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HomeMy WebLinkAboutminutes.council.19970609Asoen City Council Regular Meetin~ June 9, 1997 Mayor Bennett called the meeting to order at 5:10 p.m. with Councilmembers Waggaman, Richards and Paulson. PROCLAMATION - A1 Blomquist Mayor Bennett read a proclamation orelining and commending A1 Blomquist's contributions to Aspen and Pitkin County, including serving on Aspen P & Z and City Council. Jennifer Blomquist accepted the proclamation for her father. OUTSTANDING EMPLOYEE BONUS AWARDS Amy Margemm, city manager, listed the employees nominated for bonus awards: Keith Ideka, police department; Walter Chi, police department; Randy Krischbaum, Ice Garden; Craig Lands, Recreation; Mary Lackner, planning department and the Electric Department. Mayor Bennett and Council presented these employees with a plaque and a check. CITIZEN COMMENTS 1. Carol Dopkin said she thought the KSNO deed restriction replacement unit was to be on the agenda. The sale is proceeding and the owner is under contract for the replacement property. Ms. Dopkin said time is of the essence. Mayor Bennett said staff needs to review this and to give Council recommendations. Council directed Ms. Dopkin to get together with staff this week. COUNCILMEMBER COMMENTS 1. Councilwoman Richards said this meeting marks 6 years of serving on Council. Councilwoman Richards said it has been a pleasure to serve 4 years with Georgeanne Waggaman and thanked her for the skills and talents she brought to Council. 2. Councilman Paulson said he respects Georgeanne Waggaman and it has been a pleasure serving on Council with her. 3. Councilman Paulson said during the Silver Lining rezoning, Fabi Benedict commented that no one "owns" the land. Councilman Paulson noted there is a move to purchase the Hummingbird mining claim. Councilman Paulson said he does not condone buying all the mining claims and hopes owners of these claims Asoen City Council Regular Meetin~ June 9, 1997 will look favorably on donation of land. Councilman Paulson said he hopes everyone contributes toward the purchase of the Hummingbird. 4. Amy Margerum, city manager, introduced John Starr, chairman of the Committee to purchase the Hummingbird. John Starr told Council Fabi Benedict was a member of the coalition to buy this land and gave strength to push forward. Starr thanked the Mayor, Council and staff for the work on this purchase. The city immediately indicated willingness to put toward the purchase of this property. Staff said the organizers are hearing from every element of the community on how much they want to save the Hunter Creek valley. Tom Cardamone, ACES, said this is the right thing to do. Councilwoman Waggaman said she has been thinking of ways the city could honor Fritz and Fabi Benedict. The Benedicts have given very much to the community. Councilwoman Waggaman suggested Council consider a Benedict award to go out annually or whenever to acknowledge people who have been generous in donating to the community. CONSENT CALENDAR Councilwoman Waggaman moved to adopt the consent calendar; seconded by Councilman Paulson. The consent calendar is: Resolution #45, 1997 - Entrance to Aspen Task Force Report to CDOT Hummingbird Purchase All in favor, motion carried. ORDINANCE # 19, SERIES OF 1997 - Hines/Highlands Water Service Agreement Cindy Covell, city' s water counsel, told Council the agreements are almost finalized. The city' s water director wants to make sure the phasing of these project works for both the Moore and Hines/Highlands project. This agreement ties down any lack of clarity the staff straggled with two weeks ago. Amy Margemm, city manager, reminded Council there was some discussion on compliance with the AACP and using housing units for MAA students. Ms. Margemm gave Council minutes from the housing board. Ms. Margemm clarified the units will be occupied by employees of the ski company during the winter. Ms. 2 Asoen City Council Regular Meetin~ June 9, 1997 Margerum explained that the BOCC has never explicitly discussed the issue; however, the MAA housing component was part of the general submission application and went through the process and the BOCC approved the project with that component in it. Councilwoman Richards said she feels strongly mitigation for growth should not be allocated to part year, non-resident community members. Councilwoman Richards said she does not like setting a precedent for allowing dorm units for 8 week residents to count as housing mitigation. Mayor Bennett said he reviewed his notes from the April work session on this issue. Mayor Bennett said this is a piece of a much larger project that has been going through the process for years. Mayor Bennett said any housing for music students is freeing up housing for other employees. Mayor Bennett opened the public hearing. Gary Beach, highlands Water and Sanitation District, said in 1981 Highlands Water and Sanitation District and city entered into an agreement where the city provides water service to Highlands. It was conditioned upon the city have the capacity within its system and water rights to provide that water. If there is not that