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Home My WebLink Aboutagenda.council.worksession.20250505AGENDA CITY COUNCIL WORK SESSION May 5, 2025 4:00 PM, City Council Chambers 427 Rio Grande Place, Aspen I.Work Session I.A Willoughby Park Funding Zoom Meeting Instructions Join from PC, Mac, iPad, or Android: https://us06web.zoom.us/j/85310186981?pwd=CuPDybX1Ya0cyLn1BMsGpHY1bfb8b2.1 Passcode:81611 Join via audio: Dial: +1 346 248 7799 Webinar ID: 853 1018 6981 Passcode: 81611 International numbers available: https://us06web.zoom.us/u/kcRhSdH18b Willoughby Park Funding Memo 5-5-25.docx 1 1 MEMORANDUM TO:Mayor and City Council FROM:Mike Tunte, Landscape Architect and Construction Manager Matt Kuhn, Parks and Open Space Director THROUGH:Austin Weiss, Director of Parks and Recreation MEETING DATE:May 5, 2025 RE:Lift One Corridor Funding Work Session REQUEST OF COUNCIL: The goal of this work session is to update City Council on the developing timeline for the Lift One corridor project and the scale of financial commitment required. Staff are requesting direction on discretionary aspects of the Willoughby Park / Lift One Corridor project, including the prioritization of the pool house conversion with its associated costs. BACKGROUND: The Willoughby Park project is part of the broader Lift One Corridor plan approved by voters in 2019. The project united the City of Aspen with the developers OKO Group and Lift One Lodge, the Aspen Skiing Company, and the Aspen Historical Society to work together bring the lift down to Dean Street, where skiing began in Aspen with the dedication of Lift 1 in 1947. The resulting unified plan went to a public vote and narrowly passed in March 2019. Since then, the project has moved forward with the completion of multiple agreements and the submission of building permit applications for both lodges. The Lift One Corridor Project encompasses several parcels of land from the corner of South Aspen Street and Dean Street to just above the current base of Lift 1A. The redevelopment of the corridor includes the construction of a new telemix lift, base area, and skier return located closer to Dean Street. The project also involves the relocation and rehabilitation of historic buildings such as the Skiers Chalet Lodge and Steakhouse, and the restoration of the original Lift 1 towers and gantry. The city played a pivotal role in conceptualizing an integrated approach to lowering the chairliftand skiing access, and ensuring better connectivity between parks and open spaces in the area in both summer and winter. With the Dolinsek family offering the transfer of their family’s property in 2014 to become a park, the Parks and Open Space department gained a large parcel of land that could be joined with neighboring Willoughby Park for multiple seasons of enjoyment. In planning this new park, the primary goal was to build and maintain a public park that would serve as a green oasis in a rapidly developing part of town. Secondarily, skiing across the park would also be allowed. This vision came to fruition with the 2 dedication of Dolinsek Gardens in 2023 and the park now stands as a testament to the city's commitment to preserving green spaces for public enjoyment and environmental sustainability. The second crucial action was a land exchange. This exchange effectively consolidated and unified Willoughby Park and Lift 1A Park, with the Dolinsek Gardens as a separate but adjacent park to the new parcel. By doing so, it created a seamless network of parks and open spaces, enhancing accessibility and connectivity for residents and visitors alike. Additionally, this land exchange allowed for the relocation of the historic Lift 1A resource in Willoughby Park, ensuring that this important piece of the area's heritage remains intact for future generations to appreciate. Previous ownership Current ownership Land exchange DOLINSEK .76 AC 3 DISCUSSION: Ordinances and Parks Responsibility City Council passed Ordinances No. 38 (Lift One Lodge) and No. 39 (Gorsuch Haus) in 2018 following the approval of the Aspen electorate. Ordinance No. 38 outlines the terms of approval for the Lift One Project and most of the City-related agreements. This ordinance authorizes the development Lift One Lodge and includes improvements on City-owned property, such as the redesigned Willoughby Park, ski corridor, lift alignment,and the Dean Street Plaza The Parks Department is expected to play a significant role in the Lift One Corridor project by undertaking several key responsibilities. The Ordinance states in Section 12, in part : It is also stated that Parks is tasked with completing the final grading and applying topsoil that meets departmental standards in the City park areas. Funding The funding for the Lift One Project is a critical component of the overall park planning strategy. The City of Aspen has committed a fixed amount of $4,360,000, which is being held in escrow,to support the public-facing elements of the project along Dean Street.Separately, Section 12 also places the responsibility to make certain improvements on the Parks and Open Space department. The cost of these improvements was not contemplated by the Ordinance, and represents a significant financial investment that requires further appropriation by City Council. Parks Department responsibilities in green 4 For example, while the developer is responsible for relocating the historic pool house and ensuring appropriate utility connections, the Parks Department is tasked with