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HomeMy WebLinkAboutresolution.council.148-25RESOLUTION IT 148 (Series of 2025) A RESOLUTION OF THT CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, IN SUPPORT OF CITY OF ASPEN LOCAL BALLOT MEASURE 2B9 AUTHORIZING AN INCREASE IN DEBT NOT TO EXCEED $70,000,000 FOR THE PURPOSE OF FINANCING THE LUMBERYARD AFFORDABLE HOUSING DEVELOPMENT THAT WILL APPEAR ON THE NOVEMBER 2025 GENERAL ELECTION BALLOT WHEREAS, the City of Aspen Municipal Ballot Measure 2B: Debt for Lumberyard Affordable Housing Project, will be on the November 4, 2025 Coordinated Election ballot submitting to the registered electors of the City of Aspen, a question to approve an increase in City of Aspen debt by an amount not to exceed $70,000,000 with a total repayment costs not to exceed $152,550,000 for the purpose of financing the Lumberyard Affordable Housing Developments such debt to be issued in the form of municipal revenue bonds or other multiple financial obligations, with such terms, and bearing such interest at a rate thereafter approved by Council, payable from the City's affordable housing fund or any other available revenue of the city, without any increase in taxes, and to collect, retain, and spend all revenue and interest from these bonds as a voter approved change to the city's revenue limit under Colorado law, allowing the city to use these funds to pay for the project or any refunding thereof; and WHEREAS, if approved, City of Aspen ballot issue 2B will allow the City to deliver the Lumberyard Affordable Housing Project that will provide large scale affordable housing in a timely manner without raising taxes; and WHEREAS, if approved, City of Aspen ballot issue 2B supports City Council's goal of completing the Lumberyard Affordable Housing Project; and WHEREAS, the Lumberyard Affordable Housing Project (the "Project") is a 227- unit multi -phase affordable housing complex development planned with one-, two-, and three - bedroom units serving a broad range of local working household incomes to be built on City owned property; and WHEREAS, the costs associated with developing new affordable housing tend to escalate substantially over time, and the use of debt financing enables the City to initiate construction sooner, secure financing at a known interest rate, and provide needed housing for the local workforce more expeditiously than would be possible under a long-term, phased construction approach, and WHEREAS, the City's existing funding sources for the Project are not adequate to construct the full project without debt financing, and without said financing, the project would need to proceed in multiple long-term construction phases: and WHEREAS, the Project responds to the community's need for housing that is affordable, accessible;, attainable and available; and offers alternative housing options to what is available on the free market; and WHEREAS, City of Aspen ballot issue 2B further achieves the City of Aspen's vision to act upon its Affordable Housing Strategic Plan to ensure Aspen is a healthy, safe, vibrant and sustainable community by creating new affordable housing opportunities for individuals, families, seniors, and workforce; and WHEREAS, the gap between free-market housing costs and what local working households can afford in the City of Aspen and Pitkin County continues to worsen, resulting in a compounding housing affordability crisis now leaving nearly all community -serving working individuals and families priced out of local free-market ownership and rental opportunities; and WHEREAS, City Council supports the financing of the Project with issuance of municipal revenue bonds or other multiple fiscal year financial obligations and finds this option to be in the public's best interest and will ensure timely delivery of much needed affordable housing as compared to long-term construction phasing that may occur if the City cannot utilize debt. NOW THEREFORE, BE IT RESOLVED that the City Council of the City of Aspen declares its support for City of Aspen ballot issue 2B: Debt for Lumberyard Affordable Housing Project, which will, without raising taxes, authorize an increase in City of Aspen debt by an amount not to exceed a)70,000,000 for the purpose of financing the Lumberyard Affordable Housing Project, and for the reasons set forth in this Resolution urges a YES vote on City of Aspen ballot issue 2B at the election to be held November 4, 2025. RESOLVED, APPROVED, AND ADOPTED FINALLY by the City Council of the City of Aspen on the 28th day of October 2025, I, Nicole Henning, duly appointed and acting City Clerk do certify that the foregoing is a true and accurate copy of that resolution adopted by the City Council of the Ci of Aspen, Colorado, at a meeting held on the day hereingboveed. (�\ j Nicole Henning, City Cl�rk