capacity, the district would be provided with the opportunity to make that capacity available. Beach said there is no provision in the agreement to withhold approval of the water extension contract based on housing. If capacity is available Highlands would receive it; if that capacity is not available, the District will make it available. Mayor Bennett closed the public hearing. Councilwoman Richards agreed the MAA gives tremendous benefit to the community. Councilwoman Richards said she is most concerned with the precedent of this approval. Ms. Margemm said the staff disagrees with Beech' s interpretation. Councilman Paulson moved to adopt Ordinance #19, Series of 1997, on second reading, including the agreement as amended by Cindy Covell; seconded by Councilwoman Waggaman. Roll call vote; Councilmembers, Waggaman, yes; Paulson, yes; Richards, yes; Mayor Bennett, yes. Motion carried. Bob Daniel, Hines/Highlands, thanked staff for all their hard work. Councilwoman Waggaman said she is concerned about the stream flow. Councilwoman Waggaman requested staff come back at a work session or budget meeting with costs on stream monitoring. 3 Asoen City Council Regular Meetin~ June 9, 1997 ORDINANCE #20, SERIES OF 1997 - Moore Water Service Agreement Cindy Covell, city' s water counsel, said this agreement is more clear and more protective of the city than the agreement Council saw two weeks ago. John Worcester, city attorney, amended Section 1 of the ordinance to include "that service agreement and the raw water agreement". Worcester reminded Council Resolution #60, 1995, contained a paragraph that required the applicant to agree to sell the Moore playing fields. Worcester noted no one knows where this is going. This is not final and it is difficult to ask the applicant to agree with this if they are not in a position to do sell that property. Worcester suggested the following language, "The City shall not condition water service to the James E. Moore family partnership LLLP as set forth in paragraph 8 of Resolution 60, 1995, but shall work together towards a mutually satisfactory resolution of the conditions set forth in said paragraph". This postpones the date to which the city and Moore can arrive at a mutually satisfactory agreement. The applicants suggestion is to delete paragraph 8 entirely. Council needs to decide whether to do that or continue some language in the ordinance indicating an intent of the parties to try and mutually come to some resolution on the purchase of the property. Worcester reminded Council all of the agreements with the respect to the purchase of that property are with the school district, not the Moore family. Mayor Bennett said this proposed language simply commits both sides to working together to try to resolve this. Councilwoman Richards said the ordinance is not expressly conditioned upon it. Gideon Kaufman, representing the Moores, said his concern is that the city manager said this project, with or without the ball fields, would have received city water under the compliance with the AACP. Kaufman said it if takes a long time for this to come to fruition, there may be different staff or Council who do not have the background on this issue. Kaufman said there is no definitive statement that the Moores in fact do get water even if there is not mutual satisfaction with what is going on. Kaufman said they need assurance that they will be getting water. Kaufman said "mutually satisfactory resolution" means there is no water service agreement until some fitture date. Worcester said this language states the city will not condition water service to condition 8 and that the city and applicant will work together towards a mutually satisfactory solution. Amy Margerum, city manager, said the city is not holding up water for the playing fields. The entire project and approval is conditioned on the playing fields, open space, and the configuration of the land. Ms. Margemm said if 4 Asoen City Council Regular Meetin~ June 9, 1997 this project did not include fields, it would have met the AACP and would probably get city of Aspen water. Ms. Margemm said the city has never tied those two together; however, it is a piece of the land use application. Mayor Bennett agreed the language says only that the city and applicant agree to work together. Mayor Bennett said the applicant will have satisfied their applications if a year from now they have worked together. Councilwoman Richards noted this is the water service agreement be approved and it is not contingent upon fillfilling that paragraph. Ms. Margemm said if the applications were ready to go tomorrow, under this agreement, the city would be able to serve them city water. Worcester said he feels this is very generous language. Kaufman said the agreement says the city shall not condition water service to the Moore Family Partnership LLLP as set forth in paragraph 8 of the resolution and goes on to say "we shall work together towards a mutually satisfactory resolution of the conditions set forth". Kaufman said there seems to be conflict in this. Kaufman said it states it is not conditioned on that meanwhile they are committing to work