702 -19%9%
Aug-Dec Projection $1,339,325 $1,135,320 $1,545,298 15%36%
Total Lodging Tax Projection $3,885,516 $3,023,343 $3,610,000 -7%19%
1.50% Tourism Promotion $2,914,137 $2,267,507 $2,707,500
0.50% Transportation $971,379 $755,836 $902,500
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Single Family
•Price per Sale Increased ~35%
•Price per Sqft ~$2,110
•32 Homes over $10M
•Inventory Down ~40%
Condos
•Units Sold Increased More Than 100%
•Inventory Down ~50%
Real Estate Transfer Taxes
As Compared
to 2020
24
Real Estate Transfer Tax
Projected 2/3rds Increase to 2019 Levels
o Dampen Expectations in Future Years
$5,204,486
$8,440,265
$6,714,301
$17,589,652
$10,893,106
$14,000,000
$0
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
$14,000,000
$16,000,000
$18,000,000
$20,000,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
1.0% RETT -Actuals Through August
2019 2020 2021
25
2022 Planning
Cautious Stance Looking Forward
•Domestic Tourism Healthy But…
Early Projections:
•City Sales Tax: 4.3% Incr.
•City Lodging Tax: 13.8% Incr.
•Real Estate Transfer Taxes: 45% Decr.
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