its renovation. Currently, the plan is to convert the pool house into a public restroom, although it could alternatively be repurposed as a storage shed. Depending on the final decisions regarding historic restoration, construction costs, and timing with potential cost escalations, the conversion of the pool house into a restroom is currently estimated to cost between $450,000 and $750,000. As the project is drawing closer to breaking ground, integrating the appropriate funding required by the Parks and Open Space (100) Fund into the broader departments’capital planning efforts is essential. Additionally, with possible softening of sales tax revenue in 2027 due to the closure of the Aspen Airport, increased scrutiny and effort is being placed on overall project timing across the department. The project aligns with the Parks Department's goals of enhancing public spaces and ensuring connectivity between parks and open spaces. Staff are currently prioritizing the funding of this project over other possible projects, and will be including allocations in 2026 that will allow for the City to retain an owner’s representative to engage on the project. Next steps Moving forward, the Parks Department will continue collaborating with Lift One Lodge on the approach to contracting. This collaboration is essential to ensure that all aspects of the project are aligned and that the responsibilities of each party are clearly defined. The department will also work closely with finance, procurement and the City attorney to review the draft capital plan to determine the best way to contract this work. We anticipate site work and expenses to commence in 2026 and increase in 2027. We are looking to Council to confirm the City’s support for this project as a high priority for the Parks and Open Space department, and in the 2026 capital planning discussion, be prepared to commit the estimated funds. Staff are also looking for Council direction on whether the pool house conversion and its associated costs should be prioritized. Councils’guidance will help us ensure that the project aligns with our broader park planning efforts and resource allocation throughout the remaining 2026 budget preparation work. FINANCIAL/BUDGET IMPACTS: The Parks and Open Space Department has adapted a financial model that estimates project costs based on recent projects and unit quantities. Based on this model, the Parks and Open Space department Existing pool house Pool house renovation and reuse 5 anticipates that that those portions of the project that are Parks responsibility will be $4,579,760 and are further outlined below. (Please note that this figure is in addition to the $4,360,000): ENVIRONMENTAL IMPACTS: The Lift One Corridor Project is a significant undertaking that involves extensive excavation, construction, and site work, all of which have notable environmental impacts. The scale of the project means that there will be substantial disruption to the landscape, including the removal of trees and vegetation, changes to the natural terrain, and potential impacts on local wildlife. The construction activities will also generate noise, dust, and increased traffic, affecting the surrounding community and environment. Despite efforts to mitigate these effects, this approved project's environmental footprint is considerable and unavoidable. Capital Project Budget Estimate Item Description of Work Qty.Type Unit Cost Sub Amount Multiplier Total Public Outreach Outreach and Communications 6 Month 3,000.00$ 18,000.00$ 1.000 18,000.00$ Construction Cost Construction Hard Costs $/SF (Après Plaza Bathroom) 375 SF 1,200.00$ 450,000.00$ 1.000 450,000.00$ Construction Hard Costs $/SF (Entry Plaza, walk, stairs, après deck) 12000 SF 80.00$ 960,000.00$ 1.000 960,000.00$ Construction Hard Costs $/SF (Dolinsek green space) 15000 SF 40.00$ 600,000.00$ 1.000 600,000.00$ Construction Hard Costs $/SF (Willoughby green space) 32000 SF 40.00$ 1,280,000.00$ 1.000 1,280,000.00$ Design Estimate 10% of Estimated $/SF Hardscape Construction Cost 12000 SF 80.00$ 960,000.00$ 0.100 96,000.00$ 10% of Estimated $/SF Softscape Construction Cost 47000 SF 40.00$ 1,880,000.00$ 0.100 188,000.00$ Permit Fees City of Aspen Permit Fees 1 Lump Sum 35,000.00$ 35,000.00$ 1.000 35,000.00$ Construction Manager/Owners Rep Project Management, Coordination, Oversight, Consulting etc. 24 Month 10,000.00$ 240,000.00$ 1.000 240,000.00$ Permit Required Inspections/Testing Agents 1% of Estimated $/SF Construction Cost. Structural welds, Concrete Cylinder Tests, Soil Compaction test, Soil Percolation tests 47000 SF 80.00$ 3,760,000.00$ 0.010 37,600.00$ Special Inspectors 0.5% of Estimated $/SF Construction Cost. Roof Inspectors, Water proofing Inspectors and Window Testing Inspectors 47000 SF 80.00$ 3,760,000.00$ 0.005 18,800.00$ Surveying 50 cents/SF of the project SITE. Required Prior To Design Team Involvement, As- builts, Updated Plats etc. 59000 SF 0.50$ 29,500.00$ 2.000 59,000.00$ Estimate 3,982,400.00$ 15% Contingency 597,360.00$ Budget Total 4,579,760.00$ 6 ALTERNATIVES: Staff are currently proceeding that all costs for the project are within the Parks Fund (100), however Council could direct staff to analyze alternative scenarios for funding such as delaying portions of the project. Staff are currently proceeding with the plan to convert the pool house to be a public restroom, but Council may also direct staff to defer or cancel this and use the structure as a simple storage shed instead. CITY MANAGER COMMENTS: 7