together towards the resolution of that condition. Councilwoman Richards suggested adding language about due to third party actions or land use approvals being revoked by a court of law, the applicants cannot fillfill this paragraph, it will be void. Kaufman said they are willing to agree to say they are happy to work with the city but if they ultimately are not able to deliver the ballfields, they still get water. Mayor Bennett suggested "the parties hereby commit to a good faith effort to resolve the issues". Worcester said adding the words, "in good faith" would make it more clear, and it will read, "but it shall work in good faith towards a mutually satisfactory resolution of the conditions set forth in said paragraph". Kaufman requested this be a separate sentence. Worcester agreed. Mayor Bennett opened the public hearing. There were no comments. Mayor Bennett closed the public hearing. Councilwoman Richards thanked the applicants for working with the city toward the creation of ballfields for the school district and for the city. Councilwoman Richards said no one should think that the applicant has not worked toward that end. Because of litigation, there may be an inability for the Moores to deliver the ballfields. The water service agreement is not a lever to push this applicant through the wringer for another 3.5 years should the deal not close. Councilwoman Waggaman said the Moore family should be thanked for their generosity and the way they use their land and all the benefits they have offered the community. Asoen City Council Regular Meetin~ June 9, 1997 Councilwoman Richards moved to adopt Ordinance #20, Series of 1997, with the amendments offered by John Worcester; seconded by Councilman Paulson. Roll call vote; Councilmembers Richards, yes; Paulson, yes; Waggaman, yes; Mayor Bennett, yes. Motion carried. ORDINANCE #21, SERIES OF 1997 -Adopting 1997 Housing Guidelines Dave Tolen, housing director, pointed om one change in the guidelines is the retirement age. Tolen said the guidelines recently have stated that people who reach the age of 60 may qualify for employee housing or remain qualified for employee housing with no requirement to continue working. Tolen said some concerns have been raised that 60 may not be an appropriate age to quit working and remain qualified for employee housing. The housing board discussed this and requested staff to pick a bench mark. Staff chose 65 which is when an able bodied person may received fitll retirement benefits from social security. Tolen said there will be special review where a person who could show age 65 would be a hardship would be relieved from that requirement. Tolen told Council another change in the guidelines is a change in the special review procedures. Previously, only specific items in the guidelines were subject to special review. The recommendation is to make everything in the guidelines, except what is covered in the land use code, subject to special review. Mayor Bennett opened the public hearing. Jim Markalunas asked about early retirement on social security provisions, where one can elect to take social security at 62, perhaps for health reasons. Tolen said the wording states "able bodied"; the guidelines provide for a disabled person to qualify at any age. Councilwoman Richards pointed out there are some institutions that one can fitlly retire from at 50 or 55. Councilwoman Richards said this should be looked at as a protection for the valley' s seniors. They have top priority after 4 years of residency and working in the area. If the guidelines remain at 60, a person could move here at 55 and only give 5 years to the community and be allowed to take retirement. Councilwoman Waggaman said she would like any special reviews be passed on to Council or the Commissioners as an information item. Council agreed they would like to receive a letter or copy of the minutes of the special review. Tolen reiterated there are 3 ways to qualify; one is to be a fitll time working resident; two is to be a senior who was formerly a fitll time working resident; third 6 Asoen City Council Regular Meetin~ June 9, 1997 is to be a disabled person, someone who is receiving social security disability benefits or is otherwise certified disable. Mayor Bennett closed the public hearing. Councilwoman Waggaman moved to adopt Ordinance #21, Series of 1997, on second reading changing the senior age to 65; seconded by Councilwoman Richards. Roll call vote; Councilmembers Paulson, yes; Richards, yes; Waggaman, yes; Mayor Bennett, yes. Motion carried. Councilwoman Waggaman moved to continue Ordinance #22, Series of 1997; seconded by Councilwoman Richards. All in favor, motion carried. POMEGRANATE HOMEOWNERS AGREEMENT Councilwoman Richards moved to go into executive session to discuss real property acquisition and potential litigation; seconded by Councilwoman Waggaman. All in favor, motion carried. Council went into executive session at 6:20 p.m. Councilwoman Richards moved to come out of executive session at 7:10 p.m.; seconded by Councilwoman Waggaman. All in favor, motion carried. Steve Barwick, assistant city manager, told Council this agreement is