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HomeMy WebLinkAboutresolution.council.136-14 RESOLUTION NO. 136, (SERIES OF 2014) A RESOLUTION OF THE CITY OF ASPEN CITY COUNCIL REQUESTING CODE AMENDMENTS RELATED TO LODGING IN ASPEN. WHEREAS, pursuant to Section 26.310.020(A), the Community Development Department received direction from City Council to explore code amendments related to the creation of a lodging incentive program to bolster the bed base in both traditional hotel units and condominium units; and, WHEREAS, the Community Development Department conducted existing conditions research to understand Aspen's existing lodge inventory, the occupancy and rate characteristics of Aspen's bed base, the economics of upgrading, expanding, or developing lodge products, the latest visitor demographics, and the types of lodging product most in demand; and, WHEREAS, pursuant to Section 26.310.020(B)(1), the Community Development Department conducted extensive Public Outreach with community members, the Aspen Chamber Resort Association, condominium and lodging owners, managers, and stakeholders, the Planning & Zoning Commission, the Historic Preservation Commission, and City Council regarding a lodge incentive program code amendment; and, WHEREAS, implementing a Lodge Incentive Program that bolsters the bed base has been a City Council Top Ten Goal for two (2)years; and, WHEREAS, the Community Development Director recommended adoption of a Lodge Incentive Program; and, WHEREAS, City Council approved a Lodge Incentive Ordinance (Ordinance 19, Series 2014) on August 11, 2014; and, WHEREAS, City Council voted to rescind Ordinance 19, Series 2014 on August 18, 2014, and directed staff to conduct additional outreach on the topic and return with a new Policy Resolution; and, WHEREAS, City staff conducted additional outreach in the form of small group meetings, online surveys, and a telephone survey, receiving comments from over 400 people; and, WHEREAS, the Community Development Director recommended adoption of code amendments to assist lodges and condominiums available for short-term rentals; and, WHEREAS, City Council has reviewed the proposed code amendment policy direction, and finds it meets the criteria outlined in Section 26.310.040; and, WHEREAS, pursuant to Section 26.310.020(B)(2), during a duly noticed public hearing on December 1, 2014 and continued to December 8, 2014, the City Council approved Resolution No. 136, Series of 2014, by a five to zero (5 — 0) vote, requesting code amendments to implement a Lodge Incentive Program; and, Resolution No 136, Series 2014 Page 1 of 4 WHEREAS, this Resolution does not amend the Land Use Code, but provides direction to staff for amending the Land Use Code; and, WHEREAS, the City Council finds that this Resolution implements the City's goals related replenishing and diversifying the lodging inventory, as articulated in the 2012 Aspen Area Community Plan; 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 THE CITY OF ASPEN AS FOLLOWS: Section 1: Code Amendment Objectives The goals and objectives of the code amendments are to: a. Recognize that the bed base, particularly the small lodges, is a critical part of the City's overall infrastructure. b. Ensure the Aspen bed base provides a number, diversity, and quality of lodging options to be attractive and welcoming to the next generation of visitors. c. Encourage investment in existing lodges and short-term rental condominiums to meet visitor expectations. d. Strive for lodging being the"highest and best'use in the lodging zone. e. Make sure the bed base continues to be compatible with community character. f Focus on small and economy/moderate lodge investment first. g. Reduce or eliminate city process and fee barriers to investment in existing lodge and short-term condominium properties. Section 2: Small Lodges The lodge code amendments should reduce improvement barriers for small lodges by offering: a. Free building code and energy audits, b. Building permit and impact fee reductions for remodels and minor expansions, c. An "express lane" in building and planning, d. Lodge ombudsman to assist small lodges through the process, e. Possible need-based loans for small lodges, f. Possible grants for small lodges, and g. Free or reduced cost street parking passes. Section 3: Height No changes to allowed heights shall be proposed as part of the lodge code amendments. Section 4: Parking No changes to required parking shall be proposed as part of the lodge code amendments. Section 5: Floor Area The existing overall floor area caps in all the zone districts shall be unchanged in the lodge code amendments, with some minor changes in the allowed floor area for lodge uses. For instance, increasing the allowed lodge floor area in all zone districts to the same as the overall floor area cap to make it easier for a property owner to build an entire lodge project. These changes to floor area caps shall not affect allowed heights. Resolution No 136, Series 2014 Page 2 of 4 Section 6: Maximum Residential Unit Size Maximum unit sizes for residential units shall remain unchanged in the lodge code amendments. Unit size limitations should be added for vacation residences. Section 7: Maximum Lodging Unit Size The lodge code amendments should include lodge unit sizes caps of 1,500 sq ft with the ability to expand beyond that through a Special Review. Section 8: Condominium Units The lodge code amendments should include implementation of an "express lane" in building and planning for small condominium projects and fee rebates for building permit and impact fees for condominium units that are available for short-term rentals. This must include adequate assurance that the rental requirements will be met. Section 9: Vacation Residences The lodge code amendments should include the creation of a new land use type called Vacation Residences that are required to be available for short-term rentals at least six (6) months in a calendar year. This must include adequate assurance that the rental requirements will be met. Section 10: Citv Process and Fees The lodge code amendments should simplify the city process, including: Timeshare regulations, Growth Management, and possible amendments to Multi-Family Replacement. In addition, create an "express lane" for building permits and land use review for small projects. The code amendments should include analysis and accounting of the costs of enhanced services and fee reductions to ensure the annual budget and service levels reflect community goals. A sunset provision for fee reductions should be included. Section 11: Affordable Housing Requirements The lodge code amendments should not intend to reduce affordable housing requirements "across the board,"but some flexibility for small lodge and condominiums may be necessary. Section 12: 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 resolutions or ordinances repealed or amended as herein provided, and the same shall be conducted and concluded under such prior resolutions or ordinances. Section 13: 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. FINALL7L,.adop ed this 8th day of December 2014. Steve adron, ayor Resolution No 136, Series 2014 Page 3 of 4 ATTEST: APPROVED AS TO FORM: Linda Manning, City Cle k ,,-Iames R True, City Attorney Resolution No 136, Series 2014 Page 4 of 4