contingent on the city' s purchase of the Aspen Country Inn; it enables the Aspen Country Inn to be used as a senior housing project with no more than 40 units. All of these units will be designated as senior units; if a senior is not available to occupy the unit within the 30 day period, a non-senior could occupy the unit. Barwick pointed out section 1 (f) states the footprint of the building and visual impacts of any improvements or improvements upon existing structures shall not be greater than the footprint and visual impacts of the existing structure without the express written permission of the homeowners except that the homeowners hereby approve the design adopted by the city in Ordinance #16, Series of 1977. The homeowners acknowledge that garage projects at the ACI may be desirable". Barwick said the major item the city is agreement is that the city is willing to state its strong preference for a noah side highway alignment. There is some language in 2(a) added at the request of the Pomegranate homeowners, "Further in any and all hearings, meetings or discussions concerning the alignment, the city, its officials and it's employees shall affirmatively represent the city' s strong preference for the northern alignment as expressed in the attached letter". Barwick said this letter 7 Asoen City Council Regular Meetin~ June 9, 1997 states the city' s position to CDOT related to highway alignment in the Maroon Creek bridge area. Barwick said a change the city would like to see in section 2(a) is the remedy if the city should change its position. Barwick said the city had a figure of $360,000 if the changes its position on the highway. The condominium association requested $1,080,000; staff proposes $600,000. John Worcester, city attorney, noted paragraph (d) on page 3 the definition of seniors has been changed to agreed with that in the housing guidelines. Barwick said the staff drafted a letter to CDOT which has been reviewed and amended by Scott Rider. The city agrees to language in the introduction and paragraphs a and b. Staff suggests paragraph c be removed and would like to see the final paragraph regarding ball fields remain the way it is written. Scott Rider said he is concerned they are giving up open space on one side of their property and they do not want to lose the open space to the north towards the highway. Rider requested the city leave in, "the city acknowledges the importance of the highway 82 setbacks and scenic overlays by ... necessary to reconfigure ballfields". Mayor Bennett said he feels that the letter already addresses that issue. Jody Edwards, representing the homeowners association, said one issue of importance is that the footprint remain the same unless there is approval from the homeowners. Edwards said this was addressed through Ordinance #16. There is a slight footprint change from the existing building and this requests approval of the slight change now. This is not the height issue. Councilwoman Waggaman said she is concerned about the "no dogs allowed" statement. Councilwoman Waggaman said it has been proven that pets are important to the mental health of senior citizens. Councilwoman Waggaman suggested that one small (under 30 pounds) dog should be allowed with leash and picking up after the dog conditions. Barwick suggested "except with the approval of the Pomegranate Board". Councilwoman Richards said she thought this provision came from the Maroon Creek owners and this agreement should be reviewed by them. Tolen said there is a pets advocacy group in town who have a good set of guidelines and what makes pets appropriate. Tolen suggested the group meet with the homeowners before any amendments are made. Councilwoman Waggaman moved to approve the agreement with the Pomegranate homeowners with the changes referenced by Steve Barwick and with a change to Asoen City Council Regular Meetin~ June 9, 1997 2(h) stating that small dogs may be allowed according to an agreement with the Maroon Creek Club; seconded by Councilman Paulson. Councilwoman Richards said she was sorry to see the community fall into factions over this project. Councilwoman Richards said she would prefer to see a mixed project and units available to the general public. Mayor Bennett noted the Council voted unanimously to support a mixed project. All in favor, motion carried. SWEARING IN MAYOR AND COUNCIL Municipal Judge Brooke Peterson swore in John Bennett as Mayor and Terry Paulson, Jake Vickery and Jim Markalunas as Council. Mayor Bennett read a proclamation for outgoing Council Georgeanne Waggaman. Ramona Markalunas presented to Mayor Bennett and Council a train from the West Slope Railroad Association in thanks for keeping the train moving forward. COUNCILMEMBER COMMENTS 1. Councilman Markalunas commended Georgeanne Waggaman for her exceptional work for the city. Councilman Markalunas thanked the citizens who had confidence in him and voted him into office. Councilman Markalunas committed to working for all of Aspen citizens, to strive to make Aspen a better place for fitture generation, and to work to service the community. Councilman Markalunas said he will be an advocate of the regional transportation system for the Roaring Fork valley. Councilman Markalunas said his priorities will be regional transportation; realistic housing in town and on site; responsive and friendly government; renewable energy sources; preservation of Aspen's historic heritage including doing something to Ute Cemetery; doing a better job of conserving open space; do a better job of cleaning Main street to keep the PM 10 down and also solve the drainage problem; an improved street and alley program; downtown pedestrian enhancement - trees, bridges and walks - to make town a more friendly environment. 2. Councilman Vickery thanked everyone who helped him get to Council. Councilman Vickery said he is optimistic about the fitture of Aspen. Councilman Vickery committed to keep Aspen a great place for families and small businesses 9 Asoen City Council Regular Meetin~ June 9, 1997 and to protect and enhance Aspen' s character, uniqueness and environment. Councilman Vickery said he looks forward to the next couple of years. 3. Councilman Paulson said he feels people re-elected him for his respect for the environment. Councilman Paulson said he will strive to preserve what Aspen is and has and make Aspen a great place to live. 4. Mayor Bennett said he believes Aspen is the most wonderfill and special, unique small town in America. Mayor Bennett said it is Council' s job to keep it that way. CONSENT CALENDAR Councilwoman Richards moved to read Ordinance # 18, Series of 1997; seconded by Councilman Paulson. All in favor, motion carried. ORDINANCE # 18 Series of 1997 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, DESIGNATING 1008 E. HOPKINS AVENUE, THE EAST 12 FEET OF LOT L, ALL OF LOT M AND THE EAST 3 FEET OF LOT N, BLOCK 25, EAST ASPEN ADDITION TO THE CITY AND TOWNSITE OF ASPEN AND THE EAST 12 FEET OF LOT B, ALL OF LOT C AND AN ADJACENT PARCEL OF LAND DESCRIBED AS FOLLOWS: BEGINNING AT A POINT 12 FEET WEST OF THE NORTHEAST CORNER OF LOT L, THENCE NORTHERLY TO LOT B, THENCE EASTERLY TO THE SOUTHEAST CORNER OF LOT E, THENCE SOUTHERLY TO THE NORTHEAST CORNER OF LOT D, THENCE WESTERLY TO THE PLACE OF BEGINNING AS "H' HISTORIC LANDMARK PURSUANT TO SECTION 26.76.03 OF THE ASPEN MUNICIPAL CODE was read by the city clerk Councilman Paulson moved to adopt the consent calendar as amended; seconded by Councilwoman Richards. The consent calendar is: 10 Asoen City Council Regular Meetin~ June 9, 1997 Ordinance # 18, 1997 - Historic Designation 1008 E. Hopkins Resolution #42, 1997 - Annual Fleet Replacement Vehicles Resolution #43, 1997 - Equipment Contract Parks Department Backhoe Resolution #44, 1997 - Equipment Contract Water Department Skid-Steer Loader Roll call vote; Councilmembers Richards, yes; Paulson, yes; Markalunas, yes; Vickery, yes; Mayor Bennett, yes. Motion carried. SOUTH POINT CONDOMINIUM APPEAL, UNITS 2G, 2H Dave Tolen, housing department, told Council this is an appeal of a staff action under the multi-family replacement ordinance. Tolen told Council the housing director may grant an exemption from the requirements of the housing replacement. Tolen told Council he received a request for an exemption for two units owned by the same person at South Point and to combine these two units by a connecting doorway. Tolen said staff determined these were multi-family units and fell under the housing replacement requirement and combining these two units would be the removal of a multi-family dwelling unit. Tolen told Council the housing office could find no basis for an exemption. Tolen said the arguments presented to Council were that while the units were being combined that no dwelling unit was being removed because the kitchens were being left in both units. Tolen said the definition of dwelling units makes it clear that it is intended to be used by a separate family. Another argument was this was not historically occupied by a working resident. Tolen said both sides have looked into this. The unit was once owned by Maud Twining in the 1980's and she was granted a life estate on that property in the 80' s. Ms. Twining was a working resident and did live in the property for more than 3 years. Tolen said the role is clear that if the unit is going to be exempt, it must have been occupied by a non-working resident since its initial occupancy. The housing office found no basis to grant an exemption from the replacement ordinance. Tolen said if the city were to grant a variance in this case, they may have to grant a variance to the owner of any multi-family structure who wanted to combine units in that structure. This could result in the loss of quite a few units. Jody Edwards, representing Carl Levy owner of units 2G and 2H, presented Council a letter dated June 9, 1997. Edwards told Council he reviewed the record relating to 11 Asoen City Council Regular Meetin~ June 9, 1997 the adoption of Title 20 (housing replacement) Edwards said neither the minutes nor staff memoranda mentioned the intent that housing replacement would apply to this type of situation. Edwards pointed out South Point condominiums are at the base of the ski mountain. This building is just like North of Nell or Aspen Square, designed for tourist oriented and short-term accommodations. Edwards stated there is a need for this type of housing in Aspen. Edwards told Council Title 20 states it shall apply to the demolition of any resident multi-family housing, or in certain circumstances, single-family residences and duplexes". Edwards reminded Council this ordinance was adopted to deal with skyrocketing real estate prices, small homes and buildings being razed and replaced with large second homes. Edwards said from Section 20.04.020 it is clear that the intent is to retain existing affordable resident housing. The intent is not to create affordable resident housing out of tourist or second home housing. Edwards said it is not the intent of Title 20 to capture tourist-oriented units as resident units or to require an owner to pay a large fee, in this case $48,000, in order to put a door between two tourist-oriented condominium units. Edwards pointed out no one has argued that it is illegal to own two condominium units, nor is it illegal to access these units through the common hallway. However, connecting the two units seems to be illegal. Edwards said there is no nexus between the proposal of placing a door between two tourist condominium units and the proposed exaction of $48,125. Edwards said since 1984 these units have been occupied by tourists. Edwards said he feels Title 20 does not apply as resident multi-family housing is defined as multi-family housing "which has historically been occupied by working residents". Edwards noted his client has owned one of the since 1975. His client is a resident of Illinois. The other unit, 2H, was initially occupied by Maude Twining who was a retired teacher and met the housing attthority's definition of working resident. Edwards told Council since 1984, which is 6 years prior to the enactment of Title 20, 2H has been occupied exclusively by tourists. Edwards submitted letters confirming that the owners prior to Levy an after Ms. Twining were not working residents. Edwards stated it is incorrect to state these units have been historically occupied by working residents. Edwards pointed om the definition of resident multi-family housing says it applies only to units that have historically been occupied by working residents. Edwards said these units do not fall within the definition. South Point condominiums is located at the base of the ski mountain and was intended for tourist-oriented occupancy. Edwards told Council another reason why Title 20 does not apply is 12 Asoen City Council Regular Meetin~ June 9, 1997 that the proposed remodeling will not demolish a housing unit. Edwards pointed om the definition of demolition in the city' s code includes the removal of a dwelling unit in a multi-family structure and the definition of dwelling unit is a unit which is designed for or used as a residence. There is no requirement that the unit be used or occupied separately. Edwards requested Council find that Title 20 was not intended to apply to tourist- oriented accommodations; that units 2G and 2H have not been historically occupied by residents; that the proposed remodel does not constitute demolition, provided kitchen and bathroom are retained in both units. Edwards reiterated these units have historically been occupied by tourists. Bill Stirling said a big issue in Aspen is balancing the community with the resort. The affordable housing program is trying to restore the basic community and keeping the balance of the town side. Allowing the joining of these condominiums would balance the resort side of Aspen. Mayor Stirling said almost all the South Point units are short term rental or second homes and these units should be exempt from replacement ordinance. Tolen said the ordinance provides for an exemption for any unit that has not been historically occupied by working residents. RMF housing does not include single family or duplex units or any multi-family dwelling unit which has been used exclusively as a tourist accommodation or occupied by an owner who does not meet the definition of a working resident since the time of its initial occupancy. Tolen said this unit does not meet the definition for exemption because it has not been occupied exclusively as a tourist accommodation. Tolen said he went through the deeds and the dates suggest that Maud Twining had a deed to the unit in 1985. For a substantial period of time, this unit was occupied by someone who qualified as a working resident. Tolen read the definition of a dwelling units, "a separately enterable, self-sufficient room or combination of rooms which contain kitchen and bath facilities and which are designed for or used as a residence by a single family or guests independent of other families or guests. Tolen said with the combination of these units, they will not be separately enterable. Edwards said the definition of multi-family also includes the second sentence, "RMF housing does not include a single family or duplex dwelling unit or any multi- family dwelling unit which has been exclusively utilized as a tourist accommodation or occupied by an owner who does not meet the definition of a working resident 13 Asoen City Council Regular Meetin~ June 9, 1997 since the time of its initial occupancy". Edwards said Ms. Twining has lived in the unit since its initial occupancy who was a working resident. What Council needs to decide is what "historically" means and what is the nature of the South Point building. Councilwoman Richards moved to suspend the roles and extend the meeting to 9:45 p.m.; seconded by Councilman Paulson. All in favor, motion carried. City Manager Margemm said the issue is whether Council feels this unit has historically been occupied by a working resident or whether the current owners have owned and used this unit as short term accommodations. Ms. Margemm said staff and Council did not want multi-family units to become more expensive units that would be occupied only by second homeowners. Mayor Bennett said it appears Maude Twining lived there 18 or 20 years and very close to when the replacement ordinance was adopted. Mayor Bennett said it would seem to prove that this unit was historically occupied by a working resident. Mayor Bennett said this would be removal of the unit. Edwards pointed out without the door between the two units, both units can continue to be used as short term accommodations. The installation of a door between two units will cost $48,000 in exaction fees. Mayor Bennett said the intent of this law is to preserve the possibility that some day the unit might go back into the housing pool. Connecting these two units take it farther out of the affordable housing pool. City Manager Margemm told Council this policy is important is this one bedroom unit would be affordable to a working couple. Ms. Margemm said this is not an uncommon type of ordinance. Ms. Margerum said Council could think of the policy changes to allow this to happen by amending the code to outline very specific examples where these units might be exempt. Ms. Margemm requested Council not deal with this on a case by case basis but on an overall basis. Councilman Vickery agreed with that approach. Councilman Vickery said this is a request for a doorway between two units, a reversible situation; they are not demolishing anything. Mayor Bennett said Council is to interpret and enforce the law and they have to decide what the law is, what they are obligated to uphold. Mayor Bennett said in this case it is clear to him what the law is telling Council to do. Mayor Bennett said combining units equals demolishing units. 14 Asoen City Council Regular Meetin~ June 9, 1997 Councilwoman Richards moved to uphold the housing office' s denial for exemption of a multi-family unit from Title 20; seconded by Councilman Markalunas. Councilman Markalunas said maybe this needs to be rethought and redrafted so that something that happened 20 years ago does not act as a de facto deed restriction. Councilman Markalunas agreed the city' s goal is not to reduce the housing inventory. Councilman Vickery said there has been a finding that it was a working resident who occupied this unit for a period of time since its construction. All in favor, motion carried. RESOLUTION #46, SERIES OF 1997 - Approving CDOT Intergovernmental Agreement John Worcester, city attorney, told Council before the railway right-of-way can be purchased, this IGA has to be approved. It will take 2 weeks for CDOT to get a check for $3 million, and they require this IGA. Councilwoman Richards moved to approve Resolution #46, Series of 1997; seconded by Councilman Markalunas. All in favor, motion carried. Councilwoman Richards moved to suspend the roles and extend the meeting to 10:10 p.m.; seconded by Councilman Paulson. All in favor, with the exception of Mayor Bennett. Motion carried. ORDINANCE #23, SERIES OF 1997 - Fireside Lodge Subdivision Councilwoman Richards moved to read Ordinance #23, Series of 1997; seconded by Councilman Paulson. All in favor, motion carried. ORDINANCE #23 Series of 1997 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, TO APPROVE THE SUBDIVISION FOR THE FIRESIDE LODGE LOCATED AT 130 W. COOPER AVENUE was read by the city clerk Julie Ann Woods, community development department, told Council this is an existing 20 unit lodge with restaurant and swimming pool. The applicants want to convert this to 4 townhouse units and went through the small lodge lottery to get the 15 Asoen City Council Regular Meetin~ June 9, 1997 approval for this conversion. The applicant applied to P & Z to request a change in use for this conversion. This was approved by P & Z. This is being reviewed under subdivision because it is a multi-family building, which requires Council approval. Councilwoman Richards said she was surprised to see there was no affordable housing mitigation in this application. Councilwoman Richards said in the analysis it was pointed out the old lodge and restaurant had 21.5 employees which is more than the 21 which would be required to be mitigated by a subdivision of this size and therefore there was no affordable housing mitigation. Councilwoman Richards said she thought employees were housed either on this property or others owned by the Mocklins. Councilwoman Richards said in the small lodge discussions it was stated that small lodge conversions would require employee housing mitigation. Councilwoman Richards said she felt she was assured that this ordinance would require employee mitigation. Mayor Bennett agreed the Council was always told during discussions on the small lodges that there would be housing mitigation. Sunny Vann, representing the applicant, told Council prior to the adoption of the small lodge conversion ordinance, there were only 2 ways to construct multi-family residential units in Aspen. If one had a vacant lot, you could compete under growth management, which imposes an affordable housing requirement. The other way is to purchase existing multi-family units, get a GMQS exemption, tear them down and reconstruct them; however, if those units had been historically used by resident employees, there was a mitigation requirement. The ADU or cash-in-lieu are imposed on single family and duplex in order to give some parity to the housing replacement ordinance. Vann pointed out with the adoption of the small lodge ordinance, this created a new exemption from growth management. This also imposed a specific affordable housing mitigation requirement, which says if there is an increase employees generated, the applicant must mitigate it. The ordinance talks about a credit for any previous employees. Vann said there is nothing in the code to tell how to mitigate for subdivisions. In this case prior to the lottery, the applicant talked to the housing office who used the policy guideline from the growth management plan, the AACP the 60 percent in the residential component, and made assumptions about the theoretical employee generation in the lodge. Based on that model, the requirement in this proposal was less and therefore there is no additional requirement for mitigation. Vann pointed out there are no multi-family units in the lodge that would come under Ordinance # 1 replacement requirements. Vann said rooms in the basement have been rented or traded out for services over the years. There is no dwelling unit on site. 16 Asoen City Council Regular Meetin~ June 9, 1997 City Manager Margerum suggested between first and second reading, staff will provide documentation and answers to the points raised at this meeting. Council agreed. Mayor Bennett said he can remember specifically talking about employee mitigation when small lodges would convert to free market housing. Councilwoman Richards said she recalls that "additional employees generated" would apply to changes in use that became commercial and businesses that became office space on Main street. Councilwoman Richards said she feels if small lodges have no mitigation, they will become a redevelopment target. Council requested staff research if there was any on-site housing of the Fireside Lodge. Councilwoman Richards moved to adopt Ordinance #23, Series of 1997, on first reading; seconded by Councilman Markalunas. Roll call vote; Councilmembers Vickery, yes; Paulson, yes; Markalunas, yes; Richards, yes; Mayor Bennett, yes. Motion carried. Councilwoman Richards moved to adjourn at 10:10 p.m.; seconded by Councilman Markalunas. All in favor, motion carried. Kathryn S. Koch, City Clerk 17 Asoen City Council Regular Meetin~ June 9, 1997 PROCLAMATION - A1 Blomquist .........................................................................1 OUTSTANDING EMPLOYEE BONUS AWARDS ...............................................1 CITIZEN COMMENTS ..........................................................................................1 COUNCILMEMBER COMMENTS .......................................................................1 CONSENT CALENDAR ........................................................................................2 Resolution #45, 1997 - Entrance to Aspen Task Force Report to CDOT ..............2 Hummingbird Purchase ........................................................................................2 ORDINANCE # 19, SERIES OF 1997 - Hines/Highlands Water Service Agreement2 ORDINANCE #20, SERIES OF 1997 - Moore Water Service Agreement ..............4 ORDINANCE #21, SERIES OF 1997 - Adopting 1997 Housing Guidelines ...........6 POMEGRANATE HOMEOWNERS AGREEMENT .............................................7 SWEARING IN MAYOR AND COUNCIL ...........................................................9 COUNCILMEMBER COMMENTS .......................................................................9 CONSENT CALENDAR ......................................................................................10 Ordinance #18, 1997 - Historic Designation 1008 E. Hopkins ...........................11 Resolution #42, 1997 - Annual Fleet Replacement Vehicles ..............................11 Resolution #43, 1997 - Equipment Contract Parks Department Backhoe ...........11 Resolution #44, 1997 - Equipment Contract Water Department Skid-Steer Loaderl 1 SOUTH POINT CONDOMINIUM APPEAL, UNITS 2G, 2H .............................11 RESOLUTION #46, SERIES OF 1997 - Approving CDOT Intergovernmental Agreement .............................................................................................................15 ORDINANCE #23, SERIES OF 1997 - Fireside Lodge Subdivision .....................15 18